Let’s return briefly to the Lindsey dispute now that tempers have cooled and a bit more information is in the public domain.

Over the course of the dispute the emphasis shifted somewhat from “British jobs for British workers” to portraying it as defence of working conditions.

Acas (Advisory, Conciliation and Arbitration Service) is the state organisation which intervenes when the balance of forces in an industrial dispute make the outcome unclear and one or both parties wants a face saving settlement. It was invited to help reach an agreement into the recent dispute over subcontractors at the Lindsey oil refinery and it’s worth quoting one section of its report at length because it takes up the issue of whether or not the Italian workers employed by IREM were being paid at a different rate to British workers.

“IREM were fully aware and, in submitting a tender, would be implicitly accepting that all of their workers on site would be employed on the terms and conditions set down in the National Agreement for the Engineering Construction Industry (NAECI) including their pay.

This agreement, commonly known in the industry as the NAECI ‘blue book’, determines the pay and conditions for workers at all major engineering construction sites in the UK and requires that all member firms of the Engineering Construction Industry Association (and of other signatories to the agreement) abide by the terms of the agreement where projects are put within its scope. This is not mandatory but Total chose to conduct this project under the terms of the NAECI agreement.”

Apparently the only alteration conceded to the Italian workers was to trade their tea breaks for a longer lunch break. It isn’t obvious, even so long after the event that the strikers were aware of this. The thrust of much of the argument was that the Italians were working for less money and a lot was made of the fact that the only requirement on the employer was to pay the minimum wage. This turns out to have been irrelevant in this case.

It turns out that the dispute has established a precedent of unions demanding what Keith Gibson call jobs on a “one for one basis”. Keith mentions this in the video which can be found on the Socialist Party’s site. He adds that the employer was willing to give 100 jobs to local unemployed people to match the number of Italians employed. If that means anything it means that workers from outside a locality can be refused a job because of where they were born

The big positive to come out of this strike was that it gave a reminder of the power of unofficial action to make the anti-union laws a dead letter so when Keith says in the video that “it was a fantastic victory for working people” he is partly right. The big negative is that it has legitimised the idea of recruiting workers on the basis of nationality. That’s a very big negative which we will have cause to regret with every rise in the unemployment figures.

37 responses to “The verdict on the Lindsey dispute”

  1. Take a look at this picture of Derek ‘Daily Star’ Simpson who doesn’t seem very pro-active in helping Cowley workers:

    http://socialistworker.co.uk/art.php?id=17182

    It’s unbelievable

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  2. I agree. It was clear at the time that people were making assumptions about the pay and conditions of the Italian workers when they knew nothing about it either way.

    Those on the left inside the dispute did a great deal to help tone down or remove overt racist sentiment / slogans and I’m glad they were there – but at the end of the day what was this dispute about? Workers in the UK insisting on a priority over foreign workers.

    I’m not impressed by that at all – and I think some people seem to have been so mesmirised by the fact it was a firey and well organised wild cat strike that they forgot that the demands of the dispute matter.

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  3. Thanks for posting that up Liam if you get down to point 11 it says;
    The unions were also extremely concerned about the lack of
    wage transparency and the employment status of the IREM
    workers. IREM had said that their workers were permanent
    employees and would be paid according to the NAECI agreement.
    Acas has inspected the contract documentation which commits
    IREM to pay the going rate; but IREM were not yet in a position to
    provide evidence to demonstrate that they were doing this.”

    So its far from clear that IREM workers were on the same pay, never mind the issues around breaks, preparation time, travel time, accomodation charges etc, not to mention union recognition. IREM remain a non-union firm.

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  4. Bill, my concern here is that the response to workers not being unionised is to unionise them – not bar them from working.

    I agree some of the facts are not clear – at the moment we have the employer and acas saying that they are complying with the national agreements and parts of the dispute implying they are not – I’m still not clear why they think this as they have provided no evidience, nor have they stated why they think it.

    I really do think it’s down to those who say these workers are being paid at a different rate to show why they think that, because at the moment it looks more like a rumour based on the idea that these are foreign workers so they must be “cheap”

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  5. I do think its telling that the employer cannot prove its paying equal rates. This seems an elementary thing to be able to do. Simply provide the wage slips. If they can’t do so surely it means they are not?
    I have also read reports that the Italian workers themselves have indeed said they are on lower rates, not including deductions for accomodation, transport etc.
    There were more than nationalist overtones to this dispute.. In the end though its a question of how to fight it. And in that respect I think there was no choice but to fight alongside the UK trade unionists and try to win them to a progressive solution.

