[lbo-talk] Welcome to indentured servitude

Wojtek S wsoko52 at gmail.com
Mon Jul 8 06:38:03 PDT 2013


Another possible hint can be found in a theory of organizational behavior developed some time ago by Meyer and Rowan and claiming that many institutional forms of behavior are in fact myths and ceremonies that serve little or no utilitarian functions. "No competition" contracts may be such a myth-generation strategy, imputing that the organization has some "secret formula" that sets it apart from competitors whose products look alike.

On Mon, Jul 8, 2013 at 9:31 AM, Wojtek S <wsoko52 at gmail.com> wrote:


> "No competition" clauses have been quite common in professions where
> intellectual property is at stake. They actually offer some protection to
> prospective employees or consultants from mining their ideas by
> unscrupulous employers or partners. What I find surprising is the use of
> that clause in semi-professional jobs where no intellectual property is at
> stake, hairdressers, drivers etc. The most ludicrous example of it that
> I've seen was someone I knew working for a fast food chain and having to
> sign a "no competition" clause. I wonder what the rationale behind it is.
> It actually costs money to enforce such contracts, they need to retain an
> attorney to do this, and I do not see any obvious financial benefits to the
> employer.
>
> One possible explanation can be found in the "organizational isomorphism"
> theory of organizational behavior. This theory maintains that under
> certain conditions organizations copy cat other organizations perceived as
> "successful models" in a field and thus become more an mode alike. A
> corollary to this theory is that managers are often clueless idiots who do
> not know what they are doing, but they are very concerned about creating
> appearances of their competence. Mimicking "successful models" is a
> Dilbert-like strategy of creating professional appearances while being
> clueless. The spread of "no compete" contracts to areas where they serve
> so seemingly useful purpose may be a result of such managerial copy cat
> behavior.
>
> Any other thoughts?
>
>
> --
> Wojtek
>
> "An anarchist is a neoliberal without money."
>

-- Wojtek

"An anarchist is a neoliberal without money."



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