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TYPES OF COLLECTIVE BARGAININGS
Conjunctive or Distributive Bargaining
Distributive bargaining
addresses the economic issues such as salaries and wages, bonuses and
allowances persistently over the distribution of surplus, and either employee
or the employer gains a profit, income or a financial benefit while the leftovers
faces a loss
Integrative or Corporative Bargaining
A more cooperative type
bargaining in the field for both employee and employer and may earn profits or
both may not face any loss over the actions
Productivity Bargaining
Productivity Bargaining
is based on the productivity and substantial benefits being shared
Composite Bargaining
Employees demand for
financial benefits and also with psychological and basic other human needs
through composite bargaining
ISSUES ADDRESSED BY COLLECTIVE BARGAINING
Most of the employees
face job related problems and seek for either financial or psychological
benefits. In achieving such, the voice of the employees expresses through
collective bargaining and empowers the claim of benefits
FINANCIAL & NON-FINANCIAL ISSUES
Financial
- Wages Salaries
- Incentive Payments
- Working conditions
- Work norms
- Job security
- Technology developments
- Work necessities
- Techniques & practices
- Staff transfers
- Disciplinary & HR practices
- Promotions
- Recognition and higher responsibilities
- Rights of Management
PREPARATION FOR COLLECTIVE BARGAINING
According to a research
carried out in TANESCO (Tanzania Electric Supply Company) Head Office at
Dodoma, Tanzania, the flow for preparation for collective bargaining has been
critically discussed for a final resolution
Figure 1 : The process of Collective Bargaining
KEY POINTS IN COLLECTIVE BARGAINING
- v Thorough
and clear objectives for every bargaining point
- v Do
not be hurry in any action
- v Discuss
with associates and clear all your doubts / every clause to be negotiated
should be paid close attention.
- v Collect
all the firm data supports to your position
- v Keep
some flexibility in your position
- v Respect
and preserve the others reputation and credibility
- v Be
alert on the others objectives, priorities and goals
- v Being
a good listener makes you an effective role
- v Build
a reputation for being honest, fair and unbiased play.
- v Control
your emotions and act wisely and effectively.
- v Have
a sound knowledge on moves against your objectives and evaluate/measure same.
- v Effective
collective bargainer understands the people and personalities.
- v Highlight
the impact from the current negotiations and the values.
Figure
1: Trade Union Success as Italian Bank Sector Renews Collective Agreement
Source :
The Italian Bank social partners and the Italian
Banking Employers Association renewed the collective agreement for the sector, till
the end of 2022.The new agreement signifies a great triumph for over 280,000 Bank
workers who tortured a decrease in rights, protections and working environments
over the previous era.
References
Alexander, H., Martins, P. S., & Parlevliet, J. (2017). A comparison between the Netherlands and Portugal. Collective bargaining through the magnifying glass . Portugal.
Card, D., Cardoso, A. R., & Kline, P. (2016). Bargaining, sorting, and the gender wage gap: Quantifying the impact of firms on the relative pay of women. The Quarterly Journal of Economics 131.2 , 633-686.
Doellgast, V., & Benassi, C. (2020). Collective bargaining. In Handbook of research on employee voice (pp. 239-258). Edward Elgar Publishing.
Jinsoo, P., Rahman, H. A., Suh, J., & Hussin, H. (2019). A study of integrative bargaining model with argumentation-based negotiation. Sustainability 11 (23) , 6832.
Johnston, H., & Land-Kazlauskas, C. (2018). Organizing on-demand: Representation, voice, and collective bargaining in the gig economy. In Conditions of work and employment series. Geneva: International Labour Office.
Keough, C. M. (2017). Negotiation and bargaining. The International Encyclopedia of Organizational Communication , 1-10.
Kraft, K. (2018). Productivity and distribution effects of codetermination in an efficient bargaining model. International Journal of Industrial Organization 59 , 458-485.
Molina, O., & Godino, A. (2020). Understanding collective bargaining coordination. Retrieved 11 26, 2020, from NETWIR Research: https://ddd. uab. cat/record/22907
Mwakyembe, J. (2019). The role of collective bargaining in enhancing performance of organizations in Tanzania. A case of Tanzania electric supply company limited-TANESCO . Mzumbe University.
Portillo, J. E. (2018). The impact of bargaining delays under the threat of eminent domain. Journal of Regional Science 58.2 , 451-482.
Tanguiane, A. S. (2019). Composite indicators for computer-aided collective bargaining. KIT Working Paper Series in Economics No 133 .
UNI Europa, 2020. Europa Global Union. [Online]
Available at: https://www.uni-europa.org/2020/01/trade-union-success-as-italian-bank-sector-renews-collective-agreement/
[Accessed 02 12 2020].
Van Herreweghe, D., Vandekerckhove, S., & Van Gyes, G. (2018). Inclusive growth through collective bargaining in Belgium. Belgium: CAWIE 3 Project.
Zahariadis, N. (2016). Values as barriers to compromise? Ideology, transnational coalitions, and distributive bargaining in negotiations over the third Greek bailout. International Negotiation 21.3 , 473-494.
Collective bargaining is generally becoming a competitive process, that is, labour and management compete with each other at the negotiating table. Achieving the goal of one party seems to conflict with the basic objectives of the other party (Forthcoming, 2014).
ReplyDeleteYes Ranga, Collective bargaining is a key means through which employers and the respective organizations and trade unions can establish fair wages and working conditions with mutual benefits on going forward(Aidt and Tzannatos, 2002).
