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Collective Bargaining

Topics to be covered

Collective Bargaining Evolution Of Collective Bargaining Types Of Bargaining Collective Bargaining Process Collective Bargaining Agreement Levels At Which Collective Bargaining Is Undertaken Conditions For Successful Collective Bargaining Trends In Collective Bargaining Case Study On Collective Bargaining: The General Motors United Auto Workers Deal Perceptions

Collective Bargaining
Collective Bargaining is a process in which the representatives of a

labour organization & the representatives of business organization meet and attempt to negotiate a contract or agreement, which specifies the nature of employee-employer union relationship.

FLIPPO
Process involving discussions and negotiations collective group 'bargaining' proposals and counter proposals to reconcile their conflicting interests is a flexible approach

Evolution Of Collective Bargaining


Coined by Sydney and Beatrice Webb
Industrial Revolution Great Britain The Indian Scenario: Gandhiji - the leader of the Ahmedabad textile workers Idea gathered interest only after the Second World War GOI took steps like setting up of machinery for negotiations, conciliation and arbitration.

Types Of Bargaining
Conjunctive/Distributive

Bargaining - zero-sum game; win lose

Co-operative Bargaining - more

open to coming down from their high horses; win win.

Collective Bargaining Process


Prepare Discuss

Propose
Bargain Settlement

Collective Bargaining Agreement


Written document regarding working

conditions and terms of employment


Legally, a CBA binds only the parties to

it.
In India, there are three types of

agreements, namely
voluntary agreements, settlements, and Consent awards.

procedural agreements or

substantive agreements

Contents of Collective Bargaining Agreement


The date of commencement of the

agreement

Its duration

A definition of terms
The procedure for settling disputes

regarding interpretation, as well as other disputes. breaches of the agreement

The consequences in the event of

As regards wages, exactly how conversion

Levels At Which Collective Bargaining Is Undertaken


Enterprise Or Plant Level

Industry-Cum-Region wide Agreements

Sectoral Collective Bargaining At National Level

Conditions For Successful Collective Bargaining


Trade Union Recognition
Observance of Agreements

Support of Labour Administration

Authorities
Good Faith
Proper Internal Communication

Case Study GM - UAW

PERCEPTIONS ON COLLECTIVE BARGAINING


CB essentially means negotiations between the labour and

management CB should just not stop at the negotiations but also go on to be implemented; otherwise the entire process of CB will be rendered futile. It is mostly the formal sector that benefits out of the CB process. The parties have to adopt a flexible attitude throughout the process of bargaining It is based on give and take approach and take or leave approach. Once both the parties know what they want, negotiations become easier and better. Obviously all the above mentioned conditions are required successful for CB but the most essential among them is the good faith

CB agreement is a written format and it is essential

because that acts as a legal framework and as a guide to their relationships on certain matters for a specified period of time. Collective bargaining is not highly practiced in India, several factors are responsible for this: Multiple unions Defective laws Mediation by political leaders Organisations understand the importance of human resources hence they take care of the workers well enough so that collective bargaining is not highly required. It is also because most MNCs are setting up their plants in India, because of which compensation levels have gone up so also the terms of employment has become favourable in most parts of the country. It is necessary to create a win win situation for both the parties, if this is not done, the process of CB just acts as a temporary solution. Also, if CB is used as a temporary solution, it would infact create an environment of distrust.

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