Building and Wood Workers’ International (BWI) World Board and Council members, a body with 324 affiliated unions, discussed key political issues and assessed the activities they have carried out in 2008 and the repercussions of the global financial crisis on BWI affiliates.
The World Council discussed the international financial crisis and its impact on the building, wood and forestry industries. The ILO estimates that the present financial crisis is likely to lead the loss of some 20 million jobs worldwide. Construction, real estate, financial services, and the auto sector are most likely to be hit. Migrant workers are likely to be the first to lose their jobs. Participants stated that the full implication of the crisis for trade unions cannot be estimated. However, the crisis will put the trade union movement globally and its members under severe pressure.
Construction, being to a large extent depending on public investment for infrastructure and housing, is one of the hardest hit sectors, followed by the knock on effects of reduced demands for building materials and wood. Global construction growth will slow to under +2% in 2009, according to US economic forecasting company Global Insight. This will be the slowest growth rate since 2002, when the worldwide industry grew by just +0.1%, and a marked slowdown from the intervening years when global growth was between +4% and +6%.
In the forestry and wood industries all regions are affected by slowdown and recession. Netherlands – layoffs of temporary or contract workers first measures – 20% of industry workers; Canada – sawmill cutbacks and closures (US sales are down 32%) – US housing market annually consumes 80 % of BC interior production; Chile – job cutbacks in forestry and mills – large exporter to US housing market; Kenya, Congo, Ghana – all suffering cutbacks and closures; New Zealand – sawmill closures and retail slowdown – IKEA scaling back store openings. Participants asked for a new recovery plan to stabilize global capital markets and to bring forward infrastructure investment programmes, particularly focusing on alternative energy development, energy saving and conservation measures.
The 4th World Urban Forum, the global meeting of UN Habitat, was held in Nanjing, China at early November 2008 with more than 8,000 delegates. Anna Tibaijuka, Executive Director United Nations Human Settlements Programme (UN-HABITAT) and the Executive Director of the ILO, Tyao Fashoyin, together with a representative of the United Cities and Local Governments, UCLG, participated at a special BWI and ILO session on Decent Work and emphasized their commitment of good labour standards in the process of rapid urbanization. The BWI raised issues of decent working conditions for migrant workers and the importance of good public procurement rules. The BWI also participated in a roundtable with City Mayors.
Climate change: In the climate change discussions forestry, building and cement sectors are crucial both to reduced CO2 emissions as well as new energy technologies. The BWI therefore organized (together with the EFBWW and the NFBWW) a meeting to prepare for the global Climate change meeting to be held in Copenhagen in December 2009, COP 15 and the meeting in Poland in November 2008. The focus is on sustainable development and the global policy on sustainable forest management should be followed by a similar policy on sustainable building work.
World/Euro football championships: The organizing campaign for the World Football Cup 2010 in South Africa, has been successful at various sites organizing 10,000 building workers and also in reaching good collective agreements. Regarding 2012 in Europe Poland/Ukraine, the BWI is in the process of preparing the campaign.
Public procurement and Occupational health and safety (OHS): During the last ILO conference discussions in May 2008, the BWI pushed for a ratification campaign for ILO Convention 94 (Labour Clauses in Public Contracts) and a protocol to introduce additional labour clauses that would bring the Convention up to date with the requirements of the World Bank and the International Finance Corporation. An ILO Global Forum on Procurement will be held in February 2009. The BWI also reported on the World Congress on health and safety held in South Korea attended by 4,000 delegates.
Global Forum on Migration (GFMD November 2008, Philippines): The BWI was together with other Global Unions actively involved both in the civil society forum and in the march grouping around 5,000 people to raise issues on decent work and equal rights for migrant workers.
International framework agreements: BWI concluded its 13 IFA with Italcementi in June 2008. In addition, EFBWW in co-operation with BWI promoted networking beyond the EU and Europe of European works councils and therefore strengthened and developed union networks in Europe (Lisbon cement conference in June 2007 for worker's representatives from Holcim, Lafarge, Cemex, Heidelberg, Italcementi and Buzzi and Global Construction Conference for EWCs and international trade union representatives from Vinci, Bouygues, Hochtief, Skanska, Eiffage, Strabag, Bilfiger Berger took place in June 2008). Trade union networks beyond the EU and Europe exist for Holcim, Eiffage, Etex and Skanska. Finally, the proposal for an amendment to the new BWI model agreement submitted by UCATT was accepted. The text is much stronger to fight bogus self-employment.
Wood and Forestry: The FSC general assembly in Cape Town (November 2008) adopted a trade union motion on ILO core labour standards to be included in the FSC chain of custody certification system. Affiliates are encouraged to increase their involvement in national and global certification schemes. The global financial crisis and the associated industrial slowdown are already having repercussions on employment in the wood and forestry industries globally. It is feared that slowdowns and cutbacks may lead to a quicker re-structuring worldwide with employment moving from North America and Europe to other regions, such as South East Asia and Latin America.