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December 22, 2011 - No. 134

Manufacturing Yes! Nation-Wrecking No!

Public Right Yes! Monopoly Right No!

AbitibiBowater
Gangster Company Extorts Millions from Nova Scotians
Oppose Closures and Wrecking - Pierre Chénier

Kruger
Negotiations Break Down at Trois-Rivières Plant

ArcelorMittal
Working Class Must Have Organized Say and Control Over Terms of Employment and Working Conditions, Part Two - K.C. Adams
Contrecoeur Workers Demand Investments in Manufacturing - Interview, Claude Langlois, President, Local 6586 USW

Rio Tinto
Alma Workers Defend Union's Strength of Numbers to Ensure Working Conditions and Standard of Living - Interview, Marc Maltais, President, Syndicat des travailleurs de l'aluminium d'Alma


AbitibiBowater

Gangster Company Extorts Millions
from Nova Scotians

Time for new direction for the economy

Another day, another outrageous pay-the-rich scheme from CEO Richard Garneau of AbitibiBowater, now known as Resolute Forest Products, to extort money from Canadians. This time Garneau and his gang of executives and owners of capital and debt have gotten away with over $50 million and a possible $40 million more. The political class in power in Nova Scotia is handing over public money after caving in to Garneau's threats to close a paper mill in Queens County on the South Shore. The Washington Post Company holds a minority ownership of 49 per cent in the Bowater Mersey mill.

The arrogance of Garneau's gang and the Washington Post is such that not one leading executive bothered to turn up December 2 in Liverpool, Nova Scotia for the official handover of the money. NDP Premier Darrell Dexter and a few other members of the Nova Scotia political class were left by themselves to explain the transfer of public cash. The affair was made even more awkward with the recent news that two former Bowater executives have just been given an additional $4 million dollars in severance while workers have had their claim on what they produce cut 18 per cent, and Garneau's latest scheme demands 80 full-time and 30 casual workers at the Liverpool mill be fired.

Shawn Fuller, a spokesperson for Premier Dexter, commentated that "decisions" to give even more money to executives "are the company's" while decisions to give in to extortion and hand over public funds to private interests are those of the political class in power.

Garneau will probably trumpet the gruesome details of this particular pay-the-rich scheme all over North America demanding something similar. "See what you have to do to keep mills operating you people in Quebec and Ontario! Give us money, loads and loads of money and concessions!" That is what is meant by monopoly competition these days -- the competition is amongst the political class in various regions to see who can come up with the most outrageous pay-the-rich scheme while another aspect of monopoly competition is centred amongst workers to see which collective of workers will be forced to give the greatest concessions. Those pay-the-rich schemes and concessions then become a "competitive" template that the monopolies expect others to follow.

Garneau even had the audacity to say that he will use some of the Nova Scotia money to pay down debt, which is held mostly in the United States. That is certainly comforting to Nova Scotians to know that their public money is heading south to be swallowed up by the U.S. financial oligarchy, which is so much beloved at home and abroad. Meanwhile, the political class in power all over Canada screams about public debt and deficits "forcing" governments to slash social programs, public services, lay off public workers and cut their wages and pensions.

Let us break down the pay-the-rich scheme, which in fact is far more than $50 million when you factor in the concessions from the Bowater Mersey working class, municipality, Nova Scotia Power, the Halifax Port and an option to buy back even more provincial forest land.

The provincial treasury gives Garneau et al an outright gift of $25 million to be used as they see fit. Besides paying down debt, Garneau says it will be used to reduce the mill's electricity consumption but as Dexter's spokesperson says, "Those decisions are the company's."

The gift is fashioned as a forgivable loan. Garneau only has to keep the mill running for five years to have the full amount written off at $5 million per year. Running at what level of capacity is left deliberately vague.

The public treasury gives Garneau another $1.5 million to retrain the 110 or more workers who are losing their jobs in the deal.

