The European works council as a multidimensional contested terrain

Abstract

PurposeThis article aims to develop an original conceptual approach for the research and analysis of European works councils (EWCs) through a critical examination of the theoretical debate on the Europeanization of industrial relations and the main results of the huge body of quantitative and qualitative empirical studies of these transnational bodies for effective worker participation.Design/methodology/approachStarting from the authors' own experiences in qualitative case‐study research, they summarise the main developments of EWCs as the most advanced institutional piece in the emerging dimension of European industrial relations and discuss the strength and weakness of the different approaches employed in EWC research.FindingsFrom a perspective of “political economy of European integration” the development of EWCs shows the changing power constellations at the micro‐ and meso‐level of transnational firm complexes. More than 800 EWCs councils with thousands of workers' representatives generate hope for an emergent system of industrial relations, but globalization, economic crisis, intensification of regime competition or the consequences on employment of relocation, restructuring and downsizing are threatening advances in this fundamental piece of the European social project.Originality/valueThe paper offers not only a comprehensive state of the art of theoretical debate and empirical research on EWCs, but develops an original and innovative analytical approach for future research. In a meso‐political perspective, linking together micro‐politics with the interaction of the firm with other collective actors, namely public authorities, trade unions and employers' associations at different levels, transnational industrial relations at company level are best analysed as dynamic networks of actors embedded in the framework of the transnational corporation, conceived as a political complex with different actors struggling for increasing their influence on corporate decision‐making processes.

Widening the lens: a structuration theory perspective on European works councils and transnational labour relations

“…It contributes to the theoretical foundations of EWC research by providing an analytical toolkit for explaining patterns and outcome of cross‐border employee representation that involves actors in a multilevel framework. By doing so, the study echoes recent approaches in transnational industrial relations and governance to take the multilevel perspective more serious (Keune and Marginson, ; Köhler and Gonzáles Begega, ) or to acknowledge the web of transnational institutions that affects the field of global employment relations (Dehnen and Pries, ). Furthermore, it builds on recent EWC research that highlights the role of informal relations, networks or identity (Whittall et al ., ; Martínez Lucio, ; Pulignano, ), and on concepts that emphasise the role of agency in constructing or disrupting labour institutions (Pernicka and Glassner, ).…”

“…Moreover, it relates the field of IR to general theory of society (Giddens, ), establishing links between the specific discipline and the social sciences. The concepts of rules (signification and legitimation), power and social bargaining are able to cover conceptual elements found to be relevant in a lot of previous studies (Müller and Hoffmann, ; Köhler and Gonzáles Begega, ). Signification and legitimation refer to cognition, worldviews, expectations and judgements.…”

“…Third, social systems contain resources (dimension of domination) that actors use in their actions and in pursuing their strategies. Resources may include financial resources, the hierarchy in companies, definitions of competencies, responsibilities and informal power sources such as reputation or control over zones of uncertainty (Crozier and Friedberg, ; Köhler and Gonzáles Begega, ).…”

Home country advantage? The influence of Italian, German and Austrian employee representatives in the UniCredit European Works Council

“…The 1994 European Works Council (EWC) Directive was the product of many years of political wrangling, having faced considerable opposition from right-of-centre governments and employers before its eventual adoption, and fell far short of the labour movement's aspirations (Köhler and González Begega, 2010). Nevertheless, in symbolic terms, it is one of the most important achievements of the European employment agenda, in theory representing a challenge to the rights of ownership and management prerogative, and allowing labour to assert the right to information and consultation on a permanent basis at international level (Waddington, 2011).…”

“…However, others argued early on that EWCs were more advantageous for employers than for employees, were likely to increase management control, and could potentially marginalize trade union representation (Ramsay, 1997;Schulten, 1996). Recent research appears to bear out the more pessimistic view that, despite diversity both in their establishment and function, there are common weaknesses which emerge in the majority of EWCs (Köhler and González Begega, 2010). These include shortcomings in the exercise of information and consultation rights, scarce resources for employee representatives, agendas set by management, and language and cultural barriers which complicate employee-side representation.…”