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Global worker No1 2022

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The International Federation of Chemical, Energy, Mine and General Workers&rsquo; Unions (ICEM) today signed a Global Framework Agreement (GFA) with Petr&oacute;leo Brasileiro SA, or Petrobras, the world&rsquo;s third largest energy company. The agreement, the 20-million-member ICEM&rsquo;s 16th since 1998, was signed at the Brazilian company&rsquo;s headquarters in Rio de Janeiro by ICEM General Secretary Manfred Warda, and Petrobras Director for Gas and Industry, Maria Das Gracas Silva Foster, Executive Director for Human Relations, Diego Hernandes, and Joao Antonio de Moraes, General Coordinator of FUP (the Oil and Gas Workers&rsquo; Unified federation of Brazil). 
 
A GFA is a social pact between a multinational company and a Global Union Federation that puts in place the very highest standards regarding trade union and human rights, health, safety, and environmental practices, and quality of work principles across all of a company&rsquo;s global operations. 
<img alt="" src="" width="214" height="160" />
ICEM General Secretary Manfred Warda signs Petrobras GFA
&ldquo;This is ICEM&rsquo;s fourth such agreement with an oil and gas concern,&rdquo; said Warda, &ldquo;and it embodies many of the social principles that we expect companies in extractive industries to adhere to.&rdquo; The ICEM has previously negotiated GFAs with Statoil of Norway, Eni of Italy and Lukoil of Russia. 
 
The agreement was signed with approval from ICEM Brazilian trade union affiliate, the Oil and Gas Workers&rsquo; Unified Federation (FUP), whose leaders were present at the signing together with ICEM Latin America/Caribbean Regional Vice President Sergio Novais of Brazil. Support from both FUP and Sergio Novais was important in reaching the agreement. 
 
The agreement commits Petrobras to recognizing the right of freedom of association and to bargain collectively for all employees, as well as establishing formal dialogue channels between staff and management. It also promotes working conditions that are favorable to a balance between work, personal, and family life. 
<img alt="" src="" width="315" height="161" />
ICEM, Petrobras, FUP
The GFA states that Petrobras &ldquo;will strive to get all service providers to comply&rdquo; with nine labour relations points contained in the agreement, including health and safety and providing necessary equipment, permanent institutionalization of negotiation channels, and equal opportunities and promotion of training opportunities. 
 
The agreement also recognizes global standards contained in the ILO Tripartite Declaration on Principles for Multinational Corporations and Social Policy, the OECD Guidelines for Multinational Corporations, the Universal Declaration of Human Rights, and the UN Global Compact. 
 
Warda and Petrobras CEO Jos&eacute; S. Gabriella de Azevedo initiated talks on the ICEM-Petrobras GFA as board members of the Global Compact some three years ago. 
 
Petrobras, 56% owned by the Brazilian government, has 80,500 employees and operates in some 30 countries. The company is a leader in exploration and production of oil, and operates 16 refineries as well as numerous petrochemical, biofuels, pipelines and other installations. The ICEM is composed of 255 national trade unions operating in 94 countries. 
 
For further information, contact ICEM&rsquo;s Dick Blin (+41 79 734 8994, <a href="mailto:dick.blin@icem.org">dick.blin@icem.org</a>) or Tom Grinter (+41 22 304 1842, <a href="mailto:tom.grinter@icem.org">tom.grinter@icem.org</a>).

ICEM Signs 16th Global Agreement with Petrobras of Brazil

<img alt="" src="" width="120" height="59" />
Finland&rsquo;s papermaking unions, Paperiliitto and Ammattiliitto Pro, have new 25-month labour agreements with the Finnish Forest Industries Federation (FFIF) that take effect in March 2012. That was assured yesterday, 28 November, after the employers&rsquo; association in the transport, ports, and shipping industry signed&nbsp;an accord with AKT, the Transport Drivers&rsquo; and Port Workers&rsquo; Union. 

