PhD$:$Changing$workand$employment$instu7onsin$Mauri7us ... · Seminar!Outline!! •...

PhD : Changing work and employment ins7tu7ons in Mauri7us: challenges for workers, companies and educa7on & training ins7tu7ons

Blandine Emilien, University of Leicester

Seminar Outline

•  Background/Rationale •  Conceptual framework •  Research objectives & questions •  The Mauritian context: a summary •  Methodology: Assumptions and Empirical

investigation •  Some findings •  Conclusions

My Background…

•  Originally from Mauri2us •  Ini2al research interest: Exploita2on of language proficiency as a contemporary commodity.

(Commodity exploita2on: from sugar planta2ons to Business Process Outsourcing)

Background (and Empirical Field)

Business Process Outsourcing •  Basic office work sent to overseas loca2ons •  Voice (call centres) and non-‐voice opera2ons (back office, data processing, low-‐end administra2ve ac2vi2es)

•  In the past decade: prolifera2on of BPO opera2ons in former European colonies

Background [Mauri>us] •  Colonial heritage: English and French proficiency •  Mauri2us is a recognised Francophone des2na2on in the global BPO industry

•  The Mauri2an government: Unemployment reduc2on strategy through FDI into a new labour-‐intensive sector: BPO •  To date: Business Process Outsourcing Approx. 500 companies 16,800 workers (‘Invest Mauri/us’, Board of Investment newsle9er , Dec 2011)

Background (Recent Events) January 2011: Important industrial Disputes Largest BPO company Non-‐payment of workers’ salaries for 3 months.

Hunger strikes-‐ with high media coverage Employer bailed by government

Ra2onale

New ra>onale: -‐Changing work and employment ins2tu2ons -‐Workers’ reac2on: none for 3 months calling into ques2on young workers’ rights awareness, skills levels, educa2on

Conceptual framework

•  Historical Ins>tu>onalism •  Work and Educa>on: Cri>cal connec>ons

(implica2ons of the knowledge-‐based economy model, employability; skills development; )

An ins2tu2onalist approach

Role of the MU State European employers Mauri2an Workers

Conceptual Framework: Main Theories

1. Historical Ins2tu2onalism The role of ins2tu2ons The role of History in

shaping, disrup2ng, re-‐shaping these ins2tu2ons

(Economy & society)

Conceptual Framework: Main Theories

1.   Historical ins>tu>onalism:

Importance of history in ins2tu2onal change and/or con2nuity (Streeck and Thelen 2005)

Interdependence between Economy and

Society (Streeck 2010)

Conceptual Framework: Main Theories (1)

1. Historical Institutionalism:

In order to understand contemporary challenges: •  Norma>ve forces: contemporary challenges to changing

ins2tu2ons are iden2fied and analysed in rela2on to past ins2tu2onal arrangements

•  History ma_ers (Economy, work and educa2on + policies that regulate them)

•  A holis>c approach: any given ins2tu2on is embedded within a larger set of ins2tu2ons (Steinmo 2010: 129)

•  Ins>tu>ons are formal and informal (Streeck and Thelen 2005) •  Formal: Policy, Statutory regula2ons and structures Informal: norms (cultural)


1. Historical Ins>tu>onalism:

The importance of looking at history to understand

ins>tu>onal change and/or con>nuity

[Explanatory power]


2. Work and Education: critical connections •  Work and Educa2on are more connected than ever

(Casey 2012:5) •  Neoliberal regime has brought unprecedented concerns for skills

development at work

•  Increasingly popular assump>on from the 1990s:

Skill improvement helps ci2zens deal with economic uncertainty (OECD 1996)

‘


2. Work and Education (i)  Policy asser2on of the knowledge-‐based economy (KBE) as the poli2cal

economic project of the present and foreseeable future by the EU like other OECD countries.

(ii)  Educa2onal ins2tu2ons submi_ed to economic policy-‐ through a new economy model of technical, educa2onal and economic coordina2on

(iii)  government policy-‐making are as new course in economic governance and educa2onal governance into the 21st century.

