Exam 12: Dealing With Employee-Management Issues and Relationships

Mini-Case The workers at Endrun Corporation are not affiliated with a union.Until recently,the workers felt they were well paid and treated fairly by the company,so they had little interest in seeking union representation.However,worker morale at Endrun has declined steadily since the board of directors fired the old CEO last year and replaced him with Ty Runt,a no-nonsense,autocratic manager with a reputation for cutting costs.As soon as he took over,Ty fired other members of the old top management team and replaced them with people who shared his views.Together,the new management team made a series of moves that did not sit well with Endrun's workers.First,they announced changes in work procedures designed to speed up the production line.Many workers complained that the new methods cut corners and were unsafe,but management refused to listen.A few months after changing work methods,the company told workers that it was reducing their health benefits.This led to even greater worker unrest.Finally,just a few weeks ago,workers received word that the wages of all production line employees would be cut by 6 percent.Many employees felt this was the last straw,especially since the company's board of directors recently approved big salary increases and more lucrative stock option plans for Ty and his management team.A spokesperson for the board explained that the raises were justified because of the management team's "outstanding efforts to reduce costs,increase productivity,and improve the company's profits." Several disgruntled employees,led by Ima Striker and Boyd Cotter,now believe it is time to obtain union representation.Top managers at the company have hinted that workers who actively participate in the union campaign may be among the first workers laid off if the company decides to downsize.Ima and Boyd are not intimidated by these management threats."I wish we didn't have to do this," Ima recently told many of her fellow workers at the plant."But someone has to stop Ty Runt and his team from ruining our jobs." -Ty Runt has always taken a hard line against unionization efforts.Two years ago,when workers at his previous company tried to obtain union representation,the company closed down the plant and refused to let employees work until they abandoned their efforts to form a union.This management tactic is called a(n):

__________ provided dynamic leadership for the American Federation of Labor during its early years.

Under an open shop agreement,workers have the option to join or not join a union,if one is present in the workplace.

Bellandro Bay Brewery union representatives and the company's management have reached an impasse.Going forward,the union has planning an organized strike and other tactics to put pressure on management where it will be most effective.Union supporters are being encouraged to avoid purchasing Bellandro's products.Now union leaders have contacted a variety of stores that stock Bellandro's Beer informing them that union members and other supporters will stop shopping at any store that continues to carry the brewery's beer until the dispute is resolved in the union's favor.This tactic against stores that carry Bellandro's Beer is called a primary boycott.

Once a union is certified to represent a group of workers,decertification is not a consideration or future possibility.

The ___________ guaranteed union members the right to nominate candidates for union office and participate in union meetings.

John belongs to a labor union.He believes a few key people run the union by meeting secretly and making decisions without informing other members or allowing them to fully participate in the meetings.If John's suspicions are correct,the union is violating provisions of the __________ Act.

A large number of striking workers are currently picketing at the plant entrance to a Memphis Tire and Rubber plant.Because the pickets have threatened people entering the plant and have vandalized some company property,Memphis' management believes it has just cause to ask the courts for a(n)__________ placing limits on the number of pickets and their actions while picketing.

The National Institute of Health estimates that each drug abuser can cost an employer approximately __________ annually.

The NLRB oversees the decertification of unions.An employer (the company owners)can petition and seek the signatures of 30% of the employees in order to decertify the union - in other words,officially,the union could no longer represent the employees in any bargaining negotiations.

Until passage of the Taft-Hartley Act,under a closed shop agreement,a company could only hire workers who already belonged to a union.

A common tactic of management in labor disputes is the use of secondary boycotts.

After adjusting for inflation,the average executive compensation is actually a little lower now than it was in 1960.

The CIO (Congress of Industrial Organizations)organized unskilled and semiskilled workers into:

At Hottie Potatee,the famous potato bar chain,the CEO,CFO,and COO are each paid a salary and stock options.As with other large,publicly traded companies,the strategy behind structuring executive compensation packages in this way is:

The strike historically has been the most powerful weapon unions use to achieve their objectives in labor disputes.

The __________ guaranteed the rights of individual union members when dealing with their union.

Which of the following statements about sexual harassment is most accurate?

Elder care costs are likely to remain a major issue for businesses for many years.

A labor dispute between the AFL-CIO and Gainesville Brewery is into its eighth month.The AFL-CIO has called on its membership and the general public to refuse to purchase Gainesville products.The AFL-CIO is calling for a: