Case 1.1: Case on role of HR manager
Chadha, N.K. (2002). Worker’s troubles in China. In Human Resource Development: Issues, Case Studies and Experiential Exercises (2nd Ed.) (pp. 12-13). New Delhi: Shri Sai Publishers
After centuries of economic isolation, China, under a communist–led government began to undergo economic liberalisation in the 1980’s. This economic liberalisation led to foreign contacts which raised hopes among many for greater freedom and control of their own lives. Increased foreign investment and trade seemed to be improving China’s economic situation and also the condition of workers. For example a survey of personnel practices in ...view middle of the document...
Late in 1993, there were two fines because of poor labour practices in which 145 Chinese workers perished. In January, 1994, new regulations were passed stipulating fire prevention, ventilation and other standards for factories as well as the dormitories in which factory workers lived. Then, in March, 1994, the Chinese vice premier called for even tougher safety laws and announced an industrial safety drive.
At applied Electronics limited the workforce lives in the dark dormitories where, as many as 20 persons share primitive lavatories. Though the company denies it, workers claim that two persons have died from eating the food provided by the company. The employees work up to 15 hours a day and get few holidays despite the official communist labour laws that mandate 5 1/2 days and 44 – hour work weeks. To try to control the work force and improve conditions, the central government in Peking ruled in 1993 that no pay raises would be awarded to workers at many loosing enterprises. Workers compensation schemes were reformed to provide long term benefits for disabled workers,
The Chinese social security system was also updated in an effort to equalise the treatment of workers across all geographic areas and industrial sectors.
1 Enumerate the factors which have jeopardised industrial Development in China during past decades.
2 What role does Human Resource Management play in Chinese factories?