A collective bargain is a process of negotiation between the employers and the employees aimed at agreements to regulate working salaries, working conditions, benefits, and other aspects of workers’ compensation and rights for workers.
It is a collective process, it is continuous, flexible and mobile, bipartite process, dynamic, industrial democracy, complementary process, and discipline in the industry.
Pros of Collective Bargains
- It encourages higher economic growth
When there are collective bargains in a workplace, distribution of income balances itself and this will make it possible for the employees to benefit from the income hence improving the economic status of their lives which will, in turn, improve the economy of the area.
- Allows each worker to have a say in the workplace
Collective bargain allows each worker to say what he or she feels in the workplace and this makes it possible for the workers not to work with pressure.
- It improves the quality of workers’ lives
The workers are able to improve the quality of their lives as they will be able to earn what is equal to the work they do and they will be able to meet their daily needs hence improving the quality of their lives.
- They offer consistent workplace
Both the employer and the employee will be able to terminate their work at their discretion. Though this is discouraged at the workplace as the employer may find it difficult to replace the worker who has terminated his contract.
- It encourages cooperation
There will be cooperation in the workplace as the employees will work towards the achievement of the same goals without necessarily fighting others.
- It encourages relationships
There will be a good relationship between the employer and the employees and this may make the employees work as if they own the company hence easy to bring results.
- Represents each employee in a workplace
As the employees have a say at the workplace then the bargain represents the views of all the employees which they will feel free to work in the environment.
- There is no requirement for collective bargains
The employees are not required to pay anything or possess a certain document for them to be members of collective bargains hence it is easy to form a collective bargain.
- It does not allow abusive employees
This makes the abusive employees not use their abuses to discriminate against others as they will be powerless hence equal chances for all employees to work freely in the workplace.
Cons of Collective Bargains
- It may be biased
The employees may be given a lot of power and this may make it possible for the employees to give wrong information about the employer which may affect the employer’s business hence many people do not allow the bargains.
- It allows employees to hold strikes
There is a risk of employees holding strikes in case the employer has not complied with their needs as they have to say on their working conditions and salaries.
- Relationship between members can be affected
It is easy for the relationship between members to be affected some employees will want to be the ones giving instructions to others and yet they may not want to be ruled.
- Financial burden
The employees may demand to be paid more than the business is bringing hence it can be a financial burden to the employer which may eventually affect the running of the business.
- It benefits workers who belong to unions
Collective bargains only benefit the workers who belong to a union as they may violate laws but still the unions protect them hence if they do not belong to a union then there is a possibility of losing a job and other benefits.
- No guarantee what is asked for will be done
In collective bargains, there is no guarantee that whatever the workers ask for may be given hence the employer may decide to listen but not to effect the change.
- It is used as a political tool
As there is democracy in political bargains, some workers may use it as a political tool to bring down the employer hence many employers do not accept such in their businesses.
- The sacrifice of personal needs
As individuals come together, they agree on what should be done to them and this may make other employees sacrifice their personal needs in order to support the others.
- No fair representation of workers
In collective bargains, there will be leaders that will be elected by the workers so that they may be representing them. The leaders may decide to favor themselves hence not representing the workers fairly.
- It requires workers to perform duties outside regular working time
This makes it difficult for the workers to meet and talk about the issues affecting them at the workplace hence they may not really fight for their rights at the workplace.
Collective bargains look into terms that will favor both the employer and the employees by improving the salaries and working conditions of the employees which will finally enhance high productivity in the business.