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Labour chapter summary

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Trade and labour protections are mutually supportive and Canada strives to demonstrate internationally that a competitive economy includes safe, healthy and cooperative workplaces. The Canada-United States-Mexico Agreement (CUSMA) includes a comprehensive labour chapter, fully subject to the dispute settlement provisions of the Agreement, which aims to raise and improve labour standards and working conditions in all three countries by building on international labour principles and rights.

The labour chapter includes new provisions to prohibit the importation of goods produced by forced labour; enforce obligations related to discrimination, including discrimination based on sex, sexual orientation and gender identity; address violence against workers exercising their labour rights; and ensure that migrant workers are protected under labour laws. To address the main labour rights violations in Mexico (specifically, the use of “protection contracts” or employer-dominated union agreements), the chapter also includes an Annex on Worker Representation in Collective Bargaining in Mexico, under which Mexico commits to specific legislative actions to provide for the effective recognition of the right to collective bargaining.

To address labour violations related to collective bargaining and freedom of association in a timely manner, the Agreement also includes an innovative Rapid-Response Mechanism between Canada and Mexico, and between the United States and Mexico. This enforcement mechanism would allow for the rapid deployment of a three-member panel of labour experts to a facility to ensure that the national labour law is being respected. A positive finding by the panel could result in imposing penalties, including suspending benefits or blocking shipments of goods.

Technical summary of negotiated outcomes: Labour chapter

Other outcomes related to labour: Rapid-response labour mechanism

Other outcomes related to labour: Rules of origin

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