Int. J. Automotive Technology and Management, Vol. 8, No. 2, 2008 145
Copyright © 2008 Inderscience Enterprises Ltd.
Relocation and East-West competition: the case of
the European automotive industry
Ulrich Jürgens* and Martin Krzywdzinski
Wissenschaftszentrum Berlin für Sozialforschung
Reichpietschufer 50, 10785 Berlin, Germany
E-mail: juergens@wzb.eu
E-mail: krzywdzinski@wzb.eu
*Corresponding author
Abstract: How is the division of labour between Western and Central Eastern
European (CEE) sites developing in the automotive industry, and what impacts
does it have on work models? The article examines these questions on the basis
of case studies of major car producers and suppliers in Central Eastern Europe.
From the point of view of Central Eastern Europe, the conditions for
developing high road work models are favourable: the industrial capabilities
have been upgraded since the 1990s, labour shortages put pressure on
companies to improve working conditions, and relocation to other low-wage
countries has so far been a minor threat. In Western Europe, the actors have
responded to the competition from low-wage countries by adapting their work
models, the most important elements of which are greater flexibility, an
extension of working hours and a modest development of wages.
Keywords: automotive industry; relocation; international division of labour;
Eastern Europe; work; employment; labour relations.
Reference to this paper should be made as follows: Jürgens, U. and
Krzywdzinski, M. (2008) ‘Relocation and East-West competition: the case of
the European automotive industry’, Int. J. Automotive Technology and
Management, Vol. 8, No. 2, pp.145–169.
Biographical notes: Ulrich Jürgens is a Senior Research Fellow at the
Social Science Research Center Berlin (WZB), where he heads the research
group ‘Knowledge, Production Systems, and Work’. He is an Adjunct
Professor for Political Science at the Free University Berlin. At the WZB
he conducts international comparative research in the areas of systems of
innovation, industrial policy, corporate governance, production system
development and globalisation.
Martin Krzywdzinski is a Research Fellow in the research group ‘Knowledge,
Production Systems, and Work’ at the Social Science Research Center Berlin
(WZB). His research focuses on labour relations and labour politics with a
particular interest in the transformation of Eastern Europe.