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Sara Lee's corporation dispute with its employee
What is the argument about?
Indonesia Sara Lee Corporation is a big company engaged in consumer products, a Chicago-based Sara Lee Corporation and operates in 58 countries, markets branded products in nearly 200 countries and has 137,000 employees world wide. It was shaken by the problems with its employees. About 200 workers of bakery section which are incorporated in the Unions of Indonesian labors Sara Lee, was held strike action in the factory yard, Km 27 Raya Bogor Street, East Jakarta, Wednesday (10/11/19). This strike action was not only in Jakarta but simultaneously throughout Sara Lee distributor in Indonesia. In fact, the workers in the regions sent 'envoy' to Jakarta to strengthen their claims. The envoy was not a person, but it was the form of a banner for the Sara Lee Corporation that was sent from a few regions.
Who Claims What?
The workers demanded the management to appreciate their devotion to the period of employment in Indonesia Sara Lee Corporation by providing them welfare, severance payment and increasing the number of compensation in accordance with their rights. Estimated value of the employee's claim of Rp. 172 billion. They demanded their severance of up to eight times higher than their salary because for over a dozen years the employee has been contributing to raise companies of Sara Lee Indonesia achieved the Center of Exellen (COE). However, the aspirations of the employees were never addressed by the management.
In response, Kusuma Wardhana, Operational Director of Indonesia Sara Lee, said, in fact the management of company has given more rights to the employees. Therefore, in accordance with the regulations, if an employee resigns, she/he will only get a one-time severance salary. From the beginning, Kusuma Wardhana wanted to minimize the number of layoffs, that is why the company offers to its employees are flexible. Sara Lee Corporation offers to its employees, whether to resign or stay to join even eventually the company's management would going to be changed. At last the company decided just want to give severance pay of 3.5 times higher than their salary. So each worker would get severance pay amount Rp. 36 million to Rp 80 million.
In response, Kusuma Wardhana, Operational Director of Indonesia Sara Lee, said, in fact the management of company has given more rights to the employees. Therefore, in accordance with the regulations, if an employee resigns, she/he will only get a one-time severance salary. From the beginning, Kusuma Wardhana wanted to minimize the number of layoffs, that is why the company offers to its employees are flexible. Sara Lee Corporation offers to its employees, whether to resign or stay to join even eventually the company's management would going to be changed. At last the company decided just want to give severance pay of 3.5 times higher than their salary. So each worker would get severance pay amount Rp. 36 million to Rp 80 million.
Why the Dispute Occured?
The case originated when the stocks of Sara Lee Corporation sold to Unilever Corporation. In the process of acquisition by PT. Sara Lee Indonesia is not communicated to employees in a transparent manner, especially about things related to the the provision of employee severance rights. A statement that the acquisition of the company to protect its employees. However, it was not proven because the number of options offered very minimalist while the employee required more. This has led to increasing a dispute between the employee and the Indonesia Sara Lee Corporation.
The case originated when the stocks of Sara Lee Corporation sold to Unilever Corporation. In the process of acquisition by PT. Sara Lee Indonesia is not communicated to employees in a transparent manner, especially about things related to the the provision of employee severance rights. A statement that the acquisition of the company to protect its employees. However, it was not proven because the number of options offered very minimalist while the employee required more. This has led to increasing a dispute between the employee and the Indonesia Sara Lee Corporation.
Case Analysis and the Solution
The struggle of hundreds of workers of Indonesia Sara Lee who demanded severance up to eight times higher than their salary did not work out because the company only willing to give severance pay amount of 3.5 times higher than their salary. In their strike action who were in majority of female, they said the strike would not stopped until their demands were fulfilled by company. Besides, the management of company said that their demands were too high which was company could not released it.
In this case, the union employees / workers can obviously make efforts in litigation or non-litigation in the settlement of labor disputes. But labor unions need to develop a strategy, look for alternatives that exist to be able to execute their rights, one of them by utilizing collective space berganining in negotiating. The negotiation process is relatively fast, inexpensive and gives access to all the disputing parties in obtaining justice or settlement satisfactory to both parties. The negotiation process will not be able to work well without the support of a good negotiating skills anyway. Therefore the most important aspect in the settlement of disputes through negotiation is the ability to negotiate the Labor Unions as a reliable negotiator.
In this case I think it needed the negotiation pattern called “Win-win Solution” where all parties are winning, the demands and wishes of both parties can be accommodated. In my opinion, the negotiations amicably is the only solution that can reduce the demo. Management of Indonesia Sara Lee must negotiate with the workers at first in order to find an agreement point. The workers should have agreed in considering and calculating the rights they deserved according to the information given by the company. Similarly, the company management should not be too discrediting the fate of the workers. The company management should be wise in communicating transparently all matters relating to the acquisition of the company in order to avoid miscommunication on both sides.
