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NOVEMBER REVOLUTION & SOCIALIST CONSCIOUSNESS - Sukomal Sen

OCTOBER Socialist Revolution, which occurred in Russia on October 17, 1917 is now more known as November Revolution occurring on November 7, 1917 according to the revised Russian calendar. This first socialist revolution in Russia is obviously, a world shaking event and its significance is assuming more and more relevance in today’s world – a world passing through the tremor of an unprecedented crisis of world capitalism, grave recession and cruel imperialist offensive. The latest world crisis of capitalism completed its second anniversary on September 15 this year and its unbearable impact on the working class and the poor of any capitalist country and the dimension of worldwide struggles of the working class against the offensive is unforeseen. Thus, this catastrophic world crisis has added further practical importance to November socialist revolution.

Imperialist hegemony and its destructive war machine have got sharpened recklessly today, threatening the entire world by its hegemonistic devices, either by sheer force or by shrewd diplomacy. The imperialist-designed neo-liberal economic model seeks to dominate the entire world market in ruthless pursuit of profit and consequent exploitation of the working class and the common people.

It is Russia, a backward country ruled by medieval Czardom, which in 1917 broke the “weakest link” of the capitalist chain, as Lenin explained, and it succeeded as the first country in the capitalist world to establish rule of the working class. It is the most important aspect of the Russian Socialist Revolution that it was the first revolution in the world which dared to put an end to exploitative rule of this or that section of the bourgeoisie continuing to establish their class rule.

Ultimately Soviet Socialist State came to an end in 1991 for numerous reasons, mostly grave distortions and deviation from the revolutionary theory of socialism. That is a separate study and the causes are still being investigated by the Marxists all over the world.

FORMATION OF SOCIALIST CONSCIOUSNESS

The Soviet socialist revolution vividly put the question of socialist consciousness on line agenda. But to achieve the agenda is not an easy one, rather it is a historical process. The human race is the most important treasure in the world. And yet historically, most of humanity has developed under con­ditions of antagonistic social classes, under social relations based on exploitation. These conditions have encouraged human qualities that are less than propitious for building and strengthening socialism: heightened individualism, hyper-consumerism, egotism, apathy, alienation, greed, and cynicism. Many bourgeois thinkers and coun­terrevolutionaries argue that such traits are innate, that we cannot and should not expect anything more from people. This however is a belief, not a conclusion based on science. It is similar to the belief that "ability" and "intelligence" are discrete, quantifiable, geneti­cally based individual traits that have little to do with differences in history, culture, and environment. Yet to the contrary, there is much scientific evidence that disputes the notion that individuals have a fixed, immutable, essence. Human beings are subject to changes, including changes related to social context. Human potential is thus largely an unknown, as is the potential of the social environment to condition behavior.

The current complex and contradictory context, in particular, neo-liberal globalisation driven by imperialism in many devel­oping countries, reflects a fierce ideological struggle between two fundamentally different worldviews: Marxist-Leninist and bour­geois. These two opposing frameworks compete to influence the consciousness of the majority, their ideas, habits, and points of view, for example about what the main problems are today and how best to resolve them, even criteria for being "happy." Powerful imperial­ist forces are dedicated to producing and distributing propaganda promoting selfishness, insatiable desires for material goods, etc. Many of these pressures are sophisticated: promoting ideas that on the surface appear progressive, but instead are reframed so as to be reactionary. In the phase of neo-liberal globalisation diversified social interests and class contradictions produced thereby, two phenomena that can easily encourage careerism, opportunism, a lack of solidarity, and weak commitment to building socialism. For example, many urban pro­fessionals, making good money, maintain lifestyles that isolate them from the concerns of those who are less privileged, eg, factory and rural workers, stay-at-home parents, pensioners. Just as it would be a mistake to underestimate the power of capital and its ability to expand - no matter who is in control of it, would be a grave mis­take to underestimate the negative effects, including ideological, of accelerating economic development.

REVOLUTIONARY CONSCIOUSNESS

Though Soviet Union does not exist any more, the ever lasting effect of construction of socialism in Soviet Union will remain an agenda not only now, but in the distant future also.

In order for socialism to be constructed and maintained, indi­viduals who understand the value of cooperation for universal aims, who demonstrate genuine concern for the common good (including clean air and water, sanitation, and an equitable allocation of natu­ral resources), and solidarity with working people throughout the world are essential. At the same time, the transformation of society into a mature socialist society requires individuals with these perspectives. Revolutionary consciousness is both required and cre­ated under socialism. Marx, Engels, and later Lenin demonstrated the relationship between change in social conditions and change in people themselves, through socialist education and socialist prac­tice, guided by scientific socialist theory. Still, it is not uncommon to hear some misguided socialists and Marxists argue that ever-expanding economic development will, by itself, result in the establishment of socialist relations of production and therefore socialism. The achievement of socialism is, from this perspective, largely a technical issue. From this viewpoint, revolutionary consciousness, if considered at all, is presumed to result once a certain level of economic development has been attained. The assumption is that if the proper political party is in power, thereby guiding the building of a socialist society, then the destructive contradictions of bourgeois society will be over­come. This perspective also typically maintains that (a) developing consciousness is secondary to expanding the forces of production, and (b) mobilising people in support of State policies is sufficient for developing socialist consciousness. This notion betrays a degeneration of revolutionary ideology among those individuals who claim themselves as socialist or Marxist.

History has demonstrated, however, that economic develop­ment can continue to evolve and expand, using highly advanced, science and technology, without either the establishment of socialist relations of production or socialist consciousness. Even as the material foundation for socialism exists in the United States in so far as capitalist development is concerned, for example, socialist ideological development is far from prevalent in that country. It is true that social life creates consciousness and not the reverse. It is also true that we cannot will social relations of production into being. The notion that socialist consciousness automatically results from advances in production, however, is mistaken. New relations of production create only the possibility, not the inevitability, of socialist consciousness.

A transition from capitalism to socialism occurs intention­ally, that is, by people who understand what they are creating and why. People with particular perspectives, habits, customs, beliefs, criteria, attitudes, relationships with others, in addition to specific abilities and knowledge, are critical in order for socialism to advance. In What Is to Be Done, Lenin addressed how the working class becomes conscious as a class, for itself. Such understanding was necessary for him in order to argue and develop revolutionary strategy. Lenin argued that the widespread development of revolutionary, scientific consciousness was necessary in order to trans­form the existing socioeconomic system into one that functioned in the interests of the majority of the population, enabling individuals to fully realise their human potential. While attaining socialist con­sciousness is a long-term process, postponing systematic attention to this process until a certain level of economic development has been attained, undermines the ability of the masses to learn, to plan and manage society in all its aspects. It also fails to increase the number of individuals who identify themselves with socialist aims. Thus while developing the economy is essential to building socialism, those who treat economic growth as the sole objective of socialism via developing productive forces fail to grasp the essential role of ideology in the class struggle and its critical importance during all stages of economic development and social transformation.

SOCIALIST TRANSFORMATION

Socialist transformation implies not only a society where politi­cal power rests in the hands of working people but also the mainte­nance and constant strengthening of socialist gains. Securing social­ist gains and continuing to realise further gains can only be a diffi­cult, lengthy, contradictory, and often dangerous effort. History has demonstrated as such. New policies, laws, institutions, and orga­nisations are continually subjected to the influences of new (and old) bourgeois, revisionist, and other opposing forces. This effort requires the dictatorship of the working people, meaning that social, economic, and political systems ensure the interests of the vast majority of a population with popular participation itself.

While the Communist Party aims to represent the interests of the working class and to be the primary vehicle that enables and sup­ports the working class to fulfill its political functions, at the same time, the workers' dictatorship or in other words – proletarian statehood is not something that can be carried out by any group or the other than the working class itself. The dictator­ship of the proletariat is a dynamic process effectively exercised by the working class. Indeed, a Marxist view of democracy is ensured when the vast majority of the population exercises state power of itself and for itself, assuming its role and rights in directing and managing society. Structuring broad popular participation into political, eco­nomic, cultural, and social decision-making at local, regional, and national levels of society is essential to guarantee that the State indeed functions in the interests of the majority of ordinary people. State power therefore poses the question of participation. Popular struggles around concrete issues, especially when guided by communists and their allies, also help the interests of the majority are ensured by leading to confronting abuses of power and by demanding justice. Grassroots self-organisation, promoting the interests of the working classes, where leaders are held accountable to those common aims, help raise consciousness, may result in real victories, and can help lay the groundwork for broader, long-lasting changes. The issue is also how to get ever closer to the popular masses, in order to under­stand their issues, their dreams, their forms of resistance, and to work with them towards common goals. By this, the ideological battle is won in practical work, not at the level of ideas.

(To be continued)

Source: www.pd.cpim.org
Vol. XXXIV, No. 44, October 31, 2010

MILLIONS MARCH IN FRANCE AGAINST PENSION REFORMS - R Arun Kumar

THE French parliament has narrowly given its approval to the pension reforms, which have caused a wave of strikes, demonstrations and protests across France, leading to petrol shortages and severe disruption to the economy. The senate voted 177 to 153 to approve measures including a rise in the official retirement age from 60 to 62. The lower house, the national assembly, had earlier given its assent.

