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Dana Corporation Receives NAFTA-Body Report

15 March 1999

Dana Corporation Receives NAFTA-Body Report

    OTTAWA, March 15 -- The Canadian National Administrative
Office today issued its second report on worker health and safety at a Dana
Corporation facility in Mexico.  The report expressly acknowledges
that regular inspections had occurred at Dana's Itapsa facility and that
corrective measures, including follow-up inspections for compliance, were
conducted.  The NAO also acknowledged that regular studies of environmental
conditions were conducted by independent, certified firms.
    The report was issued in response to allegations by the Canadian Office of
the United Steelworkers of America and more than 40 concerned organizations
from Canada, the United States, and Mexico.  The group requested a review of
Mexican enforcement practices based on allegations relating to occupational
safety and health issues at the plant and conduct surrounding a union election
in September 1997, which at the time was owned by Echlin Inc.  Dana acquired
Echlin the following July.
    Since that time, Dana has conducted a thorough review of the allegations
through an internal task force and external independent consultants.  The
review uncovered many facts that contradict the allegations, particularly as
they relate to health and safety violations.  Dana fully participated in the
public meetings and related processes to provide the results of its internal
and independent investigations and to provide any assistance required in the
process.
    In recognition of these facts, the concerns expressed by the NAO in its
report related to generalized matters involving the Mexican system, such as
labeling of imported materials, dissemination of material safety data sheets,
methods of inspection, and employee involvement.
    "Dana has been proud to fully cooperate with the NAO in this important
process.  We would support any dialogue among the three governments designed
to improve communications, understanding, and the health and safety review
process.  We will continue to work to ensure that the Itapsa facility is a
safe and healthy place for our workers," said Paul Teeples, Dana Canada's vice
president of human resources.  "Dana corporation enjoys and excellent
reputation and is committed to meeting the highest standards of occupational
health and safety and to upholding the labour regulations of the countries in
which it operates."
    Teeple further emphasized that Dana "maintains a commitment to the health
and safety of our employees in all our facilities around the world.  Dana is
recognized as an outstanding employer and corporate citizen, and we will live
by that reputation."
    The NAO was established under the North American Agreement on Labour
Cooperation, a side agreement to the North American Free Trade Agreement, to
ensure consultation and cooperation at a federal government-to-government
level among NAFTA members in regard to labour legislation matters.
    Dana Corporation is one of the world's largest suppliers to vehicular
manufacturers and their related aftermarkets.  Founded in 1904 and based in
Toledo, Ohio, the company operates some 330 facilities in 32 countries and
employs more than 86,000 people.  In Canada, Dana currently owns and operates
39 facilities, including those of the recently acquired Echlin, employing more
than 5,000 Canadians.  The company reported sales of $12.5 billion in 1998.
Dana's Internet address is http://www.dana.com.