Latin America’s revealing reaction to the Venezuelan election

The Bolivarian Revolution vs. the Brazil model.

As the whole world looked on, the indefatigable Hugo Chávez overcame his strongest obstacle yet to claim another six-year term as Venezuela’s President, keeping him in power until 2019.  

“Venezuela will continue along the path of democratic and Bolivarian socialism for the 21st century”, Chávez thundered from the balcony of Miraflores palace, holding aloft the sword of Latin American revolutionary Símon Bolivar.

This election was so salient because it showcased a clash of two different ideologies; of two different futures. It was a battle of two visions that pitted a leftist firebrand against one of the Venezuelan 1 per cent; between a populist demagogue and a wealthy elite out-of-touch with Venezuela’s bulging underclass.

Henrique Capriles promised major changes for Venezuela. He pledged to move the country away from quixotic idealism to pursue a more pragmatic foreign policy; away from pariah states such as Belarus and Iran and towards a more sanitised global image.

He promised to depoliticise the economy through spurring private investment and reviving oil deals with outside partners - a notion unimaginable under the current government that holds economic self-sufficiency and state nationalisation as sacrosanct principles of governance.

Crucially for Chávez, Capriles threatened to undermine Venezuela’s role as the flag-bearer for the continent’s radical left; as the leading extoller of Latin American anti-imperialism.

Naturally, for supporters of the chavista cause, Sunday was most certainly a red-letter day; a democratic endorsement of the Bolivarian revolution espoused by Chávez.

“Forward, comrade Chávez”, tweeted Ecuadorian President Rafael Correa. “All Latin America is with you and with our beloved Venezuela”.

“The victory of President Chávez is a victory for democracy, for the Bolivarian alliance, and all of Latin America”, declared Bolivian President Evo Morales.

“Your decisive victory ensures the continuity of the struggle for genuine integration in our America”, proclaimed Raul Castro, Cuba’s de facto President.

Nicaraguan President Daniel Ortega also paid effuse tribute to him, labelling him an “indisputable leader that will continue leading the Latin American revolution”.

These sentiments were echoed in Argentina as well, with President Cristina Fernández de Kirchner praising the victory whilst Argentines rallied outside the Venezuelan embassy in Buenos Aires to celebrate the news.

However, the response from other major regional players, particularly Peru, Mexico and Brazil was muted, highlighting a degree of indifference to the radical model of leftist politics extolled by South America’s chavista movement.

There is no question over the importance of Latin American independence on the continent. Last year, the establishment of a 33-country “Community of Latin American and Caribbean States” (CELAC) intentionally excluded Washington and other “Western” powers from membership, cementing the region as a power bloc with its own interests and agendas.

But the “Bolivarian Alliance for the Americas” (ALBA), conceived by Chávez in 2004, is a step too far for some. That only the most radical of Latin American governments claim membership (Bolivia, Nicaragua, Cuba and Venezuela) is a telling indicator of the state of South American leftism.

Many often interpret the left-leaning approach of most South American states as a unified, cohesive ideological movement against imperialist forces, but a more nuanced approach reveals some major fault lines.  

To some, Bolivarian governance has hit a crisis. With soaring inflation rates, over-reliance on nationalised industry and bloated bureaucracies rife with cronyism, much of Latin America’s far-left finds itself in an unenviable position.

The alternative model, embodied by Brazil, offers a different brand of leftism; one that embraces private property rights and upholds the sanctity of democratic institutions. Since the election of Luiz Ignácio Lula da Silva as President 2002, Brazil has shown that you do not have to stack the courts, censor the media, and politicise a country’s financial system to ameliorate poverty. As an emerging player on the world stage, Brazil has also shown that you can have sovereign independence whilst integrating into the global economy; that you can resist imperialism without having to denounce capitalism.

A signal that the Brazil mould is gaining momentum in Latin America came with the Peruvian election of Ollanta Humala in 2011. Humala originally campaigned under the chavista banner in 2006 and and lost. For the 2011 election, he rebranded as a more moderate socialist and has governed as such ever since.

