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U.S., Guatemala Agree on Plan to Improve Labor Law Enforcement

The U.S. and Guatemala agreed to an “ambitious and comprehensive” enforcement plan that includes deadlines for Guatemalan government actions to improve labor law enforcement, the U.S. Trade Representative said April 11. Some of the actions in the plan are:

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  • Guatemala will pursue legislation to establish an expedited process for labor courts to adopt fines recommended by the Ministry of Labor and Social Protection for labor law violations, and to order employers to remediate such violations.
  • Guatemala will require its Labor Ministry to help workers secure payments owed if a company closes
  • Guatemala will verify timely compliance by employers with labor court orders through new Judiciary verification unit.
  • The country will revoke tax and tariff benefits within five days of receiving notice from a labor court that an employer violated a labor law and failed to comply with the labor court’s resolution.