Washington is currently considering three free trade agreements (FTAs) that await congressional ratification. While U.S. lawmakers hesitate to approve deals with Colombia and South Korea, the proposed U.S.-Panama FTA does not seem to generate much controversy.
Panamanian Lawmakers intentionally slipped these provisions into the new legislation in order to minimize opposition from civil society. The move reeks of political and economic opportunism on the part of President Ricardo Martinelli and his pro-big business cronies in the National Assembly. Though the measure ostensibly seeks to improve the investment climate, it does so at the expense of the average Panamanian worker, dismantling traditional labor rights in an attempt to encourage ratification of the FTA. Given its controversial aspects, U.S. lawmakers ought to reject this FTA lest they condone the intolerable labor conditions espoused by the increasingly authoritarian Martinelli.
Law 30 stipulates that employers are no longer required to automatically deduct union dues from workers’ pay, effectively ensuring that union funding will decrease dramatically and therefore severely weaken the country’s independent labor movement. Furthermore, the law sanctions the right of employers to dismiss and replace striking workers. As soon as the measure passed, a Chiquita subsidiary announced its decision to forgo paying the now-optional union dues, provoking a massive strike by angry workers. Police moved in to quell the mounting protest. The heavy-handed government reaction resulted in three deaths—two of them by police bullets—while official sources reported hundreds of injuries as well as others being held under detention. The Martinelli administration backed off by temporarily suspending the controversial provisions of the anti-labor legislation but has not agreed to repeal Law 30.
With abuses ranging from arbitrary arrests of protesters to the repression of journalists, the Martinelli administration is demonstrating its utter contempt for human rights when narrow economic objectives are at stake. This attitude has manifested itself in a state effort to clamp down on what it sees as unfriendly media coverage, arresting journalists without filing any specific charges. Law 30 also frustrates environmentally-motivated protesters due to a provision that relaxes ecological regulations for certain projects duplicitously said to be in the nation’s “social interest.” Moreover, resistance to Martinelli’s authoritarian tendencies is coming from both ends of the political spectrum and all sectors of society, with lawyers, intellectuals, business leaders, economists, and human rights activists decrying his belligerent style of governance.
As for perceptions back in Washington, Obama approached the subject of FTAs with caution and even outright opposition in the past. During his presidential campaign, he vocally opposed a FTA with Colombia—a position he has since changed—due to Bogotá’s notorious record against organized labor. He also originally opposed CAFTA-DR because it did “little to address enforcement of basic environmental standards in the Central American countries and the Dominican Republic,” as he stated in an Op-Ed that appeared in the Chicago Tribune in 2008. In the past, many had regarded Panama’s labor and environmental laws as fairly commendable, but the increasingly relaxed standards dramatically altered that reputation for the worse. Given the current state of affairs, Obama’s support for the Panama FTA demonstrates a complacent disregard for decent labor and environmental standards, priorities and principles he held high during his campaign. The U.S. must, in the name of fair trade and genuine respect for the basic rights of Panamanian workers, stand up to what is now a patently bad deal. Those who supported Obama during his campaign look on in hopes that he will not disappoint by turning back on his once-progressive foreign policy agenda.



The Penal Code provisions are probably the most controversial of all: police who commit crimes while on duty may not be jailed under any circumstances and may only face internal police force discipline after a legal process that typically takes years to run its course.
Law 30 also provides that if the cabinet calls a development project — say, a strip mine or a hydroelectric dam — "of social interest" then there will be no requirement for an environmental impact study.
So forget about any Panamanian assurances of labor rights, environmental protections or even the basic nuts and bolts of the rule of law. These have been revoked by the Martinelli administration.
Brendan,
This is an excellent analysis. I hope to see much more of your work at Coha in the future.
Best,
Aguachile
(http://aguachile.blogspot.com/)
And please remember that the third person killed was a baby who suffered from asthma, the mother informed the police of that, yet they fired tear gas into the house anyway. The child reacted and the police refused to let the mother leave the house to take the child to the local clinic. The child suffocated.
Then there is the problem of the desaparecido whose whereabouts were unknown for over six weeks. When he finally reappeared, his face was beaten to a pulp. The police and the government said he had been recuperating in a hospital during his arrest. The hospital named has no record of his ever being there and the staff has no recollection of ever seeing him in any room of the hospital. The police are holding him in custody although there are no charges pending against him. He is being subjected to a criminal deposition without the benefit of an attorney and without any charges being filed. Under Panama's Constitution, he is entitled to have an attorney and there must be criminal charges before he can be subjected to a criminal deposition.
As Eric Jackson noted, while there are many outrageous parts to the Chorizo law, probably the most troubling is the right of the police to kill anyone for no reason at all and do so with impunity.
Other than the things pointed out in the Comments section, it is generally a very good piece. It is so refreshing to see a North American article get a Latin American story almost all right.
Thanks to all above for the comments.
Both Eric Jackson and Scarlet Pimpernl pointed out one of the more alarming features of this law, further illustrating Martinelli's authoritarian streak.
Brendan Riley
I think its important to note that somebody trucked in a street full of fist sized rocks first that were thrown into Bank windows and then the Bank was burned . Police were taken hostage and birdshot not bullets were fired in the air . This is the sort of imported Cuban activism that occurs when the Union dues which they get to parasite on is at risk .