HeidelbergMaterials Global Union Network: Grenzen des gesellschaftlichen Wandels überwinden
The Heidelberg Materials Global Union Network, comprising 20 activists and leaders from trade unions in 10 countries affiliated with the Building and Wood Worker’s International (BWI), IndustriALL Global Union, and the European Federation of Building and Woodworkers (EFBWW), convened in Steinbach. Citing Heidelberg Materials' reports, they noted a shift in shareholder distribution in 2022, with a decline to 30.19 percent in Germany and a similar trend in France. Conversely, North America saw an increase from 31.60 percent in 2021 to 34.10 percent in 2022.
Heidelberg Materials, celebrating its 150th anniversary in 2023 with a rebranding and new logo, underwent portfolio optimisation in 2022, resulting in the cut of approximately 1,200 jobs across the group. Simultaneously, around 770 new workers joined, with significant expansions in North America, Australia, and the United Kingdom. The year 2023 witnessed new acquisitions, reinforcing operations in the circular economy approach. The Global Union Network aims to integrate union representatives from these companies into its meetings and activities in the future.
Discussions among participants included the 2023 EU Directive on the Carbon Border Adjustment Mechanism (CBAM), imposing CO2 taxes on cement imports. The CBAM system, fully applied in 2034, aims to curb carbon leakage and encourage CO2 reduction, posing challenges and opportunities for the industry in the EU. By 2030, EU cement producers face -48.5% free CO2 allowances, increasing production costs. While this may not enhance productivity, it will push for CO2 reduction and the creation of new jobs, though not compensating for some jobs lost in the transformation process.
Heidelberg Materials aspires to capture 10 Mio. T CO2 through CCUS projects, targeting net-zero emissions by 2050. Despite ambitious goals, the company faces funding challenges and varying governmental support for certain technologies, raising concerns among workers about job stability.
“The CBAM will create changes in the industry in the EU, but also outside, hence the role of national, global, and European unions in addressing workers' concerns starting from the workplace level is of key importance. The cement industry will not look like it is today in 10 years’ time, and it is important for us to make the workers understand the situation and the consequences for them and their jobs,” says Peter Riedel, IGBAU Head of Department Building Materials.
Lacking a Just Transition for Workers
The company's commitment to environmental responsibility involves technological transformations, including renewable energy adoption and carbon capture projects in different countries. However, the transformation's impact on workers, including reskilling needs and health and safety challenges, raises concerns about the company's approach to social dialogue.
Heidelberg Materials' reluctance to engage in constructive social dialogue was highlighted during a strike at its cement plant in Couvrot, France. The company's management goal in France is clear: maintain production at all costs, even if it means facing economic losses, undermining industrial action, and increasing CO2 emissions.
The over 50-day-long strike was caused by complicated and difficult working conditions for the workers following numerous industrial transformations on the site in recent years to confront the challenges of decarbonisation by increasing the percentage of fuel substitution. The company’s new set objectives are a source of significant additional workload without increasing the staff numbers to cope with the new workload. Workers must manage to keep the facilities running with a very significant lack of human and material resources. Workers are affected by poor health at work, burnout, or subject to RPS (psycho-social risks).
Upon receiving reports about the alarming health and safety situation, Norbert Steinert, chair of the European Works Council at Heidelberg Materials, paid a visit on 16-17 October 2023 to several cement plants in France, including the one in Couvrot, requesting from the management of the plant in Couvrot to improve the health and safety conditions making it safe for the workers to work again there. The cleanness and the health and safety on the site were not observed, conditions that should not prevail in Heidelberg Materials factories.
The Global Network lamented the company's disrespectful attitude and emphasised the need for fair negotiations to maintain social peace globally. The Network passed a solidarity statement in support of the CGT FNSCBA members on strike at the plant in Couvrot in France. Unionists expressed their deep regret over the company's reluctance to engage in constructive and productive global and local social dialogue, despite numerous proposals.
In addition to addressing workers' concerns, the unions celebrated achievements in various countries, such as the introduction of new PPEs in Norway and collective bargaining agreements in Germany.
A grievance mechanism excluding collectively bargained mechanisms and global trade union frameworks
Pushed by the German due diligence law, the company's Managing Board issued on 26 July 2023 a Policy Statement on Human Rights – Heidelberg Materials with a scope that applies to Heidelberg Materials AG and all companies directly or indirectly controlled by it. However, concerns arise as the representative union has not been informed of the introduction of a new project on the use of alternative fuels and has not been treated as a ‘relevant stakeholder,’ which is against the company's Code of Conduct and its rules for business and society on ‘fairness.”
Jasmin Redzepovic, BWI Policy Director for Cement and Building Materials, remarked, “Despite an updated Policy statement on Human Rights, we don’t see a clear policy towards the workers in the process of Heidelberg Materials’ transition to the new building solutions, decarbonisation, and digitalisation. The example of workers' issues at the plant in Couvrot in France shows the gap between what Heidelberg Materials claims to have in place in its written policy and the reality.
The preventive and remedial measures in the company's policy statement on Human Rights lack legitimate remedial measures, which are the 6th step in the OECD Due diligence recommendations. In its grievance mechanism, it also excludes collectively bargained mechanisms, global trade union frameworks, and the OECD National Contact Point. It would be in the interest of the company to consider the global voice of workers with regard to the mentioned policy, which BWI expects to be amended in the next annual update.
The network urged Heidelberg Materials to align its eco-policies with a social dimension, prioritise social dialogue, and adhere to human rights legislation. The call for respect for workers' rights and a commitment to a Just Transition reflects the workers' and unions' unwavering demand for sustainable jobs with good wages. The network adopted a statement calling on Heidelberg Materials to prioritise health and safety and fundamental workers' rights for a zero-harm target through joint monitoring and genuine social dialogue at all levels. #