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  6. The acas report said they were abiding by national agreements – I assume they based that on something. It’s the people who say wages were being undercut that haven’t come up with any proof of this – which is very frustrating.

    I can’t say which is true – but so far the union side really has not come up with anything substantive on this.

    I’d also add that the home sec used this dispute as a way of launching the tighter restrictions on visa controls which I’m sure is just the first measure that will use these disputes as cover for racist policies.

    Whilst the strikers themselves should not been seen as racists – I’m pretty much convinved of that – this dispute is playing into racist government measures, racist stories in the press and support for the BNP. This is very worrying.

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  7. If IREM had been paying nationally agreed rates why didn’t they defend their position more rigorously? Why didn’t they get one of their workers to confirm what they were saying? The two workers (I think they were IREM) who were interviewed on telly stated they were getting considerably less than their British counterparts. What motivation would they have for lying?

    The importance of getting the facts right is not so some bloggers can be proved right or wrong but will determine how we go about intervening in the disputes to come.
    What sorts of ideas are floating around at the Isle of Grain for instance? Do we have any socialists around any of these sites.

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  8. I don’t know whether the ACAS report makes it clearer whether the strike was for

    a) BJ4BW?

    Or b) that subcontractors should comply with the terms of the NAECI agreement regardless of the nationality of the workforce?

    If IREM complied with NAECI, then b) makes no sense.

    If it is a) then the strike was effectively against the NAECI agreement (which provides for posted workers to be included within its terms).

    This is a trajectory with a certain number of inherent dangers for the workers and unions: namely, if we are AGAINST posted workers being included in the NAECI agreement, then presumably the next step is for unions to renegotiate the agreement removing that provision?

    The mind boggles, because the default position (without provision for posted workers within NAECI) would be minimum wages and conditions for posted workers. A reduction of conditions for posted workers AND a downwards pressure on domestic conditions.

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  9. There is an important aspect of Thatcher’s anti-union laws which is rarely mentioned, and which we the left should have made more of during this dispute, and that is the ban on the closed shop. When I started working virtually everyone understood and supported the democratic principle of the closed shop. We need to win that back again.

    The best way of ensuring that conditions for all workers are consistent with national agreements would be for all workers, regardless of their nationality, to be members of the appropriate union; this would certainly be a more reliable way of assessing the truth of the situation than relying on the assurances of either ACAS or the employers.

    The demand for a closed shop – for all jobs to go to members of an appropriate union, irrespective of nationality – would be the most effective way of countering the ‘British Jobs for British Workers’ slogan (which the ‘one for one’ agreement panders to.)

    Since the strikes are deemed “illegal” anyway, why not go the whole hog and raise a demand which explicitly challenges the Thatcher laws?

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  10. Well, I for one think the strike was wholly progressive. It is a shame that the Unite leadership were able to sell it out to Acas and leave the scab contractor in place whe they should have been sent packing. I think also that it exposed the imperialist economism inherent in the sect left. There is no doubt that if socialists support the neo-liberal EU then they are doomed. Agree on the closed shop comment above.

    Liam, will you be blogging on this?

    http://news.bbc.co.uk/1/hi/world/europe/7903518.stm

    100,000 Irish public sector workers march in Dublin against a pension levy to bail out banks.

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  11. Liam: “the employer was willing to give 100 jobs to local unemployed people to match the number of Italians employed.
    If that means anything it means that workers from outside a locality can be refused a job because of where they were born”

    No. It means 100 people, who regularly work in the industry and who would otherwise have been unemployed, got jobs.

    That’s the lesson that needs to be reinforced, rather than worrying about whether this agreement violates ‘equal opportunities’.
    Just where does that train of thought end?

    Do you start monitoring to see whether all posts have been filled equitably from all over the UK, the EU, or the World?
    Just how would that help in a struggle against redundancies?
    Would a union rep who argued that position be likely to be listened to again?

    A better line of argument for the unions would be to open up a line of attack on the misuse of fixed term contracts and agency workers.

    This is exactly the question which occurred shortly afterwards at the BMW Cowley plant, where the contract workers were left in the lurch.

    A pre-entry closed shop is a powerful weapon in enforcing unionisation and stopping such casualisation.

    The point is that what happened at Lindsey may not have been ideal, but it was largely spontaneous and had a mass basis.

