Collective Bargaining and Labor Relations Essay

CHAPTER 14Collective Bargaining and toil RelationsChapter SummaryThis chapter allow fors an everyplaceview of private-sector repulse- forethought transaction in the unite States, with brief attention to public-sector differences and supranational labor traffic. After a imitate of labor-management traffic and a con textbook for current familys argon provided, heterogeneous aspects of the process of collective talk terms atomic number 18 described. concerted forms of labor-management relations be then presented. Finally, an explanation is wedded for how changes in competitive challenges are influencing labor-management interactions.Learning ObjectivesAfter studying this chapter, the student should be able to1. key turn up what is meant by collective bargaining and labor relations.2. Identify the labor relations goals of management, labor essences, and society.3. Explain the legal environments impact on labor relations.4. Describe the major labor-management interac tions organizing, contract negotiations, and contract administration.5. Describe the bran-newfangled, less(prenominal) adversarial approaches to labor-management relations.6. Explain how changes in competitive challenges (e.g., product-mart competition and globalization) are influencing labor-management interactions.7. Explain how labor relations in the public sector differ from laborrelations in the private sector.Extended Chapter OutlineNote Key terms appear in print and are listed in the Chapter Vocabulary section.Opening Vignette stab Relations and the Bottom LineThe main let out in the 54-day strike by the United Auto Workers (UAW) at cardinal General Motors parts plants was business enterprise protective covering and whether GM would invest in plants in the United States or abide its exploit to cut U.S. custom and shift production overseas to reduce labor costs. The strike postponed all of GMs plant operations, which ca employ annual earnings and market share. GM pl ans to spin off a new unit, which would eliminate 200,000 of UAW workers from the turn outroll. Ford is thinking closely doing the same thing but has postponed the move because of UAW opposition.I. IntroductionLabor-management relations are complex, and some(prenominal) are in transition as competitive challenges drag a realignment of management and worker interests. The contain for many U.S. companies to become small and more(prenominal) efficient translates into actions (job loss) that are at cross-purposes with the interests of gist members.II. The Labor Relations Framework (text intention 14.1 and TM 14.1)A. John Dunlop bring uped a labor relations systems that consists of four-spot elements1. An environmental context (technology, market forces, etc.).2. Participants employees and their unions, management, and the government.3. A web of rules (rules of the indorse) that describe the process bywhich labor and management interact.4. Ideology (acceptance of the system a nd participants).B. Katz and Kochan form presented a model that focuses on the conclusion-making process and outcomes.1. At the st ramblegic level, management makes basic choices such as whether to work with its union or develop nonunionized operations.2. These labor and management choices made at the strategic level affect interaction at the second level, the functional level, where contract negotiations occur.3. These strategic decisions excessively affect the workplace level, the compass in which the contract is administered.III. Goals and StrategiesA. SocietyLabor unions major benefit to society throughout history has been the balancing of power and the institutionalization of industrial troth in the to the lowest degree costly way. The National Labor Relations Act (NLRA, 1935) sought to provide a legal framework conducive to collective bargaining.B. focal point must conciliate whether to win or discourage the unionization of its employees. Based upon issues of wage co st, flexibility, and labor stability, as well as ideology, management must decide. If management has a union, it has the pickax of supporting a decertification vote, an election in which employees aim a chance to vote out the union.C. Labor unions assay to give workers formal imitation in setting the terms and conditions of employment. (See text Table 14.1 for categories of provisions in collective bargaining agreements).IV. conjunction Structure, Administration, and amicable stationA. National and international unions are composed of four-fold local unions, and most are affiliated with the the Statesn Federation of Labor and Congress of Industrial Organizations (AFL-CIO) (see Table 14.2 in the text for a list). In 1995, triplet major unions, the UAW, the United Steelworkers, and the International Association of Machinists, announced plans to merge by the year 2000. A related reading from Dushkins annual Editions Human Resources 99/00 (HR Comes of Age by Michael Losey 1. Craft unions are those that organize members of a particular skill or trade, such as electricians or plumbers. Craft unions are likely to be responsible for training programs called apprenticeships.2. Industrial unions are made up of members who work in any number of positions in a given industry, such as the auto or steel industry. Whereas craft unions whitethorn wish to control the number of members, industrial unions wish to maximize the number of members.B. topical anaesthetic unions are frequently responsible for the negotiations of a contract as well as the day-to-day administration of the contract, including the grievance procedure. Typically, an industrial local corresponds to a