Replacement of Economic Strikers

Replacement of Economic Strikers
Student’s Name
Institutional Affiliation
Replacement of Economic Strikers
Economic and Social Consequences
Labor strikes occur when workers are mistreated or underpaid by the employer. Workers unions organize for the hits to pressurize employers and make adjustments in the working conditions. Strikes have guidelines on how they should be carried out according to tribunal laws and regulations. The replacement for economic strikers imparts pressure to the unions of workers to make agreements with the employer and call off the strike.
The economic consequences associated with prohibiting replacement of striking workers include a reduction in the profitability of the firm and the obligation of tariffs. Profitability decrease occurs due to reduced revenue generation during the strike period. Production halts when workers strike thus there is no generation of profit (Wilson, 2015). The workers should, therefore, be replaced if the strike is unlawful to prevent the decrease in the productivity hence high losses occurring.
The social consequences for prohibiting replacement of labour strikers involve injunctions and fines by tribunal courts. The employer faces fines and pays for damages in case he or she replaces employees illegally. It happens because the workers have right to strike if the workplace conditions are not conducive (Wilson, 2015). The hiring of temporary workers during strikes before negotiations take place may result in fines because it is illegal.

The Potential Risks
Potential employers are vigilant when they hire new replacement workers and implement the strategy effectively. The process decreases the profitability and loyalty of the organization. Replacement workers feel that they would be treated as third class workers, unlike the regular employees. Existing workforce works with fear of being replaced, and this affects the motivation and morale to perform (Martin, 2012). Replaced employees move to competitor companies and pose a significant risk because they unveil the production techniques to the competitor. Again, there is a high cost of training new employees.
References
Wilson, C. E. (2015). The Replacement of Lawful Economic Strikers in the Public Sector in Ohio. Ohio St. LJ, 46, 639.
Martin, B. W. (2012). The Rights of Economic Strikers to Reinstatement: A Search for Certainty. Wis. L. Rev., 1062.