Saturday 29 May 2021

The Pathological Organisation

It has long been remarked that society has become individualistic to a pathological extent. That it is now populated by selfish monads totally oblivious to the needs of others or any notion of solidarity. But while this is true, I think that over the past few decades individualism has undergone a subtle, though significant, change. It is no longer about individual freedom, however egotistical. Individualism is now primarily concerned with policing and correcting the behaviour of the individual – especially for those at the bottom of society – and positing futile personal solutions for patently social problems.

The former can be seen most vividly in the concept of “zero tolerance” which has spread like wildfire across the world since its birth in New York in the 1990s. In its original incarnation, zero tolerance claimed that violent and serious crime could be reduced by first cracking down on “incivilities” and minor offences, such as graffiti or fare dodging. Though crime did indeed fall concurrently, the role of zero tolerance policing in this is highly dubious. Crime also fell in other American cities that didn’t practice zero tolerance at the time and it was labelled by two criminologists as the “least plausible candidate” for contributing to the decrease in violent crime.

Nonetheless zero tolerance had an unstoppable momentum. Its precepts contributed to a colossal rise in the prison population in the USA. In 1975, there were 240,000 people in US jails. Last year there were 2.12 million with millions more on probation or parole. Prison populations have also risen spectacularly in other countries, though not to the same enormous extent. In Britain, for example, prison numbers have nearly doubled since the mid-1990s. And this is in the context of a significant drop in crime.

The ascendancy of zero tolerance is not limited to swelling prisons. Its basic tenet – no excuses and no justification for adjudged misdemeanours – has been enforced in a variety of different settings. Sanctions for benefit recipients – unheard of before the 21st century – are routinely dished out for missing appointments, not applying for enough jobs or even attending the birth of your child.

Countless institutions – from pubs to political parties – far beyond any connection to the criminal justice system now proclaim a zero tolerance approach to racism, abuse, harassment or bullying.


 

The blind spot

But this obsession with policing, condemning and penalising individual behaviour has gone hand in hand with boundless tolerance for, and seemingly zero interest in, the wrongdoings of organisations.

Such leniency could be seen in reactions to the financial crisis of more than a decade ago. Common responses to a crisis of the banking system ranged from pinning the blame on geeky savants who designed financial products no-one could understand to spotlighting gullible consumers who borrowed recklessly. We need to regulate ourselves, counselled conservative historian Niall Ferguson.

It is revealing that the UK government responded to the financial crisis – a crisis with systemic causes triggered by the actions of corporate organisations – by intensifying the regulation of individual behaviour (and not even of the individuals who were culpable). Between 2010 and 2013, over a million sanctions were imposed on disabled and poor benefit claimants, a 345% rise on the 2001-8 average.


 

Under the Horizon

That the same mentality still thrives can be seen by the muted reaction to one of the gravest ever miscarriages of justice in Britain – the prosecution, sacking or financial ruination of hundreds of sub-postmasters  by the Post Office. The criminalisation was justified by an IT system, Horizon, that produced non-existent cash shortfalls in Post Office branches. But despite knowing that Horizon was faulty, the Post Office – backed up by IT supplier Fujitsu – blamed and persecuted innocent workers for years. Dozens went to prison, many more were heavily fined and some committed suicide.

The problem with blaming bad people at the top for this horrendous injustice is that those leading the Post Office were, by contemporary standards, exemplars of ethical behaviour. Paula Vennells, CEO from 2012 to 2019, is an Anglican priest and was awarded a CBE two years ago for “services to business and charity”. Tim Parker, chairman of the Post Office since 2015, and charged with overseeing its senior management, is also chair of the National Trust.

Nonetheless, despite, according to Vennells, running a business that “genuinely cares about the people who work for us”, the Post Office was guilty, in the eyes of judges, of “oppressive behaviour” and behaving like a “mid-Victorian factory owner”. An MP described it as “feudal”.

It is only when viewed organisationally that its actions become explicable. According to the Private Eye investigation, under Vennells’ leadership, the Post Office, since its split from the privatised Royal Mail in 2012, was obsessed with the bottom line and achieving financial independence from the government by 2020. Nothing could get in the way of that objective and Horizon’s infallibility had to be upheld at all costs.

This “relentless focus” resulted in a culture of unquestioning loyalty. According to one insider quoted in Private Eye: “If you wanted to belong and fit in, you had to put the future of the Post Office first. If that meant turning a blind eye – or worse – that’s what people would do”.

