An Industrial Relations Approach to the Free Rider Problem: Young People and Trade Union Membership in the UK

1990 ◽  
Vol 28 (1) ◽  
pp. 84-104 ◽  
Author(s):  
Christina Cregan ◽  
Stewart Johnston
1992 ◽  
Vol 3 (2) ◽  
pp. 165-180
Author(s):  
Christina Cregan ◽  
Chris Rudd ◽  
Stewart Johnston

This paper attempts to test the recent British Industrial Relations model of trade union membership by an examination of a survey of early school-leavers in Dunedin, New Zealand which was carried out in October 1989. The findings offer strong support for the model because the same distinct strands of core motivation and remainder attitudes were evident. This demonstrates that the model could be successfully applied in a different institutional, cultural and economic context. The major cross-national differences to emerge were that most Dunedin youngsters intended to join a union; for them, collective instrumental reasons were very important and values of little significance. Furthermore, there was little evidence of disinterest or ignorance amongst the minority which was negative towards trade union membership. A recent article on trade union membership (Cregan and Johnston, 1990) suggested that conventional neoclassical theories are flawed by the free rider paradox, whereby a rational individual will not bear the costs of joining a union to gain rewards that are available to all the workforce as public goods. It proposed that the dilemma could only be solved by a membership theory which takes into account several different sources of individual motivation drawn from several disciplines. These were identified in a longitudinal survey of London early school-leavers, 1979–1981, in reasons given by young people for their membership decision, positive or negative, from which employees could be categorised in social movement parlance as core and remainder. However, the authors proposed that further direct investigations should be made in different contexts. For example, it may be that some responses were culturally or institutionally specific, or were based on economic context. Accordingly, a similar survey of a single cohort of early school-leavers was carried out ten years later in Dunedin, New Zealand. The aim of this paper, therefore, is to test the validity of the framework of the model within a different national context. The article will be organised in the following way. First, a brief summary of the Industrial Relations model of trade union membership will be presented and two hypotheses will be drawn from it. Second, the latter will be tested by a discussion of the results of the Dunedin survey and a comparison with those of the London survey. Third, implications of the findings for the consequences of the 1991 Employment Contracts Act will be briefly examined.


2004 ◽  
Vol 5 (4) ◽  
pp. 481-504 ◽  
Author(s):  
Laszlo Goerke ◽  
Markus Pannenberg

Abstract In the absence of closed shops and discriminatory wage policies, union membership can be explained by the existence of social norms.We describe a model, incorporating institutional features of the German labour market, which explicitly allows for social custom effects in the determination of union membership. Using panel data for Germany, we find evidence for according effects which restrict freeriding. The impact of social norms tends to increase with net union density. Hence, observed reductions in the demand for union membership can weaken the impact of a norm and accentuate the free-rider problem.


2001 ◽  
Vol 6 (3) ◽  
pp. 227-257
Author(s):  
Denis Gregory

‘Partnership’ is a word that crops up with increasing frequency in government, trade union and management circles in the UK. For many it neatly embodies both the practice and sentiment of the so-called ‘third way’. In the workplace, a partnership approach to industrial relations has been offered as a neo-pluralist alternative to the unitarism of Human Resources Management. The Trades Union Congress (TUC) is an active proponent of partnership and the government has created a fund to support the development of partnership at the workplace. This article sketches some theoretical underpinning for the practice of partnership. To shed some light on the prospects for partnership it draws on recent UK experience and includes a case study of the development of a partnership between UNISON, the UK’s largest trade union, and Vertex Data Sciences, one of the fastest growing call centre operators in the UK.


Author(s):  
Ewing Mahoney

This chapter looks at government attempts to ban trade unions, considering the steps that were taken in lieu of an outright ban on trade union membership. Consistently with other measures taken at the time under the cover of security, government intervention to deal with the alleged menace of Communist infiltration of the civil service trade unions did not take the form of legislation. The legal position reflected both the lack of legal regulation of industrial relations generally and the lack of legal regulation of public-sector employment in particular. In practice, governments rarely needed to reveal or justify the legal foundations for their actions. The benefit for government is that although security policies might well be announced and made public, there would be little accountability thereafter if operated unobtrusively.


2003 ◽  
Vol 06 (03) ◽  
pp. 381-403 ◽  
Author(s):  
Rosalind Chew ◽  
Soon Beng Chew

This paper makes the distinction between micro-focused unions and macro-focused unions, with the latter emphasizing full employment and competitiveness for the economy. It examines the micro-foundation of the macro-focused labor movement, which calls for certain conditions or arrangements conducive to, and the instruments needed for, the establishment and survival of macro-focused unions. The consequences and outcomes in an industrial relations regime in which macro-focused unions prevail are also examined, and measures for countering the free rider problem suggested. The main conclusion is that a macro-focused labor movement is a strategic partner with the government in enhancing international competitiveness, an option which is superior to an exchange rate policy.


1970 ◽  
Vol 20 (1) ◽  
Author(s):  
Christina Cregan ◽  
Chris Rudd ◽  
Stewart Johnston

This paper investigates the impact of the Employment Contracts Act on trade union membership. Two separate surveys of labour market participants lvere conducted in Dunedin on the eve of the legislation and one year later. The findings demonstrated that for these samples, trade union membership in aggregate was not based on compulsion before the legislation and remained at a similar level a year later. Democracy was not restored to the workplace it was already apparent there. This implies that changes in the industrial relations system had already taken place prior to the legislation and it is suggested that these findings are explicable if the effect of the exigencies of the recession on both parries is taken account of In the ensuing discussion, reasons for the persistence of the same level of union membership after the legislation were considered. It was demonstrated that most members li'anted the union to act as their bargaining agent and felt few pressures regarding their choice of employment contract. In other words, employers did not utilise the provisions of the Act to weaken union membership, at least in the short term.


1999 ◽  
Vol 41 (1) ◽  
pp. 35-52 ◽  
Author(s):  
Mark Wooden

Confronted by a marked decline in trade union density, the union movement in Australia bas responded by promoting the restructuring and amolgamation of trade unions. As a result, the number of active trade unions in Australia has fallen markedly since 1990. Despite tbis, the decline in trade union density accelerated during the 1990s, leading some analysts to suggest that the union amalgamation process may actually have been counterproductive in terms of overall trade union membership. This article tests this hypothesis using panel data collected as part of the Australian Workplace Industrial Relations Survey. A regression model of changes in union density in the period 1989/90 to 1995 is developed and estimated. The results indicate that while declining union numbers have been associated with the decline in union density, none of the blame for the fall can be traced to the amalgamation process.


Sign in / Sign up

Export Citation Format

Share Document