HR Policy Global
News

Mexico: Independent Union Won the First Maquiladora’s Vote, Ripple Effect to the Region

This month, employees at an auto parts plant in Matamoros overwhelmingly voted to have an independent union represent them, ousting a longtime protection union. It was a second major victory for independent unions under Mexican labor reform and the implementation of labor provisions under USMCA and will have continuous effect to other foreign-owned facilities in the region and in the country.  

Background 

In this high-profile election, 1,126 or 1,313 employees voted in favor of the independent union SNITIS. The union was founded by labor lawyer and congresswoman Susana Prieto, who led the “20/32” labor movement in 2019. This movement arose because companies refused workers’ request for 20 percent wage increase and the payment of a bonus of 32,000 pesos ($1,532), and it precipitated a series of stoppages and strikes in at least 45 maquiladoras in Matamoros.  In contrast, the defeated union, CTM, recently lost another election at an auto facility in Silao, a central city of Mexico. Further, the auto parts company, Tridonex, came under US scrutiny last year after US unions pushed for a labor complaint under the USMCA claiming that workers had been prevented from choosing their own union. 

The significance of the vote  

Matamoros is home, the 2nd largest after Reynosa, to more than 122 manufacturing plants (maquiladoras) that import and assemble duty-free components for export. The union SINTIS has a considerable influence in the region. In an interview with El Economista, Rosario Moreno, General Secretary of SINTIS, shared that they are expecting victories at more than 6 collective bargaining agreements, including global giant Panasonic, within the maquiladoras industry. 

Additionally, unlike most of new independent unions in Mexico, SINTIS has more experience in campaigning and organizing strikes. The “20/32” movement motivated tens of thousands of Maquiladora workers join the weeks-long strike and ended with 48 factories agreeing to worker demands.  

Further, Susana Prieto, the founder of the union and currently a congresswoman and Federal Deputy of the ruling party Morena, will likely leverage her influence in the area and her connections with US and international unions to move forward with her political agenda. This subsequent win “sets a precedent for the entire north" of the country in terms of union freedom and democratization that could impact the 33 municipalities in which the union is located, "so that workers can finally have justice, better benefits and wages,” noted Prieto.  

Outlook: Global employers who have facilities in northern Mexico should be vigilant to the developments as SINTIS and other independent unions could seek representation beyond the city. After the recognition, the union will ask to eliminate the union dues to the CTM and start negotiations with the company. “There will be a reconfiguration of the union movement in the region and beyond,” commented Cirila Quintero Ramírez, a researcher at the Colegio de la Frontera Norte. 

 

 

Published on:

Authors: Wenchao Dong

Topics:

MORE NEWS STORIES

Due Diligence: US government InfoHub goes live
Africa & Middle East

Due Diligence: US government InfoHub goes live

April 17, 2024 | News

Continue reading this content with the HR Policy Global Membership package