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This Document Contains Chapters 13 to 15 Chapter 13: Employee Rights and Discipline Answers to End-of-Chapter Discussion Questions 1. Do you have a right to your job? What rights do you have with respect to employment? Answer: Drug testing, email usage, and employee searches and surveillance are three prominent areas where employee rights and employer responsibilities can come into conflict. Other areas could include genetic testing and off-duty conduct. Conflict can arise between employees and employers when employees believe their behaviour is their personal concern and not subject to employer suspicion or infringement. Employers, however, cite their responsibility to run their business in a safe and efficient manner as a defence against unlimited employee rights. For example, employees might believe they have a privacy right to their personal email messages, and object to management’s actions, which routinely monitors the email of all employees. 2. In what ways, if any, does a unionized employee have greater protection from dismissal than a non-union employee in the Canadian model? Do you think that is fair or not? Why? Answer: In Canada, a unionized employee is protected by the collective agreement, whereas a non-union employee does not have such protection and therefore requires the interpretation of other employment legislation. On one hand, the unionized employee appears to have an upper hand, but if the employee’s situation is not covered within the collective agreement, he or she will have little recourse for a resolution since the presence of the contract, in many cases, supersedes the other areas of legislation. In situations where discrimination occurs, the Employment Equity Act can be used to argue loopholes within the collective agreement. 3. What is the difference between just cause in a unionized environment and cause for summary dismissal in a non-unionized environment? Answer: Just cause in a unionized environment means that an employer must find without doubt a justifiable reason for an employee to be dismissed. This means that the employer must provide objective evidence of incompetence by the employee. Cause for summary dismissal in a unionized environment occurs when a non-union employer terminates an employee without notice because the employee has committed a serious breach of the contract. 4. Under what conditions can an employer monitor employees? Ask a group of working students the following questions: • Are you monitored at work? • What types of monitoring are used? • For what purposes does your employer monitor the workplace? • Do you object to the monitoring? If so, why? If not, why not? Answer: An employer can monitor an employee’s action as a means of safeguarding the organization’s assets. As long as the employer regards the privacy needs of employees while monitoring their work, this is acceptable because the intention is to protect assets. 5. What are the privacy settings on your Facebook page? Do you think that your employer or prospective employer should be allowed to look at it? Answer: This is a controversial subject, and there is currently legal action being taken in the United States by Facebook, as well as prospective employees who did not get a job because of their Facebook information. 6. You have discovered that an employee has not been keeping client files updated, as is required by your company policy. Outline the steps that you would use to deal with this performance problem. Answer: Without full and correct documentation, managers are unable to support the disciplinary action taken against employees. Complete documentation would include (1) the date, time, and location of the misconduct; (2) a description of the misconduct or the organizational rule violated; (3) names of witnesses, if present; (4) the effect of the misconduct on the employee’s work unit; and (5) what the supervisor told the employee and what disciplinary action was taken. 7. Discuss why documentation is so important to the disciplinary process. What constitutes correct documentation? Answer: Correct documentation is objective evidence that can be verified from multiple sources. It is based on fact rather than opinion, and it leads to a clear conclusion without interpretation. Documentation is crucial to the disciplinary process for several reasons: 1. Legal Compliance: Proper documentation ensures that disciplinary actions are compliant with applicable laws, regulations, and company policies. It provides a record of the events, actions, and decisions taken during the disciplinary process, which can be crucial in legal proceedings or disputes. 2. Clarity and Transparency: Documentation clarifies the reasons for disciplinary actions, including the specific behaviors or performance issues that led to the disciplinary action. It ensures transparency and fairness by clearly communicating expectations, standards, and consequences to employees. 3. Consistency: Consistent documentation helps ensure that disciplinary actions are applied uniformly and fairly across all employees. It establishes a clear precedent for addressing similar issues or misconduct in the future, promoting fairness and equity in the workplace. 4. Accountability: Documentation holds both employees and managers accountable for their actions and decisions in the disciplinary process. It provides a written record of the steps taken, the rationale behind disciplinary decisions, and the expectations for improvement or corrective action. 5. Performance Management: Documentation serves as a tool for tracking and monitoring employee performance over time. It enables managers to identify patterns or trends in behavior or performance issues, assess the effectiveness of interventions or corrective measures, and make informed decisions about further actions or consequences. Correct documentation in the disciplinary process typically includes the following elements: 1. Date and Time: Document the date and time of the incident, meeting, or disciplinary action to establish a timeline of events. 2. Description of Incident: Provide a detailed description of the behavior, performance issue, or misconduct that prompted the disciplinary action. Include specific examples, facts, and observations to support the documentation. 3. Policy Violation: Clearly identify the company policies, rules, or standards that were violated by the employee's actions or behavior. 4. Witnesses or Evidence: Document any witnesses to the incident or relevant evidence, such as emails, reports, or performance evaluations, that support the disciplinary action. 5. Employee Response: Record the employee's response or explanation regarding the incident or allegations. Document any mitigating factors or extenuating circumstances that may affect the disciplinary decision. 6. Disciplinary Action Taken: Specify the disciplinary action taken, such as verbal warning, written warning, suspension, or termination. Include the rationale for the chosen action and any conditions or expectations for improvement. 7. Follow-Up Plan: Outline any follow-up steps, monitoring procedures, or performance expectations following the disciplinary action. Set clear timelines and benchmarks for improvement or corrective action. By maintaining accurate and thorough documentation throughout the disciplinary process, organizations can ensure legal compliance, transparency, consistency, accountability, and effective performance management, ultimately promoting a fair and respectful workplace environment. 