Even though the FFIF came to terms with the two ICEM affiliates separately in the pulp and paper sector last Wednesday, 23 November, the FFIF was unwilling to sign off on the agreement until they had a guarantee that&nbsp;strikes would not&nbsp;occur in the transportation and export of pulp and paper products.
<img alt="" src="" width="130" height="93" />
The agreement in the paper sector follows a framework agreement made between the three national trade union confederations &ndash; SAK, STTK and STTK &ndash; and the Confederation of Finnish Industries on 13 October. 

In March 2012, Ammattiliitto Pro members&nbsp;will receive a 1.6% across-the-board wage increase, in addition to an average 0.8% increase that will be negotiated locally and is part of a new salary structure. That amount will reward new work demands, personal skill developments, and greater efficiencies by workers on the local level.
Paperiliitto members will receive a 1.5% increase, with&nbsp;0.9%&nbsp;to be negotiated locally. 

Essentially, this new salary structure was recognized by employers through strike actions taken last spring by Ammattiliitto Pro, Finland&rsquo;s white-collar and clerical workers&rsquo; union, which represents about 4,000 staff at some 50 paper enterprises. 

In April 2013, the wage increase for Ammattillio Pro&nbsp;will be 1.3%, with a 0.6% award won on the new locally-negotiated salary structure. Paperiliitto's 2013 increase will be 1.2%, with 0.7% awarded locally.
<img alt="" src="" width="190" height="46" />
Two other important aspects of the pulp and paper agreement include extra protection for workers when mills close. In effect, employers take on more responsibility for re-training and skill development, as well as workers given the flexibility to take new work in another enterprise and still qualify for redundancy benefits. 

Also, shop stewards and safety representatives who receive slightly higher pay for their responsibilities will get a 10% supplement on top of that higher pay. The two unions also won a universal three-day paid leave annually for vocational training and education. 

Both Petri Vanhala, President of Paperiliitto, and Markku Palokangas, Pro&rsquo;s Vice President for the Industrial Sector, expressed satisfaction with the 25-month agreement, especially with&nbsp;the gains made&nbsp;through the national framework agreement. Paperiliitto represents some 19,000 blue-collar workers across Finland&rsquo;s pulp and paper industry.

Finnish Pulp, Paper Unions Make Gains in 2012-2014 Industry-wide Pacts

<img alt="" src="" width="100" height="39" />
Birlesik Metal-Is, an affiliate of the International Metalworkers&rsquo; Federation, is fighting for basic trade union freedoms at German-based GEA in Gebze, Turkey. In a cynical move, local management locked out 62 workers while claiming they had conducted illegal strike action. That illegal strike action coincided with break times at the company, and separate investigations have proven that no strike action took place. The ICEM joined the growing international campaign calling for an end to the lock-out, full reinstating of four workers dismissed on 31 May, and an end to the police protection being awarded to the company in its anti-union struggle. 
 
The company behaviour in Turkey is in breach of an international minimum standards agreement with the IMF, in which it pledges respect of labour rights throughout its international operations. The IMF reminded the company and locked out workers of this fact at the picket line, as part of a large international solidarity visit to the GEA factory gates. 
<img alt="" src="" width="241" height="161" />
ICEM was also present at the picket, and a <a href="/wp-content/migration/icem/ICEM_Letter_to_Workers.pdf">message of solidarity</a> was read out. See also the <a href="/wp-content/migration/icem/ICEM%20Letter%20to%20GEA%20Group%20(17%2011%202011).pdf">ICEM letter</a> to the company here.&nbsp; 
 
Support the <a href="http://www.labourstart.org/cgi-bin/solidarityforever/show_campaign.cgi?c=1167">LabourStart campaign</a>, and write to company management here. 
 
The ICEM has been invited and will participate at the Congress of Birlesik Metal-Is on 16-18 December.

Turkish Metal Workers Still Locked Out by GEA

<img src="" width="100" height="39" alt="" />
The right wing government of Viktor Orb&aacute;n in Hungary has systematically over the past year and a half dismantled many trade union freedoms and social dialogue relationships. The new Labour Code is not only completely undermining workers&rsquo; ability to fight for just conditions in the workplace, but is now empowering companies to re-open old conflicts and punish trade union activists for actions taken under the previous legislation. 
 
