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What working-condition concerns were raised about maquiladoras in Mexico and other Latin American countries?
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North American Free Trade Agreement
(From left) Mexican Pres. Carlos Salinas de Gortari, U.S. Pres. George H.W. Bush, and Canadian Prime Minister Brian Mulroney meeting to initial the North American Free Trade Agreement in San Antonio, Texas, October 7, 1992.
In the mid- to late 1990s, maquiladoras in Mexico, Honduras, and the Dominican Republic faced significant criticism regarding their labor practices. Concerns centered on the following working-condition issues:
- Substandard Conditions: Plants were frequently cited for poor and unsafe working environments.1
- Excessive Hours: Workers were subjected to excessively long workweeks, reaching up to 75 hours.1
- Lack of Compensation: These long hours were often performed without overtime pay.1
- Demographics and Labor Rights: The majority of the workforce in these Latin American plants consisted of women, and in some regions, children were also employed. Furthermore, most of these facilities were not unionized.1
Beyond these labor concerns, the operations were also criticized for contributing to environmental pollution. While the North American Free Trade Agreement (NAFTA) aimed to stimulate trade, these issues highlighted the ethical challenges associated with the rapid industrialization and low-cost labor models utilized in these regions.12