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    International Industrial Relations & The Global Institutional Context

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    Shipra Shrivastava
    This document discusses factors that have historically influenced differences in trade unions internationally and key issues related to multinational enterprises. It outlines trade union concerns about multinationals' resources and ability to move operations. Three common trade union responses are described: international trade secretariats seeking transformational bargaining; lobbying for restrictive legislation; and regulation by international organizations. The document also covers human resource management related to global codes of conduct and offshoring countries.

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    International Industrial Relations & The Global Institutional Context

    Uploaded by

    Shipra Shrivastava
    255 views13 pages
    This document discusses factors that have historically influenced differences in trade unions internationally and key issues related to multinational enterprises. It outlines trade union concerns about multinationals' resources and ability to move operations. Three common trade union responses are described: international trade secretariats seeking transformational bargaining; lobbying for restrictive legislation; and regulation by international organizations. The document also covers human resource management related to global codes of conduct and offshoring countries.

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    IHRM

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    This document discusses factors that have historically influenced differences in trade unions internationally and key issues related to multinational enterprises. It outlines trade union concerns about multinationals' resources and ability to move operations. Three common trade union responses are described: international trade secretariats seeking transformational bargaining; lobbying for restrictive legislation; and regulation by international organizations. The document also covers human resource management related to global codes of conduct and offshoring countries.

    Copyright:

    © All Rights Reserved
    Download as PPT, PDF, TXT or read online from Scribd
    Download as ppt, pdf, or txt
    255 views13 pages

    International Industrial Relations & The Global Institutional Context

    Uploaded by

    Shipra Shrivastava
    This document discusses factors that have historically influenced differences in trade unions internationally and key issues related to multinational enterprises. It outlines trade union concerns about multinationals' resources and ability to move operations. Three common trade union responses are described: international trade secretariats seeking transformational bargaining; lobbying for restrictive legislation; and regulation by international organizations. The document also covers human resource management related to global codes of conduct and offshoring countries.

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    © All Rights Reserved
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    Download as ppt, pdf, or txt
    of 13

    Chapter 9

    INTERNATIONAL
    INDUSTRIAL RELATIONS &
    THE GLOBAL
    INSTITUTIONAL CONTEXT
    Factors underlying historical
    differences in trade unions
     Mode of technology & industrial organization
    at critical stages of union development
     Methods of government union regulation
     Ideological divisions within
    the trade union movement
     Influence of religious organizations
    on trade union development
     Managerial strategies for labor
    relations in large corporations
    Key issues
    1. Industrial relations policies & practices of MNEs
    2. Degree of inter-subsidiary production integration
    3. Nationality of ownership of the subsidiary
    4. International HRM approach
    5. MNE prior experience in industrial relations
    6. Subsidiary characteristics
    7. Characteristics of the home product market
    8. Management attitudes towards unions
    Trade unions limit MNE strategies

    1. Influence wage levels

    2. Constrain the ability of MNEs to vary


    employment levels at will

    3. Hinder or prevent global integration of


    operations of multinationals
    Trade union concerns about MNEs
    MNEs …
    have formidable financial resources
    have alternative sources of supply
    can move production facilities to other countries
    have a remote locus of authority
    have production facilities in many industries
    have superior knowledge & expertise
    in industrial relations
    have the capacity to stage
    an ‘investment strike’
    Three trade union responses
    1. International trade secretariats (ITSs)
    want to achieve transformational bargaining by
    1) research & information
    2) Calling company conferences
    3) Establishing company councils
    4) Companywide union-management discussions
    5) Coordinated bargaining
    2. Lobbying for restrictive national legislation
    3. Regulation of MNEs by international organizations:
    ETUC, ILO, UNCTAD, OECD, EU
    EU regional integration
    1. Disclosure of information
    & European Works Councils

    2. The issue of social ‘dumping’:

    that firms would locate in those member states


    that have lower labor costs, (relatively low social
    security) to gain a competitive advantage
    HRM related to global code of
    conduct may include
     Drawing up & reviewing codes of conduct
     Conducting cost-benefit analysis to oversee
    employee & relevant alliance partners’ compliance
     Championing the need to train employees &
    alliance partners in the code of conduct
     Checking that performance & rewards
    include compliance to codes of conduct
    Offshoring countries HRM
     Offshoring & HRM in India
    » Turnover issues
     Offshoring & HRM in China
    » No systematic link between HRM & business strategy
    » Despite labor surplus, recruiting & retention problems
    » No systematic link between performance management,
    reward & long-term motivation
    » Lack of coherence & continuity in enterprise training
    Summarizing emerging issues
    Possible HRM roles:
    Consult with unions/employee representatives
    Manpower planning, considering the scope for
    employee redeployment
    Contribute to internal communication strategy
    Identify training needs
    Design new jobs generated by offshoring operations
    Highlight potential risks, such as the implications of
    employment regulation both in HC &
    in foreign locations

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