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Industrial democracy

Industrial democracy is an arrangement which involves workers making decisions, sharing responsibility and authority in the workplace. While in participative management organizational designs workers are listened to and take part in the decision-making process, in organizations employing industrial democracy they also have the final decisive power (they decide about organizational design and hierarchy as well).[1]

In company law, the term generally used is co-determination, following the German word Mitbestimmung. In Germany, companies with more than 2000 employees (or more than 1000 employees in the coal and steel industries) have half of their supervisory boards of directors (which elect management) elected by the shareholders and half by the workers.

Although industrial democracy generally refers to the organization model in which workplaces are run directly by the people who work in them in place of private or state ownership of the means of production, there are also representative forms of industrial democracy. Representative industrial democracy includes decision-making structures such as the formation of committees and consultative bodies to facilitate communication between management, unions, and staff.

Rationale

Advocates often point out that industrial democracy increases productivity and service delivery from a more fully engaged and happier workforce[citation needed]. Other benefits include less industrial dispute resulting from better communication in the workplace; improved and inclusive decision-making processes resulting in qualitatively better workplace decisions, decreased stress and increased well-being, an increase in job satisfaction, a reduction in absenteeism and an improved sense of fulfillment[citation needed]. Other authors regard industrial democracy as a consequence of citizenship rights[citation needed].

Works councils and workers' participation

At the point of production, the introduction of mandatory works councils and voluntary schemes of workers' participation (e.g. semi-autonomous groups) have a long tradition in European countries.[2]

Co-determination

In a number of European countries, employees of a business take part in election of company directors. In Germany, the law is known as the Mitbestimmungsgesetz of 1976. In Britain a 1977 proposal for a similar system was named the Bullock Report.

History

The anarchist thinker Pierre-Joseph Proudhon used the term "industrial democracy" in the 1850s to describe the vision of workplace democracy he had first raised in the 1840s with What is Property? Or, an Inquiry into the Principle of Right and of Government, (management "must be chosen from the workers by the workers themselves, and must fulfil the conditions of eligibility.") He repeated this call in later works like General Idea of the Revolution.[3]

In late nineteenth century, and at the beginning of the twentieth century, industrial democracy, along with anarcho-syndicalism and new unionism, represented one of the dominant themes in revolutionary socialism and played a prominent role in international labour movements. The term industrial democracy was also used by British socialist reformers Sidney and Beatrice Webb in their 1897 book Industrial Democracy. The Webbs used the term to refer to trade unions and the process of collective bargaining.[4]

While the influence of the movements promoting industrial democracy declined after the defeat of the anarchists in the Spanish Revolution in 1939, several unions and organizations advocating the arrangement continue to exist and are again on the rise internationally.[citation needed]

The Industrial Workers of the World advance an industrial unionism which would organize all the workers, regardless of skill, gender or race, into one big union divided into a series of departments corresponding to different industries. The industrial unions would be the embryonic form of future post-capitalist production. Once sufficiently organized, the industrial unions would overthrow capitalism by means of a general strike, and carry on production through worker run enterprises without bosses or the wage system. Anarcho-syndicalist unions, like the Confederación Nacional del Trabajo, are similar in their means and ends but organize workers into geographically based and federated syndicates rather than industrial unions.

The European Union emphasizes collective negotiations and public consultation compared to the United States, which tends to emphasize either the free market, or other countries which emphasize government regulations.[5] Industrial democracy in the EU has changed over time. In the 1990s, it was associated with democratic social economics.[clarification needed][5]

The New Unionism Network also promotes workplace democracy as a means to linking production and economic democracy.

Representative industrial democracy

Modern industrial economies have adopted several aspects of industrial democracy to improve productivity and as reformist measures against industrial disputes. Often referred to as "teamworking", this form of industrial democracy has been practiced in Scandinavia, Germany, the Netherlands and the UK as well as in several Japanese companies such as Toyota, as an effective alternative to Taylorism[citation needed].

The term is often used synonymously with workplace democracy, in which the traditional master-servant model of employment gives way to a participative, power-sharing model.

