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    Copyright 2011 Pearson Education, Inc.publishing as Prentice Hall

    PowerPoint Presentation by Charlie CookThe University of West Alabama

    Chapter 15

    Labor Relations andCollective Bargaining

    Part Five | Employee Relations

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    WHERE WE ARE NOW

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    The Collective Bargaining Process What Is Collective Bargaining?

    Both management and labor are required by lawto negotiate wages, hours, and terms andconditions of employment in good faith.

    What Is Good Faith Bargaining?Both parties communicate and negotiate.

    They match proposals with counterproposalsin a reasonable effort to arrive at an agreement.

    Neither party can compel the other to agree to

    a proposal or to make any specific concessions.

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    Violations of Good Faith Bargaining 1. Surface bargaining

    2. Inadequate concessions

    3. Inadequate proposals and demands

    4. Delaying tactics

    5. Imposing conditions6. Making unilateral changes in conditions

    7. Bypassing the representative

    8. Committing unfair labor practices during negotiations

    9. Withholding information

    10. Ignoring bargaining items

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    Preparing for Negotiations Sources of Negotiating Information

    Local and industry pay and benefits comparisons

    Distribution of demographics of the workforce

    Benefit costs, overall earnings levels, and the amount andcost of overtime

    Cost of the current labor contract and the increased cost total,per employee, and per hour of the unions demands

    Grievances and feedback from supervisors

    Attitude surveys of employees

    Informal conferences with local union leaders

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    Bargaining Stages1. Presentation of initial demands

    Both parties are usually quite far apart on some issues.

    2. Reduction of demandsEach side trades off some of its demands to gain others.

    3. Subcommittee studiesThe parties form joint subcommittees to try to work outreasonable alternatives.

    4. An informal settlementEach group goes back to its sponsor.

    Union members vote to ratify the agreement.5. Signing the formal agreement

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    Bargaining Hints1. Be sure to set clear objectives for every bargaining

    item, and be sure you understand the reason for each.2. Do not hurry.

    3. Be well prepared with data supporting your position.

    4. Strive to keep some flexibility in your position.5. Dont concern yourself just with what the other party

    says and does; find out why.

    6. Respect importance of face saving for the other party.

    7. Be alert to the real intentions of the other party notonly for goals, but also for priorities.

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    Bargaining Hints (contd) 9. Be a good listener.

    10. Build a reputation for being fair but firm.

    11. Learn to control your emotions and use themas a tool.

    12. As you make each bargaining move, be sure youknow its relationship to all other moves.

    13. Measure each move against your objectives.

    14. Remember that collective bargaining is a compromiseprocess. There is no such thing as having all the pie.

    15. Try to understand the people and their personalities.

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    Resolution of an Impasse

    Mediation Arbitration

    Third Party Involvement

    Fact finding

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    Third-Party Involvement Mediation

    A neutral third party (mediator) tries to assistthe principals in reaching an agreement byholding meetings with each party to findcommon ground for further bargaining.

    The mediator is a go-between and has noauthority to dictate terms or make concessions.

    The mediator communicates assessmentsof the likelihood of a strike, the possiblesettlement packages available, and the like.

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    Third- Party Involvement (contd) Fact Finder

    A neutral party who studies the issues in adispute and makes a public recommendationfor a reasonable settlement.

    Arbitration

    An arbitrator often has the power to determineand dictate the settlement terms.Binding arbitration can guarantee a solutionto an impasse.

    Interest arbitration for labor agreements

    Rights arbitration defines the terms ofexisting contracts

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    Resolving an Impasse: Union Strikes

    Economic strike

    Unfair labor practice strike

    Wildcat strike

    Sympathy strike

    Types of Strikes

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    Pressure Tactic Alternatives Unions

    PicketingCorporate campaignBoycottInside games

    Injunctions Employers

    Replacement workersLockoutsInjunctions

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    Grievances Grievance

    Any factor involving wages,hours, or conditions ofemployment that is usedas a complaint against theemployer

    Sources of Grievances

    DisciplineSeniority

    Job evaluations

    Work assignments

    Overtime

    Vacations

    Incentive plans

    Holiday pay

    Problem employees

    AbsenteeismInsubordination

    Plant rules

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    Grievance Procedure Grievant and shop steward meet with supervisor.

    If not resolved, employee files formal grievance

    Grievant and shop steward meet with supervisors boss.

    If grievance is not resolved, meeting with higher-level managers.

    If not resolved, matter goes to arbitration.

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    Handling Grievances: Do1. Investigate and handle each case as though it may eventually

    result in arbitration.2. Talk with the employee about his or her grievance; give the

    person a full hearing.3. Require the union to identify specific contractual provisions

    allegedly violated.

    4. Comply with the contractual time limits for handling the grievance.5. Visit the work area of the grievance.6. Determine whether there were any witnesses.7. Examine the grievants personnel record.

    8. Fully examine prior grievance records.9. Treat the union representative as your equal.10. Hold your grievance discussions privately.11. Fully inform your own supervisor of grievance matters.

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