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3.23.05

  Mineriade - 1999

Matinal, Misc.

3.23.05

 

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Mineriade - 1999

 

(Excerpt from the Renaissance 2000 Strategy© - Appendix -White Paper Analysis - Political Economy of Lupeni/Jiu Valley)

The 1997 Jiu Valley government’s announcement of the closures of the Dalja and Barbateni mines and the generally deteriorating conditions of the miners initially sparked riots and then led to a general strike.

While such reaction was fairly predictable, the government was required to close more mines (142 which had been closed since 1997) and was pending decision on closing additional 112 mines
in order to be eligible for an IMF loan to repay its debts. Losses in the unprofitable mining sector were then running at $370 million, and during the course of 1997 the government had already closed about 100 mines and eliminated 90,000 mining jobs, including 20,000 in the Jiu Valley. However, to limit further financial losses, the government made an announcement just before Christmas 1998 of its plan to close non-profitable mines. Iplementing this new plan would result in firing additional 6,500 miners. [Anca Doicin, 1999, Le Monde Diplomatique.]

The result, not surprising, was an outpouring of miner resentment and anger at what the miners saw as another betrayal. Organized by union leader Miron Cozma, on 20 January 1999 an estimated 10-15,000 set out on another mineriade from the Jiu Valley to Bucureşti to force the government to change its policy, demand wage increases and re-opening of recently closed mines. Along the way the caravan of miners fought pitched and bloody, tear-gas choked battles with the police and wrecked havoc along the way. The army was mobilized and waited on the outskirts of Bucharest. The anticipated and dreaded showdown between the miners and army, however, never materialized. The miners had not reached Bucureşti when a secret compromise was reached between union leader Cozma and Prime Minister Radu Vasile on 22 January. In return for the miners’ agreement to turn around and go back to the Jiu Valley, the government agreed to a 30 percent pay rise, re-opening of two previously closed mines, and the spending of hundreds of millions of European Union development funds on projects in the Jiu Valley. The agreement may well have averted an eruption by disaffected workers in other industries.

To many the compromise agreement was seen as a Pyrrhic victory for both sides. While the government avoided a showdown with the miners, the compromise represented “a potentially devastating setback to the government’s flagging efforts to push through market-oriented reforms - including the closure of 140 loss-making coalmines, 49 loss-making state enterprises and a five-year plan to restructure the steel industry with the loss of 70,000 jobs.” [ Financial Times, London, 23-4 January 1999] As for the miners the future was no more certain than it was before the strike.

The agreement made Cozma a hero in the Jiu Valley, but within a month of his return he was arrested and put in prison as a result of a decision of the Romanian Supreme Court, an action seen by most miners as political revenge by the government. For his role in the 1991 mineriade Cozma had been convicted and sentenced to prison for three years, of which he had served eighteen months before being released in 1998. After the January mineriade, despite his apparent agreement Cozma continued to press for new concessions from the government and announced another strike. In its decision the Supreme Court increased Cozma’s sentence to 18 years for “undermining state power” in the 1991 mineriade, along with the charge of illegal possession of a firearm. Cozma defied the government to arrest him, but soon thereafter, although protected by a convoy of several thousand miners, Cozma and over 500 miners were arrested in a bloody clash with the police. Several weeks later, already imprisoned, Cozma was convicted on two other unrelated charges.

           -
JBG/3.23.05

 

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