    Socialists were able to steer it in a better direction, a few steps closer to their programme and away from the BNP’s.

    To go further, what’s needed is a national campaign against redundancies, which includes such demands as a reduction in the working week, nationalisation and support for occupations.

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  12. A pre-entry closed shop is a powerful weapon in enforcing unionisation and stopping such casualisation.

    +++++++++

    A *pre-entry* closed shop can also be a powerful weapon in the hands of the trade union bureaucracy. The closed shop in the UK (abolished by the anti-union laws) was rarely (perhaps never) of the *pre-entry* variety. Let’s not go back to the artisan guilds.

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  13. Jodley: it is hard to imagine what kind of socialist argues against a closed shop on the grounds that it might be misused by the bureaucracy. But I can see from the rest of your comment that you are actually against them in principle and the bureaucracy thing was just a red herring.

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  14. David – I hope to have something on the Dublin demo later today.

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  15. Hm, subtle difference there. A pre-entry closed shop means you have to be a member of the union to even be allowed to apply for the job. A post-entry closed shop means that you have to join the union as soon as you start work, otherwise you cannot work. Since unemployed workers and those from the more vulnerable minorities are less likely, at least initally, to be organised, the first type can narrow the authority of the union and cause it to be seen as an exclusive club. On the other hand, once unionisation becomes overwhelmingly dominant – very far from the situation at the moment – the distinction between them becomes less important.

    I agree that the LOR strike was however a justified and supportable one. The supportable greivance was not against the ‘foriegn’ workers being employed – whatever the lying capitalist media may say – but that fact that UK-based workers were ruled out in advance from being allowed to apply for these jobs. It seems to me that there is an inverted liberalism about the approach of some on the left to this question – discrimination against ‘foriegn’ workers or even the hint of it is rightly regarded as anathema, yet when for anti-union, wage-gouging and not least ‘divide and rule’ reasons companies contrive to discriminate against home-based workers, those who object to that are denounced as reactionary.

    Both scenarios, the more traditiional one of barring ‘foriegners’ and this innovation of barring home-based workers from jobs are discriminatory. Both are contrary to the ethos of ‘equal opportunities’ which, though minimal in content, is something the unions should uphold. Struggles against both types of discimination deserve the support of socialists and trade unionists.

    As to the ACAS report, ACAS is a government-funded body and tends to reflect government thinking on industrial matters. It trumpets its independence from employers and unions, but it is an organ fundamentally designed for the purposes of class-collaboration. So what a surprise it has the same thrust as the government on this! ACAS is certainly not the friend of militant, unofficial strikers, that’s for sure!

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  16. The reason why I put the emphasis on the word *PRE-ENTRY* in my response to prianikoff, was to make clear that my objection was only to this form of the closed shop. I *SUPPORT* the post-entry closed shop as it actually existed prior to abolition by anti-union laws. Learn to read before you slur.

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  17. And what is your objection to the pre-entry closed shop which is particularly pertinent to the construction industry where black-listing is rife. Post-entry still allows vetting by the contractors.

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  18. With a pre-entry closed shop prior membership of the union is only a *precondition* for applying for a job. It does not guarantee you a job and therefore cannot be an effective defense against black-listing. (Unless you mean something different by the pre-entry closed shop?) To my mind, an effective defense against black-listing would have to include campaigning for transparent and fair recruitment practices and vigorously challenging all instances of black-listing. A pre-entry closed shop is not a substitute for this.

    The problem with the pre-entry closed shop, as I see it, is on the question of how workers become members of the union, and the possible restrictions that might be placed on joining. For instance, if you have to show that you are already part of that particular industry or trade in order to join that union, then it places individual workers in a Catch 22: unable to get a job in a particular industry without union membership, unable to get union membership without credentials in a particular industry. (This might be called the “starting out actor’s equity problem”). Other barriers might be dues that are too high for the unemployed, recommendation by existing member, or simply recruitment efforts directed at those already in contact with union members socially.

    Post-entry closed shop (i.e. taking up job is conditional on membership of a relevant union) achieves the same goal (all workers included in collective bargaining, no free-riders, strengthens the hand of trade unions) without the problems of pre-entry closed shop.

    That is, unless you mean something different by pre-entry closed shop – such as union becomes agent of employer in hiring/firing?

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  19. Prianikoff: “what’s needed is a national campaign against redundancies, which includes such demands as a reduction in the working week, nationalisation and support for occupations.”

