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ILO Turin Centre, Novembe r, 2003 1 The IUF’s Transnational Company Work
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ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

Mar 26, 2015

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Page 1: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 1

The IUF’s Transnational Company Work

Page 2: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 2

Transnational company work

IUF has prioritized two forms of activity in this area:Campaigns or actions against companies that attack basic rightsProactive action and strategies to gain recognition from companies like Coca-Cola for the IUF as an international trade union federation

Page 3: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 3

Recent campaigns and actionsPakistan Sugar MillsBelarus, trade union rightsBAT & BurmaEcuador banana workersPearl ContinentalPepsi, GuatemalaSky Chefs, USACoca Cola, Russia

Page 4: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 4

That is campaign activity…. But what of pro-active IUF Company Strategy

What does it mean?How is it developed within the IUF?

Page 5: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 5

“Proactive” IUF company strategy has basically three stages:1. Organize and build strength2. Negotiate for international

recognition from the target company

3. Move to international bargaining

Page 6: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 6

OrganizeUse education projects to:

Strengthen existing unionsCreate New unions

Recruitment of those unions to IUFCompany networks (eg in Coca-Cola through global and regional meetings)

Page 7: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 7

Negotiating recognition

Area of major progress in recent yearsAchieved through seizing and building on opportunities, following-up on conflicts, maintaining contact with companies and dogged and determined negotiations

Page 8: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 8

Recognition 1997Where were we in 1997?Danone (formal)Accor (formal)Nestlé (formally limited to Europe but informally wider)Coca-Cola (informal, irregular and limited having arisen from major successful international campaigns against Coca Cola over past years)

Page 9: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 9

Recognition 2003Where are we today?26 companies and growingDanoneAccorNestléCoca-ColaBritish American TobaccoChiquita Brands InternationalClub MéditerannéeCompass

Page 10: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 10

Del Monte Fresh ProduceFonterra (formerly New Zealand Dairy Board, a major dairy transnational)Fyffes Hershey FoodsImperial TobaccoInterbrewJapan Tobacco InternationalKraft Foods

Page 11: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 11

MarsParmalat Philip Morris InternationalScandinavian Tobacco CompanyAltadisSodexhoDimon Tobacco Leaf ProcessorsStandard Tobacco Leaf ProcessorsUniveral Tobacco Leaf ProcessorsShangri-La Hotel Corporation

Page 12: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 12

Company recognition of the IUF 1997 - 2003

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1997 2003

Formal union rightsagreementsIUF/TNC agreementsto resolve local issueFull labour relationsrecognitionChild labour only

Page 13: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 13

Bargaining…..About what issues?Not workplace issues but more over …..Rights and “space”Space for…..

Rights to form and join unions (F. of A.)Rights to collective bargainingNo discrimination, child and forced labour etc

Page 14: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 14

What does this mean?

Setting standards through agreements with specific transnational companies (normally built on ILO Core Conventions)Clarifying what the ILO standards actually meanEstablishing agreed union/company mechanisms for enforcing those standardsNegotiating agreed remedial action when those standards are not met

Page 15: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 15

8 formal IUF international worker rights agreements:Danone:

Union RightsEqualityTrainingInformationRestructuring and employment

Accor – union rightsChiquita – Rights, employment and health and safetyFonterra – Rights, employment and health and safety

Page 16: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 16

3 “ formal” IUF/Company agreements to end conflicts

Del Monte – Guatemala (2001)Interbrew – Montenegro (Dubrovnik Agreement) (2002)Shangri-La Hotels – Indonesia (2003)

Page 17: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 17

The case of Coca-Cola

Tough structure and tough companyUS corporate cultureCommon target of IUF actions and campaignsLong-term target of IUF proactive strategy

Page 18: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 18

“Proactive” work

OrganizeNegotiate recognitionBargain about rights

Page 19: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 19

International organizing within Coca-Cola

Building unions (Guatemala, Philippines, India, Moscow etc)

Recruiting to the IUF - global IUF representation has never been stronger

Strengthening networks and our capacity for mutual solidarity

Global meeting in March 2003 and regional meetings throughout the year

Page 20: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 20

Negotiating for recognition

De facto recognition for the Coca-Cola “system” - which means we deal with bottlers and franchise holdersInitially informal and irregular contactsStuck at the informal and irregular level for some years

Page 21: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 21

Recognition breakthrough in 2003?

April 2003 agreement to hold twice-yearly meetings (starting in October 2003)Small team from IUF:

Four affiliates and the general secretaryHead Office team from The Coca-Cola Company

Page 22: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 22

Nature of the planned twice-yearly meetings

Exchanging informationMainly on rights and labour issuesPossibly on corporate global, regional and local strategies

Discussing problems and abuses of worker rightsExploring influence of The Coca-Cola Company on bottlers and franchise holders

Page 23: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 23

Bargaining about rights with Coca-Cola?

Will see where the more formal twice-yearly meeting take usMajor challenge is an eventual agreement between the IUF and The Coca-Cola Company

Page 24: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 24

Principal obstacles to progress

Tough “US corporate culture”Structure of the company and issue of responsibility for bottlers and franchise holders

Page 25: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 25

Principal strengths we haveVulnerable companyStrong global IUF representation throughout the companyProven IUF capacity to effectively act against CokeClear and determined IUF strategyIUF’s unique capacity to maintain long-term pressure on Coca-Cola

Page 26: ILO Turin Centre, November, 20031 The IUFs Transnational Company Work.

ILO Turin Centre, November, 2003 26

How the future with Coke looks and what it will need from us…

There will be difficult and slow processIntelligent, tough but vulnerable companyOrganizing globally will be one key issueMaintaining constant pressure will be another key issueSmart negotiating at global level a thirdEffective solidarity and action from affiliates when necessary will be the key issue