1 Work, Working and Work Relationships in a Changing World
Clare Kelliher and Julia Richardson
Introduction
Since the turn of the 21st century, there has been much discussion about the changing world of work among scholars, public policy makers, managers and employees. Much has been written about the subject in scholarly and practitioner publications alongside increasing interest in the broader media. A central concern has been changes in the nature and organization of work and the relationship between organizations and the individuals who carry out work for them, be it as employees or contractors. These changes have also been connected to implications for society in general, including the implications for public spending, education and economic performance. For example, Brynjolfsson and McAfee (2014) have warned that increasing job automation could disrupt labour markets, leading to greater inequality and, ultimately, social unrest. There has also been concern that a broader range of jobs have become more precarious and characterized by increased job insecurity and work intensification (Hassard & Morris, 2018; Huws, Spencer & Syrdal, 2018; Rubery et al., 2018). On the other hand, recent industry reports have suggested that such changes will also lead to the creation of new jobs and potentially to new, improved ways of working with greater opportunities for learning and development (e.g. Deloitte, 2018; Price Waterhouse Coopers, 2017; World Economic Forum, 2016). This view aligns with Schumpeterâs (2012) notion of âcreative destructionâ, as was reported to have occurred following earlier industrial revolutions. For the short and medium term, therefore, the extant debate seemingly points towards both challenges and opportunities in the world of work.
Given the embeddedness of work in society, any change in the nature of work, working arrangements and relationships invariably has some impact, positive and/or negative, on a range of stakeholders and with respect to personal and professional relationships and interactions, individual identities and institutional dynamics. In this context, concerns also emerge about âthe future of workâ and the implications of what has been referred to as the Fourth Industrial Revolution (Schwab, 2016) for organizational, industrial and societal sustainability. A recent World Economic Forum (WEF, 2016) survey of chief human resource officers and senior talent and strategy executives of leading global employers proposes that current changes will âlay the foundation for a revolution more comprehensive and all-encompassing than anything we have ever seenâ (2016, p. v). Whilst there is still much uncertainty about the implications of these changes, they are seen as stemming from widespread social, economic and political changes, including rapid developments and innovations in information and communication technology, digitization and artificial intelligence (AI), greater global integration, demographic changes and increasing market pressures. There is a growing awareness of the need to respond to, or at least map out, what the changing nature of work, working arrangements and relationships might involve and their potential implications at societal, institutional and individual levels.
Drawing on nine empirical studies located in five different countries, this book aims to respond to some of these issues. As a precursor to each of the chapters, in this introductory chapter, we present an overview of the driving forces behind some of the dominant changes in work, working and work relationships. We begin by examining technological developments and innovations and the refinement of product and service offerings. We then turn to the use of greater flexibility in when and where work is carried out along with an increasing concern for work-life balance and well-being, followed by an examination of the changes in the structure of employment and in expectations of professionals, specifically, human resources managers. The aim of this chapter, therefore, is to set the scene for the remaining chapters of the book.
Technological Development and Innovation
Technological development and innovation, such as the ubiquity of mobile Internet connection, growth in the use of AI, robotics, quantum computers, 3-D printing, nanotechnology, the Internet of Things (IoT) and autonomous vehicles are argued to incur fundamental changes in the way in which businesses and societies work and how individuals lead their lives. The 2016 WEF Report (2016), for example, argues that technological disruptions have been significant drivers of industrial change, particularly the expansion of low-cost computing power and the mobile Internet. It also draws attention to the significance of technological developments and innovations still in nascent stages, in particular 3-D printing and artificial intelligence, which it predicts to be âwell underway in specific industries in the years leading up to 2020â (WEF, 2016, p. 9). A Price Waterhouse Coopers (PWC) report proposes that âwe are living through a fundamental transformation in the way we work. Automation and âthinking machinesâ are replacing human tasks and jobs, and changing the skills that organizations are looking for in their peopleâ (2017, p. 3). Similarly, a survey of 11,000 business and HR leaders by Deloitte (2018) found that almost half of respondents reported that their organizations are âdeeply involved in automation projects, with 24 percent using AI and robotics to perform routine tasks, 16 percent to augment human skills and 7 percent to restructure work entirelyâ (2018, p. 75). A key theme in these debates is the extent to which technological development and innovation changes not only how work is done but also where and by whom it is done. Furthermore, the PWC report emphasizes that whereas many commentators have focused on the impact of technology and particularly automation on jobs and workplaces, the âreal story is far more complicatedâ (2017, p. 7). As such, they call for more attention to be paid to âthe manner in which humans decide to use that technologyâ (p. 7) and exploration of the human-technology interface.
