You are the head of the Human Resources department of an organisation. One day one of the workers died on duty. His family was demanding compensation. However, the company denied compensation because it was revealed in investigation that he was drunk at the time of the accident. The workers of the company went to strike demanding compensation for the family of the deceased. The Chairman of the management board has asked for your recommendation. What recommendation would you provide the management? Discuss the merits and demerits of each of the recommendations. (250 words)

The situation at hand involves a worker’s death while on duty, complicated by the fact that he was drunk. His family is seeking compensation, which the company is reluctant to offer. This has led to a strike by the company’s workforce, placing the management in a difficult position. The Chairman has requested recommendations.

Compensation with Penalties:

  • Merit: Legal Clarity: The company may avoid potential legal issues by providing compensation, but at a reduced rate due to the worker’s state.
  • Demerit: Precedent-Setting: This may set a lenient precedent for future incidents involving violations of company policy.

Full Compensation:

  • Merit: Workforce Satisfaction: Complying with the workers’ demands could improve morale and end the strike.
  • Demerit: Ethical Dilemma: Providing full compensation may contradict the company’s ethical stand against substance abuse at work.

No Compensation:

  • Merit: Upholding Policy: This aligns with company policy and sends a strong message against being intoxicated on duty.
  • Demerit: Employee Relations: May result in continued strikes and decreased morale.

Partial, Non-Monetary Support:

  • Merit: Middle-Ground: Offering to cover funeral expenses or provide educational support to the deceased’s children could serve as a compromise.
  • Demerit: May Not End Strike: Workers may continue to strike if the support is not deemed sufficient.

Third-Party Mediation:

  • Merit: Objective Assessment: A third party can provide an impartial resolution to the issue.
  • Demerit: Time-Consuming: This process can be lengthy and may not guarantee a solution that satisfies all parties.

In summary, each recommendation carries its own benefits and drawbacks. A balanced approach may be to offer partial, non-monetary support and to employ third-party mediation for an impartial evaluation of the incident and how the company should respond.

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