IMPACT OF COLLECTIVE BARGAINING ON INDUSTRIAL DISPUTE IN AN ORGANIZATION (A CASE STUDY OF CHAMPION BREWERIES UYO)
2.1 Literature Review
This chapter will endeavour to review relevant literature on collective bargaining and also incorporate a theoretical frame work as it relates to collective bargaining on industrial dispute in an organization, using the champion breweries as a case-study.
Collective bargaining arises as the people within an organization begin to be conscious of their importance to the organization and agitate for improvement in their incentive which may latter lead to industrial dispute. Builders (1981) opined that collective bargaining is a process of negotiations between employers and a group of employees aimed at reaching agreements to regulate working conditions. The interests of employees are commonly presented by representatives of a trade union to which the employees belong (Nyland, 1981). The collective agreements wage scales, working hours, training, health and safety, overtime, grievance mechanisms and rights to participate in workplace or company affairs.
The union may negotiate with a single employer (who is typically representing a company’s share holders) or may negotiate with a group of business, depending on the country, to reach an industry wide agreement. A collective agreement functions as a labour contract between an employer and one or more unions. Collective bargain consists of the process of negotiation between representatives of a union and employers (generally represented by management, in some countries such as Austria, Sweden, and the Netherlands by an employers organization) in respect of the terms and conditions of employment of employees, such as wages, hours of work, working conditions grievance procedures, and about the rights and responsibilities of trade unions. The parties often refer to the result of the negotiation as Collective Bargaining Agreement (CBA) or as a Collective Employment Agreement (CEA).
Herman (1985) advanced that collective bargaining is a process in which working people, through their unions, negotiate contracts with employers to determine their term of employment, including pay health care, pension and other benefits, hours, leave, job health and safety policies, ways to balance work and family and more. Employees jointly decide their priorities for bargaining. Union employees choose who will speak for them in bargaining sessions with the employer and vote to accept or reject the contract reached by the employer and employee bargaining committees. A ratified contract legally binds both sides-management and workers-to the contract terms. In the United States, some three-quarters of private sector workers and two-thirds of public employees have the right to collective bargaining. This right came to U.S workers through a series of laws. The Railway Labour Act granted collective bargain to railway workers in 1926 and now covers many transportation workers, such as those in air lines. In 1935, the National Labour Relations Act (NLRA) clarified the bargaining rights of most other private sector workers and established collective bargaining as the “policy of the United States”. The right to collective bargaining also is recognize by the international human rights conventions. The freedom to form and join a union is core to the United Nations Universal Declaration on human rights and is an enabling right – a fundamental right that ensures the ability to protect other rights. Every year, some 30, 000 collective bargaining agreements are negotiated. Today about 8 million private sector workers and some 8 and a half million public-sector workers are covered by collective bargaining agreements (Huber and Jay 1987).
Joshoyin (2007) define collective bargaining as a machinery for discussion and negotiation whether formal or informal, between employer(s) and workers, representatives, aimed at reading mutual agreement or understanding on the employer and the workers. According to Gueck (1982) collective bargaining implies the right, not only to disagree but to express such disappointment. Collective bargaining which refers to the joint negotiation of term of employment of their representative which the life blood of trade union that constitutes joint consultation that call the forum discussing issues of mutual interest between workers and the employers. To establish the principle of collective bargaining as the basis of relationship between the employer require a strong and well-organized trade union movement which involves the various levels of organization, industries and national level (include the Nigeria Labour Congress). In accordance with the Article 2 of international labour organization (ILO) convention No. 154, the principle of collective bargaining is the process of determining working conditions or terms of employment regulating relation between employer and workers, regulating between employers or the organization and worker organizations. The federal ministry of employment, labor and productivity see the concept of bargaining as a negotiation about working conditions and terms of employment between an employer and one or more representative of workers organization with a view to reaching agreement, collective bargaining on the other hand is a machinery for discussion and negotiation whether formal or internal between employers and workers(s) and workers representatives aimed at reaching mutual agreement or understanding on the general employment relationship between the employer(s) and workers. The conclusion and on agreement is necessary determinant of collective bargaining thus, the labour act of 1974 defines it as the process of arriving at or attempting to arrive at, a collective agreement (Joshoyin 2007).