Abstract

This paper highlights the predicaments of national labour unions when they deal with multinational companies (MNCs). National laws prevent labour unions from establishing formal alliances with foreign counterparts, while MNCs do not face the same restriction. Moreover, national labour unions cannot match the flexibility and power of MNCs. MNCs can shift production across national borders and play one national union against the other. What are the solutions to these problems? While there are no formal remedies, there are some informal methods to counter the power and flexibility of MNCs. These methods and the prospect for the future of national labour unions are discussed in this paper.

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