GLOBAL POLITICAL ECONOMY, YOUTH AND DECENT WORK: Problems and prospects for the trade union movement*

INTRODUCTION
The world has been in severe turmoil now for six years. Staring as a “financial crisis”, the global economy entered into a “Great Recession”, the likes of which has never been witnessed since the “Great Depression” of the 1930s, in 2008-2009. While the world economy has come out of that recession, we now witness what has been described as the “Great Stagnation”[1] with an economic crisis that has thrown hundreds of millions of persons into the abyss of unemployment and rendered millions homeless.

The global economic crisis has impacted on different countries in different ways and to different extents, depending on the way and manner they are integrated into the world economy. But hardly any country can claim to be aloof from its adverse consequences, as “globalisation” intertwines the fates of peoples from the farthest reach of into one broad mosaic of a community of fate. This does not mean that everyone in the multiplicity of countries and regions of the world are affected by the crisis in the same way. There are social and generational divides which define those who bear the brunt of the crisis costs.

Workers who create the social wealth are the main sufferers. Indeed, the bosses who created the mess we all happen to be in now, are the ones being bailed out, while working people are made to pay. The youth, particularly those from working class backgrounds can also clearly be seen as those for whom this crisis is not only a big blow to their present lives, but as well the tearing asunder of their future, right before their eyes today.

In the storm of crisis, 750million youths are now jobless, while hundreds of millions more eke some form of living on the sidelines of the informal economy or in the shadows of increasingly precarious employment within the formal sector. In advanced countries that have been known to project the liberal market economy such as the United States and the United Kingdom, millions of young graduates have tuition debts hanging over their heads that they will most likely never finish paying before they die. In economically backward countries like Nigeria, millions of youths have been sucked into lives of crime, prostitution and sectarian violence out of disillusionment and a bid to survive.

This is a situation that is very much like a ticking time bomb for humankind. This era of crises has thus, not surprisingly been one of revolts. Mass mobilisation on the streets, spates of strikes, uprisings and revolutions (such as the cases in the Middle East and North African region) have now become near commonplace. But, despite all these, there seems to be no letting steam of the situation of social crisis that the global economic cataclysm our generation faces has thrown up.

We cannot but be concerned about asking questions. How did we get to where we now are? What exactly is the current situation? What are the problems and prospects of a resolution of the situation? What possible alternatives of resolution can we grasp at?

As we confront these questions, for us as workers, a primary one equally would be: what can the working class and its trade union movement do, in defence of the working people? This is a question for us as working class activists. But it also goes beyond one for us as workers. It is a question for all that seeks a better world. This is due to the central role of the working class in the social relations of modern industrial (i.e. capitalist) society, which makes it most strategically placed to bring about social transformation within and across all lands of the world.

In this essay, we would thus attempt to present tentative answers to the questions that history has foisted on our class, and today’s generation of youth, in the shape of a general and organic crisis of the capitalist system.  In doing this, we consider three variables: the global political economy; the character and dynamics of (working class) youth and; the paradigm of decent work, vis-a-vis the challenges of working class’ self-emancipation, and relate these to, what in our humble opinion, the trade union movement can do.

THE GLOBAL POLITICAL ECONOMY AND THE CURRENT CRISIS
It is important to point out quite clearly that the global economic crisis did not just happen. It emerged from the logic of capitalist development in general, and some of its particular characteristics stem from the neoliberal model of “development” that has been dominant since the mid-1970s across the world.

Capitalism is based essentially on the profit motive. Any and everything in the “market”, including labour and labour power are nothing but commodities acquired and produced for the continued expansion of capital. While profits are being raked we tend to have booms in production. The flush of these booms primarily benefit the bosses. But they can afford to make some crumbs available for the workers. But when the crunch comes with the rates of profit falling, the motive for continued production takes a downturn and contraction of production commences.

This general schema of the logic of capitalist development is what leads to cycles of prosperity followed by downturns of outright recession i.e. negative growth or economic depressions i.e. sluggish growth. Before the current situation, the world witnessed the worst ever economic crisis of this logic of development between 1929 and the late 1930s. This was the period known as the Great Depression.