Related to the issues about the demands put forward by employees at eight times higher than their salaries, as well as with the offer provided by the company that is 3.5 times higher than the employee’s salaries, in my opinion it can be taken the middle way . Because for the company also benefited in the acquisition process so it would be better if the company can add value to their employees welfare and severance pay a slightly higher than the previous offers, may be four times higher, for the employees also are valuable corporate assets, for their contribution also so that the company can thrive by doing various promotions and worked hard to promote the product. Employees also should not be too selfish by their selfish interests because everything about the distribution of severance pay and employee well being has been in the company since its inception and has also been stipulated in labor laws. If demonstrations continue to occur, instead, Indonesia Sara Lee will have even greater losses, because if the operations are not running as usual, profits will not be obtained.
In this case I think it needed the negotiation pattern called “Win-win Solution” where all parties are winning, the demands and wishes of both parties can be accommodated. In my opinion, the negotiations amicably is the only solution that can reduce the demo. Management of Indonesia Sara Lee must negotiate with the workers at first in order to find an agreement point. The workers should have agreed in considering and calculating the rights they deserved according to the information given by the company. Similarly, the company management should not be too discrediting the fate of the workers. The company management should be wise in communicating transparently all matters relating to the acquisition of the company in order to avoid miscommunication on both sides.
Related to the issues about the demands put forward by employees at eight times higher than their salaries, as well as with the offer provided by the company that is 3.5 times higher than the employee’s salaries, in my opinion it can be taken the middle way . Because for the company also benefited in the acquisition process so it would be better if the company can add value to their employees welfare and severance pay a slightly higher than the previous offers, may be four times higher, for the employees also are valuable corporate assets, for their contribution also so that the company can thrive by doing various promotions and worked hard to promote the product. Employees also should not be too selfish by their selfish interests because everything about the distribution of severance pay and employee well being has been in the company since its inception and has also been stipulated in labor laws. If demonstrations continue to occur, instead, Indonesia Sara Lee will have even greater losses, because if the operations are not running as usual, profits will not be obtained.
Hai Sobat Shantycr7 :). Postinganku kali ini berhubungan dengan salah satu mata kuliah. Nah buat saudara-saudara yang lagi mencari contoh study kasus atau case study yang penyelesaiannya dengan bernegosiasi (negotiation) silakan boleh dilihat contoh punyaku, tapi ingat jangan asal kopas ya, harus dibaca baik-baik. Ingat juga dilarang keras mempublikasikan semua tulisanku tanpa mencantumkan sumbernya. Hargailah karya orang lain :) karena akhir-akhir ini ada beberapa orang yang mencuri tulisanku tanpa mencantumkan author nya, bukannya apa-apa hanya saja aku merasa tidak dihargai. Tapi ya sudahlah ga apa-apa semoga mereka segera bertobat hehhe. Well, berikut ulasannya, bagi yang ga paham bahasa Inggris bisa ditranslate di google translate ya hehehh soalnya aku buatnya pakai bahasa Inggris :)
Sara Lee's corporation dispute with its employee
What is the argument about?
Indonesia Sara Lee Corporation is a big company engaged in consumer products, a Chicago-based Sara Lee Corporation and operates in 58 countries, markets branded products in nearly 200 countries and has 137,000 employees world wide. It was shaken by the problems with its employees. About 200 workers of bakery section which are incorporated in the Unions of Indonesian labors Sara Lee, was held strike action in the factory yard, Km 27 Raya Bogor Street, East Jakarta, Wednesday (10/11/19). This strike action was not only in Jakarta but simultaneously throughout Sara Lee distributor in Indonesia. In fact, the workers in the regions sent 'envoy' to Jakarta to strengthen their claims. The envoy was not a person, but it was the form of a banner for the Sara Lee Corporation that was sent from a few regions.
Who Claims What?
The workers demanded the management to appreciate their devotion to the period of employment in Indonesia Sara Lee Corporation by providing them welfare, severance payment and increasing the number of compensation in accordance with their rights. Estimated value of the employee's claim of Rp. 172 billion. They demanded their severance of up to eight times higher than their salary because for over a dozen years the employee has been contributing to raise companies of Sara Lee Indonesia achieved the Center of Exellen (COE). However, the aspirations of the employees were never addressed by the management.
In response, Kusuma Wardhana, Operational Director of Indonesia Sara Lee, said, in fact the management of company has given more rights to the employees. Therefore, in accordance with the regulations, if an employee resigns, she/he will only get a one-time severance salary. From the beginning, Kusuma Wardhana wanted to minimize the number of layoffs, that is why the company offers to its employees are flexible. Sara Lee Corporation offers to its employees, whether to resign or stay to join even eventually the company's management would going to be changed. At last the company decided just want to give severance pay of 3.5 times higher than their salary. So each worker would get severance pay amount Rp. 36 million to Rp 80 million.
In response, Kusuma Wardhana, Operational Director of Indonesia Sara Lee, said, in fact the management of company has given more rights to the employees. Therefore, in accordance with the regulations, if an employee resigns, she/he will only get a one-time severance salary. From the beginning, Kusuma Wardhana wanted to minimize the number of layoffs, that is why the company offers to its employees are flexible. Sara Lee Corporation offers to its employees, whether to resign or stay to join even eventually the company's management would going to be changed. At last the company decided just want to give severance pay of 3.5 times higher than their salary. So each worker would get severance pay amount Rp. 36 million to Rp 80 million.
