By Patrick Kenyon
April, 2001
Recently, the giant mining corporation Phelps Dodge, announced the lay-offs of over 1500 jobs, which meant even more lay-offs for the small business that rely on Phelps Dodge for business, and the destruction of many small communities in the south-west of the United States. "Until the California power crisis is resolved its negative impact on industrial facilities in surrounding states, including our New Mexico and Arizona operations will be huge in terms of additional plant closings and employee layoffs. In the meantime, Phelps Dodge will continue to work aggressively, diligently and creatively to pursue every opportunity to minimize the impact of these extraordinary circumstances on our businesses and our employees."
A few weeks ago the employees of Phelps Dodge came home to a letter, stating that they would be losing their jobs with only 60 days left. It was nicely written ensuring that the corporation would do "everything" in its power to correct these circumstances, with the corporation's logo carefully stamped on the top. Many were left in disbelief, they had invested their lives into their careers.
Phelps Dodge Chairman, President and CEO J. Steven Whisler, said: "The electricity crisis in California, and its impact on energy prices, had a significant impact on our fourth quarter 2000 results, with our U.S. electricity, diesel fuel and natural gas costs 65 percent higher than in the fourth quarter of 1999."
However, this is not the first time Phelps Dodge has issued lay-offs because of economic flux, but in fact many here believe it is a ploy the destroy the union members. This may seem extreme, but when one takes a rational approach to bourgeois mentality, it will seem very logical that legally, it is an easy way destroy the "hammer" of the union, and only re-hire non-union workers when the economy suddenly "grows back" again.
The unfortunate situation of this tactic is that union and non-union workers will be losing their jobs. Many are looking to either moving away from their friends and family, or joining the less stable and anti-union, Stream International Corporation, a large computer corporation that has a headquarters across the Southwest. This story is not a rare one, it can be found time after time across the Americas. Another growing concern among the workers is not only their jobs, but also the murdering of the community by big industries. For example, most of the Southwest's rural communities are made up of neighbors; the towns are so small that everyone knows everyone. With this alienation from the rest of society, comes a strong sense of community, and within that is a spirit of activism and class awareness. In a community where many workers are laid off, which leads to poverty, crime, illiteracy, and many turn to drugs.
According to the U.S. Census Bureau, 32.3 million people in America live in poverty - and it's getting worse; MCI-Worldcom, Cisco, Corning, and many others have all released information stating the loss of hundreds of jobs, and Intel will cut 5,000. While some may be losing their jobs, others strike before it's possible; Delta and United airlines have called for strikes (Mechanics at Northwest Airlines Corp.) and farm workers and students in Florida are currently calling for a nationwide boycott of the Taco Bell Mexican fast food chain as part of a campaign to improve the living conditions of immigrant tomato pickers.
U.S. corporations announced almost three times as many layoffs in February compared to a year earlier, but planned job cuts were down from January's record high level, international outplacement firm Challenger, Gray & Christmas announced.
Not all the workers have taken these layoffs so lightly. A group of former employees, backed by the local union, started a small magazine called "Get a GRIP" that states openly to the people that the devastating effects on the local economy and environment, must be stopped, and that the workers demand safety for their jobs and the environment.
Already, April of 2001 has had more lay-offs then all of 2000 combined. Yet, it continues to happen: Disney is cutting 4,000 jobs. Nortel is cutting 15,000 by mid-2001. Palm is cutting 250. Ericsson and Nokia are cutting 3,700. And Motorola is cutting 4,000. However, it would seem that the media would pay attention to this seemingly disastrous situation, but it seems a downed American spy plane more worthy of the media's "non-partisan" eye.
But what can we expect when the all the world's media is controlled by six companies? We need to explain to people that what is happening to workers, youth, and communities at the hands of big business is just business as usual under capitalism. We need to build an alternative - join us in building ties between youth and labor to defend workers' rights and fight for democratic socialism!