single(a) manufacturing facility.C. The AFL-CIO is a federation of national unions. It represents labors interests in the political process and provides numerous services to its members, in terms of research and education (text Figure 14.2). A related reading from Dushkins Annual Editions Huma n Resources 99/00 (Labor Deals a New Hand by Marc Cooper D. Union security depends upon its ability to ensure a stability of members and dues. Unions typically negotiate a contract clause that defines the relationship it has to employees and that provides for an uninterrupted flow of dues.1. A checkoff provision is an robotlike deduction of union dues from an employees pay upcheck.2. A closed shop is a union security provision at a lower place which a person must be a union member.3. A union shop requires a person to join the union within a certain length of time afterward beginning employment.4. An agency shop is similar to a union shop, but does non require union membership, only that an agency fee be paid.5. livelihood of membership requires only that those who join the union remain members through the life of the current contract.6. Right-to-work integritysAs a function of the Taft-Hartley amendment to the NLRA, states whitethorn decide to make authorization union member ship (or even dues paying) prohibited.E. Union Membership and Bargaining PowerEmployers are increasingly resisting unionization. Unions are making new attempts to organize new memberships and to provide new services. Union membership has consistently declined since 1950 and now stands at roughly 10 percent of private-sector employment (text Figure 14.3 and TM 14.2). Reasons for this decline are famous below1. Structural Changes in the EconomyThese changes include decline incore manufacturing and append in the service sector. But these changes, according to studies, only bankers bill for 25 percent of the overall union membership decline.2. Increased Employer ResistanceAlmost 50 percent of large employers in a survey report that their most important labor goal was to remain union free. Unions ability to organize whole industries has declined, and in that locationfore stipend are rarely taken out of competition. Additionally, studies have shown that if a union wins an election, it is frequently the case that managers lose their jobs (see Figure 14.4 for the increase in unfair labor practices filed). Competing by Meeting Stakeholders Needs Is sacrosanct Labor Relations Good for Business? Milwaukee-based Johnson Controls is not looking to cultivate a unionized work force. That is why it endures strikes at its seat making factories by UAW workers who were trying to negotiate their first collective bargaining contract with the company. Ford has taken a different view because it has begun a strong commitment with the UAW to be a competitive advantage. Ford realizes that it is not in the best interests of its employees to accept seats by replacement workers because their relationship with the union and respect for the team are too important to them. Finally, Johnson Controls agreed on a contract with the UAW at its two plants with help from Ford. 3. Substitution with HRMIn large nonunion companies, HRM policies and practices whitethorn encourage positi ve employee relations, and therefore union representation is not desired by employees. Competing through Globalization UAW Concedes Defeat at Transplantsfor Now UAW is diverting its attention from the Japanese-owned aggregation plants to the German-owned plants because the Japanese are turning their backs on the UAW. Transplant operations are tough to implement, but they are continuing to grow in this country and employment continues to shrink. Also, the UAW membership is beginning to shrink because it depends on the auto industry for its existence. Transplant operations usually offer pay and benefits and the social and political environments dont support unions. BMW and Mercedes-Benz are go awaying to work with the U.S. auto union because it is easier to organize during frugal times and they may be able to influence affairs with Germany. BMW pays workers periodic with bonuses as well as using a self-directed work team concept. These pay and benefits are attractive to the workers at this company. The union must also contend with plant expansions because employees find themselves considering job promotion or at to the lowest degree a move to a more appealing work slot. BMW and Mercedes-Benz are expanding both their factories and their payrolls. 4. Substitution by Government RegulationEmployment laws have been passed that reduce the areas in which unions potbelly make a contribution.5. Worker ViewsThe lack of a U.S. history of feudalism and class distinctions has limited the class-consciousness needed to support a strong union movement.6. Union ActionsCorruption, resistance to obvious economic change, and openness to women and minorities have all hurt the perception of union.V. Legal FrameworkLegislation and court decisions that provide the anatomical structure within which unions must operate have had an effect upon membership, bargaining power, and the degree to which unions and managements are successful in achieving their goals. The 1935 NLR A enshrined collective bargaining as the preferred mechanism for settling labor-management disputes. Section 7 of the act sets out the fulls of employees, including the right to self-organization, to form, join, or assist labor organizations, to bargain collectively through representatives of their own choosing, and to engage in other concerted activities for the purpose of collective bargaining.A. Unfair Labor Practices (ULPs)Employers