Last Wednesday, July 1, 2020, came and went without much fanfare. Still, it was the first day of the implementation of the United States-Mexico-Canada Agreement (USMCA) which, in essence, is a new and revised North American Free Trade Agreement (NAFTA).
The new trade agreement for North America took effect July 1, ushering in tougher labor, content, and wage requirements. The agreement includes an annex to address labor conditions and oppressed wages in Mexico. Specifically, the USMCA calls for collective bargaining and secret votes for unions to dilute the influence of business owners in Mexico and allows U.S. labor inspectors to visit facilities in Mexico. The original NAFTA text on work visas has been preserved in Chapter 16 of the USMCA.
The average Texan/American may not think that USMCA affects them. However, the trade agreement is estimated to support nearly 12 million American jobs (700,000 Texas jobs) due to the trade with Mexico and Canada. A result of $173 BILLION worth of goods between Texas and Mexico every year.
Employers in the U.S., Mexico, and Canada will be excited to know that the TN visa was not altered under the new USMCA agreement. The list of professions eligible for a TN visa has not changed. No occupations were added or eliminated.
If your business is interested in hiring talented employees from Mexico or Canada, please reach out to Peek & Toland. We have almost 20 years of helping immigrants and American companies work together to keep the economy moving forward. Contact our office at 512-474-4445 to set up an appointment today.