Strikes in India in this year (from Jan.’09 to till date)

Date Description

5 Jan.’ 2009 Coal industry, due to wages7 Jan.’ 2009 Public oil sector, due to wages7 Feb.’ 2009 NTPC, to salary20 April’ 2009 Hyundai, due to establish a trade union29 July’ 2009 Strike finished & loss of 1800 cars30 April’ 2009 Mumbai Airport, due to transfer2 may’ 2009 Nestle, Rudrapur due to release of probation

employees 4 may’ 2009 M&M, Nasik, due to dismiss of trade union leader 9 may’ 2009 MRF, Arakonam due to wages12 may’ 2009 JNPT, Paradeep & Kochi port due to wages20 may’ 2009 MTNL, due to salary Beladila Mines due to salary & working condition12 June’ 2009 Public Sector Banks, due to salary25 Aug.’ 2009 Air India, due to retrenchment in salary7 Sep.’2009 Jet Airways Pilots on medical leave, due to dismiss

of pilots (National Aviators Gild)13 Sep.’2009 Strike finished, loss of 25-30crore

Collective Bargaining (combined - good deal)

Collective bargaining is a technique adopted by the organisations of workers and employers collectively to resolve their differences with or without the assistance of third party. Its ultimate aim to reach some settlement acceptable to both the parties involved in labour management relation. Collective bargaining includes not only negotiations between the employers and unions but also includes the process of resolving labor-management conflicts. Thus, collective bargaining is, essentially, a recognized way of creating a system of industrial jurisprudence. It acts as a method of introducing civil rights in the industry, that is, the management should be conducted by rules. It establishes rules which define and restrict the authority exercised by the management

Definition: According to Dale Yoder, “Collective bargaining

is the term used to describe a situation in which the essential conditions of employment are determined by bargaining process undertaken by representatives of a group of workers on the one hand and of one or more employers on the other.”

In the words of Flippo, “Collective bargaining is a process in which the representatives of a labour organisation and the representatives of business organisation meet and attempt to negotiate a contract or agreement, which specifies the nature of employee-employer-union relationship.”

Subject matter

As per The Indian Institute of Personnel Management

Purpose of agreement, its scope, and the definition of important terms -

Rights and responsibilities of the management and of the trade union

Wages, bonus, production norms, leave, retirement benefits, and terms and conditions of service

Grievance remedy procedure Methods and machinery for the settlement of

possible future disputes Termination clause.

Bargaining in good faith is the foundation stone of effective labor management relations. It means that both parties communicate and negotiate. It means that proposals are matched with counter proposals and that both parties make every reasonable effort to arrive at agreement. It does not mean that either party is forced to agree to a proposal. Nor does it require that either party make any specific concessions.

Collective bargaining develops a sense of self respect and responsibility among the employees.

It increases the strength of the workforce, thereby, increasing their bargaining capacity as a group.

Collective bargaining increases the morale and productivity of employees.

It restricts management’s freedom for randomly action against the employees.

Effective collective bargaining machinery strengthens the trade unions movement.

The workers feel motivated as they can approach the management on various matters and bargain for higher benefits.

It helps in securing a prompt and fair settlement of grievances.

It becomes easier for the management to resolve issues at the bargaining level rather than taking up complaints of individual workers.

Collective bargaining tends to promote a sense of job security among employees and thereby tends to reduce the cost of labor turnover to management .

Collective bargaining opens up the channel of communication between the workers and the management .

Collective bargaining plays a vital role in settling and preventing industrial disputes.

Collective bargaining leads to industrial peace in the country.

It results in establishment of a pleasant industrial climate .

The unfairness and exploitation of workers is constantly being checked.

It provides a method or the regulation of the conditions of employment of those who are directly concerned about them.

Features of Collective bargaining

“A tree is known by its fruit. Collective bargaining may best be known by its characteristics.” Randle

It is a group action to individual action and is initiated through the representatives of workers

It is flexible and mobile, and not fixed or static It is a two party process It is a continuous process It is dynamic It is industrial democracy It is an art, an advanced form of human relation

TYPES OF COLLECTIVE BARGAININGOrCollective Bargaining Agreement at

Different Levels

Workplace bargaining or plant bargaining Company bargaining National bargaining Effort bargaining Productivity bargaining Coordinating bargaining

Levels of Collective Bargaining

National level Sector or industry level Company/enterprise level

PRINCIPLES OF COLLECTIVE BARGAINING

Arnold F. Campo has laid down certain essential general principles of collective bargaining. These are –

For Union & Management

finding the best possibility honest attempt to solve the problem leaders have the opportunity to present their demands mutual consent & confidence with good faith

For Management

must develop constantly & acceptable follow a realistic labour policy periodically examine the rules & regulations to conclude the attitude of the employees promote their comfort and gain their goodwill & cooperation trade union feels its position is secure

For Union

only to welfare of its members recognize the economic suggestions relatives income & resources of the organisation Also for Non-Economic suggestions

PROCESS OF COLLECTIVE BARGAINING

1. Preparing for Negotiation 2. Identifying Bargaining Issues3. Settlement & Contract Agreement4. Administration of the Agreement

Preparing for Negotiation

Prepare specific proposal for changes Conclude the package Prepare statistical data Financial position of the company Attitude of the management Desire of the employees Follow-up the action plan Both the parties, at all times, respect the right of the public

Identifying Bargaining Issues Wages related issues – wages, overtime, Supplementary economic benefits – paid holiday & leaves, health insurance plan, pension plans and PF etc. Institutional issues – rights & duties of employees and employers Administrative issues – technological changes, job security, promotion, development & training programs, code of discipline Settlement & Contract Agreement Clear and specific

Administration of the Agreement Must be communicated to all effects levels HR manager plays crucial and advisory role

MANDATORY ITEMS FORCOLLECTIVE BARGAINING

Reed Richardson has shown the issue to be included in the collective bargaining agreement –

Wages, working hours, paid holidays & vacations, grienvance procedure, lay-off plan, lunch & rest periods, safety rules, job position procedure, plant shut down & relocation, profit-sharing plan & bonus payment, overtime pay, sick leave, pension plan, retirement age, prices of meals provided by employer, group insurance (health, accident & life policies), promotions, seniority, transfer, discount on company product, strike & lock-out clause.

Solutions / Condition Essential for Successful Collective Bargaining

orStrengthening Collective Bargaining

Strong & Stability of Trade Unions Recognition of Trade Unions Mutual Accommodation or Willingness

to Give & Take Policy Mutual Trust and Confidence Efficiently Bargaining Emphasis on Problem-Solving Favorable Political Climate

Outcomes of Collective Bargaining

Lose –Lose (employee & employers)

Lose –Win (employee & employers)

Win –Lose (employee & employers)

Win -Win (employee & employers)

COLLECTIVE BARGAINING IN INDIA

It was started in the first Five-Year Plan :- Collective bargaining, as it is known and trained, is almost unknown in India, as a matter of principle, it was accepted for usage in union-management relations by the state. The effort of the state is to encourage mutual settlements, collective bargaining, voluntary arbitration to the uppermost coverage and thereby reduce to the minimum the number of disputes for its involvement. Indian Labour Conference in 1952:- Compulsory settlement

COLLECTIVE BARGAINING IN INDIA

National Commission on Labour :- Should be sort out at the plant level

EFI studied in 1970:- Study covered 109 collective agreements, relating to 77 companies and 11 industrial associations

Recent Trends :- Traditional Issues – wages, DA, employment conditions Non- Traditional Issues- better welfare facilities, demand for better benefits