The National Labor Relations Act (1935) prohibits certain activities by both employers and labor unions. Section 8(a) of the NLRA contains ULPs by employers.1. Employers cannot interfere with, restrain, or coerce employees in utilization their Section 7 rights.2. Employers cannot dominate or interfere with a union.3. Employers may not discriminate against an individual for exercising his or her right to join or assist a union.4. Employers cannot refuse to bargain collectively with a evidence union (other examples are given in text Table 14.3).B. U nfair Labor PracticesLabor Unions These were added by the 1947 Taft-Hartley Act.1. These ULPs parallel those listed previously. For example, unions may not restrain or coerce employees in the exercise of their Section 7 rights (see Table 14.4 in the text for additional examples).C. EnforcementThe National Labor Relations Board (NLRB) has the primary responsibility for enforcing the NLRA.1. The NLRB is a five-member board appointed by the president. Additionally, there are 33 regional offices.2. Only businesses involved in interstate commerce are covered by the NLRA and therefore subject to the NLRB.3. The NLRB has two major functionsa. To conduct and certify representation elections.b. To prevent ULPs and to adjudicate them.4. ULP charges are filed at and investigated by the regional offices.5. The NLRB may defer to the parties grievance process instead of holding a hearing.6. The NLRB can issue a cease-and-desist enounce to halt a ULP. It may order reinstatement and back pay. The court of appeals can choose to enforce the NLRBs orders.VI. Union and Management Interactions OrganizingA. why Do Employees Join Unions?Is it for wages and benefits? Do unions help increase wages and benefits?B. The Process and Legal Framework of OrganizingAn election may be held if at least 30 percent of the employees in the bargaining unit sign authorization cards. A secret ballot election willing be held. The union is certified by the NLRB if a simple majority of employees vote for it.1. A decertification election may be held if no other election has been held within the year or if no contract is in force.2. The NLRB must define the appropriate bargaining unit. Thecriterion they use is mutuality of interest of employees.3. Certain categories of employees cannot be included.C. Organizing Campaigns Management and Union Strategies and Tactics (see text Tables 14.5 and 14.6 for common campaign issues).1. Table 14.7 in the text and TM 14.3 list employer strategies, legal and illegal, that are used during organizing campaigns. Additionally, note the significant increase in employer ULPs since the late 1960s.2. The consequence of breaking the law in this situation is minimal, and discrimination against employees active in union organizing decreases organizing success.3. The NLRB may set aside the results of an election if the employer has created an atmosphere of confusion or fear of reprisals.4. Associate union membership provides a person who is not part of a bargaining unit with near of the services a full union member receives (access to insurance, credit cards, etc.). This is a strategy unions are trying in order to increase support.5. Corporate campaigns seek to bring public, financial, or political pressure on employers during the organizing and negotiating process.Example William Patterson, corporate affairs director of the Teamsters union, attended the 1996 Time Warner Inc.s annual meeting, where he unsuccessfully pushed a Teamsters proposal to split th e chairman and CEO position into two separate positions. The Teamsters pension funds have assets of $48 billion and actively chase after strategies as stockholders to support their positions.VII. Union and Management Interaction Contract NegotiationBargaining structures, the range of employees and employers that are covered under agiven contract, differ, as shown in text Table 14.8.A. The Negotiation ProcessWalton and McKersie suggested that negotiations could be broken into four subprocesses1. Distributive bargaining occurs when the parties are attempting to divide a fixed economic pie into two parts. What one party gains, the other loses.2. Integrative bargaining has a win-win focus it seeks solutions beneficial to both sides.3. Attitudinal structuring refers to behaviors that modify the relationships between the parties, for example, offering to share education or a meal.4. Intraorganizational bargaining is the consensus- patterning and negotiations that go on between members o f the same party.B. Managements preparation for negotiations is critical to labor costs and productivity issues. The following misuses are suggested1. Establish interdepartmental contract objectives among industrial relations and finance, production, and so on.2. Review the old contract to focus on provisions needing change.3. conjure and analyze data on labor costs, your own and competitors. Data on grievances, compensation, and benefits must be examined as well.4. Anticipate union demands by maintaining an awareness of the union perspective.5. Establish the potential costs of various possible contractprovisions.6. Make preparations for a strike, including possible replacements, security, and supplier and customer.7. Determine the strategy and logistics for the negotiators.C. Negotiation Stages and Tactics1. The aboriginal stages may include many individuals, as union proposals are presented.2. During the middle stages, each side makes decisions regarding priorities, theirs and the other parties.3. In the final stage, momentum may build toward settlement or pressure may build as an impasse becomes more