Like the current crisis (and even earlier crisis in the nineteenth century) it started as a “financial crisis”. The financial sector of modern economy is the most volatile sector precisely because it is one of “fictitious capital”. While international finance had come to hold sway over manufacturing somewhat since the turn of the 20th century, global neoliberalism had further helped to institutionalise it in a form of “casino capitalism” which had hedge funds and the likes lurking behind futures CDOs etc.

“Financialisation” also had no choice but to suck in the working class in liberal market economies within the developed countries, through the extension of credit. This was partly due to the fact that the real wages of workers in a large number of these countries had not increased, for decades. In the case of the United States for example, real wages had stagnated since 1973. The sub-prime mortgage loans which served as trigger for the “credit crunch” of 2008 could thus be best considered as a strategy of the bosses to keep up a real fiction of life getting better for the workers or “new middle class”, while the real benefits rolled into their own bank accounts.

Neither “financialisation” nor the global economic crisis arose from some disembodied free market. Contrary to the myth that global neoliberalism involves the rolling back of the state, and “deregulation”, we have rather had re-regulation in the interest of the bosses, with the strong arm of a privatizing state, and sets of international rules and institutions that also largely privilege multinational corporations and the high and mighty in general. 

The choices that these same states and international institutions have taken in the wake of the crisis have been such that have tried to kick start jobless growth, because they remain largely governed by the profit motive, especially where these involve labour. Bailouts for the bosses still remain as supposed incentives for “private sector-driven” economies. In economically backward countries (that are resource-rich) like Nigeria, and Africa in general where the working masses have only known crisis in perpetuity since the 1980s, the bosses actually brag that we are immune from the global crisis and the neoliberal policies such as NEEDS and NEPAD which they pursue have even brought about oases of growth in the current global desert of crisis.

This is quite clearly a mirage in so many ways. While countries in the eye of the storm might be those more closely intertwined with the world economic system (like Portugal, Italy, Greece and Spain in the eurozone), we have equally been adversely affected. In 2009, one third of the worth of the Nigerian stock exchange was wiped out in barely three months. This was despite an earlier claim by Prof Charles Soludo, then the Governor of the Central Bank of Nigeria that the country was too insulated from the global recession.

To save the profits of capitalists, the Federal Government temporaily established a ceiling and floor for the value o shares; so much for “free enterprise”. But while the interests of the bosses are to be safeguarded, it is not so for workers and the poor. According to the National Bureau of Statistics the percentage of people living beyond the poverty line increased from 54% in 2004 to 69% in 2011, and the impact of further neoliberal policies like the fuel price hike of 2012, the NBS asserted, would have thrown more people still into the morass of poverty.

The present spate of “jobless growth” which Nigeria is witnessing, making it one of the five “fastest growing” economies in the world is driven by extractive resource (i.e. crude oil) exploitation. It is also unlikely to last, as the global economy continues a sluggish staggering towards further crisis on the horizon.

DECENT WORK AND THE “DEVIL” OF PRECARITY
The Decent Work Agenda of the International Labour Organisation might be a recent one, starting in 2007, but the struggle of trade unions over the last two hundred years has been largely about decent work on one hand and self-emancipation on the other. Both sides of this coin are of course, not necessarily mutually exclusive.

The perspective on decent work by the ILO, further reiterates the centrality, in a sense of decent work to the struggles of the working class, when it states thus:

Decent work sums up the aspirations of people in their working lives. It involves opportunities for work that is productive and delivers a fair income, security in the workplace and social protection for families, better prospects for personal development and social integration, freedom for people to express their concerns, organize and participate in the decisions that affect their lives and equality of opportunity and treatment for all women and men[2]

It is however noteworthy that DWA became an element of the narrative of social dialogue, and one which the trade unions throw their weights solidly behind, at the particular point in history that it did. It reflects defensive action of the unions in the face of a series of defeats of the working class, and the increasingly precarious nature irregular nature of work relations for many a worker a la global neoliberalism.

