The State in employment: the case of Malaysian electronics

In some discourse concerning the employment system it is often implied that there has been a shift within the power relations between the main actors - State, capital and labour. Capital is now taken as omni-powerful and proactive, while the State and labour have declined and are reactive. Yet this picture is too universalistic, deterministic, static and simplistic. It ignores the shifting positions and divisions within and between these actors and the crucial role of factors such as ethnicity. This paper redresses the balance in this area by detailing an example - Malaysian electronics - where these interactions, at both macro- and micro-levels, can be seen in action.     

Ethnicity as a Management Issue and Resource: Examples from Malaysia

There has been recognition for some time that the management policies in overseas operations of multinational companies may be complex. This is not only due to diverse business or product market strategies, but also because the political, economic, social, legislative and cultural environment varies between locations. In particular, a neglected aspect of the context is ethnicity, especially in locations which are multi-ethnic. Such environments provide not only ‘constraints’, but also ‘opportunities’ in terms of management. Ethnicity is not only an issue which calls for ‘management’ itself, but is itself a potential managerial resource. Ethnicity is important for organizations at both external (contextual) and internal (operational) levels. We use the example of Malaysia to highlight such issues.     

Multinational corporations and trade union development in Malaysia

This contribution considers the impact of American, Japanese and Australian capital upon organized labour in Malaysia and concludes that the legacy of the multinational corporations' (MNCs') home context is carried forward to the host country. Despite the predictions of globalization theorists, country of origin characteristics interact with local contexts to inform management strategies towards trade unions, rather than being driven by the lowest common denominator of anti-unionism. While there are substantial differences between the MNCs in their approach to trade unions in Malaysia, there is also a degree of conformity in as much as they all embrace the restrictive intent of the Malaysian state's trade union regulatory environment, thereby severely curtailing the power of the union movement.