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Goaway Hotels is a chain of hotels based in one country. Ninety per cent of its shares are held by members of the family of
Goaway Hotels is a chain of hotels based in one country. Ninety per cent of its shares are held by members of the family of the founder of the Goaway group. None of the family members is a director of the organisation. Over the last few years, the family has been quite happy with the steady level of dividends that their investment has generated. Directors are encouraged to achieve high profits by means of a remuneration package with potentially very large profit-related bonuses. The directors of Goaway Hotels currently wish to take significant steps to increase profits. The area they are focusing on at present is labour costs. Over the last couple of years, many of the workers they have recruited have been economic migrants from another country, the East Asian People's Republic (EAPR). The EAPR workers are paid around 30% of the salary of indigenous workers, and receive fewer benefits. However, these employment terms are considerably better than those that the workers would receive in the EAPR. Goaway Hotels has been able to fill its vacancies easily from this source, and the workers from the EAPR that Goaway has recruited have mostly stayed with the company. The board hasGoaway
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