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The American Dream Case Analysis

Decent Essays

American Dream Case Analysis At 1981, The George A. Hormel Meatpacking Company cut wages from $10.69 to $8.25 to claim the need to remain competitive. Companies threat workers that they either close one plant and then open it at lower wage places or exit the business directly. Local unions like P-9 firstly request that all the workers should stick to $10.69 an hour in ten or fifteen years that we could call its target point. The company didn’t agree, they asserted new member workers the company recruited would be paid two dollars less for the same work, which is different from the P-9 decision. Union P-9 refuses any concessions in the negotiation process at first, which proves it is an over-aspiring negotiator. It reveals its reservation point that keeping the $10.69 at least three years too early because it has absolute confidence to win the negotiation. But actually P-9 Local wrongly assesses the counterparties interests and BANTA and lead to final negotiation failure unavoidably. Local P-9 union uses the power-based negotiation that is detrimental to ensure to get its interests in this negotiation. Local P-9 with strong leadership skills who are able to effectively organizes and fights for their members. However, denying accepting any compromise position causes the cooperation foundational support from national leaders UFCW and their own member’s disappearance ultimately. Specifically, losing the endorsement from the local leaders and UFCW will force Union P-9’s

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