Perry Work Report, June 27, 2014

June 27, 2014

Have a great summer! The PWR will return in September 2014.
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Summary of Current Charter Challenges and Their Impact on Union Security in Canada

"The Canadian Foundation for Labour Rights (CFLR) has issued a new edition of its publication Backgrounder: Summary of current Charter challenges and their impact on union security in Canada. The publication provides a summary of cases before the courts that challenge labour laws on the basis that they violate Canada’s Charter of Rights and Freedoms.”

"The publication is updated twice a year. It is intended to inform the labour movement and the union-side labour law community of cases before the courts that will potentially have an impact on union security in Canada. In addition it is designed to promote the coordination of legal arguments for similar cases amongst unions and their legal counsel."

National Union of Public and General Employees, June 25, 2014: “CFLR updates Backgrounder on current Charter challenges against labour laws”

The Canadian Foundation for Labour Rights, June 20, 2014: "Backgrounder: Summary of current Charter challenges and their impact on union security in Canada" (37 pages, PDF)

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Research on Collective Bargaining in the Public and Private Sectors in Canada

Collective Bargaining in the Canadian Public Sector, 1978-2008: The Consequences of Restraint and Structural Change

From the abstract: “We study public-sector bargaining and contract outcomes using Canadian data from 1978 to 2008. We have a number of interesting results, but our principal findings are from our analysis of wage settlements. We find that the essential services designation, which only allows non-essential members of a bargain unit to strike, is associated with decreases in wages. Our estimates also suggest that there is an arbitration wage premium and that making adjustments to the ability to pay criterion used by arbitrators to determine awards does not affect this premium. We also discuss the implications of our estimates.”

British Journal of Industrial Relations, June 23, 2014: “Collective Bargaining in the Canadian Public Sector, 1978-2008: The Consequences of Restraint and Structural Change,” by Michele Campolieti (CIRHR professor), Robert Hebdon (McGill professor), and Benjamin Dachis (Senior Policy Analyst at the C.D. Howe Institute)

Download the PDF version here (22 pages).

The Impact of Collective Bargaining Legislation on Strike Activity and Wage Settlements

From the abstract: “We examine the effects of collective bargaining legislation, such as (among others) bans on replacement workers and reinstatement rights, on private sector strike activity and wage settlements using Canadian data from 1978 to 2008. Our estimates indicate that this legislation does not have a statistically significant effect on the incidence of strikes. However, we do find that some of the policy variables have a statistically significant effect on strike duration and wage settlements.”

Industrial Relations: A Journal of Economy and Society, June 3, 2014: “The Impact of Collective Bargaining Legislation on Strike Activity and Wage Settlements,” by Michele Campolieti (CIRHR professor), Robert Hebdon (McGill professor), and Benjamin Dachis (Senior Policy Analyst at the C.D. Howe Institute)

Download the PDF version here (36 pages).

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OECAT Head: Marching in Pride Parade is an 'Internal Union Matter'

"As controversy grows over its plans to participate in Toronto’s World Pride parade [this] Sunday [June 29, 2014], Ontario’s English Catholic teachers’ union does not have to follow church teachings and makes its decisions democratically."

"The Ontario English Catholic Teachers Association still plans to march, despite opposition from some Catholic boards and even Toronto’s cardinal."

"While teachers working for Catholic boards must abide by church teachings in the classroom, participation in a parade known for its nudity and gay pride is allowed because it is an ‘internal union’ activity."

“‘I think most employers recognize this is an internal union matter and they don’t involve themselves in union matters,’ union president James Ryan said.”

The National Post, June 19, 2014: “Marching in Pride parade is an ‘internal union matter,’ Ontario English Catholic Teachers Association head says,” by Sarah Boesveld

Toronto Pride Guide

"Whether you want to participate, march, dance -- or if you’re just here for one of Toronto’s biggest parties, there’s something for everyone. Here’s your guide to Pride.”

The Globe and Mail, June 20, 2014: “Pride guide: Where to go during Toronto Pride week and what not to miss,” by Sean Tepper

You can also view the official WorldPride 2014 guide here (interactive PDF, 104 pages).

