Discussion Questions for Collective Bargaining at Magic Carpet Airlines: A Union Perspective What were the union’s primary objectives and strategies? LFA (League of Flight Attendants) negotiating team was very well prepared for the negotiations. They did their research into identifying their bargaining objectives. They looked at wage, unemployment, and cost-of-living data from government sources such as the Monthly Labor Review. They knew the financial history of MCA and kept their proposals within financial reach of the company. The LFA team also mailed a survey to the 15 LFA members asking questions regarding wages, working conditions, and issues of concern to flight attendants. That helped them figure out the flight attendants’ …show more content…
Some of the strategies he used were: • Dixie was the spokesperson • Separated the bargaining subjects and approached them individually • Used calculations to make right standard and information which was a strong bargaining power. MCA team were surprised by the counterpart’s proposal using calculations and standards of industry • Their research help them in gaining position against MCA’s high position • Used silence which made Mr. Orleans
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 flight attendants explicitly requested their seniority carry over to any new company in the event of another merger or buyout of MCA, and protection from any layoffs that may result. The flight attendants also expressed concerns with regarding wages via duty rig, and requested the same provision as those provided to the pilot. As of current, MCA only paid flight attendants for the time they were in the aircraft with it moving, they were not compensated for time spent sitting in airports or waiting for flights. The flight attendants want to implement duty rigs, where they are compensated a fixed percentage for time spent on duty with the company.
Our team approached this negotiation case in a very efficient way. Each of us had a very clearly job assignment. Two people took care of the calculation while the other two people were responsible for the negotiation. Thus we quickly built up a model and provided several options to our counterparts with different terms but same net value of the final bargaining agreement to our team.
MCA went in to the first meeting trying to intimidate the Union. They were late, rude, sarcastic, condescending, and unwilling to compromise on any issue that the Union brought up. They went into the first meeting not wanting to change anything in the current contract. They made it clear that they were not taking the negotiation seriously and they did not plan on coming to an agreement unless it was on their terms in the beginning.
The main concern about Computron is that if the bid of 1000X should not higher than 20% of least bid to get the contract. It is strongly recommended to get the bid for functioning of new plant. Various issues regarding cutting down prices, bidding high or low and its pros-cons, current market situation and the competitors is discussed here.
a) The two negotiators in the film, Bob White and Rod Andrew, have specific and hard positions. It is easy to identify that neither of them is willing to change or modify their position. In the case of Bob White, as the union representative, his position is to achieve a raise of 3% in hourly wages for the line workers. For Rod Andrews, the GM negotiator, his position is to make the union representatives understand that GM’s profitability is fragile and for that reason it is not possible to give line workers a raise in hourly wages.
Its importance role of providing a platform for unions to negotiate and bargain with their respective airlines has minimized or prevented the extent of the damages strikes have on the airline industry. Strikes, such as the one by ALPA, have been proven to be disastrous with regard to public interest. RLA’s role cannot be taken lightly as an absence of such an act would be extremely detrimental to the airline industry and ultimately, United States’ commerce.
For the negotiation I created a worksheet, with the multiple combinations to calculate the net value of the options. During the negotiation my counter party used a spreadsheet too, what really facilitated the
During this negotiation exercise I was presented with the part of Terry Hardel. When reading his instructions, I understood him as someone who was very irritated and frustrated, and as a hard bargainer. I didn’t feel like this would be my negotiation style. I decided to try out a less intimidating way of negotiation while not going too soft and keeping in mind what my interests were. My goal was to create an atmosphere where Josephine felt that I was trying to focus all of my attention on getting her as much time for her to finish her current project, when in reality I was trying to promote Joe as soon as possible.
In developing a labor relations strategy, the first step is to carry out an analysis of the current status in terms of the organizational practices in labor relations and assessing whether that is compliant with the expectations as set out in the law. According to the Federal Labor Relations Agency (FLRA) it is important for all organizations to carry out an in-depth analysis of the current position before determining the need for the organization to have in place a labor relations strategy (Dean, 2009). The analysis will help an organization determine its levels of compliance with the law and how well it relates with the labor union representing their employees and thereby be in a position to develop appropriate goals for the strategy the organization chooses. In line with this, there are five key legal principles that the government has set that apply to both unionizable and non-unionizable employees of an organization. These are:
Everyone would like to work for a company that’s fair, pays competitively and looks out for their employees. Magic Carpet Airlines is not a company who are practicing those three aspects. They are trying to pay their flight attendants minimal, but still requiring long hours. The flight attendants and the League of Flight Attendants are fighting back and saying they work hard and are worth more.
The ABA Law Student Division's Negotiation Competition promotes greater interest among law students in legal negotiation and provides a means for them to practice and improve their negotiating skills. The
b) Another alternative should be using the negotiation method in order to develop a “win-win” situation. A negotiating party would have to be applied, “When a long period of time is required to produce the items purchased” (p 375). In these circumstances, suitable economic price adjustment clauses must be negotiated. Opportunities for various improvements may develop, such as the new manufacturing methods, new packaging possibilities, substitute materials, new plant layouts, and new tools. Negotiation permits an examination and evaluation of all these potential improvements. Competitive bidding does not. The advantage would be assurance of a long-term business with the Company along with reasonable profit for the supplier and reasonable cost for the buyer.
Air Asia leading airline was established with the dream of making flying possible for everyone. Since 2001, Air Asia has swiftly broken travel norms around the globe and has risen to become the world’s best. With a route network that spans through to over 20 countries, Air Asia continues to pave the way for low-cost aviation through our innovative solutions, efficient processes and a passionate approach to business. Together with our associate companies, Air Asia X, Thai Air Asia, Indonesia Air Asia, Philippines Air Asia and Japan Air Asia.
Negotiation is a complex process. Fells (2009) defines negotiation as “a process where two [or more] parties with differences which they need to resolve are trying to reach an agreement through exploring for options and exchanging offers” (p.3). For most employers, salary negotiation is standard and expected. For the prospective employee, negotiating a salary and benefits package requires knowledge of negotiation tactics and an understanding of his or her desired outcome. Furthermore, effective negotiation requires the negotiating parties to adapt his or her tactics and approach to the environment (Korobkin, 2014). Negotiating salaries is unique because the stakes are