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Vale Resolution -- SSARO

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29 September, 2010

In April 2010, ICEM SSARO unanimously adopted a resolution to oppose the investment in Africa by Vale, the multinational mining giant of Brazil. The purpose was to prevent a global decline in mining labour standards due to the anti-union practices of Vale, throughout the world and particularly in Canada where the company forced over 3,500 miners on strike.

ICEM SSARO also took note that Vale had established a partnership with African Rainbow Minerals (ARM) of South Africa to assist Vale in developing new mines and smelters on the African continent.

Despite representations to the contrary made by Vale and ARM, there is little evidence that Vale has changed its attitudes and behaviour. Even after settling two year-long strikes in Canada, when the United Steelworkers agreed to accept some significant concessions, Vale boasted that it had won a power struggle, instead of trying to rebuild the strained relationship with its employees. Vale refused to settle a third strike in Voisey’s Bay, Canada, and is demanding that the largely aboriginal workers accept lower standards than what was agreed at the other sites.

Recently, the ICEM and International Metal Workers (IMF) met with Vale officials in Geneva at the request of the company. Vale called for continued social dialogue with the two global trade union federations. The ICEM and IMF stated that social dialogue can only proceed if Vale demonstrates a willingness to change its policies and practices toward trade unions.

So far, there is no evidence that Vale has changed its policies and practices.

SSARO trade unions in South Africa, Zambia, Liberia and Guinea have been in the forefront of opposing Vale’s expansion in Africa and that of its surrogate, ARM. These trade unions have stated clearly that complete respect for trade union, community and environmental rights is a fundamental condition that multinational mining companies must meet to gain access to Africa’s riches. Vale has not met this condition.

SSARO hereby reaffirms its opposition to Vale investment in Africa. SSARO affiliates will continue to educate its governments and it citizens of the dangers of allowing Vale to operate in their respective countries and will oppose all Vale investments in Africa and those of its surrogates until Vale demonstrates a willingness to drop its anti-union behaviour.

ICEM SSARO also stressed the critical importance of involving and working more closely with Brazilian trade unions in the effort to stop Vale’s export of anti-union practices and to strengthen the position of trade unions wherever Vale operates.