You are on page 1of 32

Executive Summary:

One of the most crucial factors which enhance the sustainability of an organisation is its human
resources. Employee productivity affects the overall performance of an organisation. In order to
enhance the job security, employees form unions who collective negotiate issues such as wages
and working conditions with the employers. This report is about the impact of collective
bargaining on the strength of management authority. The content in this report cover various
topics such as the types of bargaining issues and benefits and pitfalls of collective bargaining.
Thorough literature review has been done in order to reach a firm justification of position. The
literatures covered in this report are perceptions of various authors about the role of trade unions,
the role of the management and the two faces of unionism mentioned by Freeman and Medoff
(1984). This report ends with a strong justification of position and a conclusion. This report also
includes various organisational examples in order to provide a transparent view towards the
topic.

Table of Contents:
Page
1.0 Introduction
1.1 Collective Bargaining
1.2 Collective Bargaining Issues
1.3 Types of Collective Bargaining
1.4 Benefits of Collective Bargaining
1.5 Pitfalls of Collective Bargaining
2.0 Literature Review
2.1 Role of trade unions
2.2 Trade unions and the role of management
2.3 The two faces of Unionism

1
1
2
3
4
5
7
7
8
9

3.0 Collective Bargaining and Organisational Strategy

10

4.0
5.0
6.0
7.0
8.0
9.0

Collective Bargaining and the strength of management (Justification of Position)


Conclusion
Recommendation
List of References
Bibliography
Appendices

11
12
12
13
17
22 - 29

List of Figures:
Fig.1 Centralised Collective Bargaining

Fig.2 Decentralised Collective Bargaining

Fig.3 Communication between workers and management

List of Tables:
Table.1 Types of Strikes

1.0 Introduction:
One of the key drivers behind the success or failure of any organisation is the performance of
their human resources (Mondy and Mondy, 2009). In order to enhance the extent of comfort and
security in an organisation, employees form a trade union, which Vall (2010) defines as an

organisation consisting mainly of employees who joined together to achieve a common goal and
promote their interest by collective actions. After forming the trade union the employees
negotiate with their employers about their working conditions and this process is known as
collective bargaining (described in 1.1). This helps both the employees and employers to come to
common terms and avoid disputes. This assignment provides a transparent view towards the
effects of trade unions and collective bargaining on organisations using various examples
(denoted by Ex).
1.1 Collective Bargaining: Collective bargaining is defined by Pyners (2008) as a process in
which representatives of the employers and representatives of the trade union negotiate the rights
of the employees and conditions under which the labor should be employed. Sims (2007) further
adds that employees unite together to form a union and select a representative who negotiate
with a representative from the employers and discuss about rules, wages, hours, benefits and
working conditions of the workplace. They bring forward their demands and the employers
negotiate until both parties come to common terms (Sharma, 2009). The terms on which both
parties agreed is put on a contract and signed. This contract is called the collective bargaining
agreement (CBA) which is also known as collective consent. It is legally binding and applies to
all workers of the organisation, regardless of their participation in the bargaining process (Wood,
2009). According to An and Isaacs (2010) the Shenzen subsidiary of Foxconn, the electronics
manufacturing giant entered into collective its first collective bargaining agreement on the 26 th of
December 2009, which ensured that all employees would receive a 3% wage raise if they meet
certain performance requirement (Ex-1).

1.2 Collective Bargaining Issues:


According to Dessler and Varkkey (2009) various issues can be addressed during the negotiations
between the employers and the representatives of the trade unions. The labor law has categorized
all these issues into three types, which are mandatory, permissible and illegal. DelPo and Guerin

(2009) suggest that the mandatory issues are the ones which are legal are subject to bargaining if
either party demands it. These issues have to be negotiated as it is legally binding. These issues
are mostly related to wages and benefits. In Shanahan v Unite the union [2009] an employer was
found guilty of violating the CBA due to the fact that he did not consult the union before making
some employees redundant as the issue was considered to be a mandatory issue
(EmployeeCasesUpdate, 2010) (Ex -2). Permissible issues are the ones which are not mandatory
or illegal and the bargaining of these issues are voluntary and there are no obligations. Neither
party can coerce the other to negotiate over these issues. An example of this issue may be the
product prices for employees (Shilling, 2009). In Todd v Strain and Others [2009] an employer
alleged of not following the terms of the CBA because he did not carry out the employee
representative election was found innocent as the issue was a permissible issues
(EmployeeCasesUpdate, 2010) (Ex -3). The illegal issues are the ones which are not legal and
would require either to party to commit an illegal activity, such as giving more priority to union
members during recruitment. These issues are not subject to bargain and either party can easily
refuse (Jackson, Schuler and Werner, 2008). In Brownbill and others v St Helens and Knowsley
Hospital NHS Trust [2010] an employee was alleged paying the females employees lesser than
the male employees (EmployeeCasesUpdate, 2010) (Ex -4). Further in Hammonds LLP and
others v Mwitta [2010] the employer was alleged of providing less work to employees based on
racial grounds (EmployeeCasesUpdate, 2010) (Ex -5). All the other issues which are classified
under mandatory, permissible and illegal are listed in Appendix A.

1.3 Types of Collective Bargaining:

Fig.1 Centralised Collective Bargaining


Centralised Collective Bargaining: According to Caisley (2007) centralised collective
bargaining usually occurs when employers from a sector collaborate together and bargain with
one or more unions who represent the employees of those employers. However, it can also occur
between a group of companies or at the national or regional level of a company. Phelan (2009)
suggests that Sweden has centralised collective bargaining, due to the national SAF-LO
agreement negotiated between the Swedish employers confederation (SAF) and the Swedish
trade union confederation (LO) which stated wages and working conditions of employees (Ex6). The cost and benefits of centralised collective bargaining are mentioned in Appendix B.

