News
India suspends FDI Plan

UNI Global Union says the decision by India’s government to put on hold the plan to open up its $450 billion retail market, without implementing proper safeguards, is a victory for common sense. The step down has been confirmed by parliament following widespread protests. 250,000 markets were shut down during a day of action last week and more than 50 million shopkeepers nationwide closed as part of the general strike to force the government to reverse its decision.
UNI Global Union General Secretary, Philip Jennings, said, “The government has listened to the voice of the people and we welcome this call for a breathing space. Any decision which gives supermarkets such as Walmart the right carte blanche to come in without a full analysis of the consequences would be wrong. Walmart has a history of political bullying but this time it has overplayed its hand. This decision has to be properly reviewed and a sustainable alternative developed in its place with the full consultation of all the stakeholders.”
UNI Global Union says that with more breathing room the authorities can take into account the global track record of the multinational giants and ensure that conditions are put in place sufficient to guarantee that communities, workers and the broader Indian economy will benefit from their entry into the Indian market.
Karthik Shekhar, who is coordinating UNI’s activities in India on FDI and multi-brand retail said, “UNI will be making a formal submission to the government consultation process on FDI and seeking to open a direct dialogue with the government. We are continuing with our direct engagement by working with our affiliates and partners on the ground. We will endeavour to ensure that any future FDI plan has all the necessary safeguards in place in terms of monitoring and protection of the supply chain.”
Some retailers, such as Carrefour and Metro, have signed Global Agreements with UNI or started positive dialogue with the aim of guaranteeing fundamental worker rights around the world. However Walmart has taken a strong anti-union stance in its home country, the United States, and repeatedly refused to engage in discussions with UNI to protect workers’ rights.
In South Africa, UNI's affiliate the South Africa Commercial, Catering and Allied Workers Union (SACCAWU) and three agencies of the South African government are waiting for the appeal court decision on whether Walmart should be allowed to take over South Africa’s Massmart company and under what conditions. They argue that Walmart does not respect labour rights and the merger would bring job losses and seriously damage domestic suppliers. UNI says that if Walmart is allowed a free run in South Africa or India without proper consideration, the risks have to be taken fully into consideration.
UNI Global Union has more than 20 affiliate unions in India representing millions of workers across a wide range of service sectors. UNI represents 20 million members in the skills and services sector worldwide.