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Chapter 13-Globalization

• Globalization is the international movement to integrate world economies by removing barriers to the trade of goods and services as well as by enhancing capital, labour and technological mobility.

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Impact of Globalization

• Reduced union success in NA in terms of taking wages out of competition

• Impacts on unions globally page 399• Created social policy disequilibrium- pay &

employment equity and anti-discrimination & human rights laws- not protected globally

• Women & children in developing countries often exploited in sweatshop conditions

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Union Responses to

Globalization• 1970s- International Confederation of Free Trade

Unions (ICFTU) & Global Union Federations began to pressure international corporations to adopt labour codes of conduct

• Covered child labour, freedom of association, collective bargaining, and forced labour

• Very slow progress in influencing change• Developed countries need to apply greater

pressure- push to produce ethically made goods- however 10-20% more expensive

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Union Responses to

GlobalizationThrough ‘90s and into 2000s pressured the World

Bank, the IMF, and WTO to adopt the following core labour standards

elimination of forced labour

freedom of association & collective bargaining

equal pay & freedom from discrimination

elimination of child labour

WTO did not include labour standards in 2001

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Union Responses to

Globalization• ICFTU & GUFs shifted focus to international

framework agreements (IFA) with transnational corporations (TNCs)

• 2008- 72 countries All Framework Agreements

Single Union Global Agreements• Unions negotiating with large corporations in the

home country agreements that apply to international operations- United Airlines pg. 404

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The Future of Industrial Relations

under Globalization

International Labour Organization-• Tripartite (management, labour &

government) agency of the United Nations

• Labour market regulations and social policy issues- page 406

• ILO condemned Liberal party of Ontario for denying part-time community college employees the right to form a union