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President’s column
NO TO EU
SOCIAL
DUMPING
Delegates at this year’s TUC Congress
unanimously backed an RMT motion
opposing European Union trade
agreements which pose a major threat
to jobs and workers’ rights and would
displace local workers.
Delegates agreed to fight a proposed
EU/India trade deal which would hand
big business the right to bring in
temporary skilled Indian labour into the
EU working on very low wages in their
relentless drive for profits regardless of
the consequences.
The 2009 Lisbon Treaty handed the EU
powers to negotiate ‘free trade’ deals
under its own name, in particular
removing national governments’ rights
to veto such agreements.
The proposed ‘EU-India Free Trade
Agreement’ – now being negotiated in
near-total secrecy and could be
imposed as early as December – would
also give UK and European banks
rights to take over the huge Indian
financial services market in return for
letting transnational corporations
(TNCs) control labour movement
between India and the UK.
This massive ideological shift dressed
up as a ‘trade deal’, hands control of
labour migration to TNCs, and is
euphemistically described by the World
Trade Organisation as ‘Mode 4 cross-
border service supply’.
The WTO neatly divides all trade in
services into 4 ‘Modes’:
•
Mode 1- services sent (e.g.
internet);
•
Mode 2- where the consumer
crosses borders (e.g. tourism,
or foreign students);
•
Mode 3 – where a company
establishes itself across
borders;
•
Mode 4 – where workers are
brought across borders.
The disastrous policy of ‘free
movement’ of labour within the EU up
to now has mainly affected lower-
skilled workers. However, EU Mode 4
commitments will cover ‘skilled’ and
‘highly skilled’ workers including
archictects, teachers, lecturers,
veterinary surgeons, IT specialists and
crucially for RMT members railway
signalling and electrification engineers.
The downward pressure on UK wages
that resulted from EU ‘free movement’
is due to be felt all the way up the
skills ladder, where wage differentials
are considerably larger.
The only ‘safeguard’ for workers in the
EU-India FTA is the minimum wage.
However, most wage levels in the UK
labour market are maintained
essentially by limited labour supply.
For skilled work this is ominous and
the UK already has a very high
graduate unemployment rate.
Yet, the most shocking aspect of the
EU-India FTA is the secrecy with which
it has been negotiated – the people
who will suffer its effects, have not
been told the truth about any of this.
In the UK there is now tremendous
pressure on public services for budget
cuts involving widespread job losses
because labour costs are a major part
of public services.
Cost-cutting is used to force
‘outsourcing’ of work to sub-
contractors and up to now that has
meant ‘offshoring’ jobs to low-wage
economies such as India, as happened
this year to National Express Call
Centre workers at Baron House in
Newcastle.
‘Mode 4’ allows a shift to ‘onshore
outsourcing’, to reduce labour costs.
Work may be carried out by the same
workers with a loss of security and
benefits, or cheaper migrant workers.
The end result is the same: a lower
proportion of the service cost is spent
on wages and a greater proportion on
bonuses, dividends and profits.
Public services are part of ‘public
procurement’, which is how
governments at all levels spend public
money.
The pressure to liberalise public
services (open them up to private
competition) and public procurement
overall is not just a UK phenomenon.
EU rules and directives also demand
the liberalisation of ‘procurement’
within the member states.
When we hear media reports of
politicians promising investment in
major infrastructure projects to
stimulate growth in the UK economy,
including High-speed Rail 2 and Great
Western electrification, it is essential
that this public investment is not
allowed to be used to pump-prime
profits of private firms while dumping
workers’ pay and conditions using
‘Mode 4’.
Alex Gordon
RMT helpline 0800 376 3706 :: october 2011 :: RMTnews
25
Blumenfeld wrote three other
novels – Phineas Kahn (1937),
Doctor Of The Lost (1938) and
They Won’t Let You Live (1939)
– and all were well regarded,
but it is Jew Boy which brought
him to public attention and
made his name.
He also drew praise for his
plays. As well as a drama about
the Aldgate-born boxer Daniel
Mendoza, Blumenfeld scripted
The Battle of Cable Street,
staged at the Edinburgh Festival
in 1987, as well as writing in
his early life one of the last
Yiddish plays to be
professionally performed in
Europe, The Promised Land,
premiered at the Grand Palais in
Commercial Road.
When he died in 2005 at the
age of 97, he was Britain’s
oldest working journalist,
having written for Stage
magazine for more than 40
years. The political and cultural
milieu of the East End in which
he had grown up – a world of
theatres, public libraries,
debating clubs, soapbox oratory
and political demonstrations
and confrontations with
Mosley’s fascists – never left
him, and he retained his left-
wing political ideals to the end.
This edition comes with an
in-depth introduction by Ken
Worpole, author of many books
on architecture, landscape and
social history. His 1984 book
Dockers And Detectives (updated
for a new edition in 2008) was
one of the first to re-awaken
interest in the work of Simon
Blumenfeld and other Jewish
writers from the pre-war East
End. He is a Senior Professor in
the Cities Institute at London
Metropolitan University.
Jew Boy is one of a series of
eight classic hardback novels,
available to RMT members for
£5.99 each, plus £1.85 p&p per
title. To take advantage of the
RMT special offer go to
www.london-books.co.uk/RMT
offer.asp
For postal sales write to:
PO Box 52849
London
SW11 1SE
Email: info@london-
books.co.uk