Lingnan University
Digital Commons @ Lingnan University
Hong Kong Institute of Business Studies Working
Paper Series
Hong Kong Institute of Business Studies 香港商學
研究所
2-2001
The strategy in the use of contingent workers in
Hong Kong : case studies in retail firms
Mei Ling, May WONG
Lingnan University, Hong Kong, [email protected]
Follow this and additional works at: http://commons.ln.edu.hk/hkibswp
Part of the Business Commons
Recommended Citation
Wong, M. M. L. (2001). The strategy in the use of contingent workers in Hong Kong: Case studies in retail firms (HKIBS Working
Paper Series 043-001). Retrieved from Lingnan University website: http://commons.ln.edu.hk/hkibswp/86
This Paper Series is brought to you for free and open access by the Hong Kong Institute of Business Studies 香港商學研究所 at Digital Commons @
Lingnan University. It has been accepted for inclusion in Hong Kong Institute of Business Studies Working Paper Series by an authorized administrator
of Digital Commons @ Lingnan University.
l~-J;;lNGNAN
肅
領
UNlVERSITY
大
學
WORKING PAPER SERIES
研究報告
THE STRATEGY IN THE USE OF
CONTINGENT WORKERS
IN HONG KONG:
CASE STUDIES IN RET AIL FIRMS
MayML WONG
Associate Pr可的sor
Department of Management
Lingn αn Universi.砂
KONG
港
商
OF
BUS 工 NESS
STUD 工 E S
究
香
INSTITUTE
盟
-T-
研
所
Disclaimer
刃le
responsibility for facts , languαges and opinions expressed in this publicαtion rests
exclusively with the αuthors and their interpre 的tions do not necessarily reflect the
views or the policy of the Hong Kong Institute of Business Studies and the Business
Progrαmmes.
f{}(IBS/A!PS/043-001
February 2001
THE STRATEGY IN THE USE OF
CONTINGENT WORKERS
IN HONG KONG:
CASE STUDIES IN RETAIL FIRMS
MayML WONG
Associate Professor
Department of Management
Lingnan Universi砂
Tuen Mun , Hong Kong
Telephone: (852) 2616 8318
Fax: (852) 2467 0982
E-mail: wo時ml@ ln. edu. hk
Hong Kong Institute of Business Studies
Lingnan University
Tuen Mun
Hong Kong
Te l: (852) 2616 8373
Fax: (852) 2572 41 71
THE STRA TEGY IN THE USE OF CONTINGENT WORKERS
IN HONG KONG:
CASE STUDIES IN RETAIL FIRMS
ABSTRACT
The research studies the strategy in the use of contingent employment in four retail
firms - three Japanese and one British - in Hong Kong under different economic conditions ,
and the purposes of the use of contingent employment. From the data of in-depth qualitative
case studies , it is found that the four case firn1s had different organisational responses to the
eCOn OlllÎc conditions from the increase of sales before the Asian financial cnsls and the
shrinkage of sales after the cnsls , notwithstanding these firms face similar contextual
enviroill11ent of Hong Kong. One of such responses is the companies ' employment policies
especi ally in their use of contingent workers.
Some companies tend to have an ad hoc
opportunistic response in the use of contingent workers , whilst some tend to be more strategic
and had a long-term planning in their labour utilization strategy. Implications are drawn to
relate the cOlnpany ~ s responses in the use of contingent employment to the changes in the
contextual e nvirorunent regarding the con1pany' s long-term developn1en t.
This paper aims to exanline how the management strategies in f1 uence the use of
contingent workers in Hong Kong before and after the Asian financia1 cnsls occurred in
October 1997.
Most research on the contingent enlployment focussed on the Westem
developed economies that had high unemployment in the last two decades (Feldman and
Doeringhaus, 1992).
However‘日o
n1ajor research has been done on the use of contingent
employment in the Asian countries which changed from relatively steadily booming
economies during the last two decades to declining econon1ies since the Asian financial crisis.
Contingent workers, thus, are th e ‘ n1issing persons' in organisational research (Rotchford and
Roberts , 1982) in the Asian countries. Although the historical development of contingent
employment in Hong Kong was studied (Chow, 1998), no study has
examin~d
the
management strategies in contingent employment in Hong Kong. Therefore, we have limited
knowledge as to \vhether the contingent employment practices are a conscious management
strategy with systematic and planned management attempts to achieve the firm's
co 叩orate
objectives, or simply ad hoc responses to prevailing social and economic circumstances.
Although anecdotal reports of contingent employment in the Western economies were
abundant from an individual perspective (Beard and Edwards, 1995; Fenton-O Creevy, 1995;
Hom , 1979; Jackofsky and Peters , 1987; Logan , O'Reilly and Roberts , 1973; Miller and
Terbo嗯，
1979; Steffy and Jones , 1990; Still , 1983) , few studies have provided an integrated
analysis of contingent employment from an organisational perspective in particular in the
Asian countries. Although there are exceptions such as the research by Deery and Mahony
(1 994) who examined the employment strategies of a retail firm in Australia , the research was
limited to employment adjustments in periods of economic difficulties.
This paper attempts to fill these gaps to illuminate our understanding of contingent
en1ployment in Hong Kong from the organisational perspective in different n1arket contexts.
This allows for a distinction to be drawn between an opportunistic and a more strategic
approach to the employment strategy. Specifically, this paper focuses on examining:
.
the use of contingent en1ployment under different economic
•
the purposes of the use of contingent employment - strategy versus unplanned
response to the external environmen t.
conditions 雪 and
In this paper, firstly , the world trends in contingent eluployment is reviewed.
Secondly , the methodology used in this research is outlined. Thirdly , the contextual factors legislative , economic and labour market environments influencing the use of contingent
en1ployment in Hong Kong , and the background of the case firms - are outlined. Fourthly ,
the purposes of the use of contingent eluployluent - whether it is a strategic choice or an
opportunistic adjustment to different econ Oluic conditions - are examined.
Finally ,
conclusions and implications are discussed.
WORLD TRENDS IN CONTINGENT EMPLOYMENT
Contingent employment is generally described as consisting of a11 those who are not
employed on a full-time permanent basis , i.e. temporary , part-time , seasonal , leased and
subcontracted workers (Belous , 1989; Beverly , 1993; Gottfried and Graham , 1993; Henson ,
1996; Parker, 1994; Uzzi and Barsness , 1995). Contingent workers come from a wide range
of occupations and levels in the organization, and face widely varying employment
relationships. These workers vary in terms of how long they work at a particular site , how
many employers they have , their level of asset specificity , and the amount of control they
have over their work. It is obvious that they lack an explicit or implicit contract for long-term
and continuous employment , or work the number of hours which fluctuate unsystematically
(Parks , Kidder and Gallagher , 1998; Polivka and Nardone , 1989; Zeytinogulu and Norris ,
1995).
In the
197 仇，
the use of contingent workers to fill permanent positions permanently
was an infrequent practice in the industrialized nations in the Wes t. However, by the mid198 郎，
the trend of using contingent workers to fill permanent positions permanently had
become popular (Pfeffer and Baron , 1988).
By the end of 1980s , contingent workers
constituted from a quarter in the US to a third in the UK (Fortune , 1994; Plunkert and Hayghe ,
1995; Belous , 1989). Furthermore , research in the US since the economic downturn indicated
that the contingent employment has spread to the ranks of managerial and professional jobs
(Baker and Aldrich , 1996; DeFillippi and Arthur , 1994; Hirsch and Shanley , 1996; Mishel and
Bernstein , 1994). Once thought to be confined to workers in the lowest levels of the labour
market , contingent employn1ent was reported to have spread upward.
The careers of
professional and managerial staff were undergoing di splacement and unemploymen t. Reports
2
abound of the v.idespread elimination of managerial ranks , the difficulty of finding
comparably paid and secure positions , and the downward lnobility of professionals and
managers.
The n1Î ddle ranks of large corporations have becolne the target of cost-cutting
strategies 雪 and
their work is pushed into the lower levels of the firn1 and displaced to a
contI ngent nature.
In the West: three major arguments were used to explain the use of contingent workers
by focussing primarily on their advantages in providing 1) f1 exibility, 2) expertise and 3)
labour cost savings. Firstly , it was argued that firms use contingent workers because they can
provide numerical and financial flexibility , enabling the firms to adjust staffing levels to
uncertain market demands more easily than
pe口nanent
employees who expect stable
employment (Atkinson , 1984; Atkinson and Meager, 1986) , or who are subject to bureaucratic
policies and regulations that limit their hiring and firing (Abraham , 1990). Furthermore , the
use of contingent v..orkers also reflects changes in the organization design and the adoption of
new work technology that can enhance flexibility (Pfeffer, 1994).
