Abstract
According to the reports in the past decade, some Asian subcontractors, mainly Taiwan, Hong Kong and Korea transnational corporations, tend to be labor abusive in their overseas investment destinations like China or Southeast Asia. Taking Vietnam as an example, this paper raises questions as to why Taiwanese transnational companies can control workplace unions in a trade-union-supportive regime. Given the government’ s constraint of political rights, and the individualized workplace unions, the function of trade unions in Vietnam is destined to be limited. The trade unions turn out be an arm of management, rather than representing workers’ interests in these transnational companies. This article also explores the influence of the newly developed ‘codes of conducts’ from Western buyers. In the survey of three companies which are required to follow the codes of conduct by buyers, trade unions had no more freedom than those in companies without codes of conduct. The paper discusses the implications of this research, offering strategies for labor rights improvements.
This is a preview of subscription content, log in via an institution to check access.
Similar content being viewed by others
References
M. Beresford (1997) ‘Vietnam: The Transition from Central Planning’ G. Rodan K. Hewison R. Robison (Eds) The Political Economy of South-East Asia: An Introduction. Oxford University Press Melbourne 179–204
A. Chan (1998) ArticleTitle‘Labor Standards and Human Rights: The Case of Chinese Workers Under Market Socialism’ Human Rights Quarterly 20 886–904
A. Chan I. Norlund (1999) ‘Vietnamese and Chinese Labor Regimes: On the Road to Divergence’ A. Chan B. J. T. Kerkvliet J. Unger (Eds) Transforming Asian Socialism: China and Vietnam Compared. Allen & Unwin Australia Pty Ltd Canberra 204–228
Chan, A. and H. Wang: 2003, ‘Raising Labor Standards Corporate Social Responsibility and Missing Links? Vietnam and China Compared’, paper presented at the conference ‘The Labor of Reform: Employment Workers’ Rights and Labor Law in China’, the Center for Chinese Studies the Institute of Labor and Industrial Relations the International Institute (Advanced Study Center), University of Michigan, March 21–22, 2003.
Economist: 2000, ‘Bye-bye Uncle Ho’, Economist: November 11, p. 32.
S. J. Frenkel (2001) ArticleTitle‘Globalization Athletic Footwear Commodity Chains and Employment Relations in China’ Organization Studies 22 IssueID4 531–562
S. Frenkel D. Scott (2003) ArticleTitle‘Compliance Collaboration and Codes of Labor Practice: The Adidas Connection’ California Management Review 45 IssueID1 29–49
P. Glewwe (2000) ArticleTitle‘Are Foreign-Owned Businesses in Vietnam Really Sweatshops?’ Minnesota Agricultural Economics 71 1–4
Gonzalez, D. 2000, ‘Nicaragua’s Trade Zone: Battleground for Unions’. New York Times: September 16. Access at <http://www.nytimes.com/2000/09/16/world/16NICA.html>
R. Heng (1998) ‘Media in Vietnam and the Structure of Its Management’ D. Marr (Eds) The Mass Media in Vietnam Department of Political and Social Change, RSPAS, Australia National University Canberra 27–53
Hilsenrath, J.E. 2000, ‘Asian Firms Grab Rewards in the Global Supply Chain’, The Wall Street Journal March 7.
IDIC (the Industrial Development and Investment Center): 2000, ‘Yuenan Touzi Huanjing Jianjie’, (‘Introduction to Vietnam’s Investment Environment’). Access at <http://www.idic.gov.tw/html/vietnam.html/>: November 10.
IDIC: 2002, ‘Taishang zai dalu touzi gaikuang’ (Taiwanese Investment in China). Access at <http://www.idic.gov.tw/html/c3409.html>.
