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Charting the Contours of Union Recognition in Foreign-Owned MNCs: Survey Evidence from the Republic of Ireland
Abstract
This paper reports findings from the first large-scale representative survey of employment practices in multinational companies (MNCs) in Ireland. Using data from some 260 MNCs, it investigates the contention that foreign- and Irish-owned MNCs differ in their approach to employment relations (ER). This paper finds evidence that Irish, UK and ‘rest of Europe’ MNCs are more likely to recognise trade unions, whereas US MNCs are the least likely to do so. More strikingly, there is a growing trend of union avoidance amongst unionised companies through the establishment of new non-union sites. Differences between foreign- and Irish-owned MNCs are also apparent. Overall, the evidence supports the view that a new orthodoxy is emerging in Irish ER whereby foreign-owned MNCs are introducing home country practices that are at odds with the more traditional pattern existing in Irish-owned MNCs.
... Ireland has proven an important location to explore management behaviours and approaches of MNEs (Barry, 2007;Rios-Morales and Brennan, 2007). Within this body of literature, Ireland's IR institutions represent a frequently examined dimension of MNE subsidiary (Belizon et al., 2014;Collings et al., 2008;Gunnigle et al., 2005;Lavelle, 2008). This range of academic attention, however, has predominantly been on MNEs from Western developed economies (e.g. ...
... Trade unions were traditionally well-established in Ireland, characterised by a long and rich history of high levels of trade union recognition (even among foreign MNEs), trade union involvement, collective bargaining and collective agreements in many sectors and industries in Ireland (Kelly and Brannick, 1985;Wallace et al., 2020). However, recent research indicates a general decline of union membership and influence in Ireland due to a variety of reasons, including the role of foreign MNEs (Belizon et al., 2014;Collings et al., 2008;Gunnigle et al., 2005Gunnigle et al., , 2009Lavelle, 2008;Lavelle et al., 2010). Focussing specifically on MNEs and the host institutional environment, Edwards et al. (2016) suggest that a dual institutional field exists in Irelandthat is, one set of institutions that influence IR practices in domestic companies but a different set of institutions that influence IR practices in foreign MNEs. ...
... We also note the important role played by the IDA Ireland which provides support for Whitley's (1999) contention that MNEs who receive significant financial and other supports feel obliged to or are more likely to adopt to local policies and practices (in this case, engagement with trade unions). However, turning to more recent times, widespread decline of union membership and influence, especially in liberal market economies, characterises the IR context of Ireland with MNEs in particular demonstrating a strong preference for trade union avoidance (Collings et al., 2008;Gunnigle et al., 2009;Lavelle, 2008;Lavelle et al., 2010;McDonnell et al., 2014;Wallace et al., 2020). Thus, the institutional environment that the second wave of Chinese MNEs entered was in contrast to that of early investing MNEs, whereby union avoidance by most MNEs had become the norm. ...
This paper explores the industrial relations (IR) experiences of Chinese multinational enterprises (MNE) in Ireland, with particular focus on the impact of host and home country institutions on IR policies and practices. The study adopted a qualitative methodology of semi-structured interviews with managerial respondents from eight Chinese MNEs located in Ireland and personnel in other relevant public and private organisations. Our results indicate that host country IR institutions (e.g. trade unions, employment legislation and government support) largely explain the IR practices of Chinese MNEs in Ireland. This study also identifies home country effects mostly relating to a hierarchical managerial approach and the development of a culture of harmony and collaboration. Finally, our results also call attention to some emerging ‘convergence’ and ‘divergence’ between Chinese MNEs and other MNEs in Ireland in terms of their IR experiences and responses.
... Turning to the present investigation, evidence is found in the literature indicating that the Irish context has greater labour regulation and independent trade union influence and power when compared with China (Warner and Ng, 1999), which in turn might be considered as likely to discourage Chinese MNEs in terms of locating their FDI activities in Ireland. However, on the other hand, Ireland is generally perceived in the West as having a somewhat more permissive legislative and IR regime than many of its larger EU counterparts (such as Germany or the Nordic and Scandinavian countries), conveying some potential comparative advantage for Ireland in attracting inward FDI (Gunnigle and McGuire, 2001;Lavelle, 2008;Mayuya & Jacobson, 1991 ). From this perspective, labour regulation and IR might be positively, rather than negatively, perceived by some Chinese MNEs in Ireland. ...
... The Irish case is especially noteworthy given its track record in consistently attracting high levels of inward FDI for well over 50 years and its status as one of the world's most However, deeper analysis reveals that the great bulk of FDI in Ireland originates from the US and Europe and remarkably little FDI from Asia in general, or China in particular (Lavelle, 2008 , 2015). This is surprising given 10 years of aggressive FDI promotion in China by Ireland's industrial promotions agency IDA Ireland, considered one of the world's most effective investment promotion agencies (Loewendahl, 2001). ...
... Ireland is generally perceived in the West as having a somewhat more permissive IR regime than many of its larger EU counterparts (such as Germany) or indeed smaller countries (such as Denmark or the Netherlands) (Lavelle, 2008). This is viewed by US MNEs in particular as conveying 'comparative advantage' on Ireland in attracting inward FDI as a result of relatively less restrictive legislative and IR system and thus a positive factor in attracting US FDI (Gunnigle and McGuire, 2001;Mayuya & Jacobson, 1991). ...
