EUROPE Global recession needs international workers' solidarity - not protectionism WILL BROWN The world economy is a structure under extreme stress. The intense pressures generated by slumping profits, collapsing demand, resource shortages caused by a mixture of ecological disaster and financial speculation, rocketing unemployment and bankruptcy, see politicians and business leaders taking rapid and radical action. They face acute contradictions. Nicholas Sarkozy, as French President, would traditionally be regarded as the lynch pin of the EU. But faced with a general strike he calls for French carmakers to repatriate factories from Eastern European countries that have just been admitted to the EU. China was recently celebrated in Africa as a source of inward investment free of imperial intention. Faced by collapsing demand for its exports, it is now castigated for suddenly abandoning copper activities in Zambia. And in the UK, a welcome eruption of wildcat strikes by UK construction workers highlights tensions over rising unemployment and the way giant corporations have used the free movement of labour within the EU and legislation such as the Posted Workers Directive for their own ends. Neo-liberal agenda The neo-liberal agenda of global markets and the free flow of capital always contained a paradox. It was pushed through by the right wing Thatcher/ Reagan axis to force a path away from the 1970's deadlock (as far as capitalists were concerned) of the post WW2 settlement. Full employment, strong unions and the welfare state had existed in an international financial structure presided over by a hegemonic USA. This regulated the 'free' world's economies through the institutions of the World Bank, GATT and the IMF set up as a result of the Bretton Woods conference in July 1944. Freeing the movement of capital, Thatcher/Reagan undermined the strength of labour movements in the industrialised west. Global trans-national capital, which combined computer technology with ruthlessly disciplined very low paid workforces, flooded western markets with cheap consumer durables. A reserve army of a billion East Asian peasants was pushed into the global labour market. The Right's fundamental organising touchstone was nationalism. Yet they became the new internationalists. The annual gathering at Davos, the boardrooms of the global trans-national corporations, the hedge funds operated from tax havens, became the embryo of a new global ruling class. Why no effective action? Meanwhile, the international working class, under the slogan 'Workers of all lands unite!', has been unable to take advantage of the global integration of production. Across most major industrial sectors production is now dominated by a handful of giant companies: Ford Volkswagen, Bayer, Wal-Mart, Exxon, BP, Toyota, Honda, Sony, Arcelor Mittal, Tata, Rio Tinto Zinc, BHP, Nestle, Pfizer, Coca Cola, La Fargue, Nokia. Each employs hundreds of thousands in factories in dozens of countries, spanning 3 or 4 continents. In not one of these companies have workers been able to take effective collective action across national boundaries. Trade unions have remained resolutely national organisations despite the trans-national reach of the employers. This has ensured the workers movement has remained weak following the Thatcher/Reagan assault. Social dumping The Lindsey refinery dispute raised big issues for the Left and hit world headlines. It arose from the 1992 single European Market act allowing the free movement of labour throughout the EU. Industrial disputes have arisen through the EU involving the employment of workers from one EU country in another. In particular, the employment of mobile construction workers has been the subject of a number of key European Court of Justice rulings. The ECJ court decisions have clarified EU employment law with rulings that have undermined the collective agreements
33 of trade unions, and freed employers to post' workers from low wage eastern European economies, paying them on low home country rates in the higher rate EU countries to which they are 'posted", a practice that has come to be known as social dumping. The Laval case in 2004 was exemplary. A Latvian construction company, Laval, won a contract to work on a school build in Vaxholm, Sweden. The Swedish construction union opposed Laval's undercutting of Sweden's collectively agreed pay and conditions. They blockaded the site. Laval argued that an agreement on pay and conditions had been made with the Latvian trade unions and sued the Swedish unions for illegally preventing there right to fulfil the contract. The EC] ruled that Laval had the right to sue the Swedish unions. Posted Workers Directive Socialist and Green Euro MEPs argue that the European Court of Justice rulings on EU employment legislation and the Posted Workers Directive amount to 'an encouragement to drive down wages and conditions in the host state'. A group of socialist and Green MEP's are currently campaigning to veto the incoming European Commission unless it improves protection for workers. The group includes Glyn Ford (Labour SW England), Caroline Lucas (Green SE England), Stephen Hughes (Labour NE England), Italian Socialist MEP Luisa Morgantini and Green Germany MEP Elizabeth Schroedter. As Lucas says: "It's vital that we resist the attempts of those on the far right who are using these disputes to stir up racism and xenophobia. Instead of blaming "foreign workers". we should be challenging the rights of multinationals to undercut local pay rates and exploit workers. It's clear that the Posted Workers Directive needs to be revised, so that its original intention, to provide equal treatment for all workers, is upheld." Why have British workers not engaged in more international cooperation? It is not as if we don't travel. The era of globalisation has led to the unprecedented movement of British workers. Tens of thousands of us travel annually to stag weekends in Latvia, hen nights in Prague, techno raves in Majorca (or pre-season training for the cyclists). Thousands follow the big football clubs on their Euro adventures. Annually, hundreds of thousands of young Brits wander off round the world in their gap year. Nearly a million Brits have relocated permanently
