N.I Express:
Rjan:
N.I Express:
If there has been a recent change in ownership of this company , they may have no option but to review all the costs involved in running the operation . If there are bank borrowings involved , it maybe that it is necessary to send monthly management accounts to the head office for review and the bank itself may review . If the %age ratio of wages cost to income is vastly different to other companies in the sector the question will be asked why and more to the point is it justifiable .And the answer must be “because the workers are unionised, and if we pay any less we will suffer a swingeingly expensive strike”. That is the language that the management and the bankers will clearly understand.
A strike may on the other hand prove to be very expensive for those on strike especially if management refuse to give in to strikers demands.
Of course, but it is always more expensive for the bosses.
Anyone who believes that they are underpaid has the simple option of resigning and going to work elsewhere.
Moving jobs itself inflicts disruption on the worker, involves the loss of certain rights and protections (including, as the case may be, the protection that comes from being in a workplace with a strong union), and presupposes that there are other firms in the market hiring freely and paying better. If the objective is to raise the market rate in your current job, or prevent it being eroded, then going elsewhere would simply hand victory to the bosses.
I personally have no wish to pay extra for my goods just to ensure that some workers are paid a premium compared to current market rates . A prolonged strike could ultimately result in a company being put into liquidation and as such the existing contracts would become worthless in any event .
Indeed, but a strike would reinforce to consumers that they have to pay a fair rate for their goods, not simply the cheapest rate available. As for the company going into liquidation, that can be good for workers overall in the appropriate circumstances, because that eliminates market competition, and results in another company having to hire additional workers at the higher rates in order to service the demand (and puts those bosses on notice too, of where they’ll be going if there is any assault on workers’ wages).
It also discourages future wage competition, because bankers and financiers, as well as bosses themselves, are put on notice of what happens to new firms that set up shop simply expecting to drive down wages.
I would have thought that the key issue in this case is what is the market rate for a tanker driver and are the current employees paid a premium compared to the curent market and if so , is it justifiable . Margins in Transport and Distribution are wafer thin and any businness such as this has to be run in cost efficient manner . If the wage / revenue /cost ratio is higher than industry averages , it maybe that management can no longer ignore it .
As I say, you make a powerful point that, ultimately, workers must be united against undercutting. But in a firm as large as Suttons with its entire workforce united in a threat to strike, there may be no other workforce available in the market to compare them to - it’s pointless comparing the wages that a thousand guys are on, to the wages that 100 guys are on in 10 separate firms down the road, and pretending that those 100 who are not on strike are going to do not only their current jobs, but also the work of another ten men apiece, all for the same rate of pay that they already get.
Indeed, those other firms paying lower wages may well be the bottom-feeders of the market, with the poorest training, operating with knackered equipment, which is not how a large firm like Suttons can operate when servicing large customers who need things to work like clockwork.
Your argument fundamentally rests on the assumption that there is always someone else willing and able to do the work for less (and the firm in question, such as Suttons, has to force down its wages to remain competitive), but that is not generally the case in skilled occupations. A workforce of sufficient size, united, can set it’s own market price, simply because their unity encompasses enough people that they effectively cannot be replaced.