Thursday, 14 August 2014

Labour movements in the age of globalisation



The era of globalisation has given way to a labour movement in which Nations no longer have the comfort of focusing their own issues in the labour market. With the rise in Multinational and transnational corporations (let’s call them MNCs and TNCs), countries can no longer run this risk of not communicating. The trade union movement allows for unions to compete in the global market/workforce. By making international links, unions could join together and help each other out. In an article by the Huffington post (link below), Rachel Mendleson explains that trade unions are banding together to ‘capitalise on the very forces that for years have been employed against them’. She also quotes Sid Ryan (the president of the Ontario Federation of Labour) who states ‘there’s only one way we can fight globalization, and that’s to reach out to unions around the globe’. I found this article interesting because it explains that some MNCs and TNCs are exploiting workers (it’s almost like the bigger MNCs and TNCs get, the more they think they can just do what they please- i.e. cutting wages, leaving little room for bargaining, etc) and that unions need to openly communicate more and support both unionised and non-unionised workers so that MNCs and TNCs do not get away with it. 

Mendleson used an example of an Illinois-based MNC called Caterpillar (a heavy machinery manufacturing giant), who locked out workers (who were a part of the CAW union) at it’s London plant when the union refused to accept a deal that would cut wages from $35 to $16.50 (I’m guessing that’s per hour). There was even evidence to believe that Caterpillar were planning to shift operations to India, where workers would earn way less than what they company wanted to pay them in London ($16.50). How Ridiculous!!  Upon hearing about this, a delegation of union members from the United Electrical, Radio and Machine Workers of America (UE) – made the trip to London to support the CAW union members. A spokesperson for UE stated that ‘when it comes to fighting these multinationals, widespread cooperation among unions is a must’. The end of the article by Mendleson quotes Labour expert Maurice Mazzerolle saying that ‘power will evade workers until they can mount a campaign that affects the company’s bottom line’. I think this is a great point. MNCs are just going to keep on going the way they have been until something drastically affects their bottom line. This is why the trade unions movement needs to go global. The more unions work together, the more chance they have at stopping MNCs from exploiting workers around the world. 

I know there is much more to this topic, but I found this article really interesting. Let me know what you guys think :)


Here is the link to the article if anyone is interested. 
http://www.huffingtonpost.ca/2012/01/27/labour-globalization-unions-international_n_1236103.html 

1 comment:

  1. Hey Kassandra, I enjoyed the topic of your first blog. Did a good job!

    And i completely agree with what you're saying about globalising unions, it's definitely a step towards employment relations against MNCs. However, my only concern is for those in under-developed nations that have more pressing issues and may not have any existing representation for labour for labour rights. Given a moved towards globalising unions, would it be the case that under-developed nations would yet again continue to be undermined because of their lack of employee representation?

    I didn't really know much about this topic so upon doing some research, it turns out that under-developed nations do have trade unions and they are already strongly supported, unlike trade unions in our western societies. However, according to an article by Lodge published by the Council of Foreign Affairs, trade unions in under-developed nations aren't just there to bargain for employee rights, they are active "in every other phase of urban life including politics, housing, hospitals, labor-management bargaining, public parades, demonstrations, schools and colleges". In fact collective bargaining is the least of their worries as unions for under-developing nations. So then if unions were to open up lines of communication with other nations, including under-developed nations, would that take away from the active role that unions already place in urban life? Plus given the cultural differences between Nations, would a global labour movement be possible?

    Here's the link to the article i was referring to if you wanted to take along, fair warning though - it's pretty long! Only really skim read it ;)
    http://www.foreignaffairs.com/articles/71508/george-c-lodge/labors-role-in-newly-developing-countries

    Regards, Louisa (fellow classmate :))

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