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Matakuliah
Tahun
: J0124 – Manajemen Sumber Daya Manusia
: 2010
Collective Bargaining
23
Learning Outcomes
After studying this chapter, the students should be
able to :
•Explain the reasons why employees join the union
•Define collective bargaining
Bina Nusantara University
3
Why Employees Join Union ?
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•
•
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Dissatisfaction with management
Social outlet
Opportunity for leadership
Peer pressure
Forced unionization
4
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Impact of Unionization on Managers
• Control of Labor Costs
 Wages and benefits are higher in union
organizations compared to similar nonunion
organizations.
• Challenges to Management Prerogatives
 Unions can have a significant effect on management
decisions about employees.
• Loss of Supervisory Authority
 Unionization restricts the freedom of management
to formulate HR policy unilaterally and can
challenge the authority of supervisors.
© 2010 South-Western, a part of Cengage Learning. All rights reserved
Collective Bargaining
Collective bargaining is the performance of the mutual
obligation of the employer and the representative of the
employees to meet at reasonable time and confer in
good faith
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6
The Collective Bargaining Process
© 2010 South-Western, a part of Cengage Learning. All rights reserved
Bargaining Issues
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•
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Recognition
Management rights
Compensation
Employee security
Job-related factors
8
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5
Items in a Labor Agreement
© 2010 South-Western, a part of Cengage Learning. All rights reserved
Management and Union Power in Collective
Bargaining
• Bargaining Power
 The power of labor and management to achieve
their goals through economic, social, or political
influence.
• Union Bargaining Power
 Strikes, pickets, and boycotts
• Management Bargaining Power
 Hiring permanent replacement workers
 Continuing operations staffed by management
 Locking out employees
© 2010 South-Western, a part of Cengage Learning. All rights reserved
Union Power in Collective Bargaining
Boycott
Our
Employer
This Union
On Strike
Striking
Boycotting
© 2010 South-Western, a part of Cengage Learning. All rights reserved
Picketing
Employer Power in Collective Bargaining
Management methods for applying
economic pressure during bargaining:
Outsourcing normal work
Locking out workers
Hiring replacement workers
Demanding concessions
© 2010 South-Western, a part of Cengage Learning. All rights reserved
Contemporary Challenges
to Labor Organizations
Issues confronting unions
Foreign competition and
technological change
The long-term decrease in
union membership
Employers’ focus on
maintaining nonunion status
© 2010 South-Western, a part of Cengage Learning. All rights reserved