Latest update from AFTINET - on trade ... issues are from TPP to PACER Plus , ISDS , NAFTA, and more

FAIR TRADE BULLETIN January 2018

Hello and a Happy New Year to all! Many of you will have read the news that the latest version of the zombie TPP, now named the ‘Comprehensive Progressive Agreement on TPP’ (CPTPP), has been finalised. It is slated for signing in Chile on March 8, and then parliament will review the deal and consider the implementing legislation. The fight is far from over, and not all opposition parties will be supporting the legislation. The government does not have a majority in the Senate, so the first step is to secure a Senate Inquiry. We have written a message to Senators, which you can send and share using the link on our website. In other news, we have moved offices to 7/321 Pitt Street, Sydney 2000. Our phone number (02 9699 3686) and email address (campaign@aftinet.org.au) remain the same. Please note this for your records. Inside this edition... The TPP text has been finalised, and we need your help to stop it: send a message to Senators TPP: where opposition and minor parties stand Critical Commentary on the TPP PACER Plus submissions closeFebruary 15 Free trade or women’s rights? Analysis from Kate Lappin Greenpeace report warns against ISDS NAFTA’s ISDS has cost Canada over $300 million Electoral Legislation Amendment Bill is not just about foreign donations

The TPP text has been finalised, and we need your help to stop it The text of the rebranded TPP was finalised on January 23, although the full text is still a secret. It will be made public after the deal is signed, which is set for March 8 in Chile. The latest version appears to be a mess of separate deals cobbled together to meet issues raised by Canada and others. Australian Trade Minister Steve Ciobo is promoting this as ‘18 free trade agreements’. There are new side letters on cultural issues, automobile industry car access and labour rights issues. While the Australian government is only releasing positive information about possible market access gains from the deal, we know that the text still includes restrictions on regulation of essential services and state-owned enterprises, rights for foreign investors to sue governments (ISDS), and no enforceable protections for labour rights or migrant workers. Importantly, this is not a ‘done deal’ yet, as the parliament still must review the deal and consider the implementing legislation. We are campaigning for opposition and minor parties to demand the release of the full text, to organise a Senate inquiry, to commission an independent study on the real costs of the deal and to block the implementing legislation. Send a message to opposition Senators now, using our online form. Please share with your workmates and friends. Click here to write to opposition Senators about stopping the TPP TPP: where opposition and minor parties stand Labor: Opposition Shadow Trade Minister Jason Clare said, “Labor supports high-quality regional trade agreements that create Australian jobs and will consider any new agreement on its merits".  Labor has called for independent economic modelling on the costs and benefits of the deal, and for the Turnbull government to ‘fix the mistakes’ in the agreement such as the removal of labour market testing for six countries. Greens: The Greens Trade Spokesperson Senator Sarah Hanson-Young said “This 'trickle-down triumph' solves none of the problems we need genuine multilateral cooperation to solve, like climate change and tax avoidance.” “At a time when workers and communities are anxious about the changing workforce and the household pressures of low wages growth, governments have a responsibility to ensure that free-trade deals are good for the community - not just the profits of faceless, unaccountable corporations. This revived deal is a dead end for Australian workers and the Australian public."  Nick Xenophon Team: Senator Rex Patrick has called for a full cost-benefit analysis of the TPP, saying “The Government should not presume that the Australian Parliament will just rubber stamp any legislation to give effect to the TPP before ratification”. He also called for ISDS to be removed from the agreement, as they give rights to international corporations “at the expense of national sovereignty and interests.” Click the graphic above to share on Facebook with your networks Commentary on the TPP Since news broke of the TPP being finalised, many commentators have been debunking myths about its supposed benefits. Jomo Kwame Sundaram, a Malaysian economist and the former assistant secretary general in the UN’s Department of Economic Affairs explained on ABC PM that the deal will deliver‘negligible’ economic gains. AFTINET’s Convener Dr Patricia Ranald told ABC The World Today that small market access gains cannot ‘compensate for the restrictions on the ability of government to regulate’. Many have discussed ‘the anti-democratic rot at the heart of the deal’ (in the words of Guy Rundle at Crikey): the investor state dispute settlement (ISDS) scheme and the state-owned enterprises provision. ACTU President Ged Kearney explained on ABC 7.30 that the TPP will expand numbers of vulnerable, temporary migrant workers from six TPP countries without testing whether local workers are available. And Peter Martin in the Sydney Morning Herald asked simply – ‘How about showing us the TPP deal which we’re about to sign?’