ABSTRACT
Neoliberalism and globalisation have changed the world into a single interdependent market exchanging goods, services and labour. Globalisation affects developed and newly industrialising countries, in the former through the loss of industries and jobs and in the latter through increased inward investment and industrialised employment. China and India provide two prototype industrialising economies.
China’s economic liberalisation has accelerated recently, with spectacular economic growth. There is evidence of Western-style hard and soft HRM, though EPV development is hindered by cultural factors. Joint ventures and high-tech production encourage employers to adopt involvement and share schemes for key workers. Unions remain under the control of the government-aligned federation, though publicity over working conditions has led to growing independent union activity. Opinions are divided as to whether growing collective consciousness will translate into wider civil action.
India’s fast-growing economy is influenced by cultural factors. With well-educated and young workers, growth has developed in high-tech projects and services. Management, though, tends to be based on unitary lines and, although unions are well established, they can face strong managerial and political resistance. This situation is reflected in many developing economies where working conditions can be primitive and even dangerous, with little opportunity for free voice expression.
