P. 1
Types of Collective Bargaining

Types of Collective Bargaining

|Views: 14,054|Likes:
Published by Ujwala Jiwane

More info:

Published by: Ujwala Jiwane on Apr 21, 2011
Copyright:Attribution Non-commercial


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





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.

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

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

At the same time they cannot survive without the latter s support.‡ For Example. 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. .

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.

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

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

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

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

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

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

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)//-->