Open World Conference of Workers

In Defense of Trade Union Independence & Democratic Rights

 



1) HOW NOT TO FIGHT GLOBALIZATION? A Tale of Two Cities (Nice and Porto Alegre), by Alan Benjamin

2) The World Bank, Alternative Forums, NGOs and "Civil Society", by Frederic Thuillier

3) Brazilian Teachers Slam "Participatory Budget", by the Editors

4) UN General Secretary Kofi Annan and the World Social Summit, by the Editors

5) Brazilian Workers Party (PT) Sweeps Municipal Elections: O Trabalho Current of PT Charts Road Forward




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1) HOW NOT TO FIGHT GLOBALIZATION?
A Tale of Two Cities (Nice and Porto Alegre)


By ALAN BENJAMIN

In order to impose the lowering of labor costs and the destruction of the labor force the world over, the international capitalist class is resorting more and more to "neo-corporatist" structures and institutions to co-opt the labor and social protest movements and to destroy the trade unions.

In Seattle in December 1999, the WTO hosted a parallel Social Summit the day before the opening of the WTO Conference with the goal of bringing all the "opposition" forces on board the bandwagon of "globalization with a human face." The objective was to lure the unions and Non-Governmental Organizations (NGOs) into the WTO process by holding out the promise of introducing labor and environmental standards into the core treaties and "free trade" pacts promoted by the WTO, IMF, and World Bank.

In his keynote address to the Seattle Social Summit, new ILO Director-General Juan Somavia put it this way. "What we need today is a more fruitful collaboration between the ILO, the WTO, the IMF and the World Bank with the objective of creating a Social Chapter within the incipient structures of world governance. ... We need to create structures where the fears and anxieties of civil society can be fully aired and addressed."

Former WTO Director General Renatto Ruggiero was more to the point. He warned the gathering that "if all actors in today's global economy are not included to address the widening range of public concerns within this global system ... they may turn to alternative solutions that could possibly destabilize the entire architecture of the global economy." And he concluded, "Certainly we must continue to advance trade liberalization within the multilateral system. But unless we achieve a consensus and cooperation with all the political actors, we cannot build the necessary support for trade liberalization and the global economy." [For a full report on the Seattle Social Summit, see the Winter 1999-2000 issue of The Organizer.]

The Social Summit in Seattle collapsed as a result of the mounting frictions between the industrialized countries and the countries of the "Third World," which feared - with great reason - that the introduction of labor and environmental standards within the WTO treaty would be wielded for protectionist reasons against their countries. But the drive to get the trade unions internationally to swallow the bitter pill of the "free trade" agenda has not halted. Far from it.

In fact, this "neo-corporatist" drive has been given a big impulse by two current events: one staged in Nice, France, on December 6-8, 2000; the other to be held in Porto Alegre, Brazil, at the end of January 2001. Both these events should send a warning to all unionists and activists genuinely concerned about waging a struggle to put a halt to the "globalization" onslaught promoted by the WTO, IMF and World Bank. The warning is simple: If you want to roll back the attacks of the globalizers, don't fall prey to the trap of "globalization with a human face."

Forging a European "Social Dimension"

In France, a whole array of NGOs joined the European Confederation of Trade Unions (ETUC) in organizing a large demonstration and numerous "counter-summits" in the city of Nice on December 6-8, 2000. The largest action was a "March For a Social Europe" on December 6 sponsored by the ETUC, an organization which, despite its name, has nothing to do with the trade union movement but rather is a direct construct of the European Union.

One week earlier, on November 30-December 2, a series of NGOs (ATTAC, Friends of L'Humanité, Friends of Le Monde Diplomatique, etc.) had sponsored in Paris an Alternative Social Forum titled "One Year After Seattle." The event was aimed at building the protest at the European Union's Summit in Nice and putting forward the "movement's" proposal for a European Union with a "social dimension." According to the forum appeal issued by the organizers, the "European Union has the economic means to forge a social dimension, on the basis of a Third Way, that could implement policies against unemployment, insecurity, and the undermining of workers' rights."

