International Framework Agreements Taking Sting Out of Transnational Collective Bargaining.

AuthorSmit, Paul

Introduction

Collective Bargaining on shop floor level at its best is not something that most employers are looking forward to. This process is very often marked by animosity between the parties as it sometimes tends to bring out the negative aspects of the employment relationship. The challenges faced by both the employer and the trade union during the collective bargaining process are huge and both parties hope that in the end it will result in a collective agreement. The regulation of labor in the workplace and the conclusion of collective agreements are never an easy task but it is even more complex and challenging if it has to take place across national borders in a globalised world. Globalization and a transnational labor environment impact on the ability of the employer to regulate or manage a labor force that is based in different countries. They directly also impact on the ability of trade unions to conclude collective agreements. The migration of workers across national borders, the existence of multinational companies and the demands of transnational labor relations present management and trade unions with many challenges.

This paper is premised on the conviction that corporate social responsibility codes and other codes of conduct as well as the negotiation of collective agreements at company level are not enough to effectively manage and regulate labor in a transnational environment. The author suggests that international framework agreements (IFAs) are a far more effective management tool for transnational labor regulation and also for the establishment of collective agreements on a transnational level rather than the traditional collective bargaining methods. The paper starts with an overview of ILO Convention 98, followed by an analysis of the characteristics of traditional collective bargaining methods and IFAs. The paper concludes with a proposal that IFAs as a method of transnational collective bargaining can negate the often negative environment in which collective bargaining takes place and creates a more positive environment for collective bargaining on a transnational level.

Right to Organize & Collective Bargaining: ILO Convention 98

The ILO adopted various conventions that can be seen as international labor standards even though some of these conventions have not been ratified by some member states. Once a convention is approved, it constitutes a legal obligation on member states to adhere to, and apply, its provisions (Hughes, 2005). During July 2011, the ILO has implemented 186 conventions which are still in force today. Governments are obligated to submit detailed reports on their compliance with the conventions they have endorsed and each year there are some suspected breaches of these international labor standards.

In 1998 at the 86th International Labor Conference the ILO adopted the famous "Declaration on Fundamental Principles and Rights at Work" which holds four central policies: (1) the right of workers to associate freely and bargain collectively; (2) the end of forced and compulsory labor; (3) the end of child labor; and (4) the end of unfair discrimination among workers (Hughes, 2005; Weiss, 2013). Most member states have by this time accepted the ILO conventions that embody these fundamental principles.

For the purposes of this study the author gives particular attention to convention 87 and 98 of the ILO. These two conventions are both seen as fundamental principles and rights at work, especially in today's globalized and transnational world of work. Freedom of association and the right to collective bargaining requires the ability to "form freely and join trade union or similar organizations and to engage in voluntary collective bargaining leading to the implementation of collective agreements" (Hughes, 2005: 415). Freedom of association and the right to collective bargaining require in turn a "legal basis guaranteeing these rights, appropriate institutions, protection against discrimination in the exercise of these rights and accepted involvement of the parties" (Hughes, 2005: 415).

Freedom of Association & Protection of Right to Organize (C87)

This convention regarding Freedom of Association and Protection of the Right to Organise entered into force in July 1950 which was adopted in San Francisco at the 31st International Labor Conference held in July 1948. It is still active today and seen as one of the fundamental conventions of the ILO. This convention consists of four (IV) Parts and 21 Articles. Part I is concerned with Freedom of Association and has ten Articles whereas Part II is about the Protection of the Right to Organize and only consists of one article. The latter might be due the fact that the right to organize is also explained in another section. Part III is Miscellaneous Provisions that include two Articles that integrate this convention with other provisions...

To continue reading

Request your trial

VLEX uses login cookies to provide you with a better browsing experience. If you click on 'Accept' or continue browsing this site we consider that you accept our cookie policy. ACCEPT