No Borders: Communities Living

1
No Borders Communities Living Working with
ASARCO

• A project by Anne Fischel and Lin Nelson, with
  the support of the Evergreen Labor Center

2
Guiding Questions

• How can labor be connected to other movements for
  social and community justice, including
  environmental/public health movements?
• What challenges and opportunities does
  globalization present?
• How can communities learn from each others
  experience and find resources to address the
  problems of industrial contamination and
  corporate flight?

3
Frameworks

• Labor/union history and experience
• Community life and culture
• Asarco and Globalization
• Public Health and Environment
• Asarcos bankruptcy
• Future community development
• Labor and community strategies

4
ÅSARCO and Globalization

• 1876 Guggenheim family invests in Mexican rail,
  mines
• 1899 Asarco mining and smelting company
  formed
• 1905 Northwest smelters purchased by Asarco
• 1925-35 Asarco supports Canadian smelter against
  WA. farmers
• 1960 Asarco creates Southern Peru Copper
  Corp.
• 1967 Asarco creates Asarco Mexicana--51
  Mexican owned
• 1983-86 Tacoma Superfund--Ruston smelter closes
• 1999 Grupo Mexico purchases Asarco
• 2003 Southern Peru Copper sold to Grupo Mexico
• 2005 Asarco declares bankruptcy
• 2006 250,000 Mexican miners strike against GM

5
Public Health--Ruston/Tacoma

• The long history of concern about public health
  impacts of the smelter dates from 1915. Key
  groups that initiated research were the Lung
  Association, WSU Extension, physician groups.
• Major concerns arsenic (cancer, cardiovascular
  problems) lead (developmental disorders,
  cancer).
• Tacoma Process--arsenic standards Superfund
  designation.
• 1990s Research finds exposure varies with
  distance from smelter, several times above
  background. Limited, inconclusive studies.
• Clean-up standards negotiated. Different levels
  in different locations. Federal standards for
  Ruston 230ppm arsenic, 500ppm lead
  State standards for the area 20ppm arsenic,
  250 ppm lead
• Ruston area class action against Asarco for
  fiscal and medical remedies.Won testing for
  concerned citizens in the zone.
• 2004 Extended footprint 1,000 square miles (Dirt
  Alert).
• 2005 Washington soil contamination legislation to
  protect kids.
• Steelworkers develop labor, environment and
  health strategy.

6
Labor/Health Chronology

• 1899 Asarco founded
• 1914 Ruston plant unionized by WFM
• 1916 WFM becomes Mine-Mill--rechartered in
  1933
• 1963 Pinto mortality study
• 1967 Mine-Mill merges with Steelworkers
• 1972 Elevated blood-lead levels in Ruston, El
  Paso
• 1983 Ruston declared part of Tacoma Superfund
• 1986 Ruston smelter closes
• 1995? Copper Basin Coalition class action suit
• 1998 EPA--hazardous waste incineration in El Paso
• 2004 Get the Lead Out Coalition forms in El Paso
• 2005 Asarco declares bankruptcy
• 2007 Steelworkers/Asarco labor contract
• 2007 EPA asks for NPL listing for Hayden, Arizona

7
Asarcos Legal and Fiscal Path

• 1999 Grupo Mexico purchases Asarco after
  bidding war becomes 3rd largest copper producer
  in the world.
• 2002 Justice Dept. stops sale of Southern Peru
  Copper to Grupo Mexico.
• 2003 Asarco creates 100 million trust for
  community cleanup sale approved.
• 2003 Asarco goes after retirees pensions lures
  workers into court.
• 2004 Montana citizens challenge Asarcos
  violation of state constitution.
• 2005 Arizona--Asarco argues it has right to
  pollute in smeltertowns.
• 2005 AZ and TX Steelworkers strike over wages.
  Copper prices rising but Asarco says labor costs
  are too high.

8
Asarcos Bankruptcy
In August 2005, during TX, AZ strike, Asarco
filed in Bankruptcy Court. Over 2000 workers and
95 communities in 21 states impacted. 20 major
creditors, including WA. State. Unsecured
Creditors Committee includes USWA. Grupo Mexico
is not implicated in the bankruptcy suit. Some
significant features of the Asarco
Bankruptcy (1) One of top 10 bankruptcies of
2005 (2) May bankrupt Superfund taxpayers face
1 billion in clean-ups. (3) Tests rights of
workers and communities to cross borders for just
remedies. (4) Charges that bankruptcy is
fraudulent Asarco capital seeking safe haven.
(5) Bankruptcy may threaten pensioners federal
protections tested. (6) May set off round of
bankruptcies and cross-border reorganizations. (7)
Proceedings may jeopardize working communities
and capacity to rebuild.