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What is collective bargaining?

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Collective Bargaining [2 Marks]

Definition (Edwin Flippo / ILO):
Collective Bargaining is the process of negotiation between employer/management and workers' representatives (Trade Union) for determining terms and conditions of employment and regulating employer-employee relations.

Features:

  • Collective: Group action, not individual - union represents workers.
  • Bargaining: Give-and-take - proposals, discussions, compromise to reach collective agreement.
  • Covers: Wages, hours, leave, bonus, job security, promotion, health & safety.
  • Legal Basis in India: Industrial Disputes Act 1947, Trade Unions Act 1926.

Types: Distributive (economic issues), Integrative (productivity), Composite (both).

Importance: Maintains industrial harmony, ensures participative decision-making, prevents strikes/lockouts.

Example: Annual wage negotiation between Maruti management and workers' union.

Word Count: ~115 words.

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