The government, in the name of combating the severe global recession, had announced a slew of proposals to cut welfare programmes. Its first step was to reform pension – increase the minimum retirement age from 60 to 62 and limit obtaining a full pension from 65 to 67. The chief aim is to cut its yearly deficit by €100 billion at the expense of the workers. The recent budget proposes a cut in the public deficit to 6 per cent of GDP in 2011 from 7.7 per cent this year – the first phase of a plan to trim the gap to the EU’s 3 per cent ceiling in 2013. Even according to the budget minister, François Baroin, “never has such a deficit-reduction effort been undertaken”. The budget aims to achieve this target by not renewing some of the stimulus measures announced during the downturn and by limiting tax breaks. More importantly, it wants to mobilise “€7 billion from imposing a temporary freeze on job recruitment, job cuts and a spending cap in the civil service”. These budget proposals therefore, naturally add to the burdens of an already burdened common man. Many analysts have commented that the opposition to Sarkozy’s pension reform has forced the government to avoid presenting an even more “painful budget”.

INTENSE RESISTANCE

These measures initiated by the centre-right government of Sarkozy, met with intense resistance from the French working class. The opposition is so widespread, that Dominique de Villepin, former prime minister belonging to Sarkozy’s own party too expressed his reservations. “We can get the reform through, that’s not the essential question. It is important that the reform be fair and good for all Frenchmen. I remembered a top union leader at the time of the CPE, who said I could get the reform through, but it will provoke a movement of the youth, and then no one knows where that will go. It’s all the more reason to listen to them”. Apart from the political rivalry between Villepin and Sarkozy, the fact that more than 67 per cent of the population are opposed to these measures, forced a person like Villepin to voice his opposition. It should be remembered that Villepin was forced out of office in 2006 by mass demonstrations against his First Job Contract (CPE) labour reform.

The working class of France are once again up in arms. Starting from September, they have launched a sustained struggle against the so-called 'austerity' measures initiated by the Sarkozy government. In a recent demonstration, more than 3.5 million (35 lakh) people marched in 270 centres in protest against the reforms. For more than 10 days, various sections of the industrial workers were on strike. 12 refineries have been shut down for nearly two weeks. Striking dockers blocked ships trying to unload fuel. This had disrupted 'normal life' over the weekend, with over 30 per cent of petrol stations short of fuel. The strikes have hit a wide swath of the economy and life in France. Public transport, which includes the metro, Eurostar train and even the aviation industry was severely affected by the strike. Schools and colleges remained closed, as did post offices. Many civil servants restrained from attending offices, bringing the administration to a standstill. Tons of garbage got piled up in most of the cities, with the administration panicking of a potential health hazard. A recent survey reveals that 70 per cent of the people support these working class actions.

Youth and students too have come out in solidarity with the protesting workers. They had organised huge demonstrations synchronising their protests with the workers. Student unions have urged students to organise sit-ins at their schools and colleges. They said these protests are aimed at showing they can mobilise supporters during the half-term holidays, which begin this weekend. There were clashes between police and protesting youth in several cities.

ARROGANT ATTITUDE

Instead of heeding to the demands, Sarkozy adopted an arrogant attitude. The Socialist Party proposed an alternate plan to maintain most of the current benefits by imposing new taxes on capital gains to raise $34 billion necessary to finance the scheme. Refusing to heed to any of the alternate proposals and even talk to the workers, the French president is betting that his strong-arm tactics in facing down the unions and wearing down will restore his image among right-wing voters and be a launchpad for his 2012 presidential campaign. Sarkozy stated that the passing of the bill into law is “a victory for France and the French”. His government used a special constitutional clause to speed up the vote in the upper house after senators spent more than three weeks debating various clauses and amendments, many of them advanced by members of the Socialist party opposition. Pierre Laurent, the leader of the Communist party, said: “This ultimate provocation will not stop the will of the people, and cannot but increase the protests”.

Naturally, the ruling classes of France are extending their wholesome support to Sarkozy. The Wall Street Journal wants Sarkozy to stay firm “without facing down opponents of pension overhaul, Mr Sarkozy's austerity budget will count for little”. They want him to stand firm, as these measures help them to boost their profitability and re-establish their competitiveness by slashing wages and social spending. In this manner they are trying to shift the burdens of economic crisis on the working class.

The French government has deep pockets to bailout banks and other financial institutions, but hardly any for the working class and common people. It had allocated more than $460 billion for rescuing the banks and financial institutions during the current economic crisis. It states that it does not have resources to finance the pension scheme, which according to it is currently running a deficit to the tune of 32 billion euros, with the amount expected to grow to 45 billion by 2020.

RE-ENACTING LOUIS XVI &MARIE ANTOINETTE

Leaving none to doubt that 'austerity' does not mean cutting on lavish lifestyles of the rich and famous, Sarkozy doubled his annual salary to more than €228,089. A few days back he had purchased a new presidential jet, “bigger than used by all other heads of government in the European Union” for €180 million. Two French ministers were forced to resign in July, after row over the spending of thousands of euros of taxpayers' money on a private jet and cigars at a time when budget cuts are hitting the public. Austerity is indeed intended only for the working class and other toiling sections of the French society! One newspaper reader rightly posted a reaction: “Sarko and Carla are back acting like Louis XVI and Marie Antoinette again. They have no appreciation of what ordinary people are going through”.

More than 15 per cent of the French workforce is currently on a national minimum wage of €9.12-an-hour, with the unemployment rate spiralling towards the two million mark or 10 per cent. French workers’ productivity has risen five times since 1960. Although it has fallen slightly over the last two years due to the recession, it is expected to double again over the next 20 years. Their real wages on the contrary have not seen even a corresponding increase. Income inequalities too are on the rise with 280,000 US dollar millionaires or about 0.45 per cent of the total population living in absolute luxury, while millions are mired in poverty. Whatever little poverty reduction achieved was to a substantial extent due to the social welfare programmes. According to 2002 statistics, these schemes constituted nearly 50 per cent of the income for the poor. Now with the government, intent on withdrawing these welfare measures, these inequalities are bound to increase further.

French workers have won the right to retire on a state pension at 60 in 1982, after many struggles. It is the attack on their hard won rights and livelihoods that has angered the French workers and made them resolute in the struggle to defend their rights. Reports are published in the media about the 'losing steam' of these struggles. But France’s labour unions remain defiant. They say “98 per cent want to keep on striking.” Unions have called for a further day of mass strikes and protests on October 28 and another on November 6. Let us hope that the French working class would be successful in their struggles and build a better future.

Source: www.pd.cpim.org
Vol. XXXIV, No. 44, October 31, 2010

OBAMA VISIT: COUNTRYWIDE PROTESTS ON 08-11-2010

29 October 2010

The Left parties – the CPI (M), CPI, AIFB and RSP -- have issued the following statement:

The President of the United States, Barack Obama is visiting India. Being the first Afro-American President and coming after the neo-conservative Bush regime, there were expectations of positive changes. These, however, have not materialized.

On this occasion, the Left parties have decided to organise a countrywide day of protest on November 8, 2010. The United States, as part of its global hegemonic designs, is pursuing policies which are inimical to the national sovereignty and the people’s interests of many countries. As far as India is concerned, the United States is aggressively pressurising the government to adopt economic policies which are detrimental to the people in the name of a strategic alliance.

Contrary to the official view of the ruling establishment regarding the role being played by the United States, both globally and vis a vis India, the Left parties would like to convey the views of the vast mass of the people of India.

The Left parties will highlight the following issues on the protest day being organised on November 8:

1. Justice for the victims of the Bhopal Gas accident; to make Dow Chemicals pay for the damages and for the clean up of the factory site; US should extradite Warren Anderson to India to stand trial.

2. The United States should stop pressurizing India on foreign policy and to open up agriculture, retail trade, education and other services for American capital and multinational companies.

3. Scrap the Indo-US Defence Framework Agreement which seeks to convert India into a military ally of the United States. Stop pressurizing India to give up liability claims on US nuclear suppliers.

4. Withdraw the remaining 50,000 US troops in Iraq forthwith; have a political settlement in Afghanistan to establish an independent and neutral state and withdraw US-Nato forces immediately.

5. End the US embargo on Cuba; stop all assistance to Israel till it vacates the occupied Palestinian and Arab territories.

The Left parties call upon all its units to organise demonstrations and rallies on the above demands on November 8.

Sd/-
Prakash Karat [CPI (M)], A.B. Bardhan [CPI]
Debabrata Biswas [AIFB], Abani Roy [RSP]

Source: www.cpim.org

SITARAM YECHURY, M.P. ON PRICE RISE (Excerpts from the speech of Sitaram Yechury, M.P. in Rajya Sabha on 04.08.2010)

It is perfectly and completely possible to arrest this price rise. What is required is: Number one, immediately roll back your budgetary hikes. Number two, immediately universalise the PDS system and release your extra food stocks and distribute to the people. Number three, Ban Futures Trading and speculative trading on all essential commodities. Number four, stop giving these concessions to the rich. Instead, collect that money, improve public investment, give jobs to the people, so that the salaries they earn will increase domestic demand in our economy and that will spur the growth.

