> WW News Service Digest #199 > > 1) United Airline ESOP: A case for workers' control > by "WW" <[EMAIL PROTECTED]> > 2) Amazon.com union drive gains steam > by "WW" <[EMAIL PROTECTED]> > 3) All out Dec. 9 for Mumia > by "WW" <[EMAIL PROTECTED]> > 4) Socialism & the revolutionary party: How Cuba has survived > by "WW" <[EMAIL PROTECTED]> > 5) Preparing for a recession > by "WW" <[EMAIL PROTECTED]> > 6) Collapse of the global warming conference > by "WW" <[EMAIL PROTECTED]> >------------------------- >Via Workers World News Service >Reprinted from the Dec. 7, 2000 >issue of Workers World newspaper >------------------------- > >UNITED AIRLINE ESOP: A CASE FOR WORKERS' CONTROL > >By Milt Neidenberg > >Workers' control of an industry or corporation facing >protracted crisis is an option that has been too long >ignored in the United States and abroad. Following World War >II, workers in West Germany, Belgium, France and, in >particular, Sweden, instituted workers' control. > >If the workers have no socialist perspective and the >capitalist system remains in place, workers' control can >eventually falter and management sooner or later will regain >control. Nevertheless, the struggle for workers' control is >far superior to just allowing waves of plant closings, >corporate bankruptcies, mass layoffs and the general anti- >labor assault resulting from the restructuring of a major >corporation or an entire industry to go unchallenged. > >When a modern industrial corporation has been destroyed by >its institutional bankers/shareholders, it is possible for >them and the managers to be thrown out and the industry put >under the workers' control. > >The Bridgestone/Firestone tire scandal and the crisis in the >tire industry are classic examples of such an anti-labor >assault. Firestone has announced a second round of layoffs >and plant closings that will affect 1,100 workers for at >least five months. And as it shuts down the plants, the >company plans to furlough thousands more workers. > >It should be unacceptable for Firestone management to go >unchallenged in its decision to close plants and lay off >thousands of workers. To date, however, the Steelworkers >union leadership--which represents the unionized rubber >workers--has cooperated with management. > >CORPORATE STRATEGY: MAKE WORKERS PAY > >"Make the workers pay" is the strategy of Corporate America >and the Wall Street bankers when a major crisis confronts >them due to their obscene drive to increase profits and >intensify the exploitation of the workers. > >Over the years, through boom and bust cycles, the ruling >class has developed many schemes to reinforce its main >objectives: preserving the private ownership of the >factories and control over the workers. > >One cruel hoax perpetrated with the financial assistance of >commercial and investment bankers, along with the >government, is the establishment of Employee Stock Ownership >Plans, commonly known as ESOPs. > >The pattern begins with a company that has a cash-flow >problem. It is heavily in debt due to limitless salaries, >enormous bonuses and stock options for top executives and >wild speculation in the markets. > >Management desperately needs to borrow more money from the >banks. Earnings are down and they can't afford to pay >exorbitant interest rates. > >The banks encourage the company to start an ESOP. Since the >company is near bankruptcy, the bankers must be guaranteed >that the workers will contribute their savings and other >resources to the ESOP. A loan is made to the ESOP and the >workers turn it over to the company in exchange for stock. >The banks receive huge tax relief and other benefits, thanks >to government legislation. > >ESOPs are not new. They originated in the 1920s, then >collapsed during the great October 1929 stock market crash. >The capitalist crash was fueled to a large extent by a >combination of wild stock market speculation and investments >and a crisis of highly-leveraged corporate and government >debt--all rooted in the crisis of capitalist overproduction. > >The crash led to waves of plant closings, bankruptcies, >massive unemployment and unprecedented poverty and misery. > >After a few years of catastrophic economic collapse, the >response from workers--particularly the unorganized >industrial workers--was to occupy the plants. They organized >sit-down strikes and other forms of militant struggle. ESOPs >disappeared during this wave of revolutionary activities. > >ESOPs returned in the 1970s and grew throughout the period >of capitalist economic restructuring of the 1980s-1990s. > >ESOPs are a win-win situation for everyone except the >workers. The banks get more money. The company gets major >concessions from the workers, who are threatened with >layoffs and cutbacks if they don't go along. Included in >this trickery is the illusion that a stock ownership plan >gives the workers influence in corporate decisions. > >UNITED AIRLINES: A BASIS FOR WORKERS' CONTROL > >However, there is one ESOP that holds the potential to turn >this deception into a struggle for workers' control. It >deserves the attention of the unions involved and the entire >labor movement. > >This is the stock ownership agreement between United >Airlines, the 10,000 pilots represented by the Air Line >Pilots Association, and the 49,000 mechanics and other >airline workers represented by the Machinists union. It's >the largest