McGraw-Hill Addresses Textbook Controversy

Under the title "Patterns of Immigration," a McGraw-Hill textbook explains that Africans came to America as "workers." In another section, the book says Europeans came as "indentured servants." A mother's video describing her son's experience and the book went viral. She shows pages from the book that list consultants, advisors, and reviewers who seem to have approved the book.  

The publisher issued a statement. 

McGraw-Hill President and CEO David Levin called the caption a "mistake" and wrote in a message to employees, "We are deeply sorry that the caption was written this way. While the book was reviewed by many people inside and outside the company, and was made available for public review, no one raised concerns about the caption. Yet, clearly, something went wrong, and we must and will do better."

Discussion Starters: 

• What's your view of the "mistake"?
• How could the text get by so many reviewers? 
• Analyze McGraw-Hill's two statements: the Facebook post and the CEO's quotation. What do you find effective, and what could be improved?

Air France Employees Angry About Layoffs

Air France announced 2,900 job cuts by 2017, and employees didn't react well. The company had asked pilots to take wage cuts, but they haven't agreed.

The head of HR for the company was pictured without a shirt, trying to get through a group of angry employees yelling, "A poil, à poil" (off with his clothes). In this photo, security officers are helping the executive escape. The head of Air France for Orly airport also had his shirt ripped by the crowd.

The airline union and parent company Air France-KLM denounced the employees' actions, and company officials said they would file a charges.

From IB Times, Business Insider summarizes similar employee situations in France since 2009. Employees at a Goodyear tire company held executives hostage for 30 hours rather than accept  1,173 job cuts. In 2009, employees at Caterpillar held executives hostage for a night after layoffs of 700 were announced.  

Image source.

Discussion Starters:

• Try to explain the employees' perspective given the news and the country's history.
• What do you think the management team will do now?
• How would such an event go over in other countries?

Layoffs at Whole Foods

Whole Foods just laid off about 1500 employees, or 1.6% of the workforce. In an interview with Fortune, Co-CEO Walter Robb explained the company's growth strategy. A statement on the company's website describes the decision as a cost-cutting measure to reduce prices and invest in technology, and Robb outlines the plan for employees:

"This is a very difficult decision, and we are committed to treating affected Team Members in a caring and respectful manner. We have offered them several options including transition pay, a generous severance, or the opportunity to apply for other jobs. In addition, we will pay these Team Members in full over the next eight weeks as they decide which option to choose. We believe this is an important step to evolve Whole Foods Market in a rapidly changing marketplace." 

Critics question how "generous" the severance is but admit that it's better than other retailers' beneifts. Mother Jones describes employees as "bitter," several have leaked their layoff letter.

 

View Part 2 of the letter.

Discussion Starters:

• Assess the layoff letter. Consider that it's an official document that employees are asked to sign.
• How well does Robb explain the rationale for the layoffs? Read the company's statement and watch the Fortune interview to decide.

VW Still Lagging in Customer Communication

Although Volkswagen set up a hashtag on Twitter, #VWCares, the company isn't responding to many tweets. VW also set up a new website, VWDieselInfo.com, but provides no new information since Monday; the same Michael Horn video, FAQs, and Statements are listed. 

The tweet replies for #VWCares sound sincere, but I see only one response since Sept. 29.

A friend sent an email to the company via the website and received, a week later, this generic reply:

The response is strange: it's asking for feedback, but I'm confident that my friend already gave sufficient information.  

Discussion Starters:

• What's the company view on this? Consider how the team may be inundated with customer requests. 
• Still, what can they do to address concerns? What do you think is reasonable to expect at this point? 

Planned Parenthood Fights Allegations

A video showing Planned Parenthood officials discussing how they provide fetal tissue for research has caused outrage and a fight from the organization. Abortion opponents use the video as evidence of Planned Parenthood's "selling baby parts," but the organization denies these claims. 

In a statement on its website, Planned Parenthood refers to opponents as "extremists" and calls the videos "highly political" with "at least 42 splices": 

"They are engaged in a fraud, and the claims they've made have been discredited and disproven. If there was any truth to these videos, the footage would be shared with a judge who would take the necessary steps to seize records and conduct an investigation.  Instead, the videos were shared with members of Congress in advance of being released to the public and then used in an effort to defund Planned Parenthood and eliminate access to women's health care."

