Paragraphs 48-55 of the Declaration
(1) Do representative organizations of workers in MNEs face legal or practical problems in being recognized for the purpose of collective bargaining, or in carrying out such bargaining? If so, please explain.
(2) Do representatives of workers encounter problems in negotiations because representatives of MNEs have to refer matters to headquarters prior to agreement and implementation?
(3) Do multinational enterprises provide their workers' representatives with the necessary facilities, as well as appropriate/adequate information required for meaningful negotiation, including a true and fair view of the performance of the entity or of the enterprise as a whole?
Antigua and Barbuda, Argentina, Australia, Bahamas, Bangladesh, Barbados, Belgium, Brazil, Cambodia, Canada, Chad, Chile, Colombia, Costa Rica, Czech Republic, Dominica, Ecuador, Egypt, Estonia, Ethiopia, Finland, Gabon, Germany, Grenada, Hungary, India, Indonesia, Ireland, Italy, Japan, Jordan, Republic of Korea, Kuwait, Luxembourg, Malaysia, Mauritania, Mauritius, Mexico, Namibia, Netherlands, New Zealand, Nicaragua, Nigeria, Norway, Pakistan, Portugal, Romania, St. Vincent and the Grenadines, Singapore, Slovakia, Spain, Sri Lanka, Swaziland, Sweden, Switzerland, Syrian Arab Republic, Thailand, Trinidad and Tobago, Tunisia, Turkey, United Kingdom, United States, Uruguay, Venezuela, Zambia, Zimbabwe.
The Government of Antigua and Barbuda says that representative organizations of workers in MNEs face no problems with regard to collective bargaining. There have been very few problems because of the need for representatives of MNEs to refer matters to headquarters. MNEs provide the necessary facilities and information for there to be meaningful negotiations.
The Government of Argentina states that the information contained in its reply to the fifth survey is still applicable.
The Government of Australia reports that there is no evidence of any obstacles to the recognition of unions and the carrying out of collective bargaining. The legislation in force lays down guidelines and requirements which must be met before an agreement or award can be registered in the federal industrial relations system. In order to obtain awards or have an agreement certified, trade unions and employers' organizations must be registered according to Part IX of the Industrial Relations Act (IR Act). Under this Act industrial action may, if necessary, be taken by workers negotiating an agreement with an individual enterprise. Foreign-owned enterprises with unionized workers are more likely than local private enterprises with unions to provide workers' representatives with the necessary facilities for undertaking meaningful negotiations. It is difficult to determine whether workers' representatives are supplied with appropriate and adequate information. However, the law requires that both parties hold "genuine consultations" and the Australian Industrial Relations Commission, can, under the IR Act, issue orders to ensure that negotiations are carried out in good faith and to facilitate the conclusion of agreements. In Queensland, employers and the unions concerned determine the facilities to be provided. By virtue of the recent ratification of Convention No. 135, workers' representatives are protected against prejudicial acts and guaranteed facilities for carrying out their activities.
The Government of the Bahamas indicates that workers in MNEs do not face legal or practical problems in being recognized for the purpose of collective bargaining or in carrying out such negotiations. In April 1996, Chapter 296 of the Industrial Relations Act was amended with a view to improving procedures for union recognition and collective bargaining. Only in one or two cases have representatives of MNEs referred matters to headquarters prior to concluding or implementing agreements. The Government is of the view that most MNEs realize that an honest and straightforward way of dealing with unions will yield positive results without industrial action. Unions obtain information either from management or from their contacts in other subsidiaries.
The Government of Bangladesh reports that the representative character of the workers of the MNEs for the purpose of collective bargaining is determined by law. Where there are infringements, legal action may be taken by the workers. The Government is not aware of problems faced by workers due to the need for representatives of MNEs to refer matters under negotiation to the parent company. The Bangladesh Employers' Association agrees with the Government and adds that, to the best of its knowledge, there is a free exchange of views and information during the negotiation process.
According to the Government, Barbados has a "system of voluntary industrial relations" which is applicable to both MNEs and national enterprises. Certain kinds of disputes (e.g. the granting of union recognition for the purpose of collective bargaining) may be submitted to the Labour Department for conciliation. It may, if requested, conduct a survey to ascertain the size of trade union membership. Occasionally, MNEs' representatives must refer matters to headquarters prior to concluding or implementing an agreement. However, no problems, other than delays, have been identified. Employers do not readily provide workers' representatives with information on the financial situation of the company concerned, nor other vital information for use during negotiations. There are no legal obligations for them to provide such information. The extent to which certain financial information is provided depends on the relationship between the parties. The Barbados Employers' Confederation states that no legal or other problems are experienced by workers' representatives in being recognized for the purpose of collective bargaining. It is not aware of any problem in negotiations because of the need for MNEs' representatives to consult with management at headquarters. According to the Barbados Workers' Union, trade unions face no legal problems in being recognized for the purpose of collective bargaining or in carrying out such bargaining, but they do have problems gaining access to workers. Workers' representatives do not face problems in negotiations because representatives of MNEs have to refer matters to headquarters. MNEs do not normally provide workers' representatives with the necessary facilities and information required for meaningful negotiations.
The Government of Belgium points out that the threat of relocation is regularly used by MNEs during collective bargaining. Regarding the duty to inform and consult with workers, a major hindrance to smooth collective bargaining is caused by cultural factors, such as the choice of dispute settlement mechanism. The management of MNEs from countries where there is frequent recourse to tribunals tends to resort to such channels instead of using the available conciliation and negotiation mechanisms. The former procedures are time-consuming and harmful to negotiations. Furthermore, local management finds itself caught between a lack of understanding of the situation by management in the parent company and the exigencies of dealing with matters using procedures that are appropriate to the local context. Referring to works councils, Government is of the view that workers' organizations in different enterprises belonging to the same group, but located in different host countries, are likely to face similar difficulties. As regards consultations between management and headquarters, these are quite frequent during and even after negotiations. With respect to the provision of information and facilities for the purpose of collective bargaining, there are enterprises that respect the legislation in this regard, but problems have also arisen. The National Labour Council (NLC) notes that in Belgium, there have been problems in some cases for workers' representatives to negotiate with local management. In spite of efforts to harmonize the relevant laws at the European level, differences with respect to their implementation and inadequate cooperation among EU countries still exist. However, the NLC notes that because of the agreement concluded on 31 October 1991 between the social partners at the European level (contained in the Protocol on Social Policy annexed to the Treaty establishing the European Community (now the EU)), there is the possibility of concluding collective agreements at the European level.
