Cite HR, 1998

APPROACHES TO MANAGING AND STAFFING SUBSIDIARIES Companies can apply one of the three different approaches to managing and staffing their subsidiaries (Francesco, Gold, 199 : 1. Ethnocentric. The home country practice prevails with this approach. Headquarters from the home country makes key decisions, employees from the home country hold important jobs, and the subsidiaries follow the home country resource management practice. 2. Polycentric. Each subsidiary manages on a local basis. A local employee heads a subsidiary because headquarters managers are not considered to have adequate local knowledge. Subsidiaries usually develop human resource management practices locally. 3. Geocentric or global. The company that applies the global integrated business strategy manages and staffs employees on a global basis. For example, Electrolux (the vacuum cleaner company) has for many years attempted to recruit and develop a group of international managers from diverse countries. These people constitute a mobile base of managers who are used in a variety of facilities as the need arises. In the ethnocentric approach, the cultural values and business practices of the home country are predominant. Headquarters develops a managing and staffing approach and consistently applies it throughout the world. Companies following the ethnocentric approach assume the home country approach is best and that employees from other parts of the world can and should follow it. Managers from headquarters develop practices and hold key positions in the subsidiaries to ensure consistency. Advantages Disadvantages Lower labor costs Demonstrates trust in local citizenry Increases acceptance of the company by the local community Maximizes the number of options available in the local environment Leads to recognition of the company as a legitimate participant in the local economy Effectively represents local considerations and constraints in the decision-making process Makes it difficult to balance local demands and global priorities Leads to postponement of difficult local decisions until they are unavoidable, when they are more difficult, costly, and painful than they would have been if implemented earlier May make it difficult to recruit qualified personnel May reduce the amount of control exercised by headquarters Figure 1. Advantages and disadvantages of using local employees to staff international subsidiaries (Gomez-Mejia, Balkin, Cardy, 1995) Advantages Disadvantages Cultural similarity with parent company ensures transfer of business/management practices Permits closer control and coordination of international subsidiaries Gives employees a multinational orientation through experience at parent company Establishes a pool of internationally experienced executives Creates problems of adaptability to foreign environment and culture Increases the foreigness of the subsidiary May involve high transfer and salary costs May result in personal and family problems Leads to high failure rate

 Has disincentive effect on local-management morale and motivation May be subject to local government restrictions Figure 2. Advantages and disadvantages of using expatriate employees to staff international subsidiaries (Gomez-Mejia, Balkin, Cardy, 1995) The polycentric approach is in direct opposition. In the company that applies this approach, the assumption is that each country is different from all the others and that the subsidiaries in each country should develop locally appropriate practices under the supervision of local managers. With the geocentric approach, organizations try to combine the best from headquarters and the subsidiaries to develop consistent world-wide practices. Manager selection is based on competency rather than nationality. As Figures 1 and 2 show, there are both advantages and disadvantages to using local nationals and expatriates in foreign subsidiaries. Most companies use expatriates only for such key positions as senior managers, high-level professionals, and technical specialists. Since expatriates tend to be very costly, it makes little financial sense to hire expatriates for positions that can be competently filled by foreign nationals. In addition, many countries require that a certain percentage of the work force be local citizens, with exceptions usually made for upper management.

2. MAJOR FUNCTIONS OF INTERNATIONAL HUMAN RESOURCE MANAGEMENT International human resource management involves five functional areas we will discuss in detail in this section: 1. recruitment and selection, 2. development and training, 3. performance evaluation, 4. remuneration and 5. labor relations. Since expatriate employees are often treated differently than other employees, the problems arising with it will be presented in the next section. 2.1. Recruitment and selection Recruitment and selection are the processes through which an organization takes in new members. Recruitment involves attracting a pool of qualified applicants for the positions available. Selection requires choosing from this pool the candidate whose qualifications most closely match the job requirements. In companies that function in a global environment we have to distinguish different types of employees. Traditionally, they are classified as one of the three types: 1. Parent country national. The employees nationality is the same as the organizations. For example, a Slovenian citizen working for a Slovenian company in Macedonia. 2. Host country national. The employees nationality is the same as the location of the subsidiary. For example, a Macedonian citizen working for a Slovenian company in Macedonia. 3. Third country national. The employees nationality is neither that of the organization nor that of the location of the subsidiary. For example, an Albanian citizen working for a Slovenian company in Macedonia. Since staffing as the function of international human resource management becomes increasingly more complex, these classifications do not cover all employees (Briscoe, 1995). For example, within the European Union, citizens of member countries can work in other member countries without a work permit. Hence, how to classify a German citizen working for a French company in France is not clear. Briefly, classification of employees might seem to us unimportant. However, such mode of thinking is not adequate since in many organizations an employees classification is tied to

