Apply the concepts of human resource management and organizational behavior to establish and maintain effective working relationships

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Brief Introduction to This Week’s Case Study
Jessica the ADVANCED GREEN TECHNOLOGIES store general manager is faced with an issue of emotional labor. His front office store employees are complaining about pay and are asking for an emotional labor raise. Jessica is further researching the issue to make sure she drafts a strategic policy to address this issue. This Week’s Detailed Case Study Information
Abby is working with the ADVANCED GREEN TECHNOLOGIES store in the collections department, it is a very tough job, she admits that working in collections affected her daily life in many ways. She now thinks as a collector every time she goes to stores, and she feels exhausted at the end of the day. A lot of times, she must fake her emotions, and express desired emotions. Many times, when she calls clients and asks for a payment they curse at her and drop the phone. Other clients never answer the phone. She’s paid minimum wage for doing this job, and she just feels it is not worth it. She looked at jobs in collection agencies and realized that collectors earn a higher salary than hers at the ADVANCED GREEN TECHNOLOGIES store. She went and talked to the HR department, they promised to look at it. She is not sure what to do. She was talking to a friend of hers who works at another organization, and her friend told her that they get paid extra if they work with clients. The extra pay is to compensate for the extra stress that you face by working with client’s. She went to the HR department and asked for a raise to make sure she’s properly compensated for this extra work.
Low worker moral, is always bad news to Jessica. Jessica sat down and talked to the HR manager, and asked her what she thinks about this situation. The HR manager cited that the situation is a common one, and right now ADVANCED GREEN TECHNOLOGIES doesn’t have any policies in place to deal with these types of issues. Jessica is afraid that this trend could affect the company in a negative way, and sales could suffer. Jessica values the importance of positive client experience, and she guards it. Jessica asked the HR manager for suggestions, and the HR manager suggest that they use strategic pay plans, in order to draft a policy for the emotional labor premium. The HR manager agreed with Jessica and they decided to further analyze the issue and reach a decision as soon as possible.
Jessica was thinking about emotional labor, and she thought that compensating emotional labor could be a good idea. But before doing that she decided to go ahead and check what other companies are doing in this regard. So, she started analyzing his rivals and figured out that most of them add a certain base to their workers’ salaries in order to properly compensate for emotional labor. Jessica thought about it and decided to do the same thing to make sure she doesn’t lose any employees for his competitors. She knows that the unemployment rate is pretty low these days and losing workers could be disastrous for the company, especially when you take into consideration the tight labor conditions and the shortage of skilled workers. Jessica also thought about the overall compensation and realized that his company the ADVANCED GREEN TECHNOLOGIES pays a rate that is lower than the industry average.
Jessica must act quickly in order to resolve this issue, otherwise, the ADVANCED GREEN TECHNOLOGIES could face a shortage of labor and an increase in the bottom line. Deliverables, Format, and Marking Scheme for This Week’s Case Study
Your task is:

Define emotional labor.
what is meant by strategic pay plans?
analyze the situation at the ADVANCED GREEN TECHNOLOGIES store and highlight what could happen if this issue is not resolved properly. Identify the consequences for employees, and for the ADVANCED GREEN TECHNOLOGIES store
Design a strategic pay plan, which ensures the highest level of satisfaction for employees, and the ADVANCED GREEN TECHNOLOGIES store.