The paper 'Impact of Globalisation on Employment Relations in Japan and Korea" is a good example of a management case study. Globalisation holds weighty impacts on employment relations. Increased international competition has affected Korea and Japan in both negative and positive ways. Trade unions in Japan and Korea demonstrated akin reactions to globalisation and to some extent demonstrated diverse reactions. Globalisation creates incentives for the nations to adopt more market-based employment relations policies including individualism and decentralisation of bargaining, more contingent forms of employment and individualised payment systems. In reactions to effects of globalisation on, both Japan and Korea private firms and the governments transformed from an enterprise-oriented approach to a market-driven approach. IntroductionGlobalisation entails the process of integration and interaction among organisations, government and people of different nations.
It is a process steered by international trade and investment and assisted by information technology. The process affects the culture, political systems, environment, human physical wellbeing, prosperity and economic development in global societies. Employment relations entail the legal connection between employee and employers. Employment relations exists when an individual performs services or work under given conditions in return for remuneration.
It entails the body concerned with upholding employee-employer relationships that lead to satisfactory motivation, morale and productivity. Although globalisation is the driving force behind global economic development, it involves all aspect of the economy. Globalisation greatly impacts the social partners because conventional employment relations have to deal with absolutely novel and dynamic situations. Globalisation apparently impacts employment relations and holds differential effects across varieties of capitalism. This essay aims to describe and evaluate the impact of globalisation on employment relations in Japan and Korea. Globalisation and Varieties of Capitalism: Japan and KoreaShifts in the global economy commonly known as globalisation hold upshots for national blueprints of employment relations.
However, there are competing opinions regarding the significance of globalisation and kinds of the transformation it produces. According to Nick, Russell and Anja (2009, p. 90), globalisation instigates convergence in labour principles across regions and nations. Some empirical studies of relative shifts in employment relations offer little support for the view that globalisation instigates convergence in labour standards. The Varieties of Capitalism (VoC) theory suggest that the effect of globalisation on employment relations differs across dissimilar forms of the market economy.
The VoC perspective compared to other forms of capitalism such as variegated capitalism rejects the idea that there is a better way to structure capitalism. This theory points to the responsibility played by complementarities amid organisational arrangement in moulding the function of market societies. Nick, Russell and Anja (2009, p. 90) confirm that one major impact of VoC approach is that globalisation holds differential effects on employment relations outcomes and processes across varieties of capitalism.
Increased international competition creates incentives for firms to adopt more market-based employment relations policies including individualism and decentralisation of bargaining, more contingent forms of employment and individualised payment systems. In some occasion, augmented international competition strengthens instead of undermining conventional types of coordination between employees and employers. The VoC blueprint has become considerably influential in employment relations and helps in explaining cross-national disparities in Union density and membership, vocational training systems, employee participation and gendered temperament of labour markets. Compared to variegated capitalism, VoC presumes that a firm in a coordinated market economy will be improbable to withdrawal from institutional relationship bound by non-market coordination.
Axel, D 2006, ‘ Does globalisation affect growth: Evidence from a new index of globalisation’, Applied Economics, vol.38, no.10, pp.1091-110.
Dixon, A 2014. The new geography of capitalism. Firms, finance and society. UK: Oxford University Press.
Dong-one, K & Seongsu, K 2003, ‘Globalisation, financial crisis and industrial relations: The case of South Korea’, Industrial Relations, vol.42, no.3, pp.341-367.
Dong-one, K , Seongsu, K & Motohiro, M S 2001, ‘ The impact f globalisation on industrial relations: A comparative study of Korea and Japan’, Seoul Journal of Business, vol.7, no.1, pp.61-86.
Hauptmeier, M & Vidal, M 2014. Comparative political economy of work. Australia: Palgrave Macmillan.
Kihl, Y 2005. Transforming Korean politics: Democracy, reform and culture. USA: M.E Sharpe.
Nick, W, Russell, L & Anja, K 2009, ‘Globalisation and varieties of employment relations: An international study of the automotive assembly industry’, Labour & Industry, vol.20, no.1, pp. 89-106.
Peter, A 2006, ‘ The International of employment: A challenge to fair globalisation’, International Labour Review, vol.145, no.1, pp.119-134.
Phillip, L 2013, ‘ Financial globalisation and the crisis’, Open Economies Review, vol.24. no.3, pp.555-580.
Suzuki, H 2010, ‘ Employment relations in Japan: Recent changes under global competition and recession’, The Journal of Industrial Relations, vol.52, no.3, pp.387-401.
Wilkinson, A , Wood, G & Deeg, R 2014. The oxford handbook of employment relations: Comparative employment systems. UK: OUP Oxford.