Power can change the behaviour

Bargaining power could not be always in the hands of the employer. Depending on the situation and other external factors bargaining power may shift from employer to employee and vice versa. “The way forward” sent by Darrel Hair exemplifies the same.

As we can observe in the letter, Darrel Hair is offering “One time non negotiable offer” to its employer ICC. Darrel Hair is offering to step down from the elite panelist of umpires.

In case of Darrel hair it is worth noticing the fact that there was immense pressure from Asian cricketing countries to ban Mr. Hair. While countries like England, Australia and New Zealand were in favor of Mr. Hair.

What if ICC fires Mr. Hair without accepting his offer:
Umpiring is prone to human errors. It would be tough for ICC to prove that Darrel Hair was actually involved in such a malpractice. As he could argue that it was one bad day for him. Also much depends on the initial contract that was signed between the employee and the employer.

Mr. Hair would have filed litigation against the employer. Also the unrest caused among the cricketing countries would have tarnished ICC’s image and infuriated countries like Australia, England and New Zealand. Other umpires would also lose their confidence which could be detrimental for ICC.

Offering a non negotiable offer to employer:
In general, bargaining power may shift in to either the employer or the employee. This is pretty evident during the boom and the recessionary times. Also if a person has a rare skill or business knowledge which employer can’t do without then employee will always enjoy the bargaining power. If the perceived loss to the employer is more than what employee is asking than employer has no other option but to accept the offer.

Marketability of an employee banking on his rare skill could be affected if he/she was trying to be opportunistic. In such a case it could go against them. Contracts relating to employment may not be renewed. Top profile employees would find it difficult to get a new job if he was trying to be opportunistic.

Handling non negotiable offer from employee:
After thoroughly analyzing the situation, employer should judge the concerns raised by the employee. If the concerns are genuine then employer may consider accepting the offer.

How such a situation could be handled depends on multiple factors like:
1)Contract with the employees
2)Dependability on the employees and their knowledge
3)Ability to prove the charges in the court
4)Impact of the actions taken to meet such a situation

From Darrel Hair’s example, employers should learn the importance of the initial contract signed with the employees. The terms and condition in the contract should be made keeping this in mind. This should be done to retain the bargaining power.

Employer should also evaluate the dependability of such employee and aftermath of all the possible actions. Depending on such a situation, employer can select an option that best suits the employer. Different options available to employer are:

1) Accept the offer:
a.If the cause is genuine then the employer may accept the offer. To improve the goodwill among the employees.
2) Remove the employee without accepting the offer/ Do not accept the offer:
a.This should be done when the losses incurred in terms of money, reputation, confidence among other employees are less severe than the terms and condition of the offer.
3) Prove the charges against the employee:
a.If employer can prove the charges against the employee than same should be done to pacify the employee and reduce the chances of employee approaching the court.