SUNS 4363 Friday 29 January 1999

United States: WTO must recognise core labour standards



Geneva, Jan 28 (TWN) -- In the run-up to the end of the year WTO Ministerial conference, to be held in the United States, the US government on Wednesday called for `core labour standards' to be brought on to the agenda.

In its submission to the WTO General Council yesterday, the USA  outlined the need to forward a recommendation to the Ministers for the establishment of a work programme that would address trade issues relating to labour standards - such as abusive child labour, the operation of export processing zones, etc.

Many believe this is an attempt to create a wedge in the door to bring in labour standards fully into the WTO. Once integrated into the WTO fold, labour standards would enable the USA to take trade restrictive measures against those found violating such labour standards.

The US draft proposal for decision or recommendation by the Ministers, but yet to be discussed at the informal preparatory process and agreed as a recommendation said that:

Ministers, acting on behalf of the Ministerial Conference at Singapore in 1996, renewed their commitment to the observance of internationally recognised core labour standards. They drew attention to the work of the International Labour Organization (ILO) and the collaboration between the WTO and ILO Secretariats.

While the Singapore Declaration was an important initial step, more attention to the intersection of trade and labour standards is warranted as governments and industries  wrestle with the complex issue of globalisation and adjustment.

Since Singapore, there have been important developments in the ILO on trade and core labour standards and child labour, among other issues. Ministers at Singapore acknowledged that economic growth and development fostered by increased trade and further trade liberalisation contribute to the promotion of core labour standards.

The Council should recognise that important trade-related issues arising out of the effort to promote observance of core labour standards are currently under examination in the ILO, OECD and other
fora, but have thus far not been considered by the Members of the world's main trade organization, the WTO.

For these reasons said the US in its paper put forward to the General Council's preparatory process, "we believe that a recommendation should be forwarded to the Ministers for the establishment of a forward work programme in the WTO that would address trade issues (e.g. abusive child labour, the operation of export processing zones, etc.) relating to labour standards and where members of the WTO would benefit from further information and analysis on this relationship and developments in the ILO."

Provision should be made, the US added, to address this important relationship at the High Level Meeting on Development in March, drawing upon available analysis.