Does this reveal a political schism in Latin America? Not exactly. Whilst fault lines have appeared, it doesn’t mean incompatibility. Nevertheless, the Brazilian model shows that Latin American governments can have their cake and eat it too; they can remain economically and politically self-sufficient without resorting to authoritarian and isolationist policies that breed malaise.

Whilst Sunday’s election victory has not derailed the Bolivarian revolution, its tight victory margin and the increasing appeal of the Brazilian mould has certainly taken the wind out of its sails.

A pro-Chávez mural in his hometown of Sabaneta, Venezuela. Photo: Getty

Alex Ward is a London-based freelance journalist who has previously worked for the Times & the Press Association. Twitter: @alexward3000

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There's nothing Luddite about banning zero-hours contracts

The TUC general secretary responds to the Taylor Review. 

Unions have been criticised over the past week for our lukewarm response to the Taylor Review. According to the report’s author we were wrong to expect “quick fixes”, when “gradual change” is the order of the day. “Why aren’t you celebrating the new ‘flexibility’ the gig economy has unleashed?” others have complained.

Our response to these arguments is clear. Unions are not Luddites, and we recognise that the world of work is changing. But to understand these changes, we need to recognise that we’ve seen shifts in the balance of power in the workplace that go well beyond the replacement of a paper schedule with an app.

Years of attacks on trade unions have reduced workers’ bargaining power. This is key to understanding today’s world of work. Economic theory says that the near full employment rates should enable workers to ask for higher pay – but we’re still in the middle of the longest pay squeeze for 150 years.

And while fears of mass unemployment didn’t materialise after the economic crisis, we saw working people increasingly forced to accept jobs with less security, be it zero-hours contracts, agency work, or low-paid self-employment.

The key test for us is not whether new laws respond to new technology. It’s whether they harness it to make the world of work better, and give working people the confidence they need to negotiate better rights.

Don’t get me wrong. Matthew Taylor’s review is not without merit. We support his call for the abolishment of the Swedish Derogation – a loophole that has allowed employers to get away with paying agency workers less, even when they are doing the same job as their permanent colleagues.

Guaranteeing all workers the right to sick pay would make a real difference, as would asking employers to pay a higher rate for non-contracted hours. Payment for when shifts are cancelled at the last minute, as is now increasingly the case in the United States, was a key ask in our submission to the review.

But where the report falls short is not taking power seriously. 

The proposed new "dependent contractor status" carries real risks of downgrading people’s ability to receive a fair day’s pay for a fair day’s work. Here new technology isn’t creating new risks – it’s exacerbating old ones that we have fought to eradicate.

It’s no surprise that we are nervous about the return of "piece rates" or payment for tasks completed, rather than hours worked. Our experience of these has been in sectors like contract cleaning and hotels, where they’re used to set unreasonable targets, and drive down pay. Forgive us for being sceptical about Uber’s record of following the letter of the law.

Taylor’s proposals on zero-hours contracts also miss the point. Those on zero hours contracts – working in low paid sectors like hospitality, caring, and retail - are dependent on their boss for the hours they need to pay their bills. A "right to request" guaranteed hours from an exploitative boss is no right at all for many workers. Those in insecure jobs are in constant fear of having their hours cut if they speak up at work. Will the "right to request" really change this?

Tilting the balance of power back towards workers is what the trade union movement exists for. But it’s also vital to delivering the better productivity and growth Britain so sorely needs.

There is plenty of evidence from across the UK and the wider world that workplaces with good terms and conditions, pay and worker voice are more productive. That’s why the OECD (hardly a left-wing mouth piece) has called for a new debate about how collective bargaining can deliver more equality, more inclusion and better jobs all round.

We know as a union movement that we have to up our game. And part of that thinking must include how trade unions can take advantage of new technologies to organise workers.

We are ready for this challenge. Our role isn’t to stop changes in technology. It’s to make sure technology is used to make working people’s lives better, and to make sure any gains are fairly shared.

Frances O'Grady is the General Secretary of the TUC.