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Article

3 Oct 2017

Author:
IndustriALL

IndustriALL files OECD complaint against steel producer Ternium

"IndustriALL Files OECD Complaint Against Steel Producer Ternium," 14 September 2017

IndustriALL Global Union has lodged an OECD complaint against multinational steel producer Ternium for refusing to recognize and negotiate with a trade union at its operations in Guatemala.

Sitraternium, which is affiliated to IndustriALL through the FESTRAS trade union in Guatemala, has been struggling for recognition at Ternium since it was officially registered in March 2012. Workers came together to unionize after they were threatened with dismissal for raising concerns about long working hours, low salaries, lack of proper vacation and insufficient health coverage. Initially the company sacked all Sitraternium’s 27 founding members but was eventually forced by the courts to reinstate them. The company made repeated attempts to block recognition of the union until finally the Guatemalan Supreme Court confirmed the legitimacy of Sitraternium in February 2015. Despite the ruling and numerous appeals for dialogue from the Ministry of Labour, Ternium is breaking the law by refusing to negotiate with the union. While the Ministry says it is sympathetic to the union, it has failed to penalize Ternium for its illegal behaviour...

Ternium, which is headquartered in OECD member-country Luxembourg, is one of the biggest steel companies in Latin America with more than 19,000 workers at production facilities in Guatemala, Mexico, Argentina, Brazil and Colombia, as well as the United States...

The complaint is being filed at the OECD National Contact Point in Luxembourg by IndustriALL, Sitraternium and the Canadian branch of IndustriALL’s North American affiliate, United Steelworkers (USW).