Despite its small scale and peripheral location, Ireland has enjoyed remarkable success in attracting foreign direct investment (FDI). This is predicated on a combination of incentives, principally low corporation tax but also certain 'Human Resource' factors, particularly labour availability, quality and productivity. This paper presents an empirical investigation of the impact of human resource and industrial relations (HR/IR) considerations on the location decision of Chinese multinational enterprises (MNEs) in Ireland. To achieve this aim, our paper addresses two specific research objectives. We firstly seek to identify and profile the population of Chinese MNEs in Ireland and secondly we empirically investigate the impact (or otherwise) of HR/IR considerations on their location decision. Our work confirms the low level of Chinese FDI in Ireland and finds that HR/IR factors had a differential impact on location decisions. We further highlight and discuss the extent of HR/IR impact and the underpinning reasons for variation.
... Turning to the present investigation, evidence is found in the literature indicating that the Irish context has greater labour regulation and independent trade union influence and power when compared with China ( Warner and Ng, 1999), which in turn might be considered as likely to discourage Chinese MNEs in terms of locating their FDI activities in Ireland. However, on the other hand, Ireland is generally perceived in the West as having a somewhat more permissive legislative and IR regime than many of its larger European Union (EU) counterparts (such as Germany or the Nordic and Scandinavian countries), conveying some potential comparative advantage for Ireland in attracting inward FDI (Gunnigle and McGuire, 2001;Lavelle, 2008;Mayuya and Jacobson, 1991). From this perspective, some Chinese MNEs in Ireland might positively, rather than negatively, perceive labour regulation and IR. ...
... However, deeper analysis reveals that the great bulk of FDI in Ireland originates from the US and Europe and remarkably little FDI from Asia in general, or China in particular (Lavelle, 2008). According to the available official data released by the Ministry of Commerce of People's Republic of China (MOFCOM), Chinese FDI in Ireland is low and Ireland has never featured among the top destinations for Chinese FDI into the EU Chinese firms in Ireland (MOFCOM, 2009(MOFCOM, , 2014). ...
... With respect to the impact of labour regulation and IR, again mixed evidence was found. Ireland is generally perceived in the West as having a somewhat more permissive IR regime than many of its larger EU counterparts (such as Germany) or indeed smaller countries (such as Denmark or the Netherlands) (Lavelle, 2008). This is viewed by US MNEs in particular as conveying 'comparative advantage' on Ireland in attracting inward FDI as a result of relatively less restrictive legislative and IR system and thus a positive factor in attracting US FDI (Gunnigle and McGuire, 2001;Mayuya and Jacobson, 1991). ...
... While more research is being undertaken in developing country MNEs, there is little on the least developed countries (Cuervo-Cazurra and Genc, 2008). The research is also criticised for a lack of representativeness, with bias towards " largest, most global, well-known, US based manufacturing firms " (Lavelle, 2008: 51), but also with small samples and only partial coverage of MNEs. An obvious gap in the literature is the increasing role of " macro markets " in FDI location and the ensuing effect on employment (Brandl et al., 2010). ...
... It might, therefore, be predicted that labour rights in MNE subsidiaries in developing countries will be lower than in developed countries. The " country of origin " effect is widely discussed in the literature and this holds that MNEs " approach to industrial relations and HRM in their subsidiaries will conform to their home country practices and policies (Shen, 2007; Lavelle, 2008). However, it has been illustrated that " different national contexts provide frameworks which allow MNCs greater or lesser flexibility for external management policies " (Vo and Rowley, 2010: 234). ...
... Overall, MNEs have a tendency to avoid unions while adhering to local legislation, particularly in new sites. They do respond to union pressure (Edwards et al., 2007; Lavelle, 2008; Quintanilla, Susaeta and Sanchez-Managas, 2008; Shen, 2007). The research indicates that MNEs are often clearly unionised or do not have a union presence at all and in companies that recognised unions, the majority of employees were unionised (Belanger, Harvey, Jalette, Levesque and Murray, 2006; Lavelle, 2008). ...
This paper evaluates two innovative systems which are encouraging higher employment standards amongst those engaged in the world's food production. They are through retailer led supply contracts, such as GLOBALGAP, and indirect regulation, such as the licensing of labour contractors. The former contractual initiative has evolved from EUREPGAP, an initiative of supermarket retailers from Europe, which now extends worldwide. The paper outlines the evolution of EUREPGAP to GLOBALGAP and how this retailer initiative has increased the focus on worker welfare and development. This is not at the expense of governments and taxpayers, but at that of producers and the final consumers, who wish to consume safe, healthy and ethically produced foods. The paper reviews how compliance with GLOBALGAP standards is achieved. The second initiative is focused on the developed world, where farm work is no longer popular. Finding the labour supply for seasonal production processes is difficult. Consequently, migrant labour is often utilised. However, casual employment presents compliance problems. Farmers are often tempted to operate a cash based, undocumented approach. Careful governance of labour supply contractors can help ensure compliant employers and employees, while also fulfilling the labour needs of farmers and packers. A case study of the Recognised Seasonal Employer Scheme (RSE) now operating in New Zealand is presented as illustration. New Zealand has insignificant unemployment and yet high seasonal labour needs for pruning, training, picking and packing of its varied horticultural produce, which is produced largely for export, and has to frequently comply with GLOBALGAP. At the same time there is an underutilised labour force in the Pacific. A tripartite strategy has been developed between governments (both NZ and from the Pacific), New Zealand farmers and growers, and New Zealand trade unions. This gave rise to the RSE temporary migration policy and scheme. RSE requires conformity to basic local employment standards, and requires the provision of adequate accommodation, pastoral care and guaranteed repatriation of workers at the end of the season. Such a policy fits with a 'Work, not aid' philosophy for helping impoverished Pacific neighbours, and facilitates substantial remittances to source countries, potentially creating a 'Win:Win:Win' for participants.
