Power resources of labor and the state politics of downsizing

IF 3.2 2区 经济学 Q1 ECONOMICS Socio-Economic Review Pub Date : 2023-12-01 DOI:10.1093/ser/mwad064
Jiwook Jung, Tom VanHeuvelen
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Abstract

Utilizing the geographical polarization of American politics, we examine how state politics shape the implementation of downsizing. Combining power resources theory and the political-embeddedness approach in organizational studies, we propose that labor power resources at the state level, namely Democratic control of state government and state-level union membership, limit firms’ ability to implement drastic job cuts within the state. Based on data on the 697 largest, publicly traded US firms between 1981 and 2005, combined with their establishment-level employment data from EEO-1 reports, our analysis shows that post-downsizing reductions in employment were less severe in states with a worker-friendly political environment. But the limited effectiveness of labor’s power resources in right-to-work states and the American South suggests that there is considerable regional variation. Our findings provide strong evidence of the political embeddedness of firms, by demonstrating the growing salience of political considerations in corporate decision-making.
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劳动力的权力资源和裁员的国家政治
利用美国政治的地理两极分化,我们研究了州政治如何影响裁员的实施。结合权力资源理论和组织研究中的政治嵌入性方法,我们提出了州一级的劳动力资源,即民主党对州政府的控制和州一级工会成员资格,限制了企业在州内实施大幅裁员的能力。根据1981年至2005年间697家最大的美国上市公司的数据,结合EEO-1报告中的企业层面就业数据,我们的分析表明,在政治环境对工人友好的州,裁员后的就业减少不那么严重。但在享有工作权的州和美国南部,劳动力资源的有效性有限,这表明存在相当大的地区差异。我们的研究结果通过展示企业决策中日益突出的政治考虑,为企业的政治嵌入性提供了强有力的证据。
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来源期刊
CiteScore
6.80
自引率
10.80%
发文量
56
期刊介绍: Originating in the Society for the Advancement of Socio-Economics (SASE), Socio-Economic Review (SER) is part of a broader movement in the social sciences for the rediscovery of the socio-political foundations of the economy. Devoted to the advancement of socio-economics, it deals with the analytical, political and moral questions arising at the intersection between economy and society. Articles in SER explore how the economy is or should be governed by social relations, institutional rules, political decisions, and cultural values. They also consider how the economy in turn affects the society of which it is part, for example by breaking up old institutional forms and giving rise to new ones. The domain of the journal is deliberately broadly conceived, so new variations to its general theme may be discovered and editors can learn from the papers that readers submit. To enhance international dialogue, Socio-Economic Review accepts the submission of translated articles that are simultaneously published in a language other than English. In pursuit of its program, SER is eager to promote interdisciplinary dialogue between sociology, economics, political science and moral philosophy, through both empirical and theoretical work. Empirical papers may be qualitative as well as quantitative, and theoretical papers will not be confined to deductive model-building. Papers suggestive of more generalizable insights into the economy as a domain of social action will be preferred over narrowly specialized work. While firmly committed to the highest standards of scholarly excellence, Socio-Economic Review encourages discussion of the practical and ethical dimensions of economic action, with the intention to contribute to both the advancement of social science and the building of a good economy in a good society.
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