Saturday, March 31, 2012

PROMISES AND PROFITS

The manufacturing giant Foxconn has pledged to sharply curtail working hours and significantly increase wages inside Chinese plants making electronic products for Apple and others. "The shift comes after a far-ranging inspection by the Fair Labor Association, a monitoring group, found widespread problems including at least 43 violations of Chinese laws and regulations, and numerous instances where Foxconn defied industry codes of conduct by having employees work more than 60 hours a week, and sometimes more than 11 days in a row. .... The monitoring group, which surveyed more than 35,000 Foxconn employees and inspected three large facilities where Apple products are manufactured, also found that 43 percent of workers had experienced or witnessed accidents, and almost two-thirds said their compensation does not meet their basic needs." (New York Times, 29 March) Promises from the capitalist class mean nothing, they will only invest their capital where it gets the biggest return. RD

Weir the people

The board of Weir Group has rewarded chief executive Keith Cochrane with a near-£1 million bonus and double-digit pay rise.

Cochrane received a £625,000 salary and £975,000 bonus as part of a £1.62m package, up from £1.26m the previous year.

Finance director Jon Stanton will receive a 5 per cent rise to £420,000 from next month. For last year Stanton received a £392,500 salary and £400,000 bonus as part of an £806,957 package, up from £732,573.

Legal and commercial director Alan Mitchelson, who is standing down at the forthcoming AGM, received a £344,127 salary and £350,000 bonus as part of a £708,584 package, up from £665,887.

Friday, March 30, 2012

GOOD AND BAD NEWS

Global warming may be bad news for Greenland's polar bears, wolves, musk ox and whales, but it could mean new economic opportunities for the capitalist class. Satellite images taken over the past several decades show the dramatic disappearance of ice. A study just published by scientists with the Potsdam Institute for Climate Impact Research shows that this ice could lose a fifth of its mass in the future. The weakening ice is making the island's rich stores of raw materials accessible. Along with uranium, zinc, iron ore, copper and gold, Greenland's ancient rocks also harbour large quantities of those minerals known as "rare earth". "Rare earth minerals are used in the manufacture of mobile phones, laptop computers, flat screens, fuel cells, LED lights, motors for electric cars and in laser technology. They provide the basis for entire high tech industries." (Die Welt, 21 March) Global warming may lead to disaster for millions of workers but it it is just another "economic opportunity" for the owning class. RD

Thursday, March 29, 2012

Football democracy

One of Scottish football’s leading administrators has called for the game to accept that supporters matter more than television companies, and to rethink the balance between the demands of broadcasters and the interests of supporters.

Hibernian managing director Fife Hyland said the demands of broadcasters had been too easily allowed to outweigh the interests of supporters, particularly when it came to deciding kick-off times. “We know TV is important to Scottish football but it’s not the be all and end all,” he said.

For many of the Scottish football clubs , match-day receipts remain several times greater than income from broadcasting. For example, in their last published accounts, for the year to July 2010, Hearts revealed that their matchday revenues were more than two and a half times greater than their income from broadcasting. Their income from TV was £1.5million, while that from matches (gate receipts plus smaller associated items such as programme sales) was £3.9m. There is an even greater disparity across the city Hibs are understood to take in around four times more from match-days than they do from broadcasting.

The Old Firm, Rangers (presently insolvent) and Celtic dominate Scottish football. A new £80m TV contract with Sky and ESPN, is dependent on the provision of four Old Firm fixtures a season and shows the importance of Rangers and Celtic. The ten non-Old Firm clubs in the SPL want to change the league’s voting structure, which at present requires an 11-1 majority for substantial changes to be passed. Dunfermline chairman John Yorkston said that he would urge the ten to resign if Rangers and Celtic continued to block democratisation of the rules on voting. The Old Firm have historically shown their ability both to ignore the common good where there is a buck to be made, and so it was to prove again.

