The USMCA includes an innovative Facility-Specific Rapid Response Labor Mechanism between the United States and Mexico. This dispute settlement mechanism provides for expedited enforcement of workers’ free association and collective bargaining rights at the facility level. The first step of the mechanism is for a country to submit a request for review to the other country to determine whether there is a denial of rights and attempt to remediate any issues it finds. In certain situations, the mechanism also provides for panelists to assess complaints about conditions at specific facilities, and, in cases of non-compliance with key labor obligations, provides for the suspension of USMCA tariff benefits or the imposition of other penalties, such as denial of entry of goods from businesses that are repeat offenders.
The Interagency Labor Committee for Monitoring and Enforcement has established a web-based hotline to allow for the receipt of confidential information from interested parties regarding labor issues among United States-Mexico-Canada Agreement (USMCA) countries. If you have such information you would like to share with the United States, the hotline is available here.
The United States-Mexico Facility-Specific Rapid Response Labor Mechanism text, located in Annex A to USMCA Chapter 31, is available here.
General Motors facility in Silao, Mexico
Press Release: United States Seeks Mexico's Review of Alleged Worker's Rights Denial at Auto Manufacturing Facility – May 12, 2021
U.S. Request for Review – May 12, 2021
Letter Directing Suspension of Liquidation – May 12, 2021
Course of Remediation – July 13, 2021
Plan de Reparación (Unofficial Spanish Courtesy Translation) – July 13, 2021
Letter Directing Resumption of Liquidation – September 21, 2021
Press Release: Ambassador Tai, Secretary Walsh Applaud Successful First Course of Remediation under USMCA’s Rapid Response Mechanism – September 22, 2021
Tridonex S. de R.L. de C.V. facility in Matamoros, Mexico
Press Release: United States Seeks Mexico’s Review of Alleged Freedom of Association Violations at Mexican Automotive Parts Factory – June 9, 2021
U.S. Request for Review – June 9, 2021
Press Release: United States Reaches Agreement with Mexican Auto Parts Company to Protect Workers’ Rights – August 10, 2021
Fact Sheet: Biden Administration Reaches Agreement with Mexican Auto Parts Company to Protect Workers’ Rights – August 10, 2021
Commitments from Tridonex S. de R.L. de C.V. – August 10, 2021