8. What do you think would constitute an effective alternative dispute resolution system? What benefits would you expect from such a system? If you were asked to rule on a discharge case, what facts would you analyze in deciding whether to uphold or reverse the employer’s action? Answer: The following should be included in an effective dispute resolution system: (a) Step-review system—a step-review system is a system for reviewing employee complaints and disputes by successively higher levels of management. (b) Peer-review systems—a peer-review system is a system for reviewing employee complaints that utilizes a group composed of equal numbers of employee representatives and management appointees, which functions as a jury because its members weigh evidence, consider arguments, and, after deliberation, vote independently to render a final decision. (c) Open-door policy—an open-door policy is a policy of settling grievances that identifies various levels of management above the immediate supervisor for employee contact. (d) Ombudsperson system—an ombudsperson is a designated individual from whom employees may seek counsel for resolution of their complaints. (e) Mediation—mediation is the use of an impartial neutral to reach a compromise decision in employment disputes. A mediator is a third party in an employment dispute who meets with one party and then the other in order to suggest compromise solutions or to recommend concessions from each side that will lead to an agreement. (f) Arbitration—a labour arbitrator is a person assigned to interpret and decide disputes (“grievances”) about the meaning, interpretation, and application of a collective agreement governing employees in a unionized workplace. 9. In groups, discuss whether the following situations are fair or not fair: a. Zabeen was using the company Internet to locate a nursing home for her increasingly handicapped father. Her supervisor observed this and verified it with the Information Technology unit. Zabeen was given a written reprimand. Meanwhile, Sonia used the company telephone to do her personal banking and bill paying and was not reprimanded. b. Anthony spent his lunch hour at the gym, consisting of a strenuous workout program with a personal trainer. Meanwhile, Nicholas met his friends for lunch, sharing several beers at the local pub. Both employees felt fatigued in the afternoon, and their diminished productivity was noticed by their supervisor. Nicholas was asked to meet with his supervisor to review performance standards and received a verbal warning. Anthony was not. Answer: a. Both employees abused company resources similarly so both should have been disciplined the same to be fair. b. Employees are expected to be equally productive at all times of the day, so possibly the strenuous workout and the beer-drinking incident were equal violations. However, exercise is promoted as a beneficial use of lunch hour time while the consumption of alcohol is typically prohibited. HRM Experience: Learning about Employee Rights This exercise will assist students to learn about different employee rights topics. As a class exercise, it is informative to divide the class into teams and having the groups present the issues from both employee and management positions. This will allow each issue to be brought into focus while providing a lively discussion of the topics. Point out where differences of opinions exist and how these differences might be resolved in the workplace. This is also a good time to emphasize the various laws or court decisions regarding employee rights and management responsibilities. Notes for End-of-Chapter Case Studies Case Study 1: Managing Confidential Information 1. The firm does not have a policy on privacy or the management of confidential information. Develop one. This site on workplace privacy will be helpful: http://www.cippic.ca/workplace-privacy. See Figure 13.4: Email, Computer, and Voice Mail: Policy Guidelines Answer: Confidential Information Management Policy 1. Introduction This Confidential Information Management Policy outlines the principles and guidelines for protecting sensitive information within our organization. The policy applies to all employees, contractors, and third parties who have access to confidential information in any form. 2. Definitions • Confidential Information: Any data, documents, or materials that are not intended for public disclosure and are deemed sensitive or proprietary to the organization. This includes, but is not limited to, financial records, trade secrets, customer information, intellectual property, and employee data. • Authorized Personnel: Individuals who have been granted explicit permission to access or handle confidential information as part of their job duties, and who have undergone appropriate training on confidentiality requirements and procedures. 3. Confidentiality Obligations • All employees and authorized personnel are required to maintain the confidentiality of sensitive information entrusted to them in the course of their duties. This includes exercising discretion in discussions, communications, and handling of confidential materials. • Confidential information should only be accessed, used, or disclosed for legitimate business purposes and in accordance with applicable laws, regulations, and contractual obligations. 4. Handling and Storage • Confidential information should be stored securely to prevent unauthorized access, loss, theft, or damage. Physical documents must be kept in locked cabinets or secure storage areas when not in use. • Electronic data containing confidential information should be encrypted and password-protected. Access controls and authentication mechanisms must be implemented to restrict access to authorized users only. 5. Transmission and Communication • When transmitting confidential information electronically, secure channels and encryption protocols must be used to safeguard data integrity and confidentiality. Email attachments containing sensitive information should be password-protected. • Discussions involving confidential matters should be conducted in private settings, away from public areas or unauthorized individuals. 6. Disclosure and Reporting • Unauthorized disclosure or breach of confidential information must be reported immediately to the designated Privacy Officer or Data Protection Officer. Employees have a duty to report any suspected violations of this policy, including instances of data loss, theft, or unauthorized access. • Upon termination of employment or contract, individuals must return all confidential materials and ensure that any copies or duplicates are destroyed or securely disposed of in accordance with company policies and procedures. 7. Training and Awareness • All employees and authorized personnel will receive regular training on confidentiality requirements, policies, and best practices. Training sessions will cover topics such as data protection, privacy laws, handling of sensitive information, and incident response protocols. 8. Compliance and Enforcement • Compliance with this policy is mandatory for all employees, contractors, and third parties. Failure to adhere to confidentiality obligations may result in disciplinary action, up to and including termination of employment or contract. • The Privacy Officer or Data Protection Officer is responsible for monitoring compliance with this policy, conducting periodic audits, and addressing any reported violations or concerns. 9. Policy Review and Updates • This Confidential Information Management Policy will be reviewed annually and updated as necessary to reflect changes in technology, regulations, or business practices. Employees will be notified of any revisions to the policy and provided with updated training materials as needed. 10. Conclusion • Protecting confidential information is essential to safeguarding the interests of our organization, our employees, and our stakeholders. By adhering to the principles and guidelines outlined in this policy, we demonstrate our commitment to maintaining trust, integrity, and security in all our business operations. 