Collective Bargaining: a process in which representatives of Labor & Mgmt negotiate the terms & conditions of employment.
Structure:
Single Employer Bargaining: a single employer involved w/ a single union (can also bargain w/ more than 1 unit). Boutique is a specialized Taylor agreement b/w employer & unit (usually seen in oligopolistic type market)
Pattern Bargaining: Pick a target firm & then form an agreement (Pay, benefits, etc.) called a pattern (i.e. 6% over 2 years). Ex: The Caterpillar Company – United Automobiles Union (DEER) the Union wanted a pattern, company did not so they went on strike, ended up going back to work w/ no agreement, and then went on strike again. They ended up accepting less than the pattern. Bridgestone & United rubber are another example. They stroke because company would not allow ‘em to pattern bargain. Union did not survive strike, now combined w/ steel workers unions.
Multi-Employer Bargaining: Employer meets w/ all units & comes up w/ the same agreement (i.e. all athletes, all grocery workers, etc.) They form an employers association & the representative of that negotiates.
Book: a behavior theory of Labor Negotiations – Richard Walton & Robert McKenzie. It revolutionized thinking about negotiations. This book was done in both perspectives instead of just one side.
There are 4 aspects of negotiation:
1. Distributive Bargaining: involves $ typically & how $ distributed. Fixed sum is usually how $ is distributed. Union wants a bigger piece of the pie & company wants to hold onto that piece of that pie. Labor & Mgmt view each other as adversaries. Union asks for everything & a lot of it. Mgmt says take away, loss of privileges a little more subtle approach.
2. Integrative Bargaining: The 2 groups get together & problem solve on ways to make the pie bigger. They get along w/ each other & must be creative. Their view is productivity can never be high enough. In the 1980’s Chrysler Corp. had a lot of problems & were setting records for losing $. They only had big cars that were gas-guzzlers (headed for bankruptcy). Chief Executive, Iakoka wanted to buy a little time so that they would be ok. Company wanted Gov. to bail ‘em out w/ working capital to get the company going again. Gov. did not lend the $, but offe...
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...ucation Association, American Nurses Association, Union of American Physicians & Dentist)
Law: State & local about ½ states
1. Right to unionize & bargain collectively
2. Unfair labor practices for employers & unions
3. Procedures for union representation elections
4. Administration by a state board (i.e. California Public Employment Relation Board)
5. Impasse Resolution procedures (i.e. mediation)
6. Allowance for grievance arbitration
Strikes:
Workers in private industries have the right to strike (Section 7 of NLRA)
1. Strikes that imperil the national health or safety
2. A no strike clause in the collective bargaining agreement
Public Employee Strikes:
Law forbids strikes by Fed. & postal workers. Strikes by state & local Gov. employees are prohibited in most jurisdictions (State, Fed, Local, Areas)
Only 12 states allow a limited right to strike: Oregon, CA, Idaho, Illinois, Wisconsin, Alaska, Ohio, Vermont, Montana, Hawaii.
Despite attempting to predict the eventual outcome of the negotiation, I did not anticipate the confrontations between Local H-56 and the management of Hotel Zinnia. Although they initially agreed to engage in integrative bargaining, the union and management subsequently entered an intense negotiation. When Local H-56 presented its proposal of wage increases and health insurance, management immediately responded with a counterproposal that surprised the union. Both the union and management eventually behaved confrontationally, accusing each other of bargaining unreasonably and focusing on the trivial aspects of the negotiation. Moreover, as the union and management felt increasingly frustrated, they suffered from a lack of unity in their teams. The union could not fulfill its objectives because its lead negotiator prevented other team members from contributing to the negotiation. On the other hand, several team members of management struggled to assert their authority as the lead negotiator. After observing these issues, I ultimately believe that the union and management failed to achieve their individual objectives. Moreover, by approaching the negotiation with a zero-sum strategy, I assert that the union and management failed to reach a mutually beneficial contract. At the same time, both sides of the bargaining table lacked cohesive teams and therefore struggled under the pressure of the negotiation.
To conclude this analysis on the basis of the labor’s extensive history, Sloane & Witney (2010) propose, “it is entirely possible that labor’s remarkable staying power has been because of the simple fact that to many workers, from the nineteenth century to the present, there really has been no acceptable substitute for collective bargaining as a means of maintaining and improving employment conditions” (p.80). In the end, it is important to anticipate unions and employers presently work together to find solutions that will enhance collective bargaining strategies and practices to serve the interest of both parties.