Y. Jeong (1995) ArticleTitle‘Interest Representation in Vietnam: the Relationship between the Party and Mass Organization’ Journal of Law and Political Science 4 145–165
Y. Jeong (1997) ArticleTitleSeptember ‘The Rise of State Corporatism in Vietnam’ Contemporary Southeast Asia 19 IssueID2 152–171
A. Kolk R. Tulder (2002) ArticleTitle‘Child Labor and Multinational Conduct: A Comparison of International Business and Stakeholder Codes’ Journal of Business Ethics 36 291–301
Kung, I-c.: 2002, ‘Kuaguo ziben de laodong tizhi’ (Transnational Capital Ethnicity and labor Control: The labor Regime of Taiwanese Businesses in Malaysia). Taiwan Shehuixue (Taiwanese Sociology)3, 253–289 (in Chinese).
InstitutionalAuthorNameLabor Rights in China (1999) June No Illusions: Against the Global Cosmetic SA8000 Asia Monitor Resource Center Hong Kong
B.L. McCormick (1999) ‘Political Change in China and Vietnam: Coping with the Consequences of Economic Reform’ A. Chan B.J.T. Kerkvliet J. Unger (Eds) Transforming Asian Socialism: China and Vietnam Compared. Allen & Unwin Australia Pty Ltd Canberra 153–175
InstitutionalAuthorNameMinistry of Labour – Invalids and Social Affairs (1999) Status of Labour-Employment in Vietnam Statistical Publishing House Hanoi
Moock, P. R., H. A. Patrinos, M. Venkataraman: 1998, Education and Earnings in a Transition Economy. World Bank occasional paper.
InstitutionalAuthorNameNational Political Publishing House (1996) Labour Law and Ordinance on the Procedure of Settling Disputes on Labour National Political Publishing House Hanoi
D. O’Rourke (2003) ArticleTitle‘Outsourcing Regulation: Analyzing Nongovernmental Systems of Labor Standards and Monitoring’ The Policy Studies Journal 31 IssueID1 1–29
O’Rourke, D. and G. Brown: 2000, Beginning to Just Do It: Current Workplace and Environmental Conditions at the Tae Kwang Vina Nike Shoe Factory in Vietnam. November 8, 2000, on the Internet at <http://web.mit.edu/ dorourke/www/PDF/Beginning.pdf/>
Paine, L. S.: 1994, ‘Managing for Organizational Integrity’, Harvard Business Review March–April, pp.106–117.
M. A. Santoro (2003) ArticleTitle‘Beyond Codes of Conduct and Monitoring: An Organizational Integrity Approach to Global Labor Practices’ Human Rights Quarterly 25 IssueID2 407–424
Senser, R. A.: 1997, ‘What’s Going on in Vietnam Anyhow’, Human Rights for Workers Bulletin 2(14), Access at <http://www.senser.com/fourteen.htm>.
H. Wang (2001) ArticleTitle‘Ethnicized Social Mobility in Taiwan: Patterns and Strategies Among Taiwan’s Small and Medium-Scale Businesspeople’ Modern China 27 IssueID3 328–358 Occurrence Handle10.1177/009770040102700302
Wang, H.: 2003, ‘Unwanted advice from masters of industry’, Taipei Times: May 28, 2002.
H. Wang M. H. H. Hsiao (2002) ArticleTitle‘Social Capital or Human Capital? – Chinese Professionals in Overseas Taiwan Company’ Journal of Contemporary Asia 32 IssueID3 346–362
Author information
Authors and Affiliations
Corresponding author
Additional information
Hong-zen Wang is the director of the Graduate Institute of Southeast Asian Studies at the National Chi Nan University, Taiwan. A sociologist, he has written widely on Asian labor and class issues. The most recent article “The Impact of the State on Workers’ Conditions–Comparing Taiwanese Factories in China and Vietnam” will be published in Pacific Affairs. His current research interests include industrial relations in Taiwan-owned or partially owned factories in Vietnam and the impact of global anti-sweatshop movement on the third world factories.
Rights and permissions
About this article
Cite this article
Wang, Hz. Asian Transnational Corporations and Labor Rights: Vietnamese Trade Unions in Taiwan-invested Companies. J Bus Ethics 56, 43–53 (2005). https://doi.org/10.1007/s10551-004-1034-7
Received:
Issue Date:
DOI: https://doi.org/10.1007/s10551-004-1034-7