Question

Traditionally, union contracts have called for pay and promotion systems that reward employees with higher pay and advancement as they achieve greater seniority; that is, more years on the job. In a company with a unionized work-force, employees with comparable amounts of experience would have comparable earnings. Employees with greater seniority would be promoted if they met the minimum requirements of the job opportunity Some people question whether tying pay and advancement to seniority is effective or even fair. For example, top-performing, recently hired employees with educational qualifications that exceed the requirements of a desired job may become frustrated when they are not even selected for an interview because many employees with greater seniority applied. However, many union leaders view the seniority clause as the means to ensure fairness in how employees are rewarded in an organization. This dilemma connects to balancing the needs of both older and younger workers to remain relevant. Younger workers tend to "have shorter tenure in organizations than older workers and are therefore less likely to benefit from seniority clauses" in a survey of Canadian organizations, consulting firm Watson Wyatt found that one of the top five reasons that employees quit their jobs is dissatisfaction with promotional opportunities. In addition to promotional decisions, seniority clauses also affect other aspects of employees' experience at work including who receives a pay increase, who is eligible for a transfer, and when vacations can be taken. For example, participants in a recent roundtable discussion said that" youger workers do not want to wait until they are more established in their careers to have occasional weekends off or be able to take time off in the summer".

A) Why do you think unions have traditionally favoured a system of linking pay and advancement to seniority? Who benefits?

B) Why do you think management might favour a system of linking pay and advancement to performance? Who benefits?

C) What employee rights and expectations does seniority-based pay, promotion, and scheduling system fulfill? What standards for ethical behaviour does it meet?

D)What employee rights does a performance-based pay and promotion, and scheduling system fulfill? What standards for ethical behaviour does it meet?

Answer 1

A. Unions have traditionally preferred an arrangement of linking pay and the advancements with the degree of seniority on account of the individuals being experienced for the activity. They accept that individuals on a similar level merit same yield for the info they are giving.

Subsequently, higher the degree of experience an individual holds and higher seniority an individual is for, higher advancement and higher benefits would be given to win equaltiy.

B. The board may support an arrangement of linking the pay with the performance in view of the reality each individual having a higher senior or experience level doesn't generally imply that he/she would be a decent entertainer as well.

Linking the pay with the performance level causes in inspiring individuals to perform better even at their initial age so they could find out more and form into better people.

C. The employees' privileges to fairness, value, giving the experience to the organization and furthermore the steadfastness served towards the organization is served while having the pay and the benefits according to the seniority and the experience level of the organization that are being served by the employees working here.

D. The employees' privileges to better climate, rivalry organization's way of life, better inspirational components and furthermore better occupation structure and employment components to develop at an early age is secured by the employees getting their pay and the special level according to the performance being appeared by them from the organization's side.

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