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May 8, 2003

The Honorable Robert Zoellick
United States Trade Representative
600 17th Street, N.W.
Washington, DC 20508

Re: Labor Chapter for Central America Free Trade Agreement

Dear Ambassador Zoellick:

We understand that the U.S. negotiating team for the CAFTA plans to table text for a proposed labor chapter at the upcoming May 12-16 negotiating round in Guatemala. We believe that tabling a definitive labor text at this time is premature because there has not been sufficient time for Congress to engage in meaningful consultations on this important issue.

In particular, we are concerned that the labor rights situation in a number of the Central American countries presents concerns of a degree different from those underlying the negotiations of the U.S.-Singapore and U.S.-Chile FTAs. As with market access and other provisions of free trade agreements, we believe that labor provisions should be tailored to address issues particular to each trading partner. One size does not fit all.

In our view, several steps would be helpful in informing the consultation process on an appropriate labor text. First, it would be extremely useful to receive at the earliest possible date -- even if in draft form -- the "meaningful labor rights report" prescribed in section 2102(c)(8) of the Trade Act of 2002 with respect to each of the CAFTA countries. This report would be an important tool to focus both our consultations and the negotiating dialogue. Second, we would like to discuss with you, in more concrete detail, proposals that the Administration is considering in the areas of capacity building and international (ILO) monitoring with respect to labor rights in the CAFTA region, as well as efforts to bring Central American domestic labor laws into compliance with internationally-recognized standards and ensure that they are kept there.

We do not object to having our negotiators discuss possible labor chapter text at the May negotiating round. Indeed, we believe it is critical to engage the CAFTA countries on these issues throughout the negotiations. We would strongly prefer, however, that any discussion of text take place under the explicit understanding that the United States reserves the right to propose changes that would strengthen the labor chapter text.

Thank you for your consideration of these concerns. We look forward to your response.

Sincerely,

Max Baucus
James M. Jeffords
Jeff Bingaman
John F. Kerry

 



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