LABOR
No. 233, July 3-9, 2003

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LABOR BRIEFS

Strike against fuel prices shuts down Nigerian cities

8 million workers may lose overtime pay


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Strike against fuel prices shuts down Nigerian cities

Lagos, Nigeria, June 30-- Nigeria was shut down on Monday by a general strike called by trade unions to protest at a stiff increase in fuel prices. Banks, schools, government offices and businesses were closed and the normally bustling streets of major cities were devoid of traffic.

In the capital Abuja, riot police fired tear gas to disperse a rally addressed by Adams Oshimhole, president of the Nigeria Labor Congress (NLC), the trade union movement which organized the stoppage.

In Lagos, Nigeria's commercial hub, police fired tear gas at protesters who lit bonfires in the main streets and shouted anti-government slogans. There were no immediate reports of violence in Africa's most populous country.

President Olusegun raised gasoline prices by 54 percent on 20 June, saying Africa's largest oil producer should no longer have to spend US $2 billion a year on subsidizing fuel that was already extremely cheap by international standards.

However, labor leaders were unconvinced. They argued that the price increases of more than 50 percent for gasoline, diesel and kerosene would only aggravate poverty in this country of 120 million people, 70 percent of whom live on less than one dollar a day.

After talks with the government failed to avert the stoppage, Oshiomhole said there was a need to fight "the creeping dictatorship" of Obasanjo. The president was re-elected for a second term in April in polls widely held to have been riddled by fraud.

Oshiomhole said on Monday that the national strike had attracted strong support. "It's gone beyond what we expected," he told IRIN. "We have got reports from all the states showing that people responded to our call for a total strike."

Trade union leaders ignored a court order obtained by the government on Friday that the strike be called off.

It has the potential to shut down Nigeria's vital oil industry, which pumps over two million barrels per day and provides 95 percent of the country's foreign exchange earnings.

The strike has attracted the support of two powerful oil unions, the blue-collar National Union of Petroleum and Natural Gas Workers (NUPENG) and the white-collar Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN).

Oil companies said on Monday that output had not been immediately affected by the stoppage, since key staff who belonged to PENGASSAN were still working. However, union officials said they expected the strike to start hitting exports in the coming days.

Obasanjo summoned union leaders to a fresh meeting on Monday afternoon to try and resolve the dispute. Previous attempts at dialogue last week broke down after the government insisted that the price fuel increases were irreversible.

Most opposition parties have condemned the fuel price increases and have thrown their weight behind the workers' protest.

Source: UN Integrated Regional Information Networks

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8 million workers may lose overtime pay

June 26--More than 8 million white-collar workers could become ineligible for overtime pay after working more than 40 hours a week under changes proposed by the administration of President George W. Bush, according to a study released today by the Economic Policy Institute (EPI).

The report, Eliminating the Right to Overtime Pay, finds the Bush administration's proposed changes to the Fair Labor Standards Act (FLSA) could eliminate overtime pay for 7.4 million more workers than the US Department of Labor's estimate of 644,000 workers.

"The house you buy, whether your wife has to work, whether you can send your kids to Texas A&M or they have to attend the community college--for many of us, it's all been determined by overtime, and now they want to change the rules in the middle of the game," says Pace International Union Local 8-675 member David Taylor, a highly skilled oil refinery worker in Houston. Under the Bush plan, Taylor's nonunion co-workers could lose their legal rights to time-and-a-half pay after 40 hours of work a week.

In fact, employees who make as little as $22,100 annually could be reclassified as professional, administrative or executive employees exempt from federal overtime rules. Emergency medical technicians, cooks, social workers and police officers are among the 8 million workers who could be reclassified and lose overtime pay.

Many workers would face unpredictable work schedules and reduced pay because of an increased demand for extra hours for which employers would not have to compensate workers, the report finds.

"As unemployment soars and America's workers struggle in a faltering economy, the Bush proposal would encourage employers to cut hiring and instead rely on fewer to do more work for less money," says AFL-CIO President John J. Sweeney. "The proposal is an unjustified scorched earth strategy to decrease workers' paychecks and rights in the name of 'updating' rules for the modern workplace."

"The administration's proposal would create, in effect, a massive subsidy to employers paid for by their employees," says study co-author Ross Eisenbrey, EPI vice president and policy director.

The public comment period on the proposed regulations--which could take effect as early as this fall--ends June 30 and workers across the nation are telling President Bush not to take away overtime pay.

While the Bush administration is attacking overtime, anti-worker members of Congress have proposed five bills seeking to limit or restructure who qualifies for overtime.

H.R. 1119 in the House and S. 317 in the Senate could allow employers to save money at their employees' expense by having employees work overtime in exchange for a promise of time off (at some future, unspecified date under the employer's control), instead of paying workers the time-and-a-half overtime pay they're entitled to under current law.

Because of the efforts of working families who sent hundreds of thousands of faxes and made thousands of calls to their representatives, House Republicans canceled a scheduled June 5 vote on H.R. 1119 because they did not have sufficient votes for passage. The other bills, which have not received hearing dates, would exempt some occupations from FLSA minimum wage and overtime protections.

Source: AFL-CIO

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