ICEM affiliated unions were shocked to be informed at Congress of Japanese rubber conglomerate Bridgestone&rsquo;s move to initiate a penal procedure against Tam&aacute;s Sz&eacute;kely, president of VDSZ, the Hungarian chemical workers union. The case against the union president is focused on a 2009 report in the union journal &ldquo;Vegyipari Dolgoz&oacute;&rdquo; or &ldquo;Chemical Worker&rdquo; on the treatment of a company employee. 
<img src="" width="128" height="170" alt="" />
VDSZ President Tam&aacute;s Sz&eacute;kely
Tibor Skoflek suffered occupational health problems in the spring of 2009 and Bridgestone at the time rejected any responsibility for this. Local management even failed to supply transport to hospital for Tibor Skoflek, and he was taken by a bus driver. 
 
This is the first time in 20 years of Hungarian trade union work that a company initiates a penal procedure against a union leader with absolutely no negotiations or consultation beforehand. 
 
The clear policy of the Orb&aacute;n regime is to create fear among Hungarian workers so that they rescind trade union membership. 
 
The ICEM condemns in the strongest terms this crackdown on fundamental labour rights in Hungary, and specifically in this case against Tam&aacute;s Sz&eacute;kely, and will be exerting pressure at company and government levels.

Bridgestone Hungary forces the President of VDSZ to court

<img src="" width="100" height="39" alt="" />
IG BCE together with Verdi, the service sector union of Germany, reached agreement in bargaining with German energy group RWE on 29 November on a 13 month deal for the company&rsquo;s 25,000 employees in Germany. The new deal provides a 2.7% salary increase from 1 December 2011, and sets out new talks on improving job security and trainee prospects. 
 
European utility provider RWE is the second largest energy producer in Germany. The issue of fair salaries at RWE has caused widespread discontent through the workforce in recent times. In January the ICEM reported on warning strikes of IG BCE members at RWE who were close to full strike action. (See the <a href="/en/78-ICEM-InBrief/4216-German-Power-Workers-Close-to-Full-Dispute-with-RWE">ICEM report</a> here) More strikes were averted in January by a company offer of 3.4% salary improvement. Unions again threatened warning strikes in mid-November in the run up to settlement. This latest deal will see the union negotiating committee push for continued and better salary improvements in the collective agreement for 2013. 
 
A key achievement in this settlement was the binding agreement to open discussions in the second quarter of 2012 on the renewal of the Job Security Agreement, due to expire end of 2012, to safeguard jobs in the group. 
 
The union bargaining committee recommended the deal for adoption by the joint tariff committee.

German IG BCE Secures 2.7% Increase for 25,000 Energy Workers

<img src="" width="100" height="39" alt="" />
Finland&rsquo;s papermaking unions, Paperiliitto and Ammattiliitto Pro, have new 25-month labour agreements with the Finnish Forest Industries Federation (FFIF) that take effect in March 2012. That was assured one week ago, on 28 November, after the employers&rsquo; association in the transport, ports, and shipping industry signed an accord with AKT, the Transport Drivers&rsquo; and Port Workers&rsquo; Union. 
 
Even though the FFIF came to terms with the two ICEM affiliates separately in the pulp and paper sector on 23 November, the FFIF was unwilling to sign off on the agreements until they had a guarantee that strikes would not occur in the transportation and export of pulp and paper products. 
<img alt="" src="" width="130" height="93" />
The agreement in the paper sector follows a framework agreement made between the three national trade union confederations &ndash; SAK, STTK and STTK &ndash; and the Confederation of Finnish Industries on 13 October. 
 
In March 2012, Ammattiliitto Pro members will receive a 1.6% across-the-board wage increase, in addition to an average 0.8% increase that will be negotiated locally and is part of a new salary structure. That amount will reward new work demands, personal skill developments, and greater efficiencies by workers on the local level. 
 
