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Chinese trade unions strive to protect workers' rights and interests in dealing with the global financial crisis

By Jiang Guangping
0 CommentsPrint E-mail CSHRS, November 6, 2009
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Protecting the rights and interests of workers and staff members constitutes an important aspect of China's human rights protection. At the time when the country is dealing with impacts of the global financial crisis, the All-China Federation of Trade Unions has been working fruitfully and effectively to accelerate economic and social development and safeguard the legitimate rights and interests of workers, therefore making contributions to the protection of the rights and interests of Chinese workers. Now I would like to make a brief introduction on this subject.

Triggered by the US sub-prime mortgage crisis, the current global financial crisis is exacerbating. It has led the world economy into recession. As a result, many financial institutions and enterprises collapse, the number of unemployment skyrocket, and the growth rate of real economy decreased substantially. The world economy has fallen into the most difficult situation since the Great Depression of the last century. The global financial crisis is causing employment and social crises, seriously undermining the rights and interests of the workers in all countries.

The impact of the global financial crisis on Chinese economy is continuously deepening. Consequently, external demands of Chinese economy have declined sharply, the pressure of economic downturn is increasing, enterprises are troubled with production and operation difficulties, and some industries are obsessed with the problem of production overcapacity. Meanwhile, the pressure of urban employment is obviously felt with increasing number of unemployment, rural migrant workers are returning home, and many enterprises are reducing redundant employees and slashing wages. In such a serious situation, Chinese government has made its primary task in 2009 to tackle with the global financial crisis and promote a steady and rapid economic development. It has timely adjusted macro-economic policies and resolutely implemented proactive fiscal and employment policies and a moderately easy monetary policy. With a focus on boosting domestic demands, sustaining economic growth, expanding employment and ensuring people's well-being, the government has adopted a series of macro control measures, playing a key role in encouraging the entire society to withstand the negative impact of the global financial crisis. So far, preliminary progresses have been made with the implementation of the above measures, and the national economy, in which positive changes have taken place, is in a critical stage of stabilising and recovering. Although the global financial crisis continues to get worse with its deepening impact on our national economy, which is under the pressure of slow growth, we are fully confident to realize the target of economic development of the whole year.

The All-China Federation of Trade Unions (ACFTU) was founded on May 1, 1925. It is a mass organization formed by the Chinese working class on a voluntary basis. Except the Hong Kong Special Administrative Region, Macau Special Administrative Region and Taiwan Province, there are 31 provincial trade union federations, 10 national industrial unions and 1.725 million grassroots trade union organizations (in 3.682 million enterprises and institutions) affiliated to the ACFTU. The membership of the ACFTU totals 212 million and the admission rate of workers into trade unions is 73.7%.

The basic duty of Chinese trade unions is to protect the legitimate rights and interests of workers and staff members. Dealing with the impact of the global financial crisis, Chinese trade unions put workers and staff members first and fully support government policies and measures on sustaining economic growth, ensuring people's well-being, maintaining stability, boosting domestic demands and promoting steady and rapid economic development. Because of suspended and limited production, shut-down and bankruptcy, many enterprises reduced their employment. Correspondingly, the society is facing with increasing pressure of employment, the problems of arrears in wages and default in contributions of social insurance fees by enterprises are prominent, and some workers and staff members live a difficult life and have less income. Therefore, Chinese trade unions have implemented effective measures to proactively meet these challenges and conscientiously protect the legitimate rights and interests of the workers and staff members.

First, we have worked hard to sustain economic growth and promote social development. Maintaining steady and rapid economic development is the government's priority to deal with the global financial crisis, and effective protection of workers' rights and interests depends on the development of both national economy and enterprises. Focusing on the goal of maintaining steady and rapid economic development, the ACFTU has launched labor competition campaigns of "pulling together to sustain economic growth and making contributions to promote development" among workers and staff members nation-wide. On the platform of building Workers Pioneers Title, Chinese trade unions at all levels have carried out intensive contribution-making competitions among workers and staff members, aiming to tap potential for higher effectiveness and increase revenue while reducing expenditure. We have also launched contribution-making competitions in construction projects, such as major national projects and post-earthquake reconstruction. Besides, community-based campaigns on technical innovations and "making contributions to energy conservation and emissions reduction" have gained momentum, guiding workers and staff members to play a leading role in promoting steady and rapid economic development. By the end of last June, 23 provincial trade unions had issued documents on the competition campaign of "pulling together to sustain economic growth and making contributions to promote development", with almost 70% of Chinese enterprises and workers participating in the campaign. Trade unions at all levels have organized more than 88,000 technicians to help 32,000 enterprises with financial difficulties due to the global financial crisis. More than 300,000 voluntary worker supervisors on energy conservation and emissions reduction have been appointed in over 100,000 enterprises.

Second, we have adopted measures to maintain stability and promote social harmony. The ACFTU has concentrated its efforts to implement the Common Engagement Initiative among trade unions, enterprises and workers. On the one hand, we have urged enterprises, especially the state-owned ones, to take the lead in fulfilling social responsibilities and try their best to maintain stable jobs with no layoffs or wage-cut, and encouraged them to negotiate wage levels with their employees and pay salaries and contribute to the social insurance in full and on time. We have also urged enterprises running below production capacity to intensify job trainings for workers and staff members when there are no production activities, so as to effectively enhance the employees' technical capability. On the other hand, we are guiding workers and staff members to proceed from their own jobs with firm confidence, work diligently to make proactive contributions to the production and operation of enterprises, and make it through the difficult times alongside with enterprises. By the end of last June, 17 provincial trade unions had issued documents on the Common Engagement Initiative and governments of 14 provinces, autonomous regions and municipalities had issued documents to make deployment on the Initiative through coordinating the three parties in labor relations. With intensified implementation of the Initiative in a wide rage of enterprises and workers, good atmosphere has been fostered where incidents of layoffs and wage-cut are becoming less or disappearing, and democratic procedures and collective consultation must be carried out in accordance with law in case there are layoffs and wage-cut.

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