Collective Bargaining.pptx

Labour Law

1. COLLECTIVE BARGAINING Thejah S (21BLA1039)

2. LIST OF CONTENTS CONCLUSION 06 02 03 04 05 07 01 INTRODUCTION OBJECTIVE & AIM ADVANTAGES & DISADVANTAGES INDIAN STATUTES OF COLLECTIVE BARGAINING STAGES OF COLLECTIVE BARAGAINING COLLECTIVE BARGAINING AGREEMENT

3. INTRODUCTION It is referred to as "collective bargaining" when an employer and a group of employees negotiate employment terms. Typically, a labour union represents employees during collective bargaining. According to Article 2 of the  Collective Bargaining Convention, 1981  (No. 154) of the  International Labour Organisation , “collective bargaining extends to all negotiations which take place between an employer, a group of employers or one or more employers’ organisations, on the one hand, and one or more workers’ organisations, on the other, for  (a) Determining working conditions and terms of employment; and/or (b) Regulating relations between employers and workers; and/or (c) Regulating relations between employers or their organisations and workers or workers’ organisations”.

4. OBJECTIVE & AIMS The aims and objectives of collective bargaining are as follows: Keeping industrial democracy alive Ensuring justice and equality for those from disadvantaged social and economic backgrounds Preventing the exploitation of the working class Satisfying the reasonable demands of workers regarding the work they have performed

5. ADVANTAGES & DISADVANTAGES

6. ADVANATAGES Greater bargaining power: When employees bargain collectively rather than individually with their employer, they are in a stronger bargaining position. Better working conditions: Employees can bargain collectively with their employer to improve their working conditions, including health and safety regulations, benefits, and pay. Increased job security: By negotiating for job protection measures like seniority rights and layoff procedures, collective bargaining can aid in ensuring workers' jobs are secure. Reduced conflict: By establishing clear guidelines and procedures for dispute resolution, collective bargaining can help reduce conflicts between employees and management. Productivity gains: When workers have a say in decisions that affect their jobs, they are more motivated to do their best work. As a result, collective bargaining can increase productivity.

7. DISADVANTAGES Employer costs go up: Collective bargaining may result in higher labour costs for businesses, which could hurt their profitability. Loss of adaptability: Collective bargaining agreements may make it more difficult for employers to make workplace adjustments like modifying employee schedules or job responsibilities. Strikes and work stoppages: If negotiations fail, employees may decide to go on strike or stop working, which can be expensive for both employees and employers. Unequal bargaining power: In some cases, employers may have more bargaining power than employees, which can lead to agreements that are unfavorable to employees. Lack of individual negotiation: Lack of individual negotiation may result in less favorable outcomes for high-performing employees because collective bargaining may not take individual differences in abilities, knowledge, and performance into account.

8. INDIAN STATUTES OF COLLECTIVE BARGAINING The Industrial Disputes Act, 1947: This establishes a legal framework for the avoidance and settlement of disputes in the workplace between employers and workers. The negotiation of a contract between employers and employees, or their respective associations, for the resolution of any industrial dispute, is referred to as collective bargaining in Section 2(p) of the Act. The Trade Unions Act, 1926: The rights, obligations, and registration of trade unions in India are covered by this act. According to the act, a trade union is any association of employees or employers established primarily to control the terms and conditions of employment. The Act enables trade unions to represent workers' interests in collective bargaining by being recognised.

9. STAGES OF COLLECTIVE BARGAINING Forming a union: According to Section 9A of the Trade Unions Act of 1926, a trade union must have at least seven members. Although registering a union is not required, there are many benefits, including adequate worker representation, the ability to use funds for specific purposes, protection from civil lawsuits, etc. Making a charter of demands: At this point, either the employer or the union may start the collective bargaining process. After several discussions among all of its members, the trade union draughts a charter of demands. Negotiation: The submission of the charter of demands kicks off the negotiation process. In most cases, the union is the one who formally proposes modifications to the current collective bargaining agreements during the first meeting. The management is then given the chance to make counterproposals. They keep doing this until they reach a consensus. A third party may be chosen as a mediator or arbitrator if they are unable to come to an agreement on their own.

10. Forming an agreement: After a successful negotiation, management and the union create a formal written agreement. A collective bargaining agreement is the name given to this arrangement. Strikes: If the mediation process is unsuccessful, the union may call a strike. Employees in the public utility sector are required to give six weeks' notice of a strike under Section 22 of the Industrial Disputes Act, and they have fourteen days to strike after giving that notice. Conciliation: When the conciliation officer receives a strike notice, the conciliation process starts. There are two options available to you in this step. According to Section 4 of the Act, the state government may designate a conciliation officer for the purpose of investigating, mediating, and promoting settlement during the cooling-off period. The second option is for the state government to appoint a Board of Conciliation, which shall be made up of a chairman and either two or four members, in accordance with Section 5 of the Act.

11. Arbitration or adjudication by industrial tribunals or labour courts: In the event that the conciliation process is unsuccessful, the parties may choose to arbitrate their dispute or submit it to a labour tribunal or court for adjudication. The arbitrator's recommendations may be binding on the parties. A state's labour court or industrial tribunal may decide these disputes, according to Section 7A of the Act. In order to settle disputes involving matters of national interest, national tribunals may be established under Section 7B of the Act. The case may be referred by written agreement between the employer and the employees to a national tribunal, industrial tribunal, or labour court for arbitration or adjudication.

12. COLLECTIVE BARGAINING AGREEMENT A collective bargaining agreement (CBA), which establishes the terms and conditions of employment for workers represented by the union, is a binding contract between a labour union and an employer. These contracts frequently address matters like pay, benefits, working hours, job security, and working conditions. CBAs are negotiated using the collective bargaining process, which entails both labour union and employer representatives. An agreement is typically approved by the employer and the union membership after it has been reached. Normally, CBAs are negotiated for a set amount of time, like two or three years, after which they must be renegotiated. The union and employer have the option of revising the current agreement or negotiating a new one during this renegotiation process.

13. CONCLUSION In conclusion, collective bargaining is a crucial aspect of labor law that allows workers to negotiate better wages, benefits, and working conditions with their employers. Through collective bargaining, workers can have a collective voice that empowers them to improve their working conditions, and employers can benefit from a more stable and motivated workforce. Collective bargaining is an important right that should be protected and encouraged, as it helps to promote fairness and equity in the workplace. However, it is important to strike a balance between the rights of workers and the needs of employers to ensure that collective bargaining is a mutually beneficial process .