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B.SAIPRAKASHMBA[IM]Pondicherry University

Collective bargaining is a process of negotiations between employers and a group of employees aimed at reaching agreements that regulate working conditions.

The interests of the employees are commonly presented by representatives of a trade union to which the employees belong.

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One company dealing with a single union

Several companies dealing with single union

Several unions dealing with a single company

Several companies dealing with several unions

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Distributive Bargaining: In this One party’s gain another party’s loss.

Cooperative Bargaining : In this both parties gain or atleast neither party loses.

Productivity bargaining : In this method worker wages are linked with productivity.

Workers do not have to perform well to high levels to beat index.If they they are able to exeed substancial norms they will get the substanctial norms.

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composite bargaining : Labour bargains for wages as usual. But goes a step further demandinding equality in matters relating to work norms, employment levels etc.

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Collective Strength Voluntary Continuous Dynamic representation

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Collective: It Is collective in two ways.

One is that all the workers collectively bargain for their common interest and benefits.

Two is that both workers and management jointly arrive at an solution through negotiations.

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Strength : Both parties bargain through equal strength.

In collective bargainning the bargaining strength of both parties are equal.

Voluntary : Both workers and management come to negotiating table voluntarily in order to have a meaningful dialogue on various troubling issue.

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Continuous : Collective bargaining is a continuous process.

It is a continous process which includes implementation of the agreement and also futher negotiations.

Dynamic : Collective bargaining is a dynamic process because the way in which the agreement are arrived and the way they are implemented,the mental make-up of parties involved keeps changing.

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Representation : In collective bargaining the chief participants do not act themself.

They represent labour and management while trtying to reach an agreement.

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Preparing for negotiation Bargaining issues Negotiation Negotiation breakdown Reaching the agreement Ratifying the agreement Administration of the agreement

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Document that results from collective bargaining process is labor agreement or contract

Recognition Management Rights

Compensation and Benefits Grievance Procedure Employee Security

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Appears at the beginning of the labor agreement

Identifies the union that is recognized as the bargaining representative

Describes the bargaining unit

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Section that is often (but not always) written into labor agreement which spells out rights of management

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Wage rate schedule Overtime and premium

pay Holidays Vacation Family care

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Means by which employees can voice dissatisfaction with specific management actions

Procedures for disciplinary action by management

Termination procedure that must be followed

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Begins with each side presenting initial demands.

Suggests a certain amount of give and take.

Each side does not expect to obtain all demands presented.

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Third party intervention Union strategies for

overcoming breakdowns

Management strategies for overcoming breakdowns

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Mediation : neutral party comes in when impasse has occurred

Arbitration : Impartial third party makes binding decision to settle dispute

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Strikes : union members refuse to work to pressure management in negotiations

Boycotts : union members agree to refuse to use or buy firm’s products

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Lockout : keep employees out; operate firm by placing management and nonunion workers in striking workers’ jobs

Hire replacement for strikers

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May be more difficult for union

Until approved by majority of members, proposed agreement is not final

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Larger and perhaps more important part of collective bargaining

Seldom viewed by public Agreement establishes the

union-management relationship for duration of the contract

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