Corporate Responsibility and Governance Work Station

Question: Discuss about the Corporate Responsibility and Governance Work Station. Answer: Introduction The Loy yang is a power station, is a thermal power station. This company is located in outside area of Traralgon, Australia. The company Loy yang A has experienced a lock out in Latrobe valley. This was a 24 hours strike for Christmas break, as done by energy union and construction forestry mining. Because of this, the members of the company have refused to work on Christmas morning (Gippsland, 2017). Strike of the workmans at Victorias The strike has been observed at Loy yang A. This company is seen as one of the biggest coal- fired power station. In the month of December, 2016 it was observed that the company has threatened its workers to lockout. Due to this effect the workers refused to work for an hour on Christmas morning. The Andrews government stated an immediate intervention, which resulted in 24 hours strike of workers and a threat of lock out by its entire workers at the company. According to Industrial relations minister that is Natalie Hutchins, this has resulted into threat to wellbeing of the Victorians and economy and would affect their livelihood also. For solving this uncertain dispute regarding the company, the Andrew government has launched an application in commission of fair work so to discontinue the actions of the company and workers. The AGL has maintained the employee benefits and livelihood of Victorias population, with no forced employment. However the AGL, it has restrained the right of workers for lock out to not to affect energy supplies at Victoria. Due to agreement between the (CFMEU) that is construction, forestry, mining and energy union and AGL limited. Due to this agreement at least 15 power station jobs have been lost (Toscano, 2016). Impact on directors responsibility The impact of directors from this strike was noticed that 70% of the workers have rejected the pay scale twice; hence this was observed by the managers that these workers were highly disappointing. This has forced the state government to intervene in such dispute of not taking any industrial action, to safe the workers and to safeguard the livelihood of Victorias population (Guzman, 2016). By reading the whole analysis over Loy yang A it can be said that the company has shown lack of responsibility, and this has impacted on the Latrobe valley community at a giant level. The directors have predicted that the threat of this dispute is on prices of electricity. This hike is due to effect of shut down of power station of Hazelwood in March 2017. According to the company directors, the agreement which lays the rules and regulations regarding pay and conditions will be terminated in December month. However the directors of the company are planning to make some changes in the pay rates of the company (Shanahan, 2016). The given editorial is against the strikes of its workers. According to AGL the strike of workman will put the workers at risk and would lead to major reduction in generation of power units. Hence it needs to be ensured the workmen of the company do not get impacted. Hence it needs to be stopping the dispute between the company and its workman. The dispute to the company would lead to rise in the prices of the power generating units. If the company failed to make the new agreement regarding the pay scale, it can lead to worst situation for the company and would make a chance to workman to form a trade union. However it has been ensured by the managers that the productivity would not be impacted as the company has some reserved resources. Hence it can be concluded that the directors of the company must form some policies and agreement with AGL to work with such disputes and get back to the condition of normal workplace. The company Loy yang A is facing dispute from their workman. The company is located at the outskirts of Traralgon, Australia. This has made a threat to the workmans of the company and the livelihood of the people of Victoria (Gippsland, 2017). Lock outs at Loy yang A company The company Loy yang A has faced a dispute in the form of strike from its workers on the issues of working conditions and over pay. This strike would result into closing down of four power generating units. According to AGL spokesperson, these kinds of workers were disappointed who rejected the 20% pay. These workers demand the working benefits preservation and security on job. However the action minister of Industrial relations that is Jacinta Allan, this would not result in any impact on power supplies of Christmas day. But the industrial relation department, they are ready to protect the people of Victorians (Fair work commission, 2016). Impact on directors After analyzing the company dispute with the working environment and job security, it has benefitted the public of Victorians as besides from they were put out of their jobs; they earned 2/3rd billion dollars of profits. The managers would be allowing the superannuation, entitlements and other leave benefits. Besides this the directors had also stated that the provision to resignations and retirement of Loy yang employees would not be replaced (Hannan, 2016). The directors of Loy yang A has the view that there is not any need to take industrial actions. Apart from this, it would not affect the generation of power units and supply of power as the company lays sufficient resources so to prevent any shortfalls in case of such kind of disputes. However it can be said that the company has no risk to power generation capacity. But besides this the company managers and directors are working on resolving such disputes and get back to a healthy environment of workplace (Stevens, 2015). According to the general manager of the company that is Steve Rieniets, the workers safety claims are compromised but at the same time the new model would lead to increase in productivity and efficiency of the company. besides this it would also results into company viability. Conclusion This editorial is in the favor of strike from the side of workers. Besides of the lock out done by the workmen of the company, they made two third millions of dollars. Hence by this earning it can be said that the livelihood of the place would not be affected so much. Apart from this as per the statement of the directors of the company this strike would not impact in reduction of power supplies as the company lays enough resources so to meet such uncertain requirements. The company new model would lead to increase in productivity and increase in viability. However the safety to workman would be compromised. Due to such rude behavior of the company directors towards the workmen, the strike made by the workmen can be said as right thing. Hence it can be concluded that the company would not be affected so much from such dispute. References Gippsland,ABC. (2017). News. Loy yang A power plant workers face huge pay cuts after AGL wins industrial dispute. Retrieved at https://www.abc.net.au/news/2017-01-13/agl-loy-yang-a-workers-face-huge-pay-cuts-after-fair-work-ruling/8180302 Toscano, N. (2016). SMH. Christmas day power strike threat: Loy yang staff vote for action. Retrieved at https://www.smh.com.au/business/workplace-relations/christmas-day-power-strike-threat-loy-yang-staff-vote-for-action-20161220-gtf59p.html Shanahan, B. (2016). Herald sun. AGLs Loy Yang workers threaten to strike on Christmas day. Retrieved at https://www.heraldsun.com.au/news/victoria/agl-power-workers-threaten-to-strike-on-christmas-day/news-story/abf7af3d97cf0f0fbaa63ec724c2cc98 Fair work commission, (2016). WINTER 2016: quarterly practitioner update. Retrieved at https://www.fwc.gov.au/resources/quarterly-practitioner-update/winter-2016 Stevens, G. ( 2015). Latrobe valley express. Jobs under threat at Loy yang. Retrieved at https://www.latrobevalleyexpress.com.au/story/3502091/jobs-under-threat-at-loy-yang/ Hannan, E. (2016). The Australian. Labor dispute at Victorias Loy Yang A plant could lead to power cuts. Retrieved by https://www.theaustralian.com.au/national-affairs/industrial-relations/labour-dispute-at-victorias-loy-yang-a-plant-could-lead-to-power-cuts/news-story/774a0d445eea128d1168264b502cb0f3 Guzman, D, M. (2016). AFR weekend. AGL and Esso power strikes threaten disruption in Victoria. Retrieved at https://www.afr.com/news/policy/industrial-relations/agl-and-esso-power-strikes-threaten-disruption-in-victoria-20161202-gt2ud4