Human resource management and performance in European firms

We develop a theoretical framework to examine three hypotheses on the relationship\udbetween human resource management (HRM) practices and organisational\udperformance in European firms. The first is that collaborative forms of HRM\udpractice are more strongly associated with superior firm performance than\udcalculative forms. The second is that these associations are strongest where national\udinstitutional and normative settings support them. The third is that employer–\udemployee consultative committees and collective payment methods are also\udassociated with superior firm performance. The first two propositions are strongly\udempirically supported, as is the third, albeit more weakly. The implications of the\udfindings for European policy and Varieties of Capitalism theory are discussed