Real Problem Scenario: Underpayment Issue Faced by Woolworths and Strategies for Positive Leadership

Running head: REAL PROBLEM SCENARIO
REAL PROBLEM SCENARIO
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Author Note

1REAL PROBLEM SCENARIO
Introduction
The skills that are possessed by the positive leaders are a major part of the ways that
are implemented by the organization in order to solve the issues effectively. The managers or
leaders can play a major role in the process of solving different issues that have taken place in
the organization (Goswami et al. 2016). The company that is considered for the analysis is
Woolworths that operates in the retail industry of Australia. Woolworths is a retail based
organization in Australia which operates greater than 900 stores as a part of the retail chain of
supermarkets. The organization has an employee based of more than 115,000 members.
The major issue which was faced by the organization was related to underpayment of
trolley collectors who work in Woolworths under the contractors. The influence of
underpayment on the work process of the employees is a major part of the discussion.
Real issue faced by Woolworths
The underpayment based issues which have been faced by the trolley workers in
Woolworths can be considered to be a major breach of the contract which has been signed by
the company. The investigation which has been made by Fairfax Media has been able to
depict that Woolworths has agreed to pay the lacking wages to the workers. The company has
aimed at maintaining the records that are related to contractor workforce that is a part of the
operations. The laws that have been set by the organization can affect reputation and
goodwill of Woolworths in the industry (Smh.com.au 2019). The contract or deed had been
developed by Woolworths based on trolley collection relayed activities with the contractors
and sub-contractors as well. The contract based policy was implemented as the organization
was not willing to appoint in-house trolley operators.

2REAL PROBLEM SCENARIO
Strategies of positive leadership
The analysis conducted for this research work makes it evident that Woolworths is in
urgent need of applying positive leadership in their operations. For the purpose of abiding by
the third-party franchise schemes, basic changes needed to be introduced in the strategic
management of the employment of the trolley collectors in the company. This is required for
ensuring that no other similar cases of under payment or other similar issues arise in the
company.
In this context it requires that the business strategy of awards has to be changed to a
combination of a centralised governance along with positive leadership. For fighting
corruption in Woolworths, the company needs to immediately introduce changes in the model
of contracting. So far are the current deeps of the organisation, we need to go on with this
model in the retail business. They cannot take the ring of contracting into their own hands,
rather paying respect to the current contract, they have to keep on outsourcing the position of
appointing their trolley collectors to contractors (Trivisonno and Barling 2016). Unlike the
Other competitive companies who have their in-house facility of creating teams of trolley
collectors, they have to keep on using the same business model.
In order to bring in proficiency alongside using the same business model, the
motivation level of the word force needs to be boosted and also competitive strategies of
positive leadership also needs to be enacted. The concept issue is related to the HRM
department and that is why their management need to emphasize on the abilities of the
Workers serving the company. there are various motivating factors that can manipulate the
employees to become more engaged with the work force. The strategies can be financial
rewards for appreciating the expertise that they have exhibited or they can be also gifted with
positional changes so that none of the employee’s involvement in corruption against the
company. The under-payment issues can severely damage the moral of the employees and