GUIDE TO THE CONSTRUCTION OF UNION NETWORKS WITHINRealization: MULTINATIONAL … · · 2014-12-17to the construction of union networks within multinational companies”. ... Bayer

GUIDE TO THE

SYSTEMATIZING CUT’S EXPERIENCE

MULTINATIONAL ENTERPRISES CONSTRUCTION OF UNION NETWORKS WITHIN

Realization:

Support:

PROJECT ACTION ON MULTINATIONALS

GUIDE TO THE CONSTRUCTION OF

UNION NETWORKS WITHIN MULTINATIONAL

ENTERPRISES


CUTMULTI “FROM PROJECT TO PROCESS”


CUTMulti: “From Project to Process”This publication is an initiative of the project CUT-FNV “Action on Multinationals”

September/2009

Research and Text Fernanda Sant’Clair (Mtb 39.549)

Editorial BoardJosé Drummond (CUT), Patricio Sambonino (FNV), Felipe Saboya (Social Observatory Institute), Waldeli Meleiro and Jochen Steinhilber (Friedrich Ebert Foundation)

Graphic ProjectCaco Bisol

IllustrationMárcio Baraldi

Circulation5,000 copies

Printing NSA Comunicação

SupportFNVFriedrich Ebert FoundationSocial Observatory InstituteSolidarity Center (AFL-CIO)

CUT-FNV Project TeamDirector in chargeJoão Antonio FelicioCoordinatorJosé DrummondTechnical AssistantsCintia Di Bello, Alexandre BentoJournalistFernanda Sant’Clair

CUT’s NATIONAL BOARD – 2006/2009 President: Artur Henrique da Silva SantosVice-President: José Lopez FeijóoGeneral Secretary: Quintino Marques SeveroTreasurer: Vagner Freitas Communications Secretary: Rosane BertottiUnion Policies and Organization Secretary: Jacy Afonso de MeloInternational Relations Secretary: João Antonio FelicioWork Relations Secretary: Denise Motta DauTraining Secretary: José Celestino Lourenço Gender Secretary: Rosane da SilvaSocial Policies Secretary: Expedito Solaney Pereira de MagalhãesHealth Secretary: Manoel Messias Nascimento MeloYouth Secretary: Rosana Sousa de DeusEnvironment Secretary: Carmen Helena ForoRacism Combat Secretary: Maria Julia Nogueira

Executive Directors:Julio TurraElisângela dos Santos AraújoAdeilson Ribeiro TellesRogério PantojaDary Beck FilhoJunéia Martins BatistaValeir ErtleAparecido Donizete da SilvaJasseir Alves FernandesAntonio Lisboa Amâncio do ValePedro ArmengolShakespeare Martins de Jesus

INDEX

Introduction 5

A globalized world Globalization 9 The multinationals 10 Union networks in the world 11

National scene Multinationals in Brazil 15 Brazilian multinationals 16 CUTMulti Project – major advances 17 Brazilian union networks supported by CUTMulti project 18 Networks creation – Step by Step

Step nº 1 – Promotion and sensitization 23 Step nº 2 – Consultation, convincing and process legitimation 24 Step nº 3 – Knowing the situation of the unions of the network 24 Network’s development and management

Research and Mapping 29 The target company 29 Map of each plant in Brazil and Diagnosis of the workplace 29 Planning 30 Networks Meetings 30 Action plan 31 Coordination of the network 31 Communication 33 Newsletter of the Network 33 Distribution 34 Periodicity 34 Union Connexion 35 Network statute 35 CUT Guidelines 36 Development of human talent 37 Seminars, courses, and workshops 37 Exchange of experiences 38

Consolidation of the networks Action plan application and constant evaluation 41 Permanent communication 41 Recognition of the union network 42 Consolidation of social dialogue 43 Network’s fi nancial support 44 Diffi culties 45

International relations of the networks International network of contacts 49 Contacts with international confederations and federations 49 Headquarters Country 49 Infl uence and regional contacts 50

Annex – Instruments of action to face multinationals The OECD Guidelines for Multinational Enterprises 53 International Framework Agreements 54 Other Instruments 55

Postface 57

Bibliography 60

5

INTRODUCTION

5

Building, developing and managing union networks within multinationals enterprises are not a simple task. However, the experience accumulated since 2001 by the project CUT-FNV “Action on Multinationals”, well known as CUTMulti, can be a valuable tool in this process. And it was from the need to gather and disseminate all this knowledge that emerged the idea to produce a “Guide to the construction of union networks within multinational companies”.

Prepared in cooperation with key actors involved in the strategy of networks, which means mul-tinationals’ workers and union leaders, the guide details step-by-step how to construct a union network. Encouraging the appearance of new networks and supporting the development of those already working are the main goals of this initiative.

The range of experiences accumulated by the CUTMulti project team and CUT’s International Re-lations Secretariat, by partners as the Social Observatory Institute and the DIEESE, by the CUT’s confederations and the networks themselves are distributed in this material throughout chapters that deal with matters of extreme importance for the strengthening of union networks in Brazil. To achieve its maximum objective, which is the organization of workers in multinational compa-nies, the guide has instructions that cover from technical aspects to conjunctural analysis.

It’s worth to remember that all this effort comes from the need to address the impacts of globali-zation in labor relations nowadays. The excess of power of transnational corporations and the way these organizations treat their employees have created a demand for new strategies to protect rights and interests of the working class. The role of national confederations and trade unions is therefore essential in this confrontation.

Why using networks as strategy? Because it is the organization of multinationals into networks, involving suppliers, production chains, distribution channels, technology, etc. that provide to these companies the exorbitant profi ts often disseminated by the press. Why not use the same strategy as a union response to their organization in networks? Union networks favor exchange of infor-

João Antonio Felicio International Relations Secretary of CUT Brazil

6

GUIDE TO THE CONSTRUCTION OF UNION NETWORKS WITHIN MULTINATIONAL ENTERPRISES

mation, expand the bargaining power of workers and their legal representatives and consequently help to improve working relations. The union movement needs to be ahead of these corporations. And while they use corporate and competitive advantages provided by their global networks to reach high rates of profi tability, we must go further and avoid the trap of union division. Through networks we can have an international strength to face the power of multinationals.

It was with this perception that the CUT and the Dutch union federation FNV decided to invest in the idea. In 2001, when this initiative started, the project contributed to the organization of 10 union networks within global companies. This number has grown over the years, many networks are consolidated, others are still in the initial process of formation, but the reality is that this expe-rience has yielded direct benefi ts for many workers. On its 9th National Congress the construction of union networks within multinationals became part of the CUT’s union strategy. This topic was incorporated by CUT’s secretariats in recognition of its importance to education and training of union leaders, to the organization in the workplace and to the strengthening of trade unions.

Another issue that we must stress is the importantance of including workers from the company in the activities of the network. As they are more aware of the reality experienced within these corporations and the most interested in the extension of rights and improvement of working con-ditions their participation in the networks’ actions is indispensable.

This guide is also a tool to remind working class and their representatives that, in order to face the power of multinationals, we must begin by building and exchanging information, monitoring the companies and organizing union networks. And even knowing that each company and each union have different realities and not always the same strategies can be used in all cases, it is important to note that the current scenario requires a more combative action. Thus, these actions can result in tangible benefi ts for workers and encourage the change of behavior of these compa-nies, especially in developing countries.

