University Restores Contracts Behind Students’ Backs
University of Michigan Coke Campaign Press Release
April 26, 2006
*FOR IMMEDIATE RELEASE*
Contact:
Cokecampaign@umich.edu
c/o Adri Miller
847.601.1180
The University of Michigan’s decision to immediately reinstate the Coca-Cola contracts is nothing short of an affront to democracy, justice, and accountability. Not only was the decision made without the mandatory consent of students as required by the Dispute Review Board recommendation; but by making this decision with a complete lack of transparency the administration violated its own established due process.
The homepage of our university states, “Give It, Get It, Expect
Respect.” Yet, the university administration went out of their way
to disrespect students, workers, and community members when they engaged
in a secretive closed-door process to bring Coca-Cola back to campus.
They deliberately refused to consult with students and blatantly disregarded
the Dispute Review Board process to which they agreed to abide. In fact,
the Dispute Review Board recommendation explicitly stipulates that any
investigation must be acceptable to all parties, specifically students.
President Coleman has said, “It is everyone’s responsibility
to create a welcoming community.” With this move, the administration
has shattered any notion of a welcoming or inclusive community that values
student opinion. It is now clearer than ever that the university administration
is accountable to corporate money, not to its obligations to respect human
rights, worker rights, or the student body.
On Monday, April 10, 2006, Coca-Cola announced in a letter to the university
that the International Labor Organization (ILO), a UN agency, agreed to
conduct an investigation and evaluation of Coca-Cola bottling operations
in Colombia. The letter also stated that the Coca-Cola Company was in
“active dialogue” with TERI, an Indian corporate responsibility
organization. In return, the administration reinstated the contracts in
less than 24 hours. This action is unacceptable.
Coca-Cola has had to do nothing to get this contract back, aside from
calling their
friends at the International Labor Organization to create the façade
of an independent
investigation. Ed Potter, Coke’s Director of Global Labor Relations
and author of the full-page ads placed (at great expense) in the Michigan
Daily, is a long-time employer-representative to the ILO. He has worked
for the ILO for decades. This personal and financial relationship alone
completely erases any possibility for a truly independent investigation
on the part of the ILO. Even if the investigation uncovers Coke’s
true crimes, bringing back Coke’s contract before an investigation
is even formulated provides Coke with absolutely no incentive to take
any corrective action. The administration has been made aware of the conflict
of interest between Ed Potter and the ILO.
The members of the Coalition to Cut Contracts with Coca-Cola have engaged
constructively with the administration on this issue for over a year.
In our most recent meeting on March 31st, students were assured that:
1) no action would be taken regarding the Coca-Cola company without first
consulting with students, in accordance with the Dispute Review Board
recommendation; 2) the administration would outline in writing the procedure
by which Coca-Cola would be eligible for renewing its contract with the
University; and 3) that the University would not renew the contract unless
plans were formulated and implemented for investigations into both Colombia
and India. No such plans exist. “Active dialogue” does not
constitute a meaningful commitment to a comprehensive, independent investigation
or by any stretch of the imagination meet the requirements set by the
University’s own Dispute Review Board.
As students, we trusted the administration to engage with us in good faith
and keep us informed and involved in the process. We furthermore expected
the University to uphold its own rules and regulations. We were repeatedly
assured by top administration officials that student concerns were taken
seriously. It is appalling that the university would now choose to be
completely unaccountable and go behind students’ backs as they are
studying for exams. They furthermore are disregarding the recommendation
of the Dispute Review Board, which is composed of highly qualified students
and faculty who spent innumerable hours establishing a process for remediation.
President Coleman, Executive Vice President and Chief Financial Officer
Tim Slottow, Assistant Vice President for Finance Peggy Norgren, and General
Counsel Dan Sharphorn should be ashamed of their actions in this matter.
The Coke Coalition shall not rest until the Coca-Cola Company demonstrates
full compliance with the Vendor Code of Conduct and the University upholds
its own standards of due process, ethical purchasing, and a commitment
to accountability, democracy, and social justice.
