How Issues are Addressed Under Collective Bargaining Agreement (CBAs)

The CBA has provisions to deal with specific issues as they arise.  These can be dealt with under any of the following:

  • Substantive agreements
  • Procedural agreements
  • Distributive bargaining
  • Integrative and productivity deals

a) Substantive Agreements

These lay down the terms and conditions of employment to be reflected in each worker’s contract of employment.

They include pay rates, working hours, holidays, pension’s schemes, sick leave and retirement age.

b) Procedural Agreements

Procedural agreements lay down procedures which are to be followed in specific situations.

They cover the way in which any dispute can be regulated, the timing and the approach is making substantive agreements.

The purpose is to provide a laid down procedures so that any additional conflict arising out of uncertainty can be avoided.

c) Distributive Bargaining

This is based on the assumption that one party’s gain is the other’s loss.

Usually, each party to any bargain tries to minimize its losses and maximize its gains. Whatever the workers (union) win through collective bargaining, in a way of additional pay or better working conditions the employer must pay for it. But this approach can tend to result to a conflict between the two parties.

d) Integrative Bargaining and Productivity deals

Integrative bargaining and productivity deals arise when both parties negotiate without a loss to one another. This happens when the workers agree to make changes in practices, which will lead to more economical operations and in return the employer agrees to increase pay and improve others agreed upon terms.

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