GSBS 6006 - Employment Relations: Comparing China, USA, Australia

This report provides a comparative analysis of employment relations in China, the USA, and Australia, focusing on the implications for XYZ Automotive & Motor Company, Inc.'s potential expansion. It examines the role of trade unions, legal frameworks, and government involvement in each country's employment relations system. The report highlights the differences in employment relations due to varying laws and political systems. It suggests Australia as the most suitable location for expansion due to its individualistic approach and limited political intervention, while also acknowledging the importance of minimum wage regulations and the potential for trade union involvement. The analysis considers cultural, economic, and political factors influencing employment relations in each country, ultimately recommending a strategic approach for XYZ Automotive & Motor Company, Inc. based on these insights. Desklib offers similar solved assignments and resources for students.

Running head: EMPLOYMENT RELATIONS
Employment Relations
Name of Student
Name of University
Author Note

1
EMPLOYMENT RELATIONS
Table of contents
Introduction................................................................................................................................2
Comparisons in employment relations in three countries..........................................................2
Recommended option for improving location...........................................................................3
Conclusion..................................................................................................................................4
Bibliography...............................................................................................................................5

2
EMPLOYMENT RELATIONS
Introduction
Employment relations refer to the link between an employee and employer in an
organisation. This link is established based on the business deals that are conducted between
the employee and the employer. The study of employment relations helps to understand the
nature and extent of the rights of the employees and the relationship it possesses with the
employers. The report analysis the employment relations that exist in three countries namely
China, Australia and the USA in order to address a possibility of extending the location of
XYZ Automotive & Motor Company, Inc. The most suitable option is also selected based on
the comparisons.
Comparisons in employment relations in three countries
Employment relations are different in different countries. This is mainly because of
the different laws and political system that exists in the countries. It is necessary for every
organisation to understand the employment relations that exist depending upon the laws and
the power distance that exists. Hence, in the case of XYZ Automotive & Motor Company,
Inc, it is necessary that the company makes an in-depth analysis of the employment relations
law in the possible countries considered for expansion.
In the United States of America, the employment relations are associated with the
roles and duties played by the trade unions of the organisations. Like most organisations
around the world, the ER relation in the USA focuses on collective bargaining between the
employees and the employer. The organisations involve legal framework that is essential for
understanding the demands of the employee as well as the employers. However, it has also
been seen that the rules of ER are dominated by the managerial workforce. It also results in
individual marketing in a labour market. Organisations without any union are affected by the

3
EMPLOYMENT RELATIONS
involvement of the state and the ER rules adhere to the state legislation. As of 2013, it has
been seen that the union members represent about 11.3% while 12.5% are represented by the
unions. Hence, XYZ Automotive & Motor Company, Inc needs to keep these statistics in
mind before investing in the country.
In the case of China, the ER needs to be understood based on the culture, economic
issues and the national society that exists in the country. Most of the times, it is seen that any
issues that arise with ER are mainly related to the political turbulence of the country. This is
mainly because of the fact that the Chinese Government has a high political involvement in
the activities of its organisations. Since, 2007, the approach towards the ER changed and the
Government announced that workers need to be allowed to execute their self-rights while
working in an organisation.
On the other hand, the ER rules and policies in Australia are different than the other
two countries. During the early days, the ER of Australia was termed as a compulsory
involvement of conciliation as well as arbitration. The activities within an organisation
involved the intervention of the State Government and were involved in collectivism.
However, with time the conditions changed and the ER system in Australia was more market-
driven and focused on individualistic approach.
Recommended option for improving location
Hence, it can be said that based on the analysis of the situation in all three countries,
XYZ Automotive & Motor Company, Inc can safely expand its operations in Australia. This
is mainly because of the fact that like the USA, Australian organisation believes in
maintaining individualistic approach. Moreover, political intervention in the activities of an
organisation is absent in the country. However, it is also needed to be kept in mind that most
of the workers in the Australian organisations are migrants. The minimum wage regulation

4
EMPLOYMENT RELATIONS
act is strict in the country, and employees may involve trade union if the demands are not
met. Despite these issues, equal employment opportunities can be maintained in the country.
Conclusion
Hence, it can be said that in order to expand in a foreign country, analysis of the
external factors and internal factors of an organisation need to be taken into consideration.
Employment relations are influenced by the external factors that affect the working of a
business. The three different countries, USA, China and Australia have a different view on
the approaches of ER. Similar factors such as involvement of Government, legal factors,
trade unions are seen in all three countries. However, it is advisable for XYZ Automotive &
Motor Company, Inc to expand its operations in Australia due to the existence of an
individualist approach and less political interference.

5
EMPLOYMENT RELATIONS
Bibliography
Bray, M. & Waring, P. (2011) ‘Employment Relations’ in H. de Cieri, R. Kramar & T.
Bartram, Human Resource Management in Australia, 4e, McGraw-Hill, Sydney
Cooke, F.L. (2004) ‘HRM in China’ in Budhwar, P. (ed.) Managing Human Resources in
Asian Pacific, Routledge, London & New York, Chapter 2 .
Katz, H. & Colvin, J. (2011) ‘Employment Relations in the USA’ in Bamber et al. (eds),
International and Comparative Employment Relations, Allen & Unwin, Sydney, 5th
Edition, Chapter 3.
Kim, D.O. & Bae, J., (2017). Employment relations and HRM in China. Taylor & Francis.
McDonald, P., & Thompson, P. (2016). Social media (tion) and the reshaping of
public/private boundaries in employment relations. International Journal of
Management Reviews, 18(1), 69-84.
Van Wanrooy, B., Bewley, H., Bryson, A., Forth, J., Freeth, S., Stokes, L., & Wood, S.
(2013). Employment relations in the shadow of recession: Findings from the 2011
Workplace Employment Relations Study. Palgrave macmillan.