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In a changing world in which commodification is king, it is often the unskilled workers whose interests are pushed to the wayside. This is clearly the case with the Bucknell University dining services, in which many loyal, dedicated workers stand to lose their jobs and other important benefits. In this paper, we will explore how community and quality will inevitably be sacrificed in order to create a more efficiently run food service program. We have constructed our argument from data we collected through numerous interviews with dining service workers and managers from the cafeteria, the Bison and Seventh Street Caf. It is very important to remember that this is opinionated data that may or may not be totally correct. However, it is factual data in regard to how the staff feels about this process.
To supplement that, we interviewed the president of the Union County Industrial Corporation, Mr. Steven Hall, and a faculty member who is close to the dining service staff and is well informed about the issue at hand. We listened to the employees opinions on issues such as their current work environment, how their working situation could be improved and the changes that they expect. From these interviews we have discerned some of the concerns about the current dining service situation as well as possible concerns that a new contract could cause. Our goal is to give merit to the words of these workers.
After all, they have the most to loose in this process. Unfortunately, as we found out quickly in the interview process, their voice is simply not being heard. In 1993, following the resignation of the dining services upper-level managers, Bucknell decided to bring in a professional food services company to handle its dining and catering needs. When they decided on Wood Dining Services, the dining services staff (Bucknell employees until that point) were given the option of continuing on as Bucknell employees or converting to Woods payrolls. Many decided to shift to the higher-paying Wood, but a good number chose to continue under Bucknell. They valued the benefits Bucknell entitled them to over the incremental wages.
One of the main benefits of remaining a Bucknell employee was basic job security. This cannot be assumed when working for a contractor, as your job depends on the maintenance of collaboration between the institution and the contractor. This causes a problem, according to one management professor, because contracted workers are often uncommitted, due to unfair work rules and lack of benefits. All contracts have an end date and rarely are contracts extended without a contest. Instead, as per general practice (and as we are witnessing presently at Bucknell), different firms get to negotiate and bid for the next term of the contract. This is the situation that Sodexho, Aramark and Parkhurst are in today.
There is no guarantee that the current external provider, Sodexho, will continue in that capacity for the next contract period beginning in July. In the event that either Parkhurst or Aramark secure the next contract, they could choose to retain Sodexho's employees or they may choose to revamp the dining services staff. There are many reasons why the latter option may prove more appealing. The most obvious being the vast reserve army in the area. This essentially means that the job loss rate is higher than the hiring rate within the region. These unemployed individuals would gladly take on the jobs of the current dining services workers and would even accept lower wages and benefits!
Sodexho's successor may offer the current workers the option of swallowing reductions in wages and / or benefits or losing their job. This scenario has replayed itself through most of corporate America and is a very realistic concern for the current Sodexho employees. But should Bucknell be following a corporate trend? This professor doesnt seem to think so, saying, It is unacceptable for Bucknell University to act like a normal business, because it isnt one. Community is far more important in the college setting, and the University should be acting accordingly. Prior to December, Bucknell University promised to keep all of its Dining Services employed.
With the administration hoping to delegate everything related to dining services to the contracting firm, however, this is set to change. The administration hopes, amongst everything else, to transfer all the dining services staff on Bucknell's payroll to the payroll of the contractor in an attempt or so they claim to end the two-tiered system prevalent amongst dining services staff. They are trying to orchestrate a situation in which all dining services employees are under one payment and benefit program. The professor we interviewed agreed with this move, saying that It is inefficient to have workers employed by two different companies working side by side. However, she went on to say that the best outcome would be to negotiate a fair contract with the Bucknell workers to allow them to remain here. The problem is that consolidation to one firm could be devastating for Bucknell dining services workers.
They stand to lose everything. This includes everyone on the staff, even a seventeen year veteran of this University, who said If the contract is changed, I am out of a job and would be forced to move to meet my current salary. In response to this, the Bucknell administration claims that it is working with the competing firms to assure job-security, the prevailing wage rates, and benefit packages to all current Bucknell University dining services employees. What they dont publicize is the fact that this agreement is only guaranteed for to last one year.
