Mr. Speaker, first I want to thank my good friends, the gentleman from Ohio (Mr. Brown) and the gentleman from New Jersey (Mr. Pallone), for allowing me to conduct this Special Order regarding CAFTA this evening. They have been remarkable…
Mr. Speaker, first I want to thank my good friends, the gentleman from Ohio (Mr. Brown) and the gentleman from New Jersey (Mr. Pallone), for allowing me to conduct this Special Order regarding CAFTA this evening. They have been remarkable advocates of issues affecting working families, and they have my gratitude and admiration.
Mr. Speaker, there are several Members who want to come down to speak on this important issue, so I will at this time yield to my good friend, good colleague and cofounder of the House
Labor and Working Family Caucus, the gentlewoman from California (Ms. Linda T. Sanchez).
Mr. Speaker, now I would like to yield to the good gentleman from Ohio (Mr. Kucinich), a gentleman who has fought for the environment and who has fought for working-family issues.
Mr. Speaker, I would like to thank the gentleman from Ohio (Mr. Kucinich) for his leadership on this issue and look forward to working with him on this issue.
Mr. Speaker, as a co-founder of the House Labor and Working Families Caucus, I am privileged to be here with
my colleagues to discuss the devastating impact that Central America Free Trade Agreement will have on our economy here in the United States. This so-called free trade deal promises to cripple our industries, both in my home State of Maine and throughout the Nation. Before coming to Congress I worked over 29 years at Great Northern Paper Company in East Millinocket. I have seen first-hand the devastation of the so-called free trade on Maine's economy, and I know what it means to working families.
I could see in 1994, with NAFTA, which has been nothing but a disaster, costing people of the State of Maine over 24,000 manufacturing jobs. In some parts of my Congressional district, unemployment has reached over 30 percent in different labor market areas over the last 2 years. Over 30 percent.
And often when jobs go, so do people, taking the heart and soul of what once was prosperous communities with them. Today, the threat of job loss is not for blue collar workers alone. Even high-tech companies like IBM, Boeing, General Electric are taking their computer and engineering jobs to China, India, and the Far East, while leaving behind a long trail of pink slips.
As a Member of Congress, I have had the opportunity to meet with several prominent free traders, like the trade Ambassador, Bob Zoellick. They like to talk about how free trade is good for everyone and creates jobs. But when I share the story of what happened and is happening in the State of Maine, of the many jobs lost and the lives that are devastated by those jobs lost, they admit to me, well, there will be winners and there will be losers, and that is just the price of doing business.
This is not a game. These are real people who lose jobs every day. They are the ones who lose the jobs who can no longer afford to send their kids to college and who can no longer afford even basic health care for their families.
Now, do not get me wrong. I am glad that there are a lot of Federal program benefits available to help dislocated workers. And I have devoted myself in advocating and fighting for Federal resources to help laid off workers. But, working people do not want a program and handout created by Congress to clean up the mess from these so-called free trade agreements. They just want their jobs. Each and every Mainer, each and every American worker, should be asking, can we afford to lose another job? Can we afford the Central American and Dominican Republic Free Trade Agreements?
The job loss numbers show that we simply cannot afford that. From 1998 to 2004 alone, 11,724 workers in Maine were certified for trade- related adjustment assistance. Companies like C.F. Hathaway Company in Waterville, Gerber Childrenswear in Fort Kent, were among the hardest hit by NAFTA.
The company that I worked for for over 29 years, Great Northern Paper Company, announced only 2 days after I was sworn in as a Member of Congress in 2003, they were filing bankruptcy. My coworkers, my family, my community was devastated. And the culprit was the so-called free trade agreements.
These agreements have created nothing but stagnant economies and rising inequality. And CAFTA is based on the same NAFTA model. You will hear from me and other Members this evening about the specifics of its devastating effects tonight.
This agreement will serve to push ahead the corporate globalization trend that has caused a race to the bottom in labor and environmental standards. American companies are often forced to compete with foreign corporations who are not held to the same labor or environmental standards. This creates an unfair balance.
I have long advocated for fair trade, not just free trade. The fight ahead is to ensure that these trade agreements are fair for our workers, our businesses, our States. We must ensure that all trade agreements respect workers rights to the environment, health and human rights. And I know Members on both sides of the aisle are committed to stopping this flawed agreement that we currently will be voting on in the months ahead.
