05/20/2011 10h38

Fiesp and labor unions negotiate pro-industry pact

Valor Econômico

Businessmen and union members want to re-edit the idea of developing a "Sector Pact", on behalf of the domestic industry. The project jointly elaborated by the Federation of the Industries of the State of São Paulo (Fiesp), the Unified Workers Union (CUT), Trade Union Force and two of the largest unions in the country - the São Paulo Steelworkers and the Steelworkers of the region of the ABC - points to need of the State to exert "a key role in stimulating the productive agents (companies and workers)". The project, which Valor had access to, will be presented at a large seminar next week and then submitted to the Federal Government.

Supported by the Presidents of the entities, the "agreement between workers and employers for the future of the production and employment", as the project has been called, is based on a series of concessions from the public sector to the private sector, having employment as the counterpart. For understanding it is about "rebalancing" the industry before the producers of commodities, businessmen and union members do not speak of concessions. The project foresees the reduction of the Long-Term Interest Rate (TJLP) (currently at 6% p.a., thus already below inflation), practiced by the National Development Bank (BNDES), until the creation of the "Development Bank" to finance micro and small enterprises. The BNDES is also requested "more decisive actions" in the demand for securities issued by the companies, such as debentures.

Although it is signed by five entities, the project makes the integration of the agendas clear, especially in the tax area. There is from the proposal of "immediately" increasing the limit of earnings of companies that qualify for the Simples to R$ 3.6 million (US$ 2.25 million), and the creation of a rule of automatic correction of that value, defended by the Fiesp, to the exemption from Individual Income Tax (IRPF) on the income earned by workers as Profit Sharing Distribution resulting from the unions. The entities also advocate the exemption of the Excise Tax (IPI) for companies purchasing capital goods. Besides, the project also stipulates the immediate conversion of the credits from PIS/Cofins (Social Integration Program / additional mandatory contribution to the financing of social security) and unification of ICMS (State Sales and Services Tax), PIS/Pasep (Socil Integration Program/ Public Workers), Cofins and Cide (Contribution for intervention in the economic domain) to form one single tax.

In the labor front, elaborated by the technical area of the trade unions, the project not only establishes the incentive to the "collective bargaining and union representation at the workplace", issue enthusiastically defended by the Union of the Steelworkers of the Region of the ABC, it also defends the idea of "providing conditions for the continuous updating of skilled manpower at the floor of the industrial plant", which is defended by the Union of the Steelworkers of São Paulo. Altogether, the unions represent nearly 505 thousand workers.