THE WORLD OF LABOR — August 1, 2009

By Harry Kelber

AFL-CIO Council Calls on Government for Second Stimulus Package

A second installment on the Obama administration’s economic recovery plan is urgently needed, the AFL-CIO Executive Council said, in a policy statement at its one-day meeting on July 28 in Washington. D.C. The new stimulus plan “must focus like a laser beam on job creation,” the Council stated. Unemployment is expected to hit 10 percent later this year and remain high in 2010

While noting the progress that the first round of the $787 stimulus package had made in shoring up the economy, the Council said: “”The challenge of fixing this economic mess is enormous--and urgent. Creating good jobs that cannot be outsourced is central to the solution.” The Council noted that 6.6million jobs have disappeared since the beginning of the recession in Dec. 2007. It includes 1.9 million manufacturing jobs and 1.3 million construction jobs.

The Council recommends increased spending by a second stimulus package on the following:

• Extend unemployment benefits by at least seven weeks.
• Increase food stamps to help families cope with the downturn.
• More funds for state and local governments
• Increase spending for needed infrastructure and clean energy projects.
• Bolster the financial stability of independent government agencies, such as the U.S. Postal Service. >

Club Med Signs Contract with Union in the Bahamas

San Salvador’s main employer, Club Med, signed a major agreement with the Bahamas Hotel Catering and Allied Workers Union on July 28 that would allow some 160 employees to receive the same benefits and opportunities as other hotel workers throughout the country. Nicole Martin, president of the hotel union, applauded both parties for coming to an agreement.

The contract includes a 10 percent wage increase for employees over the next five years, Other benefits would be fine-tuned at a later date, according to the union hotel president, Nicole Martin. “We look forward to a very good relationship with Club Med,” she said.

Oliver Bergeret, vice president of operations and human resources at Club Med, said: ”This is the first time we have had an agreement and I am happy for that. I think this agreement shows the next step for us of a long, fruitful and constructive relationship with our union partners.”

48-Hour Strike by Honduran Unions in Support of Ousted President

A new national civil strike of the state sector, with marches, seizure of roads and public institutions, characterized the 33 days of popular resistance to the military coup in Honduras. The 48-hour strike was called July 26 by three main unions after an assembly of the National Front against the coup d’etat adopted strategies to recover constitutional order.

Members of the Front closed access to main luxury and expensive shops of the city in response to the businessmen who had supported the coup. The protests also affected the Metro Mail and the delivery of letters and packages.

The army forces and riot police got closer to the demonstrators, prompting fear that they would attack the marchers who maintained a peaceful attitude. Meanwhile, the de facto government has extended its curfew in El Paraiso Department, with a state of siege for six days that has caused humanitarian emergency in the area.

Jamaica’s Holiday Inn Workers Win 5-Year Battle

A five-year battle over the rights of 300 contract workers at the Holiday Inn Sunspree Resort in Montego Bay, St. James, to seek union representation ended July 30 with a landmark ruling from t he Appeals Court. The Court ruled that a decision by the Industrial Disputes Tribunal in 2005, in favor of a representation rights poll being conducted for contract workers in the hotel, should be upheld.

The hotel was accused of employing union-busting tactics after mounting legal road blocks in the quest by Jamaica’s National Workers Union (NWU) and t he Ministry of Labor to formalize union representation for the 300 workers drawn from various departments in the hotel.

Clive Dobson, NWU President Emeritus, said the Appeals Court decision has far-reaching implications for the rights of contract employees to seek trade union representation. “The implication of this is that all contract workers across the country legally have the right to be represented by the union of their choice, Dobson said.

Australian Unions Push for Action on Job Security and Worker Rights

A new action plan for working Australians was launched July 28 by the Australian Council of Trade Unions (ACTU) that included securing jobs, supporting families, protecting worker rights and sustaining economic growth. The document will be widely distributed at this week’s Labor Party conference in Sydney. It sets down union priorities for inclusion in Labor’s platform and beyond.

ACTU President Sharon Burrow said unions would be calling for guidelines for government spending that supports domestic jobs and industries and for actions to improve job and income security, including urgent new measures to protect employee entitlements. Unions also want a fairer tax system and curbs on excessive executive pay and bonuses, she said.

She praised the Federal Government’s actions that resulted in Australia being more immune from the worst of the downturn than the United States and part of Europe. “It’s forecast that about 500,000 Australians will be out of work by this time next year, she added. “And we shouldn’t be lulled into a false sense of security by a few statistical indicators.”

Pakistani Aviation Unions Win Ground-Breaking Deal

Aviation Unions in Pakistan have won a significant deal for their workers, following two months of negotiations with their employer. The ITF-affiliated unions, the People’s Unity of PIA Employees, reached an agreement last week with the Aircraft Technologists Association, which represents general and engineering staff at the state-owned Pakistan International Airline. The collective bargaining agreement is the first in seven years.

The agreement includes a 20 percent salary increase for nearly 9,000 employees as from Jan. 1, 2009, a 15 percent raise from January 2010, subject to cost savings and increased productivity, a shift allowance of 15 percent of a worker’s basic wage and a night working allowance of 1,000 rupees ($US $12) per night.

A generous package of other allowances is also outlined in the settlement; for example, utility, car maintenance and seniority allowances. Workers are also eligible to receive an education allowance for up to four of their children.

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