João Antonio Felicio

A GLOBALIZED WORLD

9

A GLOBALIZED WORLD

GLOBALIZATION

Often used to defi ne the context of dissemination of knowledge, fi nancial capital, ideas, culture and human rights, the term globalization seems to have added other connotations in recent years. This universalization that promised to benefi t all is not happening at the same speed and intensity in all countries and regions as it should. What we see today is a mixture of internationalization, liberalization and deterioration of labor, trade or social relations.

The current scenario shows that the globalization phenomenon is increasingly entrenched. And as a result of this process, the challenges of social inequality, environment degradation, capital-labor relations and democratic governance are being gradually aggravated. Establish market rules, conducted mainly by global corporations, is clearly the main role of the universalization.

Globalization has caused a division in society worldwide. A portion of the population lives in good conditions, with good income, high purchasing power, security guarantees and a network of social protection. Another group consists of those living below the poverty line, whose safety, welfare and social protection are precarious. These are the ones that normally produce in benefi t of the fi rst group, often in form of informal work. But there is still another part of socially excluded, li-ving below the poverty line with less than a dollar per day.

It is important to stress that the intensifi cation of this process has brought a number of conse-quences for modern work relations. The evident increase in the power of transnational corpo-rations, often regarded as supranational states, contributed to the instability of employment in favor of an immediate productivity and high profi ts. These events transformed the economy and, together with other facts, created subsidies to question and collect transparency regarding the behavior of these companies.

After all, for whom are the benefi ts of globalization? Has it brought advantages to workers? The answer to these questions seems obvious now.

10


Bayer Network during visit to the company’s plant in São Paulo Akzo Nobel Network during visit to the company’s plant in Santo Andre

THE MULTINATIONALS Multinational, transnational or global enterprise. No matter how it is called. What we need to eva-luate here is how these corporations operate in markets, in communities and, especially, as they treat workers.

Organized in networks, multinationals share the responsibility of goods production and services with its subsidiaries, taking into account the favorable and competitive aspects of each region. Unlike what happened in the past, when these companies controlled the entire production chain, today subcontracting, outsourcing and segmentation of the production process in an international network seem to be the way to guarantee high rates of profi tability.

The search for market presence on a global scale is also a tendency marked by the wave of mer-gers and acquisitions. The formation of global oligopolies contributed to the increase of foreign direct investment (FDI) and in 2007 reached the amount of $1,637 billion in this kind of transac-tion. A clear example of this movement is the acquisition of ABN-AMRO Bank, also in 2007, by the consortium formed by the Bank of Scotland, Fortis and Santander, for $98 billion, the biggest negotiation in the banking sector of all time.

The data published in 2008 in the UNCTAD‘s world investment report stated that the production of goods and services by multinational companies continues to grow. According to UNCTAD, the

11

A GLOBALIZED WORLD

Schaeffl er Group Network meeting 4th Joint meeting of international banks’ union networks

number of transnational corporations is estimated at 79 thousand, with 790 thousand subsi-diaries scattered in all regions of the world and about 82 million direct employees. In 2007, the capital of these companies exceeded the amount of $15 trillion, a number to make many gover-nments envious.

However, working relations suffer major infl uences of these movements promoted by transnatio-nal companies. Clearly, this pulverization also divided and disorganized the union representation, causing a reduction on wages and benefi ts. It was also clear that the preference to change produc-tion sites to developing countries, where these companies can use intensive workforce with lower qualifi cation and wages, it is increasingly exploited.

UNION NETWORKS IN THE WORLD The building of union networks within multinationals originated in the 90s, driven by some glo-bal union federations such as the ICEM, IMF and IUF, initially as a way to extend solidarity to a particular union that was going through hard times. The aim was to promote mutual support to respond to the moves of large companies, which at that time began the process of mergers and acquisitions, responsible for many layoffs and structural changes in work organization.

It is worth to note that the fi rst networks were originated in developed countries, where major unions felt strongly the consequences of multinationals actions that, after investing in developing

12


countries, extending production processes to international networks, conquering free trade areas, returned to their home countries with restructuring processes based on a global concept. As a result, mass layoffs, attacks on benefi ts, wages reduction, work shift increase, among others.

After offering international solidarity to some strikes (such as the one at Firestone in the U.S. in 1993 and at BASF in 1989, also in the U.S.) the international union federations, or Global Unions as they are also known, took the decision to encourage the construction of International Union Networks to promote solidarity between unions. The search for International Framework Agree-ments with multinational companies, and its implementation in their subsidiaries worldwide, has also become increasingly common.

The construction of Union Networks has been one of the goals of the most engaged and represen-tative Global Unions, together with their affi liated unions, in countries where there are subsidiaries of multinational companies. As a result the framework agreements can be more effective and monitored with more security.

NATIONAL SCENE

15

NATIONAL SCENE

MULTINATIONALS IN BRAZIL

It is not new that multinationals invest in Brazil. Companies such as Ford, GM, Philips and Rhodia, among others, came to the country in the twenties and worked as outposts of products assembly for domestic market distribution. Until the beginning of the fi fties, most of the foreign companies working in Brazil were coming from energy, communication and transport sectors. The city of São Paulo is a clear example. By mid 20th century the power generation in the region depended on two companies, Light (Canada) and Amforp (United States).

Since then, the number of transnational companies grew and Brazil became an important be-nefi ciary of such investment. According to the ILO - International Labor Organization, the only developing country which received more foreign capital than Brazil in the nineties was China. In the period after the Real Plan, the country attracted even more investments due to the economic openness, stabilization with economic growth perspectives and privatizations. The role of multi-nationals became increasingly broad and diverse and new areas were explored.

The numbers confi rm the interest of these corporations in the Brazilian market. According to UNCTAD, of the 100 largest global companies 78 have subsidiaries in Brazil. According to the Brazilian Central Bank, in 2008 the volume of foreign direct investments in the country surpassed US$43 billion. Such interest is understandable considering that Brazilian legislation on foreign capital is one of the most liberal in the world. In addition to the domestic market, companies in Brazil seek to use cheap workforce to produce exportable goods, exploit natural resources, diver-sifi ed industrial park, investment facility, political stability, etc.

Despite this ambiguous behavior, the contribution of transnational companies for the industrial development of developing countries, like Brazil, is creditable. However, the attitudes of these companies regarding to social, labor and environment rights outside their country of origin need to be monitored. Not always the policies adopted in the headquarters offi ce are extended to sub-sidiaries, especially when they are installed in peripheral countries.

16


BRAZILIAN MULTINATIONALS Previously just a receiver of investments of multinational corporations, Brazil today can be consi-dered as an investor. Data from UNCTAD shows Petrobrás, Vale and Gerdau as the three Brazilian companies on the list of the 50 largest multinational companies in developing countries, accor-ding to total external assets.

These companies are not isolated examples. There is a growing trend of internationalization of the Brazilian economy, with emphasis on the natural resources sectors, but also in companies of industrial sectors, such as Embraer, for instance.

The expansion process of Brazilian multinational enterprises was an alternative to the domestic market stagnation. In companies such as Odebrecht, from the construction sector, and Marcopo-lo, from the metallurgical sector, foreign production is now responsible for 80% of revenues.

