Case Analysis Of The Phelps Dodge Arizona Mine Conflict Transformation
Described briefly the perspective (the party to the conflict)
In the early 1980s, the price of copper plummeted during which time the copper industry laid off approximately 50% of their workers. Phelps Dodge was one of the biggest copper companies at the time, and they continued to operate without letting people go well after other companies has begun laying off. Phelps Dodge held out the longest even though they continued to lose money, and even tried to hide it from the shareholders (Kingslover 1996, Location 3729). This case study is an examination of the Phelps Dodge Corporation, or PD, side of the conflict. The Phelps Dodge company, made many mistakes, but ulitmately did what they had to do survive.
Described your goals and motivations, as well as the differing perceptions, needs, values
The goals of the PD were to outlast the drop in price of copper. PD attempted to work things out, but eventually negotiations between PD and the unions failed to come to an agreement, and the company locked out the miners. In response to thousands of miners picketing PD had to increase security, which cost more money. PD saw their highly successful multinational …show more content…
27). PD’s new Union compensation agreement attempted to make up for profits lost by cutting miner pay, refusing to implement more safety measures, and cutting compensation across the board. PD believed they could save over 25 Million dollars in three years, and since the market was doing so terrible they were going to do it (Kingslover 1996, Location 1174). This limited the power of the Union, as money equals power. Also keeping miners and scabs to work in dangerous conditions prevents them for having a stable structure with the men getting injured and