This is a case study of top management in a Swedish pulp industry at Skutskär. After decades of proactive response to change, starting in 1976 the pulp industry experienced a rapid and significant restructuring. In 1992, and after a prolonged hold on local investments, came a large‐scale investment with major labor reductions, which created a local crisis. The aim of this study is to analyze how top managers of a local business plant perceive and explain their citizenship relationship to (...) the community of the company town during a transition period from 1976 to 2007. Our study shows that too much reliance on top management cost reduction requirements and not caring, or underscoring, local social concerns created gaps and local stakeholder distrust. We discuss how prolonged distrust of the company to bear social responsibility ended up in a broken relationship between the company and the local community. Our case indicates at least two problems that must be handled for successful corporate citizenship. First, the traditional control‐oriented management view is too narrow and not adjusted to today's citizenship reality, including how to handle corporate social responsibility. Second, we can see a possibility where the conceived needs on a global corporate level may lead to situations to obscure local needs and consequences. (shrink)

The treatment of employees during downsizing and corporate restructuring raises many ethical issues. To provide a common framework for understanding ethical decisions facing organizations delivering the news of dismissal to affected employees, Integrative Social Contracts Theory and the research on social exchange was used to integrate existing research on employee dismissal. Of particular importance was determining the criteria necessary to manage the dismissal process within ethical boundaries. Three basic criteria, which together represent a variety of contractual and transactional (...) obligations, are proposed as necessary for an ethical approach to dismissal; 1) advance warning of the job loss, 2) open communication, and 3) institutionalized support services. The frequency with which organizations meet these criteria is examined using a geographically dispersed, cross-organizational sample of 770 involuntarily displaced professional employees. In addition, the effect of such an ethical approach to dismissal on individual psychological and financial outcomes is examined. Findings are discussed as they relate to the implicit contract between employee and employer and organizations' responsibility to employees during corporate restructuring. (shrink)

The COVID-19 pandemic is an unprecedented time in history. Surrounding this pandemic are many enormous uncertainties across the globe. Severe consequences have assessed for the incomes of almost 84% of employers and 68% of self-employed who are working and living in countries that are or have went through a phase of closing workplaces. Similarly, the global rate of unemployment is also expected to be increased in the coming years as 54% of employers worldwide are running their businesses in the hardest-hit (...) sectors. All of these clearly show the uneven impact of the Coronavirus crisis which will remarkably compound already present inequalities, difficulties, and vulnerabilities. The economic ramifications for 186 countries under the crunch of the COVID-19 pandemic is also considered tremendous for Pakistan. The core aim of this research was to test a new conceptual framework depicting the ramifications of restructuring processes carried out by management for their organizations amidst the COVID-19 pandemic on an Institute’s reputation as an employer brand. It also investigates the impact of perceived restructuring on a corporate brand promise made by the university or institute from the viewpoints of other key stakeholders and potential job seekers. The current study had proposed four hypotheses and according to the results of Structural Equation Modeling, the direct hypothesis based upon the relationship between restructuring and employer branding has been rejected. This study shows that restructuring and employer branding has a negative and insignificant effect on each other. The second direct hypothesis of the study that measures the effect of restructuring on corporate branding has been accepted. A corporate brand is a kind of a hub and it considers how an institute treats and deals with all of its stakeholders. It is different from employer brand as the perceptions of employees were the main focus. So, according to the results restructuring did not cause massive damage to the overall outlook of the institute. Furthermore, for the purpose of mediation analysis, the maximum likelihood method by bootstrapping was adopted to test the indirect hypotheses of the study. Crowdsourcing was introduced as a mediator in this study with restructuring, employer, and corporate brand all together in one framework, which is the novel aspect of this study. There are two indirect hypotheses and according to the results both of them did not show any insignificant results. Firstly, the study analyzed mediation among crowdsourcing, restructuring, and employer branding which was fully accepted as the results showed full mediation between these constructs. Secondly, the study analyzed mediation among crowdsourcing, restructuring, and corporate branding which was partially accepted as results showed partial mediation between these constructs. (shrink)

It is important to talk about corporations as a class, about trade agreements, and about government policy; but without examining specific examples of how real corporations actually shape the world to suit their purposes, we stand little chance of understanding the determinative forces behind government policy and trade agreements, and even less chance of affecting them. This article uses the metaphor of “genetics” (inherent character) to examine two major transnational corporations operating at the extremes of restructuring life.