The Government states that workers in MNEs in Brazil face no legal or practical problems to be recognized for the purpose of collective bargaining, nor have there been reports of difficulties because representatives of MNEs have to consult headquarters before concluding or implementing agreements. It notes that for the purpose of negotiating provisions on wages and productivity, workers often demand access to financial and accounting data which enterprises consider to be of a confidential nature. According to the Single Central Organization of Workers some MNEs in Brazil either dismiss or refuse to recognize workers' representatives in order to avoid collective bargaining. The legal procedures for resolving such problems are rather slow, thereby putting the unions at a disadvantage. It notes that there are frequent deadlocks in negotiations because representatives of MNEs have to consult headquarters, and calls for greater negotiating power for local management. There is a lack of transparency. Unions need to be better informed about the economic situation of enterprises, conditions of work and the working environment. There is no legal requirement as regards providing workers' representatives with basic information concerning enterprises.
The Government of Cambodia indicates that there are no workers' organizations yet, but there are staff representatives in enterprises. Workers' representatives do not face difficulties in negotiations as the result of management having to refer matters back to headquarters, and they are provided with the necessary facilities and information.
The Government of Canada and the Government of the Province of Quebec report that, on the whole, their replies to the last survey are still applicable.
The Government of Chad notes that organizations representing workers in MNEs have not reported any problems with regard to being recognized for the purpose of collective bargaining and with regard to representatives of MNEs having to refer matters to headquarters before concluding agreements. MNEs do not provide the necessary facilities and adequate information, and workers do not seem to see the need for this.
As regards collective bargaining, workers in MNEs enjoy the same rights as those in other enterprises in Chile, reports the Government. The Labour Code provides for bargaining to take place either in individual enterprises or involving several enterprises. Federations and confederations can submit on behalf of their affiliated trade unions, draft collective agreements to the employers concerned. This requires the mutual consent of the relevant employers' and workers' organizations. Negotiators from both sides usually have full powers to bargain. Practices that obstruct the bargaining process are prohibited by the Labour Code. There is no evidence of workers' representatives having difficulties in this regard. Under the Labour Code workers must be furnished with information on the economic situation of the enterprise. The Government is discussing a Bill to improve the collective bargaining process by enhancing the scope and recency of information on the financial situation of enterprises and labour costs.
The Government of Colombia states that workers' organizations are in no way hindered from exercising their rights. Workers' representatives do not face problems when negotiating with representatives of MNEs because they have to refer matters to headquarters. Agreements are binding on the parties who must have full powers when negotiating agreements. MNEs, like national enterprises, must supply information concerning the workforce, as well as the economic and financial situation of the company. They must give the Government financial reports. Since these become publicly available, they are accessible to workers' organizations. MNEs provide facilities which may be used for trade union activities. The National Association of Manufacturersenterprises in Colombia can have representative states that by law, workers in all organizations of their choice, recognized for the purpose of collective bargaining. Act 50 of 1990 enables workers involved in collective bargaining to bring along two representatives from workers' organizations to serve as advisers. Workers are provided with adequate information and facilities for the purpose of collective bargaining. Sometimes companies pay travel costs for those negotiating on the workers' behalf. The Confederation of Democratic Workers General (Colombia) notes that in the exceptional cases where unions are formed, workers have to go through a long legal process to get the employers to agree to engage in collective bargaining. The situation can become quite complicated if the union's members comprise only a small number of the total workforce. There have been cases in which, by the time the competent authorities had issued the necessary documents obliging the employers to respond favourably to the union's request for negotiation, the union no longer existed because its officers had already been dismissed. These difficulties occur in both national enterprises and MNEs in Colombia. Unions, where they exist, do experience problems in negotiations with MNEs which, like local enterprises, generally have an anti-union policy. Information is not provided to workers, on the grounds that it is confidential.
According to the Government of Costa Rica there are rules governing the recognition of workers' organizations for the purpose of collective bargaining and problems in this regard do not arise. Workers' representatives do not face problems in negotiations because representatives of MNEs have to refer matters to the parent company. Multinationals usually supply only the information required for collective bargaining.
The Government of the Czech Republic states that Law No. 2/1991 concerning collective bargaining applies to both national enterprises and MNEs. Collective bargaining is conducted at the enterprise, branch and industrial levels, and approximately 40 per cent of the workforce in industry is unionized. In traditional industries such as glass, and iron and steel, the unionization rate is about 80 per cent. Trade union membership, particularly in the newly established SMEs, is on the decline. An amendment to the Labour Code in 1994 provides for there to be "internal regulations" in enterprises where there are no unions, enabling employers to provide workers with collective benefits and higher standards than those set by law or contained in individual labour contracts. Certain enterprises offer benefits and working conditions that surpass those negotiated in branch-level collective agreements. Collective bargaining takes place without major problems in most enterprises where there are trade unions. According to the Czech and Moravian Chamber of Trade Unions, the situation with regard to collective bargaining varies by company and sector. Strong trade unions are better able to negotiate than weaker ones. The anti-union stance being adopted by the Government and certain segments of the media has served to undermine the credibility of trade unions. In some cases, trade unions are not being treated as equal negotiating partners and are sometimes forced to accept incomplete contracts, thereby promoting management's objectives. In others, various forms of employee representation are being encouraged -- e.g., separate factory unions or employee councils, and (in one MNE) a combination of different forms of representation. These practices have led to new non-standardized methods of negotiation. There have been cases of local management downgrading the terms of employment originally established by the parent company. The provision of facilities and information to trade unions has not been uniform. Generally, this has been dependent on the willingness and capacity of the trade union to identify and demand the necessary information and to evaluate and use it for the purpose of negotiation. The complexity of the collective bargaining process, the content of collective agreements and the role of trade union leaders generally depend on the quality of labour-management relations within the enterprise.
The Dominica Employers' Federation states that trade unions face some practical problems which they describe as anti-union tactics to frustrate collective bargaining efforts. Those MNEs which have to refer matters to headquarters prior to agreement and implementation are in the minority. As regards the provision of facilities and information, practices vary among companies.