The province has also agreed to buy forest land back from Garneau for a total of $63.75 million. This part of the deal is even murkier as some commentators suggest that the purchase price per hectare is inflated, the monopoly does not need the land and probably could not sell the land except back to the province especially at a price of $2,348 per hectare. The deal includes the immediate purchase of 10,117 hectares for $23.75 million and an option for the province to buy back another 20,234 hectares for over $40 million. Neither Dexter nor Garneau, who of course was not present at the announcement, gave any details of what circumstances would activate the option to buy back the additional amount of provincial forest land.

The Region of Queens Municipality has also reduced its claim (or municipal corporate taxes) on what workers produce at the mill by $1,350,000 over 10 years.

The Dexter NDP government also legislated a three-year $3 million discount on the cost of electricity consumed at the mill, which apparently will not be reviewed by the provincial utility board even though that is the normal legal procedure.

In addition, the Port of Halifax lowered its fees for handling goods coming to and from the Bowater Mersey mill but details were not released.

The Workers' Opposition contends that the executives and owners of capital of monopolies such as Resolute have hijacked the capitalist economy and politics, including the state machine. They use the power and public resources of the state for their private narrow interests. These schemes such as Garneau's extortion of Nova Scotia have nothing to do with fixing an economy that is in crisis. They are ways to maintain the wealth and privilege of a certain group of executives and owners of capital and debt. These pay-the-rich schemes and demands for concessions represent a capitalist economy and politics that has gone into permanent crisis. The working class and its allies must discuss and present an alternative direction for the economy and practical politics that renew the economy and steer the country out of this predicament. Workers cannot accept the wrecking of manufacturing nor the doling out of public money to fill the coffers of monopolies that have no loyalty or even connection with the productive forces and resources of the region or country, except as a means to fatten their own wallets and in the most cavalier manner threaten their destruction. The entire mess from top to bottom has to be renewed beginning with a firm No! to handouts to the monopolies, No! to the wrecking of manufacturing and No! to working class concessions, as they are not solutions. If the monopolies cannot operate without public funds and government and working class concessions then they should step aside and hand over control and decision-making to those who work on those productive forces and have a direct stake in them. In the final analysis the forests and mills belong to the people and actual producers and should operate to serve the people and the general interests of society.

Concessions are not solutions!
Stop paying the rich!
Reject monopoly extortion; denounce the political class for
conciliating with the gangster monopolies!
Monopoly right no! Public right yes!
Manufacturing yes! Nation-wrecking no!
Time for a new direction for the economy!

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Oppose Closures and Wrecking


Demonstration against closure of paper machine number 6, Kenogami, November 26, 2011. (FTQ)

On December 12, AbitibiBowater, under its new name Resolute Forest Products, announced the permanent closure of paper machine number 6 at its Kenogami mill in the Saguenay-Lac-St-Jean region of Quebec. This leaves only one paper machine in operation at the mill while 150 workers were let go as of December 16. The monopoly's CEO Richard Garneau arrived and delivered the news directly to the leadership of the three unions at the plant in a 30 minute meeting then left.

The permanent closure of the paper machine comes just weeks after a demonstration of more than 1,000 people in the Saguenay which demanded the paper machine remain operational and that the company end its attempts to pit the people against one another on the basis that the survival of one community would have to come at the expense of another's demise. Further, the announcement of the permanent closure came just days after the company had claimed the closure was temporary, due to lack of orders. Based on their prior experience with the company, no one was surprised by the latest announcement. Resolute has also announced the closure of the Arbec sawmill in Ascension in the Saguenay until at least May and openly speculates about shutting down a paper machine at the Laurentide mill in Shawinigan.

AbitibiBowater management tried to justify the closure saying the machine is old and inefficient, that the market for supercalendered paper for commercial inserts is low and closing the machine is a way to prevent a total shutdown of the mill. They also claimed that the closure of machine number 6 is part of its business plans following AbitibiBowater's exit from bankruptcy protection, the very plan which was presented to the Charest government in August.