(iv)  1990s-‐ 2000 (Lisbon Agenda) : EU Commission: promo2on of a learning society in order to match the KBE agenda

Casey, C. (2012), ‘Economy, work and educa/on: cri/cal connec/ons’, Routledge, p43


Work & Employment A.  Changing nature of work : Technological advancements (so-‐called knowledge work) More white-‐collar jobs However, persistence of tradi2onal work

B. Work and Employment Ins>tu>ons: Demise of unions, Increasing worker individualisa2on in the employment rela2onship Policy has a clear Pro-‐employer agenda

Educa>on •  High skills pursuit •  Knowledge-‐based economy in

order to achieve high levels of compe22veness and innova2on

•  Discourses such as Employability, Soj/Transferable skills requirements/ ‘Professionalism’

•  More pressure on Educa2on (especially H.E) ins2tu2ons


Neoliberalism: problema>c discourses 1.   KBE associated with service jobs (Hislop 2013) Disparity: Too generic an assump/on when these concern both a high scien/fic episteme (Casey 2012) and low-‐end service work including call centres where computer devices are used (Thompson et al. 2001)


Neoliberalism: problema>c discourses 2. Employability : infinite employer expecta2ons (both technical and transferable skills) Graduate skills (both technical and non-‐technical-‐ Pressures on Higher Educa2on ins2tu2ons for their provision) •  Will workers ever be employable enough? (Cremin 2010)

•  Individuals are (increasingly) constructed as having to take personal responsibility for acquiring the skills that will make them employable (Edwards and Boreham 2003)


Neoliberalism: Problematic Discourses 3. Professionalism: Revitalised in contemporary organisa2ons due to its acclaimed virtues: knowledge, autonomy, customer care, etc However: Professionalism as a control mechanism (Fournier 1999) or Professionalism ‘from above’ (Eve_s 2011)


Neoliberalism: Problematic Discourses 3. Professionalism: The case of BPO workers •  Advoca2ng the Professional status (Noronha and D’Cruz

2009: 226) •  Viewing Unionism as an industrial relic (Vaidyanathan

2012) Unconscious contribu>on of their own

individualisa>on


a) Alterna>ve discourses: Vaidyanathan (2012): Professionalism from below (build knowledge about their rights, mobilisa2on poten2al)-‐ Turning ‘professionalism’ into an opportunity to gain agency, embrace their individualisa/on differently.

Conceptual Framework: Summary

•  The role of ins2tu2ons

•  Neoliberal dominance: increasing role of the State, though Pro-‐employer

•  Changing work and employment ins2tu2ons

•  New discourses (or renewed): new demands on workers

•  Varie2es of capitalism, varie2es of ins2tu2onal features…

•  Depending upon history (varie2es of capitalism) : work and educa2on affected, given the overarching umbrella of strongly asserted role of policy.

Conceptual Framework: further rationale & context

The Neoliberal era •  Market liberalisa2on and deregula>on: hyper-‐ra2onalisa2on of work: efficiency/ cost effec2veness

•  Technological advances, demise/ weakening of unions : possibili2es of Outsourcing

•  Poten2al exploita2on of skills capaci2es/ educated workforce abroad (Historical 2es-‐ former colonies)

•  Ins>tu>onal varie2es (for instance: in the Global South )

Research Objec>ves

•  Global South: Cri2cal Explora2on of the Case of Mauri>us

•  Contextualising Mauri2us in regard to how its ins2tu2ons have adjusted to global trends

•  Global Trends: Cri2cal connec2ons between work and educa2on – implica2ons for Mauri2an Ins2tu2ons

Research Questions •  What are the main contemporary challenges brought about changing wok and employment ins2tu2ons to workers, companies and educa2onal ins2tu2ons in Mauri2us ?

•  How have work and employment ins2tu2ons changed?

•  How has the Mauri2an BPO worker been affected? •  What are the socio-‐cultural implica2ons for Mauri2an workers especially in regard to their educa2on and skills development opportuni2es?

The Context of Mauri>us

Main periods: 1638-‐1810: Colonisa2on/ Slavery 1810-‐ 1968: Bri2sh colonisa2on/ aboli2on of Slavery/ Indentured labourers 1968-‐1983: Post-‐independence decade 1983-‐1999: Economic Development and consolida2on 2000-‐ : New economic development

The Context of Mauri>us (2)

1.   1638-‐1810 •  1638: Arrival of the Dutch; Introduc2on of the Sugar Cane (Mauri2us named ajer Van Nassau)

•  1715: Take-‐over by the French Empire Consolida2on of Slavery as an ins2tu2on

Educa2on: mainly for European offspring (with excep2ons)


2. 1810-‐ 1968 •  1810: Mauri2us under Bri2sh administra2on (cultural

influence from the French undisturbed) •  1835: Aboli2on of Slavery •  1835-‐ : Former slaves into specific jobs (dockers, labourers)

