EMPLOYERS ASSOCIATIONS AND INTERNATIONAL FIRMS

INTRODUCTION
An employers' organization, employers'

association or employers' federation is a formal group.

Employers association are groups of employers who join

together to give benefits to their members.

Businesses join together to form their own association,

and members pay an annual subscription fee in return for the benefits they would receive.
The role and position of an employers' organization

differs from country to country, dependent on the economic system of a country.

Advantages of an employers association

An employer association is an organization comprised of :
a group of employers usually within the same business field operates to support its member in areas such as negotiating with

employee associations acting as representatives for the political interest of its members and providing counsel for business matters.

They represent employers and negotiate with the trade

unions on behalf of their members. Provide services to members for statistical information, and advice or help with recruitment, training, health, safety and industrial relations problems. Act as pressure groups on the government to try to

EA BASED ON ECONOMIC SYSTEMS

PLURALIST ECONOMY:
In countries with a pluralist system (such as the United

Kingdom and the United States):

There is no institutionalized cooperation between employers'

organizations, trade unions and government

So, an employers' organization here, is an interest

group or advocacy group that through lobbying tries to influence government policy.
In these countries, employers' organizations tend to be weak, with

many of their functions taken over by industry trade groups, which are basically public relations organizations.

SOCIAL MARKET ECONOMY:

In countries with a social market economy, such

as Austria, Sweden and the Netherlands:

the employers' organizations are part of a system of

institutionalized deliberation, together with government and the trade unions.

In tri-partite bargaining the so-called social partners strike

agreements on issues like price levels, wage increases, tax rates and pension entitlements.
In these countries collective bargaining is often done on a

national level not between one corporation and one union, but national employers' organizations and national trade

EA IN LARGE INTERNATIONAL FIRMS

Large companies especially are able to decide consciously on what labor market interests they wish to pursue individually by themselves, and what interests they want to have represented by employers' organizations.
employers' organizations as a means of advancing employer interests are largely negligible. This contrasts with European traditions in which employers' organizations normally have a much stronger role .

An example of a notably individualistic approach is the USA, where

Cross-national differences in the existence, form and role of employers'

organizations significantly affect national industrial relations practices. A case in point is collective bargaining. Usually, multi-employer bargaining can be institutionalized only when employers' organizations engage in bargaining.
In other words, the prevalence of either multi- or single-employer

bargaining, as well as the level of collective bargaining coverage, strongly depends on whether employers' organizations exist and on what kind of activities they perform.

 Furthermore, the political influence of employers'

associations tends to vary with the nature of the bargaining system: There is evidence that employers' organizations along with their trade union counterparts - enjoy significantly greater rights to participate in public policy-making in a national context of predominant multi-employer bargaining, as compared with a situation where single-employer bargaining prevails . The reason is that multi-employer bargaining - in stark contrast to bargaining at the level of a single employer - is relevant in macroeconomic terms. This relevance provides a notable incentive for the state to seek the cooperation of the bargaining

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