The workers in the region have never accepted that AbitibiBowater's path of destruction is an acceptable business plan for Quebec society. If one judges by how it is implemented, it is clear that it is disastrous. It is being carried out through the closure of machines and factories, while claiming that operations can be restarted if the workers and government agree to new concessions (and even then nothing is guaranteed), and speculating about possible investments it might undertake if the government makes the lion's share of the "investment." In short, it is a plan to pillage the public treasury and transfer the social wealth to the monopolies, impoverishing the region and undermining Quebec's and Canada's forestry industry.

All of this is accompanied by thinly veiled threats that AbitibiBowater, which controls 80 per cent of the timber licences in the Saguenay, could close the forestry industry in the region, shut down more of its operations across Quebec or place itself under bankruptcy protection again. This plan does nothing but aggravate the crisis in the forestry industry. The company's plan even rejects the proposals from the workers and other stakeholders in the region for the modernization of paper machine number 6 or to diversify operations based on what presently exists. At the core of the business plan is the monopoly's arrogant outlook that it alone decides what will happen to the industry. It is a plan of total submission where the only role for the workers and people is as participants in a race to the bottom.

The Charest government is acting against the public interest when it pretends its hands are tied with respect to these closures. According to Quebec Minister of Natural Resources and Wildlife Clement Gignac, factory closures are purely private business decisions. However, the monopolies are not private entities. They utilize an enormous amount of human and natural resources and materials for their operations. In the Saguenay, the entire region is dependent on the forestry and mining industries under the control of the monopolies. Governments are duty-bound to defend the people's livelihoods and ensure economic development which permits the regions to develop.

Minister Gignac must not abandon the workers and the region by hiding behind vague promises of investments by AbitibiBowater or the limitations of Bill 8 which governs the lease of the Shipshaw river (used for production of electricity by AbitibiBowater). The Minister even suggests that the company should present an investment plan (which would be largely financed by the government itself), so as to authorize AbitibiBowater to close those factories deemed not part of its business plan, even though Bill 8 prohibits this. It wants to escape the people's demand that it maintain and expand forestry jobs as a condition of leasing the river to generate hydroelectric power for its mills, as legislated in Bill 8.

In its present form, Bill 8 states that the lease ends December 31. Rather than upholding what people consider to be the spirit of the law, which is to defend forestry jobs, Minister Gignac says he can do nothing because it is not the entire Kenogami plant which is closing, just one of two machines. This is unacceptable. The government could easily tell AbitibiBowater that it will not renew its lease for the Shipshaw river if the company proceeds to close paper machine number 6. Defending the livelihoods of the people and the regions would be a starting point to renew the forestry industry. A government which has the political will to defend the workers and regions would have many options to intervene in the situation. AbitibiBowater refuses to stop its destruction of the workers' livelihoods and the industry. It falls to the people to get organized and find the means to block monopoly right.

In all of this, it is clear that more and more workers and other stakeholders in the region are arriving at the conclusion that AbitibiBowater's wrecking does not have a place in either Quebec or Canada. In the coming year, the work to defend and renew the forestry industry must be stepped up by all those who have the interests of the workers and communities at heart.

(Translated from original French by TML)

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Kruger

Negotiations Break Down at Trois-Rivières Plant

On November 28, negotiations broke down between the Trois-Rivières paper mill workers and Kruger. According to the union, Communications, Energy and Paperworkers Union (CEP) Local 136, negotiations broke down over the issues of jobs and wages and the union has requested an arbitrator. The labour contract at the plant expired late April 2009 and in early August 2009 the workers gave the union a strike mandate to use when appropriate. Workers decided to take action immediately after negotiations broke off, refusing to work overtime, as a means to force Kruger to bargain in good faith.

The question of wages and jobs is central to the negotiations following wage concessions made by the workers at the peak of the economic crisis and drastic job losses over the years that have continued, including layoffs just prior to negotiations.

