COLLECTIVE BARGAINING, ROLE OF UNIONS, PROFESSIONAL

ASSOCIATIONS AND NURSE MANAGERS

Introduction

Collective bargaining is a formal process that gives us a voice in decisions that

affect our jobs, our professions and our patients. It allows us to negotiate with our
employer in determining salary, benefits, hours and the conditions under which we
work. More importantly, it gives us a contract that puts those guarantees in writing, while
also protecting us from unfair treatment. Health care have already used collective
bargaining to win equal annual raises, establish fair personnel policies regarding
evaluations, transfers, and leaves and institute procedures to peacefully resolve
disputes with supervisors.
Meaning and definition

Collective bargaining is a process of negotiating between management and

workers represented by their representatives for determining mutually agreed terms and
conditions of work which protect the interest of both workers and the management.

Collective bargaining is essentially a process in which employees act as a group

in seeking to shape conditions and relationships in their environment.

- Dale Yoder

Collective bargaining is a process by which employers on the one hand, and

representatives of employees on the other, attempt to arrive at agreements covering the
conditions under which employees will contribute and be compensated for their service.

- Michael J Jucious

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CLASSIFICATION OF COLLECTIVE BARGAINING

Prof. Neil Chamberlain, a noted Labour Economist, has made a

threefold classification of collective bargaining theories. Collective
bargaining may be looked upon from three angles:

1. The marketing concept and the agreement as a contract

The marketing concept view collective bargaining as a contract for
the sale of labor. It is a market or an exchange relationship and is
justified on the ground that it gives assurance of voice on the part of the
organized workers in the matter of sale. The same objective rules which
apply to the construction of all commercial contracts are invoked since the
union-management relationship is concerned as a commercial one.

2. The Government concept and the agreement as L a w

The government concept view collective bargaining as a
constitutional system in industry. It is a politica l relationship. The union
shares sovereignty with management over the workers and a s their
representative uses that power in their interests. The application of the
agreement is governed by weighing of the relation of the pr ovisions of the
agreement to the needs and ethics of the particular case.

3. The industrial relations concept as jointly decided directives

The industrial relations concept views collective bargaining as a system of
industrial governance. It is a functional relationship. The union joins with
the company officials in reaching decisions on matters in w hich both have
vital interests. W hen the terms of the agreement fail to pro vide the
EXPECTED guidance to the parties, it is the joint objective, not the terms
which must control.
Objectives of collective bargaining
Collective bargaining is to harmonize labor relations and promote industrial
/enterprise peace by creating equality of bargaining power between the labor and the
management. Thus collective bargaining is that arrangement whereby the wages and
conditions of the employment of workmen are settled through a bargain between the

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employer and the workmen collectively, whether presented through; their union or by
some of them on behalf of all of them.
Prerequisites of collective bargaining:
1. Existence of truly representative and strong trade union
2. Existence of a progressive management
3. Existence of a measure of parties of strength or bargaining power between the
trade union and management
4. Delegation of a union officer involved in negotiation
5. Acceptance of a fact finding approach by the management as well as the union
6. The collective bargaining uses all legislative, judicial and executive process in
assessing problem in relation to the employment.
Characteristics of collective bargaining
It is a group action as opposed to individual action and is initiated through the
representatives of workers
It is flexible and mobile and not fixed or static. It has fluidity and ample scope for
compromise for a mutual give and take, before the final agreement is reached or
the final settlement is arrived at.
It is a two party process. It is mutual give and take rather than a take it or leave it
method of arriving at the settlement of a dispute. Both parties are involved in it.
It is a continuous process which provides a mechanism for continuing and
organized relationship between management and trade unions/ associations.
It is a dynamic and non static because it is a relatively new concept, and is
growing expanding and changing. In the past, it used to be emotional, turbulent
and sentimental but now it is scientific, factual and systematic.
Principles of collective bargaining
The management must develop and consistently follow, a realistic labor policy,
which should be accepted and carried out by its representatives.
The management must grant recognition to the trade union/ associations without
any reservations and accept it as a constructive force in the organization

