The American Federation of Labor and Congress of Industrial Organizations (AFL-CIO) filed the first labor complaint against Tridomex under the USMCA.
Tridonex is an auto parts company established in Matamoros, Mexico.
Likewise, Tridomex is headquartered in Philadelphia, United States, and is controlled by a Canadian group.
Susana Prieto’s union (SNITIS), of the AFL-CIO, Cardone’s union in the United States, and Global Trade Watch promoted the labor complaint.
In general, the USMCA establishes an ad hoc dispute resolution for labor cases in the manufacturing and mining industries.
These special panels would deal only with the questions of the election of a union leader and the constitution or modification of a collective agreement.
On the other hand, the USMCA does not authorize the deployment of foreign inspectors in the supervision of the application of labor commitments.
In addition, the dispute resolution mechanism includes a period of 85 days to reach a mutual understanding.
If no conciliation is reached, a panel consisting of three panelists is raised.
The USMCA establishes another clause that guarantees that no country can block the dispute settlement mechanism.
At the same time, the Treaty creates “an inter-institutional committee” that will supervise the implementation of the labor reform in Mexico.
It also creates ongoing labor reporting requirements for Congress.
The USMCA allows not only to raise tariffs, but also to block exports from one country to another country in the region, if there are repeated labor violations by a manufacturing, service or mining facility.
Likewise, the export blockade was agreed only after three cases of continuous violations by the same facility.
The AFL-CIO is the largest labor union in the United States and Canada.
Since 1955, the AFL-CIO was formed with the merger of AFL (1886) and CIO (1935).
In conclusion, the AFL-CIO is made up of national and international federations of unions from the United States and Canada that together represent more than 12 million workers.