Tag

Working conditions

Labor Unrest and the Quality of Production: Evidence from the Construction Equipment Resale Market

By | Case-study, Social dialogue, United States

Abstract

This paper examines the construction equipment resale market to assess whether equipment produced by the world’s largest manufacturer of construction machinery, Caterpillar, experienced lower product quality in facilities that underwent contract disputes during the 1990’s. Analysis of auction data reveals that resale market participants significantly discounted machines produced in these dispute-affected facilities. Additionally, pieces of equipment produced in facilities undergoing unrest were resold more often, received worse appraisal reports, and had lower list prices. Taken together, the evidence supports the hypothesis that workmanship at dispute-affected facilities declined, and that the resulting impact on the economic quality of the equipment produced was significant. The dispute was associated with at least $400 million in lost service flows due to inferior quality equipment alone.

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Working conditions in the Bangladeshi garment sector: Social dialogue and compliance

By | Bangladesh, Case-study, Social dialogue

Abstract

The Bangladeshi garment sector is a leading garment manufacturing industry in the world that has been growing constantly during the last decades. Today the garment sector represent the 80% of the national export and counts USD 19 billions revenues; these numbers describe the sector as the most important manufacturing industry in Bangladesh. The numbers are also outstanding when it comes to number of workers employed, about five millions, and number of factories about five thousands of different sizes. The cheap labour cost attracted many international brands that chose the Bangladeshi factories to produce their products for the European and US markets that take up to the 60% and 20% of the total export. Despite the impressive numbers presented, the level of working conditions cannot be described with the same positive attitude. In fact to an increasing level of profit and continuous expansion, the new wealth has not been equally distributed and workers are employed in factories that too often can be categorised as sweatshops. The working conditions do not allow a decent level of living for garment workers that are exploited and forced to meet exhausting production quota for very little level of wage and very low social security. The situation is even more worsened by the very low power that unions have and their limited activities that cannot ensure a proper protection of workers’ rights. In this thesis project we used the literature to understand the current status quo of the working conditions in the garment sector and to identify the major factors that influence, impact and contribute in making the labour standards low. We used the interviewing methodology to gather facts and opinions of the current system and to organize the information and draw the status of the system. Afterwards we analysed the findings using cultural and economic indicators and the design of recommendation that could contribute in improving the working conditions’ level. Through the literature review and the interviews we defined the working conditions as: wage, job security, safety, discrimination, harassment and freedom of association; through the analysis we could acknowledge that workers are clearly exploited and the conditions are far to comply with the International Labour Standards defined by the international organizations. In the specific we analysed how two factors, compliance and social dialogue impact on the working conditions; the result shows the very low law enforcement level and little practice of a dialogue among government, business associations and workers, where the latter has almost no power; we can conclude that they significantly contribute to keep the working conditions low. Finally we provided recommendations to improve the working conditions and distribute the benefits among workers, employers and government, guaranteeing the sectorial long-term expansion and the significant benefits for global buyers.

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Strikes, Scabs, and Tread Separations: Labor Strife and the Production of Defective Bridgestone/Firestone Tires

By | Social dialogue, United States

Abstract

This paper provides a case study of the effect of labor relations on product quality. We consider whether a long, contentious strike and the hiring of replacement workers at Bridgestone/Firestone’s Decatur, Illinois, plant in the mid-1990s contributed to the production of defective tires. Using several independent data sources and looking before and after the strike and across plants, we find that labor strife at the Decatur plant closely coincided with lower product quality. Monthly data suggest that defects were particularly high around the time concessions were demanded and when large numbers of replacement workers and returning strikers worked side by side.

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Works Councils and Collective Bargaining in Germany: The Impact on Productivity and Wages

By | Case-study, Germany, Social dialogue

Abstract

This paper investigates the interaction between establishment‐level codetermination and industry‐level collective bargaining in Germany. Based on a bargaining model, we derive our main hypothesis: In establishments covered by collective bargaining agreements, works councils are more likely to be engaged in productivity‐enhancing activities and less engaged in rent‐seeking activities than their counterparts in uncovered establishments. Our empirical analysis confirms this hypothesis. The presence of works councils exerts a positive impact on productivity within the covered industrial relations regime but not within the uncovered regime. The presence of works councils has a positive effect on wages within the uncovered regime but not to the same degree within the covered regime.

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A Social Labor for Social Dialogue: A Proposal to Improve Working Conditions for Women in the Guatemalan Apparel Industry

By | Guatemala, Social dialogue

ABSTRACT

The only two independent unions in the Guatemalan apparel industry are suffering a decline in union membership and have become impotent against management bullying. Guatemalan women workers, who make up 80 percent of the apparel industry workforce, face entrenched impediments to their participation in organized labor, effectively preventing them from improving workplace conditions. The underlying reason is that the Guatemalan culture of machismo creates physical and social barriers that deny women the opportunity to develop and exercise their agency in the workplace or in their union. This presents a quandary for legal and social schemes that rely on union-inspired worker activism to improve workplace conditions but that fail to consider the gender context that stunts women’s participation in organized labor. This paper proposes the Trade Fair Label, a social labeling scheme based on worker-manager social
dialogue units, that addresses the shortcomings of oft-utilized corporate social responsibility schemes and that defies the impediments created by the culture of machismo.

