Part I

[Broadcast on 6 September 2003]

On 20 August 2003, 500 to 600 workers from the now defunct Suizhou Fuel Pump and Nozzle Factory in Hubei Province, protested outside the Suizhou Municipal Government to demand a legal and fair policy in resolving the problems faced by workers affected by the factory's bankruptcy. According to the workers, in the process of bankruptcy of the former state owned enterprise (SOE), the government had agreed to only give workers 600 Yuan for each year of service – giving a worker who had worked there for some 30 years a total of less than 20,000 Yuan. For those who had taken retirement, the conditions offered were even worse. They were told that their medical insurance would only cover them up to the age of 60 or the age of formal retirement which varies according to gender. Formally retired workers were told they could only have medical expenses reimbursed if the condition was incurable. The factory was reported to have only paid its pension premiums until 1997 which left formally retired workers without their full pensions.

On 2 September, more than 700 workers took the same marching route to the government offices carrying banners, slogans and singing songs to protest. They raised banners; "The Party serves the public & policy helps the People" and “The People's Interests are no small matter". During a six hour indoor negotiation between workers' representatives and government officials, workers outside the building sang "Socialism is Great".

To get an in-depth picture of the workers' protest, China Labour Bulletin [CLB] contacted the factory's trade union to see what attitude it had towards the protests and whose side it took. Starting from today's program, three successive interviews with the trade union cadre and chairperson would be broadcast.

Han Dongfang [Han]:

I learnt that your workers had held a massive protest this morning. Did the trade union play any role in it?

Trade Union Official:

I don't really know, they didn't inform us about the protest and we didn't know that they were planning one.

Han:

Then did you learn about it afterwards?

Trade Union Official:

We heard about it this morning.

Han:

You mean you only learnt about it after they protested?

Trade Union Official:

Right.

Han:

Did you then get involved?

Trade Union Official:

No, we didn’t. You know we only have two people in the trade union.

Han:

What do you mean ‘two people’?

Trade Union Cadre:

Those who opted for early-retirement have retired and now only our chairman and I are working in the trade union.

Han:

Did the trade union chairperson go to resolve the conflict immediately?

Trade Union Cadre:

Well, it happened that he went to a meeting this morning to discuss “soldiers becoming cadres” issues forming our community.

Han:

But the protest was no small matter - he simply should have skipped that meeting and gone to talk to the workers or represent the workers in the negotiation, couldn’t he?

Trade Union Official:

Well, I have no idea.

Han:

Has the trade union ever presented the workers' demands to the factory during restructuring?

Trade Union Official:

[laugh]... the protestors formed an organization called a "supervision group" and basically they take care of everything… nobody bothers to talk to the trade union.

Han:

Why not?

Trade Union Official:

How do I know?

Han:

May I put it this way: the workers think the trade union is not helpful?

Trade Union Official:

Of course they think like this.

Han:

But why do they think like this?

Trade Union Official:

That is [also] my own opinion [laugh].

Han:

How come they think the trade union is not helpful?

Trade Union Official:

I don't really know. Why don't you talk to our chairman when he is back?

Han:

How about you? Are you in the retrenchment program too?

Trade Union Official:

Yes.

Han:

Do you know how much they pay as retrenchment compensation?

Trade Union Official:

I have heard... about 500 Yuan or so [for each year of service].

Han:

Do you find the amount reasonable?

Trade Union Official:

No, definitely not.

Han:

What would you say was a reasonable price?

Trade Union Official:

Hmm.... to me, like the Gearwheel Factory, which went bankrupt several years ago... it is said that they paid 700 Yuan or so per year of service.

Han:

That means you think 700 Yuan or so would be enough?

Trade Union Official:

No, I didn't say so, I mean... it shouldn't pay us less than the Gearwheel Factory did, should it?

Han:

How much is the amount workers' organization demanding?

Trade Union Official:

Hmm... that varies, for each person has his own idea, right? Based on our situation, the number... [laugh], the target compensation must be higher.

Han:

So put it like this: if the workers' organization succeeds in raising the compensation rate, you would benefit too, am I right?

Trade Union Official:

I believe... I am one of them [workers] and if it wasn’t for my job here [in the trade union], I would have joined the protest.

Han:

Really?

Trade Union Official:

Of course [laugh].