The Planned Parenthood website has additional statements, and Cecile Richards appeared before Congress to testify. 

Discussion Starters: 

• Analyze the organization's statements on its website. What themes emerge? How would you describe the tone? 
• In what ways do your own views of abortion affect how you read the organization's statements?

Sheriff's News Conference About Oregon Shooting

A shooting at Umpqua Community College in Roseburg, Oregon, has left 10 people dead and seven injured. Douglas County Sheriff John Hanlin held a news conference to discuss the situation.

Following is my take on the statement: 

+ He is not polished, as you might expect from a sheriff just hours after such a shooting. He shows appropriate emotion for the situation and timing.

+ He says early on that the victims and their families are their priority.

- He could have told the public what they need to know: that the shooter is dead. (He was shot by police and then shot himself.) This might have helped assure people that they are safe. The media statement on the sheriff's website clearly states that the shooter is dead. One reason the sheriff may have avoided this is the controversy around several recent police shootings in the U.S. Otherwise, it's not clear why he wouldn't include this information. 

+ Then, he could have discussed the number of casualties, which he did clearly. 

- Part of the statement could have been given by the university president. That is more typical in these situations, as we saw in the Virginia Tech shooting. (See President Steger's statement.)

+ He appropriately gave contact information and a place where people are gathering.

+/- The public information officer is understandably nervous in front of the camera. He could have been more confident when telling the reporter that they weren't taking questions, and he could have simply walked away from the camera when he was finished. It's not clear why the sheriff passed this part off to him-possibly he wanted the officer to have some media exposure; although a terrible tragedy, this is a very big deal for the town.

Much publicity is surrounding President Obama's statement. 

T-Mobile and Experian CEOs Address Data Breach

A data breach at credit card processor Experian has exposed information about millions of T-Mobile customers, and the CEO is "incredibly angry" about it. Although credit card and banking account numbers weren't stolen, names, addresses, emails, and social security numbers were.

In a "Letter to Consumers" on the company's website, John Legere wrote, "I've always said that part of being the Un-carrier means telling it like it is. Whether it's good news or bad, I'm going to be direct, transparent and honest."  

Experian also published a statement on its website. In a bulleted list, the company explained what happened and then offered several FAQ's under simple headings: "About the Incident," "What Does This Mean for Me?" "I'm Still Confused," and "What We're Doing to Make It Right." 

Although Legere offered two years of free credit monitoring, customers are no longer trusting the company's service. The CEO responded on Twitter: "I hear you. I am moving as fast as possible to get an alternate option in place by tomorrow."

Discussion Starters: 

• Legere uses a conversational style in his Letter to Consumers. Do you consider this appropriate for the situation, unprofessional for a CEO, or something else?
• Analyze the organization of Experian's web statement. What works well, and what could be improved? 
• What principles of bad-news messages from Chapter 8 do these examples follow? 

GM CEO: "People Died in Our Cars"

In a statement to employees, GM CEO Mary Barra was frank: "People were hurt, and people died in our cars." Her presentation came after the company reached a $900 million settlement agreement with the Department of Justice for failing to recall cars with faulty ignition switches. (See transcript.)

Barra focused on changes at GM: 

"But apologies and accountability don't amount to much if you don't change your behavior.  We have.  And that's what I want to focus on in our time together."

She outlined what she called a "tough agreement" and then reviewed the actions GM has already taken: "We lived our values, and it made a huge difference."

Discussion Starters:

• Who are the primary and secondary audiences for Barra's presentation? Why would the company make this internal communication public?
• Assess Barra's video. What is notable about the content, organization, and delivery compared to her previous presentation to employees?

VW Executive Changes and More Comms

Since the scandal broke, Volkswagen has sprung in action, making executive changes and stepping up communications. No surprise, Martin Winterkorn resigned. However, his statement is unusual (as was his video, considering the likelihood that he would leave the company): 

"I am shocked by the events of the past few days. Above all, I am stunned that misconduct on such a scale was possible in the Volkswagen Group. 

