Employers Federation Research Articles

Dominance Effects from Local Competitors: Setting Institutional Parameters for Employment Relations in Multinational Subsidiaries; a Case from the Spanish Supermarket Sector

AbstractDominance effects are normally associated with multinational corporations (MNCs). However, we argue that a strong local competitor can create ‘dominance effects’ setting the institutional parameters for employment relations in multinational subsidiaries. Moreover such an effect can be persistent. In this case the Spanish‐owned El Corte Inglés (ECI) used its power and influence to establish an employer's federation and two ‘yellow unions’. These yellow unions infiltrated the French‐owned MNC Carrefour and most of the Spanish supermarket sector by the early 1980s and continue to dominate collective bargaining rounds and works council elections, marginalizing the main independent trade unions. This has resulted in poor pay and working conditions and a lack of effective employee representation across most of the Spanish supermarket sector. The fact that Carrefour established an international framework agreement to observe union rights in 2001 has as yet not changed this situation.

Leading Middle Management: Consequences of Organisational Changes for Tasks and Behaviours of Middle Managers

Over the last few years, middle management has been subject to a lot of criticism and theoretical debate. This was the reason for the Dutch employer's federation to obtain more insight in what is happening with middle management in practice. Consequences of organisational changes for the tasks and behaviours of middle management were investigated. Results indicate that middle managers experienced a major shift in tasks, with an increase in tasks that concern employees. Also, organisational changes have lead to a focus on ‘soft' leadership behaviour, such as coaching. In practice however, the actual behaviour of middle managers could not be characterised as such. Furthermore, there is little evidence for the proclaimed effectiveness of coaching by middle management. The main implications for general managers are given here.

Careers:

Peter Morrison, Minister of State for Employment, addressing the Engineering Employer's Federation in London, said:

Machine tool report highlights ‘efficiency spread’

British engineering companies can achieve high productivity levels and commercial success, even in the difficult trading conditions of the 1970s, a new report published by the Engineering Employer's Federation shows.