The ‘voluntarist’ system - Voluntarism arose out of trade union immunity legislation such as the Trade Disputes Act 1906
- Principal features of voluntarism included:
- non-legally binding collective agreements
- voluntary union recognition by employers
- low level of formalisation of industrial relations structures
- voluntary framework of state-provided dispute resolution facilities (no power of the State to arbitrate)
- This voluntarist system was supported by employers and unions
The state: from voluntarist to interventionist - In an attempt to reverse economic decline, governments from the 1970s onwards legislated industrial relations reform
- The most radical of these reforms were those of the Conservative Thatcher Government (1979-1990) which aimed to reduce the power of the unions
- Some have characterised this point in British history as the shift from a voluntarist to a neo-liberal interventionist state
Broad shifts in state economic policy - Economic policy:
- 1945-1979: Keynesian consensus on state-directed income redistribution and full employment
- 1979-1997: Radical shift to neo-liberal reform including deregulation, flexibilisation of the labour market and control of inflation
- 1997-Current: Continued focused on inflation control; recent challenge of the Global Financial Crisis and the subsequent challenge to recover from and cut the deficit
Dispute settlement - The state has long provided conciliation and arbitration services to supplement voluntary collective bargaining and dispute procedures
- Since 1975 these services have been offered by the independent Advisory, Conciliation and Arbitration Service (ACAS) under the Employment Protection Act
- ACAS is a governmental agency governed by a tripartite council, of employer and union nominees with a balance of independent members e.g. academics
- ACAS offers industrial relations advice as well as conciliation and non-compulsory and non-binding arbitration services to the parties to individual and collective agreement disputes
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