"As CEO I accept responsibility for the irregularities that have been found in diesel engines and have therefore requested the Supervisory Board to agree on terminating my function as CEO of the Volkswagen Group. I am doing this in the interests of the company even though I am not aware of any wrong doing on my part. 

"Volkswagen needs a fresh start – also in terms of personnel. I am clearing the way for this fresh start with my resignation. 

"I have always been driven by my desire to serve this company, especially our customers and employees. Volkswagen has been, is and will always be my life. 

"The process of clarification and transparency must continue. This is the only way to win back trust. I am convinced that the Volkswagen Group and its team will overcome this grave crisis." 

Since the decision on Wednesday, VW has hired a new chief executive, Matthias Müller, previously head of Porsche. A New York Times article title calls him an "insider"-notable because of criticism about the company's centralized control of power.  

Additional communications include the following: 

• Statement by the executive board
• Statement by the CEO of VW car brands
• Statement about further restructuring

Discussion Starters: 

• Analyze the most recent communications. Are you convinced the company is doing all it can to fix the situation and regain customer confidence?
• As far as I know, U.S. VW customers have not received any direct communication (e.g., an email) from the company. What's your view about this? 

KU Must Reinstate Student Who Posted Derogatory Tweets

The University of Kansas lost a lawsuit after expelling a student for posting derogatory tweets about his girlfriend. According to the court decision, the university's code of conduct applies only to tweets posted while a student is on campus. Without clear evidence, Navid Yeasin should not have been expelled: he could have tweeted while off campus. 

Although the university argued that off-campus harassment can create a hostile on-campus environment, the court disagreed: 

"It seems obvious that the only environment the university can control is on campus or at university-sponsored or supervised events. After all, the university is not an agency of law enforcement but is rather an institution of learning."

An attorney with the American Civil Liberties Union (ACLU) supported the decision: 

"To police stuff that doesn't have any connection with the university is a waste of resources. And to police speech - no matter how (offensive) that speech is - is a waste of resources. KU needs to focus on real sexual assault on campus."

Discussion Starters: 

• What's your view of the court's decision? 
• Should UK make a statement at this point? What would the university say, whether or not it decides to appeal?

TV Station Apologizes for Showing Nazi Symbol on Yom Kippur

It's hard to imagine how such a mistake could happen. A Chicago TV station showed a Nazi image when talking about Yom Kippur, the Jewish Day of Atonement. "Jude" is the German word for Jew, and the blue stripes were used on Jewish uniforms in concentration camps. 

The station issued apologies live and on Twitter.

"Last night we ran a story to recognize Yom Kippur, the Jewish Day of Atonement.  Regrettably, we failed to recognize that the artwork we chose to accompany the story contained an offensive symbol.  This was an unfortunate mistake.  Ignorance is not an excuse.  We are extremely embarrassed and we deeply apologize to our viewers and to the Jewish community for this mistake.

"We are investigating how this situation occurred, reviewing our in-house policies and making changes in order to avoid such mistakes from happening in the future.  Thank you for your understanding. We promise to do better."

 

Discussion Starters:

• The station said it would investigate how the mistake happened, but it hasn't followed up yet. How do you think it happened? Under what situations would they not respond with a reason?
• Assess the apology. How effective are the video and written statement?

Volkswagen Upsets Customers

Volkswagen customers are furious, and the executives have a lot of explaining to do. Chief Executive Martin Winterkorn may be known for his meticulousness, but he missed the boat in ensuring that the company met ethical industry standards. An investigation has revealed that millions of diesel cars don't meet emissions guidelines; worse yet, software to intentionally deceive tests was built into many models.

A New York Times article covers background (drama) between Winterkorn and former Chairman Ferdinand Piëch. Now, Winterkorn seems to be holding the responsibility. Because VW has centralized management practices, he'll have a tough time convincing stakeholders that senior management wasn't involved. 

