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Unions Announce 'Progress' With Rio Tinto

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7 August, 2005ICEM News release No. 86/2000

After years of often bitter confrontation between the global trade union movement and mining multinational Rio Tinto, the unions believe that progress is being made with the company.

The signing of new collective agreements at coal mines in Australia appears to mark the "beginning of the end" of Rio Tinto's anti-union drive.

So said the 20-million-strong International Federation of Chemical, Energy, Mine and General Workers' Unions (ICEM) in Prague today during its World Mining Section conference. The ICEM statement came after discussion led by the Australian Construction, Forestry, Mining and Energy Union (CFMEU), the union most often in the front line of the battle with Rio Tinto.

Fred Higgs, ICEM General Secretary, said the ratification of union deals covering the company's Mt. Thorley, Howick and Hunter Valley mines in Australia over the past two months marked a historic shift in the company's negotiating position.

"Since 1993, Rio Tinto has been aggressively seeking to de-unionise its operations in Australia," Higgs recalled, "and union-busting tactics developed in Australia have been employed worldwide. Trade unions were described as 'third parties' that had no role in the workplace. ICEM affiliates have been in conflict with the company since that time, and since 1997 the ICEM has been involved as the coordinator of a global campaign. Now at last we have progress."

John Maitland, ICEM President and CFMEU National Secretary, attributed the success to the global campaign, to an innovative shareholder initiative run earlier this year, and to the ongoing loyalty and commitment of the workers at Rio Tinto's mine sites.

"The basis of every campaign for union rights is the members," Maitland said. "Our members have endured years of persecution in Australia, including unfair dismissals, pay cuts and unlawful victimisation. They have held firm. But they couldn't have won without the support of their colleagues worldwide who joined in a campaign of protest actions, on and off Rio Tinto sites, from the USA to Brazil, Pakistan and South Africa.

"The final triumph," Maitland added, "was the shareholder initiative, led by a coalition of the labour movements of the UK, USA and Australia and the ICEM. Our shareholder resolutions - on corporate governance and on respect for the core labour rights conventions of the International Labour Organisation - won up to 20 percent of the votes of Rio Tinto shareholders. That sent a loud and clear message to the Board of Directors that, not only were they failing to destroy the unions after years of confrontation, but they were also losing touch with their own shareholders."

Progress in signing enterprise agreements in Australia has been rapid since the May 2000 Annual General Meetings of the company, at which the shareholders cast their votes and where the company stated that it wanted peace with the unions. But Higgs and Maitland cautioned that the disputes are not yet over.

"The company," said Maitland, "is still involved in several major lawsuits with unions - over mass unfair dismissals, over union recognition rights at certain sites, and over damages claims. And that's just in Australia. This year, new evidence has emerged of anti-union activity by the company in Indonesia and Brazil."

The worldwide network of unions in Rio Tinto operations, which was established as part of the campaign, now has an ongoing role in making the company respect its workforce.

"Rio Tinto's workers are now talking to each other," Fred Higgs emphasised. "No longer can the company play one set of workers off against another, and no longer can the company rely on misinformation, or simply lack of information, to keep its workers isolated and fearful.

"We may," said Higgs, "be moving to a position where the ICEM can negotiate a global agreement with Rio Tinto. Previously, the company had expressed interest in signing such an agreement with us. We have already negotiated them with several multinationals in our sectors, and more are on the way. However, our agreements always include monitoring and compliance mechanisms, not just statements of good intentions.

"There is still much to be done before Rio Tinto can claim to be a just and fair employer that respects the rights of its employees across the world," Higgs concluded. "But in the light of recent developments, we will be making an immediate approach to the company."



After years of often bitter confrontation between the global trade union movement and mining multinational Rio Tinto, the unions believe that progress is being made with the company.

The signing of new collective agreements at coal mines in Australia appears to mark the "beginning of the end" of Rio Tinto's anti-union drive.

So said the 20-million-strong International Federation of Chemical, Energy, Mine and General Workers' Unions (ICEM) in Prague today during its World Mining Section conference. The ICEM statement came after discussion led by the Australian Construction, Forestry, Mining and Energy Union (CFMEU), the union most often in the front line of the battle with Rio Tinto.

Fred Higgs, ICEM General Secretary, said the ratification of union deals covering the company's Mt. Thorley, Howick and Hunter Valley mines in Australia over the past two months marked a historic shift in the company's negotiating position.

"Since 1993, Rio Tinto has been aggressively seeking to de-unionise its operations in Australia," Higgs recalled, "and union-busting tactics developed in Australia have been employed worldwide. Trade unions were described as 'third parties' that had no role in the workplace. ICEM affiliates have been in conflict with the company since that time, and since 1997 the ICEM has been involved as the coordinator of a global campaign. Now at last we have progress."

John Maitland, ICEM President and CFMEU National Secretary, attributed the success to the global campaign, to an innovative shareholder initiative run earlier this year, and to the ongoing loyalty and commitment of the workers at Rio Tinto's mine sites.

"The basis of every campaign for union rights is the members," Maitland said. "Our members have endured years of persecution in Australia, including unfair dismissals, pay cuts and unlawful victimisation. They have held firm. But they couldn't have won without the support of their colleagues worldwide who joined in a campaign of protest actions, on and off Rio Tinto sites, from the USA to Brazil, Pakistan and South Africa.

"The final triumph," Maitland added, "was the shareholder initiative, led by a coalition of the labour movements of the UK, USA and Australia and the ICEM. Our shareholder resolutions - on corporate governance and on respect for the core labour rights conventions of the International Labour Organisation - won up to 20 percent of the votes of Rio Tinto shareholders. That sent a loud and clear message to the Board of Directors that, not only were they failing to destroy the unions after years of confrontation, but they were also losing touch with their own shareholders."

Progress in signing enterprise agreements in Australia has been rapid since the May 2000 Annual General Meetings of the company, at which the shareholders cast their votes and where the company stated that it wanted peace with the unions. But Higgs and Maitland cautioned that the disputes are not yet over.

"The company," said Maitland, "is still involved in several major lawsuits with unions - over mass unfair dismissals, over union recognition rights at certain sites, and over damages claims. And that's just in Australia. This year, new evidence has emerged of anti-union activity by the company in Indonesia and Brazil."

The worldwide network of unions in Rio Tinto operations, which was established as part of the campaign, now has an ongoing role in making the company respect its workforce.

"Rio Tinto's workers are now talking to each other," Fred Higgs emphasised. "No longer can the company play one set of workers off against another, and no longer can the company rely on misinformation, or simply lack of information, to keep its workers isolated and fearful.

"We may," said Higgs, "be moving to a position where the ICEM can negotiate a global agreement with Rio Tinto. Previously, the company had expressed interest in signing such an agreement with us. We have already negotiated them with several multinationals in our sectors, and more are on the way. However, our agreements always include monitoring and compliance mechanisms, not just statements of good intentions.

"There is still much to be done before Rio Tinto can claim to be a just and fair employer that respects the rights of its employees across the world," Higgs concluded. "But in the light of recent developments, we will be making an immediate approach to the company."