Pre-requisites for collective bargaining

Pre-requisites for collective bargaining

Pre-requisites for collective bargaining

The under mentioned pre-requisites should be deeply rooted in a country for the effective and fruitful operation and functioning of collective bargaining process. These pre-requisites sustain

collective bargaining as a viable and vibrant process. They are:

  1. Freedomof Association:

Freedomof Association is imperative for collective bargaining. The denial of freedom of association will strike at the very roots of collective bargaining, resulting in its extinction.

Freedom of association can be engendered by the removal of legislative restrictions on the formation of combinations, leading to workers and employers forming associations of their own choice.

The I.L.O. adopted the convention No.87, concerning the freedom of association and protection of the right to organise and which obligates the member states to practice and uphold this principle within their countries.

The constitution of India in Article 19 (1) (c) assures to every citizen the freedom to form associations or unions of ones choice as a fundamental right and which is subject to reasonable restrictions. Further, the Trade Unions Act, 1926 also promotes the freedom of association by conferring certain rights, privileges and immunities upon the members of registered trade unions.


  1. Strong and Stable Trade Unions:

The successful operation of collective bargaining demands strong and stable trade unions functioning in a democratic and accountable manner. Therefore, the unorganized labour is a formidable impediment for the successful functioning of collective bargaining.

Many weaknesses afflicting Indian trade union movement in the form of inter and intra union rivalry, proliferation of unions, dominance of out-side leadership, lack of proper awareness among workers etc. are certainly acting as stumbling blocs for the successful operation and functioning of collective bargaining in our country.

  1. The management and the trade union must loom upon collective bargaining as a means of finding the best possible solution, and not as a means of acquiring as much as one can while conceding the minimum.
  1. There must be an honest attempt at solving problems rather than at a compromise. Both the parties to a dispute should command the respect to enforce the terms of the agreement that may be arrived at.
  2. There must be mutual confidence and good faith, and a desire to make collective bargaining effective in practice.
  3. There should be an honest, able and responsible leadership, for only this kind of leadership will make collective bargaining effective and meaningful.
  4. The two parties should meticulously observe and abide by all the national and state laws which are applicable to collective bargaining.
  5. Both the parties must bear in mind the fact that collective bargaining is, in a sense a form of price fixation and that any successful collective bargaining depends in the last analysis on whether the management and the trade union performa good job of ensuring that the price of labour is properly adjusted to other prices.

For the management:

  1. The Management must develop and consistently follow a realistic labour policy, which should be accepted and carried out by all its representatives.
  2. In order to ensure that the trade union feels that its position in the organization or factory is secure, the management must grant recognition to it without any reservations and accept it as a constructive force in the organizations and the industry.
  3. The management should not assume that employee goodwill always be there for it. It should periodically examine that rules and regulations by which its labour force is governed. In this way, it will be able to determine the attitudes of its employees, promote their comfort, and gain their goodwill and co-operation.
  4. Themanagement should act upon the assumption that in order to make the trade union a responsible and committed body, it is essential that it should be fairly and humanly treated. It should moreover, establish such a satisfactory relationship with the trade union assuming that the trade union will not lightly do anything that is capable of jeopardizing their relationship.
  5. The management should not wait for the trade union to bring employee grievances to its notice but should rather create the conditions in which the trade union will not do so and should settle the grievances of the employees even before the trade union brings them to the notice of the management.
  6. Themanagement should deal with only one trade union in the organization. If two trade unions seek  recognition no negotiations should be undertaken until one of them establishes the fact of having a majority of the membership of the employees in the organization.

Trade Union: It is a representative body of employees, chosen by the .employees themselves.

Leave a Reply