In an interview with TML in August following workers' demonstrations against new layoffs, Local 136 President Steve St. Pierre said, "The old collective agreement will apply until we sign a new one, which Kruger does not seem eager to do. At the height of the economic crisis we made concessions on wages and work rules without going through negotiations because we wanted to save the plant. In addition, when demand and markets for coated and supercalendered paper collapsed, we agreed to close these divisions temporarily. Within 3-4 years we went from 1,200 to 300 workers. The plant now appears half closed with unused machinery and the workers are all gone. The union is part of a relaunch committee examining how to restart these divisions, but Kruger has shown no interest. They only talk about making newsprint, the highest performing plant of all the pulp and paper sectors in North America. The problem is that it's at the workers' expense. It has to stop somewhere."

On the issue of jobs, CEP National Representative Alain Gagnon told the press, "The employer said they had sufficient staff. We don't agree since they made cuts and compensated by making workers do outrageous amounts of overtime. We are convinced there are not enough workers without doing overtime, so there's definitely no question of adding more personnel cuts on top."

The local media reported that at their general assembly on December 1, the workers denounced Kruger for once again demanding cuts to what they call "cost of labour" and maybe even further layoffs while the number of workers at the plant has already been reduced to a critical level.

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ArcelorMittal

Working Class Must Have Organized Say and Control Over Terms of Employment and Working Conditions

Dictatorship of monopoly right at ArcelorMittal Dofasco Hamilton

TML is posting below Part Two of "Working Class Must Have Organized Say and Control over Terms of Employment and Working Conditions" by K.C. Adams. Part One was published in TML Daily, December 16, 2011 - No. 131.

Part Two

Executive management's unilateral declaration of changed terms of employment and working conditions for 5,200 steelworkers at Dofasco Hamilton goes against the modern trend of history. Workers' right to an organized say and control over their terms of employment and working conditions is a modern principle that cannot be violated without creating disequilibrium at the workplace and economy. Equilibrium at Dofasco Hamilton can only be established with the recognition of the rights of steelworkers, in particular, their right to an organized say and control over their terms of employment and working conditions.

Without an organized say and control over terms of employment and working conditions, the working class is reduced to a slave class. A slave class works under the absolute authority of an exploiting class. The exploiting class through establishing absolute authority refuses to recognize the rights of the working class. This refusal creates disequilibrium that will eventually destroy the economy and both the slave class and exploiting class unless equilibrium is established based on the recognition of the rights of the modern working class, which includes an organized say and control over terms of employment and working conditions.

Through an October 25 decree signed by ArcelorMittal Dofasco Hamilton President and CEO Juergen Schachler, executive management expresses its absolute authority over Dofasco steelworkers contrary to their rights. The Schachler decree includes the following changes to terms of employment and working conditions:

1. Reduction of vacation time

The Schachler edict declares, "For those employees who have less than 250 hours of total vacation entitlement (annual vacation of 200 hours plus 50 hours vacation bonus), future vacation entitlement is capped at 250 hours per year. This eligibility cap applies equally to new hires; "for employees who have greater than 250 hours of total vacation entitlement, future vacation entitlement is capped at the level of eligibility earned as at July 5, 2012."

This dictate effectively lengthens the work-time of each worker without any corresponding increase in the claim of steelworkers on the added-value they produce.

2. Increase in the length of the work-week and continuous arbitrary changes to shifts to avoid paying overtime

The Schachler edict demands intensified work and changes to the hours worked per day and week. These unilateral changes effectively increase the length of the working week from 40 to 42.5 hours without any corresponding increase in workers' weekly claim on what they produce. Workers' hourly claim on the added-value they produce is reduced by approximately 5.88 per cent. The percentage is more if the 2.5 hours beyond the current 40 hour work-week is considered overtime.