Paperiliitto members will receive a 1.5% increase, with 0.9% to be negotiated locally. 
 
Essentially, this new salary structure was recognized by employers through strike actions taken last spring by Ammattiliitto Pro, Finland&rsquo;s white-collar and clerical workers&rsquo; union, which represents about 4,000 staff at some 50 paper enterprises. 
 
In April 2013, the wage increase for Ammattillio Pro will be 1.3%, with a 0.6% award won on the new locally-negotiated salary structure. Paperiliitto's 2013 increase will be 1.2%, with 0.7% awarded locally. 
<img alt="" src="" width="190" height="46" />
Two other important aspects of the pulp and paper agreement include extra protection for workers when mills close. In effect, employers take on more responsibility for re-training and skill development, as well as workers given the flexibility to take new work in another enterprise and still qualify for redundancy benefits. 
Also, shop stewards and safety representatives who receive slightly higher pay for their responsibilities will get a 10% supplement on top of that higher pay. The two unions also won a universal three-day paid leave annually for vocational training and education. 
 
Both Petri Vanhala, President of Paperiliitto, and Markku Palokangas, Pro&rsquo;s Vice President for the Industrial Sector, expressed satisfaction with the 25-month agreement, especially with the gains made through the national framework agreement. Paperiliitto represents some 19,000 blue-collar workers across Finland&rsquo;s pulp and paper industry.

Paper Unions in Finland Make Gains in 2012-2014 National Labour Accord

<img alt="" src="" width="100" height="39" />
The ICEM Brazilian affiliate, Federac&atilde;o &Uacute;nica dos Petroleiros (FUP), or Oil and Gas Workers&rsquo; Unified Federation, carved important new safety protections for deepwater oil platform workers in a new collective agreement recently approved. 
 
The union twice came to the edge of beginning strike actions, but postponed walkouts when the Brazilian state company agreed to better pay and more FUP and worker involvement in safety matters on the platforms in the Campos and Esp&iacute;rito Santo Basins, as well as across the company nationally. 
 
Following the FUP General Board accepting a revised company proposal that spells out specific safety requirements on 22 November, the contract won favour from 35,000 oil workers in local meetings, many coming on 26 November. 
<img alt="" src="" width="110" height="110" />
The new contract stipulates mandatory union representation of 150 safety specialists on platforms in the Campos Basin, for instance, and it requires three annual inspections per rig. Petrobras is underway with a US$225 billion investment in downstream and upstream projects, including exploration and development of 19 new wells next year in the deepwater Campos Basin off S&atilde;o Paulo state. 
 
FUP leaders throughout seven rounds of bargaining called for the same safety criteria that Norwegian state company Statoil has with ICEM affiliate IndustriEnergi (IE). Since the 2001 killing of 11 workers in the explosions and subsequent sinking of its P36 platform in the Roncador offshore fields, Petrobras has seen some 80 workplace fatalities, including one in September from a fire on a diesel fuel tanker. 
 
The FUP in 2010 forced suspensions on both Platforms 33 and 35 off Brazil, and the company itself shut operations on different vessels in both January and February this year over safety concerns. 
 
Worker safeguards in the agreement came only after FUP set a second strike deadline of 16 November. Following a first strike threat some weeks before, Petrobras agreed to improve health and pension fund benefits for workers. 
 
The pay package, another key issue throughout talks, will see Petrobras oil workers get a 10.71% pay rise, which represents 3.4% in real wages when factoring in Brazil&rsquo;s inflation rate.

Strike Threat Gets FUP Major Safety Protections for Brazil’s Petrobras Workers

<img alt="" src="" width="100" height="39" />
Workers throughout Britain are scrambling to fight to protect their pensions, as companies follow the government&rsquo;s tactics of attacking pension schemes. Last week members of three joint affiliates of ICEM and the International Union of Food, Agricultural Workers&rsquo; Association (IUF) at the food and cosmetics manufacturing multinational Unilever voted to strike. 
 