Consistent with this Forum Appeal, keynote speakers from the ruling Socialist and Communist parties, as well as from the "far left" -including the LCR, the French section of the United Secretariat - spoke of "reorienting certain international institutions such as the IMF, World Bank, WTO ... so as to create a globalization from below." They spoke of "building an international citizen's movement, not to destroy the IMF but to reorient its missions."

Needless to say, all these proposals mirror almost word for word the proposals made in recent months by all the proponents of "trade liberalization" - from the top officialdom of the WTO on down.

As projected, these demands for a "globalization from below" and for a "reorientation of the IMF" were the central demands of virtually all wings of the "protest" demonstrations in Nice on December 6-9.

The December 6 demonstration in Nice called by the ETUC and joined by scores of NGOs and "far left" organizations from across Europe pushed for a "Social Europe" - that is, a European Union with a "Social Charter." Keynotes speakers from the ETUC and NGOs pointed out in unison that this was the first time that all the proponents of a "Social Europe" had united around a "common agenda."

But what is this common agenda?

One of the keynote speakers at the various rallies and "counter-summits" was Walter Veltroni, general secretary of the Italian PDS (formerly the Italian Communist Party). Veltroni told a "counter-summit" that "after the great success of the Euro [the new European currency], it is now necessary to construct a European "social model" with a "social agenda." And he went on to make clear what this agenda entailed. "What is needed," Veltroni said, "is dialogue and cooperation among all social actors. Only this way can we institute social peace, which is a powerful factor to ensure economic growth." (quoted in Informations Ouvrieres, Dec. 10-17, 2000)

In other words, according to Veltroni, the trade unions should cease to function as trade unions defending the specific interests of their members, and instead dissolve into the fray of the NGOs with the aim of upholding the common interests of all civil society - including those of the multinational corporations and the governments in their service.

Emilio Gabaglio, general secretary of the ETUC, echoed this theme in his keynote address to the December 6 rally. "I am glad to be here," he said, "because all components of civil society must play a major role in the construction of the European Union. The message of our demonstration is unmistakable: There needs to be the incorporation of the trade unions and NGOs into the decision-making structures in Brussels. ... We agree that Europe must become more competitive, yes. But the new Europe must also contain a dignified quality of life for all its citizens." (Ibid.)

French Workers Party responds

The French Workers Party, in a statement published in the November 29 issue of Informations Ouvričres [Labor News], took strong issue with all these efforts to "democratize" or "humanize" the European Union. It pointed out that the EU, borne from the Maastricht Treaty, was set up precisely to attack workers' rights, undo the so-called welfare state, and wipe out all vestiges of national sovereignty enshrining the gains and conquests of the workers' movement over many centuries of struggle. All these anti-worker attacks, the statement noted, are being carried out precisely in the name of making Europe "more competitive."

The French Workers Party pointed out that the World Bank and WTO are themselves loudly championing the goal of "humanizing" the institutions of international finance capital so as to co-opt the trade unions into the entire web of globalization and to destroy them as instruments for workers to defend their own specific class interests.

The Workers Party statement took issue with the concept of "civil society" - which is being used increasingly to forward the notion that social classes with antagonistic interests are a notion of the past, and that it is now necessary, as a statement published by ATTAC put it, "to create a participatory democracy in which all the citizens, all social and economic actors (private and public sectors as well as intermediate cooperative and associative sectors) can come together to respond to the expectations and needs of all the citizenry."

The French Workers Party exposed the myriad ways through which the European Union and its directives attack workers' rights. In France, for example, 50 new EU directives are to be implemented by the "Plural Left" government in the coming months without even being discussed or approved by France's National Assembly. The reason for this is that the directives, all concocted by unelected technocrats in Brussels in the pay of the World Bank and IMF, are considered "technical" in nature.

