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'One of the Corporate Scandals of Our Times': Shell Posts Record $10 Billion in Profits
"We have a choice: protect fossil fuel profits or protect the future of our planet," said British MP Jeremy Corbyn.
May 04, 2023
The British oil behemoth Shell reported a record $9.6 billion in first-quarter profits on Thursday and announced $4 billion in stock buybacks, prompting fury from environmentalists and progressive lawmakers who say the fossil fuel industry's profiteering is grotesque amid a worsening climate emergency and cost-of-living crises across Europe.
Shell CEO Wael Sawan—who recently declared that the "world will need oil and gas for a long time to come" and called fossil fuel production cuts "unhealthy"—hailed his company's "strong results and robust operational performance" and touted the new share buyback program as "part of our commitment to deliver attractive shareholder returns."
Climate advocates reacted with disgust to Shell's earnings announcement, which came days after BP posted nearly $5 billion in profits for the first three months of 2023. Even though oil prices have fallen from their recent highs, the two companies benefited from high trading profits and liquefied natural gas (LNG) sales.
"The scale of profiteering displayed today by Shell and earlier this week BP is one of the corporate scandals of our times," Sharon Graham, general secretary of the U.K.-based Unite union, said in a statement Thursday. "And this is practically untouched by [British Prime Minister] Rishi Sunak's so-called windfall tax."
"It's time to consider something way beyond a windfall tax," Graham argued. "Unite research has found that if the U.K. had a Norwegian tax take, we would be earning at least £30 billion more from the North Sea [petroleum production] than we are now. Not taking any action against 'Big Oil' means the profiteering plundering will continue without end."
British MP Jeremy Corbyn, an ex-Labour Party leader, echoed that message on Twitter, writing that political leaders face a straightforward choice: "Protect fossil fuel profits or protect the future of our planet."
"I choose the future of our planet," Corbyn added. "We need a Green New Deal that transforms our economy, creates secure jobs, and provides publicly owned renewable energy for all."
\u201cWe have a choice: protect fossil fuel profits or protect the future of our planet. \n\nI choose the future of our planet. \n\nWe need a Green New Deal that transforms our economy, creates secure jobs, and provides publicly-owned renewable energy for all. https://t.co/POPFGgdda1\u201d— Jeremy Corbyn (@Jeremy Corbyn) 1683187840
Shell has remained committed to boosting fossil fuel production even as the international scientific community warns that a rapid phaseout of dirty energy will be necessary to avert further climate devastation.
According to internal Shell documents published in late March, the company knew about the destructive impacts of oil and gas in the 1970s—well earlier than previously known—and still plowed ahead with fossil fuel production. Shell and other oil giants have also recently been accused of misleading the public about their commitments to reducing planet-warming carbon emissions.
"As temperatures soar from Madrid to Mogadishu, Shell is once again posting bumper profits while promising to keep extracting fossil fuels for years to come," Charlie Kronick, senior program adviser at Greenpeace U.K., toldThe Guardian on Thursday. "Millions around the world are already feeling the effects of the climate crisis and it's those who did the least to cause it who are paying the heaviest price."
"The U.K. government should stop issuing new oil and gas licenses and force Shell and the rest of the industry to start using their obscene profits to pay for the damage that their fossil fuel habit is causing to lives and livelihoods around the world," Kronick added.
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'To Save the NHS,' Nurses Strike in Half of English Hospitals
"Only negotiations can resolve this and I urge ministers to reopen formal discussions," said one labor leader. "Nursing staff are looking for a fair settlement that shows the government values and understands their profession."
May 01, 2023
Nurses and other National Health Service workers walked off the job in half of England's medical facilities on Sunday night amid an ongoing fight for higher pay and better patient safety in the United Kingdom.
The latest NHS strike comes after Royal College of Nursing (RCN) and Unite union members voted to reject the right-wing U.K. government's most recent pay offer, decrying the proposed 5% raise for this year and next as insufficient to offset the soaring prices that have resulted in real pay cuts and a devastating cost-of-living crisis.
Carrying signs with messages such as "strike to save the NHS," healthcare workers marched in London and other cities on Monday.
"I'm striking because claps and applause don't pay our wages."
RCN's work stoppage, which affects half of England's hospitals, community health sites, and mental health centers, is slated to last until midnight.
