👉The table of contents so far is here.
Chapter 13: Planned Economy and Corporate Management
13.3. Management participation
In capitalist enterprises, management and labor are generally strictly separated. Even if labor unions have the right to negotiate, they cannot intervene in management itself. This is because capitalist enterprises are based on strict class distinctions and superiority-subordinate relationships between labor and management.
In contrast, in communist enterprises, worker participation in management is a common element, although the degree and method vary depending on the type of enterprise. This issue has already been discussed in Chapter 11, but I would like to summarize it again here from a labor perspective.
In communist enterprises, worker participation in management is roughly divided into indirect participation through worker representative committee in large enterprises where management and labor are inevitably separated, and direct participation through general staff assembly in small and medium-sized enterprises where management and labor are integrated. However, in either case, these worker participation bodies retain the right to co-decision-making with the management body regarding issues related to working conditions and benefits.
Co-determination means that matters relating to working conditions and employee benefits must be decided based on agreement between the management body and the worker participation body. It also means that worker participation bodies have the right to make proposals to the management body regarding these issues, and can request that specific management issues that affect working conditions and employee benefits be taken up as matters for co-determination with the management body.
Applying this analogy to a capitalist enterprise, issues relating to working conditions and employee benefits are essentially matters for co-determination between the management body and the in-house labor union. However, since labor unions in capitalist enterprises are ultimately organizations outside the company, true co-determination between labor and management is not possible.
In a communist enterprise, there is no need for external labor union organizations. This is because in-house worker participation bodies are, so to speak, labor unions that have been internalized within the company.
However, this does not mean that the formation of labor unions is prohibited. However, since workers generally act through internal company participation organizations and labor unions are merely external, informal organizations, companies are not obligated to consider labor unions as official negotiating partners.
👉The papers published on this blog are meant to expand upon my On Communism
