Congress Weighs FTAs as Means of Improving Workers' Rights

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An Oct. 25 Congressional Research Service document, entitled "Worker Rights Provisions in Free Trade Agreements (FTAs)," lays out an argument for FTAs as a way of improving standards for workers around the globe.

The document details past agreements, like 1994's NAFTA, TPA-2002 and USMCA and explains how the agreements have protected workers in the regions they covered.

The CRS notes that the Biden Administration "is not negotiating comprehensive FTAs, and instead is seeking trade deals with targeted agendas, including in the Indo-Pacific and Americas."

"Key questions remain regarding to what extent labor provisions will be binding, how any enforcement mechanisms would work in practice, and prospects for outcomes in the trade pillar," the report says.

CRS notes Congress may wish to examine the following points:

  • the effectiveness of FTAs as a vehicle for improving

    worker rights and labor standards in other countries;

  • the extent to which FTA partners are complying with

    labor obligations and whether dispute settlement

    provisions have been applied effectively;

  • whether USMCA labor provisions serve as a new

    template for future U.S. trade agreements, or whether

    new initiatives like IPEF may present a new model;

  • the effectiveness of FTAs in providing technical

    assistance and trade capacity building; and

  • the role of businesses in promoting U.S. labor practices

    abroad and conducting supply chain due diligence.

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