Unit 2.6 Case study Cathay Pacific avoids damaging strike just before busy holiday season Cathay Pacific has avoided a threatened strike by cabin crew after it agreed a compromise deal with the flight attendants’ union. The union welcomed the deal, which gave it most of what it was asking for, and called off the strike. The industrial dispute was over a new money-saving health insurance scheme that Cathay wanted to introduce for its 10 000 workers that would have forced them to pay for visits to the doctor. Cathay has now agreed to drop these charges until May and then to allow ten free visits to the doctor each year. The company refused to say how much the compromise would cost. ‘I hope that the manage- ment will now improve labour– management relations and continue to work with us,’ said Becky Kwan, the chairwoman of the flight attendants’ union. Source: www.iht.com What was the cause of the conflict between employees and the employer? Suggest three other possible causes of conflict between an employer and its employees. Examine the likely reasons for Cathay Pacific agreeing to the costly compromise to solve this dispute.
