Labor Relations- Ch. 2 Flashcards
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what are today's critical issues in human resources and industrial relations? (5)
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-growing labor market disparities -problems of low wage workers trying to move out of poverty and support families -corporate pressures for cost control, quality, and flexibility, to compete in a global, information-rich economy -need to educate individuals as lifelong learners because of ever-changing technologies -problems of work life balance, especially for working mothers
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what were parts of the labor problem in the 1900s? (4)
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-long hours -unsanitary working conditions -low pay -fear of arbitrary dismissal
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in the 1900's, workweeks of between __ and __ hours were common
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54, 57
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in the 1900's manager's had the mindset of workers as __
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machines
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across private and public sectors, the poor conditions of the labor problem were a problem for two broad reasons?
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-societal or human perspective, people should have better lives than this -business perspective, are workers motivated, productive, loyal?, lack consumer purchasing power
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four schools of thought about the employment relationship are?
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-mainstream economics school -human resources management school -industrial relations school -critical industrial relations school
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mainstream economics school of thought focuses on
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economic activity of self-interested agents, such as firms and workers, who interact in competitive markets, efficiency, equity, and voice are achieved through free-market competition
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in the mainstream economics school of thought, the price of labor =
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the value that labor contributes to the production process
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in the mainstream economics school, the best protection an employee has against his or her current employer is not, but rather __
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the gov, a lawyer, or a union, but other employees
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unions are seen as __ in the mainstream economics school of thought
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labor market monopolies that restrict the supply of labor and interfere with the invisible hand of free-market competition
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mainstream economics view work as
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lousy activity endured to make money
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mainstream view of monopoly labor unions is ingrained in __ and is the __view
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economic thought, dominant
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in economics view, the role of the gov is to not to establish ___, only to ___
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labor standards, promote competition
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human resource management school of thought definition
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believes the labor problem stems from poor management
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HRM school of thought sees that because management policies are responsive to the needs of employees, __ will also be achieved
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equity
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__ is typically informal in the HRM school of thought
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voice
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independent labor unions have the power to
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elect their own leaders, collect and spend their own dues money, establish their organizational objectives and strategies, and lead strikes
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HRM school says that if companies are following their school of thought of effective management, workers will be __
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satisfied and will not support a union
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HRM school of thought believes that independent unions are
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unnecessary third parties that prevent employers and employees from getting closer together
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nonunion representation plans definition
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management would meet and confer with worker representatives, but there would be no bargaining and the representation plans had no authority outside management
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industrial relations school the labor problem is believed to stem from
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unequal bargaining power between corporations and individual workers
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in the industrial relations school unequal bargaining power is the primary cause of
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labor problem
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in the industrial relations school, when capital has too much bargaining power the result is
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depotism, and the cornucopia flows with the weapons of dictators such as schackles
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in the industrial relations school, when labor is too powerful
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anarchy results, cornucopia is filled with the weapons such as daggers and bombs
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critical industrial relations school of thought emphasizes
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that capitalist institutions do not simply exist but are created by society, focuses our attention on how dominant groups design and control institutions to serve their own interests, imperfectly due to resistance from competing groups
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in the critical industrial view, corporations can
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shape the broader social context of labor relations to serve their own interests and perpetuate their control over labor
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in the critical industrial school, the division of labor is a strategy to
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make labor easily replaceable and therefore weak
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in the industrial school, the cause of the labor problem is believed to be
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the control of society's institutions, and the means of production by specific groups or classes. In this school of thought, the solution to the labor problem is therefore a significant restructuring of the nature of capitalism
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industrial school believes strong, militant unions can
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aid workers' struggles with capitalism by mobilizing and raising the consciousness of the working class and fighting for improved compensation, better working conditions, and greater control over workplace decision making
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what are the four causes of the labor problem of the early 20th century
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market failures, poor management, unequal bargaining power between employers and individual employees, or the domination of labor by the capital class
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mainstream economists view the purpose of the economic system as
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consumption
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mainstream economists view labor as
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another commodity or machine in the production process
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the other three schools see labor as
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human beings with aspirations, feelings, and rights
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in the economic school of thought sees employers and employees as
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equal
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in the other school of though employees and employers are not
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equal
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the HRM school has a ___ view on employment relationship conflict
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unitarist
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unitarist view definition
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conflict is not seen as an inherent or a permanent feature of the employment relationship, conflict is seen as a manifestation of poor HR management policies or interpersonal clashes such as personality conflicts
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the industrial relations school sees the workplace as characterized by __ and thus have a __ views
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multiple interests, pluralist
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what is the biggest conflict between employers and employees in the industrial relations school of thought?
