Over the past few months, I have read many articles from VZ, concerning workers rights. There has been many mentions of unions, workers involvement in management, more employee involvement in decision making, worker communes etc.

"They said the only solution that has the status of CVG Minerven is workers' control, as applied in other companies within the holding of the CVG, as Khan asked him to submit this proposal to the employees of the state gold ."

"Herrera also alleged that maintains a negative attitude to the implementation of workers' control, making fun of the panel and stating that "a failed utopia of the Soviet Union.""These actions can not be seen as an isolated event but as something obvious and public policy, and anti-revolutionary stance against President Chávez, which was coupled with a political party in the municipalities of the South, which rivals the PSUV."

As well, as noted in a couple of posts today, there is increasing worry by educated Venezuelans , about the billions in commitments that Chavez has made to the Chinese, that does not involve getting paid for goods. In other words, many deals are being made where the money is already spent, or will be, often before anything gets produced.

The document states that the signing of this loan to China in the form of oil sales in the future, "occurs in a context where PDVSA's debt has increased significantly. Thus, at the end of 2009, foreign currency liabilities of company totaled $ 75.212 million, representing an increase of 25% compared to 2008. For its part, PDVSA's financial debt at the end of 2009, reached U.S. $ 21,419 million, well above 2008 when it registered a surplus of U.S. $ 15,095 million. "

"Therefore, we, Venezuelans worried about the fate of the country, we request an explanation on the financial terms of the debt owed to China and to observe the rules established by law", concludes the document signed by Pedro Palma, Sary Levy, Hector Malave Mata, Orlando Ochoa, Hector Silva Michelena, Humberto Njaim, Jose Guerra, Jesus Casique, among others.

I think that there is a good possibility that we have not realized the huge potential for problems, with the 'employee factor'. Chavez has been pushing his 'socialist agenda', and that includes workers rights and involvement in the running of companies, especially foreign corporations.The Venezuelans that will be the future employees of this JV, are not going to be satisfied with just being the dutiful worker, punching the time clock. When this huge mine starts to be built, it will be the largest project going on in that part of VZ. Workers rights, involvement, protections, and safeguards, are likely to be front and centre. Unions will have to be dealt with, and negotiations could be a major issue.

This will be a separate issue to the independent/artisan/communal miners issue. I would imagine that China (CRRC)/KRY will want to have labour issues worked out, so there will not be costly delays.

Having the permit to begin construction will do us no good, if there isn't a stable work force.

I'm not at all sure that China has a very good reputation in the area of foreign employees. Lets hope that this issue is being worked on while the JV business is being finalized.

Pen