This issue brings together a selection of articles based on presentations at two Conferences in 1997. The aim has been 1) to offer clearer and more understandable descriptions of the major trends and relationships that are involved in the structural transformations that are occurring in food systems at all levels; 2) to help develop better theoretical and conceptual tools to aid us in analyzing such restructurings and their dynamics; and 3) to clarify a number of practical issues facing those seeking (...) to promote more sustainable and just food systems, especially at the local level. With only one exception, all the articles here focus on Western economies where food systems are highly commodified, globally integrated, corporate, and state structures have been restructured by a series of neo-liberal reforms in recent years. In pointing out the problems with these food systems, the articles also discuss various possibilities for structural reforms for more healthy, sustainable, just, and equitable food systems and societies. (shrink)

A promotion of concepts of corporate family and employee participation as well as euphemisms which stress employee-employer long-term continuity makes the loss of loyalty flowing from downsizings and mass firings as well as corporate restructurings more difficult both for the employer and employee. The promotion of reciprocal obligations between employer and employee misleads both into a belief system which is to their mutual disadvantage.Corporate semanatics that soften employment realities and the implications of dislocation with positive rhetoric increases (...) the sense of failure and guilt on the part of both employer and employee. Unrealistic expectations create hostility. If employment dislocation is seen as part of a continual economic evolution, not shrouded in semantic double-speak, loss of employment no longer becomes an outrageous afront to the dignity of those involved but rather a normal process of economic change and renewal. (shrink)

In recent decades, the governance of food safety, food quality, on-farm environmental management and animal welfare has been shifting from the realm of ‘the government’ to that of the private sector. Corporate entities, especially the large supermarkets, have responded to neoliberal forms of governance and the resultant ‘hollowed-out’ state by instituting private standards for food, backed by processes of certification and policed through systems of third party auditing. Today’s food regime is one in which supermarkets impose ‘private standards’ along (...) the food supply chain to ensure compliance with a range of food safety goals—often above and beyond those prescribed by government. By examining regulatory governance in Australia, Norway and the United Kingdom we highlight emerging trajectories of food governance. We argue that the imposition of the new private forms of monitoring and compliance continue the project of agricultural restructuring that began with government support for structural adjustment schemes in agriculture and that these are most evident in the UK and Australia where neoliberalism is an entrenched philosophy. However, despite Norway’s identity as a social democracy, we also identify neoliberal ‘creep’ into the system of food governance. Small-scale producers in all three nations are finding themselves increasingly subject to governance through private, market-based mechanisms that, to varying degrees, are dominated by major supermarket chains. The result is agricultural restructuring not through the traditional avenues of elected governments, but via non-elected market operatives. (shrink)

Corporations despite their status as legally fictitious persons are not such, and to confound them with real persons in even the minimal legal sense is to negate much of the force of the concept of rights when applied to the society. When corporations have rights individual rights become meaningless. While corporations may need some form of protection to make them financially feasible investments, they need not be given the full protection of rights which are assigned to the individual. A much (...) attenuated version of corporate rights is warranted. I would argue against Werhane's notion of a corporation possessing “secondary rights” which can be asserted only after the claims of individual rights have been met. Ibid., p. 62.One solution to the problems raised in this essay would be to ascribe rights to individuals only. This could occur without interfering with the financial independence of the corporation by a simple legal prescription that individuals within a corporation be held responsible for their activities and that the corporation p e r se not be blamed for individual actions. This is consistent with the judgments against the Nazi war criminals who were denied the defense of justifying their actions on the basis of following orders. Responsibility for those actions which are the result of the workings of the “invisible hand” cannot be ascribed to any individual or group of individuals. Donaldson is helpful on this point in recommending an “office of social responsibility” be created as part of the corporation to monitor those actions which otherwise escape scrutiny. Donaldson, Corporations and Morality, p. 207.A more radical solution is to restructure the corporation in such a way as to introduce the element of democracy in the workplace. Opponents would argue that such a practice would diminish the profit-making potential of the corporation by limiting the discretion of the corporate officers in making decisions. Similar arguments have been advanced against the democratic state. Yet democratic states have proven to be viable institutions capable of effective action and demonstrably more survivable than the authoritarian regimes which are the analogs of the corporation.Given the current hierarchical structure of the corporation and its ability to dissolve in the face of questions of responsibility, individual accountability is the only viable solution. This requires that members of the corporation not find cover behind the “invisible hand.” This in turn necessitates the granting of a greater degree of discretionary power to corporate functionaries at all levels. We cannot be responsible for a state of affairs over which we have no effective control. The courts would make the ultimate decision as to the assignation of responsibility in particular cases of corporate crime, with the stipulation that the ascription be to an individual and not “the corporation.” By making corporate officers individually responsible for their actions a much more effective deterrent to corporate crimes would be created. Corporations can easily afford most of the fines that are imposed on them, and corporations cannot be put in prison.The view of the corporation advanced here puts it in a legal and moral position greatly inferior to that of the individual as well as the state. Consequently, corporate needs and welfare must remain a tertiary concern. The rights of the individual must figure primarily, and the welfare of the state as preserver of those rights secondarily, in social policy decisions. The libertarian vision of the corporation is therefore a misguided result of the conflation of the corporation and the individual in the legal and moral realms. Corporations and individuals are ontologically distinct entities and must be recognized as such. The failure to do so has enabled corporations to abrogate individual rights with legal and moral impunity. Such a situation is inconsistent with the demands of a rights-based democracy. (shrink)

