US National Security Adviser Jake Sullivan asked the German government to investigate allegations of anti-union behaviour at the Mercedes plant in Alabama following the recent vote.
Why it matters: This information is important because it highlights the involvement of a senior official from the union-friendly Democratic administration in supporting the UAW's push to unionize the Mercedes Alabama plant.
The big picture: The German Supply Chain Act applies not only to contractors but also to the company's own operations globally, raising questions about the role of the German government in judging US labor law compliance.
The bottom line: With the implementation of EU's CSRD and CSDDD laws, labor relations policies in non-EU countries may face challenges, leading to potential pushback against what some perceive as EU legislative overreach.
Our view: We think significant pushback from non-EU countries over what many see as EU legislative overreach can be expected. “Labour law colonialism” – we know better than you what is in the interests of the workers in your country – is bound to end in tears.
ADDITIONAL INFORMATION:
Newspaper reports, here
UAW complaint to German authorities from April, here