ESOP in the world. > >In 1994, workers were given a whopping 55-percent stock >ownership in United Airlines, the world's largest carrier, >in exchange for big wage cuts and work-rule concessions. The >pilots and mechanics saw the ESOP as the only way to save >their jobs. > >If you add up the value of the labor power that makes United >Airlines run and other assets, such as pensions and deferred >wages and benefits, it's clear that ownership really belongs >to the workers. Most important, they have the experience and >know-how to run the company. Herein lies the basis for a >major struggle for workers' control. > >United management would challenge this with all its power. >The company would claim that stock received by the unions in >exchange for major concessions isn't ordinary stock. It >can't be bought or sold. It can be redeemed at market value >only when an employee retires or quits. And it's not voting >stock, although each union has one member on the board of >directors. > >While this is true on paper, the 60,000 Pilots and >Machinists can be powerful enforcers of their ownership >rights. They can challenge the legitimacy of the few bankers >and corporate managers who have sucked the equity out of the >company, imposed intolerable anti-union policies and >endangered airline passengers by putting profits before >safety. > >WHO MAKES THE DECISIONS? > >Over the last six years, United forced the unions into a >protracted crisis, demanding more give-backs even as the >airline experienced a 16-fold increase in net income since >the ESOP was formed. > >Now United has agreed to buy out US Airways for $11.6 >billion and assume $7.3 billion in debt--a move with serious >repercussions for the workers, who had no say. > >Now the struggle is heating up, and the issue is: Who should >make the decisions on operations and control? > >Currently 49,000 Machinists members are still waiting for a >new contract with United. The last one expired in July 1999. > >The Machinists' rank and file are fighting back. The workers >are resisting mandatory overtime, threatened suspensions and >other penalties. They want to spend more time on maintenance >and ground planes that don't meet safety standards. > >There are many other issues of contention with management, >such as the union's struggle to get back the huge wage and >benefit concessions it made in 1994. > >Although the Pilots recently reached a contract settlement, >there is great sympathy among them for the Machinists' >struggle. > >United has issued widespread anti-union ultimatums to avoid >flight cancellations during the holidays. The company went >into a federal court in late November and got a judge to >issue a temporary restraining order against the nominal >worker-owners. > >The company then ordered mandatory overtime and a speedup in >plane maintenance and inspection to avoid flight >cancellations. The issue is profits over safety, the flying >public be damned. > >WORKERS' CONTROL SUPERIOR TO ESOPS > >The experience of this ESOP shows the potential struggle for >power over who should control United and run its operations. >It's a struggle that calls for the mobilization of the >60,000-member unionized workforce, including pilots, >mechanics, baggage handlers, customer service agents and >others. > >In his book "High Tech, Low Pay," Workers World Party >Chairperson Sam Marcy stated, "Unlike ESOPs, [workers' >control] does NOT put financial control in the hands of a >bogus group of management-appointed or bank-controlled >supervisors who in effect make decisions without any vote of >the workers." > >Marcy said: "Workers' control is not a permanent or stable >form of struggle, given the nature of the capitalist system. >However, it is superior to the ESOPs as a transitional form >in the overall class struggle against the bosses... it makes >all decisions regarding operations and control only in >consultation with and by consent of the workers." > >Workers at United can resist management's authority to >define the limits of their ESOP. They can put on the >negotiating table the issue of their right to control and >operate the company. > >This must be coupled with a well-planned, militant campaign >organized in the spirit of the historic sit-down strikes and >occupations of the 1930s that raised the level of the >struggle and challenged the property rights of the >corporate/financial institutions. > >- END - > >(Copyleft Workers World Service: Everyone is permitted to >copy and distribute verbatim copies of this document, but >changing it is not allowed. For more information contact >Workers World, 55 W. 17 St., NY, NY 10011; via e-mail: >[EMAIL PROTECTED] For subscription info send message to: >[EMAIL PROTECTED] Web: http://www.workers.org) > > > > > > > > >Message-ID: <010b01c05e4a$98894e20$0a00a8c0@linux> >From: "WW" <[EMAIL PROTECTED]> >Subject: [WW] Amazon.com union drive gains steam >Date: Mon, 4 Dec 2000 18:33:11 -0500 >Content-Type: text/plain; > charset="Windows-1252" >Content-Transfer-Encoding: 7bit > >------------------------- >Via Workers World News Service >Reprinted from the Dec. 7, 2000 >issue of Workers World newspaper >------------------------- > >AMAZON.COM UNION DRIVE GAINS STEAM > >By Gery Armsby > >Customer-service workers based at Amazon.com's Seattle >headquarters have launched a union drive, sparking world >attention. Amazon.com is the e-tail icon of the "new >economy." > >While