Collective Bargaining

Post on 20-Nov-2014

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COLLECTIVE BARGAINING

Presented By ;

PRADEEP B.S SHIJU M RAJU

Definition

“ Collective bargaining refers to a process by which employers on the one hand and representatives of employees on the other, attempt to arrive at agreements covering the conditions under which employees will contribute and be compensated for their services.”

Jucious

Types of collective bargaining On the basis of nature and objectives of

bargaining, it can be divided into four types.

Conjunctive bargaining Co-operative bargaining Productivity bargaining Composite bargaining

According to Walton and McKersie, “ A collective bargaining process

generally consists of four types of activities.”

Distributive bargaining Integrative bargaining Attitudinal structuring Intra-Organizational bargaining

1. Distributive bargaining

It involves bargaining over the distribution of surplus.

Under it, the economic issues like wages , salaries and bonus are discussed.

Here, one party’ s gain is another party’ s loss.

2. Integrative bargaining

This involves negotiation of an issue on which both parties may gain, or at least neither party loses.

For example, representatives of employers and employees may bargain over a better training programme or a better job evaluation system.

3. Attitudinal structuring

This involves shaping and reshaping some attitudes like trust or distrust, friendliness or hostility between labor and management.

When there is a bitterness between both the parties, attitudinal structuring is required to maintain smooth and harmonious industrial relations.

4.Intra-organizational bargaining

This is a type of planned and controlled movement to achieve consensus with the workers and management.

For example marketing manager may urge the union to stop strike and produce to protect the interest of customers .On the other hand, finance manager may oppose increase in wages on the ground that it will spoil the company’ s financial position.

IMPORTANCE OF COLLECTIVE BARGAINING

Increase economic strength of both the parties.

Establish uniform conditions of employment Resolve disputes Lays down rules and norms Better implementation of decisions

Features of collective bargaining

1. Collective process2. Continuous process3. Flexible and dynamic4. Partnership of workers in management5. Give and take approach6. Discipline

Collective bargaining process Preparing for negotiations

Identifying bargaining issues

Negotiating

Settlement and contract agreement

Administration of the agreement

Preparing for negotiations

From the management side the negotiators are required to:

Prepare specific proposals for changes in the contract language.

General size of the offerStatistical displaysBargaining book

Cont…

From the employee’s side, union should collect information in three areas:

Financial position of the companyAttitude of the managementAttitudes and desires of the employees

Identifying bargaining issues

The major issues in collective bargaining are:

1)Wage-related issues2)Supplementary economic issues3)Institutional issues4)Administrative issues

Negotiating

It is the third step in collective bargaining

Begins with initial demands

Success depends on skills and abilities of the negotiators

Settlement and contract agreementInitial agreement

Ratification stage

Contract

Administration of the agreementImplementation of the agreement

Implementation should be according to the letter

It should have the spirit of the provisions of the agreement.

THANK YOUTHANK YOU