As you can imagine, VW customers aren't happy about the situation. They bought the "clean diesel" line from the company and "green" award-winning Passats, Golfs, Jettas, Beetles, and Audi A3's that aren't what the company claimed. The fixes are expensive and will cause drops in performance or trunk space. A Wired article also warns that, whether people "dodge the recall or not, your car's resale value is likely to drop as far and fast as VW's stock, which has plunged 20 percent since the feds came down on VW Friday." 

On its website, VW posted two statements relevant to this situation. The first addresses the findings and apologizes (below), and the second-issued two days later-says the company is "working at full speed to clarify irregularities concerning a particular software used in diesel engines." 

In addition to these written statements, Winterkorn created an apology video: 

UPDATE: Today's post, as predicted, included Winterkorn's resignation:

Discussion Starters:

• Analyze the two company statements. In what ways do they rebuild company image, and how do they fall short? 
• What else does the company need to do to gain consumer confidence? What should Winterkorn do? 
• The news was announced on Sept. 20. How many days do you predict it will take him to step down?

eBay Updates User Agreement

eBay sent an email to its customers to announce new terms and posted the revised agreement on its website. In June, when eBay spun off PayPal, both companies changed their user agreements-and heard from the New York attorney general. They wanted to make automated calls to collect payments or get feedback, but such "robocalls" could be illegal in New York State. 

This time, the guidelines aren't making many waves. One highlighted change is about contacting users by phone: eBay says it "updated some of the language." Another indicates that reductions in fees won't be communicated in advance. Other changes focus on listings and international shipping arrangements.

Hi Amy, At eBay, we strive to make our policies clear and our services easy to use.  As part of that commitment, we're writing to you today to announce some changes to eBay's User Agreement. Our updated User Agreement will take effect on September 14, 2015 for new users and on October 28, 2015 for all other users. The updated User Agreement was posted on www.ebay.com on September 14, 2015. Key updates to the eBay User Agreement: Simplification: We simplified and reorganized some of our policies to make them clearer and easier to understand. Fees: We clarified that when we make a change to seller fees that result in reduced fees, we will not provide advance notice. Listing Conditions: In light of our introduction of the eBay Seller Hub, we updated this section to reflect that we may display information about the commercial performance of your listings to other sellers.  Learn more about how the eBay Seller Hub works here. We also added language in this section to indicate that we may remove metatags and URL links included in your listing to improve third party search engine results. International Buying and Selling; Translation: We added language to this section to indicate that we may automatically translate member-to-member messages into local languages where those translation services are available. Authorization to contact you and record calls: To make our existing policy clearer, we updated some of the language regarding when we may contact you using autodialed or prerecorded calls or by text message.  We also updated this section to let you know how to change your communication preferences if you don't want us to contact you. Returns and Cancellations: We updated this section to let you know that eBay sellers who choose to offer returns may now enjoy a single, customizable returns process by creating automated rules for returns, refunds, and replacements. When you automate your returns, we'll send an eBay-generated return shipping label to your buyer for you. We also clarified situations where you are responsible for the cost of an eBay-generated shipping label. Global Shipping Program: We added language to reflect that we will now provide a way for buyers to contact eBay's customer service directly when they have a question about the services overseen by our global shipping provider, such as international shipping, customs clearance, or delivery to the international buyer. Thanks for being a part of the eBay community. Sincerely, The eBay team

Discussion Starters:

• Assess the message organization. How does eBay use bullets, and do you find them effective? 
• What's your view of the other changes? Which do you think could upset users?

Questions About Facebook's Dislike Button

Facebook is introducing a "dislike" button, and people are wondering how it will be used. During a Q&A session, CEO and Founder Mark Zuckerberg explained that the button will express empathy. He said people have requested this since 2009 as an alternative to liking something sad, such as a death announcement, which seems odd or insensitive.

Others worry that the button will bring more negativity to social media. A ZDNet article warns that it could be used for trolling or bullying. The article describes the data the new button will reveal for marketers. It seems that the dislike button will have commercial value in addition to the social value Zuckerberg describes.

Although the button seems easy to implement, Zuckerberg said it's "surprisingly complicated" and is in testing now. 

Image source.

