IDEAS home Printed from https://ideas.repec.org/a/sae/ilrrev/v78y2025i3p435-462.html

Between Legitimacy and Cost: Freedom of Association and Collective Bargaining Rights in Global Supply Chains

Author

Listed:
  • Chunyun Li
  • Sarosh Kuruvilla
  • Jinsun Bae

Abstract

Scholars and practitioners have advocated for freedom of association and collective bargaining (FOA/CB) rights as a key mechanism to improve labor compliance in global supply chains. Drawing on a longitudinal data set comprising 6,500 Better Work factory assessments across seven countries from 2015 to 2021, the authors compare violations of various FOA/CB elements to provide a general picture of the progress and problems of FOA/CB in supplier workplaces. They argue that suppliers are likely to selectively comply with FOA/CB elements that afford them some legitimacy but will violate the elements that impose significant costs on them. Specifically, the authors find fewer violations of union formation rights, in contrast to higher violations of union operation rights and of collective bargaining rights. Yet, when these latter rights are respected, they are associated with better compliance with other employment standards, with effective collective bargaining having the strongest effect.

Suggested Citation

  • Chunyun Li & Sarosh Kuruvilla & Jinsun Bae, 2025. "Between Legitimacy and Cost: Freedom of Association and Collective Bargaining Rights in Global Supply Chains," ILR Review, Cornell University, ILR School, vol. 78(3), pages 435-462, May.
    • Handle: RePEc:sae:ilrrev:v:78:y:2025:i:3:p:435-462
    DOI: 10.1177/00197939251314867
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/00197939251314867
    Download Restriction: no
    File URL: https://libkey.io/10.1177/00197939251314867?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Chunyun Li, 2021. "From Insurgency to Movement: An Embryonic Labor Movement Undermining Hegemony in South China," ILR Review, Cornell University, ILR School, vol. 74(4), pages 843-874, August.
    2. Matthew Amengual & Tim Bartley, 2022. "Global Markets, Corporate Assurances, and the Legitimacy of State Intervention: Perceptions of Distant Labor and Environmental Problems," American Sociological Review, , vol. 87(3), pages 383-414, June.
    3. Jennifer Bair & Mark Anner & Jeremy Blasi, 2020. "The Political Economy of Private and Public Regulation in Post-Rana Plaza Bangladesh," ILR Review, Cornell University, ILR School, vol. 73(4), pages 969-994, August.
    4. Mark ANNER, 2021. "Three labour governance mechanisms for addressing decent work deficits in global value chains," International Labour Review, International Labour Organization, vol. 160(4), pages 611-629, December.
    5. Céline Louche & Lotte Staelens & Marijke D’Haese, 2020. "When Workplace Unionism in Global Value Chains Does Not Function Well: Exploring the Impediments," Journal of Business Ethics, Springer, vol. 162(2), pages 379-398, March.
    6. Rémi Bourguignon & Pierre Garaudel & Simon Porcher, 2020. "Global Framework Agreements and Trade Unions as Monitoring Agents in Transnational Corporations," Journal of Business Ethics, Springer, vol. 165(3), pages 517-533, September.
    7. Yanhua Bird & Jodi L. Short & Michael W. Toffel, 2019. "Coupling Labor Codes of Conduct and Supplier Labor Practices: The Role of Internal Structural Conditions," Organization Science, INFORMS, vol. 30(4), pages 847-867, July.
    8. Ana ANTOLIN & Laura BABBITT & Drusilla BROWN, 2021. "Why is the business case for social compliance in global value chains unpersuasive? Rethinking costs, prices and profits," International Labour Review, International Labour Organization, vol. 160(4), pages 571-590, December.