Flexibility refers to the ability to quickly, efficiently and continuously introduce
changes in a product and process. A distinction is often made between static and dynamic
flexibility. Static f1 exibility focuses on short-term adaptability and cost cutting. Employers
can achieve static f1 exibility by contracting the size of their core workforces and expanding
their peripheral workforces to accon1modate f1 uctuations in production and service cycles.
Dynamic flexibility focuses on enhancing worker welfare and security with increased worker
participation in organisational decision-making by large companies which seek to increase
worker commitment and
loyalty 型 and
assume increased responsibility for company success
(Deyo, 1997). Employers can achieve dynamic f1 exibility by encouraging participation and
involven1ent which is targeted for core workers , who are in turn buffered from market
fluctuations by the peripheral workers (Geary , 1992; Thomas , 1994; Graham , 1995).
Secondly , it was stated that contingent workers can provide functional flexibility to a
firm's employment systeln by contributing expertise that is costly to develop in-house or
n1aintain if used only sporadically by the firm (Christensen , 1991).
巳conomic
Thirdly吉 since
the
downturn in the West , contingent employment has been further pursued as a
「
J
strategy to cut labour and benefits costs.
It provides the firms with a direct means for
adjusting its variable costs relative to its competitors (Osterman , 1987; Pfeffer and Baron,
1988; Smith 1994; Harrison and Kelley , 1993).
The growth of contingent employment in the UK in the 1980s led Atkinson (1985 ,
1987) to argue that firms use a core-peripheral labour strategy based on the model of the
'f1 exible firm'.
Employers respond to extemal market pressures by adopting a diversified
approach to their employees , incorporating the concepts of intemal and extemal labour
markets through which firms are f1 exible in adapting to expansion , contraction or change in
the market conditions. The strategy involves the firm using core employees for the core jobs ,
and contingent employees for all the other non-core jobs.
However, the f1 exible firm model
was criticised for only focussing on a one-side fashion to the emergent trends in employment
strategy (Walsh and Deery , 1999). Furthermore , there is little agreement among the existing
research on whether the use of contingent employment constitutes a managerial strategy.
1n this study , management strategy means a systematic and planned management
attempts to achieve the firms' objectives.
These strategies can be inferred from the
employment or labour utilisation practices of the firms. A strategic enlployment behaviour is
characterised by the integration of labour practices with other corporate strategies and the
firms' operating environment. The contextual factors , such as the political , economic , labour
market型 may
constrain management so that companies can only respond to 'crises' as they
arise in an ad hoc manne r. Nevertheless , within the constraints , managers are confronted with
choices (Bray and Littler, 1988; Wood , 1980). Therefore , the extent to which the adopted
practices incorporate the contextual factors is an important indicator of strategic behaviour.
RESEARCH METHODOLOGY
The research used in-depth qualitative case studies of four retail firms in Hong Kong
to reveal the changing patterns of employment practices and the use of contingent
employment over time.
First, it was argued that for a study which depicted the dynamic
nature of the development of employment systems and contingent employment over tinle , an
in-depth , qualitative approach was more effective than a survey mode of inquiry that involved
4
the one-shot administration of questionnaires.
A qualitative study could better detect the
‘ movement' of an employment system , tracing the changing proportions of different types of
employees in the case firms over time than a survey approach (Bryman , 1989; Mouly and
Ran1ani , 1990).
The unit of analysis for the research was the firm rather than the individual employees.
The retail sector was chosen because statistics showed that retailers were active in using
contingent employment (Labour Department , 1999). The four retail firms - in pseudonyms of
Morioka, Tairo , Supercom and Okadaya - were selected by two criteria. Firstly , they were
chosen because they were of similar nature of operation - department store (see Table 1).
Insert Table 1 here
More importantly , the second criterion was related to the firm' s ability to maximise
the opportunities for differentiating between concepts. The case firms were chosen not on
how representati ve they were in a statistical sense , but on their explanatory power and logical
inference in which conclusions could be made since the sample was selected according to the
‘ theoretical sampling' n1ethod (Glaser and Strauss , 1967; Bennett, 1991).
A methodological n1easure by conducting fieldwork in two separate stages was
adopted. The first stage was conducted during the latter half of 1996 when the economy was
stiU booming. The second stage was
tracing the changes in employment
follow叫 p
interviews conducted in the latter half of 1998 ,
systems 言 specifically
contingent en1ployment , in the case
firms after the Asian financial crisis. The retail industry in Hong Kong had gone through very
drastic changes in the intervening two years (it is discussed later in Economic and Labour
Market Envirornnents).
A total of 60 in-depth interviews (15 interviews for each firn1) were conducted in the
fir叫 stage
of interview , with respondents con1ing from various hierarchical levels - top
lnanagelnent , n1iddle Inanagement (including supervisory) , and lower general (including sales)
grades , and various employn1ent status - full-time
5
pe 口nan ent ，
part-time , telnporary , and
consignment staff. In the second follow-up stage , a total of 45 interviews (15 interviews for
each finn) were conducted in Supercom, Okadaya and Tairo (as Morioka had closed down in
the second stage). A similar profile of interviewees , and the same interview schedules were
used so that comparisons could be made between the two stages. It is interesting to note that
two part-time interviewees of Okadaya in the second stage were employed on a full-time basis
in Morioka before it closed down.
This research used a positivistic rather than an interpretative approach (Eisenhardt,
The interviewees were selected on ‘ theoretical sampling' “ to seek events and
1989).
activities guided by [their] emerging (if still prünitive) theory" (Strauss , 1987: 16).
The
‘ theoretical sampling' method could make comparisons implicitly and explicitly according to
various theoretical categories. Furthennore , the samples in each case finn helped to fonn
‘ analytical generalisation' (Glaser, 1978). Although the sample size was relatively small and
considered as statistically insignificant in a survey research , it could render insights in the
managerial strategies of the contingent employment.
The interviews used two sets of semi-structured and open-ended interview schedule
which were developed through a pre-test with 10 respondents from another British retailer
(which had closed its Hong Kong operation in 2000) in Hong Kong. The first set of interview
schedule was prepared for the respondents below the top management positions with different
employment status , whilst the second set was for the top management. In order to achieve the
first research
objecti\弋 questions
about the respondents' employment conditions , such as pay ,
benefits , training and development , under different economic and labour market environments
were asked in the first set of interview schedule.
The interview schedule for the top
management included questions , such as what their strategies would be if the demand for their
products changed , to find out whether the use of contingent workers was a part of a broader
strategy.
All interviews were recorded on tape , and transcribed.
The primary data were
supplemented by secondary data collected from the finn's documents and reports , government
documents , and newspaper clippings.
6
CONTEXTUAL FACTORS FOR THE CONTINGENT
EMPLOYMENT IN HONG KONG
This section out1ines the contextual factors - legislative , economic and labour market
environments , and the background of the case firms. On one hand , the contextual factors can
augment management to respond to the extemal environment when the management can
adopt employment strategies which are complementary to the corporate strategies. On the
other hand, the contextual factors can also constrain management so that the employment
practices adopted can only respond to ‘ crises' as they arise in an ad hoc manne r.
Understanding these contextual factors helps us to analyse whether the contingent
employment adopted by the case firms in different extemal environments are the results of
planned strategies or merely opportunistic responses to the environments.
T11e Lef! islative Environmellts
There is no legislation covering contingent workers , especially the part-time or
temporary workers.
The Employment Ordinance in Hong Kong covers workers under a
"continuous contract", which applies only to workers employed for 18 hours or more per week
for four weeks or more (EIU, 1999). Apart from the mandatory provident fund which is
available after having worked for the company for 60 days continuously, the part-time or
temporary workers do not have any labour protections like their full-time permanent
counte中紅的.
First雪 the
part-time or temporary workers are not protected by law to receive
wages no later than 7 days after the date when such wages become due because employers are
not liable for a fine of HK$1 0,000 which applies only to the full-time workers.
Furthermore,
part-time or temporary workers are not entitled to any mandatory fringe benefits provided to
the full-timers including 1 rest day per calendar week , paid statutory holidays , annual-leave
entitlement paid sick leave , severance
p旬 ，
long-service payn1ents , n1atemity leave , and
retirement benefits.
Prevailing wage levels are set by supply and demand. There is no
regulation on mlnlmum wage levels.
fo 口nal
statutory
Although the government has the power to enforce
n11nlmun1 wages in industries in which remuneration is
~ unreasonabl y
exercised this power so far (Labour Department , 1999).
