Company 1’s Negotiation Ceiling is $17.60. If the top of the Negotiation Ceiling is below Labor’s demand, Labor strikes. At the end of the strike the two sides will settle halfway between Company 1’s Negotiation Ceiling and Labor’s demand, or $20.80.

Low wage/benefit offers generally increase turnover rates, and therefore recruiting costs. Turnover goes up by 1% for every dollar difference between your wages and the Industry Best.

If the Human Resource Module is activated, low wage/benefit offers might erase gains to the Productivity Index. The Productivity Index falls by .05% for every dollar difference between your wages and the Industry Best.