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An evaluation study of the Labour-Management Partnerships Program (LMPP) was conducted on behalf of Human Resources Development Canada (HRDC). The LMPP represents an attempt by the federal government to overcome obstacles faced by the Canadian industrial relations system in introducing and diffusing innovations based on joint action. These obstacles include a tradition of adversarialism and a wide management prerogative embedded in law and practice. There are also more traditional obstacles involving information problems relating to what works and how it can best be implemented and potential "externality" problems relating to investments in "intangible assets" that are not always recouped by management and/or labour.

These obstacles — and the attendant sub-optimal diffusion of innovation — constitute a strong rationale for selective government intervention. The political philosophy in this country, however, clearly constrains direct public intervention in the workplace. Nevertheless, governments can help provide a supportive environment for innovation by acting to generate and diffuse relevant information and by playing a strategic role in brokering with the parties to consider and experiment with new ways of doing things. It is these information and brokering roles that motivate the LMPP.

The LMPP is funded under the Federal Mediation and Conciliation Services (FMCS) of the Labour Program at HRDC. The LMPP supports joint labour-management initiatives designed to create more co-operative and productive workplaces. It funds projects that demonstrate how labour and management can innovatively co-operate, at the workplace or industry level, in addressing pressing workplace issues. Issues include changes in work processes, the implementation of flexible work practices, the introduction of employee participation practices, and the adoption of new technologies. LMPP also funds projects such as research studies, conferences, seminars and video productions where the immediate goal is the production and dissemination of knowledge regarding workplace issues of joint concern to labour and management.

The LMPP evaluation study is described in the rest of this document. In Chapter 2.0, recent literature is reviewed as context on labour-management co-operation in the workplace, and a description of the LMPP is provided, including a profile of projects funded to date. The evaluation issues and methodological approach to the study are outlined in Chapter 3.0. Study instruments are appended. Chapter 4.0 presents the integrated evaluation findings, organised by evaluation issue. Finally, Chapter 5.0 presents the study conclusions, including a summary of the success factors and barriers in the project, the strengths and weaknesses of the LMPP, and suggestions for the future.