    I think such a campaign could also include conversion of industries where jobs are threatened to socially useful production. The Total plant construction is a diesel de-sulfurisation plant, Staythorpe is an additional gas-fired power station (surplus heat being wasted, as far as I can tell) and the Isle of Grain is an additional gas CHP power station, with the surplus heat being used to vapourise imported liquefied natural gas. It could be argued that, in these days of climate change, none of these are socially necessary, or at least that socially useful alternatives need to be explored.

    On the specifics of the Lindsey dispute, in my opinion there were progressive and reactionary aspects, but I’m confused as to why there appears to have been no contact between the strike leaders and the IREM workers.

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  20. I believe the IREM workers were urged to join the picket lines but declined to do so. But the real idiocy of the ultra-left position on this strike is that these people actually believe that any government in the world could survive importing unemployment or indeed that any political party advocating importing unemployment could ever come to power. The only exception was the Nazis who overcame the problem of importing slave labour in the millions by sending the young off to die on the Russian front. Liebestraum being an extreme form of `get on your bike/tank’ philososphy.

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  21. I don’t think you mean Liebestraum!

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  22. Yes Jodley you are right.

    Latest from Guardian:

    50,000 bank jobs to go to avoid nationalisatioin

    http://www.guardian.co.uk/business/2009/feb/22/rbs-lloyds-job-losses

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  23. Hasta siempre comandante Avatar
    Hasta siempre comandante

    Lebensraum (“Living space”) was about expanding German territory, mostly to the east, because otherwise the Germans were in danger, supposedly.

    The Nazis did in fact import millions of foreign workers, whose conditions ranged from normal wage labour to inhuman slave labour, esp. in the case of concentration camp prisoners. Many were somewhere between the two. A Polish female worker in Hamburg remembered that her supervisor, a Nazi Party member, deliberately locked her and her in friends in when there was a major British air raid in 1943 (one of several which nearly destroyed the city), so they could not run to the air raid shelter. They banged on the door and finally a German workman released them.

    The importing of labour was designed to free up Germans to fight (the Nazis were relatively reluctant to use German women as workers).

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  24. re Catch 22:-

    A Pre-entry closed shop might encourage various forms of informal discrimination, or be used by union bureaucrats to supress dissent.

    But these negative aspects can be combatted within the unions and are far outweighed by the benefits.
    Since it’s been outlawed there’s been a growth in what are effectively state and privately run employment agencies, which operate to the benefit of the employers.

    One way to adminster it a pre-Entry scheme would be to reintroduce apprenticeships under union control.
    That would allow safeguards on pay, working hours, job responsibilities and time off for training and education.

    The unions could recruit apprentices as they are enrolled, making them eligible for full time employment on completion of the scheme.
    This is a way to build up a pool of skilled young workers and ensure that the employers actually meet the costs of training the workforce.

    For years, the trend has been in the opposite direction:
    Employers are subsidised by the state, through the Learning and Skills Council, which pays young workers through the Modern Apprenticeship scheme.
    This is seen as an inferior alternative to gaining academic, or vocational qualifications, but is often the only option for students who can’t afford to take on student loans.

    Of course, nationalisation of the entire banking, transport and energy sectors would be an even better way to do it and allow for workers plans for less polluting power plants and vehicles to be developed.

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  25. What is wrong with a post-entry closed shop?

    As I understand it, post-entry was the usual form of the closed shop in the UK (prior to anti-union legislation outlawing it), so I’d like to know what was worse about that system than the pre-entry closed shop you propose.

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  26. the problem with pre-entry closed shop, was that it supported recruiting from immiediate networks- that is family & friends-
    so when i was growing up, in south liverpool, many of the factories were closed shops, wichw as ok if you had brother dad uncle etc in there, they could sort the union card with ‘thier mates ‘ the stewrads, but anyone black or asian didn’t stand a chance ( we were largely white council estate)

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  27. Exactly. Post-entry closed shop does not create this problem – demonstrating that you have become a member of the union simply becomes a condition of employment, like occupational health clearance or CRB check (if you are in that type of employment).

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  28. “it has legitimised the idea of recruiting workers on the basis of nationality”

    Erm, no: locality. Regardless of nationality, if you were a UK resident you were unable to seek employment in the Lindsay case. If there were any Italian or Portuguese workers living locally they too would have been denied access.

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  29. But if a company based in the North West with a workforce from the North West had got the contract, they would not have been recruiting locally in Grimsby either. Yet, I’m not sure it would have provoked the same response.

