{{Short description|Arrangement which involves workers making decisions}}
{{For multi|the book by Sidney and Beatrice Webb|Industrial Democracy|the grouping of countries as "industrial democracies"|G7}}{{more citations needed|date=March 2023}}
{{Democracy}}
'''Industrial democracy''' is an arrangement which involves workers making decisions, sharing responsibility and [[authority]] in the workplace. While in [[participative management]] [[organizational design]]s workers are listened to and take part in the [[decision-making]] process, in organizations employing industrial democracy they also have the final decisive power, including in matters of organizational design and [[hierarchy]].[{{cite book | title=Shop Floor Democracy in Action | publisher=Russell Press | author=Rayton, D. | year=1972 | location=Nottingham}}]
In company law, the term generally used is [[co-determination]], following the German word ''Mitbestimmung''. In Germany, companies with more than 2000 employees (or more than 1000 employees in the coal and steel industries) have half of their supervisory boards of directors (which elect management) elected by the shareholders and half by the workers.
Although industrial democracy generally refers to the organization model in which workplaces are run directly by the people who work in them in place of [[Private sector|private]] or [[state ownership]] of the [[means of production]], there are also representative forms of industrial democracy. Representative industrial democracy includes decision-making structures such as the formation of [[committees]] and consultative bodies to facilitate communication between [[management]], [[trade union|unions]], and [[Employee|staff]].
== History ==
{{Mutualist anarchism sidebar}}
The [[Anarchism|anarchist]] thinker [[Pierre-Joseph Proudhon]] used the term "industrial democracy" in the 1850s to describe the vision of workplace democracy he had first raised in the 1840s with ''[[What Is Property?|What is Property? Or, an Inquiry into the Principle of Right and of Government]]'', (management "must be chosen from the workers by the workers themselves, and must fulfil the conditions of eligibility.") He repeated this call in later works like ''General Idea of the Revolution.''[''[http://www.property-is-theft.org/ Property is Theft! A Pierre-Joseph Proudhon Anthology]''. Edinburgh/Oakland: AK Press. p. 610, p. 119, pp. 586–7]
In late nineteenth century, and at the beginning of the twentieth century, industrial democracy, along with [[anarcho-syndicalism]] and [[new unionism]], represented one of the dominant themes in [[revolutionary socialism]] and played a prominent role in international [[labour movement]]s. The term industrial democracy was also used by British socialist reformers [[Sidney Webb|Sidney]] and [[Beatrice Webb]] in their 1897 book ''[[Industrial Democracy]]''. The Webbs used the term to refer to trade unions and the process of [[collective bargaining]].[{{cite journal|last=Müller-Jentsch|first=Walther|title=Industrial Democracy: Historical Development and Current Challenges|journal=Management Revue|date=December 16, 2007|volume=19|issue=4|pages=260–273|doi=10.5771/0935-9915-2008-4-260|doi-access=free|hdl=10419/79001|hdl-access=free}}]
At the point of production, the introduction of mandatory [[works council]]s and voluntary schemes of workers' participation (e.g. semi-autonomous groups) have a long tradition in European countries.[Joel Rogers/Wolfgang Streeck (eds.): ''Works Councils. Consultation, Representation, and Cooperation in Industrial Relations'', The University of Chicago Press, Chicago-London 1995. - Thomas Sandberg; ''Work Organization and Autonomous Groups'', LiberFörlag, Uppsala 1982.]
== See also ==
{{Portal|Organized labour}}
{{cols|colwidth=20em}}
* [[UK labour law]] and [[German labour law]]
* [[Workers' self-management]]
* [[Collective Bargaining]]
* [[Co-determination]]
* [[Distributism]]
* [[Industrial Relations]]
* [[Holacracy]]
* [[Industrial Workers of the World]]
* [[New unionism]]
* [[Socialist Party USA]]
* [[Social ownership]]
* [[League for Industrial Democracy]]
* [[Workers' council]]
* [[Workplace democracy]]
* [[Common ownership]]
{{colend}}
== Notes ==
{{Reflist|2}}
== References ==
;Articles
* M Poole, 'Theories of Industrial Democracy: the Emerging Synthesis' (1982) 30(2) Sociological Review 181–207
* W Müller-Jentsch, Industrial Democracy: Historical Development and Current Challenges' (2007) 19 (4) Management Revue 260–273
*E McGaughey, 'Votes at Work in Britain: Shareholder Monopolisation and the ‘Single Channel’' (2018) [https://ssrn.com/abstract=2432068 47(1) Industrial Law Journal 76]
;Books
* [https://archive.org/details/jones-worker-directors-speak Bank, John, and Jones, Ken, ''Worker Directors Speak: The British Steel Corporation Employee Directors'' (Gower Press, Farnborough, 1977)]
* P Douglas, ''[https://books.google.com/books?id=uojXAAAAMAAJ&pg=PA1 The Columbia Conserve Company: A Unique Experiment in Industrial Democracy]'' (1925)
* P Blumberg, ''Industrial Democracy: The Sociology of Participation'' (1969)
* K Boyle, ''The UAW and the Heyday of American Liberalism, 1945-1968'' (1995)
* M Derber, ''The American Idea of Industrial Democracy, 1865-1965'' (1970)
* SM Lipset, M Trow and J Coleman, ''Union Democracy: The Inside Politics of the International Typographical Union'' (1977)
* JA McCartin, ''Labor's Great War: The Struggle for Industrial Democracy and the Origins of Modern American Labor Relations, 1912-1921'' (1998)
* M Poole, ''Industrial Relations: Origins and Patterns of National Diversity'' (2008)
* M Poole, ''Workers' Participation in Industry'' (2nd edn 1978)
* BC Roberts (ed), ''Towards Industrial Democracy: Europe, Japan and the United States'' (1979)
* B Webb and S Webb. ''Industrial Democracy'' (1897)
* J Witte, ''Democracy, Authority, and Alienation in Work: Workers’ Participation in an American Corporation'' (University of Chicago Press, 1980)
== External links ==
* [https://web.archive.org/web/20100529152136/http://www.mondragon-corporation.com/language/en-US/ENG.aspx Mondragon Corporacion Cooperativa, Spain]
* [http://eid.sagepub.com/ Economic and Industrial Democracy: An International Journal]
* [http://www.newunionism.net New Unionism Network] {{Webarchive|url=https://web.archive.org/web/20110106180541/http://newunionism.net/ |date=2011-01-06 }}
* {{usurped|1=[https://web.archive.org/web/20100326134821/http://industrialdemocracy.org/ Industrial Democracy]}} A think-tank for the left.
* [http://www.slp.org Socialist Industrial Unionism]
{{Socialism}}
[[Category:Labor relations]]
[[Category:Labour law]]
[[Category:Corporate law]]
[[Category:Organizational structure]]
[[Category:Anti-capitalism]]
[[Category:Socialism]]
[[Category:Cooperatives]]
[[Category:Types of democracy]]
[[Category:Types of socialism]]