Privatization, Regulation and Industrial Relations

The article examines the consequences of privatization for the industrial relations of former public corporations. Three effects of privatization are explored: the ending of direct political control, the creation of a regulatory framework for the major utilities, and the replacing of a ‘political’ orientation by a ‘shareholder’ orientation in privatized companies. It is argued that each may have significant consequences for management strategies and industrial relations, although these may not be what either protagonists or opponents of privatization have anticipated.