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How to handle a strike situation in a company

How to Handle a Strike Situation in a Company | Strategies and Tips for Employers

How to handle a strike situation in a company

How to Handle a Strike Situation in a Company | Strategies and Tips for Employers

Managing a Company Strike, How to Handle a Strike Situation in a Company?

Handling a strike situation in a company can be a complex and challenging process that requires careful planning, communication, and a willingness to negotiate with striking employees. In this article, you’ll find some details, reasons, and steps to consider when handling a strike situation in a company. This is how to handle a strike situation in a company:

1. Understand the reasons for the strike

Before taking any action, it’s crucial to understand the reasons why employees are striking. Employees go on strike as a collective action to protest against various issues that they feel are negatively affecting their working conditions or their rights. This involves speaking with employees, their representatives, and reviewing any relevant documentation. Understanding the underlying issues can help employers address them and reach a resolution.

  • Employers should take the time to understand the reasons for the strike to address the underlying issues and come to a resolution. This involves actively listening to employees’ concerns, engaging with their representatives, and reviewing any relevant documentation or policies.
  • For example, in 2021, healthcare workers in Nigeria went on strike to demand better pay, working conditions, and equipment. The government engaged in negotiations with the workers’ union to resolve the strike and improve working conditions in the healthcare sector.
Here are some common reasons why employees go on strike:
  1. Wages and benefits: One of the most common reasons for a strike is wages and benefits. Employees may feel that they are not being paid fairly or that their benefits are not adequate.
    Example: In 2020, healthcare workers in Zimbabwe went on strike demanding better salaries and improved working conditions.
  2. Job security: Another reason for a strike is job security. Employees may feel that their jobs are at risk due to layoffs or outsourcing.
    Example: In 2019, workers at General Motors went on strike to protest against the closure of several plants in the United States.
  3. Workplace safety: Employees may also go on strike to protest against unsafe working conditions, lack of safety equipment or inadequate safety measures.
    Example: In 2018, Marriott hotel workers in several cities went on strike demanding better safety measures to protect them from sexual harassment and assault.
  4. Discrimination and harassment: Employees may also go on strike to protest against discrimination and harassment in the workplace.
    Example: In 2018, Google employees in several countries staged a walkout to protest against the company’s handling of sexual harassment claims and lack of action on issues related to diversity and inclusion.
  5. Working hours and conditions: Employees may also go on strike to protest against long working hours, lack of breaks, and other working conditions.
    Example: In 2020, Amazon warehouse workers in several countries went on strike to protest against long working hours, lack of safety measures, and inadequate pay.

2. Develop a strike management plan

A strike management plan should outline the steps that the company will take to minimize the impact of the strike on the business, employees, and customers. This may include identifying essential personnel, ensuring security, and developing a communication plan.

  • Employers should create a detailed strike management plan to minimize the impact of the strike on the business and its operations. The plan should include measures such as identifying essential personnel, ensuring security, and communicating with all relevant parties.
  • For example, during the 2020 Chicago teachers’ strike, the city’s school district developed a strike management plan that included providing free meals to students, increasing security measures, and offering remote learning options for students who were unable to attend school due to the strike.
Developing a strike management plan involves the following steps:
  1. Assess the situation: Employers should assess the potential impact of a strike on their business, such as the number of employees likely to participate in the strike, the duration of the strike, and any legal obligations the employer has. For example, during the 2019 United Auto Workers (UAW) strike against General Motors, the company assessed the potential impact of the strike on its operations and supply chain.
  2. Develop contingency plans: Employers should develop contingency plans to maintain operations during the strike. This can include hiring temporary workers, cross-training existing employees, or adjusting production schedules. For example, during the 2018 Marriott hotel worker strike, the company hired temporary workers to maintain operations.
  3. Define roles and responsibilities: Clarify the roles and responsibilities of each team member, including who will be responsible for communicating with the striking employees, negotiating with union leaders, and coordinating contingency plans.
  4. Develop a communication plan: Employers should develop a communication plan to keep stakeholders informed about the strike, its impact on the business, and any updates related to negotiations. This can include regular updates to employees, customers, and suppliers through email, social media, or dedicated hotlines. For example, during the 2019 John Deere strike, the company established a team to provide regular updates to its employees and stakeholders.
  5. Identify legal risks: Employers should identify any legal risks associated with the strike, such as potential lawsuits or violations of labor laws. This can involve seeking legal advice from a qualified attorney. For example, during the 2018 teacher strike in West Virginia, the state’s attorney general advised school districts on how to comply with the law during the strike.
  6. Develop a negotiation strategy: Employers should develop a negotiation strategy to work towards a resolution with striking employees. This can involve engaging a neutral mediator to facilitate negotiations or making offers to striking employees to address their concerns. For example, during the 2021 Kellogg’s worker strike, the company and union engaged in negotiations to reach a resolution.