Brazilian companies want to add value to their products in other markets and access to external fi nancing. That’s why they look for internationalization. In most cases, the abundance of raw material or the development of advanced technologies in specifi c market niches are the main reasons for the international growth of these companies.

Gerdau Network meeting Demonstration in front of Vale’s headquarters in Rio de Janeiro

17

As well as we are aware of the activities of foreign companies in Brazilian soil, we must monitor the steps of our multinationals in other countries. The steelmaker Gerdau, for instance, has bet on gains in competitiveness through precarious labor rights of its North American employees after the acquisition of companies in that region. The mining group Vale refused to negotiate with the union that represents workers from its plant in Australia. The company’s position was reversed after solidarity acts of the Brazilian unions.

To monitor and intermediate negotiations with multinational companies of national capital may rather be a responsibility of Brazilian unions. Owners of a greater knowledge of the labor policies of these companies, national unions are major allies of the comrades from other nationalities in the struggle for better working conditions.

CUTMULTI PROJECT

The CUTMulti Project “Action on Multinationals”, cooperation between the CUT and the FNV (Dutch Union Federation), started in November of 2001, with the aim to collaborate to the streng-thening of trade unions and to integrate local unions into the networks, per company, in order to promote a united struggle for better working conditions. To provide to union leaders and workers a better knowledge of the local union reality under a globalized environment and to create condi-tions to have a union organization in the workplace are also goals of this initiative.

This experience, which involves unions affi liated either to CUT or to other trade union confede-rations, depends on a series of political issues but in spite of the diffi culties, there are many suc-cessful cases. Many actions were incorporated by unions to accomplish networks. Researching company information , being acquainted with all plants, creation of a common action plan, inte-grated communication, management of fi nancial resources, qualifying talents, and a continuous evaluation are only some of the activities accomplished from time to time by each committee. The project has helped in spreading out the know-how obtained during years of work and keeps permanently follow up.

The CUTMulti Project, “Action on Multinationals”, ratifi ed as one of CUT’s strategies on its 9th Na-tional Congress, presented to the networks a new tool for trade union action, which seeks agre-ements in a national and international scope as a way to overcome problems that are not solved in the local level.

NATIONAL SCENE

18


The CUTMulti project has been promoting, during years, many workshops on strategy planning, due to its concern with professional development of unionists and workers involved in the crea-tion and organization of union networks. Seminars on bargaining, evaluation, follow-up, plans based on future sceneries, among others themes are part of the training program.

During its years of activities, the CUTMulti had decisively collaborated for many of the conquests achieved by workers of multinational companies in the country. The project “Action on Multinatio-nals” is a well succeeded experience to the strengthening of an integrated working class. In order to do that, it uses new tools and strategies seeking the construction of a unionism that is concer-ned and acts to face the globalization of labor relations, encouraging solidarity among workers of Brazil and the world.

BRAZILIAN UNION NETWORKS SUPPORTED BY CUTMULTI PROJECT

Following the trend of Global Unions, CUT did not stand indifferent to new forms of organization and was one of the fi rst trade union confederations that has supported and encouraged the cre-ation of union networks in Brazil as a response to multinationals actions.

Many Brazilian trade union networks were created after CUTMulti´s help. Some of them are al-ready consolidated, with concrete ongoing actions and direct benefi ts for workers. Others remain inactive after few activities, and gave up either because of structural problems or political diver-gences. Furthermore, there are those still at an initial phase of negotiation among the unions involved, the so-called incubators.

The sectoral confederations play a fundamental role in the union networks’ construction process. They are the ones that, with the support of the CUT’s International Relations Secretariat, point out the multinational companies with more problems as well as the unions with more potential to do this job. There are a total of ten sectoral confederations, as following:

CNM – Confederação Nacional dos Metalúrgicos (National Metalworkers Confederation)CNQ – Confederação Nacional do Ramo Químico (National Chemicalworkers Confederation)CONTRACS – Confederação Nacional dos Trabalhadores no Comércio e Serviços - (National Con-federation of Workers in Commerce and Services)CONTRAF – Confederação Nacional dos Trabalhadores do Ramo Financeiro (National Confedera-tion of Workers in the Finance Sector)

19

CNTV – Confederação Nacional dos Trabalhadores do Vestuário (National Confederation of Wor-kers in Garment)CNTSM – Confederação Nacional dos Trabalhadores do Setor Mineral (National Confederation of Workers in the Mineral Sector)CNTV-PS – Confederação Nacional dos Vigilantes e Prestadores de Serviço (National Confedera-tion of Vigilants and Service Workers)CONTAC – Confederação Nacional dos Trabalhadores nas Indústrias de Alimentação (National Confederation of Workers in Food Industries)FNU – Federação Nacional dos Urbanitários (National Federation of Urban Workers) CONTICOM – Confederação Nacional dos Sindicatos de Trabalhadores nas Indústrias da Construção e da Madeira (National Confederation of Unions of Workers in Construction and Wood Industries).

Until the beginning of 2009, about 30 companies out of the 106 selected as priorities by the con-federations, had already established and working union networks.

During the years, there were many successful cases. Some of the union networks have reached international representation, such as the BASF´s workers committee, which has built a South American network to discuss common problems in the region. Another well succeeded experien-ce is the worldwide union network of ThyssenKrupp. The group is already negotiating with the company an international framework agreement with democratic participation of the workers from different parts of the world.

NATIONAL SCENE

COMPANIES

ABN Anro BankAccorAkzo Nobel Alpargatas – SantistaAmbev – InbevArcelorMittalBanco do BrasilBasfBayerBraskem

BrinksC&ACarrefourDow ChemicalDuPontGerdauHSBCIberdrolaItaú – UnibancoLanxess

NovartisProsegurSantanderSHV GásSolvaySuzanoThyssenKruppValeVotorantimWal Mart

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NETWORKS CREATION STEP BY STEP

23

STEP NO 1: PROMOTION AND SENSITIZATION Goal: To generate interest and political support from parts

The sector confederations play a fundamental role in the creation of union networks. They are the ones that initiate the searching for companies and unions. It is important to say that the net works’ target is to represent as many workers as possible of each multinational company, therefore cove-ring all unions, no matter which national union confederation they are affi liated.

One of the main points to build and to consolidate a network is the political will from the confe-derations and unions involved. After this potential is identifi ed, the confederation should follow the steps below:

Mapping of possible involved unions; Debate and awareness of the local unions (and their leaders) based on the company; Presentation of the network proposal for the leadership of each union involved; Organization of specialized assistance, political, structural, training and informative support for the development of the work;

Integration of national and international representation of each sector into the network: Contact with the union that represents workers in the multinational headquarters.

Many of the diffi culties to structure a union network arise right at the beginning of the process: existence of a high number of unions affi liated to different national union confederations, invol-vement of more than one sector confederation in the organization, negative interference by the company as well as political divergences among the involved ones. There are some arguments that should convince trade union organizations about the importance of the network, their objectives and direct benefi ts to the working class. Exemplify the benefi ts of working in net-works within multinationals and share successful cases can help in the convincing process.

Finished this fi rst debate, the next step will be to gather information on the company and fi nally, accomplish the fi rst meeting of the network.

