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Case Study

Strategic Decision-Making for a Worker Organization

A manufacturing company is facing significant financial difficulties due to intense market competition. To avoid closing a factory and laying off all its employees, management has proposed a plan to the workers' organization. The plan involves a five-year freeze on wage increases and a reduction in retirement benefits. As the leader of the workers' organization, you must decide how to respond. Evaluate the two primary options below and justify which course of action you would recommend, explaining the potential risks and benefits of each for the workers.

Option 1: Accept the company's proposal. Option 2: Reject the proposal and threaten to strike to demand better terms.

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Updated 2025-08-11

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