Collective Bargaining Process and Negotiation: Chaper-05

Collective Bargaining Process
and Negotiation
Chaper-05
Process of Collective Bargaining
• Investigation of the basis of demand and
preparation of suitable climate.
• Selecting a method for solution.
• Determining the parties and their
representatives.
• Conducting discussion and negotiation.
• Bargaining to bring about compromise.
• Concluding and agreement
• Enforcing the agreement.
Stages of the CB process
• Pre Negotiating Phase.
• Contract Negotiating Phase.
• Contract Administration Phase.
The Pre-Negotiation Phase
• Establishing Bargaining Relationship.
• Laying down a labor policy.
• Preparing for negotiations
The Concept of Negotiation
• A simple definition of negotiating is a process
through which parties move from their divergent
positions to a point where agreement may be
reached
• Negotiation has already been described as a process
involving diplomacy.
• Some claim that the negotiations forum is a ‘contested
terrain’, that the process is akin to an act of war, where
words, wit and logic take the place of lethal weapons
Phases of Negotiation
• 1. Preparing
• 2. Arguing
• 3. Signalling
• 4. Proposing
• 5. Packaging
• 6. Bargaining
• 7. Closing
• 8. Agreeing
1. PREPARATION
Preparation for any serious negotiations would be incomplete without a thorough

examination of factors external and internal to the work place which has a bearing on the
negotiations.
2. ARGUING
Negotiators are expected to argue effectively in support of their submissions.

Negotiations are not discussions, and they are not consultations. They are about
persuasive arguments that can win over a case. Negotiators are expected to argue
rationally, reasonably, and to use reliable information in support of a claim. Negotiators
use a blend of logic, emotional appeals, persuasion, humour, analogies and pleadings in
furtherance of their claims. Argument can become heated, and may even become
acrimonious and hostile. This is usually a clear sign of the need for a break or for
conciliation
3. SIGNALLING
Negotiating is interactive and dynamic. Active listening is a skill which has

to be developed. Also, negotiators have to be able to ask questions to elicit useful
responses. Negotiators send signals through words, some plain and easily apprehended,
others are more obtuse. Negotiators also send signals through body language. For those
who are adept at receiving signals, the process of moving negotiations onward becomes
less onerous. It is through signals that a negotiator begins to perceive:
• (a) proposals that will meet with little resistance;
• (b) those that can be accepted with some modification; and
• (c) those that have low chances of success in the current round of
• negotiations.
• 4. PROPOSING
Armed with the reading of signals, a negotiator will then know which
proposals can be prioritized with almost certain chances of success.
5. PACKAGING
The negotiator may then decide to package proposals, making concessions

and linking strong winners with others with less chances of success. A total
package proposal is placed on the table with an agreement of all elements
crucial for settlement.
6. BARGAINING
At this stage, it is likely that both sides will be proposing packages, each
with a core that signifies ‘the irreducible’ that is required by each for
settlement. At this stage, negotiators might be suggesting that their
proposals are the ‘last, last’ that they will be making. At this stage, each
negotiator is searching for an advantage, while helping the opponent to feel
a winner. It is often wise to break out of formal negotiations and engage in
creative scenario building on a menu of options that may provide a
settlement. Negotiators talk about taking “pens off the table”, instructing the
takers of minutes not be record the creative exercise in problem-solving. In
case the creative efforts fail, the negotiators can sreturn to formal
discussions at the level of their last formal submissions.
7. CLOSING
Expert negotiators develop a sense of when it is best to close

negotiations.
Closing too early or too late can lead to the loss of the strategic
moment when greatest success can be reached. In assessing the
best time to close, consideration must be given to issues such as
the mood of the workers and the prevailing economic climate. At the
end of the bargaining session, negotiators should be able to walk
back over the negotiations and summarize all of the positions. They
should note the agreements reached, issues that are withdrawn and
others that are deferred. Ambiguities should be cleared up and joint
language discussed.
8. AGREEING
The final stage in the formal negotiation process is reached when

the draft
agreement has been vetted, and has been produced in a formal
form by the negotiators.
Principles of Negotiation
• Be friendly in negotiation and introduce
everybody.
• Be willing to listen.
• Give everyone an opportunity to state his
position.
• Always keep in mind the right and fair
thing to do.
• Do no guide the discussion along a
straight line
Principles of Negotiation cont…
• Search only for real and correct solution.
• Define each issue clearly and discuss with
facts.
• Avoid being short and precise.
• Due consideration to the length of the
session.
• Parties should respect the rights of public.
Guidelines for Negotiations
• Do’s and Don’ts of the process

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Collective Bargaining Process

Preparation for any serious negotiations would be incomplete without a thorough

Negotiators are expected to argue effectively in support of their submissions.

Negotiating is interactive and dynamic. Active listening is a skill which has

The negotiator may then decide to package proposals, making concessions

Expert negotiators develop a sense of when it is best to close

The final stage in the formal negotiation process is reached when

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