Production Coalitions in Slovenian Companies:Employee Participation in Non-Participative Organizations?

Zusammenfassung

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According to the theory, a combination of the highly regulated external labour market and the internal rigidity would induce organisational inefficiency. Evidence suggests that theoretically unexpected results of that combination prevailed in Slovenia. Under the pressure of the competition on the international markets, Slovene companies, being trapped in the combination of the two rigidities, were determined to compete on the basis of work intensification. The surviving coalition, based on the exchange between the managers (demanding work intensification) on the one hand, and trade unions (defending employees' wage and job stability) on the other, was formed. Within the logic of the exchange, trade unions actively participated in the fight for companies' survival. As a specific entrepreneurial utilisation of the internal oppositional power, the inclusion of such trade unions enabled non-conflicting work intensification and survival of numerous, usually comparatively technologically less developed Slovene organisations.

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Auszug

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Production Coalitions in Slovenian Companies:Employee Participation in Non-Participative Organizations?

1. Introduction: Rigidity and organisational efficiency

Under the pressure of a 'rigid' labour market regulation (high wages and weak numerical flexibility) firms could reach sufficient market efficiency if they specialised in diversified quality production (Streeck, 1992; Regini, 1995). A key condition for that specialisation is high flexibility of their internal structures, including a developed employee participation in managerial decision-making. Functionally flexible workforce, secured by external labour market 'rigidities', produces high quality products/services. This pattern was fundamental for the German economic success after the Second World War (Streeck, 1988; 1992).

Within the context of high labour market flexibility (low wages and intensive numerical flexibility), companies could reach sufficient efficiency if they focus on the pure price competition. In that case the competitiveness is based on rigid (Taylorian and Fordian) internal structures (Streeck, 1988; 1992; Blyton and Turnbull, 1998).

Theoretically speaking, the combinations of external and internal rigidity, as well as that of external and internal flexibility, are un-productive. Under the pressures of these combinations the organisations are determined to be anomic and non-competitive (Blyton and Turnbull, 1998).

In this paper I will try to identify the Slovene combination of the external and internal structures. According to the macro indicators from the 90's, Slovenia is categorised as a successful transitional society. Is it possible to say that a specific combination of external and internal structures could explain the successfulness of the Slovene transition up to now? What t...

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