7 November, 2011
Swiss trade union UNIA is fighting across the country to reverse the decision of Novartis to “restructure,” meaning close plants and dismiss 1,100 workers. Mass mobilisation campaigns to fight the decision are gathering momentum and wide support from regional communities, politicians, and international trade unions.
The ICEM marched with 300 Novartis workers of Nyon on 4 November. The march, led by regional UNIA Industry Secretary Yves Defferrard, received extremely strong support from Nyon residents as it passed through the town centre.
Yves Defferrard
Many local businesses depend on the wages generated at Novartis. It is predicted 2,000 jobs in Nyon will go if the company closes the plant, ending over 90 years of drug production in Nyon.
What leaves a particular sour taste is the company’s long standing emphasis on a positive social impact, portraying itself as a “carer” and “healer.” But the restructuring comes at a time of considerable profit for the firm. Novartis workers in Nyon are proud of their work, proud of the products they have discovered, developed, and produced.
Management’s shock decision, announced 25 October, to close significant sections of the Nyon and Basle plants came only weeks after Novartis posted third quarter net sales up 18% to US$14.84 billion from US$12.58 billion in the same period in 2010, with net income increasing 7% to US$2.49 billion, from US$2.32 billion in 2010.
Novartis plans to cut 2,000 jobs internationally, with 760 at its Basle headquarters and 320 in Nyon.
The ICEM Global Pharmaceutical Unions’ Network, meeting in Geneva 28 October, conveyed solidarity and support to the UNIA members at Novartis, and this message was announced at the 4 November rally. ICEM General Secretary Manfred Warda wrote to company CEO Joseph Jimenez communicating the anger of ICEM affiliates at the decision, and demanding good faith dialogue with UNIA.
The role of local and federal politicians in the process is vital, especially as it is speculated that a major factor in management’s decision to close is an angry retort at Swiss authorities’ price cutting of pharmaceutical drugs. Even though the Swiss market represents only 1.15% of turnover for Novartis, the company management had reacted angrily to the persistence of Swiss federal councillors in this regard.
UNIA achieved a small victory on 3 November in bargaining by pressuring management to publish a detailed audit report for the Nyon site, as figures put forward by the company are questionable. Novartis moved immediately to bring in a high level financial expert from the US to present the numbers.
The next major mobilisation is planned for 12 November in Nyon, if the company continues to pursue its irresponsible redundancy plan.
Novartis Chief Executive Daniel Vasella is the highest paid person in Switzerland, with an annual salary of CHF 40 million.
Sign UNIA’s petition against the Novartis job cuts here.