PSG Gold (“PSG”) a company with its headquarters in Germany has mining operations in various countries in Africa and Asia.
PSG is considering extending its operations in Asia by opening a subsidiary in India or China .The CEO has done a lot of reading regarding legislation about India and China and has been to both countries on several occasions.
Prior to making a decision as to whether to open a subsidiary in India or China, the CEO and CFO require pertinent information about employment relations in India and China. PSG has been involved in some battles with trade unions in other territories (including the United Kingdom) and has become cautious.
PSG is also serious about climate change and has made a number of changes in operations and various aspects of its supply chain. They therefore also need to assess how India and China view climate change and employment relations in both countries. Once they obtain this information they can decide whether it is advisable to open a subsidiary in India or China.
They also intend on moving some employees from Germany and the United Kingdom to India or China.
You are tasked to:
1) Analyze all four jurisdictions India, China, Germany and the United Kingdom – reviewing parties to employment relations, including trade unions, collective bargaining and the role of the state
2) Advise whether the CEO should opt for India or China – provide detailed analysis about both countries in relation to climate change and the compatibility with PSG Gold’s operations but making a clear choice which country either India or China the CEO should choose in the end.
3) Also the ramifications /effects for employees moving from Germany and the United Kingdom to either India or China (analyzing both countries India and China in the perspective of employees comparing it to Germany).
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