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 The management should not assure the employee goodwill will always exist. It
should periodically examine the rules and rules and regulations to determine the
attitudes and degree of comfort of its employees and gain their good will and co-
operation..
The management should extend fair treatment to the trade union in order to
make it a responsible and conservative body.
The management should not wait for the trade union to bring employee
grievances to its notice but should rather create the conditions in which
employees can approach the management themselves, without involving the
trade union/association,
The management should deal only with the one trade union or association in the
organization.
While weighing economic consequences of collective bargaining the
management should place greater emphasis on social considerations.
Bargaining strategies
Depending upon the strength of the employer and the union and also
on the degree of co operation that characterizes their relationship, W alton
and McKersie have identified the following four types of bargaining
strategies that may be employed to arrive at an agreement.
1. Distributive bargaining
2. Integrative bargaining
3. Attitudinal bargaining
4. Intra organizational bargaining
1. Distributive bargaining
Distributive bargaining perhaps the most common form of bargaining
takes place when labor and management are in di sagreement over the
issues in the proposed contract such as wages bonus benefits work rules
and so on. It involves haggling over the distribution of surplus. In it the
gain of one party are achieved at the expense of the other. Therefore this
form of bargaining is sometimes referred as win -loss bargaining.
2. Integrative bargaining

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 The purpose of integrative bargaining is to create a operative
negotiating relationship that benefit both parties. In such bargaining both
labor and management win or gain or at le ast neither party loses. The
issues of bargaining involved in such strategy may be such as better job
evaluation process. Better training programs, better working conditions
etc.. this is considered as the best bargaining strategy.
3. Attitudinal structuring
Such a bargaining involves shaping and reshaping of attitudes to
positive and co operative. Examples of attitudinal structuring and shaping
may be from hostile to friendly, from non cooperative to cooperative. The
need for attitudinal structuring or shaping is understood by the fact that
any backlog of bitterness between the parties leads to bargaining
impasses by erupting and destroying negotiations. Therefore attitudinal
structuring is required to maintain smooth and harmonious industrial
relations.
4. Intra organizational bargaining
In practice there are different groups in an organization by department
wise and level wise at times different groups may perceive the outcome of
collective bargaining process differently. For example the unskilled
workers may feel that they are neglected or women workers may feel that
their interests are not taken into consideration. W hile personal manager
may support increase in wages, the finance manager may oppose the
same on the ground that it will disturb the compan ys financial position.
Importance of collective bargaining

The need for and importance of collective bargaining is felt due to the
advantages it offers to an organization. The chief ones are,

Collective bargaining develops better understanding between the employer

and the employees: it provides plat form to the management and the employees
to be at par on negotiation table. As such while the management gains a better
and deep insight into the problems and the aspirations of the employees on the

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 one hand, the employees do also become better informed about the
organizational problems and limitations on the other. This in turn develops better
understanding between the two parties.
It promotes industrial democracy: both the employer and the employees who
best know their problems participate in the negotiation process. Such
participation breeds the democratic process in the organization.
It benefits both employee and employer: the negotiation arrived at is
acceptable to both parties.
It is adjustable to the changing conditions: a dynamic environment leads to
changes in employment conditions. This requires changes in organizational
process to match with the changed conditions. Among other alternatives
available, collective bargaining is found as a better approach to bring changes
more amicably.
It facilitates the speedy implementation of decisions arrived at collective
negotiation: the direct participation of both parties the employee and employer
in collective decision making process provides an in built mechanism for
speedy implementation of decisions arrived at collective bargaining.

The Benefits of Collective Bargaining

Collective bargaining is professional. Through collective bargaining, nurses

speaking with a unified voice are recognized as equal partners in health care. Together
with the National Nurses United we have more experience representing nurses at the
bargaining table, before Congress and the state legislature, and in the public arena than
any other organization.

In todays health care environment, collective bargaining is proving to be one of

the most effective ways to:

Protect patients from inadequate and unsafe care.

Ensure that nurses have fair pay, good benefits, and safe/satisfactory working
conditions.

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 Establish effective channels of communication with those who make decisions
that impact nursing practice.

Advance nurses professional growth and development

Collective bargaining process

The actual bargaining goes through a process consisting of certain stages.
However the number of stages and sequencing of these may vary from
organization to organization depending on the nature of parties involved in
bargaining process.