Fig.2) Decentralised Collective Bargaining


Decentralised Collective Bargaining: Berg, Ernst and Auer (2006) suggests that decentralised
collective bargaining occurs when the collective bargaining shifts from centralised collective
bargaining to plant or local level collective bargaining which Beadwell, Holden and Claydon
(2004) defines as the collective bargaining for a specific site within the corporate structure
affecting only the employees of that site. Australia has decentralised collective bargaining in the
automobile industry due the variation in wages and terms of employment in different companies
(Blanpain, 2010) (Ex-7). The externalities related to decentralised wage settings are mentioned
in Appendix C. The significance of different level of collective bargaining across the world is
mentioned in Appendix D.
1.4 Benefits of Collective Bargaining:

Better Productivity:

Dessler and Varkkey (2009) suggest that during the course of the

collective bargaining process employees bring up all the aspects which they consider as
detrimental to their jobs. All their wants are brought forward to the employers who negotiate and
come to a mutual agreement. This helps the employees by ensuring them stability and certainty
which increases the level of their job satisfaction (Khan and Soverall, 20007). Once the
employees are ensured with job security, they try to sustain their existence in that organisation
and hence they focus on being more productive (Howell, 2007). Tesco, the worlds fourth-largest
retailer in the world, provides their employees with a living wage, job security and freedom of
association and they continue to sustain their position due to the productivity of their employees
(BBC NEWS, 2006) (Ex -8).
Improved Morale and Employee Participation: Employee morale is defined by Bowles and
Cooper (2009) as the overall perception, attitude, confidence and satisfaction of an employee
towards his/her job. Employees have a positive morale when they are happy about the working
conditions and vice versa. According to Finbow (2006) in order to improve employee morale, the
employers provide the employees with the utmost benefits and respect. However, collective
bargaining helps an employee to achieve all the benefits and rights that they deserve and hence
they have a sense of security about their jobs, which in turn, allows them to have positive
employee morale. Dessler and Varkkey (2009) further adds that employees participate in the
collective bargaining process which gives them a collective voice which is very effective as
employers are obliged to hear and solve any problems brought up by the union, if they are legal.
The Transport Security Administration had very low employee morale due to the fact that the
workforce faced unfavorable working conditions for a very long time (FederalDaily, 2010) (Ex
-9).

Better control for managers due to employee involvement: Bohlander and Snell (2009)
suggest that all labor contracts include management rights which mention that the employers

have the rights to manage, direct and control its business. Hence the employers retain the control
and management of the business. The typical items mentioned in a labor contract are mentioned
in Appendix G. lAccording to Condrey (2010) the involvement of the employees during the
collective bargaining process increases their motivation due to participation. This helps the
employers to have a better relationship with the employees as they can understand the employees
better and they can also consult with the representative of the union and also discuss their
problems as well (Rose, 2008). The managers also have a better grip at management due to the
fact that the union leader has the responsibility of smooth running of operations, after the
demand of the union is fulfilled. The management can also take help from the union leader in
order to control unrest in the working environment due to the fact that the union leader has been
selected by the employees and hence the leader has a certain degree of control on the other union
members as well (Mathis and Jackson, 2007). The management of PSA Peugeot Citroen the
worlds second largest car maker includes a training facility in the collective bargaining
agreement to enhance the skills of the workers (Eurofound, 2010) (Ex -10). The management of
Barclays PLC, a British multinational financial services firm, informs and consults with the
union before any operational changes; this helps the workers to be prepared for change ahead of
time (Barclays, 2010) (Ex -11).
1.5 Pitfalls of collective bargaining:
Narlikar (2010) suggest that bargaining deadlocks occur when the negotiations between the
employers and employees remain still due to the lack of compromise by either party. The
bargaining should always be done in good faith, which Dessler and Varkkey (2009) refer as the
intention of both parties to negotiate and come to common terms. However when a deadlock is
not resolved it creates a dispute between the employer and the employees which leads to
lockouts or strikes (Mathis and Jackson, 2007). Lockouts occur when the management shuts
down the operations of the company which prevents union members to work. This mainly occurs
when the employer is not satisfied by the activities of the trade union and protests against it
(Blanpain, 2010). According to Lamont (2009) Graziano Transmission India carried out a
lockout after the CEO of the company was murdered by some workers (Ex -12). Strikes occur
when the union members refuse to work in order to protest against any sort of activity which
they consider as injustice. The union members picket or hold placards and signs, which indicate

their problems, outside the location of the business. This is usually done to put pressure on the
employer to agree to the terms of the union members (Daniel and Mcllroy, 2009).
Name of Strike
Economic Strike

Reason
When parties fail to come to a collective

Unfair Labor Practice Strike

bargaining agreement
When the union member s feels that the
employers actions are illegal and they refuse to

Jurisdictional Strike

work
When one unions members walk out to force
the employer to assign work to them instead of

Wildcat Strike

to another union
When the employees violate the no-strike
clause in the CBA and the strike is held without

Sympathy Strike

the approval of the trade union


When one union expresses support for another

union which is in a dispute


Table.1) Types of Strikes (Source: Mathis and Jackson, 2007)
There are five types of strikes which are represented in table.1. Rainsford (2010) states that many
Spanish air traffic controllers demonstrated a wildcat strike due to the fact that they had to work
longer hours than their other European counterparts (Ex -13). Lockouts and strikes both hamper
the company, because sometimes these prolong for days or even weeks, for which the company
fails to operate and incur losses during the period of strikes or lockouts, due to lack of production
(Caisley, 2007). According to Mathis and Jackson (2007) due to a 17 day strike at General
Motors, a multinational automaker, the company incurred losses around $ 1 billion (Ex -14). The
workers on the other hand, stop working but have the fear that the company might go bankrupt
during the strikes due to lack of production and they might lose their jobs permanently as well.
Hence the workers sometimes agree to the employers demands after a while as well.
2.0 Literature Review
2.1 Role of trade unions

