Cross-national Unionism

What is cross-national unionism

union activity that operates across national borders, where unions coordinate, cooperate, or bargain on behalf of workers in more than one country.

Why is internationalization increasing?

The expansion of world trade and interdependence

The extension of multinational corporations

Integration of markets and relaxation of barriers of trade

How are unions disadvantaged by the growth of multinationals and cross-border capital mobility?

• Labor cannot move as easily across borders

• Multinational unionism (or even union coordination) has historically been weak

• Capital mobility creates a competitive menace for labor

• Unions in high-wage countries are threatened by the movement of capital to low-wage countries

Why might labor benefit from globalization?

Unions (workers) that produce goods for exports (ex: UE workers who build subway cars and Boeing workers producing planes for export)

• Demand is relatively inelastic

Super inelastic/hard-to-substitute labor:

• Professional athletes, actors

Also gains from an increase in total power (firm profits, market expansion) → only if Total power > relative power

Why are cross-national unions traditionally so weak?

• Lack of solidarity

• Lack of common interests

• Direct competition for jobs

• Poor communication and different structures (sectoral vs. enterprise vs. plant-level unionism)

What have cross-national unions done?

• Promote favorable regional regulations

  • European unions lobby the EU for min. standards that helped raise standards in lower-wage EU countries

• Cross-national CB

  • Ex: Maritime, airlines

• Cross-national pressure campaigns

  • Selective pressure campaigns (Renault in Europe)

  • Strategic alliances (Steelworkers, food workers)

  • Bottom-up network alliances (Brazil)