Define the labor relations process? Solution The labor relations process involves managers (representing the ownership interests) and a labor organizations (union), selected by employees as their exclusive bargaining agent to represent their interests and engaging in the joint determination and administration of work rules. Three basic phases of the labor relations process are as follows: 1) Recognition of the legitimate rights and responsibilities of union and management representatives. 2) Negotiation of the labor agreement, including appropriate strategies, tactics, and impasse resolution techniques. 3) Administration of the negotiated labor agreement — the interpretation and application of labor contract terms on a daily basis..