    9. Xiaomin Yu, 2008. "Impacts of Corporate Code of Conduct on Labor Standards: A Case Study of Reebok’s Athletic Footwear Supplier Factory in China," Journal of Business Ethics, Springer, vol. 81(3), pages 513-529, September.
    10. Kelly Pike, 2020. "Voice in Supply Chains: Does the Better Work Program Lead to Improvements in Labor Standards Compliance?," ILR Review, Cornell University, ILR School, vol. 73(4), pages 913-938, August.
    11. Greg Distelhorst & Anita McGahan, 2022. "Socially Irresponsible Employment in Emerging-Market Manufacturers," Organization Science, INFORMS, vol. 33(6), pages 2135-2158, November.
    12. Matthew Amengual & Greg Distelhorst & Danny Tobin, 2020. "Global Purchasing as Labor Regulation: The Missing Middle," ILR Review, Cornell University, ILR School, vol. 73(4), pages 817-840, August.
    13. Niklas Egels-Zandén & Jeroen Merk, 2014. "Private Regulation and Trade Union Rights: Why Codes of Conduct Have Limited Impact on Trade Union Rights," Journal of Business Ethics, Springer, vol. 123(3), pages 461-473, September.
    14. Patsy Perry & Steve Wood & John Fernie, 2015. "Corporate Social Responsibility in Garment Sourcing Networks: Factory Management Perspectives on Ethical Trade in Sri Lanka," Journal of Business Ethics, Springer, vol. 130(3), pages 737-752, September.
    15. Ashwin, Sarah & Oka, Chikako & Schüßler, Elke & Alexander, Rachel & Lohmeyer, Nora, 2020. "Spillover effects across transnational industrial relations agreements: the potential and limits of collective action in global supply chains," LSE Research Online Documents on Economics 100997, London School of Economics and Political Science, LSE Library.
    16. Jennifer Bair, 2017. "Contextualising compliance: hybrid governance in global value chains," New Political Economy, Taylor & Francis Journals, vol. 22(2), pages 169-185, March.
    17. Michael W. Toffel & Jodi L. Short & Melissa Ouellet, 2015. "Codes in context: How states, markets, and civil society shape adherence to global labor standards," Regulation & Governance, John Wiley & Sons, vol. 9(3), pages 205-223, September.
    18. Rémi Bourguignon & Pierre Garaudel & Simon Porcher, 2020. "Global Framework Agreements and Trade Unions as Monitoring Agents in Transnational Corporations," Journal of Business Ethics, Springer, vol. 165(3), pages 517-533, September.
    19. Sarah Ashwin & Chikako Oka & Elke Schuessler & Rachel Alexander & Nora Lohmeyer, 2020. "Spillover Effects across Transnational Industrial Relations Agreements: The Potential and Limits of Collective Action in Global Supply Chains," ILR Review, Cornell University, ILR School, vol. 73(4), pages 995-1020, August.
    20. Joshua D. Angrist & Jörn-Steffen Pischke, 2009. "Mostly Harmless Econometrics: An Empiricist's Companion," Economics Books, Princeton University Press, edition 1, number 8769, December.
    21. Sarosh Kuruvilla & Chunyun Li, 2021. "Freedom of Association and Collective Bargaining in Global Supply Chains: A Research Agenda," Journal of Supply Chain Management, Institute for Supply Management, vol. 57(2), pages 43-57, April.
    22. Sarah Ashwin & Chikako Oka & Elke Schüssler & Rachel Alexander & Nora Lohmeyer, 2020. "Spillover Effects Across Transnational Industrial Relations Agreements: The Potential and Limits of Collective Action in Global Supply Chains," Post-Print hal-02952125, HAL.
    23. Chikako Oka, 2016. "Improving Working Conditions in Garment Supply Chains: The Role of Unions in Cambodia," British Journal of Industrial Relations, London School of Economics, vol. 54(3), pages 647-672, September.
    24. Jean‐Christophe Graz & Jimena Sobrino Piazza & André Walter, 2022. "Labour Standards in Global Production Networks: Assessing Transnational Private Regulation and Workers’ Capacity to Act," Development and Change, International Institute of Social Studies, vol. 53(4), pages 912-937, July.