Several of the chapters in this book respond to that call by examining circumstances where organizations provide opportunities for individuals to work in different ways through the use of technology, such as telework and in turn providing opportunities for them to divest expensive office space (Beauregard, Canonico & Basile, Chapter 2; Wessels & Schippers, Chapter 5; Peters & Van der Heijden, Chapter 6). As these chapters show, although this has created (welcome) opportunities for employees to work away from the workplace, it is also often characterized by high-intensity workloads. The digital workplace can also serve as an important strategic asset for dealing with organizational complexity, uncertainty and ambiguity as demonstrated in Chapter 9 by de Meulen, Dery and Sebastian and by Anderson and Kelliher in Chapter 10. In some contexts, organizations have used technological development and innovations to replace jobs, to the concern of public policy makers and to employees and their representatives. Several studies conducted in recent years, propose that up to a third of current jobs will be lost to automation in Western economies in the next two decades (e.g. Berriman & Hawksworth, 2017). This is expected to be particularly the case in manufacturing and production roles, as a result of what the WEF report (2016) refers to as âsubstituting technologiesâ such as AI, 3-D printing and robotics. Nevertheless, it is notable that the report also provides considerable room for optimism where technological development and innovation gives rise to job creation through Big Data Analytics, mobile Internet, the Internet of Things and robotics. In a related vein, the Deloitte Report (2018) indicates that âleading companies increasingly recognize that these technologies are most effective when they complement humans, not replace themâ (p. 76). It also notes that there is growing recognition that AI tools require human oversight with âtens of thousandsâ of employees needed to monitor, train and augment the use of technology, and argues that âMany of todayâs fastest growth areas for jobs are in fields such as health care, sales and professional services that are essentially human, but that can be aided and augmented by machinesâ (Deloitte, 2018, p. 41).
Elsewhere, the Foundation for Young Australians Report (2018), with the specific aim of exploring workplace opportunities for future generations in Australia, indicates that although technological advancement may limit growth in some job sectors, it will spur growth in others when coupled with the âhuman elementâ of the future workplace. This reinforces the idea that while some jobs may be threatened by technological development and innovations, others are predicted to grow. Furthermore, it would seem not only to be a matter of job destruction or creation, since many existing jobs are likely to change with respect to how they are done and by whom. Organizations may utilize technology to enable employees to work collaboratively, accessing people and projects regardless of their location. This development is a dominant theme in the reports cited earlier and demonstrated by Anderson and Kelliher in Chapter 10.
Refinement of Product and Service Offerings
A further important trend impacting contemporary work and work relationships is that of increasing product differentiation, a strategy being adopted by many service companies in order to improve their competitive position. Whereas Ritzerâs âMacDonaldization of Societyâ (2009) speaks to the increasing standardization of products and social processes, more recent trends reflect what may be understood as an âauthentic turnâ towards a search for greater authenticity and individualism in both production and consumption. According to philosopher Andrew Potter, âThe demand for the honest, the natural, the realâthat is the authenticâhas become one of the most powerful movements in contemporary lifeâ (2010, p. 4). Although he acknowledges that the broader demands of the market economy are more directly met by mass production, he argues that the presentation of authenticity is fast becoming an industry in itself.
The search for increasing authenticity has also been identified by others. The WEF report (2016) cited earlier, notes increased consumer concerns about ethical and privacy issues, with a greater emphasis on food safety, labour standards, animal welfare, carbon footprint and product origins. Likewise, a recent Price Waterhouse Coopers Consumer Insights Survey (2018) reports an increase in physical store shopping, which they attribute to a desire for more sensory and social experiences. Thus, while shoppers are making increasing use of digital technologies, they also have increasing expectations that their products and services are characterized by high levels of customization, particularly with regard to service expectations. For individual workers and their careers, Mainiero and Sullivan (2006) have suggested that the need for authenticity is a powerful driving force with an increasing number of individuals seeking to âfind their own voiceâ in their careers, rather than simply meeting the demands of an employer. The Deloitte (2018) report takes a critical approach to the âup or outâ model of careers and calls for greater acknowledgement that an increasing number of workers are looking for opportunities to learn and express themselves in their work rather than fitting into a âcookie-cutterâ linear career structure. Svejenova (2005) also identified an increasing trend in individuals looking for ways in which to experience a sense of authenticity, both in how they work and in the nature of the products they are working with and providing for their customers.