Discussion Starters: 

• How could people misuse the dislike button? What are the chances this will happen? 
• For what posts would you use the button? 
• If people have been asking for the button since 2009, as Zuckerberg says, why do you think Facebook waited this long to implement it? 

United CEO's Email to Customers

United's new CEO Oscar Munoz has reached out to United Mileage Plus members to introduce himself and try to improve the airline's image. Three executives, including the former CEO, left the company because of potential improprieties.

After communicating with employees, Munoz has sent a similar message to customers.

 

In an article, "How A Scandal Has Given New Life To United Airlines," the author discusses the airlines' stock gain for the past couple of days. Perhaps the CEO's clear, personal communications are contributing to the recent attention.

Discussion Starters:

• Compare the messages to employees and customers. What differences and similarities do you notice?
• In his message to customers, Munoz did not mention that executives recently left the company. What factors do you think he considered in making this decision?

GOP Debate or Circus?

The Republican candidates for president debated for the second time last night, and the popular commentary is below.

Rand Paul attacked Donald Trump, the most common target of the night, in part for his comment about Carly Fiorina's appearance:

"I kind of have to laugh. I'm very concerned about having him in charge of the nuclear weapons because I think his visceral response to attack people on their appearance - short, tall, fat, ugly - my goodness, that happened in junior high. Are we not way above that? Would we not all be worried to have someone like that in charge of the nuclear arsenal?"

Trump shot back, "I never attacked him on his looks, and believe me, there is plenty of subject matter right there."

Fiorina handled the situation well, and several analysts applaud her "breakout performance" throughout the debate.

 

She was, once, put in her place by Chris Christie: "You interrupt everyone else on this stage. You're not going to interrupt me."

Discussion Starters:

• Watch parts of the debate (or the entire three hours if you have the time!). What do you consider to be the highlights?
• From your point of view, who won the debate? 
• Do the results from this debate influence your opinion of the candidates? How so?

Comedian Apologizes for 9/11 Account

For 14 years, Steve Rannazzisi stuck to his story of escaping the Twin Towers during the 9/11 attacks. In 2009, he gave a detailed account of the day and how the event inspired him to move to Los Angeles. Now a comedian with his own TV show, a special on Comedy Central, and an endorsement deal with Buffalo Wild Wings, Rannazzisi's lie is biting him back.

Rannazzisi posted a series of tweets, but his confession doesn't seem to be winning him any favors. He also published a statement, which The New York Times called "contrite":

"It was profoundly disrespectful to those who perished and those who lost loved ones. The stupidity and guilt I have felt for many years has not abated. It was an early taste of having a public persona, and I made a terrible mistake. All I can ask is for forgiveness."

Buffalo Wild Wings is reconsidering their deal:  

"We are disappointed to learn of Steve's misrepresentations regarding the events of September 11, 2001. We are currently re-evaluating our relationship with Steve pending a review of all the facts."

Discussion Starters: 

• What's your assessment of Rannazzisi's tweets and statement?
• Should Buffalo Wild Wings cancel his contract? Should Comedy Central cancel his show? If so, what should they say?

Air India Deems 130 Unfit to Fly

In 2014, India's Directorate General of Civil Aviation (DGCA) provided body mass index (BMI) guidelines for flight crew members, and now Air India is taking action against those who haven't complied. The DGCA also imposed rules for medical check-ups:

"The Initial Medical Examination shall be conducted upon induction. Subsequently, cabin crew shall undergo medical examination once every four years till the age of 40, once every two years till the age of 50 and yearly thereafter."

Before the guidelines were published, some Air India flight attendants ("air hostesses") refused the fitness test and instead asked the airline to pay for gym memberships.

Now, Air India, with the highest percentage of attendants over 40, has grounded 130 of its 3,5000 crew members. Most are women. A 51-year-old attendant told The Washington Post, "It is incredibly upsetting that working women are being targeted. This is not a modelling job; we are not working a catwalk."

The airline is stressing job requirements, not appearance. One official said, "People who are fitter can respond quicker and more efficiently in case of any untoward situation."