Ahead of the 28-hour action, a critical care nurse named Charlotte explained that she has "been so torn" by RCN's decision to strike. However, she said, "I know that this is the right thing to do for our patients, their loved ones, for ourselves, for our colleagues, and for the future of the NHS."
"I'm striking because claps and applause don't pay our wages," she continued. "They don't provide incentives for people to come into the profession, they don't improve staffing or patient safety."
"We are a kind, caring, and compassionate profession. We don't want that light to fade," she added. "We're striking and fighting to keep that compassion alive for our patients and for our NHS."
\u201c"Claps and applause don't pay our wages...don't provide incentives for people to come into the profession...don't improve staffing or patient safety."\n\nCharlotte is joining #RCNStrike action for reasons all too familiar to the nursing profession. \n\nRetweet to demand change.\u201d— The RCN (@The RCN) 1682856196
NHS England warned patients to expect "disruptions and delays to services," noting that staffing levels in some areas would be "exceptionally low, lower than on previous strike days," including the massive walkouts in December, January, and February.
According to BBC News, the current strike marks the first time RCN members have "walked out of all areas, including intensive care," but the union has agreed on "some last-minute exemptions so nurses could be pulled off the picket line to ensure life-preserving care was provided."
As the outlet reported:
Around a quarter of trusts involved in the strike have been given extra exemptions for services such as transplant and cardiac care—to allow them to call in some striking nurses because they have not been able to find other staff to fill the rotas.
This is to ensure a minimal level of cover—not normal staffing—as the RCN has to abide by trade union rules to ensure life-preserving care can be provided during a walkout.
In previous walkouts, services such as intensive care, chemotherapy, and dialysis have been excluded from strike action.
RCN general secretary Pat Cullen lamented that a strike was necessary and placed the blame squarely on the shoulders of Prime Minister Rishi Sunak and his fellow Tories.
"Only negotiations can resolve this and I urge ministers to reopen formal discussions" with RCN, Cullen said Sunday in a statement. "Nursing staff are looking for a fair settlement that shows the government values and understands their profession."
"We appear a long way from that currently, but I remind ministers it is entirely in their gift," the labor leader added.
The current strike comes ahead of a key Tuesday meeting between several healthcare workers' unions, cabinet ministers, and NHS administrators. While RCN and Unite have condemned the government's offer as inadequate, other unions have voted to accept it, with Unison leader Sara Gorton recently calling the proposed 5% wage increase "the best that could be achieved through negotiation."
Given that some nurses have been forced to rely on food banks, RCN is demanding a pay hike of 5% above inflation. Meanwhile, Britain's Enough Is Enough campaign against neoliberalism on Monday tweeted that lawmakers on the receiving end of "a 32% pay rise since 2010" and subsidized meals are "in no position to lecture a nurse who, since 2010, earns £5,000 less in real-terms about pay restraint."
\u201cIf you're an MP who's had a 32% pay rise since 2010, and have your meals subsidised by the taxpayer, you're in no position to lecture a nurse who, since 2010, earns \u00a35,000 less in real-terms about pay restraint. There's plenty of money; it's just going to the wrong places.\u201d— Enough is Enough (@Enough is Enough) 1682935347
RCN's walkout was supposed to continue through Tuesday night, but a High Court judge ruled last week that the union's original plans would be unlawful due to the expiration of its six-month mandate for action.
"It is the darkest day of this dispute so far—the government taking its own nurses through the courts in bitterness at their simple expectation of a better pay deal," Cullen said in response to the ruling. "Nursing staff will be angered but not crushed by today's interim order. It may even make them more determined to vote in next month's reballot for a further six months of strike action."
Unite, meanwhile, is not facing the same legal constraints.
On Monday, Unite members at the Yorkshire ambulance service and Guy's and St. Thomas' NHS Trust in central London walked off the job, with the latter demonstrating in the capital, BBC News reported. On Tuesday, Unite members at South Central, South East Coast, and West Midlands ambulance trusts as well as workers at the Christie NHS Foundation Trust and Pathology Partnership, East Lancashire Hospitals NHS Trust, and Sandwell and West Birmingham NHS Trust plan to strike.
Unite leader Onay Kasab told BBC that if U.K. Health Secretary Steve Barclay tries to impose the government's pay offer, the union will take further action.
