Brazil: Unions file charges against Dexco before OECD

The Building and Wood Workers’ International (BWI) and its Brazilian affiliate, Criciúma Ceramists' Union, have lodged a complaint against Dexco before the Organization for Economic Cooperation and Development (OECD) for infringements of freedom of association, refusal to engage in collective bargaining, arbitrary dismissal of 92 workers in Colombia, and failure to acknowledge the BWI International Trade Union Network of Duratex (Dexco) Workers in Latin America.

Without any prior dialogue or announcement, on 27 September 2023, the company notified the cessation of operations in Manizales, Colombia, resulting in the dismissal of 92 workers. Some of these workers were on the verge of retirement after more than 32 years of continuous service, unjustly categorised as "temporary jobs."

In Brazil, following the acquisition and incorporation of Cecrisa by the Duratex Group, now DEXCO, more than two decades of collective bargaining have been disrupted. The Dexco Group has adopted a stance of retracting and diminishing workers' rights and achievements.

BWI calls on the Dexco Group to establish meaningful and regular dialogue and conduct due diligence to mitigate the adverse effects of restructuring projects on the workforce. Regarding the closure of the Manizales unit, the company should ensure that workers have the opportunity to fully account for the effects of the cessation of operations, considering adjusted payouts and/or job relocation as positions become available in other production units. Finally, Dexco Group must collaborate with BWI in Latin America and on a global level to implement a social dialogue framework.

Itaci de Sá, the president of Ceramistas Criciúma Union, stated, "Dexco should cease its anti-labour policies and comply with the OECD Guidelines for Multinational Enterprises."

The International Trade Union Network of Duratex Workers in Latin America was established in 2017 to share experiences and discuss joint action and solidarity among the company's workers in support of improved working and living conditions. "The company has refused to engage in social dialogue with the Network, despite several invitations," said the BWI regional representative for Latin America and the Caribbean, Nilton Freitas.

The complaint against Dexco has been submitted by BWI and Criciúma Ceramists’ Union to the OECD’s National Contact Point in Brazil on the 27th of November 2023.