Author: ajohnstone

Migrant Workers Misery in Spain

Thousands of migrant strawberry pickers from Morocco are trapped in Spain. Local groups call it a humanitarian crisis.



Since the late 1990s, thousands of Moroccan seasonal workers have come every year for the strawberry harvest. Around 17,000, mostly female, Moroccan seasonal workers were supposed to come this year to the southern Spanish province of Huelva for the strawberry harvest. 
Alicia Navascues thinks “this hiring model is a modern form of slavery.” If working conditions were decent, she pointed out, then locals would be keen to take on these jobs, since the province has had a high unemployment rate in the past few years. “This model of capitalistic exploitation does not work, not for these women,” she said. Yet for now it seems it will take more than a pandemic to change it.
Only 7,200 of these so-called temporeras made it there after the borders with Morocco were closed on March 13 due to the coronavirus pandemic.
But once the harvest season finished and their contracts expired, most of them have found themselves trapped as their home country kept its doors closed and refused to repatriate them.
Migrant support groups speak of a “humanitarian crisis.” The laborers’ contracts expired in mid-June, but since then only around a hundred women, who were sick or about to give birth, have been repatriated. Others have given birth during their stay in Spain, working until the day before, if not the very same day they went into labor. A midwife who assisted some of these births told DW that “these women were alone and unable to communicate.”
“They are running out of money and, as time goes by they’re becoming more and more vulnerable,” Jose Maria Castellon, a member of the rights group APDHA, told DW.
The agricultural model of Spain has been questioned for years because of the working and living conditions of its migrant workers.
Apart from seasonal pickers — mostly from Morocco, Poland, Romania and Bulgaria — hundreds of sub-Saharan migrants live year-round in shantytowns close to the fields. Last February, after a visit to the camps, the United Nations’ Rapporteur on Extreme Poverty and Human Rights said: “They live like animals. Their conditions are among the worst that I have seen in any part of the world.”
 At the places where they stay, many don’t have proper ventilation, toilets or running water. Social distancing is a rare privilege. 
“If they had been professional football players, they would have been sent back home right away, but they’re poor women,” Alicia Navascues, a local human rights activist, told DW.
Now it is possible for the Moroccan workers to return by plane or by ship, but only from French and Italian ports. The harvesters say they cannot afford those tickets. Without a negative test result Morocco will not let them go back home.

More Billions for Bezos





Amazon’s Jeff Bezos has set a fresh record increasing his fortune by an additional $13bn (£10bn) in a single day to take his personal wealth to an unprecedented $189bn. The $13bn increase Bezos achieved on Monday is the biggest single-day jump in anyone’s net worth since Bloomberg began tracking the daily changes in fortunes of the world’s wealthiest people in 2012. In ONE DAY Jeff Bezos made well over 4,000 times what the average American earns in their ENTIRE LIFETIME. Bezos is now $71bn richer than the next-wealthiest person on the list: Microsoft founder Bill Gates.



Bezos’s fortune has been swelled by Amazon’s soaraway share price as hundreds of millions of people trapped at home by coronavirus lockdowns around the world turn to the online delivery giant to keep themselves fed and entertained. While many businesses have been hit hard by the pandemic and the beginnings of what threatens to be the worst economic crisis since the Great Depression of the 1930s, Amazon’s shares have increased by 70% since the start of the year. On Monday alone, the share price rose by 8% to a record $3,197. (By lunchtime Tuesday they were changing hands at slightly below that peak.)



 Bezos’s $189bn fortune means he is personally worth more than companies such as Exxon Mobil, Nike or McDonald’s. His total wealth now makes him worth more than Britain’s biggest company, the pharmaceutical giant AstraZeneca which is valued on the stock exchange at £121bn. In the UK, Bezos has more than enough money to buy the big four banks – HSBC, Barclays, RBS and Lloyds – and have enough change left over to pick up British Airways owner IAG as well as Sainsbury’s and Marks & Spencer. The huge increase in Bezos’s wealth on Monday alone is equivalent of adding nearly 30 times the Queen’s £350m fortune. His fortune now dwarfs the GDP of Hungary, Ukraine and Qatar. And he is within striking distance of overtaking Greece and New Zealand who are ranked by the World Bank as the 51st and 52nd biggest economies in the world.





