BEERG: G20 Leader's Declaration Endorses Agreements Between Global Companies and Global Unions

July 14, 2017

The G20 Leader's Declaration voiced support for international framework agreements between multinational companies and global unions and could provide a path for such agreements, which are now extremely rare, to multiply.  The BEERG Global Labor Newsletter raises the concern that the declaration will impact the complaint process under the Organization for Economic Co-operation and Development enforced by each country’s National Contact Point (NCP).  BEERG queries: “Will this be read by NCPs as a signal that they should recommend to multinationals who are alleged by unions to have violated the Multinational Guidelines that they should negotiate international agreements with global unions?  While most multinationals will decline to do so, global unions will be handed what we might call ‘reputational leverage’ to be deployed against the company concerned.  The OECD NCPs will become global labor tribunals, cost-free fora for global unions to run global campaigns."  While the global labor movement has been quick to embrace the G20 statement, it remains to be seen what actions they might take to support it.  Read the full BEERG Newsletter here.