A Good Employee Threatens to Leave Your Firm Because She

question 23

Multiple Choice

A good employee threatens to leave your firm because she has received a higher pay offer from a competitor.The offer is well outside your company's pay range for the job the employee is performing.What should you tell the employee?

• A) You will match the other offer.
• B) You will beat the other offer to be sure you won't lose her.
• C) You will try to get her job put into a higher pay grade.
• D) You wish her all the best in her new job with the competitor.

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Definitions:

Mackay Doctrine

A principle from U.S. labor law allowing employers to permanently replace striking workers under certain conditions, established in the case NLRB v. Mackay Radio & Telegraph Co.

Perfect Information

A scenario in economics where all parties have access to all relevant information about a transaction, market, or event before it occurs.

Strikes

Work stoppages initiated by employees as a form of protest against terms of employment or to demand better wages and conditions.

Secondary Boycott

A form of protest by workers refusing to deal with companies that do business with another company involved in a labor dispute.