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Race to the East, race to the bottom? Multi-nationals and industrial relations in two sectors in the Czech Republic

Author

Listed:
  • Guglielmo Meardi

    (University of Warwick, UK)

  • Sonja Strohmer

    (FH Joanneum - University of Applied Sciences, Austria and Kemira Chemie GmbH, Austria)

  • Franz Traxler

    (University of Vienna, Austria)

Abstract

The article addresses the issue of multi-national employers’ effects on employment practices and industrial relations through the findings of 12 case studies of multi-nationals in the Czech Republic, in the automotive and finance sectors. It is found that in the automotive sector, where product markets are international, there is more transnational organizational co-ordination, but companies avoid transferring their employee participation practices, preferring unilateral management and leading to vertical segmentation between Western and Eastern European sites. In finance, companies from liberal market economies transfer sophisticated direct participation practices, also for anti-union purposes, as firm-specific advantages. The industrial relations outcome shows enduring gaps with Western European practices.

Suggested Citation

  • Guglielmo Meardi & Sonja Strohmer & Franz Traxler, 2013. "Race to the East, race to the bottom? Multi-nationals and industrial relations in two sectors in the Czech Republic," Work, Employment & Society, British Sociological Association, vol. 27(1), pages 39-55, February.
    • Handle: RePEc:sae:woemps:v:27:y:2013:i:1:p:39-55
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    Citations

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    Cited by:

    1. David Marsden, 2015. "The future of the German industrial relations model [Die Zukunft des deutschen Modells der Arbeitsbeziehungen]," Journal for Labour Market Research, Springer;Institute for Employment Research/ Institut für Arbeitsmarkt- und Berufsforschung (IAB), vol. 48(2), pages 169-187, August.
    2. Krzywdzinski, Martin, 2014. "Do investors avoid strong trade unions and labour regulation? Social dumping in the European automotive and chemical industries," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 28(6), pages 926-945.

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