But Air India has a history of focusing on looks. In 2004, the personnel manager told BBC:

"Looks matter in this line of work, and therefore we are giving it a lot of importance. When we review a candidate, we look at the skin, teeth and height. There should be no scars, acne, or any major marks on the face. The candidate should have a pleasing personality, should be able to carry him or herself with confidence and be ready to serve others. After all, that is the job of an air hostess and a male steward."

Although crew members will stay employed, they miss out on benefits of flight travel.

Image source.

Discussion Starters:

• What's your view of this situation? Should the airline stress BMI and/or looks in its decisions to hire and retain cabin crew?
• What is the best way for Air India to quell the controversy at this point?

Chinese Premier Speaks at World Economic Forum

Chinese Premier Li Keqiang is doing his best to rebuild confidence in his country's economy. He delivered the opening session at the World Economic Forum, the ninth "Annual Meeting of the New Champions" with more than 1,500 people representing more than 90 countries.

Seven video quotes may show a representation of the speech, although we don't know the criteria for selection. The first is below: 

According to The Financial Times, despite the government's focus on progress, critics accuse authorities as they "sought to prop up stocks by banning large share sales, detaining journalists and punishing 'rumour mongers' as well as orchestrating state-directed buying." 

Li has tried to put China's financial position into perspective: "The fluctuations in global financial markets recently are a continuation of the 2008 global financial crisis." The Financial Times summarizes Li's position: 

"Although he did not outline any further stimulus measures or policy reform initiatives, Mr Li did say he was confident in future growth because he saw a 'massive wave of mass entrepreneurship and innovation across the nation.'"

Li did acknowledge difficulties: 

"China is an economy that is closely integrated with the international market. Given the weak growth of the global economy, China cannot stay unaffected and the deep-seated problems that have built up over the years are also being exposed."

But he repeated that the Chinese economy is in a "proper range," which The Guardian calls, "a favourite phrase."

Discussion Starters: 

• Analyze the audience at the World Economic Forum. What are their goals for attending the event? Who are the secondary audiences for Li's speech? 
• Read the speech transcript. Does Li meet his goal of reassuring us about the strength of Chinese economy? 

European Commission Official Calls for Unity

Jean-Claude Juncker, president of the European Commission, called for quotas for European countries to accept more than 160,000 refugees. Juncker is encouraging consistent immigration policies and warning sanctions for countries that don't take their fair share. 

Juncker used emotional appeals in his state-of-the-union address to the European parliament: 

"Today it is Europe that is sought as a place of refuge and exile. It is Europe today that represents a beacon of hope, a haven of stability in the eyes of women and men in the Middle East and in Africa. That is something to be proud of and not something to fear."

When speaking of the potentially 500,000 refugees who may cross borders, Juncker gave more examples: 

"Europe is the baker in Kos who gives away his bread to hungry and weary souls. Europe is the students in Munich and in Passau who bring clothes for the new arrivals at the train station. Europe is the policeman in Austria who welcomes exhausted refugees upon crossing the border. This is the Europe I want to live in."

Although Germany, France, and Italy support the plan, other EU members are reluctant. Juncker used Ukraine as an example of a country that may seek assistance in the future. But he did not convince everyone. Slovak prime minister said, "We won't bow down to Germany and France. Quotas are irrational." The plan also faces resistance from Poland and the Czech Republic, whose Europe prime minister called quotes "nonsensical." 

The UK has been a notable resistor to accepting migrants. Britain's Liberal Democrat Member of the European Parliament chastised the prime minister's lack of cooperation: 

"By refusing to take a single refugee that has arrived on Europe's shores, the UK government is shirking our international duty and lowering Britain's standing in the world. Of course we must do more to tackle the causes of the refugee crisis at source, but we cannot turn a blind eye to the human tragedy unfolding right now on our continent."

Prime Minister Cameron has defended his financial contributions and focus on resettlement. 

Discussion Starters:

• What are Juncker's challenges in delivering this speech? What type of resistance does he need to overcome?
• Read the transcript of Juncker's speech. What examples do you see of emotional appeals, credibility, and logical argument? What rhetorical devices does he use?
• Assess Juncker's delivery skills. What suggestions do you have for his future presentations?