According to Howell (2007) trade unions play a vital role in harnessing a smooth and healthy
relationship between the employees and the employer. The trade unions assist in effective
communication between the management and the workers. They make sure that the differences
in perceptions do not turn into disputes and hence a peaceful relationship prevails between the
workers and the employers. The process of unionization is shown in Appendix F. Shelley and
Calveley (2007) further suggest that they also motivate discipline among the workers, settle
disputes rationally and help workers adjust in difficult circumstances. A dispute between the
American consumer products company Proctor and Gamble, and few workers in Peru regarding
some fundamental working rights was settled by the trade union through arbitration (Icem, 2008)
(Ex -15). The main function of the trade union is to represent the employees at work. However
they play other roles as well which are:
Negotiating collective agreements: Phelan (2009) suggest that the trade unions have the
responsibility of negotiating the wages, rules, working conditions and timing of their jobs, with
their employers. This is one of the main objective for which trade unions were formed. All the
employees gather into a single backbone known as the trade union and collectively negotiate the
terms and conditions under which they believe they should work in. The Employee
representative of the union of Nokia, a multinational In Malta, HSBC, a global financial services
company, introduced the first performance based pay remuneration system after negotiating with
the unions (Eurofound.com) (Ex -16).
Representing workers at disciplinary and grievance hearing: According to Zhu (2008) one of
the rights of the employees are that they can be accompanied by a co-worker or a union official
at a disciplinary or grievance hearing. The workers prefer to choose the union representative who
is also a co-worker. This gives the workers a form of support during the disciplinary or grievance
hearings. In Reddy v Bedford and Luton Partnersip NHS Trust [2010] the employees represented
a collective grievance through the trade union representative (EmployeeCasesUpdate, 2010) (Ex
-17). The steps of the grievance procedure are shown in Appendix H.

2.2 Trade unions and the role of management:

Fig.3

Communication

between

workers

and

management

IMAGE

URL:

http://www.emeraldinsight.com/content_images/fig/0190280104001.png]
According to Singh (2008) the management has the duty to inform and consult with the trade
union about collective redundancies, transfer of business ownership, training, new pension
schemes, implementation of new technology or health and safety. The organisation might
implement new technology, such as robotics, which reduces labor force. Pichrt and Stefko (2010)
the union leader would consult with the management about the outcome of any change and
would also recommend the way through which the situation may be handled. The management
may also implement retirement benefits, work incentives or policies which would be
communicated to the workers through the trade union (Kester and Britwum, 2007). In Austria,
the management of G4S, a global security service provider, included a basic training in the
collective bargaining agreement after negotiating with the union (Link, 2008) (Ex -18).
2.3 The two faces of Unionism:

Bennett and Kaufman (2007) suggest that the theory, principles and the systems of forming a
labor union is known as unionism. The formation of a union and the principles or theories
applied behind the formation and the sentiments of attachments to the union may also be a form
of unionism. There are two faces of unionism according to the theory of Freeman and Medoff
(1984) are the monopoly face and the collective voice/institutional response face. The monopoly
face is the monopoly power of the unions, which refers to the fact that due to the dependence of
the employers on the workers, the workers have the ability to put pressure on the employer and
raise wages above competitive levels, by refusing to work if the suggested wages arent provided
to them (Bridegam, 2009). The monopoly face of unions can be seen amongst the workers of
General Motors (GM), who bargained a rule which allowed some workers to leave with a fulldays pay after half days work (Mathis and Jackson, 2007) (Ex -19). According to a survey by
Amicus (BBC NEWS, 2010) the monopoly face of unionism can be seen in the aerospace,
shipbuilding and motor vehicle industry in the UK (Ex -20). The collective voice/institutional
response face unionism refers to the process in which the union consults with the employer about
their problems and demands and do not threaten the employer but tries to come to an agreement
where both parties are satisfied (Fine, 2006). The employee representative, of the union of
Nokia, a multinational communications corporation, meets the management twice a year to
negotiate issues which affect the employees (Nokia, 2010) (Ex -21). In contrast to the
monopolistic face which reflects the judgmental face of unionism the collective
voice/institutional response face of unionism focuses more on solving the problem rather than
running away from it (Mallin, 2009). In contemporary business both the faces of unionism is
perceived by management as something positive as both can be taken care of through collective
bargaining in good faith. Further details are mentioned in Appendix E.

3.0 Collective Bargaining and Organisational Strategy:

There are various strategies mentioned by various authors but the generic competitive strategies
mentioned by Strickland and Thompson (2003) is the low cost provider, differentiation and focus
on a niche strategy. According to Torrington, Hall and Taylor (2008) the collective bargaining
process has a huge impact on the strategies followed by an organisation. The organisations which
follow the low cost strategy will always try to keep the wages low. Monsoon Accerorize, a UK
based design-led retailer, pays negotiates low wages with their trade union in the third world
countries (Chamberlain, 2010) (Ex -22). Ayling (2008) further adds that Gap, Inc, an American
clothing and accessories retailer also pays low wages to their employees (Ex -23).

