Labour party (re)formed
As Thailand convulses under its worst economic turmoil in decades, a group of union leaders are organising what the political spectrum here has always lacked: a party to represent labour interests. The party will target low wages, a central plank of the Thai elite's "competitive" strategy. Given Thailand's long history of repression of working class movements, the party faces an uphill climb in a political scene dominated by big business and the military. Satya Sivaraman*
The new organisation, called the Thai National People's Party, is a reincarnation of the Labour Party that made its debut in the general elections of November 1996, but failed to win any seats. Party leaders blame their poor performance on obstacles like late registration by government officials. Under Thailand's complex electoral laws, the Labour Party has to seek fresh registration since it did not win seats in the last elections.
The new party does not have the money or muscle of Thailand's 10 mainstream political parties, which are either part of the ruling coalition or in the opposition. But it comes at a what may be the right time -when a major crisis is looming on the country's labour front.
Many workers have been laid off or forced to take pay cuts since early 1996, when the Thai economy slowed down after nearly a decade of fast-paced growth. The flotation of the Thai baht on July 2 led to the currency's devaluation by nearly 25% and spurred fears of runaway inflation.
The Thai Ministry of Labour expects more than 40,000 workers to be laid off during 1997 alone. The figure is projected to more than double next year, when the full impact of the economy's troubles will become evident.
While traditional industries like textiles are shedding jobs due to a fall in exports, many companies in newer sectors like property and finance are expected to declare bankruptcy due to excessive exposure to foreign and domestic debt.
"We are very apprehensive about the future and feel that the best way to represent workers' interests is through a new political party - mere trade unionism is not enough any more," says Pakdee Tanapura, advisor to the new party and the National Labour Congress of Thailand (NLCT). 24 International Viewpoint #292
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Apart from overcoming obscure laws that prohibit unions from undertaking political activities directly, the party will help clear misconceptions about the true nature of workers' problems, he said. Wages are the central question
Thai businessmen and foreign investors have repeatedly blamed what they see as high minimum wages for falling exports. But union leaders argue business costs have gone up more due to corruption among politicians and government officials and less due to minimum wages, which after the devaluation are less than five dollars a day in the Bangkok metropolitan area and even lower in the provinces.
In May, union leaders like Chin Thubplee, founder of the new party and NLCT chair, demanded a hike of 64 U.S. cents in minimum wages across the country. These demands are likely to rise because of the baht's devaluation and inflationary pressures on prices.
The Bank of Thailand recently reported that the minimum wage in nominal terms rose by only 7% between 1985 and 1995. "Wage restraint: was a main factor in the price competitiveness of the manufacturing sector: Still, Thai businessmen, particularly in labour-intensive industries like footwear, toys and garments, successfully lobbied the government to allow the import of large numbers of even cheaper foreign labourers.
Competition from migrant workers, estimated at one million over the past decade, is resented by Thai unions. Activists fear that if not properly controlled, such anger may boil over into anti-immigrant violence as the economic crisis worsens. Decades of repression
In the 1930s and 1940s, Thailand had an active labour movement with several large strikes, a labour federation claiming 70,000 members and an active communist party. But since the late 1940s, successive dictatorships have either suppressed unions or manipulated them for political aims by showering them with privileges. To prevent the politicisation of workers, military rulers passed special laws banning unions' association with political parties. "Historically successive Thai governments have prevented any mature political leadership from emerging within the country's labour movement," says Voravidh Charoenlert, labour economist at Bangkok's Chulalongkorn University. Thai bureaucrats and managers have traditionally viewed unions as a "fifth column" for communist party activists.
The political space open to the labour movement has expanded only since the late 1980s, due to the changing political and economic climate. Given the chance to vent grievances for the first time in decades, the number of strikes in the private sector has also risen sharply since then. Still, Thai unions lack unity nationwide. This weakness that means workers are unable to monitor implementation of labour laws, and to take full advantage of the new political freedoms.
Thailand's rate of unionisation remains one of the world's lowest. Even in the industrial sector, only 1.7% of some 16 million workers are organised. The figures are even lower in agriculture, which employs more than 17 million people. Even these small number of unionised workers do not have a single voice. According to Thailand's Ministry of Labour and Social Welfare, by the end of 1995 there were 19 labour union federations and eight labour union councils.
"With the new political party we hope to unite labour under a common platform to address the various problems facing us," says Chin. He admits the task will not be easy. But he believes more workers are frustrated with current leaders and want new political direction.
At the same time, union leaders fear that any increased political activity by workers' groups could become an excuse for authoritaran measures by conservative elements in the Thai government and military against unions and activists. Political assassinations were routine in the sixties and seventies. And even in the nineties several Thai worker and farmer leaders have been assassinated by suspected police agents. Chin says the Thai government has already drawn up a list of 10 union leaders, including him, for the police to keep watch on. Such harassment could be the prelude to increasing conflict between workers and the authorities, especially if Thailand's economic woes worsen. * The author works for InterPress Service. Source and Copyright: InterPress Service (1997).
Hong Kong/Thailand *