Collective Bargaining - An Overview

Abstract

Among many troublesome problems of the modern world, relation between the employers and workers occupies a prominent place. Harmonious industrial relation is a precondition for rapid industrialization of the country. Such relations are responsible for promotion of industrial peace and contribute to the industrial stability. The industrial problems and conflicts arise due to divergence of interests between labour and management. Collective bargaining is a process which involves joint decision making in the matters of admitted divergent interests. It is a method of avoiding conflicts, fractions and industrial disputes and there by establishing everlasting industrial peace for the smooth functioning of an organization. Collective bargaining is the most important way of life of labour management relation which extends the democratic principles from the political area to the industrial world. Collective bargaining introduces a positive approach to industrial relations in resolving conflicts by extending constructive co-operation.