remuneration, as well as benefits and opportunities for promotion. In an international organization, the managing and staffing approach strongly affects the type of employee the company prefers. In a company with an ethnocentric approach, parent country nationals usually staff important positions at headquarters and subsidiaries. With a polycentric approach, host country nationals generally work in foreign subsidiaries while parent country nationals manage headquarters positions. An organization with a geocentric approach chooses the most suitable person for a position, regardless of type. In its approach to recruitment and selection, an organization considers both headquarters practices and those prevalent in the countries of its subsidiaries. Local culture always influences recruitment and selection practices, and in some countries, local laws require a specific approach. For example, in international manufacturing and processing facilities in Mexico, companies recruit with a sign announcing job openings outside the facility or by employees introducing family members who are looking for jobs. Another example is Hungary, where government attempts to combat unemployment have led to the requirement that an organization must get permission from the Ministry of Labor before hiring an expatriate. In choosing the right candidate, a balance between internal corporate consistency and sensitivity to local labor practices is a goal. Different cultures emphasize different attributes in the selection process depending on whether they use achievement or ascribable criteria. When making a hiring decision, people in an achievement-oriented country consider skills, knowledge, and talents. Although "connections" can help, companies generally only hire those with the required qualifications. In an ascribable culture, age, gender, and family background are important. An organization selects someone whose personal characteristics fit the job. 2.2. Development and training The overall aim of the development function is to provide that adequately trained personnel in a company are capable to fulfil their goals, as well as to contribute to better performance and growth with their work (Armstrong, 1996). The development of employees can be treated as a special field of human resource management that includes planned individual learning, education, organization development, career development and training. At the international level, human resource development professionals are responsible for: 1. training and development of employees located in subsidiaries around the world, 2. specialized training to prepare expatriates for assignments abroad, and 3. development of a special group of globally minded managers. Creation and transfer of international human resource development programs may be carried out in two ways: 1. centralized and 2. decentralized. With a centralized approach, training originates at the headquarters and corporate trainers travel to subsidiaries, often adapting to local situations. This fits the ethnocentric model. A geocentric approach is also centralized, but the training develops through input from both headquarters and subsidiaries staff. Trainers could be sent from various positions in either the headquarters or subsidiaries to any other location in the company. In a decentralized approach, training is on a local basis, following a polycentric model. When training is decentralized, the cultural backgrounds of the trainers and trainees are usually similar. Local people develop training materials and techniques for use in their own area. To maximize training effectiveness, it is important to consider how trainees learn most effectively. Cultural factors have a strong impact on training practices in different parts of the

world. For example, in North America, where power distance is small, the relationship between the trainer and trainees tends toward equality. The trainer and trainees use first names, and the trainees feel free to challenge or question what the trainer says. In Malaysia, where power distance is large, a trainer receives greater respect. Students use his surname and title, and he is an expert that students rarely challenge. As global competition increases, it is increasingly important for successful companies to have a group of managers with a global perspective. Companies must identify managers with global potential and provide them with various training and development opportunities. For example, having one or more international assignment(s), working on cross-national teams and projects, and learning other languages and cultures contribute to making a manager more globally minded. In addition, an organization should include not only parent country nationals, but also host country nationals and third country nationals in this group (Treven, 2001). 2.3. Performance evaluation In companies, the performance evaluation is most frequently carried out for administration or development intentions (Cleveland and others, 1989). For administration purposes, performance evaluation is called for when the decisions on work conditions of employees, promotions, rewards and/or layoffs are in question. Development intention of performance evaluation is oriented to the improvement of the work performance of employees, as well as to the enhancement of their abilities on the ground of the adequate training program and advising employees regarding behavior in the work environment. In Western multinational companies, performance appraisals are usually done yearly and use a standarized evaluation form. Sometimes, the organization also requires supervisions to discuss the results of the appraisals with each employee. Performance evaluation is challenging for any organization. At the international level, the complexity is greater because the organization must evaluate employees from different countries working in different subsidiaries. The need for consistency across subsidiaries for performance comparisons conflicts with the need to consider the cultural background of employees to make the evaluation meaningful. For example, in Mexico, an individuals public image is important, and public criticism of an employee might be justification for leaving a company. Consequently, the delivery of a balanced performance review, including both strengths and weaknesses, requires tact and delicacy. As with other functions, the approach to performance evaluation depends on the organizations overall human resource management strategy. A company with an ethnocentric approach is likely to use the same performance evaluation process used at the headquarters for its subsidiaries. Some companies translate evaluation forms into local languages, whereas others use the original language everywhere. A company with a polycentric approach develops local procedures within each country. Finally, a company with a geocentric approach uses the same performance evaluation system worldwide, but it has universal applicability. Developing a global system is the most challenging. 2.4. Remuneration and benefits Remuneration of employees has a key role in acquiring new employees and is important for employees as well as for the employers. Pay is the basic resource of living of the employees, while benefits cover better health care, the possibility of spending holidays in the companys holiday facilities at a favourable price and also other advantages. The decisions the employers make concerning remuneration are a factor that has an impact on the expenses of their company as well as on the ability of selling the products at a competitive price in the market (Treven, 199