The

differentiation strategy followers will always try to implement new technologies and processes in
order to differentiate their products or services for which the new technologies will lead towards
redundancies if the technologies are labor saving technologies. Caterpillar Inc., the largest
manufacturer of mining and construction equipment of the world follows a differentiation
strategy and hence employs robotics for which it made the jobs of 20,000 employees redundant
(McIntyre, 2009) (Ex -24). Volkswagen, a German car manufacturer also cut down 800
employees in their plant in Mexico after the implementation of robotics and due to a fall in sales
(BBC NEWS, 2010) (Ex -25). Watson (2006) suggests that due to these factors the employees
working for the organisation that follows low cost strategies will always ask for higher wages
and the employees of organisations which follow differentiation strategies will always look for
better redundancy schemes. When Unilever, a British-Dutch multinational corporation,
announced the closure of three factories the labor union demanded a redundancy package and
responsibility of the corporation to find them new jobs (M&C, 2007) (Ex -26). The organisations
will have to establish low wages in order to follow the low cost provider strategy and they are
unable to do so they would have to change their strategy (Antoni and Baeten, 2007). According
to BBC NEWS (2010) Nike,Inc the worlds largest sportswear and accessories supplier pay very
low wages in their plant in Vietnam, and the employees bargained that they wanted 20% raise in
pay (Ex -27). The organisations which try to stay firm on their strategies they follow
Employment-At-Will (EAW) which is a common doctrine that states that employers have the
right to hire, fire, promote or demote any employee that they choose, unless there is a law or
contract to the contrary (DelPo and Guerin, 2009). A sample employment at will statement is
shown in Appendix I.

4.0 Collective Bargaining and the strength of management authority (Justification of


Position):
After review of the literature mentioned above it can be seen that the management authority is
strengthened by the process of collective bargaining. Many authors have argued that collective
bargaining makes the employer vulnerable to the employees, but the clause in all labor contracts
which mentions that the employer has the control of the business makes the employees
vulnerable to the employers (Mathis and Jackson, 2007). Strikes are what the employers fear as it
incurs losses which might make the company go bankrupt, however the way the strike is handled
by the management makes it stronger. Caterpillar, Inc. hired replacement workers during a
wildcat strike by the United Auto Workers (UAW) and no losses were incurred to the company
(Mathis and Jackson, 2007) (Ex -28). The collective bargaining process strengthens the
management authority because once the CBA has been established the employers and employee
both have to follow it and hence the relationship between the management and the workers
become healthy due to the fact that they both have agreed to each others terms (Mondy and
Mondy, 2009). Bharti Airtel, an Indian telecommunication company negotiates its performance
management system with the union during the collective bargaining process which helps the
management to enhance the performance of the employees (Skyline, 2010) (Ex -29). The
management can also take help from the union and discuss about new changes and solutions of
problems which may arise due to any changes. The pension plan of the workers of the United
Parcel Service (UPS) a package delivering company, was a union-run pension plan which helped
the company set up a pension plan of their own (Mathis and Jackson, 2007) (Ex -30). The
employees help the organisation to make more profits, because it benefits the workers as well.
The employer and management always have a strong authority due to the fact that if the
organisation becomes bankrupt it harms the workers the most, due to the fact that they become
unemployed (Dessler and Varkkey, 2009). The workers may ask for benefits, higher wages and
flexibility but if it harms the organisation the employer refuses and after some time the workers
start working in the same conditions again (Sims, 2007). According to NCPP (2010) Marks and
Spencer, a British retailer involves its union in the decision making process and take ideas from
them about innovation (Ex -31). The strength of management increase due to the fact that the
union leader is also part of the management as it is the duty of the union leader to communicate

with the union and inform them about any new issues beforehand and let the management know
about the feedback of the workers ( Noe, Noe, Hollenback, Gerhart and Wright, 2009).
5.0 Conclusion:
Unions are a source of strength for all employees through which they have a collective voice and
communicate with their employers about their problems. In order to make sure that an employee
works in rational working conditions, employees form a union and hence attain their rights
legally through a collective bargaining agreement. Collective bargaining has various benefits and
pitfalls but the main fear of the employers is the degree of vulnerability they have towards the
employees through collective bargaining. After the review of all the literature it can be said that
employers are less vulnerable to the collective bargaining process than the employees because
the employer can look for replacement workers but finding a new job is tougher for the
employees and hence the employees will negotiate as much as possible to get what they want.
However the management authority is strengthened due to the collective bargaining process as is
enhances their communication efficiency and hence they have a better grip at handling the
employees due to the presence of a union and this is a very effective communication tool for the
managers. This also strengthens the management by providing with the facility to consult the
union and receive feedback from them in order to run operations smoothly.
6.0 Recommendation:
Trade unions play a significant role in nurturing smoother working conditions for employees. It
has proven to be a source of strength for the management. However there has been a recent in
trade unions and many organisations such as Wal-mart and Samsung do not believe in trade
unions (Mathis and Jackson, 2007). The worldwide trends of union membership are shown in
Appendix J. Trade unions are a mandatory requirement for the third world countries due to the
fact that many employers exploit the workforce to make more revenue. Organisations should
always emphasize on ethics rather than revenues and they should encourage trade unions so that
the worker gets what they deserve and the management should always encourage employee
involvement and participation in decisions, so that the workers feel that they are part of the
organisation.

7.0 List of references:


Books:

