Reference no: EM133086519

"They want what?" the mayor explained. "Like I said" the town clerk replied, "17% over two years."

"There is no way that taxpayers will accept a settlement anywhere near that, " reiterated the mayor. "I don't care if the garbage doesn't get collected for a century. We can't do more than 8% over the next two years."

The town clerk looked worried. " How much loss of service do you think the public will accept. Suppose they do go on strike? I'm the one who always gets the complaints. There there is a health problem with rats running all over the place? Remember over in Nebringtown, when that little kid was bitten? There was a hell of an outcry."

The mayor agreed. "Garbage collectors always have strong bargaining power, but if I don't fight this, I will be voted out in the next election. I say we offer 6 % over 18 months. They can go either way- 6% over 12 months or 8% over two years."

" I wonder if we have any other options?" worried the town clerk.

"Well, we could threaten not to hire any more union personnel and to job out the collection service to private contractors if the union isn't cooperative" suggested the mayor.

"That is a good idea" the town clerk replied enthusiastically. And we can mount a newspaper advertising campaign to get the public behind us. If we play on the fear of massive tax increases, the garbage collectors won't have much public sympathy."

"What about asking the union to guarantee garbage collection for older citizens " chuckled the mayor. "WE can't lose on that issue".

"Okay then," said the town clerk. It looks like we have the beginning of a bargaining strategy here. Actually , I feel better now. I think we are in a rather strong position."

Answer the three questions that follow.

1. Explain the preparation for negotiating that you would recommend to the mayor and the town clerk in this particular situation.

2. Explain three challenges facing unions currently.

3. In the event of challenges in the negotiating process, what resources could you draw on to help arrive at a resolution?