These directives are anything but "technical." One calls for reintroducing child labor at the age of 13. Another calls for laying off women during their maternity leave and seriously restricting pregnancy leave (in line with the recent revision of ILO Convention 103). Another still calls for reintroducing night work for women (which had been banned after bitter struggles by the trade unions more than 100 years ago) - in the name of "equality between men and women."

The French Workers Party explained that the European Union could not be democratized; it had to be dismantled. The treaty that gave rise to the EU, the Workers Party continued, had to be repealed. And for this, the trade unions had to remain fully independent and not be wooed by the siren song of "globalization with a human face."

The statement of the Workers Party went one step further. It pointed out that all the organizations participating in this Alternative Forum in Paris - as well as the great bulk of the organizations participating in the Nice "protests" and "counter-summits" - were conspicuously silent about the specific 50 EU directives aimed at dismantling the gains of the workers' movement.

Whereas the Workers Party had organized national demonstrations on October 21 against these 50 EU directives, and whereas the Workers Party had mobilized again on November 30 against the re-introduction of night work for women, virtually all the participants in the Alternative Social Forum were nowhere to be found in this struggle. "A mere coincidence?" asked the Workers Party statement. Hardly. The bulk of the sponsors of the Alternative Social Forum (and of the Nice protests) were either members or "critical" supporters (or even very critical supporters, such as the LCR) of the "Plural Left" government.

When it comes to opposing the concrete policies implemented by the governments in the service of the multinational corporations, the proponents of "globalization with a human face" are rarely to be seen.

This brings us to the second event that illustrates the dangerous trap of "globalization with a human face" - and that is the World Social Forum of Porto Alegre, Brazil, slated to take place January 25-30, 2001.

The World Social Forum of Porto Alegre

The World Social Forum has been convened by scores of NGOs throughout the world. U.S. sponsors include 50 Years is Enough, Public Citizen, Global Exchange, Labor Notes, and many others.

The World Social Forum presents itself as a grouping of "social institutions and movements," NGOs, and trade unions. It claims to represent the continuity of the "mobilizations in Seattle and the April 2000 actions in Washington" - all of which "signaled the emergence of a cross-border, citizens' movement ... that is slated to become an international citizens' countervailing power."

The World Social Forum describes itself as the counter-summit to the World Economic Forum held yearly in Davos, Switzerland: "Since 1971," according to the Manifesto issued by the Forum's organizing committee, "the World Economic Forum in Davos has played a strategic role in formulating the thinking of all those who promote and implement neo-liberal policies the world over. Its basis of organization is a Swiss foundation that has been granted advisory status in the UN and that is financed by more than 1000 multinational corporations."

Hence the proposal that the World Social Forum should meet "every year in Porto Alegre, the capital of the Brazilian state of Rio Grande do Sul, during the same dates as the Davos Forum" with the purpose of "formulating general perspectives, exchanging experiences and setting up coordinating tactics and strategies among NGOs, social movements, trade unions, associations and citizen groups."

What is the World Social Forum's political orientation? The answer is contained in the Manifesto of the Forum: The purpose is to promote "international trade with justice" and a "new trade structure that is just and acceptable." The purpose is to "democratize" the institutions of globalization, to ensure that the "decision-making process of the international institutions will be democratic and transparent."

Like the many "Social Summits" that preceded it (notably the Copenhagen Social Summit of 1995) - all organized in tandem with the majorinternational or European summits of the WTO, UN, IMF or the European Union - this new World Social Forum does not represent a challenge to global capitalism. It is therefore not surprising that the World Bank web site is promoting the World Social Forum, reprinting its documents for the information of all its readers and referring to the event positively as "a new organizational perspective launched in June 2000 in Geneva by the major organizations of civil society."

The choice of Porto Alegre, Brazil, as the location for the World Social Forum says a lot in itself. This choice was in fact determined, say the initiators in their own words, by the "rich experience" and "example" of this city and state, which have been governed by the "left wing" of the Brazilian Workers Party (PT), primarily by the Brazilian section of the United Secretariat.

