International framework agreement on health and safety signed at ArcelorMittal

In early June 2008, the world’s largest steel company, ArcelorMittal, and trade unions representing its employees at global level signed an international framework agreement to further improve health and safety standards throughout the company. The agreement recognises the vital role played by trade unions in improving workplace health and safety. It sets out minimum standards in every site which the company operates in order to improve the health and safety performance.

On 3 June 2008, ArcelorMittal, the European Metalworkers’ Federation (EMF), the United Steelworkers (USW) and the International Metalworkers’ Federation (IMF) signed an International Framework Agreement to further improve health and safety standards throughout the company. ArcelorMittal is the world’s largest steel company, with 310,000 employees in more than 60 countries worldwide. It is the leader in a number of global markets, including automotive, construction, household appliances and packaging. In 2007, the company’s crude steel production amounted to 116 million tonnes, representing around 10% of world steel output.

Aim and content of agreement

The global framework agreement, the first of its kind in the steel industry, sets out minimum standards on health and safety in every site which the company operates. These standards include the commitment to form joint management and trade union health and safety committees. In addition, training and education programmes will be offered across the company in order to make a meaningful impact on workers’ overall health and safety. The agreement also recognises the important role played by trade unions in improving health and safety at work.

Also included in the agreement is the creation of a joint management and trade union global health and safety committee, which should act as a facilitator in harmonising safety performance across the ArcelorMittal group. Furthermore, the joint committee is expected to target various plants in the group in order assist in further improving their health and safety performance.

In the section on the basic principles, the agreement states that, while line management is ultimately accountable for providing a safe workplace, communication between workers and management, the active involvement of every employee and training are essential elements for achieving zero injuries.

To facilitate the active involvement of workers and management in improving occupational health and safety (OHS) at the workplace, the agreement provides for the establishment of joint OHS committees in each plant. According to the agreement, the development of a real social dialogue between local management and the workers’ representatives/trade unions should improve the prevention of safety risks and the protection of the workforce.

In particular, the joint OHS committees should follow up accident and incident reporting and ensure that measures are taken to prevent recurrence. Furthermore, they should perform regular inspections of the working environment and ensure that the company standards on health and safety in the workplace are available to workers. The joint OHS committees should also identify training needs of workers.

The actual implementation of the agreement has to be decided between the management, employee representatives and trade unions at plant level and should be done following all local and national traditions and legislation.

Commentary

ArcelorMittal Chair and Chief Executive Officer (CEO), Lakshmi N. Mittal, commented that:

This agreement will build on the important work that we have already undertaken to date. Health and safety is our number one priority and in signing this agreement we hope to set a new benchmark for the industry. Innovation and a willingness to make bold decisions have been at the heart of our success. We are pleased to join our union partners and apply that same philosophy to our approach to health and safety.

On the trade union side, EMF General Secretary, Peter Scherrer, emphasised:

We look forward to turning this agreement into more than just a piece of paper but a reality. Social dialogue and mutual respect are the foundations to any successful initiative and this agreement contains those principles.

The International President of the United Steelworkers, Leo W. Gerard, added:

Signing this agreement should act as a signal to other companies in the industry that unions are the solution to health and safety concerns, not the cause. Health and safety is the single most important issue for workers. It is satisfying that we have delivered this approach in the world’s number 1 steel company.

IMF General Secretary, Marcello Malentacchi, explained:

In signing this agreement, we are signalling our commitment to make a meaningful impact on current health and safety standards in the company. The success or failure of the agreement will depend on our continuing efforts to achieve our goal of every worker, whatever their position in the company, returning home safely at the end of each day.

Volker Telljohann, Institute for Labour Foundation, Bologna