Globalisation and Job Security: Theoretical and Political Notes on Nigeria

Globalisation and Job Security: Theoretical and Political Notes on Nigeria

Introduction

The topic on the programme is Globalization and Job Security. This gathering of Labour Leaders (of Nigeria Labour Congress Kano State Council) of the Second most significant Union – after COSATU – in Africa is like a political search light meeting on what should be on Trade Union Politics in Nigeria
Therefore the topic is conceived from broader theoretical and political as well as historical perspectives in order to raise important questions which may hopefully continue to be discussed in the labour circle with a view to re-orient trade union struggle in face of neo-liberal globalization.

The Issues
In practice, a process of globalization is being for centuries, but a fundamental question is that which globalization is the current globalization?
Before we come to the answer of this question it is important to note that the immediate past of the present Nigeria, precisely the 1970s, witnessed the globalization of the development of underdeveloped countries. When Multinational Corporations transferred production of goods and services to relatively cheap labour areas i.e. the developing countries including Nigeria.
That globalization was characterised by capitalist industrialization and large-scale farming.
A remarkable change which marked this era was seen by structural transformation of the economy financed by an influx of foreign capital, accelerated expansion of industry and banking, expansion of indigenous capitalism pushed by Enterprises Promotion Decree
The result is the growth and expansion of modern wage system and hence a formation of industrial working-class imbibed with radical ideas to defend the economic and political interests of workers and other oppressed groups of the society.
This brings us to the crucial stage/phase of the history of formations of Trade Union organizations i.e. the phase of rapid growth and expansion.
The records of the working class politics and the successes have revealed relatively better monetary benefits by Nigerian workers and political commitment of the leadership of the Unions to sustain the gains.
The state regulatory regime of labour relations – of a corporatist style – imposed on the Trade Unions, although promoted ideological divisions did not carry away the leadership from the course of workers interests. Only ideological differences on how to achieve the objective set to attain.
The current globalization has reversed the gains of the past – the industries have collapsed; agriculture has largely returned to olden days farm method; the growth of pure industrial workers is restructured, trade unions have lost much of their influences on their members; wages have declined drastically; etc.
Yes! This globalization is distinct from all previous forms of globalization because it is neo-liberal globalization.
Let me share with you not necessarily deep thinking, about the concept of globalization and of neo-liberalism.
Globalization is an enormously controversial concept. Such that talking about meaning of globalization of today would carry our search light through many theoretical perspectives. Generally, it is an economic change but one common notion often referred to in any public gathering is that it is a unified global economic, political, cultural and technological processes in which national states have become virtually dissolved and national authority has lost its meaning.
According to this view:
The world has become a global village;
With a single economic system
That a global ruling-class with global governance institutions operating as global government is already in place
That globalization has made it that something different from capitalism is emerging in which social classes, imperialism and ideology came to an end.
That market and democracy have produced peace and harmony such that institutions of management of conflict of the old order like trade unions are not useful and therefore would disappear. That is globalization. What of Neo-liberalism? I do not want get into the details about the concept of neo-liberalism. In this context it implies market system. The idea is that the market can solve every problem in the best possible way so just leave the economy and the politics to market.
According to this view:
Industrial relations and wages are to be deregulated
Trade is to be liberalized
State is to be little
Everything should be privatized
The current globalisation is neo-liberal globalisation because it is founded on market principles
The reality of the place of labour under this globalisation is that Nigerian workers are confronted by new economic structure created by market economics.
The processes of this system in Nigeria is market by:
First, by wage freeze and now by intended deregulation of industrial relations – through the 2005 labour law
Liberalization of trade which subsequently destroy industry sector
An emphasis on economic competitiveness as the motor of restructuring the economy and
An extended role for international regulatory organizations such as IMF; WB; WTO; etc.
Subsequently a new production regime is emerging:
Most manufacturing industries have collapsed
Those who have survived have done away their old technology and adopt the new ones that do not require much labour force
Because of international competition and more exposure of the economy to global there is less emphasis of manufacturing of mass of consumer goods
The result is that the most prosperous business today is not in traditional manufacturing but in services e.g. communication; banking and other financial business; estate development; and to a smaller extent entertainment industry.
Furthermore, other measures are taken to deregulate labour market and labour relations:
Employment policies are abandoned allowing mass unemployment seen everywhere in major streets of major cities.
Employment protection and privileges are weakened to encourage employment flexibility (casual workers, contract workers; part-time workers; temporary workers).
Thus, labour recruitment outfits have come up to supply workers for private and even public economy
Again, market dictatorship pressures extended in the form of privatization, cuts n government subsidies, retrenchment, etc. has made even those who are employed feel insecure.
I hope by now it has become clearer that as Nigeria’s economy becomes more globalised and marketised, labour becomes threatened by deregulation arising from the adoption of neo-liberal policies.
What is interesting not forget, especially by labour leaders is that these changes are bound to change the composition, structure and politics of the working class.
If organized labour and the leadership is unable to develop and sustain coherent alternative strategies, the neo-liberal globalisation is likely to lead to the decline in the economic and political influence of labour
A simple observation may show evidence of this decline already noticeable in Nigeria:
Union membership has fallen
There are many non-unionised workers in the private sector
What of skilled workers in the modern technology industry that are not part of the unions
The work place influence of local union representatives has systematically waned.
There are more difficulties encountered in encouraging members to participate in union activities.
One perspective in the debate on the options before Trade Unions and their leaders is that only by working towards and committed to competitive advantage offered by market system can organized labour improve working and other conditions of workers.
On the other hand, others argue that such involvement will lead to a deterioration in working conditions and of the union leadership. I think this option is untactical and is belied by reality. It is immature promotion of Keynesianism in a monetarist economy which is inappropriate.
I am not sure if the Nigeria Labour Congress (NLC) has a strategic definition of its relationship with the market system
Its opposition of the market system is not within a framework of a strategic objective to be attained.
So, also the silence on some other policies in the package
I think this is what partly surrounds the ineffectiveness in the formulation and implementation of 2005 Labour Law.
The intention of the 2005 Labour Act was to decentralize labour relations with state and society which could perhaps facilitate for the labour organization to defend the interest of workers against market using market mechanism
Yet, there is a mixed feeling from all the parties to give the law a chance. The market is refused to be recognized to allow it to grow and thrive especially in industrial relations.
Yes! Inspite of policy statements, the Federal Government of Nigeria has refused to allow market to govern, for example, in wages fixing. While the Labour Movement has failed to build the power to control market wages fixing in favour of the working-class.
However, if this would have materialized unions would still have become, trapped into representing capitals interests to their members rather than positioning themselves against the logic of globalisation. But still would strategically engage market to prepare for a future fight.
Additional focus is essential. Not of a socialist revolution but of a kind of a new working-class politics which would build the capacity of unions and their leadership to control market fundamentalism in work places and in the larger society.
The method of promoting this line includes:
Promoting independent Unionism where state wants interfere into union affairs
Unions are to be encouraged to link their demands to those of other unions across the globe.
Leadership and membership come to understand working –class issues in other countries
Return the local union influences in National Union Affairs
Without going back to methods of past struggle these would introduce a new class politics that will challenge neo-liberal globalisation.
Thank you.

I wish you successful retreat


A Lecture delivered by M. M. Yusif,
Department of Political Science, Bayero University, Kano
On the occasion of retreat by NLC – Kano State Council at Fadama Hotel Katsina, Katsina State on 26/07/09