All this is perfectly possible. But if you do not do this, let me warn you, if you do not do this, the other things will happen because those who have money are getting more money and what will they do with it? It will only be the growth of crony capitalism. You had an IPL and BPL, that I spoke of earlier. Now, we heard about the Commonwealth Games scam that is happening there. Then, you have illegal mining that is going on. You will have growth of this sort of activities which will further impose burdens on the common man and increase and fatten the profits of the else. That is why, this process of crony capitalism is also distorting our democratic process. I am not going into that.

It is distorting our democratic process. Putting a ceiling by Election Commission for election expenses is a mockery of what amount is being spent. As a result of crony capitalism in elections, democracy itself is being destroyed. Forget socialism, democracy itself is being distorted under this process. Therefore, finally, I am saying, the entire question of controlling price rise is not a technical question of containing inflation.

You have to seriously rethink the economic trajectory that we are pursuing. Otherwise, crony capitalism will affect our democracy. What we pride ourselves as the biggest achievement in the process of decolonisation anywhere in the world is granting of adult suffrage in India through our Constitution. In that entire process and that experiment of this idea of India, that in itself will come under great threat. Therefore, I would only like to end by the warning that Babasaheb Ambedkar gave when he presented the present draft of the Constitution to the Constituent Assembly.

I am not giving any warning from the barrel of a gun but we all have to keep this warning in mind, otherwise, those sorts of grave threats are going to mount. What did Babasaheb Ambedkar said on 25th November, 1949, when he presented this draft of the Constitution to the Constituent Assembly? He said, " On the 26th of January, 1950, we are going to enter into a life of contradictions. "

In politics, we will have equality and in social and economic life, we will have inequality. In politics, we will be recognizing the principle of one man, one vote and one vote, one value. In our social and economic life, we shall by reason of our social and economic structure continue to deny the principle of one man, one value. How long shall we continue to live this life of contradictions?

How long shall we continue to deny equality in our social and economic life? If we continue to deny it for long, we will do so only by putting our political democracy in peril. We must remove this contradiction at the earliest possible moment or else those who suffer from inequality will blow up the structure of political democracy which this Assembly has laboriously built up.

So, please understand what you are dealing with. It is not merely a technical question of reducing price by a certain quantity or a certain percentage. You are dealing with a warning that Babasaheb gave more than 60 years ago. Sir, our country has completed 60 years. In your culture, in my culture, in most of Indian cultures, 60 years is very valuable in the sense that we call it Shashtipoorthi, if you remember; and when an individual completes Shashtipoorthi, he begins a new life. If you are really talking of the aam aadmi, then that Shashtipoorthi must be utilised to start a new life and therefore the time has come to reverse these policies. Otherwise, the warning of Ambedkar will come true, and, therefore, what I am saying is, do not allow the country to say what it said when Indira Gandhiji announced ‘Garibi Hatao.' After few years, all of us were shouting as students ‘Garibi Lotao’, return back what we were because our situation had become worse.
Now, in the name of aam aadmi, please do not inflict all these burdens on aam aadmi. Otherwise, there will be rebels, there will be agitations, there will be struggles but to gain the respect that we want to build for India as a modern independent India, reverse these policies and accept these concrete suggestions that I have given.

Source: www.citucentre.org

CHITTABRATA MAJUMDAR: REMEMBERING THE REVOLUTIONARY LEADER

The first anniversary of the demise of the revolutionary leader of the working class movement, former General Secretary of CITU, Chittabrata Majumdar was observed all over the country by CITU committees on 20th February 2008. Apart from leaders and Staff at the CITU centre, workers from all over Delhi, Ghaziabad, Noida and Faridabad gathered at CITU headquarters, BTR Bhawan, New Delhi to remember their dear leader 'Chittada', where a memorial meeting was held.

Kanai Banerjee, Secretary CITU presided over the meeting. Basudeb Acharia M.P, leader of CPI (M) in Loksabha and Vice President CITU, while paying tribute to Chittada said that we must strengthen the democratic stream within the trade union movement, as guided by Chittada and other leaders. He said that the concluding speech by Chittada in the 12th Conference of CITU will guide us in our future struggles and as the actual tribute to him we must strive to mobilize the entire workforce in the trade union movement in the fight against imperialist globalisation.

S Dev Roye, Secretary, CITU said that Chittabrata Majumdar was a thinker. In this era of de-ideologisation, we need strong ideological base and guidance as we used to receive from Chittada. He remembered how, in spite of ill health, he used to guide the CITU centre, politically and ideologically. Chittada used to explain the nature of the trade union struggles in this era as very long drawn out, since the struggles are now to change the policies, Dev Roye said. Dev Roye remembered the role played by Chittada in organizing the all India strikes against these policies and how his strong political positions compelled other TUs to join the struggles.

N K Shukla, Joint Secretary, All India Kisan Sabha while paying tribute to Chittada, reiterated the importance of joint struggles by the workers and peasants and said that the Kisan Sabha gets inspiration from the struggles led by the CITU.

Mohanlal, General Secretary, Delhi State Committee of CITU, said that even in the faulty verification process by the government, the CITU has gone to fifth position, nobody can deny that it is in first position in case of struggles. He said that as taught by Chittada, we have to take the working class ideology to the grass root level.

S K Dhar, General Secretary, All India Railway Loco Running Staff Association, remembered that Chittada had deep knowledge in Marxism Leninism.

Naveen Chand from NZIEA said that we must strengthen our struggles against the policies of globalisation.

Dipankar Mukherjee, Secretary CITU said that Chittada was the leader who equally emphasised on ideology and organisation. He said that as a true tribute to Chittada we must fight any dilution of our ideology.

Kanai Banerjee said that we need hundreds of leaders like Chittabrata Majumdar to be successful in organizing the entire unorganized working class in the fight to change the neo liberal policies. He said that Chittada was a leader with the mind of an intellectual and the heart of a worker, who has given his life to the working class. He concluded the meeting by calling upon the workers to become leaders of the working class, as tribute to Chittabrata Majumdar.

Source: www.citucentre.org

THE STATE BANK OF INDIA (AMENDMENT) BILL, 2010 (Excerpts from the speech made by Comrade Tapan Sen in Rajya Sabha on 12.08.2010)

I rise to oppose this Bill in its present form and I have also moved amendments in that direction. I oppose the present Bill in its present form because it has provided for an enabling provision to dilute the Government stake in the State Bank to 51 per cent, almost at the threshold of privatisation. Presently, it was holding 59.4 per cent. So, it is a case of more than 8 per cent dilution of Government equity. For that, an enabling provision has been created. I don't know whether they will be doing it tomorrow or day-after-tomorrow, but an enabling provision has been created and we oppose this Bill for that reason.

My apprehension on this privatisation has been further strengthened when in the Budget speech, the hon. Finance Minister proposed for a much bigger presence of private sector in the banking field and issuing more licences to the banks in order to expectedly promote competition and improve banking service. But so far as the role of the private sector banks in the present market scenario is concerned, I would say that there is competition in the metropolitan cities and they are eating away the profit or margin of our public sector banks; but in rural areas, there is nobody to compete. My apprehension has been further strengthened by a discussion paper that has been released by the Reserve Bank of India which says that 'in order to promote private participation in the banking system now RRBs, Regional Rural Banks, are being proposed to be taken over by the industrial houses to ensure a bigger participation and bigger coverage of banking service to the rural areas." I don't know how it is tenable and how the RRBs which are playing an important role in rural credit will be operated. In today's paper, it has come that if they are allowed to be taken over by the industrial houses what will be the whole shape of the rural credit system which is already suffering from a big crisis despite all efforts being stated by made by the Government in their policy declaration. Sir, there are other aspects in the Bill. According to Basel II norms, they wanted to improve upon the practices, and, accordingly, some structural rearrangement has been done. I have not much objection to that. But there is only one point that needs to be put now. When you are talking about improvement of the banking services and when you look at those improvement aspects through the eyes of Basel norms, I think, it is time to reconsider that those who have proposed the Basel norms mostly belong to the western dominated international banking community.

And through that, Government's participation in the private banks' capital has increased. They are prescribing improved banking practices for the Indian banks. The Indian banking system has proved its mettle during the last global financial crisis. It has insulated itself from the crisis, and also contributed to insulation of our national economy to a great extent from the global financial meltdown. That was possible only because our public sector banking system played a very important role in not going in for the kind of innovation, as it is called in banking parlance, of gambling with public money on toxic assets. That was the basic reason for the global meltdown.

As far as the performance of the State Bank of India is concerned, it was a stellar performance. I would like to say that although the Statement of Objects and Reasons of the Bill argues that there is a need to enhance the capital of SBI in order to meet the BASEL-II Capital Adequacy norms, the present Capital Adequacy Ratio in SBI is quite comfortable at 12.64 per cent, as on 31st March, 2008, and for the SBI group as a whole, it was 12.71 per cent. By 31st March, 2010, the CAR increased to 13.39 per cent and for the whole SBI group it became 13.49 per cent. The SBI, in its report that was disclosed on 31st March, 2010 had recorded, "The CAR of the Bank and the Group as a whole is estimated to be well above the regulatory CAR of nine per cent in the medium horizon of three to five years. However, to maintain adequate capital, the Bank has ample options" --- they are comfortable -- "to augment its capital resources by raising subordinate debt and hybrid instruments besides equity as and when required".

