The industrial relations chameleon: collective bargaining in the facility management business

Abstract

Purpose: The paper aims to analyze collective bargaining in the facility management business of these six countries to explore similarities and differences between them. The analysis serves to test the differential impact of the national institutional setting on the protection provided by collective agreements to facility management workers. Design/methodology/approach: The paper adopts a case study methodology to approach a facility management multinational company providing services in six European countries (France, Italy, The Netherlands, Poland, Spain and the UK) that represent different industrial relations systems with variance in key dimensions of collective bargaining, including its structure, coverage and extension of agreements. Findings: The extension of the facility management business model has not always adopted a high-road strategy aimed at enhancing the quality and efficiency through the integrated management and delivery of services, which is expected to positively impact employment conditions. Rather, it has, in many cases, been a deliberate, low-road attempt to undercut working standards, taking advantage of the multiple services provided by the company in a context of growing de-centralization in collective bargaining. The results point to an important role of industrial relations institutions in shaping facility management strategies and outcomes. Originality/value: Similar to other forms of outsourcing, facility management leads to fragmented employment relations. However, the concentration of outsourced workers under the same supplier organization introduces opportunities to ensure the protection of workers, depending on the adoption of a high- or low-road competitive strategy. This paper provides for the first time comparative evidence about industrial relations in facility management businesses, a largely under-researched area.