After this year, Bucknell would relinquish any responsibilities for the individuals, giving the winning firm total power over their employment and compensation. Bucknell University's dining services employees represent a higher cost per person than Sodexho's employees and it is certain that a year from now, a contractor would be eager to reduce that cost. So, it became clear through our research that Bucknell employees are in a bad situation. They will certainly lose some of what they currently have, and potentially, everything.
How much will be answered on May 1 st, when the administration is set to announce its decision. To make the situation for dining services employees even more complicated, they will be forced to reapply for their current positions, regardless of who wins the bidding war. This discounts any type of University loyalty and experience these workers may have. As one worker put it, I could give the new contractor 3 to 4 times back what they would pay me due to my experience with the University, yet I will be forced to reapply for my job as soon as the new contract is in place. If these employees are rehired, they will find themselves confronted with the problem of seasonal unemployment. Whereas Bucknell University assures its employees 40 hour weeks for 12 months in a year, contracting companies usually do not.
They assured work during the academic year, but not over the traditional vacation periods, such as Winter break and the summer. As a result, the current Bucknell employees who are retained under the new contract will be faced with a familiar situation: three to four months a year without income or unemployment benefits. Because they are on call during these breaks for banquet events, they are still employed workers. This makes them ineligible for any type of unemployment benefits, even though they are without any type of income.
As far as wages go, BU workers at the Bison reported that after working with Bucknell for 4 years, they were assured a minimum wage of $ 9. 16 per hour. While this wage seems decent, one Bucknell employed cafeteria worker said, There is no way I could survive on my own with this job alone. Sodexho's wage policy is even worse. These same employees said that they could only think of one Sodexho worker at their level who received an hourly wage of $ 8 or higher. One can be sure that any contracting company will slash these wage rates the very first chance they get. The lower wages and benefits that they offer will generally attract less dependable and less concerned workers.
Bucknell's dining services will turn into a source of temporary jobs that people will take only until they are able to find another job. A direct consequence of this will be a drastic increase in the turnover rate. High turnover in an environment where quality is expected is nothing but trouble for dining services. Employees will rarely get adequate training, and the current sense of community between the staff and the students will fade. Healthcare is another benefit that Bucknell University employees stand to lose under a new contractor.
According to a Bison employee, for basic health insurance and a prescription card, a Bucknell employee must only subtract $ 12 from every bi-weekly paycheck. It is important to remember that basic health insurance does not include dental coverage, nor does it cover high expense procedures that may arise in the life of the employee. That being said, this is still a very generous rate. According to this same employee, workers employed by Sodexho pay $ 89. 16 for the same period and a similar plan. Obviously, Bucknell sees the merit in affordable health coverage; however, there is virtually no chance that the new contractor will continue the policy. Bucknell's administration has said that it would try to assure the same health benefits to employees that are within 15 years of retirement, but even for them, this is still tentative.
Younger employees will be dropped from this coverage completely. A consequence of this unaffordable healthcare could be felt by the campus community as a whole. As another cafeteria worker put it, If employees cannot afford to go to the doctor, they will coming to work ill, and sanitation of food will become a huge problem. Bucknell must have realized this when setting forth their healthcare policy, because this has not been a problem. However, it will become one if a worker cannot enjoy a right as basic as missing work for a sick day. Bucknell University dining services employees are also eligible for various tuition benefits.
The University helps the employee put his / her child through certain, specified college programs if the child is accepted to the program. An employee who has worked for with Bucknell for 3 years can study at the university at a cost of half the normal tuition. After 5 years, Bucknell will cover the entire cost of tuition. If the son or daughter of an employee who has worked with Bucknell for a minimum of 5 years applies and is accepted to the university's academic program, Bucknell will waive its tuition fee. If the child of an employee who has worked with Bucknell for over 10 years is accepted to specified academic programs, Bucknell will help the family with that tuition fee. Additionally, Bucknell has agreements with other institutions which state that if a student transfers from that schoo...
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Research essay sample on Economic Case Study Of Outsourcing University Food Service