See also

Notes

  1. ^ Rayton, D. (1972). Shop Floor Democracy in Action. Nottingham: Russell Press.
  2. ^ Joel Rogers/Wolfgang Streeck (eds.): Works Councils. Consultation, Representation, and Cooperation in Industrial Relations, The University of Chicago Press, Chicago-London 1995. - Thomas Sandberg; 'Work Organization and Autonomous Groups, LiberFörlag, Uppsala 1982.
  3. ^ Property is Theft! A Pierre-Joseph Proudhon Anthology. Edinburgh/Oakland: AK Press. p. 610, p. 119, pp. 586-7
  4. ^ Müller-Jentsch, Walther (December 16, 2007). (PDF). Management Revue. 19 (4): 260–273. doi:10.5771/0935-9915-2008-4-260. Archived from the original (PDF) on 2011-07-27. Retrieved 17 August 2010.
  5. ^ a b Civinskas R, Dvorak J. In Search of Employee Perspective: Understanding How Lithuanian Companies Use Employees Representatives in the Adoption of Company's Decisions. Administrative Sciences. 2019; 9(4):78. https://doi.org/10.3390/admsci9040078

References

Articles
  • M Poole, 'Theories of Industrial Democracy: the Emerging Synthesis' (1982) 30(2) Sociological Review 181-207
  • W Müller-Jentsch, Industrial Democracy: Historical Development and Current Challenges' (2007) 19 (4) Management Revue 260–273
  • E McGaughey, 'Votes at Work in Britain: Shareholder Monopolisation and the ‘Single Channel’' (2018) 47(1) Industrial Law Journal 76
Books
  • P Douglas, The Columbia Conserve Company: A Unique Experiment in Industrial Democracy (1925)
  • P Blumberg, Industrial Democracy: The Sociology of Participation (1969)
  • K Boyle, The UAW and the Heyday of American Liberalism, 1945-1968 (1995)
  • M Derber, The American Idea of Industrial Democracy, 1865-1965 (1970)
  • SM Lipset, M Trow and J Coleman, Union Democracy: The Inside Politics of the International Typographical Union (1977)
  • JA McCartin, Labor's Great War: The Struggle for Industrial Democracy and the Origins of Modern American Labor Relations, 1912-1921 (1998)
  • M Poole, Industrial Relations: Origins and Patterns of National Diversity (2008)
  • M Poole, Workers' Participation in Industry (2nd edn 1978)
  • BC Roberts (ed), Towards Industrial Democracy: Europe, Japan and the United States (1979)
  • B Webb and S Webb. Industrial Democracy (1897)

External links

  • Economic and Industrial Democracy: An International Journal
  • New Unionism Network 2011-01-06 at the Wayback Machine
  • Industrial Democracy 2010-03-26 at the Wayback Machine A think-tank for the left.
  • Socialist Industrial Unionism

