Analysis of the Newspaper Piece by Say 2015 - Assignment Example

Analysis of the newspaper article titled “Strikes a symptom ailing industry: study” (Suy 2015) Introduction This essay will analyse Pav Suy’s (2015) article titled “Strikes a symptom of ailing industry: study”. The article by Suy (2015) discusses a study that was conducted on the issue of the increasing employee strikes in textile and footwear factories in Cambodia. Suy (2015) notes that the increase in strikes has been caused by employees’ calls for higher wages and meal allowances, disagreements in relation to unfair dismissals, and discrimination of unions. Other issues that are identified by Suy (2015) to be causing an increase in strikes in the textile and footwear industry in Cambodia include weaknesses in preventing and resolving workplace disputes, delays in submitting employee payments, coercive behaviour by and among employers and unions, and systemic challenges in resolving labour disputes. In order to stem the occurrence of strikes, the Cambodian government has proposed a draft labour law that will, among other things, make it possible to punish unions and impose fines on them for causing worker unrest (Suy 2015, p. 2). However, the proposed law has been criticised by unions, which argue that it will increase the number of strikes as it does not resolve the contentious issues. According to Suy (2015), the aforementioned issues are an indication of an ailing textile and footwear industry. The analysis of the article will focus on the issues that have been addressed in the article as well as the relevant theoretical principles. Specifically, the analysis will make use of two theoretical principles: values and identity and corporate governance. Values and identity Organisations are made up of people and groups that have different values, interests and goals (Robbins 2009, p. 358). Values can be described as the guiding principles that a person or group of people considers to be important to their life. Values are a key component of the self and an important deciding factor in relation to attitudes and behaviour (Jones, Levesque & Masuda 2003, p. 207). Events that take place around people and organisations are usually assessed in terms of whether they advance or obstruct people’s values. Values are so important that they can be regarded as fundamental facets of long-term motivation (Jones, Levesque & Masuda 2003, p. 207). This means that people do what they do because of the values that they hold. On the other hand, identity can be defined as a basic cognitive system that human beings use to categorise themselves and their colleagues, both individually and as groups (Jenkins 2014, p. 14). In other words, identity reflects how a person or a group of people makes sense of itself in regard to the cultures that they are part of (Hatch 2011, p. 342). People reflect their personal identity through the ongoing process of self-development, through which they construct a unique sense of themselves and their relationships with the world around them (Bratton et al. 2014, p. 158). For example, working in the same job category may define a certain group of employees’ identity. Self-identity differentiates people as distinct persons, and social identity creates the perception of belongingness or sameness among different people or groups of people. That is, people have a feeling of belongingness or sameness when certain aspects of their lives are shared with or are similar to those of others. Examples of social identities include occupations, membership to trade unions, and so forth (Bratton et al. 2014, p. 158). Turning to the article by Suy (2015), it has been noted that employee strikes are rife in textile and footwear factories in Cambodia because unions are not satisfied with the conditions that employers offer to their employees. According to the United Nations Environment Programme (n.d.), trade unions play a significant role in promoting fundamental values such as fairness, equity and inclusiveness. This suggests that unions will always fight to ensure that their members are paid equitably and fairly and are treated in a manner that depicts inclusiveness. In case employers do not uphold such values, employees are likely to take strike action. This is evident in the article by Suy (2015), given that there have been frequent strikes by people working in textile and footwear factories in Cambodia. As noted by Suy (2015), the said workers are aggrieved by issues such as low wages and lack of meal allowances, biased dismissals and discrimination of unions. This means that the workers and their unions believe that their values are not being upheld by their employers. As it was noted earlier, values are the guiding principles that people consider to be important in their lives. Given the fact that employees and unions in the textile and footwear industry feel that what is important to them is not being respected by employers, their last resort has been to engage in strikes. In regard to identity, trade unions are formed by people who have a feeling of sameness as was noted above. Frege and Kelly (2003, p. 14) suggest that trade unions are founded on a collective identity, which is