Bruce Was a Union Representative Working for Ace Manufacturing Co

question 148

Multiple Choice

Bruce was a union representative working for Ace Manufacturing Co. The union and management had just concluded a collective agreement that set out terms under which certain functions of the plant would be computerized. A few months after the agreement was signed, the management started installing the computers, and in the process laid off three people who were no longer required. This in fact was exactly what Bruce had taken great care to prevent by the provisions that were included in the collective agreement. The management was in clear violation of these terms. Bruce called the members of the union out on strike and set up a picket line that effectively shut down the plant. Which of the following is true with regard to the legal position of the parties?

• A) The picket line has the legal right to physically block people from the plant if they are not persuaded to turn back.
• B) The management was in the wrong and would be unsuccessful in getting an injunction to stop the strike and picketing.
• C) The union was right in objecting to the layoffs, but it should have followed the grievance procedures in the collective agreement. Their strike is illegal.
• D) In this type of dispute, the workers can slow down and disrupt production, but they can't walk off the job.
• E) If the workers disagreed with the layoffs, management could lock them out.

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Definitions:

Mark-To-Market

An accounting method where the value of assets and liabilities is adjusted to their current market values rather than being recorded at their original cost.

Tax Year

A 12-month period used for tax purposes, determining the timeframe over which income, deductions, and tax payments are calculated and reported.

Realize

To convert assets into cash or to acknowledge revenue or a profit in accounts.

Gains And Losses

The increase or decrease in an investment's value, respectively, often realized upon selling or valuing the investment at market price.