industrial, democracy, book, sidney, beatrice, webb, industrial, democracy, grouping, countries, industrial, democracies, arrangement, which, involves, workers, making, decisions, sharing, responsibility, authority, workplace, while, participative, management,. For the book by Sidney and Beatrice Webb see Industrial Democracy For the grouping of countries as industrial democracies see G7 Industrial democracy is an arrangement which involves workers making decisions sharing responsibility and authority in the workplace While in participative management organizational designs workers are listened to and take part in the decision making process in organizations employing industrial democracy they also have the final decisive power they decide about organizational design and hierarchy as well 1 In company law the term generally used is co determination following the German word Mitbestimmung In Germany companies with more than 2000 employees or more than 1000 employees in the coal and steel industries have half of their supervisory boards of directors which elect management elected by the shareholders and half by the workers Although industrial democracy generally refers to the organization model in which workplaces are run directly by the people who work in them in place of private or state ownership of the means of production there are also representative forms of industrial democracy Representative industrial democracy includes decision making structures such as the formation of committees and consultative bodies to facilitate communication between management unions and staff Contents 1 Rationale 2 Works councils and workers participation 3 Co determination 4 History 5 Representative industrial democracy 6 See also 7 Notes 8 References 9 External linksRationale EditAdvocates often point out that industrial democracy increases productivity and service delivery from a more fully engaged and happier workforce citation needed Other benefits include less industrial dispute resulting from better communication in the workplace improved and inclusive decision making processes resulting in qualitatively better workplace decisions decreased stress and increased well being an increase in job satisfaction a reduction in absenteeism and an improved sense of fulfillment citation needed Other authors regard industrial democracy as a consequence of citizenship rights citation needed Works councils and workers participation EditMain article Works council At the point of production the introduction of mandatory works councils and voluntary schemes of workers participation e g semi autonomous groups have a long tradition in European countries 2 Co determination EditMain article Co determination In a number of European countries employees of a business take part in election of company directors In Germany the law is known as the Mitbestimmungsgesetz of 1976 In Britain a 1977 proposal for a similar system was named the Bullock Report History EditThe anarchist thinker Pierre Joseph Proudhon used the term industrial democracy in the 1850s to describe the vision of workplace democracy he had first raised in the 1840s with What is Property Or an Inquiry into the Principle of Right and of Government management must be chosen from the workers by the workers themselves and must fulfil the conditions of eligibility He repeated this call in later works like General Idea of the Revolution 3 In late nineteenth century and at the beginning of the twentieth century industrial democracy along with anarcho syndicalism and new unionism represented one of the dominant themes in revolutionary socialism and played a prominent role in international labour movements The term industrial democracy was also used by British socialist reformers Sidney and Beatrice Webb in their 1897 book Industrial Democracy The Webbs used the term to refer to trade unions and the process of collective bargaining 4 While the influence of the movements promoting industrial democracy declined after the defeat of the anarchists in the Spanish Revolution in 1939 several unions and organizations advocating the arrangement continue to exist and are again on the rise internationally citation needed The Industrial Workers of the World advance an industrial unionism which would organize all the workers regardless of skill gender or race into one big union divided into a series of departments corresponding to different industries The industrial unions would be the embryonic form of future post capitalist production Once sufficiently organized the industrial unions would overthrow capitalism by means of a general strike and carry on production through worker run enterprises without bosses or the wage system Anarcho syndicalist unions like the Confederacion Nacional del Trabajo are similar in their means and ends but organize workers into geographically based and federated syndicates rather than industrial unions The European Union emphasizes collective negotiations and public consultation compared to the United States which tends to emphasize either the free market or other countries which emphasize government regulations 5 Industrial democracy in the EU has changed over time In the 1990s it was associated with democratic social economics clarification needed 5 The New Unionism Network also promotes workplace democracy as a means to linking production and economic democracy Representative industrial democracy EditModern industrial economies have adopted several aspects of industrial democracy to improve productivity and as reformist measures against industrial disputes Often referred to as teamworking this form of industrial democracy has been practiced in Scandinavia Germany the Netherlands and the UK as well as in several Japanese companies such as Toyota as an effective alternative to Taylorism citation needed The term is often used synonymously with workplace democracy in which the traditional master servant model of employment gives way to a participative power sharing model See also Edit Organized labour portalUK labour law and German labour law Workers self management Collective Bargaining Co determination Industrial Relations Holacracy Industrial Workers of the World New unionism Socialist Party USA Social ownership League for Industrial Democracy Workers council Workplace democracy Common ownershipNotes Edit Rayton D 1972 Shop Floor Democracy in Action Nottingham Russell Press Joel Rogers Wolfgang Streeck eds Works Councils Consultation Representation and Cooperation in Industrial Relations The University of Chicago Press Chicago London 1995 Thomas Sandberg Work Organization and Autonomous Groups LiberForlag Uppsala 1982 Property is Theft A Pierre Joseph Proudhon Anthology Edinburgh Oakland AK Press p 610 p 119 pp 586 7 Muller Jentsch Walther December 16 2007 Industrial Democracy Historical Development and Current Challenges PDF Management Revue 19 4 260 273 doi 10 5771 0935 9915 2008 4 260 Archived from the original PDF on 2011 07 27 Retrieved 17 August 2010 a b Civinskas R Dvorak J In Search of Employee Perspective Understanding How Lithuanian Companies Use Employees Representatives in the Adoption of Company s Decisions Administrative Sciences 2019 9 4 78 https doi org 10 3390 admsci9040078References EditArticlesM Poole Theories of Industrial Democracy the Emerging Synthesis 1982 30 2 Sociological Review 181 207 W Muller Jentsch Industrial Democracy Historical Development and Current Challenges 2007 19 4 Management Revue 260 273 E McGaughey Votes at Work in Britain Shareholder Monopolisation and the Single Channel 2018 47 1 Industrial Law Journal 76BooksP Douglas The Columbia Conserve Company A Unique Experiment in Industrial Democracy 1925 P Blumberg Industrial Democracy The Sociology of Participation 1969 K Boyle The UAW and the Heyday of American Liberalism 1945 1968 1995 M Derber The American Idea of Industrial Democracy 1865 1965 1970 SM Lipset M Trow and J Coleman Union Democracy The Inside Politics of the International Typographical Union 1977 JA McCartin Labor s Great War The Struggle for Industrial Democracy and the Origins of Modern American Labor Relations 1912 1921 1998 M Poole Industrial Relations Origins and Patterns of National Diversity 2008 M Poole Workers Participation in Industry 2nd edn 1978 BC Roberts ed Towards Industrial Democracy Europe Japan and the United States 1979 B Webb and S Webb Industrial Democracy 1897 External links EditMondragon Corporacion Cooperativa Spain Economic and Industrial Democracy An International Journal New Unionism Network Archived 2011 01 06 at the Wayback Machine Industrial Democracy Archived 2010 03 26 at the Wayback Machine A think tank for the left Socialist Industrial Unionism Retrieved from https en wikipedia org w index php title Industrial democracy amp oldid 1118894940, wikipedia, wiki, book, books, library,

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