2009

Shared Capitalism: at Work: Employee Ownership, Profit and Gain Sharing, and Broad-based Stock Options. (Freeman R, Blasi J, Kruse D). University of Chicago Press; 2009.
2009. Shared Capitalism: at Work: Employee Ownership, Profit and Gain Sharing, and Broad-based Stock Options. (Freeman R, Blasi J, Kruse D). University of Chicago Press; 2009. , Pp. 432. Chicago: University of Chicago Press.Abstract

The historical relationship between capital and labor has evolved in the past few decades. One particularly noteworthy development is the rise of shared capitalism, a system in which workers have become partial owners of their firms and thus, in effect, both employees and stockholders. Profit sharing arrangements and gain-sharing bonuses, which tie compensation directly to a firm’s performance, also reflect this new attitude toward labor.

Shared Capitalism at Work analyzes the effects of this trend on workers and firms. The contributors focus on four main areas: the fraction of firms that participate in shared capitalism programs in the United States and abroad, the factors that enable these firms to overcome classic free rider and risk problems, the effect of shared capitalism on firm performance, and the impact of shared capitalism on worker well-being. This volume provides essential studies for understanding the increasingly important role of shared capitalism in the modern workplace.

National Bureau of Economic Research Conference Report
2009 Mar 26

Long-Term Investment Decisions: Assessing the Sustainability Risks of Labor and Human Rights and Other Workplace Factors

6:00pm

Location: 

Harvard Law School, Cambridge MA

On March 27-28th the Pensions and Capital Stewardship Project convened a meeting on “Long-term Investment Decisions: Assessing the Sustainability Risks of Labor and Human Rights and other Workplace Factors.” The meeting brought together about 45 people from major U.S. and European pension funds, investment management, advisory, and research firms, accounting firms, labor and human rights groups, unions, and academics. The goal was to hold a workshop-style event to exchange ideas about how investors can begin to measure a wide range of workplace-related factors and analyze their potential materiality to long-term portfolio returns. The meeting covered a range of topics, including labor and human rights in global supply chains; human capital factors such as employee ownership, teams, and high-performance work systems; and shareholder engagement actions on such issues. The discussion yielded recommendations for research in a broad range of topics; proposals for practical action by participants, such as the establishment of a network to exchange information and ideas; and the application of those findings to investment decision-making and possible engagement with corporations. 
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2009 Apr 29

Capital Matters VII - Managing Labor's Capital

Wed - Fri, Apr 29 to May 1, 6:00pm - 2:00pm

Location: 

Harvard Law School, Cambridge MA

coverThe Pensions Project held its 7th annual “Capital Matters: Managing Labor’s Capital” conference on April 29 – May 1, 2009. Many of the sessions related to the challenges posed by the world- wide financial and economic meltdown but also the opportunities. For example, the conference opened with a European labor perspective on the impact on how the financial and economic meltdown has played out in European financial markets and economies, the diverse responses of European Union countries and perspectives on financial markets regulation.
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2009 Dec 10

Capital Matters in Europe 2009

9:00am to 5:00pm

Location: 

International Trade Union House, Brussels

The Project worked with the European Trade Union Institute (ETUI) and the Trade Union Advisory Committee to the OECD (TUAC)  (with the Global Unions Committee on Workers Capital as a knowledge partner) to convene a meeting modeled on the Project’s annual  “Capital Matters: Managing Labor’s Capital Conference.”  This one-day event, “Capital Maters in Europe 2009,” took place in Brussels on December 10th.  It brought together member-nominated pension fund trustees, trade union officers, pension and other experts and policy makers who offered views and shared experiences from across Europe and from a transatlantic perspective.  It focused on how workers’ and their families’ retirement and other long term savings can be invested in productive assets in the real economy in a fair, sustainable and responsible way and not diverted into unproductive financial transactions and speculation.
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Private Equity and American Labor: Multiple, Pragmatic Responses Mirroring Labor’s Strengths and Weaknesses
Larry W. Beeferman. 2009. “Private Equity and American Labor: Multiple, Pragmatic Responses Mirroring Labor’s Strengths and Weaknesses.” Journal of Industrial Relations, Vol. 51, No. 4,, Pp. pp. 545-558 .Abstract
This article briefly describes the recent growth of private equity, details some of the challenges such growth has posed for American labor, and outlines ways in which labor has chosen to respond. In so doing it suggests that the diverse, complicated, and practical choices labor has made to date have been shaped by the particular strengths and weaknesses of its position in American society. More particularly, these choices place the emphasis on (1) legislative change, relating mainly to tax rather than regulatory policy (labor-related or otherwise); (2) capital strategies, by which unions and pension funds engage companies in connection with corporate governance and investments that might be made in or withheld from them; and (3) high-profile campaigns relating to the reputation of private equity firms and the companies in their portfolio.
Occasional Papers, No. 4: Quantifying Labor and Human Rights Portfolio Risk
Aaron Bernstein. 6/2009. Occasional Papers, No. 4: Quantifying Labor and Human Rights Portfolio Risk. Publisher's VersionAbstract
This paper explores how pension funds and other investors can obtain data on the long- term sustainability risks posed by the labor and human rights (LHR) activities of global corporations, with a specific focus on supply chains. It should be read as a companion piece to Bernstein's “Incorporating Labor and Human Rights Risk into Investment Decisions" (Occasional Paper, No. 2)
Occasional Papers, No. 5: Benchmarking Corporate Policies on Labor and Human Rights in Global Supply Chains
Aaron Bernstein and Christopher Greenwald. 11/2009. Occasional Papers, No. 5: Benchmarking Corporate Policies on Labor and Human Rights in Global Supply Chains. Publisher's VersionAbstract
Near majorities of large corporations have labor and human rights (LHR) policies covering their global supply chains, although far fewer have established follow-up monitoring and enforcement mechanisms. LHR supply-chain policies are also close to the norm among European companies, with the United States and Asia lagging behind. These findings are contained in the first study to benchmark LHR policies among the 2,500 companies found on the major stock market indices. The study was done by Pensions Project Senior Fellow Aaron Bernstein and Christopher Greenwald, Director of Data Content at the Swiss firm ASSET4, using ASSET4 data.