This document presents an agenda for a case study presentation on the creation of international labour standards to address abuses in global soccer ball production networks. The agenda introduces the case of soccer ball stitchers in countries like Pakistan, India, China and Thailand. It then discusses how governmental, non-governmental and corporate promotion of international labour standards, along with monitoring by NGOs, has significantly addressed issues in these global supply chains. Examples of various actors working collaboratively through different mechanisms, like corporate codes of conduct and certification programs, are provided.
An Empirical Study of Corporate Social Responsibility Practices (2).pptx
Case study presentation 8
1. International Organisational Behaviour
Case Study Presentation
Missed the Goal for Workers:
The Reality of Soccer Ball Stitchers
in Pakistan, India, China, and Thailand
Dave Sutcliffe
Heather Newton
Kate Maley
Leah Collison
2. How the creation of International Labour Standards, promoted
jointly by governmental, non-governmental and corporate
bodies, and monitored by NGOs significantly addresses abuses
of labour rights in Global Production Networks.
3. Agenda
• Introducing the case of soccer ball stitchers
• Governmental Promotion
• Non-governmental and Corporate promotion
• NGO Monitoring Activities
• Actors collectively address abuses of labour rights
4. Introducing the case of soccer ball stitchers
Global Production Network - GPN
International
• Defining a GPN (Levy 2008) Agreements
• Direct and indirect relationships
National
• Coordination Regulations
• Organisational capacity Corporate Internal
Regulations
• Geographic reach
• Significant FDI and international trade Supply Chain Coordination
• Economic and political nature of the GPN:
• Is regulated by complex forms of governance at multiple levels (Levy 2008)
• Enables a dialectical approach to labour within global capitalism environments (Selwyn 2012)
• Facilitates international changes such as the creation and implementation of ILS
5. Context of the case
Soccer Ball Manufacturing GPN
• The International Labour Rights Forum (2010) highlight
issues within soccer ball manufacturers in:
Pakistan India China Thailand
• The Atlanta Agreement (1997)
• Child Labour
7. Governmental Promotion
Government plays a key role in promotion of ILS, ILRF (2010).
• China: 1994 Labour Law
• India: 1948 Factories Act
• Thailand: 1998 Labour Protection Act
• Pakistan: 1968 Industrial Commercial Employee Ordinance
• Criticisms
States
8. Government and Business
An example: Thailand
• Thai Ministry of Labour in collaboration with Private
Sector
• Thai Labour Standards (TLS-8001) 2006
(Suttawet and Yawichian 2008)
• Company Engagement
• Voluntary participation from companies engaged with US and States
European organisations.
• Increased regulation enforcement
• Encouraging firms to meet international labour laws and Firms
standards to increase their attractiveness (ILRF 2010).
9. NG and Corporate Promotion
Society&
NGOs
• Global „first tier‟ companies
• Ethical and Social Scrutiny
• Corporate Image
• Incentive to improve ILS through the GPN
• Code of Conducts and Compliance Systems Firms
• The Value Chain (Porter 1985)
• Maximising Value-adding activities and minimizing value-extracting
activities = Increased Competitive Advantage
Promoting ILS Improved Labour Conditions throughout GPN
Low-value Exploitative Activities High Value-adding activities
10. NG and Corporate Promotion
Value Chain examples
Firms
• Nike
• Saga Sport key supplier in Pakistan
• Termination of contract 2006
• Resumed production in 2007
• Silver Star adhered to strict labour conditions
• Atlanta Agreement
Effectively regulated Nike‟s Value Chain
Improved working conditions
Simplified monitoring Process
11. The Soccer Manufacturing industry in Jalandhar, India
Value Chain Struggles
Soccer Manufacturers in
Jalandhar, India:
• Value Chain Struggles in
GPN
• Combination of work
structure forms
Pressures:
• Increased demand
• Reduce Child Labour
violations
• Technology upgrades
Lund-Thomsen, P., & Khara, N. (2011)
12. Other NG Promoters
Society&
NGOs
• FIFA
• Quality marks
• Financial contributions
• Assist rights violations prevention
• World Federation of Sporting Goods Industry (WFSGI)
• Ethical consulting services
• Facilitates collaboration of different actors- members:
Adidas and Nike.