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  30. I think you misunderstand the nature of the dispute, comrade. In the hypothesis you give, the EU’s neoliberal posted worker directive would not impact upon the situation (which is to say, the employer would not get away with paying only minimum wage, etc.)

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  31. But, unless I have seriously misunderstood something here, the current NAECI agreement includes provision for posted workers paid at rates specified by the agreement. The unions involved in negotiating NAECI had fairly recently (the current version of the agreement covers 2007-2010) renegotiated the agreement to include that clause precisely to protect against the EU’s neoliberal posted worker directive.

    IREM would appear to have been operating within the remit of NAECI.

    What is the future of the NAECI agreement (and particularly the clause on provision for posted workers within remit of NAECI) when it comes up for renegotiation?

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  32. Charlie is missing the point. As Jodley explains, the national agreement already covered posted workers. IREM and other construction firms using posted workers are obliged to cover the national agreement.

    The part of the agreement at Lindsey that most excludes foreign workers is the one-to-one quota, not the local restriction. Construction projects on complex jobs, like refineries, seem to widely involve the use of scare skills. The enforcing by the strike action of a limit on the number of foreign workers sees to have bot progress and reactionary elements. There are not many other workplaces in Europe where such a quota exists.

    P.S. “Liebestraum” = love dream. Rather different from Lebensraum.

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  33. IREM and other construction firms using posted workers are obliged to cover the national agreement.

    ++++++++++++

    This is not quite right. Employers which have signed up to NAECI must honour their obligations or face the consequences. NAECI has been a pretty solid agreement up to now. I wonder if that will remain the case, given that some workers covered by the agreement have indicated they reject it, at least in part.

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  34. Except, as has been said before, Italian workers on the national news at the end of the dispute said that they were being paid considerably less than the going rate – by around 1000 Euros per month. Was that inaccurate? Someone is not telling the truth – but why are people assuming that it is the employers, the government and ACAS (a government-funded quango) who are telling the truth and not these workers and the strikers?

    Its all very well saying “Employers which have signed up to NAECI must honour their obligations or face the consequences” but what are ‘the consequences’?

    ‘The consequences’, in concrete terms, were the January strikes. I haven’t seen any other ‘consequences’ dealt out to employers in any industry who mess about with agreements and terms and conditions – not for many years thanks to the defeats of the unions over past decades. On this occasion there were indeed ‘consequences’ due to the willingness of workers to break the anti-union laws, which is a good thing.

    As to the ‘one-for-one’ agreement, that is itself a compromise, brokered by the union bureaucracy, which is why the outcome was only a limited victory. An outright victory would have been that all jobs were open to all workers to apply for irrespective of domicile, on merit, involving union membership and full union rates for all workers. But to portray this compromise as not simply a compromise, but the victory of reaction, seems to me to be a completely wrong way of looking at things.

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  35. The consequences I had in mind were strikes/industrial action.

    But these particular strikes do not appear to have been prompted by a desire to enforce the NAECI agreement (i.e. to ensure that the posted workers employed by IREM were indeed employed in accordance with NAECI rates/terms & conditions, as claimed).

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  36. We don’t know whether IREM were paying NAECI rates or not.

    Companies do things that they see as being in their interest. As this is always opposed to our interests, taking sides should be easy. The ideas and slogans workers take up in the struggle are determined by the battle of ideas inside that struggle. I think the ideas of the strikers ended up well to the left of the union tops and the population at large.

    On the question of their internationalism versus ours; how about this scenario.
    A British firm decides to move its production to China. Should the workers take action to defend themselves. After all it could be argued that you are depriving Chinese workers of the jobs. I’m quite prepared to get ripped apart on this one; but you get my drift.

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  37. I second the comments by ID and paulv – when the strikers saw how the press was distorting the dispute, they took action to change the slogans. When the fascists turned up trying to take advantage they were told where to shove their bigotry. The strikers had been working on other projects at LOR – they wanted the right to apply for a start on new work. Why would IREM not advertise the job locally if not for the fact that they were out to use the interpretation of the Posted Worker Directive that would allow them to undercut the going rate?

    As for paulv’s China scenario – I can think of cases in which the unions in a lower-wage economy where jobs were destined have opposed the off-shore outsourcing of jobs from the UK. Why? Because it’s not in the interests of workers to support the race-to-the-bottom in pay and conditions.

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