Therefore , contingent workers ,
7
low' , it has not
especially the
part司 timers ，
tìnancial cnsls.
have to bear the brunt of pay cut since the onset of the Asian
After the tìnancial cnsls , the average part-time hourly rate in the retail
industry has fallen to HK$10-20 , as compared to HK$30-40 before the crisis (Ming Pao Daily ,
1999; 2000). A survey shows that most part-timer respondents suggested the government to
set a minimUlTI wage at HK$30 per hour (Chinese Management Centre , 2000). Unfortunately ,
the Minimum Wage Law in Hong Kong cannot be passed due to the different political parties
in Hong Kong have divergent views of the law (Ming Pao Daily , 1999). Thus , pay for parttime workers remain to be extremely low.
Economic and Labour Market Environments
The popular press reported that the pressure stemmed from the economic downtum
after the Asian tìnancial turmoil in Hong Kong led to declining consumer markets which in
tum had triggered economic recession and unemployment (Ming Pao Daily , 1998). 1n the
second quarter of 1999 , for instance , the GDP of Hong Kong decreased by -5.2 percent
(Census and Statistics Department, 1999). 83 percent of companies polled by the Census and
Statistics Department in the second quarter of 1999 resorted to wage freezes or cuts. However,
this means of cost cutting was not very effective among the retail tìnns since the average
retail payroll per person climbed 2.3 percent in real terms in the second quarter of 1999 as
compared to that of a year earlier (Census and Statistics Department , 1999). Therefore , under
such increasing economic pressure , a third of companies in Hong Kong resorted to contingent
employment while undergoing corporate downsizing and restructuring.
overall size of their
pe口nanent
They reduced the
full-time work forces , and increasingly replaced them by
contingent workers and subcontracting services to other tìrms. 1n this
w旬，
they could retain
more experienced and better skilled workers , and retrench employees with less experience
(E1U , 1999). As a result , part-time employment in Hong Kong had increased from 82 ,000
(2.8 percent) in the fourth quarter of 1997 to 116 ,200 (4.1 percent) in the fourth quarter of
1999 (Census and Statistics Department , 2000).
Retail tìrms in Hong Kong actively pursued contingent employment , with over a
quarter of the part -time employees (over 30 ,000 persons) working in the retail sector (Labour
Department , 1999).
1n order to revamp the declining retail sales which had dropped 8.1
8
perc己 nt
in value and l. 5 percent in volume in 1999 as compared to that of 1998 (Census and
Stat istics Department , 2000) , retailers resorted to use contingent emp10yment which had
cnab led them to cut costs effectively because contingent workers were not entitled to any
cmployment benefits and protection against
layoff雪 which
in turn reduced the cost of benefits
and redundancy.
The increased use of contingent employment had been made easier by a growing
supply of unemployed and underemp10yed workers in the labour marke t.
The number of
unen1ployed increased from 30,000 in 1997 to 110,000 in 2000 (Census and Statistics
Department , 2000). The average unemployment rate in Hong Kong rose from 2.5 percent in
the January-March period of 1997 to 6.3 percent in the peak in the February-May period of
1999. Labour market conditions remained to be dampened as the average unemployment rate
in the July-September period of 1999 was stiU above 6 percent. The ending of Hong Kong's
long economic recession and the renewed GDP expansion that began in the second quarter of
1999 therefore had little effect on the unemp10yment rate until the third quarter of 2000 where
unelnployment rate had decreased to 4.5 percent (Census and Statistics Department , 2000).
Such labour market conditions are attractive for companies to use contingent workers.
Back~round
Qf the Case Firn1S
Morioka \vas a \vholly-owned Japanese middle- to low-end department store
established in 1974. It remained dormant until its first store opened in 1984. The parent
con1pany moved its headquarters from Shizuoka, Japan to Hong Kong in 1989, and then
relocated to Shanghai , China in 1996. Morioka had opened a total of eleven store outlets in
various ne\v towns of Hong Kong, Macao and the border of China. It was one of the largest
Japanese departlnent stores in Hong Kong, employing a total of 2,700 full-time employees
before it declared insolvency and closed in November 1997.
Some of the respondents
interviewed in the first stage were subsequently found working as part-timers or temporary
staff in Okadaya
Tairo was a wholl y-owned Japanese high-class department store established in 1983.
It had opened its f1 agship headquarters store in downtown , and expanded the floor space twice
in
1991 位1d
1996 , becoming a store with the largest floor space in Hong Kong. It employed a
9
total of
800 臼 ll-time
employees in 1998.
1n July , 2000 , the parent company in Japan had
dec lared bankruptcy. Although Tairo was not directly owned by the parent company , the
declaration of bankruptcy by the parent company meant that Tairo would be liquidated (Chan ,
Mak and Leung , 2000). Eventually , Tairo had been sold to a local department store operator
in Decen1ber 2000.
Supercom was a wholly-owned British department store established in 1987.
It
operated ten store outlets in both new towns and downtown areas , and employed 1,900 fulltime local employees by mid-1998. The company closed one store outlet , cut the floor space
in another store , and laid off 50 local middle managers in November 1998. The firm suffered
from a declining profit and share prices in its worldwide operation.
Okadaya was a wholly-owned Japanese department store established in 1986. By mid1998 , it operated six store outlets in the new town areas of Hong Kong , and employed 1,800
full-time local employees.
It was the only Japanese department store which continued to
expand after the Asian financial turmoil , and opened two more new store outlets in 1998.
Owing to the two new stores , Okadaya needed additional sales staff, and had employed many
foαnn
Moωn昀
oka
closed
山
i t臼s
operation. Okadaya suffered from its first profit loss since its opening in
1998/99 fiscal year due to the declining consumer market as a result of the Asian financial
crisis (Annual Report ,
1998月9).
However, it recovered with a profit in the 1999/2000 fiscal
year , maintaining its position as a market leade r.
Against these contextual factors and company background , the use of contingent
employment is analysed below.
STRATEGIC CHOICE ORAD HOC ADJUSTMENT?
ln this section , the analysis draws data from two
n1句 or
hierarchies - lower general and
middle n1anagement level - from the two stages of research in 1996 during the economic good
times before the financial crisis , and in 1998 during the economic downturn after the financial
l
AU
cnslS. It seeks to explain whether the changes in the employment practices are a strategic or
opportun istic response to the external environments during the two stages.
Lower General Level
During Economic Good Times. Before the financial
crisis雪 a11
case firms had used two major
types of contingent workers - part-time sales and low-end subcontracted staff - at the lower
hierarchies .
As a whole , they received less training , had lower promotion and career
prospects than the full-time staff because they were recruited for the types of jobs requiring
low skills and little responsibilities.
Before the financial crisis , the part-time staff had been growing , albeit gradually , at the
lower hierarchical level to take the advantage of scheduling flexibility , matching labour inputs
to peaks and trough of customer demand which was n1ade easier by the introduction of retail
sales technologies in Okadaya , Supercom and Tairo. For example , Okadaya used to employ
10 percent part-time employees when it started its operations in Hong Kong in 1987. During
the six-year period between 1987 and mid-1993 , part-time staff had only been increased 5
percent from 10 percent to 15 percen t. Since early 1993 , Okadaya implemented a business
strategy adopted from the head office ca11ed the ‘ man-hour' policy.
During the three-year
period from 1994 to 1997 after the introduction of the ‘ man-hour' policy , part-time staff had
increased 10 percent from 15 percent to 25 percent. According to the Personnel Manager ,
One of the n1ajor strategic measures used is the contingent employment under our
已 man-hour '
policy. We adopt the electronic point of sales technology to make sure
that the ‘ man-hours ' of the store can be converted to a rosta system which can be
covered by the contingent workers.
Interviews with the top managen1ent of Okadaya, Supercom and Tairo indicated that
the introduction of retail technologies which had facilitated the use of contingent employment
involved n1ajor capital investn1ent decisions. Such decisions were made often after a lengthy
process of strategic pl anning.
However , jobs for the contingent , especially part-time, staff were strategically located
at the entry-level and is dead-end. Furthermore , the career developn1ent for part-time staff
11
was much more limited compared to full-time workers as they always had difficulty to
develop their career until they were promoted or trans fe rred to full-time employment. For
example , a part-time female sales staff of Tairo said ,
1 have been working for the company more than 10 years. 1 chose to work part-time at
the beginning because my children were young then. Now they have grown up , and 1
can devote more time to leam new tasks.
[ have indicated several times to my
supervisor that 1 want to participate in son1e training.
However , he said that the
training is not for part-time staff. If you want to receive the training , you have to
change to work full-time.
The feelings of working in underprivileged en1ployment conditions could undermine
the morale of part-time staff, leading to lower morale and organisational commitment and
resulting in higher hidden costs in the part-time employment. Thus , the presumed benefits of
static f1 exibility from the use of contingent workers were offset by the increased hidden costs.
On the other hand , Okadaya provided part-time sales staff the same amount and same
types of training as their full-time
counte叩 arts.
