Internationalisation of banking in Europe

Abstract

There is considerable academic interest in the consequences of European integration for human resource (HR) management within multinational companies. In the context of this debate discusses the implications of changes in the organisation of production and markets for the management of HR in the banking sector. Frames the analysis with special reference to British and Spanish banks, and draws implications regarding the impact of such changes for the most prominent development in terms of European legislation at company level, European Works Councils (EWCs). Argues that deregulation and European integration have facilitated restructuring and consolidation within national boundaries, which in turn have facilitated cross‐border mergers and acquisitions. As a result, the number of banks with operations in two or more countries of the European Union has increased. While business continues to be geographically segmented according to countries, affording EWCs a relatively limited role, growing similarities in work organisation and processes in banks across countries offers potential for change.