Suntracs Confirms The Closure Of Its Accounts At The National Bank Of Panama

(MENAFN- Newsroom Panama) The leadership of the Single Union of Construction and Similar Workers (Suntracs) confirmed on Friday, February 14, 2025, that its bank accounts at the National Bank of Panama were closed. Taking a page from the Canadian Justin Trudeau playbook in Canada on how to deal with protestors, the closure of bank accounts belonging to the Sindicato Único de Trabajadores de la Construcción y Similares (the National Union of Workers of Construction and Similar Industries in English, or SUNTRACS) in Panama has raised significant concern among various social actors and observers about the Central American country's level of respect for union rights, freedoms and activism in general.

Trade unionists and environmental representatives have described these closures as a coercive measure taken in response to the participation of SUNTRACS in the large-scale social mobilizations, which lasted for months, aimed at canceling the mining concession contract held between the Panamanian state and Minera Panamá S.A., a subsidiary of the Canadian multinational First Quantum Minerals, at the end of 2023. On 28 November of that year, the Supreme Court of Justice (CSJ) declared Law 406, which had approved the concession, unconstitutional.“The union is facing intense persecution, which is impacting our operations,” Saúl Méndez, general secretary of SUNTRACS, said. In mid-November 2023, Caja de Ahorros (CA), one of Panama's two state-owned banks, closed SUNTRACS' accounts, including the individual accounts of several of the union's leaders. The bank stated that, in accordance with its internal policies and the banking services contract, it had detected“suspicious transactions” allegedly linked to the“financing of terrorist activities”.

Méndez categorically rejects this claim, insisting that the union's primary source of funding comes from the 2 per cent union dues it collects. These dues, he adds, represent a percentage of the salary of affiliated workers and are used to finance the union's various activities and services, including defending labor rights, organizing strikes and protests, and providing social and economic support to its members.“The union's resources come directly from the workers and their salaries and are thus legitimate. All of this money is deposited into a bank account and used to fulfill the union's commitments,” he explains. According to Méndez, after 30 years of being customers without any legal issues, the closure of their accounts is not only a surprise but also represents an“arbitrary, illegal, unconstitutional and criminal” act.

In this case, which involves severe restrictions on freedom of expression and assembly, as well as the arbitrary detention of trade union members, Panama was singled out in the International Trade Union Confederation's (ITUC) Global Rights Index 2024. This index evaluates respect for workers' and trade unions' fundamental rights and freedoms worldwide. Similarly, the Ombudsman's Office of Panama has identified a“clear violation of the SUNTRACS' human rights, specifically regarding freedom of association”. Meanwhile, the International Labor Organization (ILO), in response to a letter from the union, confirmed that they have addressed the situation and are awaiting a response from the government. The ILO also highlighted the excessive use of force employed during the demonstrations against the mining contract.

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