Man­­agers and directors of the ten have begun to make it clear that a future without the Old Firm was not only an option, but might even be preferable. Fans will see their departure as a chance for real competition to be returned to an SPL championship

one law for the rich , another for the poor

Five years ago Scotland’s wealthiest woman Stagecoach tycoon, Ann Gloag, to defend her privacy challenged the right to roam legislation, winning her battle against the Ramblers Association Scotland and Perth and Kinross Council to erect a fence around a 12-acre area of Kinfauns. Yet she is now happy to proposal to build another house which has led her neighbours to complain that it would ruin their privacy and seclusion.

Forestry Commission Scotland also objected, warning authorities that were the scheme to go ahead, it would ruin an area of ancient woodland and was in direct contravention of planning policies.

As part of the local authority’s decision to approve the plans for the new properties, Gloag will pay a £12,790 “education contribution” fee as a condition of the planning permission. The money will be used to fund improvements and increase pupil capacity at the nearby Kinnoull Primary School.

Socialist Courier wonders what does constitutes a bribe?

http://www.scotsman.com/news/ann-gloag-wins-battle-to-extend-stagecoach-empire-1-2201868

Wednesday, March 28, 2012

MONEY AND MORALITY

Three years ago, Europeans lauded new weapons export rules meant to control the trade of military technology and equipment. The "Security-related export controls II" rules state that export approval should be avoided in the event that weapons "might be used for undesirable purposes such as internal repression or international aggression or contribute to regional instability." "But it appears that some European Union members are disregarding these rules when it comes to Saudi Arabia. A European Commission summary obtained by SPIEGEL shows that combined exports from member states amount to the EU being the world's largest exporter of weapons to the Middle Eastern country. In 2010, member states delivered at least 3.3 billion euros ($4.34 billion) worth of military equipment and licenses to Riyadh." (Der Spiegel, 19 March) When it comes to making a profit, fine words like "undesirable intentions" mean very little. Sweden, for example, helped the Saudis build a missile factory and sold them some 330 million euros in defence technology in 2011. Meanwhile, Finland recently received an export permit to deliver 36 grenade launchers, and Germany is preparing 270 Leopard 2 tanks for delivery. Great Britain is providing fighter jets RD

dirty glasgow

Pollution in several residential areas of Glasgow has reached potentially deadly levels. All the air quality monitors in the city are exceeding the maximum level for particulate pollution – one of the most dangerous forms with microscopic particles which can cause breathing and blood problems as well as increased risk of heart attacks.

Chris Connor, air quality specialist at the Scottish Environment Protection Agency, said "There is a particular concern about young children and toddlers in buggies as they're at a similar height to exhausts where the cocktail of pollutants is at its highest concentrations."




Broomhill Drive, Byres Road, Nithsdale Road and Battlefield Road are among the worst affected, with most of the pollution thought to be caused by buses, cars and taxis.


Tuesday, March 27, 2012

POLITICS AND PAYBACK

Just in case that you thought only British capitalists have access to their government here is an example of how this practice is international. "President Barack Obama is using privileged access to the White House to reward his most generous financial supporters. Republican rivals Mitt Romney and Rick Santorum cannot match his move. More than 60 of Mr. Obama's biggest campaign donors have visited more than once for meetings with top advisers, holiday parties or state dinners." (Independent, 26 March) He who pays the piper calls the tune. RD

POLITICS AND PAPACY

The papacy has changed a great deal. We now have press reporters calling him by his first name, and even more than that. "Benedict dons a Mexican sombrero as he preaches Mass to 300,000. More than 300,000 Catholic pilgrims gathered in the central Mexican city of Silao on Sunday to hear Pope Benedict XVI say Mass in the country on his first official visit to Latin America." (Daily Telegraph, 25 March) They even have him depicted in mass circulation newspapers wearing a sombrero. Wow, is this the new with-it Pope? No, this is a Pope who is so concerned by falling collections in churches that he has to travel the world rallying his faithful. Years ago the pope didn't even have to leave the Vatican to fill the church's coffers. RD

Wasted Capitalism

One third to one half of all food produced in the world goes to waste uneaten, according to data recently collected by the Natural Resources Defense Council and presented this month at the 2012 Reuters Food and Agriculture Summit. Yet the United Nations Food and Agriculture Organization estimated that 925 million people went undernourished in 2010 alone. And hunger is not a problem restricted to developing countries: last year, an estimated 1 in 4 American children lived in households where food was not always available, and 1 in 5 Americans sought food aid through the federal food stamp program.

