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Human resources managers are supposed to strive to meet the organizational goals as well satisfy the needs of workers and ensure that they are comfortable in the working environment. Given the scenario in the question, compulsory unemployment usually occurs when the manager is…
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Human Resource Solutions al Affiliation Human resources managers are supposed to strive to meet the organizational goals aswell satisfy the needs of workers and ensure that they are comfortable in the working environment. Given the scenario in the question, compulsory unemployment usually occurs when the manager is faced with a dilemma of rescuing the company and at the same time takes care of the interest of workers. A situation where compulsory unemployment happens due to government intervention on setting the minimum wages renders a willing employer to employ and a willing worker to work not to come in an agreement (Becker, 1980).
There are some recommendations that I would make to rescue the unskilled workers. Before the period set by the President reaches, it is advisable to train the unskilled employees. (Becker, 1980). This will impart skills to them and hence can result in an increased productivity and subsequently competitive advantage over its competitors, and also reducing the cost of production while keeping the prices constant will create more revenues to cater for the extra cost of care act. Thirdly, is to reduce the number of the unskilled employees through outsourcing to other well performing companies and will be brought back when normalcy return in the affected company and this reduce the wage bill. Furthermore, agreement can be made with the government so that such adjustments can be made in phases after 2015. This will give time to the company to recollect and strategize on how to utilize the existing unskilled labor to generate money to meet the expected increase. In addition, collective bargaining can be conducted to agree on the increment so that it does not affect the entire company. A combination of all these factors will ensure that the company continues in the industry and without loss of employment to people (Becker, 1980). It is also advisable for this company to operate globally and diversify on production of goods and services.
Becker, J. M. (1980). Unemployment benefits: Should there be a compulsory Federal standard? Washington: American Enterprise Institute. Read More
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