Holley, Jr., W., Jennings, K. & Wolters, R. (2012). The labor relations process. (10th ed.). Fort
Unionism can be described as "a continuous association of wage-earners for the purpose of maintaining or improving the conditions of their employment"(Smelser). This means that a group of workers can unite to gain more power and leverage in bargaining. The bargaining may include many aspects but usually consists of wages, benefits, terms and conditions of employment. The notion of union came about in the 1700's. In the beginning as it is today workers united to "defend the autonomy and dignity of the craftsman against the growing power of the company" (Montgomery).
... of Labor Unions in Labor Markets. In R. C. Free (Ed.), 21st Century Reference Series. 21st Century Economics (Vol. 1, pp. 163-172). Thousand Oaks, CA: Sage Reference. Retrieved from http://go.galegroup.com.library3.webster.edu/ps/i.do?id=GALE%7CCX1700400026&v=2.1&u=edenweb_main&it=r&p=GVRL&sw=w
The dynamic of a win-lose bargaining situation can cause negotiations to be exceedingly tense and volatile because only one side will gain at the end of these type of negotiations. This makes the concept of distributive bargaining controversial. Michael Wheeler, the author of the article, Three cheers for teaching distributive bargaining, discusses how many professors at an academy of management conference disapproved of distributive bargaining negotiation tactics. Wheeler explains, a huge majority of the attendees disapproved of exposing their impressionable pupils to the reality that in some negotiations, more for one party means less for the other” (Wheeler, 2012).
Throughout American history, labor unions have served to facilitate mediation between workers and employers. Workers seek to negotiate with employers for more control over their labor and its fruits. “A labor union can best be defined as an organization that exists for the purpose of representing its members to their employers regarding wages and terms and conditions of employment” (Hunter). Labor unions’ principal objectives are to increase wages, shorten work days, achieve greater benefits, and improve working conditions. Despite these goals, the early years of union formation were characterized by difficulties (Hunter).
Negotiations styles are scholastically recognized as being broken down into two general categories and those are distributive bargaining styles and integrative negotiation styles. Distributive bargaining styles of negotiation are understood to be a competitive type of negotiation. “Distributive bargaining, also known as positional bargaining, negotiating zero-sum, competitive negotiation, or win-lose negotiation, is a type or style of negotiation in which the parties compete for the distribution of a fixed amount of value” (Business Blog Reviews, 2011). This type of negotiation skill or style approach might be best represented in professional areas such as the stock market where there is a fixed goal in mind or even in a garage sale negotiation where the owner would have a specific value of which he/she would not go below. In contrast, an integrative negotiation approach/style is that of cooperative bargaining, or win-win types ...
Lewicki, J. R., Barry, B., & Saunders, M. D. (2011). Essentials of negotiation (5th ed.). New York, NY: McGraw Hill. ISBN-13: 9780073530369
Lewicki, R. J., Saunders, D. M., & Barry, B. (2011). Essentials of Negotiation (5th ed.). New York, NY, US: McGraw-Hill.
Lewicki, R., Saunders, D.M., Barry B., (2010) Negotiation: Readings, Exercises, and Cases. 6th Ed. McGraw-Hill Irwin. New York, NY
Negotiation approaches are generally described as either distributive or integrative. At the heart of each strategy is a measurement of conflict between each party’s desired outcomes. Consider the following situation. Chris, an entrepreneur, is starting a new business that will occupy most of his free time for the near future. Living in a fancy new development, Chris is concerned that his new business will prevent him from taking care of his lawn, which has strict requirements under neighborhood rules. Not wanted to upset his neighbors, Chris decides to hire Matt to cut his grass.
Lewicki, R. J., Saunders, D. M., & Barry, B. (2010). Negotiation: Readings, exercises, and cases. New York: McGraw-Hill Irwin
Traditional literature in the field of labor relations has focused immensely on its benefit towards the employer and in the process equating it to working rules. This has been so despite the field being expected to cover the process of, labor management, union formation, and collective bargain; all which are anticipated to create a positive employer-employee relationship. This relationship is said to be positive if there exist a balance between employment functions and the rights of the laborer. Also important to note, is that this relation is equally important to the public sector as it is to the private one. Therefore, to ensure a mutually conducive labor environment exists, effective labor management process and inclusive negotiation program should be adopted (Mulve 2006; Walton, 2008).
Collective bargaining is the process in which employers and unions undergo a series of negotiations that include terms and typical of collective bargaining where both parties concur to conditions of employment. These conditions may include wages, hours, and working conditions (Budd 229).