. PACER-Plus submissions close February 15 PACER-Plus, the proposed trade deal between Australia, New Zealand and 12 Pacific Island countries, was quietly tabled in the Australian Senate late last year, triggering a parliamentary inquiry. Submissions are open until February 15, 2018 and we have circulated a draft submission to our member organisations. We urge you to make a submission if you can. AFTINET has dubbed the deal ‘PACER-Minus’ because, since Fiji and PNG have refused to sign on, it includes only 20% of the combined GDP of Pacific Island economies. Both Fiji and PNG say the deal does not meet their development needs and are concerned it would restrict government regulation and damage their infant industries.  Pacific Island civil society groups have demanded social impact assessments of the deal, and AFTINET has supported their calls. You can make a submission here and read more about the agreement on our websitehere. 'Free trade or women's rights?' - analysis from Kate Lappin  ‘[The RCEP] will do particular harm to populations that are most excluded by capitalist economics – women, indigenous peoples, migrants and those without capital or political power’. This is an excerpt from an excellent and detailed article by Kate Lappin of the Asia Pacific Forum on Women, Law and Development, which discusses how trade and investment agreements like the Regional Comprehensive Economic Partnership (RCEP) and the TPP are deepening gendered inequality and exploitation. If enacted, the RCEP would entrench the power of multinational corporations and the wealthy few, via provisions on ISDS, agriculture, intellectual property and trade in services. It would favour giant agrobusiness monopolies at the expense of women working on small-scale subsistence farms and would delay the availability of cheaper generic medicines in the interests of pharmaceutical companies. The patenting of traditional plants and medicines would put them out of reach of Indigenous women, who of course used them for hundreds of years before profit-hungry pharmaceutical corporations came along. The trade in services provisions (also in the TPP) would encourage privatisation of essential services, relax regulations and may prevent governments from re-regulating services and industries. Greenpeace report warns against ISDS A new Greenpeace report, Justice for People and Planet, includes a valuable section on the negative impacts of various trade, tax and investment agreements. Greenpeace uses 20 case studies to illustrate how global corporations are using their ever-increasing powers to violate human and environmental rights. Foreign investment companies are being granted extensive property rights and protections under investor state dispute settlement (ISDS) schemes, and they are using their new powers to alarming effect. US oil giant Chevron lobbied to have ISDS included in the Transatlantic Trade and Investment Partnership (TTIP) between the US and EU, to act as an ‘deterrent’ against environmental policy such as gas mining bans.  NAFTA's ISDS has cost Canada over $300 million A new report by the Canadian Centre for Policy Alternatives (CCPA) has revealed that Canada has paid out nearly $220 million in compensation to companies under the NAFTA investor-state dispute settlement mechanism (ISDS), and $95 million in legal fees defending against ISDS claims. There have been 41 ISDS claims made against Canada. Besides the obvious cost burden, CPPA argues that ISDS leads to ‘regulatory chill’, where governments shy away from public policy decisions due to fears that they will be sued by foreign investors. As NAFTA is currently being renegotiated, CPPA is calling on Canadian negotiators to support the option of ‘opt-in’ ISDS, originally proposed by the Trump administration. Electoral Legislation Amendment Bill is not just about foreign donations Unfortunately, the Turnbull government’s Electoral Legislation Amendment (Electoral Funding and Disclosure Reform) Bill 2017 is about a lot more than just banning donations from overseas individuals and entities. It includes clauses that would severely limit advocacy on human rights and trade justice. The Bill would impose an enormous regulatory burden on community groups, including AFTINET, that engage in public advocacy on issues that could arise in an election (including outside election periods). The threshold for expenditure on advocacy for registration as a “third party campaigner” is $13,500. We would be compelled to register and keep detailed records of all donations over $250. The Bill would redefine a broad layer of non-party political activity, carried out in the public interest, as party-political. This would put an immediate chill on well-informed public debate and degrade the political process. We believe the Bill should be withdrawn and redrafted to fit the stated purpose of restricting foreign donations.  The broad community opposition should mean that it is possible to defeat the bill in the Senate, where the government does not have a majority. The Joint Standing Committee on Electoral Matters is holding an inquiry into the legislation. Submissions closed on January 25 and AFTINET has made a submission registering our concern and recommending against the bill. Many of our member organisations, including unions, environment groups and charities, have also made submissions.  The submissions will be available online shortly.