The U.S. Environmental Protection Agency reports that the average American throws away 33 pounds of food each month — that’s nearly 400 pounds each year. Food waste makes up nearly 14% of American families’ trash. Americans toss more food in their garbage cans than plastic products. This waste includes both leftover cooked foods, and food that was purchased but allowed to spoil without being eaten. The foods most commonly discarded without ever being eaten include fresh produce, eggs and fish.

Farmers, packaged food producers and retailers all waste edible food, too. Farmers may throw away excess produce that cannot be sold; food process may discard edible byproducts; grocery stores often reject or discard produce with minor defects. And at any point along the food supply chain, failure to deliver food promptly or store food properly may lead to spoilage.

Agriculture and food production are highly energy-intensive industries. Industrialized farms use petrochemicals to fertilize soil, and fossil fuels to power farm equipment. Transporting food from field to plate consumes even more energy. According to the a report issued by the UN FAO in November 2011, the food sector accounts for nearly 30 percent of the world’s energy consumption. Wasted food, essentially, is wasted energy. And wasted water, too: the international Organization for Economic Cooperation and Development reports that agriculture accounts for roughly 70 percent of human water consumption. Beyond the substantial environmental impact of the wasted energy and water represented by wasted food, food waste contributes significantly to global climate change when it decomposes in landfills. When left to decompose in natural conditions or in a compost pile, food waste naturally releases carbon dioxide into the atmosphere. But under unnatural landfill conditions, in the absence of air, most food waste undergoes anaerobic decomposition, which results in the production of large amounts of methane gas instead. Though both carbon dioxide and methane are greenhouse gases that can contribute to climate change, EPA scientists estimate that methane gas is 20 times more efficient at trapping the sun’s heat than carbon dioxide — making excess methane much more dangerous to the climate than excess CO2. Landfills are currently the third-largest source of methane in the United States, producing more of the dangerous greenhouse gas than coal mining or crude oil production. And much of the methane in landfills comes from decomposing food waste.

Read more: http://www.care2.com/causes/while-children-starve-up-to-half-of-the-worlds-food-goes-to-waste.html#ixzz1qIF2NUnI

Monday, March 26, 2012

AN EXPENSIVE DINNER

represent the owning class. "Conservative Party co-treasurer Peter Cruddas has resigned after secretly filmed footage showed him apparently offering access to the prime minister for a donation of £250,000 a year. He made the claim to Sunday Times reporters posing as potential donors. He said £250,000 gave "premier league" access, including dinner with David Cameron and possibly the chance to influence government policy." (BBC News, 25 March) So there you are, man in the street - just dig up a quarter of a million quid and the prime minister will give you dinner and the chance to influence government policy. RD

Facts and fiction 2



One confusion is to talk about average and median wages. The red line is the average income, and the black bar (5th decile) shows where the 'middle earner' lies. Our middle earner earns £26,200, which gives us a good idea of what a typical worker might earn. The average pay is £32,800, however around 60 per cent of full time workers earn less than this. This is the effect of a skewed balance towards higher earners.

Another common factor for confusion is between talking about individuals and households. The average UK household earns £517 a week. However only around 40 per cent of households earn more than this. The middle (the median) household, earns £413.

The "average" wage-earner and are relatively high-earning compared to most of us. The picture of what is clearer when we look to the middle rather than the average.

