Corporate governance and labour law: Situating Australia's `regulatory style'

Abstract

This article gives an overview of the 'varieties of capitalism' and 'legal origins' literature to develop a stylised model of various complementarities between corporate governance and the management of labour, with an emphasis on the role of corporate law and labour law. The authors then apply this model to interrogate the development of Australian labour law and corporate law, and consider whether a case can be made for an Australian exceptionalism.

A Multi‐level Perspective of CSR Reporting: The Implications of National Institutions and Industry Risk Characteristics

“…In this vein, an Australian Government Report (Australian Government, Parliamentary Joint Committee on Corporations and Financial Services, ) found that the Corporations Act does not preclude directors taking into account the interests of stakeholders other than shareholders. Even though ownership is generally dispersed in Anglo systems (Crossland, ), Marshall, Mitchell, and O'Donnell (:158) argue that “in Australia share ownership is relatively concentrated with similarities to countries such as France, Spain and Italy” (see also La Porta, Lopez‐de‐Silanes, Shleifer, & Vishny, ). The Australian employment system, with its arbitration and conciliation system and its compulsory nature of award setting, is characterized by higher labor protection than in other LMEs, although recent changes to employment law have lessened this protection (Marshall et al., ).…”

“…Even though ownership is generally dispersed in Anglo systems (Crossland, 2007), Marshall, Mitchell, and O'Donnell (2009:158) argue that "in Australia share ownership is relatively concentrated with similarities to countries such as France, Spain and Italy" (see also La Porta, Lopezde-Silanes, Shleifer, & Vishny, 1999). The Australian employment system, with its arbitration and conciliation system and its compulsory nature of award setting, is characterized by higher labor protection than in other LMEs, although recent changes to employment law have lessened this protection (Marshall et al, 2009). Disclosure of social and environmental performance is, however, not required by law.…”

Governance and corporate social responsibility: contested positions forlabour

“…Anglo governance systems generally operate with low employment protection, although Australia's arbitration and conciliation system and compulsory nature of award setting have been viewed historically as quite centralised and offering higher protection than what might otherwise have been achieved (Marshall et al 2009). Recent changes to employment law have lessened protective mechanisms (Marshall et al 2009).…”

“…The scope of bargaining has been constrained and employees are not well integrated into governance structures. Marshall et al (2009) refer to this as a hybrid form of corporate and labour market systems.…”

“…Recent changes to employment law have lessened protective mechanisms (Marshall et al 2009). The scope of bargaining has been constrained and employees are not well integrated into governance structures.…”