1. One company dealing with a single union.

2. Several companies dealing with a single union.
3. Several unions dealing with a single company.
4. Several companies dealing with several unions.
Generally, a bargaining process consists of the following five stages:
1. Prenegotiation
2. Negotiators
3. Negotiation
4. Agreement or Contract
5. Implementation of Agreement.
Now, these are discussed one by one.
1. Prenegotiation
This is the first stage involved in a bargaining process is also known as
'preparation for negotiation'. In other words, it refers to homework for negotiation. That
the prenegotiation stage of the bargaining process is vital is duly confirmed by the fact
that "up to 83 per cent of the outcomes of the negotiations are greatly influenced by
prenegotiation stage". Both parties, i.e., the management and the workers need to make
preparation for bargaining. This is discussed separately as follows
Preparation by Management: It is very important for the management to study
very carefully the labour organisation, or say, labour union with which they are to
negotiate or bargain. This may include studying the strength of the union, their contracts

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with other industries, the background and personality characteristics of the union
negotiators, etc.
The management should also know what similar organisations are doing in the
particular matter, and what is expected from the economy in the near future. What can it
expect the union to ask for? what is management prepared to acquisce on? The
management should understand the bargaining power of the union and should devise
its bargaining strategy accordingly. For example, if the demand for the company's
product or service has been high, management will be reluctant to absorb a strike, even
one of short duration. On the other hand, if the business is passing through slackness,
management will be least willing to concede to union demands and may be prepared to
accept a lengthy strike.

Finally, the likely decisions should be chalked out, their impact be analysed, and
the drafts for the likely decisions be prepared in advance to facilitate the immediate
preparation of final agreement draft is soon as the negotiation comes to an end.
Preparation by the Labor Union: The labor union also needs to collect data on
relevant aspects of organization to facilitate its negotiating power and tactics. It should
be aware of its contracts with other companies, the practices followed by other
companies in the same region, and so on. Employees expectations over various issues
should also be assessed in order to avoid their resistance to the agreement arrived at
with the management. Due care should also be taken in selecting negotiator
representatives of the Union.
2. Negotiators
On the company side, the particular negotiator may be any one of a number of
persons. It may be the industrial relations officer, the head of the particular area such as
production area, an office bearer like executive vice-president, or even the company
lawyer. In order to broaden the base of participation, the practice of allowing all major
divisional heads to participate and a few supervisors to observe on a rotating basis has
great advantages in bargaining process.

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 On the union side, the team approach is customarily used. The team may consist
of business agents, some shop stewards, the president of the local union, and when the
negotiation is vital, the president of the national union.
3. Negotiation
Once the first two stages are completed, both the parties come to the negotiation
table at a time and place for this purpose. Customarily, negotiation process starts by the
union representatives delivering an extravagant and long list of demands. Expectedly,
the initial response from the management is usually as extreme as that of the union.
The management counters the union demands offering little more than what was
agreed in the previous contract. This tug of war goes on from both of the sides. In the
process, each party assesses the relative priorities of the other's demands. This takes
them in a situation when attempt is made to get management's highest offer to
approximate the lowest demands that the union is willing to accept. Thus, each group
compromises by giving up some of demands so that an agreement can be arrived at
when they actually arrive at an agreement; this converted into a written contract. In
case, both parties do not reach to any agreement, then it is called deadlock or
breakdown or bargaining impasse.
4. Agreement or Contract
After both parties have arrived at an informal agreement either in the
normal/initial process through overcoming bargaining impasse, it is written. The written
form of the agreement usual consists of the terms and conditions of agreement, the
date from which it comes into effect .the duration for which it will remain in operation
and the names of the signatories of the agreement.
The agreement so prepared is then sent to the laborers and management for its
ratification and approval. The representatives of both the parties may not have ultimate
authority to decide some issues referred to collective bargaining and included in the
agreement. These need to be ratified by both the parties. The agreement needs to be
duly ratified because of legal provisions. According to the Section 18 (1) of the Industrial
Disputes Act, 1947, "an agreement shall be binding only on the parties to the
agreement." This implies that any collective bargaining agreement does not apply

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automatically to all workers of an organization. The agreement becomes official once
approved ratified, and signed by labor and management representatives.
The collective agreement is variously known as "labor contract", "union contract",
or "labor management agreement". Union members and members of management all
receive copies of the agreement or contract. The agreement stipulates in formal terms
the nature of the relationship between labor and management for the ensuing period of
time as agreed in negotiation.
5. Implementation of Agreement
Once an agreement is ratified and approved, what next remains left is its
implementation. The way it will be implemented is indicated in the agreement itself. The
agreement must be implemented with full magnanimity in terms of its letter and spirit by
both the parties from the date of its operation as mentioned in the agreement. This is
the duty of the Human Resource Department to ensure the proper and full
implementation of all provisions given in the agreement.
One of the most important elements involved in agreement implementation is
spelling out of a procedure for handling grievances arisen out of collective agreement.
In practice, almost all collective bargaining agreements contain formal procedures to be
used in resolving grievances over the interpretation and application of the agreement.
Hence, the grievances, if any, need to be resolved accordingly.

