USMCA Tractor Parts Case Resolved

The United States announced the successful resolution of the Rapid Response Labor Mechanism (RRM) matter at the Servicios Industriales González, S.A. de C.V. (SIG) facility, a major metal fabricator and supplier for Caterpillar, John Deere and Komatsu  in Nuevo Leon.

This matter was brought to the attention of the U.S. government through a petition. After the United States requested the Government of Mexico’s review of the matter, Mexico and the company undertook several remedial actions to ensure workers’ rights are protected at the facility.


 Deputy Undersecretary for International Affairs Thea Lee noted the cooperation of the parties.

 “We acknowledge the actions the government of Mexico took with the employer to address the issues raised by the petitioners. These actions promote employer neutrality at the plant consistent with Mexican law and the USMCA.”

Actions taken by the facility and the Government of Mexico to address the matter include:
SIG paying nearly $20,000 USD in settlement to six dismissed workers;
SIG providing equivalent facility access to two unions seeking to represent workers at the facility;
SIG posting and disseminating a neutrality statement and related guidelines at the facility, affirming its commitment to safeguarding the rights to freedom of association and collective bargaining;
SIG representatives delivering trainings to all facility personnel on its neutrality statement and guidelines; and
The Government of Mexico delivering trainings on freedom of association and collective bargaining rights to workers and company representatives at all SIG facilities in the state of Nuevo Leon.

Background
 The petition alleged that SIG dismissed workers in retaliation for undertaking union organizing activity, interfered in union affairs, and provided its preferred union with preferential access to its facility to the detriment of other labor unions. 

 The Government of Mexico conducted an investigation, and worked with SIG to provide remediation to dismissed workers and implement facility-wide measures aimed at safeguarding freedom of association and collective bargaining rights.