Collective Bargaining

COLLECTIVE BARGAINING

Collective bargaining is the process whereby workers organize collectively and bargain with employers regarding the workplace. In a broad sense, it is the coming together of workers to negotiate their employment.

PROCESS

Collective bargaining is a formal process that involves negotiation, consultation and the exchange of information between employers and workers, the end goal being an agreement that is mutually acceptable to all parties. It is traditionally a bipartite process (i.e. a process involving two parties), although in many countries the State plays an important role in promoting collective bargaining by establishing relevant national legislation.

The agreements reached through collective bargaining are legally binding and apply to all workers, whether or not they actively participated in the bargaining process.

PROBLEM ADDRESSED

Collective bargaining allows both workers and managers to discuss specific terms that can, depending on national law:

• Determine the rules that govern their relationship

• Determine wages

• Deal with other matters of mutual interest such as hiring practices, layoffs, promotions, job functions, working conditions and hours, work safety, worker discipline and termination, and benefit programs.

PROSPECTIVE USERS

• Anyone who has a paid job or who employs other people in paid work.

• Employers, employees and unions negotiating benefits such as wages, working conditions and related issues.

Steps in implementation

1. Preparing for negotiations through collective bargaining involves assembling and consulting extensive data such as:

(i) Internal company data related to issues to be discussed (e.g. benefits, leave, work hours and overtime, grievance procedures, discipline, dismissals etc.)

(ii) Labour practices employed by other companies or factories in the same industry or region.

(iii) Relevant national legislation related to the issues to be discussed

2. Establishing...