Today’s launch of the cross-company grievance mechanism (Spanish: Mecanismo de Reclamación de Derechos Humanos – MRDH) is marking an important step towards a just automotive supply chain ensuring access to remedy for workers and affected individuals in Mexico.
Through collaborative efforts within the German Sector Dialogue Automotive Industry, representatives from business enterprises, associations, trade unions, civil society organisations, national human rights institutes and other initiatives have developed a sector-wide grievance mechanism for the automotive industry in Mexico. The process was facilitated by the Federal Ministry of Labour and Social Affairs (BMAS).
Our Ministry supports committed companies through multi-stakeholder initiatives to develop solutions for human rights challenges in international supply chains. We would like to thank all those within and outside our Sector Dialogue Automotive Industry who are now implementing the jointly developed concept of a cross-company grievance mechanism in Mexico. This will contribute to close human rights protection gaps in one of the German automotive industry’s most important production countries.
With support from the German Federal Ministry for Economic Cooperation and Development (BMZ), the project now transitions into implementation as an international multi-stakeholder-led pilot project in Mexico.
The creation and implementation of the MRDH shows that multistakeholder-initiatives have the potential to match the needs of rights holders as well as companies. Such Initiatives are important for implementing due diligence obligations of the German Act on Due Diligence in Supply Chains and the upcoming Corporate Due Diligence Directive of the EU. We see great potential that experiences gained from this pilot will help to set up further industry-wide grievance mechanisms in other countries and sectors and we would like to thank all parties who have contributed at many different levels to the successful launch of the pilot today.
The primary objective of the MRDH is to address and mitigate human rights risks prevalent within the automotive supply chain in Mexico. To complement existing grievance mechanisms, the MRDH provides an unified grievance platform for the entire supply chain of the member companies. Thus, it enhances access to remedy and will contribute to identify systemic risks in the sector. For these ambitious goals, the companies joined forces and partnered up with stakeholders from Mexican and German civil society, trade unions, national human rights institutes and German and Mexican government. Jointly, with equal rights, they steer the MRDH in the so-called Multi-Stakeholder Board. This multi-stakeholder approach ensures that the MRDH is accessible, balanced, transparent and trustworthy.
Panel discussion at the launch event of the MRDH in Mexico City.
Today's launch marks the start of operations, empowering rights holders across the supply chain in Mexico to submit their grievances and initiate the process of remedial action and resolution.
The grievance mechanism launch marks a crucial step forward for human rights in German automotive supply chains in Mexico.
He underlines that the launch is only a beginning, and it requires lasting commitment to change the sector:
While civil society welcomes the MRDH, its effectiveness hinges on broader industry participation, transparency in supply chains, and extended duration beyond 2025. With greater resources and long-term commitment, the mechanism holds promise to address human rights violations, but its impact depends on robust support from all stakeholders, in particular, the companies that will put their real commitment to the test after receiving the first complaints.
The MRDH will provide channels to address unsolved salient issues in the automotive supply chain in Mexico to improve rights holders’ situation. With its collaborative developed approach and comprehensive scope, the pilot project can also be an inspiration for other sectors and countries.
This independent cross-company grievance mechanism was developed in cooperation between government institutions, trade unions, civil society, companies and human rights institutions - both from Germany and Mexico. The guiding principle is to offer rights holders better and fairer working conditions along the entire supply chain. This partnership-based cooperation is exemplary and a novelty not only for the automotive industry.
Workers who try to establish independent trade unions are all too often subjected to massive repression in Mexico. As IG Metall we hope that the cross-company grievance mechanism will counteract this. For IG Metall, the cross-company grievance mechanism can serve as a role model and have an impact on other companies in the automotive industry as well as on other sectors.
The huge potential and high ambition of the mechanism is emphasized across all stakeholder groups. After an intensive phase of collaboratively developing and establishing the structures of the project, the MRDH seeks for additional member companies to fully unfold the mechanisms potential and to further increase leverage in the deeper supply chain.
The inauguration of the Mecanismo de Reclamación de Derechos Humanos shows what is possible when companies join forces and civil society organizations are taken on board from the very beginning. This approach ensures that all perspectives are considered, in particular, the ones of those affected. I am convinced that the pioneering spirit of this project will help to further improve measures and processes to protect human rights. And maybe it will move more companies to join. I am proud to witness the mechanism’s rollout since my team and I've been following its development from very early on.
WEED engages in the MRDH because it is ambitious and can contribute to improving the human rights situation among German car supply chains in Mexico. However, it is a pity that only three companies, Mercedes-Benz, BMW and ZF Friedrichshafen, are taking part in the implementation. To be effective, more companies need to participate in a serious and trustful manner.
In establishing a project fostering accountability and responsibility, the member companies and project stakeholders are committed to upholding human rights standards and driving positive change within the sector. With setting up this pilot project, the ground has been prepared for additional companies to join these efforts to protect human rights in the automotive supply chain in Mexico.