The decree declares, "Effective April 1, 2012, all Maintenance and Operations Manufacturing employees currently working on a 4 x 10 hour day schedule will move to a 5 x 8.5 hour day schedule [at the same total weekly pay as the 4 x 10 hour day schedule]."

This dictate effectively lengthens the work-week of each worker affected without any corresponding increase in the claim of workers or the payment of overtime. By doing so, the executive decree lowers the claim of steelworkers on the added-value they produce.

Also, the edict says that shifts will be moved around at the whim of executives to avoid paying overtime. The decree declares, "We will need to find ways to avoid overtime. When longer work days are required for pre-planned outages, schedule changes may be required to meet the business needs."

3. Elimination of the existing defined-benefit pension plan for new hires

The Schachler edict declares, "Employees hired on a permanent basis on or after January 1, 2012 will be enrolled in the Defined Contribution Pension Plan, including those currently employed as casual employees who are hired on a permanent basis on or after January 1, 2012. New Hires will not be eligible to participate in the Supplementary Retirement Income Plan."

The edict ending the Defined-Benefit Pension Plan for new hires effectively lowers the claim of the next generation of steelworkers on the added-value they and the following generation produce. This retrogressive action leaves the new generation of steelworkers in an even more vulnerable position upon retirement.

4. Closure of the Open Coil Annealing Line

The Schachler edict declares, "In addition to these changes in the Total Cost of Employment Area, we are also announcing the closure of the Open Coil Annealing Line. The line will be closed by March 31, 2012 and affected employees assigned to different areas within their business unit."

No further explanation or discussion of the economic basis for the elimination of the Open Coil Annealing Line at Dofasco is included in the edict. Workers are left to assume that similar production will be taken over by another mill somewhere in the ArcelorMittal Empire or that production in Canada is abandoned because of lack of demand, however, no evidence is presented as to why this wrecking of actual and potential production is taking place.

5. Elimination of full-time employment, the equivalent of 700 full-time jobs at Dofasco Hamilton

The Schachler edict declares, "Our current equivalent number of FTEs (Full-Time Equivalent Positions) is approximately 6,000: 4,800 permanent employees; 400 casual employees; and approximately 800 full time equivalent overtime and contracted employees. Our aim is to achieve a level of 5,300 FTEs by the end of 2013. This will mean that we need to find ways to remove 700 full time equivalents from our company. We will do this by looking critically at the level of contracting and overtime, in addition to the number of our own employees."

No further explanation or discussion of the economic basis for the elimination of 700 full-time equivalent jobs is included in the edict other than to assert that it is in the narrow interests of the ArcelorMittal Empire to do so. No concern is expressed either for the insecurity this announcement causes amongst many permanent, casual and contract workers or for the effects the elimination of 700 FTEs and the other measures will have on the Hamilton economy. Management couches the dictate in terms of what it declares is necessary and good for the ArcelorMittal Empire, which it expects Canadians to accept as ultimately good for them and their economy. This is the arrogance of monopoly right that simply dismisses public right and the rights of the working class and the needs of the local and national economy.

Executive management also warns Dofasco Hamilton steelworkers that other unilateral changes to terms of employment and working conditions will be announced in the near future, as the changes in the October 25 edict are just the beginning.

The fanaticism of the edict on lowering the "Total Cost of Employment" and the number of FTEs has nothing to do with increasing added-value at Dofasco Hamilton. The capital-centred terms and declarations of the edict are an attack on the claims of workers and the mill itself, especially its proper maintenance and future capacity to produce. Reducing work-time reduces both the creation of added-value in new product and replacement of value within depreciated machinery and facilities. The work-time of steelworkers applied to machines and material is the only way to produce value. Any increase in the amount of added-value available to owners of capital and executives through Schachler's edict will come from the theft of the claims of steelworkers on the added-value they produce, mainly from forcing them to work longer work-weeks for the same claim, reducing their vacation benefit, eliminating the Defined-Benefit Pension Plan for new hires, arbitrarily rearranging shifts to avoid overtime, laying off workers and demanding more intense work from those who remain.

