Guatemala to Reform 'Textile Factory Development Act'

The government has made a committment to the E.U. to submit a reform bill and its regulations within 60 days, so as not to adversely affect the labor market.

Thursday, June 23, 2011

The U.S. has complained since 2010 that the Guatemalan government has not ensured acceptable working conditions and rights of association for its workers.

"Regarding the issue, the document says: A company that wishes to be covered by Decree 29-89 should finance a fund in order to guarantee and cover the amount of compensation and other benefits that are unwaivable for workers".

More on this topic

Guatemala Agrees to Compliance with Labor Laws

April 2013

The U.S. is withdrawing from suing the Guatemalan State for breach of labor rules before an international tribunal provided by the DR-CAFTA.

"In order to prevent the creation of an international panel that could lead to Guatemala paying a penalty of up to $15 million for violating labor laws, the Government has agreed with the United States to abide by a commitment to a plan to implement policies respecting these rules ", reported

Failure to Comply with Labor Laws in Honduras

May 2012

Local and U.S. labor unions have filed a complaint with the U.S. Department of Labor for breach of the rules established under DR-CAFTA.

The U.S. Department of Labor has agreed to review a union complaint against the government of Tegucigalpa for breach of labor laws under the free trade agreement DR-CAFTA, according to an official announcement released today.

U.S. Denounces Labor Conditions in Guatemala

May 2011

The U.S. government believes that Guatemala has not taken sufficient measures to resolve problems with labour conditions.

In 2010 the U.S. censured the Guatemalan government for not ensuring acceptable work conditions nor rights of association for its workers.

According to an article in cnn, Ron Kirk, a representative of U.S.

New Labor Regulations in Panama

June 2009

Although it was not planned in the agenda of the new administration, outside pressures have focused attention on labor reform.

The evidence that the process of this reform has started are the four decrees on labor regulations that were issued by the departing administration.

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