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The Influence of Unions on CSR: Is There a Trade‐Off Between Employee‐Oriented and Non–Employee‐Oriented Policies?

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  • Muhammad Umar Boodoo

Abstract

Strategic managers are consistently faced with decisions of how to allocate a company's scarce resources to meet the demands of shareholders and other powerful and legitimate stakeholders. This article analyses whether higher union density at company level pushes management to engage more in corporate social responsibility (CSR). Drawing from stakeholder theory and the resource allocation approach of CSR as well as union voice and monopoly models, this article finds that companies have to substitute non–employee‐oriented CSR with employee‐oriented CSR as union density increases but is still at low levels. At higher levels of union density, companies can complement both types of CSR. This perhaps represents a reinforcement of mutual interests between management and organized labour, which has implications for managerial prerogatives as well as union positioning in the labour and political process.

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  • Muhammad Umar Boodoo, 2020. "The Influence of Unions on CSR: Is There a Trade‐Off Between Employee‐Oriented and Non–Employee‐Oriented Policies?," British Journal of Industrial Relations, London School of Economics, vol. 58(4), pages 816-843, December.
    • Handle: RePEc:bla:brjirl:v:58:y:2020:i:4:p:816-843
    DOI: 10.1111/bjir.12530
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    Cited by:

    1. Laszlo Goerke, 2022. "Trade unions and corporate social responsibility," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 93(1), pages 177-203, March.
    2. Nancy D. Ursel & Ligang Zhong, 2022. "Unionization and CEO turnover," Industrial Relations Journal, Wiley Blackwell, vol. 53(1), pages 53-70, January.
    3. Lu, Jintao & Guo, Shuaishuai & Qu, Jiaojiao & Lin, Wenfang & Lev, Benjamin, 2023. "“Stay” or “Leave”: Influence of employee-oriented social responsibility on the turnover intention of new-generation employees," Journal of Business Research, Elsevier, vol. 161(C).
    4. Laszlo Goerke & Nora Paulus, 2024. "Collective Bargaining about Corporate Social Responsibility," IAAEU Discussion Papers 202401, Institute of Labour Law and Industrial Relations in the European Union (IAAEU).

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