    25. Gary Gereffi & Joonkoo Lee, 2016. "Economic and Social Upgrading in Global Value Chains and Industrial Clusters: Why Governance Matters," Journal of Business Ethics, Springer, vol. 133(1), pages 25-38, January.
    26. Chikako Oka, 2016. "Improving working conditions in garment supply chains: The role of unions in Cambodia," Post-Print hal-02952169, HAL.
    27. Christina Niforou, 2012. "International Framework Agreements and Industrial Relations Governance: Global Rhetoric versus Local Realities," British Journal of Industrial Relations, London School of Economics, vol. 50(2), pages 352-373, June.
    28. Li, Chunyun, 2021. "From insurgency to movement: an embryonic labor movement undermining hegemony in South China," LSE Research Online Documents on Economics 101456, London School of Economics and Political Science, LSE Library.
    29. Jodi L. Short & Michael W. Toffel & Andrea R. Hugill, 2016. "Monitoring global supply chains," Strategic Management Journal, Wiley Blackwell, vol. 37(9), pages 1878-1897, September.
    30. Kanchana N. Ruwanpura & Neil Wrigley, 2011. "The costs of compliance? Views of Sri Lankan apparel manufacturers in times of global economic crisis," Journal of Economic Geography, Oxford University Press, vol. 11(6), pages 1031-1049, November.
    31. Peter Lund-Thomsen & Adam Lindgreen, 2014. "Corporate Social Responsibility in Global Value Chains: Where Are We Now and Where Are We Going?," Journal of Business Ethics, Springer, vol. 123(1), pages 11-22, August.
    32. Richard Locke & Matthew Amengual & Akshay Mangla, 2009. "Virtue out of Necessity? Compliance, Commitment, and the Improvement of Labor Conditions in Global Supply Chains," Politics & Society, , vol. 37(3), pages 319-351, September.
    33. Mark Anner, 2018. "CSR Participation Committees, Wildcat Strikes and the Sourcing Squeeze in Global Supply Chains," British Journal of Industrial Relations, London School of Economics, vol. 56(1), pages 75-98, March.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Chunyun Li & Sarosh Kuruvilla, 2023. "Corporate codes of conduct and labour turnover in global apparel supply chains," British Journal of Industrial Relations, London School of Economics, vol. 61(3), pages 481-505, September.
    2. Sarosh Kuruvilla & Chunyun Li, 2021. "Freedom of Association and Collective Bargaining in Global Supply Chains: A Research Agenda," Journal of Supply Chain Management, Institute for Supply Management, vol. 57(2), pages 43-57, April.
    3. Tra‐my T. Le & Chikako Oka & Valentina Carbone & Aurélien Acquier, 2025. "Workers’ Responses to CSR Decoupling in Garment Supply Chains: A Hirschmanian Perspective," Post-Print hal-05295655, HAL.
    4. Stephen J. FRENKEL & Elke S. SCHUESSLER, 2021. "From Rana Plaza to COVID‐19: Deficiencies and opportunities for a new labour governance system in garment global supply chains," International Labour Review, International Labour Organization, vol. 160(4), pages 591-609, December.
    5. Yossi Dahan & Hanna Lerner & Faina Milman-Sivan, 2023. "Shared Responsibility and Labor Rights in Global Supply Chains," Journal of Business Ethics, Springer, vol. 182(4), pages 1025-1040, February.
    6. Jean-Christophe Graz & Nicole Helmerich & Cécile Prébandier, 2020. "Hybrid Production Regimes and Labor Agency in Transnational Private Governance," Journal of Business Ethics, Springer, vol. 162(2), pages 307-321, March.
    7. Fabiola MIERES & Siobhán MCGRATH, 2021. "Ripe to be heard: Worker voice in the Fair Food Program," International Labour Review, International Labour Organization, vol. 160(4), pages 631-647, December.
