Search results

Abstract
Lessons learned in the aftermath of the Financial Crisis of 2008 include that long, punitive household insolvency regimes have a negative societal impact, increase the potential for financial instability and hamper national economic recovery. We propose the Socio-Economic Framework for Household Insolvency System Design as a regulatory mechanism that aims to control national household debt and productivity levels. The system facilitates an informal resolution of the conflict between over-indebted households and their creditors. When this is not possible, the system grants immediate relief to no-income, no-assets and 'honest' households, that experienced over-indebtedness because of an external negative shock, such as a medical emergency. Finally, when the household does not qualify for immediate relief, the system allocates the costs of insolvency between the household and creditors, based on responsibility for the over-indebtedness. This reduces the moral hazard.

Loan book management is important to community credit union survival, particularly in deprived localities. Consistent with agency theory, prior studies of credit unions report an association among individual monitoring mechanisms, trade association monitoring, and female board representation, respectively, and reduced loan losses. This study provides a more nuanced understanding by investigating the moderating influence of these monitoring mechanisms on the relationship between loan losses and deprivation and by considering the effect of bundle combinations of different levels of the two monitoring mechanisms on loan losses. The results reveal that credit unions subject to trade association monitoring have the lowest loan losses. However, in the absence of trade association monitoring, female board representation has a moderating effect on loan losses as deprivation increases. Finally, trade association monitoring and female board representation have a substitutive, rather than a complementary effect on loan losses.

Credit unions are membership-based cooperative financial services organizations that are run by and for their members. Historically, credit unions provided financial services for their members and encouraged community development through philanthropy and volunteering. The World Council of Credit Unions (WOCCU), the sector's global trade association and development agency, encourages the adoption of a management model, coined "new model," which encourages for-profit financial management practices. The "new model" approach is challenged by some practitioners and academics concerned that it will diminish the community involvement of credit unions. We explore the following research question: "Does the implementation of a management model that promotes for-profit-style financial management crowd out the community impact of credit unions?" We use a dataset extracted from 2,275 annual returns for 188 credit unions spanning 1996-2008, and find no evidence that community impact diminishes as a result of "new model" operating practices, suggesting a crowding-out effect is absent.

PurposeThe public sector is often considered the vanguard in terms of the availability and promotion of flexible working arrangements (FWAs). Despite this, little is known about how senior managers in the public sector engage with FWAs. This paper aims to address this gap, reporting on a number of issues, including the reality of FWAs, the existence of a flexibility stigma and whether this is gendered, and the drivers influencing the uptake of FWAs.Design/methodology/approachTheoretical insights of flexibility stigma from the literature and data from semi-structured interviews with senior managers in the Northern Ireland Civil Service explore the realities of FWAs at this level.FindingsThe findings indicate a decoupling between the rhetoric and reality of FWAs, with few senior managers availing of such arrangements. The authors also identify a complex web of issues that constrain senior managers' agency in shaping a positive culture of FWAs at senior management level in the Civil Service, including an inherent resistance to flexibility, a lack of visible role models and negative perceptions around progression. The findings also indicate deeply held perceptions among senior males and females that availing of FWAs is associated with a flexibility stigma. These perceptions were confirmed by the small number of senior females with caring responsibilities who were availing of FWAs.Research limitations/implicationsThe paper provides senior managers and human resource practitioners with insights into the difficulties associated with wide-scale FWA availability and use at senior levels of the Civil Service.Originality/valueThe findings of the study offer valuable insights into the experience of senior managers in the public sector as they engage with FWAs. The study, therefore, contributes to the limited literature in this area.