Richard Hyman: Marxism,Trade Unionism and Comparative Employment Relations

Richard Hyman has been a hugely influential figure in the field of industrial relations for the best part of four decades. At a time when the future of the very subject has been questioned, we highlight three areas of Hyman's work that we believe provide fertile territory for future research. The first concerns the importance of theory and the continuing need to broaden the subject of industrial relations so that it is treated as an area in which we can examine wider questions about ‘the political economy of waged labour’. The second area is the changing nature of employee representation which, for much of Hyman's career, was synonymous with the analysis of trade unions under capitalism. The third area is one of the more striking recent successes within the subject, namely the study of comparative industrial relations. Each of these areas reveals Hyman's talent for identifying and clarifying a set of issues around the politics of work that will endure regardless of whether the subject is known as industrial relations, employment relations or human resource management.     

Root Metaphor in the Old and New Industrial Relations

Why have academic concerns and priorities within the old industrial relations paradigm seemingly wilted before the ideas of a new, more business oriented paradigm? I suggest that the answer lies partly in the relative appeal of their respective root metaphors. The metaphor of the old tends to be closed, static and pessimistic — industrial relations as trench war. The new offers a more hopeful, essentially American pioneering metaphor that conveys challenge and progress and makes a fetish of change. However, while I accept the inevitability of metaphorical devices in disseminating and even generating ideas in social science, the article warns against being seduced by the attractiveness of the metaphor rather than the robustness of the idea.     

Unraveling Home and Host Country Effects: An Investigation of the HR Policies of an American Multinational in Four European Countries

This article argues that the institutional "home" and "host" country effects on employment policy and practice in multinational corporations (MNCs) need to be analyzed within a framework which takes more account both of the multiple levels of embeddedness experienced by the MNC, and processes of negotiation at different levels within the firm. Using in-depth case study analysis of the human resource (HR) structure and industrial relations and pay policies of a large U.S.-owned MNC in the IT sector, across Germany, Ireland, Spain, and the United Kingdom, the article attempts to move towards such a framework.     

Is There a Third Way for Industrial Relations?

There has been little systematic analysis of what the ‘Third Way’ means in the sphere of industrial relations. This paper examines the record of the New Labour government in order to evaluate the distinctiveness, innovation and coherence of its industrial relations policy. It argues that many of the limitations of this policy result from the institutional context within which it was introduced. In comparative perspective, Third Way industrial relations can be thought of as a policy adaptation specific to centre–left governments in weakly co‐ordinated liberal market economies.     

Introduction: Labor Market Institutions and the Future Role of Unions

Government regulations and business policies affecting employee relations are on an up ward trend, whereas the role of organized labor in private-sector industrial relations is on a downward trend. The significance of the displacement of private-sector unions in this transformation is not sufficiently addressed in the literature. The papers in this volume, summarized in this introduction, partly respond to this unmet need. We conclude with an agenda for future research about the labor movement, unions, and government in industrial relations     

The Reconstruction of Industrial Relations in the Privatized Water Industry

Abstract : The article examines changes in industrial relations in the recently privatized water authorities, and argues that the development of new industrial relations procedures and practices has involved a substantial reconstruction of the old public-sector industrial relations framework. However, change has by no means been uniform throughout the ten new water plcs, and comparisons are made to highlight the diversity of management response to the new environment created by privatization. In explaining the scope and pace of change, the paper argues that the early move to single-employer bargaining and the opportunities for comparisons of performance within the new regulatory framework are important explanatory factors.     

The Involvement of Civil Society Organizations in British Industrial Relations: Extent,Origins and Significance

This article examines the involvement of civil society organizations (CSOs) in UK industrial relations. Organizations of this type, including advocacy, campaigning, identity and community organizations have attracted increasing attention from employment relations scholars in recent years. The study reported in this article demonstrates that CSOs have become increasingly active in the sphere of work and employment, partly in response to trade union decline but also owing to political opportunities, afforded by the labour market policy of the New Labour government. It is claimed that CSOs operate at multiple levels of the industrial relations system and interact with the state, employers and trade unions. They generate significant effects within UK industrial relations and can rightly be judged significant ‘new actors’ on the UK employment scene.     

