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Purpose

This paper aims to study the impact of new types of market‐based management systems in Western European public sector industrial relations.

Design/methodology/approach

It reviews the main literature on the topic and relevant policy texts.

Findings

It points to the different dimensions of public sector change in terms of industrial relations and outlines some of the contradictory outcomes and ongoing continuities.

Research limitations/implications

It is a general overview of key developments.

Practical implications

It is relevant for a discussion of the general trends and dynamic of public sector industrial relations.

Originality/value

It manages to take an overview of changes in the public sector and point to the uncertain development of a new market approach.

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