Good guys come in first

It's not only common human decency to treat employees right. It's profitable as well.


It's not only common human decency to treat employees right. It's profitable as well.

"In growing numbers," states Knight-Ridder Service's Maida Odom, "American workers are fighting against employers' actions -- with legal complaints and in the courts. Fired executives whose cases aren't settled privately are winning 64% of the time... (and winning) large cash awards..."

So what to do if, in your company, bad things are happening to good people? Plant Engineer Ben Trace may have a suggestion.

In Trace's company, his boss, General Manager John Shea, approached him with a disgruntled look on his face. "Ben, this is the third quarter in a row that our profits declined. Drastic action is called for."

"What do you have in mind?" Trace asked.

"Look at this report," Shea replied.

He produced a confidential medical report that listed a dozen or so employees who had been diagnosed with illnesses ranging from emotional disturbance to cancer and AIDS.

Trace's face paled. "This report shouldn't even have been run."

"Don't go idealistic on me," Shea said irritably. "These people are costing us a bundle in insurance and medical costs, not to mention lost time. If we could induce them to resign..."

"Why are you telling me this?"

"You shouldn't have to ask. Two of them are in your department."

Question: In Trace's shoes, what would you tell Shea?

Trace's response: "John, you want to talk bottom line so let's do it. Are you familiar with the Rychalsky case?

"The what?"

"Bob Rychalsky was a comptroller in a beauty culture school. After developing a brain tumor, he sued his company under the Americans With Disabilities Act for harassing employees with high medical bills into resigning. Rychalsky sued not only once, but three separate times. I can assure you it cost that company a helluva lot more to fight this case and pay off than what it might have gained by getting rid of a medically incapacitated employee.

"This may be an extreme case, but it's only one case out of thousands. As one attorney puts it, 'There's a revolution in the workplace.' He blames downsizing in part for the growth in lawsuits and the employee bitterness that incurs. To counter jury sensitivity, he says, we have to humanize the workplace."

Shea grunted in response. "Well, we have to do something about this profit decline."

"I agree. But not that."

Top Plant
The Top Plant program honors outstanding manufacturing facilities in North America. View the 2017 Top Plant.
Product of the Year
The Product of the Year program recognizes products newly released in the manufacturing industries.
System Integrator of the Year
Each year, a panel of Control Engineering and Plant Engineering editors and industry expert judges select the System Integrator of the Year Award winners in three categories.
May 2018
Electrical standards, robots and Lean manufacturing, and how an aluminum packaging plant is helping community growth.
April 2018
2017 Product of the Year winners, retrofitting a press, IMTS and Hannover Messe preview, natural refrigerants, testing steam traps
March 2018
SCCR, 2018 Maintenance study, and VFDs in a washdown environment.
April 2018
ROVs, rigs, and the real time; wellsite valve manifolds; AI on a chip; analytics use for pipelines
February 2018
Focus on power systems, process safety, electrical and power systems, edge computing in the oil & gas industry
December 2017
Product of the Year winners, Pattern recognition, Engineering analytics, Revitalize older pump installations
Spring 2018
Burners for heat-treating furnaces, CHP, dryers, gas humidification, and more
April 2018
Implementing a DCS, stepper motors, intelligent motion control, remote monitoring of irrigation systems
February 2018
Setting internal automation standards

Annual Salary Survey

Before the calendar turned, 2016 already had the makings of a pivotal year for manufacturing, and for the world.

There were the big events for the year, including the United States as Partner Country at Hannover Messe in April and the 2016 International Manufacturing Technology Show in Chicago in September. There's also the matter of the U.S. presidential elections in November, which promise to shape policy in manufacturing for years to come.

But the year started with global economic turmoil, as a slowdown in Chinese manufacturing triggered a worldwide stock hiccup that sent values plummeting. The continued plunge in world oil prices has resulted in a slowdown in exploration and, by extension, the manufacture of exploration equipment.

Read more: 2015 Salary Survey

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