Factory Take-Overs

The Arvida aluminum plant in Jonquière, QC and the Forja

San Martin auto-parts factory in Buenos Aires, Argentina.

History and Context

Quebéc

• NAFTA (1994)• Sovereignty Debate

(1995)• Zero deficit policy

(1996)• Cuts to social spending• Privatisation• Attacks on worker’s

rights.• Election of Charest’s

liberals (2003)

Argentina

• Peron• Dictatorship (1976)• IMF recommendations• Menem (1990) and El

modelo• Debt Crisis (2001)• Attacks on worker’s

rights• Privatisation• Cuts to social spending

Local ContextArvida

• ALCAN announces closure of Soderberg smelter from Davos, during the World Economic Forum, January 22nd, 2004. (550 jobs)

• Previous factory closures in the region...

• Arvida operating since 1928

• Local support for Nationalism

Forja San Martin• Factory abandoned by

Forja San Martin Sociedad Anonima Comercial e Industrial in 2001.

• 450 workers lost their jobs & factory equipment removed.

• Most people living in poverty.

• Peronism  & nationalism• National elections in

2003

Facts and Figures

Jonquiere & Saguenay

• Loss of around 5000 jobs in previous year.

• Average annual income of $25, 785.

• Unemployment around 12%.

Buenos Aires

• Wages fell at one factory from 600/week to 2/week.

• From 1995-2004 40% of major factories have closed down.

• “Argentina es el desierto que queda de un pais globalizado” – Naomi Klein, The Take

Forja San Martin

• Objectives: Creating permanent jobs, defend the right to work, recover dignity

• Slogan: Occupy, resist, produce

• « model »: Ceramica Zanon

• Values: dignity, family, work, solidarity, autonomy, direct democracy, self-management

The Take of Forja San Martin factory by its workers

• Former workers visit the factory and decide to re-appropriate it

• Cleaning, putting it back in function (Clip)

• Forming a cooperative

• Finding clients

• Surprise visit from an official (Clip)

• Judge condemn the occupation

• Went to La Plata to hear the vote on the law of expropriation (Clip)

6 month

s after…

Cooperativa Forja San Martin Ltd

Workers won the control over the

factory! (Clip)

Arvida - 2004• Arvida plant opened 1928• Plans to scrap the smelters on the north shore - 2015• Jan 22nd – ALCAN announces closure.• Jan 24th & 25th – meeting of SNEAA execs and shop

stewards.• Jan 26th – SNEAA general meeting.• Jan 27th – takeover announced.• Feb 1st – Québec Labor Board declares occupation

illegal• Feb 12th – ALCAN and SNEAA restart negotiations.• Feb 16th – union commences shutdown of smelter

• Objective: ALCAN’s reinvestment in the region to maintain the level of employment.

• Organisational structure: Multi-tiered heirarchy with rank-and-file workers at the bottom. (http://www.sneaa.qc.ca/struc_sneaa.asp)

• Values: Jobs, efficiency, community, working environment, corporate investment as a vehicle for development…

Tactics

Unions:

• Strikes and walk-outs

• Work-to-rule• Negotiation

Economic Disruption:

• Boycotts• Blockades

• Occupations

• Demonstrations• Factory take-overs

Obstacles

Arvida• State oppositon

(Québec labor board)

• ALCAN controlled their supplies.

• Unwillingness of both parties to begin negotiations in this context. (?)

Forja• Threat of desalojo• Minority of workplaces in

this model (?)• Heterogeneous movement• Hard to break from

Peronist ideology• Hard to compete• Lack of management

capacity

Conditions that facilitated the initiatives

Arvida• Support of national

level unions (CAW & QFL)

• Community support (families, businesses…)

• Previous job-losses in the community (?)

• Willingness of clients to continue buying.

Forja• Economic crisis.• Loss of

government’s legitimacy.

• Popular assemblies.• National movement.• Kirchner

Contradictions

• Arvida: Uncertainty about analysis on free trade and expectations about community support.

• Forja San Martin: Attention to election issues despite anti-voting stance.

Common Points & Differences

« Le fait que des milliers d’ouvriers, a differents endroits en Argentine et dans d’autre pays, utilisent au même moment les même methodes et les même idées montre qu’il existe une conscience historique profonde, sous-jacente, cachée.  » 

-Almeyra (2004)

Discussion Questions

• Do negative conditions such as existing economic crises and previous job losses promote such initiatives? Are they obstacles?

• Is the ability to enter into negotiations with the former or current owners of the property advantageous?

• How has nationalism informed these initiatives?