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Features > May 14, 2007

Doing It For Themselves (cont’d)

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“We know Whole Foods buys these tomatoes, says Sean Sellers, co-coordinator of the Student Farmworker Alliance, a CIW sister group. “We know Wal-Mart and Costco do, too.”

Papering over the market

The wave of social movements washing over the corporate bow does not please everyone. “Managers, acting in their professional capacity, ought not to concern themselves with the public good. … [T]hey lack the democratic credentials for it,” sniffed The Economist in a 2005 story on the dangers of corporate social responsibility. And that raises the question: If legislatures fail to respond to public pressure, is engaging with corporations the best way left to advance social change?

Dean Baker, an economist and director of the Center for Economic and Policy Research, says that while activists always risk co-optation, they can use corporate campaigns to mitigate business’ worst behaviors. “It’s not the only tool by any means,” he says, “but when you look at what tools are available, you get ‘em where you can get ‘em.”

Despite the honeyed words of “social compliance” officers, the literature of the business-school set is clear: Ultimately, the diktat of corporate social responsibility is to protect the brand’s reputation and control threats to sales and supplier relationships. In Europe, for instance, McDonald’s has introduced organic milk and banned genetically modified food. Without effective state regulation or strong NGOs driving public antagonism here, corporations like McDonald’s haven’t taken such ethical considerations across the Atlantic. “Global brands, whether it’s McDonald’s or Adidas, view labor rights issues not as a moral question but as a risk management question,” says Scott Nova, executive director of the Worker Rights Consortium. “They will make change to the extent that risk to their brand reputation justifies making change.”

Unless corporate social responsibility programs surrender power to affected communities and workers, the new regime of monitoring and codes of conduct will prove ineffective. “The result is at best managerial paternalism,” writes Pun Ngai, a Hong Kong academic who studies Chinese factories’ adaptations to corporate social responsibility. At some level, activists have themselves to blame for the failings of social compliance. The initial voluntary standards and certifications arose largely from governmental and NGO initiative, not from corporations sensing a market opportunity or acting to protect reputation, says Tim Bartley, an Indiana University sociologist who researches corporate social responsibility. These voluntary measures tied in neatly with neoliberalism, which champions self-regulation over public standard-setting. What’s more, corporations quickly learned that self-regulation was a model over which they could exert control.

The result has been a jumbled map of certification schemes and PR blitzes, leaving consumers to wade through information about corporate behavior without any way to separate the disingenuous or delusional from the decent. The CIW fought off an attempt last year by McDonald’s to defuse its campaign through such a Potemkin-village maneuver. Working with a Florida agricultural trade group, McDonald’s created an industry front called Socially Accountable Farm Employers (SAFE) that issued a competing monitoring plan—without bothering to consult the tomato pickers. “SAFE isn’t going to stand up because it lacks worker input in design and implementation,” Perkins says. “You can’t do social responsibility on the cheap.”

The raft of corporate good-news propaganda has at least one advantage, activists say. It opens new points of leverage against their targets. “Less than a decade ago, farm animal concerns were considered far outside the mainstream,” says Paul Shapiro, who leads the Humane Society of the United States’ farm animal campaigns. “Now it’s within the mainstream. No company wants to be in the position of defending abusive practices and being seen as out-of-step.”

Becoming an irresistible force

Tomato pickers aren’t exactly a class of workers used to a sense of entitlement. Because they receive less than 1.5 pennies per pound picked—a rate that’s stayed constant for 30 years—workers must hoist on average two tons of tomatoes a day to make $60. Federal surveys of Florida farm workers put their annual incomes at about $10,000.”If you can get a job in construction, landscaping, you take it,” says Sellers. “Picking tomatoes is one of the lowest rungs of the employment ladder in the United States.”

Legislation stretching back to the 1935 National Labor Relations Act has created two-tier systems of work (as would the current Gutierrez-Flake immigration bill) and excluded farm workers from the right to union representation. Benefits like overtime pay, health care and sick leave don’t exist for farm workers.

Against those odds, the CIW demanded a transformation of work life—and began within its own organization. Staff members keep their salaries on par with what tomato pickers earn. Since its inception, the CIW has run a food co-op providing basic necessities in an area where grocery stores ran up prices because few workers had transportation to seek out cheaper goods. And in an industry with pandemic turnover, the coalition found ways to keep leaders in the community. Every summer, a watermelon pickers’ co-operative of 15 coalition staffers and full-time pickers slowly works its way north, dividing work and wages equitably. By cutting out the traditional crew leader, the co-operative doubles each picker’s wage—to around $150 a day—and embarks on an exercise in practical political education.

“This is a workers’ co-operative in the context of Southern agriculture,” says Sellers, who has picked watermelons the last two summers and plans to again this year. “When does that happen?”