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3. Maintain open lines of communication

Communication is key during a strike situation. Employers should provide regular updates to employees, customers, and stakeholders, outlining the steps being taken to address the strike and minimize disruption.

  • Employers should create a detailed strike management plan to minimize the impact of the strike on the business and its operations. The plan should include measures such as identifying essential personnel, ensuring security, and communicating with all relevant parties.
  • For example, during the 2018 Marriott hotel workers’ strike, the hotel chain maintained open lines of communication with employees, offering regular updates on negotiations and the status of the strike. This helped to minimize confusion and uncertainty among employees and customers.
Here are some examples of how to maintain open lines of communication:
  1. Provide regular updates: Employers can provide regular updates to employees through email updates, newsletters, or social media posts. For example, Amazon provided regular updates on the impact of the strike on its operations through its blog and social media channels.
  2. Listen to employees: Employers should actively listen to employees’ concerns and grievances and provide feedback where possible. For example, during the 2019 United Auto Workers (UAW) strike against General Motors, the company’s CEO, Mary Barra, met with UAW leaders to listen to their concerns and work towards a resolution.
  3. Be transparent: Employers can be transparent about their position in negotiations, what they can and cannot offer, and any legal obligations they have. For example, during a 2018 strike by Marriott hotel workers, the company released a statement detailing its position and offering its employees a wage increase.
  4. Use a neutral mediator: Employers can engage a neutral mediator to facilitate discussions and reach a resolution. For example, during a 2019 strike by Chicago teachers, the city engaged a neutral mediator to facilitate negotiations between the teachers’ union and the school district.
  5. Establish a crisis management team: Employers should establish a crisis management team to handle all communication related to the strike. For example, during the 2021 John Deere strike, the company established a team to provide regular updates to its employees and other stakeholders.

Read also: Crisis Management Team (CMT): Roles, Responsibilities, and Best Practices for Effective Crisis Response

4. Negotiate with striking employees

Negotiating with striking employees can be challenging, but it’s essential to resolving the situation. Employers should be willing to listen to employees’ concerns, and negotiate in good faith. This may involve offering concessions or other incentives to reach a resolution.

  • Employers should negotiate in good faith with striking employees and their representatives to come to a mutually agreeable resolution. This may involve making concessions or compromises to address the workers’ concerns.
  • For example, in 2019, General Motors (GM) workers went on strike to demand better pay, benefits, and job security. To handle the strike, GM engaged in negotiations with striking workers and their representatives. The company also offered a new contract that addressed workers’ concerns and eventually reached an agreement with the workers’ union.
Negotiating with striking employees can be a delicate process, but here are some general steps to follow:
  • Identify the key issues: Employers should work to identify the key issues driving the strike and determine what concessions they may be willing to make.
    • Show empathy and understanding for the concerns and grievances of the striking employees.
    • Use phrases such as “I understand that you’re frustrated” or “I can see why this is important to you”.
  • Establish a communication channel: Employers should establish a communication channel with the striking employees to negotiate in good faith. This can involve engaging a neutral mediator or arbitrator.
    • Maintain open lines of communication throughout the negotiation process and make sure all parties are involved and informed.
    • Use phrases such as “Let’s keep talking and working towards a solution” or “We appreciate your input and want to keep the lines of communication open.”
  • Make offers: Employers should make offers to address the concerns of the striking employees. This can involve offering wage increases, improved working conditions, or other concessions.
    • Propose solutions or compromises that can address the concerns of the striking employees.
    • Use phrases such as “Here’s what we can do” or “Let’s find a way to work together”.
  • Listen to employee concerns: Employers should listen to the concerns of the striking employees and be willing to adjust their offers as negotiations progress.
    • Listen to the concerns of the striking employees and ask questions to clarify their positions.
    • Use phrases such as “Can you tell me more about that?” or “What can we do to address this issue?”
  • Work towards a resolution: Employers should work towards a resolution that satisfies the concerns of both parties.
    • Avoid using language that blames the striking employees or makes them feel defensive.
    • Use phrases such as “Let’s work together to find a solution” instead of “You need to stop the strike.”
Here are some examples of successful negotiations during strikes:
  • In 2019, the United Auto Workers (UAW) went on strike against General Motors (GM) over wage increases, health care benefits, and job security. After weeks of negotiations, GM agreed to a deal that included wage increases, improvements to health care benefits, and job security provisions.
  • In 2020, healthcare workers at the University of Illinois Hospital and Clinics went on strike over concerns related to COVID-19 safety protocols and staffing levels. After a week-long strike, the hospital and the union reached an agreement that included improved staffing levels, hazard pay, and better PPE for employees.
  • In 2018, teachers in West Virginia went on strike over low wages and rising health care costs. After a nine-day strike, the state agreed to a 5% pay increase and made changes to the state’s health care program.