In the quarter ended on June 2010, the SBI's profit was Rs.2935 crores. It is a jump from Rs.2330 crores when compared to the same quarter in 2009. It is making a chequered performance. I think, we should concentrate more on improving upon that and not diluting Government ownership in SBI. This diluting would push it to the threshold of privatisation. There is apprehension about this. This apprehension is further strengthened by Government's policy decision to allow greater private participation in the banking sector. I think, we must draw some lesson from the global financial meltdown, from the menace that deregulated private banking had created to the various economies. The world economy is still reeling under that, and it was precisely because we had not fallen into that trap that our country was saved from a serious disaster. I think, there is no difference of opinion among us about the basic reason the country could insulate itself from the global financial meltdown. That requires total Government control on the financial system, less deregulation but more cautious and calibrated regulatory move, keeping national interest at the fore. Keeping that in view, I would request the hon. Minister and the Government to reconsider its decision of diluting Government's stake, its equity, in SBI to 51 per cent, which is the threshold of privatisation. He may say that there is no privatisation, but if an enabling system is created, it would pave the way for such a danger. He may also review his policy on private participation in banking in our country and review the move that has been taken. Though it is just a discussion paper, the very idea of a private industrial house taking over regional rural banks is a dangerous proposition.

Source: www.citucentre.org

THE CRUEL FACES OF THE EMPLOYEES’ PENSION SCHEME 1995 - NISHITH CHOWDHURY

Pension as a third retirement benefit in addition to the contributory Provident Fund and Gratuity was a long standing demand of the Industrial workers. The Government introduced a scheme by name Employees Pension Scheme (EPS 1995) w.e.f. 15th November 1995 replacing the existing Family Pension Scheme 1971 for the industrial workers through diverting a portion of the employer’s contribution to the Provident Fund thereby reducing the PF benefit of the employee to make provision for an insignificant amount towards retirement pension. There exist two types of Provident Fund and Pension schemes now in the country amongst whom there cannot be any comparison.

1) General Provident Fund for Central & State Government employees - Here the Government is not required to deposit any amount in the PF account. In exchange, the Government employees are in receipt of superannuation pension which is equivalent to 50% of the last drawn basic wage plus DA at the prevalent rate as applicable to the serving employees. There is provision of pension to the nominee in case of premature death of the employee or the pension holder. Off late the Government has brought about quite a number of changes in the scheme for the new entrants which the trade union movement is opposing tooth and nail.

2) Contributory Provident Fund governed by the PF Act 1952 for Industrial workers both in the Public and Private Sector – As per this Act deduction @ 12% (w.e.f. 22/07/1997, earlier it was 8.33%) of the total wage of an employee is compulsorily made and an equivalent amount is required to be deposited by the employer in the Fund managed by Employees’ Provident Fund Organization. Though there was a provision as per para 6(a) of the Act to formulate a pension scheme in due course, an optional Family Pension Scheme (FPS 1971) was only started during 1971 to arrange payment of some amount of pension to the nominee wife/husband of any employee dying in harness. Here an amount equivalent to 1.67 % of wages of an employee and a matching grant out of the Provident Fund contributions got diverted to the Pension Fund with a Government contribution of 1.16 % of the wage. There was provision of some withdrawal benefit after superannuation too. This scheme was withdrawn w.e.f. 15.11.1995 with the introduction of Employees Pension Scheme 1995 (EPS 1995) which was made compulsory for the FPS 1971 members. In the new scheme, 8.33% out of the employer’s contribution towards Provident Fund is required to be diverted to the Pension Fund with the remaining 3.67 % deposited in the PF account. The Government’s contribution to the Pension Fund continued to remain static at 1.16 % of the wage. Thus PF benefit was reduced substantially and at the cost of PF benefits provision for superannuation or widow and children pension was made. There was widespread resentment amongst the workers against the scheme though the trade union movement in the country was not united to fight the case.

It was CITU only and a few independent unions who organized movement through out the country, several court cases were filed by various unions in different parts of the country all of which were brought to the Supreme Court for hearing. The hearings were completed by May 2001 but the judgment surprisingly remained undelivered for long 30 months. As per the proceedings of the case, examinations/cross examinations, records submitted by the Petitioners, the EPS 1995 was supposed to be scrapped or at least made optional. But it was not the desire of the Government and hence not of the Apex Court and the ruling were naturally in favour of Government.

EPS 1995 – where it stands after 14 years:

• Though as per the scheme 8.33% of wage out of employers’ contribution towards Provident fund is to be diverted to the Pension Fund but factually there is an upper cap of monthly wage which stands at Rs.6500/- as of now. At this rate of contribution to Pension Fund what maximum pension a pensioner can get or what exactly is the amount of pension now being received by the retirees can be revealed from the examples given hereafter.

Example 1 – For getting the maximum pension one has to be a member of the scheme for 35 years. Effective from 15.11.1995 if a person remains in employment for 35 years as per the pension formula, , he will be entitled for maximum pension from December 2030 which would be = Rs.3250/- only. One can easily imagine what shall be the value of this small amount during 2030 and how a pensioner would be able to maintain his family then with this paltry amount.

Example 2 – With the advent of LPG regime, several thousand employees have lost their livelihood both in the private and in the public sector and the pension relief granted to them ranges between Rs. 265 & Rs.1200 only. Example 3 – And those who have just superannuated after 30/35 years of service say during 2005, the maximum pension they are getting is hardly Rs.2000/- a month.

This is what the real face of the much publicized social security for the industrial workers.

• Diversion of Rs.6500/- annually or say an amount of Rs 550/- per month from the employers’ contribution towards provident fund in the pension scheme for long 35 years, if deposited in a prevailing recurring deposit scheme, shall earn an amount of no less than 2.5 to 3 times the deposited amount. If that much of amount is then invested in a monthly income scheme the amount receivable would be much more than the maximum pension amount of Rs.3250/- per month with the entire deposited amount remaining intact. Government will however give an explanation that pension for premature death or permanent incapacitance of a member is also to be taken in mind. But statistics will confirm such cases are minimal in number and are not that significant.

• Unabated price rise have already made the lives of general public miserable. The industrial workers after superannuation are quite unable to maintain the same standard of leaving. How much this paltry pension helps a retired industrial worker? Usually the money received through PF or Gratuity by a retired worker is dried up to meet the expenses towards education and marriage of children or for constructing a small house. The money with which he has now to pull on is the pension, the amount of which is so meager that a family cannot survive with it. It may however help the retired industrial worker to be entitled for a BPL card for his family.

• While giving ruling in favour of EPS 1995, the Hon’ble Supreme Court relied on several aspects including the provisions of 1/3rd commutation of pension, facility for return of capital, reduced pension at even the age 50 years, provisions for valuation of pension fund every year for enhancement of pension rate etc. The said ruling as we know was given on 11th November 2003 and within 5 years of this judgment,

(a) the 1/3rd commutation benefit of pension as per Para 12(a) of the scheme by which the pensioner was to get 100 times the original pension is no longer in existence.

(b) Benefit of 100 times the original pension as Return of capital on death of the pensioner to the widow by surrendering 10% of the original pension as per Para 13(1), 13(2) & 13(3) of the scheme also stands withdrawn. (c) Vide Para 12(7) of the scheme, facility of reduced pension to a worker loosing service before superannuation was there for which reduction of original pension would have been @ 3% for each year.

This has now been modified and has been made 4%. [(a) & (b) Deleted and (c) modified vide GSR 688(E) dated 26.09.2008 w.e.f 26.09.2008]. (d) Vide para 32 of the pension scheme, there shall be annual valuation of the fund to facilitate upward revision of pension. Though it is supposed to be carried out every year, it is revealed from Government data that during last 14/15 years there have been 8 valuations only and the rates at which pension has been enhanced in the first four valuations are as follows: 1) 16/11/1996 – 4 %, 2) 31/03/1998 – 5.5 %, 3) 31/03/1999 – 4 %, 4) 31/03/2000 – 4 %. As per Government there was no allocable surplus during the next four valuations and hence no enhancement. Three more valuations on 31/03/2005, 31/03/2006 and 31/03/2007 have been directed, the reports of which are yet to come. (Source – A letter dated 1st Januray 2009 by the EPFO, Delhi to one pensioner Sri Umapati Tripathy of Uttar Pradesh). Though pension was supposed to be raised at above rates, there are complaints that the same has not been given any effect to. Factually the poor pensioners are not posted with the informations and naturally there is as such no correspondence with the PF offices by them.

It can be stated beyond doubt that the Union Government is instrumental in reducing the benefits of the scheme than to make it more attractive.

Requisites to improvise the Scheme:

Now as the scheme has compulsorily been implemented, one cannot ignore the necessity of effecting improvement in the scheme. The deficiencies noted below will speak of what improvements are essential.

• The amount of pension is meager

• The maximum amount remittable in the pension fund is Rs.6500/- per annum.• The Government contribution in the fund is very meager

• There is no component of linkage with Dearness Allowance.

