Directorate of distance education master of business administration


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Win- Win situation
 
The agreements of collective bargaining are based on the principle 
of mutual interest. All the parties involved should have win-win attitude 
and aim at reaching an agreement that is in the best interests of all parties


273
Builds Relationships
 
Collective bargaining, as a continuous process, helps in building 
a culture of strong relationships between the management and the 
employees (trade unions). This helps in developing a conflict / dispute 
–free industrial environment.
An art and a Science
 
An expert at collective bargaining is someone who has practiced 
the art well. It is also a science because understanding the process of 
collective bargaining and predicting the response of the other party 
as accurately as possible can help in better negotiation and enhanced 
performance in achieving the desired results.
Objectives
 
Collective bargaining has benefits not only for the present, but 
also for the future. The objectives of collective bargaining are:
ӹ
ӹ To provide an opportunity to the workers, to voice their problems 
on issues related to employment
ӹ
ӹ To facilitate reaching a solution that is acceptable to all the parties 
involved
ӹ
ӹ To resolve all conflicts and disputes in a mutually agreeable 
manner.
ӹ
ӹ To prevent any conflicts/disputes in the future through mutually 
signed contracts
ӹ
ӹ To develop a conducive atmosphere to foster good industrial 
relations
ӹ
ӹ To resolve issues through third party (government) involvement 
in case of conflicting interests of the practices involved.
ӹ
ӹ To provide stabile and peaceful industrial relations in the 
organization
ӹ
ӹ To enhance the productivity of the organization by preventing 
strikes, lockouts etc.


274
Approaches
Collective bargaining has been viewed from three perspectives:
ӹ
ӹ As a process of social change
Collective bargaining acts as a technique of long- run social 
change, leading to restructuring in the power hierarchy of 
competing groups.
ӹ
ӹ As a peace treaty between the conflicting parties 
It serves as a peace treaty between both parties in case of continued 
conflict. However, as the compromise is a temporary truce, each 
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