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employers' drive for higher profits conflicts with labor's push for higher wages
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the pluralistic view is that employment relationship conflict features
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mixed motives, some issues are conflictual and some involve mutual interests
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believers in pluralist workplace conflict see government laws and labor unions as
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balancing this conflict, striking a balance among efficiency, equity, and voice
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the industrial relations school see labor unions are
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checks and balances in the workplace and are essential for protection and participation
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critical industrial relations school sees conflict as a ___
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class conflict
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class conflict definition
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unequal social relations are believed to pervade all capitalist institutions, management always has an upperhand
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in the critical industrial relation school, labor unions are ultimately
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inadequate for challenging the power of employers
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workplace governance definition
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nature of the balance that is struck among efficiency, equity, and boice
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what are the five possibilities for creating workplace rules?
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competitive labor markets, human resources management, worker control, bargaining with independent employee representatives (unions), statutory government regulation
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what are the two critical features of reliance on competitive labor markets
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mainstream economic theories plus common-law legal rules that protect individual liberties with the freedom of contract
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workplace rules will favor __ when labor demand is low and or labor supply is high
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management
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what are the key features of competitive labor markets for workplace governance
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promote efficiency and provide protections against abuses
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workplace rules are determined by who in the competitive labor market
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competition among firms for employees, competition among individuals for jobs
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who determines the workplace rules in the HRM governance mechanism?
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HR managers, perhaps in consultation with employees or by employees within parameters established by managers who have veto power
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distinguishing feature of the HRM governance mechanism for workplace rules is?
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policies, practices, and conditions unilaterally determined by management, human resource policies and employee participation in decision making can align the interests of employers and employees and promote efficiency, equity, and voice
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who determines workplace rules in the independent employee representation governance mechanism?
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jointly by employers and employees via collective bargaining
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what is the key feature of the independent employee representation governance mechanism?
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collective bargaining can equalize power between employers and employees while involving both sides in decision making
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what is the key feature of the government regulation as governance mechanism of workplace rules?
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laws can establish uniform standards for all that are not dependent on the vagaries of markets, managers, or worker power
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national labor policy is based on the assumption that
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the pluralist conflict in the employment relationship is best resolved via collective bargaining to balance efficiency, equity, and voice
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in the latter part of the 20th centure, the nonunion ____ model came to dominate
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HRM
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most recently, the ___ model of workplace governance is becoming dominant
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free-market
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in mainstream economics unions are __
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harmful because they are monopolies that impair economic efficiency
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what is the preferred workplace governance mechanism in the critical industrial relations school of thought?
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worker control or socialism
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what is the preferred workplace governance mechanism in the industrial relations school?
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government standards and labor union reps
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unionized workers in the US are estimated to have wages that are __% higher than comparable nonunion workers
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15
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union wage premium definition
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having higher wages than comparable non-union workers
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unionized workers are __% more likely to have employer-provided healthcare and pensions than comparable nonunion members
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15
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shock effect definition
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presence of a union shocks managers out of complacency and forces them to develop better managerial practices and policies that improve workplace efficiency, such as more formal HR policies such as training programs and objective rather than subjective selection tests
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unions reduce (2)
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profitability and employment growth but will not drive firms out of business
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what do unions do? (5)
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-raise wages -increase the probability of receiving health insurance and other benefits -facilitate the receipt of social insurance benefits -reduce income inequality -negotiate for grievance procedures with just cause discipline and discharge provisions
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labor movement definition
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social movement in which workers and unions from multiple workplaces join together to pursue common interests, most frequently in the political and social arenas
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the intellectual foundations of the U.S. system of labor relations come from
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the industrial relations school of thought