. The decisions about remuneration may also enhance the ability of the employer to compete for employees on the labor market. The rewards he warrants make the standing personnel either want to keep their jobs or quit. In developing an international system of compensation and benefits, an organization has two primary concerns. The first is comparability (Briscoe, 1995). A good compensation system assigns salaries to employees that are internally comparable and competitive within the marketplace. For example, the salary of a senior manager is usually higher than that of a supervisor, and each position should receive an amount within the local market range. The international organization must also consider the salaries of people who may transfer from other locations. The second major concern is cost. Organizations strive to minimize all expenses, and payroll is one of the largest. Renumeration and benefits are closely tied to local labor market conditions, even when an organization takes an ethnocentric or geocentric approach. The availability of qualified local people to fill positions, prevailing wage rates, the use of expatriates, and local laws interact to influence the level of renumeration and benefits. For example, if there are few applicants available for positions, the renumeration for those positions generally increases. To reduce expenses, the international human resources manager might then consider bringing in an expatriate. A company usually develops a policy, which could apply globally, to offer salaries and benefits representing a specific market level. For example, a large successful multinational company that emphasizes the quality of its products and employees could have a global policy to pay the highest wages everywhere it operates. Another company could offer top salaries in the country where it does research and development, yet pay average wages in the country where it manufactures. Attribution: http://www.citehr.com/13375-ethnocentric-approachrecruitment.html#ixzz1sflAwE5J The Pros and Cons of International Staffing Table of Contents 1. INTRODUCTION 2 2. WHAT IS INTERNATIONAL STAFFING? 2 2.1 THE ETHNOCENTRIC STAFFING POLICY 3 2.2 THE POLYCENTRIC STAFFING POLICY. 4 2.3 THE GEOCENTRIC STAFFING POLICY 6 2.4 THE REGIOCENTRIC STAFFING POLICY 7 3. EXPATRIATION. 8

3.1 THE ADVATAGES OF EXPATRIATION. 8 3.1.1 Expatriates Facilitate the Communication between the Foreign Operation and the Home Country 8 3.1.2 Expatriation as a Means of Knowledge Transfer and Transmitter of Corporate Culture. 8 3.1.3 Expatriation overcomes the lack of qualified host country nationals. 10 3.2.4 Expatriation as a means of personnel development. 11 3.2 Difficulties with Expatriation 11 3.2.1 Culture Shock 12 3.2.2 Costs 14 3.2.3 Failure Rates 17 3.2.4. Repatriation 19 4. CONCLUSION. 21 TERMINOLOGY IN CONTEXT 23 BIBLIOGRAPHY 33 The Pros and Cons of International Staffing

1. Introduction
There has been a rapid pace of internationalization and globalization over the last decade. Expanding business operations beyond national boundaries while continuing commitment to local markets requires more complex business structures. One of the most critical determinants of an organization's success in global ventures is the effective management of its human resources. The purpose of this paper is to summarize the advantages and disadvantages of the different international staffing approaches with special focus on the positive impacts as well as on the challenges of expatriation.