WorldPride 2014 Toronto [website]

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Temporary Foreign Worker Program Overhaul

"Employment Minister Jason Kenney and Immigration Minister Chris Alexander have announced an overhaul of the Temporary Foreign Worker Program, effectively conceding there has been growing abuse of the program and a driving down of wages."

“‘We will better prevent and detect abuse and penalize employers who abuse the program,’ Kenney said. ‘We will severely sanction those who break the rules. We’ll better protect foreign workers and we’ll also recognize that Canada benefits from international mobility.’”

"The revamped program will bar employers from hiring foreign workers in regions where unemployment is high, it will put a cap on the number of workers employers can hire, include a more stringent screening process for employers to prove they need to hire a foreign worker over a Canadian one, and increase the number of spot checks in the workplace and fines for those who break the rules."

"The Temporary Foreign Worker Program will now be divided into two programs: One -- still called the TFWP -- will require that employers prove the need to hire a non-Canadian worker. The other, to be called the International Mobility Program, won’t."

CBC News, June 20, 2014: “Temporary foreign worker overhaul imposes limits, hikes inspections,” by Susana Mas

CBC News, June 21, 2014: “Jason Kenney effectively phasing out temporary foreign workers in low-wage jobs,” by Terry Milewski and Susana Mas

iNews880, June 22, 2014: “AFL gives thumbs up to TFW changes,” Scott Johnston

The Globe and Mail, June 25, 2014: “Four changes to the TFW program that would help Canadian businesses,” Matthew Mendelsohn and Ratna Omidvar

For more information on the overhaul: Employment and Social Development Canada -- Temporary Foreign Worker Program

But the announcement of the changes was not met without criticism.

"Liberal MP John McCallum said the changes deserve a grade of C+. NDP MP Pat Martin said that the good news is the fact the government acknowledges the program is broken. The bad news, he adds, is that ‘they have done little to actually fix it.’"

"Activists advocating for the rights of temporary foreign workers (TFWs) also criticized the new policy changes announced on June 20. Chris Ramsaroop, organizer at the Toronto-based Justicia for Migrant Workers (J4MW) said these workers would continue to work ‘without voice, without rights and without protections.’”

“‘Genuine reforms would be permanent immigration status, anti-reprisal measures and equal access to social entitlements,’ he said, adding that by not taking these steps, ‘we are reinforcing a revolving door system where we are creating a permanent group of temporary workers that are denied rights that Canadians enjoy.’”

rabble.ca, June 23, 2014: “Changes to the Temporary Foreign Worker Program met with criticism,” by Miriam Katawazi

The Calgary Herald, June 25, 2014: “Ewart: Alberta labour market may be too hot,” by Stephen Ewart

British Columbia Federation of Labour: “Fundamental flaws of the TFW program remain unaddressed”

Ultimately, the program may be completely eliminated for low-wage jobs.

“The elimination of the Temporary Foreign Worker Program for low-wage jobs will be on the table in 2016, says Employment Minister Jason Kenney, who is not backing down in the face of business criticism that the Conservative government is already going too far.”

"From the Canadian Meat Council to the Canadian Chamber of Commerce, business groups are speaking out against Ottawa’s latest plan to cap the number of low-wage foreign workers and impose higher fees."

The Globe and Mail, June 25, 2014: “Low-wage foreign worker program faces elimination: Kenney,” by Bill Curry

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A New Deal for Young People

"The dog days of summer may yet be upon us, and already youth unemployment is a hot topic of conversation."

"But talk is cheap. The fact is too many young Canadians are set to wade into another long summer, frustrated and anxious about their grim job prospects."

"And little wonder for their anxiety."

"There are significantly more youth looking for work today than there are available jobs. As of May 2014, one in seven (13.3%) young people aged 15 to 24, or 380,600 young Canadians, were out of work. Many more are underemployed or have given up looking for work altogether."

The Broadbent Blog, June 23, 2014: “Youth unemployment: a dismal situation requires bold action,” Jonathan Sas

That is why “[t]he Broadbent Institute is proposing a ‘new deal for young people' that involves business relinquishing a fraction of the 'dead money' it is hoarding to offer jobs for young graduates.”

"The institute says an injection of $670 million from business and an equivalent amount from the federal government could lead to the creation of 186,000 full-time jobs to help young Canadians begin their careers."