Sunday, March 25, 2012

FACT AND FICTION

Ian Fleming's novels may have been a lot of sexist, snobbish nonsense but they now seem to be reflecting the mad consumerism of modern capitalism. "James Bond's nemesis Goldfinger may be fictional, but his love of gold is a real phenomenon. In fact, if the villain was alive and had £5m to spare, this might have been his next purchase - a Rolls Royce decked out inside and out with 120kg of gold. This Rolls Royce Phantom - worth around £330,000 by itself - has been turned into a golden tribute for a mega-rich Middle Eastern business man by designer Liverpool-based Stuart Hughes. With gold worth more than £3m lavished on the vehicle - plus other customised work to make the car both bullet and grenade-proof - the value of the car is now close to £5.2m." (Daily Mail 12 March) This crazy sale is taking place while millions try to survive on £1.25 a day. RD

Bigoted law

In updated guidance to police, Frank Mullholland, Lord Advocate, Scotland’s most senior prosecutor, has warned singing or chanting songs which “glorify, celebrate or mock events involving the loss of life” should be viewed as offensive. The ten-page report also says that “flags, banners, songs or chants in support of terrorist organisations” are “likely to be offensive”. Songs “which promote or celebrate violence against another person’s religion, culture or heritage” are also “likely to be offensive”, according to Mulholland. It is understood Mulholland’s guidance outlaws songs like the Billy Boys, The Boys Of The Old Brigade, the so-called Famine Song, and the chant “Ooh Ah, Up The Ra”, which is sung by Celtic supporters. Where the song is religiously prejudiced the relevant aggravation will be libelled.

Socialist Courier wonders just how many countries national anthems fall under that classification. "But we can still rise now And be the nation again!" A call for rebellion in Flower of Scotland? And verse 6 of God Save the Queen? "Lord grant that Marshal Wade, May by thy mighty aid, Victory bring, May he sedition hush And like a torrent rush, Rebellious Scots to crush"

Hibs fans Andrew Whitson and Paul Swanbecame the first people to be convicted under the Offensive Behaviour at Football and Threatening Communications (Scotland) Act last week when they admitted singing songs that were “of a racially derogative nature” on a train between Ayr and Glasgow. They were fined a combined £380.

Buying Influence

"Two hundred grand to 250 is premier league … what you would get is, when we talk about your donations the first thing we want to do is get you at the Cameron/Osborne dinners. You do really pick up a lot of information and when you see the prime minister, you're seeing David Cameron, not the prime minister. But within that room everything is confidential – you can ask him practically any question you want. If you're unhappy about something, we will listen to you and put it into the policy committee at No 10 – we feed all feedback to the policy committee." - the now Tory party's ex-co-treasurer Peter Cruddas, who built a £750m fortune through financial spread-betting

This offer of influence was made even though Cruddas knew the money would come from a fund in Liechtenstein that was not eligible to make donations under electoral law. Options said to have been discussed included creating a British subsidiary or using UK employees as conduits. The overseas clients were, in fact, reporters posing as wealth fund executives who had made clear they wished to develop contacts with the prime minister and other senior ministers to further their business. The Sunday Times claims to have hired Sarah Southern, a former Cameron aide now working as a lobbyist, who advised that making a "huge donation" was the best way to gain access to senior government figures.

Saturday, March 24, 2012

Afghan resources

Afghanistan's immense mineral wealth is estimated to be worth around £2trn, according to the Kabul government. Afghanistan's mineral wealth extends over a huge range of valuable resources: iron, gold, copper, niobium (used in hardening steel), uranium, marble, cobalt, mercury, caesium, molybdenum (a metal which can withstand high temperatures and is used to make various alloys), and other rare earth minerals. The country has especially valuable deposits of lithium, the metal used in the world's batteries. Indeed, a Pentagon official is on record suggesting that Afghanistan could be "the Saudi Arabia of lithium".

