In this case study we are going to discuss the CRA case. The CRA case is mainly about the mining company breaking/dissolving the unions and making the employees sign the individual contracts. Here we will discuss and analyse how they went about pursuing the workers to leave the unions and sign the individual contracts. Before that we will briefly look into the profile of the CRA. CRA is a major Australian mining company, it is a large employer with about 15000 employees directly employed and another 8000 workers in associated companies (Petzall, Abbott and Timo: 2003). CRA had sales of $ 5.5 billion in 1994 and assets in excess of $ 5 billion. The company has been undergoing a period of restructuring, reflecting the turbulence in mining …show more content…
The aim was to reduce employee opposition to the individual contracts. Company 'myths ' included: things would have to change if the company was to stay in business; the unions were forcing the company out of business; every individual 's performance matters; and the company looks after the best interests of every employee (Petzall, Abbott and Timo: 2003). CRA ' s strategy also included separating and dividing employees, particularly those who were strong unionists. They were tagged 'poor performers ' and 'troublemakers '. The unilateral nature of the changes introduced by CRA was AIRC during proceedings. The signing of the staff contract represented an employee 's trust in company management (HRM approach) and those who did not sign ran the risk of being tainted as troublemakers and disloyal (Petzall, Abbott and Timo: 2003). Employees at certain operations were offered wage increases (HRM approach) of 11 per cent to 15 per cent under staff contracts, when they had not had a wage increase since 1991 due to breakdown in collective negotiations. The company offered a unilateral and non-negotiable contract. Unions were not a party to these contracts. By the end of 1995, the vast majority of employees had agreed to sign. Workers regarded this as the only way to gain wage increases and possibly some form of job security (Petzall, Abbott and Timo: 2003). First leadership training for supervisors was a prerequisite for cultural
The Company derives its profit from the difference between what it pays the CRNAs and what it charges the Facilities for the services. Unfortunately, it is not certain whether the CRNA
At 1981, The George A. Hormel Meatpacking Company cut wages from $10.69 to $8.25 to claim the need to remain competitive. Companies threat workers that they either close one plant and then open it at lower wage places or exit the business directly. Local unions like P-9 firstly request that all the workers should stick to $10.69 an hour in ten or fifteen years that we could call its target point. The company didn’t agree, they asserted new member workers the company recruited would be paid two dollars less for the same work, which is different from the P-9 decision. Union P-9 refuses any concessions in the negotiation process at first, which proves it is an over-aspiring negotiator. It reveals its reservation point that keeping the $10.69 at least three years too early because it has absolute confidence to win the negotiation. But actually P-9 Local wrongly assesses the counterparties interests and BANTA and lead to final negotiation failure unavoidably.
Until recently, ROA focused the business on domestic quarries only; owning and operating ten quarry properties in the US and Canada. ROA recently brokered a partnership with VIKA, Ltd., a Ukrainian quarrying company, to broaden their product offering and remain competitive with overseas competition.
In the 1970s, inflation skyrocketed and wage increases became harder to justify. To keep up with the competition from non-labor meatpackers, Hormel had decided to build a new facility and was considering building outside of Austin. As a concession for building the new plant in Austin, after the 1978 negotiations labor allowed the plant to operate at higher levels of production and allowed management to determine work methods. Then, in 1979, Local P-9 and other AFL/CIO member unions were engulfed by the UFCW Union of more than a million members. Thus, Local P-9 and its 1,700 members lost voice and influence in their parent union. By 1984, Hormel’s competitors had cut base rate wages to close to $8.00/hour, while Hormel continued paying base rate wages of $10.69/hour. Management argued that the “escalator clause,” which had been implemented in the 1978 contract to keep Hormel’s wages in line with inflation, meant that wages also could be lowered. They asserted that the “escalator” clause allowed Hormel to set these
In this task I will explain the impact of relevant legislations / regulations on two types of employment contract of the company New Forrest logistics as well as analyse the impact of the legislation of the two contracts of the company.