NETWORKS CREATION - STEP BY STEP

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STEP Nº 2: CONSULTATION, CONVINCING AND PROCESS LEGITIMATION

Goal: Exchange of Information and visits to the plants of the target company

In this second step we recommend that the network’s organizers/motivators get in touch with rank and fi le workers. It is important that this phase of convincement should not be restricted only to the union scope and that the workers of the target company be an important part of the organizing group and participate on the decision-making process.

First, it’s necessary to show to the base the concept of a union network, its characteristics and especially how this kind of organization could contribute to improve working conditions of all employees of the same corporation. A presentation of well succeeded experiences in other com-panies could help in this persuasion process.

This inquiry should start with visits to the target plants where the responsible for the establish-ment of the committee will discuss with workers about this issue. Besides having the opportunity of a fi rst interaction with the base, the visit can also provide channels for information exchange on the company’s behavior and on the main demands of its employees. The use of sensitization materials, as newspapers, can be a useful tool in this step.

STEP Nº 3: KNOWING THE SITUATION OF THE UNIONS OF THE NETWORK Goal: Information gathering and self-diagnosis (ADOS) of the unions involved in the network

ADOS – Self-diagnosis for Trade Union Organizational Development, developed by the Dutch Union Federation FNV, is another instrument to help on the development of networks. This tool, which is a self-applicable questionnaire, allows unions to make a diagnosis of their or the net-works organizational situation, aiming to develop and build actions that could strengthen their representation.

Trade unions and networks that are interested to use ADOS could ask for FNV’s and CUT’s In-ternational Relations Secretariat support. However, this self-diagnosis shall be conducted by the union organization itself. ADOS would evaluate the following characteristics:

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Democracy – decisions taken after consulting workers, decentralizing responsibilities, participa-tive evaluation, right to vote without restrictions, renovation of the Board of Directors, etc.

Economical strengthening – union’s membership fees regularly paid , own resources for union actions, projects funded by external organizations, etc.

Information access – dissemination of information about network and union actions, sector, direct access to the trade union and network Board, etc.

Adequate job occupation – a clear description of responsibilities, capacity building to perform different positions, specifi c training for each job, etc.

Planning and monitoring systems – specifi c working plan, use of evaluation tools, objectives’ compliance, recognition of failures, frequent evaluation, self criticism, etc.

Equality – inclusion of women and minorities demands, ethnical and gender balanced compo-sition in the network and union direction, measurements to encourage participation of youth, women and other minorities, etc.

Trade union initiative – formulating proposals for trade union actions, executing initiatives, proposals monitoring, maintenance of advancements, etc.

Financial and economical administration – budget plan, fi nancial and economical control, auditing, etc.

Institutional proposal – conjuncture analysis, joint actions with other organizations, relations-hip with political encircle, etc.

Organizational competences – mobilization power, lobbying government and companies, stra-tegy on the relationship with the involved actors, correlation between the organization’s image and the institutional proposal, etc.

NETWORKS CREATION - STEP BY STEP

Novartis Network meetingJoint meeting of networks of the energy sector

26


Social recognition – Importance of trade union and network´s position in the political and social environment, participation in activities of other organizations, support of other society sectors, etc.

Political and conceptual autonomy – trade union objectives and values, independence in the decision-making process, commitment of technicians with the network, alliances with condi-tions of respect and equality, etc.

Transparency and reliability – strategy on image management, behavioral consistency, com-pliance of commitments, dissemination of information to society, etc.

Representation – generating benefi ts to members, participation of members in union and net-works activities, membership rates of the sector, legal interlocution of workers, etc.

Incidence – actions repercussion, channels of communication with key agents, participation in debates, etc.

Innovation – introduction of changes in trade union initiatives, membership campaigns, nego-tiation and denouncements, etc.

NETWORK’S DEVELOPMENT AND MANAGEMENT

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RESEARCH AND MAPPING

The target company

Getting to know company’s behavior is fundamental for the construction process of a union net-work. Gathering information on the practices adopted by the corporation in relation to the core labor standards is an essential subsidy for the debate between workers and unionists. Having this data, the network would also be able to participate on high level discussions with the company, besides using the information in future negotiations.

How and where to get this information?Some networks use their own structure to gather information. They use their knowledge acquired from the bases and do their own research, as it happened with Gerdau´s network. In 2008, the participants of this committee within the Brazilian siderurgical company created a questionnaire, and with the local unions’ support they applied the research in 30 plants of the company in 8 dif-ferent countries. The result was a complete scenery of the working conditions in those units with information on the company’s contracts, working hours, wage policies, outsourcing, health and safety at work, and collective bargaining.

Another possibility is to use the services of specialized research institutes, with proper method-ologies, such as IOS – Social Observatory Institute and DIEESE. IOS contributes with the trade union movement since 1997, and one of its main activities is to help with the construction and consolidation of trade union networks. DIEESE – Inter-union Department of Statistics and Social/Economics Studies, was founded by the Brazilian Trade Union Movement, in 1955, to develop researches based on the workers issues.

Map of each plant in Brazil – Diagnosis of the workplace

It is fundamental to know the reality of each target company site in order to have a good net-work functioning. The mapping process of each plant must be continuous as well as evaluate key points, such as: benefi ts, wages, PLR (Profi t Sharing), job planning, working journey, health and safety conditions, etc.

30


Workplace diagnosis should also include information on workers representation in the site along with its com-position considering gender, race, and youth participa-tion in these spaces. For the committee, it is important to know about the functioning of CIPA (Internal Com-mittee of Accidents Prevention), of Factory Committee, when existing, and the number of shop stewards. Besi-des being part of the network, these representatives can also be a communication channel between the group and the base.

How to get this information?

Many networks use their own meetings to gather in-formation. Most of the cases the different plants are represented by workers and union leaders. This wider knowledge on the company’s performance in the sites allows the network to make a comparison, and from that defi ne what are the common problems and the main is-sues of the company’s workers. Another option is work in cooperation with the Social Observatory Institute.

PLANNING

Networks Meetings

Periodical meetings are an important step for the deve-lopment and management of the trade union networks. During those meetings the committees determine their politics, plan their activities, and exchange information on practices adopted by the companies.

However, in order to meet their targets, the organizers should be alert to many structural details, such as:

IOSThe Social Observatory Institute is an organization that analyses and investigates the behavior of multinational, national and state companies regarding the fundamental labor rights. These rights are assured, especially, by the ILO (International Labor Organi za tion) conventions regar-ding fre e dom of association, collective bargaining, child labor, forced labor, gender and race discrimination, environment, and occupational health and safety. Its research methodology begins with the search of information published in newspapers, websites, etc., for example, the company’s shareholding control, its history, and denouncement on the environment and labor issues. In order to complement the research, the institute interviews workers, trade union leaders and employers and to analyze the results. Besides the ILO conventions, they consider the Social Letters, Social Labor Statement, Volunteer Conduct Codes of the companies, OCDE Guidelines for Multinational Enterprises, UN Global Compact and other rules defended by the Global Unions and by ITUC – International Trade Union Confederation.

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Agenda: The guidelines of the meeting should be de-cided together with the members of the network. The agenda should have points agreed by all units represen-ted by the committee. Local and specifi c issues of each plant should be discussed by the union of the region and informed to the network. In some cases the local issues are only solved with the support of the network.

