Exploitation in rent systems: relational inequality between and within organizations

International Review of Sociology. 2026. Vol. 36. No. 1. P. 262–289.

Shams S.

Vertical disintegration reshaped economic activity and especially
employment, with the rise of contractual networks for the
production and distribution of goods and services that were once
under direct corporate control. With minor exceptions, much of
the recent research shows the decline in working conditions that
accompanies the demise of promotion trajectories, predictable
pay, and generally retentive labor practices that were a key
feature of internal labor markets. In this paper, I examine the link
between vertical disintegration and working conditions as a
relational process, considering the historical conditions of
disintegration, the positionality of organizations in the network
and of people in workplaces. Using the case of a franchising
network, I argue that this relational conceptualization of the
problem results in a better understanding of the effects on
working conditions, explains the ambiguity in recent scholarship,
and offers a relational concept of ‘rent systems’ to consolidate
the phenomenon of brand/platform mediated employment often
presented in seemingly distinct terms.

Keywords: labor, 06.00.00 Economy. Economic sciences, economics and finance, Business and Organizational Research