ABSTRACT

The purpose of this chapter is to explore the effects of outsourcing strategies on the collective structures of union representation and bargaining arrangements, which are the main pillars of strength of trade union organizations. It is clear that outsourcing of both peripheral and core tasks has influenced firms’ performance as well as played a significant role within debates on the changing world of employment and on the structure and the nature of employee relations. Previous work on companies’ externalization practices has sought to place outsourcing within the context of labour utilization strategies adopted by management (Atkinson, 1987). More specifically, in line with management’s objective to achieve ‘economy of scope’, outsourcing has ushered in a new regime of precarious employment and trade union absence. This was the result of the externalization of simple tasks to small non-union firms in order to search for ‘numerical flexibility’ (Rannie, 1989).