by James Tweedie

THE International Trade Union Confederation (ITUC) warned yesterday that looming transnational trade deal TiSA threatened public services and worker’s rights.

In a statement, the world’s largest labour federation said it was concerned by new revelations from whistleblowing website WikiLeaks which suggested that the Trade in Services Agreement would further consolidate corporate power and threaten the public interest.

TiSA is an agreement between the EU, North America, some South American nations, Japan, Australia, New Zealand and Pakistan. It is set to affect up to 70 per cent of the global services economy.

The union body particularly objected to plans for further deregulation and liberalisation of the public sector and transport industries, which would include rules forcing countries to scrap foreign ownership ceilings in publicly provided telecommunications and favour privatisation.

“Trade deals being done behind closed doors are setting up working people to lose out and aiming to concentrate yet more power and wealth in the hands of multinational corporations,” said ITUC general secretary Sharan Burrow.

The former Australian Council of Trade Unions president cited an ITUC global poll showing deep concern over the influence of major companies. “Governments need to turn their attention to building a trading system that works for the common good,” she stressed. Ms Burrow said the documents showed that TiSA could jeopardise quality public services, altering the sector in ways that only its corporate backers fully understood.

Another major concern was the agreement’s push for “competitive neutrality,” she said. “This seemingly innocuous phrase means that providing public services can be deemed an unfair trading practice if it disadvantages a private provider.”

Under TiSA, governments are planning to grant market access and national treatment to foreign service providers and operators in many service fields and professions.

ITUC’s concerns were echoed yesterday by the International Transport Federation (ITF), which pointed out that “the charade of moving to more open competition offers various ways to give the global majors more clout over newer global entrants.”