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Unions and Privatization: Opening the “Black Boxâ€

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  • Patrice Jalette
  • Robert Hebdon

Abstract

Using a survey of Canadian city managers during the period 2002–2003 modeled on the U.S. International Cities and Counties Management Association surveys, the authors examine a range of union responses to proposals to privatize city services. When confronted with possible member losses, unions adopted a number of strategies: a) they reacted not at all or they supported the proposal; b) they engaged in collective action; c) they attempted arbitration and litigation; d) they negotiated to reduce adverse effects; or e) they suggested alternatives to privatization. Though unionized cities attracted a greater number of new privatization proposals, unions effectively rejected them, the most successful strategy being to suggest alternatives. Conversely, initiating strikes and other industrial actions were not as effective. Cities in which multiple strategies were adopted had lower long-term privatization rates. These results support a pragmatic view of union-management relations illustrating how unions and city managers found mutually acceptable alternatives to privatization or adjustment policies.

Suggested Citation

  • Patrice Jalette & Robert Hebdon, 2012. "Unions and Privatization: Opening the “Black Boxâ€," ILR Review, Cornell University, ILR School, vol. 65(1), pages 17-35, January.
    • Handle: RePEc:sae:ilrrev:v:65:y:2012:i:1:p:17-35
    DOI: 10.1177/001979391206500102
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    References listed on IDEAS

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    1. Christian Lévesque & Gregor Murray, 2005. "Union Involvement in Workplace Change: A Comparative Study of Local Unions in Canada and Mexico," British Journal of Industrial Relations, London School of Economics, vol. 43(3), pages 489-514, September.
    2. Mildred Warner & Robert Hebdon, 2001. "Local Government Restructuring: Privatization and Its Alternatives," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 20(2), pages 315-336.
    3. Werner Z. Hirsch & Evan Osborne, 2000. "Privatization of Government Services: Pressure-Group Resistance and Service Transparency," Journal of Labor Research, Transaction Publishers, vol. 21(2), pages 316-326, April.
    4. Gary A. Hoover & James Peoples, 2003. "Privatization of Refuse Removal and Labor Costs ," Journal of Labor Research, Transaction Publishers, vol. 24(2), pages 294-305, April.
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    1. Michele Campolieti & Robert Hebdon & Benjamin Dachis, 2016. "Collective Bargaining in the Canadian Public Sector, 1978–2008: The Consequences of Restraint and Structural Change," British Journal of Industrial Relations, London School of Economics, vol. 54(1), pages 192-213, March.

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