Nestlé faces
a grilling at TUC fringe meeting 10
September 2003
Nestlé's
performance in a debate with Baby Milk Action at a TUC fringe
meeting on 10 September 2003 prompted the question to Nestlé
from the floor, "Why do you come here? You are not wanted."
Nestlé's Head of Corporate
Affairs, Hilary Parsons, denied Nestlé
is guilty of violating the marketing requirements for baby foods
adopted by the World Health Assembly. Mike Brady, Baby Milk Action's
Campaigns and Networking Coordinator, strongly denounced Nestlé
management for using a strategy of denials and deception to divert
criticism whilst continuing with business as usual, putting company
profits before the health of infants. He put forward documentary
evidence of Nestlé malpractice (read Mike's opening statement
by clicking here). A member
of the TUC General Council who had opposed Nestlé having
a stand at the conference as in previous years spoke from the
floor of her own investigation, including contact with UNICEF
and examination of research published in the British Medical Journal.
Ironically,
the day after Hilary Parsons assured the trade unions that Nestlé
does nothing wrong and that concerns are only ever voiced in the
UK, German NDR television's respected Panorama programme ran a
documentary on Nestlé malpractice in the Philippines. Germany
and the Philippines are amongst the
20 countries where the boycott has been launched by national campaigners
(click
here to see the German TV programme).
Nestlé's
Senior Policy Advisor and Director of Communications sat
in the audience with Lord Nazir Ahmed. Lord Ahmed claimed
that he had found Nestlé was doing nothing wrong in Pakistan
and alleged
that Nestlé
whistle
blower, Syed Aamar Raza, had launched his
campaign
against
Nestlé in a bid to seek asylum outside the country and
was now living happily in another country. Mike Brady
responded: "That
is a terrible thing to say. Aamar has not been able to
see his two young children,
his wife and family for four years. We are in regular contact
with him and he definitely is not happy." Lord
Ahmed was then questioned on his role as a paid 'advisor'
to Nestlé and the fact his 'fact-finding' trip to Pakistan
had been paid for and organised by Nestlé. Lord Ahmed had
not mentioned this when introducing himself. Admitting
the financial links to Nestlé, he asked: "Why
should I be out of pocket?"
Lord
Ahmed has made similar allegations in the past, prompting
Aamar to write to him two years ago, stating:
“You seem to assume that my purpose from the beginning
was always to leave Pakistan. I must ask you to stop making
such a claim which bears absolutely no relation to the facts.
I have not seen my wife or two young children for over two
years and my present living conditions are very difficult
as I try to support myself and my family in Pakistan through
hard work. It is a great insult that you suggest this is
my choice. If I could safely return to Pakistan I would do
so immediately.”
Lord
Ahmed and Hilary Parsons were asked by Mike Brady why Nestlé continues
to refuse to release a tape recording which the company
claims shows Aamar attempted to blackmail the company.
Aamar claims the tape proves
a senior
Nestlé executive attempted to bribe
him to keep quiet. (Click
here for an earlier head-to-head
radio interview involving Lord Ahmed and Mike Brady).
The
decision of the TUC General Council to refuse Nestlé a
stand at the
TUC's Brighton Conference this year prompted
the world's largest food
company to back down on its earlier refusal to debate issues
of concern with company
critics at a fringe meeting. The meeting,
held in the Brighton Centre,
was hosted by trade
unions which represent workers in Nestlé.
Mike
Brady, Campaigns and Networking Coordinator at Baby Milk
Action, said:
"The unions
representing Nestlé staff are
concerned about the impact of the Nestlé boycott,
the UK's best
supported consumer boycott. Nestlé's
bad reputation is due to the malpractice of its executives
- Baby Milk Action is the messenger. Trade unions are very
successful at prompting management to change policies and we
ask them, and Nestlé employees, to help us to call management
to account."
Brian
Revell, T&G, National Organiser, Food and Agriculture,
also on the panel, said he was unsure who to believe
and criticised the campaign against Nestlé
for effectively barring Nestlé from membership of the Ethical
Trading
Initiative. ETI requires member companies
to sign up to and abide by a code of conduct relating to labour
conditions. While
trade unions representing Nestlé workers
have supported
Nestlé being invited to join ETI, NGOs with
experience of the company's
malpractice have voiced their concern and
Nestlé has not made an application to
join
(see
Boycott News 27).
Mike Brady commented that there is no company presently in ETI
with a record as bad as that of Nestlé. More importantly,
Nestlé's record in violating the marketing code for breastmilk
substitutes, whilst claiming it is complying, demonstrates its
bad faith. Nestlé opposes independent monitoring of its baby
milk marketing and coffee purchasing. Nestlé's record suggested
the company would undermine ETI's strategy and use its membership
for public relations purposes.
