Youth Unionists project
2007 / 2008

Trade Unions in Nicaragua: Briefing 08/09

The Nicaragua Solidarity Campaign Action Group (NSCAG) works with Nicaraguan trade unions from various sectors, all of whom are members of the FNT (National Federation of Workers).

 The trade unions included in this briefing are:

FNT : National Federation of Workers
fnt@fnt.org.ni
www.fnt.org.ni  

Our partner unions in Nicaragua are all affiliated to the Frente Nacionál de Trabajadores or the National Workers Federation.  The FNT was formed in 1990, after the election of the Chamorro government, with the initial purpose of being a political body which would give a voice to workers on a national level. It operates as a national federation and includes the main ‘Sandinista’ trade unions.

Seven different unions are affiliated to the FNT, representing workers in health, education (including higher education) the public sector/civil service, industry and manufacturing, agriculture, and now the informal sector. This structure is replicated at local and regional level. Whilst it is still primarily a political body, since 1997 it has been more involved in organising activities.

The FNT is facing many challenges. Structural adjustment policies have led to drastic cuts in social spending and the privatisation of previously public services such as energy, communications and now water. The ratification of the Central America Free Trade Agreement in 2006 and the potential ratification of the EU Association Agreement is likely to adversely affect small farmers and agricultural workers and further reduce the rights of workers whilst increasing the rights and influence of transnational companies. They face a weak and divided civil society, where many Nicaraguans distrust both political parties and social movements, and high levels of corruption at national level.

Current priorities for the FNT include; the development of new unions in areas not currently organised, the strengthening of women’s and youth structures within affiliated unions, and involvement in and influence on the national political scene (the FNT has a number of deputies in the National Assembly), opposing the imposition of further structural adjustment and working to prevent the negative impacts of CAFTA and the ratification of the EU Association Agreement.

FNT ad-hoc youth committee
The FNT Ad-hoc youth Committee is 2 years old and was initiated and set up by the Women’s Committee, who still coordinate the youth work. The aim of the FNT is to set up a permanent Youth Committee consisting of youth leaders from each of the seven member trade union federations, at the moment two union federations, ANDEN and FEPDES-ATD are not represented as they do not yet have active youth structures within their own federations. All the other unions mentioned below have a large number of young members and active youth structures. The FNT’s work with young members has increase dramatically since the start of a UNISON funded project in 2007 which has increased the FNT’s capacity to provide education workshops for young members in each of their affiliated unions. Through this project, the FNT held their first ever national youth conference in 2007.


UNE : Public Sector Union
cocentrafemenino@xerox.com.ni

 

"No to more job cuts, yes to quality services with better salaries".
Photo: Domingo Perez
 

UNE has represented public sector workers in Nicaragua since its formation in 1978. Its membership has drastically decreased since 1990 in part because of the privatisation of previously publicly owned services and in part because of attacks on unions carried out by successive right wing governments since 1990. Affiliations have been on the increase in recent years due to changes in organising strategy which has led to successes in organising workers in the newly privatised industries; e.g. banking and transport, in areas where unions have disappeared, e.g. the fishing industry; and in areas that have never been organised, e.g. domestic workers. As a result UNE continues to grow and now represents over 25,000 workers.

One of UNE’s major successes in recent years has been in successfully campaigning for a law which protects civil service workers from political changes. Previously, when the political leadership of the local council changed a large amount of staff would be replaced with new staff. This law ensures job security that is de-linked from political affiliation.

UNE’s priorities include: to continue organising public sector workers, to organise previously unorganised and vulnerable workers, to strengthen the structures and sustainability of UNE, to oppose cuts in government spending, to oppose the privatisation of public services including water, education and health, to support the formation of unions in new sectors and to prevent the negative impacts of CAFTA and oppose the potential ratification of the EU Assocation Agreement.

CST-JBE: Industrial and Manufacturing Union & the Free Trade Zones
 

Photo: young construction worker.
Credit: Steve Lewis

The CST represents workers in the industrial and manufacturing sectors. Affiliated unions include those representing workers in the construction industry and in the Free Trade Zones. Currently Nicaragua is seeing a boom in construction as the international community provides loans for infrastructure and road building and rich Nicaraguans build second houses and shopping centres. Workers are poorly paid, have insecure contracts and work under poor health and safety conditions. The construction workers union is campaigning to improve health and safety conditions and to obtain a legal minimum wage for construction workers. 2004 saw a wave of strikes and other forms of industrial action in support of these demands.

Free Trade Zones (FTZ)
Although free trade zones have existed since 1970, the number of people employed within them has increased rapidly since 1990. There are now 85 factories, predominantly foreign owned, operating within the free trade zones, employing 75,000 workers directly and a further 200,000 indirectly. However, some of these companies have recently threatened closure and relocation outside of Nicaragua as a reaction to recent minimum wage increases under the FSLN.
Union repression is in the norm within FTZ factories. Of the 85 factories 20 have unions, only 4 of which have legal status. Government corruption adds to the difficulties through the passing on of names during the union registration process, the denial of registration to a number of unions and through failure to enforce Nicaraguan labour legislation.
Conditions in the factories are generally poor, with long working hours and low pay. Basic pay stands at US$65 per month. Workers are expected to meet high production targets and are often compelled to work extra hours if their quotas aren’t met.

Current priorities of the union include; the creation of a federation of FTZ unions, increased organising within the free trade zones, campaigning to prevent the closure of factories in the Free Trade Zones, as companies relocate as a reaction to recent minimum wage increases under the FSLN government, lobbying to ensure proper labelling of items to reflect country of origin, oppose corruption in government and strengthening links with trade unions and organisations in consumer countries. Such links have already helped the union achieve some successes. In February 2005 five unionists who had been dismissed by management at the Nicotex factory were reinstated after an international campaign.