The edict reflects a capital-centred egotistical outlook that goes against the modern necessity for a human-centred outlook, which includes the recognition of the rights of the working class. The edict reflects the monopoly dictatorship over Canada's economy exercised by the global monopolies such as ArcelorMittal. The global monopoly is denying Canadian workers their right to an organized say and control over their terms of employment and working conditions. The global monopoly is also denying Canadians the right to a say and control over their own socialized economy.

Dofasco Hamilton Workers and their allies must resist this attack on their well-being and the intensified disequilibrium the edict creates. A social responsibility of the working class is to organize itself into an effective Workers' Opposition that can use its power of numbers, its central position within the socialized economy, and modern outlook and social consciousness to hold the global monopolies to account and force them to recognize the rights of workers and the rights of Canadians generally to control and build a self-reliant diverse economy that can meet their needs and those of society.

(To be continued: Refuting the capital-centred arguments of those in authority at ArcelorMittal Dofasco Hamilton surrounding the unilateral lowering of workers' claims on what they produce.)

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Contrecoeur Workers Demand Investments in Manufacturing


Contrecoeur, December 14, 2011 (FTQ)

On December 14, ArcelorMittal steelworkers in Contrecoeur (formerly Sidbec-Dosco) held a rally at the factory gate to demand ArcelorMittal invest in the plant to modernize production and increase the number of workers. The rally was part of the campaign launched by the steelworkers called, "The lemon has been squeezed dry -- Invest!" The steelworkers have had enough of ArcelorMittal's frantic extraction of iron ore which it sends abroad without processing as part of the Northern Plan with the Quebec government's full support. Meanwhile the promises made of investments in Contrecoeur have not materialized. TML spoke with Claude Langlois, President of Local 6586 USW following the rally.

TML: Are you satisfied with your rally at the factory gate?

Claude Langlois: We are very pleased. There were between 350-400 workers -- mostly steelworkers from our factory plus those from some other plants who came to support us. We had good media coverage. Several politicians also came to support us, including the PQ MNA for Verchères Stéphane Bergeron and the political aide for the NDP MNA for Rosemont-La Petite-Patrie Alexandre Boulerice. Louis Plamondon, Bloc Quebecois MP for the Bas-Richelieu-Nicolet-Becancour riding who could not be present, sent a message of support. Three United Steelworkers Union representatives spoke: Guy Farrell, Assistant to Director for Quebec; staff person Pierre Arseneau and myself. All three of us focused on the investments that were announced and the fact that we are still waiting for them, and how it's inconceivable that so little of the second and third phases of transformation has been done and that even the first phase of transformation is being neglected. We also highlighted that the Quebec government is way off the mark with respect to the workers' preoccupations on this matter. Several residents also came to express their support and we feel the people are with us. The question of investments and manufacturing jobs is starting to concern a lot of people. Among the workers as well we see that the discussions are not the same as at the time of our fight for the steel beam mill in 2009. The concern is greater; the workers are conscious that if nothing happens we don't know what the future will hold. These concerns are heightened as the Northern Plan comes into play. People have heard about it and are making the link between the Northern Plan and what's happening here. The media interviewed the workers during the rally and they spoke very well.

TML: Tell us a bit more about the campaign for investments in manufacturing.

CL: In late October, ArcelorMittal announced it would invest to improve the wire mill. We were told recently that the investment was put on hold because of the price on the stock market, weakness in the European market, and more of the same. We said that makes no sense and started our campaign. We distributed leaflets on November 9 and 10 in front of the plant and yesterday was our rally at the gate to which we invited the media and politicians.

TML: What's left of the current production at the Contrecoeur plant?

CL: At the current levels of production there will be no slab produced in the last two weeks of December. Production will resume January 2. This slab production is what remains of the flat product we lost at the end of 2007 when the two mills were closed. We currently have two teams producing slabs. At the end of the last quarter, the plant management talked about moving to three teams but production is slow so we'll remain at two teams until the end of January. The company has not commented on what will happen at that time.

