Settlement and contract agreement
After an initial agreement has been made, the two sides usually
return to their respective constituencies to determine whether what they
have informally agreed upon is acceptable.
In this stage, the union-negotiating team explains and puts the
agreement to the union members for a vote. If voted, this agreement is
formalized into a contract. It is important that the contract must be clear
and precise.
Administration of the agreement
The agreement must be implemented according to the letter
and spirit of the provisions of the agreement. Faulty implementation or
violation of any provision leads to disputes. The HR must play crucial
role in the day –to day administration of the contract. He or she advises
on matters of discipline and works to resolve grievances arising out of
the agreement.
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