•  Arrival of Indian labourers (Coolie-‐ paid workforce to replace slaves in sugar-‐cane fields)

•  1900s-‐ Indian labourers’ revolt under exploita2ons •  1920s onwards: forma2on of the first unions and

poli2cal par2es

The Context of Mauri>us (3) 3. 1968 -‐1983

1968: Poli2cal instability 1970s: Poli2cal upheaval/ riots/ a new poli2cal party with a Marxist ideology a_empts to challenge colonial ins2tu2ons (Sugar Estate owners: European descendants; class struggle blended with race struggle – 1973: Industrial Rela>ons Act Economy: Diversifica>on-‐ Export-‐led-‐ Tex2le industry (recruitment of female workers) 1975: Free educa2on Two main programmes (quan2ta2ve scope): ‘Educa2on-‐for-‐all ; ‘Work-‐for-‐All’ 1975: Labour Act

The Context of Mauri>us (4) 4. 1983-‐1999

Consolida>on of the Mauri>an Economy Sugar/ tex2le: Export-‐led growth Tourism Beginning of financial services Development of New educa>on ins>tu>ons: consolida>on of voca>onal training board, Hotel school, etc…


5. 2000-‐ •  Another Cri2cal juncture: Loss of post-‐colonial agreements and privileges (Mul2-‐fibre Agreement-‐Tex2le, also Sugar quota)

Economic diversifica>on strategies: Offshore banking services Seafood Hub Business Process Outsourcing


Educa>on: High literacy rate Educated workforce, especially at compulsory level

•  Government’s 2008-‐2020 Strategic plan: Develop a knowledge economy


Key points:

•  Former French and Bri2sh Colony •  Independence: a formality •  Strong post-‐colonial 2es (economy and society) •  Language proficiency, especially French (Official language: English)

•  Other languages: ethnic minori2es + Creole (dialect)*

*First creole dic/onary published in 2011

Adjus>ng to Contemporary Requirements

Ins2tu2onal change in Mauri2us (Economy and Work) Employment Rights : Amendments In 2009-‐ Deregula2on/ easy redundancy/ tax incen2ves No unions in BPO 2013: elimina2on of collec2ve agreement for employers Job insecurity Individualisa2on of workers work on religious 24/7 economy: changing social habits (BPO adjustment) habits •  The Mauri2an government ensures the maximisa2on of Foreign

Direct Investment (FDI), a_empts to establish Mauri2us as a cheap BPO des2na2on (one of the cheapest for Francophone services)

•  The Hunger-‐strike case (2011)

Assump2on…

In other words… Recent changing work and employment

ins2tu2ons in post-‐colonial Mauri2us have brought new concerns for workers as illustrated

in the BPO sector.

Methodology

1. Assump>ons

2. The fieldwork

Methodology

1.   Assump>ons •  A historical ins>tu>onalist approach: Steinmo (2010): -‐Study of the Real world-‐ Using history as an analy2cal tool (p122) -‐How ins2tu2ons shape behaviour over2me (p123) -‐Taking events into considera2on (cri2cal junctures) (p134) -‐Interest in both actors and ins2tu2ons

-‐History’s explanatory power

Empirical inves>ga>on

•  Field work in Summer 2012 •  Qualita2ve approach: semi-‐structured interviews •  Sample= 93 informants, including 15 experts + documents/ local newspaper cuts •  Sample

Experts Employers/ workers managers

Empirical inves2ga2on (2)

•  15 Experts: -‐Government officers (former ministers of labour, educa2on; Board of Investment officers, etc) -‐Trade unionists/ac2vists/ MEF representa2ve -‐Educa2onists (academics, E&T officers) •  Managers: both French and local •  Workers: Young (Age range: 18-‐30)

Empirical inves2ga2on (3)

Two French-‐owned BPO companies

Company A Company B Mainly voice (FR), non voice But also Backoffice (Ang) FR & Ang back office

(One voice and one non-‐voice opera2on to capture varie2es within the same sector)

Empirical inves>ga>on (4)

•  Thema>c analysis

•  50 interviews were retained

•  Experts: both purposive and snow-‐ball sampling •  Purposive sampling: selec2on based upon background-‐ knowledge of history and policy.

SOME FINDINGS….

