Bargaining Simulation 2 Personal Analysis

1463 words - 6 pages

Despite attempting to predict the eventual outcome of the negotiation, I did not anticipate the confrontations between Local H-56 and the management of Hotel Zinnia. Although they initially agreed to engage in integrative bargaining, the union and management subsequently entered an intense negotiation. When Local H-56 presented its proposal of wage increases and health insurance, management immediately responded with a counterproposal that surprised the union. Both the union and management eventually behaved confrontationally, accusing each other of bargaining unreasonably and focusing on the trivial aspects of the negotiation. Moreover, as the union and management felt increasingly ...view middle of the document...

Unable to further negotiate over health insurance, the union and management subsequently negotiated over a series of disjointed work rules that were unrelated to their initial objectives. When discussing the work hours and schedules of employees, both sides agreed to increase the hours that workers must complete to qualify as fulltime employees—hours increased from 20 to 30 hours. Management also agreed to provide workers their weekly schedules seven days—rather than three days—in advance. In addition, management agreed to notify the union six months in advance of any permanent or temporary shutdowns. The union and management negotiated the details of employees taking medical leaves as well. They agreed that workers could take up to two weeks of paid leave; the reason for taking a leave would be in accordance to the Family and Medical Leave Act. However, to take a leave, management insists that workers must provide appropriate documentation like a notice from a medical professional. The union and management then agreed on other irrelevant work rules like establishing Christmas Eve and Martin Luther King Day as paid holidays and creating a clause that allows workers to attend immigration proceedings for up to 5 days.
After tabling their dispute over health insurance and agreeing on irrelevant work rules, the union and management struggled to negotiate over wage increases. Although they claimed increasing wages was a priority, the union and management failed to reach a mutually beneficial agreement. The union and management only agreed to increase wages by 5% each year during the two year duration of the contract. Both sides failed to pursue more compromises and therefore negotiated over the details of employees working overtime. The union and management agreed to increase overtime compensation only on every 7th day of overtime work. In other words, workers would be compensated 1.75 rather than 1.5 times their normal wage—this new compensation also applies to employees working on holidays as well. After observing the union and management agree on irrelevant work rules but dispute over wages and health insurance, I believe both sides conducted the negotiation with the wrong strategy.
Because they pursued the negotiation with the same zero-sum strategy, both the union and management failed to achieve their objectives. I criticize the union for pursuing a distributive bargaining strategy, only desiring to win and gain concessions from management. The union failed to accomplish its initial objectives and accept reasonable concessions from management. Therefore, when feeling frustrated by management’s counterproposals, the union increasingly behaved defensibly by reacting emotionally and accusing management of unreasonable proposals. During these moments, I also observed the union behave in a disorganized manner and act flustered by management’s proposals; the union began to contradict itself by changing its initial objectives. As a result,...

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