Historical (week7) Flashcards
Historical Significance of Labour Relations
Content:
Labour relations hold immense significance in organizational management history.
Industrial conflict and its management have been pivotal themes in business history.
Notable changes observed in the management of industrial relations across different countries and over time.
Examples:
Miners’ strike in the UK (1984-85)
Uber strike in Spain (2021)
historical cases related to labour relation
Rise and decline of collective bargaining in Britain
Co-determination in Germany and the Netherlands, focusing on a more collaborative approach
Evolution of industrial relations in China
Collective Bargaining in Britain - 19th Century
Adversarial nature of industrial relations in 19th-century Britain.
Emergence of labour unions rooted in ‘craft’ origins.
Master craftsmen defending traditional practices versus merchant-owners’ limited interest in production methods.
Establishment of an ‘arms-length’ relationship with minimal ongoing dialogue.
Indirect management control over workers and reliance on piecework systems.
Strike action as a ‘first resort’.
Collective Bargaining in Britain - Early 20th Century
Solid establishment of the trade union movement in Britain by the early 20th century.
Legislation enshrining the principle of voluntarism: 1875 Conspiracy and Protection of Property Act; 1906 Trades Dispute Act.
Heightened industrial conflict post-World War I, culminating in the General Strike of 1926.
Collective Bargaining Trends in Britain - Post-War Period
Calm industrial relations post-General Strike in Britain during the 1930s to the 1960s.
Noteworthy points:
Frequent but less disruptive strikes
Collaboration between unions and the government
Unions achieving modest yet tangible gains
National level agreements enabling pay restraint
Changes in Collective Bargaining in Britain - 1940-1998
Data showing estimated coverage of pay fixing arrangements for employees in Great Britain from 1940 to 1998.
Decline and changes in collective bargaining structures over time.
Importance of wages councils in setting minimum pay levels, especially in low-paying sectors.
Decline of Collective Bargaining in Britain - 1960s to 1980s
Erosion of the collective bargaining system in the 1960s.
Factors leading to breakdown:
Full employment and strong labor demand empowering employers and unions locally
Emergence of ‘shop stewards’
Increasing difficulty in maintaining pay restraint amidst inflation.
Attempts at reforming the voluntarist system reversed in the 1970s.
Surge in strike action in the 1970s, including the ‘winter of discontent’ in 1978/79.
Union Decline in the 1980s and 1990s
Rapid decline of trade unions in the 1980s.
Key factors leading to union setbacks:
Decisive defeats in significant conflicts, especially the 1984/85 miners’ strike
Legislative restrictions on union actions
Transition to free-market approaches
Impact of technological advancements on trades like printing
Decline in union effectiveness and membership, impacting protection of pay and conditions
Labour Relations in Germany - Historical Evolution
apid industrialization in 19th-century Germany.
Emergence of an industrial working class alongside employer co-ordination through cartels.
Ban on unions by Chancellor Bismarck, lifted in the 1890s.
Labour Relations in Germany - 1890s to 1918
Rapid expansion of unions in Germany post-lifting of the ban in the 1890s.
Different approaches among union factions - aggressive versus conciliatory.
Employer perspectives varying between partnership and confrontation.
Government’s inclination toward confrontation.
Establishment of the Free Trade Union Federation.
Labour Relations in Germany - Post-1918
Post-1918 period characterized by brief ascendancy of conciliatory labour relations:
Formal recognition of workers’ association rights
Co-operation through the ‘Central Working Group’
Introduction of works councils
Shift towards confrontational employers in the late 1920s.
Nazi regime’s prohibition of trade unions.
Labour Relations in Germany - Post-World War II Co-Determination
post-World War II, experiments with collaborative labour relations paved the way for co-determination.
Dual structure involving:
National coordination of industrial unions and regional industry-wide bargaining
Co-determination allowing worker representatives influence in firm-level management decisions.
Industrial Relations in China
Challenges in applying Western concepts like ‘collective bargaining’ within China’s socialist context.
Use of ‘collective consultation’ instead of ‘collective bargaining’.
Varied approaches identified by Chan and Hui.
Industrial Relations in China - Varied Approaches
Description of four overlapping approaches identified by Chan and Hui in China’s industrial relations.
Collective consultation as a formality
Collective bargaining by riot
Party State-led collective bargaining
Worker-led collective bargaining