More importantly , the managing director of
Okadaya said ,
Part-time workers have become a major component of our workforce. We treat them
in the same way as
the 臼 ll-timers
because they perform the major business activities
in the company . . . We have nearly a quarter of our part-time workers who have been
working for us for more than 10 years. Among them , 10 percent have been working
since our first store opened in 1987. They are part of our
pe口nanent
workforce now.
The part-time workers in Okadaya were neither substitutable nor interchangeable
employment forms . In effect , Okadaya regarded part-time workers as their core workforce ,
especially those with a so-called ‘ permanent' contrac t. As Purcell (1999: 248)
stated 言“ There
is no reason why part-timers should not be part of the core workforce" . It shows that Okadaya
adopted this employment strategy with a systematic , planned management attempt to achieve
its
c。中 orate
objectives.
12
The second type of contingent workers used at the lower level is consignrnent staff.
The three Japanese firrns subcontracted various low-level tasks through consignment contracts
with external consignrnent companies. It was evident that Morioka adopted a strategy to have
a large number of consignrnent staff since it consigned out more than 70 percent of the stores'
total f1 00r space. The Japanese management of Morioka said ,
The consignment policy is a type of externalisation of work. 1 believe it can help us
save a large amount of money in recruiting , hiring , paying and training consignrnent
staff. Most importantly , we can receive a guaranteed amount of income disregarding
the sales level of the consignment counters.
Morioka used this policy as a strategy to transfer business risks to the consignrnent
firms. However, the managing director of Okadaya pointed out that such consignrnent policy
was the
m句 or
factor leading to Morioka' s collapse:
Morioka was a landlord rather than a retaile r. 1t operated business through gathering
rents from the consignrnent companies. Since each consignrnent company has its own
management style and work practices , the whole department store ended up looking
like a big shopping arcade , without a unifying corporate identity. Customers couldn't
remelnber what's special in the store , and thus would not go back shopping again.
On the contrary , Okadaya limited its consignment counters to less than 10 percent of
its total floor space areas.
Even though Tairo needed to maintain a reasonably higher
proportion of consignment counters for branded products since it operated a high-class
department store , consignrnent counters had never exceeded 30 percent of its total floor space.
Supercom operated in a ‘ 100 percent house brand' policy. It did not have any consignrnent
staff. 1t shows that it was a strategic choice made by these three firms to minimise the number
of consignrnent staff so as to achieve the corporate objectives in having a more direct
management control of its staff, and a unique
co 叩orate
image and positioning in the marke t.
During Econontic Bad Times. After the financial cnSlS , a major change in contingent
employment can be identified to be related to the intensification of the use of part-time staff.
For example , Okadaya had doubled its use of part-timers in a matter of only one and a half
years from 25 percent in 1997 to 50 percent by the end of 1998. The drastic increase was to
13
offset its first loss in profit in 1998. The use of contingent employment was considered by the
management as one of the major factors for the continuous business success of Okadaya. 1n
the announcement of 1999/2000 annual results , the managing director of Okadaya stated ,
[Our] total sales tumover had increased by 18.5 percent amounting to HK$3 ,277
million in comparison to last year's figure of HK$2 ,765 million. During the year
under review, the Group recorded a profit of HK$32.5 million against a loss of
HK$23.3 million in the pervious year (Ann ual Report , 1999/2000).
The managing director attributed their success to the adoption of various strategic
measures to cut costs: “ We carry out . . . persistent and efficient cost control system ... [in
order to] maintain a leading position in the industry" (Annual Report , 1999/2000).
Tairo also employed a high ratio of part-time staff, increased from 30 percent of the
total number of employees in 1997 to 50 percent in end of 1998. The managing director of
Tairo explained,“ We use more part-time staff to replace full-time ones for minimising labour
costs".
The drastic increase of part-timers after the economic downturn had several
unexpected results affecting the effective use of contingent employment. First , a majority
(more than 80 percent) of the part-time interviewees commented that the rapid growth in the
number of part-timers since the economic downtum had made their prospects to acquire a
full-time employment more difficul t. A part-time staff working in the Fast Food Department
ofTairo said ,
1n the past , 1 have seen many part-time staff promoted to full-time employment on the
basis of performance and commitment. Now , we have much more part-time staff
recruited recently and most of them used to work full-time before they became
unemployed. They work very hard because they want to get a full-time status. Thus ,
it has become very competitive for us to acquire a full-time status.
Second , owing to the hourly pay for the part-timers had greatly reduced from 40-60
percent after the crisis , all case firms responded opportunistically to increase the use of parttimers. Son1e part-timers reported that they received HK$11 per hour only. Since many part-
14
timers recruited after the crisis used to be employed full-time , they tended to compare their
employment conditions to those they received when they were employed as full-timers before
they became unemployed. Therefore , the salary cut, and the lack of promotion and career
prospects as a result of taking up part-time jobs involuntarily had negative psychological
impacts on the performance of the part -timers recruited after the crisis. Furthermore , these
newly employed part-timers also compared their wage to that of the older part-timers who
were employed before the crisis which was normally much highe r. It is not surprised to find
that lower job satisfaction , organisational commitment and morale had become major
problelns among the involuntary part-time workers , resulting in higher hidden costs.
Third , the extensive use of contingent workers , especially the part-time workers , have
another negative impacts on human resource initiatives designed to foster employee
corrunitment
(Bly側，
1996; Lee and
Hoon型 1993).
Under the pressure of bankruptcy and
downsizing in many retail firms , many (more than hal f) full-time sales respondents began to
feel hostile to contingent workers as they perceived the part-time workers as a threat to their
employment security. The status divide between the full-time and contingent workers could
create animosity that undermined teamwork and cooperation (Geary , 1992).
These unexpected negative outcomes from the increased use of part-timers after the
financÏal crisis implies a lack of planning as the management had only responded to pressure
arisen from the financial crisis in an ad hoc rather than a systematic manne r. The intensified
use of part-time employment after the economic downtum was more related to an
opportunistic response for survival. Although employing more part-time workers could help
the case firms to minimise costs , it had incurred higher hidden costs.
M iddle Mana f! ement Level
During Economic Good Times. Before the financial crisis , Morioka and Tairo tended to have
most local full-time staff casualised as they were employed in an inferior human resource
lnanagement
practices -
lower pay , fewer
opportunities - compared to their
counte叩arts
promotion , training
and
development
in Okadaya and Supercom. The use of large
numbers of consignment staff in the managerial level by Morioka indicated that it did not
15
have a long-term labour utilization strategy because it merely extemalised most risk and
management of staff to extemal firms rather than directly controlling and managing the use of
labou r.
A lnajority (over 90 percent) of local full-time staff from Morioka and Tairo expressed
dissatisfaction with their employment conditions in terms of promotion opportunities and
career developmen t.
Japanese.
They felt that they were employed in more inferior terms than the
This employment practice was related to the business strategy , especially the
international management strategy of many Japanese firms. Many Japanese firms adopted an
ethnocentric strategy to maximise the control of the parent company in order to integrate
overseas subsidiaries at the cost of local responsiveness (Houseman and Osawa, 1998;
Kidahashi , 1987; Koike , 1983a and 1983b; Littler, 1983).
The parent companies placed
J apanese expatriates in key management positions and centralised decision making in the
subsidiaries (Perlmutter and Heenan, 1986). Therefore , in Tairo and Morioka, only Japanese
expatriates were regarded as core employees because they were the
m句 or
bridge of
communication to the head office in Japan , while local staff as peripheral (Trevor and Whi te ,
1983;
Hayas划 ，
1978; Hishinuma, 1986; Phatak, 1989; Beechler and 1aquinto , 1994).
Okadaya and Supercom , on the other hand , employed a geocentric business strategy
which incorporated local staff as the core employees because the firm attempted to increase its
responsiveness to local needs. The strategy could strike a balance between the maximisation
of benefits from local responsiveness by making fuller use of local managers to make strategic
decisions in the subsidiary and global integration (Perlmutter and Heenan , 1986).
1t is
evidence that the active use of technology in Supercom and Okadaya had also made the firms
to use a localised employment system which was complementary the geocentric business
strategy. Since the late
198 仇，
both companies perceived that the labour turnover costs of
local professionals and managers considered through lateral job hopping to another COlnpany
as high because their skills and knowledge were valuable assets to the company's introduction
of retail technologies and competitiveness. Both companies employed local professionals and
managers as the core staff who were neither deskilled , casualised nor replaced by contingent
workers like the other lower-skilled local full-time employees. They could get promoted to
senior managerial positions , had better pay , training and development opportunities.
16
As a whole , many local n1anagers and professionals in Morioka and Tairo had been
etnployed in a contingent basis because they had litt1e control of their work. On the other
hand, very fe\v 0 t、
them
in Okadaya and Supercom were employed in the contingent sector
before the financial crisis. The local Inanagers and professionals in Morioka and Tairo had
much lower job satisfaction , motivation , organisational commitment, and higher labour
tumover than their counterparts in Okadaya and Supercom (Wong and Hendry , 1999). It
shows that the adoption of business strategy could in f1 uence the effectiveness of the firm's
employment practices.
