November 4, 2015
By Celeste Drake
Reprinted: http: http://www.aflcio.org
Here Are Our Top Five Scariest Things About the TPP: The TPP will push wages down. As it stands, the TPP encourages outsourcing of jobs to countries with low wages, inadequate labor rights and poor environmental standards.There are only weak mechanisms to enforce labor rights. The TPP allows too much discretion in the enforcement of labor rights.
Workers who petition the government may not see results for several years, if at all. Meanwhile, foreign investors can act independently to enforce their rights.Currency manipulation could wipe out any potential tariff reduction benefits. The administration has failed to include enforceable currency rules in the TPP. This means that U.S. manufacturers, hoping to increase exports, could continue to face closed markets and increasing import competition from products subsidized by countries with undervalued currencies. Foreign investors will be able to bypass the American court system.
Investor-to-State Dispute Settlement (ISDS) will allow foreign companies to bypass American courts and file suit against laws and regulations they believe will interfere with their expected profits. Countries outside the TPP, namely China, will be able to write the rules of trade without joining. For example, weak rules of origin for automobiles mean that China and other non-TPP countries will be able to benefit from the TPP’s tariff reductions even if they don’t follow any of the TPP’s rules. SCARY BONUS: The administration has been characterizing the TPP without showing the public the factual basis for its claims. The lack of transparency is more “Mirrors” than it is “Alice Through the Looking Glass.”This is a bad deal for America's working families.
Tagged under: trade, Trans-Pacific Partnership