Ignacio Ramonet, editor of the French newspaper Le Monde Diplomatique and one of the initiators of the WSF, referred to the choice of Porto Alegre as follows: "Over the past few years, Porto Alegre has become a model city, ... a sort of social laboratory that all international observers are looking to with great fascination." Among these international observers, as we noted earlier, is the World Bank itself.

But what is the "rich experience" of Porto Alegre and Rio Grande do Sul, which the organizers of the World Social Forum believe should be emulated the world over as an example of how to fight back against globalization? In what way are this city and state a model of a "countervailing citizen's movement"?

To begin to answer this question one needs to examine the centerpiece of the Porto Alegre "model" - and that is the city's "Participatory Budget."

The "Participatory Budget"

Each year the state government of Rio Grande do Sul decides its annual budget. The first thing they do is earmark a big chunk of the budget - 17% in the year 2000 - to repaying their portion of the country's $225 billion foreign debt.

The decision to continue paying the debt is hard and fast; it is not up for discussion - given that the state has faithfully pledged to the federal government that it will pay back its share of the national debt to the international creditors - as stipulated by the federal government's "Law on Fiscal Responsibility."

It should be pointed out that the repayment of the debt is in itself a violation of the mandate of the people, who elected the Workers Party to head the government of the state of Rio Grande do Sul in 1999 with the demand that their social services be fully funded. Obviously, to the extent that the state and municipal governments agree to pay their portion of the federal debt, an amount that can reach the sum of hundreds of millions of dollars each year, they must reduce the amount of money allocated to schools, housing, healthcare and municipal services.

Then, once the foreign debt allocation is taken care of, all the "grassroots organizations" - that is, the associations (including the employers' associations), the NGOs, and the trade unions - are invited to "participate" in a marathon assembly to determine the priorities of the budget. This is the "Participatory Budget," which was first introduced many years ago by the PT-led City Council of Porto Alegre and which today serves as the model for the state government of Rio Grande do Sul.

Public sector workers, teachers, school administrators, shantytown dwellers, and police officers are among the hundreds of "participants" who are given time to argue why their particular project or wage increase should be funded by the budget. Every speaker with a request for funds is given a number. After all presentations are made, the gathering proceeds to a vote. Each person in the room is allowed to vote for one - and only one - priority. The funding request with the largest number of votes is thus considered the top priority. The other requests are ranked in decreasing order of priority, though only the top three have any chance of being funded.

A trade union official who participated in a Participatory Budget Assembly of the Rio Grande do Sul state government last October was aghast at the way in which the workers were being pitted against each other and against the community over an ever-shrinking portion of the budget pie. "The inhabitants of the Vila Dique favella (or shantytown) in Porto Alegre," the unionist stated, "pleaded with the assembly to fund the titles to their lands to avoid their eviction. They mobilized the entire community and hence outnumbered everyone else. A large number of trade unionists with legitimate demands for funding didn't even vote for their own request, out of fear of seeing the shantytown dwellers forced off their lands and into the ranks of the homeless." (quoted in Informations Ouvričres, January 3-9, 2001)

Following the vote of the assembly, the elected officials are then joined by delegates from the assembly (apportioned according to the selected priorities) in a subsequent phase of the "Participatory Budget."

There they must choose between repairing the sewage system (whose collapse regularly results in deadly catastrophes in the favellas) and paying the civil servants (who sometimes are not paid for up to eight months). They must choose between closing the emergency rescue centers in the neighborhoods (which are sometimes the only place where tens of thousands of working families can receive minimum health care) and putting off again until next year the installation of a running water system.

At the end of the day, however, none of the priorities selected by the assembly may be funded. All this depends on the amount of money available, the feasibility of the project, and a series of other factors. [See sidebar on the two-month Rio Grande do Sul teachers' strike.]

