Question

In: Operations Management

For this project, you will place yourself in the role of HR manager or executive of...

For this project, you will place yourself in the role of HR manager or executive of a medium-large company. Your responsibility is to communicate important information throughout your organization in response to ONE of the following scenarios:

  • Changes you are making in the company’s health insurance plan will now require a significant financial contribution from employees in the form of payroll deductions. This type of change is being necessitated due to rising insurance costs, which is costing the company important revenue. Rumors of this change have reached employees, and there are rumblings of employees threatening to unionize.

Solutions

Expert Solution

Dear Employees,

As you all have heard about the changes in the company's Health Insurance Plan that now requires a higher amount of financial contribution from all of you in the form of payroll deduction has now effectively been started. It has come into the notice that some of the employees are not satisfied with the decision and are threatening to unionize. The reason for this significant deduction is due to the increasing costs of Health Insurance. The increased cost is costing the company some important revenue which can be otherwise utilized in other important activities.

Maintaining the Health of all the employees is the company's responsibility and our company has strong beliefs regarding this matter. Health Insurance should not be considered as an expenditure while it should be considered as an investment towards the safety of your health and Well Being. An employee in some unfortunate situation may face certain illness or certain accidents which may hamper his/her ability to work and manage both personal and professional life. The employee's dependents may face many kinds of problems. In those conditions, the company does not want the employee to pay the expenses which can be very high in some situations out of his/her savings. The company has now a better Health Insurance Plan covering most of the illness. The insurance charges are for your own safety and benefits and should not be considered as an expenditure.

Henceforth proper coordination and cooperation of all the employees are required to make this noble step a success.

Regards

HR manager


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