Guests: In addition to the members of the network and assistance staff, the meetings can be more pro-ductive with the participation of representatives of other sectors, organizations that support this process and also representatives of the company in some spe-cifi c situations.

Invitation: The coordination of the network should defi ne who is responsible for the invitation, how this in-vitation is made (phone calls, e-mails, etc.), what are the participation criteria. All unions that organize company workers should be included. At this moment is important to guarantee representation of all seg-ments of workers including women, youth, Afro-descendents, people with physical disabilities, etc.

Structure and assistance: The meeting infra-structure should be organized by the network co-ordination or the responsible ones. This includes preparation of supporting material such as news-letters, articles, program, banners, presentations, etc., selection of the appropriate place according to the number of participants (hotel, trade union or confederation headquarters), equipments (projector, notebook, bulletin board, microphones, etc.). The presence of specialized assistance could also contribute to a high quality meeting. Unions usually choose part of their assistance staff to participate or even conduct the meetings.

Periodicity: Networks should set dates in advance to facilitate organization. There are no limits on the number of meetings. Most of the networks hold two meetings per year, although this num-ber varies according to each group’s demands. When the network starts the negotiation process with the company, meetings and seminars usually become more frequent.

Special ResearchesIn order to answer trade unions’ needs and gather knowledge on themes that concern workers, DIEESE makes studies in a settled period of time, focusing specifi c issue as well as a region, a sector, a theme or even all these aspects. The work is part of the institution’s planning and can be done to respond to the specifi c demands of affi liated trade union entities.Following, some examples of this production:- profi les of each category- sectoral studies- regional studies- researches by theme


32


Action Plan

Planning is an important tool for the organizational development of a union network. The elabora-tion of an action plan is a decision-making process, so all participants of the committee should be involved. During this preparation, the group should make a list of priorities and objectives, accor-ding to the main issues raised by workers and establish a schedule and the responsible ones for each task. In order to make decisions concrete, everyone involved should be committed with the plan.

Planning is also a process of communication. –Every participant should have the opportunity to express his/ her own ideas, in order to look for different ways to solve problems and present new options. Through communication, people would feel committed with the decisions taken.

Planning is a very dynamic process, since there is a need to adapt it permanently, and because of this, the periodicity of the plan should always be discussed. During the meetings, the network members can make a balance of the action plan, evaluate its effectiveness and defi ne new acting strategies.

Coordination of the Network

A well-structured network ought to rely on the permanent oversight and assessment of a coordi-nating body. The number of members, the length of their term, as well as the names of the coordi-nators ought to be the result of an election that can be held during one of the network meetings.The attributions of the coordinators elected by the group ought to be defi ned by consensus. The main responsibilities of the coordinating body are: to organize meetings, to send out convoca-tions, to practice continuous assessment of network activities, and to promote permanent com-munication among the members of the committee.

COMMUNICATION

Newsletter of the Network

To publicize activities, projects and accomplishments is also part of the development of networks. The newsletter is an essential tool for the institutionalization of the committee and plays two im-portant roles: to register network activities and to maintain bases informed.

33

Which subjects should be covered?Network participants must pay attention to the content published in the newsletter. The selection of issues should always take into consideration the interests of workers. Common issues ought to have priority, but local information could also complement the publication. The collaboration of every member of the network, especially on submitting information, is essential.

How to produce the newsletter? In order to make the newsletter a high-quality tool, the engagement of specialized professionals is necessary. In some cases, unions or confederations allow their journalists, web designers and photographers to elaborate the newsletter’s content. In other cases, the network apportions the costs of the professionals. The printing of the publication also ought to be planned. The quantity of issues should be proportional to the number of workers in the company in question. In the majority of cases, the unions rotate the printing of the material, so each one is responsible for the production of each edition.

DistributionDistribution of the informative material should be planned with care. It is important to guarantee that all company workers have access to the publication. For this, it is necessary that unions spe-cify the best place and time for release. Many companies do not allow the distribution of union material inside their factories. In these cases, the unions ought to evaluate which is the most via-


34


ble means of distribution. To defi ne a specifi c day or week is a good strategy used by networks to have national impact.

Periodicity

The decision about the number of newsletters, as well as their frequency, are due to each network, according to their possibilities. Nonetheless, it is necessary to create a culture of commitment with information within the group. Selecting people to be responsible for monitoring the whole production process of the newsletter, from the selection of issues until the distribution to the fac-tories, is a good alternative. Some networks produce a newsletter for each meeting held; others distribute three issues per year. The important aspect is to keep rank and fi le workers always well informed about the activities of the committee.

“Union Connection”

Created in 2003 by the IOS – Instituto Observatorio Social (Social Observatory Institute) - in part-nership with the German union central organization, DGB, the Union Connection (in Portuguese ‘Conexão Sindical’) has more than fi fteen thousand news indexed in its data bank, more than 1,900 users’ data, more than one thousand documents stored in its Virtual Library, more than two

35

thousand users registered, and is accessed more than 30,000 times per month. This tool is an ins-trument for the formation of virtual networks, with an emphasis on the exchange of information among users, the staff of the Observatory, and partners about fundamental rights at work, the environment, and the behavior of multinational companies.

“Union Connection” facilitates communication and interaction among participants of the net-works. Each committee can create a group of discussion, which, besides serving as a platform for publicizing news, videos and documents, and calling for meetings, allows an interchange of ideas, and members of the group can even register their opinions and suggestions for activities, as well as dialogue with other users. The networks interested in creating their own discussion fo-rums ought to access the link http://www.observatoriosocial.org.br/conex and register at the icon “Create a new account” (“Criar nova conta”) or send an email to [email protected]. The staff of the IOS offers workshops to inform networks the best way to use this tool and to debate about the political use of new technologies.

STATUTE OF THE NETWORK

The elaboration of a statute that regulates the actions of the network is an increasingly common practice. Besides pointing the policy direction and the principles of the group, the document even decide technical questions on the functioning of the committee.

The statute’s content ought to be a consensus among the members and, among other issues, should deal mainly with the following questions:

Origin, coverage and principles: the text might state the formation process of the network, the criteria for participation, and the policies and proposals are part of the group’s agenda.

Structure and Organization: The text might decide the criteria for election of the coordination committee, the attributions of each member, the structure and frequency of meetings, and other questions of technical order.

After the elaboration of its content and its approval by the network, it is necessary that to have a constant assessment to guarantee that members stand for the recommendations of the document.


36


CUT GUIDELINES Based on principles of equality and solidarity, the objectives of CUT are to organize, represent, and lead the struggle of workers located in cities and in the countryside, in public and private sectors, active and inactive, for better life and working conditions and for a just and democratic society. Strengthening democracy, development with equitable distribution of income and labor valori-zation are strategic goals of CUT in defending democratization of social and work relations. The struggle for universal rights, a historical fl ag of CUT, is daily reaffi rmed with the active participa-tion of the Central in the construction of public and affi rmative policies in several sectors and segments of society, together with government and social movements, especially women, youth, people with physical disabilities, health, the elderly, the fi ght against racial discrimination, among others. Through its participation in councils, negotiation tables and public forums, CUT has made important contributions in these areas.

Confederations and unions should pay attention so that the development process of networ-ks respects the guidelines defended by CUT. The participation of women in committees, for example, falls far short of the desired number. In the majority of networks already formed, the participation of women is practically non-existent. To improve this situation it is suggested that the committees create and apply policies of participation that guarantee inclusion based on gender, race, and youth.

