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1 1 (September 18, 2020)

handle is hein.crs/govdbuk0001 and id is 1 raw text is: 01;0i E.$~ & Updated September 18, 2020 Worker Rights Provisions in Free Trade Agreements (FTAs) Worker rights are a prominent issue in U.S. FTA negotiations. Some stakeholders believe worker rights provisions are necessary to protect U.S. workers from perceived unfair competition and to raise labor standards abroad. Others believe these rights are more appropriately addressed at the International Labor Organization (ILO) or through cooperative efforts and capacity building. Since 1988, Congress has included worker rights as a principal negotiating objective in Trade Promotion Authority (TPA) legislation. The United States has been in the forefront of using FTAs to promote core internationally recognized worker rights. Labor provisions have evolved significantly since the North American Free Trade Agreement (NAFTA), moving from side agreements to integral chapters within FTA texts, with more provisions subject to enforcement. The conclusion of NAFTA renegotiations resulted in the U.S.-Mexico-Canada Agreement (USMCA), which replaces NAFTA and has a new labor chapter and enforcement mechanism. USMCA entered into force in July 2020. Most FTAs with provisions on worker rights refer to commitments made in the ILO. The ILO is the primary multilateral organization responsible for promoting labor standards through international conventions and principles. A specialized agency of the United Nations, the ILO is composed of representatives from government, business and labor organizations. It promotes labor rights through assessment of country standards and technical assistance, but has no real enforcement authority. The World Trade Organization (WTO) does not address worker rights, as members were unable to reach consensus on the issue. VVhnt a, the R-0 cs~Is The ILO has adopted 194 multilateral conventions or protocols; eight are considered to be core labor standards. The 1998 Declaration on the Fundamental Principles and Rights at Work incorporates core principles from these eight conventions, to be adhered to by all countries whether or not they are signatories to the underlying conventions. The United States has endorsed these principles, incorporating them in recent FTAs as enforceable provisions. It has ratified only two of the core ILO conventions: abolition of forced labor, and prohibition and elimination of the worst forms of child labor. As a result, U.S. FTAs do not include commitments to enforce the conventions themselves. Ar c n . 4a\. is c n fl'c3 w R~ o~ckrs The U.S. Tripartite Advisory Panel on International Labor Standards of the President's Committee on the ILO has found that U.S. law is at least partially inconsistent with five of the core conventions: freedom of association; right to organize/collective bargaining; forced labor; minimum age; and equal remuneration. For example, U.S. laws on prison labor may conflict with the forced labor convention. The 1998 ILO Declaration Principles * Freedom of association and the effective recognition to the right to collective bargaining. * Elimination of all forms of forced or compulsory labor. * Effective abolition of child labor and minimum age of work. * Elimination of discrimination in respect of employment or occupation. L .hc,- o f ,S. FTAs Worker rights provisions in U.S. FTAs, first included in NAFTA in 1994, have evolved significantly, from requirements for parties to enforce their own labor laws, and to strive not to waive or derogate from its laws as an encouragement to trade, to commitments to adopt, maintain, and enforce laws that incorporate core ILO principles. Other provisions address labor cooperation and capacity building. Internationally recognized worker rights were based on language in the U.S. Generalized System of Preferences (GSP) statute and largely track the ILO Declaration, but also refer to acceptable conditions regarding minimum wages, hours of work, and occupational safety and health. Recent U.S. FTAs reflect the negotiating objectives under TPA statutes. These objectives have become more comprehensive over time. NAFTA. The original NAFTA did not include labor provisions, leading President Clinton to negotiate a side agreement, called the North American Agreement on Labor Cooperation. It contained 11 guiding principles on worker rights in matters affecting trade, technical assistance and capacity building provisions, and a separate dispute settlement arrangement, along with a labor cooperation mechanism. Full dispute procedures applied to failure to enforce a country's laws regarding: child labor, minimum wage, and occupational safety and health. Other issues, such as freedom of association and the right to organize were limited to ministerial consultations, which resulted in some bilateral and trilateral cooperation. Jordan. The U.S.-Jordan FTA (2001) contains labor provisions that were incorporated into the agreement itself. These provisions also became a template for future FTAs and negotiating objectives in the 2002 TPA authorization. While the provisions are enforceable, both countries committed to resolve disputes outside of dispute settlement. Trade Promotion Authority of 2002. Seven U.S. FTAs were negotiated under TPA-2002. These agreements went beyond the scope of the Jordan FTA, but included one p\w gnom ggmm mppm qq\ a , q 'S I 11LIANJILiN,

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