Saturday, January 28, 2006

Union Free State Capitalism

Neo-liberal state capitalism is not nationalized industry operated by the state, instead its the state funding of private capitalism.

In this case it's the Nova Scotia government funding the French Multinational Michelin which proudly proclaims itself 'Union Free'.

For Nova Scotias decades of investment, over $80 million dollars ,one would expect that workers who pay the taxes to support Michelin would have the right to unionize. But no such luck under neo-liberal state capitalism the state puts impediments in the way of unionizing.

Union at the gate, but Michelin to pump millions into Nova Scotia ... CBC News

Organizing the Michelin workers has been a tough struggle for unions, due largely to a law known as the Michelin bill requiring activists to organize workers at the entire organization in the province, rather than on a plant-by-plant basis. The Canadian Auto Workers have tried repeatedly to unionize despite the law, with the last attempt collapsing five years ago.


Usually it's he who pays the piper that calls the tune. But not with neo-liberal state capitalism, it's the government that gives the carrots; tax breaks and investment capital, and business that carries the big stick; threats to relocate refusal to accept unionization, environmental restrictions, regulations, etc.

Nova Scotia will spend another $10.8 million to back Michelin's expansion plans in Waterville. The company says this means 75 new jobs.

Wow what a deal. That works out to an investment of $133,333,333 per job.


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