Wall Street analysts look on nervously, workers hope >their efforts will build majority support for union >recognition and ultimately a union contract for 400 customer- >service employees. The "reps" are the backbone of >Amazon.com's coveted reputation for customer service. The >company has used these workers to strategically position >itself in the market and attract investors, although it has >not turned a profit after five years of operations. > >The union petition takes up the core concerns of customer- >service reps at Amazon. com. Job security and wages top the >list. > >Workers want to keep their jobs, and they want protection >from arbitrary dismissal and discipline. They are also >concerned that the company is expanding its customer-service >operation into cheaper labor markets at the expense of >Seattle jobs. > >On the organizing committee's Web site, workers say current >compensation is not "commensurate with the role that we have >played in making Amazon.com what it is today. The value we >contribute to the company in helping build lasting customer >relations must be recognized and rewarded in our >compensation." > >Other issues include scheduling, respect and honesty in >employee relations, career development and advancement >opportunities. > >The group leading the organizing drive is called >[EMAIL PROTECTED] It seeks to be recognized as the union >representing the collective interests of customer-service >reps at Amazon.com. > >If it's successful, [EMAIL PROTECTED] will become a part of >WashTech--the Washington Alliance of Technology Workers, a >local affiliate of the Newspaper Guild/Communication Workers >union. > >The name [EMAIL PROTECTED] has special meaning to Amazon.com >employees. One "tier three" customer-service employee >explained, "We call our group [EMAIL PROTECTED] because >[Amazon. com President and CEO Jefferey P.] Bezos is always >telling us, 'It's Day One, we can't stop or rest,' and we >think five years of Day One is generating lots of problems >for us." > >ORGANIZING DRIVE SPREADS FAST > >Just two days after the reps in Seattle went public with >their petition drive, an organization based in Washington, >D.C. announced efforts to organize 5,000 Amazon.com >warehouse employees in the United States, France and >Germany. > >Another big boost came just before the "thanksgiving" >holiday when management introduced three swift policy >changes for the reps. Amazon.com bosses reduced holiday >phone shifts, instituted free massages and ended the >requirement that individual reps send out the company's >official anti-union e-mail message to customers. > >Eliminating mandatory phone shifts for some workers during >the holiday was a big victory. Instead of answering customer >questions on the phones, they answered customer e-mails--a >much less stressful activity during one of the higher volume >customer-service days this year. > >Free massages will help relieve the high stress of the busy >season. While these massages during the holidays are not >new, last year employees had to pay $15 for them. Now that >management is facing a union drive, Amazon.com seems to have >come up with a way to absorb this cost. > >Since early November, Amazon.com management had required its >customer-service reps to send anti-union e-mail in response >to customer inquiries about the union drive. In the e-mail, >Amazon's management said, "While unions do have a role in >society, at Amazon.com, everyone is an owner and can >exercise individual rights to raise any work-place issues or >concerns at any time." > >Organizers argued that requiring individuals to send out >such a message may have violated U.S. labor law. The e-mail >incorrectly called workers "owners"--because employees >receive part of their pay in stock options that recently >lost a great deal of value in the reeling tech market--and >implied that they therefore cannot exercise the right to >organize. > >Amazon.com quickly changed its tune. Now reps are not >required to send out the anti-union message. They may >instead forward any inquiries about the union drive to >supervisors. > >These changes are clearly efforts to try to subdue the drive >to unionize by enticing Seattle customer-service reps with >favorable shifts in policy. But statements on >[EMAIL PROTECTED]'s Web site indicate that management's >reaction did not diminish their resolve one bit. In fact, >rather than turning them from organizing, it gave workers a >taste of what they can achieve through building the union >drive. > >To learn more about this important struggle, readers can >check out the Web site www.washtech.org or e-mail >[EMAIL PROTECTED] > >- END - > >(Copyleft Workers World Service: Everyone is permitted to >copy and distribute verbatim copies of this document, but >changing it is not allowed. For more information contact >Workers World, 55 W. 17 St., NY, NY 10011; via e-mail: >[EMAIL PROTECTED] For subscription info send message to: >[EMAIL PROTECTED] Web: http://www.workers.org) > > > > > > > > >Message-ID: <011301c05e4a$b0b1b140$0a00a8c0@linux> >From: "WW" <[EMAIL PROTECTED]> >Subject: [WW] All out Dec. 9 for Mumia >Date: Mon, 4 Dec 2000 18:34:01 -0500 >Content-Type: text/plain; > charset="Windows-1252" >Content-Transfer-Encoding: 8bit > >------------------------ >Via Workers World News Service >Reprinted from the Dec. 7, 2000 >issue of Workers World newspaper >------------------------- > >MOVEMENT'S