Title: NAFTAs Shadow
1NAFTAs Shadow
2 The North American Free Trade Agreement
(NAFTA) An agreement signed by Canada, USA and
Mexico to -eliminate barriers to trade through
three countries -eliminate barriers to
investment and flows of money -provide new
protections for global corporations against
piracy of CDs, videos, and other intellectual
property
3- Problems With NAFTA
- -Labor Laws
- -Environmental Laws
- -Currency Erosion
- Cost of Consumer Goods
- Loss of Jobs in the USA
4Before NAFTA
- 20 years ago had one of the highest standards of
living - Now little infrastructure (housing, school,
public services, clean water)
5They dont treat us like workers, they treat us
like slaves - Cielo
6Who is Working -Majority displaced workers from
the south -Settle in colonias -Majority of
workers 16-25 yrs old -66 female
workers -Subject to sexual harassment and rape
-Fired when worker becomes pregnant
7Labor Laws Minimum Wage -Average worker makes
300-500 pesos a week (30-50 American dollars)
-In the US a GM worker makes 18.96/hr -In
Mexico 1.54/hr -Hiring workers for 2-3
months -No overtime -No enforcement of minimum
wage -Groceries cost less in Texas
8Labor Laws Working Conditions -Safety mechanisms
in factories turned off -No protection from toxic
chemicals (effects include cancer, asthma,
sterilization) -No compensation for accidents in
factory -No health insurance -Few bathroom
breaks -Workers must pay for water
9The Environment Land Ownership -After revolution
land ownership put in Mexican Constitution (27
Ejido clause) -Land given to farmers by
government---cannot be sold -USA requires Mexican
Gov. to remove 27 for NAFTA -Food imported from
USA -30 million farmers sell land to
companies -Companies pay few taxes on the land
10The Environment Pollution -Chemicals dumped in
rivers -Solvents, heavy metals, and toxic waste
in water and soil -Flora (calcium sulfate) used
to pave roads -Flora falls on cattle grain -HFC
Fluoride Asbestos -HFC housed in dangerous
conditions (68 F becomes airborne) -Massive
deforestation
11The Environment Effects On Human Life -Flora
causes cancer, asthma, birth defects,
sterilization, and anencephaly (1,000 above
average) -Land devalued -No sewage system -Number
one killer of children on the border is
gastrointestinal diseases -On the USA side of
the border Hepatitis A is 3 times the national
average
12NAFTA The Mexican Gov. and the US
Gov. -Massively indebt to US Gov. and world
bank -25 cents to every dollars of foreign
investment -Pressure put on Mexican government
- Structural Adjustment Programs
destroyed -No money for hospitals, waste
treatment, schools, water purification, ect.
13-Lowering the value of the peso (part of
structural adjustment) -Purchasing power has
fallen 65 in Matamoras -Loss of jobs in the
United States (800,000 American workers lost jobs
because of NAFTA) -Since NAFTA, GM Suburban costs
6,500 more -Companies are leaving -Race to the
bottom
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20What Can Be Done?
- Education
- Solidarity (not charity!)
- Micro-loans
- Student Activism (sweat free schools)
21Education -First priority for many
communities -Education supposed to free but is
not -Education brings power to communities -Offers
opportunities outside sweatshops
22Solidarity Not Charity -Asking communities what
they want -Opening clinics -Help organize
community government -Provide alternatives -Organi
ze workers -Asking for asthma medicine and
contraceptives
23Micro-loans -Small loans to communities -Helps
people stay in communities -Empowers community
and women -Examples Buy cows to make
cheese Chili gardens to make salsa Fishing
communities
24Student activism Create a Sweat free school
Resources www.sweatfree.org
- Build a group
- Define your goal
- Research Who does your school
buy from? Who is charge of
buying for the school? What are these
companies like? - Build a coalition and educate
5) Make your case to the school
board/principal 6) Plan ahead.and celebrate!
25Questions?