Biblio Credit Union: Social Inequality and the Living Wage Case Solution

Case Solution & Analysis for Biblio Credit Union: Social Inequality and the Living Wage by Kent Walker, Curtis Labutte.

Complete Case details are given below :

Case Name :      Biblio Credit Union: Social Inequality and the Living Wage
Authors :           Kent Walker, Curtis Labutte
Source :              Ivey Publishing
Case ID :           9B17M020 / W17058
Discipline :        General Management
Case Length :    10 pages
Plagiarism : NO (100% Original work)
Description for case is given below :
In 2016, the community engagement manager at Biblio Credit Union, a financial institution in Ontario, Canada, was concerned about rising social inequality. The company was respected in the community for its high business ethics and careful attention to corporate social responsibility. Although most of the company’s employees were paid well, some employees received little more than the minimum wage. The community engagement manager wondered how to reduce that inequality. If the company were to give a raise to the lowest paid employees, all other employees would likely also expect a pay increase. Therefore, to bring all employees to what was considered to be a living wage, the company would need to adjust its pay scale. But would the credit union’s board of directors support a sudden change in expenses? Would the increased expenses be offset by a corresponding increase in revenues? Would new customers pay more for the services of a living wage employer? The company needed to weigh the implementation of a living wage against the possibility of declining revenues, which could place the company in serious jeopardy.
 
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