STEEL - A CLASSIC CASE OF INDUSTRIAL-RELATIONS CHANGE IN BRITAIN

The interrelations between the search for greater flexibility and the decentralization of industrial relations have received comparatively little attention. The developments within British Steel over the past decade indicate how these two developments can interact. Against a background of a stagnant market for steel, overcapacity, changing state attitudes towards the nationalized sector and a national steel strike, management at British Steel have used local agreements as a key vehicle for introducing widespread restructuring and changes in work organization. In particular, the tying of local bonus payments to achieved performance and to changes in work organization has enabled management to introduce fundamental changes to traditional work arrangements with little worker or union resistance.