- Rio Tinto and BHP Billiton's iron-ore plans scrapped as 'anti-competitive'
- Foxconn's sweatshops set the tone for global electronics industry
- Royal Mail to be privatised Rio Tinto and BHP Billiton's iron-ore plans scrapped as 'anti-competitive' Regulators raised concerns over competition regarding Rio Tinto and BHP Billiton's joint venture to create the world's largest iron-ore exporter, worth $116bn. The two companies will loose more than $10bn (£6.3bn) in savings as a result. Rio and BHP had signed a production joint venture in December covering both companies' iron-ore assets in western Australia and have now reluctantly agreed to terminate the agreement. Shares in both Rio Tinto and BHP Billiton fell as a result. However, BHP is now concentrating on taking control of Canadian Potash Corporation. Potash is the common name for various mined and manufactured salts that contain potassium in water-soluble form. Around 93% of world potash consumption is used in fertilisers. The Potash Corporation is the world's biggest fertiliser producer and BHP is facing mounting opposition to its deal-making attempts, because the deal would cut local tax revenues in Saskatchewan by around $3bn Canadian dollars over the next 10 years. The deal is reportedly opposed by the provincial government and 55% of residents. For more on Rio Tinto, see Corporate Watch's company profile
Foxconn's sweatshops set the tone for global electronics industry After several suicides of Foxconn workers in a short period of time, public scrutiny was high, but quickly subsided after the company agreed to institute reforms, such as raising wages. However, an investigative report by Hong Kong-based Students and Scholars Against Corporate Misbehaviour (SACOM) contends that Foxconn has not even undertaken minimal reforms and that Foxconn's mistreatment of workers is just one example of problems rampant throughout the global electronics industry. The Foxconn model is a hit outside China, too, as the company's reach traces the global grasp of its client brands, including Nokia, Apple, Dell and Sony, among others. Link: http://sacom.hk/archives/720
Royal Mail to be privatised The government is going ahead with the sale of Royal Mail, with a new independent firm being formed to run sorting and delivery operations. Outside investors will hold most of the shares and the rest will be offered to Royal Mail staff. Pension liabilities will be taken on by the government and the separate Post Office network would remain in state ownership. The Communication Workers Union (CWU) has said the privatisation will devastate the postal service, with higher prices for customers and job losses for staff. Many predict this will lead to a worse service, with only the shareholders benefiting in the long run, which is what happened with the privatisation of the railways and utility companies. Business Secretary Vince Cable is quoted to have said this is "Big Society in action." Workers at Royal Mail recognise that the government has been winding the service down for years in order to sell it off and have a casual workforce. The main drain on Royal Mail's profit base in recent years has been the subsidising of private mail companies by carrying their mail for them, with a massive increase in corporate mail like magazines, junk mail, brochures and bulk-mail advertising. Such companies extract the profitable trade from banks and utilities, then rely on Royal Mail to do the delivery work.
- Foxconn's sweatshops set the tone for global electronics industry
- Royal Mail to be privatised Rio Tinto and BHP Billiton's iron-ore plans scrapped as 'anti-competitive' Regulators raised concerns over competition regarding Rio Tinto and BHP Billiton's joint venture to create the world's largest iron-ore exporter, worth $116bn. The two companies will loose more than $10bn (£6.3bn) in savings as a result. Rio and BHP had signed a production joint venture in December covering both companies' iron-ore assets in western Australia and have now reluctantly agreed to terminate the agreement. Shares in both Rio Tinto and BHP Billiton fell as a result. However, BHP is now concentrating on taking control of Canadian Potash Corporation. Potash is the common name for various mined and manufactured salts that contain potassium in water-soluble form. Around 93% of world potash consumption is used in fertilisers. The Potash Corporation is the world's biggest fertiliser producer and BHP is facing mounting opposition to its deal-making attempts, because the deal would cut local tax revenues in Saskatchewan by around $3bn Canadian dollars over the next 10 years. The deal is reportedly opposed by the provincial government and 55% of residents. For more on Rio Tinto, see Corporate Watch's company profile
Foxconn's sweatshops set the tone for global electronics industry After several suicides of Foxconn workers in a short period of time, public scrutiny was high, but quickly subsided after the company agreed to institute reforms, such as raising wages. However, an investigative report by Hong Kong-based Students and Scholars Against Corporate Misbehaviour (SACOM) contends that Foxconn has not even undertaken minimal reforms and that Foxconn's mistreatment of workers is just one example of problems rampant throughout the global electronics industry. The Foxconn model is a hit outside China, too, as the company's reach traces the global grasp of its client brands, including Nokia, Apple, Dell and Sony, among others. Link: http://sacom.hk/archives/720
Royal Mail to be privatised The government is going ahead with the sale of Royal Mail, with a new independent firm being formed to run sorting and delivery operations. Outside investors will hold most of the shares and the rest will be offered to Royal Mail staff. Pension liabilities will be taken on by the government and the separate Post Office network would remain in state ownership. The Communication Workers Union (CWU) has said the privatisation will devastate the postal service, with higher prices for customers and job losses for staff. Many predict this will lead to a worse service, with only the shareholders benefiting in the long run, which is what happened with the privatisation of the railways and utility companies. Business Secretary Vince Cable is quoted to have said this is "Big Society in action." Workers at Royal Mail recognise that the government has been winding the service down for years in order to sell it off and have a casual workforce. The main drain on Royal Mail's profit base in recent years has been the subsidising of private mail companies by carrying their mail for them, with a massive increase in corporate mail like magazines, junk mail, brochures and bulk-mail advertising. Such companies extract the profitable trade from banks and utilities, then rely on Royal Mail to do the delivery work.