P. 1


|Views: 22|Likes:
Published by ramramana

More info:

Published by: ramramana on Feb 13, 2011
Copyright:Attribution Non-commercial


Read on Scribd mobile: iPhone, iPad and Android.
download as PDF, TXT or read online from Scribd
See more
See less





• Discussion between Management/workers/Trade Unions
• Counter-proposals followed by arguments come up.
• To iron-up differences in the beginning
• Frank discussions, mutual benefits and attempts to appreciate the other parties

approach/point of view for fruitful negotiations.

• No legal compulsion on either side to negotiate of a dispute.
• If both the parties are mutually prepared results can be achieved.
• When issue is raised by the union, the Industrial Relations Manager to initiate

preliminary work and have initial discussions and inform the results to top

• Thus minor issues are defused and settled peacefully.

• A team of senior managers to involve from the management side for discussions in

• An IRM is to act as a liaison with the union members and as a bridge.

The Indian Institute of Personnel Management has suggested following procedure for
negotiation and Collective Bargaining between Management and Union.

1. Composition of Negotiating Team:
• Representatives of both workers and the employees
• Adequate qualify job knowledge and skills for negotiations.
• To have full authority to speak and make decisions.
• Correct understanding of the main issue and intimate knowledge of operations,

working conditions, production norms, etc.

• Basic qualities of balanced views even temper, analytical mind, objective look out.
• Inclusion of functional heads will be more beneficial.

2. Make a good beginning ―Well begun is half done‖ is true in the Collective Bargaining
• Steps for mutual cooperation
• Members in the right frame of mind.
• Proper climate for mutual understanding and a common desire to reach an


• True spirit of give and take
• Maximum chances of success.

3. Maintain continuity of Talks
• With good will and understanding
• Occasions for emotional outbursts and roadblocks likely
• Never to reach the dead end
• Side track blind alleys and keep talks continuing
• Even under the worst situations breaking off temporarily for scrolling down and

rethinking may be necessary.

• When the main issue get confused the dust and storm raised, bringing things to

fundamentals will then help.

• Better to leave controversial issues for the time being and leap over to the next issue.
• As the field of agreement is widened and the field of disagreement is narrowed down,
small gaps can be bridged over more easily later.

• As long as talks continue, a solution will be possible.

• To keep the discussion fluid is therefore very important.

4. Develop a problem-solving attitude
• Appreciation on both the sides
• Better understanding
• Better performance and increased prosperity for future
• Proper discussion, analyses can fluid a solution with open mind.

5. Encourage leadership

• Possibilities of solution of both sides are argued.
• Right of association and fight for justice and a fair deal.
• United and homogeneous climate on both sides ―Management gets the union it
• Principle of justice, sympathy and firness
• Growth of healthy and strong trade unionism. Thus development of the right type of
leadership is only a matter of time.

6. Bring in the other managers

• Contribution and involvement of other managers
• Collective agreement covers not just one part, but the entire field of industrial activity.
• Lack of understanding and proper communication often create problems and

• Discipline for management and productivity/job security for workers is important.
• These are the basic difference and conflict never gets resolved.
• At times conflict grows more serious and a situation becomes explosives, threatening
discipline peace and production gets disturbed.

• Thus maintaining normal conditions and preserving in spirit of agreement in such a

situation presents a tough challenge to the skill & ability of the management.

7. Contract Administration

• Once a contract is agreed upon it must be diminished
• Contract to specify the procedure for handling disagreement over the interpretation

of different clause of the agreement.
• Almost all Collective Bargaining agreements contain formal procedure to be used in
resolving difference over the interpretation and application of the agreement.

Essentials of Successful Collective Bargaining – ―Process‖
• It is an institutionalized representative process
• It is a graceful retreat and to compromise
• It involves:-
a) Psychology
b) Politics
c) Poker (Interference in a negative way)
• It is a tough-minded economic calculus and horse-trading
• Bargaining sessions almost are unavoidably contain certain stress and strains
• Labour-management tensions are recurrent in nature, since contacts are regularly re-

• Following conditions must be fulfilled to make Collective Bargaining successful.

a) Strong and stable union
b) Recognition of trade union
c) Permanent bargaining machinery
d) Mutual accommodation
e) Political climate
f) Bargainers authority

You're Reading a Free Preview

/*********** DO NOT ALTER ANYTHING BELOW THIS LINE ! ************/ var s_code=s.t();if(s_code)document.write(s_code)//-->