According to the Government of Ecuador, the Labour Code states that all employers with 30 or more workers who are organized must conclude a collective agreement when called upon to do so and such agreements must be in writing. It further stipulates that if there are, within the same enterprise, several workers' organizations in the same branch of industrial activity, the collective agreement must be negotiated with the one which has the largest membership. The Code states that if the nature of the activities within the enterprise is such that there are workers in different branches of industry, the collective agreement must be concluded with a delegation representing the different associations, as agreed by them. If there is no agreement in this regard, the associations from each branch will negotiate agreements setting out conditions that concern their specific activities within the enterprise. Section 455 indicates that all enterprises with at least 30 workers can have a works council for the purpose of negotiating collective agreements and dealing with collective labour disputes. Enterprises have generally been favourable to concluding collective agreements. Both employers and workers must have representatives who are capable of taking decisions on the matters under negotiation. As regards paragraph 52 of the Tripartite Declaration, actions that thwart collective bargaining are not possible in Ecuador, given the tripartite nature of the negotiations in which the Government is involved and because the closure of all or part of the enterprise would require the payment of considerable compensation to the workers. Moreover, the transfer of workers from other countries as a means of obstructing negotiations is not possible under the present immigration laws. Procedures for settling disputes, including those relating to the application of collective agreements, are generally set out in collective agreements. For example, the Government points out that the collective agreement signed by a major food and drink MNE (named) sets out internal dispute settlement procedures. Most collective agreements provide for workers' representatives to have access to management for the purpose of obtaining information on the situation of the enterprise. Moreover, all foreign enterprises operating in the country are subject to the Companies Act which requires that they provide the competent authorities with information on the economic situation of the enterprise. Heavy fines are imposed on those who refuse to provide such information.
The Government of Egypt indicates that collective bargaining, labour-management consultation and cooperation, the examination of grievances and dispute settlement are governed by the Labour Code, which also applies to MNEs. There have been no problems in this regard. According to information supplied by the Federation of Egyptian Industries, representative workers' organizations in pharmaceutical companies and in the metal trades (named) do not face problems in being recognized for the purpose of collective bargaining nor in the process of such negotiations. They have not faced problems as the result of management having to refer matters to headquarters before reaching an agreement. There are examples of pharmaceutical enterprises that provide workers with appropriate information for conducting meaningful negotiations and obtaining a fair view of the enterprise.
In the opinion of the Association of Estonian Trade Unions, representatives of MNEs oppose collective bargaining, and on several occasions they have raised objections about the representativeness of trade unions.
According to the Ethiopian Government, Labour Proclamation No. 42/1993 recognizes the right to bargain and conclude collective agreements with individual employers or their representative organizations.
The Government of Finland reports that organizations representing workers in MNEs face no legal or other problems as regards collective bargaining, nor do they encounter undue delays in the course of negotiations. MNEs provide workers' representatives with the necessary facilities and appropriate information (including that which gives a true and fair view of the performance of the entity), required for meaningful negotiations. The Confederation of Finnish Industry and Employers and the Employers' Confederation of Service Industries point out that there is nothing new to report. The Central Organisation of Finnish Trade Unions (SAK), the Finnish Confederation of Salaried Employees (STTK) and the Confederation of Unions for Academic Professionals in Finland (AKAVA) mention some instances where in the heat of negotiations some enterprises have threatened to transfer production abroad. One case (unnamed) has been reported where foreign owners of an enterprise, in response to threats of a general strike, said that they would consider transferring production abroad. However, such threats have not been carried out, and their real significance is therefore difficult to assess. The major issue relating to MNEs is the adoption of the Council Directive on the establishment of a European Works Council. Negotiations for establishing such councils in many MNEs were started in 1995, as was preparation for incorporating the Directive into national law. Earlier attempts at establishing international works' councils had been successful only in very few cases. Without the Directive, the response to workers' concerns about information and consultation would have been insufficient.
Organizations representing workers in MNEs do not face problems with regard to being recognized for the purpose of collective bargaining, states the Government of Gabon. However, they sometimes encounter problems when bargaining for higher wages as representatives of MNEs refer back to headquarters before reaching a settlement. Workers' representatives are provided with both the necessary facilities and adequate information for the purpose of meaningful negotiations. The Gabonese Confederation of Free Trade Unions (CGSL) points to the frequent problems faced by affiliates when they are not recognized by either the Government or the employers. However, the situation is changing and will certainly be better when collective agreements contain provisions regarding the criteria for determining the representativeness of a trade union, the number of union delegates in an enterprise and their role and competency. Great difficulties have always arisen in negotiations with the local management of MNEs as the latter always refer matters to management in the home country prior to reaching an agreement. Since this leads to strikes, the CGSL urges that management in the host country be given full powers to negotiate. Furthermore, workers' representatives are not supplied with the necessary facilities and appropriate information for the purpose of collective bargaining.
The Government of Germany states that its reply to the fourth survey is still applicable.
The Government reports that in Grenada, representative workers' organizations face neither legal nor practical problems in relation to bargaining. However they encounter difficulties in negotiations because MNEs' representatives have to refer matters to headquarters prior to reaching a final agreement. Workers' representatives are not provided with the necessary facilities and information required for meaningful negotiations.
The Government of Hungary states that it is not in a position to provide information on whether or not workers or their representatives in MNEs experience problems in the collective bargaining process. According to the National Confederation of Hungarian Trade Unions, the National Federation of Workers' Councils and the National Federation of Autonomous Trade Unions, labour relations in MNEs can be divided into two categories. In the first, MNEs involved in greenfield investment usually either resist, or use subtle means to delay, workers' efforts to organize and set up works councils. The unions referred to two cases; one employer increased wages by 20 per cent to discourage unionization, and the other granted exclusive recognition to the Works Council in a bid to keep union officials off the premises. In the second category, there are newly privatized companies, where efforts are made to support the activities of existing trade unions. Employers strive to keep good relations with the unions, by maintaining existing arrangements for them to function and showing some interest in their activities. However, where workers are employed under individual contracts as opposed to contracts that embody the provisions of collective agreements, the possibilities for trade union activities are somewhat limited. There is no industry-wide collective bargaining and some MNEs are reluctant to engage in enterprise-level bargaining which is typical in Hungary. Collective bargaining often lasts for two to three years, because of the involvement of the parent company. Some foreign enterprises are reluctant to make full disclosure about the performance of their enterprises. In cases where they provide limited information, union officials who are privy to such information may be obliged to keep it in strict confidence. The decision-making process is rather complicated due to the extremely complex coordination systems between the local subsidiary and the parent company.
