REPUBLIC OF THE PHILIPPINES

POLYTECHNIC UNIVERSTITY OF THE PHILIPPINES GRADUATE SCHOOL

“CASE ANALYSIS ”

A POWERPOINT PRESENTATIONPRESENTED BY:

Katherine ErfeWemie Cervas

Edgardo de VeraNerisa Barcelona

MARCH 2010

LABOR-MANAGEMENT RELATIONS

AT PALO VERDE MINING

1.0 Time Context

In February 10, 1992 two thousand three hundred (2,300) Union members at Palo Verde Mining began striking the company’s mining facilities at Queen Creek, Desert City, and the Salt River Basin.

2.0 Viewpoint The rightful owners who will handle certain situation…

Human Resource Management

The HR manager plays an integral role in organizational success via his knowledge about and advocacy of people.

The HR manager provides employee development opportunities, employee assistance programs, and gain sharing and profit-sharing strategies, organization development interventions, due process approaches to problem solving and regularly scheduled communication opportunities.

2.0 Viewpoint Continued

Management

Management is responsible in managing and keeping workers satisfied with their jobs or prevents them from becoming dissatisfied.

Labor Union Members

Labor union members lead to formation of a union that will give workers a voice in shaping the employment relationships. The primary role of labor unions is to fight for better rights, wages and benefits for workers.

2.0 Viewpoint Continued

National Labor Relations Board (NLRB)

The authorize body created to act in supervising an election to determine whether company workers want union representation and enforce labor rights

3.0 Central Problem

There was no action made after the negotiation in the issue of COLA, which forced the 2,300 union members to strike on February 10, 1992. This incident takes impact to the company and to the union members. And in today’s labor – management environment, how it these strikes are effective?

 There was a violent outbreak between union

strikers and strike replacements which resulted to the destructions of company property by striking employees and involvement of a child who was accidentally shot.

3.0 Central Problem

How does NLRB have resolve such tensions and unfair labor practices filed by the union? In what criteria might the NLRB have used to settle the charge?

4.0 Statement of Objectives

Palo Verde Mining

Capitalizing company’s resources to meet organizational objectives and good economic standing.

To control the workers from striking by granting their demands in accordance with the content of their collective bargaining agreement.

To establish good and open communication at all levels in the organization.

4.0 Statement of Objectives

Labor Union

To recognize the employees labor rights, compensation package and better management.

To make use of worker’s right of self-organization.

These rights include to bargain collectively for wages and working conditions through representatives of their own choosing, and to engage in other protected concerted activities with or without a union.

4.0 Statement of Objectives

National Labor Relations Board

To give workers the right to form unions without being subject to coercion by their employers. It’s vital role of promoting and maintaining industrial peace thru the speedy dispensation of labor

justice and development of effective dispute settlement machinery. 

5.0 Areas of Consideration

Threats

Due to labor strike, company may suffer loss, damages and possibly affect the company’s economic status. Current skilled workers are more productive compared to newly-hired replacements who are not yet familiar with the job and therefore the company will incur training cost.

Opportunities They could hire strike replacement which enabled them to continue its operation.

Possibility of non-union workers if they only hire strike replacement and give authority to issue of ‘yellow-dog contract’.( non-union agreement ).

The strike enables the company to force the strikers to leave their company -owned homes.

Strengths

Continues operation despite of the on-going strike due to the hired replacements.

Less expenses for the benefits to be given to the hired replacement compared to the regular workers.

Weaknesses Spying.  Employers are not allowed to spy on employees.

Interrogation.  Employers are not permitted to poll or ask employees about whether they support the union.

Promise.  Employers may not promise an employee any benefit that appears to attempt to prevent the employee from voting in favor of the union.

Threat.   You cannot imply that you will reduce wages or benefits if the union comes in.  

6.0 Alternative Courses of Action

The management should not demand the elimination of COLA which was already mandated on their collective bargaining agreement.

After negotiation without favorable result with regards to COLA issue, the union leaders should immediately consult the case to NLRB for proper guidance prior to violent outbreaks.

7.0 Final Decision

The company must also recognize and know the rights of the employees. On the

other hand, employees should also be aware of their obligations to the company.  

Oblige both management and labor to meet

at reasonable times and confer in good faith with respect to wages, hours, and other terms and conditions of employment.

As far as collective bargaining is concern, once the union and the employer have negotiated a collective bargaining agreement, they are bound by its terms for the duration of the contract. Because the parties are likely to interpret contract provisions differently, disputes often arise. Therefore both sides needs some mechanism for sides for fairly interpreting the language of agreement in specific situations.

As an arbiter, the National Labor Relations Board must act to avoid or reduce industrial strife and protect the public health,

safety, and interest that can be achieved by the parties to an individual dispute. The NLRB settles matters that cannot be resolved by bilateral discussions between union and management representatives..

8.0 Detailed Action Plans

Union-Free Policy: Publishing the company policy on remaining union-free.

Wages and Benefits: "We have compared our wage and benefit structures to other companies in our industry, and ours are competitive."

8.0 Detailed Action Plans

Fairness: "We strive to provide a fair, safe workplace. We have an absolute ‘open door’ policy, so please come see a member of management any time if you are having issues or want to talk." 

Employees are Important:  "Even in this down economy, our company is surviving, and it is largely because of our employees. 

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