Bridges Weekly Trade News Digest • Volume 13 • Number 29 • 5th August 2009

US Weighs Consultations with Guatemala on Labour Rights

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The US Department of Labor (DOL) is considering formal consultations with Guatemala in response to complaints about the country’s record on labour rights. Labour standards are protected under the Dominican Republic - Central America Free Trade Agreement (DR-CAFTA), to which both countries are parties.

The AFL-CIO - the largest federation of US labour unions - and six Guatemalan unions brought the issue to the Department of Labor in April 2008. The groups filed a complaint with DOL’s Office of Trade and Labor Affairs (OTLA), alleging that Guatemala City had failed to adequately enforce its labour laws since DR-CAFTA took effect in 2005. The unions charge that this amounts to a violation of DR-CAFTA Chapter 16 and the ILO Declaration of Fundamental Principles and Rights at Work.

The complaint cited violations of freedom of association, the right to organise and bargain collectively, and acceptable conditions for work. According to the latest annual report by the International Trade Union Confederation (ITUC), Guatemala has become the second most dangerous country for trade unionists since the country signed on to DR-CAFTA. In addition to numerous labour law violations, the ITUC reported nine murders of trade unionists in 2008 and two in 2007.

In January 2009, the Department of Labor’s OTLA issued a report confirming the unions’ allegations. But since the government was addressing the issues, Washington did not request formal consultations with Guatemala City at the time, agreeing instead to a six-month grace period.

Guatemala City provided new information on several allegations of labour violations last month, prompting additional inquiry from DOL. The agency will assess the situation and decide what next steps should be taken to ensure that outstanding labour issues are resolved, according to a communiqué issued by DOL on 15 July.

In early July, 40 members of the US House of Representatives sent a letter to the president of Guatemala, Álvaro Colom, urging him to fulfil his country’s labour obligations under DR-CAFTA. “It is our understanding that the government has made some, but insufficient, progress in the individual cases highlighted and has yet to begin to address the systemic concerns,” the letter read. “We urge you to act upon these recommendations quickly and comprehensively.”

“The ongoing problems of worker exploitation and labour violence not only harm Guatemalan working families, but also violate Guatemala’s promises under CAFTA to enforce its own labour laws,” said Representative Linda Sánchez, a Democrat who co-organised the congressional effort.

“It is unfortunate that this Bush‐negotiated trade agreement did not include stronger protections for workers, which is why I am committed to changing our trade model to include better enforcement and stronger labour provisions,” she added.

US Trade Representative Ron Kirk announced 16 July that his office would take a stronger stand on enforcing labour provisions of trade agreements like DR-CAFTA (see Bridges Weekly, 22 July 2009, http://ictsd.net/i/news/bridgesweekly/51318/).

Under the treaty, Guatemala could face trade sanctions of up to US$ 15 million if the government is found guilty of repeatedly violating the treaty.

ICTSD reporting; “CAFTA-DR: seguirá vigilancia de condiciones laborales en Guatemala,” PUENTES QUINCENAL, 28 July 2009.