Structural and Market Predictors of Corporate Labor Relations Strategies

The authors develop a model predicting which of three broad labor-relations strategies-union avoidance, union-management collaboration, or a mixed strategy combining elements of union avoidance and collaboration-a company will adopt. A multinomial logit estimation using data on 58 large unionized ma...

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Veröffentlicht in:Industrial & labor relations review 1990-01, Vol.43 (2), p.280-293
Hauptverfasser: Cooke, William N., Meyer, David G.
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container_title Industrial & labor relations review
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creator Cooke, William N.
Meyer, David G.
description The authors develop a model predicting which of three broad labor-relations strategies-union avoidance, union-management collaboration, or a mixed strategy combining elements of union avoidance and collaboration-a company will adopt. A multinomial logit estimation using data on 58 large unionized manufacturing corporations confirms that market pressures and structural characteristics of the company are important predictors of strategy choice. Specifically, the worse the market conditions (as gauged by import penetration and industry employment), the more likely executives will choose union avoidance over collaboration and mixed strategies. Collaboration is more likely to be chosen the greater the percent of plants unionized and the higher the ratio of cost of goods to sales. The choice of the mixed strategy is more likely the higher the labor intensity, capital investment, and number of plants.
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subjects Business structures
Collaboration
Corporate culture
Corporations
Employee relations
Employment
Extractive industries
Industrial unions
Labor costs
Labor management relations
Labor Relations
Labor union representation
Labor unionization
Mixed strategy
Strategic planning
Strategy
title Structural and Market Predictors of Corporate Labor Relations Strategies
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