MGT 4104-CONFLICT MANAGEMENT

CASE STUDY 3
FALL 2017

Student Name: Faculty: Dr.Ferose Pallimanhayalil

Student ID: Total Marks: 10

Instructions:
All submissions are to be made electronically in typed format as an MS Word
document through Turnitin. No other form of submissions will be accepted.

Course Learning Outcomes Coverage

Question CLO
1. 3

Case study conflict Gossip girl

Gossip Girls

Sixty percent. Thats the percentage of respondents in a recent employee survey who
said that gossip was their biggest pet peeve about their jobs.65 most gossip centers on
the workplace and the personal lives of coworkers. How often have you gossiped at
work ... either as a sender or a receiver? Although you may think workplace gossip is
harmless, it can have some pretty serious consequences. First, spreading rumors can
damage morale and increase anxiety. Secondly, it can hamper productivity and affect
performance. And it can lead to something you might not even have considered, as it
did for four former employees of the town of Hooksett, New Hampshire. Fired by the
city council for gossiping about their boss, they learned the hard way that gossip can
cost you your job.
The longtime employees were fired because one of the women had used derogatory
terms to describe the town administrator and because all of them had discussed a
rumor that he was having an affair with a female subordinate. All four of the women
acknowledged feeling resentment toward the woman, who worked in a specially
created position and was paid more than two of the employees, despite having less
experience and seniority.
Despite an appeal of their dismissal by the four employees, the Hooksett council
didnt budge and stated, These employees do not represent the best interests of the
town of Hooksett and the false rumors, gossip and derogatory statements have
contributed to a negative working environment and malcontent among their fellow
employees. Despite national media attention and a petition signed by 419 residents
asking for the women to be reinstated, the city council didnt waver on its decision.
An attorney for the four women said that his clients were legitimately questioning
the conduct of their supervisor, and whether the female subordinate was getting
preferential treatment. It almost cheapens it to call it gossip. It might have been idle,
not particularly thoughtful, talk. But there was no harm intended.
Although the four women represented nearly 50 years of combined service to the city
and all had Positive performance reviews, the town council believed that the womens
actions were insubordinate and dishonest. All four received a settlement for being
fired, which cost the town a total of $330,000.
The settlement agreement also stipulated, however, that two of the women can never
apply for a job with the town again.

Discussion Questions

1. What do you think of this situation? Do you agree with the town councils decision
about the Firing and refusal to reinstate the employees?

2. As was stated in the case, a recent survey showed that 60 percent of the respondents
Indicated that the biggest pet peeve they have about their jobs is workplace gossip.
Research The topic of office gossip/office rumors. Is office gossip always harmful?
Discuss. Could it ever be useful to managers?

3.In retrospect, what could these four women have done differently?

4. What implications can you see for managers and communication from this story?