FESC :Communication Workers
fesc@cablenet.com.ni  

The Federación Enrique Schmit, which is affiliated to UNE (see above), represents both telecoms and postal workers at the national level. The telecoms industry was privatised in 2004 and is now predominantly owned by ENITEL, a Mexican company. The postal service is still 100% state owned, although much of the more profitable work has been siphoned off to private courier firms. In comparison to many other sectors, conditions within the telephone industry are fairly good. The salary of a basic engineer is US$90 per month, but the average is around US$400, making telephone engineers some of the highest paid workers in Nicaragua.

At present the union is negotiating a new collective bargaining agreement with ENITEL, who are trying to reduce terms and conditions. The union is in a strong position as 60% of ENITEL workers are members of FESC. Although the union is hoping to reach agreement through negotiation they are prepared to take industrial action if necessary.
FESC’s other main challenge in the telecoms sector is the opposition to ‘yellow’ unions, unions of the political right often set up by, or with the help of, the company. These unions are opposed to using normal democratic union processes and may be an obstacle in taking legal industrial action. Other priorities include the recruiting and organising of women workers and pressuring for the reinstatement of workers sacked during the anti privatisation campaign.
Conditions for workers in the postal service are far worse than for those in telecoms. The Minister of Labour is refusing to negotiate a new collective bargaining agreement and the management are looking to reduce workers benefits. At present postal workers earn around $100 a month.

CTCP: Informal Sector Union

The latest union to be affiliated to the FNT is the Informal Sector Union. Formed in May 2002, it now has over 22,000 members in 36 unions which represent workers at traffic lights, lottery sellers, shoe shiners, street sellers and tricycle taxis. The informal sector represents 70% of employment in NIcaragua.

The union believes that although the labour relations between employers and employees in the informal sector are quite different to traditional labour relationships they do exist. Suppliers of the goods they sell or owners of the equipment they use tend to be the same people: local businessmen; magistrates; politicians and so on. It also falls to local authorities to grant (or otherwise) licences, eviction notices and other types of permissions. As these labour relations are more invisible than relations in traditional sectors the creation of an informal sector union has required the development of new ways of organising and providing services.

The union's current priorities include: developing and strengthening organising work; education and training for members (many of whom have had no access to formal education); improving health and safety in the workplaces, the provision of a mutual health service; the development of revolving loan funds for members and the elimination of child workers from the informal sector.

FETSALUD : Health Workers Union
 fntsid@ibw.com.ni  

80% of FETSALUD members are women.
Photo: Dave Godson

 

FETSALUD represents 25,000 health workers including both medical and non-medical staff (cleaners, gardeners, administration, security etc.)  Whilst the right to free health care is enshrined in the Nicaraguan constitution, in reality the system is in chaos as health spending continues to be cut. Public sector hospitals suffer from a lack of equipment, medicine shortages and no clothing or bedding. Although the government claims it does not intend to privatise the service in reality most non medical services (cleaning etc) within hospitals are now under private control. Whilst access to a doctor is still free, the cost of buying medicine, supplying bedding and providing food to the patient has meant adequate health care is no longer accessible for the majority of the population.

The pay and conditions for health workers are extremely low – the average wage for a health worker stands at US$50 per month. The union has succeeded in gaining small increases in wages but pay still falls below what is needed to provide for basic goods.

The main priorities of FETSALUD are: the defence of a free health service and opposition to all forms of privatisation within the health service; demanding increased investment in the public health system and campaigning to improve the pay and working conditions of health sector workers. As a union it is also prioritising the recruitment and organising of women and young people and the strengthening of the structures for, and representation of, these workers within FETSALUD.
 

ANDEN : Teachers Union
anden@guegue.com.ni   

ANDEN is one of the biggest teaching unions in Nicaragua, representing over 50% of primary and secondary school teachers. Education services and literacy rates are once again in rapid decline since the electoral defeat of the Sandinistas in 1990. Teachers are poorly paid, earning significantly less than the basic cost of living, and work in difficult conditions. Class sizes range from an official 50 students per class to a more common 70 or 80, schools are falling into disrepair and increasing numbers of children are unable to receive even a basic education. This is due mainly to the inability of parents to meet the costs of books and uniforms, travel (particularly in rural areas) and ‘user fees’ imposed by the IMF.

Although the government denies it plans to privatise the education system, ANDEN believes that the introduction of ‘user fees,’ ‘school autonomy’ and the decentralisation of certain education centres all mark a significant step in that direction. At the beginning of 2005 ANDEN and other teachers unions called a national strike to demand a minimum wage at least equivalent to the cost of living. 30,000 teachers participated in the strike, 20,000 people took to the streets in support of the teachers’ demands and a number of teachers went on hunger strike. The strike ended after the government agreed to substantial pay increases.

ANDEN’s main priorities are: organising to achieve better pay and conditions for teachers, working to defend the public education system; campaigning for the government to guarantee sufficient economic resources for education and opposition to the privatisation of education. They are also planning to use the 25th anniversary celebrations of the Sandinista literacy crusade, in summer 2005, to launch a new political and educational campaign which will challenge increasing illiteracy in Nicaragua. This includes encouraging unemployed professionals to form literacy brigades, promote and support literacy projects within the FNT membership and push local councils to provide resources for literacy projects.
 

For more information on Nicaraguan unions:

Information gathered by the 2008 youth unionists delegation >>

2005 Trade Unions in Nicaragua briefing >> 
This includes information about the ATC (Agricultural Workers Union) atcnic@ibw.com.ni