apparent. More small groups are used to address specific issues.4. acquire to Yes by Fisher and Ury presents four principles of negotiationsa. Separate the people from the problem.b. Focus on interests, not positions.c. Generate a variety of possibilities before deciding what to do.d. Insist that the results be based on some objective standard.D. Bargaining Power, Impasses, and Impasse ResolutionAn important determinant of the outcomes of negotiations is the relative bargaining power of each party. Strikes impose various economic costs on both sides and therefore, in part, determine the power.E. Managements Willingness to Take a StrikeWillingness is determined by the answers to two questions.1. give the gate the company remain profitable over the long bring if it agrees to the unions demands?2. Can the company continue to operate in the short run despite a strike.3. The following factors help determine whether management is able to take a strikea. Product DemandIf its strong, there is greater potential loss for management.b. Product PerishabilityA strike timed with perishability of a crop results in permanent revenue loss.c. TechnologyA great(p)-intensive firm is less dependent on labor for continued operation.d. Availability of Replacement Workers(Note that the Clinton Administration issued an executive order that at the time of publication was under an injunctive order. This executive order prohibits federal contractors from permanently replacing striking workers).e. Multiple Production Sites and Staggered ContractsThese permit the shifting of work from a struck site.f. Integrated FacilitiesIf parts are not available from a struck plant, other facilities may be shut down.g. Lack of Substitutes for the ProductA strike is less costly if customers cannot purchase flip-flop goods.F. Impasse-Resolution Procedures Alternatives to Str ikes1. Mediation is provided by the Federal Mediation and Conciliation Service. While a mediator has no formal authority to force a solution, he or she acts as a facilitator for the parties, trying to help find a way to resolve an impasse.2. A fact finder is most commonly used in the public sector. The fact finders job is to investigate and report on the reasons for the dispute and both sides positions.3. Arbitration is a process through which a neutral party makes a final and binding decision. Traditionally, rights arbitration (the interpretation of contract terms) is widely accepted, while interest arbitration (deciding upon the outcome of contract negotiation) is used much less frequently.VIII. Union and Management Interactions Contract AdministrationA. The grievance procedure is a process developed to resolve labor management disputes over the interpretation and implementation of the contract. This happens on a day-to-day basis.1. The WWII War Labor Board first institutionalized the use of a third-party neutral, called an arbitrator (now, the final step in the grievance process).2. The effectiveness of grievance procedures may be judged on three criteriaa. How well are day-to-day problems resolved?b. How well does the process lay to changing wad?c. In multi-unit contracts, how well does the process handle localcontract issues?3. The duty of fair representation is mandated by the NLRA and requires that all bargaining-unit members, whether union members or not, have equal access to and appropriate representation in the grievance process. An individual union member may sue the union over indifferent or discriminatory representation.4. Most grievance procedures have several steps prior to arbitration, each including representatives from increasingly higher levels of management and the union (Text Table 14.9 and TM 14.4).5. Arbitration is a final and binding step. The Supreme Court, through three cases cognise as the Steelworkers Trilogy, confirmed the cred ibility and binding nature of the arbitrators decision.6. Criteria arbitrators use to reach decisions includea. Did the employee know the rule and the consequences of violating it?b. Was the rule applied in a consistent and predictable way?c. Were the facts collected in a fair and systematic way?d. Did the employee have the right to question the facts and present a defense?e. Does the employee have the right of appeal?f. Is there progressive airfield?g. Are there mitigating circumstances?B. New Labor-Management Strategies1. There are signs of a rendering from an adversarial approach to a less adversarial and more constructive approach to union-management relations.2. The transformation includes increasing worker involvement and participation and reorganizing work to increase flexibility. Competing through High-Performance Work Systems Look Whos Pushing Productivity Aluminum Co. of America is working to create a high performance work system within its plant by setting up a lab or-management partnership and anxiety reaction productivity, protect jobs, and as using unions as consultants. The International Association of Machinists is implementing a revolutionary change in the way unions view cooperation with management. The goal is to protect workers jobs and pay by making their employers more competitive. By developing expertise in new work systems, unions have a chance to make themselves valuable to employers battling like a shots intense global and domestic competition. Partnerships can also dilute the opposition many executives feel toward unions. However, the most willing unions still battle over wages. The IAM has opted for a soft-sell approach, marketing itself as a resource for employers. The one payoff is that unions get more jobs for its members even if it cant win election battles against nonunion contractors. 