2. Using the questions in Figure 13.7 on page 471, prepare for a meeting with Ms. Dumouchel. Answer: Management should fully understand the charge in advance of the interview with Ms. Dumouchel by interviewing employees who are accusing her of such behaviour. Management should be wary of employees who appear to have a vendetta against her. Management should also look into whether there are formal rules that she violated and discern whether it is reasonable that Ms. Dumouchel knew about such rules, if they do in fact exist. It is important that Ms. Dumouchel is warned for this offense at least once before any formal disciplinary charges are enforced. In determining whether she is guilty, management should ask (a) what are the sources of the facts (are they reliable?) (b) is there direct or only indirect evidence of guilt? (c) has anyone talked to her to hear her side of the story? Finally, before the interview, management should know the employee’s record as a whole, and in particular, her disciplinary record. At the beginning of the interview, the interviewer should state, in very specific terms, that Ms. Dumouchel has been accused of disclosing confidential information to employees. The interviewer should ask Ms. Dumouchel whether this information is true, regardless of whether she believed it was “right” or “wrong.” She should be asked about any extenuating circumstances around it (e.g., did a manager ask her to disclose the information). Case Study 2: Dismissing an Employee for Absenteeism 1. Do you think the employer should be entitled to dismiss Mr. Keays without giving him reasonable notice? Answer: No, the employer should not have dismissed Mr. Keays without giving him reasonable notice. Honda is a unionized environment and dismissing an employee would have been clearly laid out in the collective agreement. 2. Does an employer have a right to insist that employees submit to medical exams by doctors chosen by the employer? Answer: No, the employer does not have a right to insist that an employee submit to medical exams by a doctor chosen by the employer. 3. If the doctors inform the employer that Mr. Keays’s absences are due to his chronic fatigue syndrome and that they are likely to continue in the future, should the employer be entitled to dismiss Mr. Keays? Answer: The Employment Equity Act states that an employer has a duty to accommodate an employee’s disability to the point of undue hardship. The employer would have to prove that the accommodations were unreasonable and clearly preventing the organization from reaching its goals and objectives, and if the costs persisted, would erode the viability of the company. 4. If Mr. Keays wins his wrongful dismissal case, will the court order Honda to reinstate him to his previous employment? Should it do that? Answer: No, the court will not order Honda to reinstate Mr. Keays in this wrongful dismissal case. Instead, it will order Honda to pay out financial consideration to Mr. Keays. Rarely will courts interfere and order an employer to hire back a dismissed employee. This is unfortunate because the other employees should see that the employer is being held accountable for its actions and will need to continue to treat the wrongfully dismissed employee with respect and dignity. As an aside, when the case did go to trial, Keays was awarded $500,000, although Honda appealed the decision and the Ontario Court of Appeal reduced the award to $100,000. The court emphasized that human rights violations could be used to award punitive damages, even though no discrimination existed in law. Case Study 3: Discharged for Off-Duty Behaviour 1. Given the facts of this case, should John have been discharged? Why or why not? Answer: Normally, a non-union employer does not need a reason to dismiss an employee. It can dismiss an employee at any time, for any reason (that is not a violation of a statute, such as human rights legislation) or for no reason at all. It just needs to give the employee the proper contractual or reasonable notice. In this case, the sales representative was not given notice, seemingly because he committed what the organization felt was gross misconduct (summary dismissal). However, this is a case of off-duty behaviour. Generally, an employer has no reach over the private lives of its employees; when an employee “punches out,” he or she is no longer subject to the employer’s control. Thus, both union and non-union employers have been found to have lacked proper cause to dismiss employees who are arrested for activities unrelated to the workplace. However, when the employer can establish that the employee’s off-duty conduct adversely impacts the economic interests of the employer, such as business reputation, or the employee’s ability to perform his or her job, then the employer may be justified in taking action in response to that conduct. In this case, the organization would have to prove that the sales representative’s behaviour caused damage to the reputation of the organization. At the end of the day, each case is unique. But it appears that the organization needed to (1) show that the behaviour adversely impacted its reputation, and (2) provided reasonable notice. 2. Should the sales representatives of AEM be held to a higher standard of personal conduct than sales representatives for other types of organizations? Explain. Answer: The answer to this question is unclear, thereby making this question an excellent one for debate amongst the students. For instance, it is unclear whether purchasing pornography from a legitimate store constitutes poor personal conduct. Additionally, the sales representative did not bring the pornography to his sales meetings with the representatives of the educational institutions. Whether sales representatives of AEM should be held to a higher standard of personal conduct depends on various factors, including the nature of the industry, the company's values, and the expectations of customers and stakeholders. AEM, being an organization in the environmental management sector, may have unique considerations that warrant a higher standard of personal conduct for its sales representatives. Here are a few reasons why: 1. Ethical Responsibility: Given AEM's focus on environmental protection and sustainability, its sales representatives may be expected to demonstrate a heightened commitment to ethical behavior and integrity. This includes adhering to environmental regulations, avoiding conflicts of interest, and upholding the company's values in all business dealings. 2. Trust and Credibility: AEM's reputation and credibility may be closely tied to the actions and behavior of its sales representatives. Customers and stakeholders may expect AEM's representatives to embody the company's environmental mission and values, fostering trust and confidence in the organization and its products or services. 3. Environmental Impact: Sales representatives in the environmental management sector may have a direct impact on environmental outcomes through their interactions with clients and the promotion of AEM's solutions. Therefore, they may be held to a higher standard of conduct to ensure that their actions contribute positively to environmental stewardship and sustainability goals. 4. Regulatory Compliance: AEM may operate in a highly regulated industry with strict environmental standards and compliance requirements. Sales representatives may be required to navigate complex regulatory frameworks and ensure that their sales practices align with legal and regulatory obligations, necessitating a higher level of diligence and accountability. While there may be valid reasons for holding AEM's sales representatives to a higher standard of personal conduct, it is essential to balance this with practical considerations, fairness, and consistency in enforcement across the organization. Ultimately, the expectations for personal conduct should be clearly communicated, consistently applied, and aligned with AEM's mission, values, and commitment to environmental responsibility. 