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14 June, 2006
A study commissioned by ICEM Finnish affiliate Paperiliitto and the Trade Union Solidarity Centre of Finland (SASK) says a greenfield pulp mill in Brazil operated jointly by Stora Enso and Aracruz Celulose is too dependent on contract workers.
The study, released 7 June by Observatorio Social, the research institute connected with the Brazilian trade union centre CUT, reports that the joint venture has so many contractors that it cannot adequately monitor them.
The mill, called Veracel Florestal Ltda. and located in Eunápolis, state of Bahia, utilises contractors in the harvesting of eucalyptus for the mill, which causes immense environmental damage. Also, the mill relies on questionable contractors rather than permanent workers for most tasks at the mill, except for the actual production of pulp.
The result is that overall salaries are driven down and labour contract terms circumvented. The study also reports that health and safety is compromised, and there is too much exposure to chemicals by both workers and those living in Eunápolis. The pulp mill went on line in 2005 and can produce 900,000 metric tonnes per year of eucalyptus pulp.