2. What is International Staffing?

International management encounters many problems above those faced by a domestic organization. Geographic distance and a lack of close, day-to-day relationships with headquarters

represent a major challenge to multinationals. "It is essential, therefore, that special attention is given to the staffing practices of overseas units" (Pigors 1973: 690). According to Pigors (1973: 690) there are three different sources of employees with whom an international company can be staffed. First, the company can send employees from its home country, which are referred to as expatriates, expats or home country nationals. Second, it can recruit host country nationals (natives of the host country), and third, it can hire third country nationals who are natives of a country other than the home country or the host country. When international expansion of the company is in its infancy, management is heavily relying on local staff, as it is extremely respondent to local customs and concerns.
"As the company's international presence grows, home-country managers are frequently expatriated to stabilize operational activities (particularly in less developed countries). At later

The Pros and Cons of International Staffing

stages of internationalization, different companies use different staffing strategies; however, most employ some combination of host-country, home-country, and third-country nationals in the top management team" (Sherman, Bohlander and Snell 1996: 690).,

The staffing policies of multinational companies can be divided into four categories (Mayrhofer and Brewster: "In Praise of Ethnocentricity": 749), namely: 1. Ethnocentric policy 2. Polycentric policy 1. Geocentric policy 2. Regiocentric policy 2.1 The Ethnocentric Staffing Policy The ethnocentric staffing policy refers to the strategy of a multinational company to employ managers for key positions from the parent headquarters instead of employing local staff ("Global Human Resource Management"). Many organizations have traditionally relied on parent country nationals (PCNs) for staffing top management positions abroad for a number of reasons ("Global Human Resource Management"): 1. The expatriate's technical and business expertise. 2. Ability to transfer the headquarters' culture to the foreign operation (infusing central beliefs throughout the organization). 3. Political understanding of the headquarters' organization. 4. Effective communication between headquarters and the subsidiary. 5. Lack of qualified host country nationals (HCNs). 6. Greater ability of expatriates to transfer know-how from the parent to the subsidiary. 7. Measure of control over the subsidiary.

The Pros and Cons of International Staffing 8. Career and promotion opportunities for PCNs. 9. Personnel development. 10. No need of well-developed international internal labor market. 11. Rapid substitution of expatriates possible. However, there are a number of major problems with this approach ("Global Human Resource Management"): 1. Parent country nationals continue to experience difficulties to adjust to international assignments. 2. The adaptation of expatriates is uncertain. 3. Complicated personnel planning procedures. 4. The private life of expatriates is severely affected. 5. Difficulties in constant mentoring during the stay abroad. 6. This approach to staffing limits the promotion and career opportunities of local managers, which may lead to low moral and increased turnover. 7. Parent country nationals are not always sensitive to the needs and expectations of their host country subordinates. 8. Tensions between the expatriate executives and the HCNs (caused by philosophical issues such as the clash of cultures and also by some fairly hard issues such as the often substantial income gap). 9. Expatriates are very expensive in relation to HCNs. 10. Legal regulations of the host country. 11. Government restrictions. 12. Repatriation. 13. High failure rate. 2.2 The Polycentric Staffing Policy The polycentric staffing policy describes a multinational's approach of recruiting host country nationals to manage subsidiaries in their own country. "There is The Pros and Cons of International Staffing little or no flow of personnel between the various countries" (Mayrhofer and Brewster: "In Praise of Ethnocentricity": 754). A number of advantages to this approach have been identified ("Global Human Resource Management"): 1. Language barriers as well as adjustment problems of expatriates and their families are eliminated (no adaptation problems). 2. Allows continuity of management within the host country. 3. The employment of HCNs is generally less expensive. 4. "No tension between the locals and the "watchdogs" sent from headquarters occurs" (Mayrhofer and Brewster: "In Praise of Ethnocentricity": 754). 5. Enhances the moral and career opportunities of local staff. 6. Supported by host country governments. Several disadvantages can be identified as well ("Global Human Resource Management"): 1. Difficulty of achieving effective communication between HCN managers at subsidiary level and PCN managers at corporate headquarters. 2. Difficulties in exercising effective control over

