Abstract
It is well-known that labour practices, which cover terms of employment and working conditions in a broad sense, vary greatly amongst firms of the same sector. Much less is known, however, on the factors determining or explaining labour practices at the firm level. To some extent, technology and tasks determine or sets limits to the types of labour practices that can be used by a firm. But the firm’s strategy in product markets, improving services quality and choosing cost saving techniques also play a role in firm decisions on labour practices. This paper analyses case studies of labour practices in a dozen firms in India, as well as explanatory factors of production strategies in these firms. It identifies three main labour practice systems – the operator system, the quality circle of high employee involvement, and that of the semi-autonomous work team. Within each of these labour systems, there are also instances of better practices.