• Valuation of pension funds is irregular.

• Commutation Benefit is withdrawn.

• Benefit of Return of Capital is withdrawn.

• Percentage reduction enhanced for reduced pension.• There cannot be any comparison of this scheme with the Pension Scheme for the Government employees.

Few relevant statistics:

• Prior to introduction of EPS 1995, as on 31.03.1995, number of Provident Fund members in the country was 1,87,24,000 out of which member of the then Family Pension Scheme was 1,63,81,000 which means the FPS 1971 being optional around 23,43,000 members did not opt for it. The corpus in the FP Fund at that time was Rs.8419.54 crore and after keeping an amount of Rs.1605 crore for maintaining the future payment to the then 1,70,000 family pensioners, net surplus in the fund was Rs.6814.54 crore which ultimately became the initial corpus for EPS 1995.

• As on 31.03.2007 that is 12 years after the introduction of EPS 1995, the number of PF members is 4,44,04,000, Number of EPS members was 3,57,30,000, total accumulation of fund was Rs. 80,766.22 crore and number of pensioners as on 31.03.2006 was 23,35,883 only.

Source: www.citucentre.org

THE ENDLESS AGONY OF BHOPAL VICTIMS- M K PANDHE

One of the worst disasters in the world which accounted for over 20,000 lives and maiming for the entire life of lakhs of others occurred in Bhopal on 3rd December 1984. The entire world was shocked at the ghastly tragedy, but the powers that be in India were concerned with the safety of the perpetrator of the genocide, Warren Anderson when he visited Bhopal on 7th December 1984 he was arrested but within hours released and sent to Delhi by the special plane of the Chief Minister. Within 2 days, he was allowed to go to USA under heavy protection after meeting the President and Home Minister of India.

The Congress governments at the Centre and Madhya Pradesh were totally unconcerned at the violation of safety norms. The leakage of tonnes of deadly Methyl Iso Cyanate gas was not a problem for the Congress Government; protection to Anderson was a more important task than attending to sufferings of the working class population living around the Union Carbide factory. The legitimate anger at the acute suffering of the people was characterised as a law and order problem. In the darkness of night, several thousands of rail passengers, in their sound sleep, inhaled the killer gas; thus people from all corners of the country continued to suffer for several years. The government, however, never felt the need to attend to their problems. The government of India’s main concern was how to ensure the safe passage of the worst criminal of the year.

HONOURABLE EXIT OF A CRIMINAL:

The hypocrisy of those who now talk of extradition of Anderson for trial stands fully exposed by the permission granted to him to honourably leave India. The people of Bhopal in agony can be ignored but how can a representative of MNCs, that too from USA, be antagonised? If Anderson would not have been permitted to leave India, US multinationals may not invest in India. Those who talk of extradition of Anderson fully know that the Uncle Sam would never agree to this and there is no question of his coming to India for trial. The statements are made only to hoodwink the gullible!

Union Law Minister Veerappa Moily candidly admitted that the verdict was at par with a minor truck accident. The Supreme Court deleted Section 302 from the chargesheet and only Section 304, which is generally used for a road accident, was made applicable. The Supreme Court Judge who showed this favour to Union Carbide became chairman of the hospital complex of Union Carbide. It is a clear case of judicial impropriety but the Union Law Ministry never interfered in this glaring case. His call for extradition of Anderson is meant only for public consumption.

Dow Chemicals was allowed to escape any liability for rehabilitation of the gas tragedy-affected persons. A Singhvi, a prominent Congress leader, was its lawyer. This underlines the closeness of the MNCs with the ruling party representatives. It is reported in the press that several political leaders of the ruling class have benefited from the largesse of Union Carbide. This explains the vested interest of the ruling classes to protect the Union Carbide management.

The Lok Sabha Committee on Government Assurances, which included members of all major political parties in 2003, noted, “ The Committee are of the firm opinion that involving such a great industrial disaster involving a foreign company, the State Government could not have taken a unilateral decision on arrest and release of Anderson.”

The panel, therefore, held both the governments in the state and the centre equally responsible for the drama. The observations of the Parliamentary Committee were curtly ignored by the UPA Government when it came to power in 2004.

RELEASE AT US DIKTATS:

The CIA documents which have been declassified recently admitted that the government of India under Rajiv Gandhi had taken expeditious steps to release and send back Warren Anderson to USA. P.C. Alexander, the then special secretary in the Prime Minister’s Secretariat has noted that US Government’s pressure was responsible for the release and return of Anderson to USA. All attempts by the spokesmen of the Congress party to deny US pressure is only making the people convinced that US Government’s diktats were responsible for the freedom given to an accused responsible for this mass genocide.

The victims who survived after the gas leak failed to get proper medical treatment. The hospitals meant for their treatment were giving only prescriptions to the patients who did not have money to buy those medicines. Several victims had to go to private practitioners to get treatment. Many persons died due to want of medical treatment but they were recorded as natural deaths. The actual number of victims who died due to gas leak is much more than what is mentioned in the official statistics.

The water in the nearby locality is still contaminated and unfit for drinking. Many workers are suffering from water-borne diseases and are not considered as victims of the gas tragedy. I had an occasion to visit Bhopal on the occasion of 25th Anniversary of the gas tragedy and several workers told me how they have been suffering due to contamination of water. But who cares for them?

For the Government of India and the Supreme Court, the value of human life in India is negligible. The amount of compensation was brought down to a ridiculously low amount of $500 providing relief, not to the victims, but to Union Carbide, making it a mockery of the very concept of compensation. Several persons seriously affected by the gas leak found it extremely difficult to prove that they were victims of this tragedy. The official rules were made rigid only to favour Union Carbide. How many kickbacks were received by bureaucrats and politicians in this shady deal will perhaps be never known to the public.

COMPLICITY OF CONGRESS & NDA GOVERNMENTS:

BJP leaders today are criticising the Congress Party for its complicity in the tragedy of great magnitude. But when they were in government they never made any serious attempt to get Anderson extradited and tried in the court of law. They meekly accepted the US government’s refusal to accept his extradition. CBI continued the policy of protecting the interests of Union Carbide. The BJP Government in Madhya Pradesh failed to provide adequate medical relief and rehabilitation to the gas victims. The crocodile tears being shed by BJP leaders now is only an attempt to cover up their failures.

The indecent haste being made by the UPA government to get the Nuclear Liability Bill, which exempts the foreign supplier of the nuclear equipment in the event of a nuclear disaster, only exposes its servile attitude towards MNCs. It is a part of the commitment given by the Manmohan Singh Government to US imperialism. Instead of adopting a policy of self-reliance, the UPA government is succumbing to the pressure of diktats by the MNCs and damaging the interests of the country and its people.

After one week of heated debate all over the country, the Prime Minister of India suddenly woke up to ask Group of Ministers under the Chairmanship of the Home Minister to give a report within 10 days. The unwritten directive to the GOM must be to give a clean chit to the then Prime Minster, Rajiv Gandhi. However, can an accused be allowed to leave the country after his arrest without the knowledge of the Prime Minister, one may ask?

The suffering of the people of Bhopal has no parallel in history. The culprit going scot free without any punishment will also have no parallel in history. And now the efforts to cover up such a criminal act also probably will have no parallel in history!

Source: www.citucentre.org

NATIONAL CONVENTION OF WORKERS:15TH JULY, 2010, MAVLANKAR HALL, NEW DELHI

DECLARATION

Representatives of Central Trade Unions and Workers and Employees Federations having assembled in the 2nd National Convention of the Workers on the 15th July, 2010, reviewed the joint action programme over five commonly agreed demands as decided in the first historic convention of workers on 14th September, 2009. This Convention considering the review of joint actions, ALL INDIA PROTEST DAY on 28th October, 2009 Massive Dharna on 16th December, 2009 and Satyagraha/Jail Bharo on 5th March 2010 – 10 lakh workers participated and also considering the situation arising thereafter adopts the following DECLARATION:-

Despite the trade unions demanding effective steps to curb price rise, particularly food price inflation, food prices escalating as high as 17 per cent, inflation rising to double-digit, government continued to remain totally unresponsive to mitigate the deep sufferings of the working people;

Despite the trade unions expressing deep concern at the uninterrupted violation of labour laws and trade union rights, situation becoming grim and repressive every day;

Despite trade unions protesting against job loss, underpayment, unbearable living condition, lengthening working hours, rampant contractorisation, casualisation and outsourcing, nothing is being done to prevent the declining living condition and inhuman exploitation of working masses;

Despite the trade unions opposing the disinvestment in the profit making public sector, the latest disinvestment being pushed through in Coal India Ltd, BSNL, SAIL, NLC, Hindustan Copper, NMDC etc., the pernicious policy of reckless disinvestment is continuing with impunity;

Despite the trade unions earnestly asking for the setting up of a massive welfare fund for universal comprehensive social security coverage for the unorganized sector workers without any restriction, the fund allocation remained nominal and restrictive provisions continued.

The convention notes with concern, not only protest of the trade unions is being ignored, the policy that accentuates increase in the prices of foodgrains is being constantly bulldozed, the latest is the deregulation of petroleum pricing linking it with the international market leading to hefty increase in the prices of kerosene, cooking gas, diesel, and petrol.

