3. DEFINITION
According to encyclopedia of social science
“Collective bargaining is a process of discussion
& negotiation between two parties”
More specifically it is the procedure by
which an employer or a group of employers
agree upon the condition of work .
4. According to tudwig teller
“collective bargaining is an agreement between a
single employer or an association of employers
on the one hand & a labor union on the other,
which regulates the terms & conditions of
employment ”.
5. Objectives of collective bargaining
To harmonize labor relations & promote
industrial peace by creating equality of
bargaining power between the labor & the
management.
This collective bargaining is that arrangement
where by the wages & conditions of the
employment are settled through a bargain .
6. Pre-requisites of collective bargaining
Existence of a truly representative strong trade
union.
Existence of a progressive management.
Absence of any external pressure either on the
employer or on the worker to come to the kind
of agreement desired by the authority exerting
the pressure.
7. CONT..
Existence of a measure of parties of strength or
bargaining power between the trade union &
management.
Delegation of authority to an officer involved in
negotiation.
Acceptance of a fact finding approach by the
management as well as the union.
The collective bargaining uses all legislative, judicial &
executive process in assessing problem in relation to
the employment.
8. Characteristics of collective
bargaining
It is group action as opposed to individual action & is
initiated through the representative of workers.
It is flexible & mobile & not fixed or static. It has
fluidity & ample scope for compromise for mutual
give & take before the final settlement is arrived at.
It is a two party process. It is mutual give and take
rather than a take it or leaves it method of arriving at
the settlement of a dispute. Both parties are involved
in it.
9. CONT..
It is continuous process which provides a mechanism
for continuing & organized relationship between
management & trade unions associations.
It is dynamic & not static because it is a relatively new
concept & is growing expanding & changing.
It is as industrial democracy at work. The government
of labor with the consent, governed the worker.
10. PRINCIPLES OF COLLECTIVE
BARGAINING
Principles for the management
The management must develop and consistently
follow a realistic labor policy which should be
accepted & carried out by its representatives.
The management must grant recognition to the
trade union association without any reservation
& accept it as a constructive force in the
organization
11. CONT..
The management should not assure that the
employee goodwill will always exit. It should
periodically examine the rules & regulations to
determine the attitudes & degree of comfort
of its employee & gain their goodwill &
cooperation.
The management should extend fair treatment
to the trade union in order to make it a
responsible & conservative body.
12. CONT..
The management should not wait for the trade
union to bring employee. Employee can
approach the management themselves without
involving the trade union or association.
The management should deal only with the
one trade union or association in the
organization.
While weighing economic consequence of
collective bargaining the management should
place greater emphasis on social consideration.
13. PRINCIPLES FOR TRADE
UNION
The trade union should eliminate racketeering
& other undemocratic practice within their
own organization.
Trade union leaders should appreciate the
economic implication of collective bargaining
for their demands are generally met from the
income & resources of the organizations in
which their members are employed.
14. CONT..
Trade union leaders should not imagine that
their only function is to secure higher wages,
shorter hours of work & better working
conditions for their members. They & their
members have an obligation to assist the
management in the elimination of waste & in
improving the quality & quantity of production
15. CONT..
Trade union leaders should assist in the
removal of such restrictive rules & regulations
that are likely to increase cost & prices, &
reduces the amount that can be paid as wages.
Trade union leaders should resort on strike
only when all other methods of the settlement
of a dispute have failed.
16. PRINCIPLES FOR THE BOTH
UNION AND MANAGEMENT
Collective bargaining should be made an education as
well as bargaining process.
It should offer to trade union leaders an opportunity
to present the management the wants, desire,
grievances & attitude of its employee & make it
possible for the management to explain to union
leaders & through them, to its employees the
economic problem which it is confronted with.
17. CONT..
The management & trade union must look
collective bargaining as a mean of
finding the best possible solutions. There must be
an honest attempt at solving problem.
Both parties to a dispute should have enough
bargaining power to enforce the terms of
agreement that they may arrive it
18. CONT..
There should be an honest, able & responsible
leadership, for only this kind of leadership will make
collective bargaining effective & meaningful.
There must be mutual confidence & good faith, & a
desire to make collective bargaining effective in
practice
The two parties should meticulously observe &
abide by all the national & state laws which are
applicable to collective bargaining.
20. BARRIERS OF DELEGATION
The belief that “ I can do it better myself.”
Lack of confidence & trust in workers.
Low self confidence, insecurity.
Vague job description.
In adequate training.
Lack of adequate recruitment & selection.
Time involved in explaining the task.
Reluctance to take the risks involved and depending
on others.
Fear of loss of power.
21. CONCLUSION
Collective bargaining consist of two words
collective means group action.
Bargaining which suggest negotiation. So it
helps the management & trade union do a good
job of ensuring that the price of labor is
properly adjusted to other prices.