 

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Pakistan country study 2016: Labour standards in the garment supply chain

By | Pakistan, Social dialogue

Executive summary

The present country study on Pakistan, has been carried out in December 2016 for CNV Internationaal in the context of the Partnership for Supply Chain Transformation. It is based on desk and original research on the current status of the industry structure, social dialogue, gender-based violence and living wage debates in the apparel industry in Vietnam for use in the first phase of this project. The Fair Wear Foundation with its alliance partners CNV Internationaal and FNV Mondiaal has been selected by the Dutch Ministry of Foreign Affairs for a five year Strategic partnership for Garment Supply Chain Transformation starting 2016 as part of its “Dialogue and Dissent” policy framework.

The primary goal of this initiative is to improve the lobbying and advocacy capacity of Trade Unions and labour related NGOs by enhancing their understanding of international Ready Made Garments supply chains, access to critical information and know-how. Opportunities will be identified to develop pilot experiences in the supply chain resulting in good practices related to living wages, gender-based violence and freedom of association and collective bargaining, which will facilitate more effective social dialogue and monitoring of human rights compliance at the factory level and reinforce the value of NGOs and trade unions to all supply chain stakeholders.
This report gives insight into the garment/ textile industry of Pakistan and its related industry, labour laws, industrial
relations and industry. The study was developed after a desk study and a subsequent visit to Pakistan to interview
stakeholders on issues related to the garment industry.

 

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Country study Cambodia 2016: Labour Standards in the Garment Supply Chain

By | Cambodia, Case-study, Social dialogue

The present country study on Cambodia, has been carried out for CNV Internationaal in the context of the Partnership for Supply Chain Transformation. is based on desk and original research on the current status of the industry structure, social dialogue, gender-based violence and living wage debates in the apparel industry in Cambodia for use in the first phase of this project.

The Fair Wear Foundation with its alliance partners CNV Internationaal and FNV Mondiaal has been selected by the Dutch Ministry of Foreign Affairs for a five year Strategic partnership for Garment Supply Chain Transformation starting 2016 as part of its “Dialogue and Dissent” policy framework. The primary goal of this initiative is to improve the lobbying and advocacy capacity of Trade Unions and labour related NGOs by enhancing their understanding of international RMG supply chains, access to critical information and know-how. Opportunities will be identified to develop pilot experiences in the supply chain resulting in good practices related to living wages, gender-based violence and freedom of association and collective bargaining, which will facilitate more effective social dialogue and monitoring of human rights compliance at the factory level and reinforce the value of NGOs and trade unions to all supply chain stakeholders.

 

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Industrial Conflict and its Expressions

By | Social dialogue

Abstract:

While it is widely recognized that conflict at work takes various forms, there is much confusion and disagreement among theorists and practitioners as to what constitutes conflict – discontent – and what range of behavioural form it takes. As for behavioural expressions of conflict, only the most visible forms such as strikes, labour turnover and absenteeism have received attention. Other unconventional forms of behaviour such as sabotage, pilferage and disruptive practices have, by and large, been neglected. At present, a comprehensive classification which includes both conventional and unconventional expressions of discontent is difficult to find. Includes a direct response to this vacuum. Offers a behavioural framework which has the potential for not only including the actors involved, but also explaining the behavioural strategies open to people and the reasons for choosing a particular way of expressing their discontent. Concludes that a better understanding of workplace conflict and its effective management requires appreciating the range of behavioural expressions involved; creation of the work environment conducive to the conflict processing and conflict resolution; and understanding the significance of the potential of the people as choice makers, when choosing from among the options open to them for expressing discontent.

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Working Conditions and Social Dialogue

By | Belgium, Case-study, Cyprus, Czech Republic, Denmark, Finland, France, Germany, Social dialogue, Spain

This report examines the link between working conditions and social dialogue, highlighting instances where social dialogue has had an impact on working conditions. The impact of social dialogue on working conditions is considered at all levels – national, sectoral, company and workplace levels. There is also a specific focus on occupational health and safety. The first section of the report maps existing research and administrative reports, highlighting the findings of surveys, both quantitative and qualitative, that have identified a link between social dialogue and working conditions. The second section looks at examples of social dialogue drawn from case studies that have had an impact on working conditions in a range of areas. Some examples of incomplete social dialogue are also presented, including possible reasons for the shortcomings. Finally, the report identifies potential lessons for the future in terms of factors that contribute to the success or failure of social dialogue.

The study was compiled on the basis of individual national reports submitted by the EIRO and EWCO correspondents. The text of each of these national reports is available below. The reports have not been edited or approved by the European Foundation for the Improvement of Living and Working Conditions. The national reports were drawn up in response to a questionnaire and should be read in conjunction with it.

 

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