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MEXICO: CONGELADORA DEL RIO SIGNS AGREEMENT
Union awaits implementation before declaring victory
posted November 15, 1999

In this alert:
Statement from UE
Statement from the FAT
Congeladora del Rio background
Season of Conscience day of action December 9
Gap campaign day of action November 30
Sweatshop activist organizing packet

<><><><><>
STATEMENT FROM UE
(United Electrical, Radio and Machine Workers of America)

Dear union brothers and sisters, activists and other friends:

We appreciate the large number of letters which were sent to Arthur Price,
president of Global Trading regarding the FAT's organizing campaign at
Congeladora del Rio. Somewhat surprisingly, Price has responded personally
with lengthy emails to many of those who have written, almost always with
vicious attacks and accusations about the UE and FAT.

In the diatribes Price has directed against the UE, he reveals a total lack
of comprehension about what international solidarity is about. Our
relationship with the FAT is based on mutual respect and an understanding
that working people in the U.S. and Mexico have much in common and that it
is important to support each others' efforts. It is hardly necessary to say
that the UE does not control the FAT, write their statements or tell them
what to do. Although the UE has no direct interest in the FAT's campaign at
Congeladora del Rio, we strongly support the efforts of the workers there
to organize a democratic union. At all times, we have found the
representatives of the FAT to be committed to the task of organizing such
unions against tremendous odds and scrupulously honest in a system where
the vast majority of unions are undemocratic and corrupt.

Far from the manipulative conspiracy Price seems to believe we are
perpetrating, the UE simply attempted to encourage a resolution of the
dispute, and when the company failed to reach an agreement, at the FAT's
request we helped to pass on information to people who have expressed
concern for labor rights in Mexico. This is what international solidarity
is about. It has been wonderful to see the response, and Price is obviously
sensitive to the large number of emails he has received. In getting the
word out, we greatly appreciate the work of other organizations and their
members, especially Campaign for Labor Rights, CISCAP and the Mexico
Solidarity Network. And many thanks to all of you who have written Arthur
Price!

Campaign for Labor Rights has assumed the task of providing updated
information about the Congeladora del Rio organizing effort in the future.
Therefore, if you are not already on their list, please send an email to
<[EMAIL PROTECTED]> in order to continue to receive updates.

Thanks again for your demonstration of solidarity!

Robin Alexander
UE Director of International Labor Affairs

<><><><><>
STATEMENT FROM BENEDICTO MARTINEZ
Benedicto Martinez is one of the FAT's three national officers.

[Translation provided by Committee in Solidarity with the Central American
People (CISCAP) <[EMAIL PROTECTED]> and UE]

In the letters which Arthur Price has written in answer to the letters
which have been sent by the many friends of the FAT, he makes clear his
disdain for Mexicans and for the workers of Congeladora, who have generated
his profits. In his arrogance, he resorts to lies and defamation to justify
the firing of over 200 workers, of whom 154 have filed claims to be rehired
which will be heard on November 25, 1999.

Since NAFTA took effect, workers in the three treaty nations have
experienced a steady deterioration in their standard of living. Employers,
on the other hand, and especially transnational businesses such as
Congeladora, have done well under NAFTA.

The impoverishment of workers has required us to seek new forms of
organization and to strengthen ties among workers of the three countries.
The FAT has had a relationship with the UE for over seven years - not only
on labor issues, but also through worker-to-worker exchanges, culture, etc.
Our relationship is one between two labor organizations with a broad sense
of solidarity and with respect for the autonomy of each partner. Together,
we struggle on behalf of workers who are victims of corporations such as
Congeladora and many other multinational firms that benefit by denying the
most elemental rights of their employees.

