The Class Struggle

Protesters march against cutbacks
Campaigners from across South Ayrshire are to march through Ayr town centre to protest against council cuts.
They are angry at the closure of Girvan swimming pool and the Gaiety Theatre, two sports barns and registrar's offices in Maybole and Troon.
The minority Conservative-led council said it was spending £8.5m more in 2009/2010 than it did in the last financial year. But it said it had to take tough decisions to balance its books
When the capitalists system finds it is not so profitable it reduces the benefits available to the community, people protest, but unfortunately, a downturn in the economy means the community at large must suffer, the more active will miss the swimming pool and sports barns, however, maybe when the forecasted upturn comes around, the councillors will promise to open them up again if you vote them in.
Unfortunately this has been the roundabout workers up to now have allowed themselves to hang on to, as socialists we say workers can provide all their needs by a system of common ownership which we call socialism.

HOMELESS AND CLUELESS

The number of properties in Britain lying empty is set to pass 1 million

Politicians of all the major political parties have "solutions" for what they call the "homeless problem". In fact there is no homeless problem, what we have is a poverty problem. Here is a recent press story that shows that there are plenty of empty houses available if you have the money. "The number of properties in Britain lying empty is set to pass 1 million. New figures will show that Britain is on course for a record number of houses and flats lying empty. Some of the rise has been caused by home owners facing repossession. Other empty homes were bought by property developers who have since struggled to raise the money to renovate and furbish them for occupation." (Daily Telegraph, 10 February) RD

GRAVE MATTERS

Most workers inside capitalism live miserable poverty-stricken lives but even in death the indignity of poverty follows them."More people are dying alone without family or friends willing or able to pay for burials and cremations, leaving the taxpayer to pick up the cost of "paupers' funerals". Local authorities across Scotland have seen a sharp rise in the number of both older and younger people dying without funds. In Edinburgh there has been a 46% rise in the number of "national assistance" funerals - those paid for by the state - up to 153 a year, while in Glasgow there has been a 10% rise to 96. Aberdeenshire council is now dealing with one a week. A similar pattern is being witnessed in England and Wales, resulting in estimated annual costs of more than £4m for councils." (Observer, 15 February) RD

inescapable burden of debt

Up to five million homeowners could be in negative equity by the end of this year if house prices continue to fall, research has claimed

Andy Thwaites, director of insight at GfK Financial, said: "The shift to negative equity has the potential to be a mammoth welfare disaster for the nation, particularly when so much of the population has recently relied on the capital appreciation in their home to supplement their lifestyle, consolidate debts and fund retirement.The reality is that if there are further job cuts, the problem will become significantly worse."

The average person approaching Citizens Advice for money advice owed £16,971, the organisation said. It would take around of 93 years for people contacting a debt charity for help to repay their borrowings at an affordable rate.

"Low income, combined with irresponsible lending, unreasonable debt collection practices and badly informed financial decisions are at the root of many of our clients' debt problems." David Harker, chief executive of Citizens Advice said " The reality is that they are condemned to a lifetime of poverty overshadowed by an inescapable burden of unpayable debt."

BORDERS AND BEREAVEMENTS

Socialists want a new world without borders, nationalism or any other of the nonsense of capitalism."Russia has expressed its regret over the deaths of eight Chinese and Indonesian sailors whose ship was fired on by Russian forces. But Moscow blamed last week's incident squarely on the ship's captain. The New Star, a Sierra Leone-flagged ship, sank soon after a Russian warship fired on it off the port of Nakhodka in the far east of Russia. China's foreign ministry issued a strongly-worded protest to Moscow, demanding a full investigation. But Russia says the Indonesian captain illegally crossed its border." (BBC News, 21 February)
The families of those workers from China and Indonesia who lost their loved ones did so because of the insane capitalist society that splits the world into borders and countries. Inside world socialism that would be impossible. We are all brothers and sisters - nationalism is nonsense. Too late for our Chinese and Indonesian workers though, but their deaths make us want to work even harder for world socialism - a society without countries or borders. RD

CAPITALIST PRIORITIES

Despite the economic crisis in the US the government recently announced an increase in its military budget. "The collision of modern American life with the worst financial crisis since the Great Depression has had some strange and unintended consequences. In Alpine, Utah, for example, a school has cancelled the entire 6th grade, with the teachers at Mountainville Academy dismissed just before Christmas and the 12-year-olds merged with the 7th grade." (Times, 21 February)
That is the priorities of capitalism - keep up military expenditure to protect the owning class's markets and sources of raw materials, but sack teachers and worsen the education of worker's children RD

We always said bankers were *ankers

When giving evidence to the Treasury Committee on 10 February, the former chief executive of Royal Bank of Scotland, Sir Fred Goodwin said: "My pension is the same as everyone else in the bank who is in a defined benefit pension scheme. It is determined in the same way as anyone else."

