business

Also in this section:
Business & Economy Briefs

Seguro Social strike
The Panamanian Diaspora
City of Knowledge

Social Security Fund walkout highlights increasing labor strife

by Eric Jackson


As they go into their final year feeding their exotic apetites at the public’s expense, many of Mireya’s appointees are paying less and less attention to the real world, but an increasingly militant labor movement is doing its best to distract them from their customary pursuits. Panama recently saw that with an 10-day strike by clerical and administrative employees at the Social Security Fund (CSS).

International lenders and private insurers and health care providers want to privatize Panama’s public health care, retirement and disability pension systems. A number of people in Mireya’s inner circle, for example her advisor Alvaro Antadillas, who owns a private kidney dialysis clinic, would stand to gain from such a move. The labor movement vows a general strike if any such thing is attempted.

Meanwhile Alvin Weeden, the Comptroller General and most prominent of the extended Weeden clan that holds a number of highly paid posts in the Moscoso administration, is carrying on a protracted feud with CSS director Juan Jované, who has the confidence of the nation’s labor unions. In the last issue of The Panama News we noted how this feud played itself out on the streets of the capital, when Weeden blocked Seguro’s attempts to buy cyclosporin for more than a year, thus making it unavailable to kidney patients (except, of course, through expensive private sources). The kidney patients blocked traffic in the city for a couple of days, causing chaos and forcing Mireya to order Weeden to sign the purchase order.

The Moscoso administration’s latest ploy was to pass a CSS budget that didn’t provide for contractually mandated pay raises, an item with a $29.9 million pricetag. Weeden emphasized that the CSS has increased its payroll in the past few years --- which it has, as the economic crisis has sent many patients who used to pay for private care into the public system --- and, as expected, blamed Jované. Jované and the CSS employees proposed a $29.9 million loan from the fund to meet the shortfall, but Weeden and the ministries of health and economy and finance objected. The three private business representatives and the three Moscoso administration appointees on the CSS board boycotted a vote on the proposal, which left a majority of those voting in favor but less than the six of 11 board votes needed to approve the credit. Enraged workers blocked Weeden’s car as he tried to leave the meeting.

The 6,000 or so member of the National Association of Social Security Fund Administrative Employees (ANFACSS) walked off the job. The strike, which began as a one-day protest to coincide with the June 24 CSS board meeting, was extended and gained momentum with each day. It brought the University of Panama campus radicals onto the streets to do battle with riot police, swelled the ranks of a teachers’ protest march that raised similar economic concerns as well as some peculiarly educational issues, and made a bus drivers’ street blockade that would ordinarily have dominated the daily headlines in its own right just another sideshow. The general impression to many was that of the capital city descending into chaos.

There was relatively little violence to match the deep anger, however. A PTJ cop caught trying to infiltrate student rioters was beaten to the point that he required reconstructive surgery for broken bones in his face --- prosecutors say that criminal charges will be forthcoming over that --- and the riot police also beat up a few people in the process of clearing the street barricades. Mostly, though, it was the usual game of tear gas against stones in front of the university and directing traffic away from the streets where the strikers congregated.

The Chamber of Commerce responded with a call to fire striking workers, and presidential candidate Ricardo Martinelli --- himself a former CSS director, who had labor troubles on his shift --- called for Jované’s dismissal. Weeden accused Jované of falsifying the Social Security Fund’s financial data --- which would be a crime if there were any proof, but then the unproven allegation, followed by an “investigation” to look into it, is Alvin Weeden’s classic modus operandi.

For their part, the CONUSI and CONATO labor federations, the FENASEP public employees’ federatio and the country’s teachers’ unions warned on June 26 that if the Moscoso administration didn’t back down they’d call a nationwide general strike.

Meanwhile, paperwork wasn’t the only thing backlogged at the CSS. The strike caused the postponement of about 30 percent of operations at the fund’s hospitals.

On June 30 the CSS board voted by a narrow margin to scrape together a $25.9 million credit from various places, but the unions rejected that offer and continued the strike. The nation’s medical unions, which represent doctors, nurses and technicians at the CSS hospitals, also warned that the board’s offer was unacceptable, and that raised the specter of a complete shutdown of the CSS health care system.

On July 1 the student rioting reached a crescendo --- but with only a few dozen campus radicals participating. President Moscoso complained of a destabilization plot, which served mainly to convince the young militants that their tactics were working.

The public response to the disruption may have included some sympathy for the CSS workers, but people were mostly annoyed at all the street blockades. Police Chief Carlos Barés vowed a hard line toward further blockages.

Finally, on July 3 the government, the CSS board of directors and ANFACSS agreed to a formula by which the workers would get the pay raises due them under their contract. Alvin Weeden said that he and the Moscoso administration hadn’t backed down. Juan Jované said that the important thing was that the CSS would be able to meet its obligations.


Also in this section:
Business & Economy Briefs

Seguro Social strike
The Panamanian Diaspora
City of Knowledge


News | Business | Editorial | Opinion | Letters | Arts | Review | Community | Fun | Travel
Galleries | Calendar | Outdoors | Dining | Science | Sports | Español | Front Page | Archives



Back to top