Reference no: EM133135665

After  Hurricane  Rita struck Lake  Charles,  in southwest  Louisiana, on September 24, 2005, many businesses wondered if they would ever return to their former selves. Massive destruction was everywhere. Lake Charles, known for its large and beautiful oak and pine trees, now had the job of removing those downed trees from homes, businesses, and lots. You could see for miles through what used to be thick forests. Huge trucks designed for removing massive tree trunks were everywhere. While driving down a street, downed trees could be seen stacked two stories high, waiting to be picked up. The town grew rapidly in size as debris and repair crews set about recovery operations. The noise created by chain saws could be heard from daylight until dark. The sounds of hammers were everywhere as homeowners scrambled to get their roofs repaired. Often repair crews would just find an empty lot and set up tents for the night because all motels were full. Traffic was unbelievably slow and it appeared as if everyone was attempting to get on the road at the same time. Just driving from Point A to Point B could often be quite an adventure. As might be expected in conditions such as these, accidents were numerous. Often police did not have the resources to ticket every fender bender, so unless there were injuries, insurance cards were exchanged and the police went on to the next accident.

Months after Hurricane Rita struck, large and small businesses were still frantically trying to find workers so they could start up again. It appeared that every business in the town had a "Help

Wanted" sign out front.  Individuals who wanted a job could get one and could command a premium salary. Wal-Mart, known for remaining open 24 hours a day, could only stay open on an abbreviated schedule. It even bussed in employees from Lafayette, Louisiana, 70 miles away, each morning and returned them at night because there were not enough workers available in the local area. Restaurants that normally remained open late into the evening closed at 6:00pm, if they opened at all. Compensation scales that were in use prior to the hurricanes had to be thrown out and new plans implemented. Minimum-wage jobs were nonexistent. Employees who earned minimum wage before the storm could now command $10 per hour just for being a flagger ( a person who directs traffic). Fast-food restaurants that normally paid $6 per hour now paid $9 or  $10.  Burger  King  was  even  offering  a  $1,500  bonus  for  entry-level  workers.  Upscale restaurants  that  normally  paid  minimum  wage  plus  tips  now  paid  premium  rate  plus  tips. Restaurants that remained open had a much younger staff and it was evident that the managers and assistant managers were working overtime to train these new workers. Restaurant patrons had to learn patience because there would be mistakes by these eager, but largely untrained workers.

Guide questions:

1. How were the human resource functions affected by Hurricane Rita? Explain.

2. Do you believe that the HR situation described regarding Hurricane Rita would be typical in a disaster? Explain.