URGENT CALL: "ALL OUT DEC. 9 FOR MUMIA" > >By Greg Butterfield >New York > >Across the United States and around the globe, supporters of >Black freedom fighter Mumia Abu-Jamal will take to the >streets Dec. 9 to demand a new trial. December 9 marks the >19th anniversary of the brutal police assault that led to >Abu-Jamal being convicted of murder and put on >Pennsylvania's death row. > >On Dec. 9, 1981, the radio journalist was driving a cab in >his Philadelphia neighborhood. He saw a white cop assaulting >his brother. Abu-Jamal got out of his car and tried to break >up the attack. He was shot, and so was the cop, Daniel >Faulkner. Faulkner later died and Abu-Jamal was convicted of >killing him. > >Abu-Jamal has always maintained his innocence. Much evidence >has been brought forward to support his claim. Supporters >say he was targeted for a political frame-up by the >Philadelphia cops. Abu-Jamal had long been a thorn in their >side with his hard-hitting reports exposing police brutality >and the city government's war against the MOVE organization. > >Recently evidence has emerged of illegal collaboration >between the judge, prosecutor and public defender in Abu- >Jamal's 1982 trial. > >Pam Africa, coordinator of International Concerned Family & >Friends of Mumia Abu-Jamal, said, "Our continuing national >and international mobilizations are the strongest way to >compel federal Judge William Yohn to meet his constitutional >obligations to ensure justice in Mumia's case." Yohn is >currently considering Abu-Jamal's appeal and could order a >new trial. > >The Dec. 9 protests will also raise the case of Native >political prisoner Leonard Peltier, who is fighting for >clemency after 25 years in federal prison, as well as >government threats to jail Refuse & Resist! leader Clark >Kissinger. > >Kissinger is under "administrative probation" for >participating in a 1999 civil disobedience at the Liberty >Bell. He may be jailed by a federal judge Dec. 6 for defying >probation and attending a demonstration at the Republican >Convention last August. > >NEW YORK MARCH AND RALLY > >In New York, the NY Free Mumia Coalition has called for a >march at noon Dec. 9 from 96th St. and Broadway on >Manhattan's Upper West Side to the Mother AME Zion Church, >located at 140 W. 137th St. in Harlem. A rally will be held >at the church starting at 3 p.m. > >The New York march has been endorsed by State, County and >Municipal Employees District Council 1707, International >Action Center/Millions for Mumia, the Leonard Peltier >Defense Committee, Asians for Mumia, former U.S. Attorney >General Ramsey Clark, former Black Panther Party leader >Kathleen Cleaver, the New York State Greens/ Green Party of >NY, City Council member Bill Perkins, the Center for >Constitutional Rights and many more. > >Speakers include Pam Africa, former Mayor David N. Dinkins, >Daily News journalist Juan Gonz·lez, and Julia Wright, >coordinator of the French chapter of Concerned Family & >Friends. > >In San Francisco, the Mobilization to Free Mumia Abu-Jamal >has called for a noon rally at 4th and Market streets. >Protests are also planned in Seattle and many other cities. > >The Dec. 9 day of action coincides with a "Week of Activity >to Stop the Death Penalty and the Execution of Mumia." >December 4, the kick-off day, is also the anniversary of >Black Panther leader Fred Hampton's assassination by Chicago >police. Students on various campuses will leaflet, hold >meetings and sponsor teach-ins. > >Dec. 6 is "Resisters Day," highlighting support for >Kissinger and others who've been arrested in various >protests for Abu-Jamal. On Dec. 10--International Human >Rights Day--1 million signatures will be presented to the >United Nations for an international moratorium on >executions. In New York, there will be an important march to >the UN for Peltier. > >On Dec. 11, an international delegation will attempt to meet >with U.S. Attorney General Janet Reno in Washington about >Abu-Jamal's case. > >IAC/Millions for Mumia leader Monica Moorehead told Workers >World: "The week of Mumia activities culminating with the >important march and rally in Harlem Dec. 9 is a welcome >antidote to the stalemate in the presidential elections. By >giving 24-hour-a-day attention to the anti-democratic >process of who will occupy the White House, the big-business >media is attempting to divert attention from the very >important issue of fighting all forms of racist repression. > >"The struggle to free our brother Mumia embodies this very >battle," she said, "especially the struggle against police >misconduct and the growth of the prison-industrial complex. >It's very much tied to the emerging worldwide movement >against corporate greed and exploitation. The same >capitalist system that seeks Mumia's execution wants to turn >the world into a giant sweatshop to extract super-profits >for the ruling class." > > _______________________________________________________ KOMINFORM P.O. Box 66 00841 Helsinki - Finland +358-40-7177941, fax +358-9-7591081 e-mail [EMAIL PROTECTED] http://www.kominf.pp.fi _______________________________________________________ Kominform list for general information. Subscribe/unsubscribe messages to [EMAIL PROTECTED] Anti-Imperialism list for geopolitics. Subscribe/unsubscribe messages: [EMAIL PROTECTED] [EMAIL PROTECTED] _______________________________________________________