Organizational restructuring involving mass layoffs is an integral part of the corporate strategic landscape. While aimed at increasing a company’s efficiency and profitability, it often falls short of desired objectives, partly due to negative consequences for remaining employees, the so-called “survivors”. As workforce reductions may jeopardize a company’s legitimacy, we develop a model that links the change in post-restructuring employee productivity to the factors that help mitigate legitimacy issues. By using a comprehensive and innovative dataset of (...) class='Hi'>restructuring announcements reported by European companies over the post-crisis period, we analyze the moderating effect of the restructuring extent on the role of corporate social responsibility (CSR) and economic justification as legitimacy tools in counterbalancing the negative effects of job reduction measures. Our findings reveal that in reactive layoffs, induced by financial difficulties, initially high levels of CSR help lessen negative effects of restructuring on employee productivity in low-extent restructuring events; while in high-extent restructuring events employee productivity is supported by continuing investments in CSR. We provide evidence that both the level and dynamics of CSR practices play a significant role, and their effect on employee performance is conditional on the restructuring context. (shrink)

Prior research showed that corporate divestitures could help firms restore their strategic controls and long-term focus. This suggests that divestiture activities may have implications for firms’ commitment to corporate social responsibility following divestitures. Drawing from the attention-based view of the firm, we examine this underexplored yet important research question. We propose that firms’ divestiture scale is positively associated with their commitment to post-divestiture CSR. However, this relationship is weakened among firms facing pre-restructuring financial decline and selling more (...) related businesses, but strengthened among divesting firms with a new CEO. Using a longitudinal dataset of U.S. firms, we found support for most of our hypotheses. These findings suggest that corporate divestitures may offer a meaningful path to stakeholder value creation through better CSR performance. (shrink)

Adopting a comparative UK/US approach, this article argues for the need to rethink corporate bankruptcy theory in the light of developments in the finance market. It argues that these developments have produced an effective mechanism, in large cases, for selecting between companies which will be worth more if they continue to trade and companies which ought to be allowed to fail, so that corporate bankruptcy law need no longer concern itself with steering creditor choice away from a sale (...) of the business and assets and towards a restructuring. Moreover, it suggests that whilst the automatic stay remains a central tenet of corporate bankruptcy law where the market decides that the business and assets should be sold, in cases where the market sees more value if a company continues to trade, corporate bankruptcy law may operate very well without a stay as a resolution procedure for deadlocked negotiations. The article identifies that in many large restructuring cases the only liabilities that are implicated are financial liabilities, and queries the extent to which the distributional concerns of the progressive movement, and US federal bankruptcy law, apply where losses are shared amongst sophisticated financial institutions. It ends with an explanation of why the analysis is limited to large cases, an indication of areas for further research and a note of caution for the future. (shrink)

