Why the double standard for China employees and their U.S. counterparts? Wal-Mart approves unions in China
Wal-Mart is expanding rapidly in China
Wal-Mart has said it will allow its Chinese workers to join a trade union, marking a u-turn on previous policy.
The world's largest retailer, known for its anti-union stance, has come under pressure from Chinese authorities in recent months to modify its position.
China's state-run labour union has threatened legal action against foreign businesses over the right to organise workers at their Chinese operations.
Unions currently only operate at one Wal-Mart store, in Canada.
State influence
Experts said the decision had more to do with the state exerting political influence than seeking to provide greater rights to employees.
Should associates request formation of a union, Wal-Mart China would respect their wishes
Wal-Mart China
Independent trade unions are illegal in China, with all workers belonging to the Communist Party controlled umbrella body All China Federation of Trade Unions (ACFTU).
Workers who go on strike over pay and workplace abuses are dismissed while organisers of labour protests face imprisonment.
The All-China Federation of Trade Unions has been pressing the world's largest retailer to establish branches in its stores.
Wal-Mart had previously said that it would not allow unions to operate, saying that it preferred to deal with its 20,000 Chinese employees directly.
Union demands
"Should associates request formation of a union, Wal-Mart China would respect their wishes and honour its obligation under China's Trade Union Law."
It is still unclear if they will work to protect worker's rights
Li Qiang, China Labor Watch
Experts such as Li Qiang of the New York-based China Labor Watch say the ACFTU has had a poor record in improving labour rights.
"Efforts to set up ACFTU unions in foreign enterprises has been going on for some time," Agence France Presse quoted Mr Li as saying.
"It is still unclear if they will work to protect worker's rights or help local governments accomodate more foreign companies."
Earlier this year, China's national legislature conducted an investigation into how companies were complying with the country's labour laws.
It found that several leading multinational firms, including Wal-Mart, were resisting efforts to set up union branches.
Critics say that Wal-Mart's non-union status in the US has helped to give the firm a competitive advantage, enabling it to offer low wages and benefits.
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