INTERNATIONAL ORGANISATION OF EMPLOYERS STRATEGIC COLLECTIVE BARGAINING AN INTRODUCTION FOR EMPLOYERS CONTENTS MODULE 1 - INTRODUCTION .......................................................................................................... 1 1.1 Overview ......................................................................................................................................................................... 1 1.2 What is Collective Bargaining? ................................................................................................................................ 2 1.3 Why Enter into Collective Bargaining ................................................................................................................... 6 1.4 The Risks of Collective Bargaining ......................................................................................................................... 8 1.5 The Aim of Collective Bargaining For Employers ............................................................................................ 9 1.6 Options for Bargaining ............................................................................................................................................ 10 1.7 The Pros and Cons of Multi-Employer Collective Bargaining .................................................................. 11 1.8 What is Strategic Collective Bargaining? ......................................................................................................... 16 1.9 The Collective Bargaining Process / This Guide ............................................................................................ 17 1.10 Key Lessons ............................................................................................................................................................... 18 MODULE 2 – STRATEGIC COLLECTIVE BARGAINING ................................................................................... 21 2.1 Introduction ................................................................................................................................................................ 21 2.2 Preparing for Collective Bargaining .................................................................................................................. 24 2.3 Collective Bargaining Strategy ............................................................................................................................. 28 2.4 Have Your Own Claims ............................................................................................................................................ 31 2.5 Performance or Incentive Based Pay .................................................................................................................. 33 2.6 Be Pragmatic and Realistic ..................................................................................................................................... 37 2.7 Longer Term Strategy .............................................................................................................................................. 39 2.8 Obstacles to Successful Collective Bargaining ............................................................................................... 40 2.9 Partnership With Your Employers’ Association .............................................................................................. 41 2.10 Key Lessons ............................................................................................................................................................... 42 MODULE 3 - THE LAW .................................................................................................................................................. 43 3.1 Introduction ................................................................................................................................................................ 43 3.2 Navigating the Law of Collective Bargaining .................................................................................................. 46 3.3 Industrial Action ....................................................................................................................................................... 47 3.4 Freedom of Association .......................................................................................................................................... 50 3.5 The ILO .......................................................................................................................................................................... 52 3.6 Key Lessons ................................................................................................................................................................. 52 MODULE 4 - NEGOTIATION ...................................................................................................................................... 55 4.1 Introduction ................................................................................................................................................................ 55 4.2 Negotiation Planning............................................................................................................................................... 56 4.3 Negotiation Phases ................................................................................................................................................... 65 4.4 The Approach To Negotiation .............................................................................................................................. 71 4.5 Negotiation Tactics ................................................................................................................................................... 77 4.6 Negotiation Psychology ....................................................................................................................................... 86 4.7 Employer Negotiating Behaviour ....................................................................................................................... 89 4.8 Key Lessons ................................................................................................................................................................. 91 MODULE 5 – WRITTEN COLLECTIVE AGREEMENT ......................................................................................... 93 5.1 Introduction ................................................................................................................................................................ 93 5.2 Why Use a Written Agreement ............................................................................................................................. 94 5.3 What Makes a Good Written Agreement .......................................................................................................... 97 5.4 Agreement Approval / Voting ............................................................................................................................ 102 5.5 Communicating With Your Employees ........................................................................................................... 108 5.6 Dealing with Disputes During the Life of the Agreement ........................................................................ 110 5.7 Enforcement ............................................................................................................................................................. 116 5.8 Checklist of Important Matters for any Collective Agreement ............................................................. 117 5.9 Key Lessons .............................................................................................................................................................. 118 MODULE 6 – IMPLEMENTATION, EVALUATION & RENEGOTIATION .................................................. 119 6.1 Introduction .............................................................................................................................................................. 119 6.2 Implementation ....................................................................................................................................................... 120 6.3 Monitoring and Continuous Improvement ................................................................................................... 123 6.4 Communication ....................................................................................................................................................... 126 6.5 Renegotiation ........................................................................................................................................................... 126 6.6 Length of Agreement / Expiry Date .................................................................................................................. 131 6.7 Dispute Settlement................................................................................................................................................. 136 6.8 Political Dimension ................................................................................................................................................. 136 6.9 Key Lessons ............................................................................................................................................................... 139 ATTACHMENT A - GLOSSARY OF TERMS