Mexican Electricians Union Holds On

One of the largest and most important independent unions in Mexico, the Mexican electricians union, Sindicato Mexicano de Electricistas (SME), is fighting for its life and may have just won a small battle.  On October 31^,2009, a federal judge temporarily suspended the dissolution of the central Mexico utility Luz y Fuerza del Centro (LyFC) as ordered by the Calderón administration. 

On the night of October 10, 2009, President Felipe Calderón ordered the federal police to seize the power plants of LyFC, liquidated the state-owned electricity company and fired all 44,000 workers, eliminating the union.  Analysts believe the government’s goal was not only to eliminate the union completely, but taking this step was a move towards privatizing the energy sector.     

SME has a long history of fighting off privatization efforts by the Mexican government especially during the presidencies of Vicente Fox and now Calderón; joining a coalition of other unions, peasant leagues, and urban poor people to create the National Front Against Privatization.  Born during the Mexican Revolution of 1910-1940, LyFC has grown extensively over the years building its membership and SME’s power as an independent union.  The first contract was negotiated in 1917 and until the liquidation of LyFC, SME represented 44,000 working members, along with about 22,000 retirees.  SME is affiliated to Mexico’s independent union federation, the National Union of Workers, Union Nacional de Trabajadores (UNT).  The SME contract provided union members with very favorable wages, benefits, and working conditions.  The union was also able to negotiate an agreement between the company that forbade outsourcing, allowed for an apprenticeship program, and annual stipend allocated towards contracting expenses, cultural activities, as well as other benefits that are largely uncommon in Mexico.  

In a televized announcement following the October 10 seizure of more than 100 LyFC plants, President Calderón stated the decision to dissolve LyFC was not motivated by a desire to eliminate the union, who strongly opposed his presidency, but was based on the company’s economic and productivity inefficiences.  However, during the months leading up to the seizure of the plant, the Mexican government intervened in the union’s internal conflicts surrounding the June 2009 elections by failing to recognize the democratically elected leadership.  In Mexico, the government not only has to recognize a union, but must also legally recognize their leadership.  A violation of Convention 87 of the International Labor Organization (ILO) that states workers have the right to organize and run unions of their own choosing.    

Less than a week after LyFC was seized, a massive march was organized by SME in Mexico City on October 15 that gathered at the Zocalo, Mexico’s national plaza.  An estimated crowd of 150,000 to 300,000 participated in the march calling for the revocation of the presidential decree liquidating the company, the immediate evacuation of the Federal Police from the plants, and discussions between the government and the union about financial and administrative issues.

The international support has also been massive.  Various members of the labor movement, including USLEAP, have released statements in support of SME like the AFL-CIO, all international union federations who attended an October forum on protection contracts in Mexico City, as well as the United Steel Workers (USW), and the Federation of Workers' Councils and Unions in Iraq (FWCUI).

In response, the Mexican government has issued a strong propaganda campaign against the company and the union.  Major media outlets, even within the U.S., are only covering one side of the story.  The government has expressed its plan to turn over LyFC facilities to a new company, which plans to merge with the Federal Electrical Commission.  The government has also reported that they will hire 10,000 former LyFC workers so long as workers accept their severance pay, as outlined by Mexican law, by mid-November.  Mexico has been greatly affected by the economic crisis and the pressure to accept a severance package weighs heavily on workers, but also limits their chances to challenge the company’s firing. 

The temporary court suspension of the dissolution of LyFC will not stop the procedure of giving severance payments to former workers nor a hearing before the Federal Conciliation and Arbitration board scheduled for the week of November 8 with the leaders of the electricians union.

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