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Module 3: Performance Management and Industrial Relations

20252m

Collective bargaining is a process between:

  • (i) Workers and Customers
  • (ii) Trade Unions and Management
  • (iii) Government and Management
  • (iv) Employers and Shareholders
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Correct Answer: (ii) Trade Unions and Management

Explanation (2 Marks):

  • Collective Bargaining = process of joint negotiation between representatives of Trade Union(s) (workers) and Management (employers) to settle terms & conditions of employment - wages, hours, benefits, working conditions, disputes - and reach a collective agreement.
  • ILO definition: Negotiation between employer/employers' organisation and workers' organisation.

Why others wrong:

  • (i) Workers & Customers - no employment relation
  • (iii) Government & Management - tripartite is conciliation, not bilateral collective bargaining
  • (iv) Employers & Shareholders - corporate governance issue

Parties = Trade Unions (Labour) ↔ Management (Employer) → often assisted by conciliation officer but core is bipartite.

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