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shutdown Eastland

Read the case study entitled, "Shutdown at Eastland" on page 89 in your text.

How would you have handled this situation?

In this assignment, propose a plan to close the assembly plant in Eastland, Michigan. In this plan, be sure to explain the following:

Terms of the close - what notice would you give, what benefits would you provide, etc.
Describe all of the affected stakeholders and how their interests will be considered.
Who do you propose should take primary responsibility for those laid off as a result of the plant closing?
How will this news be communicated to the workers, press, and community?

Solution Preview

Labor lobbyists and union leaders express concern and outrage at Speedy Motor Company's seemingly hasty decision to close down its Eastland, Michigan based auto manufacturing plant. The lobbyists and union leaders point to the Eastland plant shutdown as a reason why there should be Federal laws regulating plant closures. Answers to Questions The closing of a plant when it ceases to be profitable does not violate the "moral minimum" unless: the closure is the result of internal fraudulent action(s), the closure violates or breaks employee contracts, or the closure harms others (the phrase "harm others" is difficult to quantify and is largely subjective but I am mostly speaking of the financial hardship levied against the employees and the greater community).

Plant closings mean huge opportunities for demolition, remediation, transportation and other companies. The sheer size and complexity of a plant closing means millions of dollars in contracts are up for grabs.

Before firing or laying off an employee, there are 3 critical termination factors you must consider. In this article, we will cover these in detail:

? Factor #1: Fight or Flight... How The Problem Employee Will Take Advantage Of You
? Factor #2: Your Problem Employee Will Destroy Your Morale and Results... If You Don't Do Something About It Today
? Factor #3: The Longer You Wait... The Harder It Is To Terminate The Problem Employee

Even when you don't tell them directly, the problem employee always knows she's / he's "on the bubble" and may be fired soon. It's almost as if he can read your mind.
This wouldn't be a problem if the employee would take the hint and improve his performance and behavior. But, this seldom happens because a bad apple remains a bad apple. Instead, you'll notice that his behavior will get worse. He'll either:

? Begin an intimidation campaign against you to save his job, or,
? Become a zombie doing little work.

You'll notice these behaviors match the "fight or flight" response you learned in school. If you recall, when an animal gets into trouble, there are just two reactions, fight or flight. As we've seen, your employee will react the same way when his job is threatened.
In either case, he's taking advantage of you and your company by taking a paycheck and not doing his job... and this will only continue if you don't do something right away. Your only recourse is to get rid of the employee as quickly as possible.
Let me cover each of these reactions.

In my experience, most employees will decide to "fight" and carry out an intimidation ...

Solution Summary

The solution provides a detailed explanation for the problem.