The entire Contrecoeur complex will close for the last week of December. All production will stop for a week except at the iron ore pellet reduction plant which can't really stop. But slab production and production of billet for the wire mill will stop for the last week of December. This represents about 400 workers. Through negotiations we were able to win work for our maintenance workers, mechanics, electricians and plumbers during the last two weeks of December. We fought hard for this and won thanks to a clause in our collective agreement that says if we are in a period of layoffs, they can't bring in contractors or sub-contract out our work. They have to give our people the work.

TML: Can you give us an idea of the reductions in the number of workers over the years?

CL: In 1982 we were 1,650 unionized workers at the plant. In 1994, when Mittal bought the factory we were 1,200 unionized workers. In 2008 we lost about 500 more jobs and now we are about 530 unionized workers at the plant. The reduction of unionized labour, besides closing two large flat product mills, was done in several ways, for example by not replacing maintenance workers who retired, through technological changes, and through sub-contracting.


"ArcelorMittal, you can't save yourself with our resources."

The lack of investment makes no sense especially when you see ArcelorMittal announcing investments of $400-500 million a year for a reduction plant in Algeria. There is no lack of money. Meanwhile we are still waiting for investments in secondary and tertiary processing right here. Even the first transformation is increasingly neglected, especially in the context of the Northern Plan. I spoke with steelworkers in Fermont working at the iron ore mine. Increasingly, ArcelorMittal is just mining ore, loading it on boats and shipping it to Asia without even turning it into pellets in its plant. Tons of earth containing ore is shipped. The link with the Northern Plan is clear. They come here seeking our ore and have the government build infrastructure and roads for them. Quebec is paying for that.

In conclusion, for us the battle is for investments in manufacturing and we want to win this campaign. This is just the beginning -- we will not give up. Investment is everyone's fight. In late 2007 they closed the two mills in Contrecoeur because they didn't invest in that production. Production is still being done but was moved to Dofasco in Hamilton because they invested there. We're concerned that soon they'll tell us that the wire production plant is outdated too, that we're not competitive, etc. We don't want to be bled dry so the company can up and take off. Of most concern is the slab. If we lose slab production the cost of producing the other type of steel and billets, will greatly increase and then closure will be imminent. We can't and won't give up.

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Rio Tinto

Alma Workers Defend Union's Strength of Numbers to Ensure Working Conditions and Standard of Living

The Rio Tinto workers in Alma, Quebec, have rejected the latest offer by the mining and smelting giant and given a strike mandate to their union, the Syndicat des travailleurs de l'aluminium d'Alma. The workers' main demand is in defence of their unionized jobs, as Rio Tinto is attempting to reduce the workforce and use outsourcing to replace jobs with non-unionized workers under lowered conditions. The workers are calling for a minimum number of unionized jobs with the wages and working conditions that they have won through hard struggle, to be a condition that Rio Tinto must fulfill in exchange for the huge hydroelectric benefits the company enjoys in the region. Rio Tinto, on the other hand, is trying to mobilize the region against the workers, by saying that the aim of the workers' demands is to prevent the people of the region from accessing the jobs. The Rio Tinto workers hold that their demands defend the standard of living of the population in the region by opposing collective impoverishment. TML interviewed Marc Maltais, the President of the Syndicat des travailleurs de l'aluminium d'Alma, Local 9490 of the United Steelworkers.

TML: Can you tell us about the general meetings held recently on Rio Tinto's contract offer and the strike mandate?