But regardless of what budget item is finally funded, what is clear is that the World Bank and IMF's dirty work has been carried out: The cuts in wages and social services demanded by the IMF and World Bank have been imposed with the full "democratic participation" of the workers and community, who were lured into a trap by their misleaders.

This, in a nutshell, is "globalization from below."

Today, the trade union movement is being summoned with greater and greater urgency by the institutions of global capitalism to buy into the "globalization" process. Many union federations, including the AFL-CIO, have taken important steps in this direction. The AFL-CIO, in fact, has just been added to the list of endorsers of the World Social Forum. But these union federations haven't yet traveled all the way down the slippery path toward their self-destruction. There is still time to pull back.

A full discussion of the dangers threatening the trade unions is needed throughout the international trade union movement. It is necessary for unionists at all levels to understand that the main institutions of international finance capital (and all the governments in their service) are hell-bent on dissolving the class line between workers and bosses. They are hell-bent on destroying the trade unions (by transforming them into one more NGO, among thousands) and creating a "participatory consensus" around the implementation of capitalism's destructive agenda.


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2) The World Bank, Alternative Forums, NGOs and "Civil Society"


By FREDERIC THUILLIER

The World Bank published in early November a text titled "Report on Development: 2000-2001" that includes a review of its financial commitments to NGOs and "civil society." The following information is provided:

o More than 70% of projects approved by the World Bank in 1999 included the participation of NGOs and representatives of "civil society." One seven-country project alone that was aimed at bolstering activities of NGOs cost $900 million.

o A special budget was earmarked for NGOs that requested money (up to $15,000 per organization) to participate in World Bank-funded seminars.

o The number of World Bank functionaries in charge of relations with NGOs and representatives of "civil society" increased from two in 1995 to 80 today.

So much for the World Bank. Another study published by the OECD in October 1999 titled "Khateriimini" notes that "the percentage of all aid supplied by OECD countries through the NGOs increased from 0.7% in 1975 to 3.6% in 1985 to more than 5% in 1995 - for a total of $2.3 billion. But this amount is far below the real sum, according to the report, as it "does not include the financing by the U.S. government to the NGOs."

These gigantic sums reveal the hoax of presenting the rapid growth of NGOs as a "social phenomenon."

In years past, financing by international financial institutions and governments went essentially to NGOs whose role was to accompany the dismantling of public utilities and services (NGOs devoted to medical care, education, garbage collection). What is new today is that an increasing share of this financing goes to NGOs which the World Bank refers to as Civil Society Organizations, or CSOs. According to the World Bank, these are organizations that promote "social causes" and "social protest movements" - in other words, political action.

What is the mission confided to the CSOs. The World Bank "Report on Development: 2000/2001" gives the answer. "Social tensions and divisions can be eased by bringing political opponents together within the framework of formal and informal forums and by channeling their energies through political processes, rather than leaving confrontation as the only form of release."

The report continues: "[The World Bank] acknowledges that it must now pursue its strategies with entirely transparent procedures and that it must engage in an open and regular dialogue with the organizations of civil society, in particular those that represent the poor. The international financial institutions and organizations have to support poor people's coalitions around the world so that their voices can be heard in the world debate."

In keeping with this mission of co-optation, the IMF itself reports the following in a document titled "Globalization, NGOs and IMF: A New Dialogue": "Criticisms made by NGOs against the system do not necessarily target the IMF-recommended macro-economic stabilization policies, because NGOs accept them generally as the necessary condition for lasting growth." (September 19, 2000)

There you have it: "globalization with a human face." It's a method aimed at getting the "citizens' protest movements" - such as the ones staged at the European Union Summit in Nice in December 2000 and the World Social Forum of Porto Alegre of January 2001 - to join the IMF and World Bank in jointly implementing the destructive Structural Adjustment Plans.


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3) Brazilian Teachers Defy the "Participatory Budget"


In an interview published Sept. 7, 2000, in Rouge, the newsweekly of the French section of the United Secretariat, André Passos Cordeiro, general coordinator of the budget and plan of the Porto Alegre municipality, described in great detail the workings of the city's "Participatory Budget."