Han:

Are you a trade union cadre?

Trade Union Official:

Yes I am.

Han:

Don't you think the trade unionists should play a more active role in this case?

Trade Union Official:

That is impossible, if you were in my position, would you do it? You know we can’t act as you imagine by encouraging them to protest. That workers “supervision group” was formed by workers after the factory's bankruptcy.

Han:

However, the ACFTU keeps encouraging trade unions to represent the workers in guarding their rights, if so - it is your responsibility to take part [in the protest]?

Trade Union Official:

Hmm... in my understanding, the trade union can’t represent the workers.

Han:

How come?

Trade Union Official:

You can come here and have a look: our factory went bankrupt and those auditing groups and work groups are taking over the management work. As a trade union, we have to report everything to those auditing groups and work groups and they are our boss.

Han:

Do you have to report to the newly formed workers' organization then?

Trade Union Official:

Oh no, not to them. That "supervision group" was formed by workers. I mean only the work groups and auditing groups, sent by the municipal government, are taking care of the factory after its bankruptcy.

Han:

Then before and during the bankruptcy process, has the trade union ever fought for workers' rights?

Trade Union Official:

Of course we have. Our chairman used to work alongside the auditing group and work groups and fix some internal affairs in the factory... but later... the work groups take in people from only the municipal government and no one from the factory is allowed to join.

Han:

No place for the trade union in those work groups?

Trade Union Official:

None at all.

Han:

You mean the trade union is excluded from the bankruptcy process.

Trade Union Official:

Indeed, I think so.

Han:

Isn't such a practice illegal?

Trade Union Official:

Well... and...you... did they [the workers] contact you or you want to investigate the case yourself?

Han:

They called me and therefore I am calling to see what is going on.

Trade Union Official:

Really?

Han:

Right.

Trade Union Official:

And now our chairman is back.

Han:

May I talk to him?

Trade Union Official:

Hmm... Okay.

Han:

Hello. I am calling to see if the trade union is taking any action in the workers' protest this morning.

Trade Union Chairman:

The trade union?

Han:

Yes.

Trade Union Chairman:

No, not the trade union. We have to follow the party committee's instructions.... it is required that trade union has to be under the party committee. Now the party committee asked us to do ideological work with the workers - to give them the right thoughts. In guarding the workers' rights.... we have to do it … but the measures we take have to be better ways, like the more reasonable and lawful ways. This is the way we guard their rights. In terms of their demands, we would support those reasonable ones, for example, the medical insurance, pension insurance... because these demands do make sense to defend their livelihood after the factory's bankruptcy when they all lose their way of making a living. We do support these reasonable and rightful demands and we are required by the State to promise the workers these, otherwise they won't let us go easily. All in all, the trade union should guard the workers' rights.

Han:

How about helping them to get a better compensation rate?

Trade Union Chairman:

On this issue, being a trade union... it depends on the auditing process, only the auditing group can decide the rate. The trade union could only do some research in other factories, see how they compensate their workers [and give advice]... you know if the auditing group offers a rate lower than other factories, the workers wouldn't accept it.

Han:

With the current situation, does the trade union support the workers in asking a better compensation rate?

Trade Union Chairman:

The rate the workers demanded is a bit better than the gearwheel factory, how shall I put it? The two factories share some similarities; the gearwheel factory is an agricultural machinery factory and we built the two factories around the same time, under the Provincial Agricultural Machinery Bureau. We came to Suizhou during the time of "Sanxian Construction" [NOTE 1] and the workers of two factories were assigned here from Wuhan. Therefore, I find it reasonable to get a rate that is not lower than the gearwheel factory's. They want a rate that is not worse than the gearwheel factory's and I think such a demand is not that difficult [for the government] to meet.

Han:

Will the trade union support the workers' demand?

Trade Union Chairman:

I think so... or at least it is understandable.

An interview with the previous trade union chairperson will be broadcast next Saturday.

NOTE 1: The PRC Government divided China into three fronts, according to its military deployment and economical development policy. The coastal area was the first front, middle China was the second, and the NW and SW remote area was the third. From 1964, the government started sending soldiers and youngsters to different fronts to construct different types of infrastructure and facilities of the place. This Sanxian [literally means three fronts] Construction Project ended in late 1970s. Hubei Province [where Suizhou is located] was on the third front.)