As far back as 2008, China agreed a deal to develop the Aynak copper mine in Logar province. This is said to be the world's second largest deposit of high-grade copper. The Afghan National Police has deployed 1,500 officers to guard the mine. As part of its agreement to develop a massive copper mine in Aynak, the China Metallurgical Group Corporation (MCC) is being asked to build a 575-mile railway from the mine, south-east of Kabul. One branch would head to the Pakistani border, another in the opposite direction through the capital and connecting with the new Hairatan line in the north. The deals are not confined to minerals. In late December, China's state-owned National Petroleum Corporation (CNPC) won a contract for three oil fields in Zamarudsay, Kashkari, and Bazarkhami in the northern provinces of Sari Pul and Faryab, which will make it the first foreign company to exploit Afghan-istan's oil and natural gas reserves. The intention is that CNPC will build a refinery within three years, and this will be guarded by dedicated units of Afghan police and army.

Chinese state firms have also been involved with seven infrastructure projects, including roads in Kondoz and Jalalabad. They have also won contracts for telecommunications systems in Kandahar and Kabul. And last year, the Asian Development Bank announced it had allocated more than $200m for the development of the gas wells of Sheberghan, and an attendant pipeline.

Italy, Turkey and Germany are also actively pursuing deals. PricewaterhouseCoopers is advising the Ministry of Mines in Kabul, and the US bank JP Morgan is active, having put together a consortium that won rights to the Qara Zaghan gold deposits. An Indian consortium has secured the rights to two blocks in the huge Hajigak iron ore field, the other block going to a Canadian firm. The Afghan government is also negotiating with the Indian-led consortium that won the contract for the equally huge iron deposits at Tajigak in central Afghanistan for the companies to fund a 560-mile railroad – likely through Iran – to bring out the heavy ore. India will also contribute to the establishment of an Institute of Mines in Kabul, and last October signed a strategic partnership with Afghanistan.

China, Iran, Pakistan and India all have government or corporate plans for separate rail projects across Afghanistan. Turkmenistan is completing its own plans for another line, and it was Uzbekistan that built the first major rail link, a 47-mile line from the border town of Hairatan to Mazar-i-Sharif in the north of Afghanistan. "We would be able to import and export to Russia, Turkey, and even European countries," says Noor Gul Mangal, Afghanistan's deputy public works minister. Opening new transport gateways would also reduce Afghanistan's dependence on neighbouring Pakistan as its only link to sea ports.

http://www.independent.co.uk/news/world/asia/an-ios-investigation-to-the-chinese-and-the-indians-the-spoils-of-a-terrible-war-7576426.html

selling yourself

The UK's wig making industry is estimated to be worth up to £18 million according to the National Framework Agreement of Wig Supply. There are no official figures for the hair extension industry; however recent estimates put the value at £65 million. In 2009 nearly £15m worth of treated human hair - it has been washed and sometimes dyed - was imported into the UK, according to Customs and Excise.

Brazil, along with India, has long led the way in the lucrative global market in human hair. In the past few years, demand from UK businesses for human hair extensions has increased significantly, according to industry reports. The UK is now the third-largest buyer of human hair worldwide, behind the US and mainland China.

"As the demand outweighs supply, the price for the hair has increased. Which is one reason more people consider selling their hair as it is now considered a valuable commodity." says Emma Furlong, spokesperson for the UK's biggest supplier of wigs to the NHS, Trendco

Quality is an important factor. What is known as "virgin hair" - hair that has not has any treatments or colouring - is the most sought-after. A lot of Indian hair - known as remy hair - falls into that category, and has long been popular in the US, China, the UK and other parts of Europe. Ninety-five per cent of human hair is imported. In terms of Europe, a lot of it is sourced in Poland and Italy. Recently, however, there has been an increase in the appetite for "European hair". Trendco, says there is a shortage of the "softer" European kind. "European hair is finer in density and texture than Asian hair and so is very popular for human hair wigs and extensions, especially in EU countries where this integrates better with a client's own hair," says Emma Furlong. It is difficult to get natural, adult hair that is blonde. About 90% of the world's population has dark brown hair and the rarity of the hair colour will dictate the price. Blonde hair can cost up to three times as much as dark hair. The price for 100g of blonde, European hair is about £1,000. Graham Wake, owner of Bloomsbury Wigs in central London, says he has noticed a two-fold increase in the number of people from the UK selling their hair for money.

