Additional Case 12.2
Tri-State Shipping employs 45 workers. They ship commodities across the country.
Until recently, they had only legally required benefits, but business has become very
profitable and they can now offer their employees more benefits.
The average age of their employees is 50. Most employees have been there for more
than 20 years, and the company prides itself on keeping workers. The majority of the
jobs require heavy lifting or the operation of heavy equipment for loading and
unloading trucks, trains, etc. Their workers’ compensation tax has been running about
5% per year. They are in one of the lowest workers’ compensation tax rate states, but
TSS has had a lot of injuries. The lifting required and type of equipment used tends to
result in a lot of sprained backs, mashed fingers, or bruised muscles. When workers are
injured, they tend to heal quickly and return to work quickly.
Despite its reputation for keeping workers, the dock supervisor recently fired a 21-year
old employee who had been with TSS for 12 months. Even though everyone liked him,
the young man just couldn’t learn his job.
Refer to Additional Case 12.2. Which of the following would be the best way to lower
the firm’s workers’ compensation costs?
A) Auditing all employee claims
B) Mandating employee drug tests
C) Placing injured workers on modified duty
D) Emphasizing safe working procedures
Managers who follow a rational perspective when conducting performance appraisals:
A) value the employee’s performance relative to the manager’s goals.
B) seek to clearly define a worker’s performance and the criteria to evaluate that
performance.
C) decide who should get the highest rating in a group setting before completing the
evaluation.
D) use relatively ambiguous criteria or definitions in the appraisal process.