It emerged that Sir Fred is drawing a pension of £650,000 a year. Although he is only 50, he is entitled to the payment for life, with a pension pot worth £16 million.

Royal Bank of Scotland (RBS) has announced the largest annual loss in UK corporate history. RBS, which had to be bailed out by the government last year, said that its 2008 loss totalled £24.1bn ($34.2bn). Reports had suggested job losses could total 20,000.

Sir Fred's strategy and decision to buy ABN Amro is widely seen as making the bank more vulnerable to the credit crunch and having to be bailed out. The bulk of the losses came as RBS made a £16.2bn write-down on poorly performing assets, mainly resulting from its 2007 takeover of ABN Amro.

Yes , indeed , a well-deserved pension and well-earned luxury for life while all those sacked will struggle on the dole to pay the bills and pay the mortgage but unlike the belated grumblings of Chancellor Darling , Socialist Courier was reporting and condemning Goodwin's feather -bedding way back in August 2007 and October 2007 and March 2008 .

Running fast to stay still

Lord Mandelson introduces the Royal Mail bill in the House of Lords

The working class has always to struggle to achieve benefits, the capitalist class will always attempt to erode any benefits when there is a downturn in business, contrast the billions of pounds given to banks with the government dealings with the post office

The Government today launched controversial proposals to part privatise the Royal Mail, sparking a fresh row over its plans to sell off part of the business.
It’s the way I tell them as the Irish comedian says, when it’s workers benefits the government have Lord Mandelson telling us on Wednesday he was determined not to walk away from the plans, despite the "political pain" - adding that without new investment the Royal Mail was in danger of running out of money.
He argues that the taxpayer cannot be expected to fund potential liabilities in the region of £8bn without seeing an improvement in the performance of the company.
The BBC's political editor, Nick Robinson, said that by introducing the bill in the House of Lords, the government had given themselves a couple of months to try to win the argument.
The Communication Workers' Union accused the government of trying to "scare" MPs into voting the plan through, by publishing a letter from Royal Mail pension fund trustees warning that it faces disaster if the sale does not go through.

capitalism makes you sick

Long working hours may raise the risk of mental decline and possibly dementia, research suggests

The study found that those working more than 55 hours a week had poorer mental skills than those who worked a standard working week.
Lead researcher Dr Marianna Virtanen, from the Finnish Institute of Occupational Health, said: "The disadvantages of overtime work should be taken seriously."

It is not known why working long hours might have an adverse effect on the brain. However, the researchers say key factors could include increased sleeping problems, depression, an unhealthy lifestyle and a raised risk of cardiovascular disease, possibly linked to stress. The effects were cumulative, the longer the working week was the worse the test results were. Employees with long working hours also had shorter sleeping hours, reported more symptoms of depression and used more alcohol than those with normal working hours.

Professor Mika Kivimäki said "It is particularly important to examine whether the effects are long-lasting and whether long working hours predict more serious conditions such as dementia."

Professor Cary Cooper, an expert in workplace stress at the University of Lancaster, said it had been long established that consistently working long hours was bad for general health, and now this study suggested it was also bad for mental functioning.

"But my worry is that in a recession people will actually work longer hours. There will be a culture of "presenteeism" - people will go to work even if they are ill because they want to show commitment, and make sure they are not the next to be made redundant."

Harriet Millward, deputy chief executive of the Alzheimer's Research Trust, said: "This study should give pause for thought to workaholics..."

capitalist crisis kills

With South Korea about to enter its first recession in a decade and exports suffering their biggest ever drop, the country's health ministry has launched a suicide prevention program. South Korea's suicide rate nearly doubled during the Asian financial crisis 10 years ago with experts blaming it on stress caused by job and income losses.
"There is a fundamental connection between economic hardships and our high suicide rate," said a ministry official
In South Korea, a commuter train operator is even installing doors blocking access to railway tracks due to a sharp increase in people committing suicide by jumping in front of trains.

