This document discusses the importance and factors of effective collective bargaining in India. It notes that collective bargaining results in better understanding between parties, provides a democratic means to regulate employment terms, and helps motivate employees. Factors that can hinder effective collective bargaining include a lack of support from management, weak unions, surplus labor, and restrictions on strikes/lockouts. Success depends on economic, psychological, and political environment factors as well as the attitudes of employers, workers, and government policies. Key aspects for successful collective bargaining are a favorable political climate, freedom of association, union recognition, willingness to compromise, and fair labor practices.