Wk2 Labor CaseStudy
City Bank currently is not unionized. This bank is one of four larger banks in the community. The banks are all struggling with recruitment of good employees. The wages within these four banks are relatively similar. Benefits may vary across the banks, but again, overall are comparable. None of the banks are union represented. County Bank, one of the four banks, has done a significant adjustment to scales. As a result, employees are trying to move towards County Bank. The Union has been trying to move into the banking industry in this community. It is already in banks in some of the surrounding communities and feels this is an opportunity to expand membership. Management from City Bank has been hearing comments from sources outside of the bank that the union would like to expand into this community. One of City Bank’s managers, Ted, called a mandatory meeting of the employees and indicated he’s heard the Union is trying to come in and told employees they may be contacted by a union representative about the union. If this happens, the employees were instructed they are not allowed to talk with anyone and cannot take any part in any type of union activities. He indicated City Bank does not have a union and it will stay this way. He explained if the union comes in, wages would have to be reduced and employees would also have to pay dues so their pay would decrease. He also commented employees could be subject to disciplinary action if they participate in any such activities as they were instructed not to.
Please analyze this situation. Do you see any potential problems with this case? Will the bank be able to keep the union out? Has this situation been handled appropriately? If yes, please indicate how. If not, please indicate why not. Please provide an overall assessment of this case.