AFTINET , who works with PSI Australian Affiliates has updated on 'text of TPP" and called for Australian unions and Community to act, see below update from AFTINET

The TPP text has been finalised, and we need your help to stop it The text of the rebranded TPP was finalised on January 23, although the full text is still a secret. It will be made public after the deal is signed, which is set for March 8 in Chile. The latest version appears to be a mess of separate deals cobbled together to meet issues raised by Canada and others. Australian Trade Minister Steve Ciobo is promoting this as ‘18 free trade agreements’. There are new side letters on cultural issues, automobile industry car access and labour rights issues. While the Australian government is only releasing positive information about possible market access gains from the deal, we know that the text still includes restrictions on regulation of essential services and state-owned enterprises, rights for foreign investors to sue governments (ISDS), and no enforceable protections for labour rights or migrant workers. Importantly, this is not a ‘done deal’ yet, as the parliament still must review the deal and consider the implementing legislation. We are campaigning for opposition and minor parties to demand the release of the full text, to organise a Senate inquiry, to commission an independent study on the real costs of the deal and to block the implementing legislation. Send a message to opposition Senators now, using our online form. Please share with your workmates and friends.

Click here to write to opposition Senators about stopping the TPP

Next round of the RCEP is scheduled to be held in the Indian City of Hyderabad on July 17-28

http://aftinet.org.au/cms/node/1428 "Representatives from the All-India Trade Union Congress, Indian Federation of Trade Unions, Telangana Rythu Joint Action Committee, Rythu Swarajya Vedika, Telangana Raithanga Samiti, National Alliance of Dalit Organisations and Doctors Without Borders attended the meeting to discuss the RCEP fallout. See AFTINET news item at http://aftinet.org.au/cms/node/1428 

The next round of the RCEP is scheduled to be held in Hyderabad on July 17-28, with representatives from 16 ASEAN members and representatives from the countries that were associated with it forming into working groups to deliberate on various aspects of the partnership."

Advice from AFTINET http://aftinet.org.au/cms/  

5 things you need to know about Trade Union Repression in Cambodia - an article by APHEDA

https://apheda.org.au/trade-union-repression-in-cambodia/

Author: Tola Moeun, Executive Director, CENTRAL Cambodia APHEDA 

Mr Tola Moeun has worked in the field of labour and human rights in Cambodia for more than 12 years. Taking on various roles within local and international labour rights organisations, including Building and Woodworkers International (BWI), Tola has established himself as one of Cambodia’s leading labour and human rights activists. Tola is a founding member and the current Executive Director of the Centre for Alliance of Labour & Human Rights (CENTRAL). Tola is currently in Australia on a trip advocating for human rights in Cambodia. 

1. Cambodia had a local election on June 4th. What is your analysis of the election results and what it means for workers’ rights in Cambodia?