3. Should management have considered John’s past work record before deciding on discharge? Explain. Answer: Yes, management should have considered John’s past work record, discussed the issue with him, and probably given him a verbal or written warning. John clearly did not realize that purchasing adult pornography from a legitimate store would jeopardize his relationship with the organization. Moreover, given his tenure with the organization, rules against shopping in stores that sell pornography were likely not widely disseminated within the organization. Yes, management should have considered John's past work record before deciding on discharge. Reviewing John's past work record provides valuable insights into his overall performance, behavior, and any patterns of misconduct or issues that may have occurred previously. By examining his work history, management can determine if the current incident is an isolated incident or part of a broader pattern of behavior. Additionally, considering John's past work record allows management to assess any mitigating factors or positive contributions he has made to the organization. Moreover, it provides an opportunity to evaluate the consistency and fairness of disciplinary actions taken in similar situations involving other employees. Furthermore, taking John's past work record into account demonstrates procedural fairness and adherence to company policies and standards. Additionally, it enables management to make a more informed decision regarding the appropriate disciplinary action, considering factors such as the severity of the offense, the employee's past behavior, and organizational policies. Lastly, reviewing John's past work record ensures that the decision to discharge him is based on objective and relevant information, promoting transparency and accountability in the disciplinary process. Chapter 14: The Dynamics of Labour Relations Answers to End-of-Chapter Discussion Questions 1. Discuss the key reasons why employees form unions. Refer to examples to illustrate your answer. Answer: Employees form unions for economic needs (this is the most important), out of general dissatisfaction with managerial policies and practices, as a way to seek a voice in setting working conditions, and as a way to fulfill social and status needs. 2. Fast Food High is a film produced by CTV and inspired by the real story about how a group of teenage workers tried to organize a union at McDonald’s in Orangeville, Ontario. Watch the film and discuss in groups the reasons that these workers want to form a union and the effectiveness of their efforts. Answer: 1. Better Pay and Benefits: Fast-food workers often face low wages, limited benefits, and precarious working conditions. Forming a union would allow them to negotiate for higher wages, improved benefits such as healthcare and paid time off, and greater job security. 2. Improved Working Conditions: Workers may seek unionization to address issues such as excessive work hours, unsafe working conditions, lack of breaks, and inadequate training. By collectively bargaining with management, they can advocate for safer and more humane working conditions. 3. Voice and Representation: Unionization empowers workers to have a collective voice in decision-making processes that affect their lives and livelihoods. They can participate in discussions about workplace policies, scheduling, disciplinary procedures, and other matters that impact their daily work experiences. 4. Protection from Unfair Treatment: Unionized workers have access to grievance procedures and legal representation in cases of unfair treatment, discrimination, or wrongful termination. This provides them with greater protection against arbitrary management decisions and ensures due process in resolving workplace disputes. 5. Solidarity and Support: Unionization fosters solidarity among workers and builds a sense of community and mutual support. It allows workers to stand together in solidarity against exploitation and injustice, creating a stronger collective voice for advocating for their rights and interests. Regarding the effectiveness of their efforts, it would depend on various factors such as the level of support among workers, management's response, external influences, and the overall socio-political context. Union organizing campaigns can face significant challenges, including resistance from employers, legal barriers, and anti-union tactics. However, successful unionization efforts can lead to tangible improvements in wages, benefits, working conditions, and job satisfaction for workers. Additionally, even if initial organizing efforts are not immediately successful, they can raise awareness about labor rights and pave the way for future organizing efforts. Overall, the effectiveness of the workers' unionization efforts would likely depend on a combination of factors, including organizational strategies, community support, and broader labor movement dynamics. 3. Graduate students in many Canadian universities are members of unions, such as CUPE 3903. These students help conduct tutorials, grade student exams, etc. Do you think university students have different reasons for joining unions versus, for example, workers in a manufacturing firm? Explain your answer. Answer: University students and workers in manufacturing firms may indeed have different reasons for joining unions, reflecting the unique characteristics of their respective situations: 1. Economic Needs: For workers in manufacturing firms, joining a union may primarily be motivated by economic factors such as wages, benefits, and job security. They may seek higher wages, better healthcare coverage, and pension benefits through collective bargaining. In contrast, graduate students in universities may join unions to address economic concerns such as stipend levels, funding packages, tuition fees, and access to healthcare benefits. Graduate students often rely on stipends and financial support to fund their education and living expenses, making economic considerations a significant factor in their decision to unionize. 2. Working Conditions: Workers in manufacturing firms may join unions to improve working conditions, such as safety standards, work hours, and job flexibility. They may seek protections against unsafe working environments, excessive overtime, and arbitrary management decisions. Similarly, graduate students in universities may join unions to address concerns related to their working conditions, such as workload, job expectations, supervision, and access to resources. They may advocate for fair treatment, transparency in hiring practices, and clear guidelines for responsibilities and expectations. 3. Educational Rights: Graduate students in universities may also join unions to protect their educational rights and academic freedom. They may seek representation in academic matters, such as research funding, intellectual property rights, and access to resources for teaching and research. Additionally, they may advocate for fair and transparent evaluation procedures, academic support services, and opportunities for professional development and career advancement. 4. Social and Political Advocacy: Both groups may join unions to participate in social and political advocacy efforts aligned with their interests and values. Workers in manufacturing firms may advocate for broader labor rights, social justice, and community engagement. Graduate students in universities may engage in advocacy campaigns on issues such as diversity, equity, and inclusion, as well as broader social and environmental concerns. In summary, while workers in manufacturing firms and graduate students in universities may share some common reasons for joining unions, such as economic needs and working conditions, they also have unique concerns and priorities shaped by their respective contexts and experiences. Understanding these differences is essential for effectively representing and advocating for the interests of union members in diverse sectors and industries. 4. What are unfair labour practices? What are the consequences of unfair labour practices? Use examples to explain your answer. Answer: Unfair labour practices are specific employer and union illegal practices that deny employees their rights and benefits under federal and provincial labour law. Managers are prohibited by law from dismissing, disciplining, or threatening employees for exercising their right to form a union. Employers cannot promise better conditions, such as increased vacation days, if the employees vote against the union. However, the law does permit the employer to actively campaign against the union, including expressing unfavourable views about the union. However, employers must not threaten employees with loss of jobs or reduced benefits if they vote to unionize. It is also illegal for employers to promise employees higher wages or benefits if they vote no union. The acts constitute unfair labour practices and unions can appeal to the labour relations board to have these practices censured. 