During Economic Bad Tinles. After the financial crisis, contingent work had expanded into
better paid managerial work in Supercom and Okadaya which were formerly considered as
suitable for full- time
firm were either laid
pe 口nanent
0 叮 or
employees only. Some local core managers of the British
demoted , replaced by an increasing number of part time staff after
the financial crisis. Furthermore , some local professional staff of
Okadaya 組d
Supercom
were casualised as they were transferred to an outside information technology firm as highend subcontracted staff.
Contracting-out the technologies to outside firms was a strategy
which had enabled the firms to get access of a wide range of the technologies and expertises
whilst not risking a large fixed investment. As a result, many managers and professionals
were pushed into lower levels , and displaced to contingent nature. The displaced
s徊在 were
demotivated as they felt they were no longer valued by the company.
For many managers and professionals who remained to be employed on a permanent,
secure basis after the Asian financial crisis said that they felt they were increasingly expected
to behave like subcontracted workers. A manager of Supercom said,
The top
manaεement
told us to think as we are employed as entrepreneurs or as self-
employed. We have to continually ask how we can add more value to the work and
the COlnpany. We have to self-n10nitor our performance as wel l. Before the economic
downturn, we used to be appraised by our superiors once every 6 months. Now, we
not only have more performance appraisal in every 3 months , but have to submit self
appraisal to our boss every month.
17
Many (more than 60 percent) managers and professionals who were not casualised
said that they realised they could only remain in the tìrm as long as their expertise could serve
the firms ' needs. Some said that they felt more like the subcontracted staff than core staff.
They began to feel the stress as to whether they would be the next ones to be displaced to the
contingent leve l. This obviously had offset the benefits of dynamic flexibi 1ity derived from
the human resource initiati ve of organisational commitment among these core workers.
The negative outc0111eS resulted from the displacement of many local professional and
managers to the contingent levels after the tìnancial crisis implies a lack of strategic plan in
the labour uti 1i sation practices.
All case firms had to respond to spread the contingent
employment upward in an opportunistic manner for cost-cutting. However , they neglected the
increased hidden costs from such move would offset the benefits from static and dynamic
flexibility.
To sum up , the use of contingent employment before the economic downturn reflects
the outcome of a strategic choice of business strategy to achieve greater flexibility in
organisational structures and employment practices. After the Asian financial crisis as a result
of intensified pressure and greater market uncertainty , employers opportunistically responded
to the changing contextual environment by seeking a greater cost-effectiveness from their
human resources. In an endeavour to reduce their employment costs , employers re-evaluated
the efficiency of the full-time employment , and opted to further expand the use of contingent
employment , which had been made easier with the increasing supply of unemployed and
underemployed workers in the labour marke t.
CONCLUSION AND IMPLICATIONS
This study suggests that there is an overall effect of increasing economic pressure ,
competition and job deskilling in the retail industry in Hong Kong. Drawing on the evidence
from the case firms , this paper can generalise that the employment systems used by the
retailers in Hong Kong are not simply bifurcated , and are not totally a planned business
strategy as described in Atkinson's (1 985) model of
the 已 flexible
firm'. In practice , the
practice of Okadaya allocating part-time workers to the internallabour market shows a greater
18
sophistication in the labour utilization policies than is indicated by the model (Walsh , 1990;
Walsh and Deery , 1999).
Furthermore, it can be observed that, before the financi al crisis, two Japanese case
firms - Morioka and Tairo - seemed to have been guided by a strategy to divide employees
into core (Japanese) and peripheral (l ocal) workers mainly from the national origins of the
employees. On the other
hand 型 Okadaya
and Supercom were guided by a strategy to divide
employees into core (full-time permanent) and peripheral (contingent) workers mainly from
the employment status. It implies that the international management strategies have a strong
impact on the labour utilisation strategy in the case firms (Hunter, McGregor, Maclnness and
Sproull, 1993).
Before the financial crisis, contingent employment has already been widely used in the
retail firms in Hong Kong.
It is a worldwide trend of labour-market flexibility practices
which have been an on-going workforce flexibility process as a result of the continued shift in
the structure of economies from manufacturing to service sector during the last decades
(Chow, 1998). Similar to the wOrld trends of contingent employment since the economic
downturn, contingent employment in Hong Kong has also spread up\vard to the managerial
and professional ranks.
It was argued that the use of contingent labour in Hong Kong leads to the benefits of
numerical flexibility through achieving static flexibility (Chiu and
1994).
Levin雪 1995;
Chiu and Lui,
However, this study finds that the benefits from the use of contingent employment
may be enhanced or diminished based on whether the firm use the contingent workforce in a
strategic or an opportunistic manne r. It is argued that job and organizational characteristics
moderate the relationship between benefits/costs and the use of contingent workers,
suggesting that structural constraints diminish the potential cost savings to the firm provided
by contingent workers (Tilly , 1992). Morioka used large numbers of consignment and parttime staff for their static flexibility from the lower recruiting , insurance and fringe benefit
costs than those for permanent workers. However , it is reported that a high tumover rate
among the company's contingent workers has disrupted the workflow as 1110St jobs are
interconnected.
Furthermore , contingent workers usually have lower job satisfaction ,
19
Thus , the opportunistic use of contingent
motivation and organisational commitment.
workers results in a high ‘ hidden or indirect costs' which have offset the benefits from static
f1 exibility (Allan , 2000).
On the other hand , Okadaya managed to reap more benefits of f1 exibility from the use
of contingent employment than Morioka because of its better planned , and more systematic
use of employment strategies. Okadaya tended to enhance the contingent employment policy
by its ‘ social technology' , i.e. the managerial and bureaucratic procedures which had enabled
the firm to minimise the risk of low-quality performance by some contingent workers who
had little commitment to the organization (Uzzi and Barsness , 1998). In addition , Okadaya
could also achieve dynamic f1 exibility from the part-time workers because of its strategy of
treating them , especially the so
called 已 permanent'
part-time ones , as equal to core workers.
Since the Asian financial cnSlS has caught many firms to respond to the external
environment in an ad hoc unplanned manner by a sudden drastic increase in contingent
employment.
Although it is argued that firms can achieve functional f1 exibility by
extemalising expertise which is costly to develop internally (Christensen , 1991) , many core
workers have become suspicious and worried that they will be the next to be casualised and
externalised. Many core workers have decreased their commitment and loyalty to their firms.
The unplanned use of contingent employment after the financial crisis has disabled many
firms to achieve dynamic flexibility. Furthermore , it has also incurred an increased amount
of hidden costs in using contingent workers.
To conclude , all case firms have disintegrated vertically by casualising labour inputs
that are formerly employed in the inner part of labour marke t. This has increased the demand
for contingent labour, and for more experienced and skilled staff selling their expertise and
know-how to retail companies on a non-permanent basis. The new labour market is structured
around core workers , experienced or skilled contingent workers , low-skilled contingent
workers , and extemal workers (N oyelle , 1990). The core is
shri叫ång
to accommodate only a
selected group of top managers who continue to enjoy mobility opportunities within the firm.
20
Furthermore會 since
the economic downtum , contingent workers , especially the part-
timers , are expanding but almost all of that growth has taken place in the ranks of
involuntarily employed part-timers (Tilly , 1991; Tilly 1992).
Am ong the 103 ,400
underemployed workers , 28 ,000 (27 percent) were reported to be involuntary part-time
employees as they indicated that they could not find full-time jobs (Census and Statistics
Department, 2000) , there are several implications which deserve employers to pay attention to.
First, the increased use of contingent employment in firms in Hong Kong implies that more
complicated employment issues may occur in firms. As more contingent workers who wish
to work full-time are forced to work on a part-time employment status because they cannot
find full-time jobs in the labour market , these involuntary part-timers may demonstrate lower
job satisfaction , motivation and organisational commitment (Armstrong-Stassen , AI-Ma'aitah ,
Cameron and Horsburgh , 1998; Lee and Johnson , 1991; Kr ausz, Brandwein and Fox , 1995).
Second , the trend of increased contingent employment has another implication for the
gender composition of contingent , especially the part-time , work.
As employers have
structured more jobs on a part-time basis and fewer as full-time , the proportion of people
working part-time involuntarily has increased in a large proportion , and the number of men
working involuntarily in part-time positions has risen as well because they have been unable
to obtain full-time employment.
As a
whole 雪 given
the growing numbers of the contingent workers which have become
a major component of the workforce in Hong Kong , it implies that firms are desirable to
become more aware of the welfare and employment conditions , particularly the involuntary
part-tlmers.