Noe, R.,Noe, R.A.,Hollenbeck, J., Gerhart, B. and Wright, P.M. (2009) Human Resource
Management. 7th Edition. McGraw-Hill Irwin.
Sims, R.R. (2007) Human Resource Management: contemporary issues, challenges and
opportunities. IAP.
Antoni, C. and Baeten, X. (2007) Shaping pay in Europe: a stakeholder approach. Peter
Lang
Amos, T., Adrian, R., Ristow, L. and Pearse, N.J. (2009) Human Resource Management.
3rd Edition. Juta and Company Ltd.
Torrington, D. Hall,L and Taylor, S. (2008) Human Resource Management. 7th Edition.
Financial Times Prentice Hall.
Watson, T.J. (2006) Organising and managing work: organisational, managerial and
strategic behavior in theory and practice. 2nd Edition. Pearson Longman.
Singh, S.K. (2008) changing Role Of trade Unions A Paradigm Shift. ICFAI University
Press.
Howell, C. (2007) Trade Unions and the state: The Construction of Industrial Relations
Institutions in Britain, 1890-2000. Princeton University Press
Shelley, S. and Calveley, M. (2007) Learning with trade unions: a contemporary agenda
in employment relations. Ashgate Publishing Ltd.
Kester, G. and Britwum, A.O. (2007) Trade unions and workplace democracy in Africa.
Ashgate Publishing Ltd.
Pichrt, J. and Stefko, M. (2010) Labour Law in Czech Republic. Kluwer Law
International.
Zhu, Y. (2008) Trade unions in Asia: an economic and sociological analysis. Routledge.
Phelan, C. (2009) Trade Unionism Since 1945: Western Europe, Eastern Europe, Africa
and the Middle East. Peter Lang.
Bennett, J.T. and Kaufman, B.E. (2007) What do unions do?: a twenty-year perspective.
Transaction Publishers.
Bridegam, M. (2009) Unions and Labor Laws. Infobase Publishing.
Arnold, R.A. (2007) Econimics. 8th Edition. Cengage Learning.
Mallin, C.A. (2009) Corporate social responsibility: a case study approach. Edward Elgar
Publishing.

Freeman, Richard B., and James L. Medoff. 1984. What Do Unions Do? New York:
Basic Books.
Daniels, G. and Mcllroy, J. (2009) Trade unions in a neoliberal world. Routledge.
Caisley, K.T. (2007) Collective Bargaining. CCH New Zealand Limited.

Blanpain, R. (2010) Comparative Labour Law and Industrial Relations in Industrialized


Market Economies. 10th Edition. Kluwer Law International.
Mathis, R.L. and Jackson, J.H. (2007) Human Resource Management. Cengage Learning.
Narilkar, A. (2010) Deadlocks in Multilateral Negotiations: Causes and Solutions.
Cambridge University Press.
Khan, J. and Soverall, W. (2007) Gaining Productivity. Arawak publications.
Wilkinson, A., Redman, T. and Snell,S. (2009) The SAGE handbook of human resource
management. SAGE Publications Ltd.
Bowles, D. and Cooper, C. (2009) Employee Morale: Driving Performance in
Challenging Times. Palgrave Macmillan.
Finbow, R.G. (2006) The limits of regionalism: NAFTAs labour accord. Ashgate
Publishing.
Arup, C. (2006) Labour law and labour market regulation: essay on the construction,
constitution and regulation of labour markets and work relationships.
Condrey, S.E. (2010) Handbook of Human resource Management in Government. 3 rd
Edition. John Wiley and Sons.
Rose, E. (2008) Employment Relations. 3rd Edition. Financial Times Prentice Hall.
Bohlander, G.W. and Snell, S. (2007) Managing human resources. 14th Edition. Cengage
Learning.
Wood, G. (2009) Human resource management: a critical approach. Taylor & Francis.
Sharma, S.K. (2009) Human Resource Management: A Strategic Approach to
Employment. Global India Publications.
Pynes, J. (2008) Human Resource management for Public and Nonprofit Organizations:
A Strategic Approach. 3rd Edition. John Wiley and Sons.
Mondy, R.W. and Mondy, J.B. (2009) Human Resource Management. 11th Edition.
Pearson Education Canada.
Montana, P.J. and Charmov, B.H. (2008) Management. 4th Edition. Barons Educational
Series.
Berg, J., Ernst, C. and Auer, P. (2006) Meeting the employment challenge: Argentina,
Brazil and Mexico in the global economy. International Labour Organization.
Vall, M.V.D. (2010) Labor Organisations: A Macro- and Micro- Sociological Analysis on
A Comparative Basis. Cambridge University Press.
Thompson,A.A., and Strickland,A,J.(2003) Strategic Management Concept and cases.
13th edition. McGraw Hills.

DelPo, A. and Guerin, L. (2009) The Managers Legal Handbook. 5th Edition. Nolo.
Shilling, D. (2008) Complete Guide to Human Resource & the Law 2009. Aspen
Publishers Online.

Jackson, S.E., Schuler, R.S. and Werner, S. (2008) Managing Human Resources. 10 th
Edition. Cengage Learning.

Beardwell,I., Holden,L. and Claydon,T. (2004) Human Reseource Management: A


contemporary approach. 4th Edition. Prentice Hall.
Dessler,G. and Varkkey,B. (2009) Human Resource Management. Eleventh Edition.
Pearson Education.

Websites:

An, B. and Isaacs, J.M. (2010) China New Government Policy Goal: More Collective
Bargaining
in
the
Private
Sector,
Baker
&
McKenzie,
[URL:http://www.bakermckenzie.com/RRChinaNewGovernmentPolicyGoalMay10/]
(accessed: 21 Dec 2010)

(2010)
Collective
pay
bargaining
on
rise,
BBC
NEWS,
[URL:http://news.bbc.co.uk/2/hi/business/4613469.stm] (accessed: 19 Dec 2010)
(2010) Nokia Consultation and communication CR Report 2007,
[URL:http://www.nokia.com/corporate-responsibility/cr-report2007/employees/consultation-and-communication] (accessed: 19 Dec 2010)
Link,M. (2008) About the Industry, [URL:http://www.seiu.org/2008/09/about-theindustry.php] (accessed: 19 Dec 2010)
(2010) Global framework agreement signed at PSA Peugeot Citroen,
[URL:http://www.eurofound.europa.eu/eiro/2006/03/articles/eu0603019i.htm] (accessed:
19 Dec 2010)
(2010)
Barclays
-Employee
Relations,
[URL:http://group.barclays.com/Sustainability/Citizenship/Employee-relations] (19 Dec
2010)
(2009)Malta:
Multinational
companies
and
collective
bargaining,
[URL:http://www.eurofound.europa.eu/eiro/studies/tn0904049s/mt0904049q.htm]
(accessed: 19 Dec 2010)
(2010)
Shanahan
v
Unite
the
Union
UKEAT/0411/09/DM,
[URL:http://www.employmentcasesupdate.co.uk/site.aspx?i=ed4684] (accessed: 19 Dec
2010)
(2010)
Todd
v
Strain
&
Ors
UKEATs/0057/09/BI,
[URL:http://www.employmentcasesupdate.co.uk/site.aspx?i=ed5852] (accessed: 20 Dec
2010)