the subsidiaries that arise when a multinational firm becomes a loose federation of independent national units with weak links to corporate headquarters. 3. Difficulty of coordinating the activities between headquarters and subsidiaries because of a lack of "boundary persons". 4. There is a problem concerning the career paths of HCN and PCN managers as both have very limited opportunities to gain experience abroad outside of their own country (reduced opportunities for personnel to widen their horizons and get an international view). 5. This lack of international experience is a liability in an increasingly competitive environment. The Pros and Cons of International Staffing 2.3 The Geocentric Staffing Policy In the geocentric approach the best people are sought for key jobs throughout the organization, regardless of nationality ("Global Human Resource Management"). This approach has two main advantages ("Global Human Resource Management"): 1. It enables a multinational firm to develop a pool of senior international managers (development of a network of persons with international experience and contacts across borders). 2. It reduces the tendency of national identification of managers with subsidiary units of the organization. Three main problems have been identified in implementing the geocentric staffing approach ("Global Human Resource Management"): 1. It is increasingly the case that many host countries use their immigration laws to require the employment of local nationals (HCNs) where possible. 2. This approach can be difficult to implement because of increased training, compensation and relocation costs. 3. The successful implementation of a geocentric staffing policy requires a highly centralized control of the staffing process and the reduced autonomy of subsidiary management may be resented. 4. A highly sophisticated personnel planning system is needed that allows worldwide matching processes between vacant positions and persons with adequate qualification profiles. 5. High costs. The Pros and Cons of International Staffing 2.4 The Regiocentric Staffing Policy In the regional approach, employees "are transferred to positions in subsidiaries in other countries, but stay within the same region" (Mayrhofer and Brewster: "In Praise of Ethnocentricity": 755) (e.g. Europe). The advantages of this approach are:

1. That HCN managers have the opportunity to influence decisions and compete for jobs at the regional level. 2. The development of a regional approach can help the MNC through the evolution from an ethnocentric or polycentric approach towards a geocentric approach. 3. The view of the expatriates can be broadened "while reducing the adaptation problems and the opposition to "strangers" (e.g., an Austrian transferred to Germany should have fewer problems to adapt to the culture than a Japanese sent there)" (Mayrhofer and Brewster: "In Praise of Ethnocentricity": 755). On the other hand, the disadvantage of the regional approach is that it can lead to identification with regional rather than global objectives and may limit the development of a global approach.
Kathrin Mssler, 2003, The Pros and Cons of International Staffing Policies, Munich, GRIN Publishing --------------GmbH

Global Human Resource Management - Transcript

1. Chapter Global Human Resource Management 2. 18-2 Case: Molex Worlds second largest manufacturer of electronic components 50 manufacturing plants, 21 countries HRM viewed as most localized of all the functions Hires experienced , educated foreign nationals in the US for foreign postings Moves people around the world In house management development programs 3. 18-3 Human resource management (HRM) Refers to the activities an organization carries out to use its human resources effectively Four major tasks of HRM Staffing policy Management training and development Performance appraisal Compensation policy 4. 18-4 International human resource management Strategic role: HRM policies should be congruent with the firms strategy and its formal and informal structure and controls Right People, Right Place, Right Time Task complicated by profound differences between countries in labor markets, culture, legal and economic systems 5. 18-5 Strategy, structure and control systems 6. 18-6 Staffing policy Staffing policy Selecting individuals with requisite skills to do a particular job Tool for developing and promoting corporate culture View People as Resource ($in profit out) Types of Staffing Policy Ethnocentric Polycentric Geocentric