The Government of India reports that MNEs allow duly authorized representatives of their workers to conduct negotiations and representatives of MNEs are authorized to take decisions on all matters under negotiation. According to some workers' organizations, certain MNEs try to "paralyse" trade union activities by threatening to close down the factory. In such circumstances negotiating is rendered more difficult since operations may be run from the MNE's headquarters. According to some workers' organizations, they are not provided with the information required for meaningful negotiations, as there is no system of across-the-board exchange of information.
The Government of Indonesia reports that representative organizations of workers face no problems in being recognized for the purpose of collective bargaining, neither do they encounter obstacles in the course of negotiations because representatives of MNEs do not have sufficient authority to conduct and conclude negotiations. Most MNEs provide the workers' representatives with necessary facilities and information to enable meaningful negotiations to take place.
According to the Government of Ireland, the law does not require that employers recognize workers' organizations for the purpose of collective bargaining. However, it is the practice for this to be done in enterprises where there are unions. The courts have ruled that a union seeking recognition may take industrial action, including strike action. Disputes concerning recognition may be referred to the Labour Relations Commission and the Labour Court. During the period under review, eight disputes involving MNEs were referred to the Court. It is not known whether workers' representatives have had any problems because local management has had to refer matters to the parent company before being able to conclude or implement an agreement. The law does not require private enterprises to supply workers with information for the purpose of collective bargaining. The provision of information and facilities is a matter for negotiation. However, the Code of Practice concerning the Duties and Responsibilities of Employee Representatives and the Protection and Facilities to be afforded them by their Employer (copy attached to the report), which applies to all enterprises, states that labour and management should agree on the particular information and facilities that should be made available. Although not legally binding, this Code may be taken into account in proceedings before the Labour Relations Commission, the Labour Court, the Employment Appeals tribunal or a court of law.
The Government of Italy states that there have been no reports of workers' organizations facing difficulties in being recognized for the purpose of collective bargaining. MNEs supply workers' organizations with facilities and information requested for the purpose of conducting meaningful negotiations. The Council Directive on the establishment of a European Works Council provides for labour to meet with management once a year for information and consultation purposes. The subjects for discussion include the following: the economic and financial situation of the enterprise; major changes in organization; production transfers; the introduction of new work methods and production processes; and collective dismissals. Major MNEs (one enterprise cited as example) have already concluded information and consultation agreements. The General Confederation of Industry replies that in Italy, representative workers' organizations do not face problems to be recognized for the purpose of collective bargaining, nor do they have difficulties because management has to refer matters under discussion to the parent company. MNEs supply the necessary information and facilities for there to be meaningful negotiations.
The Government of Japan states that trade unions in all enterprises can engage in collective bargaining and conclude collective agreements. By law, employers cannot refuse to bargain with trade unions without justification, nor can they exercise pressure to influence the bargaining process. Referring to the cases cited in its reply to paragraphs 40-47 (see reply in relevant section), the Japanese Trade Union Confederation contends that MNEs can delay the process of union recognition for several years by resorting to time-consuming administrative and legal procedures, and by dismissing union leaders. In its opinion, this situation is likely to continue since there are government officials at different levels who adopt an anti-union stance in order to "protect" MNEs, which are seen as important for economic development and employment.
According to the Government of Jordan, workers in MNEs do not face any practical or legal problems in being recognized for the purpose of collective bargaining. Up to now, there have been no problems as a result of MNEs having to consult with headquarters before reaching or implementing an agreement. MNEs and other enterprises are required to provide their workers' representatives with the facilities and information required for negotiations. The Amman Chamber of Industry (Jordan) replies in the affirmative to all three questions.
The Government of the Republic of Korea states that by law workers in MNEs are allowed to form trade unions for the purpose of collective bargaining. Employers are forbidden by law to refuse to enter into collective negotiations without just cause. Unless the representative negotiating on behalf of the MNE is authorized to make decisions, the process may be delayed while matters are referred to headquarters. However, when collective bargaining is concluded, MNEs are obliged to implement the agreement. It is the general practice, in conformity with the relevant collective agreement, for workers' representatives to be given the necessary facilities and adequate information. Workers' organizations have the right to request relevant information from management for the purpose of collective bargaining. In accordance with the Labour-Management Law, management must, at labour-management council meetings, report regularly on the performance, production levels and financial situation of the enterprise. The Korea Employers' Federation notes that representative organizations of workers in MNEs do not face significant legal or practical problems. They do not encounter problems during negotiations because representatives of MNEs have to await authorization from headquarters before concluding an agreement. MNEs provide their workers' representatives with the facilities and appropriate information required for meaningful negotiation.
The Government of Kuwait reports that workers' organizations in MNEs do not face problems in being recognized for the purpose of collective bargaining, and that the legislation provides for the settlement of disputes in this regard, should they arise. Workers' representatives do not encounter problems due to management having to refer matters to headquarters prior to reaching agreement. They are given the necessary facilities and appropriate information for engaging in meaningful negotiations.
According to the Federation of Luxembourg Manufacturers, there are no differences between national and multinational enterprises with respect to collective bargaining. None of the difficulties mentioned in questions (1) to (3) have arisen. The Confederation of Independent Trade Unions (Luxembourg) reports that MNEs comply with the legislation on collective bargaining.
According to the Government of Malaysia, the same legal requirements for obtaining recognition for the purpose of collective bargaining apply to representative organizations of workers in MNEs and local enterprises. Representatives of workers' organizations encounter no problems in negotiations. A good number of collective agreements have been concluded amicably through direct negotiations, and implemented without any problems. Information on the financial performance of any company is available from the Registrar of Companies. According to the Malaysian Trades Union Congress, representative organizations of workers in MNEs can face problems in being recognized. It gives the example of a company (named) which was able to avoid recognizing the in-house union formed by its employees by changing its name (named). The case is pending in the courts. Representatives of workers face problems in negotiations because MNEs' representatives have to refer matters to headquarters for a decision. Workers' representatives are not provided with the facilities or information required for meaningful negotiation.
According to the General Confederation of Employers of Mauritania (CGEM), national law and practice do not hinder workers in MNEs from being recognized for the purpose of collective bargaining. No problem has arisen because representatives of MNEs had to refer matters back to headquarters prior to agreement. CGEM does not have the necessary information to state whether MNEs provide their workers' representatives with the necessary facilities and appropriate information. The Free Confederation of Workers of Mauritania (CLTM) draws attention to a major problem faced by workers' organizations and representatives, namely that MNEs refuse to bargain with trade unions. Workers' representatives encounter serious problems when management in the host country has to refer matters to headquarters before concluding an agreement. The CLTM notes with regret that MNEs do not provide adequate information to workers' representatives or Government for the purpose of conducting meaningful negotiations. In that respect, MNEs often impose their views without taking into account national law or international conventions and norms pertaining to collective bargaining.
