TYPES OF COLLECTIVE BARGAINING

TYPES OF COLLECTIVE BARGAINING

 

1. Conjunctive/Distributive Bargaining:

In this type of bargaining, the employers and employees try to maximise their respective gains. Issues like wages, bonus etc. are negotiated under conjunctive bargaining.

It’s identifying feature is that it operates under zero some conditions i.e. “my gain is your loss and your gain is my loss”. The parties want to work as little as possible while getting as much as possible from the other party. Conjunctive bargaining is also called distributive bargaining.

2. Co-operative/Integrative Bargaining:

In co-operative bargaining, both parties realise the importance of surviving in difficult times and decides to negotiate the terms of employment with mutual understanding.

Labour can sacrifice something and may accept wage cuts and management may also agree to sacrifice something for the survival of the firm. Co-operative bargaining is resorted mainly in the times of recession.

3. Productivity Bargaining: It is done by the management. workers are often given the incentives and bonus for the increased productivity. The workers get encouraged and work very hard to the standard level of productivity to gain these benefits.

This type of bargaining beneficial for both employer and employee as both enjoy the benefits in the form of increased production and the increased pay respectively.

4. Composite Bargaining: In this type of collective bargaining, along with the demand for increased wages, the workers also express their concern over the working conditions, recruitment and training policies, environmental issues, mergers and amalgamations with other firms, pricing policies, etc. with the intention to safeguard their interest and protect the dilution of their powers.

Thus, the purpose of the Collective Bargaining is to reach a mutual agreement between the employee and the employer with respect to the employment terms and enjoy a long term relationship with each other.

GROUP FORMATION THEORIES