Indice
For the reasons outlined above, the one-contracting party exchange strategy is capable of neutralising the collective bargaining power of workers, both with regard to productivity-related wage increases and as a means of defence (also against wage and staff reductions). In this way, labour costs can be reduced to the lowest level allowed by the rules protecting workers, as well as by the workers themselves.
The entrepreneurial discrepancy of subsidiaries sometimes emerges in trade union negotiations when outsourcing operations are implemented from the parent company (seller) to the subsidiary (buyer). On such occasions, paradoxical situations arise in which it is the company that sells the goods representing the company that is supposed to buy them. The paradox reaches its climax when the buyer subsidiary has not even yet been incorporated at the time when the trade unions are negotiating about the rights of the employees to be transferred (or exchanged). This means that it is so obvious to the parties that it is the parent company that makes the decisions for the subsidiary, that in some cases one does not even bother to involve the subsidiary as a party (while at least respecting appearances).