In Recent Labor-Management Negotiations, Several Issues Were Identified, and Points

question 121

Essay

In recent labor-management negotiations, several issues were identified, and points assigned to them indicating relative importance to each side, as follows: $\begin{array}{lcc}\underline{\text { Issue }} & \underline{\text { Management's }} & \underline{\text { Labor's points }} \\&\underline{\text { points }}\\\text { Base pay } & 20 & 23 \\\text { Incentive pay } & 10 & 5 \\\text { Health care benefits } & 6 & 12 \\\text { Worker safety } & 8 & 15 \\\text { Opportunity for promotion } & 20 & 13 \\\text { Retirement package } & 20 & 20 \\\text { Employee accountability } & 16 & 12\end{array}$ Use the adjusted winner procedure to determine a fair resolution between labor and management.

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Definitions:

Price Elasticity

A gauge of how sensitively the demand or supply for a product reacts to alterations in its price.

Midpoint Method

A technique used to calculate the percentage change in a variable by dividing the change by the average value of the initial and final values.

Supply

The total amount of a product or service that is available for purchase at any given price level.

Quantity Demanded

The aggregate quantity of a product or service that customers are ready and able to buy at a specific price point within a certain timeframe.