(2010) Lancaster University v The University & College Union UKEAT/0278/10/JOJ,


[URL:http://www.employmentcasesupdate.co.uk/site.aspx?i=ed6457] (accessed: 20 Dec
2010)
(2010) Reddy v Bedford & Luton Partnership NHS Trust UKEAT/0023/10/ZT,
[URL:http://www.employmentcasesupdate.co.uk/site.aspx?i=ed5541] (accessed: 20 Dec
2010)
(2010) Brownbill & Ors v St Helens & Knowsley Hospital NHS Trust
UKEAT/0074/10/CEA,
[URL:http://www.employmentcasesupdate.co.uk/site.aspx?
i=ed5904] (accessed: 20 Dec 2010)
(2010)
Hammonds
LLP
&
Ors
v
Mwitta
UKEAT/0026/10/ZT,
[URL:http://www.employmentcasesupdate.co.uk/site.aspx?i=ed6191] (accessed: 20 Dec
2010)
Lamont, J. (2009) Murder of an Indian chief executive , Financial Times Magazine, 28
March,
[URL:http://www.ft.com/cms/s/2/55e0e210-177b-11de-8c9d0000779fd2ac.html#axzz199MAG77x] (20 Dec 2010)
Rainsford, S. (2010) Spanish airport row: Public backs military response ,BBC NEWS,
[URL:http://www.bbc.co.uk/news/world-europe-11942155] (accessed: 20 Dec 2010)
(2010) Hearing Highlights Progress at TSA And Lingering Concerns Over Morale,
Federal
Daily,
[URL:http://www.federaldaily.com/federaldaily/archive/2010/09/FD092710.htm]
(accessed: 20 Dec 2010)
(2010)
Tesco
to
be
grilled
on
suppliers,
BBC
NEWS,
[URL:http://news.bbc.co.uk/2/hi/business/6653567.stm] (accessed: 20 Dec 2010)
(2010)
Strike
hits
Nike
Vietnam
factory,
BBC
NEWS,
[URL:http://news.bbc.co.uk/2/hi/business/7324242.stm] (accessed: 20 Dec 2010)
Unilever, unions say no redundancy agreement yet in the Netherlands, M&C,
[URL:http://www.monstersandcritics.com/news/business/news/article_1370459.php/Unil
ever_unions_say_no_redundancy_agreement_yet_in_the_Netherlands] (accessed: 20 Dec
2010)
Chamberlain, G. (2010) Monsoons internal audits reveal suppliers used child labour and
underpaid
workers
,
The
Observer,
21
November[URL:http://www.guardian.co.uk/business/2010/nov/21/monsoon-child-labourindia] (accessed: 20 Dec 2010)
Ayling, J. (2008) US: New York garment factory underpaid worker by $ 5.5m , JustStyle, 24 July, [URL:http://www.just-style.com/news/new-york-garment-factoryunderpaid-workers-by-55m_id101475.aspx] (accessed: 21 Dec 2010)
McIntyre, D.A. (2009) Another Layoff Shock: Caterpillar (CAT) To Cut 20,000 , Wall
Street, 26 January, [URL:http://247wallst.com/2009/01/26/another-lay-off/] (accessed: 21
Dec 2010)
(2010)
VW
lays
of
800
Workers
in
Mexico,
BBC
NEWS,
[URL:http://news.bbc.co.uk/2/hi/business/7857871.stm] (accessed: 21 Dec 2010)

(2008) SINATRA P&G Successful in First Contract at Proctor & Gamble Peru,[URL:
http://www.icem.org/en/78-ICEM-InBrief/2668-SINTRA-P&G-Successful-in-FirstContract-at-Procter-&-Gamble-Peru] (accessed: 21 Dec 2010)
Marks
and
Spencer
Case
Study,
[URL:http://www.ncpp.ie/dynamic/docs/markspencer_cs.pdf] (accessed: 21 Dec 2010)

(2010)
Performance
Management
System,
Skyline
Business
School,
[URL:http://www.skylinecollege.com/blog/management-responsibility/performancemanagement-system] (accessed: 21 Dec 2010)

Images:

(2010)
Communication
Between
Union
and
Managers
[IMAGE
URL:http://www.emeraldinsight.com/content_images/fig/0190280104001.png]
(accessed: 21 Dec 2010)

