Why do wage disputes cause conflict

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Problem 1: The HR director at Clearwater Electronics is responsible for all negotiations with the company's union. Like other companies in the industry, most of the employee base at Clearwater is unionized. A meeting has been scheduled to negotiate a proposed wage increase for nonexempt employees at Clearwater, and the HR director anticipates the negotiation will be difficult. Why do wage disputes cause conflict?

Option 1: Conflict arises because the employees do not understand the employer's need to reduce costs to maintain a profitable company.
Option 2: Conflict arises because increased wages cost the company, and wage decreases cost the employee.
Option 3: Conflict arises because the employer does not understand what it means to be in the trenches where true value is added to the company.
Option 4: Conflict arises because people do not understand what the other side is going through.

Reference no: EM132749158

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