Oxfam, the global development charity, said it was “truly shocking” that Bezos had managed to make so much money during the coronavirus crisis, which has forced hundreds of millions of people around the world to rely on food banks and government support.
“It is hard to reconcile this obscene figure with the reality the rest of us are living through,” Rebecca Gowland, Oxfam’s head of inequality campaign and policy, said. “At a time when hardship is commonplace, hunger is on the increase and half a billion more people face being pushed into extreme poverty, it is truly shocking that one already extremely wealthy individual has pocketed another $74bn already this year.” 
Gowland said it showed global economic policies are “not fit for purpose” and “allow the super-rich to accumulate vast amounts of money at the expense of the rest of us when that money is desperately needed for healthcare and social safety nets”.
Bezos has donated $100m to a food bank charity to help Americans struggling with the economic fallout from the pandemic. .  Bezos’s $100m donation represents 0.05% of his fortune. Bezos has given $2bn, amounting to just more than 1% of his wealth, to the Bezos Day One Fund to help address homelessness and improve education for children in low-income families. Amazon is also pumping $25m into an “Amazon Relief Fund” to support delivery drivers and “seasonal employees under financial distress.”
Bezos would have been even richer, if he had not been required to give his ex-wife MacKenzie 25% of his Amazon shares when they divorced last year. The boom in Amazon’s share price, increased her fortune by $4.6bn on Monday and she is now the world’s 13th-richest person.

More War Threatens Libya

Libya has been in the throes of civil war since a NATO-backed uprising in 2011 that toppled Ghadafi. Control over the oil-rich nation is currently split between a UN-supported Tripoli government in the west and military strongman Khalifa Haftar and his Libyan National Army (LNA) in the east.  Egypt has been backing Haftar, along with the United Arab Emirates and Russia, while Tripoli government forces have been supported by Turkey, Italy and Qatar.



Egyptian President el-Sissi has warned of a military intervention to protect Egypt’s border with Libya. The move could bring Egypt and Turkey, who support rival sides in Libya’s proxy war, into direct confrontation.



Egypt’s parliament on Monday authorized the deployment of troops abroad after President Abdel Fattah el-Sissi threatened military intervention against Turkish-backed forces in Libya. Egypt’s House of Representatives, which is filled with el-Sissi supporters, said after a closed-door session that armed forces could be deployed outside the country to fight “criminal militias” and “foreign terrorist groups” on a “western front,” but did name Libya directly. It said the troops would be defending Egypt’s national security.



El-Sissi said last week that Egypt, which shares its western porous desert border with Libya, would not stand idle if there was a threat to the nation’s security. He also warned that the strategic coastal city of Sirte was a “red line,” and that an attack on the town by Libyan government forces would prompt Cairo to intervene.



With the help of Turkish support, government forces last month ended a 14-month offensive by the LNA in Tripoli. It was a major setback for Haftar, who has sought to unify Libya by force. Since reclaiming Tripoli, government forces have pushed eastward toward Sirte, which lies 800 kilometers from the Egyptian border. The city, which is the late Ghadafi’s hometown, is a gateway to Libya’s most important crude export terminals. 



 The Egyptian presidenct el-Sissi had spoken with US President Donald Trump and assured him that Egypt would “prevent further deterioration of security in Libya.” 



https://www.dw.com/en/egypts-parliament-approves-troop-deployment-in-libya/a-54247567

Musk Gets Bonus

Tesla Chief Executive Elon Musk qualified on Tuesday for a payout worth an unprecedented $2.1 billion, his second jackpot since May from the electric car maker following its massive stock surge.