The current study is an exploratory study of contingent employment in foreign-owned
retail firms in Hong Kong . Like most exploratory studies , this research opens up as many
new questions as it answers. First , the findings may not be generalised to retail firms of other
national origins , especially the local- or Chinese-owned firms because the head offices of
Japanese and British firms are known to use contingent employment extensi vely (Chalmers ,
1989; Horwitz and Smith , 1998; Houseman and Osawa, 1998; Kidahashi , 1987; Koike , 1983a
and 1983b; Littler , 1983) which may have an effect on the composition of the labour fo rce and
21
employment systems in their subsidiaries in Hong Kong.
Therefore , further research is
needed to be conducted to incorporate local- or Chinese-owned firms.
Furthermore , since en1ployers increasingly use contingent employment as a means to
lowering direct labour costs , the hidden costs involved in contingent employment, such as
lower job satisfaction, motivation and organisational commitment, may undermine quality
standards and the attainrnent of business strategies , especially among those who are forced to
take up contingent employment involuntarily (Allan, 2000). Therefore , further studies in the
attitudes and behaviour of different types of contingent workers , based on their preferred
employment status , wiU be essential for making fuller use of the contingent workers in future.
22
REFERENCES
Abraham , K.G. (1990). 可 lexible staffing arrangements and employers' short-tenn adjustment
strategies\ln Employment, Unemployment and Hours 0/ Wor k. R.A. Hart (ed). George
Allen & Unwin.
A lI an , C. (2000). ' The hidden organisational costs of using non-standard employment'. Personnel
Review, Vo l. 29 , No. 2 , 34-48.
Annu a l Report. (199811999). Okadaya.
Annual Report. (1999/2000). Okadaya.
Armstrong-Stassen , M. AI-Ma' 的 tah ， R. Cameron , S.J. and Horsburgh , M.E. (1998). 'The
relationship between work status congruency and the job attitudes of full-time a~d parttime Canadian and Jordanian nurses'. The lnternational Journal 0/ Human Resource
Managemen t. Vo l. 9 , No. 1, 41-57.
Atkinson , J. (1984). ‘ Manpower strategies for f1exible organisations'. Personnel Organisations,
August.
Atkinson , J. and Meager , N. (1 986). 'Is f1exibility just a flash of the pan?'
Manage m e 肘， Vo l. 18 , 26-29.
Personnel
Atkinson , J. (1 987). ' Flexibility or fragmentation: The UK labour market in the 1980s\ Labour
and Society. Vo l. 12, No.l , 87-105.
Baker , T. and Aldrich , H.E. (1996). ‘ Prometheus stretches: building identity and cumulative
knowledge in multi-employer careers' in Boundaryless Careers: Employment in the New
Organizati切1al Era. M . Arthur and D. Rousseau (eds). New Y ork: Oxford University
Press.
Beard , K.M. ands Edwards , J.R. (1 995). ' Employees at risk: Contingent work and the
psychological experience of contingent workers'. In Trends in Organisational Behaviour.
C.L. Cooper and D.M. Rousseau (eds.) Vo l. 2 , New York: John Wiley & Sons.
Beechler, S. and Iaquinto, T. (1 994). 'A longitudinal study of staffing patterns in US affiliates of
Japanese multinationaI corporations. Paper presented at the Association for Japanese
Business Studies Annual Conference, Vancouver, January 1994.
Be\o 肘 ，
R. (1989). The Contingent Economy: The Growth 0/ the Temporary , Part-tim e，
Subcontracted Workforce. Washington , DC: National Planning Association.
的ld
Bennett R. (1991). ' How is management research carried ou口 in The Management Research
Handboo k. N.C. Smith and P. Dainty (eds). London: Rout\edge.
BeverI y , G. (1993 ). ' The fl exib\e work force ' . Training , Vo l. 30 , No. 12 , 23-30 .
Blyton , P. (1 996). ' Workforce flexibility\In The Handbook 0/ Human Resource Ma nagement. B.
Towers (ed) . Second edition, Oxford: Blackwel l.
23
Bray , M. and Littler, C. (1 988). 'The labour process and industrial relations: Review of the
literature'. Labour and lndustry人 Vo l. 1, No . 3, 551-587.
Bryman , A. (1 989). Research Methods in OrganisationaL Studies. London: Unwin Hyman.
Census and Statistics Department (1 996) , (1 997) , (1 999) and (2000). GeneraL HousehoLd Survey.
Hong Kong: Census and Statistics Department.
Chalmers , N .J. (1 989). lndustrial Relations in .Japan .' The Peripheral Workforce. London:
Routledge.
Chan , D.L. Mak , W.Y. and Leung , S.M. (2000).
λ1agazine. 20 July.
~ Th e
Puzzle of the closure of [Tairo]'. One
Chinese Management Centre (2000). Report on Minimum Wage , Unemployment Ben月fits and
protection at Employment Equity into Some Key Issues of the Honbg Kong Labour Market.
Workplace Study Group , University ofHong Kong.
Chow, H.S. (1 998). ' The impact of rules and regulations on workforce flexibility in Hong Kong'.
The International Journal of Human Resource Management, Vo l. 9 , No. 3 , 494-505.
Christensen , K. (1991). 'The two-tiered workforce in US corporations ' . in Turbulence in the
American Workplace. P.B. Doeringer (ed). Oxford University Press.
Deery , S .J. and Mahony , A. (1 994). ‘ Temporal flexibility: management Strategies and employee
preferences in the retail industry'. The Journal of lndustrial Relations. September, 332352.
DeFillip抖，
R. and Arthur , M. (1 994). 'The boundaryless career: a competency-based perspective'.
Journal of Organizational Behaviour , Vo l.的 ， No . 4 , 307-24.
Eisenhardt , K.M. (1 989). ' Building stories from case study research ' . A cademy of Management
Review. Vo l. 14 , No . 4 , 532-50.
EIU (1 999). Part-time and Temporary Help. Hong Kong: Economist Intelligence Uni t.
Feldman , D.C. and Doeringhaus , H. I. (1 992). ‘ Missing persons no longer: Managing part-time
workers in the ‘ 90s\ Organisational Dynamics. Vo l. 21 , No. 1, 59-70.
Fenton-O Creevy , M. (1 995). ' Moderators of differences in job satisfaction between full-time and
part-time female employees: A research note'. Human Resource Management Journal ,
Vo l. 5 , No. 5 , 75-87.
Fortune. (1 994). 'Contingent workforce ' . 24 January , 30-36.
Geary , J. (1992). ‘ Employment flexibility and human resource management: The case of three
American electronics plants ' . Work, Employment and So ciety. Vo l. 6 , No. 2 , 32-45.
Glaser , B.G. (1978). Theoretical Sensitivity. CA , Mill Valley: The Sociology.
Glaser , B.G. and Strauss , A.L. (1967) . The Discovery of Grounded
Qualitative Researc h. New York: Aldine de Gruyte r.
24
Thω ry :
Strategies f or
Gottfried, H. and Graham, L. (1 993). 'Constructing difference: the makin g of gendered
subcultures in a Japanese automobile assembly plan t'. Sociology , Vo l. 27 、 No. 4 , 611-28.
Harrison , B. and Kelley , M.R. (1993). ‘ Outsourcing and the search for ;'flexibility"'. Work,
Employment and Socie紗， Vo l. 7, No.2, 213-35.
Hayashi , K. (1 978). ‘ Japanese management of multinational operations: sources and means of
control'. Management lnternational Review. Vo l. 18 , No. 4 , 47-57.
Henson , K.D. (1996). Just a Temp. Philadelphia , PA: Temple University Press.
Hirsch , P.M. and Shanley , M. (1 996). ‘ The rhetoric of "boundaryless" : how the newly
empowered and fully networked managerial class of professionals bought into and selfmanaged its own marginalisation' in Boundaryless Careers: Employment in the New
Organisational Era. M. Arthur and D. Rousseau (eds). New York: Oxford University
Press.
Hishinuma , S. (1986). ‘ A comparative study on management strategies of multinationals: US ,
Europe and Japan\ Sangyou Keiei Ken妙u (Journal of lndustrial Management Research).
Vo l. 6 , 91-10 1.
P.\\人(1 979).
Hom ,
'Effects of job peripherality and personal characteristics on the job
satisfaction of part-time workers'. Academy of Management Journa l. Vo l. 22 , 551-565.
F.M. and Smith , D.A. (1 998). ‘ Flexible work practices and human resource
Horwitz ,
management: a comparison of South Africa and foreign owned companies ' . The
lnternational Journal of Human Resource Management. Vo l. 9 , No. 4 , 590-601.
Houseman , S. and Osawa , M. (1998). ‘ What is the nature of part-time work in the United States
and Japan? ' in Part-time Prospects: An lnternational Comparison of Part-time work in
Europe , North America and the Pacific Rim. J. O'Reilly and C. Fagan (eds). London:
Routledge.
