The Diffusion and Decline of Employee Involvement Policies in U.S. Manufacturing Plants

Abstract

The study examines trends of employee involvement (EI) practices in U.S. manufacturing establishments. The data from a national survey show that although EI use in the establishments has increased considerably during the period from 1986 to 1995, some companies terminated EI after using it for several years. The results suggest that EI use is correlated with a company’s business strategy, management style, and other HR programs such as training and incentive compensation. An implication of these results suggests that estimates that show positive impacts of high performance workplace practices also should consider plants that use these policies and then abandon them.