described as a shared definition of what the union stands for. This implies that union members have some shared attributes that bring them together. These attributes include their occupation, which is working as factory employees and the need to solve issues that affect them in terms of their employment together. Being members of unions therefore gives the factory workers a platform through they can address their grievances with their employers – one approach being through strike action. The factory workers face common problems such as low pay, low or lack of meal allowances, delayed pay, coercive behaviour by employers and unfair dismissals. Trade unions therefore give the workers an identity that helps them to fight for their rights as groups. In many capitalist societies, trade unions are perceived as a form of opposition against wealthy people (Colgan & Ledwith 2000, p. 244). Indeed, Cambodia has in recent times experienced a class struggle between the working class, especially garment workers, and the Cambodian authorities (Clayton 2014). This as well is seen in the article by Suy (2015) through the point that many factory workers are poor people trying to earn some money to meet their basic needs such as food. In contrast, employers want use the factory workers to make as much profit as possible while giving them little in terms of pay and other allowances. The workers seem to have realised their employers’ strategies, and in reaction, are using their unions to fight for better work conditions and pay. The workers understand that it is only through their shared identity, which is the union, that they can collectively fight for better work conditions. This is because unions provide a source of social identity for members, which creates a sense of collective identity of unity and solidarity (Colgan & Ledwith 2000, p. 244). On the other hand, since employers and the government view trade unions as oppositional groups, they regard them as out-groups (Colgan & Ledwith 2000, p. 244). This explains why the government has come up with a draft labour law that will among other things, punish and fine unions for “causing any worker unrest” (Suy 2015, p. 2) – position that is supported by factory owners. The theoretical principle of values and identity fits the analysis of the article by Suy (2015) since both employers and unions can be seen to be fighting for their own values and identities. On one hand, workers feel that factory owners are not doing enough to improve their work conditions. On the other hand, employer associations feel that unions exist just to show their superiority as representatives of employees. This standoff has led to “ailing industry” – as Suy (2015) describes the textile and footwear industry in Cambodia. Corporate governance Corporate governance can be defined as the system of overseeing and regulating the conduct of companies and ensuring that there is a balance in regard to the interests of all internal stakeholders and other stakeholders who can be affected by the conduct of the organisation (Du Plessis et al. 2015, p. 13). This is aimed at ensuring responsible behaviour by companies and creating a long-term and sustainable growth for the organisation (Du Plessis et al. 2015, p. 13). The internal stakeholders of an organisation include employees and the owners of the organisation among others (Solomon 2004, p. 12). The theoretical principle of corporate governance is relevant to the analysis of the article by Suy (2015) because it addresses matters of conflict between employees and their employers in the textile and footwear industry in Cambodia. As noted by Du Plessis et al. (2015, p. 13), one of the most important components of corporate governance is that the phenomenon “takes into consideration the interests of internal stakeholders” and other entities that can be affected by the behaviour of the company. Yet, from the article by Suy (2015), it is apparent that employers (textile and footwear factories) have ignored the interests of their employees. From the perspective of effective corporate governance, good governance is where internal stakeholders such as employees are allowed to participate in making decisions that affect the organisation. Employee participation denotes the various ways in which employees can partake in making decisions regarding issues that affect their environments (Lower 2010, p. 103). This means that firms need to put in place measures to ensure that employees participate in decision-making in matters that affect them such as salaries, work hours, and conflict resolution within the organisation among other issues. Collective decision-making between employers and employees can be done through the use of trade unions. Farnham (2000, p. 266) notes that in order for collective bargaining to take place, there must be freedom of association of employees to manage independent employee labour unions. There also has to be a willingness of employees to join and partake in the activities of independent labour unions. As well, trade unions must have the capacity to recruit, maintain and offer service to their members effectively. Another issue is that employers must recognise the trade unions, and that there