8.0 Bibliography:
Books:

Noe, R.,Noe, R.A.,Hollenbeck, J., Gerhart, B. and Wright, P.M. (2009) Human Resource
Management. 7th Edition. McGraw-Hill Irwin.
Sims, R.R. (2007) Human Resource Management: contemporary issues, challenges and
opportunities. IAP.
Antoni, C. and Baeten, X. (2007) Shaping pay in Europe: a stakeholder approach. Peter
Lang
Amos, T., Adrian, R., Ristow, L. and Pearse, N.J. (2009) Human Resource Management.
3rd Edition. Juta and Company Ltd.
Torrington, D. Hall,L and Taylor, S. (2008) Human Resource Management. 7th Edition.
Financial Times Prentice Hall.
Watson, T.J. (2006) Organising and managing work: organisational, managerial and
strategic behavior in theory and practice. 2nd Edition. Pearson Longman.
Singh, S.K. (2008) changing Role Of trade Unions A Paradigm Shift. ICFAI University
Press.
Howell, C. (2007) Trade Unions and the state: The Construction of Industrial Relations
Institutions in Britain, 1890-2000. Princeton University Press
Shelley, S. and Calveley, M. (2007) Learning with trade unions: a contemporary agenda
in employment relations. Ashgate Publishing Ltd.
Kester, G. and Britwum, A.O. (2007) Trade unions and workplace democracy in Africa.
Ashgate Publishing Ltd.
Pichrt, J. and Stefko, M. (2010) Labour Law in Czech Republic. Kluwer Law
International.
Zhu, Y. (2008) Trade unions in Asia: an economic and sociological analysis. Routledge.
Phelan, C. (2009) Trade Unionism Since 1945: Western Europe, Eastern Europe, Africa
and the Middle East. Peter Lang.
Bennett, J.T. and Kaufman, B.E. (2007) What do unions do?: a twenty-year perspective.
Transaction Publishers.
Bridegam, M. (2009) Unions and Labor Laws. Infobase Publishing.
Arnold, R.A. (2007) Econimics. 8th Edition. Cengage Learning.
Mallin, C.A. (2009) Corporate social responsibility: a case study approach. Edward Elgar
Publishing.

Freeman, Richard B., and James L. Medoff. 1984. What Do Unions Do? New York:
Basic Books.
Daniels, G. and Mcllroy, J. (2009) Trade unions in a neoliberal world. Routledge.
Caisley, K.T. (2007) Collective Bargaining. CCH New Zealand Limited.
Blanpain, R. (2010) Comparative Labour Law and Industrial Relations in Industrialized
Market Economies. 10th Edition. Kluwer Law International.
Mathis, R.L. and Jackson, J.H. (2007) Human Resource Management. Cengage Learning.

Narilkar, A. (2010) Deadlocks in Multilateral Negotiations: Causes and Solutions.


Cambridge University Press.
Khan, J. and Soverall, W. (2007) Gaining Productivity. Arawak publications.
Wilkinson, A., Redman, T. and Snell,S. (2009) The SAGE handbook of human resource
management. SAGE Publications Ltd.
Bowles, D. and Cooper, C. (2009) Employee Morale: Driving Performance in
Challenging Times. Palgrave Macmillan.
Finbow, R.G. (2006) The limits of regionalism: NAFTAs labour accord. Ashgate
Publishing.
Arup, C. (2006) Labour law and labour market regulation: essay on the construction,
constitution and regulation of labour markets and work relationships.
Condrey, S.E. (2010) Handbook of Human resource Management in Government. 3 rd
Edition. John Wiley and Sons.
Rose, E. (2008) Employment Relations. 3rd Edition. Financial Times Prentice Hall.
Bohlander, G.W. and Snell, S. (2007) Managing human resources. 14th Edition. Cengage
Learning.
Wood, G. (2009) Human resource management: a critical approach. Taylor & Francis.
Sharma, S.K. (2009) Human Resource Management: A Strategic Approach to
Employment. Global India Publications.
Pynes, J. (2008) Human Resource management for Public and Nonprofit Organizations:
A Strategic Approach. 3rd Edition. John Wiley and Sons.
Mondy, R.W. and Mondy, J.B. (2009) Human Resource Management. 11th Edition.
Pearson Education Canada.
Montana, P.J. and Charmov, B.H. (2008) Management. 4th Edition. Barons Educational
Series.
Berg, J., Ernst, C. and Auer, P. (2006) Meeting the employment challenge: Argentina,
Brazil and Mexico in the global economy. International Labour Organization.
Vall, M.V.D. (2010) Labor Organisations: A Macro- and Micro- Sociological Analysis on
A Comparative Basis. Cambridge University Press.
Thompson,A.A., and Strickland,A,J.(2003) Strategic Management Concept and cases.
13th edition. McGraw Hills.
DelPo, A. and Guerin, L. (2009) The Managers Legal Handbook. 5th Edition. Nolo.
Shilling, D. (2008) Complete Guide to Human Resource & the Law 2009. Aspen
Publishers Online.
Jackson, S.E., Schuler, R.S. and Werner, S. (2008) Managing Human Resources. 10 th
Edition. Cengage Learning.
Beardwell,I., Holden,L. and Claydon,T. (2004) Human Reseource Management: A
contemporary approach. 4th Edition. Prentice Hall.
Dessler,G. and Varkkey,B. (2009) Human Resource Management. Eleventh Edition.
Pearson Education.

Websites:

An, B. and Isaacs, J.M. (2010) China New Government Policy Goal: More Collective
Bargaining
in
the
Private
Sector,
Baker
&
McKenzie,
[URL:http://www.bakermckenzie.com/RRChinaNewGovernmentPolicyGoalMay10/]
(accessed: 21 Dec 2010)