3. Union leaders have frequently resisted such change, fearing an erosion of their influence.4. In the Electromation case, the NLR B ruled that setting up worker-management committees was a violation of the NLRA, given certaincircumstances (see Table 14.10 for a description of what makes teams illegal).5. Polaroid recently dissolved an employee committee when the U.S. Department of Labor claimed it was a violation.6. In a third case, the NLRB ruled that worker-management safety committees were illegal because they were dominated by management.7. These new approaches (with the boundaries of legality) to labor relations may add to an organizations effectiveness. Table 14.11 in the text and TM 14.5 illustrate the patterns of traditionalistic and transformational approaches.IX. Labor Relations OutcomesA. StrikesSee Table 14.12 in the text for U.S. strike data. Note that strikes occur very infrequently.B. Wages and BenefitsIn 1997, private-sector unionized workers received, on average, wages that were 28 percent higher than nonunion counterparts.1. The union-nonunion gap is most likely overestimated due in part to the ease of organizing higher skilled (therefore more exceedingly paid) workers. The union threat more than likely causes an underestimation of the differences. The net difference is close to 10 percent.2. Unions influence the way in which pay is given (across-the-board wages on top of occupational wage rates). Promotions are in large part based on seniority. A related reading from Dushkins Annual Editions Human Resources 99/00 (Off the Tenure Track by Barbara McKenna C. Productivity1. Unions are believed to decrease productivity in three waysa. The union pay advantage motivates management to use more capital per worker, which is an inefficiency.b. Union contracts may limit work load, and so on.c. Strikes and other job actions result in some lost productivity.2. Unions, alternatively, may increase productivitya. Unions provide more efficient communication with management, which may reduce turnover.b. The use of seniority decreases the competition between workers.c. The armorial bearing of a union may encourage management to tighten up in terms of consistency on work rules, and so on.3. Overall, studies have think that union workers are more productive than nonunion workers although the explanation is not clear.Example Between 1978 and 1982, Ford lost 47 percent of sales. Today, Ford uses half as many workers to make a car as they did during that period. A major factor in Fords increased productivity has been the cash advance in their labor-management relationship. Management has made a strong effort to increase employee involvement. The Walton Hills plant outside of Cleveland, Ohio, is given as an example of a change from an adversarial relationship to a more cooperative approach that allowed for a change of work rules which kept the plant open.D. Profits and Stock PerformanceThese may suffer under unionization if costs are raised. Recent studies have shown negative effects on profit and shareholder wealth. These research findings describe the average e ffects of unions. The consequences of more innovative union-management relationships for profits and stock performance are less clear.X. The International ContextThe United States has both the largest number of union members and the lowest unionization rate of any Western European country or Japan (Text Table 14.13). A number of potential explanations exist.A. The growing globalization of markets (EC common market, NAFTA, etc.) will continue to put pressure on labor costs and productivity. Unless U.S. unions can increase productivity or organize new production facilities, union membership may continue to decline.B. The United States differs from Western Europe in the degree of formal worker participation in decision making. Work councils and codetermination are mandated by law in Germany.XI. The Public SectorDuring the 1960s and 1970s, unionization in the public sector increased dramatically. By 1997, 37 percent of government employees were covered by a union contract. Strikes are i llegal at the federal level and in many states for government workers.Chapter VocabularyThese terms are defined in the Extended Chapter Outline section.Web of RulesDecertificationCraft UnionIndustrial UnionLocal UnionAFL-CIOCheckoff ProvisionClosed ShopUnion Shop potency ShopMaintenance of MembershipRight-to-Work LawsUnfair Labor Practices (ULPs)National Labor Relations Act, 1935Taft-Hartley Act, 1947National Labor Relations BoardAssociate Union MembershipCorporate CampaignsDistributive BargainingIntegrative BargainingAttitudinal StructuringIntraorganizational BargainingGetting to YesMediationFact FinderGrievance ProcedureArbitrationDuty of funfair RepresentationElectromation CaseDiscussion Questions1. Why do employees join unions?Employees join unions because of dissatisfaction with wages, benefits, working conditions, and executive programy method. Employees believe that collective voice (representation) will increase the likelihood of improvement. Unionization provides a better balance of power between management and employees (as a group).2. What has been the trend in union membership in the United States, and what are the underlying reasons for the trend?Since 1950, union membership has consistently declined as a percentage of employment to approximately 16 percent of all employment. Students may suggest a number of reasons for this (as discussed in the text) decline in the manufacturing core industries, increase in employer union resistance,more frequently adopted progressive HRM policies, increase in