Why the Dispute Occured?
The case originated when the stocks of Sara Lee Corporation sold to Unilever Corporation. In the process of acquisition by PT. Sara Lee Indonesia is not communicated to employees in a transparent manner, especially about things related to the the provision of employee severance rights. A statement that the acquisition of the company to protect its employees. However, it was not proven because the number of options offered very minimalist while the employee required more. This has led to increasing a dispute between the employee and the Indonesia Sara Lee Corporation.
The case originated when the stocks of Sara Lee Corporation sold to Unilever Corporation. In the process of acquisition by PT. Sara Lee Indonesia is not communicated to employees in a transparent manner, especially about things related to the the provision of employee severance rights. A statement that the acquisition of the company to protect its employees. However, it was not proven because the number of options offered very minimalist while the employee required more. This has led to increasing a dispute between the employee and the Indonesia Sara Lee Corporation.
Case Analysis and the Solution
The struggle of hundreds of workers of Indonesia Sara Lee who demanded severance up to eight times higher than their salary did not work out because the company only willing to give severance pay amount of 3.5 times higher than their salary. In their strike action who were in majority of female, they said the strike would not stopped until their demands were fulfilled by company. Besides, the management of company said that their demands were too high which was company could not released it.
In this case, the union employees / workers can obviously make efforts in litigation or non-litigation in the settlement of labor disputes. But labor unions need to develop a strategy, look for alternatives that exist to be able to execute their rights, one of them by utilizing collective space berganining in negotiating. The negotiation process is relatively fast, inexpensive and gives access to all the disputing parties in obtaining justice or settlement satisfactory to both parties. The negotiation process will not be able to work well without the support of a good negotiating skills anyway. Therefore the most important aspect in the settlement of disputes through negotiation is the ability to negotiate the Labor Unions as a reliable negotiator.
In this case I think it needed the negotiation pattern called “Win-win Solution” where all parties are winning, the demands and wishes of both parties can be accommodated. In my opinion, the negotiations amicably is the only solution that can reduce the demo. Management of Indonesia Sara Lee must negotiate with the workers at first in order to find an agreement point. The workers should have agreed in considering and calculating the rights they deserved according to the information given by the company. Similarly, the company management should not be too discrediting the fate of the workers. The company management should be wise in communicating transparently all matters relating to the acquisition of the company in order to avoid miscommunication on both sides.
Related to the issues about the demands put forward by employees at eight times higher than their salaries, as well as with the offer provided by the company that is 3.5 times higher than the employee’s salaries, in my opinion it can be taken the middle way . Because for the company also benefited in the acquisition process so it would be better if the company can add value to their employees welfare and severance pay a slightly higher than the previous offers, may be four times higher, for the employees also are valuable corporate assets, for their contribution also so that the company can thrive by doing various promotions and worked hard to promote the product. Employees also should not be too selfish by their selfish interests because everything about the distribution of severance pay and employee well being has been in the company since its inception and has also been stipulated in labor laws. If demonstrations continue to occur, instead, Indonesia Sara Lee will have even greater losses, because if the operations are not running as usual, profits will not be obtained.
In this case I think it needed the negotiation pattern called “Win-win Solution” where all parties are winning, the demands and wishes of both parties can be accommodated. In my opinion, the negotiations amicably is the only solution that can reduce the demo. Management of Indonesia Sara Lee must negotiate with the workers at first in order to find an agreement point. The workers should have agreed in considering and calculating the rights they deserved according to the information given by the company. Similarly, the company management should not be too discrediting the fate of the workers. The company management should be wise in communicating transparently all matters relating to the acquisition of the company in order to avoid miscommunication on both sides.
Related to the issues about the demands put forward by employees at eight times higher than their salaries, as well as with the offer provided by the company that is 3.5 times higher than the employee’s salaries, in my opinion it can be taken the middle way . Because for the company also benefited in the acquisition process so it would be better if the company can add value to their employees welfare and severance pay a slightly higher than the previous offers, may be four times higher, for the employees also are valuable corporate assets, for their contribution also so that the company can thrive by doing various promotions and worked hard to promote the product. Employees also should not be too selfish by their selfish interests because everything about the distribution of severance pay and employee well being has been in the company since its inception and has also been stipulated in labor laws. If demonstrations continue to occur, instead, Indonesia Sara Lee will have even greater losses, because if the operations are not running as usual, profits will not be obtained.
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Posted by: Roxuai
roxuai
Updated at :
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Semoga tulisan ringan ini bermanfaat ya, mohon maaf jika ada kekurangan. Maklum masih belajar menulis hehehe. Kalau ada yang perlu ditambahin bisa kamu informasikan melalui komentar dibawah yaa... Oh ya kamu bisa membagikan artikel ini melalui tombol share dibawah juga ok, dan sekali jangan lupa untuk berkomentar yaaa :) Terima kasih sudah mengunjungi blog aku ^^ ~ Kiku
Silahkan berkomentar dengan bijak dan sopan , komentar dengan Link Aktif, SARA, Promosi akan masukan ke SPAM , Yang ingin berbagi informasi seputar KPOP boleh banget. Yuk saling berbagi informasi.