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Adding gloss to Colgate Palmolive's packaging

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Is this the winterof our discontent?In addition <strong>to</strong> someextremely cold weather,ongoing global economicuncertainty and <strong>to</strong>ugh localtrading conditions, we’vejust come through a spateof industrial action that hasme wondering if labour andbusiness read or hear thesame news.Ifully support the collectivebargaining process, the role thatlabour plays in ensuring equitableworking conditions for theirmembers and the opportunity <strong>to</strong> strikeas a democratic right. But at the sametime I have <strong>to</strong> ask if the latest roundsof work s<strong>to</strong>ppages in almost everyindustrial sec<strong>to</strong>r are what South Africareally needs.The world is in financial meltdown; theUnited States has come <strong>to</strong> the brinkof defaulting on its debt, Greece isin a major financial crisis, the UnitedKingdom has introduced stringentausterity measures and economiesaround the globe are losing jobs.In South Africa the PurchasingManagers’ Index – a reliable gaugeof the state of manufacturing – hasdropped <strong>to</strong> its lowest point in two years,and the Reserve Bank’s most recentbulletin indicates that nominal unitlabour costs have tripled since 2000.Unemployment now stands at 25.7%– the highest in seven years. Yet, inthe face of these unpleasant realities,we’ve just experienced some of themost ill-disciplined industrial actions everon Astrapak property. I’m extremelydisappointed at this.Astrapak has gone through massivechanges over the past two years or so.But every action we’ve taken has beenwith the goal of making our operationsglobally competitive, through newtechnology, world-class manufacturingprocesses, improved quality andcutting-edge innovation. These are theattributes that will lead <strong>to</strong> not only jobsecurity for our existing workforce butjob creation in the long term. Everysingle staff member has a responsibility<strong>to</strong> play his or her part – and thatapplies equally <strong>to</strong> the shop floor andhead office.Chief Executive Officer Marco Baglione addressed staff at the recent regional conferences held in CapeTown, Durban and Johannesburg.We’ve gone <strong>to</strong> great lengths <strong>to</strong> improvethe communication channels withinthe Group. My regular emailer goes<strong>to</strong> every person who has a companyemail address, Unpacked is distributed<strong>to</strong> every employee, and staff wereencouraged <strong>to</strong> attend the regionalconferences held recently in the maincentres. On <strong>to</strong>p of this, every operationhas its own internal communicationchannels. In short, there are lots of ways<strong>to</strong> make your voice heard.If we are <strong>to</strong> grow as a Group and acountry, we all need <strong>to</strong> see the biggerlong-term picture. Sure, double-digitwage increases may be a vic<strong>to</strong>ry in theshort term, but if these mean job lossesor fac<strong>to</strong>ry shutdowns because we’reglobally uncompetitive, then what havewe achieved?The business environment is extremely<strong>to</strong>ugh: consumers are cutting back,electricity prices have increased morethan 20% per annum for the past threeyears, and we’re under threat from anavalanche of imports. This is not the time<strong>to</strong> play hard ball on the labour front. Weneed <strong>to</strong> pull <strong>to</strong>gether, understand whatthe long-term objectives are and throwour full weight and enthusiasm behindmaking Astrapak – and South Africa –successful. This is the time <strong>to</strong> lead andbuild, not break down and destroy.Join me in leading. I’m excited atmaking Astrapak and every staffmember great.RegardsASTRAPAK NEWS3

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