Collective bargaining

Collective bargaining is a process of voluntary negotiation between employers and workers'

organizations (generally trade unions) aimed at reaching agreements which regulate working
conditions. Collective agreement usually set out wage scales, working hours, training, health
and safety, overtime, grievance mechanisms and rights to participate in workplace or company
affairs.[1] The term was first used in 1891 by Beatrice Webb.[2]

During the bargaining process, employees are typically represented by a trade union.[3] The
union may negotiate with a single employer (who is typically representing a company's
shareholders) or may negotiate with a federation of businesses, depending on the country, to
reach an industry wide agreement.

A collective agreement functions as a labor contract between an employer and one or more
unions. Collective bargaining consists of the process of negotiation between representatives of
a union and employers (generally represented by management, in some countries[which?] by an
employers' organization) in respect of the terms and conditions of employment of employees,
such as wages, hours of work, working conditions and grievance-procedures, and about the
rights and responsibilities of trade unions. The parties often refer to the result of the
negotiation as a collective bargaining agreement (CBA) or as a collective employment
agreement (CEA).
Collective bargaining is a type of negotiation used by employees to work with their employers. During a
collective bargaining period, workers' representatives approach the employer and attempt to negotiate
a contract which both sides can agree with. Typical issues covered in a labor contract are hours, wages,
benefits, working conditions, and the rules of the workplace. Once both sides have reached a contract
that they find agreeable, it is signed and kept in place for a set period of time, most commonly three
years. The final contract is called a collective bargaining agreement, to reflect the fact that it is the result
of a collective bargaining effort.

The roots of collective bargaining lie in the late nineteenth century, when workers began to
agitate for more rights in their places of employment. Many skilled trades started using their
skills as bargaining tools to force their employers to meet their workplace needs. Other workers
relied on sheer numbers, creating general strikes to protest poor working conditions. Several
labor pioneers started to establish a collective bargaining system so that labor negotiations
could run more smoothly.

Typically, the employees are represented by a union. Collective bargaining actually begins with
joining a union, agreeing to abide by the rules of the union, and electing union representatives.
In general, experienced people from the union will assist the employees with putting together a
draft of a contract, and will help them present their desires to the company. Numerous
meetings between representatives of employer and employees will be held until the two can
agree on a contract.

As the contract is being negotiated, general employees also have input on it, through their
union officers. Thus, the agreement reflects the combined desires of all the employees, along
with limitations that the employer wishes to see put in place. The result is a powerful document
which usually reflects cooperative effort. In some cases, however, the union or the employer
may resort to antagonistic tactics such as striking or creating a lockout, in order to push the
agreement through.

For workers, collective bargaining is an excellent tool. Many workplaces benefit from unionization,
which allows workers to speak together as a body to assert their rights. Employers also benefit from
collective bargaining agreements, which set out clear expectations for both sides. The experience of
collective bargaining can also be a learning experience for both sides of the discussion, as it encourages
employers and employees alike to consider each other's positions.