Strategic Compensation: A Human Resource Management Approach, 9/e

North America

1. 2 For North America (Canada and Mexico), summarize key facts about wage and salary, paid time-off benefits, and protection programs.

This section takes a brief glance at the employment relationship and employee benefits in Mexico and Canada. Both countries and the United States are part of a trade bloc known as NAFTA—the North American Free Trade Agreement. According to the Office of the United States Trade Representative, formed on January 1, 1994, NAFTA called for the elimination of duties and the phasing out of tariffs over a period of 14 years.¹ Trade restrictions were removed under NAFTA from such industries as motor vehicles and automotive parts, computers, textiles, and agriculture. In addition, the treaty also delineated ...