Understanding Labor Disputes, Strikes, and Lockouts

Understanding Labor Disputes

A labor dispute has the following characteristics:

• There must be some reason for opposing positions to generate discussion among stakeholders.
• There must be at least two sides, and contrary goals and objectives lead to a confrontation.

The Strike

The strike can be defined as a collective and concerted suspension of the obligation of workers to provide services to the company they work for.

The Lockout

A lockout is the expression of a labor dispute by one or more employers who decide to terminate employment activity and close their facilities, thereby interrupting the payment of wages for workers.

Types of Decisions

• Scheduled and unscheduled
• Individual or group
• Rational or intuitive
• Authoritarian, decisions by consensus, or decisions by unanimous vote

Stages of Decision Making

1. Identification of the situation: First, identify the situation through a detailed analysis of all elements to find out what problem requires a solution. At this stage, you also have to set goals to solve the problems.
2. Study alternative solutions: The people involved should raise flexible solutions adapted to the situation with a forecast of positive effects. Also, identify the possible outcomes of each alternative. Select the one that can achieve the stated objectives with more positive effects in the medium term.
3. Implementation of the chosen alternative and control of development: Carry out the selected alternative by choosing those responsible for it. Manage the development process of the operation to check whether they are achieving the objectives and to what extent.
4. Evaluation of results: Review the results and consequences that have occurred to learn from them. The purpose of the evaluation and review of the results is to improve actions in future processes.

Fundamentals of Business Decisions

Aspects before making decisions:

• Who will decide, who will collect the information, and who will implement decisions?

Key Elements of the Process

• Identify three key elements for the development of the process: the importance or quality of the decision, the time available, and the necessary degree of approval by a working team involved.

Classification of Business Decisions

• Centralized decisions (those that are usually taken by a single figure in the company hierarchy with high power) or decentralized decisions (characterized by dispensing the responsibility of decision-making among various individuals).