Labor Union Relations and Negotiations in Mexico
Although there are over 2,682 worker organizations in Mexico that belong to one of at least 33 unions, federations, or confederations, most of the manufacturing labor unions belong to the Confederation of Workers of Mexico (more commonly known as CTM). CTM has over 34 chapters throughout Mexico, one for each state and two additional chapters for youth and women.
Labor unions in Mexico play an important role in maintaining communication channels between employers and employees. Within The Offshore Group’s manufacturing communities, all hourly direct labor is unionized while hourly indirect and salaried employees are not unionized.
Every day, The Offshore Group interfaces with labor union stewards and leaders to address issues and implement improvements. Once a year in February, labor contracts (for hourly direct labor positions) are negotiated to reflect market conditions. Therefore, fostering a strong day-to-day relationship with the labor union helps ensure that mutual interests are achieved.