Unilever is attempting to unilaterally scrap the final salary pension scheme for existing members and replace it with a career-average scheme that would cut as much as 40% of the expected retirement benefits of long serving employees. 
 
The company already blocked the final salary scheme to new entrants in 2008, but this plan to move 5,000 existing members has caused outrage, especially as part of the justification for the 2008 move was to preserve the benefits of existing members. 
<img alt="" src="" width="90" height="90" />&nbsp;&nbsp;&nbsp;&nbsp; <img alt="" src="" width="175" height="70" />
If the company does not act swiftly to avert the strikes, it will be the largest strike action it has faced in its 80 year history, and the first time a FTSE 100 company has faced a strike purely on the issue of pensions. 
 
5,000 workers producing well-known products such as Persil detergent and Marmite voted resoundingly in favour of the strike ballot. 85% of Unite members, and 75% of GMB members, and a large majority of USDAW members all voted on 28 November in support of the strike which will probably be conducted at 12 factories in December. 
 
&quot;The vote also shows that ordinary workers will not stand idly by to watch profitable employers like Unilever jumping on the pensions robbery bandwagon,&quot; stated Allan Black, national officer at GMB and ICEM Executive Committee member. 
 
Union negotiators offered the company alternatives to reduce the risk of the final salary scheme and cap benefits, but were frozen out of discussions by the talks by management. 
 
This month Unilever CEO Paul Polman received shares worth &pound;1,069,986. 
 
Unilever also just announced 600 redundancies in closing the Alberto Culver plant in Melrose Park near Chicago, Illinois in 2013. Workers at the 50 year old factory are members of United Steelworkers Local 9777, most of whom are very long-serving employees. The factory produces well known products VO5, TRESemme and Nexxus shampoos and conditioners, and St. Ives lotions and body wash.

UK Unilever Workers Vote to Strike to Protect Pensions

<img alt="" src="" width="100" height="39" />
A day-long strike on 30 November in the UK brought a standstill to public services and a stark reminder that the Tory-led coalition government&rsquo;s proposed rollbacks to public-sector pensions is intolerable and will be met by street resistance. An estimated two million British workers conducted strikes at over 1,000 separate manifestations and it marked the country&rsquo;s largest mass actions since the &ldquo;Winter of Discontent&rdquo; strikes in 1979. 
 
Dubbed &ldquo;Pensions Justice Day of Action,&rdquo; 30 unions in the UK held strike votes in the months before 30 November against a government trying to impose austerity measures that include making public-sector employees work longer and pay more into what will result in smaller pension benefits. 
<img alt="" src="" width="269" height="161" />
Photo: Mac Urata
The rallying cry on 30 November was that it was bankers and lack of government oversight that caused revenue shortfalls, so why should the men and women who make Britain&rsquo;s public services work pay the price with lower pensions and more working years? 
 
The 30 November strikes brought 75% of all schools to a close, with teachers protesting more work through larger class sizes and less pay and pension money. Work stoppages brought reduced services inside hospitals, to National Health Service agencies, to public transport, in the courts, and throughout government departments and agencies. 
 
Perhaps the shrillest message against the Cameron/Osborne government&rsquo;s austerity plan came from civil servants at the Tax Ministry. A full 90% of them abandoned their jobs and took part in the day of protest last week. 
 
A group from Occupy London used the day to protest against global mining company Xstrata and its CEO Mick Davis. Activists were arrested at a sit-in inside Xstrata&rsquo;s London headquarters near Piccadilly Circus. They were protesting Davis&rsquo;s &pound;18 million compensation packaging, the largest among executives of the FTSE 100. 
 
