Local Unions and the Restructuring of Work within the Multinational Company: Internal Solidarity and Local Context

Abstract

This article focuses on the influence of a multinational corporation (MNC) on the reorganization of work and labor relations in two Canadian plants. The MNC used coercive comparisons and created a regime of cooperative competition in an effort to promote rational ization and the adoption of flexible work practices. The research used qualitative techniques including interviews, observations, informal conversations, and the study of company and union documents. The results show that both plants modified work organization and work rules in a way that was consistent with the requirements of the MNC. In one plant, however, the union was seriously weakened and unable to influence the process of change. In the other plant, the union pre served a central role and negotiated the implementation of new work practices. These differences are explained with reference to the local context and union capabilities.