A new complaint is reported against a multinational company in Brazil. This case was presented for PNC in Brazil and Netherlands in Agust. It was prepared by CUT (the largest federation of trade unions in Brazil).

São Paulo, August 8th, 2007.

Ms Julie Raynal
Directorate General for Trade

European Commission

Ref: Complaint against the Philips Multinational Company in Brazil

Dear Madam,

The Central Única dos Trabalhadores – CUT Brazil would like to request the intervention of the National Contact Points - PCN in Brazil and also in The Netherlands regarding the behavior of the Philips Multinational Company in Brazil.

The OECD Guidelines for Multinational Enterprises was adopted in 1976 due to the dangerous behavior that the multinational companies were adopting in developing countries, mainly after the involvement of those corporations on the Chilean military coup in 1973.

In order to monitor the implementation of the OECD Guidelines for Multinational Enterprises, National Contact Points – PCNs were created and installed in the 30 signatory countries and also in Brazil, Argentina and Chile.

The facts

On the second half of July 2007, a movement in Brazil called “Cansei” (In English “I am tired”) was created. Mr. Paulo Zatollo, President of the Philips in Brazil, organized this movement among others. On July 27th 2007, Philips Brazil contracted a paid propaganda on the main Brazilian newspapers, calling the population to support the protests organized by this new movement.

On August 3rd, the president of the OAB-RJ (Brazilian Lawyers Association of the Rio de Janeiro State), Mr. Wadih Damous, affirms in an interview: “…I was bothered with this movement that congregates conservative sectors of the society, with a “coup nature” (fundo golpista), linked to elites of São Paulo and to sectors that supported the military coup of 1964…”. The movement “Cansei” is organizing a rally on August 18th, calling the Brazilian population to make one minute of silence for reasons not clearly explained.

It is important to highlight that according to the OECD Guidelines for Multinational Enterprises, in its II General Policies, number 11, page 19 (OECD 2000) it defines that the multinational companies should “abstain from any improper involvement in local political activities” in the countries where they are installed.

In this way, we are extremely worried about the participation of a multinational company on a rally organized by an economic elite with political objectives.

Due to the gravity of the involvement of the mentioned multinational company in the internal policies of Brazil, we are denouncing it to the National Contact Points - PCN in Brazil and in the Netherlands.

We are thankful for your attention, undoubting the urgency and the importance of this matter are considered.


Artur Henrique da Silva Santos


Quintino Marques Severo

General Secretary

João Antonio Felício

International Relations Secretary