The AIRC tried facilitated the dispute through conciliation, i.e. by conducting meetings with both employees and management in attendance. On the 8th May, the dispute was resolved with employees obtaining a 6% across-the-board pay rise (although 1/3 employees voted to reject this deal as well).
The mining has become a controversial topic due to the mass publicity regarding the potential danger of nuclear power and uranium mining, not to mention the objections by some Indigenous groups. The controversy is significant
“It is the refusal of employers to grant such reasonable conditions and to deal with their employees through collective bargaining that leads to widespread labor unrest. The strikes which have broken out… especially in the automobile industry, are due to such “employee trouble.” (Document G)
Industrial relations → management of employees: pay rates, encouraging union representation, individual contracts or wage agreements with whole workforce
The United Auto Workers Union (UAW) negotiated a golden-parachute of a contract for 40,000 auto workers and future employees. After intense negotiations, a strike was staved off by Chrysler’s agreeing to meet the demands of the UAW. The specific demand in particular that initially prompted the rejection of the labor contract was the two-tier wage structure. In the new agreement, Chrysler agreed to omit that verbiage in the contract and agreed to a higher starting hourly wage, and a signing bonus. In addition to the victory over the wage structure, employees also walked away from the table with the pay raises that was included in the original labor contract. It appears that the negotiations were profitable in the United Auto Workers Union’s
BHP Billion, a merging cooperation of BHP and Billion in 2010 (BHP Billiton, 2011), is a world leading company in mining and resource exploiting. According to ASX data, BHP Billion has the largest business scales in the Australian market, AU$166 billion of market capital and AU$71 billion of annual operating revenue in FY13 (Australian Securities Exchange, 2014). Over 128,800 employees and contractors work in 26 countries worldwide to create value for their shareholders (BHPB Annual Report, 2013). The core business has been classified into five units: petroleum, copper, iron ore, coal and aluminum, making 20%, 18%, 17%, 31% and 14% respectively in the revenue of FY13. It can be seen from Graph 1 that although iron ore was not the segment with the largest assets, it still returned with the largest revenue and highest ROA rate in 2013. The following paragraphs will focus on the strategy analysis on the segment of iron ore and how it can conquer possible threats
Todd (2012) has interviewed employer association representatives and examined their public statements and submissions. From her research, she questions whether the changes to the industrial relations system that employer associations advocate would enhance productivity. With regard to issues such as penalty rates and job security, there is evidence that these relate to cost cutting and enhanced managerial prerogative rather than productivity. Discuss
From this perspective, trade union is perceived not necessary and the role of it is creating conflict, and it is seen an unwelcome intrusion into the organization from outside competing with management for the loyalty of employees (Rose, 2004). Trade unions exist either as the result of wickedness or perverseness of individual employees, or because of a failure of management to anticipate and incorporate worker needs and concerns (Bray, Deery, Walsh and Waring, 2005).
According to the Mining Intelligence Database, the mining sector employs over one million people and spends over R78 billion in wages and salaries (The Role of Mining in the South African Economy, 2015), and importantly, it is one of the few sector that employs unskilled and semi-skilled people.
The mining industry has seen an explosive growth from the past few decades. It has played an important role in economic growth, infrastructure development and a raise in the living standard of the whole world. According to the Australian National Accounting System, the mining sector has made contributions of 9.8% GDP growth to the Australian economy between 2008 to 2009 (Australia Bureau of Statistics, 2012). However, the mining industry has caused many environmental issues such as adverse effect to air, land and water quality and continues to affect global environment as a whole. According to the World Health Organization, it evaluated that 25% of worldwide death are directly associated with environmental pollution (Blacksmith Institute, n.d). This essay will outline the environmental issue raised by the mining industry with pinpoint focus on the effects to air, water and land. It will also provide strategies for mining companies to improve the environmental conditions.