Labor Union Relations - Essay Example

Labor Union Relations ID Lecturer The two-tier wage systems are unfair and do not represent a justified version of how employees should be dealt with. The labor union regimes must be given the respect that they deserve because they deal with labors and employees on a very personal level. The two-tier wage systems create animosity amongst the lower tier whereby they believe that they are being hard done by and being paid less just due to the fact that they are placed the lower category. The two-tier wage system is therefore dysfunctional and brings more harm than doing any good for the sake of the organization in the long run.

One should believe that labor unions would not come into existence if the two-tier wage systems are kept at a safe distance from the shores of the organization. This is a classic case of understanding the employees’ perspectives where the main emphasis is on setting things right and thus making all the employees feel well with the operational policies and standard wage structures. However this hardly happens and the end result leads up to a good amount of problems for the two tiers, and in essence the employees and labors themselves who feel the pinch in the best of times.

More than anything else, it is the resilience of the organization which is not easily digested by the labor unions which are against the dictum of having two-tier wage systems in place. This is something that does not go down well with the people at large within the aegis of an organization that has seriously adopted the incorporation of two tiers within its wage systems. The element of fairness or the lack thereof creeps into the equation for all the right reasons. The labor unions usually fight for the sake of having a wage system which is based on fairness and does not have any problems for all and sundry.

However this seems to be an unexpected aspect of salaries and wages that are given out to the employees in the time and age of today. As far as the organizations of present times are concerned, this could be made appropriate if the wages policies and strategies are proportionate with the policies that have been laid down time and again within the companies (Hom 2001). What this means is that the laws that allow for the effective handling of employees as well as the workers within the organizations need to be followed so that the top management understands what is best for them and how they can contribute in an effective manner towards the well being of the employees and the workers as well.

The end result should be one that benefits the employees and labors at large. From an organizational standpoint, the businesses could lose out on maximizing profits if they do not ensure the significant issues attached with the two-tier wage systems in place. Therefore one can be sure that the two-tier wage systems are unfair and have little or no significance within the current times due to a host of reasons, all of which are pertinent to the overall well-being of the companies and business regimes.

References Hom, Peter W (2001). The High Cost of Low Wages: Does Maquiladora Compensation Reduce Turnover? Journal of International Business Studies, Vol. 32