Collective Bargaining

Definition
Before the Industrial Revolution, the employer,
more or less, enjoyed unquestioned powers on
matters relating to wages, working conditions
and other matters affecting employees.
This collective fighting spirit is at the back of
collective bargaining.
Features

Collective
Strength
Flexible
Voluntary
Complementary
Continuous
Dynamic
Power relationship
Representation
Bipartite process
Complex

Objectives

To settle disputes/conflicts relating to wages and working
conditions.
To protect the interests of workers through collective action.
To resolve the differences between workers and management
through voluntary negotiations and arrive at a consensus.
To avoid third party intervention in matters relating to employment.

The Substance of Bargaining

Wages and working conditions
Work norms
Incentive payments
Job security
Changes in technology
Work tools, techniques and practices
Staff transfers and promotions
Grievances
Disciplinary matters
Health and safety
Insurance and benefits
Union recognition
Union activities/responsibilities
Management rights

Types of Bargaining

Conjunctive/distributive/bargaining
Cooperative bargaining
Productivity bargaining
Composite bargaining

The Process of Collective Bargaining

Identification of the problem
Collection of date
Selection of negotiators
Climate of negotiations
Bargaining strategy and tactics
Formalizing the agreement
Enforcing the agreement
Conditions Essential for Effective
Bargaining
Not all the collective bargaining processes are
successful and effective. There are certain
prerequisites for an effective collective
bargaining process which are as follows:
Unanimity among workers
Strength of both the parties

Suggestions for Effective Implementation of Collective
Bargaining

Unions should be made strong by creating awareness
among workers.
Interference of political leaders should be avoided.
Government should make efforts for the growth of
collective bargaining.
Management should develop a positive attitude towards
unions.