Yet, the demand for more customized products and services increases alongside the continued expansion of the mass market. Thus, for example, where food and beverages are concerned, as with many other industries, such as clothing, travel and tourism, we see a trend towards a bifurcation of mass production and customization. The implications of this are also reflected in the experiences and opportunities of those working in these industries, which is the focus of Chapters 7 and 8 of the book. Knox, in Chapter 8, focuses on the Australian cafĂŠ sector and examines the experiences of workers in both speciality (quality-based) and standard (cost-based) outlets, showing differences in ways of working and required skills. Clarke, Weir and Patrick in Chapter 7, focus on the emergence of craft beer and examine the role of the Cicerone as a certified expert in the keeping, serving and food pairing of beer, comparing their role to those of wine sommeliers.
Use of Time-Spatial Flexibility and Increasing Concern for Work-Life Balance
An important influence on contemporary work practices and work relationships is the increasing use of time and spatial flexibility, where a growing number of employees having access to flexible work practices, which allow choice over where and when they work. This trend has been closely connected to increasing demands for a more satisfactory work-life balance and enabled by advances in technological development and innovation. Specifically, the ubiquity of the Internet allows many workers to fulfil their work responsibilities away from the traditional workplace, in remote locations and outside of traditional working times. In this regard, an individual worker may not be in the same physical space as their employer or their colleagues, or working at the same times, even though they may be in regular contact via the use of technology and specifically technology enhanced communication systems.
Technological advances and innovations have also enabled time flexibility, allowing individuals to perform their work outside of regular hours. This has created a situation where individuals can work according to their own time and spatial preferences, as examined by Wessels and Schippers in Chapter 5 and Peters and Van der Heijden in Chapter 6. For work-life balance, the advantage of this form of flexibility is that it can reduce negative (time-based and strain-based) work-life interference and enhance positive work-life spillover. However, it is notable that the extent to which better work-life balance is achieved in reality is also influenced by factors such as whether the individual works part or full-time and whether they have elected to work part time or whether they unable to secure full-time work. It may also be that working remotely results in work intensification (Kelliher & Anderson, 2010), in part because time saved on commuting is used to extend working hours and because there are no âhealthy distractionsâ by work colleagues (Richardson & McKenna, 2013). Furthermore, individuals working remotely may overcompensate with output to make up for lack of physical visibility (Richardson & Kelliher, 2015).
Changes in the Structure of Employment
A further trend impacting work, working and work relationships is the widespread change in the structure of employment. This has, in part, been facilitated by technological development and innovation which has, according to a recent Union NSW study in Australia, âunlocked new, innovative and efficient ways of working and doing businessâ (p. 1). There is evidence of greater distancing and/or detachment of the organization and the worker, resulting in a more transactional employer-employee relationship. The increasing use of zero-hours contracts, temporary agency contracting and more workers engaged in what has become known as the âgigâ economy (Unions NSW, 2018; Taylor et al., 2017; Rubery, Keizer & Grimshaw, 2016) are illustrations of this trend. A recent report commissioned by the UK government, The Taylor Review of Modern Working Practices (Taylor et al., 2017) and the Recruitment and Employment Confederation (REC) (2017) in the UK estimated that around 1.2 million individuals were engaged in agency work, and 905,000 individuals (2.8% of those in employment) were on zero-hours contracts, with the majority being young people aged between 16â24. This also reflects a more transactional relationship between the employer and the employee, where work opportunities may be unpredictable and are allocated and completed with no long-term allegiance between the employer and the employee.
These new types of working relationships are frequently seen as poorer quality employment (Moore & Newsome, 2018; Rubery et al., 2016) and of principal benefit to the employer, allowing them to avoid a longer-term commitment and the payment of work-related benefits such as health care and pension contributions. Focusing on the casualization of academic staff, some scholars (Williams & Beovich, 2017; Crimmins, 2016) have noted that this has caused widespread job insecurity and a reduction in employment related benefits, such as sick and holiday pay and entitlement to parental leave and pay. Furthermore, it has been suggested that, even where hourly rates of pay are higher for casual and part-time employees, it may be difficult to secure a âliving wageâ due to the limitations of work available (Ilsøe Larsen & Felbo-Kolding, 2017). Precarious work has also been found to have a detrimental impact on ...