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The Vegan Marxist
20th July 2010, 06:21
Venezuelan National Workers Union Calls for Greater Worker Control
By JAMES SUGGETT - VENEZUELANALYSIS.COM

Mérida, July 19th 2010 (Venezuelanalysis.com) – Venezuela’s principal union federation, the National Union of Workers (UNETE), recently circulated a document calling for broader nationalizations, a revolutionary labor law, and a radical shift toward a democratic, worker-led management model to stave off state bureaucracy.

The statement was released earlier this month and coincided with a series of worker assemblies and worker education programs initiated by unions in state-owned and private companies, indicating that the movement for worker control – and the clash between the bureaucracy and the rank-and-file in the Bolivarian Revolution – is alive and well.

The statement is directed at “the working people of Venezuela,” and aims to be “a draft in order to continue discussion” and “not a definitive document.” It includes a total of 21 policy proposals by UNETE and other worker, peasant, and indigenous organizations.

Chief among the proposals is the full nationalization of the banking and finance sectors and of all foreign commerce related to essential foods, the gradual reduction of the sales tax, and a national re-adjustment of wages and prices in accordance with real costs of living and production.

The statement also demands the passage of a “Revolutionary Labor Law” before the National Assembly elections in September, and says a Ministry for Worker Control and Social Production should be created and directed by worker councils.

The document also suggests that two national constituent assemblies be formed. One assembly would form a plan to re-ignite the cooperative economic sector which avoids the pitfalls of the cooperative boom of 2004-2006, in which private companies took advantage of state-financed cooperative businesses as sources of non-unionized labor and cheap credits. The other assembly would serve as a forum to share experiences of worker control in state-owned and private companies.

In addition, the document proposes an increase in worker control of public sector management, and demands that the national government strictly regulate the prices of private health care services as a step toward establishing a single national health system as well as a universal and obligatory national social security system.

Other proposals include a national maximum wage or salary, reduction of the work day, and the passage of an Industrial Transformation Law that guarantees the transfer of idle companies and land to worker or peasant collectives. The document also advocates measures to protect both peasants and workers from hired killings which have taken the lives of more than 220 peasant leaders and 100 worker organizers in recent years, and the prioritization of the demarcation of ancestral indigenous lands over the interests of transnational mining companies.

The national coordinators of UNETE, who authored the document, frame these proposals in the context of a “structural crisis of the capitalist system” that has “opened up enormous opportunities for true political alternatives [that are] consequently classist, revolutionary, anti-capitalist, and socialist.” They call on “all exploited peoples of the world” to join the struggle for this new system.

UNETE praises the Venezuelan state for making many well-conceived efforts to guarantee food security, bring strategic industries under national control, and put a halt to speculation in financial markets, but says these efforts have been damaged by “bureaucratism, indolence, and corruption of functionaries who act like a fifth column... in the entire structure of a bourgeois state that refuses to die.”

Also, the majority of Venezuelan production remains in private hands, and in many industries that were partially nationalized in recent years, the state controls only the processing of raw materials, not the finished products, the document points out. It adds that state-mandated wage increases have been offset by inflation driven by private speculators.

The empowerment of worker councils and unions is key to overcoming these obstacles, the UNETE leaders say, but “from the top management of state companies, ministries, and institutions, there is a policy directed toward subordinating these organizations to the discretion and interests of a new managerial caste that does not believe in the working class, in worker control, and much less in socialism,” the UNETE leaders say.

Ongoing Worker Control Initiatives

Last year, President Hugo Chavez made a direct appeal to promote worker control of companies in Venezuela’s heavy industries in the Guayana region, many of which are now controlled by the state. Workers and government bureaucrats drew up the “Socialist Guayana Plan” to convert the country’s largest steel, aluminum, and coal companies into socialist, worker-controlled operations by 2019. In May of this year, Chavez swore in worker-elected workers as company presidents in these key industries.

Since then, the worker-led administration of the steel factory Sidor, which was nationalized in 2008, has organized educational workshops on worker control. 6,000 workers – a little less than half the company’s total workforce – have participated, according to Jhonny Hernández, a member of one of the working groups that crafted the Socialist Guayana Plan.