Hunter, L. , McGregor, A., Maclnness, J. and Sproull, A. (1 993). ' The “ flexible firm": Strategy
and segmentation'. British Journal of lndustrial Relations. Vo l. 31 , No. 3 , 383-407.
Kidahashi , M. (1 987). Dual Organization: A study of a Japanese-owned Firm in the United States.
Ph.D. thesis: Columbia University , Graduate School of Arts and Science.
Koike , K. (1 983a). ‘ 1nternal labour markets: workers in large firms' in Contemporary lndustrial
Relations in Japa n. (ed). T. Shirai. Madison , Wisconsin.: University of Wisconsin Press.
Koil仗 ，
K. (1 983b). ' Workers in small firms and women in industry '. 1n Contemporary lndustrial
Relations in Japan. (ed). T. Shirai. Madison , Wisconsin.: University of Wisconsin Press.
Krausz, M. Brandwein, T . and Fox, S. (1 995). 'Work attitudes and emotional responses of
permanent , voluntary , and involuntary temporary-help employees: an exploratory study'.
Applied Psychology: An lnternational Review, Vo l. 44, 217-32
Le 巴 ，
J. and Hoon , T. (1 993). ' Part-time employmen t: Future trend of Singapore ' . Asia Pacific
Journal ofHuman Resources. Vo l. 31 , No. 1, 71-8 1.
25
Lee, T.\\人 and Johnson, D.R. (1 991). ‘ The effects of work schedule and employment status on the
organisational commitment and job satisfaction of full versus part time employees'.
Journal of Vocational Behaviour, Vo l. 38, 204-24.
Littler , C. (1 983). Japan and China: The Chinese Economic Reforms. London: Croom Helm.
Jackofsky , E.F. and Peters , L.H. (1 987). ‘ Part-time versus full-time employment status
differences: A replication and extension'. Journal ofOccupational Behaviour. Vo l. 8, 1-9.
Labour Department. (1 999). Wages and Fringe Benefits in Hong Kong. Hong Kong: Labour
Departmen t.
Logan, M. Q'Reilly, C. and Roberts, K.H. (1 973). 'Job satisfaction among part-time and full-time
employees'. Journal of Vocational Behaviour. Vo l. 3, 33-4 1.
J.R. (1 979). ‘ Job attitudes of part-time and full-time employees\
Journal of Applied Psychology. Vo l. 64 , No. 4 , 380-386.
Miller , H.E. and
Terbo 旬，
Ming Pao Daily. (1998). ‘ The Worst Economic Growth in 23 years in Hong Kong'. 27 Novembe r.
Ming Pao Daily. (1999). 'Minimum wage in Hong Kong'. 28 May.
Ming Pao Daily. (2000). 'Companies use low salary to remain competitive'. 20 January.
Mishel L. and Bemstein J. (1 994). The State of Working America 1994-1995. Armonk, Mouly
V.S. and Ramani, E. (1 990). ‘ Survey research and ethnographic research: an appraisal of
two research methodologies'. iimb λlanagement Review, Vo l. 5, No. 2, 31-5 1.
Noyelle, T. (1 990). 'Toward a New Labor Market Segmentation'. In Skills , Wages , and
Productivity in the Service Sector. T. Noyelle (ed). Boulder: Westview Press.
Parks, J.M. , Kidder, D.L. and Gallagher, D.G. (1 998). 'Fitting square pegs into round holes:
Mapping the domain of contingent work arrangements onto the psychological contrac t'.
Journal ofOrganisational Behaviour. Vo l. 19 , 697-730.
Parker, R.E. (1 994). Flesh Peddler叮-.甘s αnd Warm Bodie臼s:
Workers. New Brunswick , NJ: Rutgers University Press.
Hishinuma, S. (1986). ‘ A comparative study on management strategies of multinationals: US ,
Europe and Japan'. Sangyou Keiei Ken秒u (Journal of lndustrial Management Research).
Vo l. 6, 91-10 1.
Pfeffer , J. (1 994). Competitive Advantage through People. Boston , Mass.: HBS Press.
Pfeffer, J. and Baron, 1. (1 988). ‘ Taking the workers back out: recent trends in the structuring of
employment' in Research in Organizational Behaν iour. B.M. Staw and T.G. Cummings
(eds). Vo l. 10, 257-303.
Plunkert , L.M. and
Hayg悅，
V. (1995). 'Strong employment gains continue in
Labour Review, Vo l. 118 , 3-17.
26
1994\ Month砂
Polivl倍，
A.E. and Nardone , T. (1 989). 'On the definition of contingent work'. Monthly Labour
Review. Vo l. 112 , 9-16.
Purcell , J. (1 999). ‘ High commitment management and the link with contingent workers:
Itnplications for strategic human resource management'. In Research in Personnel and
Human Resource Management, Supplement 4. P.M. Wright (ed). Stamford , Conn.: JAI
Press.
Rotchford , N.L. and Roberts , R.H. (1 982). ‘ Part-time workers as missing persons in
organisational research'. Academy 01 Management Review. Vo l. 7 , 228-34.
Smith , V. (1 994). 'Institutionalising flexibility in a service firm: Multiple contingencies and
hidden hierarchies'. Work Occupation , Vo l. 21 , No. 3 , 284-307.
Steffy , B.O. and Jones , J.W. (1 990). ‘ Oifferences between full-time and part-time employees in
perceived role strain and work satisfaction\ Journal 010rganisational Behaviout. Vo l.
11 , 321-329.
Still , L.V. (1 983). 'Part-time versus full-time sales people: Individual attitudes , organisational
commitment and work attitudes\ Journal 01 Retailing. Vo l. 60 , 62-80.
Tilly , C. (1 991). ‘ Reasons for the continuing growth of part-time employmen t', Monthly Labor
Review , Vo l. 114 , No. 3 , 10-18.
Tilly , C. (1992). 'Oualism in part-time employmen t'. lndustrial Relations, Vo l. 31 , No. 2 , 331-47.
Trevor , M. and White , M.R. (1 983). Under Japanese Management . The Experience 01 British
Workers. London: Heinemann Press.
Walsh , J. (1 990). ‘ Flexible labour utilization in the private service sector'. Work, Employment
and Society. Vo l. 4 , No. 4 , 517-530.
Walsh , 1. and Deery , S. (1 999). ‘ Understanding the peripheral workforce: Evidence from the
service sector' . Human Resource Management Journa l. Vo l. 9 , No. 2 , 50-63.
W ong , M. L. and Hend 旬， C. (1 999). ‘ Employment strategy: Comparing Japanese and British
retail companies in Hong Kong ,' Personnel Review , Vo l. 28 , No. 5 , 110-128.
Wood , S. (1980). ‘ Corporate strategy and organizational studies\In Organisational Studies
Yearboo k. D. Dunkerley and G. Salaman (eds). London: Routledge and Kegan Pau l.
Uzzi , B. and Barsness , Z. I. (1 998). ‘ Contingent employment in British establishments:
Organisational determinants of the use of fixed-term hires and part-time workers ' . Social
Forces , Vo l. 76 , No. 3 , 967-1005.
Zeytinogulu , I. U. and Norris , J. (1 995). 'Global diversity in employment relationships: a typology
of flexible employmen t'. Paper presented at the 10 th World Congress of the International
lndustrial Relations Association , Washington D.C. , June.
27
Table 1
The Profile of Case Companies (as of 2000)
Year of Establishment
Year of First Store Opened
Length of Operation
Ownership
No. of stores (as of Oct 97)
No. of stores (as of Oct 98)
ì'v1o rioka
Okadaya
Tairo
Supercom
1974
1984
16
100% J
11
O
1986
1987
13
100 0/0 J
4
6
1983
1984
16
100% J*
2
2
1987
1988
12
100% B
10
9
Source: compiled by the author based on the company reports.
* Because
it was sold to a Hong Kong
since December 2000.
Chinese型 Tairo
28
has became a local department store
LINGNAN UNIVERSITY
HONG KONG INSTITUTE OF BUSINESS STUDIES
working Paper Series
Author(s)
Title
Series No.