The convention reiterates the unanimously formulated demands once again as under:

• Price rise of essential commodities to be contained through appropriate corrective and distributive measures like universal PDS and containing speculation in commodity market;

• Concrete proactive measures to be taken for linkage of employment protection in the recession stricken sectors with the stimulus package being offered to the concerned entrepreneurs and for augmenting public investment in infrastructure;

• Strict enforcement of all basic labour laws without any exception or exemption and stringent punitive measures for violation of labour laws;

• Steps to be taken for removal of all restrictive provisions based on poverty line in respect of eligibility of coverage of the schemes under the Unorganised Workers Social Security Act 2008 and creation of National Fund for the Unorganised Sector to provide for a National Floor Level Social Security to all unorganized workers including the contract/casual workers in line with the recommendation of National Commission on Enterprises in Unorganised Sector and Parliamentary Standing Committee on Labour;

• Disinvestment of Shares of Central Public Sector Enterprises (CPSEs) is not resorted to for meeting budgetary deficit and instead their growing reserve and surplus is used for expansion and modernization purposes and also for revival of sick Public Sector Undertakings.

This National Convention of Workers, while exercising their constitutional and democratic right seek to further its legitimate protest and call for immediate correction of the patently wrong policies that dangerously hurt the interests of the working people and the society as a whole, and to give vent to the feelings of the growing indignation of the working people. The Convention therefore resolves to call for an All India General Strike on 7 September 2010.

The Convention calls upon the entire working people of the country, irrespective of affiliations to make the all in united call for countrywide general strike a total success and for intensification of the struggle further, prepare for a massive march of the workers to Parliament in November/December 2010.

Source: www.citucentre.org

JOB LOSS AND DEEPENING CRISIS OVERSHADOWED INTERNATIONAL LABOUR CONFERENCE OF ILO -Amitava Guha

Fallout of economic crisis causing massive job loss, squeezing social security measures and distancing away future employment creation overshadowed International Labour Conference, annual event of International Labour Organisation (ILO) held at Geneva 1-18 June. Attack of Israeli forces on the flotilla carrying aid to blocked Gaza Strip was the other event caste deep concern on the Conference. Immediately before inauguration of the Conference a small group jumped in the dais demanding ‘Iran out of ILO’. Notably, neither UN security staff nor ILO officials did show much promptness to dissuade them. Even the ILO officials remained casual when some people from the gallery above shouted slogans on the same issue. Workers representative from Iran informed that they are ant-present regime and backed by US Govt.

INAUGURAL SESSION AND REPORT OF THE DIRECTOR GENERAL:

Gilles de Robin, former minister of right-centre French government was elected as the President of the Conference. Doris Leuthard, President of Swiss Confederation inaugurated the Conference. Interestingly, at the initial part of her speech, critical to the market situation she mentioned that recession has left behind a mess in the labour market and interdependence of financial markets can vary quickly cause serious problem for societies even when the problems actually originate in just one country. But she emphesised that ‘globalisation is basically the result of technological change followed by economic development which is inevitable and we hope dynamic.’ She imposed that ‘ILO is the natural partner of the IMF and of the World Bank, of the WTO…,’ the idea which the conference later rejected.

Following inauguration, Juan Somavia, Director General of ILO presented his report. At the very beginning, he condemned the ‘unacceptable events this week off the coast of Gaza’ but did not mention that the illegal occupation of Gaza Strip should be reversed. Later, in a declaration by the Permanent Delegation to the Arab Labour Organisations expressed dissatisfaction on DG’s report.

Somavia’s speech was primarily concerned on macroeconomic development when he specifically declared that ‘no sustainable recovery without job recovery’. He was highly critical about the recovery process adopted by the crisis ridden countries. Recent phenomena those are further affecting the countries are public debt and public deficits. He raised question that why these level of public debt and deficits occurred. ‘We must not forget that part of them went to save the financial system to avert depression’ he said. He explained that the stimulus given to the financial sector had precipitated to fiscal deficit but deficit reduction would slow down recovery in turn contributing to increase in unemployment. This phenomenon is not unknown as classical Marxist analysis on moribund capitalism had described such perpetuality. He also acknowledged that ILO’s estimation of 212million unemployment in the present year is away from reality since ‘in the first part of this year we see no sign of a reduction in the global rate of unemployment.’ He lamented that ‘[P]olitical, social and financial stability are interrelated, and because of the things I have been saying, many people believe that some actors in the financial sector have broken the social contract with the society.” His prescription was to gain only through social dialogue.

SESSION ON RECURRENT DISCUSSION ON EMPLOYMENT:

CITU representative participated to the commission on “Recurrent Discussion on Employment”. Eleven rounds of meetings were held in this chapter which dealt with four strategic objectives of ILO- employment, social protection, labour standard and social dialogue. Spokeperson on the workers group, Sharan Bourrow who later became General Secretary of International Trade Union Confederation (ITUC) began with her analysis of the contemporary situation. Following the usual line of ITUC, she praised the stimulus measures taken by the rich countries to save the economies from total collapse like 1930s but had to mention that unemployment and underemployment continues to rise. Even before the separate session of the workers group was held, she declared that the Workers group supports the stimulus measures. Her only criticism was that ‘ Having implemented the right macroeconomic strategy(by stimulus measures-au), Governments have failed to move urgently to the next important task which was financial market re-regulation and curbing the power and insider relationship that that exist between the largest banks, financial institution, rating agencies and the largest equity and bond investors.’ Important suggestions she made for ILO to consider were that it should persist for policy coherence and reconvening of ‘Tripartite Declaration of Principles Concerning Multinational Enterprises and Social Policy” which the employers group resisted with their might. Ronie Goldbarg, spokesperson of employers group strongly advocated that stimulus measures should continue and the financial sector would find out means to minimize fiscal deficits.

COMMISSIONS:

CITU representative intervening in the sessions pointed out that the emergence of speculative market which had out-amounted the manufacturing and services several times. Though the speculative investment had no role in employment generation but it caused disaster in many enterprises which has thrown many out of job. It was pointed that ILO should also consider that rapid caualisation and increase in informal sector employment must be reversed for protecting social justice and erosion of employment generation. It was also pointed out that the third world countries have become the suppliers of skilled workforce for which the developed countries do not pay as well the poor countries do not gain productively. ILO also should insist for captive utilization of skilled workers by direct green filed investment in the primary resource rich countries in the third world. On the initial draft, CITU representative demanded that the idea of collaboration with IMF, World Bank and WTO should be rejected since their policy prescription is also responsible for the financial debacle. This position of CITU was supported by representatives from many other countries and in the final draft, this paragraph was deleted.

Tension mounted in the commission on domestic workers where representative from Govt. of India was opposing every proposals made by the workers group. ILO for the first time initiated discussion on developing a convention for domestic workers. GOI was found in the forefront in opposing any kind of decisions including even formulating guideline. This compelled all the trade unions from India to send message to the Prime Minister to intervene. Finally GOI representative asked for a division for which voting became inevitable and all opposition lost in vote. Therefore next year ILO will work on developing a convention for domestic workers.

SPECIAL PLENARY:

In the special session on ‘ILO Declaration of Fundamental Right to Work with special emphasis on Child Labor’ Mallikarjun Kharge, Labour Minister addressed the plenary. Surfing around the address of the other eminent speakers, he to everybody’s dismay stated that ‘job growth has returned’. He further misinformed that in India legal guarantee has been provided for right to work. He also said that 14.5 million smart cards have been so far provided which allows the holders free treatment. We may need to search with microscope to find out such beneficiaries. He also mentioned many other acts which have been passed by the Parliament including those related to child labour. The castle build in air by the minister was blown away with evidences by the CITU representative when he was given to address the plenary for five minutes.

SESSION OF COMMITTEE ON APPLICATION OF STANDARD:

Meeting of the Committee on the Application of Standard continued in parallel with the Conference. Hearings on complaints against the Govt. and employers are held with due seriousness. This year Venezuela was targeted which the Govt. representative could counter successfully. But killing of trade union leaders in Guatemala was discussed seriously where the Govt. representative was taken in to task by several speakers. At the conclusion, the Govt representative had to ensure that thorough probe shall be made and the criminals will be punished. This is quite interesting session where the Government of different countries was found quite uncomfortable and defensive. The scope provided in this process can be utilized by CITU to generate pressure on the Govt. of India who is not ratifying or implementing the conventions, guidelines and regularly failing to send reports to ILO.

WFTU AND ITUC:

Three meetings were arranged by WFTU before and around the Conference. In the first meeting a briefing was made about the conference procedure. It was also described by some countries how they are being unjustly earmarked for criticism and a kind of barrier would be tried to impose on them. Yet such kind of veiled attempt was not very successful in the different sessions due to firm positions taken by workers representatives in many countries of Africa, Asia and South America. The last session was held on the forthcoming Conference of WFTU scheduled at Athens, Greece next year. This meeting was also attended by the directors and other officials of ILO. George Mavricos, General Secretary, WFTU had separate discussion with representative of CITU where he sought for cooperation for the forthcoming Conference.

