Asked by Kellan Maxwell on Jun 25, 2024

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When it comes to labor relations, which of the following would not be likely under a True stakeholder model of corporate governance?

A) Integrative bargaining with union over wages, hours, and working conditions.
B) Information-sharing with labor, including information on company financial status.
C) Highly formalized grievance resolution procedures.
D) Employer neutrality in a union organizing campaign.

Stakeholder Model

A governance framework that requires companies to consider the interests of all stakeholders in their decision-making processes, including employees, customers, suppliers, and the community.

Corporate Governance

The framework of rules, practices, and processes by which a corporation is directed and controlled.

Integrative Bargaining

A negotiation strategy that seeks to find win-win solutions and satisfy the interests of all parties involved.

  • Acquire knowledge on the core principles of shareholder and stakeholder modes of corporate governance.
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Shubham SahniJul 01, 2024
Final Answer :
C
Explanation :
In a true stakeholder model of corporate governance, the emphasis is on collaboration and mutual respect among all stakeholders, including employees. Highly formalized grievance resolution procedures might not align with this model because they can create an adversarial relationship rather than fostering open dialogue and problem-solving. Integrative bargaining, information-sharing, and employer neutrality in union organizing campaigns are more in line with the principles of stakeholder engagement, aiming for transparency, fairness, and cooperation.