Learning Corner With Jeffrey Pfeffer: How High Wages Can Pay for Themselves
Cornerstone On Demand
DECEMBER 22, 2019
Companies, and even governments, often try to hold down wages in an effort to reduce their labor costs. Following 9/11, when the airline industry experienced mass cancellations, almost all airlines—except for Southwest —not only had layoffs , but obtained large wage concessions from their workers. When U.S.-based automakers struggled to turn a profit, they negotiated two-tier wage structures where new employees would make less money.
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