One observable situation was that the Conference that it was dominated by the ITUC who put their people in almost all committee head for workers. In some event the Workers Group meeting appeared to be a meeting of ITUC when they started discussion on the ensuing Conference of ITUC scheduled at Vancouver at the end of June 2010. This was possible only because WFTU has not yet regained its strength enough to counter dominance of ITUC.

(Amitava Guha attended the ILO Conference as representative from CITU)

Source: www.citucentre.org

PROVIDENT FUND MONEY LOOTED BY JUDICIAL OFFICERS - A K Padmanabhan

Scams are not new to this great country. We have seen everybody from the Prime Minister down to a class four employee of a government office being accused for corruption. As an date, the list is long and the situation is really bad.

From among the top level also there are IAS, SPS officers, high ranking officers of defence services and judges including chief justices of High Courts. While these are all from government services, private sector high ups are no exceptions.

A big debate is already on the media, the fourth estate of one democratic system, being tainted by the ‘paid news’ affairs, exposed by veteran journalists like Dr. P. Sainath.

The means of corruption between the politicians and business people have reached a stage where the crorepatis of India have themselves become the political leaders parading as peoples representatives!

But one of the most shocking episodes of the latest revelations have been the loot of the Provident Funds of the poor class four employees of the judicial offices of Ghaziabad. These involved are judicial officers and their accomplices.

It is a clear case of deceit and loot. Many skeletons tumbling out of the cupboard, the case was taken up by CBI and a chargesheet has been filed in CBI court at Ghaziabad on 1st July 2010.

According to news paper reports, the chargesheet “clearly implicates” six former district judges of Ghaziabad of having obtained “valuable things/services in the form of monthly rations, fruits, vegetables, sweets, jewellaries, sarees, computers, television, refrigerator, washing machine, mobile, crockery, taxi service, photo/video coverage of private functions and home furniture.”

The chargesheet reveals that Rs. 6.58 crores were fraudulently withdrawn from the provident fund of class four employees of Ghaziabad district courts over a period of 2000 to 2008. Bill clerk and court Nazir Ashnthosh Asthana was named pointsman. This person had died while in custody and this death has raised many eyebrows.

It is also of interest to note some of the judicial officers said to be involved in this scam had been promoted as High Court Judges.

Latest informations is that while the hearing had started in the CBI court of Ghaziabad, Attorney General of India has approached the Supreme Court, with a plea to transfer the case to outside Uttar Pradesh, as the present Ghaziabad District Judge, under whose administrative control, the CBI court is functioning is interfering with the trail.

The attorney General had to say that the six former judges and 48 other staffers indicted in the case have “close associates” working in Ghaziabad Court and have also contacts with various judges and magistrates posted in Ghaziabad and other UP districts.

The affidavit filed by the attorney also said that CBI judge in whose court CBI had filed the case had worked with/under some of the chargesheeted judicial officers.

The continuation of the trial at Ghaziabad would hamper the testimonies of 13 judicials officers and 25 court employees who have to give crucial evidence in the case.

The sad state of affairs in the country can be understood from this case where the provident fund amount of Rs. 6.58 crores can be looted by the superiors and their accomplices, who in this case are judicial officers themselves! So much for the rule of law!!

Source: www.citucentre.org

HISTORIC SIGNIFICANCE OF 7TH SEPTEMBER STRIKE - M.K. Pandhe

A new chapter has commenced in the annals of the trade union movement in India when a united Convention of all the central trade unions was held in New Delhi on 14th July 2009 which chalked out a united programme of movement on five point Charter of Demands relating to the rise in prices of essential commodities, growing un employment, non-implementation of the Labour Laws, Social Security benefits for the unorganised sector workers by providing special fund and opposition to disinvestment of profit making public sector undertakings.

The series of programmes jointly taken up by all the central trade unions and industry wise federations have cemented this unity which has generated a great deal of enthusiasm among vast sections of the working class all over India. For the first time in the history of trade union movement such a spectacular all India unity has emerged.

There have been basic differences about the aims and objectives of the trade union movement and may continue in the near future. However, there are still vast number of issues on which there is common understanding among the trade union movement on which collective assertion by all is of paramount importance.

The disunity in the trade union movement has considerably brought down the collective bargaining strength of the working class in India. The employers and the Government had been ignoring the views of the trade union movement.

On several important national level committees which recommend policies to the Govt. viz. National Development Council, Economic Advisory Council of the Prime Minister, Delegations to United Nations and other important International bodies trade unions representatives do not find a place. In some of these bodies employers representatives have found a place which cannot be ignored by the trade union movement.

Hence, the remarkable unity achieved by the trade union movement has a special significance for not-only the economic demands of the working class. It will create definite impact on the national attitude towards the voice of the working class.

POWERFUL ASSERTION OF THE WORKING CLASS

The 7th September 2010 strike will reflect the powerful assertion of the working class of India not only on economic demands of the working class but also on those who decide the economic and social policies of the country. Both the employers and the Government cannot afford to ignore the assertive unity of the trade union movement in India highlighted in the 15th July 2010 Convention.

Though the BMS leadership found the date inconvenient due to their own programmes it is still a part of the united movement and rank and file of BMS unions will join with other colleagues in organising a powerful nationwide industrial action.

The deteriorating economic conditions of the working class has brought together all the trade unions on a common platform. With growing inequality in the country, the conditions of the vast strata of unorganised working class is likely to deteriorate further. With outsourcing, casualisation and contractorisation the threat to living standard of the working class is bound to increase further.

In such a situation the 7th September all India strike will give a clear cut message to the powers that be that working class of India would not tolerate the deteriorating living conditions and their resistance is bound to grow in future.

I was extremely happy to note that during the 15th July 2010 Convention all the leaders of the central trade unions spoke with one voice when they were pressing the need for organising nationwide strike on 7th September 2010.

This unity must reach every factory, shop, mine, establishment so that workers of all affiliations are brought massively in the countrywide strike action. The unity at the top must percolate to the bottom if the 7th September strike has to involve largest possible mobilisation of the entire working class of the country.

All the Central and State Government offices, all banks and insurance companies, all telecommunication and transport workers, all factories, mines, plantation, ports and docks, defence establishments, all public and private sector workers, all employees of MNCs and foreign corporate houses, all unorganised workers, all self-employed and domestic workers must join this action to make it a resounding success.

FURTHER CONSOLIDATION OF T.U. MOVEMENT

The 7th September strike will pave the way for further consolidation of the trade union movement at a national level. This consolidation is the need of the hour if the trade union movement in India has to advance further.

The 7th September strike will show to the entire country that despite political and ideological differences the working class can come together to protect their class interests. Workers can have political views of their own but they should not come in the way of achieving trade union unity on common issues facing the working class.

They may be local level or industrial level rivalry of sharp differences in approach among the trade unions. They should however, not come in the way of united preparation for the common nationwide action. Central trade unions will have to play a positive role if there are any difficulties in the matter of coming together.

Two weeks before 7th September 2010 local level unions should hold joint demonstrations to serve strike notices to the managements so that untied determination of the working class is forcefully focused all over India.

On the day of strike joint picketing and holding of demonstration and rallies should be organised to reflect the sense of unity and solidarity among the working class of all affiliations. There are several regional trade union organisations which are not part of the nationwide unity. They should be approached by our regional organisations so that their involvement in the strike action is effectively ensured.

Let us all strive together to make the 7th September 2010 strike an unprecedented success. This strike will make the whole country feel that the united working class is determined to play a major role in shaping the destiny of the country free from unemployment, poverty and exploitation.

Source: www.citucentre.org

GLOBAL WARMING – WHO WILL FIX THE AGENDA? - Dipankar Mukherjee

The impact of climate change as a result of global warming has become one of the most critical global issues in the recent times. The impact viz. famines and drought, world wide drop in crop production, risk of flooding and scarcity of water supply, sea level rise etc. etc. will have huge influence on billions of people in the world. Without going into the nitty-gritty of climate science, the impact undeniably is of serious concern. It is also rightly concluded that the global warming is because of the rise of Green House Gas (GHG) emissions, especially carbon dioxide (CO2). Energy consumption is closely associated with substantial part of GHG emissions. Out of various forms of energy, electricity alone is responsible for 42% of global co2 emissions and 24% of total GHG emissions.

WHERE DO WE STAND?

More than 40% of Indian households populations have no access to electricity after 62 years of independence and as such our position as electricity user in the word is clear from the following figures (year 2007) from Key World Energy Statistics, IEA 2009.

Country Per capita electricity consumption (KWH)
Sweden: 15,238
USA: 13,616
Australia: 11,216
Japan: 8,475
Germany: 7,185
China: 2,328
Indonesia: 564
India: 543

This is against world average of 2,752 KWH. What about CO2 emission in tons per annum?

USA : 19.10
Australia: 18.75
Germany: 9.71
Japan: 9.68
Sweden: 5.05
China: 4.57
Indonesia: 1.67
India: 1.18

The world average 4.38 tons.

It is obvious India and other developing countries are contributing the least to climate change and yet they are being lectured by the developed countries to cut down emission as per their diktats. The question of equity and burden sharing therefore has to be the major focal point for climate justice. As energy usage is a major factor in carbon emission, energy justice becomes central to climate justice.