To provide some context, the election was preceded by multiple threats from the Prime Minister that Cambodia would return to civil war should the ruling party lose. It also took place in a context of extreme political oppression with more than two dozen political prisoners behind bars – the majority of those being opposition party members and elected officials.

Further, July 9 marks the one year anniversary of the brutal murder of Cambodia’s most ardent government critic, Dr. Kem Ley. Last year, Dr. Ley was shot dead in broad daylight in central Phnom Penh. Five UN Special Rapporteurs jointly stated that the circumstances of his death “have given rise to deep concerns in view of his standing as a critic of the government and his regular comments in the media highlighting governance and human rights concerns.”

The commune election results see the ruling Cambodian People’s Party claiming around 70 percent of the country’s commune chief positions. Despite the political context, this a major drop from the 97 percent the ruling party won in 2012 but one far smaller than the opposition had been hoping to inflict.

We are working with Australian partners to try and mobilize observers for the next national election to be held in July 2018 – another election which will also surely be defined by threats, intimidation and widespread irregularities.

It’s difficult to project what this means for workers but with a large amount of newly-elected opposition party officials there might be a little bit more space for workers to approach the local authorities for certain kinds of support. This could include obtaining legal documents to comply with requirements of the National Social Security Fund (NSSF) which covers workers in workplace accidents. It’s very hard to say that workers’ rights will be improved more broadly because this was a local election, but if there is continued support for the opposition in the national election there is great hope for workers and other groups of marginalized people in Cambodia that there will be real change. A victory in the national election would lead to much more accountable and responsible governance. Not just for workers but even the private sector. Figures from the ILO show that 10 cents of every dollar is lost to corruption under the current government. In the garment sector alone this is more than $600 million a year. Without a corrupt government those losses could be passed on to real wage increases for workers.

2. Last year new trade union laws were passed restricting the activities of union and union leaders. Can you give us an overview of the laws and the implications since? 

There are serious concerns under the Trade Union Law which was passed in May last year. In general the law definitely undermines and restricts the the right to organise and weakens the right to collective bargaining. At the same time the right to strike (formerly guaranteed and regulated by the Labor Law) has been seriously limited through complex procedural and administrative requirements.

The law states that in order to conduct any union activity you need to be registered. If not, you have no rights, no protections, anything deemed to be “union activity” will be considered illegal and subject to fines and imprisonment. So what is union activity? Meeting workers, explaining certain things about working conditions, explaining about rights – all these simple tasks are union activities. Under the law they are illegal if a union is not yet registered. It is completely illogical. How are we supposed to register a union if we can organize?

Since the passage of the union law, not a single independent union has been registered.

The law also puts legal barriers on existing unions. Article 54 of the law is being interpreted to mean that only majority unions can take cases to conciliation or arbitration. Dismissed workers from independent unions have no recourse.

This makes it really difficult to establish and maintain independent union membership. It is extremely difficult to organize and no mechanism to support workers if we do.

We should also note the wider, continued attacks on independent unions as evidenced by criminalisation, such as the Cambrew case: http://www.phnompenhpost.com/national/cambrews-60k-case-against-union-begins.

3. Garment workers won a new minimum wage last year. But workers in other industries have been left behind. Is there any government commitment to a common minimum wage? How are unions and others organising to National Minimum wage for all?

There is no green light from the government on a proposed national minimum wage. There is still no national minimum wage in Cambodia, despite the Labor Law requiring one to be set in the private sector through sub-decree. It is 20 years since that law was passed, and it has not been done. The exception is the garment industry which has a minimum wage created through a special agreement between the Cambodian government, unions and the Garment Manufacturers’ Association of Cambodia (GMAC). Currently the minimum wage for garment workers is US$153 per month. However, this is a very recent improvement and one paid for in blood.

Other sectors are not as well organized as the garment sector. Nationally less than 5% of the total workforce is unionised, compared to 60 percent plus in garment. The union voice is still weak in the other sectors, and there is limited bargaining power. But unions and labour support groups are demanding a national minimum wage and we are going to increase our voice leading into the national election. We will throw the ball to the political parties and whichever party supports a national minimum wage we will throw our support behind them.

