Question 1

Multinational enterprise (MNE) can be defined as a company in which it has facilities as well as other assets in one or more countries other than their home country. These companies usually have offices and/or factories in various countries where a centralized headquarters is used for global management.

Trade union is an association consisting of members whereby their membership is has to be made up of mainly workers. Protecting and improving the interests of its members in the workplace is one of the trade union’s aims.

Most of the trade unions are independent of any employer. Nevertheless, trade unions attempt to develop close working affiliations with employers. This can occasionally take the form of a partnership agreement between the trade union and the employer that categorizes their common interests and objectives.

The purposes of trade unions are to negotiate agreements with employers on conditions and pay, discuss main changes to the office such as great scale unemployment, concerns with employers, discuss their members, complement their members in grievance and disciplinary meetings, deliver their affiliates with legal and financial advice and provide education facilities and certain consumer benefits such as discounted insurance.

Four characteristics of Multinational Enterprise (MNE) that give trade union cause for concern are labor negotiations, offshore outsourcing or offshoring, insourcing and the actions of multinationals. Domestic and global labor unions have expressed apprehension that multinational organizations in economically developed countries can prevent labor negotiations by just moving their jobs to developing countries where labor costs are obviously less.

Labor associations in developing countries face the opposite of the same problem, as they are regularly obliged to