"It proposes a Youth Job Guarantee -- a promise for every person under age 25 of a co-op position, apprenticeship or job offer within four months of leaving formal education or becoming unemployed. Jobs would last 12 weeks and pay about $15 an hour."

"This would help reduce the 13.3 per cent unemployment rate among Canadians aged 15 to 24 and diminish the risk of these young people becoming ‘discouraged workers’ who no longer seek employment, the institute said."

CBC News, June 23, 2014: “Youth jobs proposal would guarantee placement for graduates”

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Peter MacKay Tries to Explain Lack of Diversity on Federal Courts... and Fails

"On June 13, the Harper government announced eleven judicial appointments. Ten were men. The ratio (more than 9:1) continues a disturbing pattern highlighted earlier this year by Prof. Rosemary Cairns Way. Ms. Cairns Way, who examined all of the Harper government’s judicial appointments since 2012, found that the appointment of women continued to lag far behind that of men. In fact, the chief actuary has recently pushed back the date on which he assumes that gender parity will be achieved -- to 2035"

The Globe and Mail, June 20, 2014: “Forget MacKay, a woman’s place is on the bench,” Rosemary Cairns Way, Adam Dodek, Carissima Mathen and Lorne Sossin

In response to the announcement, “Justice Minister Peter MacKay stunned several lawyers at a meeting [on June 13, 2014] in Toronto when he appeared to turn aside a question about the dearth of women and visible minorities on federally appointed courts, saying they just ‘aren’t applying’ for the jobs.”

"MacKay went on to say women fear an ‘old boys’ network on the bench would dispatch them on circuit work to hear cases in courthouses across a region -- a prospect he described as unappealing for women with children at home."

"According to people in attendance last Friday, MacKay said that as a new father he understands women’s reluctance to leave their children because, while he didn’t want to downplay the role that fathers play, women have a special bond with their children."

"Several of the men and women at the meeting of the Ontario Bar Association’s council described the remarks to the Star variously as ‘disappointing,’ ‘bizarre,’ ‘frustrating’ or ‘offensive.’"

"In the first instance, they said the answer failed to address the issue of diversity. Secondly, they suggested it was presumptuous if not insensitive, and thirdly it betrayed a lack of understanding of, or commitment to, the goal of making the judiciary more representative, they said."

The Toronto Star, June 18, 2014: “Peter MacKay tries to explain lack of diversity on federal courts,” by Tonda MacCharles

CBC News, June 19, 2014: “Peter MacKay defends comments, says too few women apply to be judges,” by James Fitz-Morris

CBC News, June 21, 2014: "Female judges in Alberta: a look at the numbers"

"The man is wrong everywhere! He just keeps popping up wrong! Peter MacKay is like the Zelig of wrong! He’s wrong in the House of Commons -- and throws papers on the floor. He’s as wrong in four-year-old as he is in adult."

The Globe and Mail, June 20, 2014: “Peter MacKay: He’s the Minister of Wrong Again,” by Tabatha Southey

The Globe and Mail, June 19, 2014: “MacKay compared to paternal 1950s TV characters with female judge comments,” by Sean Fine

The Globe and Mail, June 24, 2014: “MacKay defends e-mails to staff about roles of moms and dads,” by Sean Fine

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Premier Kathleen Wynne's Cabinet Shuffle

"In her first major act since winning a majority government earlier this month, [Premier Kathleen] Wynne is looking to signal that she is serious about dealing with the province’s ballooning fiscal woes. She will vastly expand the post of Treasury Board president to include oversight of Crown agencies and responsibility for tough negotiations with government unions, Liberal sources said."

"The Premier will put her closest political ally, Deputy Premier Deb Matthews, in the post...."

"At Treasury Board, Ms. Matthews’s toughest task may be facing down the government unions. The Liberals’ budget contains no new money for wage increases, which could set up rounds of fractious negotiations. Ms. Wynne has vowed not to impose contracts through legislation, meaning Ms. Matthews will have to persuade workers across government to do without raises or find the money from savings elsewhere."

"Negotiations with the teacher unions, whose contracts expire this year, proved politically damaging to the Liberals during the last round of talks, when then-premier Dalton McGuinty imposed a wage freeze. The teachers turned on him, campaigning against the Liberals. Ms. Matthews will have a hand on this file from Ms. Sandals, who helped defuse the tension between the unions and the government after Mr. McGuinty stepped down."