Mass demonstrations shut down the city centre of Manchester, brought picket lines to government buildings and a 25,000 march through Liverpool, made 150,000 court workers leave their jobs, delaying and postponing court dockets, and saw the largest strike in Northern Ireland history where 10,000 civil servants rallied at city hall in Belfast. 
<img alt="" src="" width="252" height="160" />
NGWF, ITGLWF lead Bangladesh solidarity march for UK strikers
The UK strikes were felt globally as well. The ICEM was informed that the National Garment Workers&rsquo; Federation (NGWF) of Bangladesh held a sympathy strike for British workers in Dhaka at mid-day on 30 November that included addresses by NGWF President Amirul Haque Amin and International Textile, Garment and Leather Workers&rsquo; Federation Education Secretary Steve Grinter. 
 
The Tory coalition government&rsquo;s public-sector austerity plan calls for an increase in the pension age from 60 to 66 in the year 2020, and then to 67 in 2026. It seeks increased pension contributions to come out of the pockets of workers, and a pension formula based on average lifetime earnings rather than the current end-of-career pay. 
 
And a day before the 30 November strikes, Chancellor of the Exchequer George Osborne further fueled worker discontent by announcing that when the current public-sector pay freeze expires in 2012, the government will insist on a 1% cap to salary increases over the following two years.

2 Million Strike in Resistance to UK’s Public-Sector Cuts

<img alt="" src="" width="100" height="39" />
The Indonesian national government and Papua province Manpower officials will both participate in bargaining today in Timika, Papua, in further attempts to resolve the wage and benefit issues behind an 11-week strike. The strike is against US-based Freeport-McMoRan by the PT Freeport Indonesia Workers&rsquo; Union of the Chemical, Energy, Mine Workers Union (CEMWU), or SP KEP SPSI. 
 
Meanwhile, as talks continue into the fifth straight week with little progress to report, the union this week is making plans to issue another official notice to extend the strike a fourth time, again a 30-day extension that will continue the stoppage from 15 December to 15 January 2012. Some 10,000 mineworkers have blocked all production from Freeport-McMoRan&rsquo;s Grasberg mines, the world&rsquo;s largest recoverable gold and copper deposits, since the first 30-day strike began on 15 September. 
 
In a report on bargaining to the ICEM late last week, leaders of PT Freeport Workers&rsquo; Union said management has not moved off an average 35% wage offer over two years. (See previous <a href="/en/78-ICEM-InBrief/4784-Indonesian-Miners-Resume-Talks-Again-Today-with-Freeport-McMoRan">ICEM report</a>.)&nbsp; 
<img alt="" src="" width="170" height="78" />
The union is seeking uniform wage increases for all workers, with a goal of US$7.50 per hour for non-staff workers in the second year. Workers earned a wage of between US$2.13 per hour and US$3.54 at the start of the strike. 
 
The union is seeking a fixed metal bonus scheme, while the PT Freeport Indonesia (PTFI) subsidiary is insisting on a bonus tied to the company&rsquo;s variable costs. The company has rejected the union&rsquo;s demand for monthly Housing, Education, and Risk Allowance Work benefits of two million rupiah each (&euro;165, US$222) and a daily premium for shift work of 100,000 rupiah (&euro;8.26, US$11). The union met with Indonesia&rsquo;s National Wage Council on Friday over the company&rsquo;s effort to impose a wage deal through the government&rsquo;s mediation process. 
 
The ICEM believes Freeport-McMoRan must do better in its wage and benefits offer to Grasberg miners, many of whom work 12-hour shifts in 4,200- metre altitudes and have an excruciating roster schedule in which they work five days on, two days off, followed by six days on and one day off, and then four days on, three days off. 
 
But if the company wants a return to production and an end to Indonesia&rsquo;s longest work stoppage, it must break from pressures being exerted by other extractive industry employers to hold down wage and benefit offers so their workers do not follow the example set by the PT Freeport Workers&rsquo; Union. Again, PTFI must make a more conciliatory contract offer and the company should take note on how Newmont Mining and Sumitoma Corp. two weeks ago ended a four-day strike at their 49% copper and gold holdings called Batu Hijau on Indonesia&rsquo;s Sumbawa Island. They acceded to workers&rsquo; demands for adequate compensation on overtime work.

Indonesian Mine Talks Continue Today; Union Ready with Another 30-day Strike Notice

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