US embassy cable - 03KATHMANDU1138

UNCLAS KATHMANDU 001138 
 
SIPDIS 
 
SENSITIVE 
 
DEPT FOR SA/INS 
LONDON FOR CGURNEY 
NSC FOR MILLARD 
 
E.O. 12958: N/A 
TAGS: PGOV, PINS, PTER, NP, Maoist Insurgency 
SUBJECT: NEPAL:  MAOISTS UTILIZING TRADE UNIONS TO ADD 
PRESSURE ON THE GOVERNMENT 
 
REF: A. 2001 KATHMANDU 1676 
     B. KATHMANDU 152 
     C. KATHMANDU 740 
     D. KATHMANDU 770 
 
1.  (SBU) Summary:  Over the past week, garment manufacturers 
have been in negotiations with leaders of the 
Maoist-affiliated trade union.  The Maoists have requested a 
dramatic increase in salaries and permanent employment.  The 
Maoists have issued vague threats to pressure the garment 
manufacturers to accede.  The Maoists' recent use of trade 
unions may indicate a new urban political strategy.  It 
appears that the Maoists have not yet sought cooperation from 
mainstream trade unions.  End summary. 
 
2.  (SBU) Over the past week, members of the Garment 
Association of Nepal (GAN) have been in negotiations with 
leaders of the Maoist-affiliated All Nepal Trade Union 
Federation.  According to GAN President Kiran Saakha the 
Maoists have requested a dramatic increase in monthly 
salaries (from USD 30 to USD 78) and an end to the use of 
temporary workers by demanding that garment manufacturers 
bring such workers onto the permanent payroll.  The recent 
Maoist activism on behalf of garment workers echoes demands 
made in August 2001 (ref A).  Rather than threaten immediate 
strikes, the Maoist trade union negotiators prefaced their 
demands with threats; they claimed responsibility for the 
slaying of Inspector General of Police Shrestha (ref B) and 
stated they could make doing business very difficult.  The 
Maoist negotiators claimed that as they occupy ninety-eight 
percent of the country's territory, they should be extended 
the same respect the manufacturers give the Government of 
Nepal.  Despite the threatening overtones, a special 
committee of the GAN has engaged them in dialogue for five 
days without the Maoists calling a strike or threatening 
specific harm to the companies. 
 
3.  (SBU) Calls by the Embassy's political specialist to 
spokespersons of the two largest trade unions, the General 
Federation of Nepalese Trade Unions (affiliated with the 
Communist Party of Nepal-United Marxist Leninist) and the 
Nepal Trade Union Congress (affiliated with the Nepali 
Congress Party), revealed that they were completely unaware 
of the Maoist trade union's demands. 
 
4.  (SBU) Comment:  These recent actions by the 
Maoist-affiliated trade union may represent an evolving urban 
strategy.  This strategy may have been tested first by the 
Maoist-affiliated student union, which appropriated existing 
grievances of the mainstream student unions and led them into 
the streets (ref C and D).  Similarly, the Maoist trade union 
has taken up complaints of low-pay and employment insecurity 
and may utilize them to try to garner broad appeal.  Given 
the mainstream trade unions' lack of awareness of the Maoist 
campaign, a "joint movement" of the trade unions--similar to 
that conducted by the student wings--seems unlikely in the 
coming weeks. 
BOGGS