Two finding chapters:

•  (i) Challenges for workers •  (ii) Challenges for companies and Educa2onal ins2tu2ons

Findings I Context (i)

(In addi/on to adjustments of the Employment legal framework)

•  Flexible seilement and closure of BPO companies

•  Company A – Partnership with an exis2ng and well-‐established local company

•  Company B-‐ Subsidiary/ adjusted to rapid se_lement requirement (repercussions discussed later)

Findings I

Context (ii) ‘There are no condi/ons…nothing…no fixed-‐term contract (between the companies and the government)… It’s just… unregulated. Since 2006, the ICT/BPO industry is unregulated. This implies that they no longer need to come and see us, submit a business plan or wait for approval. They just need to set up the company, register its ac/vity and they can start opera/ng…it is so…easy.. This has been a great

incen/ve for foreign investors.’ [Board of Investment officer]

Findings I

Increasing worker individualisa>on (i) Explaining the amendments: The ministry at the /me had to do it…we needed to be more compe//ve; the law hadn’t been changed since 1975. Some of the clauses prevented the economy to grow… However, decisions were made only ader consulta/on. Unions differed. Already in 2000-‐2005 we nearly came with some of these proposi/ons, it didn’t work out, unions opposed them because they were too ‘pro-‐employer’. This /me again, we had to fine-‐tune the two Acts especially the Employment Rights Act.* [Industrial Expert 1]

Findings I Increasing worker individualisa>on (i)

Unions’ reac>on: •  In 2012, a local newspaper examined the elements that were triggering

unionists’ disapproval four years ajer the Acts had been in force: •  An employee’s contract can be terminated on various grounds, such as

economic, technical, structural or ‘similar nature (reasons) affec/ng the enterprise, misconduct and poor performance’’ Once dismissed, the employee that joins the workfare programme is offered ‘benefits’ for one-‐year post-‐dismissal that is gradually lowered throughout the year….(quo/ng an anonymous HR manager) ‘the employees are not beneficiaries of these acts. It is easier to fire an employee today than it was before the Employment Rights Acts in 2008’… A simple le9er sta/ng that the company is being restructured is enough to have an employee fired. ‘Is that normal? [L’Express Weekly, June 8th 2012]

Findings I Increasing worker individualisa>on (ii)

The workfare programme included in the new legal framework: an overriding jus2fica2on for legi2mising the flexible arrangements around dismissals and redundancies: I know that unions are going to say that the workfare programme is a good excuse for the employer. Let’s say a company shuts down. Well the group of workers made redundant will be supported! Where possible, they are even deployed [Industrial Expert 1] However: The ministry of Labour, Industrial Rela2ons and Employment acknowledged that employers have abused of the flexibility to make individuals easily redundant since the 2009 amendments (Le Défi Plus, May 12th 2012)

Findings I

•  Increasing worker individualisa>on (iii)

•  Further plans to increase worker individualisa2on announced:

The ministry’s ra2onale: 80% of Mauri2an workers are not unionised Challenge: Lack of rights awareness among workers.

Findings I Increasing worker individualisa>on (iii)

•  Proposed reform of the Collec2ve Agreement. One of the amendments : ‘if employees are not represented by a trade union, they will, ‘be authorised’ to represent a par2cular bargaining unit (by themselves) and sign a collec2ve agreement on their behalf’

•  In defence of the proposed reform, Industrial Rela2ons Expert 2 explains that ‘ILO conven2ons 135 and 154 were ra2fied by the Mauri2an government. These state that

the term ‘workers’ representa2ves’ can be defined under na2onal law or prac2ce (C135) while this also determines

the enactment of collec2ve bargaining with these representa2ves (C154)*.’

Findings I Lack of Rights awareness (i)

Unions’ fear: (Young) Mauri2an workers will not be able to nego2ate for themselves Vulnerability: …From what I understood, many young people do not know their rights, nothing! And given the salary offered in industries like BPO, they close their eyes upon malprac/ces and agree... I worked in a BPO myself, I didn’t even know how much my basic salary was, I didn’t have any other details. Perhaps they were stealing my money, I will never know… [Ac/vist, former BPO worker]

Findings I

Lack of rights awareness (ii) (History-‐related) Explana>ons: •  Unions s2ll persist in tradi2onal industries (Dockers, sugar )

where they started in the 1920s-‐ Young workers more easily ini2ated today.

•  Loss of ideology-‐lack of con2nuity Unions are taboo, most probably due to poli2cal instability period of the 1970s…

•  BPO sector: repeated history: same condi2ons as female workers in the 1970s Export Processing Zone (Tex2le industry), vulnerable from the start, working for the West.

