MercoPress. South Atlantic News Agency

Chilean Catholic Church places income distribution top of the political agenda

The nation-wide debate sparked in Chile by Bishop Alejandro Goic's recent call for an “ethical salary” for the Chilean working class assumed a new dimension this week with the publication the second quarter profits of Chile's large corporations and holding companies. Earnings were up sharply in all sectors, but the nation's minimum wage remains stuck at 180 US dollars per month.

In this essay, La Nación columnist Hugo Mery worries that unless labor leaders continue applying pressure, the country may soon begin to look the other way again. The recently released earning reports from Chile's largest companies, together with the windfall profit that the country is making from the high price of copper, should offend anyone who earns less than 200,000 pesos (US$400) per month. This irritation is not, of course, the only reason why the country has engaged in a lively debate since Alejandro Goic denounced the country's minimum wage at the end of the Codelco conflict. His call for an "ethical wage" also announces the end to the labor movement's 17 years of acquiescence. First there was a period of caution during Chile's return to democracy, when Pinochet was still powerful. This happened after a disastrous drop in employment and economic growth. The military dictatorship had left workers' unions in a shambles and had limited people's rights to strike and engage in collective bargaining. Additionally, the modern reality of outsourcing work became so influential that it created the need for subcontracting laws. One of the lessons from the Codelco strike is that these laws no longer suffice. Bishop Goic's statements come in the context of the poor distribution of the country's wealth. This problem was a product of the Pinochet's years, but then reared its head again during the Lagos administration, even after that progressive politician had made "growth with equality" his campaign slogan. Furthermore, income distribution was still an issue even after the creation of social assistance networks and the fantasy that the government was supposed to be doing all in its power to combat poverty. Twenty years ago, Papa Wojtyla (Pope John Paul II) stated that, in Chile, "the poor people cannot wait." Today, we can say that the country's poor face the same dire conditions. Again, this phenomenon has happened in spite of democratization and modernization â€" two important goals of the Concertación governments â€" and in spite of increased access to goods, through both public and private means. It is not a surprise that a Church member has spoken the truth and implied â€" we have yet to see if this is temporary â€" the defeat of the political class. This same issue was addressed during the past two presidential campaigns by leaders who later forgot about it entirely. This raises the ominous suspicion that politicians might only discuss income distribution for electoral purposes. Currently, the Episcopal Conference is in the public spotlight. But, the Concertación coalition should be occupying this position. At least it should act in a more vibrant way than President Bachelet's feeble announcement of a welfare state, with policies to protect everyone from cradle to grave. Still, the opposition parties could have also occupied the limelight. Opposition leaders should have jumped on the opportunity to push their alternative solutions to income distribution. Additionally, in recent campaigns, opposition candidates have even seemed to be more ingenious with respect to this problem than their socialist opponents. The Concertación's lack of initiative is significant and raises an important question: what does it mean to be progressive politician today, if the government's leaders are easily overshadowed by a bishop who, after overcoming his poor state of health, inserts himself in a labor dispute between a government-run organization and its subcontracted workers who are so fed up that some of them resorted to violence to get their message across? Goic's words have provoked numerous initiatives among the country's leading politicians. If these initiatives continue to the point of bringing different groups to the bargaining table â€" as was the case with the "pinguinos" student revolt last year â€" the accomplishments will depend on the extent to which both contracted and subcontracted workers mobilize themselves. The political class has shown time and time again that it reacts under pressure and in urgent circumstances. If things become quiet, then legislators begin to focus on other problems, such as weather catastrophes, energy supplies, femicide, dog attacks, new holidays, etc. If this happens, then Chile's poor will keep on waiting. They will listen to people who say that raising salaries and making contracts more flexible will both cause unemployment and spell disaster for small businesses. Meanwhile, small business owners, who are also victims of injustice, will see how the profits of big corporations keep rising. It will all be a spectacle of social sins within the sacred market economy of Chile.