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Problems:

1. Employee and management team had contradictory perspectives


2. Employee working conditions- working hours, lunch, medical attention- were not
improved
3. Management fired employees when they protested- not responsive enough to
employee grievances. 
4. Stringent undertaking policies
5. Improper wage planning
6. Improper sanitary arrangements
7. Suspension of culprit employees who failed to sign “Good conduct” Bond
8. Management’s lack of EI.
9. Active resistance towards a bottom-up hierarchical structure

Problems from Management’s perspective


1. Employees’ violent approach towards solving problems
2. Enormous pay rise demanded by the employees

Solutions-
1. Autonomous structure to address the grievances
2. Reduce the difference in status between employees and management—fluidity in the
company hierarchy and making employees feel like stakeholders.
3. Grant permission to form the separate union (to minimize internal conflicts)
4. Organized code of conduct 
5. Well-defined salary, attendance policies
6. Improved hygiene and safety conditions at the workplace
7. Proper communication and coordination between management and employees
8. Implementing values-based leadership
9. Building relationships of trust with employees and allowing more participation in the
running of the company
10. Create a vision, mission, and values that will engage your employees and give them a
purpose to work towards so they can understand why the company does what it does

We can see that the problems that majorly contributed to communication failure were:

Organizational Structure - There was no transparency in the company. There was an active
resistance towards a bottom-up hierarchical structure. Also, there was no dedicated
autonomous structure to address the grievances of workers. 
The difference in Status - Workers had no say in critical matters like working hours, wages,
hygiene, etc. Their demands were not taken into consideration. Clearly, there was a
significant gap in perceiving them as a part of the company.

Lack of Trust - Management didn’t trust the workers with their code of conduct or new
union formation. Hence, the workers were forced to sign a “code of conduct” before entering
the plant and were restricted from forming any new union. The workers didn’t trust the
management as well. They were not confident of the compliance of the administration with
the agreement signed.

Unethical Communication - In an attempt for their demands to be heard, workers had


resorted to strikes within a short period and, eventually, the killing of an official, which was
totally uncalled for. 

Incorrect Choice of Medium


Information Overload

Timeline : 

June 2011:
 Completed registration of MSEU. 
 Pressure from management to not join the new union; sign agreement to
continue to be part of MUKU.
 MSEU leaders declared a flash tool-down strike.
o Issues raised:
o Low wage 
o Insensitive cuts
o Poor working conditions
o Bring back dismissed workers
 Strike called off because dismissed workers were brought back.
July 2011:
 Tension resurfaced; registration of new union was rejected and concerns over
work pressure
August 2011:
 11 workers were dismissed and 10 were suspended.
 Workers need to sign ‘ Good Conduct Bond’ 
 Hiring workers on contract from other plants after refusal from permanent
workers
September 2011:
 Gurgaon plant closed citing non-availability of parts due to strike.
 Failed meeting between MSEU leaders and management; workers wanted
better communication channels and undo suspension of culprit employees.

7th - 21st October 2011:


 Flash Strike by 35000 workers to take full control over the plant 
 Refusal by management to acknowledge the new union 
 Set up grievance committee and labour welfare committee
 Factory restarted
July 2012
 500 workers terminated by management for instilling violence in the plant
 Demands of workers :
o Separate union
o Salary increase 5 times
o Bring back suspended employee
18th July 2012
 Extreme violence; senior manager burned alive 
 100+ officers and policemen injured
 Dozens of workers charged with murder
21st July 2012
 Manesar plant lockout  
21st August 2012
 Restart Manesar plant

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