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Company Telefonica Chile, subsidiary of Telefonica Group from Spain, was accused of violating union rights and the fundamental right to decent work. Alejandro Lipschutz Science Institute (ICAL) from Chile will submit a case before the Permanent Peoples´ Tribunal to be held in Madrid, Spain, in May 14-15.
According to ICAL, the actions of this transnational company are incompatible with ILO agreements which were ratified by Chile.
The Permanent Peoples´ Tribunal, a non-binding space, will session at the Peoples Summit Enlanzando Alternativas 4, to be held from May 14th-18th. This summit is organized by the Biregional Network Europe-Latin America and the Caribbean, which is made up by representatives of the European, Latin American and Caribbean civil society. It is a space which aims to contribute with the building of a world based on peace, participatory democracy, social justice, human rights, food sovereignty, environmental sustainability and self-determination of the peoples. The social movements and organizations reject trade policies that Europe wants to impose on Latin America, and the role of European corporations in the region.
According to information submitted by ICAL, Telefonica Chile has been persecuting union leaders who organized themselves to protest the modifications designed by the company. The transnational company has been sanctioned for its anti-unionist practices by the Labor Department in 2006, 2007 and 2008.
Through different changes in the production, labor and commercial dynamics, Telefonica Chile has increased their profit in exchange for a high externalization of their operations.
The company has had the support of Chilean neoliberal governments. According to the document submitted by ICAL: “Telefonica Chile has been receiving support from Spanish governments through political and trade agreements with Chilean governments, who share a neoliberal position”. “The relationship between the Spanish government and the company has provided strong economic and legal guarantees to investments in Chile”.
Chile has favoured investments of transnational corporations by adapting its economy to free market. The economic policies implemented in the last 30 years have made foreign direct investment fundamental, in addition to initiatives favoring trade agreements with the US and the European Union.
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