Chapter 4 Corporate Strategies Towards Unions in Unionized and Nonunionized Workplaces

Question 1

What are the 2 objectives of employers?

Answer 1

1. Efficiency/productivity (to maximize profits)

2. Control

Question 2

What are the 3 proactive strategic choices of Strategic choice theory (different levels)?

Answer 2

1. Corporate level - decide weather to accept, avoid or oppose unions & adopt relevant policies
2. Collective Bargaining level - use distributive or integrative approach
3. Workplace level - introduce self managed work teams, other employee involvement schemes to increase motivation and productivity

Question 3

What are the 3 basic strategies towards unions?

Answer 3

1. Union opposition & removal
   - discourage union activity among employees, oppose organizing among employees if it occurs
2. Union substitution & resistance
   - design pay & other HR policies so workers regard unions as unnecessary
3. Union acceptance
   - remain neutral when union organizing occurs

Question 4

Legal and illegal attempts to remain union-free

Answer 4

Union opposition

Question 5

Attempts to get rid of existing unions

Answer 5

Union removal

Question 6

Attempts to limit the spread of unions (in firms that have some of their facilities unionized)

Answer 6

Union resistance

Question 7

Legal attempts o prevent unionization

Answer 7

Union substitution (avoidance)

Question 8

Remains neutral during union organizing

Answer 8

Union acceptance

Question 9

What is the aggressive approach to get rid of unions called that uses actual or near illegal unfair labour practices?

Answer 9

The Stick Approach

Question 10

What are the processes or methods to avoid unions (9)?

Answer 10

1. Union avoidance
2. Contract negotiations
3. Lockouts
4. Grievances/arbitration
5. Legal action
6. Political activity
7. Public relations
8. Collaboration with union
9. Unilateral action

Question 11

What did they did at CIBC in the 1970’s as union opposition?

Answer 11

1. Transferred pro-union workers out of some branches
2. Transferred anti-union workers into that branch
3. Management trainees reclassified as staff
4. Anti-union statements made by management
5. Unfair labour created fear

Question 12

Whats the name of the strategy that avoids employee-friendly practices - sends message to employees that a union is not needed:

Answer 12

The carrot strategy (union substitution/resistance)

Question 13

What are Magna’s strategies to make employees happy?

Answer 13

• Transparency
• Profit sharing
• Corporate constitution
• Operate in smaller teams (creates healthy competition)

Question 14

What are strategies used in Union substitution (10)?

Answer 14

1. Wages match union rates
2. Seniority plays a role in promotions and layoffs
3. Grievance procedure (president as last step)
4. Profit sharing
5. Tries to avoid layoffs in bad times
6. Emphasizes training
7. Managers hold one-on-one meetings with workers
8. Firm provides support during illnesses
9. Sponsors major learning and recreation center/social events
10. Employee involvement in: job design, equipment selection, customer interaction, quality improvement

Question 15

What are the levels of union involvement in management decision making?

Answer 15

0. No involvement (very common)
1. Information sharing (very common)
   - explains decisions to union
2. Consultation
   - unions opinion is considered
3. Joint committees
4. Co-determination (rare)