4-25-07 - Comparative Industrial Relations If look between...

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Comparative Industrial Relations If look between 1960 and 1990, German and Japan were the two economies that were growing the most. Japan: o Lifetime employment principle If regular employee then you are hired out of basically highschool If manager than hired basically out of college Generally you stay with the firm for your entire work career. There is much less mobility, 5, 10 or 15 years out than other places. This means that the firm goes to great lengths to avoid laying off workers in short term down turns. Companies lay people off only when there is an extremely drastic downturn Companies will shift jobs around during downturns and auto companies will sometimes send mechanics out to sell cars door to door. People retire at an earlier age. Lifetime employment works for regular employees but not for the buffer employees. Japanese companies use these buffer employees a lot. Bigger companies are really the ones who practice the lifetime employment principle. o Pay: Workers doing the same jobs earn very different amounts because of seniority. Pay varies significantly based on performance appraisals.
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This note was uploaded on 10/28/2007 for the course ILRCB 2050 taught by Professor Givanr during the Spring '06 term at Cornell University (Engineering School).

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4-25-07 - Comparative Industrial Relations If look between...

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