News from the Canadian Labour Congress, International Department
Free Trade Deals Contaminated by Investor Protections
This news is supplemental to the June/July ID Update #3
http://documents.clc-ctc.ca/International/ID-News-Update3-2015-EN.pdf
The CLC and International Trade Union Confederation (ITUC) have denounced the uses of Investor-State Dispute Settlement (ISDS) provisions within trade and investment agreements, urging unions to lobby against them with their trade ministers: http://canadianlabour.ca/news/news-archive/it%E2%80%99s-time-share-secret-trans-pacific-partnership-trade-agreement.
Canadian Unions are urged to join the lobby by clicking on this link to send a message to Canadian Trade Minister Ed Fast http://act.equaltimes.org/en/tpp.
The ISDS allows corporations to sue governments that put human rights and the public interest ahead of private investments — a provision the Canadian government continues to incorporate in its trade agreements. Canada has already paid millions to corporations because of ISDS and over $2 billion worth of additional law suits are currently pending under our North American Free Trade Agreement (NAFTA). For example, Lone Pine Resources is suing Canada for $250 million in response to Quebec’s decision to put a moratorium on shale gas mining. The Harper government wants ISDS provisions in the proposed Comprehensive Economic and Trade Agreement (CETA) with Europe and the Trans-Pacific Partnership (TPP) with countries in the Asia-Pacific region. For CLC information on the TPP, see: http://canadianlabour.ca/issues-research/its-secret-trans-pacific-partnership-tpp.
Over the last decade, the number of NAFTA law suits has doubled, 70% of which are aimed at Canada. Globally, 169 investor-state suits were heard at the World Bank in 2013 alone, behind closed doors and under strict commercial rules, which enable corporations to challenge environmental regulations, public health measures, labour protections, sovereign debt restructuring, community and indigenous affairs, and even decisions by national courts. The CLC wants the Canadian Government to reject ISDS, in favor of trade and investment frameworks that include strong labour standards and protections, prior and informed consent, and sustainable economic development.
Recently, the CLC has also denounced a $301 million ISDS lawsuit by the Canadian-Australian OceanaGold Corporation against the country of El Salvador for damages due to its moratorium on new mining projects because of water shortages, thus denying the company a permit to operate. Last May, a Salvadoran delegation to Canada formed part of a Stop the Suits Tour to highlight the disastrous effects of ISDS in their country and warning Canadians about its impacts. The tour was supported by the CLC, CUPE, PSAC, USW, SalvAide, CCPA, Council of Canadians, Oxfam Canada, MiningWatch and Kairos, among others. The annual conference of Canadian Council for International Co-operation (CCIC) also hosted a special forum on the subject, which was moderated by the CLC and hosted by the Canadian Network on Corporate Accountability (CNCA).
Meanwhile, at the end of March on the occasion of the 20th anniversary of NAFTA, the AFL-CIO (the national trade union center in the United States) and the CLC issued a joint statement highlighting the destructive trade rules that expand the rights and privileges of multinational corporations, which enable the race to the bottom in terms of wages, labour rights, environmental protection and public interest regulation. It referred to the ISDS as one of the most egregious rules, which foster the legal rights of investors: http://www.aflcio.org/Press-Room/Press-Releases/AFL-CIO-and-Canadian-Labour-Congress-joint-statement-on-promoting-trade-deals-that-work-for-people-over-profits.
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News from the Canadian Labour Congress, International Department
Colombia in the Shadow of Human Rights Abuses
This news is supplemental to the June/July ID Update #3
http://documents.clc-ctc.ca/International/ID-News-Update3-2015-EN.pdf
The CLC has joined with affiliates, Canadian NGOs and solidarity organizations to form a Colombia Working Group. The Group’s aim is to assess the impacts on human rights of Canadian companies operating in Colombia and other Canadian involvement in that troubled country in light of four years of implementation of the Canada Colombia Free Trade Agreement (CCOFTA).
The Colombia Working Group has produced a tool kit consisting of an analytical study, three fact sheets and an infographic highlighting the ongoing crisis of human displacement through land-grabbing by armed groups, the worsening environment for human rights defenders and the general strike in the agrarian economy resulting from free trade imports of subsidized agricultural products from Canada and the United States.
Violations of international labour standards and the murder of trade union organizers continues; only three percent of Canadian companies operating in Colombia have recognized a trade union in their facilities. The Canadian government claimed that a free trade agreement (FTA) with Colombia would help resolve human rights abuses, create jobs and improve economic development. But the study shows that the human rights crisis has not declined.
The reality is that the deal provides strong protection for investors’ rights, while requiring no enforceable obligations for mining, gas and oil producing multinationals. This has had a huge negative impact on African descendent and Indigenous communities many of which are in danger of extinction. The tool kit can be accessed from: http://www.pasc.ca/en.