Abstract

This article analyzes business and union strategies in the reform of job security regulations. It argues that unions are the main political actors pushing for their expansion of regulations, but given employers’ opposition, unions are able to enforce better protection only in exceptional periods. Once the first restrictions are in place, employers use their power advantages at the workplace level to circumvent regulations, which unions combat by reducing the level of discretion awarded to employers in interpreting regulations. In recent decades, job security regulations have come under increasing pressure. Unions have reacted to this new situation by consenting to the continuous deregulation of temporary employment, while they fight any attempt at deregulating job security in open-ended contracts in order to protect their members’ interests and their institutional involvement in the administration of dismissals. The theoretical argument is supported by empirical evidence from four Western European countries since the postwar period.