Case: Honda's China plants halt production as workers strike for higher salaries Workers at three Honda plants in China have gone on strike demanding better wages. The strike began ten days ago in one of Honda's China locations and has spread to three plants as labor relations get worse. Honda has shut down all four of its car plants in China after the strike. Honda, Japan's second biggest carmaker, is facing mounting pressure in its largest potential market. On May 17th, nearly 100 workers at one of Honda's China branches, went on strike to demand increased pay. Three days later, workers went on strike again after the company failed to keep its promise to increase wages. The labor unrest intensified the next day as the company announced the termination of two workers engaged in the strike. Although the company offered a solution with an increase from 120 to 155 yuan, the work stoppage continues as wide disagreements on the solution remain. Honda declined to disclose details of the wages and negotiations, but an employee posted on the Internet that their first level wages are only around 1,200 yuan, or 180 US dollars per month, with only a 28 yuan pay increase per year. The workers on strike are demanding that they be paid at least 2,000 yuan per month. The strike came only days after the Japanese automaker announced an aggressive plan to boost production capacity in China. The company has shut down all four of its car plants in Guangzhou and Wuhan, where over 1,800 workers are on strike. Honda has sent its worker representatives for talks to end the strike. Local government officials will reportedly join the talks between workers and the automaker. Questions 1. Why did Workers at three Honda plants in China go on strike? 2. Which kind of behaviors had Workers because of dissatisfaction？ 3. What were the problems of Human resource management in the Honda plants in China？ 4. How to deal with these problems?

Understanding Business

12th Edition

ISBN:9781259929434

Author:William Nickels

Publisher:William Nickels

Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment

Section: Chapter Questions

Problem 1CE

See similar textbooks

Related questions

Question

Case: Honda's China plants halt production as workers strike for higher salaries Workers at three Honda plants in China have gone on strike demanding better wages. The strike began ten days ago in one of Honda's China locations and has spread to three plants as labor relations get worse. Honda has shut down all four of its car plants in China after the strike. Honda, Japan's second biggest carmaker, is facing mounting pressure in its largest potential market. On May 17th, nearly 100 workers at one of Honda's China branches, went on strike to demand increased pay. Three days later, workers went on strike again after the company failed to keep its promise to increase wages. The labor unrest intensified the next day as the company announced the termination of two workers engaged in the strike. Although the company offered a solution with an increase from 120 to 155 yuan, the work stoppage continues as wide disagreements on the solution remain. Honda declined to disclose details of the wages and negotiations, but an employee posted on the Internet that their first level wages are only around 1,200 yuan, or 180 US dollars per month, with only a 28 yuan pay increase per year. The workers on strike are demanding that they be paid at least 2,000 yuan per month. The strike came only days after the Japanese automaker announced an aggressive plan to boost production capacity in China. The company has shut down all four of its car plants in Guangzhou and Wuhan, where over 1,800 workers are on strike. Honda has sent its worker representatives for talks to end the strike. Local government officials will reportedly join the talks between workers and the automaker. Questions 1. Why did Workers at three Honda plants in China go on strike? 2. Which kind of behaviors had Workers because of dissatisfaction？ 3. What were the problems of Human resource management in the Honda plants in China？ 4. How to deal with these problems?

Expert Solution