Toward the end of the interview, Cordeiro was compelled to acknowledge that things don't always work according to script. For example, in May 2000, the public school teachers across the state of Rio Grande do Sul waged a two-month strike to demand payment of back wages and a wage increase to keep up with the rise in the cost of living. The state and municipal governments led by the Workers Party had opposed the teachers' legitimate demands, arguing that the federal Law on Fiscal Responsibility prevented them from paying any more money for teachers' salaries.

Cordeiro acknowledged the "understandable" concerns of the teachers, but he went on to lament that the teachers chose to strike instead of more fully utilizing "the entire breadth of the democratic opportunity offered by a government of popular participation."

What does this mean? It means that, according to Cordeiro, the teachers should not have placed their specific interests ahead of those of the rest of the other "civil society" participants in the "participatory budget" process. Had they "better understood" the character of the "participatory budget," they might have understood that it was necessary for them to tighten their belts and accept the cutbacks, along with everyone else.

[In the January-February 2001 issue of The Organizer, we will publish an extensive interview with Jorge Buchabqui, former Human Resources Secretary of the Rio Grande do Sul state government, who resigned from his post in protest of the state government's pro-IMF policies and the fraudulent character of the "participatory budget" - which, he said, had become "a straitjacket in the hands of the government to contain all the demands of the workers."-ed.]

But in reality, contrary to what Cordeiro would have us believe, the teachers understood perfectly the phony role of this "participatory democracy" - and that is exactly why they went on strike and why they assailed the state government, demanding a wage increase - which they eventually won. - A.B.


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4) UN General Secretary Kofi Annan and the World Social Summit


United Nations General Secretary Kofi Annan sent a message on Nov. 20 to the governor of the Rio Grande do Sul, Olívio Dutra, indicating his full support for the World Social Forum, which will be held in Porto Alegre at the end of January 2001. Annan's message states, in part:

"The declarations made by the head of states in the United Nations Millennium Summit [held in New York last fall], and the common declaration adopted by the meeting prove that the underlinement of the unequal benefits brought by globalization and the building of actions to better the lives of peoples over the world are in the top priorities of the international community. ... I wish you all the success possible. ..." (source: WSF web site)

A closer look at the declaration adopted by the UN Millennium Summit reveals that it is a document fully committed to the corporate "free trade" agenda, which, its signatories all agree, is the "only viable engine of economic growth and prosperity." Never mind that in the name of "free trade" millions of jobs are being destroyed the world over and that working and living conditions are being driven back a few hundred years - only to provide prosperity for a tiny minority of ruling rich.

In his address to the UN Millennium Summit titled "We the People," Kofi Annan does not take issue with the corporate global agenda. In fact he warns that "what is needed is not new shackles for world trade." Instead he calls for "extending the benefits of free trade" to those who have been left out. He proposes doing this by creating a "Global Compact" between business, civil society and the United Nations whose major task, he says, will be to urge "the transnational corporations, which have been the first to benefit from globalization, to now take their share of responsibility for coping with its effects." (source: UN Millennium Summit web site)

Let there be no doubt about the intentions of the heads of state who signed the UN Millennium Summit declaration - all of whom in their own countries are dutifully implementing the IMF's austerity and structural adjustment plans. Their goal is not to promote economic justice for the peoples of the world or to ensure genuinely fair trade based on full respect of the sovereignty of the world's nations and peoples.

If these heads of state wished to accomplish these objectives they could, without great difficulty, proceed to dismantle the WTO, repeal the GATT treaty, abrogate NAFTA and the European Union's Maastricht Treaty, ratify and implement in their own countries the 182 original ILO conventions protecting labor rights, and cancel the crushing debt of the "Third World" countries - to name but a few key measures to be taken.

