Work Stoppages in Social Economy Organizations: A First Look Kunle Akingbola & Jack Quarter University of Toronto
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Work Stoppages in Social Economy Organizations: A First
Look
Kunle Akingbola & Jack Quarter
University of Toronto
Introduction
This study examines the scale, duration and dimension of labour disputes in social economy organizations in Ontario.
The data is used to glean insight on the state of labour relations and, to some extent, HRM in the sector.
Introduction
We suggest that the analysis of work stoppages in social economy organizations must examine the implications for stakeholders to highlight its contextual dimension.
Introduction
We propose that due to the underlying social values of these organizations (Quarter, 1992; Quarter et al., 2003) and the type of workers they tend to attract (Brown & Yoshioka, 2003; McMullen & Schellenberg, 2003) the nature and interpretations of these stoppages could be could an indication of social movement unionism.
(Quarter, 2006)
Defining Social Economy Organizations
The term social economy was originally coined in France and was widely used in francophone areas such as Belgium and Quebec.
Social economy is a bridging concept
(Quarter, 2006)
Defining Social Economy Organizations
Organizations in the social economy have social objectives central to their mission and their practice.
These organizations also have, either explicit economic objectives or generate some economic value through the services they provide and purchases that they undertake.
(Quarter, 2006)
Defining Social Economy Organizations
Social economy organizations include nonprofits and cooperatives.
In addition to sharing similar characteristics as outlined above, their economic impact, especially for nonprofits is often not recognized.
Economic and Social Contributions
Social economy organizations are an important element in the foundation of many countries.
People rely on these organizations for: economic development employment, social justice advocacy, and mutual support.
Economic and Social Contributions
The 9,000+ cooperatives in Canada employ over 160,000 people
Non-financial cooperatives generated $26.2 billion in revenue in 2003
Economic and Social Contributions
Some of the insurance cooperatives are among the largest employer in their business (Co-operative Secretariat. 2006)
Similarly, the 161,000 nonprofit and voluntary organizations operating in Canada generated $112 billion in revenue in 2003 (Imagine Canada, (2004).
Theoretical Framework
Neoclassical economic literature examines the effect of strike in terms of productivity, profitability, capital investment, and employment growth (Budd, 1994; Hanrahan et al., 1997; Hirsch, 1997).
Theoretical Framework
Structural and institutional perspective posits that some industries and occupations are more prone to strike due to inherent social characteristics of the work that enables collective consciousness and community integration (Kerr and Siegel, 1954).
Theoretical Framework
Political and organizational explanation for strike has focused on the importance of the role of political left, bargaining structure, inadequate authority among negotiators and internal union politics (Darlington, 2004; Godard, 1992).
Agitator theory contends that strike is the result of the action and influence of few individuals (Darlington, 2004;Hyman, 1989).
Pertinent Question
For this research, the pertinent question is whether any of the theoretical explanations for strikes sufficiently explains work stoppages in social economy organizations.
The first part of research explore the scale, duration and dimension of labour disputes in social economy organizations in Ontario.
The Study
Quantitative and qualitative Data on work stoppages that occurred between
1994 and 2005 from the Ontario Ministry of Labour.
Media databases for reports on work stoppages in the sector over the period.
Quantitative Results: Stoppages by Year
1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005
YEAR
0
10
20
30
Co
un
t
Type of Work StoppagesI
L
S
Stoppages by Sector
Type of Organization: Associations Canada Category
0
20
40
60
80
100
Co
un
t
Type of Work StoppagesI
L
S
Stoppages by Union
ALLIE
D H
EA
LT
H P
RO
FE
SS
ION
ALS
BR
EW
ER
Y &
PR
OF
ES
SIO
NA
L W
OR
KE
RS
BR
ICK
LA
YE
RS
INT
L
CD
N A
UT
O W
OR
KE
RS
CD
N P
UB
LIC
EM
PLS
(CU
PE
)
CO
MM
UN
ICA
TIO
NS
EN
ER
GY
PA
PE
RW
KR
ELE
CT
RIC
AL W
OR
KE
RS
(IBE
W)
FO
OD
& C
OM
ME
RC
IAL W
OR
KE
RS
HO
TE
L E
MP
LO
YE
ES
IND
EP
EN
DE
NT
LO
CA
L U
NIO
N
INT
L O
PE
RA
TIN
G E
NG
INE
ER
S
MU
SIC
IAN
S
OF
FIC
E &
PR
OF
ES
SIO
NA
L E
MP
LS
ON
T N
UR
SE
S A
SS
N
ON
T P
RA
CT
ICA
L N
UR
SE
S
ON
T P
UB
LIC
SE
RV
ICE
EM
PLS
PA
INT
ER
S
PU
BLIC
SE
RV
ICE
ALLIA
NC
E
SE
RV
ICE
EM
PLO
YE
ES
INT
L
ST
RU
CT
UR
AL IR
ON
WO
RK
ER
S
TE
AM
ST
ER
S
UN
ITE
D S
TE
ELW
OR
KE
RS
UNION NAME Codes
0
10
20
30
40
50
Co
un
t
Type of Work StoppagesI
L
S
* number excludes work stoppages involving more than one organization.
Quantitative Findings
Social economy organizations in Ontario lost 1,052,750.00* persons days to 205 work stoppages resulting from labour disputes.
As expected, size (measured by number of employees) was a factor in social economy organizations’ labour disputes over the period related r square = .72, adjusted r square = .68, p = .00
Organizations with 150 or more employees had more labour disputes.
* number excludes work stoppages involving more than one organization.
Quantitative Findings
Relationship between economic region and strike, moderately related r square = .018, adjusted r square = .013, p = .057
Central Ontario, Eastern Ontario, and Niagara had the highest number of labour disputes.
Relationship between strike and whether the organization is considered to be ‘private, municipal, provincial or various’ by the Ministry of Labour
Social Economy Organizations classified as private have more labour disputes
Quantitative Findings
The health sector experienced more labour disputes than other sectors
Qualitative Findings
Reasons for Workstoppagges
4, 11%
12, 32%
6, 17%
6, 17%
6, 17%
2, 6%
Fundung
Wages
Condition
Quality of Care
Staffing
Other
Conclusions
Work stoppages is more common in some social economy organization than the other
Similarly, the location and economic region of the social economy organizations is related to the level of work stoppage they experience
Structural and institutional explanation of strike is consistent with the basis of work stoppages in social economy organizations
There is no support for agitator theory and other political and organizational explanations for work stoppages
Conclusions
Neoclassical economic explanation of work stoppages could be applied to social economy organization
However, it must be used in conjunction with political and organizational explanation to explain the full picture of work stoppages in social economy organizations.
QUESTIONS
THANK YOU
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