Scenario 3 You are a middle manager at Vortex Appliance Company, the world\'s la
ID: 388980 • Letter: S
Question
Scenario 3 You are a middle manager at Vortex Appliance Company, the world's largest manufacturer of white goods. Your division produces top-of-the-line dishwashers, and it has grown steadily over the past 11 years. Given current economic uncertainty surrounding tariffs, however, sales are suddenly tanking. Two weeks ago, Vortex laid off 440 employees at a manufacturing facility making luxury refrigerators in Earlham, lowa. Members of your division are nervous that their jobs might be next, and morale is lagging. With the price of Vortex's most essential input (rolled steel) likely doubling due to tariffs, with retail sales down by near-record levels in all sectors, with the generally uncertain global situation, and with a recent production cut announced for your facility, things aren't looking so hot. You're only a middle manager, so you can't say for sure either way, but you believe that there is a 75% chance that your division will close entirely within the year. Write a memo telling the employees of your division that there will be no overtime opportunities for the foreseeable future.Explanation / Answer
To: All the Employees
Top-of-the-line Dishwashers Manufacturing Division
From: Jacob John, Manager
Top-of-the-line Dishwashers Manufacturing Division, Vortex Appliance
Date: September 22, 2018
Subject: Overtime opportunities in future
This memo is to inform you regarding the current financial crisis in our company and its possible effects. As a result of the crisis, there will not be any overtime opportunities for the foreseeable in future.
Our division, Top-of-the-line Dishwashers is growing steadily over the past 11 years in the Vortex Appliance Company and our employees have given tremendous support in division’s success. But the current economic uncertainty regarding tariffs has affected our sales as well. Vortex had to lay off 440 employees from our luxury refrigerator manufacturing facility in Earlham, Lowa.
We have understood that some of our employees have understood the situation and are under the pressure of losing the job which caused a lag in employee morale. But we are facing a tough situation now due to
The division may even close if we do not cooperate with the management decisions to improve the situation. It is a management decision to avoid overtime opportunities in the future in order to control the costs.
We expect our employees to understand the situation and cooperate with us to overcome the situation. Please contact me in case of any queries.
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