Interim Report - Report No 355, November 2009

Case No 2648 (Paraguay) - Complaint date: 28-MAY-08 - Closed

Allegations: The complainant organizations allege anti-union dismissals and transfers, as well as acts of violence against one woman member

1. 951. The complaint is contained in a communication from the Trade Union of Workers and Employees of Cañas Paraguayas SA (SOECAPASA), the Trade Union Confederation of Workers of Paraguay (CESITEP), the General Confederation of Workers (CGT) and the Paraguayan Confederation of Workers (CPT) dated 28 May 2008.
2. 952. The Government sent its observations in a communication dated 19 June 2009.
3. 953. Paraguay has ratified the Freedom of Association and the Protection of the Right to Organise Convention, 1948 (No. 87), and the Right to Organise and Collective Bargaining Convention, 1949 (No. 98).

A. The complainants’ allegations

1. 954. In their communication of 28 May 2008, SOECAPASA, CGT, CESITEP and CPT state that the enterprise Cañas Paraguayas SA (CAPASA) has committed serious infringements of freedom of association. According to the complainants, the alleged acts date from July 2007, when a number of union members were dismissed, including four who enjoyed security of employment by virtue of their trade union status. The General Secretary of the union, Mr Gustavo Acosta, was subsequently transferred.
2. 955. The complainants add that although two of the union officials dismissed (Antolín Noguera and Erwin Alamada) obtained a court injunction ordering their reinstatement, the employer has high-handedly disregarded this in a manner that shows contempt for duly constituted authorities. The complainants also state that they have made their complaints known to all the competent authorities but have received no reply. The competent ministry convened a tripartite meeting which was attended by all the parties, but no agreement was reached because the employer had no wish whatsoever to resolve the problem.
3. 956. The complainants also allege that in addition to the anti-union acts referred to, there have been instances of verbal and physical assault suffered by one woman member, Juana Erenio Penayo, at the hands of the manager of the operational recruitment department. The CAPASA is in a critical situation. It has some 400 employees, which makes its operating costs very high in relation to its production, and because of this there have been peaceful demonstrations during break periods aimed at drawing public attention to the company’s situation. This is what has prompted the company to carry out mass transfers of workers including some who enjoy trade union protection.

B. The Government’s reply

1. 957. In its communication of June 2009, the Government states that CAPASA informed two workers, Antolín Noguera and Erwin Alamada, that they had been reinstated and an agreement to that effect had been signed. The company notes that in view of the company’s critical economic and financial situation, which had been exacerbated by the hiring of new workers by the previous management, the new management was now obliged to carry out restructuring and lay off a number of employees who did not have a specific function. All of this was in accordance with current labour legislation. Lastly, the company indicates that since 9 July 2008, when the new management took over, no new hiring has taken place.

C. The Committee’s conclusions

1. 958. The Committee notes that in the present case, the complainant organizations allege various acts of anti-union discrimination at the CAPASA. Specifically, they allege the dismissal of four trade union officials (in relation to which the judicial authority is said to have ordered reinstatement which was not implemented), the transfer of Mr Gustavo Acosta, General Secretary of SOECAPASA, and the mass transfer of workers following peaceful demonstrations held to inform the general public of the company’s situation, as well as physical assaults against one woman worker, Ms Juana Erenio Penayo de Sanabria, by a company manager (the complainant organization supplies a copy of the complaint lodged with the national police).
2. 959. The Committee notes that according to the Government, the company has reported that: (1) Antolín Noguera and Erwin Alamada have been reinstated and an agreement to that effect has been signed; (2) in the light of the company’s critical economic and financial situation, which was exacerbated by the hiring of new staff by the previous management, the new management has been obliged to carry out restructuring, laying off employees without a specific function; all of this is consistent with current labour legislation and regulations; and (3) since 9 July 2008, when the new management took over, there has been no new hiring.
3. 960. The Committee recalls that no one should be subjected to discrimination or prejudice with regard to employment because of legitimate trade union activities or membership, and the persons responsible for such acts should be punished and that protection against anti-union discrimination should apply more particularly in respect of acts calculated to cause the dismissal of or otherwise prejudice a worker by reason of union membership or because of participation in union activities outside working hours or, with the employer’s consent, during working hours [see Digest of decisions and principles of the Freedom of Association Committee, fifth (revised) edition, 2006, paras 771 and 780]. Under these circumstances, the Committee requests the Government to take the necessary steps to initiate an investigation without delay into the alleged dismissals of other trade union officials, the transfer of SOECAPASA General Secretary, Gustavo Acosta, and the mass transfer of workers following peaceful demonstrations carried out in order to inform the general public of the company’s situation and further requests the Government, in consultation with the social partners, to ensure effective national procedures for the prevention and sanctioning of anti-union discrimination.
4. 961. The Committee also requests the Government to keep it informed with regard to the investigation carried out following the complaint lodged with the national police regarding the physical assault against Juana Erenio Penayo.
5. 962. Lastly, the Committee requests the Government to ensure respect for the principle that processes of rationalization and staff reduction should involve consultations or attempts to reach agreement with the trade union organizations concerned.

The Committee's recommendations

1. 963. In the light of its foregoing interim conclusions, the Committee invites the Governing Body to approve the following recommendations:
   • (a) The Committee requests the Government to take the necessary measures to initiate an investigation into the alleged dismissals of the other two trade union officials, the transfer of SOECAPASA General Secretary, Gustavo Acosta, and the mass transfer of workers following peaceful demonstrations held in order to inform the general public of the company’s situation. The Committee requests the Government to keep it informed of developments in this regard. It also requests the Government, in consultation with the social partners, to ensure effective national procedures for the prevention and sanctioning of anti-union discrimination.
   • (b) The Committee requests the Government to keep it informed with regard to the investigation carried out following the complaint lodged with the national police concerning the assault against Juana Erenio Penayo.