In addition to educating the workforce about worker control, the workers are compiling a manual of ethical and political norms for a “horizontal management model” that will help “democratize administrative decision-making” in the company, and more and more workers are joining the movement, Hernández said.

Sidor workers set up a Bolivarian Workers’ University last year to provide weekly classes in crucial technical skills as well as politics and theory to the approximately 1,300 workers who have registered so far.

In recent months the Sidor workers also organized a rally supporting the Socialist Guayana Plan and another to demand an increase in production at the plant following state-mandated cutbacks due to a a prolonged electricity shortage.

The principle of worker control appears to be popular among Venezuelans. According to a national poll conducted by the Social Investigation Group (GIS XXI) in May, 80% of Venezuelans from the lowest income strata and 64.1% from the highest income strata are in agreement with the participation of workers in company decisions.

http://venezuelanalysis.com/news/5504

Die Neue Zeit
20th July 2010, 06:26
Finally, someone's talking about nationalizing the whole banking system.

The Vegan Marxist
20th July 2010, 06:33
Yes, definitely a great sight. Hopefully Chavez will take the necessary step, in which I feel he may pull through.

Die Neue Zeit
20th July 2010, 13:50
In contrast:

Despite Chavez, Venezuela economy not socialist (http://www.google.com/hostednews/ap/article/ALeqM5ikUnQBPNcNxv7BQFe6PXnxO_wHWAD9H1JT8G2)


Yet creating a socialist economy is one of Chavez's most elusive goals — a stark example of the disconnect between the president's rhetoric and the reality on the ground. In fact, the private sector still controls two-thirds of Venezuela's economy — the same as when Chavez was elected in 1998, according to estimates by the Central Bank.

The reasons are political and practical: Chavez knows most Venezuelans recoil from the idea of Cuban-style state control, and his government is far from being capable of taking over and running a majority of the economy.

"Basically he recognizes that in this day and age in a global economy ... complete state control would just doom the country," said Michael Shifter, an analyst at the Washington-based Inter-American Dialogue.

So his strategy has been to selectively nationalize companies, set up state-run supermarkets and promote worker-managed businesses, while trying to convince Venezuelans to accept his vaguely defined brand of "21st Century Socialism."

[...]

In a review of 15 state-run companies, economist Richard Obuchi found that all "were producing well below goals or production capacity."

[...]

While production has declined, the public sector has swelled from about 1.4 million workers in 1999 to about 2.4 million in 2010, according to government figures.

[...]

Since 2007, Chavez has nationalized and expropriated companies in sectors he deems strategic, including the oil industry, cement, telecommunications, electricity, steel and food. But economists note that those businesses make up a relatively modest share of the economy.

And the balance between public and private sectors remains nearly identical to when Chavez took office in part because the private sector grew faster than the government between 2003 and 2006, when the economy was booming.

Last year the private sector accounted for 70 percent of gross domestic product, including 11 percent in taxes paid on products, according to Central Bank estimates. The public sector was 30 percent, a slightly smaller share than when Chavez was elected in 2008.

By international standards, Venezuela has long had a large public sector because it includes the oil industry. By comparison, the public sector in Sweden accounts for 25 percent of GDP, and in United States less than 14 percent.

Chavez could have moved more quickly toward bigger state control while the economy was growing, but he had other priorities, including consolidating his political power after a 2002 coup that ousted him for two days.

[...]

Victor Alvarez, an economist and former mining minister for Chavez, said the aim is to build a new sort of "social economy" sector made up of worker-managed companies, farming cooperatives and other community-run businesses.

"The objective isn't for the state to have the greatest weight in the economy, because that would be simply repeating the experience of 20th century socialism," said Alvarez, who has been studying the transition to socialism at a government-sponsored research institution.

A plan prepared in 2007 by the government projected that such "social economy" businesses and the public sector would together become larger than the private sector by 2013.

Chavez knows he is still very far from that goal.

