Labor Relations: Employer Perspective
Explain issues in the existing contract that could be improved upon from the employer's perspective
From the employer's perspective, the Maple Leaf Manufacturing Company's collective agreement with Local 123 of the Canadian Widget Markets' Union might be problematic mainly because it takes control away from the company regarding hiring and firing of employees. Instead of being in control of the employees regarding quality of performance and service, the company must turn instead to seniority as a guide, even if younger workers have greater ability and better job performance reviews than the older employees.
Thus, from the employer's perspective, the agreement could be vastly improved upon if some quantitative or even subjective ability rating was allowed to be factored in, in addition to seniority, as specified in Article 8 regarding layoff and recall. Section 8.1 reads that in the event of a layoff, the employer must lay off in reverse order of seniority, provided that the remaining employees have the skill and ability to do the job required. But this does not mean that the most senior members of the company will have the greatest skills and ability, in comparison to younger workers. Furthermore, younger workers may be healthier, and thus cost the company less in sick days taken off and benefits used regarding days needed for personal compensation time regarding child care, bereavement leave, and taking care of elderly parents. Younger workers may be more dynamic and have less personal needs and thus exhibit more of a connection to the company. They may even, because of the current culture of young people, be less loyal to the union and more apt to identify themselves as members of the company and company staff. Subjective matters aside, however the company would wish to decide who is the best person, when deciding whom to keep during tough times when workers must be laid off, and judge loyalty to the company according to matters other than mere seniority status. This is particularly since Section 8.2 reads that employees will be recalled in order of seniority provided that they have the skill and ability to do the job required.
At present, the Maple Leaf Company, along with the union, was forced, during the first round of negotiations the parties was forced to set aside the issues of contracting out and technological change. It might, if so much control was wrested away from its employment hiring in firing, forcing it to sacrifice quality at the expense of seniority, in order to stay afloat in the industry, feel a need to do so, as doing so will give itself more choice regarding the hiring and firing of quality employees. Such issues have been set aside to temporarily reach an agreement, but this does not mean that the issue will not come to the forefront later on, even though such issues bracketed for the period of negotiations, thus taking away a particular source of leverage for the union and its membership.
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