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Lockout: Thai Michelin Workers Victimised for Unionising

6 April, 2009

The ICEM has intervened in a retaliatory dispute by French-based Michelin at a large tyre factory called Laem Chabang in Chonburi Province, Thailand. The Global Union Federation, together with French trade union affiliate CFDT, brought the matter before Michelin’s European Works Council (EWC) and Michelin Group Manager Jean-Dominique Senard at a EWC meeting in Vitoria-Gasteiz, Spain, on 31 March.

The situation in Thailand is serious. On 25 March, local management locked 383 workers off their jobs after they refused to withdraw their names from a petition submitted two weeks earlier. The petition called on management not to unilaterally impose 13% wage cuts, and to engage in consultation with workers’ representatives over effects of a downturn in the tyre market.

The petition also called on the company to jointly identify solutions with workers, not to unilaterally dictate terms and conditions. It also asked Michelin’s Laem Chabang managers to stop forcing workers to sign acceptance forms on the wage cuts, and to quit victimising workers who did not sign the forms.

Thai Michelin Unions in Protest

Michelin managers responded by suspending eight worker representatives, and imposing a 35% pay cut on workers who refused to disavow the petition. They also reduced their yearly allotment of holidays to six. They then – on 25 March – locked out 383 of 458 workers who signed the petition.

“This is extreme and harsh behaviour against loyal workers from a company that expects to recover from the global economic crisis,” said ICEM General Secretary Manfred Warda. “We have no choice but to demand that the EWC take action. We also call on rubber workers worldwide to take notice, and demand that Michelin rescind this retaliatory punishment.”

The tyre workers have been trying to organise with ICEM affiliate Petroleum and Chemical Workers’ Federation (PCFT) since February, the second time in ten years that staff at Laem Chabang have attempted to unionise.

The plant employs 1,500 staff and produces auto and light truck tyres. Michelin has two other tyre manufacturing plants in Thailand, the Nong Khae plant in Saraburi, employing 1,300 workers, and the Phra Padaeng factory in Samut Prakarn, where 1,500 Thai workers are employed. The latter is unionised by PCFT, with strong union membership. The three plants are 90% owned by Michelin, with the Siam Cement Group holding the remaining 10% stake.