Techniques in collective bargaining

Standardization: means the establishment of a uniform minimum prize for

each class of work. Union insist on the point that bargaining can be effective
only if workers in any one job are guaranteed a specified minimum wage per
piece or per month.
Restriction of membership: unions seek to limit number of members in the
union and to limit employment to unionists. Under open union practice,
anyone who is acceptable to the employer is allowed to join the union. But

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 under closed union practice, unions set such severe conditions such as only
very few can qualify. As a result unions have limited the available labor
supply in a given occupation to the present members of the union.
Putting jurisdictional limitations: attempts are made to ensure that only
unionists get the available jobs and that employers do not have a choice as
to hire union members or others. These jurisdictions may be either industrial
or geographic. under the system of industrial jurisdiction , all work of a
certain type are allocated to the members of a certain union and under the
system of geographical jurisdiction, a specific area is defined in which only
the members of a specified local union may be used for such work.
Picketing: by putting pickets at the entrance of the offending establishment,
the union makes the public awareness of the unions case. By providing
pickets the union prevents the employer from carrying on his normal
business activities. The major aim of picket is to prevent union and non
union members from working and thus controlling the supply of labor.
Open shop: no distinction is made between the unionists and non unionists.
No collective bargaining exists because the employer does not recognize
any union as representative of employees.
Exclusive bargaining system: management recognizes union as an agent
for its members and further agrees that it will recognize no other union as
bargaining agent.
Preferential shop form: the management will provide the first chance for
employment to union members.
Maintenance of membership form: all employees who are members of the
union must maintain their standing in the union they are discharged.
Union shop form: all employees must be members of the union. The
management may employ non unionists, but they must join the union when
they become employees.
Agency shop: all employees in the bargaining unit must pay dues to the
union recognized as the bargaining agent although they do not have to join
that union.

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 Closed shop: only union members are employed. This form of recognition
provides the greatest union control of labor supplies.
Boycott: unions refuse to work for the employers who do not comes to
terms with the union. Through which the union seeks to limit supplies of
labor.
Conditions for effective collective bargaining
Collective bargaining is one of the important means to settle the industrial
disputes. However its effectiveness depends much on the environment in which
collective bargaining takes place.
Favorable political and social climate: that existence of a favorable
political and social condition is essential for effective collective
bargaining. Collective bargaining has made headways in settling
industrial disputes in the countries where it has been duly supported
by the government and favored by the public.
Trade unions: employees should have fundamental rights to form
trade unions for protecting their interests. More stronger the trade
union is the more the effective collective bargaining is. The employer
should also recognize a trade union and its representatives.
Problem solving attitude: both the parties when negotiating should
adopt a problem solving or say compromising attitude to reach an
agreement. Neither party should adopt an adement of fighting attitude.
The negotiating teams should follow give and take approach. It means
that one party may win concessions over the other depending upon
their relative strengths.
Availability of data: data and information serve as inputs for decision
making. Hence the availability of required data serves as pre
requisites for successful collective bargaining. While the employer
must make available data required for collective discussion, the union
representatives also must accept and trust on data supplied by the
employer.

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 Continuous dialogue: collective bargaining sometimes may not
reach to an agreement. Instead there may be deadlock or say,
bargaining impasse. In such case, dialogue must not end but continue
with problem solving approach. Keeping the controversial issues aside
for the time being may help narrow down disagreement and continue
the dialogue.

Advantages
At the beginning unions were considered as necessary evils but in course of
time, a rational for collective bargaining emerged which has been accepted by all.