Despite Tuesday’s stock dip, and importantly for Musk’s personal finances, Tesla’s six-month average market capitalization for the first time has reached $150 billion. That triggers the vesting of the second of 12 tranches of options granted to the billionaire in his 2018 pay package to buy Tesla stock at a discount. 



In early May, Musk’s first tranche vested after Tesla’s six-month average stock market value reached $100 billion. Each tranche gives Musk the option to buy 1.69 million Tesla shares at $350.02 each, less than a quarter of their current price. At Tesla’s current stock price of $1,594, Musk would theoretically be able to sell the shares related to the tranche that vested in May and the current tranche for a combined profit of $4.2 billion, or almost $2.1 billion per tranche.



https://uk.reuters.com/article/uk-tesla-stocks-musk/teslas-musk-qualifies-for-2-1-billion-payday-idUKKCN24M2PY

The Parable of the Table. (1909)

From the July 1909 issue of the Socialist Standard

[An extract from the speech of Gustave Hervé of his trial] Ah! I know that I wound your conscience, gentlemen of the jury. Your conscience pricks you all the more because you feel that I am speaking the truth. I feel sure that when I say this I wound the universal conscience which the Paris Bar with its eloquence, knows so well how to interpret.



But do you believe that Voltaire, Diderot and the rest of the encyclopaedists were able to avoid treading on people’s corns?



It is a lamentable fact that every time a new form of society is about to come forth from the womb of one on the point of death, it always does so by a long and painful child-birth, producing in every family, and in every heart, trouble and anguish; suffering that every innovator would fain spare those whose convictions he hurts.



As for us revolutionary Socialists, we have discarded the folds of this flag on which the names of so many deeds of butchery are displayed in letters of gold.



Flags are but emblems; and are worth something only in so far as they represent something worthy. What, after all, is one’s native country? Or what, in actual fact, do all these “fatherlands” consist?



Allow me, if you please, gentlemen of the jury, to draw for you a mental picture, to speak if I may a kind of parable, which will the better help you to understand what our feelings are. One’s native land, every country, no matter under what form of government it be masked, is made up of two groups of men, consisting on the one hand of a quite small number, on the other including the immense majority of people.



The first of these is seated round a well furnished table where nothing is lacking. At the head of this table, in the seat of honour, you find the great financiers; some, perhaps, are Jews, others Catholics or Protestants, or it may be even Freethinkers. It is possible for them to be in entire disagreement on questions of religion or philosophy, and even on questions affecting their individual interests, but as against the mass of the people, they are as thick as thieves.



Seated on their right and left hand you have Cabinet Ministers, high officials of every department of civil, religious or military administration. Paymasters-general with salaries of 30, 40, and 60 thousand francs a year: a little further off fully fledged barristers, by their unanimity glorious interpreters of the “Universal Conscience” – the whole Bench and Bar, not forgetting their precious assistants, the solicitors, notaries and ushers.



Large shareholders in mines, factories, railways, steamship companies and big shops: manorial magnates, big landed proprietors; all are seated at this table: everybody that has two-pence is there too, but at the foot. These latter are the small fry, who have for that matter, all the prejudices, all the conservative instincts, of the big capitalists.



Ah! gentlemen of the jury, I wish that you may be of the number of these privileged ones seated around this festive board. Verily, you are not so badly off there, after all, you know. In return for a little work – when you have any work at all – work I say which is oft-times intelligent, occasionally agreeable, which always leaves you with some spare time for yourself, directive work that flatters your pride and vanity – in return for this you can enjoy a life of plenty, made pleasant by every comfort, every luxury that the progress of science has placed at the service of Fortune’s favoured ones.



