Mexico vows labor rights, higher wages to get U.S. Democrats to back trade deal

FILE PHOTO: Mexico's President Andres Manuel Lopez Obrador attends a news conference at the National Palace in Mexico City, Mexico August 30, 2019. Picture taken August 30, 2019. REUTERS/Henry Romero

MEXICO CITY/WASHINGTON (Reuters) – Seeking to speed up U.S. ratification of a North American trade deal, Mexican President Andres Manuel Lopez Obrador on Tuesday vowed to implement union freedoms, higher wages and other labor rights ahead of a meeting with a delegation of U.S. lawmakers.

U.S. House of Representatives Speaker Nancy Pelosi has said Democratic lawmakers need to have confidence in a labor reform passed this year by Lopez Obrador’s left-leaning government.

House Ways and Means Committee Chairman Richard E. Neal led a delegation of House Democrats that was to meet with Lopez Obrador, other officials and workers on Tuesday to hear more about Mexico’s labor situation.

“They want to know if the labor law will be implemented… of course we will comply with enforcing this law,” Lopez Obrador told his regular news conference.

“The reform is so that… workers can freely choose their representatives, and so there is union democracy and better wages for workers,” he said.

The USMCA trade deal, which would replace the trillion-dollar North American Free Trade Agreement, risks getting bogged down in the 2020 U.S. presidential election race if U.S. lawmakers do not ratify it soon.

Mexico’s Congress has already approved the deal. It also needs ratification from Canadian lawmakers.

Lopez Obrador called for ratification as soon as possible.

Top Republicans in the U.S. Congress and U.S. trade groups on Tuesday pressed lawmakers to approve the deal and not allow an impeachment inquiry against President Donald Trump to delay it.

Ann Wilson, chief lobbyist for the Motor & Equipment Manufacturers Association, said industry had delayed key investments given continued uncertainty over the agreement a year after it was signed by the three countries’ leaders.

“We don’t have time to waste. We need to get it done,” she said.

Senate Finance Committee Chairman Chuck Grassley and Representative Kevin Brady, top Republican on the House Ways and Means Committee, urged Democrats to move quickly on the trade agreement.

“With election year politics upon us, time isn’t on our side. But the window of opportunity hasn’t closed yet. Democrats must act now,” they said in a joint statement.

Democrats say they are seeking better mechanisms in the trade agreement to ensure enforcement of labor and environmental provisions. One measure under consideration is providing aid to Mexico to beef up its enforcement of labor rules.

(Reporting by Anthony Esposito in Mexico City and Andrea Shalal in Washington, Additional reporting by Abraham Gonzalez; Writing by Daina Beth Solomon, Editing by Frank Jack Daniel and Dan Grebler)

France’s government faces nationwide protests over labor reform

By Brian Love

PARIS (Reuters) – France’s government faced nationwide protests and a no confidence vote in parliament on Thursday after opting to bypass widespread opposition and impose labor reforms that will make hiring and firing easier.

As crowds gathered in cities across France for another day of demonstrations, the CGT labor union called for weekly rolling strikes at the SNCF state rail company from Tuesday night until Friday morning.

Prime Minister Manuel Valls’ Socialist administration was expected to survive the confidence vote.

But a series of strikes and waves of street protests that have shown no sign of easing since they began in late March suggest popular discontent over a reform that pollsters say three out of four people oppose is becoming more entrenched.

“It’s time to move up a gear,” Philippe Martinez, head of the CGT union, said. The main objection to the reform from unions is that it would allow firms to adopt in-house terms on pay and conditions instead of complying with national standards.

The official reason for the rail strike call is a standoff with management over conditions, but its timetable dovetails with the broader protests against government policy.

As crowds gathered in cities across France, government spokesman Stephane Le Foll said there was no question of withdrawing the reform.

But it has left an already deeply unpopular President Francois Hollande, who narrowly survived a rebellion by dissenters in his own party on Wednesday, in an uncomfortable position a year from elections.

The reform is also under fire from a rolling youth protest movement known as Nuit Debout, or ‘Night Uprising’.

Since the protests began, several hundred police have been injured in clashes, often with hooded youths hurling stones and petrol bombs. On Thursday, news television channels showed footage of secondary-school pupils blocking schools entrances with garbage bins.

The interior ministry advised motorists to stay away from central Paris ahead of an afternoon march and also reported traffic halted by road blockages in some places.

Paris Mayor Anne Hidalgo, a prominent Socialist, added her voice to the dissenters, declaring on Europe 1 radio: “This law does just nothing for social justice.”

Hollande has several other problems piling up.

Media speculation is rife that his youthful economy minister Emmanuel Macron could run for president in the election scheduled for May 2017.

His government has also been caught up in a controversy over sexual harassment in the corridors of power.

After the resignation a politician accused of harassing female colleagues, Finance Minister Michel Sapin, a close Hollande ally, on Wednesday admitted behaving inappropriately toward a female journalist.

(Reporting By Brian Love; Editing by Andrew Callus and John Stonestreet)