"We will ballot, and where we have current mandates—some of them lasting up to September—then we will continue taking action, and we will escalate," said Kasab.
The struggle over the future of the NHS comes as the House of Lords proceeds with its third and final reading of the Tories' so-called Strikes Bill. The legislation, already approved by the House of Commons, threatens to take away the right of nurses, ambulance workers, teachers, firefighters, rail workers, and others to strike.
Progressive critics argue that the proposal to fire striking public sector workers who refuse to comply with a mandatory return-to-work notice amounts to a "pay cut and forced labor bill" and would constitute a "gross violation of international law."
During a recent speech denouncing the anti-strike legislation, left-wing Labour Party MP Zarah Sultana said that the bill is about "shifting the balance of power: weakening the power of workers and making it easier for bosses to exploit them and for the government to ignore them."
Enough Is Enough, for its part, has stated: "You're either with nurses, teachers, firefighters, and frontline workers. Or you're with the Tory government. It's time for everyone to pick a side."
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Rejecting Tory Government Pay Offer as Inadequate, NHS Workers to Resume Strike
"It is quite frankly a joke that NHS workers are being forced to fight for a decent pay rise after years of pay freezes and all their sacrifices during the pandemic," said one union leader.
Apr 28, 2023
A leading union that represents thousands of National Health Service workers in the U.K. announced Friday that its members voted to reject the right-wing Tory government's latest pay offer, setting the stage for large-scale strikes to resume next week.
"Unite was clear from the start it was very unlikely this offer would be accepted," Sharon Graham, the union's general secretary, said in a statement. "It is quite frankly a joke that NHS workers are being forced to fight for a decent pay rise after years of pay freezes and all their sacrifices during the pandemic."
"The government should be delivering generous rewards for that instead of a parade of insults, bullying, and lies about our industrial action. Unite will be backing our NHS members 100%," Graham added. "Unite's members will now return to the picket line to continue their fight."
Unite said the latest pay proposal by the U.K. government, led by Tory Prime Minister Rishi Sunak, was inadequate in the face of persistently high inflation, which has led to real pay cuts for many healthcare workers who have been striking on and off for months.
The government offered a 5% pay increase for this year and 2024, along with a lump-sum payment for last year. Of all the Unite members who voted on the government's proposal, 52% opposed it, the union said.
"It is increasingly clear that there is money to fund a fair pay rise, particularly from properly taxing the huge increases in profits made from the cost of living crisis by corporate profiteers," said Onay Kasab, Unite's national lead officer. "The government is choosing to let the NHS collapse. It must make the right decision, return to negotiations, and put forward a better deal."
"Until there is a significantly improved offer, we are forced back to the picket line."
While the members of some unions have voted to accept the government's offer, major labor organizations—including the Royal College of Nursing (RCN) and now Unite—have rejected the proposal and vocally denounced it.
According to a recent analysis by the Trades Union Congress, U.K. bankers have seen their pay rise more than three times faster than that of nurses since the 2008 financial crisis.
"What has been offered to date is simply not enough," Pat Cullen, RCN's general secretary and chief executive, wrote in a letter to U.K. health secretary Steve Barclay earlier this month. "The government needs to increase what has already been offered and we will be highly critical of any move to reduce it."
"Until there is a significantly improved offer, we are forced back to the picket line," Cullen continued. "Meetings alone are not sufficient to prevent strike action and I will require an improved offer as soon as possible. In February, you opened negotiations directly with me and I urge you to do the same now."
Instead of meeting the demands of RCN—which has called for a pay raise of 5% above inflation—and other unions, Sunak's government has repeatedly attacked the labor organizations and supported proposals to crack down on worker strikes.
On Thursday, a U.K. judge sided with the government and ordered RCN to cut its upcoming strike action short by a day, arguing the original strike plans would have fallen outside of the limits of the union's strike mandate. The strike was supposed to run from Sunday through Tuesday evening, but it will now end on Monday.
"It is the darkest day of this dispute so far—the government taking its own nurses through the courts in bitterness at their simple expectation of a better pay deal," Cullen said Thursday. "Nursing staff will be angered but not crushed by today's interim order. It may even make them more determined to vote in next month's reballot for a further six months of strike action."
"The government has won this legal battle," Cullen added. "But they have lost the support of nursing staff and the public. The most trusted profession has been taken through the courts, by the least trusted people."
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