In 1983 and 1984 four unions at Western Airlines agreed to wage cuts, work rule changes, two-tier wage plans, and other concessions in return for seats on the board of directors, a Health Services Program, financial information sharing, and an Employee Involvement program. The author uses data from interviews conducted with all parties between 1983 and 1987 to argue that meaningful and lasting employee participation occurred only when the union had enough power to induce management to forgo some of its traditional prerogatives (a structural factor); the union and management shared a vision of how participation could serve both parties interests (a cognitive factor); and the union had substantial institutional security (a second structural factor).
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