ThyssenKrupp Network meeting Celebration of the 10th anniversary of the South-American network at BASF

37DEVELOPMENT OF HUMAN TALENT

Seminars, courses, and workshops

Investing in workers training, outside the logic of human resources of multinational companies, can promote the value of unions’ experiences and the introduction of new tools to improve their management. Solidarity is one of the basic principles to train people involved in the network pro-cess and enables the change from a local to a national, regional, and global perspective.

The professional development of workers involved in the creation and organization of union net-works ought to be a constant concern. During the years of CUTMulti project, a series of workshops about planning were promoted. Other seminars that were part of the training program focused on topics such as negotiation, assessment, OCDE Guidelines, Global Compact of the United Nations, norms of the International Labor Organization, social responsibility, monitoring, ISO 26000, and planning based on future scenarios, among others. It is important that the organizers of networ-ks, be they unions or confederations, know that to raise the quality of debate and strengthen union organizations, it is necessary to invest in training. Multinationals are always elaborating strategies based on growth. The union movement cannot be left behind. It is necessary to create strategies to guarantee that the development of these compa-nies will not be sustained at the cost of anti-union practices and disrespect for labor laws. In this


CUTMulti presentation in Bogotá, Colombia4th CUTMulti’s National Forum of Networks

38


case, the building of union capacities is fundamental to ensure that negotiations with companies will be more equal.

Exchange of experiences

The experience of CUTMulti has shown over the years that sharing information and practical ex-periences can be extremely positive for the development of union networks. Many networks in early stages often invite members of more established and experienced networks to contribute to the formation of the new committee.

The project CUT - FNV promoted during its years of operation a number of forums so that the net-works of all sectors could share information and results. Some sectors also decided to invest in the exchange of experiences, such as the CNQ - National Confederation of the Chemical Sector, the CONTRACS - National Confederation of Workers in Commerce and Services and the CONTRAF - National Confederation of Workers of the Financial Sector. These confederations promote regular unifi ed meetings with all networks that they support.

CONSOLIDATION OF THE NETWORKS

41

The consolidation is related to the concept of development and continuous innovation aiming to improve the performance of the network for the benefi t of workers. However, it should be noted that there is no fi xed format because the process and struggle are permanent.

ACTION PLAN APPLICATION AND CONSTANT EVALUATION

To promote continuous evaluation is fundamental for the consolidation of networks. This tool allows the development of a continuous improvement process. It is necessary to be clear about the main objectives of the committee in order to evaluate whether the activities to achieve them are effective. In order to produce positive results, the organizers of the network must be capable to answer a series of questions, for example:

What did we do right? Where did we go wrong? What impact did our actions have on the problem? What was not possible to achieve? Why not? What new actions should we promote in order to attain our objectives?

After answering to each of the above questions, the network can then validate its practices or, in case they were assessed as negative, outline new strategies of struggle.

PERMANENT COMMUNICATION

It might seem redundant to talk about communication again, but the fact is that often committees do not work for not using this essential tool. To invest in communication is not only to focus on the production of informative newsletters for the base. The exchange of information among mem-bers of the union network is one of the main requirements for the “survival” of the committee.

The total involvement in activities of the network requires of its participants a huge effort at com-munication. For the committees to be able to function effectively, it is necessary that their mem-bers trade information constantly. Some details should never be forgotten:

To answer emails; To keep telephone contact with other participants;


42


To send information about your plant, about negotiations, or whichever news is of interest to the group;

To use the internet as a tool to search and exchange information (as already mentioned in the last chapter, the “Union Connection” can offer training to those not familiar with these new technologies);

To create a web page for your network – many committees have already created their own site on the internet, with up to date information about their activities.

RECOGNITION OF THE UNION NETWORK

Obtaining recognition from the company as much as from workers is one of the greatest cha-llenges and goals of a union network. The path to reach this recognition is not typically easy, but according to the experience of some committees it should begin with the validation by the rank and fi le workers. Prioritizing the construction of the network in workers’ assemblies could give a good idea about the workers’ position regarding the initiative. The second step is to seek recognition from the company. This attempt could begin by sending an offi cial letter to management. Besides presenting the objectives of the network, the document might even propose the opening of a new channel of negotiation. Most recognition processes occur after much insistence from committees. Support and solidarity from headquarters union could also help on pressuring management in its home country.

Endesa Network meeting Wal Mart Network meeting

43

Many networks continue their activities even without recognition of the company. Many multina-tionals have an extremely conservative attitude and do not accept new forms of organization. In these cases, networks have to persist, but without neglecting to act independently.

CONSOLIDATION OF SOCIAL DIALOGUE

According to the ILO - International Labor Organization, Social Dialogue (SD) plays a key role in promoting equal opportunities for men and women to obtain decent and productive work in con-ditions of freedom, equality and dignity. Social dialogue, according to the ILO, includes all types of negotiation and consultation, including the exchange of information between representatives of governments, employers and workers on issues of common interest relating to economic and social policies.

The concept of social dialogue might vary according to country or region. For example, the Euro-pean social model promotes the idea that workers must have a voice in decisions that might affect their lives at work. For that reason, there is a number of tools that enable such participation as the right to collective bargaining and co-determination (co-management) as well as the right to infor-mation, training and consultation. Thus, SD is the application of citizenship at the workplace. At the same time, SD allows workers and employers to have mutual commitment to company goals and results to be achieved, also defi ned together.

Its main goal is to encourage democratic participation at the workplace and its operation is one way to address and solve problems of labor relations, balancing the power of the actors involved. Therefore, two key prerequisites for dialogue are: 1) recognition of freedom to organize unions, starting at the workplace, 2) transparency of company information (even if connected to a confi -dentiality agreement, if necessary).

Some of the union networks operating in Brazil have already initiated the process of Social Dialo-gue with multinational companies, especially those of European origin. A typical case of success in realizing Social Dialogue is the experience of the German chemical company BASF. The union network, that completed 10 years in 2009 and has representation in various countries of South America, has already held more than fi fteen sessions of Social Dialogue with the company. Ac-cording to the organizers of the committee, the acceptance of the company was not easy and the infl uence of the headquarters union on management in Germany helped. After years of negotia-


44


tions, many problems in both national and regional spheres were resolved and direct benefi ts are already felt by company’s workers in South America. For the networks that still have not initiated the process of dialogue with the company, but desire to reach such a level of negotiation, some hints are crucial:

Make adequate preparations for the dialogue (who participates, how, where, etc.). Clearly defi ne the content of the dialogue: Which topics and issues could be discussed? To which there are other spaces of negotiation?

Defi ne the scope of the dialogue: what are the priorities to be addressed in the dialogue process? Defi ne what actors participate in the dialogue and who to rely for support and technical and political collaboration.

Keep minutes of the dialogues and select people to be responsible to monitor each item;

It is worth to note that dialogue is an important tool, but often does not exempt the use of other resources such as strike (sometimes even as a way to open the dialogue) and more general union action.

NETWORK’S FINANCIAL SUPPORT

Financial sustainability is one of the items that characterize the consolidation of a union network. During the years when CUTMulti was in effect, the project guaranteed part of the fi nancial and human resources for networks that participated in the initiative. With the end of this project, committees must assure that the networks’ policies are part of both local unions and confedera-tions’ strategy, so they can invest their resources.

