Cases and Exercises Experiential Exercise: Job Evaluations (page 429) This exercise will give students experience

in performing a job evaluation using the ranking method. When students have completed this exercise in their small groups, you should consider comparing results and discussing the similarities and differences.

Case Incident: Salary Inequities at Acme Manufacturing (page 430) 1. What would you do if you were Blankenship? This should generate lively discussion. Few students will argue for a do nothing approach, as the risk of legal damages is too high. Some students will argue that the discrepancies in salaries will not remain secret. If this is true, then women supervisors will discover they are underpaid and may seek additional back pay. Some students will suggest the company inform the supervisors that as a result of a recent compensation study, it was determined that these jobs were underpaid. The women in question will receive a larger raise at the time of their next performance review. Students in favor of this proposal will argue that by making it public but deferring the adjustment, they will signal that it is not a major crisis. Would have held meeting with 3 front line supervisors and convinced them for restructuring of salaries. Secondly addressing the team of senior management (3supervisor, 1hr director, any one male senior counterpart from remaining male strength) about this salary alignment process too. Taken everyone's thought and suggestions too as this step would bring in streamlining of salary, sex equality and more team spirit. 2. How do you think the company got into a situation like this in the first place? The informal system suggests that the local culture has overly influenced the compensation process. Issues like whether a spouse is working are not part of a professional compensation practice. Ignorance in job evaluation, underestimation of female employees, wrong preconcieved notions eg. female have earning husbands..... 3. Why would you suggest Blankenship pursue the alternative you suggested? Students will provide a variety of reasons. Those suggesting back pay as well as a raise will argue that: a. The company needs to maintain fairness (a social justice approach). b. They will signal to employees that unfair practices will not be tolerated. c. They will gain the support of a group of stakeholders. Those suggesting raises but no back pay may argue: a. The women will likely feel their needs have been addressed. b. It will be less expensive. c. It will be less likely to draw a negative response from White males. d. If the women push for back wages, they can be granted later. Change with the time is must, ethical practice is must in the business to boost the business through motivated employees, we all learn from trial & errors, not taking decision on time can be disastrous for future of any business.

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