1. 1 International Metalworkers’ Federation International Framework Agreements & role of national level unions Jenny Holdcroft

2. What are international framework agreements? A trade union response to the urgent need to regulate TNCs’ activities and promote workers’ rights around the world Commit TNCs to respecting the ILO Core Labor Standards throughout their worldwide operations Include some engagement to pressure suppliers to implement the code IMF Model IFA adopted 1998

3. IFAs signed by IMF yIndesit (2002) yVolkswagen (2002) yDaimler (2002) yLeoni (2003) yGEA (2003) ySKF (2003) yRheinmetall (2003) yBosch (2004) yPrym (2004) yRenault (2004) yBMW (2005) yEADS (2005) yRöchling (2005) yArcelor (2005) yPSA Peugeot Citroën (2006) yBrunel (2007) yUmicore (2007) yVallourec (2008) yAker (2008) 3

4. Initiating and negotiating IFAs have been initiated by EWCs, WWCs, national unions and companies Prominant role of EWCs Companies resist IMF signature Unions not kept well informed Need for unions outside Europe to be consulted and have ‘ownership’

5. Initiating and negotiating Key principles for future negotiations: Strategic targeting of TNCs IMF should be involved from the start and coordinate the approach to the TNC, ensuring relevant affiliates are consulted or kept informed Continued efforts should be made to achieve IFAs outside Europe IMF needs to make more direct contact with companies and increase its profile as a negotiating partner

6. Content Varies significantly from IMF Model Not all IFAs explicitly reference ILO Conventions Some supplier clauses are stronger than others: from ‘encouraging’ to severing of business relations Relationship to national laws ‘No IFA is better than a weak one’ – IG Metall

7. Improving the content IMF will only sign IFAs that: Contain the ILO Core Labour Standards Cover all company operations throughout the world Include a strong commitment suppliers and sub- contractors will be advised to adopt similar standards Take precedence over national laws Are signed by a representative of the IMF

8. Implementation problems Resource implications for trade unions IFA implementation has been patchy Management efforts at implementation have been inadequate  Employees (and managers) not aware of IFA  Translations not made  Resources not made available

9. Implementation solutions Give priority to establishing union networks Develop training and improved communication methods to ensure affiliates are equipped to genuinely implement IFAs NGOs may be able to assist with implementation efforts

10. Enforcement No legal enforcement mechanisms at global level Very few examples of complaints BUT In some cases suppliers have been excluded from the supplier panel for non- compliance with IFA provisions

11. Enforcement – union action zEnforcement relies almost entirely on union strength  Unions can notify the IMF of IFA abuses Make all efforts to resolve IFA complaints at the local/national level Investigate possible instruments to enforce IFAs, especially where violations continue Conduct global campaigns against companies where breaches continue Withdrawal from the IFA should be a final resort z

12. IFAs as an organising tool zIFAs have been instrumental in advancing freedom of association & collective bargaining Examples:  Daimler (Turkey, Brazil)  Leoni (Tunisia, Morocco) However... zcompanies with IFAs, particularly their local management, as well as their suppliers continue to obstruct the establishment of independent unions and their activities, and violate workers’ rights. 12

13. IFAs as an organising tool Unions should develop plans to organise plants of the IFA company where there is currently no union Suppliers and sub-contractors account for many IFA violations and affiliates should develop specific strategies for organising in these workplaces and for enforcing the IFA

14. Occupational health & safety zPriority objective in several IFAs (Bosch, GEA…); criteria for selecting suppliers (Renault) zIFAs have contributed to improving prevention and OHS standards, and facilitated the setting up of health and safety committees  Renault (Argentina, South Africa)  PSA (Belgium)  Rheinmetall (Brazil) 14

15. Occupational health & safety IFAs have paved the way for other agreements: yVolkswagen: agreement on Industrial Safety Policy (2004); Charter on Labour Relations (2009) yDaimler: Health and Safety Principles (2006); yArcelorMittal: Global Agreement on OHS (2008) 15

16. Impact of IFAs Approx. 1,700,000 workers covered worldwide IFAs have helped to: ystrengthen social dialogue at local, national and international level yestablish contacts between unions and management at local level where there was no contact before 16

17. Future directions Include a commitment to limits on precarious work Improve information and communication - including among workers in the supply chain Invest in education and training of workers and managers on the substance and objectives of IFAs Define concrete action plans Renegotiate existing IFAs eg PSA Peugeot Citroën 17