Wal-Mart Case Study Management Case Study Research
Wal-Mart is one company that works hard to avoid unionization. The company says it does not have unions because it takes care of its employees. It surveys employees regularly, and many workers have been promoted from cashier and stocker jobs to management jobs. A company-wide stock ownership program has generated significant long-term returns for employees.
Unions counter that Wal-Mart uses aggressive and even unfair labor practices to prevent unionization. When a union tries to organize workers, the company often reacts with a coordinated “union prevention” program. Mandatory employee meetings are held in stores, where managers and supervisors read prepared scripts explaining the consequences of unionizing and show videos emphasizing the negatives of unionization.
As a result, at Wal-Mart in the United States, virtually no workers are unionized. In fact, when unions have won elections in some Wal-Mart locations, the firm has outsourced the jobs to independent contractors or even closed stores. Even outside the United States, Wal-Mart has been aggressive at resisting unionization of any workers in Canada, despite more union-friendly Canadian laws.
To put more pressure on Wal-Mart, unions have formed a coalition called Wal-Mart Watch. This organization has targeted Wal-Mart organizational practices. For instance, extensive publicity about deficiencies in health benefits offered by Wal-Mart have led to the firm revising its plans. The Watch also has encouraged workers to file legal complaints that Wal-Mart has violated anti-discrimination laws. The watch has established its own Website (http://walmartwatch(dot)com) that contains numerous articles discussing Wal-Mart actions. That Website has a blog that allows previous and current employees to post comments, as well as outsiders to provide input and opinions also.
The ultimate goal of the Watch is to be able to unionize employees at Wal-Mart because of its huge number of workers. As Wal-Mart grows and adds more stores, its growth also results in the decline or closing of other retailers, in which there are often a significant number of unionized workers. How Wal-Mart will change over the next years and the effects of the Watch on those changes will be interesting to observe.
Question: Outline the advantages and disadvantages of Wal-Mart 'union prevention' policy.
Wal-Mart Case Study
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Wal-Mart Case Study
The primary purpose of unions is to prevent workers from being oppressed by their employers. As such, if Wal-Mart provides a safe working environment and caters to the needs of its employees, then no need for its workers to join any union. One of the advantages of the Wal-Mart “union prevention” policy is to eradicate unnecessary lawsuits from workers who want to tarnish the name of the firm. In particular, unions intervene when an organization engages in something that oppresses employees, and they act in favor of workers. However, in some cases, some workers might give false allegations, which can damage the enterprise’s reputation. The second advantage of the union prevention policy is to enable employees to know that they can solve issues internally without exposing a firm to external institutions. Moreover, the policy promotes career development since the best-performing workers are promoted or gifted to appreciate their effort. Overall, the Wal-Mart “union prevention” policy brings employees together such that when a problem arises, they can report it to the man...
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