7. 18-7 Ethnocentric policy Key management positions filled by parent-country nationals Advantages: Overcomes lack of qualified managers in host nation Unified culture Helps transfer core competencies (and skills back) Disadvantages: Produces resentment in host country Can lead to cultural myopia 8. 18-8 Polycentric policy Host-country nationals manage subsidiaries Parent company nationals hold key headquarter positions Best suited to multi-domestic businesses Advantages: Alleviates cultural myopia. Inexpensive to implement Helps transfer core competencies Disadvantages: Limits opportunity to gain experience of host-country nationals outside their own country. Can create gap between home-and host-country operations 9. 18-9 Geocentric policy Seek best people, regardless of nationality not always possible Best suited to Global and trans-national businesses Advantages: Enables the firm to make best use of its human resources Equips executives to work in a number of cultures Helps build strong unifying culture and informal management network Disadvantages: National immigration policies may limit implementation Expensive to implement due to training and relocation Compensation structure can be a problem. 10. 18-10 Comparison of staffing approaches 11. 18-11 The expatriate problem Expatriate: citizens of one country working in another Expatriate failure: premature return of the expatriate manager to his/her home country Cost of failure is high: estimate = 3X the expatriates annual salary plus the cost of relocation (impacted by currency exchange rates and assignment location) Inpatriates: expatriates who are citizens of a foreign country working in the home country of their multinational employer 12. 18-12 Expatriate failure rates 13. 18-13 Reasons for expatriate failure US multinationals Inability of spouse to adjust Managers inability to adjust Other family problems Managers personal or emotional immaturity Inability to cope with larger overseas responsibilities European multinationals Inability of spouse to adjust Japanese Firms Inability to cope with larger overseas responsibilities Difficulties with the new environment Personal or emotional problems Lack of technical competence Inability of spouse to adjust. 14. 18-14 Expatriate selection Reduce expatriate failure rates by improving selection procedures An executives domestic performance does not (necessarily) equate his/her overseas performance potential Employees need to be selected not solely on technical expertise but also on crosscultural fluency 15. 18-15 Four attributes that predict success Self-Orientation Possessing high self-esteem, selfconfidence and mental well-being Others-Orientation Ability to develop relationships with hostcountry nationals Willingness to communicate Perceptual Ability The ability to understand why people of other countries behave the way they do Being nonjudgmental and being flexible in management style Cultural Toughness Relationship between country of assignment and the expatriates adjustment to it

16. 18-16 Training and management development Training: Obtaining skills for a particular foreign posting Cultural training : Seeks to foster an appreciation of the host-countrys culture Language training : Can improve expatriates effectiveness, aids in relating more easily to foreign culture and fosters a better firm image Practical training: Ease into day-to-day life of the host country 17. 18-17 Training & management development continued Development: Broader concept involving developing managers skills over his or her career with the firm Several foreign postings over a number of years Attend management education programs at regular intervals 18. 18-18 Repatriation of expatriates 19. 18-19 Management development & strategy Development programs designed to increase the overall skill levels of managers through: On going management education Rotation of managers through a number of jobs within the firm to give broad range of experiences Used as a strategic tool to build a strong unifying culture and informal management network Above techniques support transnational and global strategies 20. 18-20 Performance appraisal Problems: Unintentional bias Host-nation biased by cultural frame of reference Home-country biased by distance and lack of experience working abroad Expatriate managers believe that headquarters unfairly evaluates and under appreciates them In a survey of personnel managers in U.S. multinationals, 56% stated foreign assignment either detrimental or immaterial to ones career. 21. 18-21 Guidelines for performance appraisal More weight should be given to onsite managers evaluation as they are able to recognize the soft variables Expatriate who worked in same location should assist home-office manager with evaluation If foreign on-site managers prepare an evaluation, home-office manager should be consulted before completion of formal the terminal evaluation 22. 18-22 Compensation Two issues: Pay executives in different countries according to the standards in each country? or Equalize pay on a global basis? Method of payment 23. 18-23 Compensation for four positions in 26 countries 24. 18-24 National differences in compensation 25. 18-25 National differences in CEO pay for midsize companies 26. 18-26 Compensation issues 27. 18-27 Expatriate pay Typically use balance sheet approach Equalizes purchasing power to maintain same standard of living across countries Provides financial incentives to offset qualitative differences between assignment locations. Pay for Schools, health care, etc.

28. 18-28 Components of expatriate pay Base Salary Same range as a similar position in the home country Foreign service premium Extra pay for work outside country of origin Allowances Hardship, housing, cost-of-living and education allowances Taxation Firm pays expatriates income tax in the host country Benefits Level of medical and pension benefits identical overseas 29. 18-29 The balance sheet 30. 18-30 International labor relations Key Issue Degree to which organized labor can limit the choices of an international business Aims to foster harmony and minimize conflicts between firms and organized labor 31. 18-31 Concerns of organized labor Multinational can counter union bargaining power with threats to move production to another country Multinational will keep highly skilled tasks in its home country and farm out only low-skilled tasks to foreign plants Easy to switch locations if economic conditions warrant Bargaining power of organized labor is reduced Attempts to import employment practices and contractual agreements from multinationals home country 32. 18-32 Strategy of organized labor Attempts to establish international labor organizations Lobby for national legislation to restrict multinationals Attempts to achieve international regulations on multinationals through such organizations as the United Nations