... In Ireland, several studies have highlighted the marked increase in trade union avoidance, particularly among American MNCs establishing at greenfield facilities (cf. Gunnigle, 1995, Gunnigle et al., 1997Geary & Roche, 2001;Lavelle, 2008). ...
... In discerning a pattern with regard to union recognition, it is clear that country of ownership matters (Lavelle, 2008). Levels were highest among indigenous and UK MNCs at over 80 per cent. ...
This paper examines the use of “double breasting” as a means of union avoidance among multinational companies (MNCs). Double breasting refers to the practice whereby multi-establishment organizations simultaneously operate establishments on both union and non-union bases. Using survey data from the largest and most representative empirical investigation of employment practice in MNCs in Ireland, supplemented by qualitative data gathered from case-based investigations in the subsidiary operations of American-owned MNCs, we profile the incidence and pattern of this particular form of union avoidance as well as providing insights on management's rationale for so doing. Our findings suggest that a substantial and increasing number of unionized MNCs in Ireland are engaging in double breasting. This phenomenon is most evident among U.S. MNCs. We also find that employers, at both local and global levels, have proactively initiated double breasting as a strategic ploy to increase management prerogative and better position subsidiary operations to attract new investment from corporate levels.
... It might, therefore, be predicted that labour rights in MNE subsidiaries in developing countries will be lower than in developed countries. The 'country of origin' effect is widely discussed in the literature and this holds that MNEs' approach to industrial relations and HRM in their subsidiaries will conform to their home country practices and policies (Shen, 2007;Lavelle, 2008). This is apparent in the studies later in this report, particularly with US MNEs showing lower frequency of union recognition than MNEs based in other countries. ...
... Union recognition was more likely in MNEs with more than one site. However, union recognition was lower in new sites established within five years of the study, suggesting that MNEs prefer not to recognise unions but do so in response to strong pressure from strong unions (Lavelle, 2008). ...
... The country in which an MNC originates is believed to influence the way labour is managed in its international subsidiaries (Ferner, 1997). For example, much research has shown that US-owned MNCs are less likely to engage with trade unions (De Vos, 1981; Geary and Roche, 2001; Gunnigle et al. 2005; Kochan et al., 1986; Lavelle, 2008 ) compared with their Irish and European counterparts. Due to the small MNC population in Ireland we categorize some countries into broad categories. ...
... First, with regard to trade union recognition, we note that MNCs established pre-1980 are far more likely to engage with trade unions than those established post 1980 (79% versus 34%). Second, we find a high incidence of union avoidance among unionized MNCs, an issue now receiving some attention in the literature (Gunnigle et al., 2005Gunnigle et al., , 2008 Industrial Relations News, 2004a; Lavelle, 2008). Exactly half of all unionized MNCs that established a new site in the previous five years did not recognize unions in all of their new sites. ...
Employee voice has been an enduring theme within the employment relations literature.This article profiles the incidence of a range of direct and indirect employee voice mechanisms within multinational companies (MNCs) and, using an analytical framework, identifies a number of different approaches to employee voice. Drawing from a highly representative sample of MNCs in Ireland, we point to quite a significant level of engagement with all types of employee voice, both direct and indirect. Using the analytical framework, we find that the most common approach to employee voice was an indirect voice approach (i.e. the use of trade unions and/or non-union structures of collective employee representation). The regression analysis identifies factors such as country of origin, sector, the European Union Directive on Information and Consultation and date of establishment as having varying impacts on the approaches adopted by MNCs to employee voice.
... Thus, an exposition of the impact of MNEs of the host institutional employment system will be a useful addition to the literature in this regard. For example, in the Irish context where multinational investment is hugely signifi cant there has been a signifi cant degree of study of the extent to which foreign-owned MNEs conform to or diverge with host ER traditions (see, for example, Gunnigle, 1995;Geary and Roche, 2001;Gunnigle et al., 2005;Lavelle, 2008;Turner et al., 2001). However, the impact of these MNEs on the Irish ER system has received far less attention (for an initial exploration of this issue based on case evidence of US MNEs see Collings et al., 2008). ...
... It has long been noted that the country in which an MNC originates influences the way labour is managed in its international subsidiaries (Ferner, 1997). This is especially evident in the tendency for a decline in indirect participation associated with lower union recognition levels in American MNCs relative to Irish and European MNCs (DeVos, 1981;Gunnigle et al., 2005;Lavelle, 2008). However, these findings must be put in context of the likely interplay between differing voice mechanisms. ...
Foreign direct investment by multinational companies (MNCs) has undoubtedly been a very significant contributor to economic growth in Ireland over recent decades. While the current economic crisis will curb the pace of globalisation, the internationalisation of business activity is likely to continue. Indeed, even in 2008 Ireland experienced high levels of new investment by MNCs while concurrently witnessing closures and disinvestment in the MNC sector.