DeleteThe right of workers to bargain freely with employers is an essential element in freedom of association. Collective bargaining is a voluntary process through which employers and workers discuss and negotiate their relations, in particular terms and conditions of work. It can involve employers directly, or as represented through their organizations; and trade unions or, in their absence, representatives freely designated by the workers.
ReplyDeleteCollective bargaining can only function effectively if it is conducted freely and in good faith by all parties. This implies:
Making efforts to reach an agreement
Carrying out genuine and constructive negotiations
Avoiding unjustified delays
Respecting the agreements concluded and applying them in good faith
Giving sufficient time for the parties to discuss and settle collective disputes(ILO).
While agreeing with you, freedom of association or the enabling right to allow effective participation of employees in the process of bargaining, lying at the heart of democracy and the rule of law, enabling a proper and a stress free bargain to the employees(De Stefano, 2017).
DeleteSnell and Bohlander ( 2007 ) pointed out ,The collective bargaining is one of a primary functions of a labor union and it is emphasized to bargain collectively over conditions of employment, the most important of which is compensation. The union's goal in each new agreement is to achieve increase in real wages.
ReplyDeleteYes, primary function of a trade union is to bargain increase in wages, however in a complex environment, safety of the employees, working hours of the employees, provision of labour welfare also identified as main functions of a union(Bogg, 2016).
DeleteFirst and foremost, a good understanding of the contract is crucial for both HR practitioners and administrators when dealing with trade unions. The contract (also known as the collective bargaining agreement) is the guidance document for all employee-related decisions. Both HR practitioners and executives should have intimate knowledge of the document and be mindful of the contract elements that can impact employee relationships. The agreement specifies both executive and consumer criteria (Shahreki, 2019).
ReplyDeleteYes Malinga, HR practitioners and administrators should be careful because, the union has the right, as well as the legal obligation, to speak with one voice for all the employees that make up what is known as the “bargaining unit,” or employees covered by a particular contract. When we talk about having a “union contract,” what we mean is the official rules that have been agreed upon by the employer and the union, and that have also been voted on and accepted by the majority of the union membership covered by the contract(Hu & Hanink, 2018).
DeleteIn a usual setting collective bargaining occurs at a organizational level for topics such as better pay, more training, better work-life balance policies and better pensions. However now more than ever, through collective bargaining standards are set across a whole industry or sector. The 'Organization for Economic Co-operation and Development' has published evidence in 2018 how collective bargaining has helped to tackle inequality, boost business productivity and help groups who are discriminated against the labor market, get to keep jobs (Bell, 2019).
ReplyDeleteUnions and collective bargaining institutions reduce inequality by raising wage floors.
DeleteYes.. Sonali, collective bargaining also reduces inequality between groups of workers such as women and men, high-skilled and low-skilled workers, and workers with a regular contract and those with temporary contracts as well(Rueschemeyer, 2004).
Collective bargaining process is negotiating between representatives of union and the organization and it begins when the employees vote to unite (Libraries, 2011).
ReplyDeleteYes Eranga,And the collective bargaining is also very important in negotiation because same allows workers to contribute collectively to decisions that affect their working lives and to make it prosper(Hayter, 2015).
DeleteOnce a trade union is recognized in a workplace, the negotiations they have with the employer care called collective bargaining. These negotiations will be regarding terms and conditions of employment. Where, collective bargaining has lead to an agreement, are called collective agreements. Collective agreements within the workplace can cover both union and non-union staff as trade unions often negotiates on behalf of the staff employed in a specific group. This group is known as the bargaining unit.(Portillo, J. E.2018)
ReplyDeleteYes Melissa, Collective bargaining also raises the wages and benefits more for low-wage workers than for middle-wage workers and least for white-collar workers, thereby lessening wage inequality(Card, et al., 2004).
DeleteAccording to the international labour review journal (2000, in practice, strikes may or may not be linked to a bargaining process intended to lead to a collective agreement. In connection with strikes for which collective bargaining is the point of reference, the Committee on Freedom of Association has stated that “strikes decided systematically long before negotiations take place do not fall within the scope of the principles of freedom of association” (ibid., para. 481). Similarly, according to the Committee “a ban on strikes related to recognition disputes (for collective bargaining) is not in conformity with the principles of freedom of association” (ibid., para. 488). Moreover, as regards strikes concerning the level at which negotiations are conducted, the Committee has stated that: Provisions which prohibit strikes if they are concerned with the issue of whether a collective employment contract will bind more than one employer are contrary to the principles of freedom of association on the right to strike; workers and their organizations should be able to call for industrial action in support of multi-employer contracts. Workers and their organizations should be able to call for industrial action (strikes) in support of multi-employer contracts (collective agreements) (ibid., paras. 490 and 491).
ReplyDeleteWhile partially agreeing with the statement, noteworthy to state that a union does not have to wait until an impasse has been reached before the union may strike, but On the other hand, the scope of action of an employer is affected when a strike take place without any reluctant for a negotiation(Carrell & BAles, 2013).
DeleteIt is further to mentioned that according to Armstrong (2006) the considerations to be taken into account in developing and managing collective bargaining arrangements are
ReplyDelete● collective agreements;
● the level at which bargaining should take place;
● single-table bargaining where a number of unions are recognized in one workplace;
● dispute resolution.
In any bargaining agreement, certain management rights are not negotiable, including the right to manage and operate the business, hire, promote, or discharge employees. However, in the negotiated agreement there may be a process outlined by the union for how these processes should work. Management rights also include the ability of the organization to direct the work of the employees and to establish operational policies(Mello, 2004).
Delete