PAKISTAN WORKERS FEDERATION SECRETARY GENERAL CRITICAL OF

UNCLAS SECTION 01 OF 02 ISLAMABAD 000857 SIPDIS SENSITIVE SIPDIS E.O. 12958: N/A TAGS: ELAB ETRD PGOV SOCI PREL PK SUBJECT: PAKISTAN WORKERS FEDERATION SECRETARY GENERAL CRITICAL OF GOVERNMENT INATTENTION TO LABOR RIGHTS ¶1. (SBU) Summary: In a February 13 meeting with Economic and Commercial Affairs Counselor, Pakistan Workers' Federation (PWF) Secretary General Khursheed Ahmad criticized the Government of SIPDIS Pakistan's (GOP) economic and labor policies, accusing them of "taking for granted that labor doesn't matter." The PWF, Pakistan's largest civil society organization outside of political parties, is not aligned with any party and encourages its workers to vote for pro-labor candidates. The PWF leadership's primary goal is to keep the labor movement united and independent. Ahmad was generally positive about the United States but criticized the role of "feudal families" in hindering political development in Pakistan. End Summary. ¶2. (SBU) Economic and Commercial Affairs Counselor and Commercial Specialist met with Pakistan Workers' Federation (PWF) Secretary General Khursheed Ahmad at the Federation's headquarters on February 13 in Lahore to discuss the union's activities and prospects. Ahmad, who began as a shop steward in 1947, has been PWF Secretary General since 1972 and currently sits on the International Labor Organization (ILO) Governing Board. The dues-funded PWF has 800,000 members, 97 percent of whom are male. The PWF is Pakistan's largest labor federation and constitutes the country's largest civil society organization outside of political parties. ¶3. (SBU) Ahmad's major concern is to keep the labor movement united and independent. The PWF is not aligned with any political party and encourages its workers to vote for pro-labor candidates. The PWF's labor manifesto focuses on education, equal rights for men and women and improving social safety programs. The PWF approached each of the political parties prior to the February 18 parliamentary elections, advocating the inclusion of the PWF manifesto in party platforms. The country's political parties all have labor wings, Ahmad explained, and cited the Jamaat-e-Islami's labor wing as being particularly strong. Ahmad also criticized the MQM (Muttahida Qaumi Movement) for wanting to go one step further and form its own labor union. ¶4. (SBU) Secretary General Ahmad was very critical of the Musharraf government's economic policies and its effects on the working class, most notably inflation and increased unemployment. He noted that a growing number of firms were closing due to power outages. He also drew a connection between the worsening political situation and its negative effects on exports, citing that "textile buyers are no longer coming to Pakistan." Ahmad further opined that the military government "has held the development of the political process back" and that the politics are "dominated by capitalists and feudal families." Ahmad faulted the Government of Pakistan (GOP) for not engaging more actively with organized labor, reportedly "taking for granted that labor doesn't matter." Ahmad also targeted the World Bank, criticizing its emphasis on deregulation and privatization without the creation of a social safety net. "The workers are being ignored and there is no dialogue with the unions," Ahmad lamented, citing in particular the privatization of Pakistan National Bank (PNB),Pakistan Telecommunications Company (PCTL) and the Karachi Electric Supply Company (KESC). ¶5. (SBU) Ahmad was disparaging of provincial government decisions to suspend surprise labor inspections, but was not optimistic that this decision would be changed any time soon. Since 2003, labor inspections have been heavily regulated in Punjab, Sindh and the Northwest Frontier Province (NWFP). Inspection teams must request permission from provincial chief labor inspectors prior to visiting factories. Local businesses are informed in advance of impeding inspections, limiting the effectiveness of the labor condition monitoring. Inspections with advance notice, Ahmad commented, simply do not have the same effect. ¶6. (SBU) Ahmad did, however, share his POSITIVE impressions of corporate social responsibility programs underway in the export sector. It is important to learn from the Saga experience in Sialkot, he continued, crediting Nike's decision to halt soccer ball production for increasing the visibility of the issue of core worker rights. (Note: In November 2006, sporting goods manufacturer Nike ceased doing business with SAGA sports, a major supplier of soccer balls based in Sialkot, due to child labor concerns. End Note.) Ahmed reacted positively to the idea of Reconstruction Opportunity Zones (ROZs),in particular to the worker rights provisions that would accompany the ROZs. He promised to publicly support the initiative once legislation is introduced, highlighting the potential benefit for better working conditions. ¶7. (SBU) In response to questions about child labor in Pakistan, ISLAMABAD 00000857 002 OF 002 Ahmad regretfully admitted that in many cases, economic necessity drives families to send their children to work. He acknowledged that the child labor situation was much better now in the carpet industry, thanks to ILO programs. Employer awareness has increased, and the government and the ILO have set up schools for children once employed in the carpet industry. ¶8. (SBU) Comment: Ahmad was clearly pleased to meet with Embassy representatives and appreciative of the support that the U.S. has given the labor movement over the years. The PWF has remained more or less apolitical since its formation, reluctant to enter the political fray or endorse specific candidates. By sheer numbers alone, however, the PWF has the potential to influence millions of households and voters across Pakistan. The Federation's leadership is, by all indications, secular, progressive and pro-American in its orientation. Despite the organization's size and potential, it is clear that Ahmed is not in a position to breathe new life into Pakistan's labor movement or to make it a force for social change in the short term. End comment. PATTERSON