Control of subsidiary HRM policies by multi-national corporate headquarters: the role of institutional differences and labor unions
Article
Fenton-O'Creevy, M. and Gooderham, P. 2024. Control of subsidiary HRM policies by multi-national corporate headquarters: the role of institutional differences and labor unions. International Business Review. https://doi.org/10.1016/j.ibusrev.2024.102323
Type | Article |
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Title | Control of subsidiary HRM policies by multi-national corporate headquarters: the role of institutional differences and labor unions |
Authors | Fenton-O'Creevy, M. and Gooderham, P. |
Abstract | There is a lack of clarity about the institutional sources of variation in the control of multi-national enterprise (MNE) subsidiaries by corporate headquarters (CHQ). Applying comparative institutional theory, we focus on the control of HRM policies by CHQ. First, we argue that when there are substantial home-host institutional differences in national employment protection regulation the dissimilarity in CHQ-subsidiary mindsets increases the likelihood of CHQ control. Second, we argue that union influence within the subsidiary amplifies that effect. We analyze a sample of 708 MNE subsidiaries in 32 countries with CHQs distributed across 39 countries. Unlike some prior work on subsidiary autonomy, we account for the multi-level nature of country and firm-level data. The evidence for the first of our arguments is mixed. However, in that we find a significant three-way interaction effect of CHQ control on home country and host country employment protection regulation and union influence, the second argument finds support. |
Keywords | multi-national enterprises; subsidiary relations; human resource management; institutional context; labor union influence; multi-level analysis |
Sustainable Development Goals | 9 Industry, innovation and infrastructure |
Middlesex University Theme | Creativity, Culture & Enterprise |
Research Group | International and Cross-cultural Management group |
Publisher | Elsevier |
Journal | International Business Review |
ISSN | 0969-5931 |
Electronic | 1873-6149 |
Publication dates | |
Online | 17 Jul 2024 |
Publication process dates | |
Accepted | 28 Jun 2024 |
Deposited | 01 Jul 2024 |
Output status | In press |
Publisher's version | License File Access Level Open |
Accepted author manuscript | File Access Level Restricted |
Copyright Statement | © 2024 The Author(s). Published by Elsevier Ltd. This is an open access article under the CC BY license (http://creativecommons.org/licenses/by/4.0/) |
Digital Object Identifier (DOI) | https://doi.org/10.1016/j.ibusrev.2024.102323 |
Language | English |
https://repository.mdx.ac.uk/item/15w721
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