The Erosion of the German System of Industrial Relations

The paper assesses current trajectories of change in the German system of industrial relations by analysing the co-determination and collective bargaining systems. It argues that two parallel developments undermine the institutional stability of the German model. First, the institutional base of the German industrial relations system, which has served as the pre-condition of its past success, has been shrinking during the last two decades. This is due to a decline in coverage by the two major industrial relations institutions: the works council system and wage agreements. Today fewer than 15 per cent of German plants are covered by both a valid collective agreement and a works council. Second, increasing decentralization pressures within collective bargaining tend to undermine the division of labour between co-determination and collective bargaining. The dynamics of an institutional erosion of the German industrial relations institutions and the decentralization of collective bargaining disturbs the fine-tuning of the mediating process between macroeconomic steering capacity and co-operative workplace industrial relations. This tendency has been aggravated by the effects of German unification. The current institutional developments of the German industrial relations system leave serious doubts about the future of a successful model of co-operative modernization.     

Do Industrial Relations Institutions Influence Foreign Direct Investment? Evidence from OECD Nations

The potential impact of industrial relations institutions on economic outcomes has been a key element in analyzing the governing of the global workplace. We present case information and analysis that show that there are trade‐offs between higher levels of economic outcomes and greater equity and employee voice associated with more and deeper labor market institutions. The estimates from the model show the impact of industrial relations system policies within a nation on a country's foreign direct investment (FDI) from other nations for the period 1985 through 2000 using data from nations that are members of the Organisation for Economic Co‐operation and Development (OECD). Examples of the impact of major transformations in national industrial relations systems on FDI for UK and New Zealand also are presented. Our results show that higher levels of industrial relations institutions from the firms’ perspective are usually associated with lower levels of FDI.     

Informal Employment Dispute Resolution among Low‐Wage Non‐Union Workers: Does Managerially Initiated Workplace Voice Enhance Equity and Efficiency?

The decline of collective industrial relations has shifted the focus of industrial relations research to the study of individual employment disputes. In this article, we investigate whether employer‐initiated workplace voice is associated with improved resolution of individual complaints or grievances workers make against employers. We find that our measure of workplace voice is associated with less serious problems, more informal methods of dispute resolution, more satisfactory outcomes for workers and lower quit rates. However, these findings need to be set against generally low rates of satisfactory dispute resolution for all employees in our sample.     

Rethinking Institutions and Institutional Change in European Industrial Relations

This article traces the process of institutional change in industrial relations in Britain, France and Sweden over the last quarter‐century in order to identify the mechanisms and forms of institutional change. These three cases demonstrate a high degree of institutional plasticity, and a greater convergence in industrial relations than comparisons of national institutions have tended to suggest. These findings in turn suggest the need to rethink both the role of institutions and the nature of institutional change in comparative political economy.     

Beyond the Flexibility/Security Trade‐Off: Reconciling Confident Consumers with Insecure Workers

The article proposes an analysis of labour markets and related social policy that corrects the supply‐side emphasis that has dominated economic policy since the decline of Keynesian approaches in the late 1970s. It starts from a potential tension between the apparent need of economies for both flexible workers and confident consumers. This can be resolved through three different approaches: separating insecure workers from secure consumers, separating consumption from labour incomes, and integrating flexibility and security within the labour market itself. These approaches are played out across four different contexts: place, time, externalizing problems on to minorities within a given community, internalizing problems within the community. Up to 19 different public policies and corporate practices are identified, occupying different positions on the framework. These go considerably beyond the issues of industrial relations institutions and related social policy that are the normal focus of labour market studies.     

Counterpoising Collectivism: Performance-related Pay and Industrial Relations in Greenfield Sites

This paper addresses some of the industrial relations ramifications of performance-related pay (PRP) using empirical data from both new and longer established firms in the Republic of Ireland. Particular emphasis is placed on the adoption of PRP systems based on performance appraisal and the implications of such systems for collectivism in industrial relations. The paper concludes that the diffusion of such systems is indicative of increasing employer attempts to individualize the employment relationship and exclude union penetration. It is further argued that such PRP systems, irrespective of the motivation for their establishment, undermine the essence of collectivism and solidarity in industrial relations.     

