United States Seeks Mexico's Review of Alleged Denial of Workers’ Rights at Akwel Juárez México, S.A. de C.V.

For the thirteenth time in 2024, and thirty-first time overall, the United States has sought Mexico's review under the USMCA's Rapid Response Labor Mechanism.

WASHINGTON - United States Trade Representative Katherine Tai announced today that the United States has asked Mexico to review whether workers at Akwel Juárez México, S.A. de C.V. (Akwel), in Ciudad Juárez, Chihuahua, Mexico, are being denied the right to freedom of association and collective bargaining. The United States has suspended liquidation of tariffs on goods from the facility, which manufactures auto parts. The request, which was made in response to a petition, marks the thirty-first time the United States has formally invoked the Rapid Response Labor Mechanism (RRM) in the United States-Mexico-Canada Agreement (USMCA).

"The Rapid Response Mechanism is once again delivering on the Biden-Harris Administration's promise to hold companies accountable for violations of workers' labor rights. With over 40,000 workers who have directly benefitted from this tool, today's action signals to the workers at Akwel that they are not alone in the face of employer interference," said United States Trade Representative Katherine Tai. "This is how we are empowering workers through the USMCA, and we look forward to collaborating with the Government of Mexico to address the ongoing denials of rights at this facility."

"Mexican law and the U.S.-Mexico-Canada Agreement clearly stipulate that companies must recognize and not interfere with the selection of a workers' union. What Akwel Juarez did is an egregious violation of these standards," said Deputy Undersecretary for International Affairs Thea Lee. "We look forward to working with the Mexican government to address this matter and safeguard workers' rights at the plant."

Background

The United States Trade Representative and the Secretary of Labor co-chair the Interagency Labor Committee for Monitoring and Enforcement (ILC). On October 24, 2024, the ILC received an RRM petition from the Sindicato Nacional de Trabajadores y Empleados Especializados, Conexos y Similares de la República Mexicana (SINATAM), along with ten workers as signatories. The petition alleges Akwel is violating workers' right to collective bargaining and freedom of association by refusing to negotiate a collective bargaining agreement (CBA) with the petitioner union, dismissing workers based on their union affiliation, and threatening and harassing workers to disincentivize their union activity. The ILC reviews RRM petitions that it receives, and the accompanying information, within 30 days.

The ILC determined that there is sufficient, credible evidence of a denial of rights enabling the good faith invocation of enforcement mechanisms. As a result, the United States Trade Representative has submitted a request to Mexico that Mexico review whether workers at Akwel are being denied the right to freedom of association and collective bargaining. Mexico has 10 days to agree to conduct a review and, if it agrees, 45 days from today to complete the review.

A copy of the request for review can be found 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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