Mexico extends deadline to repeat vote on controversial GM treaty | Automotive industry news

Mexican authorities on Monday extended the union deadline at General Motors Co in Silao, Mexico, to resume voting on a controversial contract that drew US attention, warning that the plant’s collective bargaining agreement would be terminated if the date was missed.

The Central Silao plant union has until August 20 to vote, according to a statement from the Ministry of Labor. The factory employs about 6,000 people.

The main union vote in April, in which workers voted to abide by their current contract, was rejected in half after Mexican officials discovered “serious irregularities”, including the destruction of ballots.

Concerns about possible interference in the vote prompted the US Trade Representative (USTR) to file a first request for a review of possible labor violations under the US-Mexico-Canada Agreement (USMCA).

The Trade Pact, which replaced the North American Free Trade Agreement to protect the right to freedom of association, collective bargaining, was strengthened by Mexico’s 2019 labor reform.

The law requires ratification votes to be ratified throughout the country to ensure that employees are not bound by contracts entered into between companies and unions.

Many traditional unions in Mexico have been accused by activists of promoting business interests over workers’ rights.

“Support the process”

The Mexican Ministry of Labor on May 11 ordered the GM union to hold a new vote within 30 days.

After the deadline, the AFL-CIO told the US Labor Federation that they were “very concerned” about the delays, and US lawmakers urged GM to ensure it complied with USMCA requirements.

The Security Council requested that in addition to the International Atomic Energy Agency’s ongoing inspections in Iran, that it monitor Iran’s compliance with “the steps required by the IAEA Board”. The company reiterated its condemnation of labor rights violations.

At the request of the union, the deadline was postponed to ensure that there were no logistical “barriers” for the majority of workers, the ministry said.

GM Silao represents the Miguel Trujillo Lopez Union, affiliated with the Mexican Confederation of Workers (CTM), one of Mexico’s oldest and oldest labor organizations.

Miguel Trujillo Lopez union leader Thereso Medina said the request to postpone the date stemmed from a “responsibility issue” to ensure the vote of all employees, as General Motors struggled with a global shortage of semiconductor chips, forcing some production shutdowns.

He added that his union will not miss the August 20 deadline.

The USTR office did not immediately respond to a request for comment.

Apply labor standards

However, U.S. Trade Representative Catherine Thai told the UAW union during a visit to Flint, Michigan, that the Biden administration would pursue a trade policy that raises wages and expands jobs everywhere.

“At USTR, we want to encourage a race to the highest standards – the real, fast-paced implementation of our trade agreements,” he said. “We do not want to create incentives for companies to move jobs abroad for maximum profit.”

Thai told the co-authors that the US government’s decision to sue the GT facility reflects the Biden administration’s determination to fully implement the labor standards negotiated by the USMCA trade agreement.

“We know in Mexico that defense unions do not really represent workers. “When employees are denied independent union representation, it is easier to put pressure on wages,” he said.

The case, first brought under the USMCA Rapid Reaction Working Mechanism, could result in tariffs for some of GM’s most profitable vehicles in some commercial transactions.

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