TPP: Labor Provisions (CRS Report for Congress)
| Release Date |
Aug. 16, 2016 |
| Report Number |
IF10452 |
| Report Type |
In Focus |
| Authors |
M. Angeles Villarreal; Ian F. Fergusson |
| Source Agency |
Congressional Research Service |
Summary:
The Trans-Pacific Partnership (TPP) is a proposed free
trade agreement (FTA) among the United States and 11
Asia-Pacific countries that would reduce and eliminate
tariff and non-tariff barriers on goods, services, and
agriculture, and establish trade rules and disciplines that
expand on commitments at the World Trade Organization
(WTO). Commitments address new “21st Century” issues,
such as digital trade and state-owned enterprises. Labor
provisions in FTAs have evolved since the North American
Free Trade Agreement (NAFTA), which was the first U.S.
FTA that addressed worker rights in a side agreement
committing the parties to enforce their own labor laws and
to resolve disputes. The most recent U.S. FTAs with Peru,
Colombia, Panama, and South Korea incorporate stronger
language by which parties must adopt, maintain, and
enforce core labor principles of the International Labor
Organization (ILO). The TPP includes similar provisions as
these agreements, in addition to three labor consistency
plans with specific commitments in regard to worker rights
for Brunei, Malaysia, and Vietnam.
The scope and depth of provisions on worker rights are
some of the more controversial issues surrounding the TPP.
TPP proponents contend that FTAs are important policy
tools that help raise labor standards by supporting economic
growth and worker rights among countries with varying
levels of development. They argue that FTAs influence
foreign governments to respect workers’ rights, protect
children, eliminate forced labor, and improve working
conditions. Opponents of TPP, such as labor unions and
civil rights groups, are concerned that failure to promote
and implement these rights could adversely affect working
conditions and wages in other countries, as well as promote
the transfer of U.S. jobs overseas.
