Labor Lost in Spring Offensive




No.629
April 14, 2009



Almost all the big trade unions in the private sector were defeated on March 18 after accepting a condition of ‘no wage increase’. The date was set by the national center, Rengo, the Japanese Trade Union Confederation, when many employers announced of the year’s salary on the day. Mass media report that the labor offensive lost in the landslide manner. Under these severe circumstances a number of workers in the sector of small and medium enterprises continue and will continue struggles to improve living conditions and defend the rights of workers.

EXCELLENT LEADERSHIP NEEDED IN EACH INDUSTRY

People carefully watched on the industry sectors of automobile and electric appliance manufacturing, which usually represent a wage index of the year, to find all the employers in the sectors declined a wage increase. Labor offensive has been waged in the spring season here, during which employers propose wages to labor unions. A regular, annual wage hike is narrowly kept, but firms in the electric sector, including Hitachi, Ltd. and Toshiba Corp. have decided to freeze the increase for six months, and Toyota Motor Corp. has proposed to reduce bonus amounts by 670 thousand Yen from the sum paid in 2008. The living standard of workers as a whole is anticipated to drop.

Wages are frozen not only in the sectors of automobile and electric industries, but also in the industries of the private railway service, electric power generation and supply, Japan Railways in Hokkaido, Kyushu and Shikoku, and metal, machinery manufacturing, which are major forces of the Rengo. It means the policy of the national center for the 09 Offensive has ended in failure; it intended to secure the regular raise, to add some more to comply with the general price surge in consumer goods so as to keep and improve the living conditions, and simultaneously, to boost domestic demands to activate the national economy.

In the end of March the Rengo announced survey results obtained at 1033 trade unions: a wage hike is \5,363 on the average, or a 1.79% increase, which is less than the figure of last year by \579, or by 0.18%. The average is lower than that of the figures announced on March 18 when many employers rushed to contest the labor’s demands.

Why Was Labor Defeated?

The Nippon Keidanren, or the Japan Business Federation, has a policy not to admit a universal wage hike and has tenaciously maintained the position, while the labor side lost. It had demanded both employment and a wage hike. Why?

President Takagi of Rengo told regrettably: ‘the labor did not have competitive theory and power to collapse the wall of employers. The labor must review the negotiation strategy in the Spring Offensive’. The national center, however, has a contradictory policy: it says that the Rengo is responsible for the political claims while each industry should take responsibility in the economic demands. It separates functions of national center from those of industry unions. Reactionary attacks of the management are combined with the state power, while the Rengo is a federation of in-house unions. There is no possibility to win.

Workers, afraid of unemployment in view of the rapid, world-wide deterioration of economic circumstances today, are reluctant in claiming a wage hike. It is indisputably needed to let workers ready for and confident in the labor struggles; workers should clearly understand the rights of workers, functions of a trade union and the basic relationship between the labor and the capital. Study groups should be organized within an easy reach of workers.

We live in a time when sharp class conflicts have emerged. We must break through the labor-management cooperation regime by united strength of workers by way of learning campaigns.

Excellent Leadership to Seek for Future

Big enterprises have made decisions to deter wages, freeze regular raise and decrease bonus payment, which constitutes a barrier to hinder talks of the labor versus the management of small-and-medium sized companies. According to a report of the Zenroren (=National Confederation of Trade Unions), many of employers presented an increase of 3-7 thousand Yen with an annual raise included. Union workers who do not enjoy a regular hike system were given an answer of 1000-5000 Yen.

Union members are dissatisfied with the results as their wages do not properly meet the living standards. They are not told of a prospect for the future to overcome difficulties. To give the right direction – it is the most important duty for the unions and national center.

The Zenkoku Kowan (=Council of Trade Unions of Port and Harbor Workers), which organizes port workers across the country, demanded the Japan Port & Harbor Association, under the guidance of the said council, a salary of 355,400 Yen as a basic wage for a 40-year-old worker with 22-year in service. The workers went on a strike to win an agreement in the negotiation. Union members are satisfied with the outcomes.

Each industry indispensably should have leaders to organize and unite struggles, encouraging union workers to seek for the better future. The key is leadership.