Blog | Trade

How the Canadians Are Trying to Use NAFTA to Raise Your Wage

Skeleton on a bench.
AFL-CIO

Finally, after nearly a quarter of a century, the North American Free Trade Agreement (NAFTA) is being renegotiated. This is a good thing. NAFTA is called a "trade deal," but it’s mostly a collection of rules that give corporations more power over the three economies of North America. It gives companies tools to undermine laws and rules that protect America’s working families. It increased threats by U.S. employers to close workplaces and move to Mexico. And once the companies got there, NAFTA provided strict rules for them, but only vague guidelines to protect working people’s rights and freedoms.

NAFTA negotiations have not progressed very far, and it is too early to say whether the effort will bring a New Economic Deal to working people or simply more crony capitalism. But there was some fantastic, surprising, excellent news recently.

The Canadian negotiating team did something big: They told the U.S. negotiators that U.S. laws that interfere with people’s freedom to negotiate on the job are dragging down standards for Canada and need to be abolished. Guess what? Canada is right.

These laws, known as "right to work," are another example of the wealthiest 1% rigging the rules to weaken the freedom of people joining together in union and negotiating with employers for better pay, benefits and conditions at work. Not surprisingly, states with these freedom-crushing laws are less safe and have lower wages, dragging down workplace standards for those in other states, and apparently in Canada, too.

Canada gets the obvious: These laws take away working people’s freedom to join together and raise their wages. Canada is pushing the United States to be fairer to working people, just as the U.S. is pushing Mexico to be fairer to its working people. Will the U.S. negotiators see the light and agree to this proposal in NAFTA? We certainly hope so. It will tell us a lot about who the president stands with: Corporate CEOs or working families?

Learn more about laws that take away working people’s freedom.

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