The Government of Mauritius states that workers' organizations face no legal or practical problems in the process of collective bargaining. Representatives of MNEs sometimes wish to have prior approval from headquarters on important issues being dealt with in negotiations. MNEs do provide their workers with adequate information and the necessary facilities for the purpose of collective bargaining.
The Government notes that in Mexico the law provides for the voluntary negotiation of collective agreements. Such agreements cannot contain provisions that are less favourable than those laid down by the Constitution, the Federal Labour Act and national practice. This requirement applies to all enterprises regardless of their ownership. In keeping with section 392 of the Federal Labour Act, collective agreements can provide for the setting up of joint committees for dealing with labour relations matters. Their decisions can be promoted through the Conciliation and Arbitration Boards as long as they are not less favourable than the social rights prescribed by the labour legislation. Workers' representatives do not encounter problems to negotiate new collective agreements and both parties tend to have full bargaining and decision-making powers. Mexico has ratified Convention No. 135 and all enterprises must respect the provisions of this instrument. In accordance with the Federal Labour Act, MNEs must supply workers' representatives with adequate information when there are collective disputes concerning economic matters. The Act sets out the procedures for responding to demands for information. Enterprises generally provide the facilities necessary for collective bargaining. Even though Mexico has not ratified Convention No. 98 the national legislation is consonant with the provisions of this instrument and with those of Recommendation No. 129. The Mexican Confederation of Chambers of Industry states that to its knowledge, collective bargaining in MNEs takes place under the same conditions as in other manufacturing and service enterprises. The Confederation of Mexican Workers agrees with the Government.
The Government of Namibia confirms that representatives of workers in MNEs face no problems in being recognized for the purpose of collective bargaining. There are no problems which arise due to representatives of MNEs lacking full authority to conclude negotiations. MNEs provide their workers with the information and facilities necessary for meaningful negotiations.
The report submitted for the last survey is still applicable, states the Government of the Netherlands. The Federation of Netherlands Industry and Employers agrees with the Government.
As regards collective bargaining, the Government of New Zealand notes that workers in all enterprises, regardless of their ownership, are treated in the same way. It states that further information in this regard can be obtained from New Zealand's May 1995 response to complaints submitted to the ILO's Committee on Freedom of Association by the New Zealand Council of Trade Unions and its response to the "Interim conclusions" of this Committee. Where employees have appointed a bargaining agent, negotiations (if they take place), must be with that agent. While the type of facilities and information to be provided to workers' representatives for the purpose of collective bargaining is subject to negotiation, there are no restrictions in this regard, and it is not uncommon for information on the operations of an enterprise to be disclosed during negotiations. The New Zealand Employers' Federation supports the Government's statement.
According to the Government, organizations representing workers in MNEs in Nicaragua have no problems in being recognized for the purpose of collective bargaining, nor do they face difficulties during the bargaining process. Some MNEs supply workers with the necessary facilities for collective bargaining, while others help to defray the costs related to the use of offices by the trade union for the purpose of collective bargaining.
The Government of Nigeria states that national law and practice encourage collective bargaining. Workers in MNEs are free to join the "appropriate" trade union. Unions are always recognized for the purpose of collective bargaining. MNEs, as well as national enterprises, have been assisting workers' representatives in developing effective collective agreements, with the objective of fostering a favourable industrial relations climate. MNEs confer some authority to their local executives so that they can negotiate effectively and implement the decisions agreed upon. There have been no reported threats by MNEs to transfer operations to other locations in order to influence unfairly negotiations in progress. Disputes arising over the interpretation and application of collective agreements can be settled under the mechanisms provided for in such agreements. However, if these cannot be resolved internally, then the procedures set out in the Trades Disputes Act CAP 432 of 1990 may be applied. MNEs and the Government provide the necessary information to workers' representatives so that they can negotiate effectively. The disclosure of information to trade unions for the purpose of collective bargaining is governed by law, practices and the circumstances of each case. It is recognized that employers would not be inclined to disclose confidential information. The Nigeria Labour Congress replies in the negative to the first two questions. It notes that MNEs sometimes provide workers' representatives with the necessary facilities but rarely supply them with appropriate and adequate information required for meaningful negotiation, particularly with respect to the performance of the enterprise.
The Government reports that the right to engage in collective bargaining is fully recognized in Norway. No distinction is made between national and multinational enterprises and there are no legal provisions requiring representative organizations to be either registered or authorized for the purpose of collective bargaining. The Confederation of Norwegian Business and Industry is in agreement with the views expressed by the Government.
According to the Government of Pakistan, representative organizations of workers in MNEs face no difficulties in being recognized for the purpose of collective bargaining. Recognition is guaranteed under the Industrial Relations Ordinance (1969) which applies to all enterprises, including MNEs. During periods of industrial dispute, it would be considered "unfair practice" for management to transfer the leaders of workers' organizations or change the terms of their employment. Disputes over the interpretation of an agreement can be referred either to the Appellate Tribunal or the National Industrial Relations Commission for a final decision. MNEs, like national companies, must give their workers' representatives facilities and information for the development of collective agreements. The Employers' Federation of Pakistan confirms that representative organizations of workers in MNEs face no problems in being recognized for the purpose of collective bargaining and trade unions in MNEs are also free to form federations and confederations. There are about 7,000 registered trade unions in Pakistan, and 20 per cent of the trade unions' executive body can consist of outsiders -- i.e. members of federations. Management in most MNEs are authorized to take decisions and finalize collective agreements. In most of them, decision-making has been decentralized and their executives/managers have greater authority than even those in national enterprises. All information and necessary facilities, as stipulated by law, are provided to workers' representatives in MNEs. MNEs have to make available their official audited accounts to workers or their representatives in order that they may ascertain the financial situation of the enterprise. Under certain circumstances they are able to request an independent audit. Almost all aspects of trade union activity are regulated by law.
According to the Independent Self-Governing Trade Union "Solidarno" (Poland) the policies and practices of MNEs as regards the recognition of trade unions for the purpose of collective bargaining, decision-making on matters under negotiation and the provision of required facilities and information depend on the size of their operations. They are generally favourable in large enterprises, which tend to attach great significance to their reputation. In contrast, enterprises with relatively small activities have been reluctant to conclude agreements.
