18063: (Arthur) Union rights - a step in the right direction (fwd)

[Bob Corbett <corbetre@webster.edu>]

From: Tttnhm@aol.com

Haiti Support Group campaign in favour of workers' right to unionise in new
free zone bears fruit at last: World Bank's IFC approves Grupo M loan, with
union rights conditions - 21 January 2004


According to the International Confederation of Free Trade Unions (ICFTU),
the International Finance Corporation (IFC) has finally approved a loan of US$20
million to the Dominican Republic free trade zone operator, Grupo M, with an
explicit condition that the company recognise its employees' freedom of
association and collective bargaining rights.

The approval of the loan, which will help Grupo M develop a massive new free
trade zone development in Ouanaminthe, Haiti, on the Dominican Republic
border, follows investigations launched by the IFC into violations of workers'
rights by Grupo M in its other factories in the Dominican Republic.

In August and September 2003, the ICFTU and the International Textile Garment
and Leather Workers' Federation, released video evidence and documentation on
anti-union actions by Grupo M, including threats, discrimination and violence
against workers seeking to organise unions.

At this stage, the Haiti Support Group, which had been in close contact with
workers' organisations and progressive NGOs in Haiti, launched an
international campaign backing the ICFTU calls for the IFC to require that Grupo M cease
violating workers' rights and respect the core labour standards of the
International Labour Organisation before awarding the loan.

As a result of this campaign, many organisations and individuals from
different countries wrote to the IFC and World Bank directors demanding respect for
workers' right to unionise. In October, the IFC board made the loan contingent
on the findings of an investigation into the allegations about Grupo M's
mistreatment of workers in the Dominican Republic.

Last week, after determining that many of the allegations about Grupo M's
anti-union practices were substantiated, the IFC decided to include the
obligation to respect freedom of association and the right to collective bargaining as
a loan condition. If these rights are not respected, then the company will be
considered to have defaulted on the loan. The IFC has apparently also drafted
a "remedial action plan" that includes several measures for monitoring
observance of trade union rights at Grupo M facilities.


For more details on this story and the Haiti Support Group campaign see:
http://www.haitisupport.gn.apc.org/zonefranche.htm

Issued by the Haiti Support Group, 21 January 2004

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See the Haiti Support Group web site:
www.haitisupport.gn.apc.org

Solidarity with the Haitian people's struggle for justice, participatory
democracy and equitable development, since 1992.
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