XYZ is a reputed organization in Food Manufacturing Industry in Sri Lanka. It has 1000 non-executive level employees, and they are represented by the "Sewaka Handa" trade union. Demanding a salary increment, they had several discussions with the management of the company. However, the slalary increment was not up to the expected level by the union. Therefore, the union decided to engage in a trade union action and instructed the members to work to rule until their demands are met. All the members started to work to rule as instructed by the trade union. As a result, the factory's smooth operation was disturbed, and few bottlenecks occurred. The company could not complete one of the critical and urgent orders due to this. Having experienced this situation management of XYZ has decided to take disciplinary actions against the employees A. Comment of the decision taken by the “Sewaka Handa” to go for a trade union action B. Can the management of XYZ company take action against employees? Justify your answer

Understanding Business
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ISBN:9781259929434
Author:William Nickels
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Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment
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XYZ is a reputed organization in Food Manufacturing Industry in Sri Lanka. It has 1000 non-executive level employees, and they are represented by the "Sewaka Handa" trade union. Demanding a salary increment, they had several discussions with the management of the company. However, the slalary increment was not up to the expected level by the union. Therefore, the union decided to engage in a trade union action and instructed the members to work to rule until their demands are met. All the members started to work to rule as instructed by the trade union. As a result, the factory's smooth operation was disturbed, and few bottlenecks occurred. The company could not complete one of the critical and urgent orders due to this. Having experienced this situation management of XYZ has decided to take disciplinary actions against the employees

A. Comment of the decision taken by the “Sewaka Handa” to go for a trade union action

B. Can the management of XYZ company take action against employees? Justify your answer

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