Mr. Speaker, I yield to the gentleman from Massachusetts (Mr. Lynch) who is also a co-founder of the House Labor and Working Family Caucus.
Mr. Speaker, I would like to thank the gentleman from Massachusetts for his comments tonight and I really appreciate his remarks.
Now, Mr. Speaker, I would like to yield to the gentleman from Maine (Mr. Allen), a gentleman who I have known for some time, a gentleman who is deeply concerned about the trade agreements and what effect it has on our State, of the State of Maine, and I am very appreciative of the work that he has done for the people of the State of Maine, particularly coming into the 2nd District, which is my district, to see the effect of some of these unfair trade agreements and the job loses that we have.
So I now yield to the gentleman from Maine (Mr. Allen).
Mr. Speaker, I thank the gentleman from Maine (Mr. Allen). I do want to thank him especially for his leadership when we deal with prescription drugs. He has definitely been a leader in that area. I want to thank him very much.
Mr. Speaker, now I yield to the gentleman from New York (Mr. Crowley), a good friend.
Mr. Speaker, I want to thank the gentleman from New York, and I really appreciate his efforts in this manner and look forward to working with the gentleman to make sure we do have fair trade agreements.
In closing, Mr. Speaker, it does not take a trade expert to see the economic mismatch between the United States and the nations that make up the Central America Free Trade Agreement: Honduras, Costa Rica, Nicaragua, Guatemala, and El Salvador. The way CAFTA proponents talk, you would think that Central America is made up of the biggest economies in the Western Hemisphere. CAFTA nations are not only among the world's poorest countries; they are among the smallest economies as well.
Think about this, as the gentleman from Massachusetts (Mr. Lynch) mentioned earlier: the combined purchasing power of CAFTA nations is almost identical to the purchasing power of New Haven, Connecticut. The U.S. economy, with $10 trillion of GDP in 2002, is 170 times larger than the economies of the CAFTA nations, at about $62 billion combined. So where are the economic opportunities for American industry and American workers?
These kinds of questions are clearly giving people pause. Congress typically votes on trade agreements within 55 days after President Bush has signed a trade agreement, but May 28 will mark the 1-year anniversary of when the President signed CAFTA. Why the long holdup? Clearly, there is dissension in the ranks and people are wondering why we need to make this deal. And for good reason. CAFTA is a dysfunctional cousin of NAFTA, continuing a legacy of failing trade policies.
Look at NAFTA's record, with 1 million U.S. manufacturing jobs lost. NAFTA did nothing for the Mexican workers as promised. They continue to earn just over $1 a day while living in poverty, not exactly an exploding market for the U.S. products either. And yet the United States continues to push for more of the same, more trade
agreements that ship U.S. jobs overseas, more trade agreements that neglect environmental standards, more trade agreements that keep foreign workers in poverty.
For U.S. workers, the only difference between CAFTA and NAFTA is the first letter. It adds up all the same: more lost jobs. CAFTA is not about a robust market for the export of American goods; it is about outsourcing and accessing cheap labor markets. Trade pacts like NAFTA and CAFTA enable companies to exploit cheap labor in other countries, then import their products back to the United States under unfavorable terms.
CAFTA will do nothing to stop the bleeding of manufacturing jobs in the United States and even less to create strong Central American consumer markets for American goods. Throughout the developing world, workers do not share the wealth they create. Nike workers in Vietnam cannot afford the shoes that they make. Disney workers in Costa Rica cannot buy the toys for their children, Motorola workers in Malaysia are unable to purchase cell phones.
Mr. Speaker, we have a historic opportunity before us to empower workers in developing countries. We have a historic opportunity before us to bolster our economy. When the world's poorest people can buy American products rather than just make them, then we will know that our trade policies are finally working.
Mr. Speaker, there are reasons why not only environmental and labor groups but also business organizations such as the United States Business and Industry Council, a leading group representing American businesses, have taken a firm stance against this trade agreement. It is because it is unfair.
I believe in free trade, but it has to be fair trade. We can no longer continue to allow jobs in the United States to be exported overseas when we have a need here in this country. As I stated earlier, in my own region in the State of Maine, the labor market area has risen over the last 2 years to, at certain times, over 30 percent. Over 30 percent of people unemployed because of that market.
So, Mr. Speaker, I hope my colleagues will join me in opposing the CAFTA trade agreement. It is unfair, unneeded, and hopefully it will not pass.