Labour Standards in International Trade Agreements: A Rule of Law Perspective

Trade and sustainable development (TSD) chapters in international trade agreements include labour provisions with a view to prevent a “race to the bottom” and reaffirm the existing international labour commitments. When properly formulated and implemented, these provisions could have positive normative impacts on the international and domestic rule of law. This article provides a critical analysis of the evolution of labour standards in international trade agreements, particularly focusing on the European Union’s (EU) approach, in comparison with the approach in the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). More specifically, it considers ways in which trade agreements contribute to the improvement of labour standards in domestic legal systems. While EU trade agreements embrace minimum standards under international labour law rather than higher standards that apply in the EU legal order, the article argues that there is at least a normative shift towards a more efficient implementation of labour rights through EU agreements, which could make a limited contribution to the rule of law.