For 39 years, the FAT has been struggling in Mexico for freedom of
association for workers so that companies will respect the laws of Mexico
and the right of every worker to affiliate with a union that can defend his
or her rights. When Congeladora's workers organized to defend their rights,
the FAT advised them. In accordance with the law, a petition was filed with
the Federal Labor Board, which has jurisdiction over food processing
workers, to demand that Congeladora del Rio sign a contract. (when a
workplace is unorganized, Mexican law does not require an election.) The
Federal board certified that no other union had a contract with Congeladora
and authorized the petition to proceed. Then, through legal maneuvering, a
contract with a different union appeared. It had been signed two months
previously and had been filed with the local Irapuato labor board, which
does not have jurisdiction over this type of workers. This was used by the
Federal board as a reason to table the FAT's petition instead of ordering
an election (the process which is followed if there are two or more
competing unions), which would have demonstrated that the FAT enjoys the
support of the majority of Congeladora workers and that the other union
with the "contract" signed behind the workers' backs lacked support.

The workers of Congeladora are angry because of mistreatment and because,
for a workday of 12 to 14 hours, they receive approximately 40-45 pesos
[$4.50-$5.00]. Congeladora has failed to provide profitsharing as required
by Mexican law or take appropriate safety measures. Mr. Price's writings
reveal that what protective gear was furnished was more in response to his
customers' hygiene requirements than out of concern for his workers. Sores
on arms, necks and abdomens of some workers were due to the lack of
adequate protection against the juices of pineapple and other fruits.

Mr. Price's argument that the parents of his child laborers had provided
letters authorizing their children to work does not excuse Congeladora from
its legal responsibilities. Further, although Price claims that only
children of 14 years and up were employed, the truth is that Congeladora
hired children of 13, as well as persons older than 60.

Since the beginning of the conflict, the workers have remained in a
day-and-night vigil in front of the factory. It is true that some have had
to return to work in order to survive. One must remember that in Mexico
there are no unemployment benefits, and the contributions of solidarity
have been insufficient. Those at work have donated part of their pay to
support their companero/as at the vigil and to publicize the struggle. We
can guarantee that in its entire history the FAT has never purchased the
affiliation of workers, contrary to the company's allegations. Our economic
support for these strikers has been because they are companeros who deserve
support from us and from all people.

Price claims that the FAT has resorted to violence by thugs. If this were
true, several of the strike leaders would be in jail, accused of serious
crimes. This argument is advanced because it is common in Mexico for
employers and official unions to hire thugs when workers seek to organize
independently, while the authorities commonly look the other way.

We have made every possible effort to resolve the conflict. For example, we
have made proposals such as accepting as our own the one-year contract
signed behind the workers' backs - not because it was a good contract, but
as a possible resolution. We also proposed an election so that the workers
could indicate who should represent them, based on an agreement that both
sides would respect the outcome, but this proposal was not accepted either.

Last week, there was a meeting between the company, representatives of the
state government and Antonio Velazquez of the FAT who was accompanied by a
commission of the workers. The result was the signing of an agreement that
is more favorable to the company than to the workers, but our companeros
chose to place more trust in the owners' word than in the written document.

Before the workers' commission and the authorities, management committed
itself to begin rehiring the fired workers starting Monday, November 15.
The state authorities agreed to monitor fulfillment of this oral agreement.
If it is not fulfilled, it will be yet another betrayal of the workers'
good faith. We hope that Arthur Price and Global Trading will make sure
that this promise is fulfilled. Although Price claims in his letters that
Global Trading is not responsible, he is president of Global Trading, as
well as the owner of Congeladora, which at the same time produces for
Global Trading.

A separate matter that requires clarification is Arthur Price's accusation
concerning the credit cooperative that he claims that Antonio Velazquez
managed. In 1992, the Caja Popular Villagrande occupied an office within
the FAT's facilities in Irapuato. The only relationship between this
cooperative and the FAT was the space that they occupied and, later, that
some members of the FAT become members by making deposits. In 1995, the
bank left to rent space elsewhere.

On March 31, 1999, the largest depositors of Caja Popular Villagrande
learned from a financial report that the cooperative was insolvent. With
that discovery, 181 members met to demand their funds, and asked Antonio
Velazquez to advise them. He suggested that the 181 members form a new
savings cooperative to petition the Caja Villagrande organization to
organization, thereby sparing the defrauded members the need to sue the
first cooperative individually. (The total number of persons defrauded by
the bank was 494; the total amount of money they lost is unknown.)