Millions of people in Asia have lost their jobs and retirees and other small investors have lost their life savings due to plunging stock markets and the collapse of investment funds. Asian governments are setting up hotlines and counseling centers to help those hit hardest by the financial crisis and the subsequent economic downturn.
Paul Yip, a mental health and suicide prevention specialist in Hong Kong, has seen a jump in the number of patients coming to his clinic for help to cope with the downturn.
"Work is very important to the Asian because we don't have very good social security and losing one's job is associated with the loss of 'face'. So the trauma can be great,"
Hong Kong started special hotlines in October for people suffering from the financial crisis and it opened "depression clinics" in some public hospitals this month.
"The clinics were opened in expectation of more people suffering depression because of the crisis. The government has also ordered more anti-depression drugs," said William Chui, education director at the Society of Hospital Pharmacists.

In Japan, some half a million contract workers are expected to be laid off in the six months until April. The industrial center of Aichi in central Japan, home to Toyota car factories and other manufacturers, has been particularly hard hit.An official in Aichi said the number of people bringing their problems to mental health centers rose by nearly 15 percent in December, compared with the same period in 2007. Japan's suicide rate rose sharply during a severe recession in the late 1990s when guarantees of lifetime employment collapsed, there were mass retrenchments and university graduates struggled to find jobs.

CRISIS? WHAT CRISIS?

"At an exclusive soiree tomorrow evening at an upmarket London bar, an elite circle of VIPs will sprawl on velvet beds as they receive relaxing, complimentary massages. Around the corner at an equally glamorous event, guests will be entertained by circus performers and big-name DJs as they sip champagne. Most of Britain may be in cost-cutting mode as the recession worsens, but it seems that someone forgot to tell the fashion industry. London Fashion Week kicked off its 25th anniversary celebrations by popping bottles of Moet et Chandon before 10am yesterday, and fashion labels promised a weekend of opulent and expensive parties." (Times, 21 February) RD

A GLOOMY VIEW OF CAPITALISM

Socialists are often accused of painting too bleak a view of how capitalism operates, but even members of the capitalist class are in despair about the present capitalist crisis.

"Renowned investor George Soros said on Friday the world financial system has effectively disintegrated, adding that there is yet no prospect of a near-term resolution to the crisis. Soros said the turbulence is actually more severe than during the Great Depression, comparing the current situation to the demise of the Soviet Union. He said the bankruptcy of Lehman Brothers in September marked a turning point in the functioning of the market system. "We witnessed the collapse of the financial system," Soros said at a Columbia University dinner. "It was placed on life support, and it's still on life support. There's no sign that we are anywhere near a bottom." His comments echoed those made earlier at the same conference by Paul Volcker, a former Federal Reserve chairman who is now a top adviser to President Barack Obama. Volcker said industrial production around the world was declining even more rapidly than in the United States, which is itself under severe strain."I don't remember any time, maybe even in the Great Depression, when things went down quite so fast, quite so uniformly around the world," Volcker said." (Yahoo News, 21 February)

The truth is that capitalism operates on a slump and boom cycle and no capitalist can accurately forecast how it will operate. RD

THE NEW GOLD RUSH

At the beginning of the last century Jack London wrote many novels and short stories about the Gold Rush. They were tales of adventure and heroism. Today we are experiencing another Gold Rush, but this time it is not about bravery, it is about fear and panic. "You know that something is going very badly when the bestselling investment is a metal that is good for nothing except to cap rotten teeth and repair fragile relationships. The price of useful metals, such as copper and aluminium tumbled yesterday, but gold futures in New York rose above $1,000 per ounce. ...This rally is about hoarding. That is what makes it scary and it is the reason why it is likely to continue till more optimistic economic news drives investors to more productive investments. Only 11 per cent of the annual 3,600 tonnes of gold consumed has any useful application, such as dentistry or electronics. The great majority of gold sold, about 60 per cent, is for jewellery and the rest is hoarding - investors buying bullion and ordinary people buying bars and coins. ...This gold rush is all about fear ." (Times, 21 February) RD

