Section 2 - Second you will need to provide an assessment of the strengths and weaknesses of both the union and management, including the BATNA of each side: 250 300 words

The strength of the Union is the support of workers which are the backbone of any organization. As all employees would come under the union, their strength in negotiation is high. Plus, they have been working at a lower margin and if they all go on strike, then it would heavily cost the dealership. On the other hand, recruiting new workers would also be tiresome for the organization.

While the weakness is related to the upper hand of management. They can ignore the demand or accept a few. Also, getting a new workforce won't be a problem during COVID, while getting work would be. Thus, if management layoff a few employees then it may backfire upon the union. Hence, the Union is weakened by the present scenario and upper hand of the management.

BATNA here for the Union is to sustain the job and get a few achievable objectives like extended breaks or discretion for overtime work, for which the management agreed.

For the management, strength is the scenario of COVID-19, where they can blame the circumstances and lower profits to accommodate their demands. Apart from that, the union is newly formed, thus the cohesiveness of the group would not be that strong, and a few relaxations may help get people back to work

While the weakness is regarding the tough stance of the union on going for a strike has put pressure on management. Additionally, owners have threatened to close the business, which is also putting up pressure on them or can be considered as their weak point.

BATNA here is to accommodate a few demands that does not involve much cost or just shut down the business if it is not profitable and the union is not accomodating

Section 3 - Your third task will be to suggest compromises each side can make towards reaching an agreement based on your assessment above: 250 300 words

The scenario of COVID-19 may not be able to accommodate all requests of the workers, hence it is important to make compromises. It can be a few things like proper ventilation at the workplace but airconditioning for the entire place may be difficult this time. Also, a lunch break which is maintained in a manner that it does not affect the work and yet workers may get a break. A few allowances for lunch may also appeal to these workers.

Thus, a margin of 40% may not be possible as the business is having difficulty in getting profits but allowances can be given to sustain the work and keep union motivated.

Apart from that, management can fix a timeline for other promises once the situation gets better and they are out of this pandemic. This would keep both sides' perspectives in mind and compromise would also be similar.

Thus, on the side of the union, the compromise would be to keep the margin of 40% on hold for a time being. Additionally, health cover plan should also remain the same as 50%, but good working condition like ventilation and allowances for food can be asked during this time.

For the management, they have pressure from owners and union. Thus, ignoring their demand altogether may not be feasible, Instead, they should fulfill a few genuine demands for breaks, good working conditions, and pay for overtime. Other than that, other demands can be discussed upon later, convincing them about the dire situations

Can someone help me solve section 4 please :)