5. A group of students wants a Burger King fast-food franchise on their university campus. University administrators want a health-food restaurant. Resources allow for only one food outlet. Divide the class into bargaining teams, with one team representing the students, and the other team representing the university administrators. (If there is another issue on your campus use the real and current issue instead.) Answer: After the groups have started bargaining, consult the Career Counsel website to assess the negotiating styles employed by each team. The website in the Career Counsel section (http://www.belcourt6e.nelson.com) will be useful for students in assessing their negotiation styles and skills. Dividing the class into bargaining teams to represent the students and university administrators in negotiating the establishment of a Burger King fast-food franchise versus a health-food restaurant on campus is an excellent exercise in understanding negotiation, compromise, and stakeholder interests. The students' team may argue for the Burger King franchise, emphasizing factors such as convenience, affordability, familiarity, and variety in menu options. They may highlight the preferences of the student body, potential revenue generation from a popular fast-food brand, and the competitive advantage of having a well-known chain on campus. On the other hand, the university administrators' team may advocate for a health-food restaurant, emphasizing factors such as promoting healthier eating habits, supporting campus wellness initiatives, and aligning with the university's values of sustainability and health-consciousness. They may also highlight the potential benefits of partnering with local vendors or promoting student entrepreneurship to offer nutritious and locally sourced food options. Throughout the negotiation process, both teams can explore creative solutions, such as incorporating healthy menu options at the Burger King franchise or partnering with the franchise to implement health-promotion initiatives on campus. They can also consider surveying the student body to gauge preferences and gather input to inform their bargaining positions. By engaging in this bargaining exercise, students can develop critical negotiation skills, understand the complexities of decision-making in real-world scenarios, and appreciate the importance of considering diverse stakeholder interests in reaching mutually beneficial outcomes. 6. The union representing garbage collectors and other outside workers and the municipality are in the middle of tense negotiations. The collective bargaining agreement has expired. What form of bargaining power does each side possess to enhance its bargaining demands? What are the advantages and disadvantages of each form of bargaining power for both the employer and the union? Answer: Unions have the power of striking, picketing, or boycotting products or services. The advantages include that they can hurt the organization’s business, putting pressure on them to agree to their terms. However, it can be bad publicity for the organization, and the union cause in general. Also, if managers can replace workers with others, or through their own labour, this reduces the effectiveness of these strategies. When negotiations become deadlocked, the employer’s bargaining power largely rests on being able to continue operations in the face of a strike or to shut down operations entirely. Employers may still be reluctant to resort to a lockout, however, because of their concern that denying work to regular employees (employees who are not members of the union who may be locked out; they may or may not be members of another union) might hurt the organization’s image. 7. What are the main differences between labour relations in the private versus the public sector? How are disputes involving essential service workers in the public sector usually resolved? Answer: Although public sector collective bargaining is similar to bargaining in the private sector, a number of differences are worth noting, including the political nature of the labour–management relationship and public sector strikes. In the private sector, organizations have an economic foundation, whereas in government its foundation tends to be political. Since private employers must stay in business in order to sell their goods or services, their employees are not likely to make demands that could bankrupt them. A strike in the private sector is a test of the employer’s economic staying power, and usually the employer’s customers have alternative sources of supply. Governments, on the other hand, must stay in business because alternative services are usually not available. Another difference relates to the source of management authority. In a private organization, authority flows downward from the board of directors and, ultimately, from the shareholders. In contrast, authority in the public sector flows upward from the public at large to their elected representatives and to the appointed or elected managers. Unlike in the private sector, strikes by government employees create a problem for lawmakers and for the general public. Because many of the services that government employees provide, such as policing and firefighting, are considered essential to the well-being of the public, public policy is opposed to strikes by these people. Various arbitration methods are used for resolving collective bargaining deadlocks in the public sector. One is compulsory binding arbitration for employees such as police officers, firefighters, and others in jobs where strikes cannot be tolerated; in this case, a neutral third party is appointed to resolve the deadlock. Another method is final offer arbitration, under which the arbitrator must select one or the other of the final offers submitted by the disputing parties. With this method, the arbitrator’s award is more likely to go to the party whose final bargaining offer has moved the closest to a reasonable settlement. The government can also enact back-to-work legislation. HRM Experience: Learn about Unions The content of Chapter 14 will greatly assist students to complete this exercise. Unions, like business organizations, are dynamic and varied organizations. Some unions are very large, such as the Canadian Auto Workers (CAW), and represent workers nationally. Others are smaller in size and represent only specific groups of employees, or organize only in a designated geographic area. This exercise will help students learn more about unions. Notes for End-of-Chapter Case Studies Case Study 1: Unionization of Farm Workers 1. Are farm workers entitled to the same rights as other types of unionized workers? Why? Why not? Answer: No—in 1994, the Conservative government in Ontario excluded Ontario farm workers from collective bargaining rights—a farm worker can be fired for striking, and issues that arise in the workplace cannot be channelled to arbitration for ruling. Management is only required to listen to their concerns; they do not have to react to them. 2. Are collective bargaining rights also human rights? Refer to ILO conventions and the Canadian Answer: Charter of Human Rights in your response. The ILO conventions contain clauses entitled “Freedom of Association and Protection of the Right to Organize” and “Right to Organize and Collective Bargaining.” The Canadian Charter of Rights and Freedoms includes the “Freedom of association,” but there is no provision for collective bargaining. 3. Discuss the pros and cons of farm workers having the right to strike. Answer: Individuals who do not support the right for farm workers to strike may suggest that family farms cannot withstand the ill effects of strikes or other work action, and that the short planting and harvesting seasons can be easily devastated by a work stoppage. Those who are in favour of unionization argue that farm workers are disenfranchised, treated poorly by farmers, etc., and therefore need representation. Case Study 2: Wal-Mart Stores in Canada 1. What were the rights of Walmart, the employer, during these two organizing drives? Answer: In Figure 14.2: Employer “Don’ts” during Union Organizing Campaigns on page 491, there is information on what unions cannot do during an organizing campaign. Employers also have a right to communicate their position to employees; although employers can’t threaten their jobs, employers can mention the disadvantages employees will incur if the unions wins, including the costs of union dues. Employers also have a right to correct any misleading facts or statements made by a union. It is also within an employer’s right to protect the operations of the organization from disruption. 