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Globalization of Labour Markets
Chapter 12
© 2012 Nelson Education Ltd.
Copyright © 2012 Nelson Education Ltd.
Learning Objectives
At the end of this chapter, you will be able to discuss: labour’s ongoing role in the areas of social and economy
policy
labour’s current and ongoing role in advocating human rights and equality
the definition and theories of globalization
the implications of globalization for unions, women and children, collective bargaining and labour policy
Continued…
12-2
Copyright © 2012 Nelson Education Ltd.
Learning Objectives
At the end of this chapter, you will be able to discuss: union responses to globalization
union revitalization
the future of industrial relations including a new role for the ILO and the human rights approach to labour regulation
12-3
Copyright © 2012 Nelson Education Ltd.
Advocate for Rights and Freedoms Particular focus of labour movement
Social and economic policy issues jobs, peace
Equity programs lobby efforts
collective bargaining
12-4
Copyright © 2012 Nelson Education Ltd.
What is Globalizaton?
International Movement over past twenty years
Integrate world economies removing barriers to the trade of goods
and services enhancing capital and labour mobility
Global markets do not always ensure benefits of efficiency are shared by all
12-5
Copyright © 2012 Nelson Education Ltd.
Globalization: A New Political Economy
12-6
World Bank IMF Transnational Corporations
global corporations that may integrate product chains horizontally new model of capitalism new modes of labour market regulation
Copyright © 2012 Nelson Education Ltd.
Theories of Globalization12-7
Free Market Globalization Institutional Globalization Integration of Free Market and
Institutional Globalization
Copyright © 2012 Nelson Education Ltd.
Theories of Globalization12-8
Free Market Globalization competitive pressures of the marketplace
will force corporations and governments to submit to international standards
little room for IR institutions such as collective bargaining
Copyright © 2012 Nelson Education Ltd.
Theories of Globalization12-9
Institutional Globalization national institutions mediate between
market pressures and society
Copyright © 2012 Nelson Education Ltd.
Theories of Globalization12-10
Integration of Free Market and Institutional Globalization Decentralization of bargaining Greater management power Decrease in strikes Impact on corporations
Copyright © 2012 Nelson Education Ltd.
Impact of Globalization on IR in Canada
12-11
Employment NAFTA
free trade agreement between Canada, the United States, and Mexico
signed in 1994 included a labour side agreement: North
American Agreement on Labour Cooperation shifted full time to part time employment
Copyright © 2012 Nelson Education Ltd.
Impact of Globalization on IR in Canada
12-12
Employment GNP
the value of all goods and services produced by a country in a year
manufacturing proportion in decline
Copyright © 2012 Nelson Education Ltd.
Impact of Globalization on IR in Canada
12-13
Unions and Collective Bargaining reduced power, low wage competition
Labour Policy disequilibrium
Women and Children evasion of labour standards
Unions
12-14
Decline of social compromise Union density in decline Union coverage
application of union settlement to nonunion workers
steady, increasing
Globalization and Canadian Unions
Copyright © 2012 Nelson Education Ltd.
Copyright © 2012 Nelson Education Ltd.
Globalization and Canadian Unions
12-15
Canadian Labour Challenges Democratization Leadership and Alternative Vision Organizing
Continued…
Copyright © 2012 Nelson Education Ltd.
Globalization and Canadian Unions
12-16
Canadian Labour Challenges Contingent Workers Organizational Innovation Union Education
Unions need new approaches
Union Responses to Globalization Global unions Corporate Codes of Conduct in the 1970s
Organization for Economic Co-operation and Development (OECD)
Labour Rights Campaigns International Framework Agreements
(IFAs) Single Union Global Agreements
12-17
Copyright © 2012 Nelson Education Ltd.
Comparison of Codes and IFAs
12-18
Copyright © 2012 Nelson Education Ltd.
Copyright © 2012 Nelson Education Ltd.
The Future of Industrial Relations under Globalization12-19
The New Role of the International Labour Organization (ILO)
Implementation of ILO Standards Standards Obligations Supervisory System for Ratified Convention Special Procedures on Freedom of
Association
Copyright © 2012 Nelson Education Ltd.
An Alternative Approach?12-20
Freedom of association as a human right Dunmore and the ILO
obligation to provide legislation right to organize freely exercised
An International Consensus
Copyright © 2012 Nelson Education Ltd.
An Alternative Approach?12-21
Implications for Labour Policy right to choose necessary mechanisms
Systemic Denial of Rights A New Social Movement
12-22
Summary
Globalization not the end of regulation of labour market
Government intervention needed for women and children to benefit
Union revitalization depends on many factors
Human rights approach to freedom of association
ILO
Copyright © 2012 Nelson Education Ltd.
12-23
Summary
Union revitalization will depend on: Democratization Leadership Organizing Contingent workers Organizational innovation Union education
Copyright © 2012 Nelson Education Ltd.