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From Welfare to Profit: The Transformation of a Trade Union-Owned Firm

Author

Listed:
  • Chris Warhurst

    (Universitiy of Strathclyde)

  • Asaf Darr

    (University of Haifa)

Abstract

This article focuses on a trade union-owned commercial vehicle assembler operating in Israel since the mid-20th century. The article analyses the transformation of the case study firm’s management, employment and work organization, the outcome of which is a firm concerned with profit, not employee welfare, as it was initially. The article explores how and why this transformation occurred. Secondary and primary data research is used in the analysis, consisting of archival and interview data respectively. This analysis reveals three distinct periods in the transformation, with an old firm, a transitional firm and a new firm. The research indicates that these periods correlate to the changes of political economy and institutional configurations within which the case study firm is embedded, suggesting that such embeddedness is a key issue for the firm and its orientation to welfare or profit.

Suggested Citation

  • Chris Warhurst & Asaf Darr, 2006. "From Welfare to Profit: The Transformation of a Trade Union-Owned Firm," Economic and Industrial Democracy, Department of Economic History, Uppsala University, Sweden, vol. 27(2), pages 285-309, May.
    • Handle: RePEc:sae:ecoind:v:27:y:2006:i:2:p:285-309
    DOI: 10.1177/0143831X06063102
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    References listed on IDEAS

    as
    1. Shalev, Michael, 1992. "Labour and the Political Economy in Israel," OUP Catalogue, Oxford University Press, number 9780198285137.
    2. Fiegenbaum, Avi & Lavie, Dovev, 2000. "Strategic management of MNCs' entry into foreign markets: experience of Israel in the 1990s," European Management Journal, Elsevier, vol. 18(1), pages 93-105, February.
    3. Tony Huzzard, 2001. "Discourse for Normalizing What? The Learning Organization and the Workplace Trade Union Response," Economic and Industrial Democracy, Department of Economic History, Uppsala University, Sweden, vol. 22(3), pages 407-431, August.
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