Some 300 Construction Projects Were Paralyzed During a 24-Hour Strike

August 22, 2007
Panama City, Panama

Strikes and passionate debates continue inPanama over construction worker safety and rights. The construction union known as Sindicato Único de Trabajadores de la Construcción y Similares (SUNTRACS)-one of 14 construction unions in Panama, despite the use of the word único ("only") in the syndicate name-has been at loggerheads with the government and another powerful union called Sindicato Nacional de Trabajadores de la Construcción y Perforaciones de Panamá (SINDICOPP).

Though these and other unions often compete and clash over construction jobs, recent events have escalated hostilities to new heights. Yesterday, a 24-hour strike shut down the nation's many construction projects, causing losses of at least $2.5 million (other estimates indicate the losses may be as much as $5.2 million) and stopping work at some 300 projects. Chamber of Commerce President Domingo Latorraca said the incalculable economic effects of the protest and events surrounding it must also be taken into account-such as the detrimental effect on Panama's image worldwide. "It takes a great deal of time to build an image and just one minute to lose it," he said.

The reason for the strike: SUNTRACS representatives say the strike was called to protest the deaths of two of its members, although the group has a list of demands that include safer working conditions, better enforcement of safety procedures, the elimination of sindicatos amarillos ("company-controlled unions"), and the resignations of Justice Minister Olga Gólcher and Labor Minister Reinaldo Rivera, who says SUNTRACS provoked the violence that resulted in its members' deaths.

The two deceased SUNTRACS members-Osvaldo Lorenzo and Luigi Arguelles-were shot this month during disturbances over a big development called Isla Viveros, on San Miguel island in the Pearl archipelago. The development is a $1 billion tourism project under construction by a group called Maqtec, and features a five-star hotel, private airport, full-service marina and Jack Nicklaus golf course. According to SUNTRACS, the men were shot by police forces (one by a pellet gun), but this has not been proven.

Forensic and police officials detained more than 20 people and are studying 14 weapons confiscated during the confrontations as well as photos and footage of the events. State prosecutor Tulia Pardo announced that formal homicide charges will be brought against two SINDICOPP members-Jorge Morgan Melchor and Eduardo Boyce-both of whom say they are innocent.

About construction safety in Panama:

SUNTRACS says unsafe working conditions are common on Panama construction sites.

Between January and June of 2007, some 13 on-site deaths were reported.

According to SUNTRACS, the Social Security hospital network (CSS) treats 1,000 workers a year for on-site injuries.

In July, the government announced more stringent measures, including "construction safety bonds" (starting at $10,000 for $1 million projects) and safety officer guidelines. A tri-partite commission was also created between government, business and construction union representatives.

Also in July, a tragic landslide at a San Francisco project dubbed Torre 7400 resulted in four deaths. The construction company Corcione y Asociados paid a $100,000 fine, which was imposed for safety violations. A new inspection is to follow, to determine if the safety issues were corrected.

In August, a new safety program (consisting of classes at the Panama Chamber of Construction, or CAPAC) and safety campaign were launched.
 
The Ministry of Labor says it conducts an average of 30 site inspections per day to study work conditions and that, this year, some 300 fines have been imposed.

Bottom line:

There is a lot of criticism being levied on all sides. "Workers should report unsafe conditions," "subcontractors are to blame for most accidents," "SUNTRACS provokes violent encounters," "a lack of training for new workers is to blame…"

Steps are being taken, but we have a long way to go before attaining acceptable safety levels on construction sites. The business community, the government, construction unions and the workers themselves should do what they can to continue previous dialogues rather than block off busy streets and start brawls.

Best Regards,

Jessica Ramesch
Editor, Panama Insider
International Living

P.S. Wondering what it is like to be in Panama City on "strike days"? If your kids' school or your office is near where the march is going to conclude (this is usually announced the previous day), you think twice about sending the kids to school and going to work. Last week, I left my office in the Casco Viejo early, knowing that a SUNTRACS march planned to stop at the Presidential Palace down the block. Yesterday, I traveled to and from the office with no difficulty, as marching workers were heading for the Labor Ministry offices in Plaza Edison (near the busy El Dorado commercial center). Sometimes these marches turn violent-people throw rocks, police forces respond with tear gas or pellet guns, scuffles break out-but shootings, such as happened earlier this month, are very rare. No violence was reported yesterday-classes were suspended in public educational facilities.