Conference on Spanish Hotel Chains

in Latin America and Union Rights 

Buenos Aires Declaration

The Conference, held in Buenos Aires from September 24 through 26, 2008, with the attendance of 27 delegates from 15 organizations of Argentina, Brazil, Chile, Spain, Mexico, Nicaragua, Panama, Peru, the Dominican Republic, and Venezuela, closed with the conclusion that the situation examined transcends the Spanish hotel chains (SCs), as it is also found in similar companies from other regions.

The main problem arises from the antiunion policy applied systematically by the SCs, specially in the case of Barceló, Riu, and Meliá, with the subsequent violation of the ILO’s principle of decent work and the ILO Tripartite Declaration of Principles Concerning Multinational Enterprises. This anti-worker and antiunion policy is also evident when these companies execute what are known as “convenience contracts,” like in the case of Mexico and the Dominican Republic.

The policy of outsourcing and fixed-terms contracts –neoliberal practices euphemistically termed “flexibilization”– applied throughout the sector generates the effects on workers, their rights and economies, which are so widely known. In addition, outsourcing allows companies to elude their obligation to professionally train all their personnel, and in that way puts the health of all consumers at risk by exposing them to food handled under a system of work that does not guarantee an adequate level of quality and safety.

Among the negative aspects of these chains identified at the Conference are a trend towards concentration and a tendency to avoid holding fixed assets –such as land and buildings- and personnel under a relationship of dependency, a situation that forecasts the emergence of “virtual hotel companies” with foreseeable severe consequences for workers and host States (in terms of local taxes, regulations and legislations).

The Conference highlights and values the measure adopted last April by the government of Ecuador, which prohibits the outsourcing of complementary services, labor intermediation, and hiring by the hour, and in this sense we ask the Regional Secretariat to express our satisfaction to the government of Ecuador.

In 2006, the SCs were negotiating with the Spanish Ministry of Labor the possibility of relocating to Spain the employees they have in the Caribbean region anytime they needed personnel, specially during the European summer season. The argument used by these employers was that “During the high season, [they] were forced to hire untrained foreign immigrants while [their] companies had workers in the Caribbean who are receiving unemployment compensation.” This argument merits two observations:

·   The claim that in high season they are forced to hire untrained personnel reinforces our position with respect to outsourcing, and proves that their working conditions are so unfavorable as to prevent them from covering all the positions they need to fill in their country of origin.

·         In addition, this argument is misleading and inconsistent as there is no unemployment compensation in Mexico, the Dominican Republic and Venezuela.

Another concern arises from the negative consequences of the “all inclusive” model, a Fordist system applied to the tourism industry that only benefits the large chains insofar as it can only be successfully implemented in hotels with over 150 rooms. The system has turned into a real problem both for workers, small and medium-sized hotel owners, and anyone that provides services for tourists (including restaurants, taxis, craftspeople, among others). From the point of view of hotel workers, this is a model that disqualifies the profession and reduces the number of workers through the application of buffet and self-service modes. The companies’ scarce investment in the training of personnel makes it possible for them to exploit workers, both through the low wages they pay and by forcing them to work long hours.

While not solely due to the way the SCs operate, the extractive tourism model that is practiced in most cases is having alarming effects on the environment. The most significant impacts include:

·         Loss of soil;

·         Loss of coastal sands;

·         Landscape degradation;

·         Overuse and/or contamination of rivers, lakes, aquifers, and other waterways;

·         Dramatic increase in power consumption;

·         Rising cost of living for local populations;

·         Contribution to climate change (for example, transport of food and other supplies from faraway places).

This form of conducting tourism activities leads to a life cycle that will ultimately be exhausted, causing the negative consequences we can all imagine.

Early this year, eleven Spanish chains -Meliá, Barceló, Iverostar, Globalia (Oasis), Fiesta, Sirenis, H-10, Princess, Catalonia, and Piñeiro (Bahía Príncipe)-, all of which operate in Central America and the Caribbean, formed the Association of Global Hotel Investors (Inverotel). The importance they place on this Association is evidenced by the fact that its Board is made up of the presidents of these chains. Jesús Favieres, president of Inverotel, said that their aim is to have a single voice to transmit, negotiate and materialize, in agreement with local public administrations and business organizations, the investments that the leading Spanish hotel chains have in those countries.”

But the creation of Inverotel –even if Mr. Favieres does not say it– opened a two-way road, so that it should be willing to receive, negotiate and execute agreements with an organization such as the IUF, which represents several unions and which also has one voice.

We entrust the IUF’s Latin American Secretariat, Rel-UITA, and its HRCT Department, along with any organizations it deems necessary to call on, with the planning of the organizational tasks necessary to strengthen and promote the growth and greater efficacy of the affiliated labor organizations of the countries whose situation demands it.

Lastly, we wish to acknowledge and express our gratitude to Comisiones Obreras of Spain, LO/TCO of Sweden, and UTHGRA of Argentina for their solidarity and collaboration in the organization of this Conference.