employment legislation, and a lack of union adaptation.3. What are the consequences for management and owners of having a union represent employees?Various consequences may occur depending on the quality of the union-management relationship. Management may find less flexibility, higher wage and benefit costs, higher productivity, and a negative impact on stock price and profitability.4. What are the ecumenic provisions of the National Labor Relations Act , and how does it affect labor-management interactions?The NLRA provides a detailed list of individuals rights regarding organizing a union, bargaining a contract, and involvement (or lack thereof) in job (concerted) actions. These rights are referred to as Section 7 rights. Section 8 lists unfair labor practices for both employers and unions. Students could present and discuss each of these. The NLRB (the primary enforcement agency) was also mandated by the act.The NLRA encouraged unionization in order to provide employees with a balance of power vis a vis employers. It affects labor relations by providing a structure for negotiations and conflict resolution. Students could be called upon to provide some specific examples.5. What are the features of traditional and nontraditional labor relations? What are the potential advantages of the new nontraditional approaches to labor relations?Traditional labor relations can be characterized as adversarial in nature. Negotiations are genera lly win-lose, and grievances tend to be settled at the third and tail levels of the process. Nontraditional labor relations include an emphasis on problem-solving and win-win negotiations. Grievances may be more frequently settled informally at the first step. Additionally,employees may be involved in team efforts and participate in decision making.6. How does the U.S. industrial and labor relations systems compare with systems in other countries such as those in Western Europe?The U.S. industrial relations system has a very low relative union density rate. The union wage exchange premium is higher in the United States. Western European unions have a much higher level of formal worker participation in decision making.Web ExerciseStudents are asked to visit UAWs web site to read about and answer questions about their recent mergers. www.uaw.comEnd-of-Chapter CaseA foundation Under Foreign Factories?The global economic crisis is turning up the heat on companies that use cheap overse as labor, and as a result many companies are taking action like Nike, Inc. Nike lifted wages for its entry-level factory workers in Indonesia by 22 percent to offset that countrys devalue currency and other companies are finding ways to fix these problems without being undercut by rivals. The American Apparel Manufacturers Association (AAMA) introduced a task force to set guidelines for companies to police their factories and suppliers. In addition, the Council on Economic Priorities launched a program toward labor relations by having companies self-regulate even in the face of negative promotional material about sweatshops, which could in turn create a floor of basic working conditions evolving around the globe. The plan is to establish the Fair Labor Association (FLA), a private entity to be controlled 50-50 by corporate and human-rights or labor representatives. The FLA would accredit auditors, such as accounting firms, to certifycompanies as complying with the code of conduct, and inspect about a fifth of a companys factories for certification. This plan however needs to address wages and unionization rights in order to be successful. These two efforts can pose a problem for companies who still want to deal with sweatshops because human-rights groups will continue to expose the companies that use this technique.Questions1. From labors point of view, what challenges does the mobility of capital create of protecting workers rights?From labors point of view, the challenges are decent wage levels, appropriate standard of living, and job security.2. Should companies be oblige to pay a living wage to workers? What would the likely consequences be for workers?To avoid exploitation by companies, living wages certainly makes sense. It also treats employees as assets sort of than cheap labor.3. If international labor standards are to be enforced, what is the best means? Should enforcement take the form of self-regulation by industry groups or should national gov ernments cooperate in enforcing such standards?If international standards are to be enforced, they should be consistent and similar for the whole international market. This way it will be easier to monitor and control when there are discrepancies or when there is check-ins in the factories. National governments should take a cooperative approach in this arena to make sure things are red ink as planned and companies are complying with standards.4. As a consumer, do the conditions under which people work matter to you in choosing a product to buy?Answers will vary. For the most part, most consumers will not think about where the products came from or where they were made when deciding on whether to purchase a certain product. The people that will take this issue into consideration would probably be the human-rights groups or other informed and concerned consumers however, many people do not understand or are well informed about such issues.Additional ActivitiesTeaching SuggestionsStu dents are frequently quite interested in how labor relations work. Additionally, they may have fairly strong opinions about unions and their effectiveness. Discussions are therefore quite easy to start and keep handout. Below are a