The Government of Portugal states that its reply to the fifth survey is still valid. According to the General Union of Workers, the national legislation of Portugal contains provisions covering collective bargaining, competence to sign resultant agreements, the type of information to be provided by enterprises and the duty to implement agreements. These legal requirements are respected.
The Government of Romania reports that to its knowledge there are no representative workers' organizations in MNEs.
There is no law concerning recognition of workers' organizations for the purpose of collective bargaining, states the St. Vincent Employers' Federation. However, where recognition is granted, it is usually honoured. Workers' representatives do not have problems in negotiations because management has to refer matters to the parent company. When senior management considers the information requested to be confidential, it is not fully disclosed.
The Government notes that organizations representing workers in MNEs in Singapore face no legal problems when it comes to being recognized for the purpose of collective bargaining. Certain measures have been put into place to facilitate collective bargaining on the terms and conditions of employment. These measures, which are applicable to both MNEs and national enterprises, include: the setting up of unions; joint consultations between unions and management; and tripartite discussions, such as those held under the aegis of the National Wages Council, in which representatives of management, unions and government are represented. By law, disputes over recognition are resolved by a secret ballot. Occasionally there are problems with employers attempting to intimidate workers suspected of being union organizers. When this occurs, the matter is referred to the Ministry of Labour for investigation, and where there is proof of victimization the matter is submitted to the Industrial Arbitration Court. Problems in organizing workers may be faced by unions in situations where there is shift work and where access to the premises of the enterprise is denied. However, these problems are not peculiar to MNEs. There have been difficulties during collective bargaining because some MNEs have had to refer matters to headquarters before being able to conclude or implement an agreement. Those were occasions on which they were unable to make decisions that went beyond their original mandate. However, problems of this kind are likely to decrease because of advances in telecommunication. Most MNEs provide the necessary facilities upon request and in the case of company unions office space is provided on the premises of the enterprise. Most MNEs supply workers' representatives with information on the company's financial situation, while a small number include unions in regular briefing sessions at which the performance of the company and its future plans are discussed. The National Trades Union Congress shares the views expressed by the Government of Singapore.
The Government of Slovakia points out that article 36 of the national Constitution, guarantees the right of all workers, including in MNEs, to protect their working conditions through collective bargaining. In this regard, trade unions representing workers in MNEs fully utilize the legal provisions concerning collective bargaining. The right of workers to strike for better wages and working conditions is regulated by law. The Labour Code provides for workers' representatives to be provided with information on major issues concerning MNEs, including their strategic plans, performance and future activities.
According to the Government of Spain, the amended Workers' Statute and its related Act contain provisions that are intended to strengthen collective bargaining as a whole. They lay down the requirements for recognizing the legitimacy of the parties who are to negotiate collective agreements and "extra-statutory" agreements to resolve specific questions within the enterprise or workplace. Organizations representing workers and employers in both national and multinational enterprises are fully protected by law, for the purpose of collective bargaining. The Government gives details of the legislation pertaining to collective bargaining, the number of collective agreements concluded in the years covered by the Survey, the number of workers and enterprises involved and the salary increases that were agreed in those negotiations. No distinction is made between agreements covering workers in national as opposed to multinational enterprises. The General Union of Workers reports that in Spain there are generally no problems with regard to unions being recognized for the purposes of collective bargaining. Enterprises must respect the official rules governing the establishment and functioning of trade unions. Problems, when they do arise, generally relate to the interpretation of legal requirements and they are usually resolved through legal channels. Representatives of MNEs generally have enough authorization to conclude collective agreements without having to refer matters to headquarters. However, if the negotiations concern matters such as the plans and viability of the enterprise, they may find it necessary to consult headquarters. MNEs furnish workers' representatives with the information required by law. While the degree of information provided may vary from one enterprise to another, the minimum requirements are generally fulfilled. There is a regular and relatively larger flow of information from large enterprises as opposed to SMEs.
According to the Government of Sri Lanka, the recognition of trade unions will become obligatory when legislation to implement the National Workers' Charter is enacted. It will remove the practical problem of recognition that many workers' organizations face. The availability of sophisticated telecommunication facilities, linking local subsidiaries of MNEs to headquarters, is likely to facilitate decision-making during negotiations. It is doubtful whether any employer would provide information that gives a "true and fair view of the performance of the enterprise". However, this has not been a problem for trade unions as they have fairly good information on the industry concerned and the specific enterprises.
The Government states that the representative organizations of workers in MNEs in Swaziland do not face any legal or practical problems in being recognized for the purpose of collective bargaining as long as they fulfil the requirements of the National Industrial Relations Act. The only problem that representatives of workers' organizations usually encounter in negotiating with MNEs, is that the multinational enterprises' negotiating teams in most cases, do not have the power to make final decisions. They often have to consult with their headquarters outside the country and it therefore takes a long time to reach an agreement. MNEs provide workers' representatives with facilities and information to some degree. However, there has been an outcry from some workers' representatives that some MNEs are not transparent enough, and that this affects the capacity of the workers' representatives to negotiate meaningfully. Workers' representatives often allege that enterprises do not provide them with information that gives a true picture of the performance of the enterprise as a whole. This creates mistrust between the workers' representatives and management, leading to an absence of truly meaningful negotiations.
