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In June 2010, an inspection 
of the Ministry of Labor (MITRAB) 
detected several 
irregularities in the Nestle 
plant (Compañía 
Centroamericana de Productos 
Lácteos SA – PROLACSA) of 
Matagalpa in Northern 
Nicaragua. Now, the Union of 
workers of Productos Lácteos 
SA (SINPROLAC), affiliated 
to the IUF, has reported a 
new offensive of the 
transnational corporation 
and calls on the authorities 
to intervene. 
  
Last week SINPROLAC 
executives traveled to the 
capital and met with the 
Deputy Minister of Labor, 
outlining the urgent need 
for the institution to issue 
a final decision on the 
outcome of the inspection 
conducted in June at the 
Nestlé plant in 
Matagalpa 
  
“During the inspection, the
MITRAB officer 
detected several 
irregularities.  There was 
an initial ruling that the 
company appealed, and now we 
are asking authorities to 
issue a final decision, 
forcing Nestlé to 
change their attitude 
because no problems have 
been solved”, the general 
secretary of SINPROLAC,
Felix Rizo stated for
Sirel. 
  
Among the main problems, 
SINPROLAC reported 
several episodes of abuse 
and disrespect against 
workers and changes in the 
basis for the calculation of 
the thirteenth-month salary. 
  
“There were several 
instances where the 
company's middle management 
showed disrespect for 
workers, and there was a 
serious episode of physical 
aggression against an 
employee. 
  
At our monthly meeting we 
demanded that the 
perpetrator of this act of 
violence be punished, in 
accordance with the internal 
rules, but the company took 
no action. In addition, 
verbal abuse is constant", 
said Rizo. 
  
The general secretary of 
SINPROLAC also said that
Nestlé unilaterally 
changed the method of 
payment, affecting the 
calculation of social 
benefits. 
  
“There is an internal 
agreement between the union 
and the company for the 
thirteenth month 
calculation, which is based 
on the real wages. However, 
since last year the company 
began to alter the payment 
method, and, through 
trickery, the Christmas 
bonus began to be calculated 
based on nominal wages. 
  
This strategy is affecting 
us economically", continued 
Rizo,"and we are asking the
MITRAB to issue a 
final ruling requiring the 
company to respect the 
internal rules and bipartite 
agreements. 
  
We need a greater presence 
and effectiveness of the 
labor authorities”, he 
added. 
  
SINPROLAC 
also requested the MITRAB 
to coordinate inspections 
with different Government 
authorities. 
  
“In this company we produce 
food. It is necessary that 
the Social Security 
Institute, the Ministry of 
Labor and the Ministry of 
Health conduct inspections 
to ascertain the existing 
health and safety situation 
in the company and the union 
must be a part of this 
process", said Rizo. 
  
Finally, the general 
secretary of SINPROLAC 
reported that in late 
November the General Meeting 
of the Union will be held, 
for electing new authorities 
and informing members about 
the process of drafting the 
list of demands to renew the 
collective agreement that 
expires in January 2011. 
  
   
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