The Knowledge Workers' Strike

1204 words 5 pages
Brandon Burge
MBA 523
27 March 2010

The Knowledge Workers’ Strike Case Analysis

Any negotiation can be tricky, but especially ones in which differently positioned, opposing sides are trying to decide what is fair. These situations can grow from a single spark into a raging firestorm before either side knows what really happened. In the situation of Detonation and the Software Engineers Guild (SEG), both sides sit anxiously to determine what issue the other side is willing to give on in order to strike a labor deal. The ball is currently in Detonation’s court, and they must decide how they want to progress with the contract negotiations. Detonation has the option to attempt to work collaboratively with SEG and find a mutual
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Since Tetsui’s team would be the best and brightest of the company, they would be offered generous compensation packages. By removing Tetsui and the best coders from the union, the union would lose a good portion of its power and bargaining position. Also, by securing Tetsui and his team, Tetsui would be satisfied that a strike would not impact his current and future gaming projects. Once Detonation has successfully remove Tetsui from the negotiations, they need to make a firm last chance offer. This last offer needs to be appealing to the SEG since any denial of the offer would surely lead to a strike. The offer will be base on the two major issues that keep the SEG from accepting any previous deals. This offer will be a tiered increase in the pay and benefits with the first year resulting in a 2% increase that would be retroactive to the beginning of the year. Year two would be a 3% increase in pay and benefits with the final contractual year increasing by 5%. In the final year, the SEG would get the greatest increase but would also have to transition from revenue sharing to a profit based sharing model. The second highlight of the offer would be to give the SEG a small foothold in the internet gaming division. SEG’s involvement in the internet gaming division would be a tiered approach as well with the final jurisdiction being based upon the


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