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Buying into Capitalism? Employee Ownership in a Disconnected Era

Author

Listed:
  • Ross Brown
  • Ronald McQuaid
  • Robert Raeside
  • Matthew Dutton
  • Valerie Egdell
  • Jesus Canduela

Abstract

This article considers whether employee ownership mitigates the negative workplace outcomes identified by the Disconnected Capitalism Thesis (DCT). Drawing on a programme of in‐depth interviews with workers and managers in employee‐owned businesses (EOBs), the article reveals how they are partially insulated from the vicissitudes endemic within contemporary capitalism. In contrast to the workplace outcomes envisaged within the DCT, these firms are characterized by strong workforce participation, high levels of employment security, active employee engagement and strong levels of employee creativity. Not only are these features beneficial for productivity and firm performance, they generate a form of ‘connected’ capitalism, partially offsetting wider negative systemic forces at play in the economy.

Suggested Citation

  • Ross Brown & Ronald McQuaid & Robert Raeside & Matthew Dutton & Valerie Egdell & Jesus Canduela, 2019. "Buying into Capitalism? Employee Ownership in a Disconnected Era," British Journal of Industrial Relations, London School of Economics, vol. 57(1), pages 62-85, March.
    • Handle: RePEc:bla:brjirl:v:57:y:2019:i:1:p:62-85
    DOI: 10.1111/bjir.12309
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    References listed on IDEAS

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    1. Rong-Ho Lin & Yu-Chuan Huang & Nai-Wen Chang & Shih-Wei Wu & Yu-Chang Ke, 2021. "The Mediating Effect of Ownership of Psychological Behavior and Tour Leader Experience on Accountability in Order to Explore the Sustainable Business Model of the Tourism Industry," Sustainability, MDPI, vol. 13(13), pages 1-19, June.
    2. Filippo Belloc, 2019. "Why Isn't Uber Worker-Managed? A Model of Digital Platform Cooperatives," CESifo Working Paper Series 7708, CESifo.
    3. Anne Vorre Hansen & Andreas Pinstrup Jørgensen, 2023. "Employee-ownership: Exploring the Potentials of Practicing a Democratic Ideal," International Business Research, Canadian Center of Science and Education, vol. 16(1), pages 1-1, January.
    4. Paul E. M. Ligthart & Erik Poutsma & Chris Brewster, 2022. "The development of financial participation in Europe," British Journal of Industrial Relations, London School of Economics, vol. 60(3), pages 479-510, September.
    5. FitzRoy, Felix & Nolan, Michael A., 2020. "Towards Economic Democracy and Social Justice: Profit Sharing, Co-Determination, and Employee Ownership," IZA Discussion Papers 13238, Institute of Labor Economics (IZA).
    6. Sarah Jenkins & Wil Chivers, 2022. "Can cooperatives/employee‐owned businesses improve ‘bad’ jobs? Evaluating job quality in three low‐paid sectors," British Journal of Industrial Relations, London School of Economics, vol. 60(3), pages 511-535, September.
    7. Chris Rees & Michael Gold, 2020. "Re‐connecting capitalism: prospects for the regulatory reform of the employee interest in UK takeovers," Industrial Relations Journal, Wiley Blackwell, vol. 51(6), pages 502-516, November.

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