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34 to Provence, Brittany, Andalusia and Lombardy. So it's hard to believe the British working class isn't capable of reaching out to our European comrades. It would have been perfectly feasible for an enormous delegation of British trade unionists to have marched in Paris in solidarity during the recent French General Strike. How proud would you have felt to have marched down the Champs Elysées with thousands of postal workers, firefighters, railworkers, airport workers and dockers behind UCW. FBU, UNITE and RMT banners? And the Lindsey Oil refinery International Revolutionary Youth Camp Each year the Fourth International organises a week long camp that brings together hundreds of young revolutionaries, feminists and ecologists from all over the world. It's a unique chance to meet activists, share experiences and discuss ideas. The 2009 camp is being held in Greece where thousands of young rebels fought pitched battles with the police just a few months ago and where the trade unions can bring the country to a standstill. Socialist Resistance is sending a group of its supporters. If you agree with what you've read in the magazine and want a week in the sun discussing how workers - employed by French Oil giant Total - could have leafletted the march calling tor proper social protection and trade union cooperation in the construction industry. To end a grand day out, the TUC should have organised a big knees up on the Paris Left bank and brought over sound systems from Brixton, Easton and Moss Side. With Tony Woodley on the 1's and 2's. Electrique! But leadership, willingness to organise a fight, and lack of an internationalist perspective is precisely what has been lacking from the most trade union leaders in Britain and elsewhere, and this Saturday 25th July to Friday 31st July goes a long way to explain the lack of success in organising co-operation across national boundaries. Protectionism vs international solidarity The ruling class agrees that the threat of protectionism hovers over the world. In May 1929, the USA, desperate in the face of rocketing unemployment, was discussing the SmootHartley Tariff Act in the Senate. A bitter flurry of international retaliation saw world trade collapse by two thirds in 3 cost between £80-£100 with your food included. Send your details to us at PO Box 62732, London SW2 9GQ and we'll get in touch with you. You can also Youth Camp. Name Age Address Phone Email
LITERATURE years. Today, with the neoliberal agenda in tatters, there is little to prevent national governments from pulling up the drawbridge and trying to make 'foreigners' pay the price for the crisis. In this scenario we would all be foreigners relative to one country or another. The result would be disastrous for everyone. Now, more than ever, it's in the interest of all workers to bury their national differences and organise collectively to defend their international class interests. Will Brown is a socialist activist in Bristol to change the world, you should come along too. It will contact us through Facebook - look for IV International
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The People's Charter B ritain is in the grip of an
economic crisis. So is the world. Every time there is a slump the politicians and financiers seem mystified as to how the system has failed. But boom and bust is the way it works. It's not stable. When the economy grows, banks, corporations and speculators, driven only by greed, gamble other people's money in their global casino. When they lose 'confidence' in their profit-making schemes and panic, the bubble bursts and we pay the price. Redundancies throw hundreds of thousands on to the dole. Savings are lost. Homes are repossessed. Pensions lose value. Workers are put on short time. Wages and conditions are cut. Public services are slashed. Government is spending billions of pounds of our money bailing the banks and big business out of their crisis. It's not right and we didn't vote for it. Those Ebillions are our money. And our children's. We want that money better spent. We have launched a People's Charter. It sets out what must be done to get out of this crisis and put the people first, before the interests of bankers and speculators. We need one million signatures to show we mean business. So sign and support the Charter - online, at work, in your community. Together we can get the changes we need. Can we do it? Yes I. A fair economy for a
fairer Britain Take the leading banking, insurance and mortgage industries fully into democratic public ownership run for the benefit of all. Regain control of the Bank of England and keep interest rates low. Tightly regulate the City markets to facilitate lending and to stop speculation and takeovers against the public interest. Ban hedge funds, raids on pension funds, asset-stripping and corporate tax loopholes. Restructure the tax system so big business and the wealthy pay more and ordinary people pay less.
ICTURES: REPORTDIGITAL. CO.UK 2. More and better jobs and private investment must create new jobs paying decent money. In particular in manufacturing, construction and green technology. More jobs mean more spending end the lower rate for young workers. 3. Decent homes for all the housing shortage, and creating jobs. 4. Protect and improve
our public services -no cuts Existing jobs must be protected. Public
protect workers. power to stimulate the economy, increased for all tax revenue and fewer people on benefit. Build full employment. Reduce hours, not pay, to create more jobs. Raise the minimum wage to half national median earnings and Stop the repossessions and keep people in their homes. Offer 'no interest loans. Control rents. We need 3 million new homes. Give local government the power and money to build and renovate affordable quality homes and buy empty ones, ending world. Save public money: Bring energy, transport, water and telecommunications back, and keep the post in public owner-ship.
End corporate profiteering in health,
education, social and other public services. Stop the EU privatisation Directives. 5. Fairness and Justice Free heating and transport for every pensioner. Link state pensions and benefits to average earnings. Protect pension schemes and restore the lost value of private pensions. End child poverty by increasing child benefits and tax credits and providing free nurseries and crèches. Enforce equal pay for women.Endracism and discrimination in all its forms. No scapegoating of migrant workers. Invest in young people and give them a real stake in the future.Provide
youth, community, arts and cultural centres, sports facilities, and clubs for all. Guarantee training, apprenticeships and education with grants for everyone and no fees. Restore union rights to allow them the freedom to fight the crisis and to 6. Build a secure and
sustainable future End the cost of war in blood and money. Bringourtroopshome.Don'twaste Ebillions on a new generation of nuclear weapons. And beyond the current economic disaster, climate change threatens us all. Our future must be based on massive investment for a greener, safer world now. Debt is crushing millions of people, forcing them to move and producing war, famine and misery. Get rid of the debt economy in Britain and cancel the debts of the poor of the planet. A better future for all the people of the The People's Charter a charter for change See and join initial Charter supporters on: www.thepeoplescharter.com