It is a good anti cyclical measure

Considered as an extension of democracy to the work place
Industrial jurisprudence: it involves the function of collective bargaining as
a method introducing civil rights into industry of requiring that management
be conducted by rule rather than by arbitrary decision.
Rules made jointly by employers and workers are much better than those
unilaterally imposed by employers on unions or by unions on employers.
More flexible
Participatory democracy: by participating in the formulating of work rules
and joining political organizations, workers gain a stake in the system.
It is an equitable system because of its equalized power between workers
and employers.
It protects employees in their right to organize and bargain collectively

Disadvantages

Collective bargaining generates many problems such as,

Strikes: strike creates a dilemma for those who have accepted the institution
collective bargaining because it is difficult to have collective bargaining with out
the right to strike.
It also causes considerable damage to the public

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 Since collective bargaining based on power and conflict, it does most for the
people who need it least. The stronger worker in the labor market could protect
their income of their skills while the weakest worker in the work force have very
limited ability to form unions and hence are unable to gain the benefits of
collective bargaining.
Thirdly, collective bargaining does not contain sufficient safeguard
for the public interest, which might be ignored by collusion between
strong unions and employers to fix prices.

Collective bargaining in India

Collective bargaining has not made m uch headway in India for a

number of reasons. Such as,

Favorable conditions fo r the development of collective bargaining

are not prevailing in India.

W e do not have strong trade union movement in India.

There is no parity of strength as between trad e, union and

management.

In India at the unit le vel bipartitism and at the industry and na tional
level tripartitism prevails.
A host of laws prescribing labor-management behavior have been
enacted, through such mechanisms as wa ge boards, statutory
fixation of wages, payment of bonus and other employme nt
conditions the scope of collective bargaining has been severely
curtailed

Steps to be taken to make collective bargaining more effective in India

Strengthening trade union movement in India

Compulsory adjudication of disputes should be abolished
One union in one industry should be encouraged
Compulsory recognition of representative union is necessary

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 Government should encourage the parties to settle their disputes through
bipartitism

Role of unions and professional associations in collective

bargaining

In views of the rights granted to organized labor; the trade union should eliminate
racketeering and other undemocratic practices within their own organization.
Trade union leaders should appreciate the economic implications of collective
bargaining, for their demands are generally met from the income and resources
of the organizations in which their members are employed
Trade union leaders should not imagine that their only function is to secure
higher wages. shorter hours of work and better working conditions for their
members. They and their members have an obligation to assist the management
in the elimination of waste and in improving the quantity of production
Trade union leaders should assist in the removal of such restrictive rules and
regulations that are likely to increase costs and prices and reduce the amount
that can be paid out as wages
Trade union leaders should resort to strike only when all other methods of the
settlement of a dispute have failed
Role of nurse manager in collective bargaining

Nurse manager participates in decision making

Nurse manager protects economic security
Nurse manager improves the quality of patient care
Ensures improved health and safety protections
Gains control over professional practice
Nurse attains the power
Nurses takes the lead

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 Nurse Manager as a leader: Collective bargaining should be made an
education as well as bargaining process. It should offer to trade union leaders an
opportunity to present to the management the wants, desires, grievances and
attitudes of its employees and make it possible for-the management to explain to
union leaders and through them, to its employees the economic problems which
it is confronted with.
As a mediator: The management and trade union must look upon collective
bargaining as a means of finding the best possible solutions and not as a means
of acquiring as much as one can while conceding the minimum. There must be
an honest attempt at solving problems.
Keeping mutual respect: Both parties to a dispute should command the
respect of each other and should have enough bargaining power to enforce the
terms of agreement that they may arrive at.
Implementing collective bargaining in practice: There must be mutual
confidence and good faith, and a desire to make collective bargaining effective in
practice.
Leadership: There should be an honest, able and responsible leadership, for
only this kind of leadership will make collective bargaining effective and
meaningful.
Nurse manager should be aware about the concerned laws: The two parties
should meticulously observe and abide by all the national and state laws which
are applicable to collective bargaining
Representative of the need of subordinates: Both parties must bear in mind
the fact that collective bargaining is, in a sense, a form of price fixation and that
the success of any collective bargaining depends, in the final analysis, on
whether the management and the trade union do good job of ensuring that the
price of labor is properly adjusted to other prices.
Conclusion

Collective bargaining in todays health care environment is about more than

wages and benefits. It is about patient advocacy, protecting nursing practice, safe

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staffing levels and ensuring a safe and healthy work environment for registered
nurse and health care professionals. Through legally protected collective action and
contract language, members have the power to secure benefits and working
conditions which foster professional growth and promote quality patient care.

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