• Additional Collaboration e.g. South Asia Coalition on
Child Servitude (SACCS).
13. NGO Monitoring Activities Society&
Monitoring Associations NGOs
• The Independent Monitoring Association for Child Labour
(IMAC)
• Training so manufacturers could effectively monitor child labour
• The Sports Goods Foundation of India (SGFI)
• looks to eradicate the roots of child labour completely
14. NGO Monitoring Activities
Monitoring Certifications
• The Social Accountability International (SA8000)
• manufacturers who meet voluntary standards surrounding
„workers‟ rights, workplace conditions, and management
systems‟.
• Fairtrade Labelling Organisation (FLO)
• Certifications to manufacturers who are concurrent with
labour standards
• FIFA
Society&
NGOs
15. Further Monitoring
Case Example: Thailand
International Trade Union Confederation (ITUC 2007)
• Thailand: 5 out of 8 core ILO Labour Conventions
Improvements are required Issues
Freedom of Associations
Financial Independence
Collective Bargaining
Rights to Strike Sustainability
Child Labour Transparency
Migrant Workers
Human Capacity
Discrimination
• Overall monitoring by NGO‟s through GPN is successfully
addressing the implementation of ILS
17. Collaboration of Actors
Concept of Hegemony-(Bohm et al 2008)
Sustained through three „spheres‟:
• Economy
• State
• Civil Society.
18. Collaboration
Hegemonic Bloc
• „Hegemonic bloc‟ (Gramsci 1971)
• Two Dimensions.
• Organisational Structure
• Specific Alignment
• A hegemonic bloc occurs when “the synchronisation of
various elements achieves a degree of stability and consent
grounded in the construction of common interests” (Levy,
2008).
19. Collaboration Within Soccer Ball GPN
• Subordinate (Pakistani manufacturers) consent to higher ILS
imposed by superordinates („first tier‟ firms/NGO‟s) (Bohm et
al 2008);
• Resulting in:
• Improved working conditions.
• Concessions from capital
20. Conclusion
• Continual global concern
• GPN facilitates promotion and enforcement
• Hegemony supports the idea that GPNs can indirectly and
directly create unity (Levy 2008)
22. References
• Böhm, S., A. Spicer, and P. Fleming (2008) „Infra-political dimensions of resistance to International business: A Neo-Gramscian approach.‟ Scandinavian Journal of Management 24(3): 169–182.
• Gramsci, A. (1971). „Selection from prison notebooks.‟ London: Lawrence & Wishart.
• ITUC (2007) „Internationally recognised core labour standards in Thailand. Report for the WTO general council review of the trade policies of Thailand‟ [online] Available at: <http://www.ituccsi.org/IMG/pdf/Thailand_report_final.pdf > [Accessed 26
February 2012]
• ILRF (2010) 'Missed the Goal for Workers: the Reality of Soccer Ball Stitchers in Pakistan, India, China and Thailand', International Labor Rights Forum, 7 June 2010
• Kaplinsky, R., Morris, M. (2001) „A Handbook for Value Chain Research.‟ Available at: <http://www.fao.org/fileadmin/user_upload/fisheries/docs/Value_Chain_Handbool.pdf> [Accessed February, 2012].
• Levy, D. (2008) “Political Contestation in Global Production Networks.” Academy of Management Review 33(4): 943–963
• Lund-Thomsen, P., & Khara, N. (2011). 'Making A Last Minute Save?: Value Chain Struggles, Work Organization, and Outcomes for Labor in the Football Manufacturing Industry of Jalandhar, India'. (Working Paper; 02-2011). Frederiksberg: Center for
Corporate Social Responsibility, CBS.
• Porter, M. E. (1985). „Competitive advantage: Creating and sustaining superior performance.’ New York: Free Press.