2. The certification of the first Walmart was hailed by labour as a milestone event. Why? Answer: Walmart is the largest retailer in North America, and any inroads a union can make in organizing the retail sector might significantly boost unionization overall. This is one of the areas of growth that unions have targeted, but they are having a difficult time organizing retail and the service sector in general. 3. In your opinion, can Walmart remain union free indefinitely? Why or why not? Answer: Whether Walmart can remain union-free indefinitely depends on various factors, including legal, economic, social, and organizational dynamics. Here are some considerations: 1. Legal Environment: Changes in labor laws and regulations could impact Walmart's ability to remain union-free. If there are shifts towards more favorable conditions for union organizing or increased protections for workers' rights, Walmart may face greater pressure to allow unionization efforts. 2. Employee Sentiment: Walmart's workforce is diverse, comprising individuals with different attitudes towards unions. While some employees may be content with the current non-union status, others may seek collective representation to address concerns about wages, benefits, working conditions, and job security. Employee sentiment can fluctuate over time, influenced by internal factors such as managerial practices and external factors such as economic conditions. 3. Union Organizing Efforts: Despite Walmart's historically strong opposition to unions, organized labor continues to target the company for unionization campaigns. If unions can effectively mobilize and engage Walmart employees, build solidarity, and overcome anti-union tactics, they may eventually succeed in unionizing certain Walmart locations or sectors of the workforce. 4. Public Perception: Walmart's reputation and public image could influence its ability to remain union-free. Negative publicity regarding labor practices, employee relations, or violations of labor standards may galvanize public support for unionization efforts and increase pressure on Walmart to address workers' concerns. 5. Competitive Pressures: Changes in the retail landscape, including the rise of e-commerce, increasing competition, and evolving consumer preferences, may impact Walmart's labor relations strategy. To attract and retain talent in a competitive market, Walmart may need to reassess its approach to employee relations, including its stance on unionization. 6. Organizational Culture: Walmart's corporate culture and management philosophy play a significant role in shaping its approach to labor relations. If Walmart continues to prioritize anti-union practices and maintain a corporate culture that discourages collective bargaining, it may deter union organizing efforts and maintain its union-free status. However, shifts in leadership or strategic priorities could lead to changes in Walmart's approach to labor relations. Overall, while Walmart has successfully resisted unionization efforts thus far, the landscape of labor relations is dynamic, and various internal and external factors could influence Walmart's ability to remain union-free in the long term. 4. Should foreign companies that operate in Canada use their resources to try to weaken Canadian labour laws or accept the legal culture of the country and comply with those laws? Answer: Foreign companies operating in Canada should prioritize compliance with Canadian labor laws and respect the legal culture of the country rather than attempting to weaken labor laws. Here's why: 1. Legal Obligations: Foreign companies are bound by Canadian laws and regulations when operating within the country's borders. Attempting to weaken labor laws or circumvent legal requirements not only undermines the rule of law but also risks legal consequences, including fines, penalties, and reputational damage. 2. Corporate Responsibility: Ethical business practices dictate that companies should respect the rights and well-being of their employees, regardless of the legal framework. Compliance with labor laws ensures that workers are treated fairly, receive adequate protection, and have recourse in case of grievances or disputes. 3. Social Responsibility: Operating ethically and responsibly contributes to positive social outcomes and fosters trust and goodwill among stakeholders, including employees, customers, communities, and regulators. By upholding labor standards, foreign companies can demonstrate their commitment to corporate social responsibility and sustainable business practices. 4. Employee Relations: Upholding labor laws and respecting workers' rights can enhance employee morale, satisfaction, and loyalty. Conversely, attempts to weaken labor laws or undermine workers' rights can lead to distrust, resentment, and labor unrest, ultimately harming employee relations and productivity. 5. Reputation Management: Foreign companies that prioritize compliance with labor laws and uphold high standards of corporate citizenship are more likely to maintain a positive reputation and earn the trust and support of stakeholders. Conversely, attempts to weaken labor laws or engage in unethical labor practices can tarnish a company's reputation and damage its brand image, leading to negative publicity and consumer backlash. 6. Long-Term Viability: Embracing the legal culture of the country and complying with labor laws is essential for the long-term viability and success of foreign companies operating in Canada. By building positive relationships with employees, communities, and regulators, companies can create a conducive environment for sustainable growth and profitability. In summary, foreign companies operating in Canada should recognize the importance of compliance with labor laws, respect the legal culture of the country, and prioritize ethical and responsible business practices. Doing so not only ensures legal compliance but also promotes positive social outcomes, enhances employee relations, protects corporate reputation, and fosters long-term business success. Chapter 15: International Human Resources Management Answers to End-of-Chapter Discussion Questions 1. In recent years, we have observed an increase in foreign production throughout the world. What PEST factors would you consider to be most relevant to H&M’s HR managers when trying to figure out if they should open up a plant in Vietnam to make clothes? Answer: A full analysis of Vietnam using PEST is beyond the scope of this chapter. However, they should consider that political factors should be taken into account, including the labour laws regarding working hours and working conditions. They should also consider the extent of political unrest, as companies like H&M may wish not to locate factories in countries experiencing strife. Economic factors may be less of a concern, given that HRM wants to open a plant in Vietnam, and not necessarily include Vietnamese people as customers. They will want to take into consideration sociocultural factors (communications, religion, values and ideologies, education, and social structure) because they have important implications for managing people in Vietnam, whether to hire host country nationals or expatriates, and the types of training and development needs that might arise. Finally, H&M may wish to consider the technological constraints it may face in opening a factory in Vietnam, as the infrastructure in the country is not commensurate with other nations, such as Canada. 