Far from the table I see a great herd of beasts of burden doomed to repulsive, squalid, dangerous, unintelligent toil, without truce or rest, and above all without security for the morrow; petty shop-keepers chained to their counters, Sundays and holidays, more and more crushed by the competition of the big shops; small industrial employers, ground down by the competition of the big factory owners; small peasant proprietors, brutalised by a sixteen to eighteen hours day, who only toil that they may enrich the big middlemen: millers, wine factors, sugar refiners. At a still greater distance from this table of the happy ones of this world, I see the crowd of proletarians who have but their strength of arm or their brain for sole fortune, factory hands, men and women exposed to long periods of unemployment, petty officials and shop-assistants forced to bow and scrape and hide their opinions, domestic servants of both sexes, labouring flesh, cannon fodder, matériel of “pleasure”.



There are your beloved countries! Your country to-day is made up of this monstrous social inequality, this horrible exploitation of man by man.



When the proletarians doff their hats to the flag as it passes by, it is to this that they uncover. They in effect say: “What a splendid country is ours! How free, kind and just is she!”



How! how you must laugh, Mr. Attorney-General, when you hear them sing:
“ah! glorious is death indeed,

When for our native land – for liberty – we bleed!”

They call it sport

While news in the UK revealed the abuse of gymnasts, a Human Rights Watch report has found child athletes in Japan often suffer physical and verbal abuse and sometimes sexual abuse when training for sport after documenting the experiences of over 800 athletes in 50 sports. 



The 67-page report released on Monday titled “I Was Hit So Many Times I Can’t Count” looks at Japan‘s history of physical punishment in sport and includes first-hand accounts of athletes being punched, kicked and whipped.



“For decades, children in Japan have been brutally beaten and verbally abused in the name of winning trophies and medals,” Minky Worden, director of global initiatives at Human Rights Watch (HRW), said in a statement.



https://www.france24.com/en/20200720-japanese-child-athletes-brutally-beaten-and-abused-human-rights-watch-report-finds

Why GDP?

 Two economic professors find a dead rat while on a long stroll. In disgust, the older don dares his younger colleague: “if you eat it, I’ll pay you $10,000”. The younger economist makes a quick cost-benefit analysis in his head, then accepts the challenge, to his colleague’s surprise. 



Sometime later, realizing the enormity of his financial loss, the older man offers to reciprocate to get his money back. Feeling ashamed of being the only one to eat a dead rat, his younger colleague quickly agrees.



A few days later, feeling quite foolish about what happened, the younger don laments: “Looks like we both ate dead rats for nothing”. The more senior professor reassures him, “Yes, but remember we increased GDP by $20,000”.
GDP has been increasingly challenged on many grounds as a measure of economic and social progress. Clearly, GDP does not take account of other dimensions of wellbeing, natural resource depletion or environmental damage.  Much care work by family members which goes unremunerated and thus unrecorded.
Excluding some economic activities, but not others, when calculating a country’s national income is also problematic as it is difficult to agree on what economic activities should be included to enhance welfare.
Interestingly, US and European statistical offices only started national income accounts after the Second World War using Simon Kuznets’ pioneering work for the Roosevelt administration.
Robert F. Kennedy famously quipped over half a century ago, GDP “measures everything, except that which makes life worthwhile”.

Worse to come?

British households have suffered the biggest hit to their finances since the oil crisis of the mid-1970s.  Against a backdrop of rising job losses four months into the crisis, the Resolution Foundation thinktank said the average household in Britain had suffered a 4.5% drop in income in the month of May, compared with their average monthly income level in the financial year ending March 2020, before the pandemic struck.