Mike
Brady said of the fringe meeting:
"Nestlé's
contempt for the World Health Assembly requirements was
effectively exposed at the meeting. Hilary's denials
of wrong doing in the face of documentary evidence did
not seem to convince the audience, judging from the grilling
she received. Nestlé executives need to drop this
discredited and dishonest public relations strategy and
bring their
baby food marketing policies and practices into line
with international standards."
Baby Milk Action is the UK member of IBFAN, the International
Baby Food Action Network, consisting of over 200 groups in more
than 100 countries. IBFAN works with policy
makers around the world to bring in legislation regulating the
marketing of baby foods. Half of the world's population now has
some degree
of
protection and breastfeeding rates are increasing in many countries.
Where companies are left to self regulate, violations remain
rampant.
For further information contact Mike Brady by email at mikebrady@babymilkaction.org
or on
07986 736179.
Notes for editors:
- A similar fringe
meeting was organised by the SE Region TUC Women's Committee
in 1997, the main difference being that Nestlé refused
to attend, despite being present with a stand at the conference
(see Boycott News 21).
Nestlé said then: "It is not our policy to participate
in public meetings with campaigning groups such as Baby Milk
Action since this is unlikely to be helpful in resolving the
conflict."
- Hilary Parsons
has previously accused whistleblower
Syed Aamar Raza of attempting to
blackmail Nestlé and claims the
company has a tape recording of a
telephone conversation proving
this. Aamar says the tape implicates Nestlé executives
in attempting to bribe him. For four years, Nestlé has
refused to
substantiate its allegation and
refuses to provide a copy of the tape to
enable Aamar to defend himself. Nestle
Pakistan has no trade union representation.
See Update 27 for an overview of Aamar's evidence.
- The Nestlé
boycott has been launched in 20 countries and is the UK's best
supported consumer boycott. Earlier this year readers of Ethical
Consumer magazine voted Nestlé the 'least ethical
company'. Nestlé is targetted as monitoring conducted
by the International Baby Food Action Network (IBFAN),
consisting of more than 200 groups in over 100 countries,
finds Nestlé to be responsible for more violations of
the World Health Assembly International
Code of Marketing of Breastmilk Substitutes and subsequent,
relevant Resolutions than any other company. In January 2003,
the British Medical Journal published a study exposing Nestlé
marketing malpractice in Togo and Burkina
Faso (see press release).
- In May 1999 the
UK Advertising Standards Authority upheld all of Baby Milk Action's
complaints against a Nestlé anti-boycott advertisement
in which the company claimed to market infant formula 'ethically
and responsibly'. Although Nestlé cannot repeat its discredited
claims in advertisements, it does so in publications and public
pronouncements. Following the ruling, Saatchi and Saatchi advised
Nestlé to go on the offensive, making donations to charities,
particularly those linked to children, to divert criticism.
Nestlé is doing just this. (see the 'sponsorship'
section).
- The European
Parliament conducted a Public Hearing into Nestlé practices in
Pakistan in November 2000. Nestlé boycotted
the hearing, objecting to the
presence of IBFAN and UNICEF. Nestlé claimed afterwards
that none of
its 230,000 staff was available (see press
release). Nestlé sent auditors it had
contracted to produce a report praising the company, but the
auditors where unable to answer questions on behalf of Nestlé.
- Nestlé has
said that no member of staff has lost their job as a result
of the boycott, but attempts to use this possibility to gain
support from trade unions. For years Nestlé
employees have been laid off because
of restructuring and other economies and just now,
since taking over in 1997
Nestlé Chief Executive, Peter Brabeck-Letmathé,
has been pursuing an efficiency drive to increase profits. Over
US$2.8 billion has been saved by
factory closures (Time, 3 February 2003). Former employees
in Fulton, New York State, whose families have worked for Nestlé
for generations, are said on the International Union of Foodworkers
website to have lost their jobs because this was cheaper than
honouring pension commitments (click
here). Nestlé is currently locking workers out of
its factories and offices in South Korea in a dispute over contracting
out of sales staff. Nestlé
is threatening to shift production to China in response to a
strike (see report Nestlé
may pull out of South Korea over strikes).
- A series of debates have taken place at universities over
the past two years. Nestlé similarly refused to even
speak at public meetings at universities if Baby Milk Action
was present, but backed down after students targetted Nestlé graduate
recruitment events. The debates have served to strengthen
support for the boycott amongst students (see Boycott
News 33). At these debates Ms Parsons has been questioned
on Nestlé's trade union busting activities in countries
such as Colombia (see Boycott
News 32) and the Philipines (click
here). While refusing
to be drawn on this issue, has used Nestlé's presence
at the TUC Conference to claim the company has good relations
with trade
unions.
- The
boycott in the Philippines is coordinated by IBFAN group
ARUGAAN (Support System for Women with Young Children). Striking
Nestlé workers in the Philippines have called for people
to support the Nestlé boycott as well, in protest over heavy
handed tactics used against trade unionists (click
here).
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