This volume is particularly timely. Not only does it come at a time of immense challenge for the Irish and international economy but it also addresses key issues regarding employment practice in MNCs in Ireland. This volume is based on data gathered through a comprehensive and highly representative survey of HR practice in MNCs in Ireland. This survey forms part of a larger international project involving parallel surveys by research teams in Australia (University of Newcastle, University of Wollongong & La Trobe University), Canada (University of Montreal, HEC Montreal and Laval University), Denmark & Norway (Copenhagen Business School & the Norwegian School of Economics and Business Administration), Mexico (El Colegio del Norte), Spain (IESE, University of Navarra) and the UK (De Montfort University, King’s College, London and the University of Warwick). Findings from the Irish and international studies were presented last June at an LRC National Symposium entitled Human Resource Management in MNCs: Employment Practice and Global Value Chains in the Croke Park Conference Centre, Dublin. This symposium involved presentations by some of the world’s leading scholars in the field and considered the experience of MNCs in countries such as Australia, Canada, Mexico, Spain and the UK, in addition to Ireland. It also involved presentations from HR practitioners from both foreign and Irish owned MNCs including CRH, Golden Pages and Pfizer and contributions from trade union executives and from the ILO. This symposium attracted an attendance of some 150 HR practitioners from MNCs.
... Ireland, several studies have highlighted the marked increase in trade union avoidance, particularly among American MNCs establishing at greenfield facilities (cf. Gunnigle, 1995, Gunnigle et al., 1997; Geary & Roche, 2001; Lavelle, 2008). ...
The relationships among employee representation, formal union status, and employer strategies within and across institutional regimes offer a variegated landscape in the context of globalization. Key questions remain as to the relative weight of macro- and micro-level influences on union status at subsidiaries of multinational companies (MNCs). This study analyzes data gathered through coordinated surveys of MNC subsidiaries in Canada, Ireland, and the United Kingdom and tests the extent to which union status and double-breasting depend on home-country variation, host-country influences, and particular organizational characteristics. The authors find support for a combination of effects on both union status and double-breasting. Further analyses test explicit variations on union status within each host context and support arguments that effects depend on the particularities of national industrial relations regimes.
... In line with our earlier discussion, much of the relevant published work has placed particular emphasis on how institutional context in the country of origin informs MNC approaches to employee voice (cf. Edwards et al., 2012;Gooderham et al., 2011;Gunnigle et al., 2009;Lavelle, 2008;Marginson et al., 2010Marginson et al., , 2013Minbaeva and Navrbjerg, 2011;Sablok et al., 2013). The use of direct and indirect employee voice along with the incidence of hybrid or dualistic systems has been investigated through an approach that uses, and seeks to go beyond, the 'varieties of capitalism' (VoC) lens (Lamare et al., 2013). ...
This paper has three principal aims. It firstly provides some theoretical background on the key current research issues and challenges in regard to industrial relations in multinational companies (MNCs). It then presents a concise review of scholarship to date on industrial relations in MNCs using INTREPID (Investigation of Transnationals' Employment Practices: an International Database) data. Finally, the paper identifies some of the main industrial relations issues that remain to be addressed, in effect charting a form of research agenda for future work using the INTREPID data, with particular focus on the potential contribution from ‘late joiners’ of the INTREPID project.
... Jacoby 1991;Ferner 1997;Wheeler and McClendon 1998;Edwards and Ferner 2002). These results are especially relevant when looking at patterns of union recognition, where MNCs emanating from traditionally anti-union environments will continue to maintain a negative approach towards unions, regardless of the IR system in which their subsidiary operations are found (De Vos 1981;Ferner 1997Ferner , 1999Almond et al. 2005;Gunnigle et al. 2005;Lavelle 2008). ...
The relationships between employee representation, union presence, and employer strategies within and across institutional regimes offer a complex and changing landscape in the context of globalization. Key questions concern the institutional latitude/permissiveness afforded to multinational companies vis-à-vis union representation and the extent to which MNCs are catalysts for change in different institutional contexts. This paper focuses on MNCs' approaches to union recognition and double-breasting in three liberal market economies: Canada, Ireland and the United Kingdom. We address the notion that although MNCs may seek to import home-country behaviors and practices into host environments, divergent institutional structures shape and mediate these efforts as they relate to union recognition and double-breasting; we also consider the influence of individual organizational characteristics.We use data gathered through coordinated surveys of employment practices within each country and employ quantitative methods to compare results both within and across the three countries. We find that country of origin and other organizational characteristics largely influence MNCs' union recognition and double-breasting likelihoods, but that this influence is, to varying degrees, mediated by the permissiveness of the host environment and other complicating factors. Introduction The relationship between multinational firms and different employee representation regimes justifiably generates much interest among scholars of employment and industrial relations (IR). Employee representation is deeply embedded in the institutional arrangements of national political economies, reflecting unique trajectories of institutional development founded in the particular compromises of social actors at key historical moments. Multinational firms are often seen as exogenous to such national path dependencies, arguably carriers of practices and understandings forged in other contexts and imbued with other influences. The confrontation between these two logics provides for fascinating contrasts, traditionally framed in terms of contesting 'home' and 'host' country influences on employee representation practice.