According to the Swedish Confederation of Trade Unions (LO) and the Confederation of Professional Employees (TCO), two incidents involving MNEs are worth mentioning because of their relevance to the Tripartite Declaration and the OECD Guidelines. In 1992, the subsidiary of a Swedish company (unnamed) in a non-EU member country of the OECD (named), engaged in "union-bashing" before the workers were to vote on whether or not collective agreements should be negotiated. The Swedish contact point (for the OECD Guidelines) intervened after the matter was raised by the trade unions. In 1995, the subsidiary of a foreign MNE in the toy industry (named) in Sweden refused to sign a collective agreement. The matter was resolved only after protracted strike action. The LO and TCO believe that open conflict may well have been avoided if there were a better knowledge of the relevant international instruments. The Swedish Transport Workers' Union, in a reply submitted through the LO, states that to date, it has concluded only one collective agreement involving a multinational (in 1989). The company involved has since been integrated into another enterprise. Problems emerged soon after the agreement was concluded. The union found that its expectations were not being fulfilled as there was uncertainty over the procedures for the functioning of the "Group Council" and the roles of the parties concerned. The matter was taken up by the union and towards the end of 1995, the "Group Council" began to function as a forum for the exchange of information and discussion of experiences. The agreement now provides for better labour-management consultations on vital issues. However, full use is not being made of this possibility, partly because of "inertia and ignorance" on the part of workers' organizations when it comes to union matters pertaining to MNEs. It is likely that the agreement may have to be renegotiated because there may be some inconsistencies between it and the requirements of the Council Directive on the establishment of a European Works Council. The Commercial Employees' Union, in a reply sent through the LO, gives a detailed account of an industrial dispute that began in October 1994, involving the subsidiary of a foreign MNE in the toy industry (named; extensive background information about the MNE also provided). The Union had requested that the negotiations cover workers in the enterprise throughout Sweden, as opposed to those in only one unit. The negotiations began in February 1995 and difficulties arose because of the following: local management's demand that the negotiations be conducted in English; lengthy discussions because the text of the collective agreement had to be translated and explained to management in English; local management's request for time to discuss the issues with the London-based management; management's interviewing of individual employees asking them whether they were unionized, and about their future career interests in the enterprise; management's insistence that it would conclude only individual contracts of employment, since employees preferred these; management's rejection of the union's proposal that they join the relevant employers' organization (HAO (not spelt out in reply)) so that the signing of a collective agreement would not be necessary since this organization had entered such an agreement on behalf of its members; and management's refusal to sign the agreement following renewed negotiations in April 1995. Conciliation efforts in May 1995 failed. According to the Union, the offer of extra hourly pay to dissuade workers from taking industrial action failed, and the strike was declared. The Union got different forms of support from workers' organizations, consumer groups, and the press, both at home and abroad. Attempts to settle the dispute in July 1995 by compulsory conciliation under the Co-Determination Act failed. However, following subsequent efforts, an agreement "almost identical" to the original one proposed, was reached on 11 August 1995. It is the company's first collective agreement which applies to all the employees in retailing, and with minor exceptions, to those in the private trading companies.
The Central Union of Swiss Employers' Associations (UCAPS) does not know whether representative workers' organizations in MNEs have difficulties in being recognized for the purpose of collective bargaining or face problems due to representatives of MNEs having to refer matters to headquarters before reaching an agreement. Collective bargaining is common and all enterprises which are members of an employers' organization are bound by collective agreements concluded by such organizations. Regarding efforts to improve industrial policies in accordance with the Declaration, UCAPS refers to its replies to paragraphs 36-39 and 40-47 (see relevant sections). According to the Federation of Commerce, Transport and Food Industries' Workers' Union, no particular problem has arisen with regard to recognition for the purpose of collective bargaining. In certain sectors such as trade, MNEs have shown no interest in concluding collective agreements. On the whole however, MNEs in Switzerland appoint competent bargaining partners.
The Government of the Syrian Arab Republic states that representative workers' organizations do not encounter problems in being recognized for the purpose of collective bargaining. There have been no cases of these organizations facing problems due to the management of MNEs having to refer matters to headquarters. There have been no cases of them being provided with necessary facilities and information required for meaningful negotiations. The Chamber of Industry makes the same observations as the Government of the Syrian Arab Republic.
The Government of Thailand reports that some workers' organizations in MNEs have faced problems in being recognized for the purpose of collective bargaining and in concluding agreements. Difficulties may arise during negotiations because local management of some MNEs are not fully authorized to conclude collective agreements, and in most cases these have to be referred to headquaters for final approval. In general, while most MNEs provide their workers' representatives with the necessary facilities for the development of effective collective agreements, the specific information provided is often inadequate. In the Governments' view, this is due mainly to conflict of interests.
The Government of Trinidad and Tobago replies in the negative to the first two questions and in the affirmative to the third. The Employers' Consultative Association of Trinidad and Tobago replies in the negative to questions 1 and 2, and in the affirmative to question 3.
According to the Government of Tunisia, article 5 of the Framework Collective Agreement requires that all employers recognize workers' organizations that have been constituted in accordance with the law. The Government has always encouraged collective bargaining, and to date, there are 46 Sectoral Collective Agreements, apart from the establishment-specific agreements that already exist. The period under review was marked by extensive collective bargaining, with generally positive results. Those negotiations focused on the following: substantial salary increases over a three-year period, with possibilities for appreciable improvements in workers' purchasing power; OSH, continuing training; the setting of production standards and productivity levels; and probationary periods. Nothing prevents authorized representatives of workers in MNEs from engaging in collective bargaining with representatives of management, through enterprise Consultative Committees, set up in keeping with the new section 157 of the Labour Code (Act No. 94-29 of 21 February 1994). Sectoral Collective Agreements are negotiated in the presence of a representative of the Ministry of Social Affairs. This is not the case with enterprise-level agreements. The Tunisian Confederation of Industry, Trade and Handicrafts states that apart from enterprise agreements, there are sectoral collective agreements negotiated by the parties in the presence of a representative of the Ministry of Social Affairs.
The Government of Turkey points out that the national labour legislation applies to MNEs and national enterprises. It provides for negotiations to be held between recognized trade unions and employers' associations. MNEs must provide information requested by unions and vice versa. Collective agreements contain dispute settlement procedures. In the event of a dispute the Labour Court can be asked to give an interpretation of the particular article of the agreement in question. The Confederation of Turkish Trade Unions is of the view that MNEs are becoming more "anti-union every year", as more and more trade unions face problems to obtain recognition. No serious difficulties arise during negotiations because matters have to be referred to headquarters by representatives of MNEs. Workers' representatives do not obtain reliable information on the performance of enterprises.
There is no statutory requirement for an employer to recognize any trade union in the United Kingdom. Union recognition for the purpose of collective bargaining is a matter for the employer to decide. Under UK law it is possible for the terms of collective agreements to be incorporated into binding labour contracts. The independent Advisory, Conciliation and Arbitration Service promotes improvements in industrial relations by encouraging collective bargaining as well as the development and reform of collective bargaining machinery, where necessary. Its services are made freely available to employers and unions upon request, in cases of ongoing or potential disputes concerning bargaining arrangements. Under the Trade Union and Labour Relations (Consolidation) Act 1992, employers in all enterprises, including MNEs, must disclose to representatives of recognized unions, information which they have relating to the enterprise, and without which the workers' representatives would be "impeded to a material extent in collective bargaining". Disclosure must be in accordance with good industrial relations practices and take into account the issue of confidentiality. Disputes arising over disclosure must be submitted to the Central Arbitration Committee, which can set a period within which disclosure must be made. Failure to comply opens up the possibility for there to be an award, improving terms and conditions in this regard. The Confederation of British Industry (CBI) states that there are no legal restrictions on freedom of association and the formation of representative workers' organizations. The parties concerned determine the extent to which these organizations and workers' representatives will be recognized for the purpose of collective bargaining. The emerging trend is towards "more streamlined arrangements involving single union agreements or single-table bargaining". The foregoing applies to both national and multinational enterprises. The CBI outlines the aims and functions of the Advisory, Conciliation and Arbitration Service (ACAS) (described in detail in the Government's reply). All enterprises that recognize trade unions provide the necessary facilities for meaningful negotiation, in line with guidelines of the "ACAS Code of Practice on Time Off for Trade Union Duties and Activities". They are also legally bound to disclose information required for collective bargaining.