Marc Maltais: We held three general meetings. At the meeting for the bargaining unit for the potlining centre, participation was 100 per cent, and the vote was 100 per cent in favour of rejecting the offer and giving a mandate to go on strike when the time is right. Of the unionized office workers, 24 out of 25 members of their bargaining unit took part in their meeting, making their participation rate 96 per cent. They voted 96 per cent in favour of rejecting the company's offers and in support of the strike mandate. At the meeting of the hourly wage earners' unit, the participation rate was 92 per cent and the workers voted 95 per cent in favour of rejecting the offer and in support of the strike mandate. Of the 680 hourly wage earners, 632 participated in the meeting. Our members' participation rate is always pretty high, and this is the case in the current situation.

TML: What are the main issues facing Rio Tinto and the workers in these negotiations?

MM: Basically, the conflict is about maintaining our relative strength as a union. People understand that in our struggle over outsourcing and for the creation and maintenance of good quality jobs, we're aiming to keep our relative strength with respect to Rio Tinto. They understand that as workers retire from their jobs, the employer is not guaranteeing that they be replaced by unionized workers, and that the employer can hire contractors instead. As a consequence, in a period of negotiations, strike or other conflict, these contractors will be used to keep the plant running and cause the loss of jobs at the plant. At this time, we are not fighting over salaries or pension funds, but all the working conditions are being called into question insofar as we will no longer have any real relative strength to defend them.

In a strike or lockout, there would be consequences insofar as third parties would be running the plant. Not to say they would be scabs; they would be working legally, but they would run the plant and we would lose our relative strength. All the conditions that were acquired through sharp struggles since 1943 can be thrown out. This means that future generations cannot be assured of having the same rights that we have today. To keep our relative strength is to pay homage to our predecessors. That's the essence of the matter, and that's what's convinced people. In my bargaining unit, we have held two meetings lasting more than two-and-a-half hours, and there was only one question asked about the employer's package deal.

The employer claims that it is not demanding concessions, but this is just an attempt to pull the wool over our eyes. When you know how to read and analyze the company's offers, you can see how it's setting about to "gently" bring us to our knees. Rio Tinto sees the future of its aluminum works like this: If you don't siphon tanks or cast metal, you are part of the "non-core;" you are not essential and your job can be outsourced. Everyone feels targetted. The company constantly discusses "core" and "non-core." Our take on this is that for the moment the company will remove the service jobs and say that the rest is still "core," but once the services are removed, it will not hesitate to replace production workers, meaning replacing someone who earns $34 an hour with someone who earns $12. I don't believe that these multinationals are going to keep people in their jobs with decent conditions unless we make them do it.

The company's aim is to perform well for its shareholders. No matter how high its profits, its goal is to keep increasing them. That's the company's sole aim. But in no way is it ours.

We live and work on this land which has vast natural resources and we expect a normal return in exchange for the multinationals' use of these resources. We are glad to earn our living, but this must be done under good conditions. Furthermore, we are not dealing with a company that is under the protection of bankruptcy legislation. This is a company on a roll. The heads of the multinationals in this sector agree that the aluminum smelters are going to have difficulty in meeting demands. Rio Tinto's Alma plant has the fourth largest production capacity of all its factories and is the most profitable. We are certainly not in concession mode. The workers' message could not be any clearer.

TML: Can you tell us about the mobilization that the union is carrying out to win its demands?

MM: We have worked pretty hard over the last few months. We think that well-informed members make better decisions. Just last week, we met with all the workers, all 800 of them, one by one. We did this work on all three shifts to meet with everyone. Every week, we send out a report, the Jaseur express, which is an information bulletin that reports on what happened the previous week. As we speak, people are receiving our newspaper, which we issue five to six times per year. Each month, we have a general meeting and we have also had a consultative council. We have had sessions to find out what the problems are. People are informed and eager to learn more. They aren't following us just for the sake of it; they understand that individual workers can make gains only through the collective.

We have a lot of success with the youth who are one of our strengths. The average age at the plant is 41. We have a lot of youth. If the youth are consulted, they feel they are part of the solution and they will be there. We must be capable of channelling this energy. To do so, we must be capable of getting out of our comfort zone and going to see and consult with them.

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