Multi-Group Labor-Management Negotiations: Model and Case Study

This interdisciplinary work examines the complex process of negotiating labor relations in general and in the specific context of France. Drawing on social identity theory, we use a dynamic, multiplex network model to capture interactions between several groups of labor relations actors. At one multiplex level, union members interact with each other and with their representatives; at a second level, management negotiators interact with union negotiators. Government regulations and internal organizational factors form the negotiations context, which can affect the negotiation process and outcomes. We map multiple interactions in time under different contextual conditions—scenarios—enabling parties to explore various strategies and their expected results, and to develop ways to attain or avoid them.

To illustrate the model’s potential, we focus here on a Major European Industrial company (MEI) active in four European countries (France, Great Britain, Germany, and Spain). We collect MEI-specific labor relations data through participatory observation and interviews at the French site. We estimate MEI-specific model parameters and generate scenarios of conflict trajectories and outcomes for this case under several contextual assumptions.