If the company has low skilled employees than they will not be making the most out of their assets because there will be more wastage in production, this can result in an increase in the amount being able to provide to the public. If production levels fall then the company will make less money because they will not be able to see as much to the public as they could if they did have highly skilled workers. Therefore it is important to review the workforce plan constantly to understand when more highly skilled workers will be needed. External The fact that the current market has a global shortage of mining professionals does cause a problem to the company’s long term projects. This is because the company will need highly skilled workers to maximise production without a large range to choose from.
The employees may feel a certain way about the layoff of the co-workers and also it may effect how they work. Also another thing is the loss of valuable and knowledgeable employees may affect others too. The new hire people will have no one to ask if they do not understand or know how to perform a task asked of them. This can cause serious problems for productivity and for the patients at the clinic. The last disadvantage I think will be a problem to the Dodge Clinic is employees seeking employment elsewhere because they do not feel there job is secure.
If the employee did not know what the job entailed beforehand, they would fear that they would not like it for a number of reasons including the working hours or the wage, as it may not come up to their standard. The job description may also cover the eventuality of a problem occurring which involves the applicant. For example if a person if of sick, it may fall to them to cover for that person which may lead to that employee taking up two job roles at once which could cause immense pressure. The employee has to be aware of this, as it may not be a rare occurrence. The applicant may be told that their job role may tail off into different roles during the time period they are there.
If there is no minimum wage, then companies can pay ridiculously low wages to its employees 4. Companies could work together and take advantage of the workforce by forcing them to work for low prices B. Greater costs to society 1. Minimum wage leads to an increase in unemployment and those unemployed people are then a burden on society because the government has to pay for them through welfare
The LFS limits the accuracy of the calculation of the unemployment rate because it results in the issue of “underemployment” or “underutilisation” meaning that people are able and willing to work more hours, however are unable to do so due to the lack of demand from firms for workers to work additional hours. 4) Suppose a firm decides to pay its employees “efficiency wages” that are much higher than in other comparable firms. What may be the reasons for this and
Employers no longer needed as much workers to do the same tasks. That factor as well as wage cuts and panics led to more strikes. The Knights of Labor failed when conflict emerged between skilled and unskilled workers. The AFL
The loss of production and or customers due to failure to deliver the employees or products you sell is also an indirect cost that affects the business in a negative way. One indirect cost many of us do not think of is the effect on the companies morale and that can take a toll on others employees especially the ones who are taking the brunt of the work that the separated employee was performing. Turnover and the indirect cost can even include more frequent accidents and higher injuries due to the inexperience of newcomers. If you take all of the cost, the indirect and direct cost into consideration, you can start to see the full scope and calculate the cost of the
If other things change, then one cannot directly apply supply/demand analysis. Sometimes supply and demand are interconnected, making it impossible to hold other things constant (Colander, The Limitation of Supply/Demand Analysis, 2010). “In supply/demand analysis, you would look at the effect that fall would have on workers’ decisions to supply labor, and on business’s decision to hire workers. However, there are also other effects (Colander, The Limitation of Supply/Demand Analysis, 2010). “For instance, the fall in the wage lowers people’s income and thereby reduces demand.
The role of unions allow members to negotiate for better wages and benefits but dissenters would argued that unions tend to use their collective bargaining to push for wages and benefits that are too excessive leaving no room for flexibility, which often leads to a dead halt in where both the employer and union members are not satisfied with the outcome. An article in American Thinker reported that some unionized
However, many people believe that an increase in minimum wage would jeopardize the workforce. If minimum wage was increased, then unskilled workers would not have any incentive to “go above and beyond” to get higher pay. This would lead to employers thinking the payment the employee is receiving is not worth the work they are doing. Also, some employers may not do an “across the board” increase, which means employees who have been with the company longer may be making the same amount as new hires. Therefore, this may cause disputes between employers and employees.