6 and 7 p4 - them Apply only if they do not conflict with...

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GLOBAL LEGAL/REGULATORY CONTEXT OF MNES (CONT.) National Laws and Regulations •Apply to local foreign-owned commercial enterprises •Employment laws vary significantly among countries •IHR should use local HR practitioners when possible •Friendship, commerce, and navigation (FCN) treaties make exceptions for key parent-country personnel of commercial entities •Foreign government-owned organizations are exempted from national laws and civil claims GLOBAL LEGAL/REGULATORY CONTEXT OF MNES (CONT.) •Supranational Laws •Laws that are either directly binding on member states or indirectly binding on employers •Directives seek to harmonize (reduce the legal diversity of) legislation among member states GLOBAL LEGAL/REGULATORY CONTEXT OF MNES (CONT.) •Extraterritorial Laws •Are laws that apply beyond the sovereign territory of the nation that enacted
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Unformatted text preview: them Apply only if they do not conflict with host county laws ( foreign compulsion defense ) US Laws with Extraterritorial Intent Title VII of the Civil Rights Act Age Discrimination Act Americans with Disabilities Act Foreign Corrupt Practices Act Sarbanes-Oxley Act Perceived Negative Actions of MNEs Locate work in countries with lower social protections (no unions or weak unions) and wages and benefits Force workers facing competition from workers in other countries to bid down wages and benefits in order to keep their jobs Restructure operations in countries where the costs of work force adjustments are lowest Outlast workers in labor disputes because cash flows are maintained by operations in countries where there are no disputes...
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This note was uploaded on 02/06/2012 for the course HRM 533:315 taught by Professor Castolano during the Spring '12 term at Rutgers.

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6 and 7 p4 - them Apply only if they do not conflict with...

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