The Extent and Location of Collective and Individual Bargaining in Britain and USA

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The Extent and Location of Collective and Individual Bargaining in Britain and USA Introduction The collective and individual bargaining systems that are in place in the United Kingdom (UK) and the United States of America (USA) have numerous similarities and differences. This essay concentrates on the extent and location of collective and individual bargaining in these two countries. Collective bargaining is the process whereby workers organise collectively and bargain with employers regarding the workplace. In various national labour and employment law contexts, collective bargaining takes on a more specific legal meaning. In a broad sense, however, it is the coming together of workers to negotiate their employment. Basically,…show more content…
However, the importance of collective bargaining in the United Kingdom and the USA world has declined considerably since the early 1980s. Collective bargaining in the UK continues to be highly decentralised thus most bargaining being at company or workplace level, with little multi-employer bargaining outside the public sector. The findings of the 1998 Workplace Employment Relations Survey, published in late 1999 indicated that pay for 28% of employees in the private sector was determined by collective bargaining, compared with 49% in 1990 when the previous survey was undertaken. In the public sector, the pay of 54% of employees was determined by collective bargaining, compared with just over 90% in 1990, reflecting moves in the intervening period to pay-setting by review bodies or indexation formulae in large parts of the public sector. (Ref) outlines five factors which he maintains are responsible for the decline in unionisation in the industrialised world, specifically the USA and the UK: changes in the structure and composition of the labour force and employment; macroeconomic conditions unfavourable to unions; regulatory changes hostile to collectivism and unionism; employer militancy, particularly the reluctance to grant recognition to unions in new establishments; and the strategy and tactics of the unions themselves. As there is no system for registering collective agreements in the

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