To achieve fi nancial autonomy, it is necessary that networks’ organizers evaluate available resour-ces, possible expenses, rendering of accounts, and other details to guarantee the functioning of the committee. Attracting resources for the network activities through other partners, such as international federations for example, could also be a solution. With organization and planning, networks would be capable of making an appropriate use of resources.

Many networks, principally those that already have advanced social dialogue, make use of com-pany resources to promote their activities. A clear example of this practice is the case of the union network in the German chemical company Bayer. After achieving an organization at the work-

45

place, with the creation of factory commissions in Brazilian plants, the network even managed to get the company to create a “Cost Center” for each commission. Despite being supervised by the multinational, this fund is administered by workers themselves and usually is used to fi nance the union network’s activities.

DIFFICULTIES

Confederations and unions ought to have in mind that the simple idea of forming a union network is not a guarantee of success. During the process of development and consolidation of the com-mittee a series of diffi culties could hinder the initiative.

A list of most foreseeable problems include: divergent policies amongst members of the commit-tee; lack of recognition from company and workers themselves; confusion of roles between the network and the union; lack of resources to fi nance committee’s activities; lack of commitment of those involved; and focus only on complaints, closing doors to social dialogue.

At the international level is important to consider that there is not always a positive response from all trade unions in countries where the multinational operates. The principle of solidarity not always permeates the whole process and is often replaced by the logic of survival.

To reach success in the undertaking, it is necessary for the organizers to be aware of potential pro-blems and, mainly, to have the political will to make it work. The activities should be put into prac-tice in a coordinated way and with a focus on the common objective, which is to improve working conditions in multinational companies. Our experience suggests that the steps in this guide might indicate a path of success, but the network process has to be faced as a serious commitment.


46


INTERNATIONAL RELATIONS OF THE NETWORKS

49

INTERNATIONAL NETWORK OF CONTACTS

Incorporating international relations into the activities of a union network is an indication of the process maturity. Despite the barriers of language, the union movement needs to organize itself to increase its bargaining power with multinationals. Contact and exchange of informa-tion among employees of the same company in different regions of the world are vital for the committees.

Often the lack of knowledge allows these companies to violate the universally recognized funda-mental rights at work and ignore international agreements they have signed. It is not rare to see multinationals with different behaviors in their plants throughout the world. In many cases, the treatment offered to workers in home country is greatly superior to that in other regions, especia-lly in developing countries. International communication by networks can help to minimize these variations.

Contacts with International Confederations and Federations

Most of international confederations and federations or GUF’s – Global Union Federations – as they are known, already incorporate network policies. Many of these lead diverse processes of forming union committees on a regional scale and even worldwide. Unions and confederations should ask for technical and policy aid to benefi t from the experience in networks’ development of organizations such as ICEM – The international Federation of Chemical, Energy, Mining, and Other Industries; IMF – the International Federation of Workers in the Metal Industry, IUF – the International Union of Food Workers, and UNI - the International Union Network.

Headquarters Country

Constructing an exchange relationship with headquarters is fundamental to strengthen the net-work. Contacts with unions in the home country of the company could help the committee to better understand its behavior. Furthermore, unionists at headquarters’ country could have a decisive role for the recognition of the network since normally they have more infl uence with company management. GUFs could facilitate this type of contact, especially when cultural and language differences exist.

INTERNATIONAL RELATIONS OF THE NETWORKS

50


The responsibility of headquarters union in the construction of a worldwide network is an issue contended by many. Many global committees were created after the initiative in the home coun-try. This leadership can be noted, for example, in the union network of the Brazilian multinational Vale. Concerned about company actions outside of Brazil, committee members have already im-plemented actions of solidarity with mine workers in Australia and were the hosts and organizers of the fi rst international meeting of the network.

Infl uence and Regional Contacts

The Brazilian experience in the construction of union networks is inspiring other countries of the region to adopt this new form of organization. In 2007, a meeting with more than one hundred union leaders was organized by CUT Colombia to present the experience of the CUTMulti (Action on Multinationals) project. Many union networks of Brazilian origin are already expanding their activities to other countries in Latin America. This infl uence can be felt, for example, in the organi-zation of the fi nancial sector at the regional level. The leadership actions by CONTRAF – National Confederation of Workers in the Financial Sector – promoted the expansion of union networks in banks such as ABN Anro Bank, BBVA, HSBC, Santander, Itaú, Banco do Brasil, and Unibanco throughout South America and in some countries of Central America.

ANNEX

INSTRUMENTS OF ACTION TO FACE

THE MULTINATIONALS

53

OECD GUIDELINES FOR MULTINATIONAL ENTERPRISES The Guidelines for Multinational Enterprises are recommendations for a good corporate behavior for transnational corporations that operate in the 30 member countries of the OECD - Organiza-tion for Economic Cooperation and Development and others which joined the Guidelines, such as Brazil, Argentina and Chile. According to this tool, governments should create in their structu-res a National Contact Point (NCP) which in addition to work constructively with unions, to be a channel to receive complaints against companies that violate recommendations, and to have a supervisory role towards multinationals.

The main purposes of the Guidelines are: to ensure that operations of transnational corporations are in harmony with government policies of the country where they operate; to strengthen con-fi dence between companies and local society; to improve foreign investment conditions; and to contribute to these enterprises’ sustainable development. The Guidelines recommendations are very broad and mainly consider the following issues:

Dissemination of information (economics, fi nancial, activities, structures, etc.). Employment and industrial relations; Environment; Combating Bribery; Consumer Interests; Science and Technology; Competition; Taxation.

Although the standards contained in the Guidelines are not mandatory from a le-gal perspective, it is extremely important that union networks be aware of its con-tent. As rules endorsed by member go-vernments, they can easily be used as an instrument of pressure and even support complaints in the NCP’s.

ANNEX: INSTRUMENTS OF ACTION TO FACE THE MULTINATIONALS

Meeting with the National Contact Point in Brasília in order to delivery complaints against the companies ABN Amro Bank and C&A

54


INTERNATIONAL FRAMEWORK AGREEMENTS Present in many regions of the world, often through mergers and acquisitions, multinationals obligate themselves to standardize the corporate policies of their different plants with the establis-hment of conduct codes. However, these codes cannot be compared to international framework agreements, as they are unilateral and do not have the participation of workers and unions. International framework agreements have as their main objective the assurance of international labor standards in all units of a same multinational company. In most cases the agreements are negotiated between companies and global unions, known as GUF’s - Global Union Federations, and allow the signatories a joint development of the agreement’s content and ways to monitor.

Although there are variations in the agreements contents, they are all based on ILO’s core labor standards and seek to ensure decent wages, with working conditions that value workers’ health and safety and the environment. Many global unions already have their own model of internatio-nal framework agreement, such as IMF - International Metalworkers’ Federation.

In many cases companies sign such an agreement only to promote a favorable public image. As there are no legal mechanisms to ensure agreements compliance in an international level, moni-toring is almost always a hard work to be done by the union networks and global unions. In any case, it is important that networks see international frameworks agreements as one more space for negotiation.

The list with more than 80 international framework agreements signed can be found in the Global Unions website: http://www.global-unions.org.

