Introduction

The relationship between productivity and decent work is a key question for achieving sustainable development and social justice goals (p. 1). These goals are impossible to meet without productive and sustainable enterprises that are able to achieve higher levels of productivity through the “high road” approach characterised by decent work and social dialogue (p. 1). This approach requires synergies to be developed between corporate management and sustainability functions (p. 2).

Background

Sustainable enterprises refer to those whose activities are based on a “triple bottom line” approach, having enterprises simultaneously prioritising economic, social and environmental performances (p. 2). Economic performance is improved by the successful implementation of sound management policies and practices, many of which contribute to the “high road to productivity” (p. 2). Economic success is achieved through better working conditions, decent wages, access to training and development, employee involvement, safety and health measures, and respect for workers’ rights to collective bargaining and freedom of association (p. 2). At the corporate level, these policies and practices are mainly developed and implemented by the human resource management (HRM) function (p. 2).

The social dimension is closely related to the corporate social responsibility (CSR) function, which is now often called the corporate sustainability function (p. 2). The European Commission defines CSR as the responsibility of enterprises for their impacts on society (p. 2). Although both economic and social functions cover all employees, they were traditionally viewed by senior management as separate, and coordination between them was rare (p. 2). In recent years, a clear trend towards a “sustainable enterprise” model that creates synergies between these two dimensions has emerged (p. 2).

In managing supply chains, enterprises may deal with a large number of non-employee workers (p. 2). One way to address this is to develop and introduce corporate codes of conduct that mandate the enterprises’ suppliers to apply certain HR-related conditions for their employees (p. 3).

Research Gaps And Suggestions

Most publications on CSR-HRM have focused on countries in the Global North and on firms from those countries (p. 3). Studies covering South America, Africa, and other parts of the Global South are very limited (p. 3). Future research should aim to fill in gaps in North American and European frameworks by providing examples and case studies from other parts of the world (p. 3-4).

Current research is dominated by two distinct approaches: some studies view HRM as an element of CSR, while others view CSR as an element of HRM (p. 4). Future research should examine quantitative data and case studies to shed light on how these two functions may create synergies within the framework of sustainable enterprise, with emphasis on developing countries, where information is lacking (p. 4).

The role of government as one of the major enterprise stakeholders remains critical in promoting productivity and decent work by setting regulatory standards, providing policy incentives, and promoting organisational transparency (p. 6). Future research should examine how government policy can help enterprises improve the functions of corporate social responsibility/sustainability and human resource management (p. 6).

Trade unions have long been a driving force for promoting fair wages, workplace health and safety, flexible work arrangements, and other HRM practices (p. 6). However, the involvement of trade unions in CSR initiatives remain insignificant (p. 6). Future research can examine the role of trade unions, including new initiatives they may have to promote decent work and productivity through the CSR lens (p. 7).

Conclusion

Productivity and decent work can be seen as a symbiotic ecosystem (p. 7). Promoting CSR with trade union support can help firms enhance their credibility and reputation (p. 7). Future research in this area will help policy makers and enterprise managers better understand how enterprises can improve their economic and social performance through more closely aligned HRM and CSR practices (p. 7).