Labor unions ask for tariffs on products from China
U.S. labor unions have joined the growing number of manufacturers asking the government to take action against Chin...
U.S. labor unions have joined the growing number of manufacturers asking the government to take action against China for unfair trade practices, according to a report published in Automotive News. On Tuesday of this week, the AFL-CIO filed a petition with the U.S. government under Section 301 of the Trade Act of 1974, charging that the treatment of factory workers in China, "burdens or restricts U.S. commerce."
President George Bush has 45 days to act on the petition. If the petition is accepted, the government has a year to investigate the claims and potential responses.
According to the petition, China is keeping wages low by preventing workers from forming independent unions, restricting movement of workers and not enforcing other labor and safety rules. The petition claims that enforcement of these rules would raise manufacturing costs between 10% and 77%.