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5. Seek legal advice

Strikes can have legal implications, and it’s essential to seek legal advice to ensure compliance with labor laws and regulations. Legal advice can also help employers understand their rights and obligations during a strike.

  • Employers should seek legal advice to ensure compliance with labor laws and regulations, and to understand their rights and obligations during a strike. Legal advice can also help employers prepare for potential legal challenges.
  • For example, during the 2019 British Airways pilots’ strike, the airline sought legal advice to ensure compliance with labor laws and regulations. The company also engaged in negotiations with striking pilots to reach a resolution.
Seeking legal advice is an important step in managing a company strike. Here are some general steps to follow:
  1. Hire an experienced labor lawyer: Employers should hire an experienced labor lawyer who can provide advice on the legal aspects of the strike and guide them through the negotiation process.
  2. Review labor laws: Employers should review federal and state labor laws to ensure that they are in compliance with legal requirements related to strikes, picketing, and other forms of labor protest.
  3. Develop a legal strategy: Employers and their legal counsel should develop a legal strategy that takes into account the specific circumstances of the strike and the goals of the employer.
  4. Obtain court injunctions: Employers may seek court injunctions to limit the activities of striking employees, such as picketing or blockading entrances to the workplace.
  5. Consider alternative dispute resolution: Employers may also consider alternative dispute resolution methods, such as mediation or arbitration, to resolve the strike.
Here are some examples of companies seeking legal advice during a strike:
  • In 2021, healthcare workers at St. Vincent Hospital in Massachusetts went on strike over staffing levels and other concerns. The hospital sought an injunction to limit picketing by the striking workers.
  • In 2019, Stop & Shop supermarkets in New England experienced a strike by over 30,000 workers. The company sought legal advice on how to handle the strike and eventually reached a deal with the workers’ union.
  • In 2018, Marriott hotel workers in several cities went on strike over wages and working conditions. The company sought legal advice on how to manage the strike and reached a deal with the workers’ union after several weeks of negotiations.

6. Consider the potential impact on the business and plan for contingencies

Strikes can have a significant impact on a business’s operations, reputation, and financial performance. Employers should consider the potential impact of a strike on the business and develop contingency plans to mitigate any negative effects.

  • Employers should assess the potential impact of a strike on the business and develop contingency plans to mitigate any negative effects. This may involve identifying alternative suppliers or service providers, temporarily reducing operations, or providing support to affected employees.
  • For example, during the 2020 UPS workers’ strike, the company developed contingency plans to ensure that critical packages were still delivered to customers. The company also offered support to affected employees, such as providing job training and assistance with finding alternative employment.
When faced with a company strike, it is important to consider the potential impact on the business and plan for contingencies. Here are some steps that can be taken:
  1. Assess the potential impact: Employers should assess the potential impact of the strike on their business, including lost revenue, disruption to operations, and damage to reputation.
  2. Develop a contingency plan: Employers should develop a contingency plan to mitigate the impact of the strike on their business. This may include hiring replacement workers, outsourcing work, or adjusting production schedules.
  3. Communicate with stakeholders: Employers should communicate with stakeholders, including customers, suppliers, and investors, to inform them of the situation and any changes to operations.
  4. Monitor the situation: Employers should closely monitor the situation and adjust their contingency plan as necessary.
Here are some examples of companies that have considered the potential impact of a strike and planned for contingencies:
  • In 2020, workers at General Motors went on strike, causing production disruptions and supply chain issues. The company had prepared for the strike by stockpiling inventory and working with suppliers to secure alternative parts.
  • In 2019, United Auto Workers went on strike against Mack Trucks, causing disruptions to production. The company had contingency plans in place and was able to keep its operations running by hiring temporary workers and shifting production to other facilities.
  • In 2018, West Virginia teachers went on strike for nine days, causing school closures and disruptions to the education system. The state government had to develop a contingency plan to provide education services to students during the strike.

Conclusion: How to handle a strike situation in a company

Handling a strike situation in a company requires a proactive and strategic approach, including understanding the reasons for the strike, developing a strike management plan, maintaining open lines of communication, negotiating with striking employees, seeking legal advice, and considering the potential impact on the business and planning for contingencies. By using effective communication and negotiation techniques, companies can work towards a resolution that addresses the concerns of both the striking employees and the business.
Photo credit: Hawksky via Pixabay

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