January 7, 2011 - Government of Newfoundland and Labrador

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Protecting the Labour Rights of Newfoundlanders and Labradorians in a Globalized World This past September, retired CAW President Buzz Hargrove and newly appointed director with Ryerson University’s Centre for Labour Management Relations had the following to say about workers’ rights, the recession, concessions, globalization and the attempt by foreign-controlled corporations now operating in Canada to restructure collective agreements and change the culture of labour relations: “Relentless concessionary demands and a general disdain for the collective bargaining process by aggressive employers has unfairly put unions on the defensive,” says Hargrove, who has bargained with some of the biggest multinationals in the world. Canada must reassert “the institution of collective bargaining as a means to positive, peaceful and productive ends. In some cases, the bargaining table has transformed from a space that fosters an exchange of ideas, alleviates conflict and builds relationships to one that simply fuels antagonism and distrust.” 4 Arguably, it is very difficult to trust an employer that has engaged in the kinds of activities that Vale has in this strike. This round of bargaining was not about fending off demands from the union, it was about completely changing the way labour relations is conducted and the role of the union in the workplace – as explained by CEO and President Tito Martins in a July interview with a Brazilian newspaper (and referenced above.) Part of the challenge faced today by unions and their members, says Hargrove, is finding ways to forge new dialogues between workers and employers. Not only does this require all stakeholders within the industrial relations framework (government, employers and union) to “actively defend the principles of free collective bargaining, it must also include recognition of the constitutional rights of workers to unionize – free from intimidation, fear and employer reprisal – which is far from reality in Canada.” Our Federation would add that this is also far from the reality in Newfoundland and Labrador. 4 “Bargaining on Higher Ground”, The Toronto Star, September 6, 2010. (http://www.thestar.com/opinion/editorialcartoon/article/856679--bargaining-on-higher-ground) Newfoundland and Labrador Federation of Labour Page 15
Protecting the Labour Rights of Newfoundlanders and Labradorians in a Globalized World The unprecedented surge in corporate power as a result of globalization, free trade agreements and policies such as deregulation, privatization and free market economics has had an enormously negative impact on working people and trade unions. Many of Canada’s labour and foreign investment laws have failed to protect working people from the downsides of globalization. Labour laws and regimes in many provinces across Canada underwent dramatic transformations in the late 1980s and 1990s as the right to a union and to free collective bargaining were battered by governments rushing to implement neoliberal policies. The basic tenet of labour relations – that unions are part of correcting the huge imbalance in power between workers and their employers – has been undermined by governments who have failed to protect the rights of workers. At the same time, governments have eagerly granted not just investor rights, but the equivalent of human rights to corporations through trade agreements. Globalization is the result of several developments and processes that are generally linked together. These include: The growth and relative importance of foreign direct investment which provides a greater role for multinational enterprises, accompanied by the increasing importance of imports and exports for virtually all countries; The internationalization of financial markets; Deregulation and liberalisation; Privatization of the public sector; And the increased coordinating role of international financial institutions such as the World Bank, and the IMF. Up until the 1970s, international economic activity was mostly in the form of exchange of goods and services between countries – trade being the driving force. Since then, the movement of capital itself has transformed the global economy. Put simply, instead of having a system where products are made in one country and then Newfoundland and Labrador Federation of Labour Page 16
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January 7, 2011 - Government of Newfoundland and Labrador

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