Privatization and Judicialization in Resource Extraction: Comparing Labor Militancy in the Oil Fields of Russia and Kazakhstan

Abstract

What explains variation in labor militancy and trade union tactics across similar oil regions? Existing literatures on the resource curse and labor in resource extraction provide contradictory expectations that do not account for variation. By comparing two prominent oil regions, Khanty-Mansi Autonomous Okrug, Russia and Mangystau, Kazakhstan, I find labor militancy is explained by more contingent factors than broader theories suggest. This article identifies oil privatization as a critical juncture that led to diverging path-dependent processes, finding that privatizing to foreign or domestic owners and the relative independence of the legal system explain the differing manifestations of labor militancy observed. These findings are potentially generalizable to post-communist and developing countries that privatize their extractive sectors and have a history of state control of labor relations.