Introduction to the USMCA and its Labor Rights Chapter
On July 1, it marked five years since the United States-Mexico-Canada Agreement (USMCA) came into effect, introducing a groundbreaking labor rights chapter for the first time. This chapter included the Rapid Response Mechanism (RRM), enabling Mexican workers to report labor rights violations, primarily interference by employers.
USMCA’s Rapid Response Mechanism (RRM) in Action
Since its implementation, the U.S. government has invoked the RRM on 37 occasions. Through negotiations with companies, U.S. authorities from economy and labor departments have addressed the alleged violations reported by Mexican workers.
However, there have been significant discrepancies in resolutions between Mexico and the U.S., leading the latter to request labor panels on six occasions. One case has been resolved, one is ongoing for Atento, and four remain stagnant despite being a rapid dispute resolution tool.
Impact and Benefits of the RRM
As a result of the RRM, over 30,000 workers have been directly benefited, and more than 100 million pesos in unpaid wages and other labor benefits have been secured.
Although no cases were reported in 2020, the first two cases emerged in 2021, setting the course for governments to uphold workers’ rights. These cases involved General Motors in Silao, Guanajuato, and Tridonex in Tamaulipas.
The number of complaints grew to 13 in 2023, with six cases reported so far in 2025. Of these, four were from the automotive parts sector, one from electronics, and another from automotive.
The primary reasons for activating the RRM over five years have been employer interference (26 times), discrimination (18 times), and threats or dismissal due to workers’ union activities (18 times).
Expert Opinion on the RRM
Alberto Alcalde Justiniani, a labor rights specialist, stated that the RRM has been effective in promoting freedom of association and collective bargaining rights, which are frequently violated in Mexico.
He suggested that the mechanism could be improved by adopting an asymmetric approach among the three countries and enhancing transparency while respecting the right to a hearing.
Key Questions and Answers
- What is the USMCA and when did it take effect? The USMCA is a trade agreement between the United States, Mexico, and Canada that took effect on July 1, 2020. It includes a labor rights chapter with the Rapid Response Mechanism (RRM) for the first time.
- How many times has the RRM been invoked since 2020? The RRM has been invoked 37 times by the U.S. government since 2020.
- What are the primary reasons for activating the RRM? The main reasons have been employer interference (26 times), discrimination (18 times), and threats or dismissal due to workers’ union activities (18 times).
- How many workers have benefited from the RRM? Over 30,000 workers have been directly benefited by the RRM.
- What is the current status of labor panel requests by the U.S. government? The U.S. has requested labor panels on six occasions, with one case resolved, one ongoing for Atento, and four stagnant.