The above figures show glaringly the energy disparity between the rich and the poor countries. Energy is key to higher stages of social evolution. The ability to produce and use greater and greater quantities of useful energy forms the base of societal change. Energy disparity has therefore made big change in making a nation rich or poor. Ironically the biggest polluters and the energy consuming countries led by USA and European countries are posing to be the saviour of the planet and are prescribing measures to others to reduce GHG emissions.

This hypocrisy gets further exposed if one goes through an article titled “A development nightmare – what if the poor nation actually caught up with the rich ones” by Prof. Kenneth Rogoff. In such a nightmare when every nation enjoys the same per capita income as the United States (roughly 40,000 dollar per year), same education, health and life style, the global CO2 emission would be 4 times the present level as each person would be emitting 20 tons CO2 per annum in the atmosphere!

AFFLUENCE VS DEPRIVATION

The essence is therefore a clash of rich and polluting nations and the deprived and polluted poor (aspiring to be affluent) countries at the global level. As for India the track record of energy consumption and resultant GHG emission is equally lopsided. Extravagant energy consumption by the rich vis-a-vis lack of access to energy for vast section of the population in lowest income group, speaks for itself. Much of the poor population have an average CO2 per capita emission of 335 kg compared to the higher income group having per capita emission of more than 1500 kg.

Apart from the non - availability many of this poor cannot afford to have power at the present cost. That is why the state has to intervene in a very limited way to subsidize power tariff as a part of distributive justice. With the entry of private sector and market forces in energy sector after globalization in early 90’s, this accessibility is also being further restricted by gradual to curtailment of subsidies.

Can there be energy justice when more than 400 million people in the country remain deprived of primary energy? Unless the phenomenon of climate change succeeds in replacing the inequitable and consumptive oriented growth pattern with a more sustainable and equitable energy structure, energy justice and climate justice cannot be achieved. In a class society, justice is also a class justice.

Energy or climate is no exception. For example according to United Nations Food and Agriculture Organization non-vegetarian diets cause more GHG emissions than either transportation or industry. Yet the life styles and diets of affluent and less affluent nations are not on the agenda for global climate negotiations.

In developed countries consumption of households accounts for 2/3rd of electricity generation whereas in developing nations consumption by industrial, agriculture, and commercial sector accounts for 3/4th of electricity generated. Still high energy households are treated as non-negotiable and developing countries’ livelihoods supported by small industry and marginal farming is under constant scrutiny.

SOUND AND FURY FROM THE WRONG END

When these islands of affluence whether at global, national or social level create most of sound and furry if not tamasha about energy usuage and climate change, it becomes imperative to guard against their real motive. India has already witnessed how games like “cricket” and Common Wealth games have been used as “money making” tamasha by India’s rich elite of corporate, politicians and middlemen. Another money making racket is now being created at global level through carbon trading business in the name of climate change. India and other developing countries occupy negligible space in the field of carbon emission compared to USA, Germany and other developed countries yet we are also in the game of multi billion carbon trading business in so called green world. Al – Gore, the formerUS Vice-President and winner of Nobel Prize for green movement, became the first carbon billionaire through carbon trading business.

In India, we find TV shows by so called “green” campaigners comprising Corporate Managers, Film Stars, TV anchors, a foreign auto-makers etc etc as sponsors. Such shows have become a common feature where more than climate change, the hidden agenda is mostly corporate objectives of purely commercial nature. Indian elite, the biggest polluter, has all of a sudden become nation’s conscience on climate change.

IDEOLOGICAL BIAS

In short, there are no two questions about the impact of GHG emission on global warming which has reached an alarming point. But equally if not more alarming feature is an ideological bias to the scientific & technological survey and mitigation steps to reduce GHG emissions and the class character of those who are spearheading this campaign, at global or domestic level. The ideological bias is to preserve the present lopsided consumptive growth paradigm instead of replacing the same with a more sustainable, equitable one.

The fight against climate change can succeed only by inducing a decisive change in social and economic relationship. It cannot be turned into an excuse for preserving the present energy structure as well as the existing regime of global finance capital. The nexus of rich nations and rich people in poor nations, aided by pseudo environment groups (funded by global corporates), bureaucrats, bankers, brokers are trying to exploit the critical issue of global warming by projecting exotic schemes to produce ‘ carbon free energy. Hundred of billions have already been wasted in the trading of carbon permits – most of them in transfer of tax revenues to a favored few. There was little concern expressed about climate in Copenhagen but mostly about of transfer of money. It was good for the world economy that some of the mitigation schemes could not be forced as the developing nations did not want to take on the sacrifices and restrictions on their growth, otherwise trillions would have been spent for making the rich nation richer and rich people richer in poor countries.

THE AGENDA

We have to stand against the trend of pro-corporate and pro-elitist bias in the campaign on climate change. To start, with at the global level India should resist the efforts of capitalist countries to divide the developing nations in two groups’ i.e. high growth and low growth countries. The developing countries should move as one group in the next environment summit to assert their rights in global carbon space in terms of per capita GHG emission as well as in the context of accumulated CO2 emission. The accumulated emissions of CO2 between 1850 and 2005 in the USA and European Union account for 56% of world’s total emission.

Why should the developing countries share their past burden for controlling the present rate of emission? Positive mitigation steps will have to be taken by the Developed countries first before imposing any on developing countries. The developing countries should have their own options to reduce emission based on efficient and rational utilization of energy with maximum possible indigenous resources and capabilities from within. In India the question is of ‘energy complacence’ by high energy consumers vis-à-vis ‘inaccessibility of energy’ to majority of the population.

Energy Conservation and improvement in energy efficiency should be treated as alternative Energy Source. Energy audit should be made mandatory in industry, transport, agriculture (for big farms) and high energy consuming office and buildings. Energy audit should not be made a tool as at present to give only incentive to industries but as a national agenda for enforcement like financial audit for establishments. Any change of resource say from conventional to non – conventional, from coal to gas or nuclear, must take into account COST as the over-riding factor. For example the UPA I or II Government till now has not come out with cost of nuclear power with imported reactor and imported uranium. The reason is simple.

After all how many in this country will afford to pay more than Rs. 8 per unit for nuclear power only because it is supposed to be CLEAN. If higher cost is a part of clean energy we cannot accept this for bringing more darkness on impoverished section. “Clean” or “green” energy has to be affordable. “Clean” or “green” energy may be fashionable terms coined for the cocktail circles, but it becomes meaningless to power/energy – starved people having purchasing power of less than Rs. 20/- a day. More than the green job, it is a ‘decent’ job as per ILO standard, for which the workers are yearning.

Those, politicians, corporates, bureaucrats and media who hardly showed any energy-consciousness in the whole night bonanzas in the name of cricket, have no business to fix the agenda for cleaner India.

The agenda to reduce carbon emission through rational and equitable energy usage has to be a people’s agenda and not a corporate agenda or foreign based NGO agenda. The agenda will be for “Energy Justice” and “Climate Justice” to save the world, with rational use of affordable energy and proper mix of energy resources best suited to the country

Source: www.citucentre.org

TIME TO GIVE A JOLT TO AN INSENSITIVE GOVERNMENT - EDITORIAL OF “WORKING CLASS”

Apart from the multi thousand crore scam and corruption exposing the evil nexus of politicians, bureaucrats, corporates and contractors in holding the Common Wealth Game in Delhi next month, the whole exercise involving official estimate of more than Rs. 35,000 crore of public fund, shows the ugly face of “shining India” wallas in dealing with thousands of workers who literally with their sweat and blood built the so called “ World Class” facilities for this international event. World Class is the current buzz word in Delhi. A “World Class” airport’; “World Class” Metro; “World Class” roads and buildings, so and so forth. After all the capital of the ‘emerging power’ must show case itself as a ‘world class city’, as desired by ‘ Shining India Wallahs”!

In the process, thousands of beggars and thousands of homeless sleeping on the footpaths are being cleared. Hundreds of slums have been bulldozed and lakhs of people ‘relocated’ to far off places, depriving them of their livelihood. Under the very eyes of Central Government and State Government, all labour laws pertaining to minimum wages, working hours, safety and hygiene, accommodation were crumpled with impunity. More than 150 workers mostly migrant died in accidents because of unsafe condition (compared to 6 fatalities during Bejling Olympic preparations).

But then who bothers about the miserable conditions of the lakhs of the workers who are engaged in this ‘beautification’ of the city, in building a ‘world class’ city with all its ‘games villages’, stadiums, etc. They do not have ration cards. Nobody thinks of providing safe working conditions or any compensation. They are working just under the nose of the highest seat of power in the country, as bonded labour. For those who swear by the ‘AAM ADMI’ they simply do not exist. The plight of the workers, who have come from different parts of the country for Common Wealth Games work symbolises the criminal apathy in the policy of the Government to the workers in the country.

It is against such policies that deny the working class and other toiling sections of society their right to food, their right to a decent job, their trade union rights, their right to social security that Central Trade Unions have called for the all India general strike on 7th September.

A strike that will shake the Government siding with the rich to its senses. It is only the beginning of a struggle which will not relent till the Government comes to its senses.

Source: www.citucentre.org