2. What major HR issues must be addressed as an organization moves from an international form to a multinational/multidomestic, global, and transnational form? Answer: An international form, or a domestic firm that uses its existing capabilities to move into overseas markets, should conduct a PEST analysis in the countries in which it would like to penetrate further. For instance, a MDC is more complex than an international firm because it usually has autonomous units in multiple countries. Therefore, it needs to ensure that training and development needs are met, along with a clear form of performance appraisal and compensation system. A global firm needs to have a strong culture, as it views the world as its marketplace. Hence, culture-enhancing HRM practices may be particularly important (e.g., induction, communication strategies). A transnational firm needs have the same strong corporate culture as a global firm, but there needs to be an emphasis on cross cultural training, as there is more integration amongst the different locations. This may also alter performance appraisals—as managers may be appraised by people located in different parts of the world. 3. Starbucks is opening new stores abroad every day, it seems. If you were in charge, would you use expatriate managers or host-country nationals to staff the new facilities? Explain your thinking. Answer: Expatriates have the advantage of knowing the products, technical systems, organizational policies, company culture, and the likes of Starbucks. Host-country nationals, on the other hand, are more likely to understand their customers’ specific needs and wants. They may also be more familiar with legal issues in their country, but they certainly have a better understanding of the national culture and norms. In all likelihood, Starbucks would want to blend a team of locals and expatriates to get the company going, but would eventually turn things over to the host-country managers after they received the necessary technical training and experience. 4. This chapter places considerable emphasis on the role spouses play in terms of the success of an overseas manager. What other steps should companies take to increase the likelihood of a successful experience for all parties involved? Answer: First, selection and training should be put in place so that an expatriate manager has the necessary skills and competencies (see Highlights in HRM 15.2: Skills of Expatriate Managers on page 531). The expatriate must find a way to adjust to the demands of their company, the country environment, and their family needs. Employees who share a common vision with the company are willing to undergo difficulties for the organization. Employees who take time to understand the culture and market in which they are operating will be better able to cope with unexpected changes and demands. Finally, employees who have family members that are supportive and interested in an overseas assignment are much more successful in their international assignments. As a result, expatriates stand a greater chance of being able to successfully adjust to their international positions. See Figure 15.6: Expatriate Adjustment Factors on page 533 to examine how these three factors must be aligned to ensure expatriate adjustment. In addition, training and development for both expatriates and their spouses can have a big impact. 5. Talk with a foreign student on your campus; ask about his or her experience with culture shock on first arriving in Canada. What did you learn from your discussion? Answer: Information obtained from student interviews with foreign students or foreign-born co-workers would make an interesting class discussion. During my conversation with a foreign student on campus about their experience with culture shock upon arriving in Canada, I learned that the initial transition can be overwhelming due to differences in language, climate, social norms, and educational systems. The student shared that they experienced feelings of isolation and homesickness, as well as challenges in understanding Canadian customs and communication styles. However, they also highlighted the warmth and friendliness of Canadians, which helped alleviate some of their initial discomfort. Additionally, the student mentioned the importance of seeking support from fellow international students, campus resources, and cultural adjustment programs offered by the university. They emphasized the value of gradually acclimating to Canadian culture while also maintaining connections with their own cultural identity. Furthermore, the student expressed appreciation for opportunities to engage in multicultural activities and learn from diverse perspectives on campus. Overall, our discussion highlighted the significant impact of cultural adjustment on international students' well-being and academic success, underscoring the importance of empathy, inclusivity, and support within the campus community. 6. What are the major differences between labor–management relations in Europe and those in Canada? Answer: Union strength depends on many factors, such as the level of employee participation, per capita labour income, mobility between management and labour, homogeneity of labour (racial, religious, social class), and unemployment levels. So the labour relations landscape differs across countries within Europe. For example, nearly all of Sweden’s workers are organized, giving the unions in this country considerable strength and autonomy, and the environment is relatively peaceful. In comparison, most French workers are also unionized; however, in France, labour‒management relations are oftentimes considered quite hostile given the high strike rate. Unlike in Canada, unions in many European countries (such as Sweden) have a great deal of political power and are often allied with a particular political party. When employers in these countries deal with unions, they are, in effect, dealing indirectly with governments. Another difference is that in the United Kingdom and France, the government intervenes in all aspects of collective bargaining, whereas in Canada, this happens only in the public sector. Another important difference between Canada and Europe is that in the latter, there are provisions for employee representation established by EU law. 7. Do you believe that codetermination will ever become popular in Canada? Explain your position. Answer: Codetermination, or the representation on the board of directors of a company, is common practice in some countries such as Germany. Whether or not this will become popular in Canada is up for debate. HRM Experience: A Canadian (Expatriate) in Paris This experience should help students understand the high costs to a company of compensating an expatriate. Once they realize the costs, help them understand why it is still important for companies to send someone who knows the company culture and operations more than the local culture and geography to open up new offices or units. Notes for End-of-Chapter Case Studies Case Study 1: Cultural Conundrum 1. Exactly what preparation should Anna’s company have given her before she started her assignment? Answer: Detailed information and training on the new culture is needed to make Anna’s assignment successful. The company must tell her that she must follow the host culture in making decisions. Additionally, Figure 15.7: Preparing for an International Assignment on page 534 shows what organizations should do to prepare someone for an international assignment. 2. In general, what should a candidate for an international assignment do to prepare for a job, in the absence of company orientation and training? Answer: In the absence of training, the employee and his or her family can obtain a great deal of general information about the host country, including its culture, geography, social and political history, climate, food, and so on, via the Internet, books, lectures, videotapes, and DVDs. The knowledge gained will at least help the participants have a better understanding of their assignments. The candidate should also try to speak to other expatriates—connect to an online community to understand what it’s like to live and work there. The candidate should also ensure that he or she has a thorough understanding of the job requirements. 3. Many believe that women on international assignments prove to be very effective because they are both task oriented (a North American cultural imperative) and relationship oriented (an important attribute in Asian and other cultures). Why did these two sets of skills not help Anna? Answer: There is no right or wrong answer here. Perhaps students will suggest that Anna used the North American management guideline and acted in a “masculine” manner. We reward managers who act forcefully, and even though women are good at relationship-oriented managing, Anna may not have practised it here because she felt that it was not valued. 