No. Their goal is altogether different. It is to enlist all members of "civil society" - first and foremost the trade union movement - into supporting the "free trade" agenda of the multinational corporations and the governments in their service.

As the Appeal issued by the Open World Conference in Defense of Trade Union Independence and Democratic Rights (OWC), which was held last February in San Francisco, so aptly put it:

"The Millennium Summit has been convened by the United Nations, with the full support of the WTO, with the explicit purpose of advancing the integration-cooptation agenda of the multinationals. ... This Summit is designed to bring together all the players of the so-called civil society ... into a common framework to promote more 'democratic' and 'participator' free trade pacts and other anti-worker policies."

This is why, more than ever, it is necessary to maintain an unyielding stance in defense of the independence of the trade unions, which is the necessary condition for waging an effective fightback against the deadly assault promoted by global capitalism. And that is why it is especially important for unionists and activists to build massive support across the United States and around the world for the International Conference Against Deregulation and For Labor Rights For All, to be held in Berlin in February 2002! - A.B.


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5) Fulfill the Mandate of the People:
No the Debt, Satisfy the Workers' Demands!


(statement of O Trabalho)

The municipal elections have just taken place. Millions voted for the Workers Party (PT) because they can no longer accept a life of untold misery. They want land and an end to the dictatorship of the latifundio [gigantic estates owned by a handful of feudal-type landlords-ed.]. The workers want their rights. The youth want a future. With their votes, millions said they want healthcare for all, education, jobs, better wages, and a life with dignity.

That is why they voted for the PT - with millions of vote to signify:

Down with FHC [President Fernando Henrique Cardoso] and the IMF!

No to the destruction of the Brazilian nation!

No to the payment of the foreign debt, which is not our debt!

Who is FHC? He is a man at the helm of a government that has mounted one attack after another against working people over the past five years. The government has clubbed the public sector workers. It has increased part-time and precarious work, having modified Article 7 of the Labor Code. It has rolled back holiday pay, the right to the 13th month bonus pay, and maternity leave. It has thrown more and more children and youth into the streets, as schools are being closed in alarming numbers.

It is a government that is turning the entire Amazon region over to the multinational corporations under a U.S. protectorate, permitting the installation of CIA and U.S. military bases to pursue its Plan Colombia. It's a government that supported Fujimori in Peru and that has backed the imperialist policies in Palestine.

Today, the workers and peoples are rising up against Fujimori. They are resisting the Plan Colombia. They are demonstrating in the streets against the accords that target the Palestinian people.

In Brazil, this same movement was expressed with the millions of votes for the PT - against FHC.

Today, 30 million Brazilians in 187 cities - including Sao Paulo, Recife, Porto Alegre, Goiania, Belem and Aracaju - will be governed by the PT. In 187 cities the people say: Oust the representatives of the FHC and the IMF from the municipalities. Sť

And now what is to be done?

The president of Citibank in Brazil declared, immediately after the election: "Henceforth, the PT will be under great scrutiny. We will now be able to verify how it will act in government. The PT could very well be an alternative in the 2002 presidential election if it behaves well. This is the PT's big test."

What kind of proof is being demanded?

For the World Bank and the IMF things are clear: They demand that the PT continue and deepen the policies of FHC; that is, policies that privatize, deregulate rights, and destroy public services. They demand policies aimed at permitting the municipalities to pay back their portion of the foreign debt to the federal government.

But was this the mandate given by the people to the PT for governing the municipalities? Clearly not.

The pressures on the PT will be enormous.

In Sao Paulo, for example, Marta Suplicy [newly elected mayor-ed.] admitted having invited the PSDB - even if the latter refused the offer for the time being - to join its municipal government. But what is the PSDB? It is the party of FHC.

Today, also in Sao Paulo, Joao Sayad was named Financial Secretary of Marta's new government. Who is Sayad? He is a banker and a direct agent of the IMF.