The restructured globalized economy has provided women with employment opportunities. Globalisation has also meant a shift towards self-regulation of multinationals as part of the restructuring of the world economy that increases among others things, flexible employment practices, worsening of labour conditions and lower wages for many women workers around the world. In this context, as part of the global trend emphasising Corporate Social Responsibility (CSR) in the 1980s, one important development has been the growth of voluntary Corporate (...) Codes of Conduct to improve labour conditions. This article reviews from a feminist interdisciplinary perspective the broad academic literature on women workers, covering the more classical debate on women workers in the industrialization process and entering into women workers in the global supply chains and women workers and corporate codes of conduct. The main argument is that this research on women workers is crucial to frame the issues of business ethics and in particular CSR and Codes of Conduct in the context of women in the global political economy. When this crucial knowledge is ignored, then the ethical policies of the companies also ignore the real situation of the women workers at the bottom of their supply chains. (shrink)

This article empirically investigates how Chinese executives and managers perceive and interpret corporate social responsibility (CSR), to what extent firms' productive characteristics influence managers' attitudes towards their CSR rating, and whether their values in favour of CSR are positively correlated to firms' economic performance. Although a large proportion of respondents express a favourable view of CSR and a willingness to participate in socially responsible activities, we find that the true nature of their assertion is linked to entrepreneurs' instincts of (...) gaining economic benefits. It is the poorly performing firms, or rather, firms with vulnerable indicators -smaller in size, State-owned, producing traditional goods and located in poorer regions that are more likely to have managers who opt for a higher CSR rating. Managers' personal characteristics per se are not significant in determining their CSR choice. Moreover, controlling for other observed variables, we find that managers' CSR orientation is positively correlated with their firms' performance. The better-off a firm is, the more likely its manager is to get involve in CSR activities. Firms with better economic performance before their restructuring would sustain higher postrestructuring performance. (shrink)

The transformation from industrial social work to corporate social responsibility points out a definite shift in the realm of social work vis-á-vis goal, objective and priorities of business. Over the past several decades social workers around the world have successfully been able to integrate with the modern production and business processes, particularly in addressing the emergent needs of the industrial population like those arising out of the psychosocial impact of workforce alienation, over-specialization, competitiveness, and stress and fatigue on their (...) life. Over all these years, as there has been a major transformation in defining human beings in the context of business from human resource to human capital, the corporate has also been restructuring its role in revitalizing its human resources alongside taking care of the vast external stakeholders through its new slogan of ‘corporate social responsibility’. But this new configuration lends itself to the process of self-examination and the litmus test remains: Is corporate social responsibility a new area structured to delineate the corporate's idea of greater variety of social services for humankind; or just one more catchphrase used to establish the fact that business houses are doing ‘a lot more’ than mere expansion of industrial social work; or has there been a change in the principal objective and priority of the corporate at the back of starting these programmes—from curbing loss to ‘just making profit’? (shrink)

Recent structural innovations in global commerce present difficult challenges for legacy understandings of responsibility. The rise of outsourcing, sub-contracting, and mobile app-based platforms have dramatically restructured relationships between and among economic actors. Though not entirely new, the remarkable rise in the prevalence of these “not-quite-arm’s-length” relationships present difficulties for conceptions of responsibility based on interrogating the past for specifiable actions by blameworthy actors. Iris Marion Young invites investigation of a “social connection model of responsibility” (SCMR) that is, in many ways, (...) better suited to this new commercial reality. Scholars working to understand corporate responsibility have invoked Young’s model to some good effect, though often superficially and uncritically. In this paper, we look closely at Young’s social connection model and its potential for helping us understand corporate responsibility in a radically networked world. (shrink)

The Sarbanes-Oxley Act of 2002 is considered by many to have made the most sweeping changes affecting corporate governance since the Securities and Exchange Acts of 1933 and 1934. About 4 years after its passing, however, many governance experts question whether the time and expense of compliance engender any real reforms. This article examines whether corporations have restructured their boards in response to the enactment of Sarbanes-Oxley and finds evidence that companies are implementing changes that should strengthen the monitoring (...) ability of their boards. (shrink)