Human hair can be used to make an additive that is found in foods such as the dough for pizza crusts and bagels. It is a rich source of L-cysteine, an amino acid that can be extracted from hair and used as a flavour enhancer or flour improver. It is sometimes listed as E920 on food packaging. As well as being found in dough it can be used to give food a meat-like flavour, especially in dog food. Ten to 15 years ago human hair was a main source of L-cysteine, mainly produced in China. As more people found out where L-cysteine came from they thought 'yuck, human hair, don't fancy that'. More Chinese people also started perming their hair, which made extracting the amino acid more difficult. Now L-cysteine comes mainly from chicken and duck feathers, which can be collected in larger quantities than hair. In recent years it has also started to be manufactured synthetically.

http://www.bbc.co.uk/news/magazine-17043055
http://news.bbc.co.uk/1/hi/magazine/8753698.stm

Friday, March 23, 2012

Docs Get Ready to Fight

The British Medical Association is poised to ballot its members on industrial action for the first time in 40 years. Under the Dept. of Health plans, doctors' pension contributions would increase immediately by up to 2.4%, with continued increases over the next two years. It also wants to raise the retirement age to 68 and end the final salary scheme for hospital doctors. Although the DoH proposals are intended to apply to NHS workers throughout the UK, Scotland has its own devolved NHS pension scheme which is overseen by the Scottish Public Pensions Authority. However, if the Scottish Government decided to break with the reforms it is likely Holyrood would have to pick up the tab for any shortfall.

Dr Dean Marshall, outgoing chairman of the BMA's Scottish General Practitioners Committee, said doctors north of the Border had been let down by Holyrood's inaction and the Scottish Government's "complicity" with Westminster on the issue.

Dr Marshall said: "Is it fair for NHS staff to be taxed for the Government's failures to properly regulate the banking sector? And while the Scottish Government argues it does not agree with these plans it appears to be going along with the UK Government and is therefore complicit in taxing public-sector workers for the failures of the private sector. Scottish ministers could seek to do something different and I urge them again to find that solution – not just invite us to new talks"

Dr Marshall said doctors were unhappy that pension reforms were being "foisted" on them just four years after they agreed substantial changes to their package.

He added: "We agreed to tiered contributions where higher earners contributed more than lower paid workers. We agreed to the increased retirement age of 65 and we agreed to a cap on employer contributions so that the taxpayer would not pay for any future shortfall in the scheme. These changes worked and the NHS Pension Scheme is in surplus to the Treasury to the tune of £2 billion, and this is projected to continue into the future."

Taken for a ride

ScotRail dividends to its share-holders add 7% to cost of fares.

The Rail, Maritime and Transport Workers union (RMT) said franchise holder ScotRail paid dividends of £18 million in 2010, £18m in 2009, £17m in 2008 and £21m in 2007.

"In two of these years, ScotRail actually paid more in dividends than it made in profit, leading to the obvious conclusion that because it does not contribute anything towards investment in the railway or rail infrastructure, and with the level of Government subsidy even covering its track access charges, it is simply milking Scotland's railway."

http://www.heraldscotland.com/politics/political-news/scotrail-dividends-add-7-to-cost-of-fares.17085971

Thursday, March 22, 2012

HEALTH AND HYPOCRISY

The health service has been working on the basis that £20bn of efficiency savings needed to be identified by 2015, but NHS finance chiefs are now working on the basis that a similar amount will have to be found in the following spending period because of the squeeze on public finances. "NHS staff numbers in England have seen their biggest drop in a decade with nursing posts among those culled, official figures show. The workforce declined by nearly 20,000 - 1.4% - in 2011 to 1,350,000. Most of the drop related to support and managerial staff, but nurse numbers also fell by 1% - despite promises by ministers to protect the frontline. It comes after NHS finance chiefs have been told they need to find even more savings than expected." (BBC News, 21 March) So the "we are all in this together" coalition government will save £20bn in 2015 and £20bn in 2016 on medical treatment for the working class. RD