Question

Discuss whether you would advocate for labor unions in Afghanistan to be further strengthened (like in the European countries), OR you would not be in favor of such a policy because its adverse implications on unemployment rate/ wage level and you would rather prefer the United States model where labor unions are small in size. Explain your arguments.

Answer 1

Afghanistan is a country that has suffered a lot from war, armed conflicts between different local groups and other internal issues. In the wake of it, the country needs a fast economic recovery in terms of investments, job creation and building of infrastructure to facilitate the development of economic activities at the local level as well. So, it will not be correct to advocate labor unions  that can hinder the economic activities by putting up their demands, discouraging the foreign MNCs and holding local Afghan workers under their control. Rather, there should be American style of smaller sized organization of labor along with government sponsored labor laws that make a balance between the rights & duties of the workers and rights & duties of the management of the companies. It will facilitate growth, new job creations and purchasing power of people will increase. If not, then there will be frequent strikes if demand for high wage is not accepted and economic activities  will suffer.

So, the first argument to not to promote formation of labor union is that it can hinder the economic activities due to its unlawful demand and making it difficult for the overseas firms to operation. Rather, it is good to apply labor laws that can help workers and companies have to comply with it.

The second argument is that, the formation of labor union, will force workers to first join the union, pay them the fee and act as the union suggests. It will cause regular standoff and economy will move in backward direction. Further, new companies will not be interested to come to the country of Afghanistan. So, the process of FDI in the country, will suffer, slowing down the growth of the economy.