Lindsey crisis in Britain

When Britain Sneezes

Few weeks ago British workers struck heavily against a 200 milion pounds contract signed between Total and IREM, an Italian firm. According to the contract IREM would have employed around 400 non-British workers on a Total oil refinery plant in Scotland, with much resentment of the local and national workforce. European laws clearly speak in favour of the agreement but this episode represents an early symptom of a more acute disease, at a moment when EU political cohesion is running low and disputed European elections are on their way


By FABRIZIO COLIMBERTI
from Palermo, ITALY


The morning of the 28th of January hundreds of workers began striking outside the Lindsey oil refinery, a factory in North Killingholme, Scotland, owned by the French firm Total. By January 4th, approximately 6000 other workers across all Scotland, England, Wales and Ulster had decided to strike in support of the Lindsey workers.

The causes of the strike seemed to be clear, at least outside the Total establishments. What pushed people on the streets was the decision of Total's management to subcontract the works to extend the plant with a desulphurisation unit to IREM, a Sicilian firm. IREM had just shipped about 100 Italian and Portuguese workers to the site when local worker's rage erupted in a series of sit-ins and assemblies.

Britain in recession: the politics of patience

Political reactions took off fast. As reported by The Independent, at the annual World Economic Forum Prime Minister Gordon Brown said he understood "people's worries about their jobs" and their "anxieties about employment", and that the Government would stick to promote growth and create employment. At the same time, Business Secretary Lord Mandelson, a former European Commissioner with a proven track-record as free trader and pro-globalisation officer, warned against protectionist measures and defended the legitimacy of IREM and Total's actions.

On The Guardian, Tory leader David Cameron claimed that the workers were posing "legitimate questions" on the firm's behaviour and replied reminding Brown's pledge of "British jobs for British workers", a slogan borrowed from the British National Party, a nationalist, xenophobic and anti-immigration party. Brown and Cameron repeatedly accused each other of populism. An inquiry carried by the conciliation service Acas, put up by the Government to verify eventual wrongdoings by the firm's management, disclaimed the idea that foreign workers were hired on the promise of lower salaries. Overall, in the national debate prevailed a certain embarrassment with the disputed actions.

A matter of context

The Lindsey episode represents a new chapter in the account of the job crisis that is hitting Britain. According to the Office for National Statistics, unemployment rate grew 6.3 per cent, 1.1 points up since last year. The number of unemployed people reached the peak of 1.97 million, the highest in a decade. Despite being better figures than those of the previous 1980s and 1990s recessions, the UK is one of the countries suffering the highest relative impact of the financial turmoil.

Strikers seemed not to have much room for arguing their cause. European laws are clear with regards to such aspect of the labour market; "freedom of movement for workers" has been a condition for EU membership since the first treaty, in 1957. The so-called 'posted workers directive' of 1996 allows IREM to dispatch foreign workers on Scottish soil 'simply' by following local regulations. Yet, there they were, thousands of spontaneous walkouts that, even if not unlikely many others in British recent history, struck the attention of European and international media.

Remarkably, no high profile politician in England, nor in Europe, answered directly the political questions these episodes posed. Protesters' rhetoric addresses the disillusionment with the ruling Labour Party and the endemic national dissatisfaction with its European Union membership. As the economic crisis persists, what is at stake is a labour and welfare model that Britain has followed in the last decade and that, Labour or not, is very likely to be followed for a long time to come. Put it another way, as Derek Simpson, Secretary General of Unite, the largest UK's Trade Union, said to the Guardian: "The problem is not workers from other European countries working in the UK, nor is it about foreign contractors winning contracts in the UK. The problem is that employers are excluding UK workers from even applying for work on these contracts". In the post-ideological landscape that dominated British politics up until yesterday, a matter of class conflict seems to be having strong consequences.

...and there comes the EU

What is also relevant is that this represents a serious matter not only for Britain, but for all Europe. The de facto consensual and 'centrist' Brussels governance might be at a standstill. All European institutions have been struggling with answers at almost every chance they have had of intervening. With large numbers of foreign workers coming in great numbers every year (the pre-crisis forecast for 2009 was set to 200,000 of foreign workers), Britain had set an example of social integration, flexibility and growth. Should Britain reveal itself to be an unsustainable model, not economically but simply politically, a backlash would be inevitable in Brussels.

European elections next June will therefore be the first testing ground of a growing discontent. Turnout is set to be particularly low, and this will advantage left and right wing parties, not only among British voters. The future of the Lisbon Treaty, the relationships with the Eastern block and with the countries currently holding membership talks are only some of the issues that might suffer the most.

On February 9th the strikes were officially over, at least in Lindsey, and public opinion has calmed down, at least for now. Total promised to extend the new contract by hiring 100 extra British workers. Yet, most of the questions raised by the protesters remain unanswered. As a matter of fact, the only viable solution for the Government is the tightening of the forthcoming bill set to introduce an Australian-style points-based immigration system that will penalise unskilled foreign labour. Critics say the measure will prove to be ineffective, especially considering that immigration is slowing down as a result of Britain and European difficulties in coping with the crisis. Nonetheless, many ask what would have happened if Total had not reached such agreement with the unions, and the obvious question is what will happen to companies without Total's resources. Companies all over the UK might think twice holding talks with foreign companies and hiring foreign workers, even under economically sound premises. One might wonder what good could this do to anyone.


(Published: 10.03.2009.)