Question

In: Economics

Was Union Carbide Corporation responsible for training and supervising the employees of its subsidiaries? Is it...

Was Union Carbide Corporation responsible for training and supervising the employees of its subsidiaries?

Is it possible to supervise all aspects of overseas production?

Solutions

Expert Solution

Yes, Union Carbide Corporation was responsible for training and supervising the employees of its subsidiaries. Training about the safety and health hazards of MIC was a main problem at the Bhopal plant. Union Carbide Corporation was responsible for providing all requisite training to workers, managers and supervisors who are responsible for the production or use of hazardous chemicals- in a language understood by them- about the hazards, control measures, proper operating procedures, and plans for emergency response. However it has to be noted in India there can be more than one union representing workers as a plant and at Union Carbide Bhopal there occurred the conflicts between an independent union over who represented the majority of workers in the plant and a union affiliated with the Indian National trades union congress (INTUC). Moreover Indian managers were not open or receptive to U.S. managers and technical specialists who visit the production plant. Such factors do not negate Union Carbide’s responsibility, instead begins the dilemma that Union Carbide faced at the time, which is an ongoing dilemma for multinationals today. The location of overseas manufacturing production is driven by few common factors that operate in all industries; and also with technical advancements and a proper planning it is possible to supervise all aspects of overseas production


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