OTHER INSTRUMENTS In addition to the OECD Guidelines and the International Framework Agreements there are other tools that could help union networks in monitoring companies. One is the Global Compact, a co-venant elaborated by the UN - United Nations in 2000, aiming to mobilize international business community to promote fundamental values in the areas of labor, anticorruption, human rights and environment. More than 5,200 companies from 130 countries, as well as trade unions and nongovernmental organizations participate in the initiative. Global Compact is not a legal regu-

55

ANNEX: INSTRUMENTS OF ACTION TO FACE THE MULTINATIONALS

latory tool, but a voluntary initiative for the dissemination of sustainable growth and citizenship. More information about the tool can be found at the link: www.unglobalcompact.org.

Another tool that might be of great benefi t to networks is the ISO 26000. The norm that esta-blishes an international standard of social responsibility is a collective construction that involves consumers, businesses, workers, governments, NGOs and standardization bodies. Its purpose is to provide social responsibility guidelines and to small, medium and large enterprises, governments, civil society organizations, etc., to incorporate them into their management. The publication of the standard is scheduled for November of 2009.

Networks can and should promote the use of these tools and require companies to follow their recommendations.

57

A WORK UNDER CONSTRUCTION

This is how we intend to conclude this edition of the fi rst “Guide to the Construction of Union Networks within Multinational Enterprises.”

We have been working on this material for nearly a year, together with several partners of the Networks, the Sector Confederations, the Secretariat of the CUT, partners such as FES - Friedrich Ebert Foundation, the IOS - Social Observatory Institute and the Solidarity Center of AFL-CIO. We exchanged ideas with the North American union USW - United Steelworkers, the Spanish national confederation CCOO - Comissiones Obreras, colleagues of older networks such as Volkswagen and Daimler that have participated in workshops addressing their experience, in addition to the project team and the FNV consultancy.

We thank everyone for their valuable collaboration and partnership.

But we must repeat, this is a work under construction, and we hope that in the near future new enlarged and revised editions can be released.

We hope to contribute to spread this new form of union organization in the various branches of activities, offering them a practical advance in the international work.

We also would like to thank the understanding and support of the Dutch union federation FNV, which through its strategic partnership with CUT allowed us to perform an international action in-volving union bases. We hope we have pointed a path that can be widely used by GUF’s to solidify and enhance their international action putting Union Networks within Multinational Companies on their agenda. We hope that future IFA’s (International Framework Agreements) will be prepared taking into account the need to build Union Networks as their base of support and monitoring.

We fi nish this phase of CUT-FNV project with about thirty Union Networks organized within Mul-tinationals, which represents one third of what we have predicted three years ago. Some are

POSTFACE

58


consolidated in their organization and with a positive social dialogue with companies, bringing tangible benefi ts to their workers. Others are in an intermediate stage and some are in the begin-ning of their construction, according to the project indicators.

What are the main obstacles to the construction of networks?

No doubt it is the current (old) Brazilian trade union structure. Its strong connection with the State puts union leaders out of the path of union solidarity, key factor to the union movement’s existence.

Thus we must congratulate union leaders who have courageously embraced this idea and we will continue to support their struggle to change the current union structure.

We believe we have collaborated with a real international inclusion of Brazilian unionists involved in this project. When they decided to unite and organize trade union networks within multination-als, they have contributed to strengthen this idea in their international representation offi ces.

With the launching of this guide we are confi dent that, sooner than we expected, the one hundred networks proposed by the Confederations will be exceeded.

We have seen the engagement of national confederations, federations, unions and workers that are seeing in their international solidarity organization a response to deal with capitalist globalization.

The networks that we have been able to organize are an effective tool to change the behavior of enterprises regarding their relations with workers and their representatives.

With the rising of networks, several companies had to reorganize themselves nationally and re-gionally in order to deal with this new form of union organization.

We cannot fail to mention that the academic community has also shown increasing interest in the subject and has helped us to theorize about it.

Thus when we talk about new editions, improved and expanded, we wish for the crowning of our purpose, and the certainty that we are moving towards an international trade union organization

59

that goes by the bases, the shop fl oor, and which will, in the future, with thousands of Union Net-works within Multinationals in all continents, give modernity and reality to the premise “Workers of the world, unite.”

This guide is an important tool. Let’s make good use of it, not letting it fall under the control of adventurers or employers.

See you in the next edition.

José Drummond Coordinator of the Project CUTMulti “Action on Multinationals”

POSTFACE

60

World Investment Report 2008 – Transnational Corporations and the Infrastructure Challenge – UNCTAD– Nações Unidas – New york and Geneva. www.unctad.org

O’BRIEN, Robert e WILLIAMS, Marc - Governing the Global Political Economy: Evolution and Dymamics – 2004.

JAKOBSEN, Kjéld - O monitoramento das empresas Multinacionais: Uma visão do movimento sindical. São Paulo, FES, 2006.

PEREIRA, Bresser – Um estudo sobre as empresas multinacionais no Brasil - Revista de Administração de Empresas,1976.

Diálogo Social: Para ampliar a cultura democrática no Brasil – GT Diálogo Social, http://library.fes.de/pdf-fi les/bueros/brasilien/06279.pdf, 2009.

Instituto Observatório Social – www.observatoriosocial.org.br: 1. Os investimentos das multinacionais no Brasil:Panorama histórico, tendências recentes e o desafi o do dsenvolvimento com promoção de direitos - http://www.observatoriosocial.org.br/download/ied-br.pdf, 2005. 2. Responsabilidade Social Empresarial: Perspectivas para a atuação sindical – http://www.observatoriosocial.org.br/download/rse.pdf, 2004.

Banco Central do Brasil – Capitais Estrangeiros - http://www.bcb.gov.br/?REGCAPESTR.

Una guía sindical sobre la mundialización - Global Unions – Diciembre de 2001.

Annual Report on the OECD Guidelines for Multinational Enterprises 2008 – Employment and Industrial Relations– OECD, 2009.

DRUMMOND, José - Redes Sindicais em Empresas Multinacionais como resposta dos sindicatos à globali-zação econômica. Artigo produzido para a Conferencia anual da GLU, CUT, Campinas, 2008 in www.global-labour-university.org/fi leadmin/glu_conference_unicamp_2008/ submitted_papers/trade_union_networks.pdf

CASTELLS, Manuel. A sociedade em Rede, 3 vols, Ed. Paz e Terra, SP, 2006.

Marx, Karl. O Manifesto Comunista, 150 anos depois. (Coutinho, Carlos Nelson, org.) Contraponto Editora, SP, 1997.

AUGUSTO COSTA, Hermes. Os Conselhos de Fábrica Europeus: na rota da fábrica global? FES, Portugal, 1996.

PRZEWORSKI, Adam. Capitalismo e Social Democracia. Cia das Letras. SP, 1989.

WebsitesCUT – www.cut.org.brCSI – www.ituc-csi.orgCSA – www.csa-csi.orgGlobal Unions – www.global-unions.orgInstituto Observatório Social – www.os.org.br

BIBLIOGRAPHY

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GUIDE TO THE CONSTRUCTION OF UNION NETWORKS WITHINRealization: MULTINATIONAL … · · 2014-12-17to the construction of union networks within multinational companies”. ... Bayer