A new worldwide international labor federation was formed Nov. 1 in Vienna, consisting of the International Confederation of Free Trade Unions (ICFTU), the World Confederation of Labour (WCL), plus eight other national trade union organizations that will for the first time affiliate to a global body. The ICFTU has been formally dissolved, but will be absorbed into the new organization, to be known as the International Trade Union Confederation (ICTU).

It is hoped that the merger of he two main global labor groups will enable the ICTU to “remain a key player in an economic climate that is creating more losers than winners.” Economic globalization is having a devastating effect on millions of workers. Guy Ryder, the former general secretary of the ICFTU and prospective general secretary of the ICTU, says, “Stronger, we will exert more influence on companies, governments and the international financial and trade institutions.”

The ITUC will represent 166 million workers through its 309 affiliated organizations within 156 countries and territories.

Israeli Bosses Can Pay Disabled Less Than Minimum

Employers in Israel are allowed by law to pay workers with disabilities half or even one-third of the minimum wage, based on their work ability. The new regulation, which went into effect Nov. 2, was intended to encourage the employment of disabled people, but leaders of disabled groups are objecting to the changes.

Approved by the Knesset four years ago. The regulations stipulate that a disabled person may ask the Industry, Trade and Employment Ministry for a permit to earn less than the legal minimum pay of NIS 19.28 (US $4.50) per hour. The disabled person’s pay would be determined according to his work ability and be set at a third, half, three quarters or all of the minimum wage.

“It’s saying we’re worth less than other people,” says the disabled organization’s spokesman, Yoav Krime. “There are also people without disabilities whose productivity is low, yet no one suggests reducing their minimum wage.”

Multinationals Charged with Double Standard in China

U.S. and European multinational corporations have been accused of double standards for adopting codes of conduct requiring their suppliers to behave ethically on the one hand, while on the other lobbying against China’s proposed new labor laws, which, if implemented, would greatly clean up the country’s supply chain.

The Brussels-based International Textile, Garment and Leather Workers’ Federation (ITGLWF) has written to U.S. and European retailers and merchandisers, including Wal-Mart, Nike, Walt Disney Co., Adidas, Sara Lee and DuPont, asking them to distance themselves from the position of their industry associations and to publicly support China’s proposed new labor laws.

While the draft legislation falls short of international standards in that it does not allow workers to form independent trade unions or give them the right to strike, it does contain provisions that would significantly improve China’s low wages and poor working conditions. The new laws would strengthen safety and workplace inspections, force employers to consult with workers’ representatives over significant job cuts, tighten the enforcement of minimum wages and provide regulations regarding the payment of severance.

British Cleaners Ask Goldman Sachs for Living Wage

Abiola Arowolo, a cleaner at Goldman Sachs, the investment bank, is fighting for a living wage from the firm that has just lavished more than $6 million in bonuses on its best-paid London staff. Arowolo, who is 57, and lives in Stockwell, South London, vacuums and dusts Goldman’s offices from 10 p.m. to 6 a.m., five days a week and earns $11.78 an hour.

She is part of the Justice for Cleaners’ campaign set up by the Transport and General Workers’ Union to urge Goldman and other London employers to take responsibility for the welfare of their cleaners and other low-paid workers. “Money is involved, but also we deserve respect,” she says.

Goldman Sachs, Wall Street’s leading investment bank, announced earlier this year that its 26,000 staff would earn an average of more than $300,000. At the other end of the Goldman Sachs food chain, cleaners are paid $11.78 an hour for a night shift.

BWI Swedish Affiliate Opposes State Sale of Forests

The BWI-affiliated Forest and Wood Trade Union of Sweden has opposed the newly-elected government’s plans to sell off a large area of state-owned forests. This area represents about 20% of the productive forest land in the country.

Forestry is a vital industry in Sweden, representing 13% of the country’s total exports and which employs about 120,000 people, particularly in distant and rural areas.

The union claims the key importance of forests for the long-term national interest: environmentally, socially and economically to be left in the hands of private interests that look only from quarter to quarter for their returns.

Nova Scotia Medics Vow Next Time They’ll Strike

The 740 members of the International Union of Operating Engineers are angry at the outcome of binding arbitration, which awarded them 3 percent annual raises. These Nova Scotia Medics vow they’ll walk off the job in order to get a better contract next time.

The union had been seeking a 15 percent raise to put them on par with paramedics in Ontario. Norman Earle, business manager of Local 968B, said they won’t take the arbitration route again, “Next time, we will be going out on strike,” he said.

The paramedics did strike in October 1999 but were legislated back to work after 18 hours. Earle said the union will begin preparing for the next negotiations immediately. The contract expires at the end of March 2008.

Our weekly "LaborTalk" and "World of Labor" columns can be viewed at our Web site: www.laboreducator.org. Harry Kelber's e-mail address is: hkelber@igc.org.