National Consultation on Social Clause in Multilateral Trade Agreements

October 27 - 29, 1995
Bangalore
Statement

  The Bangalore Consultation on Social Clause in Multilateral Trade Agreements held on 27 -29 October 1995 as a follow up to the National Consultation in New Delhi in March 1995, unanimously called for the implementation and improvement of labour standards, environmental standards and human rights standards, but at the same time, rejected the linkage of the social clause with trade in the framework of the WTO and in bi-lateral trade agreements in the form of a Social Clause, in view of trade linkage being unjust and unequitable mechanism for enforcement of such standards. More so, given the nature of the unequal multilateral treaty and ongoing structural adjustment programmes hl the Third World Countries under the IMF/WB conditionalities.

   Despite our government's current rejectionist position, we believe that since the government has uncritically acceded to the WTO, they may capitulate to the international pressure for a trade linked social clause. It is upto Trade Unions, Peoples' Organisations and NGOs to put pressure on governments to implement standards, but reject their implementations by linkages with trade in the WTO and bi-lateral trade agreements.

   The Consultation noted that the inadequacy of existing laws and regulatory mechanisms relating to these standards, and the violation of existing laws reveals the grave callousness of the government to its people.

   Having considered in detail the reports of the three working groups set up by the New Delhi Consultation on Labour Standards, Environmental Standards and Human Rights Standards, the Bangalore Consultation further concluded:

Labour Standards

  1. The Consultation affirmed the need for the implementation and improvement of labour rights, standards, and working conditions. It was further felt that urgent action is called for eradicating unemployment, child labour, bonded labour, coercive labour, contract labour system and improve working conditions of workers in the informal sectors.

  2. The Consultation strongly affirms the need for international labour solidarity and a concerted effort to improve labour rights and standards all over the world.

  3. It was agreed to frame a UN Convention on labour rights incorporating basic human rights in the work place and effective institutional mechanism for monitoring the implementation. It was resolved to have a sub-committee from the Consultalion with Prof. Muchkund Dubey as its Chairman to draft the Convention.

  4. It was proposed to campaign for the setting up of a National Commission of Labour Rights. This should be a statutory body who would have the task of monitoring violation of labour laws and standards and to prepare periodic reports and place them before Parliament and the public.

  5. It was proposed that a Committee on Labour Rights be informed. This Committee should be constituted of the Trade Unions of the Organised and Un-organised workers. It will monitor the enactment of Labour Legislation and its implementation. This Committee should be supported by the common struggles of all sectors of workers. The formation of the Committee will be initiated by a sub-committee headed by Thomas Kocherry

  6. It was proposed thet a seal of accreditation be given to products and services which complied with Labour Standards by a National Level Autonomous Body with representation of Trade Unions.

  7. It was proposed to launch a campaign for enactment of National Laws incorporating the ILO Tripartite Declaration of Principles Concerning Multi-National Enterprises and Society Policy.

Environmental Standards

  1. In the context of developing countries, the question of environmental standards has to be based on the wider concern for preserving livelihood support systems of large populations, that are dependent on traditional access to and use of natural resources. Promulgation of standards that adversely affect the use of and access to such support systems would be unacceptable.

  2. Since the livelihood question is related to the alternative systems of development, the stress on decentralised, need based production with sustainable use of resources must not be brushed aside in favour of a predominant macro-economic market based model propounded by GATT.

  3. The GATT philosophy of rapidly increasing unregulated production along, primarily with intensive trade cannot but have an increasingly adverse impact on environment. Coupled with this is the fact that the GATT is a rule based treaty permitting cross retaliation which does not allow plural macro economic policies. Taken together, these are fundamentally inimical to environmental safeguards.

  4. Recognising that developing countries would have to raise their environmental standards, it needs to be noted that there could be more than one path in doing so. In the conventional manner, such improvements would have to be incremental, requiring proper planning and adequate time frames to switch over to better tecnologies ensuring that in the interim, there are no adverse economic impacts. The other path is to bring in alternative approaches to development that are participatory, need based, decentralised and sustainable.

  5. While enforcing better environmental standards, particularly in industries, due cognizance must be given to the protection of employment and existing living standards of workers with minimum physical displacement.

  6. Consumption patterns of industrial countries must be brought on the agenda, where large scale environment impacts occur, even though individual processes and products may be environmentally more friendly. The concept of per capita environment space needs to be made a yardstick in evalueting environmental impacts of various countries.
By way of Action Plan, the following was suggested:
  1. The fact that an inter-governmental conference is scheduled in 1996 was noted with concern. It was recommended that the Consultation should set up a permanent group to lobby, network and prepare research based policy interventation to ensure that the governments' stands are consistent with the feelings of the people.

  2. The attempt should be made to set up South Asian Coalition on the issue.

  3. Various regional and international forums should be used to lobby, support and create a strong public opinion.

  4. Dialogue must be initiated with Northern NGOs supporting linkages of environment standards with trade.

  5. Continuous monitoring of our governments must be initiated and given wide publicity to influence their stands.

Human Rights Standards

  1. The Consultation perceived the globalization of the economy presumes repressive regimes and thus it increases the violation of human rights of people.

  2. The Consultation rejected outright the linking of bilateral and multilateral trade and aid to human rights and good governance. At the same time it supported protection and promotion of human rights as enshrined in the UN human rights charter and numerous other conventions ratified by the Indian Government.

  3. The Consultation recommended that a mechanism, to monitor the human rights record of international financial instititutions (like IMF & WB) and of trade policies of OECD countries like the export dumping of agricultural and toxic products, be installed.

  4. It is necessary to broaden the scope of human rights to include civil, political, economic, social, cultural and collective rights.

  5. The Consultation demanded the repeal of the repressive laws and the arbitrary powers of the armed and police forces, which threaten the civil and democratic fabric of our society.
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