U.S. Department of Labor (ILAB) Grant for Enhanced Labor Law Compliance in Mexico’s Tomato and Chile Pepper Sectors

The Bureau of International Labor Affairs (ILAB), U.S. Department of Labor (USDOL, or the Department), announces the availability of approximately $5 million total costs (subject to the availability of federal funds) for one cooperative agreement to fund a technical assistance project in Mexico to increase private sector stakeholders’ accountability to uphold core labor standards consistent with Mexican labor law and the United States-Mexico-Canada Agreement (USMCA) Labor Chapter, specifically regarding child labor, forced labor, and acceptable conditions of work in the tomato and chile pepper supply chains. The project will have a particular focus in states that produce chile peppers and tomatoes, including Baja California, Baja California Sur, and Chihuahua.

In support of achieving the project objective, the project should be designed using a worker-centered approach to achieve the following outcomes in addressing child labor, forced labor, and unacceptable conditions of work in the tomato and chile pepper supply chains: 

• Outcome 1: Increased compliance with labor laws related to child labor, forced labor, and acceptable conditions of work by private sector stakeholders in the tomato and chile pepper supply chains. 

• Outcome 2: Increased application of effective and sustainable compliance and remediation systems by private sector stakeholders in the tomato and chile pepper supply chains. 

The project will strengthen the capacity of tomato and chile pepper producers to comply with Mexican labor laws, with a focus on child labor, forced labor, and acceptable working conditions, including in the states of Baja California, Baja California Sur, and Chihuahua. The project will increase the capacity of private sector stakeholders to achieve compliance with Mexican labor law in alignment with the USMCA labor chapter.  The USMCA’s labor standards, which fully incorporate the fundamental labor rights as stated in the International Labor Organization’s (ILO) Declaration on the Fundamental Principles and Rights at Work and its Follow-up (1998), include enforcement of laws regarding forced labor and child labor. The USMCA also includes provisions that require the parties to take measures to prohibit the importation of goods produced by forced labor, including forced child labor, to address violence against workers exercising their labor rights, including freedom of association and collective bargaining, to address gender-based discrimination in the workplace, and to ensure that migrant workers are protected under labor laws.  

Under the United Nations (UN) Guiding Principles on Business and Human Rights, business enterprises have the responsibility to respect human rights, including by avoiding causing or contributing to adverse human rights impacts through their own activities. Corporate actors also have the responsibility to provide victims access to effective remedy and to seek to prevent or mitigate such impacts directly linked to their operations, products, or services by their business relationships. The project will prioritize incorporating strategies for creating new or strengthening existing due diligence efforts that promote worker voice and empowerment.  These strategies must align with global due diligence guidance and best practices such as those outlined in the Mexican Secretariat of Labor and Social Welfare (Secretaría de Trabajo y Previsión Social or “STPS”) Best Labor Practices and Decent Work Accreditation System, the USDA Guidelines for Eliminating Child Labor in Agricultural Supply Chains, ILAB’s Comply Chain and/or other global due diligence guidance, such as the OECD-FAO Guidance for Responsible Agricultural Supply Chains.  

The duration of the project will be a maximum of 4.5 years (54 months) from the effective date of the award.