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"The workers should not pay for the crisis"

27 January, 2009Brazil's trade unions are worried about the effects of the financial crisis and growing unemployment and are taking action to protect workers' interests.

BRAZIL: The year 2009 began with many workers losing their jobs in different sectors of the country's economy, including the metalworking and automotive industries. Employers blame the global financial crisis and say that lower levels of production mean they must reduce costs. The problem is that it is the workers who pay the price.

The country's most important trade union centrals are therefore implementing an action plan to mobilise workers and public opinion in order to pressure the federal government to adopt effective measures to fight increased unemployment and the slowdown in economic activity.

The Central Única dos Trabalhadores (CUT), has organised meetings and massive protest marches. On Tuesday 20 January, 18,000 metalworkers marched through manufacturing areas in the industrial Sao Paulo ABC region calling for jobs to be protected. They also held meetings at the factory gates of Ford, Mercedes Benz, Scania and Volkswagen.

CUT president, Artur Henrique, told workers he had held talks with President Lula the previous evening and announced the proposals he had presented to the federal government: an end to the primary surplus, a quick cut in interest rates and a warning to the banks, especially public-sector banks, to reduce their exorbitant interest rates and stop making absurd charges.

Força Sindical is also taking action to prevent unemployment. It called on its leaders and affiliates unions, federations and confederations to hold demonstrations on 21 January. "On 21 January, the Monetary Policy Committee will meet to discuss interest rates. As everyone knows, a significant cut in the rate is vital to stimulate production and channel billions of reales away from financial speculation into investment and working capital for companies and for public use in general", said the organisation in an official communiqué.

It has organised meetings and rallies to make clear that workers are not going to pay for the crisis "and that the federal government has measures at its disposal that will put the country back on the path of economic growth, job creation and income distribution."