Ministers Review NAFTA's Labor Agreement

CHARLOTTETOWN, PRINCE EDWARD ISLAND, October 8 - Canada's Labour Minister, Lawrence MacAulay, hosted US Labor Secretary Alexis Herman, and Mexico's Secretary of Labor and Social Welfare, Jose Antonio González Fernández at the 5th annual meeting of the Council of Ministers of the Commission for Labor Cooperation. This was the second such meeting held in Canada since the North American Agreement on Labor Cooperation (NAALC) was signed in 1993 in conjunction with the North American Free Trade Agreement (NAFTA).

The central focus of this year's meeting was the Review of the North American Agreement on Labor Cooperation, a comprehensive examination of the "operation and effectiveness" of the NAALC required after the first four years, and which has included extensive public input. "Many specific recommendations have been made and it is a challenge fully to do justice to the serious efforts that lie behind these recommendations" the Council of Ministers said in its joint conclusions. "They all merit serious consideration in their own right and based on their own rationale, and the Council will continue to refer to the recommendations in the years ahead as a source of guidance in the work plans and activities of the Commission."

The Ministers discussed a report prepared by their Dallas-based Secretariat containing the results of the review process (see backgrounder) which will published shortly. Immediately released (attached) were the Conclusions of the Ministers, which will form part of the overall report. "The Council has made every effort to achieve consensus on a number of important matters at this time which it believes will improve the future operations and effectiveness of the North American Agreement on Labor Cooperation", the Ministers said.

"Canada is fully committed to the success of the North American Agreement on Labour Cooperation," said Minister MacAulay. "Every year we have an important opportunity to take stock of progress made in protecting the rights of workers in our three countries. This year we have benefited from the views of both experts and the public who have commented on the Agreement and our accomplishments as part of the Four-Year Review. I believe that there is much that we can achieve by continuing to work constructively with our partners in this new Commission for Labour Cooperation."

Secretary Gonzalez stated "The three partners in the North American Agreement on Labor Cooperation should strengthen the mechanisms for cooperation which the Agreement has established. Mexico seeks concrete results from this Labor Cooperation, for example benefiting migrant workers from our country, whose protection is one of the labor principles contained in the NAALC. The Ministry of Labor and Social Welfare is interested in promoting the rights of these workers in respect of their working conditions and the elimination of employment discrimination, in collaboration with our counterparts in the United States and Canada. Four years after signing the North American Agreement on Labor Cooperation Mexico proposes to continue our cooperation based on mutual respect and to restate our determination to use this Agreement constructively for the benefit of workers in Mexico, the United States and Canada".

Secretary Herman stated: "We share the commitment of Minister MacAulay and Secretary Gonzalez for the success of this Agreement. The global economy and increased liberalization create great opportunities for workers in our three countries. But they also raise some concerns about whether the global economy is working for as many of our citizens as it could be. It was for this reason that the North American Agreement on Labor Cooperation was negotiated, with the objective of improving the working conditions and living standards of all workers in North America. I reiterate the Department of Labor's commitment to the objectives of the NAALC and pledge our continued effort to ensure that the Agreement fulfills its promises."

The Manitoba Minister of Labour, Mr. Harold Gilleshammer, also participated in the meeting in his capacity as provincial co-chair of the Canadian Governmental Committee, which is responsible for the implementation of the NAALC in Canada. Mr. Gilleshammer stated that he was pleased to have the opportunity to contribute to the wider understanding of, and improved cooperation on, international labour matters among the three countries.

The following are highlights from the conclusions of the Ministers to the review of the NAALC:

• Taking a variety of measures to strengthen the program of international cooperation managed by the National Administrative Offices, such as by increasing public information, and making the program more strategic and results oriented;
• Increasing the level of activity of the tri-national Commission for Labor Cooperation directed by the Council of Ministers, such as making more extensive use of the Secretariat for improving the availability of comparable labor-related data, and conducting in-depth studies of critical issues.
• Working to improve the Ministerial Consultation process, such as by calling on the Secretariat in appropriate cases for tri-national Special Studies as exemplified by the 1996 report, Plant Closings and Labor Rights;
• Conducting a second comprehensive review in the year 2002;

The Ministers discussed the current status of what are called "public communications" and related "Ministerial Consultations" under the NAALC. All 16 of the public communications or submissions received to date have raised questions concerning the enforcement of labor law in various areas. In response to these, formal "Ministerial Consultations" may be held to address the issues raised. Currently the Ministers are dealing with public communications raising such issues as: protection of the right to organize a union, the enforcement of health and safety legislation, the treatment of migrant workers, and the prevention of discrimination in employment on the basis of sex (pregnancy) and race. Specifically, with respect to the issue of women in the workplace, and consistent with their commitment to the rights of women workers, and their interest in providing more jobs, better salaries and working conditions, the Ministers agreed to a Ministerial Consultations work program.

The Ministers also reviewed progress on the appointment of rosters of experts who could serve on Evaluation Committees of Experts (ECEs), special three-member panels which may be established under the NAALC to conduct independent analyses of the state of the administration of specific areas of labor law in all three countries. The Council of Ministers agreed to instruct their officials to exchange lists of proposed roster members by October 30, 1998 and conclude the appointment of individuals to the rosters by December 31, 1998. (Note: The Rules of Procedure for ECEs were published in August by the Secretariat.)

As in previous annual meetings, the Ministers received a report from the Executive Director, John McKennirey, on the activities of the Secretariat of the Commission for Labor Cooperation, approved a budget for the Secretariat, and adopted a program for cooperative activities for the coming year developed by the three National Administrative Offices. Earlier this year the Ministers had renewed Mr. McKennirey's three-year appointment as Executive Director of the Secretariat. Both the Secretariat's future work plans and the longer term plans for the program of cooperative activities will be designed in the coming year to reflect the Ministers' conclusions in the Review of the NAALC.

The 1997 Annual Report of the Commission for Labor Cooperation was also released today.