has to be an equitable balance of bargaining power between labour unions and employers in the bargaining process (Farnham 2000, p. 266). However, according to the article by Suy (2015), the aforementioned characteristics do not exist in the relationship between employees and employers and the government in Cambodia. Specifically, employees in textile and footwear factories complain of being subjected to conditions such as low pay, coercive tendencies and delayed payments. But instead of addressing such issues, employers and the government seem to be only keen on silencing trade unions, which act as the voices of the employees. Such tendencies by employers can be attributed to the ‘lack of awareness and the particularities of Asian culture” (OECD 2011, p. 40). In particular, many Asian countries are characterised by lack of awareness as well as understanding of the rights of employees, trade unions and dispute resolution mechanisms. This can be attributed to the dominance of family-owned businesses in the region, which do not pay much attention to corporate governance (OECD 2011, p. 40). Therefore, the scenario in Cambodia, as reported by Suy (2015), can be attributed to a lack of understanding of what proper corporate governance entails. The textile and footwear factories seem to be only interested in increasing their profits and have less concern for the welfare of their employees. The government seems to be supporting employers instead of addressing the issues that employees are raising. The result is that the textile and footwear industry in Cambodia is in a state of confusion in regard to employer-employee relations. Conclusion This essay has analysed the article “Strikes a symptom ailing industry: study”, written by Suy (2015). The analysis was based on the theoretical principles of values and identity and corporate governance. In regard to values and identity, it has been noted that workers in the textile and footwear industry in Cambodia are constantly engaging in strikes because of the values and identities that they hold through their unions. Values are the guiding principles that people consider to be important in their lives while identity refers to the attributes that make people have a sense of themselves. It has been noted that the employees value things such as being treated fairly by their employers. Through their unions, which serve as their identities, workers have resorted to confronting their employers and the government through strikes. Corporate governance has been defined as the system through which firms regulate and oversee their conduct to ensure that there is a balance in regard to the interests of different stakeholders. As key stakeholders, employees deserve fair treatment through aspects such as pay and impartial dispute resolution. However, according to the article by Suy (2015), employers and the government of Cambodia have not allowed employees adequate space to air their views regarding their working conditions through their unions. References Bratton, J, Sawchuk, P, Forshaw, C, Callinan, M & Corbett, M 2014, ‘Personality’, in D Spicer & h Lee (eds), People, work & organisations, Palgrave Macmillan, London, pp. 141-174. Clyton, S 2014, ‘The class struggle in Cambodia’, Socialist Standard, no. 1314, February, . Colgan, F & Ledwith, S 2000, ‘Diversity, identities and strategies of women trade union activists’, Gender, Work and Organisation, vol. 4, no. 7, pp. 242-257. Du Plessis, J J, Hargovan, A, Bagaric, M & Harris, J 2015, Principles of contemporary corporate governance, 3rd ed, Cambridge University Press, Melbourne. Farnham, D 2000, Employee relations in context, Chartered Institute of Personnel and Development, London. Frege, C M & Kelly, J 2003, ‘Union revitalization strategies in comparative perspective’, European Journal of Industrial Relations, vol. 9, no. 1, pp. 7–24. Hatch, MJ 2011, ‘Material meaning in the dynamics of organisational culture and identity with implications for the leadership of organisational change’, in N M Ashkanasy, C P M Wilderom & M F Peterson (eds), The handbook of organizational culture and climate, 2nd ed, SAGE Publications, Inc, Thousand Oaks, California, pp. 341-358. Jenkins, R 2014, Social identity, 4th ed, Routledge, New York. Jones, RG, Levesque, C & Masuda, A 2003, ‘Emotional displays and social identity: emotional investment n organisations’, in S Gilliland, DD Steiner & DP Skarlicki (eds), Emerging perspectives on values in organizations, Information Age Publishing, Greenwich, Connecticut. Lower, M 2010, Employee participation in governance: a legal and ethical analysis, Cambridge University Press, Cambridge, UK. OECD 2011, Corporate governance in Asia: progress and challenges, OECD Publishing, viewed 12 April 2016, . Robbins, SP, Judge, TA, Odendaal, A & Roodt, G 2009, Organisational behaviour: global and southern African perspectives, 2nd ed, Pearson Education South Africa (Pty) Ltd, Cape Town. Solomon, J 2004, Corporate governance and accountability, 2nd ed, Chichester, West Sussex. Suy, P 2015, ‘Strikes a symptom ailing industry: study’, Khmer Times, 21 September. United Nations Environment Programme n.d., Workers and trade unions, viewed 12 April 2016, . Read More