Did the workers who voted for the PT vote for Joao Sayad and the PSDB? No. They voted for the PT municipalities, without representatives of the capitalist class, to stand at their side and champion the demands of the workers and oppressed.

The IMF and World Bank - who in Brazil are represented by FHC - are going to increase their pressure on the PT, urging it to implement its anti-worker agenda, beginning with the payment of the foreign debt apportioned to the municipalities. In the city of Sao Paulo, this will mean the payment of close to 1 billion Reais [or US $185 million] in 2001 alone.

Did the workers who voted massively for the PT in Sao Paulo vote for this money to be taken out of the allocations for healthcare, education, wages of public-sector workers - all so that the debt could be repaid? The answer is self-evident. Sť

Those who have agreed to abide by the federal government's Law on Fiscal Responsibility say that there is no alternative but to repay the debt. They say that the "reality of globalization" offers no other realistic choice to the municipalities but to work within the parameters of debt repayment established by the federal government.

We disagree. There is another choice to be made. It is possible to confront the IMF and World Bank by seeking the support of the workers, the youth, the people.

The millions of people who voted for the PT - the very same ones who have mobilized in increasing numbers in powerful strike battles - gave the PT a mandate to fight back. They are ready to fight back. They want the people's mandate to be respected.

Each municipality is confronted with a choice: Either pay the debt or satisfy the demands of the workers and the people.

To pay the debt is to satisfy the demands of the bankers and the IMF. It is the policy of the "Participatory Budget" - which in the state of Rio Grande do Sul has proven to be nothing but a weapon in the hands of the IMF and the government to enlist the participation of the workers' organizations in the actual implementation of the drastic cuts in healthcare, housing, welfare and education. In fact, the teachers who waged a bitter two-month strike last March against the state government had to break with the straitjacket of this "Participatory Budget" to win their demands.

To enact such a policy is to destroy the Workers Party.

In Sao Paulo, for example, the last Municipal Convention of the PT in May 2000 adopted a resolution calling for the PT, in the event it won the mayoral election, to cancel the payment of the debt to the federal government.

So the choice is clear for the new municipal government that is about to take office in January. Either it carries out the mandate of the people - the mandate, moreover, that was approved by the highest body of the PT in the municipality: its Municipal Convention - or it bends to the exigencies of Citibank. Sť

If the PT municipalities, beginning in Sao Paulo, were to refuse to pay the debt in order to meet the demands of the working population, this would represent a first step on the path to a break with FHC-IMF. It is a step that would be supported enthusiastically by working people. It would open the way to large-scale mobilizations to build a nationwide movement in the streets to defend the PT municipalities against FHC-IMF. Sť

The road forward needed to carry out the mandate of the people requires that the PT, incorporating the municipalities in a mass movement of resistance and struggle, call for an end to the FHC government. It requires that the PT make known its willingness to form an Emergency Government, supported by the CUT [the trade union federation], together with all popular organizations and all sectors willing, through their actions, to break with IMF and the foreign debt. Sť The first task of such an Emergency Government would be to convene nationwide elections to a Sovereign Constituent Assembly that could conquer genuine democracy and the sovereignty of the nation.

We in the O Trabalho current do not have interests different from those of the workers and the oppressed, or different from those of the membership of the PT.

We reaffirm: The debt is not the people's debt. The people gave a mandate to their representatives: Cancel the debt! Meet the needs and demands of the workers and poor!

Yes, another road is possible. The solution calls for relying on the workers, youth, peasants, shantytown dwellers, and all the oppressed. That is why we in O Trabalho will support all steps, all decisions, that are taken to oppose the payment of the debt.

We call on all workers to discuss with us these proposals. Isn't it the moment to say "No" to the payment of the debt? Isn't it the moment to get rid of FHC and the IMF?

We call on all workers and youth who agree with this point of view - who agree that the time has come to organize the fightback - to join the ranks of O Trabalho, current of the PT, so that, together, we can be more effective in organizing this fighting movement.

Sao Paulo, November 12, 2000

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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