WASHINGTON – The United States and Mexico today announced the successful resolution of the first USMCA facility-specific Rapid Response Labor Mechanism (RRM) matter in the food manufacturing sector, regarding the RV Fresh Foods facility in the state of Michoacán, where workers were previously denied their freedom of association and collective bargaining rights. In April 2024, the United States and Mexico agreed on a holistic plan to address labor violations at the facility. That plan has now been implemented and workers’ rights restored. As a result, USTR has directed the Secretary of the Treasury to resume liquidation of unliquidated entries of goods from the facility.
“Today’s resolution is yet another example of the RRM’s significant contribution toward upholding workers’ rights and securing remedies for workers when their rights are violated,” said Ambassador Katherine Tai. “We commend the Government of Mexico for their efforts to address the denials of rights that occurred. We consider the actions taken to fulfill this course of remediation a way forward for workers at the facility to be able to fully exercise their freedom of association and collective bargaining rights.”
“The U.S. and Mexican governments have again collaborated to establish a robust remediation plan to ensure that workers can exercise their rights to freedom of association and collective bargaining,” said Deputy Undersecretary for International Labor Affairs Thea Lee. “This collaboration under the USMCA’s Rapid Response Labor Mechanism has empowered workers at RV Fresh with vital information about their workplace rights and the company has made its neutrality stance clear and developed comprehensive guidelines and training materials. These efforts underscore the company’s commitment to fostering an equitable working environment for its employees.”
Actions taken by the facility to address the matter include:
- Distributing hard copies of the collective bargaining agreement to all workers;
- Implementing its neutrality statement and company guidelines on freedom of association and collective bargaining, including a zero-tolerance policy for violations, and committing to delivering annual training to all company personnel on these commitments;
- Maintaining on its website the company guidelines, neutrality statement, zero-tolerance policy for the violation of these policies, and information about how workers can file complaints with the Government of Mexico related to violations of their rights;
- Implementing the agreements it reached with the union through dialogue sessions led by the Government of Mexico, including following a protocol for the union’s access to the facility and an agreement that the company will not make payments to the union, unless those payments are union dues collected from workers pursuant to the union’s statutes; and
- Allowing specialized trainings at the facility for workers, management, and union representatives on the role of labor organizations and union democracy in the workplace as provided for in Mexico’s labor law.
Actions taken by the union to address the matter include:
- Submitting its statutes for the relevant Mexican labor authorities’ approval and distributing the statutes to RV Fresh and workers;
- Providing the current collective bargaining to the relevant Mexican labor authorities for review and registration; and
- Refraining from committing acts of extortion or obtaining gifts from RV Fresh;
Actions taken by the Government of Mexico to address the matter include:
- Informing RV Fresh company personnel and union representatives of the denial of rights findings in Mexico’s report, and of the requirements set out in the Course of Remediation;
- Monitoring the facility and engaging with the union, company, and workers during the implementation of the course of remediation; and
- Maintaining a telephone line and/or direct email address for workers to anonymously report any intimidation, coercion, or threats with respect to their selection of a union or union activities, or non-neutrality, or interference in internal union affairs;
Background
On January 17, 2024, the United States Trade Representative and the Secretary of Labor, who co-chair the Interagency Labor Committee for Monitoring and Enforcement (ILC), received an RRM petition from the Sindicato Nacional de Trabajadores y Empleados de la Industria del Comercio, Alimenticia, Textil, Automotriz, Metalúrgica, Servicios y Distribución Generalísimo José María Morelos y Pavón, a Mexican union, and the Confederación Central Nacional (COCENA), a Mexican union confederation. The petition alleged RV Fresh Foods committed acts of employer interference in union activities, including by restricting the union’s access to the facility and intervening in the process of electing union delegates.
The ILC determined that there was sufficient, credible evidence of a denial of rights enabling the good faith invocation of enforcement mechanisms. As a result, on February 16, 2024, the United States Trade Representative submitted a request to Mexico that Mexico conduct its own review. Mexico agreed, and on April 1, 2024, concluded there were ongoing denials of the right to freedom of association and collective bargaining at the facility. On April 19, 2024, the United States and Mexico agreed on a course of remediation to remediate the denials of rights.
Read the full course of remediation here.
Read an unofficial courtesy Spanish translation of the full course of remediation here.
A copy of the letter to the Secretary of the Treasury can be found here.
Information about previous requests can be found here.
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