The concept of an “informal sector”, and later put as the “informal economy” was a theoretical attempt to understand the practical reality of work outside formal relations of employment, based on field research work in Kenya and Ghana, between 1971 and 1973. By the 1980s, starting with the structural adjustment programmes, and increasingly so, subsequently, non-standard work became the pillar for labour flexibility, and the twin of rising unemployment.
Trade unions were fought and defeated by the state in several countries to establish the “Washington consensus” as a supposed common sense. This was because the earlier social democratic compromise of the Keynesian Welfare National State had to be dismantled, with subtlety where this was possible, but more often than not, in the most brutal of ways. The bosses and their state co-joined to try save the continued falling of the rate of profit by leveraging on rising unemployment to foist precarious working conditions, insecure jobs and grossly inadequate remuneration on those who found jobs.

The Decent Work Agenda as an effort at reform is however possible in the first place because workers have not surrendered the struggle for democracy. It might seem to some that democracy under capitalism is merely and strictly formalistic. This is a very inadequate perspective. Tripartism, social dialogue and such other instruments which are being utilised to pursue the Decent Work Agenda have in them contradictory currents. They express some level of expansion of the democratic space and which we should consolidate on. Butthey also have laden in them, the very palpable possibility of co-optation by the bosses, including through soft (and not so soft) bribes.

There is every need for us to pursue decent work and any agenda for it. But we equally have to be circumspect in doing this, not to get sucked into the labyrinth of minefields that the bosses, and their states do place in the pathways of such pursuits.  

THE YOUTH: THE FUTURE THAT IS TODAY
An old axiom posits that “tomorrow starts today”. Youth is the most apt personification of this truism. Youths are not just the leaders of tomorrow as yet another adage goes, they are part and parcel of the hopes and aspirations, anxieties and anguish, struggle and creation of today. In terms of work, the youth constitute a significant proportion of any country’s workforce. But they also tend to be those who are more likely to face the scourge of both primary and secondary unemployment.

In most countries of the world with rising unemployment rates, the youth unemployment rates tend to be much higher than the general rate of unemployment. This has resulted in a lot of youth restiveness. Greece and Spain   with youth unemployment rates of 65% and 56% respectively have witnessed some of the stiffest anti-austerity battles in the present era of crises and revolts that we live in. The youths have not only been part of mass strikes, they have as well been at the heart of new-and-not-yet-entirely-new forms of struggles such as the Squares movement and the los indignados movement.

In the MENA region, youths have been very much the driving force of resistance on the streets and at points of convergences of mass anger like Tahrir and Pearl Squares in Egypt and Bahrain respectively. But youths have also been some of the most active organisers of strikes and sit-ins in factories and offices.

The case in Nigeria is also of great relevance. While the general unemployment rate is 23%, youth unemployment rate could be as high as 60% according to the Federal Government. The disillusionment of youths burst out to the fore during the January 2012 General Strike and Revolt, which saw not less than 28 young men killed in the heat of demonstrations across some 57 cities and towns. But this epochal struggle showed both the strength and the limitation of simply put “youth power”. The power to decisively change the way things are, lies with youth-as-part-of-the-working class.

There was a time that younger trade unionists tended to be more radical. There were objective reasons for this. Less weight of responsibility, greater sense of idealism and expectations from life, the freshness of coming from school, and a greater openness to new ideas were (and are still) some of the reasons for this. Today, the ideological warfare against “community” and the projection of consumerist-end-of-history ideology have helped to stunt critical thinking on the part of many a youth in normal times. But we are no longer living through “normal” times. We are in a period where once again the youth and working people as whole, pushed to the world are not only fighting, but can dream dreams and see visions.

 To win reforms for decent work and such like, as well as to change the world itself, we have to dream really, but this is not enough. We have to organise. A major plank of this is mainstreaming youth. This is a challenge that the trade union movement in Nigeria is now rising up to. But a lot more still has to be done.

