Union mergers in times of restructuring: A psychological approach

Abstract: With globalization and economic competition on the rise, the very nature of work has been changing, and many organizations are turning to restructuring as a means of facing the developing external and internal demands for change. Unions, being no exception, are often ready to undergo fundamental restructuring in order to meet challenges, such as an increasingly heterogeneous work force and membership declines. The main tool for such union restructuring is merger. However, union mergers are notoriously difficult to implement. To investigate this, this thesis adopts a psychological approach for examining the process of merger implementation, as it, more specifically, aims to explore merger-related motives, barriers, and outcomes. The thesis rests on three empirical studies – based on questionnaire data – investigating one rejected (Study I and II), and one completed (Study III) merger attempt. Its main theoretical underpinnings stem mostly from frameworks within social psychology. Study I aimed at identifying predictors of merger-related attitudes, and found that organizational commitment and the communication of merger-related information served such a function. Study II investigated the differences between status levels in relation to the democratic aspects of merger implementation. The results revealed several differences between representatives and rank-and-file members, and suggest that these may constitute major sources of merger barriers. Study III compared the effects of members’ merger-related attitudes, and the structural differences between merging unions, on post-merger decline in member attachment. The results showed that merger-related attitudes may play an important role in the merger implementation process, while the same was not found in regard to structural differences. The general results are discussed in relation to representation restructuring, as well as mergers and acquisitions in general.