Billiton in for lessons in globalisation October 05 2001 at 07:26AM The usual outcries against trade unions began with the announcement yesterday by the National Union of Metalworkers of SA (Numsa) of a solidarity strike against the Billiton metals and minerals conglomerate.
What, it is asked, has a dispute in Maputo to do with Richards Bay or Witbank? The dispute in Mozambique is primarily about wages and conditions, and these issues were settled in South Africa in August. Then, Numsa and the employers, including Billiton, agreed on an average 9 percent pay rise. But this solidarity strike contains all the ingredients necessary for a crash course in how globalisation is developing, both for business and unions. Billiton, as this column has noted in the past, is a classic case of a nationally based company in a developing country transforming itself into a multinational conglomerate of the industrialised world. It still amazes many local trade unionists that there was no massive outcry at the manner in which Gencor departed these shores to become Billiton. Especially since Gencor started corporate life as an Afrikaner affirmative action project. In a reflection of the changed political circumstances of the time, Anglo American, the country's largest corporation, handed over General Mining, at preferential rates, to the Afrikaner establishment. That was when the world economy was starting its long, post-war boom. Anglo did the same in the changed political circumstances of more recent times and handed over Johnnic to the anti-racist, primarily black establishment. But that came at a time when the world had already begun what the authoritative Economist magazine referred to in August this year as "the first global recession of the 21st century". The boom years made Gencor wealthy, but apartheid kept much of that wealth locked within national boundaries. Then came the liberation from institutionalised racism - and the liberalisation of the local economy. With the economy under the nominal stewardship of two beneficiaries of the previous system - finance minister Derek Keys and reserve bank governor Chris Stals - permission was given for $2,1 billion of apartheid era profit to flow to Europe to buy Billiton. Billiton has recently also made its move on Australia's BHP. These moves have transformed various South African Gencor executives into British-based multinational executives. The most notorious case, from a union viewpoint, being Derek Keys himself. He left his cabinet post to become chairman of Billiton But Marc Gonsalves, once Gencor's main media contact in Johannesburg, has also undergone a similar transformation. He is now vice-president of investor relations and communication at BHP Billiton in London. When this column once referred to Billiton as a South African company, Gonsalves was quick to respond, via e-mail, that it was not. It was a British-based multinational. Trade unions, lacking the material resources of the large corporations, have generally been slow to catch up on this game of global transformation. But, largely courtesy of internet communications, they are catching up fast. There is also a growing awareness that in a globalised environment, international rules and regulations should apply. Especially since many of them already exist, although many trade unionists as well as the public are often unaware of them. For example, how many people are aware that the United Nations has a Global Compact Initiative by which multinational companies commit themselves to promote trade union rights and other human rights? As recently as December last year, Numsa, quoting its legal advisers, claimed that the conventions of the International Labour Organisation (ILO) were idealistic. To try to apply them to South Africa would make the union, "the laughing stock of the bosses and the legal community". Yesterday, Numsa invoked those very conventions as news came through that 700 of the strikers at the Mozal plant in Maputo had been sacked. The union pointed out that the Mozambican government had ratified the ILO conventions, which include convention 98 on the inalienable right to strike. "We have to strive for global laws and global equity," said Dumisa Ntuli, the spokesperson for Numsa. "These companies are simply doing as they please, without even consulting governments." That the South African government has also ratified, and is bound by, the ILO conventions is also acknowledged. In fact, the Labour Relations Act and the constitution make it obligatory for South African labour law to be "in compliance with the public international law obligations" of the country. But there is a particular edge to the Numsa campaign over Mozal, especially at the Hillside smelter at Richards Bay. There, Numsa shop stewards reported yesterday that management was recruiting white artisans from the traditionally segregationist unions to "scab" on Mozal. "Capital has never respected borders. Now we are starting to do the same," noted one angry Hillside worker. _______________________________________________ Leninist-International mailing list [EMAIL PROTECTED] To change your options or unsubscribe go to: http://lists.econ.utah.edu/mailman/listinfo/leninist-international
