Strong labor unions are supporting the White House’s decision to escalate a labor conflict at a significant mine in central Mexico, but the move could have disastrous consequences for both the workforce and the economy.
The 2020 United States-Mexico-Canada Agreement (USMCA) contains a little-used tool that the United States Trade Representative (USTR), located in the White House, is using to further the cause.
If manufacturers violate domestic rules pertaining to collective bargaining and freedom of association, the government may take enforcement action against them under the Rapid Response Labor Mechanism (RRM). In an endeavor, the USTR was able to successfully call the first-ever RRM tribunal to hear cases involving labor authorities from both the United States and Mexico.
Due to legal concerns, the Biden White House is covertly getting involved in an international labor conflict.
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