Wednesday, 15 February 2017

Let’s briefly consider an example that shows how values in real life must reach dynamic equilibrium in order for us simply to function. This particular example of how values shape human relations is relevant because it can be seen as a paradigm of how humans today really do relate with each other in all areas of their lives, professional and personal.

A captain of industry in the West today has times when he despises unions, but he has come to accept that if workers are not paid a fair percentage of the company’s earnings, they will work less and less efficiently. He may find ways of retaliating through punitive measures, but he knows those will simply cause the cycle to deepen and worsen. If the obstinacy on both sides becomes hardened enough, violence is inevitable. If those who own the means of production—farms, dams, mines, factories, etc.—become even more incorrigible in their attitudes, the whole society will eventually break down into revolution and chaos. To prevent such chaos and to preserve his way of life, the smart CEO must have ambition and drive (courage), but also wisdom. A smart owner or CEO works with, not against, his workers.

Thus, we have learned, by trial and painful error, to aim for balance. For example, workers in Western democracies have rights to safe working conditions and free collective bargaining via their unions. Smart business people negotiate with unions, and contracts are arrived at by debate and compromise. In fact, the most successful business people in the West today are those specifically trained to be skilful at labour-management negotiations.


   
                                 
                                 union and management reach a contract (Ford Motors 2007) 
                                                                 (credit: Wikimedia Commons) 


For their part, most union leaders today know they have to respect a company’s ability to pay. They ask for reasonable wages and benefits for their members, but most of them don’t try to push the owners to the brink of insolvency. To do so would simply be irrational. Union leaders must have drive and wisdom in balance as well. Furthermore, most business leaders in the West have accepted that as long as prices go up, workers will expect wages to go up accordingly. 

Making their business or factory more efficient by smarter management and ongoing research and development rather than by union-busting is what the ethical, deserving business people do. Most attempts at union-breaking are generally viewed as being rooted in managerial incompetence.

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