... There is a substantial literature demonstrating the influence of country of origin on the management of labour in international subsidiaries (Ferner, 1997). The literature suggests that MNCs originating in the United States are less likely than others to engage with trade unions (De Vos, 1981;Lavelle, 2008, Gunnigle et al. 2005Geary and Roche, 2001). We use three broad categories for country of origin -these are the United States, home-owned (i.e., Irish country of origin within the Irish data, Canadian country of origin within the Canadian data, etc.), and other foreign-owned (not US or home-owned). ...
... These approaches to IR are said to be derived from the existing national models of employee representation that prevail in the fi rm's country of origin. US MNCs, for example, have displayed a particular and pronounced tendency to develop non-union enterprises (De Vos, 1981; Lavelle, 2008; Geary and Roche, 2001). Earlier studies on MNCs argued that the IR practices of foreignowned MNCs operating in Ireland conformed to the prevailing traditions of larger indigenous fi rms, notably in conceding trade union recognition and in relying on collective bargaining as the primary means of handling IR matters. ...
... This phenomenon, known as 'double-breasting', has its antecedents in the work of those studying employment relations in the US construction industry of the 1970s and 1980s (Lipsky and Farber, 1976). However, more recent studies suggest the growing relevance of the phenomenon as a contemporary employer approach to HRM and industrial relations (Lavelle, 2008; Gunnigle et al., 2009). Despite the growing interest, studies in this area have been principally confined to charting broad-based macro-related trends; that is, identifying the incidence of doublebreasting rather than what has actually occurred within them (Verma and Kochan, 1985; Beaumont and Harris, 1992). ...
Double-breasting has been identified as where companies run union voice and non-union voice mechanisms across different plants. While research has focused on the incidence of such arrangements, there is a dearth of evidence into the dynamics of it. This article seeks to complement existing research by examining the contours of double-breasting in a case study organisation. The findings suggest that more research is necessary into the dynamics of double-breasting in terms of how voice in sites affects each other and the extent to which running different regimes affects the managerial agenda.
... It has long been noted that the country in which an MNC originates influences the way labour is managed in its international subsidiaries (Ferner, 1997). This is especially evident in the tendency for a decline in indirect participation associated with lower union recognition levels in American MNCs relative to Irish and European MNCs (DeVos, 1981;Gunnigle et al., 2005;Lavelle, 2008). However, these findings must be put in context of the likely interplay between differing voice mechanisms. ...
The research team is working on the Irish node an international research project entitled 'Employment Practices of Multinational Corporations (MNCs) in Organisational Context: A Large-scale Survey'. This involves a comprehensive representative survey of employment practice in MNCs in seven countries, Canada, Ireland, Spain, UK, Australia, Mexico and Singapore. non-peer-reviewed Ireland is one of the world's most foreign direct investment (FDI) dependent economies. This research project addresses patterns of influence and control in multinational companies (MNCs) in Ireland, with particular emphasis on policy and practice in the areas of human resource management (HRM) and employment relations (ER). It seeks to establish the degree of influence and the extent of discretion of the Irish operations within the overall corporate framework of multinational corporations (MNCs). Are managers in these foreign-controlled MNCs simply executors of HR and ER strategies conceived and created at higher levels, or do they play a more strategic role, with autonomy to adjust HR and ER strategies and policies to the local context, and to change and develop the mandates for their firms beyond those initially envisaged at corporate level? It also, uniquely, focuses on Irish-owned MNCs that have established international operations and the autonomy afforded to these foreign subsidiaries by the Irish headquarters.
This chapter focuses on the industrial relations (IR) challenges that organizations face when they internationalize and locate in a foreign country. The purpose of the chapter is to outline the key IR issues of concern for international organizations and to provide a brief profile of these issues across a select number of countries. International organizations are faced with a whole range of IR challenges in relation to trade unions and collective bargaining and these challenges vary across countries. Understanding the nature of these challenges and how they may differ across countries is hugely important for international organizations as they look to successful invest in a foreign country.
In this paper I start with the simple observation that workers are more vulnerable in times of economic contraction than in times of economic growth. The purpose of my paper is two-fold. First is to unpack the underlying reasons for that phenomenon. Second is to propose a solution that makes workers less vulnerable during recession, and which employers can buy into. My solution - to compel bargaining over mass layoffs and plant closings regardless of whether the workers are unionized - is both economically efficient and values the autonomy and dignity of the worker.
Variations inefficiency and market power are generating wide variations in the prices charged by hospitals to health insurance plans. Insurers are developing new network structures that expose the consumer to some of the cost differences, to encourage but not mandate differential use of the more economical facilities. The three leading designs include hospital "tiers" within a single broad network, multiple-network products, and the replacement of copayments by coinsurance in HM0 as well as PP0 products. This paper describes the new network designs and evaluates the challenges they face in influencing consumers' behavior, incorporating information on clinical quality, and supporting medical education and uncompensated care.
This paper presents the results of a comparative study of interorganizational networks, or systems, of mental health delivery in four U.S. cities, leading to a preliminary theory of network effectiveness. Extensive data were collected from surveys, interviews, documents, and observations. Network effectiveness was assessed by collecting and aggregating data on outcomes from samples of clients, their families, and their case managers at each site. Results of analyses of both quantitative and qualitative data collected at the individual, organizational, and network levels of analysis showed that network effectiveness could be explained by various structural and contextual factors, specifically, network integration, external control, system stability, and environmental resource munificence. Based on the findings, we develop testable propositions to guide theory development and future research on network effectiveness.
