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Labor Relations & Unions

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1. Organized labor union groups in the USA have stated their clear opposition to the Obama administration's proposed 2015 free trade agreement with 12 countries in the Pacific Rim. The AFL-CIO and the UAW have suggested that enforceable labor standards should be added to agreements such as NAFTA and the Pacific Rim accord to protect American union workers. Is this even possible (i.e. there is no body that can enforce law outside of its own territory) or necessary?

2. Who would be more likely to have concerns about dealing with labor groups: American firms considering investments in Germany, Japanese firms considering investing in Pennsylvania (a union shop state), or European firms investing in Japan? Be specific with your answers.

3. Unions in Europe came out of a Marxist tradition, where a job and income were considered to be rights. Is a job a right or a privilege? What are the public policy and economic implications of your answer?

4. Legacy costs from attractive compensation packages to public sector union workers have resulted in major financial meltdowns in Greece, Ireland, Spain, and Portugal. Similar legacy costs threaten to bankrupt the state of Illinois, and federal government has multiplied trillions of dollars of unfunded legacy costs for federal workers. Explore this problem, using unbiased sources. As policy managers, how would you address these problems?

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Solution Summary

This response analyze the issue arises between labor unions and country's policy of trade agreement. At the same time, concern about the labor group is also discussed such as American firm, Japanese firm and European firms. Along with this, the financial downfall in Greece, Ireland and Spain is also evaluated and effective suggestion is recommended.

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Opposition of Free Trade Agreement Proposed by Obama
Labor organizations play an important role in United State which is responsible for the development of domestic labor through possessing the authority to trade with other trading zones and make the trade easy for workers and develops the basic standard of democracy in country.

Free trade agreement are new way to explore the business at domestic and international level by imposing rules of trading that is beneficial for the both of partners. NAFTA is one of the most trade agreement that is governed by the United State country to liberalize the tariff and trade strictness by the country passers. In year 2015, United States proposed the agreement concerning the free trade with twelve countries in pacific-rim to unionization and removing or mitigating the trade barriers between the counties but the trade unions in USA have directly take up the opposition for the free trade agreements by NAFTA. Obama proposed that the trade agreement would be focused on consideration of labor's rights against their work (Qui, 2016). The main purpose of these agreements was to explore the effective standard laws of labor and environment.

Furthermore, these laws regarding the enforceability may not be possible because the enforcement related to rights of labor are not efficient for the worker's point of view therefore they proposed. At the same time, compromization between the workers and TPP authority to assure their benefits it may be possible (Pbs, 2015). Basically these labor standards are for the benefit of workers but these are not in right manner to protect the human rights. Critics opposed the enforceable due to losses of jobs in USA.

Concerned About the Labor Groups
Liberalization and globalization ...

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