(2010)
Collective
pay
bargaining
on
rise,
BBC
NEWS,
[URL:http://news.bbc.co.uk/2/hi/business/4613469.stm] (accessed: 19 Dec 2010)
(2010) Nokia Consultation and communication CR Report 2007,
[URL:http://www.nokia.com/corporate-responsibility/cr-report2007/employees/consultation-and-communication] (accessed: 19 Dec 2010)
Link,M. (2008) About the Industry, [URL:http://www.seiu.org/2008/09/about-theindustry.php] (accessed: 19 Dec 2010)
(2010) Global framework agreement signed at PSA Peugeot Citroen,
[URL:http://www.eurofound.europa.eu/eiro/2006/03/articles/eu0603019i.htm] (accessed:
19 Dec 2010)
(2010)
Barclays
-Employee
Relations,
[URL:http://group.barclays.com/Sustainability/Citizenship/Employee-relations] (19 Dec
2010)
(2009)Malta:
Multinational
companies
and
collective
bargaining,
[URL:http://www.eurofound.europa.eu/eiro/studies/tn0904049s/mt0904049q.htm]
(accessed: 19 Dec 2010)
(2010)
Shanahan
v
Unite
the
Union
UKEAT/0411/09/DM,
[URL:http://www.employmentcasesupdate.co.uk/site.aspx?i=ed4684] (accessed: 19 Dec
2010)
(2010)
Todd
v
Strain
&
Ors
UKEATs/0057/09/BI,
[URL:http://www.employmentcasesupdate.co.uk/site.aspx?i=ed5852] (accessed: 20 Dec
2010)
(2010) Lancaster University v The University & College Union UKEAT/0278/10/JOJ,
[URL:http://www.employmentcasesupdate.co.uk/site.aspx?i=ed6457] (accessed: 20 Dec
2010)
(2010) Reddy v Bedford & Luton Partnership NHS Trust UKEAT/0023/10/ZT,
[URL:http://www.employmentcasesupdate.co.uk/site.aspx?i=ed5541] (accessed: 20 Dec
2010)
(2010) Brownbill & Ors v St Helens & Knowsley Hospital NHS Trust
UKEAT/0074/10/CEA,
[URL:http://www.employmentcasesupdate.co.uk/site.aspx?
i=ed5904] (accessed: 20 Dec 2010)

(2010)
Hammonds
LLP
&
Ors
v
Mwitta
UKEAT/0026/10/ZT,
[URL:http://www.employmentcasesupdate.co.uk/site.aspx?i=ed6191] (accessed: 20 Dec
2010)
Lamont, J. (2009) Murder of an Indian chief executive , Financial Times Magazine, 28
March,
[URL:http://www.ft.com/cms/s/2/55e0e210-177b-11de-8c9d0000779fd2ac.html#axzz199MAG77x] (20 Dec 2010)
Rainsford, S. (2010) Spanish airport row: Public backs military response ,BBC NEWS,
[URL:http://www.bbc.co.uk/news/world-europe-11942155] (accessed: 20 Dec 2010)
(2010) Hearing Highlights Progress at TSA And Lingering Concerns Over Morale,
Federal
Daily,
[URL:http://www.federaldaily.com/federaldaily/archive/2010/09/FD092710.htm]
(accessed: 20 Dec 2010)
(2010)
Tesco
to
be
grilled
on
suppliers,
BBC
NEWS,
[URL:http://news.bbc.co.uk/2/hi/business/6653567.stm] (accessed: 20 Dec 2010)
(2010)
Strike
hits
Nike
Vietnam
factory,
BBC
NEWS,
[URL:http://news.bbc.co.uk/2/hi/business/7324242.stm] (accessed: 20 Dec 2010)
Unilever, unions say no redundancy agreement yet in the Netherlands, M&C,
[URL:http://www.monstersandcritics.com/news/business/news/article_1370459.php/Unil
ever_unions_say_no_redundancy_agreement_yet_in_the_Netherlands] (accessed: 20 Dec
2010)
Chamberlain, G. (2010) Monsoons internal audits reveal suppliers used child labour and
underpaid
workers
,
The
Observer,
21
November[URL:http://www.guardian.co.uk/business/2010/nov/21/monsoon-child-labourindia] (accessed: 20 Dec 2010)
Ayling, J. (2008) US: New York garment factory underpaid worker by $ 5.5m , JustStyle, 24 July, [URL:http://www.just-style.com/news/new-york-garment-factoryunderpaid-workers-by-55m_id101475.aspx] (accessed: 21 Dec 2010)
McIntyre, D.A. (2009) Another Layoff Shock: Caterpillar (CAT) To Cut 20,000 , Wall
Street, 26 January, [URL:http://247wallst.com/2009/01/26/another-lay-off/] (accessed: 21
Dec 2010)
(2010)
VW
lays
of
800
Workers
in
Mexico,
BBC
NEWS,
[URL:http://news.bbc.co.uk/2/hi/business/7857871.stm] (accessed: 21 Dec 2010)
(2008) SINATRA P&G Successful in First Contract at Proctor & Gamble Peru,[URL:
http://www.icem.org/en/78-ICEM-InBrief/2668-SINTRA-P&G-Successful-in-FirstContract-at-Procter-&-Gamble-Peru] (accessed: 21 Dec 2010)
Marks
and
Spencer
Case
Study,
[URL:http://www.ncpp.ie/dynamic/docs/markspencer_cs.pdf] (accessed: 21 Dec 2010)

(2010)
Performance
Management
System,
Skyline
Business
School,
[URL:http://www.skylinecollege.com/blog/management-responsibility/performancemanagement-system] (accessed: 21 Dec 2010)

Images:

(2010)
Communication
Between
Union
and
Managers
[IMAGE
URL:http://www.emeraldinsight.com/content_images/fig/0190280104001.png]
(accessed: 21 Dec 2010)

9.0 Appendices:
Appendix A
All the mandatory, permissible and illegal issues according to Dessler and Varkkey (2009) are as
follows:
Mandatory Issues:

Rates of pay

Wages

Hours of Employment

Overtime pay

Shift differentials

Holidays

Vacations

Severance pay

Pensions

Insurance benefits

Profit-sharing plans

Bonuses

Company housing, meals, and discounts

Employee security

Job performance

Union security

Permissible Issues:

Indemnity bonds

Management rights as to union affairs

Pension benefits of retired employees

Scope of the bargaining unit

Additional parties to the contract such as the international union

Use of union label

Settlements of unfair labor changes

Continuance of past contract

Membership of bargaining team

Employment of strike breaker

Illegal Issues:

Closed shop

Separation of employees based on race

Discriminatory treatment

APPENDIX B

APPENDIX C

APPENDIX D

APPENDIX E

APPENDIX F

APPENDIX G

APPENDIX H

APPENDIX I

APPENDIX J

You might also like