Corporate governance in the European Union (EU) has been traditionally seen as a problem of harmonizing or co-ordinating national systems. Here the focus is on the interactions between corporate governance on the one hand and macroeconomic policy on the other. It is argued that the function of corporate governance is a process determined by a structurally embedded dynamic game between major stakeholders and the corporation. The article argues that Economic Monetary Union (EMU) institutions and policymaking, as elements (...) of the institutional environment in which this game is embedded, determine particular parties’ bargaining power and through this the outcome of the corporate governance game and its trajectory. The main focus is on the bargains between labour and financial capital with the corporation, which is mostly destabilized in the EU–EMU environment. The findings carry an important message for post-crisis restructuring. (shrink)

This article explores union attempts to control pension fund investment for the debate on financial restructuring in the United States. It puts popular control of finance into comparative and historical perspective and argues that laws and politics help explain why the flow of finance is corporate controlled. First, changes in the legal regime—the Taft-Hartley Act of 1947 and the Employee Retirement Income Security Act of 1974—put constraints on labor’s ability to influence investment decisions. This is evident when comparing (...) single- and multi-employer plans, where the laws had different consequences. Second, attempts to reform these laws failed. Had they been successful, Carter’s proposed economic revitalization plan in the run-up to his failed reelection in 1980 would have created new ways for unions to control and redirect retirement investment for social purposes. The reform failure is treated as a “suppressed historical alternative” through a comparison with a successful reform in Quebec, Canada, which gave unions broad controls over the Solidarity Fund in 1983. The findings suggest, somewhat counter-intuitively, that legal restrictions need to be loosened for democratic control of finance to be possible. For pension funds, more regulations led to more corporate control, not less. (shrink)

Summary The purpose of this study was to illustrate and analyze the organizational change the Swedish voluntary sports club IF Björklöven went through in connection with the corporation formation of its representative team. The study was made with institutional theory as a theoretical frame of reference. Particularly important for the shaping of the study was a theoretical model by Greenwood and Hinings. The data was collected using semi-structured interviews with seven respondents representing different parts of the organization. The results show (...) that the change process was driven and enabled for the most part by the offer of SEK 22.5 million from an external financier. The restructuring has brought about a change in the way Björklöven thinks about the outcome, purpose, structure and goals of the organization, now that the organization is moving towards a more market-oriented way of organizing. (shrink)

How do we deal with difference personally, interpersonally, nationally? Can we weave a cohesive social fabric in a religiously plural society without suppressing differences? This collection of significant essays suggests that to truly honour differences in matters of faith and religion we must publicly exercise and celebrate them. The secular/sacred, public/private divisions long considered sacred in the West need to be dismantled if Canada (or any nation state) is to develop a genuine mosaic that embraces fundamental differences instead of a (...) melting pot that marginalizes. An ethics of difference starts with a recognition of difference, not as deviance or deficit that threatens but as otherness to connect with, cherish, and celebrate. The book begins with the suggestion that our inability to come to terms with social plurality is not fundamentally the fault of religious differences, and that a public/private split inadequately deals with matters of basic difference. It then explores how encouraging people to live out their respective faiths may open new possibilities for respectful, honourable, and just negotiations of contemporary dilemmas arising out of the multicultural fabric of Canadian life. Towards an Ethics of Community introduces readers to some of the most challenging and divisive dilemmas we face in this increasingly pluralistic, postmodern world — issues such as family and domestic violence, Aboriginal rights, homosexuality and public policy, and female genital mutilation. This is a book truly global in scope and significance. (shrink)

The history of the concept of “religion” in Western tradition has intrigued scholars for years. This important collection of eighteen essays brings further light to the ongoing debate. Three of the invited participants, W.C. Smith, M. Despland and E. Feil, has each previously written impressive books treating this subject; the last two acknowledged the impact and continuing influence of Smith’s work, The Meaning and End of Religion. An introduction and a recapitulation of Smith’s contribution as a scholar set the stage (...) for a retrospective look at the published literature. Contributors then examine the transformation of words (the classical religio to the modern religion), particularities of religion in nineteenth-century France, Troeltsch’s concept of religion, the study of religion from an Asian point of view and the categorization of “World Religions.” The concluding essays elaborate contemporary anthropological, cross-disciplinary, semiological, deconstructive and psychoanalytical methodological approaches to the concept and study of “religion.” Exploring critically different aspects of the concept and study of religion, these provocative essays typically reflect the methodological pluralism currently existing in the field of Religious Studies. Of interest to scholars and students alike, this collection also contains a complete bibliography of W.C. Smith’s publications. (shrink)