WASHINGTON – United States Trade Representative Katherine Tai today announced that the United States has, for a fifth time, requested a Rapid Response Labor Mechanism (RRM) panel under the United States-Mexico-Canada Agreement (USMCA). The panel pertains to a labor dispute at a facility operated by Bader de Mexico S. en C. por A. de C.V. in the city of Leon in the state of Guanajuato.
Today’s announcement follows a request for review that the United States sent to Mexico on September 16, 2024 asking Mexico to review whether workers at the facility, which specializes in manufacturing premium leather for the automotive industry, are being denied the right to freedom of association and collective bargaining.
To date, the United States and Mexico have successfully cooperated in addressing labor rights violations at Mexican facilities in at least 22 cases, demonstrating the strength of bilateral cooperation under the Rapid Response Mechanism. However, in this instance, an agreed resolution could not be reached. Consequently, the United States has deemed it necessary to request a panel to assess the facility’s compliance with Mexican labor laws.
“Today’s panel request reaffirms the Biden-Harris Administration’s unwavering commitment to supporting workers and safeguarding their rights,” said Ambassador Katherine Tai. “Every worker has the right to organize and join a union without facing retaliation or dismissal. While we remain committed to collaborating with the Government of Mexico, more must be done to protect workers’ rights to freedom of association and collective bargaining at this facility.”
“Today’s panel request underscores our unwavering commitment to Mexican workers’ fundamental rights to freedom of association and collective bargaining,” said Deputy Undersecretary for International Labor Affairs Thea Lee. “The serious allegations of employer interference in workers’ organizing efforts at Bader de México are anathema to these rights and require action. We look forward to working with the government of Mexico to resolve this case and uphold the standards of the U.S.-Mexico-Canada Agreement.”
Background
The United States Trade Representative and the Secretary of Labor co-chair the Interagency Labor Committee for Monitoring and Enforcement (ILC). On August 15, 2024 the ILC received an RRM petition from a dismissed worker associated with the Sindicato Industrial de Trabajadores y Empleados del Cuero, Calzado y Comercio del Estado de Guanajuato (SITECCC-CAT). The petition alleged that Bader de Mexico is violating workers’ rights to freedom of association and collective bargaining, including by creating a company-controlled labor committee and dismissing workers for their union activity. The petition also alleged that the firings and other coercive actions, including harassment, surveillance, and intimidation of workers, constitute a denial of rights at the facility. The ILC reviews RRM petitions that it receives and the accompanying information, within 30 days.
The ILC, in response to the petition, determined that there was sufficient, credible evidence of a denial of rights enabling the good faith invocation of enforcement mechanisms. As a result, the United States Trade Representative submitted a request to Mexico to review whether workers at Bader de Mexico were being denied the right to freedom of association and collective bargaining. Mexico had 10 days to decide whether to accept the U.S. request for review and, having agreed to do so, 45 days to complete the review.
At the conclusion of its 45-day review period, Mexico issued a report with a limited finding of a denial of rights at the Facility. The United States has consulted in good faith with Mexico, but has been unable to agree upon a course of remediation. The United States considers the denial of rights to be ongoing, and therefore is requesting establishment of an RRM panel to review the situation.
A copy of the panel request can be found here.