H KlBS/WPS/
001-967
Pre-commitment vs Flexibility: Uncertainty And Distribution
Reform in P. R. China (published in Journal of Socio-Economi白， 1997，
Clement Kong-wing CHOW
Vo l. 26, No. 1)
002-967
Measuring the Technological Leadership of International Joint
Ventures ín a Transformíng Economy
Clement Kong-wing CHOW
and Míchael Ka-yíu FUNG
(published in Joumal o( Business Research , 1997, Vol.39 , NO.2)
003-967
Profitabílity and Technícal Efficiency: A Performance Evaluation
of International Joint Ventures in Shanghai's Manufacturing
Industries
Clement Kong耐íng CHOWand
Michael Ka-yiu FUNG
(pub lished in Stewa斤， Sa /l y & Anne Carver (eds.) , Coming o( Age' Oeveloρments in
Sino-foreign Joint Venlures， ν'0 1. 5 of Advances in Chinese Induslrial Studies)
004-967
Endogenous Sequencíng in Strategic Trade Polícy Games under
Uncertainty (，ρ ublished in Open Economies Review, 199大 Vo1. 8， No .4)
Kit-pong WONG and
Cìement Kong-wing CHOW
005-967
The Motives of Hong Kong - Japanese International Joínt
Ventures
May M L WONG
(pub /i shed in Inlernational Journal of Retail & Oistrib ulion Management, Vo l. 26, No . 1,
January, 1998)
006-967
A Study of Employment System of Japanese Multínational
Retailers in Hong Kong
May M LWONG
(pub /i shed in Inlernalional Journal of Human Resource Management)
007-967
Women's Employment Status ín Two Japanese Retail Stores in
Hong Kong (pub /i shed in Women in Management Review)
May M LWONG
008-967
Organísational Effectíveness ín Higher Educatíon : Towards An
Operational Definitíon
James S POUNDER
00夕-967
Case Studies on Pítfalls of Total Qualíty Management in Hong
Kong
Chun-kit Ll U , Kit-man CHAt、J and
Mei-yee CHAN
010-978
中港兩地痛楚及失去人生樂趣賠償法律比較
周國強
0 11-978
九七 後 香港普通法的淵源面臨衝擊 : 權主所負轉承責任的例子
周圍強
012-978
從公有到私有企業:中國勞資關係的轉型
周圍強
013-9 78
Eastern Traditional Business Values: Mercantile Patron Gods in
Hong Kong
Kwok-keung CHOW
014-978
TQM ín the Constructíon Industry ín Hong Kong : A Supply
Chaín Management Perspective
Alfred WONG
(published in Total Qua/ity Management , 1999, Vo l. 10, No 勾
015-978
A Study on Employees Retraíníng Programmes ín Hong Kong
May M L WONG
(published in εmployee Relafions 199B, Vo 1. 20, N04)
016-9 78
Profítabílíty , Ownership Structure and Technícal Efficiency of
Enterprises in P.R. China: A Case of Manufacturing Industríes ín
Shanghai (pub/i shed in Asia Paci行c Journal of Management, 1999, V0 1. 16, N().3)
Clement Kong-wing CHOW ,
Michael Ka-yiu FUNG and
Ken Kai-hong 叭IAN
。 1 7-9 78
Private Businesses in China : Emerging Environment and
Managerial Behavíor (published in Laneke /ley & Yadong Luo (eds.) , China
Clement Kong-wing CHOW ,
Chung-ming LAU and
Hang-yue NGO
2000: Emerging Business Issues)
018-978
Hong Kong Business Through Countertrade: Past , Present and
Future (published in Journal of Internalional Markeling & Exporting , 1999, Vo l. 42)
Henry C STEELE
019-9 78
Relatíonships for Qualíty Improvement ín the Hong Kong China
Supply Chain : A Study in the Theory of Cooperation and
Competition (published in Infernafional Journal of Quality & R叫帥的fy
Alfred WONG , Dean T JOSVOLD ,
Winnie WONG and C K Ll U
Management , 1999, Vol. 16, No. 1)
020-978
承判制度與僱傭福利
周圍強
LINGNAN UNIVERSITY
HONG KONG lNSTITUTE OF BUSINESS STUDIES
working Paper Series
Series No.
Title
Author(s)
HKJBS/WPS/
。2 1-9 78
A Framework for Effective Commercial Web Application
Development (published in the Internet Resea rch Electronic Networking
Ming-te LU and
Wing-Iok YEUNG
Applications & Policy, Vo l. 8, No .2)
。22-9 78
。23-9 78
024-9 78
No .4)
C!ement Kong.-wing CHOW ,
Michael Ka-yiu FUNG and
Hang-yue NGO
Aids , Employment Rights and Policies in Hong Kong
Kwok-keung CHOW
Factors Affecting Joint Venture Performance in China
Edward Yui-tim WONG
Job Turnover in China : A Case Study of Shanghai's
Manufacturing Enterprises (pub/.心 hed in Industrial Relations ,
1999, Vol.39 ,
(forth coming in the Asian Profile)
025-9 78
香港僱員假期的全面修正
問團強
026-9 78
性別歧 視招聘廣告
周國強
02 7-9 78
Knowledge and Skills of I. S. Graduates: A Hong Kong
Perspective
( 性別歧視條例 〉 實施 後 的情況
Ming-te LU , Ch i-wai CHUNG and
Pien WANG
(published In Jo urn al of Computer Informa tion Systems , Wl nter 1998-99. Vo I. 39:2)
。28- 978
Organisational Self Assessment in Higher Education
Experiment!ng with the Competing Values Model and
Behaviourally Anchored Rating Scales
James S POUNDER
。29-9 78
Small Businesses and Li quidity Constraints in Financing
Business Investmen t: Evidence from Shanghai 's Manufacturing
Sector
Clement Kong-wing CHOW and
Michael Ka-yiu FUNG
。 30-9 78
Comparing International Human Resource Management
Practices between Yaohan and Jusco in Hong Kong
May M L WONG
(forth coming in Asia
Paci叮c
B <.l siness
Revie叫
031-989
Organisational Learning through International Ass ignment in
Japanese Overseas Compan ies (for付thc∞oml盯In呵
7旬
g們
l n Or句
ga
釘n惚
l臼zatí昕7冶a
刮
叫l叫
Le
臼
arm們ng
ω)
May M L WONG
032-989
Further Sufficient Cond itio ns for an Inverse Relationship
between Productivity and Employment
Cleme nt Ko ng-wing CHOW and
Kit-pong WONG
(published in Quarterly Re view of Economics and Finance , 1999, Vo 1.39, No .4)
033-989
集體協議的 法律效 力
周圍強
034-989
Consumption Patterns of Entrepreneurs in People's Rep ubli c of
China
Clement Kong-wing CHOW ,
Michael Ka Yiu Fung and H Y Ng o
。35-99 0
Corporate Taxation and the Investment Location Decis ions of
Multinational Corporations
Richa rd S SIMMONS
036-990
An Investigation Into Whether a Li nk Exists Between Corporate
Taxation and International Flows of Direct Investment
Richard S SIMMONS
03 7-990
Hedging and Nonlinear Risk Exposure
Clement Kong-wing CHOW , Udo
8ROLL and Kit Pong W ONG
038-990
Employee Casualisation in Department Stores In Hong Kong
May M L WONG
。39-990
Employment Strategy: Comparing Japanese and Briti sh Reta il
Companies in Hong Kong
May M L WONG
(forthcoming in Asia Pacific Journal of Human Resources)
040-001
The Chinese At Work : Collectivism Or Individualism?
Edward Yu i-tim WONG
04 1-001
Moral Atmosphere and Morallnfluence in China 's Transitional
Economy
Robin Stanley SNELL
JI
LINGNAN UNIVERSITY
HONG KONG INSTITUTE OF BUSINESS STUDIES
working Paper Series
LM
一的
LW-W
/
-m
即
RVA弓
r- ‘ !-cu
/
Title
Author(s)
/f
CU
042-001
Developing as a Learning Organization : A Hong Kong Case of
Sensegiving and Career Contracts
Robin Stanley SNELL
043-001
The Strategy in the Use of Contingent Workers in Hong Kong
Case Studies in Retail Firms
May M LWONG
Feb 2001
III
The Working Paper Series is jointly published by the Hong Kong Institute of Business
Studies and the Business Programmes at Lingnan University. It fosters the establishment
of alliances and partnerships with local, regional and international tertia可 institutions for
academic development and exchange
Business Programmes
The Business Programmes consist offour Departments:
..
..
Department of Accounting and Finance
Department of Information Systems
Department of Management
Department of Marketing and International Business
To meet the growing demand for business graduates, the Programmes offer integrative
and specialisation courses leading to the Bache1 0r of Business Administration (Hons.)
degree.
Hong Kong Institute of Business Studies
The Hong Kong Institute of Business Studies was established in September 1996 by
amalgamating the former Centre for International Business Studies and the Centre for
Entrepreneurial Studies. It is a research arm ofthe Business Programmes and has a c1 ear
mandate to support research activities in business studies
The 1召ζIBS currently has six research c1usters. Theyare:
1.
2.
3
4.
5
6
Accounting and Finance in Asia
Business Environment An alysis
China Business Studies
Chinese Management in Asia
Information Technology and Systems Studies
Organisational Process and Performance Assessment
Each c1uster envelops a number of r e1ated projects.