ABSTRACT

This chapter presents an overview of existing participation schemes in companies in a number of European states. It analyses the interrelationships between two forms of participation schemes: direct participation by employees, that is, consultation and delegation on an individual and a group level; and financial participation, that is, employee ownership and profit-sharing. The chapter looks at some background information to the phenomenon of participation and the rationale behind the Employee Participation in Organisational Change survey. Taking a contingency perspective it is expected that both direct participation and financial participation are important for those companies that face dynamic environments that have to compete on quality and variety. This environment is reflected in organic structures with greater task interdependence and where flexibility is required due to a greater variety of products and services. The chapter concentrates on investigating the existence at workplaces of a collective Profit sharing and/or SO scheme.