Food for Thought

According to the Lancet nutrition series (January 2008), 178 million children under 5 suffer from nutritional deficiencies - 55 million acute and 19.3 million severely acute (wasting).
Unlike many diseases, malnutrition has a cure - a balanced diet, regular consumption of fortified foods, supplements when local foods don't have the nutrients needed, and animal-based products like milk, fish, eggs and cheese.
One solution is to increase spending on nutrition. According to the Lancet nutrition series, $300 million a year is spent on nutrition while $6 billion is spent on HIV/AIDS.
"Nutrition can only be sustainable if people ultimately pay for it," said Dr. Alfred Sommer, dean emeritus of the Johns Hopkins Bloomberg School of Public Health.
What he means is for people to pay in pounds and pence, dollars and cents. No matter how well meaning those experts and NGOs are, they are bound by the confines of the capitalist system and the most obvious solution of actually providing such nutrition freely is simply beyond their ken. ajohnstone

LABOUR IN ACTION

The World Bank recently estimated that 2.8 million children could die by 2015 if the global financial crisis is not checked. Commenting on this the Prime Minister Gordon Brown commented:
"It is as if the entire population of Rome were to die in the next five years."
(Times, 21 February)
This from the leader of the Labour Party who vigorously defend the killer society that is capitalism! RD

Who Pays for the Crisis ?

A 100,000 people have taken part in protests in Dublin to vent their anger at the Irish government's handling of the country's recession. They oppose plans to impose a pension levy on 350,000 public sector workers. Reports say the plan could cost the 350,000 public sector workers between 1,500 euros and 2,800 euros (£2,500) a year.
Ireland, which was once one of Europe's fastest-growing economies, has fallen into recession faster than many other members of the European Union. The country officially fell into recession in September 2008, and unemployment has risen sharply in the following months. The numbers of people claiming unemployment benefit in the Irish Republic rose to 326,000 in January, the highest monthly level since records began in 1967.
Trade union organisers of the march said workers did not cause the economic crisis but were having to pay for it.

"I've a mortgage to pay, I've children to put through school, and now I'm being told I have to take cutback, after cutback, after cutback." said one protester

"Our priority is about ensuring that people are looked after, the interests of people are looked after, not the interests of big business or the wealthy," Sally-Anne Kinahan, Irish Congress of Trade Unions secretary general

Grand sentiments from a trade unionist but always there must be added a caveat and it was from Karl Marx - that trade unions can only offer defensive strategies against the encroachments of capital and it is only when the working class recognise that it the abolition of wage labour and the whole stinking system of the capitalism that their real interest will be served .

CONSPICIOUS CONSUMPTION

The contrast between the lives of many workers surviving on $1 a day and the filthy rich was well summed up by this newspaper article.
"Perhaps more than any other commodity, fine wine came to symbolise the conspicuous consumption of life BC - Before Crunch. Barely a month went by without some extravagant tale of vinous excess. Most famously there were the "Barclay Six", the bankers who ran up a £42,000 wine bill at one of Gordon Ramsay's restaurants, but they were examples of a decade-long phenomenon. The sheer perversity of spending so much money on something so ephemeral seemed to be the very point of such orgiastic spending. The rich could, almost literally, piss their money away. Or just spray it on the walls, which are how one bonus-fuelled investment banker disposed of £21,000 of Crystal champagne in the London club, Movida."
(Times, 19 February) RD

Smoke and Mirrors

One of the striking fetures of this crisis is the seeking out of scapegoats . And for the government the culprits are those bonus-greedy bankers . Simplistic explanations of the inherent instability of capitalism . A simple search of this blog will reveal that Socialist Courier has been exposing those overpaid bankers long before this crisis appeared , something Brown and Darling were at the time turning a convenient blind eye to. ( note though , Socialist Courier doesn't take credit for predicting the crash ) . So bonuses are to end but what else - very little .

As always the people who will be paying the real price of this slump , is not the rich but it will be the working class - once more .

The Scotsman reports
HOMES were repossessed at the rate of 110 a day last year – but experts warn the figure could double this year as the recession puts hundreds of thousands of homeowners at risk of defaulting on their mortgages.Figures released yesterday by the Council of Mortgage Lenders (CML) revealed that 40,000 homes across the UK were seized in 2008, a 12-year high, and up 54 per cent on the previous year's 25,900.The CML does not provide separate repossession figures for Scotland, but housing charity Shelter Scotland estimated they could reach 7,000 by the end of 2009. By the end of 2008, 182,600 of the UK's 11.7 million mortgages were in arrears of more than three months.
One expert accused the group of being "too conservative" and said repossessions were likely to peak at 82,000 homes, or 225 a day.
Brown vowed to "do everything we can to stop repossessions" but the government was accused of "giving false hope" to people at risk after it emerged that a rescue scheme announced in December will not come into effect until April.

