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June 15, 2018Socialists want tenants to have a voice within the city
„We propose that the city encourages tenants within Félagsbústaðir to form an association to protect their interests against the company, and that this new tenants' association gets to appoint three observers to the board of Félagsbústaðir,“ says Sanna Magdalena Mörtudóttir, a socialist city councilor, who will present this proposal at the first meeting of the new city council next Tuesday, June 19.
Sanna herself has experience with the powerlessness of tenants at Félagsbústaðir, as her single mother was allocated a social apartment after several years of housing struggles. After Sanna recently completed her university studies, she lost her student apartment and has moved back home to her mother.
„Tenants at Félagsbústaðir experience great powerlessness, as do those who are stuck on waiting lists for social housing,“ says Sanna. „There are long communication channels from those who rent from Félagsbústaðir to those who make decisions. Tenants have nothing to do with the company's development, they are not involved in decisions about its policy and have no influence on the service. This is not only bad for the tenants but also for the company itself. It is not possible to build good service except through active dialogue and consultation with those who use the service.“
„During the neoliberal years, social apartments were moved out of the city system into a separate company, which is wholly owned by Reykjavíkurborg,“ says Daníel Örn Arnarsson, a socialist deputy city councilor. „This arrangement is a kind of first step towards privatization. A public institution is transformed into a limited company, and the formulation of policy and operations is moved from the democratically elected forum of the city council to the board members of a limited company, who are accountable to the city as a shareholder rather than to the community of people. Social apartments are placed into an association that acts as if it were a company in the general market owned by some capitalist.“
Daníel points out that with this, the social role of institutions is made secondary, while their role is defined by the limited company. Their goal becomes financial independence for the future and to deliver profit to their owner, or at least not to need his financial support. „What kind of decision is that?“ asks Daníel, „to structure Félagsbústaðir like any other rental company on the market where the rent is not only supposed to cover operations and loan repayments, but also to pay down the loans significantly faster than the lifespan of the housing. This means that the rent from the poorest people in Reykjavík is intended to build up Félagsbústaðir's equity and finance the company's purchase of new housing. The poor are, in other words, supposed to finance their own social housing system.“
Daníel says this is the core of neoliberalism. „First, taxes and fees are abolished for companies, capital, and the rich. Then, the state and city are indebted to finance what taxes from companies, capital, and the rich previously covered. When no more loans can be taken, services are cut and/or fees are increased for those who use the services, who in all cases are the poor and sick, elderly, disabled, and marginalized. We have entered a period where the least fortunate are expected to finance their own welfare system,“ says Daníel.
„Of course, it is the goal of socialists to reverse this corporatization of public services,“ says Sanna, „but we do not have enough power to do so today. Instead, we propose that Reykjavíkurborg encourages tenants at Félagsbústaðir to form an association around their common interests and get the opportunity to wage a necessary struggle for their interests. Companies and the rich can wage a fierce struggle for their interests in society, and the corporatization of Félagsbústaðir is one consequence of this. If we do not want society to be entirely shaped by the interests of the rich, we must strengthen the collective power of the public and promote the development of associations for the common good. People must have the tools to defend themselves against the overwhelming power of the rich.“
Sanna says that few groups in society are as powerless as tenants at Félagsbústaðir and those on waiting lists for social housing. Each tenant faces the power alone and unsupported, without any backing. „No one gets an apartment from Félagsbústaðir unless they are in financial distress, and in most cases, even that is not enough. Tenants of Félagsbústaðir are therefore the people who are among the worst off in society. Each of them has little power against the authorities. United, however, the tenants can form a strong organization of up to two thousand families. But since these are poor people who have nothing to spare, these organizations will not be formed without the support of the city,“ says Sanna.
„And that support is easy to justify,“ says Daníel. „If only to ensure that Félagsbústaðir's service is built up in a normal way. Which do you think is better, to build it on interactions where each tenant faces the company alone and unsupported, or on interactions where Félagsbústaðir must take into account the demands and suggestions of powerful tenant organizations?“
„The public has emphasized the responsibility of the poor, that poverty is their personal problem,“ says Sanna. „We are told to educate ourselves out of poverty, work our way out of poverty, and strengthen ourselves so we can escape it. But while it is important to support those who experience poverty personally, poverty is not a personal problem. Poverty is a social problem, a consequence of inequality, for which society is responsible. If we view poverty not as a personal problem but as a social problem, it becomes obvious how urgent it is to strengthen the poor as a group, give them the opportunity to find solidarity and organize themselves, formulate demands and methods of struggle, and form active solidarity around their interests,“ says Sanna.
She points out that in the discussion following the fire in a privately owned apartment block with social housing in London, the Grenfell Tower, it emerged that before neoliberalism dismantled the social system in England, the residents sat on the tower's board. „Neoliberalism has undermined the less fortunate in so many ways,“ says Sanna. „Their wages have worsened, they have to pay higher rents, enjoy fewer rights, and are cut off from societal decisions, including decisions that matter most to them. A mindset has seeped in that was called The White Man’s Burden during colonial times, the white man's responsibility for misguided and helpless people in the colonies. The same attitude has been reflected in the treatment of the poor in our society. The elite considers itself competent to make all decisions for the less fortunate. And sighs when it raises its own salaries because of the great responsibility it bears. This is an absurd attitude. The problem of the less fortunate is powerlessness. And they are much better suited to make decisions about their own situation than anyone else.“
„Active solidarity among the poor is not only necessary for poor people but also good for society as a whole,“ says Daníel. „History shows that good societies are built on the solidarity of the less fortunate. Societies are broken down by giving all power to the rich.“