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COLLECTIVE BARGAINING CONCEPT

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COLLECTIVE BARGAINING CONCEPT Powered By Docstoc
					Collective Bargaining
        Topics to be covered
 Collective Bargaining
 Evolution Of Collective Bargaining
 Types Of Bargaining
 Collective Bargaining Process
 Collective Bargaining Agreement
 Levels At Which Collective Bargaining Is Undertaken
 Conditions For Successful Collective Bargaining
 Trends In Collective Bargaining
 Perceptions
               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”.
                                                            – FLIPPO
 Process involving discussions and negotiations

 ‘collective’ – group

 'bargaining' – proposals and counter proposals

 to reconcile their conflicting interests

 is a flexible approach
  Evolution Of Collective Bargaining

 Coined by Sydney and Beatrice Webb


 Industrial Revolution – Great Britain


 The 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 Bargaining


 Conjunctive/Distributive
 Bargaining - zero-sum game; win
 – lose



 Co-operative Bargaining - more
 open to coming down from their
 high horses; win – win.
Collective Bargaining Process
            Prepare


            Discuss


            Propose


            Bargain


           Settlement
    Collective Bargaining Agreement
 Written document regarding working
  conditions and terms of employment

 Legally, 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
                Agreement
 The date of commencement of the
  agreement

 Its duration

 A definition of terms

 The procedure for settling disputes
  regarding interpretation, as well as other
  disputes.

 The consequences in the event of
  breaches of the agreement

 As regards wages, exactly how conversion
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
                Bargaining

 Trade Union Recognition

 Observance of Agreements

 Support of Labour Administration
 Authorities

 Good Faith

 Proper Internal Communication
     PERCEPTIONS ON COLLECTIVE
            BARGAINING
 CB essentially means negotiations between the labour and
    management
   CB 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 bargaining
   It 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 leaders
 Organisations 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.

				
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Description: Collective bargaining is not a new concept and you understand how collective bargaining is in the world happens. This is a universal concept.