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Information Technology Agreement – countries are warned on consequences

25 October, 2013IndustriALL Global Union, together with 163 other trade union and civil society organisations, are raising concerns over a proposed expansion of the Information Technology Agreement (“ITA II”) being negotiated at the World Trade Organisation (WTO).

Several WTO members are currently negotiating the expansion of the Agreement to cover information technology (IT) goods created since the first Agreement, in force since 1997. The Agreement covers IT goods that comprise about ten per cent of the global merchandise.

A number or trade union and civil society organisations, including IndustriALL Global Union have drafted a joint letter to the WTO, pointing to the damage the proposals would do to the development of the IT industry in developing countries. The letter warns the participating countries that the Agreement could further harm workers and restrict the prospect of industrialisation for participating developing countries.

“The necessary diffusion of technology and the need to overcome the digital divide within and across countries require policy space for governments in order to implement industrial policies that enable them to develop their own industries or to increase the ownership of production of ICTs (information and communication technologies) in supply chains in which they operate,” it says.

Trade unions and civil society are calling for the negotiations to focus on expanding the potential for decent jobs. They also warn that an expanded ITA will likely benefit mainly multinational enterprises that control patent monopolies and impede technology transfer.

Jyrki Raina, General Secretary of IndustriALL Global Union, says:

“IndustriALL Global Union is calling for sustainable development in the ICT sector which has been facing driving down wages and the spread of precarious forms of employment as a result of severe global competition driven by the trade agreement.  ITA-II should focus on expanding the potential for decent jobs, especially in the developing countries.”