[Ac2vists 2 and 3]

Findings I

Lack of poli>cal consciousness: an ins>tu>onal advantage for foreign companies

The Mauri>an government: advocates increasing worker individualisa>on

Findings II

•  HRM challenges: Recruitment and reten2on issues (typical of BPO)

•  Skills: Lack of transferable skills/ global skills/ general knowledge skills: recruitment proves challenging

•  Technical skills: unexpected linguis2c skill issues •  Soj skills: cultural issue-‐ cultural norms impeding upon organisa2onal norms

Employer expecta>ons unmatched

Findings II

(Employer expecta>ons unmatched) •  Issue for developing line managers at Company B: due to the way in which the company started

•  High expecta2ons on languages:

‘Between the selling discussion and the actual performance, there is a big difference’ [Educa2onist 1] Lack of an>cipa>on of the government

Findings II

•  Human Resource Development Council (HRDC) Survey (HRDC report 2012):

Clear skill mismatch (both technical and soj skills) •  Difficult to propose more value-‐added services (limited workforce) [CEO, Company B]

Findings II The na>onal Educa>on system •  Cri2cal perspec2ves on compulsory educa2on in Mauri2us: •  ‘We need to re-‐think educa2on in Mauri2us’ [Educa2onsit

2]: •  A new curriculum which takes into account new

employment requirements •  Less pallia2ve statutory provision (a_empt to fill the skill

gap by providing generic training opportuni2es •  More clearly defined policies in regard to educa2on and

training

Some conclusions

Findings 1)  BPO: new diversifica2on

strategy

2)  De-‐regulated context

Possible interpreta>ve discussion

1.  Mauri2us’s path dependence: its resilience coming from its ability to diversify at the right 2me ( Zahar 2010-‐ IMF)

2.  Neo-‐colonial Mauri2us, a_ending to the West regardless of exploita2ve condi2ons

Some conclusions…

Findings 3) Lack of poli2cal consciousness 4) Skills: employer expecta2ons

Possible interpreta>ve discussion 3) Historical explana2on-‐ however: paradoxical and problema2c: increasing worker individualisa2ons (workers at risk) 4) No2on of the KBE: full of contradic>ons (Casey 2012) Government’s KBE-‐oriented goals not reflected in the lack of an2cipa2on for the BPO sector. Workers are at risk for not being as employable as expected

Further Conclusions From a H. ins>tu>onalist approach: The case of Mauri>us demonstrate both ins>tu>onal change and con>nuity. Con>nuity: Path dependence: ensuring the economy’s resilience through constant adapta2on to European demands. Ins>tu>onal change: Changing work and employment ins2tu2ons (with challenges brought to work due to historically ins2tuted lack of agency). Cri>cal Juncture: Incomplete adjustment as demonstrated by challenges encountered by companies at organisa2onal level and government’s lack of an2cipa2on regarding employers’ expecta2ons.

Further Conclusions Work and Educa>on: contradic>ons and dispari>es… •  The Mauri>an government mimicking the Knowledge-‐based economy

model. •  Failing to a_end to the ‘real’ problem: less-‐skilled workers in low-‐end jobs

are the one who require training and a solid basic educa2on. •  Employer expecta>ons: transferable skills etc are graduate skills that

these workers would not have acquired at this stage. Unrealis2c expecta2ons

•  Workers’ increasing individualisa>on: mismatch with lack of agency, both in regard to the management of their employment rela2onship and skills development

Challenges are ins>tu>onal, cultural and in some cases typical of the BPO sector and/or of neoliberal implica>ons.

Further conclusions •  Workers at risk, lack of agency. Culture-‐cogni2ve habitus (colonial past) •  At organisa2onal level, cross-‐cultural differences were not an2cipated,

viewed as a lack of soj skills •  However more could be done at statutory level in regard to educa2on and

training. •  More mindful considera2on of skill requirements needed: responsibili2es

of each ins2tu2on needs to be clearly defined (In this case, government trying to provide on-‐the-‐job training). Also, clear demarca2on of skills (aspects that can be developed v/s aspects that remain cultural)

•  Importance of context-‐specificity: both at sectorial and na2onal level in regard to skill requirements.

•  Explanatory power of Historical ins>tu>onalism: Ins2tu2ons both facilitate and restrict (Crouch 2005)-‐ Mauri2an government lured in path dependence: BPO workers have new needs that are different from those of tex2le workers of the 1970s or of the persistent tourist and hospitality industry.

Thank you

PhD$:$Changing$workand$employment$instu7onsin$Mauri7us ... · Seminar!Outline!! •...

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