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8
Shell as a TNC has had a negative effect on Countries like Nigeria. In that Country its installations have been allowed to operate outside of environmental and social considerations. Because it is a major part of the Nigerian economy Shell have been allowed to destroy the environment by not employing any of the controls that they have to use in the West.
Pipelines are run across the ground on the surface, sometimes running through small villages, leaking oil as they go completely unchecked. Oil is allowed to pollute rivers that local people depend on for their staple diet of fish, causing starvation in some areas.
The gas that is burnt off as a by product of oil refining is not done in an environmentally friendly way, causing black soot to rain down on the local villages. If complaints are made these are dealt with by gangs of thugs employed by the company.
This bleak picture is the sort of thing that too much power and too little control allows.
The codes of conduct that were used in South Africa, as a result of apartheid, which caused pressure abroad and at home in the UK should be expanded to include the states like Nigeria, where the same TNCs operate.
The COSATU Union Federation in South Africa also ran a campaign on foreign companies not to do business there until apartheid was lifted. They also developed a code for investors.
Greenpeace was a classic case of an environmentalist group taking on a very powerful TNC and using specific tools to do this.
In the case of Brent Spar this was done by controlling all media information and filming of the action that they were taking. By doing this they were controlling what the world would see and as a result Shell was forced to abort their actions.
However, this same TNC which has operations throughout the world, has employed tactics such as corruption in the local government, the employing of enforcers to ensure minimum criticism of their actions.
Another example of their negative tactics in the UK is the derecognition of the T&G as an organisation. This has had a negative effect on the workers ability to negotiate their pay and conditions.
To draw a parallel between Brent Spar and the UK situation, on the one hand Greenpeace used a single method of action to achieve a result, whereas, in the UK picketing of Garages and of Shell AGM had no real effect whatsoever and did not attract media coverage, and in our opinion failed.
To meet the challenged of this type of TNC you need to mobilise every available resource. For example Codes of Conduct that are backed up by independent monitoring need to be set up in Europe.
If countries such as those in the EU jointly take action as a result of these codes, then it would make things increasingly difficult for them to operate abroad in the manner they do.
Trade Unions should play a full part world-wide in making sure that their Brothers and Sisters in these oppressed countries have the ability to organise.
Even the Church could play a greater role in developing countries, as they have the ability to communicate internationally and could inform the world of the horrendous practices of the likes of companies such as Shell.
Finally, environmentalist groups such as Greenpeace can use their specialist skills in obtaining visual information on bad practices by TNCs, so as to get the best media attention.
Links Conserning this summary
Study Circles other summaries
[Session 1]/ [Session 2]/ [Session 3]/ [Session 4]
[Session 5]/ [Session 6]/ [Session 7]/ [Session 8]
[Evaluation]
Summaries of session 7
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