U.S. to feel impact of 2-tiered wage system in Mexico

June 2008
Rubber & Plastics News;6/16/2008, Vol. 37 Issue 23, p8
Trade Publication
The article focuses on the impact of two-tier wage system in Mexican auto industry on the U.S. rubber workers. Auto industry unions have agreed to two-tier wages to keep auto plants in Mexico, and are willing to accept low pay for new workers. It is stated that anything the auto industry does, its suppliers eventually adopt. As stated, if U.S. auto companies are shipping jobs to Mexico to take advantage of lower wages, rubber product suppliers to the auto sector can be expected to follow.


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