This paper discusses sustainable tourism marketing in the context of a World Heritage Site and contends that a strategic marketing approach for the development of sustainable tourism is vital to the management of a WH site. A review of the literature on sustainable tourism, the WH site tourism 'service- product' and management of a tourist site is presented. In this study, sustainable tourism marketing is defined as marketing that incorporates social, economic and environmental perspectives in a given region. The paper then reports on the management perspectives and attempts to implement sustainable tourism marketing at a World Heritage site, the Giant's Causeway. The study found that the Giant's Causeway WH site suffers from an overall lack of integrated management and understanding of how to present and deliver sustainable tourism marketing.
During the early post-war period, Western trade-union movements grew in membership and achieved an institutionalized role in industrial relations and politics. However, during the last decades, many trade unions have seen their membership decline as they came increasingly under pressure due to social, economic, and political changes. This article reviews the main structural, cyclical, and institutional factors explaining union growth and decline. Concentrating on Western Europe, the empirical analysis compares cross-national union density data for 13 countries over the first period (1950-1975) and for 16 countries over the second, 'crisis' period (1975-1995). The quantitative correlation and regression analysis indicates that structural and cyclical factors fail to explain the level and changes in unionization across Western Europe, while institutional variables fare better. In a second, qualitative comparative analysis, the authors stress the need to explain cross-national differences in the level or trend of unionization by a set of institutional arrangements: the access of unions to representation in the workplace; the availability of a selective incentive in the form of a union-administered unemployment scheme; recognition of employers through nationwide and sectoral corporatist institutions; and closed-shop arrangements for forced membership. Such institutional configurations support membership recruitment and membership retention, and define the conditions for the strategic choice of trade unions in responding to structural social-economic, political, and cultural changes.
Ireland is the most successful EU economy in attracting export-platform foreign direct investment (FDI), and the increased FDI inflows of the 1990s are widely agreed to have been one of the most important factors in generating the remarkable boom that the country experienced over that decade. The present paper considers the confluence of factors - domestic policy changes, fortuitous developments in the European and global economic environment, and the coming to fruition of policy initiatives of earlier eras - that provided the setting for the increased inflows of the period and the changes that they wrought. One of the main findings is that growth-enhancing economic policies - including fiscal prudence, the maintenance of labour-market flexibility and a focus on scienceoriented human capital formation - were crucial for Ireland to derive the full benefits of its FDI-attracting low-corporation-tax regime.
Developments in industrialized societies since the end of the 1970s, it is sometimes claimed, have resulted in the erosion of traditional working-class communities and a decline in union membership. This has raised questions regarding the continuing relevance of collectivism and solidarity. Using a survey of an Irish general union, the authors examine the level and types of solidarity among the membership. The results provide little evidence that levels of solidarity in this particular union have been eroded. The authors find that the policies and practices of the union leadership are an important determinant of union activism and activism is strongly associated with solidarity.
Relationship marketing—establishing, developing, and maintaining successful relational exchanges—constitutes a major shift in marketing theory and practice. After conceptualizing relationship marketing and discussing its ten forms, the authors (1) theorize that successful relationship marketing requires relationship commitment and trust, (2) model relationship commitment and trust as key mediating variables, (3) test this key mediating variable model using data from automobile tire retailers, and (4) compare their model with a rival that does not allow relationship commitment and trust to function as mediating variables. Given the favorable test results for the key mediating variable model, suggestions for further explicating and testing it are offered.
The importance of interorganizational networks in supporting or hindering the achievement of organizational objectives is now widely acknowledged. Network research is directed at understanding network processes and structures, and their impact upon performance. A key process is learning. The concepts of individual, group and organizational learning are long established. This article argues that learning might also usefully be regarded as occurring at a fourth system level, the interorganizational network. The concept of network learning - learning by a group of organizations as a group - is presented, and differentiated from other types of learning, notably interorganizational learning (learning in interorganizational contexts). Four cases of network learning are identified and analysed to provide insights into network learning processes and outcomes. It is proposed that 'network learning episode' offers a suitable unit of analysis for the empirical research needed to develop our understanding of this potentially important concept.
This paper examines the policy context of the rise in the international mobility and migration of nurses. It describes the profile of the migration of nurses and the policy context governing the international recruitment of nurses to five countries: Australia, Ireland, Norway, the United Kingdom, and the United States. We also examine the policy challenges for workforce planning and the design of health systems infrastructure. Data are derived from registries of professional nurses, censuses, interviews with key informants, case studies in source and destination countries, focus groups, and empirical modelling to examine the patterns and implications of the movement of nurses across borders. The flow of nurses to these destination countries has risen, in some cases quite substantially. Recruitment from lower-middle income countries and low-income countries, as defined by The World Bank, dominate trends in nurse migration to the United Kingdom, Ireland, and the United States, while Norway and Australia, primarily register nurses from other high-income countries. Inadequate data systems in many countries prevent effective monitoring of these workforce flows. Policy options to manage nurse migration include: improving working conditions in both source and destination countries, instituting multilateral agreements to manage the flow more effectively, and developing compensation arrangements between source and destination countries. Recommendations for enhancements to workforce data systems are provided.