But he says he won't give up, using one of his favorite mantras: "We invent or we fail."

REDSOX
20th July 2010, 16:32
I would agree with everything that the UNETE trades union federation has said there, a lot of good stuff in that document. Hugo chavez and the PSUV have achieved so much in the last 10 years but there is much much much more to do and i hope they do it sooner rather than later. After all the state controls only a third of the economy(up from a 1/5 a few years ago) but that leaves around 2/3 to go. Hopefully the state will eventually control about 80/90% of the economy under workers/peasents/community self management control leaving a rump petit bourgeois small business private sector left which is not worth nationalising.

Uppercut
20th July 2010, 19:09
While it's true Venezuela's economy isn't entirely socialist, it's great to see Chavez and the Venezuelan workers heading in the right (or left:cool:) direction. From what I can tell, class consciousness is definately on the rise and this sense of awareness will lead to great things in the future.

RadioRaheem84
20th July 2010, 19:40
I hope Chavez listen to the union. They need to nationalize the damn banking system if they're going to get any further though!

el_chavista
21st July 2010, 00:07
The UNETE is the last attempt of creating a nation wide unique trade union after the failure of the 2006 all workers congress, when opportunism prevailed.

Almost all Marxists currents in Venezuela have been uniting to the UNETE this year.


Some programmatic demands from the National Working Team of the National Union of Workers of Venezuela UNETE ("join")


Nationalization of banks and all financial intermediation
Nationalization of all foreign trade related to food and social staple diet of the Venezuelan people.
Approval before the September election to a Labour Revolutionary Law, the most important for our process after the Constitution of the Bolivarian Republic of Venezuela
Prices Freezing and Creating of an Instance for checking the truly Costs, Prices, Wages and earnings that may lead to the implementation of a Sliding Scale of Wages
Re-foundation of a Socialist Ministry of Labour and Social Security, with participation and social control of workers
Establishment of a maximum salary, a measure of revolutionary ethics, that will put a ceiling to public administration and state enterprises salaries to end gross distortions.
An Industrial Transformation Act to ensure the transfer to collective ownership under workers' control of every business in leisure or closed.

REDSOX
21st July 2010, 15:07
As well as the radical economic demands of unete i would like to see more radical social transformation such as the legalisation of abortion, gay lesbian marriages etc. I also agree that total banking/insurance/finance nationalisation, the nationalisation of the giant food conglomerate Polar the nationalisation of the land and a state monopoly of trade is vital. After all what you dont own you dont control. I also believe a radical labour law is going through parliament at the moment though god knows when it will pass, from what i have seen of it it seems quite radical.

The Vegan Marxist
22nd July 2010, 01:42
As well as the radical economic demands of unete i would like to see more radical social transformation such as the legalisation of abortion, gay lesbian marriages etc. I also agree that total banking/insurance/finance nationalisation, the nationalisation of the giant food conglomerate Polar the nationalisation of the land and a state monopoly of trade is vital. After all what you dont own you dont control. I also believe a radical labour law is going through parliament at the moment though god knows when it will pass, from what i have seen of it it seems quite radical.

We may see this coming soon as well. Argentina just legalized same-sex marriage a few days ago. So I'm sure Venezuela will follow suit as well.

REDSOX
22nd July 2010, 14:43
Argentina did indeed do that and cuba i believe is debating this too and so should venezuela

Nolan
22nd July 2010, 16:24
I was under the impression Cuba did this some time ago, along with some big state apology.

REDSOX
23rd July 2010, 15:00
No same sex marriage is being debated in cuba's national assembly promoted by none other than Raul castro's daughter Mariela castro. Whether the law will pass is anyones guess. Abortion and divorce laws have been for a long time liberalised. All previous anti homosexual laws have been repealed coupled with an apology

Artemis3
28th July 2010, 19:05
I hope Chavez listen to the union. They need to nationalize the damn banking system if they're going to get any further though!

Agreed. With the nationalization of many banks (driven bankrupt by their owners) Chavez has started to realize the importance of this.