Case $1-1$: Integrity, Objectivity, and Ethics at the Hershey Company

The management of The Hershey Company has asked union workers in two of its highest cost Pennsylvania plants to accept higher health insurance premiums and take a wage cut. The workers$$ portion of the insurance cost would double from $6\%$ of the premium to $12\%.$ In addition, workers hired after January $2000$ would have their hourly wages cut by $$4,$ which would be partially offset by a $2\%$ annual raise. Management says that the plants need to be more cost competitive.