I find that a firm's innovation output increases with the number of collaborative linkages maintained by it, the number of structural holes it spans, and the number of partners of its partners. However, innovation is negatively related to the interaction between spanning many structural holes and having partners with many partners.
This book presents a series of research essays on the state of unions in many different parts of the world. Written by leading researchers in the field it provides insights into the causes of union decline. But it goes beyond historical analyses to investigate the prospects for the future. Can unions organize in segments of the workforce such as the youth, women, low wage workers and those in the informal sector? Can unions network with other organizations such as NGOs nationally and internationally to gain power and influence?.
Hall, C.M. 1994, Tourism and Politics: Power, Policy and Place, John Wiley & Sons, Chichester. 238pp, ISBN 0 471 94919 1 (Hbk)
– paperback edition 1996. ISBN 0 471 96547 2
– reprinted 1998
– 2005, Arabic translation, Egypt Council, Cairo, translation copyright 2003, published 2005, 283pp
Singapore and Hong Kong are two geographically small economic powerhouses in Asia. In recent years both cities have been attempting to develop their tourism economies by communicating their unique cultural heritages to global tourists. While heritage culture-based tourism practice may help conserve a destination's cultural heritage, its development accelerates the change of the local society; and in the process the authenticity of the cultural heritage of the destination may be lost. This paper presents a comparative analysis of the efforts adopted by Singapore and Hong Kong to communicate their cultural heritages through the tourism developments. It focuses on three questions: (1) Do the inherent contradictions between conservation and change associated with tourism development constitute threats or resources for heritage tourism development? (2) What are the major issues in the process of portraying the past in the present for heritage tourism development? (3) What implications may be drawn, by studying these issues, for the tourism industries in their planning, conservation and promotion efforts to develop heritage tourism?
This article comments on a paper by Sumantra Ghoshal published in this issue of Academy of Management Learning & Education which argues that academic research related to the conduct of business and management has had some very significant and negative influences on the practice of management. The author notes that in a word, Ghoshal is right. He is right in the sense that economics is indeed taking over management and organization science, just as it has taken over political science and law and is making inroads into sociology and psychology--trends that have been occasionally documented and could, and should be, empirically studied. The field of economics has more and more tended to dominate the formulation of curricula and research agendas in all of the social and policy sciences and, in some cases, even in the humanities. Ghoshal is right that this takeover matters, because social theories matter. The theories that come to be believed and accepted affect both public and organizational policies and practices. Moreover, as Ghoshal notes, theories, once accepted, set into motion processes that tend to ensure they become self-fulfilling. And Ghoshal is certainly right when he reiterates that the assumptions of much of economic theory and the effects of these assumptions on people and institutions can be harmful.
I propose that the future vitality and success of our profession depends on making sure our research-based knowledge is relevant and useful. This will require the Academy of Management, as the professional embodiment of our field, to be far more engaged with the real world than has traditionally been the case. I identify ways that an engaged Academy can facilitate a closer partnership between researchers and practitioners to produce knowledge that is both scientifically valid and practical. I explore how the Academy's approach to knowledge transfer can be more visible, assertive, and persuasive.
It has been argued persuasively that social networks hold relevance for economic action. Yet, in light of the taken-for-granted role of prices, it is crucial to specify when and how social networks influence the efficiency of economic actions taken by actors oriented primarily, as business firms tend to be, toward economic objectives. In this article I contend that when actors need to but cannot, independently or via market mechanisms, cost-effectively ascertain the identity and reliability of potential exchange partners, then scope exists for social networks to appreciably and systematically influence efficiency.
This study conceptualizes artists' careers as transitions through positions within a constantly shifting web of relationships
that are without a priori hierarchical demarcations. Network analysis of this shifting web from 1981 to 1992 produces three
distinct career paths with differential outcomes in terms of the amount of critical notice received by each artist Those who
have had a long history of membership in loosely knit networks receive more critical attention than either artists who have
had a long history of membership in tightly knit cliques or those with a history of sporadic connections to the art world.
The career ladder is not so much a ladder as it is a sandpile, in which each actor's attempts to reach the top change the
shape of the climb.
All kinds of people, from shopkeepers to kings, want the help of Sherlock Holmes in these six stories about the adventures of the famous detective. Who put a diamond in a chicken? Why is there a club for men with red hair? How did the man at the lake die? Can Sherlock Holmes solve the mysteries? Penguin Readers are simplified texts which provide a step-by-step approach to the joys of reading for pleasure.
This study examines determinates of two employee behaviors in the union organizing process: pro-union activism in the organizing campaign, and vote for union certification. Using data gathered from six union or ganizing attempts, campaign activism and voting behavior is analyzed in terms of hypotheses drawn from Wheeler's (1985) theory of industrial conflict. Results indicate that support for union certification is influenced by a perceived lack of job security, management's lack of respect for employees, the belief that union representation would be effective, favor able attitudes about unions, and anger at the employer. Few differences were found for union activism and vote, suggesting that distinctive forms of union support are not influenced by different determinants.