"Complicating labour relations further, several major unions -- including the nurses and provincial police -- ran attack ads against the Progressive Conservatives during the election, and may feel they helped the Liberals win the vote."

The Globe and Mail, June 23, 2014: “Job of finance minister split as Wynne gets set for cabinet shuffle,” by Adrian Morrow

CBC News, June 23, 2014: “Cabinet doors no longer locked for women at Queen’s Park,” by Robert Fisher

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RBC Releases Sixth Annual Aboriginal Partnership Report

"Investing in education is critical to fostering strong and healthy Aboriginal communities. However, while successful education completion is on the rise among Aboriginal peoples, a gap still remains compared with the rest of Canada. According to Statistics Canada’s 2011 National Household Survey, 22.81 per cent of Aboriginal peoples aged 25 to 64 reported high school as their highest level of education (up from 21 per cent in 2006) and almost one-half (48.4 per cent) completed post-secondary qualification, up from 44 per cent in the 2006 Census. These results compare with 89 per cent of Canada’s non-Aboriginal population holding at least a high school diploma, and 64 per cent attaining post-secondary qualification."

"To help grow Aboriginal peoples’ educational and workforce participation, and ultimately strengthen Canada’s competitiveness and economic prosperity, this gap must close faster. That is why supporting innovative programs which help students achieve their goals remains a priority for RBC, and why this focus is highlighted in RBC’s recent report, A Chosen Journey: RBC Aboriginal Partnership Report.”

"This year’s Partnership Report celebrates the relationships and Aboriginal youth educational programs that RBC has developed in collaboration with First Nations, Metis and Inuit communities and peoples across the country."

Read the full report here (24 pages, PDF).

Diversity!, June 22, 2014: “RBC releases sixth annual Aboriginal Partnership Report”

Canadian Public Policy, June 2014: “Aboriginal Early School Leavers On- and Off-Reserve: An Empirical Analysis,” by Danielle Lamb (CIRHR PhD. student and Rogers School of Management Assistant Professor)

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Innovation: If You Can't Make Yourself Obsolete, Someone Else Will

"The Agenda 2020 series asks experts to discuss what business leaders should be doing now to prepare their organizations to be healthy, efficient and growing by 2020. Read more at tgam.ca/agenda2020.”

"... [H]ow can hierarchical companies tap the brain trust of their employees? How can they measure innovation? And how can they truly improve, instead of just talk effervescently of ‘cultural change’ and ‘looking to the future’?"

"Doug Williamson, chief executive of Toronto-based leadership consultancy the Beacon Group, and Daniel Muzyka, chief executive of the Conference Board of Canada, have some ideas."

An excerpt from Daniel Muzyka’s thoughts: “The challenges for a very large organization are, first of all, that they have a great deal of investment in a set of products and services. And in this day and age, there’s huge pressure for short-term earnings. What that short-term pressure does is that it tends to favour what exists now, rather than overturning what exists now with something more innovative. And that pressure needs to be offset by a longer-term view of innovation.”

"People tend to not want to make themselves obsolete, especially when they get to scale."

"I think you can manage innovation. All of our research points to the fact that companies that do manage and measure innovation outperform those that don’t. You can put resources into place, and that’s where managing it comes in: deploying resources that will support innovative, new ideas; ensuring that you have a strong knowledge architecture -- and that it is a formal, systemic thing, so that people access knowledge that is already developed; ensuring access to markets -- that’s a structural element."

The Globe and Mail, June 26, 2014: “Innovation: If you can’t make yourself obsolete, someone else will,” by Guy Dixon

"What’s one of the biggest misperceptions on innovation? That it’s large businesses, with their vast resources, that are leading Canadian innovation. A recent survey of innovative businesses, by IDC and Salesforce.com, debunked that notion and found innovation is not being driven wholly by big investments in research centres, but rather through the everyday use of technology particularly in small businesses. These findings support the idea that it’s time to change the conversation around how we define business innovation."