• Selwyn, B. (2012) 'Beyond firm-centrism: re-integrating labour and capitalism into global commodity chain analysis.' Journal of Economic Geography 12(1): 205–226
• Spicer, A. and S. Böhm (2007) „Moving Management: Theorizing Struggles against the Hegemony of Management‟ Organization Studies 28(11): 1667-1698
• Suttawet, C. and Yawichian, S. (2008). “Around the World: Thailand. Current Situation of Labour Standards for Trading in Thailand” [online] Available at: <http://www.udel.edu/fiber/issue2/world/LaborStandards-Thailand.html> [Accessed 26 February
2012]
Notes de l'éditeur
Leah
Leah
Leah
Leah
HeatherNow that we’ve introduced what a GPN is in general we are now going to talk about the Soccer Ball Manufacturing GPN that was described in the caseThe ILRF highlighted many issues with the soccer ball manufacturers specifically in these four countries. While all four suffer with some of the same issues there are key issues for each:Pakistan suffers from the majority of its workforce being casual workers and not being eligible for all labour rightsIndia’s labour laws do not apply to any workforce below 20 people.China has issues with overtime as workers are either paid little or not at allThailand struggles with low wage issues as well as health and safetySignificant progress has been made to rectify some of these issues. In particular the Atlanta agreement has been sucessful with the issue of child labour. This has led to child labour being diminished in both India and Pakistan which in the past was one of the worst offenders of child labour.
Heather – This diagram shows the Soccer ball manufacturing GPN.State actors, Firms, and society combined promote International Labour Standards (ILS) in this GPN in order to address the existing labour abuses.
We now move on to discussing the government part in the GPN. Government plays a key role in the promotion of ILS. China: 1994 Labour Law set out regulations in terms of working hours and holidayIndia: 1948 Factories Act – give workers rights about labour contracts and overtime payThailand 1998 Labour Protection act sets out maximum working hours and minimum working age.Pakistan – 1968 Industrial Commercial Employee Ordinance set out guidelines about permanent workersCriticismThere are examples of criticism of some of these government actions such as the World Bank’s assessment of Indian labour laws (ILRF, 2010), however there are clear foundations for effective ILS being promoted
An example of Government and business coming together is that of Thailand. The Ministry of Labour created the Labour standards in 2006Companies manufacturing for US and European companies were asked to voluntarily follow these standards While regulation enforcement was already increased. The government encouraged businesses to participate in following these standards as well as labour laws to help with their attractiveness to foreign companies.
KateGlobal ‘first tier’ companies: observed by the public --- corporate image.
Kate
Kate
KateImprovements – in a box or something
Dave- DIAGRAM no wordsHow these three actors collectively address abuses of labour rights successfully
Significant degree of unison in relation to challenging issues, facilitated by the GPN. Economy (business produced within firm)State (business governance)Civil society (legitimises business).
Dave‘Hegemonic bloc’ (Gramsci 1971) two dimensions. Organisational structure, comprises alliances and hierarchical relations among actors Specific alignment: that stabilises and reproduces relations of production, meaning and power (Levy, 2008). A hegemonic bloc occurs when “the synchronisation of various elements achieves a degree of stability and consent grounded in the construction of common interests” (Levy, 2008).
DaveHegemony within the soccer ball GPN: Subordinate (Pakistani manufacturers) consent to higher ILS imposed by superordinates (‘first tier’ firms/NGO’s) (Bohm et al 2008); Resulting in improved working conditions. Labour standard organisations are able to ‘win’ concessions from capital Raising the distributive profile of a region Positively impacting a firm’s ability to achieve strategy and competitiveness (Selwyn, 2012).
DaveContinual global concern Gradual improvementILS improvements facilitated through the GPN Independent and collaborative efforts of governments, corporations and civil society, opening communication paths and improving transparency. The case evidence indicates the contrasting range of incentives and influences within the dynamic nature of the GPN on the three key actors.The concept of hegemony supports the idea that GPNs can indirectly and directly create unity in relation to economic, political, intellectual and moral issues (Levy 2008) as contingent stability and consent is found.