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IMF affiliates on trade, employment and development

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10 November, 2006Inclusion of core labour standards in trade agreements is important, but not enough. The international trade union movement must also present a clear alternative project to neo-liberalism.

CANADA: Developing a strategy for metalworkers on trade, employment and development was the subject of an IMF seminar that was held at the CAW education center in Canada on October 11 to 14, 2006.

IMF affiliates from South and North America, together with metalworkers from Africa, Europe and Asia, took part in the seminar, which examined the current situation of bi-lateral and multi-lateral negotiations on trade liberalisation.

Participants expressed concern about new trade liberalisation that, if implemented in an inflexible and generalised way, could seriously damage less developed countries and undermine their ability to build their own industrial policy.

Concern was also expressed about the proposed tariff reductions, that could result in the loss of many industrial jobs and increase the overall precarisation of employment conditions, moving workers from permanent jobs to a growing "informal" labour market with little or no labour protection.

There was full agreement among participants on the importance of incorporating mechanisms for labour protection in trade agreements. However it was felt that inclusion of core labour standards is not enough, and that the international trade union movement also needs to present a clear alternative project to neo-liberalism, such as expressed in the IMF Strategies for an Alternative Globalisation. ( http://www.imfmetal.org/main/files/IMFalternativeStrategies_english.pdf)

Texts of the conclusions and recommendations from the seminar and summaries of the presentations are published in English, Portuguese and Spanish on the IMF website.

IMF Working Party on Trade

A meeting of the IMF Working Party on Trade took place in conjunction with the seminar. The impact of FTAs on countries with differing socio-economic conditions was analysed and different trade union views and strategies were discussed.

WP members recommended that IMF activities focus on

  • Monitoring and analysing the practical impact of key FTAs, e.g. CAFTA, on employment and on workers' rights.
  • Building dialogue with G20 governments on their trade and social agenda.
  • Examining the role of the auto industry with regard to FTAs.
  • Coordinating and facilitating the sharing of views and experiences between affiliates from different regions.
  • Reviewing the effectiveness of international trade union strategies on workers rights and on global governance, also involving the ICFTU and GUFs, and social movements.
  • Focussing IMF initiatives at the 2007 WSF in Nairobi on possible repercussions of trade liberalisation on employment and development.


The seminar in Canada followed a series of activities held by the IMF in 2006 aimed at developing common strategies and building union capacity to engage with governments, employers and other institutions around policies on trade, employment and development. Two similar seminars were held in Asunción for the South Cone region in April, and in Durban for Southern and East Africa in June.