Contemporary restructuring trends in European multinational corporations: rationale and impact on labour and workers' participation. Issue 4 (13th July 2020)

• Record Type: Journal Article
• Authors: Dörrenbächer, Christoph; Geppert, Mike; Hoffmann, Aline
• Is Part Of: Critical perspectives on international business. Volume 17:Issue 4(2021)
• Page Start: 637
• Page End: 654
• Publication Date: 2020-07-13
• Subjects: Multinational corporations -- Restructuring -- Labour -- Managerial rationale -- Global factories -- Human resource management -- Information technology -- Compliance -- Corporate restructuring; International business enterprises -- Social aspects -- Periodicals; International trade -- Social aspects -- Periodicals; Globalization -- Periodicals; Industrial management -- Periodicals; 658.049
• DOI: 10.1108/cpoib-03-2020-0017
• Languages: English
• ISSNs: 1742-2043

Abstract

Abstract : Purpose: This paper addresses the so far hardly understood contemporary restructuring trends in European Multinational corporations (MNCs), their rationales and their labour-related implications. Design/methodology/approach: The paper is based on a systematic evaluation of academic and non-academic literature, as well as on more than 30 in-depth interviews with academic experts, management consultants, trade union consultants and workers' representatives. Findings: European MNCs continue to grow bigger, mostly through debt financed mergers and acquisitions. This triggers intensive cross-border standardization and reorganization activities that most prominently materialize as a sustained move towards global factories; a new wave of cross-border standardization in Human Resource Management, information technology and Big Data-driven, as well as compliance-induced reorganization measures. Originality/value: This paper is the first to empirically map contemporary restructuring trends in European MNCs in a comprehensive way. Moreover, it addresses the managerial rationale underlying these restructuring trends. Based on these insights the paper assesses labour related implications that are both positive and negative.