4. Tell us about the rights for working women in Cambodia? Is there any provision in labour law for paid maternity leave? What protections are there against sexual harassment at work? What about pay equity?

Legal provisions provide some protection and benefits for women workers. Non-discrimination, sexual harassment, equal pay for equal work are legislated. Currently, Article 182 of the Labor Law provides 90 days at 50% pay for maternity leave. But this is too short and payment only amounts to around $200 during leave. The International Labor Organization (ILO) has revised the convention to 14 weeks paid leave. We are demanding the government ratify convention 183. Even now there are problems with implementation of protections. The widespread use of short-term contracts of three to six months undermine the right to maternity leave. Pregnant women too often don’t have their contracts renewed. There are also provisions for breastfeeding of one hour per day, light work for those returning from maternity leave. There are some good legal provisions but there are serious issues with implementation.

5. Hundreds of thousands of Cambodians leave the country every year seeking work across Asia, forming part of a migrant workforce of millions. Tell us about the state of the economy which drives this or what drives them to look for work outside Cambodia?

Push factors such as poor minimum wage, absence of a national minimum wage and rising costs of living have seen more than a million Cambodians leave to find work in Thailand. The government claims poverty and unemployment are minimal under their definitions of those terms. But one in five Cambodians is living in multi-dimensional poverty, and unemployment or underemployment is serious with such a huge part of the workforce employed in the informal sector. Even with full time work, wages do not rescue families from poverty.

The rapid decline of agriculture has also played a huge role. In the last decade farmers have decreased from around 86% of the workforce to less than 40%. This is not because Cambodians want to move into the industrial sectors, it is because of the scale of economic land concessions – robbing farmers of their land and livelihood. The government has conceded half of the arable land and more than a quarter of the country’s surface to private companies under land concession schemes. More than half a million farmers and their families have been affected by land grabbing, pushed into debt with microfinance institutions and forced to migrate. We estimate that around 85% of Cambodians are migrants – either internal or external. If they come to Phnom Penh, wages are not enough to lift them out of debt, and in order to survive they head to Thailand where wages are almost double.

AND a sneaky 6th question…

6. Climate change is set to impact Cambodia heavily in the coming years. For example in a 2015 ILO report, the impacts of heat at work for those working outdoors will punish Cambodians who will be forced to work less hours due to heat impacts. How are unions and NGOs raising these concerns amongst local people and politicians?

We need to do more. It is difficult to mobilise people around climate change which is an abstract concept for them. We need to expand our membership in other sectors, agriculture, plantations and others. We need to come together with Cambodian partners, like the Cambodian youth groups who are working to combat illegal logging and deforestation and send a clear message to the government. There are serious and increasing problems with both drought and flooding. Rain is no longer consistent in Cambodia. We need to start raising these issues.

Increasing heat is also a major concern in the factories. It can be 40 degrees plus in some factories and as a result fainting is still happening on a consistent basis. Flooding also increases the risk of electrocution both in the factories and in workers’ dormitories.

This will affect us all and we all need to raise our voice 

Unionists in Cambodia are under pressure. They are fighting hard and campaigning for living wages and a social security system for all workers as part of the struggle against inequality. 

Union Aid Abroad – APHEDA is working with Cambodian unions and the global union network for living wages and a just social security system – because we know that together, we can win.

Chip in and help us support unionists in Cambodia fighting for a minimum wage.

AFTINET latest bulletin now out - Fair Trade Bulletin - June 2017

http://aftinet.org.au/cms/sites/default/files/1706%20Bulletin%20June%20-final.pd     Inside this edition: TPP countries will "assess options" Petition not to sign PACER-plus Little progress at recent RCEP negotiations Peru first in line as Australia pursues TPP-like deals with South America FTA negotiations with Hong Kong China FTA under review Great night at the Trade Justice dinner