TRADE UNIONS AND THE CHALLENGES OF THE MOMENT
The trade union movement at local, national, regional and global levels are trying in different ways to fight the good fight, singly and as part of broader social movements. As a movement and as individuals activists that are part of combinations, we enter with the weight of our views and practices of just yesterday on us, but even these are being challenged by what we face, where and when we choose to see this.

At the global level, the trade unions have been demanding an end to the bailout of the bosses and workers’ bearing the brunt of the crisis. A radicalisation of several global union federations and as well the combinations of such into new federations such as the case of IndustriALL are some of the signs of the times. A major programmatic plank of the GUfs has been the Global Jobs Pact. This has the blessings of the ILO, and initially in 2009 when it was formulated; it seemed it would have the blessings of the G20. But as the bosses grew stronger based on our weaknesses, they have chosen to, in essence, disregard this.
At the national level, anti-austerity coalitions are being sired by the trade unions or by other social movements, but with the trade unions being very much involved. A recent example of this trend can be seen in the Peoples Assemblies in the UK. Trade unions are also getting more involved in partisan politics even in countries where “economic unionism” was the norm. Politics is also not being restricted to the ballot box. Trade unions have taken up alternative politics as with the Occupy Wall Street movement.

In the case of Nigeria, the role of the trade union movement in building fighting coalitions, particularly but not limited to anti-fuel price hike struggles cannot be overemphasized. This has taken organisation form in the Labour Civil Society Coalition. But the struggles of the trade union movement for decent work and a better life go beyond these. The anti-casualisation campaign of NLC-TUC is being revived and more and more GUF-actions are also taking place.

The youth have been some of the most active foot soldiers in these little and big actions, and are increasingly taking up leadership in these as well. But there is much more that can be done and that has to be done.

These include but are not limited to the following:

·         establishing strong research-to-policy and policy-to-action linkages;
·         consolidating sectoral networking at shop floor, national and regional levels;
·         strategic campaigning as strategy and forging of closer relations with other social movements;
·         an activist sense of mobilisation, breaking the bounds of routine work and institutionalising Social Movement Unionism;
·         mainstreaming youth consciously and systematically

IN LIEU OF CONCLUSION
I have described the period we live in as “an era of crises and revolts”[3]. Such a period comes with both challenges and opportunities. The capitalist logic of development has led to a multifaceted crisis which includes political, environmental, ideological and cultural dimensions. But at its heart is the economic crisis, for as Walter Rodney pointed out, economic development establishes an index for other dimensions of development, and the social relations of production are primary to the material reproduction of our species as humans.

The essence of our specie though, is freedom. Decent work has meaning to the extent that it implies reforms for a better life for human beings. We must thus struggle for decent work and living.
The struggle for reforms, particularly in economically backward countries like ours cannot however be separated from that for social transformation. The trade unions as the primary organisations of the working class are bound to be part of this struggle.

From this point of view, I have tried to put in perspective, the global economic crisis, noting that economics cannot be separated from politics. Indeed, politics is basically concentrated economics. I have then looked critically, albeit summarily at the paradigm of “decent work” which is very valid, but requiring a critical approach to avoid falling into the pitfall of incorporation that the bosses bring to the table of “social dialogue” for decent work.

The problems and prospects for the trade union movement’s roles in the current period have then been considered, taking note of what is being done, and what could be done better.

Throughout this discourse, the place of the youth-as-worker has been primary for me. To change the world and make it better, the youths must envision a new society and fight to win this.

A luta continua!
Victoria ascerta!!

*Being a paper presented at the 1-day Capacity-building training for young trade union activists organised by the Friedrich Ebert Stiftung, on Thursday, October 24, 2013, at the Top Ranks Galaxy Hotel, Utako, Abuja



[1] See Foster, J.B. and McChessny R.W., 2012, The Endless Crisis How Monopoly-Finance Capital Produces Stagnation and Upheaval from the USA to China, Monthly Review, NY
[3] See Baba Aye, 2012, Era of Crises and Revolts Perspectives for Workers and Youth, Solaf Publishers, Ibadan

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