SC await a news item of just one bank executive losing his/her house in Barnton or whatever rich peoples enclave they and seeking the help of Shelter or the council housing department .

Also data from the Ministry of Justice showed that nearly 56,000 people applied to become bankrupt through the courts last year, up from about 53,000 in 2007 and the highest number since comparable records began in 1995.

THE HARD SELL

Attracting votes demands some reformist parties to what can be described as the Hard Sell, however, it takes on a new meaning according to an article by Marc Lacey in Mexico City in “Scotland on Sunday” 15th February.

The Mayor of Mexico City, Marcelo Ebrard does not even recog­nise the authority of President Felipe Calderon after a dis­puted election two years ago. He argues that Calderon's use of the military against the drug cartels has worsened the situ­ation, causing extreme poverty and more crime in rural areas dependent on drug-trafficking for income. His new initiatives may be more about politics than any­thing else, and with elections looming in July, candidates across Mexico are beginning to lay the groundwork for their campaigns.

To bolster the fortunes of his leftist Party of Democratic Re­volution and to further his own dream of becoming the coun­try's president in 2012, Ebrard has pushed to legalise abortion and gay civil unions in the cap­ital and crack down on illegal street vendors and unlicensed taxi operators, who have long been associated with crowds and crime. His plans to expand subway and bus services are ambitious and popular.

In announcing the erectile dysfunction programme in November, Ebrard, 49, por­trayed it as a way of bringing smiles to the faces of those who have reached the "tercera edad"; or third age, as Mexicans call the golden years.
"Everyone has the right to be happy," the mayor said, noting that many of the poorest elderly people do not qualify for em­ployer-based health plans and have been abandoned by their families. "They don't have med­ical services, and a society that doesn't care for its senior cit­izens has no dignity"
Getting men into public clin­ics with the promise of free medicine could help them get treatment for other related health problems, like diabetes, hypertension, obesity and de­pression believe health offi­cials. "This is a public health problem," said one doctor.
Not everyone is enamoured by the new programme. One of Eb­rard's rivals for the presidency, Fidel Herrera, 59, the governor of Veracruz State from the In­stitutional Revolutionary Party, dismissed the Viagra handouts as ridiculous. "What's the point of encouraging old people to have sex?" he asked in a recent interview. "There's such a thing as nature. You can't play God:"

WHAT'S IN A NAME?

Capitalism always dreams up euphemisms to disguise the horror that is the buying and selling system, but we doubt if this change of name makes the plight of workers forced into this occupation any easier to bear.
"Jose Luis Gonzalez, 60, has been called many things — almost none of them nice — in his 40 years working the streets of Lima, Peru's sprawling capital. "They call us vultures or scavengers most of the time, but sometimes they are meaner, saying we are thieves, criminals. It has never been easy work," he says. Gonzalez is one of an estimated 100,000 people in Peru who make a living diving through garbage to collect refuse — paper, metal, glass — that can be resold for a profit. It is a hard scrabble life, but one thing positive may now be handed to him and his fellow trash sifters: a new name for their profession. Early each morning, he mounts his modified tricycle cart, pedalling through the streets of the seaside district of Barranco in search of treasures. He forgoes a shrill horn for his booming voice, shouting for glass, paper or used items that he can resell. "You have to be considerate and not make a mess. If you cause trouble, the police will take your cart, and then you're stuck," he says. On a typical day, which usually includes six hours' collecting goods and two hours' sorting and selling items to middlemen at a municipal lot, he clears around $3.50. ...Now, the new National Movement of Recyclers of Peru is hoping to change that. Founded six months ago, the group has an ambitious plan that would double income levels while helping the country's municipal government deal with the problem of solid waste. The first step is changing the image Peruvians have of this army of cart-riding men and women, promoting the word recycler instead of more traditional and derogatory terms like garbage picker and scavenger. "The movement increases self-esteem. Society has always scorned recyclers, seeing them as the last rung on the ladder," says Galo Flores, who provides support to the movement through a local organization, Ciudad Saludable (Healthy City). (Tme.com, 18 February) RD