According to the Government of the United States, the National Labor Relations Act (NLRA) guarantees all workers, with certain exceptions (e.g. supervisors, agricultural workers, domestic labour and contract labour), the right to engage in collective bargaining through representatives of their own choosing. One of the primary purposes of the Act is to encourage the peaceful and orderly settlement of labour disputes through collective bargaining. The Act, as interpreted by the National Labor Relations Board (NLRB) and the courts, does not require employers to provide workers' representatives with facilities necessary for developing effective collective agreements. However, such facilities may be provided by an employer as a result of collective bargaining and many collective agreements contain provisions in this regard. The law pertaining to this matter applies to all enterprises, including MNEs. The NLRA prohibits employers' and workers' organizations from refusing to engage in meaningful collective bargaining. The Act is not specific as regards the decision-making authority of management representatives, but the requirement of having meaningful negotiations must be met. It prohibits all employers from using threats to influence unfairly collective bargaining or to hinder the exercise of the right to organize. There is no evidence that MNEs are more likely than domestic enterprises to relocate (either within the country or abroad) for the purpose of influencing the right to organize and collective bargaining. By law, collective agreements are not required to contain provisions for the settlement of disputes arising over their interpretation and application. However, about 99 per cent of these agreements include such provisions. Complaints over work and working conditions not resolved under the grievance procedure are submitted to a mutually agreed arbitrator for a final and binding decision. Arbitration procedures are included in 97 per cent of all major agreements. There are basically no distinctions in this regard between agreements involving MNEs and those involving domestic enterprises. The NLRA, as interpreted by the NLRB, requires that all employers provide workers' representatives with all information that is relevant and necessary for bargaining on matters such as wages, hours of work and other terms and conditions of employment. The Government publishes extensive information on various industries. To the extent permitted by law, the US Government, upon request, supplies to the representatives of workers' organizations, information on industries in which the particular enterprise operates. The American Federation of Labor and Congress of Industrial Organizations (AFL-CIO) reiterates its observations with respect to the anti-union practices of MNEs, the restrictive effects of "right-to-work" legislation on collective bargaining and the exclusion of certain workers (many of which are in the agricultural sector) from collective bargaining. It gives the example of a foreign multinational (named) at which 4,200 workers went on strike in July 1994 to protest against the company's refusal to bargain with respect to its demands for 12-hour shifts, a reduction of health care protection and accident benefits, as well as lower wages for newly hired workers. The company refused to allow striking workers to return to work and replaced them with 3,300 permanent workers. The NLRB has brought complaints against the enterprise for wrongful discharge, wrongful termination of benefits and the illegal use of replacement workers. The 40 charges brought against the company are yet to be settled. Another example is that of a foreign-owned company (named) which had received massive financial incentives to invest in a particular location (unnamed). In June 1993 it locked out 762 workers as a result of a dispute over the following: violations of OSH standards which resulted in the death of a worker; the firing of union activists; and demands that workers sign individual contracts of employment. The lock-out lasted 30 months and in December 1995 workers voted to accept a new agreement which enabled 349 of them to return to work on the company's terms. MNEs have occasionally indicated that decisions on labour-related matters such as collective bargaining are made at headquarters, while many head offices state that their subsidiaries do not need to consult headquarters on industrial relations matters. These contradictory positions, which are "sometimes deliberate", make collective bargaining more difficult. MNEs often do not provide workers with adequate facilities and information necessary for collective bargaining.
The Government of Uruguay notes that there have been no complaints by workers in MNEs regarding recognition for the purposes of collective bargaining. No problems have arisen because of the need for management in MNEs to consult the parent company before concluding collective agreements. Where such consultations exist they have not hindered the bargaining process. MNEs are not obliged to provide more information and/or facilities than those necessary for carrying out negotiations in good faith, in keeping with the provisions of ratified ILO Conventions.
The Government states that representative organizations of workers in MNEs in Venezuela face no legal or other problems in being recognized for the purposes of collective bargaining. Workers' representatives have no difficulties in such negotiations and MNEs supply them with all necessary information and facilities. The Venezuelan Federation of Chambers of Commerce and Manufacturers' Associations states that so far, organizations representing workers in MNEs have faced no problems to be recognized for the purpose of collective bargaining. Workers' representatives generally have no difficulty in negotiating collective agreements, and representatives of MNEs do not generally have to consult management at headquarters before concluding or implementing an agreement. All the information necessary for these negotiations is available to workers' representatives and trade unions.
According to the Government of Zambia, representative organizations of workers in MNEs do not face any legal or practical problems in being recognized for the purpose of collective bargaining, and the provisions of the 1993 Industrial and Labour Relations Act are very clear on this matter. MNEs are fully aware of this legislation, and so far, recognition agreements for the representation of workers have been signed without difficulties. Where recognition of workers' representatives has been granted, the necessary facilities as well as appropriate information required for engaging in meaningful negotiations, have been provided without much resistance. However, there have been some instances of some MNEs being reluctant to disclose information that is considered to be confidential. In one such situation, an enterprise had to obtain clearance from the parent company before the information could be provided. This procedure is normally accepted.
The Government of Zimbabwe states that the collective bargaining process in MNEs is not different from that which takes place in local enterprises. Some MNEs, however, tend to refer matters to headquarters prior to agreement and implementation. Failure to provide workers' representatives with adequate and appropriate information required for meaningful bargaining, is not limited to MNEs. The problem also exists with respect to local enterprises. The Employers' Confederation of Zimbabwe states that workers' organizations do not face problems because matters have to be referred to headquarters prior to the conclusion and implementation of agreements. MNEs provide workers' representatives with appropriate and adequate information, since disclosure of relevant information is required by law.