Question
CPFD Union came to STREAXM Corporation's doors, and many employees joined the union. An injury sparked the event at the workplace due to unsafe working
CPFD Union came to STREAXM Corporation's doors, and many employees joined the union. An injury sparked the event at the workplace due to unsafe working practices. Andrew, the founder and general manager of STREAXM Corporation strives to implement effective employee and labor relations strategies and effective organizational health and safety policies.Recently, a warehouse worker was injured while on the job, leading to temporary disability. The worker filed a lawsuit against STREAXM Corporation and won the lawsuit. STREAXM Corporation paid compensation for this worker. Andrew was shocked by this incident and asked for an urgent meeting with the HR manager.The HR manager highlighted that STREAXM Corporation has no occupational health and safety policies or procedures. So, Andrew decided to fix that, especially considering the company's recent injury. Andrew started by reading the lawsuit materials, which identified the lack of the following factors at STREAXM Corporation:
- No workplace hazards were mentioned to the employees.
- Employees were not allowed to participate in the design of occupational health and safety policies and procedures.
- The absence of an occupational health and safety committee.
- It was never explained to employees that they have the right to refuse any unsafe work.
Considering these factors, Andrew decided to design the occupational health and safety policies and procedures for STREAXM Corporation.After the accident, many employees joined the CPFD union; the union asked STREAXM Corporation to accept their collective agreement protecting the employees. Andrew read the collective agreement and realized that STREAXM Corporation is in a disadvantageous position in this agreement since labor costs will go up by 50% if he accepts the current agreement.The labor agreement stipulates the following:
- Increase in wages by 30%.
- The provision of extended health benefits.
- The provision of 1 extra week of vacation per year per employee.
- The provision of a guaranteed pay rate increase of 3% per year per employee.
- Employee vesting is to occur after six months.
Andrew is not willing to sign the current collective agreement, and he is willing to start negotiations with the union.Deliverables for This Week's Case Study
- Collaborate with your teammates, and design organizational health and safety policies and procedures.
- What is meant by monitoring organizational health and safety policies and procedures? How can you implement effective monitoring?
- Explain the labor relations process and how management could use it to reach an effective agreement with the union.
- Highlight the effective key employee and labor relations strategies and explain how these should be implemented.
Note: you can make any assumptions that are deemed necessary for this case
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