Local 121 and Highflyers Inc Management Are Working on a Collective

question 1

Multiple Choice

Local 121 and Highflyers Inc management are working on a collective agreement.Local 121 is seeking to include a provision that allows bumping up.Highflyers management feels strongly that such provision should not be included because it wants to be able to

• A)reward long-time employees.
• B)prevent the domino effect that occurs in bumping.
• C)make demotions based on incompetence.
• D)make appointments and promotions based on merit.
• E)make appointments based on which employee is likely to vote to decertify the union.

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Definitions:

Diluted Earnings Per Share

A metric that calculates a company’s earnings per share considering all potentially convertible securities.

Preferred Stock

A class of ownership in a corporation that has a higher claim on assets and earnings than common stock and usually receives dividends before common shareholders.

Convertible

Refers to a security, usually a bond or a preferred stock, that can be converted into a specified number of shares of common stock.

Common Stock

A type of security that signifies ownership in a corporation, entitling the shareholder to a share of the corporation's profits and assets.