    8. Jean‐Christophe Graz & Jimena Sobrino Piazza & André Walter, 2022. "Labour Standards in Global Production Networks: Assessing Transnational Private Regulation and Workers’ Capacity to Act," Development and Change, International Institute of Social Studies, vol. 53(4), pages 912-937, July.
    9. Venkatesh, V.G. & Zhang, Abraham & Deakins, Eric & Mani, Venkatesh, 2021. "Antecedents of social sustainability noncompliance in the Indian apparel sector," International Journal of Production Economics, Elsevier, vol. 234(C).
    10. V.G. Venkatesh & Abraham Zhang & Eric Deakins & Venkatesh Mani, 2021. "Antecedents of social sustainability noncompliance in the Indian apparel sector," Post-Print hal-04455594, HAL.
    11. Min Li & Xiaoli Hu, 2023. "Can labor-standards advocacy by transnational civil society organizations interact with the power of labor to improve labor standards in global supply chains? A case study of the Cambodian garment industry," Economic and Industrial Democracy, Department of Economic History, Uppsala University, Sweden, vol. 44(1), pages 208-229, February.
    12. Anthony Goerzen & Simon Peter Iskander & Joerg Hofstetter, 2021. "The effect of institutional pressures on business-led interventions to improve social compliance among emerging market suppliers in global value chains," Journal of International Business Policy, Palgrave Macmillan, vol. 4(3), pages 347-367, September.
    13. Matthew Amengual & Sarosh Kuruvilla, 2020. "Editorial Essay: Introduction to a Special Issue on Improving Private Regulation of Labor in Global Supply Chains: Theory and Evidence," ILR Review, Cornell University, ILR School, vol. 73(4), pages 809-816, August.
    14. Chikako Oka & Niklas Egels‐Zandén & Rachel Alexander, 2020. "Buyer Engagement and Labour Conditions in Global Supply Chains: The Bangladesh Accord and Beyond," Development and Change, International Institute of Social Studies, vol. 51(5), pages 1306-1330, September.
    15. Juliane Reinecke & Jimmy Donaghey, 2021. "Towards Worker‐Driven Supply Chain Governance: Developing Decent Work Through Democratic Worker Participation," Journal of Supply Chain Management, Institute for Supply Management, vol. 57(2), pages 14-28, April.
    16. Annelien Gansemans & Céline Louche & Marijke D'Haese, 2021. "Planting Seeds for Social Dialogue: An Institutional Work Perspective," British Journal of Industrial Relations, London School of Economics, vol. 59(1), pages 84-113, March.
    17. Schüßler, Elke & Lohmeyer, Nora & Ashwin, Sarah, 2022. "We can't compete on human rights: creating market-protected spaces to institutionalize the emerging logic of responsible management," LSE Research Online Documents on Economics 115506, London School of Economics and Political Science, LSE Library.
    18. David Walters & Richard Johnstone & Phil James, 2025. "The challenge of improving work health and safety in global supply chains: Institutions and evidence of effectiveness," Economic and Industrial Democracy, Department of Economic History, Uppsala University, Sweden, vol. 46(2), pages 423-447, May.
    19. Sarah Castaldi & Miriam M. Wilhelm & Sjoerd Beugelsdijk & Taco Vaart, 2023. "Extending Social Sustainability to Suppliers: The Role of GVC Governance Strategies and Supplier Country Institutions," Journal of Business Ethics, Springer, vol. 183(1), pages 123-146, February.
    20. Jenny COLLINS & Julian S. YATES, 2023. "Leveraging transparency to shift capital‐labour relations in garment sector production: A critical analysis of the design and structure of the Bangladesh Accord," International Labour Review, International Labour Organization, vol. 162(4), pages 641-664, December.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:ilrrev:v:78:y:2025:i:3:p:435-462. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: http://www.ilr.cornell.edu .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.