A303 Q07

  • October 2019
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Question 7

Present by: Kang Kai, Brendon Chen & Wilson

Lim

Compare and contrast the key characteristics of the

British,

industrial

German

relations.

and How

French do

the

systems

of

differences

between these systems impair the development of labour internationalism amongst workers? Why must HR managers have an understanding of industrial relations systems? Give examples.

Outline 1.Introduction • Definition of Industrial Relation • National IR System • European Typologies

2.Illustration and Examples • Key characteristics of the British, German and French systems of IR • How do the differences impair labour internationalism • Why must HR managers have an understanding of IR systems.

3.Conclusion Industrial Relations

Introduction 1.Industrial Relation • IR seeks to explain variations with and between nations in respect to workeremployer-state relations. • IR promotes labour and focuses on workers.

2.National IR System • Consists of a unique interplay of culture and legal regulation system. • In theory, every nation-state possesses a distinctive IR system. Industrial Relations

Introduction 3.European Typologies • ‘Rhineland’ Model Germany, Austria, Belgium, Netherlands • ‘Latin’ Model France, Italy, Portugal, Spain, Greece • ‘Anglo-Irish’ Model UK and Ireland

Industrial Relations

Key Characteristics Compare and contrast the key characteristics of the British, German and French systems of industrial relations Industrial Relations

Key Characteristics

Regulation

Weak, voluntarism

Extensive legal framework

Strong state intervention

Workeremployer relations

Adversarialism, mutual mistrust

Co-operative

High levels of adversarialism / militancy

Collective bargaining

Decentralized

Centralized

Strong state intervention

Union / councils

No statutory works councils until EWC and National Information/Consul tation Directives

Formalized

Low level of union membership

Formalization of IR structure

Low level

Formalized

Low level

Worker rights

weak

Strong

Weak Industrial Relations

Labour Internationalism How do the differences between these systems impair the development of labour internationalism amongst workers Industrial Relations

Labour Internationalism

EMU & Establishment of EURO • Economic integration of single Market • Reduce transaction cost and exchange rate risk • Increase labour market competition • Lead to increased ‘regime competition’

Industrial Relations

Labour Internationalism

EMU To counter ‘globalized competition’ • Increase competition on industrial relations system amongst member countries • Pressurize policy-maker and practitioners to make their arrangement as ‘competitive’ to secure the investment • So as ‘regime competition’ Industrial Relations

Labour Internationalism IR Regime Differences & Effect on Labour Internationalism Worker-employer relationship • Germany: Autonomy, with Extensive legal framework; co-operative, co-determination • France: Strong State Intervention; High level of adversarialism • UK: Autonomy, adversarialism and mistrust Effect on LI • Differences in type of the worker-employer relationship, and ways of handling it may block LI.

Industrial Relations

Labour Internationalism IR Regime Differences & Effect on Labour Internationalism Works councils • Germany: Powerful WC, Supervisory boards • France: Intermediate WC (for info/consultation); • UK: No WC until EWC and NI/CDs; Effect on LI • Differences in WC power, show the different position, power and rights of worker, may also impair LI Industrial Relations

Labour Internationalism IR Regime Differences & Effect on Labour Internationalism Formality of IR Structure • Germany: Formalized IR Structure • France: Not so formalized IR Structure • UK: low level of formalization of IR Effect on LI • Differences IR Structure, show the differences in terms of protection provision, voice channel for the worker from employer, may also impair LI Industrial Relations

Understanding of IR Systems Why must HR managers have an understanding of industrial relations systems? Give examples.

Industrial Relations

Understanding of IR Systems

Understanding of IR Systems • Industrial relations promotes labour (focus on workers) • Comparative IR terminology: Employment relations systems, Workers rights, Labour internationalism

Industrial Relations

Understanding of IR Systems • Explain variations within and between nations in respect to worker-employer-state relations. • HR managers in MNCs often have to play the middle ground. (Promote business aims and uphold fiduciary obligation to workers) • So it is essential that HR is well informed of the dynamics of cross-national labour relations and idiosyncrasies of national IR systems.

Industrial Relations

Understanding of IR Systems

National IR Systems • In theory, every nation-state possesses a distinctive IR system (which consists of a unique interplay of culture and legal regulation system) • Caveat: no nation-state is a homogeneous entity (legal system is shared by all, but cultural practices vary from one region to the next… UK is perfect example).

Industrial Relations

Understanding of IR Systems • HR managers must not be immersed within their national systems to such an extent that vested interests can hinder cross-border relations. • HR managers must work hard to in order to minimise dissonant cognitions and build a commonly shared organisational culture. • Inability to understand IR can result in business failure. Industrial Relations

Understanding of IR Systems

Examples • Cross-National Labour Relations in the Corus EWC from the notes.

• The BMW European Works Council article. (BMW and Rover)

Industrial Relations

Conclusion

Conclusion

Industrial Relations

Conclusion

Industrial Relations in Europe • The difference of national Industrial relation system between European countries is shaped by each of own unique national culture and legal regulation system. • It also arranged by policy maker and practitioner to secure the investment under pressure of globalization competition, and it is set to competes to each other (Streeck, 1992) Industrial Relations

Conclusion

Industrial Relations in Europe • The difference of national Industrial relation system between European countries create obstacle for development of labour internationalism amongst workers. • HR manager must possess intensive knowledge and familiarize with the dynamics of cross-national labour relations and idiosyncrasies of national IR systems, in order to minimize dissonant cognitions and build a commonly shared organizational Industrial Relations

Conclusion

Industrial Relations in Europe • HR managers must not be immersed within their national systems to such an extent that vested interests can hinder cross-border relations, mishandling the IR could be vital to the company.

Industrial Relations

Industrial Relations

Q&A

Industrial Relations

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