The article is divided into three further sections. The next section offers an insight into the extent of economic change in the Welsh economy in the recent past and the role of multinational capital in restructuring. The third section reviews the literature on multinational corporations and employee relations. The final section provides the results of a survey on this issue.
Wales: old industrialized region to tertiarized, feminized economyAll industrialized regions undergo a process of economic and industrial change. Wales is no different, with a long period of decline of its old staple industries, and coal mining in particular, dating back to the First World War (Francis and Smith, 1980;Humphrys, 1972;Morgan, 1983; Morris (forthcoming); Morris and Hill, 1992). The decline of old industries continued in the post-Second World War phase, accompanied by the growth of newer engineering based industries -motor vehicles, electrical engineering, white goods manufacture -and the chemicals industry. In part, this was precipitated by the state through, in particular, an active regional policy.The most dramatic phase of industrial restructuring has, however, occurred in the last decade or so, and particularly since 1979. This restructuring of the Welsh economy has been characterized by a number of features. First, the further decline of the older industries, coal and metal manufacturing (especially steel); indeed the former has all but ceased to exist with only three pits remaining. The "decline" of the steel industry is more complex, for while there has been employment loss, accompanied by plant closure and capacity cuts, the industry still has a major presence in the area, with two of British Steel's three integrated UK sites. Nevertheless, the industry now employs only 15,000 in Wales, compared with 75,000 in the early 1970s.The second major feature of change has been a widespread industrial restructuring of the Welsh economy, comprising a shift within manufacturing and a shift towards service sector employment. Within manufacturing the shift has broadly been one from heavy industry, notably metal manufacture, to lighter industries, with electronics now being the major employer. The service sector, meanwhile, increased employment from 457,200 in 1972 (50 per cent of the workforce) to 653,600 in 1991 (68 per cent).Feminization, the next major feature of change, has been closely allied to this general tertiarization of the economy, although the growth of women workers cannot be ascribed to service industry growth alone. Women workers now account for 49 per cent of the Welsh workforce in a region where, unlike Lancashire and Yorkshire, traditionally they were economically inactive due to the dominance of coal and metal manufacture. Women have also been employed heavily in other of the new industries which have been established in Wales, particularly in the electronics industry.The growth of this sector in Wales is part of a wider internationalization of capital, particularly in the manufacturing industries. While foreign ...