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Dave, President of BAZ Co, Inc. is very pleased with the extraordinary performance of Naomi, the company's senior accountant. Dave tells Naomi that because of her outstanding work in the past fiscal year, he is going to give her a 5 percent raise effective next month. Naomi has never heard of anyone at BAZ getting a raise, and she is thrilled. She thanks Dave. Later that day Dave realizes that giving Naomi this raise might cause all senior executives to demand salary increases, and also might be viewed as some sort of favoritism or discrimination. Dave decides not to give Naomi the raise after all.

Does Naomi have any cause of action (claim) to get the raise? Is Dave able to change his mind and not give the raise? Is there any sort of a contract here? Please explain.

Operation Management, Management Studies

  • Category:- Operation Management
  • Reference No.:- M92475394

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