ORGANIZATIONAL BEHAVIOUR- OBR 250 NWW ASSIGNMENT 2: NEGOTIATIONS - INDIVIDUAL VERSION PETER HOPPE Workers and management at a large automotive dealership service department are embroiled in a serious conflict regarding compensation, benefits, and working conditions. The service department employs 10 auto technicians (mechanics) who are paid based on a fixed project rate. For example, while the dealership may charge a customer $39 for an oil change, the technician performing the oil change would get paid $10. Similarly, a technician would get paid $45 to service four brakes, while the dealership would charge the customer $149. The service union representative calculates that technicians only receive 25% of the service fees charged to customers. The dealership manager suggests that this calculation is inaccurate and that technicians actually receive a much higher percentage of customer invoices. The union representative wants to increase the percentage of customer invoices that technicians earn to 40%, not including the cost of parts. The manager claims that this is far above industry standards, and that the dealership simply cannot afford to pay its technicians at this rate. The second point of contention is about the benefits plan the technicians currently have. The plan covers 50% of dental, prescription medication and optical needs. This basic coverage also has an annual financial cap. Technicians receive four paid sick days per year and two weeks of paid vacation. The union representative wants to negotiate a better plan for the technicians that includes 80% coverage for dental, prescription medication and optical needs, 12 paid sick days, and four weeks of paid vacation. The manager claims that this is not within industry standards, would be far too expensive for the dealership, especially if any pay increases are to be considered. Finally, current working conditions are unsatisfactory to the technicians. The service bays have no air conditioning, and it can reach 40 degrees Celsius on some hot summer days. During busy days, breaks are very limited as customers are waiting for their cars to be serviced. A 30-minute paid lunch break is provided. Technicians do not receive any additional income for overtime. The manager claims that installing air conditioning would require a significant investment, especially since garage doors are constantly opening and closing. However, she is willing to look at providing more breaks and an extended lunch period. Additional overtime pay cannot be considered according to the manager, but technicians will be given the option to accept or reject any overtime work. This is a new union and the first contract negotiations. The person representing the union has limited experience but is facing heavy pressure from the technicians to have management meet their demands. They have made it clear that they are prepared to go on strike if required and will be in a legal strike position in two weeks. Sales and service at the dealership have suffered due to the COVID-19 pandemic. While business has improved over last few weeks, the manager is under great pressure to keep the dealership profitable or else the owners have threatened to shut it down and move operations to another dealership. However, doing so would come at a great expense to both the employees and dealership. The dealership manager and union representative have worked together for five years and have enjoyed a mutually respectful working relationship. However, since the union was formed, this relationship has been strained, and a few verbal confrontations have ensued. SECTION 4: Finally, you should draft an informal agreement for each side to review and include reasons why this agreement is mutually beneficial: 500 - 600 words ORGANIZATIONAL BEHAVIOUR- OBR 250 NWW ASSIGNMENT 2: NEGOTIATIONS - INDIVIDUAL VERSION PETER HOPPE Workers and management at a large automotive dealership service department are embroiled in a serious conflict regarding compensation, benefits, and working conditions. The service department employs 10 auto technicians (mechanics) who are paid based on a fixed project rate. For example, while the dealership may charge a customer $39 for an oil change, the technician performing the oil change would get paid $10. Similarly, a technician would get paid $45 to service four brakes, while the dealership would charge the customer $149. The service union representative calculates that technicians only receive 25% of the service fees charged to customers. The dealership manager suggests that this calculation is inaccurate and that technicians actually receive a much higher percentage of customer invoices. The union representative wants to increase the percentage of customer invoices that technicians earn to 40%, not including the cost of parts. The manager claims that this is far above industry standards, and that the dealership simply cannot afford to pay its technicians at this rate. The second point of contention is about the benefits plan the technicians currently have. The plan covers 50% of dental, prescription medication and optical needs. This basic coverage also has an annual financial cap. Technicians receive four paid sick days per year and two weeks of paid vacation. The union representative wants to negotiate a better plan for the technicians that includes 80% coverage for dental, prescription medication and optical needs, 12 paid sick days, and four weeks of paid vacation. The manager claims that this is not within industry standards, would be far too expensive for the dealership, especially if any pay increases are to be considered. Finally, current working conditions are unsatisfactory to the technicians. The service bays have no air conditioning, and it can reach 40 degrees Celsius on some hot summer days. During busy days, breaks are very limited as customers are waiting for their cars to be serviced. A 30-minute paid lunch break is provided. Technicians do not receive any additional income for overtime. The manager claims that installing air conditioning would require a significant investment, especially since garage doors are constantly opening and closing. However, she is willing to look at providing more breaks and an extended lunch period. Additional overtime pay cannot be considered according to the manager, but technicians will be given the option to accept or reject any overtime work. This is a new union and the first contract negotiations. The person representing the union has limited experience but is facing heavy pressure from the technicians to have management meet their demands. They have made it clear that they are prepared to go on strike if required and will be in a legal strike position in two weeks. Sales and service at the dealership have suffered due to the COVID-19 pandemic. While business has improved over last few weeks, the manager is under great pressure to keep the dealership profitable or else the owners have threatened to shut it down and move operations to another dealership. However, doing so would come at a great expense to both the employees and dealership. The dealership manager and union representative have worked together for five years and have enjoyed a mutually respectful working relationship. However, since the union was formed, this relationship has been strained, and a few verbal confrontations have ensued. SECTION 4: Finally, you should draft an informal agreement for each side to review and include reasons why this agreement is mutually beneficial: 500 - 600 words