Corporate fault line
29.04.2008
Yet they could signal a disturbing fracture in relations between ‘bosses’, as the media likes to call them, and their workers. If the fissure widens and spreads, then the impact on corporate reputations could be very damaging.
While banks were being ‘free and easy’ with their (or other peoples’) money and private equity could do no wrong, there was enough largesse being shared around to quell widespread workplace strife.
But a ghost from the past has re-emerged to challenge the untrammelled power of the corporate world, particularly those companies driven by private equity – worker solidarity.
As Simon Jenkins pointed out in The Times, the two-day strike at the Grangemouth petrochemical complex owned by Ineos is a dispute which strikes a chord with growing numbers of people who have inadequate pension provision.
As I write this, news comes in from another part of South West England of the loss of 390 jobs at a desserts company in Torbay. The axe fell 48 hours after denials by the company that any announcements were pending.
Further examples of such a lack of transparency and accountability will undermine trust at all levels of business – and it will be the reputation of Corporate UK as a whole that will suffer.



