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Research on Constructing Harmonious Labor Relations of Small and Medium-sized Enterprises Based on the Game Theory Perspective

Author: ZhaoJing
Tutor: SongJing
School: Dongbei University of Finance
Course: Human Resource Management
Keywords: small and medium-sized enterprises labor relations game tripartite mechanism
CLC: F276.3;F224.32
Type: Master's thesis
Year: 2011
Downloads: 291
Quote: 1
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Abstract


In the development of China’s socialist market economy, the small and medium-sized enterprises (SEMS) status increasingly prominent and make more and more contribution. But when it comes to labor relations, small and medium-sized enterprise apparently be nonimmune labor dispute cases, especially a lot of test brought by "labor contract law" implementation, the heavy blow from the financial crisis and laborer interest demand appeals increasingly intense.Under this situation, small and medium-sized enterprises face unprecedented survival pressure and competitive pressure, their internal labour disputes have entered the present period and have presented complicated and fiendish trend. If we do not solve them timely, they will not only damage the rights and interests of labourers, influence enterprise long-term development, but aslo endanger the harmony and stability of the society. So it is high time to solve the labor contradiction, construct the harmonious labor relations of small and medium-sized enterprise timely and effectively. This is also accord with the harmonious social development requirements, promoting economic development, guaranteeing decent work of the laborers. In view of this, this article take SEMS labor relations as the research object, points out the existing problems among the labor relations, using game analysis method from micro level to analyze the reason of labor contradiction of small and medium-sized enterprises. On this basis we introduce the dominant factors --the government and construct the three party game, aims to put forward the route choice to solve the problems of the labor relations in small and medium-sized enterprise:the government as the leading, enterprise as the main body, the tripartite mechanism for driving force, labor cooperation as fundamentality.This paper explain the concepts and theories of labor relations, harmonious labor relations, labor relations from the perspective of the game theory based on this resaerch which are game theory and the labor relations of Chinese and Western. Then make a detailed description for SEMS’ important position and role, the current situation of the development according to the relevant statistical yearbook and statistical data. Then analyse the major problems of labor relations in-depth:the laborer’s salary level is not high, and unable to achieve growth normally, labor relations coordination mechanism is unsound, labor contradiction is rising; social security level is low, labor safety construction is obvious imperfect. On this basis, we use game analysis method from micro level to analyze the reason of labor contradiction of small and medium-sized enterprises, that is both sides are pursuing its maximum interests and falling into the "prisoners’ dilemma", to get out of this situation we should make the government balance the two sides, in order to shift the noncooperative games to cooperative game, establish three party game model and the equilibrium, thus form a harmonious three party game three. In view of the above conclusions, we put forward the suggestions of constructing the harmonious labor relations according to the demand which is standardized and orderly, fair and reasonable, mutual benefit and win-win results, harmonious and stabilize. The government should set policy, enforce the law and promote the legalization, the labor relations two sides should solve the specific and general problem of labor relations, tripartite mechanism should solve the universal and complex labor relations, from the enterprise internal the two sides should cooperate, improve the labor relations. In practical terms, government should strengthen labor legislation, strengthen enforcement and supervision, establish the social security that adapt to development of SEMS; Enterprise should change the mode of operation, build a reasonable income distribution system and the normal wage growth mechanism; The national tripartite conference play an inportant role in macro level, and enterprise union play a role in micro level, the three parties play a key role in coordination; Finally the enterprises should construct a long-term contract relationship, establish internal appeal system, improve the contract system, and improve labor dispute coordination mechanism.The innovation of this paper lies in the research method of game theory, using the game matrix and the game tree to show the relationship between the enterprise and the laborer, the enterprise and the government, in order to analyze the reason of the labor relations through studying the game profit function of all paties. But this paper also has some defects and shortage in the process of research, there are some theoretical assumptions in the application of the game theory to analyze conflicts reason, so there may be some out compared with the actual situation, to be further research and improvement.

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CLC: > Economic > Economic planning and management > Economic calculation, economic and mathematical methods > Economic and mathematical methods > Operations Research in the economy > Game Theory
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