Learning Team
Abstract
Unions were developed to represent the workers and ensure that they were provided fair compensation and good working conditions. Although laws were created to provide these things over the years, unions still play a major role in business by resolving disputes, grievances and other conflict. Despite the benefits, union actions have also been associated with many company closures and the loss of jobs. The negative and positive aspects that the union brings are examined to obtain a full understanding of its role in dispute resolution. Accordingly, organizational behavior principles are applied to develop a plan for dispute resolution. Together, the strategy for how a company can survive the negative impacts of a union and develop an effective platform for dispute resolution are developed and discussed herein.
Dispute Resolution and Organizational Behavior Dispute resolution is a fundamental key to the success and longevity of a business. Unions continue to thrive for this purpose. When disputes are not resolved or managed properly they can lead up to the company declaring bankruptcy or ultimately closing. This has recently demonstrated in various industries. As noted in the October 2002 edition of Business Week, three steelmakers, still in business, have declared bankruptcy since 1998. This has been determined to be a result of global overcapacity. US Airways is in Chapter 11, and more carriers could follow. In the Telecommunications industry, less than 2% of long distance capacity is currently in use, putting tremendous pricing pressure on the industry. Kmart is in Chapter 11, and more filings loom. The sector is littered with failures at reorganization, including Bradlees, Ames Department Stores, and Montgomery Ward (France, 2002).
Introduction
The presence of unions and disputes has been found to be common towards the outcomes noted above. The presence of unions and disputes shall be
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