number of activities that can be added to the text material. One role play is included that allows students to try out the first step in a grievance procedure. The HBR case on the clerical and technical employees organizing campaigns gives students a good chance to think about how HRM policies and practices truly play a role in employee relations. Two of the Competing through boxes have discussion questions listed. Finally, the Saturn end-of-part case is very useful with this chapter, illustrating the benefits of a constructive joint union-management relationship.1. Competing through Quality Discussion Questions Certainly strikes bring about hostile attitudes in many cases. What strategies can management use to defuse these feelings once people are back at work? Given the Electromation case, how careful does management need to be in using teams as a quality improvement technique?2. Competing through Globalization Discussion Questions What types of strategies should U.S. organizations use when dealingwith labor relations in other countries? What information do they need and with whom should they staff the labor relations positions? Will unions ever move to have a multinational structure like many organizations do? Why or why not? You may wish to have students do some library or internet research on this question.3. An interesting case from the Harvard Business School is listed below with questions for discussion. This may be assigned to groups as a written case compend or used in class to discuss and illustrate a number of points regarding why employees join unions and what sort of union organizing techniques are used.Case 9-490-027 clerical and Technical Workers OrganizingCampaign at Harvard University (A)Case 9-490-081 Part (B) Teaching Note (5-490-083)Supplement (9-490-081)This case describes a successful organizing drive among clerical and technical workers at Harvard. The union (HUCTW) relied on unusual strategies espousing cooperation, avoiding specific demands, emphasizing the need for worker voice, and making use of volunteer organizers.Discussion Questions1. Should Harvard oppose unionization?2. How would a union affect the universitys business needs?3. How effective were Harvards campaign tactics?4. What did you learn about managing human resources from reading and analyzing this case?5. The Saturn case presents a labor-management relationship (as well as a plant design process) designed from the ground up as a cooperative, joint interaction. After covering this chapter, students should be well prepared to discuss the demands placed upon both the union and management in a situation like Saturns. The case provides some focus on the political riskiness of a cooperative relationship for the union-elec ted officials.In the Saturn case discussion, it would be useful to note the difference between beginning a new operation in which the union-management relationship is based on jointness and trust and the effort needed to change a relationship in which trust has not existed in the past.6. Assign the following article from The Wall Street Journal (May 24, 1993) Why Ms. Brickman of Sarah Lawrence Now Rallies Workers by Kevin Salwen. Note also that as part of the AFL-CIOs new union summer program, more than 1,600 young people, mostly college students, have applied for pro-labor candidates and help organize workers.Ask the students to discuss this quote Every successful social movement in history, including the civil rights movement, was run by young people. If the labor movement is going to succeed and grow again, they need to be a deep part of it.7. A role play is useful in talking about the grievance procedure. Using the following scenario, assign the roles of union steward, supervis or, employee, and observer to students in groups of four. Give them 20 minutes to try to resolve the issue informally, but if they are unable to, have them write it up as a grievance. Those groups that do resolve it may hand in their resolution. Observers should provide feedback to the students in the other roles on interpersonal skills, empathy, listening, idea generation to resolve the issue, and so on.It is Friday afternoon in the special-order fabrications section of the Caseville plant. As the supervisor Mary Reed is checking work orders, she notes that there is one order that has not been handled, and delivery is due the next week. Clearly, Mary is going to have to find several people to work a second shift on overtime. Under the Caseville-Local 484 contract, overtime must be distributed by seniority. The supervisor quickly pulls her seniority list from the file and, beginning at the top, walks around her area talking to the employees and asking about their interest in overti me instantly after the current shift ends. After talking with five men, Mary has only one who will work. Quitting time is five minutes away, and the whereabouts of Brooke Youngblood is not known (Brooke is next on the list). In desperation, Stevens asks three employees standing at their benches who are about to leave. Two of these people agree to work (both are junior to Brooke). That afternoon and evening the order is completed.Monday morning, upon arrival, Brooke is greeted and asked about his weekend. It turns out that he had taken a trip into the city with his son for a major league baseball game Friday afternoon. The tickets had been purchased a month before, and the special event was a birthday present. In the course of the discussion, Brooke learns about the overtime and realizes he hadnt been asked about it by his supervisor. He immediately calls his union steward, Carry Stevens. A discussion ensues.