Brown, Wyden Release Joint Statement Applauding U.s., Mexico Solution to Labor Violations at Panasonic Facility

Press Release

Today, U.S. Senators Sherrod Brown (D-OH) and Ron Wyden (D-OR) released a joint statement following the news that the Office of the U.S. Trade Representative reached a resolution with Mexico to allow employees in the Panasonic Automotive Systems de Mexico facility in Reynosa, State of Tamaulipas, freedom of association and ability to collectively bargain with an independent union (SNITIS). This was made possible thanks to the Brown-Wyden Rapid Response Mechanism (RRM) provision that was included in the United States-Mexico-Canada Agreement (USMCA).

Brown and Wyden fought for and successfully secured this important worker-empowering provision allowing impacted workers to bring cases alleging labor violations at the facility level for the first time. This provision ensures that corporations are held accountable in paying workers a living wage and treating them fairly, regardless of where those workers are located, so that companies no longer have an incentive to move jobs abroad -- thereby protecting workers on both sides of the border.

"This is another example showing that enforcing USMCA through the Brown-Wyden rapid response mechanism is working. We wrote this law to fight the race-to-the-bottom that encourages outsourcing and depresses wages for American workers, by supporting Mexican workers' fight for better wages and working conditions. When we stand with workers in Mexico, we lift up American workers," said the Senators in a statement. "This is great news for both Mexican and American workers, as workers at the Panasonic facility finally have the basic working rights they deserve."

The Brown-Wyden provision that the senators secured in USMCA represents the first-ever overhaul of labor enforcement tools in a trade agreement since the United States started negotiating trade deals. The new agreement allows workers in Mexico to report when a company is violating their rights and seek immediate action if it is determined that workers' rights have been violated. The Brown-Wyden RRM allows for penalties when corporations violate labor protections including giving the United States authority to prevent goods from coming into the United States if companies continue their anti-worker tactics.

Last year, the United States and Mexico announced a course of remediation that seeks to provide the workers of the General Motors facility in Silao, Mexico with the ability to vote on whether to approve and legitimize their collective bargaining agreement in free and democratic conditions. This will also remediate GM's initial denial of the right of free association and collective bargaining to workers at the facility. This first course of remediation is a result of the worker-empowering provisions Sens. Brown and Wyden secured through their Rapid Response Mechanism as part of USMCA.

Last year, U.S. Trade Representative Katherine Tai implemented the first ever self-initiated labor enforcement case under the Brown-Wyden RRM in the USMCA. During a Finance Committee hearing, Brown discussed with Ambassador Tai the use of the Brown-Wyden provision in the USMCA and what it means for workers.

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