collective bargaining in kenya

COLLECTIVE BARGAINING

FREDRICK AILA

An agreementTakes at least two parties to make a bargain

What is a bargain?

An agreement made by or on behalf of a group

The process of negotiating between unions and management aimed at settling disputes before they turn into labour unrest

Collective bargaining

A method of mutually determining terms and conditions of employment

Long-lasting process with periodic reviews as conditions necessitate.

Collective bargaining

Workers do not negotiate individually or on their own behalf but collectively through their trade union reps

Union must be recognized by management

Nature of collective bargaining

Willingness by the workers and their trade unions

The power to force the employer to accept negotiation

Willingness by management to accept the decisions affecting workers must be agreed on b4 implementation

Collective bargaining can only function where there is:-

Collective bargaining depends on prevailing political climate

Collective bargaining in Kenya has been trilateral:◦Management◦Union◦Government

Prevailing political climate

A collective bargaining results into a labour contract

CBA-a written agreement between the trade union and management

Specifies rules and procedures to be followed by both parties during the contract period

CBA

Name of parties, duration, provision for renewal, signatures of the parties’ officials

Wage rates, fringe benefits, job classification, overtime

Working conditions: permissible breaks, severance pay, timing, working shifts

Contents of CBA contract

Union security: check-off procedures, recruitment of union members

Job security, termination, promotion, demotion and transfers

Limitation of strikes, lockouts, picketing

Grievance & dispute procedures Management’s rights

1. Substantive agreements-lay down terms & conditions to be reflected in each worker’s contract: include

◦ pay rates◦ Working hours◦ Holidays◦ Pension schemes◦ Sick leave◦ Retirement age

Types of CBAs

2. Procedural agreements-lay down procedures to be followed in specific situations

◦ Manner in which dispute is regulated

◦ Timing &◦ Approach in making substantive

agreements

3. Distributive bargaining-assumes that one party’s gain is the other’s loss

◦ Each party tries to maximize his gains and minimize his losses

4. Integrative bargaining and productivity deals

◦ Arise when both parties negotiate without a loss to one another

Mediation: the process whereby a third neutral party helps a trade union and management reach an agreement

Mediator takes active but neutral in suggesting alternatives

His role: to minimize or eliminate the chances of work stoppage or labour unrest

A mediator is a professional person acceptable to both parties

Mediation

Process of peace-making between two parties

Helping both parties develop and adhere laid-down procedures to settle conflicts/ differences

Conciliation

Provides assistance to the parties during negotiations or to reach an agreement

An amicable settlement of labour conflicts/ differences

Central role of conciliator: to influence positively the outcome of negotiations

Conciliation cont

Arbitrator has authority to make binding decisions

The process by which a grievance/dispute is resolved by an impartial third party after hearing all the facts pertaining to the issues(s) and then recommending a solution

Used to settle disagreements from administration of the labour contract

Provisions for arbitration are spelt out in the CBA

Arbitration

Dismissal and disciplinary actions

Promotions and transfersStrikes and lockoutsSalary/wage and working hoursHolidays and holiday payHealth and welfare benefits

Most common issues referred to arbitration

Grievance: a work-related complaint;

Emanate from problems associated with human nature & personal characteristics

Grievances and Dispute Procedures

◦Communication breakdown◦Clashes over values◦Clashes in personalities◦Hostile management◦Disagreement over wages/fringe benefits

◦Workers’ distrust of authority◦External forces

Common causes of Grievance

Misunderstanding-eg clauses of labour contract are understood differently

Unilateral contract violations- the result of misunderstanding of the labour contract provisions or ambiguous labour contract language

Types of Grievances

Outside influences-grievance is not the real problem; it is a way for workers to show dissatisfaction/ frustration eg: personal problems; internal union politics; unfavourable labour contract language

types-

Decreased interest in work Negative statements about the job,

colleagues, supervisors, the org. Unwillingness to cooperate Increased absenteeism Poor job performance Slowing down on the job Being away from assigned place of work for

no apparent reason

Signs of potential grievances

Treating all workers as individuals and with dignity

Recognizing good performers Identifying and promptly eliminating sources of irritation to workers

Training workers on how to perform better on their respective jobs

Minimizing grievances

Seeing issues from the workers’ point of view

Giving clear orders and explaining directions

Knowing the labour contract and applying it

Being objective, fair and consistent in disciplinary actions

Trade unions exercise their economic power in a way that are meant to force mgt to listen & yield to their demands:

StrikesPicketsBoycottsLockouts

Bargaining Impasses

Between employer & recognized trade union on behalf of a group of workers

Purpose: reaching agreement parties are willing to sign and abide by

Aspects:◦Psychological basis of negotiation◦Negotiation preparation◦Task of the negotiator

Negotiations

Perception by each party of the relative cost to the other party in accepting or refusing an agreement

Assessing the potential financial cost to the other party

Both parties enter into negotiations with the intention of obtaining bargaining advantage over the other

Psychological basis of negotiations

Both parties are motivated by desire to reach an agreement

Sometimes the use of threats during negotiations-weigh the seriousness of issues

Threats are useful to obtain bargaining advantage

The desire by both parties to reach a satisfactory conclusion

cont

Each side needs to prepare for negotiations Each side needs factual information for

supporting its arguments Unions must understand the interests of

their members Management must know the cost of each

union demand Management must try to predict how far

each concession to the union will influence its profitability & efficiency

Negotiation Preparation

Provide advice to his or her party and lay down the initial bargaining objectives and strategies

Arrange and conduct bargaining objectives and strategy

Arrange and conduct bargaining meetings

Explain and defend the interests of his/her side

Tasks of the negotiator

Investigate and seek to understand the other party’s case

Assess within the predetermined strategy and in the light of information gained during the investigation

Assess when to adjust or when to exert pressure on the other party to modify their position

Inform, advise and consult with his/her party on the progress of the negotiations and if necessary, revise the objectives and strategy of his/her group

Seek to influence the other party’s negotiator to modify his/her position

Maintain an effective and continuing personal relationship with the other party’s negotiator

Social interpersonal Information handling Discretionary judgement skills

Negotiation Skills

These allow the negotiator to recognize, interpret and utilize both verbal and non-verbal communications.

Social Interpersonal Skills

The negotiator must be conversant with the issues under negotiation and the context within which they are able to be negotiated

Information Handling Skills

The negotiator must make judgements regarding the implementation of the predetermined strategy and determine when and how changes in argument and position should take place

Discretionary Judgement Skills

Negotiator-main spokesperson and leader of the team

Recorder-takes notes on what is said and the reactions of the opposing team

Analyst-prepares information, consider the strengths and weaknesses of both sides; examine implications and effects of concessions

Specialist-provides detailed information on the issue(s) under consideration

Negotiation Roles