1. Cultural Misalignment: Despite being relationship-oriented, Anna may have encountered cultural differences in communication styles, expectations, and work practices that hindered her effectiveness in building rapport and navigating relationships with colleagues and stakeholders in the new cultural context. 2. Gender Bias: Anna may have faced gender bias or stereotypes in the host country that affected how her task-oriented and relationship-oriented skills were perceived and valued. Gender norms and expectations vary across cultures, and women in leadership roles may face additional scrutiny or barriers in some contexts. 3. Organizational Dynamics: Anna's effectiveness may have been influenced by organizational factors such as leadership support, team dynamics, and organizational culture. Even with strong interpersonal skills, navigating complex organizational structures and dynamics in a new cultural context can be challenging. 4. Cross-Cultural Competence: Effective cross-cultural adaptation requires more than just task and relationship orientation. It also involves cultural awareness, sensitivity, adaptability, and the ability to navigate ambiguity and complexity. Anna may have lacked the cross-cultural competence necessary to effectively bridge cultural differences and succeed in her international assignment. 5. External Factors: External factors such as political instability, economic challenges, language barriers, and social-cultural norms may have posed additional challenges for Anna, impacting her ability to leverage her skills effectively in the new cultural context. 6. Role Expectations: The specific requirements and expectations of Anna's role and the nature of her international assignment may have differed from what she anticipated or was prepared for. Task-oriented and relationship-oriented skills alone may not have been sufficient to address the multifaceted challenges she faced in her role. In conclusion, while possessing both task-oriented and relationship-oriented skills can be advantageous for women on international assignments, various contextual factors, including cultural, organizational, and individual dynamics, can influence their effectiveness and success in navigating cross-cultural challenges. Anna's experience highlights the importance of holistic cross-cultural competence and the need to address multiple dimensions of cultural adaptation and effectiveness in international assignments. Case Study 2: Recruiting and Retaining International Employees 1. Describe the advantages and limitations of Cambior’s staffing policies. How would you compare these to the advantages and limitations of employing host-country nationals? Answer: Advantages: short-term assignments; home-based assignments where employees will spend a period of time at work and then return home for rest and recuperation; long-term assignments move their families close to the work site and compensation. Limitations: education of the children and working spouses when they are relocated; health issues are more complex (e.g., malaria); receiving rapid medical treatment; violence in developing countries. 2. What kinds of hardships would Cambior employees face? What would be appropriate compensation for these conditions? Answer: Hardships would include education for employees’ children and spouses, health and safety issues. Students should discuss in class what appropriate compensation would include for these conditions. Cambior employees may face various hardships, including hazardous working conditions in mining operations, long hours, physical strain, and exposure to environmental risks such as toxins and pollutants. Additionally, employees may experience challenges related to remote or isolated work locations, limited access to healthcare or social amenities, and separation from family and community support networks. Appropriate compensation for these conditions could include competitive wages commensurate with industry standards, hazard pay or additional incentives for working in high-risk environments, comprehensive health and safety programs, access to quality healthcare and mental health support services, allowances or benefits for housing, transportation, and relocation assistance, as well as opportunities for career advancement and professional development. Furthermore, providing a supportive work culture that prioritizes employee well-being, work-life balance, and meaningful engagement can help mitigate the impact of these hardships and enhance overall job satisfaction and retention. 3. What benefits required by law in Canada would be unlikely to be provided in developing countries? Answer: Health care, vacation, holidays, employment insurance. Refer to the government website on benefits required by law in Canada. In Canada, several benefits required by law may be unlikely to be provided in developing countries due to differences in legal frameworks, economic conditions, and societal norms. Some of these benefits include: 1. Employment Insurance (EI): In Canada, employees are entitled to benefits such as maternity and parental leave, sickness benefits, and employment insurance in case of job loss. However, in many developing countries, formal employment arrangements and social security systems may be less developed or nonexistent, making it challenging to provide similar levels of income protection and support. 2. Health and Safety Standards: Canadian labor laws mandate employers to ensure workplace health and safety standards to protect employees from hazards and occupational risks. In developing countries, inadequate enforcement of labor laws, limited resources, and infrastructure deficiencies may result in unsafe working conditions and lack of access to proper health and safety protections. 3. Paid Holidays and Vacation: Canadian employees are entitled to paid holidays and vacation time as per labor regulations. However, in developing countries, informal labor sectors, informal employment arrangements, and limited legal protections may result in workers not receiving paid time off or vacation benefits. 4. Pension and Retirement Benefits: Canadian labor laws require employers to provide pension plans or retirement savings options to employees, contributing to their financial security in retirement. In contrast, in many developing countries, formal pension systems may be underdeveloped, and informal employment arrangements may not include retirement benefits or savings options. 5. Disability Benefits: Canadian labor laws provide disability benefits to employees who are unable to work due to illness, injury, or disability. In developing countries, limited access to healthcare, social assistance programs, and disability support services may result in inadequate support for individuals with disabilities or their caregivers. 6. Equal Pay and Non-Discrimination: Canadian labor laws prohibit discrimination based on gender, race, ethnicity, disability, and other protected characteristics and mandate equal pay for equal work. In contrast, discrimination in employment and pay disparities based on gender, race, or other factors may be more prevalent in developing countries due to social and cultural norms, limited enforcement mechanisms, and systemic inequalities. Overall, while Canada has established robust labor laws and social protection systems to safeguard employees' rights and well-being, similar benefits may be less likely to be provided in developing countries due to a range of economic, social, and institutional challenges. Addressing these disparities requires concerted efforts to strengthen labor regulations, improve social protection systems, promote inclusive growth, and advance social justice and equity globally. Solution Manual for Managing Human Resources Shad Morris, Monica Belcourt, George W. Bohlander, Scott A. Snell, Parbudyal Singh 9780176570262, 9781337387231, 9781285866390, 9780357033814, 9781337387231, 9781111532826, 9780176798055, 9780176407292, 9781285866390, 9781111532826
