Guatemala Rejects US Claims in CAFTA Labor Dispute

The Guatemalan government challenged the credibility of U.S. claims in an ongoing bilateral labor dispute under the Central American Free Trade Agreement, in a legal briefing made public by the Office of the U.S. Trade Representative in recent days (here). The Obama administration resumed litigation in the case in September 2014, and USTR recently asked for industry comments on the dispute (see 1501230021). The briefing argues the U.S. failed to make a compelling case, due to questionable testimony and otherwise poor substantiation. The U.S. says Guatemala is falling short of CAFTA-mandated labor protections, notably freedom of association and worker’s conditions, in the shipping, apparel, steel and agriculture sectors, (see 1411050013).