Occupational welfare and business ethics in Italy: three case studies

Aim/Purpose: One of the most interesting trends in the work Western world that characterized the postwar period is the growth of occupational welfare (Halkos et al, 2022; Halkos & Nomikos, 2021 Nica, 2013; Farnsworth, 2012). This is mainly due to a double track: on the one hand, the greater awareness and sensitivity on issues such as work-life balance, stress management; on the other hand, the relationship between employee satisfaction and the evident increase in work productivity with the consequent affirmation of successful companies. This paper aims to look at the phenomenon from a sociological and economic organization point of view, with specific attention paid to the enterprise whose marked orientation is grounded on business ethics. The work aims to provide a reply to two research questions: the first (RQ1) aims to observe the elements in common between the companies that have founded their success through occupational welfare. The second (RQ2) aims to investigate which forms of occupational welfare have remained unchanged over time and why they continue to be a pivot of Corporate Social Responsibility (CSR) within companies. Literature background: Richard Titmuss (2019) draws a frame of the main sources in terms of social protection. The first is alongside traditional “social” welfare (social benefits and services provided by the State), the second “fiscal” welfare (tax incentives for individuals and firms to help them provide welfare), and finally “occupational” welfare (benefits and services provided by social partners) are important sources of social protection. The function of occupational welfare in Italy throughout the postwar era was extremely constrained, if not almost nonexistent (Gasparri, 2021). This fact also explains why, in contrast to what has occurred in Continental, Anglo-Saxon, and Nordic countries, the subject has not received much attention in the scholarly literature (Petmesidou et al, 2020). It is possible to underline several changes during the 1960s in the field of occupational welfare. The territory and local authorities take on a role in the organization of a response articulated to a whole set of needs (medical care, social interventions, social housing), while the increased spending capacity of families opens the way to purchasing on the tourist and recreational services market, making small villages and business colonies less attractive (Ciuffetti et al, 2017). In the 1990s, Italy began to encounter economic and debt sustainability difficulties. Therefore, these nations have implemented two reforms that allow for a wider role in occupational welfare, particularly in the area of pensions (Holzmann & Guven, 2009). First the transition from the remuneration method to the method founded by contributions and second the raising of the retirement age (Natali 2011; Ferrera and Gualmini 2004). Twenty years later, however, the general state of affairs has only slightly improved: social security is still the cornerstone of social protection, while occupational welfare only affects a small portion of the labor force (Ascoli et al, 2018). Methodological approach: The paper takes into consideration the rich literature of three large companies that have played a fundamental role in the development of Italian occupational welfare: Olivetti, Azienda Trasporti Milanesi (ATM) and Azienda Energetica Municipale di Milano (Today A2A). The literature comes from the foundation of each company these have the aim to maintain the historic memory of the business’s daily life. The three foundations are Fondazione Adriano Olivetti, Fondazione AEAM group A2A and Fondazione ATM. The three companies were selected through parameters of content adequacy related to business ethics and CSR action, wealth in terms of literature through the presence of historic foundations, company size and geographic position. The analyses include about 100 picture books representing the work of each foundation of the three companies selected. The pictures are randomly selected from a collection of approximately 1,000 picture books available in each foundation. The items under analysis include the percentage of males or females represented in the pictures, the activities carried out, the buildings and the main subject present in the pictures such as workers, members of the worker's family or operators involved in occupational welfare services. To answer the research questions, this paper proposes to use the “visual content analysis” (Harwood & Shannon, 2005; Harwood & Garry, 2003) of the pictures, to bring out the indicators of the items under analysis. The visual content analysis represents a branch of the more general content analysis that incorporates a large and heterogeneous set of manual or automated techniques (Tipaldo, 2014). Contribution, value, and originality: This paper aims to underline the importance of occupational welfare in managerial scientific research. In fact, occupational welfare represents a key feature from the entrepreneurial point of view in terms of expenditure and the number of workers covered by these programs. The occupational welfare includes perks, salary-related benefits, measures intended to improve the efficiency of the workforce and some philanthropic measures. Furthermore, it plays a key role in the continuous transformations of the welfare state and industrial relations systems with particular attention to corporate strategies and the social partners' role in the decision-making process and the management of welfare programs. The paper also aims to enrich the scientific literature on occupational welfare in Italy in order to be a starting point for future research in comparable countries like southern Europe. Expected results: The paper builds its action by analyzing the pictures of the three company foundations through visual content analysis. The three companies studied have worked constantly to consolidate and increase the identifying value of the brand over time and maintain high levels of occupational welfare offered inside their vision. The phenomenon of business success in term of occupational welfare takes it possible to highlight how companies have distinguished themselves, particularly in the field of business ethical perspective by offering services such as social housing, leisure activities and holidays, training courses within the company and psychological support. Another important field considered by this study regards CSR in relation to the occupational welfare. CSR are of rising importance to governments and service providers keen to meet growing needs and tackle social problems within changing welfare environments. Currently, Italy presents not a widespread form of occupational welfare related to the business ethics and CSR. In this direction the companies under study have acted as a guide for the development of new welfare services suitable for our times.