The Globe and Mail, June 24, 2014: “It’s time to re-think the way we define innovation,” by Warren Shiau

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Procrastination: Cultural Explorations

"The organizers of this conference at Wolfson College, Oxford are considering the political aspects of procrastination: ‘Through quiet disobedience and work-to-rule strikes, it can act as a ‘weapon of the weak’ against everyday exploitation (James C. Scott), or even as part of a revolutionary ‘right to be lazy’ (Paul Lafargue). At the same time it may stall radical change through tactical filibustering and bureaucratic inertia. Does procrastination have genuinely radical political potential, or is it an enforcer of the status quo?’"

"For the full schedule and registration, visit procrastinationoxford.org."

One of the speakers at the conference is Dr. Susan Machum from St. Thomas, New Brunswick, with a presentation entitled "Overcoming Procrastination: A critical examination of trade books designed to increase productivity and ensure things 'get done.'"

The New York Review of Books Events, June 2014: “Procrastination: Cultural Explorations,” selected by Laura Marsh

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Starbucks' New College Achievement Plan

"Starbucks is teaming up with Arizona State University on an exclusive program that could send thousands of its baristas, store managers, and other employees to ASU Online for their undergraduate degrees, with the coffee company picking up about three-quarters of the tuition tab."

"The unusual program, the Starbucks College Achievement Plan, will be available to more than 100,000 of its employees.”

"In an interview with The Chronicle before the announcement, [Howard Schultz, chairman and chief executive of Starbucks] said providing educational benefits ‘with no strings attached’ was an extension of the company’s culture and values. Employees will not have to commit to remain at the company past graduation, he said, but he expects the new benefit will actually lower attrition and attract new people. He said it would also demonstrate ‘the role and responsibility of a public company’ at a time when education matters and ‘so many people are being left behind.’”

"[Arizona State President Michael] Crow, who calls the fast-growing Arizona State a ‘New American University’ model -- a research institution designed to be expansive, not exclusive -- said the Starbucks partnership responds to national needs for raising educational levels while also paying broader benefits.”

The Chronicle of High Education, June 15, 2014: “Starbucks Will Send Thousands of Employees to Arizona State for Degrees,” by Goldie Blumenstyk

Starbucks Newsroom, June 15, 2014: “Starbucks Offers Full Tuition Reimbursement for Employees to Complete a Bachelor’s Degree”

Starbucks College Achievement Plan [website]

Suspicious of Starbucks’ generosity? Perhaps rightly so.

"It turns out Starbucks isn’t contributing any upfront scholarship money to an online college degree program it introduced this week."

"... Arizona State University President Michael Crow told The Chronicle of Higher Education that Starbucks is not contributing any money toward the scholarship. Instead, Arizona State will essentially charge workers less than the sticker price for online tuition. Much of the remainder would likely be covered by federal aid since most Starbucks workers don’t earn a lot of money.”

"Workers would pay whatever costs remained out of pocket for the first two years, and Starbucks would bear no costs."

CBC News, June 19, 2014: “Starbucks scholarship program exaggerated”

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Student Loans: A Real Crisis or a Bunch of Cliches?

"The deeply indebted college graduate has become a stock character in the national conversation: the art history major with $50,000 in debt, the underemployed barista with $75,000, the struggling poet with $100,000."

"The anecdotes have created the impression that such high levels of student debt are typical."

"... [S]tudent debt is indeed a problem for some young people today, but ... it’s not a new phenomenon. For most, the returns on a college education have more than kept pace with the cost.”

"What explains the widely held notion to the contrary? I think it stems in large part from the fact that Americans are legitimately frustrated about the economy’s performance over the last 15 years. But when you start looking at the evidence that blames student debt, it can be flimsy."

"With all this being said, the [newly released] Brookings paper does contain a true cause for concern: ‘Among households with some college but no bachelor’s degree, the incidence of debt increased from 11 to 41 percent.’ The average amount of debt among this group also more than doubled over the last two decades. Some members of the group are thriving community-college graduates, but more are college dropouts."

"Those dropouts point to some of the big flaws that our higher-education system does have. Many colleges graduate fewer than half of the students they enroll -- and resist policy makers’ attempts to hold them accountable for their results. Some public universities devote much of their financial aid to students who do not need it most, creating hardship for others. And recent state budget cuts have caused painful tuition increases on many campuses.”

