Types of Collective Bargaining

Conjunctive / Distributive Bargaining: Distributive bargaining is the most common type of bargaining & involves zero-sum negotiations, in other words, one side wins and the other loses. Both parties try to maximize their respective gains. They try to settle economic issues such as wages, benefits, bonus, etc. For Example, Unions negotiate for maximum wages & the management wants to yield as little as possible while getting things done through workers.

g. unions and management have initial offers or demands.g. .: acceptable wage level).: desired wage level). resistance points (e.g.‡ In distributive bargaining. Another name for this type of bargaining is conjunctive bargaining.: unacceptable wage levels) & settlement ranges (e. target points (e.

‡ Both the employer & the union try to resolve the conflict to the benefit of both parties.‡ Cooperative /Integrative Bargaining: Integrative bargaining is similar to problem solving sessions in which both sides are trying to reach a mutually beneficial alternative. a win-win situation. i. Both sides share information about their interests and concerns and they create a list of possible solutions to best meet everyone s needs. .e.

when companies are hit by recession. they cannot offer the kind of wages and benefits demanded by workers. Both parties realize the importance of surviving in such difficult times and are willing to negotiate the terms of employment in a flexible way. .‡ For Example. At the same time they cannot survive without the latter s support.

Based on these concepts both the parties must develop a productivity linked scheme.‡ Productivity Bargaining: ‡ The concept of productivity bargain involves a good understanding of the following concepts. .

‡ Other Methods like MOST (Maynard Operational Sequence Techniques) ‡ Systems improvement and method improvement ‡ Required Skills and Knowledge for productivity settlement . hazardous allowance . etc.‡ Difference between productivity & work intensity ‡ How to conduct work study ‡ ILO guidelines for work study Personal needs allowance. Fatigue allowance.

. labor has come in favor of composite bargaining. introduction of new technology. tight productivity norms have added to this burden and made the life of a worker some what uneasy. As an answer to such problems.‡ Composite Bargaining: ‡ Workers believed that productivity bargaining agreements increased their workloads. Rationalization.

manning standards.g. employment levels. sub-contracting clauses etc. labor bargains for wages as usual. when unions negotiate standards they ensure the workload of workers don t exceed . but goes a step further demanding equity in matters relating to work norms.‡ In this method. .. environnemental hagards . for e. This works in the favor of the workers.

the objective is to giving back to management some of what it has gained in previous bargaining.‡ Concessionary Bargaining: ‡ Quite opposite to the other forms of bargaining. ‡ Why should labor be willing to give back what it has worked so hard to obtain? . in concessionary bargaining. where the unions demanded from the employers.

wages and benefits concessions for the new hires.000 jobs. The concessions were made to save over 3.‡ A good example is the agreement between General Motors & the International Union of Electric Workers that granted GM around theclock operations. and a two-week mass vacation. .

Thus. the degree of trust and credibility between the management and the union may influence the extent to which concessionary bargaining occurs. . This may be because the union doesn t view management s arguments as credible. despite a financial crisis.‡ In some cases. the union may not be willing to concede.

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