Despite the government ramping up spending to cushion the economic blow, with 9.4m jobs furloughed on its coronavirus job retention scheme and £9bn of fresh funding for the benefits system, it said income levels for the typical family had crashed back down to 2006-07 levels in a matter of months.
The thinktank said the hit to incomes was bigger than the one families suffered during the 2008 financial crisis. The income of typical working-age households fell by 2.7% as a result of the banking crash little more than a decade ago.
The Resolution Foundation said the financial impact from Covid-19 comes after a decade of stalling improvements for living standards in Britain. After one of the weakest economic recoveries on record following the 2008 financial crisis, workers’ average pay after accounting for inflation only returned to its pre-crisis peak in December, following 12 years of sluggish growth. It said the decade of lacklustre gains meant the poorest 10th of households in Britain had incomes no higher on the eve of the coronavirus pandemic than in the early 2000s.
The Resolution Foundation said ministers providing emergency funds to cushion the economic fallout had prevented a worse outcome, with the study finding that the poorest fifth of households had seen no immediate hit to their income at all during the first phase of the crisis. Without action, the poorest families would have seen their incomes collapse by at least 8%, it said.
The Treasury’s furlough scheme is due to be cut back from the start of next month, before it is closed completely at the end of October. Last week, the government’s economics forecaster, the Office for Budget Responsibility, warned at least 10% and up to 20% of the 9.4m jobs protected by the scheme could be made redundant when it is closed. The OBR warned unemployment was on track to more than double to levels unseen since the 1980s before Christmas.
Frances O’Grady, the general secretary of the TUC, said, “Working people must not pay the price of the pandemic. The government should step in with much greater targeted support to save jobs in hard-hit sectors like retail, manufacturing and aviation,” she said. “The more people we keep in work, the faster we can get ourselves out of recession and get living standards rising again.”
Adam Corlett, a senior economist at the Resolution Foundation, said: “The government’s unprecedented policy response has played a critical role so far in protecting millions of households, and particularly the poorest, from the worst of the crisis. But for many the threat of further income falls looms large.”

Capitalism cannot be regulated

Big business and banks are just as corrupt and eager to shovel profits to senior executives 10 years after the landmark banking reform legislation known as Dodd-Frank as they were during the 2008 crisis, a new report warns, because the bill’s regulations on executive pay remain unimplemented.



 It has remained unimplemented—nine years after the deadline Congress set—thanks to lobbying from the banking industry, the report found. Section 956 calls for a ban on all “inappropriate” pay structures that could lead to “excessive risk taking.” 



Meanwhile, money that Congress allocated to bail out bank creditors in 2008 effectively went to bankers, while more than 10 million lost their homes, their jobs and their savings.



“White collar crime pays, and until Congress enacts the rules to change it, we’ll continue to see top executives raking in off catastrophes of their own making,” report author Bartlett Naylor, financial policy advocate at Public Citizen, said.



The report lists billions in bonus cash paid out to executives over the past decade despite Dodd-Frank’s regulatory framework banning such cash-outs. 


“It’s 2008 all over again,” said Naylor. “Congress is bailing out Big Business and enriching CEOs while workers scrape by as the economy lurches downward in a pandemic.”



DWP – “irrational, unjust and unlawful.”

A working single parent who was benefit-capped and left up to £463 a month worse off because of the “irrational” way universal credit calculated her monthly earnings has won a high court victory against the Department for Work and Pensions.



Justice Garnham said the system treated Sharon Pantellerisco, a 41-year-old care worker from Southport, as if she were not working, and punished her by arbitrarily reducing her overall universal credit award through the benefit cap.



In effect, Pantellerisco had been penalised financially because her four-weekly pay cycle did not fit in with the design of universal credit. No “reasonable” secretary of state for work and pensions would have allowed the system to operate as it did in this case, the judge said.



Pantellerisco, who has four children, worked 16 hours a week, receiving the “national living wage”, but was paid on a four-weekly basis, an arrangement that clashed with universal credit rules that calculate earnings over a calendar month. This meant her income for most universal credit assessment periods was deemed to be too low, subjecting her to the benefit cap, which in turn resulted in her benefit income being docked by up to 20% a month. This left her stressed, depressed and struggling to feed and buy clothes for her children. 



Carla Clarke, a solicitor for Child Poverty Action Group, which brought the case, said: “A system that determines the amount of social security low-paid working claimants are entitled to on the arbitrary basis of whether they are paid monthly or four-weekly can only be irrational, unjust and unlawful.”



https://www.theguardian.com/society/2020/jul/20/universal-credit-earnings-calculations-unlawful-judge-says