"If you want to argue that American universities charge too much money for too little education, you can make a pretty good case. But the people paying the real price for those failings aren’t the ones who fit the cliches."

The New York Times’ The Upshot, June 24, 2014: “The Reality of Student Debt Is Different From the Cliches,” by David Leonhardt

Brookings, June 24, 2014: “Is a Student Loan Crisis on the Horizon?,” by Beth Akers and Matthew M. Chingos (click here to read the full report, 27 pages, PDF)

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What Do The United States, Oman, and Papua New Guinea Have in Common?

They are the only three countries in the world that do not offer any type of social assistance to new mothers nor require that businesses pay their employees even a portion of their normal salaries when taking family leave.

"President [Barack] Obama is encouraging more employers to adopt family-friendly policies by hosting a daylong summit Monday [June 23, 2014], even though the U.S. government doesn’t always set the best example."

"The United States is the only industrialized nation that doesn’t mandate paid leave for mothers of newborns, although Obama says he’d like to see that change."

"While some companies offer paid family leave to attract workers, the 1993 Family Medical Leave Act only requires that employers provide unpaid leave for medical and family reasons."

The Daily Mail, June 23, 2014: “‘It’s time to change’: Obama encourages employers to offer paid maternity leave”

The White House Summit on Working Families [website]

The Atlantic, June 20, 2014: “A Map of Maternity Leave Policies Around the World,” Rebecca J. Rosen

International Labour Organization, May 2014: “Maternity and paternity at work: Law and practice across the world” (204 pages, PDF)

Playing devil’s advocate, Tamsin McMahon of Maclean’s argues that “[t]he careers of women, and men, suffer when they take a year off work after having kids.”

Maclean’s, June 20, 2014: “Is maternity leave a bad idea?,” by Tamsin McMahon

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Hackers Wanted: An Examination of the Cybersecurity Labor Market

“There is a general perception that there is a shortage of cybersecurity professionals within the United States, and a particular shortage of these professionals within the federal government, working on national security as well as intelligence. Shortages of this nature complicate securing the nation’s networks and may leave the United States ill-prepared to carry out conflict in cyberspace."

"RAND examined the current status of the labor market for cybersecurity professionals -- with an emphasis on their being employed to defend the United States. This effort was in three parts: first, a review of the literature; second, interviews with managers and educators of cybersecurity professionals, supplemented by reportage; and third, an examination of the economic literature about labor markets. RAND also disaggregated the broad definition of ‘cybersecurity professionals’ to unearth skills differentiation as relevant to this study."

"In general, we support the use of market forces (and preexisting government programs) to address the strong demand for cybersecurity professionals in the longer run. Increases in educational opportunities and compensation packages will draw more workers into the profession over time. Cybersecurity professionals take time to reach their potential; drastic steps taken today to increase their quantity and quality would not bear fruit for another five to ten years. By then, the current concern over cybersecurity could easily abate, driven by new technology and more secure architectures. Pushing too many people into the profession now could leave an overabundance of highly trained and narrowly skilled individuals who could better be serving national needs in other vocations."

RAND, June 24, 2014: “Hackers Wanted: An Examination of the Cybersecurity Labor Market,” by Martin C. Libicki, David Senty, and Julia Pollak (click here to download the PDF, 110 pages)

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Book of the Week

Workplace Well-Being: How to Build Positive, Psychologically Healthy Workplaces, edited by Arla Day, E. Kevin Kelloway, and Joseph Hurrell, Jr. Chichester, West Sussex, UK: Wiley Blackwell, 2014. 338 p. ISBN 9781118469453 (pbk.)

From the publisher: "Workplace Wellbeing is a complete guide to understanding and implementing the principles of a psychologically healthy workplace for psychologists and other practitioners. Grounded in the latest theory and research yet filled with plenty of case studies and proven techniques; introduces the core components of psychologically healthy workplaces, including health and safety, leadership, employee involvement, development, recognition, work-life balance, culture and communication; addresses important issues such as the role of unions, the importance of leadership, healthy workplaces in small businesses, respectful workplace cultures, and corporate social responsibility; discusses factors that influence the physical safety of employees, as well as their physical and psychological health; brings together stellar scholars from around the world, including the US, Canada, Europe, Israel, and Australia."

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