Independent Union Wins Representation at Another Major Manufacturing Plant in Mexico

Workers at a Panasonic auto parts plant in Reynaso elected independent union SNITIS as their representative over the weekend, marking the union's second victory in the area. While independent unions are gaining momentum in the country, they also face fierce competition from traditional unions and the challenges of negotiating a first contract.  

Background 

Union SNITIS, founded by labor lawyer and congresswoman Susana Prieto, won 75% of ballots in a two-day election in which 2,150 people were eligible to vote, on the heels of another victory in March by the same union at a Tridonex auto parts plant in Tamaulipas. In February, another independent union, SINTTIA, won an election at a General Motors plant in the central state of Guanajuato.  

Union Leverage: Strikes and the USMCA 

The new independent union is making use of strike tactics to gain initial leverage in collective bargaining negotiations. Susana Prieto, who leads the SNITIS campaigns, encouraged workers “at all factories” to join “this new era of independent unionism” while circulating the possibility of “call for a strike by collective bargaining agreement." The same tactic will also be used at the Tridonex facility unless “the company voluntarily decides to sit down with the union and begin the negotiation on the best terms,” according to El Economista.  

Notably, SNITIS also filed a complaint alleging the company violated the USMCA by signing a contract with the rival union SIAMARM without notifying workers and terminating several employees who protested. SNITIS is unlikely to pursue the claim now that it has won representation, but it indicates that the new union is comfortable to leverage this tool for its advantage.  

Challenges Remain  

Traditional unions still pose a significant challenge to the continued success of the independent union movement in Mexico. Even though SIAMARM lost the election, they suggested that they will continue to be involved at the facility. The power battle between old and new unions will continue to develop as labor reform proceeds.  

Further, it remains to be seen how effectively the new independent unions will be able to negotiate their first collective bargaining agreements, given their lack of experience. During the process of negotiating a new contract between an automaker’s Silao facility and its independent union SINTTIA, the union is seeking a 19.2% wage increase, citing surging inflation, and the company has countered with an offer of 3.5%. With a possible strike on the horizon, it could take a while for a new contract to be reached.  

Outlook: The independent union movement in Mexico continues to achieve success in representation elections at major manufacturing plants throughout the country, but obstacles remain in the form of first contract collective bargaining and the continued presence of traditional unions. Meanwhile, north of the border, the United States is experiencing its own recent surge in independent union activity, with an unaffiliated union – the Amazon Labor Union – scoring a historic win at an Amazon facility in Staten Island, NY. Whether this victory will spark similar success elsewhere – as has been the case in Mexico – remains to be seen.