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Banning Summary: The Pros And Cons Of Collective Bargaining

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HISTORY Collective bargaining exists since the 18th century and the term “collective bargaining” was first used by Beatrice Webb, a founder of the field of industrial relations in Britain, in 1891. According to the ILO Right to Organize and Collective Bargaining Convention (No.98), 1949, collective bargaining is described as “Voluntary negotiation between employer or employers’ organizations and workers’ organizations, with a view to the regulation of terms and conditions of employment by collective agreements” Collective bargaining is a method used by trade unions to improve the terms and conditions of employment of their members. It tries to restore the unequal bargaining position between employer and employee. The principle of collective …show more content…

Negotiation at factory level is done on issues like piece rates, bonus scheme, disputes and working conditions. The increasing trends in the 70s in Mauritius to negotiate at organisational level strengthened the position of the workers’ representatives, weakened the middle management authority and reduced workers from the authority of officially appointed union delegate. Everything has pros and cons so has collective bargaining at organisational level. The decision making process is quick and the local conditions are also taken into consideration. The representatives of workers have a well-established knowledge of workers and working conditions. The Trade Union has few full time officers to handle local disputes. However, there is the risk of unofficial strike action and also, wage settlement can become a burden on management as it increases industrial costs. And also, the workers’ representative gain a lot of importance in this process. COLLECTIVE BARGAINING AT INDUSTRY …show more content…

It Is based upon the realisation that employers possess more social and economic power than individual employee. The contract of employment is by of an unequal sort due to the fact that its content is to a great extent determined by the employer because of him owning the factors of production and this places the employer in a better bargaining position. As employee is in greater need of work than the employer needs the service of a particular employee, they tend to consent to any terms and conditions given to them, even if it is exploitative. This is particularly true for employees who enter the market without any special skill. The high rate of unemployment facing most countries also leaves employees with little choice but to accept whatever is on

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