| -- End Ad Box ---> | | | | Directors at Petroleos de Venezuela, the national oil |
| Venezuela is situated in South America next to | | | | company. This move was deeply unpopular with oil |
| Colombia, Brazil and Guyana and was originally | | | | company executives, right wing media interests, the |
| inhabited by Carib, Arawak and Chibcha peoples who | | | | Fedecámaras business group, and opposition trade |
| farmed and hunted along the coast, the Andean | | | | unions. |
| mountain range and the Orinoco River. The first | | | | A national strike and lockout was called which lasted |
| permanent Spanish settlement was established in 1522 | | | | nine weeks. The military leadership sided with the |
| and Venezuela became a Spanish colony until | | | | strikers and took the president into military custody. |
| independence in 1811 as part of Gran Colombia, from | | | | However, Hugo Chavez resumed his presidency when |
| which it later seceded. | | | | the interim dictatorship collapsed after two days. |
| Venezuela was governed by a series of military | | | | Amidst a background of growing popular opposition to |
| dictatorships until 1958 when Romulo Betancourt won | | | | the forces attempting to depose the president, the |
| the first democratic presidential election. The 1970s oil | | | | Organisation of American States (OAS) brokered a |
| crisis brought windfall profits to Venezuela’s oil | | | | deal with the government and opposition forces to hold |
| industry but created further social tensions due to | | | | a referendum on the continuation of the presidency. |
| unequal wealth distribution. Unrest grew during the | | | | Millions signed two petitions demanding that the |
| 1980s, when oil prices fell and social programmes were | | | | referendum be held, and finally the interim government |
| cut, and resulted in an historic agreement between | | | | agreed. |
| government, business and trades unions. | | | | Finally in August 2004 the referendum was called to |
| Further economic problems were exacerbated by an | | | | decide whether Hugo Chavez should continue his |
| International Monetary Fund (IMF) loan and drastic | | | | presidency or leave office immediately. The result was |
| austerity programme that led to riots, a general strike, | | | | 58% in support of the president, 42% against. This |
| martial law and many fatalities. Carlos Andres Perez | | | | represented a convincing public endorsement of the |
| was elected president in 1989 and survived two | | | | reform programme and five months later Hugo |
| military coups in 1992, before being ousted and | | | | Chavez signed a land decree intended to break up |
| imprisoned seven years later for embezzlement and | | | | large estates and redistribute them to the landless. |
| corruption. | | | | Support for the reform programme translated into |
| In 1998 Hugo Chavez, who lead the first coup against | | | | electoral success in 2005, and a boycott of the |
| Perez, was elected and introduced a new constitution. | | | | elections by opposition groups led to a national |
| Hugo Chavez was re-elected in 2000 for a further six | | | | assembly filled with Chavez supporters. |
| years, on a radical reform mandate covering the land | | | | The Confederation of Workers of Venezuela |
| and oil industries known as the Bolivarian revolution | | | | (Confederación de Trabajadores de Venezuela) |
| after the independence hero Simon Bolivar. Reforms in | | | | (CTV) and National Workers' Union of Venezuela |
| the oil industry prompted a national strike and | | | | (Unión Nacional de Trabajadores de Venezuela) |
| management lockout in 2002 which led to a 48 hour | | | | (UNT) are the two main rival trade union federations. |
| military coup. A popular uprising followed and a | | | | Historically, CTV actively fought against military coups |
| referendum held in August 2004 returned a victory for | | | | and represented a symbol of democracy. However it |
| Chavez and his reform programme. | | | | has become increasingly dominated by members |
| The last election results returned a clear victory for the | | | | supportive of Democratic Action (AD) and |
| Fifth Republic Movement (MVR) headed by Hugo | | | | sympathetic to the interests of the oil industry and the |
| Chavez Frias who received 59% of the vote. The | | | | media. |
| next presidential election is scheduled for 3 December | | | | CTV called the general strike in April 2002 in protest |
| 2006. Other influential political organisations include the | | | | against the president and in collaboration with the lock |
| Venezuelan Federation of Chambers of Commerce | | | | out organised by Fedecámaras. Subsequently many |
| (Federación de Cámaras y Asociaciones de | | | | trade unions broke away from CTV and set up UNT. |
| Comercio y Producción de Venezuela) also known | | | | This new federation supports the reform programme |
| as Fedecámaras. This organisation represents the | | | | and leadership style of the president. |
| interests of twelve industry sectors: banking, agriculture, | | | | Venezuelan society remains deeply divided on the |
| commerce, construction, energy, manufacturing, media, | | | | reform agenda and further non democratic attempts |
| mining, ranching, insurance, transportation and tourism. | | | | to depose the president are possible. Powerful |
| Fedecámaras sets wages and working conditions | | | | domestic and foreign interests are deeply opposed to |
| within these sectors and enforces these through | | | | the reform programme and supporters will need to |
| management strikes and lock outs. It was heavily | | | | see real results in alleviating poverty and inequality in |
| involved in the failed coup attempt in 2002 and its | | | | Venezuela if they are to continue voting for Hugo |
| leader, Pedro Carmona, briefly assumed the | | | | Chavez and MVR. In the meantime oil revenues are |
| presidency before seeking sanctuary in Colombia. In | | | | being used to finance domestic social programmes |
| 2002 the president appointed a new Board of | | | | aimed at poverty reduction and foreign policy initiatives. |