Ireland has emerged as a prominent location for multinational subsidiaries, especially those from the United States (U.S.). The country's economic development is a microcosm of the global migration of industries, companies, and activities over the last 40 years. From low-skill manufacturing and assembly in the 1960s to high-skill product development and professional services in the new millennium, multinational companies have profited from Ireland's favorable corporate tax scheme, educated and motivated English-speaking workforce, former moderate cost of operations, and access to European Union (EU) markets. However, higher labor costs, infrastructure shortcomings, and EU accession of lower-cost Eastern Europe countries seeking to emulate the Irish model have altered its competitive profile. In this paper, we examine strategies for fitting Ireland's advantages most usefully into the corporate value chain, highlighting the changing nature of its competitive advantages. Using examples, we identify earlier success strategies, current opportunities, and ways companies are transitioning from old to new.
I investigate how social embeddedness affects an organization's acquisition and cost of financial capital in middle-market banking-a lucrative but understudied financial sector. Using existing theory and original fieldwork, I develop a framework to explain how embeddedness can influence which firms get capital and at what cost. I then statistically examine my claims using national data on small-business lending. At the level of dyadic ties, I find that firms that embed their commercial transactions with their lender in social attachments receive lower interest rates on loans. At the network level, firms are more likely to get loans and to receive lower interest rates on loans if their network of bank ties has a mix of embedded ties and arm's-length ties. These network effects arise because embedded ties motivate network partners to share private resources, while arm's-length ties facilitate access to public information on market prices and loan opportunities so that the benefits of different types of ties are optimized within one network. I conclude with a discussion of how the value produced by a network is at a premium when it creates a bridge that links the public information of markets with the private resources of relationships.
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Canada's humanitarian response to the world refugee crisis and to the immigration of people from non-western countries has gathered momentum in the last two decades. Canada has become pluralistic in every sense: linguistic, religious, cultural, and racial. Given current population trends, this diversity will continue to be a salient feature of Canadian society. New demands have arisen regarding the well-being of visible ethnic minority Canadians, the prevention of emotional disorders, and the guarantee that people of all cultural origins needing help have access to it.
Data reflecting changes in Canadian immigration policy toward immigrants/ refugees from non-western countries since the 1950s are highlighted. The protection of minority rights in the 1982 Canadian Charter of Rights and Freedoms, and the 1988 Multiculturalism Act are identified.
The 1986-88 mandate and findings of a Federal Government Task Force studying the mental health of immigrants/refugees, are outlined. Selected data focusing on visible ethnic minorities deriving from this study, and a pertinent literature review are presented as follows: cultural factors in mental health, changing public racial attitudes, and employment related stress. Attention is given to the problems of high risk visible minority women, particularly women of South Asian origins.
The paper closes on the optimistic note of the potential rich resource of ethnic visible minorities to their newly adopted Canadian home.
This study explored the patterns of attitudes and attributions associated with relatively high and low distress among a sample of (N = 104) immigrant women from India living in Montreal. Results showed the high distress group to be less satisfied with their roles in the home and in the job market, to be more in favor of modem sex roles, to want less to pass on traditional sex roles to their children, to attribute success and failure more to their own personal characteristics and less to destiny, and to perceive more racial discrimination in society. The findings underline the value of differentiating between aspects of immigration and incorporating social psychological variables in studies of possible links between immigration and distress.
Although past studies of expatriate adjustment have asked human resource executives their opinions about important antecedents of cross-cultural adjustment (e.g., Tung, 1981, 1988), very few studies have attempted to empirically determine which factors significantly affect cross-cultural adjustment based on data collected from actual expatriate managers. This paper examines the impact of job, personal, and general factors on three facets of cross-cultural adjustment based on data collected from American expatriate managers in Pacific Rim assignments (Japan, Hong Kong, Korea, and Taiwan). The results of the study indicate that different antecedents were related to different facets of cross cultural adjustment. Both research and practical implications of these findings are explored.
This paper uses Australian cross-sectional data to examine the determinants of individual union membership. It analyses the separate effect of three groups of variables on the probability of unionisation: personal attributes, occupational and industry-related characteristics, and social and attitudinal factors. While the personal attributes of an employee were found to have little effect on union status, the other two groups of variables added significantly to the explained variance in union membership. An important finding of the study was that certain attitudes, ideologies and social values were clearly associated with variations in union status.
This experiment investigates the effect of cultural adaptation by American business people on their trustworthiness as perceived by Chinese Indonesians. The sample consists of 140 Indonesian professionals born and raised in Indonesia, who read one of the four stories that differ in degrees of Americans’ cultural adaptation: none, moderate, high using English, and high using the native (i.e., Indonesian) language. The results show that there is no difference among the four adaptation levels on disconfirmation of the adaptor’s stereo types. The high adaptation using English condition is perceived to be more situationally caused than is the high adaptation using the native language condition, which in turn is perceived to be more situationally caused than is the moderate adaptation condition, and the high adaptation using English condition is perceived to be more situationally caused than is the no adaptation condition. The high adaptation using the native language and the high adaptation using English conditions are perceived to be trustworthier than is the moderate adaptation condition, which in turn is perceived to be trustworthier than is the no adaptation condition; these results contradict the findings of some earlier studies but are consistent with those in the cases of Americans adapting to Thais and Japanese in Pornpitakpan (1998), to People’s Republic of China Chinese in Pornpitakpan (2002b), and to Malaysians in Pornpitakpan (2004). Marketing implications are discussed.
This article discusses the development of the French resort Languedoc- Roussillon and looks at whether its product can be sustained in the future. In this respect the involvement of the public sector, both in its own right and in partnership with the private sector, is deemed crucial.