Antonio Velazquez was named by the 181 claimants as president of the
cooperative. In their name, he has lodged a civil complaint against Caja
Villagrande, its president Lic. Veronica Alberto and its general director
Lic. Evelia Freire. The complaint, which is pending, seeks to recover
assets such as vehicles, furniture and other property. A separate criminal
suit, which is about to be filed, alleges fraud in connection with the
5,400,000 pesos which are owed to the 181 cooperative members. The Attorney
General of the state of Guanajuato is aware of this fraud. Arthur Price's
accusations amount to defamation of Antonio Velazquez, and there are
documents in Irapuato to prove it.

With fraternal greetings,

Benedicto Martinez O.
General Secretary, FAT

<><><><><>
CONGELADORA DEL RIO BACKGROUND

Congeladora del Rio, located in Irapuato, Guanajuato, Mexico, specializes
in freezing and preserving tropical fruits. Approximately 250-300 women and
children - some as young as 11 years - are employed, usually on a seasonal
basis, as packers in the plant, working long shifts and making as little as
$3 per day.

Organizing efforts at Congeladora began in May. On July 15, 200 workers
went on strike to demand a fair contract. Starting September 17, strikers
set up a picket line outside the factory. These workers were then fired. At
the company's request, police sent in armed guards for intimidation. The
company also bused in workers, mostly teenage girls, from another town to
cross the picket line.

In late September/early October, the state of Guanajuato intervened and set
up a meeting between the Frente Autentico de Trabajadores (FAT - Authentic
Workers Front) affiliate and the company. An agreement was reached which
was relatively satisfactory to the workers. It mandated de facto
recognition of a commission of workers and FAT advisors, with whom the
company would begin to meet, and reinstatement of the fired workers. But
then Global Trading, the U.S. parent company of Congeladora, refused to
sign the agreement, brought in new strikebreakers and presented a different
document, which had nothing to do with the one brokered by the state.

Now, the state of Guanajuato has intervened once more and has brokered a
new written agreement, plus a somewhat better verbal agreement. Workers are
expecting to learn during the week of November 15 whether the company
intends to comply with these new agreements.

<><><><><>
SEASON OF CONSCIENCE DAY OF ACTION
Thursday, December 9

Now in its third year, the Holiday Season of Conscience day of action is
planned for December 9 this year. The events this year are part of the
People's Right To Know campaign, which has called upon Wal-Mart to disclose
the names and locations of the factories where its goods are produced. The
National Labor Committee and the People of Faith Network invite local
groups to organize demonstrations, vigils and other activities. For more
information, contact (212) 242-3002 or <[EMAIL PROTECTED]> or visit the
National Labor Committee web site at <www.nlcnet.org>.

<><><><><>
GAP CAMPAIGN DAY OF ACTION
Tuesday, November 30

The next Gap campaign day of action will be in conjunction with the World
Trade Organization (WTO) protest in Seattle on November 30. Many activists
will be traveling to Seattle, where there will be a variety of activities
protesting corporate rule - including a demonstration at an Old Navy store.
(Gap owns Old Navy and Banana Republic, as well as Gap outlets.) There also
may be Gap protests associated with some of the other WTO events planned
around the country for November 30. The Gap campaign arose in response to
revelations of outrageous sweatshop practices by Gap and other companies
producing clothing on the U.S. territory of Saipan. For more information on
the Gap campaign and the November 30 protest, see the Global Exchange web
site: <www.globalexchange.org> or contact Global Exchange at (415) 255-7296
or <[EMAIL PROTECTED]>.

<><><><><>
SWEATSHOP ACTIVIST ORGANIZING PACKET

The third installment of the 1999 Sweatshop Activist Organizing Packet has
been completed. Everyone who ordered the packet earlier automatically
receives the updates. Anyone ordering now receives the third installment,
plus whatever is still current from installments 1 and 2. Order by email
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