Topics to be coveredCollective BargainingEvolution Of Collective BargainingTypes Of BargainingCollective Bargaining ProcessCollective Bargaining AgreementLevels At Which Collective Bargaining Is UndertakenConditions For Successful Collective BargainingTrends In Collective BargainingCase Study On Collective Bargaining: The General Motors – United Auto Workers DealPerceptions
Collective Bargaining “Collective Bargaining is a process in which the representatives of a labour organization & the representatives of business organization meet and attempt to negotiate a contract or agreement, which specifies the nature of employee-employer union relationship”. – FLIPPOProcess involving discussions and negotiations‘collective’ – groupbargaining – proposals and counter proposalsto reconcile their conflicting interestsis a flexible approach
Evolution Of Collective BargainingCoined by Sydney and Beatrice WebbIndustrial Revolution – Great BritainThe Indian Scenario: Gandhiji - the leader of the Ahmedabad textile workers Idea gathered interest only after the Second World War GOI took steps like setting up of machinery for negotiations, conciliation and arbitration.
Types Of BargainingConjunctive/Distributive Bargaining - zero-sum game; win – loseCo-operative Bargaining - more open to coming down from their high horses; win – win.
Collective Bargaining Process Prepare Discuss Propose Bargain Settlement
Collective Bargaining AgreementWritten document regarding working conditions and terms of employmentLegally, a CBA binds only the parties to it.In India, there are three types of agreements, namely voluntary agreements, settlements, and Consent awards.procedural agreements or substantive agreements
Contents of Collective Bargaining AgreementThe date of commencement of the agreementIts durationA definition of termsThe procedure for settling disputes regarding interpretation, as well as other disputes.The consequences in the event of breaches of the agreementAs regards wages, exactly how conversion of employees wages to the new scales is to be effected.
Levels At Which Collective Bargaining Is Undertaken Enterprise Or Plant Level Industry-Cum-Region wide Agreements Sectoral Collective Bargaining At National Level
Conditions For Successful Collective BargainingTrade Union RecognitionObservance of AgreementsSupport of Labour Administration AuthoritiesGood FaithProper Internal Communication
PERCEPTIONS ON COLLECTIVE BARGAININGCB essentially means negotiations between the labour and managementCB should just not stop at the negotiations but also go on to be implemented; otherwise the entire process of CB will be rendered futile.It is mostly the formal sector that benefits out of the CB process.The parties have to adopt a flexible attitude throughout the process of bargainingIt is based on give and take approach and take or leave approach.Once both the parties know what they want, negotiations become easier and better.Obviously all the above mentioned conditions are required successful for CB but the most essential among them is the “good faith”
CB agreement is a written format and it is essential because that acts as a legal framework and as a guide to their relationships on certain matters for a specified period of time.Collective bargaining is not highly practiced in India, several factors are responsible for this: • Multiple unions • Defective laws • Mediation by political leadersOrganisations understand the importance of human resources hence they take care of the workers well enough so that collective bargaining is not highly required. It is also because most MNC’s are setting up their plants in India, because of which compensation levels have gone up so also the terms of employment has become favourable in most parts of the country.It is necessary to create a win – win situation for both the parties, if this is not done, the process of CB just acts as a temporary solution. Also, if CB is used as a temporary solution, it would infact create an environment of distrust.