The ongoing controversy about sweatshop labor has mainly focused on economic, on the one, and ethical aspects, on the other side. While proponents of sweatshop labor have argued that low wages would attract foreign investments, would create new workplace opportunities and thus improve economic welfare in less-developed countries, opponents of sweatshop labor argue that such treatment of laborers would violate their dignity, and they prompt western buyers to stop this kind of exploitation. However, the arguments in this debate are not (...) new. As we will show, they can be traced back to the early “sweatshop” debate between social reformers and classical liberals in the 19th century. Interestingly, the 19th century debate identified sweatshop labor not as an industrial system but as a social phenomenon which becomes more likely when several social preconditions are fulfilled. It will be shown that the social preconditions identified in this debate determine working conditions till today and can be used to identify industries were sweatshop labor is more likely than in others—even in western countries. (shrink)

South Asia is a region that two billion world citizens call home. It connotes not only a geographical place but a discursive space that, despite its heterogeneities of ethnicity and political experience, is joined at the hip by a shared experience of colonialism, sovereignty, and globalized neoliberalism. As a result, South Asia is also a site of aspiration and struggle, as well as emancipation and exploitation. Research in business ethics has not adequately addressed the challenges faced by this region, and (...) consequently overlooked the possibility that a fine-grained analysis of the organizational issues faced by this region can generate new insights on ethical organizations across the world. This special issue marks an important step in that direction and reveals potentially translocal insights about how ethical organizations can be reimagined. (shrink)

Women constitute the majority of workers in global value chains (GVCs), yet few GVC scholars focus on the governance of gender. Based on an investigation (2013–2017) started after the Rana Plaza disaster in Bangladesh, this article presents “voice to the subordinate strata” as the first principle of feminist governance in the GVC. Findings reveal the matrix of power, which includes the International Labour Organization and the state that underpins the political economy of the Southern factory. This study provides a transformative (...) model of feminist governance as transnational justice. As the relational ethic that links justice in the workplace to the quality of a woman's life, feminist governance is also the moral economy of the GVC wherein the woman worker is valued as a citizen in the global economy. (shrink)

This paper explores the conditions favouring or inhibiting the implementation of strategic corporate social responsibility policies in the context of global value chains. Using transaction cost theory, we specify the economic and behavioural issues raised by strategic CSR policies. We show that the existence of market rewards for such policies does not constitute a solution per se, but tends to increase the difficulties that value chain members face. Bringing TCT into the analysis of the diffusion of strategic CSR policies in (...) GVCs helps us to make different contributions. We first theoretically identify some limiting conditions of strategic CSR policies in GVCs. We also contribute to developing a more robust theoretical perspective for CSR in GVC research, which remains underdeveloped and mostly driven by empirical case studies. Finally, we shed light on new research questions and topics that could guide major theoretical and empirical investigations in the capacity of GVCs members to bypass the numerous difficulties involved in the implementation of strategic CSR policies. (shrink)

This study examines the extent to which enabling and controlling uses of management control systems moderate the relationship between environmental innovation strategy and organizational performance. Partial least squares structural equation modeling is used to analyze survey data collected from top managers in 175 manufacturing and services sectors representing multinational and local organizations operating in Sri Lanka. We find that while the enabling use of MCS positively moderates the relationship between environmental innovation strategy and organizational performance, in contrast, the controlling use (...) of MCS negatively moderates the relationship. We compare the results for the manufacturing and services sectors. As predicted, we find a significant positive moderating impact of the enabling use of MCS in both manufacturing and services sectors. However, contrary to our expectations, we find no significant moderating impact for both sectors for the controlling use of MCS. We conclude that environmental innovation strategy per se does not lead to performance improvements; however, the extent to which organizations use enabling and controlling MCS determines the relationship. We provide theoretical insights and practical implications concerning the importance of strategic alignment between managerial controls, environmental innovation strategy, and organizational performance. (shrink)

This study provides evidence on the governance of CSR policies and activities by Indian central government-owned companies [i.e. Central Public Sector Enterprises ] within a unique mandatory regulatory setting. We utilise the multi-level ‘Logic of governance’ conceptual framework and draw upon interview data collected from 25 senior managers in 21 CPSEs to assess the dynamics of CSR implementation within CPSEs. Our findings indicate most managers believe that a mandatory policy has enhanced the accountability and commitment of governing boards and senior (...) management to CSR. However, CSR policy implementation within Indian CPSEs is still nascent, fraught with bureaucratic hurdles, insufficient human and knowledge resources, limited stakeholder analysis and over-emphasis on CSR budget utilisation as an outcome. Several key areas for improvements include the need for better translation of national CSR policy goals to firm-level strategies, more formal assessment of stakeholder needs, clearer communication lines with external service providers, such as NGOs and local government agencies, and the better evaluation of CSR outcomes. The findings of this study have implications for both theory and policy development. (shrink)

This paper examines the emotional processes in Machiavellian leadership. The leadership literature portrays Machiavellians as ‘dark’ individuals that engage in unethical actions, causing employee dissatisfaction, distress, emotional exhaustion and high turnover. However, research has seldom questioned the processes behind these unethical and negative outcomes. This study explores Machiavellian emotional processes at multiple levels—within-persons and relational levels (between-persons and interpersonal interactions in organisations). In this study, emotions and leadership are not explored in isolation but as social processes that occur in relationships (...) between leaders and employees in evolving organisational settings. This study draws on 20 participants from four large multi-national construction firms in Sri Lanka. Open-ended semi-structured interviews were conducted to explore the emotions of Machiavellians in organisations. The findings suggest that Machiavellianism influences leader and employee emotional processes. Furthermore, the emotional processes, influenced by Machiavellianism, appear to facilitate the development of leader and employee relationships and emotional experiences at within-persons and relational levels in organisations. (shrink)