Workplace Industrial Relations 25 Years after Donovan: An Employer View

Some common management themes of the 1980s can be traced to Donovan and are revealed in practice by the 1990 Workplace Industrial Relations Survey. The paper considers the relevance of factors not endorsed by Donovan and concludes that, while in terms of industrial action in manufacturing — the focus of concern in the mid-1960s — there is evidence that more order and responsibility has been injected into industrial relations at plant level, we cannot yet maintain that inflationary dangers have been overcome. Collective bargaining is, however, now revealed as affecting only a minority in the private sector, and public services behaviour looks increasingly out of step. The paper suggests that future surveys may therefore need to be recast to capture changing patterns of employer – employee relationships and their links to economic success.     

The Ascendancy of Employment Arbitrators in US Employment Relations: A New Actor in the American System?

In this paper, we survey the underpinnings of the trend towards employment arbitration in the United States, and its implications for the broader industrial relations system. Specifically, we address the question of whether or not employment arbitrators have been substituted for collective bargaining by the government to an extent that warrants their inclusion as an actor in the industrial relations system. We review developments in workplace dispute resolution in the United States, the literature that attempts to explain these developments and posit an assessment of the stability of employment arbitration, and employment arbitrators, as a central feature of the US industrial relations system.     

Predicting Organizational and Union Commitment: The Effect of Industrial Relations Climate

Research evidence from North America shows that employees can be committed simultaneously to both their union and their company. Moreover, a co-operative industrial relations climate has been seen to be conducive to the existence of higher levels of commitment to both organizations. This study utilized a sample of white-collar unionists in Australia to identify whether union and company commitment could be predicted by the same factors and whether positive perceptions of the industrial relations climate were related to dual commitment. The research found no evidence of dual commitment. Furthermore, company and union commitment were predicted by different factors, and employee perceptions of a co-operative industrial relations climate were associated with higher employee commitment to the company but lower commitment to the union.     

Addressing the Legitimacy Gap in the Israeli Corporatist Revival

Since the mid-1980s, Israel's labour law and industrial relations have transitioned from a Continental corporatist system to an Anglo-American pluralist system. The process has been characterized by greater fragmentation of the labour market and the system of interests' representation. However, in recent years, there have been several episodes of nationwide collective agreements and social pacts. These agreements resonate with a second generation of social corporatist bargaining that has been identified in some European countries. In this article, I question the legitimacy of the new agreements. The legitimacy gap evolves from the use of corporatist instruments against the backdrop of a pluralist system. I discuss the attempts to increase the legitimacy of the corporatist instruments, pointing to their limited success. Future attempts must consider solutions that track the hybrid nature of the industrial relations system and devise institutions that bring together the traditional corporatist social partners and the new pluralist agents. Of particular importance is the need to consider the role of the new associations in civil society that voice the interests of the growing segment of disadvantaged workers in the secondary labour market.     

Industrial Relations in Hotels and Catering: Neglect and Paradox?

Given that hotels and catering comprise an important part of the service sector representing the changing face of the economy, their neglect in industrial relations discourse about the 'new' industrial relations is no longer sustainable. Previously unpublished data from the Workplace Industrial Relations Survey 1990 (WIRS3) have provided the first opportunity for systematic analysis and evaluation of employment relationship issues in the industry and finds them to be different from those observed elsewhere in the economy. Consequently, hotels and catering can be said to manifest a predominance of 'unbridled individualism' associated with 'poor' industrial relations outcomes which, paradoxically, exist alongside an above average presence of personnel specialists.     

International Political Economy and Industrial Relations

The field of international political economy offers valuable insights into global economic integration, trade liberalization, global governance and the nature and activities of international organizations and regimes. Despite their impact on industrial relations, industrial relations theory has not wholeheartedly engaged with these phenomena or this sister field. This paper argues that the field of international political economy offers much to industrial relations, particularly in terms of understanding the nature and impact of internationalization and emerging global governance. The potential in a closer relationship between the two fields is illustrated by the example of the international labour standards regime and its principal organization, the International Labour Organisation.     

Satisfaction, Market Wages, & Labor Relations: An Airline Study

We use arguments from economics and industrial relations to help examine aspects of job satisfaction in the context of a changing industrial relations scene. Market comparisons and wage contours provide the strongest predictors of pay satisfaction. Results also suggest that workers in the "B" tier of two-tier wage plans are in fact more satisfied with pay and that overall, workers are more satisfied with less supervision and more control over their work.