Question

1. arbitration in the context of labor relations.

3. A friend is considering opening a manufacturing plant. He wants this plant to be nonunion. He has asked for your advice concerning what factors he should be considered in terms of remaining non-union. What thoughts come to mind?

2. My company which is based in LA was just purchased by a company in Mexico. The president of the Mexican company read those younger applicants are attracted to higher salaries and tend not to give much attention to benefits. The president is thinking of dropping all employee benefits we currently offer. She would take the savings on benefits and increase salaries by this amount. This change would allow workers to be more in charge (e.g., decide whether they want company-purchased life insurance or extra pay). What are your thoughts on making such a change?

Answer 1

A non union organisation is defined as a workplace which doesn't employe any workers who belong to any of the labour or trade union. The factors leading to geneating a non union and remaining non union are:

1. Low cost: The first factor making the organisation to remain a non union would be the associated low cost. Employees in a non union workplace can easily approach the business owner or the manage to negotiate the increase in wage, benefits or the contracts which is not that easy or cheap in the union organisation methods.

2. Dismissal: Having a non unionised workplace can also make you enjoy more freedom in the disas process. You do not have to go through a formal or lengthu process to dismiss any employee making you save time as well.

3. Merit based promotion: Also, one more important factor is that many unions promotion goes to the person who spent the most time and not on the based on the performance. This is not the case in non unionised where the promotion is given on the base of performance shown by the employees making it a desirable option.

2. No, I do not believe that this change is a positive or should be change that should be implemented in the organisation. Having to increase the salary of the employees is a good way to keep them attracted towards the organisation, but this isn't the way where one can offer motivational and guidance to the employees. In this generation and the increase in the younger employees, we can see that more and more employees are wanting employee benefits rather than simply a high salary. Employees want job security, pension plans, other other growth opportunities and benefits to make sure they are investing their time and effort to have a better result. Thus, I do not believe that simply increasing the salaries is a good option. Instead, increase the salary as per the labour demand in the market and offer more employee benefits to stand as an attractive and more modern organisation in the industry as per the labour market.