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The aim of this article is to investigate the sustainability agenda and its implications for employment and managerial practices within different institutional contexts. The article uses the comparative capitalisms literature and, in particular, the Varieties of Capitalism framework to examine how multinational corporations (MNCs) can exploit different institutional contexts to achieve competitive advantages. We explore one multinational steel company’s i.e. SteelCo.AG varied responses to the emerging constraints of the sustainability agenda in Germany, as an example of a Coordinated Market Economy, and Brazil, as an example of a Hierarchical Market Economy. In particular, we focus on evidence concerning training, environmental practices and policies in the different company sites. We demonstrate how different institutional contexts favour different corporate strategies from an approach that exploits negative institutional complementarities, such as the “low-skill/low-cost trap,” to one that benefits from strong institutional coherence facilitating skills formation and innovation in response to environ-mental legislation. Our analysis argues for the importance of incorporating the green agenda as a marker of difference into the existing VoC framework. This allows for nuanced readings of unstable institutional complementarities in terms of operational, managerial and social innovation in different institutional contexts – with such analyses essential for understanding workers’ experiences of employment and work. Our contribution to the extant literature on the employment relationship, within the context of VoC analysis, therefore offers empirical material on understandings of employment relations within the HME category, as a new type within the VoC framework, through our discussion of a multinational’s activities in Brazil. This also allows us to focus on the way companies and other actors’ impact upon institutional frameworks and the distribution of power between different actors within particular contexts, thereby addressing recent discussions of the stability and homogeneity of institutional arrangements.
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New digital technologies are often framed as an inevitable and determining force that presents the risk of technological unemployment and the end of work (Lloyd and Payne, 2019). In manufacturing specifically, digitalization is referred to as Industry 4.0, a term that emerged in Germany as a central economic and industrial policy and has taken on a wider resonance across Europe (Pfeiffer, 2017). In this article, we explore the workplace implications of a specific Industry 4.0 innovation. We examine the insertion of drone technology—as a timely and topical example of industrial digital technological innovation—in the steel industry. The article brings to debates on the digital workplace a discussion of the relationship between the material forces of production and the social relations within which they are embedded (Edwards and Ramirez, 2016). Drawing on interview data from two European industrial sites, we suggest that the increasing use of drones is likely to be complicated by a number of social, economic and legal factors, the effects of which are, at best, extremely difficult to predict. Introduced for their potential as labour-saving devices, drones seemingly offer a safer and more efficient way of checking for defects in remote or inaccessible areas. However, whilst employers might imagine that digital technologies, like drones, might substitute, replace, or intensify labour, the workplace realities described by our interviewees make insertion highly contingent. We highlight several such contingencies, with examples of the ways that the steelworkers’ interests differ from those of their employers, to discuss how the insertion of digital technologies will ultimately be shaped by the power, interests, values and visions prevailing in the workplace, as well as in the wider polity and public culture.
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