But as soon as the failings at the Post Office are viewed in this light, the problems become so overwhelming they have to be – from the perspective of a supporter of this corporate capitalist system – deliberately ignored. How many other organisations have a “relentless focus” on the bottom line? How many others reify ‘leadership’ and inculcate a rigid culture of loyalty among their senior management? Notwithstanding the stakeholder rhetoric, these are attributes that all hierarchically-run organisations – be they private, public or ‘voluntary’ – are, after decades of neoliberalism and the tutelage of business schools, expected to have.

Toxic Operations

We have become accustomed to exposés of toxic cultures within organisations. But these invariably apply to the head office, senior staff or vestigial practices among the workforce (individual failings again). They rarely apply to the toxic manner in which an organisation’s management treats its workers or the public in general. This is despite such problems being endemic.

In April, an academic study based on interviews with civil servants found that top-down pressure from management in the Department of Work and Pensions during the Cameron coalition years resulted in the deliberate perpetration of “psychological harm” on claimants. Expectations “from above”, the authors noted, acted as a “moral anaesthetic” and resulted in local targets for sanctions, a process which “made invisible the needs and interests” of the claimants subject to such withdrawals of income.

Since they were bailed out in the financial crisis, banks have colluded to manipulate interest rates, rigged the foreign exchange market, plundered small businesses, laundered money for drug cartels, and helped thousands of wealthy clients evade tax (apologies this list is not exhaustive).

Phone hacking and other forms of harassment by newspapers resulted in a long-drawn out public investigation into ‘press ethics’ a decade ago. But a recommendation for an independent press regulator was rejected by David Cameron and in 2018 the Conservatives scrapped the scheduled second part of the inquiry (Leveson 2) on the grounds that the press “had cleaned up its act”. Presumably, clearing out “all the bad people” was sufficient.

And according to a report leaked last year, the permanent officials of the Labour party viewed members and its elected leadership with withering contempt and undermined the party’s 2017 General Election campaign, conceivably scuppering Labour’s chances of becoming the largest party in the Commons.

If not denied or ignored, these organisational scandals have resulted in, at best, grudging apologies, the removal of miscreants and heartfelt promises that ‘it won’t happen again’. But, strangely, it always does.

Fleeting Obedience

In the 2019 book The Disobedient Society, I attempted to chart the extent to which – despite protests to the contrary – obedience still plays a dominant role in social affairs. Taking a cue from the American psychologist Stanley Milgram, I stressed the importance, for obedience to work, of people freely choosing to follow the instructions of others above them in hierarchical organisations. This is now primarily evident in the employment contract, which lays great weight on its voluntary nature to morally differentiate it from forms of forced labour, such as ‘modern slavery’.

However, the subjects in Milgram’s experiments – and in all subsequent ‘Milgramesque’studies – had a very fleeting relationship with authority. Though many were faultlessly obedient, their actual contact with, in Milgram’s phrase, “the person of higher status”, lasted no more than an hour. Their equivalent in today’s society is probably the ‘on-demand’ worker who carries out tasks in line with instructions, but remains self-employed and does permanently join any organisation.

All the cases above of organisational dereliction were perpetrated by a cadre permanently ensconced within a hierarchical set up. This does not diminish obedience. If anything, it enhances it as obedience becomes strengthened by notions of loyalty, reciprocity, “fitting in” or fear of reprisal if behaviour does not meet expectations.

Given that most people in putatively rich countries have to rent themselves out to hierarchical organisations in order to procure the means of survival, obedience, though widely ignored, is an expected and real form of behaviour. However, the power of entrenched vested interests at the top of organisations is equally palpable.  Whether motivated by profit maximisation, competitive rivalry or other metrics of success, these tight-knit groups can – and do – act pathologically, treating employees or the wider public as if they were insentient obstacles to be overcome or exploited.

It’s just that in a society obsessed with the moral failings of individuals, if the spotlight happens to fall on them it is only for a brief moment.

 

 

 

 

1 comment:

  1. This emphasis on personal responsibility rather than that of the organisation was brought home to me when reading about BP under the leadership of Lord John Browne. When in charge of BP Browne introduced dozens of rules, such as no talking on the phone when operating equipment, no coffee cups without lids, no climbing staircases without holding the handrail, that were all about personal safety and placed the burden on the individual to observe them. At the same time, more costly process safeguards, like the upkeep of wells or piplines, was neglected or cut. A few years later the huge Deepwater Horizon spill happened. The National Commission on the Deepwater Horizon disaster said that BP's focus on "individual worker occupational safety but not on process safety" was a root cause of the accident (from the 'New Corporation' by Joel Bakan)
    This is symptomatic of a culture that lays everything on the individual but lets the organsation off scott free

    ReplyDelete