The farm workers also have side-stepped the limitations of their progenitors, the anti-sweatshop and fair-trade movements. Efforts to end sweatshops have been overwhelmed by the constant pressure apparel brands exert on suppliers to reduce prices, Nova says. The WRC, like the farm workers, is pursuing a strategy that would assure workers receive a livable wage by giving well-behaving factories better-paying contracts. The idea of funneling higher wages to people who bring goods to consumers in rich countries is borrowed, of course, from the fair-trade movement. But unlike fair trade, the CIW and anti-sweat campaigners are attempting to force corporations to pay more to production workers across entire industries, instead of carving out a niche through certification schemes that allow companies to slap a label on products.

The coalition has the ear of those astride the market. When asked in February whether they would support the coalition’s demands, Burger King declined, offering the tomato pickers work in its restaurants instead. Irritated, the coalition pointed out their members already had jobs. The country’s second-largest burger chain shrugged, dispatching its spokesmen to say they simply couldn’t dictate terms to their suppliers.

After McDonald’s folded, however, the directives from fast-food corner offices became more measured. In mid-April, a Burger King spokesman said the company was “always ready to talk … and see what we can work out.”

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Mischa Gaus is a freelance writer based in Chicago.

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  • Reader Comments

    OK.........These tactics work, and have increased the incomes of some of the Florida tomato pickers.  Apparently the plan is to go from corporate target to target until all of the workers gain the increased incomes.  Other fast food chains, Walmart, Whole Foods........why not Budweiser and Ford Motors?  In the meantime, there are some important issues that this campaign ignores. 

    These tomato pickers earn about $7.50 per hour.  In the 5-6 month picking season they earn $10,000 to $12,000.  That’s about it for the year.  It seems rare that any spouses are employed.  This partial employment does not make for a living wage.  I do not understand how this group of migrant farm workers have come to be unmigrant, and how that is supposed to work for them.  The whole concept of migrant farm worker is to follow the work to where the work is.  They have dropped out of the system.  How did this come to be.  Now here are Taco Bell and McDonalds agreeing to pay the workers extra to make up for the 6 months that they do not work.  I realize that it is cheaper for these restaurant chains to do this than to suffer boycotts, etc., but it just fails to seem appropriate to me.

    Plus, if I worked at McDonalds, what am I going to face if I ask for a raise?  Will they say, “Well, we did have a little extra money, but we gave it to the Florida tomato pickers........I guess you’re out of luck.” It is their own workers that McDonalds should be tending to, not those of a tomato farm labor contractor.

    If McDonalds is bound to pursue this type of subsidization, where next?  Maybe the guys working on the wheat harvest?  Cowboys?  Feedlot workers?  Chicken pluckers? Cucumber pickers?  Onion pickers?  Mustard seed harvesters?  Egg gatherers?  Potato diggers?  etc. etc.
    Eventually McDonalds will begin to feel that this is no longer altruism......it’s extortion.

    Posted by JPetersmith on May 15, 2007 at 9:32 PM

    JPetersmith - come on! you think McDonald’s shouldn’t be responsible for its supply chain? it’s extortion? i think it’s extortion that the CEO milks out over a million dollars a year plus benefits, while he can force those truly responsible for the day to day functioning of the company to live on peanuts. the operation of McDonald’s business affects all of those sections of the economy you listed and more. if it doesnt have the ability to properly treat and compensate all its workers, and account for all its inputs, then it should exist in the way that it does.

    Posted by pogos on May 16, 2007 at 1:12 PM

    If McDonalds CEO makes only a million per year, that’s less than a lot of CEO’s make, but is still a huge pot of money.  I’ve heard the recommendation that CEO compensations be tied to a multiple(don’t remember how much a multiple) of the average salary of all corporate employees.  That sounds OK with me.  But whatever it is, if it is inappropriately high, then yes, I would say that the excess management moneys would be better distributed to the rank and file employees. 

    But still, yes, I do not think that, in the absense of child labor, or slave labor, McDonalds has any real responsibility for the business operations of its suppliers.  Sure it’s extortion, but so are the undertones of a lot of labor/management power struggles.  But here the basic confrontation seems so very far off kilter.  I think that the main thing is that, as this article states, they tried to take on the tomato growers and the labor contractors and “didn’t get anywhere”.  Did you read that they later tried a co-op labor service in the melon harvest, which yielded a doubling of earnings for the laborers?  Doesn’t this suggest that the labor contractors were taking half of the money obtained from the growers.  I gather that if a contractor supplies 100 workers in the harvest, that he would make about $60 per day per worker or a cool $6,000 per day.  I really think that it’s the tomato labor contractor that needs to be kicked to the curb, not the McDonalds CEO.  (I am assuming that the cut for tomato labor contractors would be about the same as for melon harvest labor contractors.) The tomato growers seem to be paying probably fair and adequate money for the harvest of their crops. 

    So, I guess that I agree that McDonalds should “properly treat and compensate all its workers”, but don’t agree that it should “account for all its inputs”.

    Posted by JPetersmith on May 16, 2007 at 4:43 PM
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