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HISTORICAL BACKGROUND of collective bargaining in industrial disputes
Impact of globalization on unions
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Collective Bargaining
Collective bargaining in Canada basically shaped by a tight statutory structure which used to regulate almost every aspect of the union management relationship. Labor tribunals will regulate both management and union activities and also may restrain some forms of employers interference with union organizing and bargaining activities as well as the untimely use of economic sanctions by labor unions. In 1943, a collective bargaining statute modeled on the Wagner Act was enacted in the province of Ontario. Therefore, the province of Saskatchewan was the first government in Canada to recognize the right to collective bargaining and granting the rights of collecting bargaining to both public and private sector workers in 1944.
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Collective agreements generally occurs to prohibit strikes during the agreement and it last for a set period of time. If the employers and unions cannot reach a collective agreement, either party can apply pressure to the other through stoppage. A work stoppage by workers known as strike while a stoppage created by an employers called as lockouts. Lockouts are common than strikes. According to Cramton et al. (1999), strikes in Canada were substantially influenced by the labor policy. As similarly to the other countries, before a stoppage can occur in Canada, the parties also must apply for a conciliation. Then, a government will appointed a mediator to try helping the two sides reach an agreement in conciliation. Therefore, if conciliation is failed, a cooling-off period of about ten days follows which in this period the employees may remain at work and the parties can continue to negotiate. However, the employees and employers can start a legal stoppage once the cooling-off periods end (Craig, …show more content…
Union and organization grew more rapidly in Canada and for the past several years union members have comprised a considerably larger percentage of the labor force. During the 1960s and 1970s, Canada’s labor force grew more rapidly than any other industrial country. Over the past two decades, only six industries employing less than 15% of the labor force and accounted more than 50% of all person days lost and for more than 66% of the unusually large and protected strikes. From all the percentages of time loss from strikes, it includes construction, mining, smelting, transportation equipment, primary metals and wood products. A by products of Canada has became a problem of wages disparities due to the unstable pattern of economic growth in Canada. During the rapid expansion, greater disparities have tended to develop the general wage structure of Canada because of widely unequal rates of growth and profitability among different industries and regions due to differences in bargaining power among unions. According to Crispo (2000), the greatest pressure for Canada industrial relations system were globalization and convergence of communications and computerization technology because the unions are weak in these
How were revolutionary industrial unionists in Winnipeg influenced to strike in 1919? All Canadians have heard of the Winnipeg General Strike, and many have studied its influences. Coming immediately after the First World War, yet coming before the Great Depression hit, many wonder why Winnipeg workers took up arms when they did? In truth, the strikers were primarily industrial unionists who wanted a revolution. The strikers were aiming for a major difference in the government. Now, to the non-Canadian, Canada has always seemed perfectly calm and neutral. Many would go as far as wondering how Canada could ever have any problems. Therefore, hardly anybody knows of the 1919 Winnipeg General Strike, let alone what caused the strike. Simply put, revolutionary industrial unionists within Canada were influenced to strike by Canada’s involvement in the First World War, the quick and incredible success of Russia’s revolution in 1917, and inflation within the country.
1919 Winnipeg General Strike was Canada's most influential labour action. After World War I many Canadian soldiers returned home to find few opportunities, all while companies had enjoyed enormous profits on war contracts. Wages and working conditions were dismal and labour regulations were mostly non-existent.
The conflict over living conditions in Canada has been ongoing. Perhaps Canada’s most forceful movement towards change was the Winnipeg General Strike, during the summer of 1919. The strike was caused by the working class’ desire to rise out of poverty. The government hastily tried to suppress the strike by deporting the strike leaders, using gunfire to disperse crowds, and eventually ‘punishing’ the people by dismissing them from their jobs. The Winnipeg General Strike was ultimately detrimental to the wellbeing of working class Winnipeggers due to the government’s infringement of democratic ideals.
This means that a group of workers can unite to gain more power and leverage in bargaining. The bargaining process may include many aspects but usually consists of wages, benefits, terms and conditions of employment. The notion of union came about in the 1700's. In the beginning, as it is today, workers united to "defend the autonomy and dignity of the craftsman against the growing power of the company" (Montgomery). These early unions had many names including societies, social societies and guilds.
The union labor movement blossomed early in the century, as membership grew from 2.0 million members in 1910 to 18.0 million members in 1953. However, by 1980 membership was only slightly higher at 20.0 million members. During that time, membership growth was relatively consistent in that it never really declined a significant amount. After 1980, union membership began to decline sharply. In 1985 membership was already back down to 18 million members and by 1990, the number of union members was hovering near 16 million members. As a percentage of the total employment in the economy, unions grew from only 13% in 1935 to 32% in 1953 and have fallen steadily since 1955. In 1980, labor union roles had decreased to 23% and by 1990, the figure had shrunk ev...
Wallerstein, M. & Western, B. 2000. Unions in Decline? What Has Changed and Why? Annual Review of Political Science. 3: 355-377.
Throughout the history of the United States of America the continuation of misfortunes for the workforce has aggravated people to their apex, eventually leading to the development of labor unions.
The rise of industrial age led to the rise of industrial factory systems. As the industries grew larger as well as the workplace, it required more employees. As the employees grew in the workplace, their relationship with the employer became less personal hence individuals lost power. (History of Labor Unions Summary & Analysis, 2014) emphasizes that there was little to nothing an individual could do to pressure a large industrial business to increase his/ hers wages or shorten his/hers hours or provide a better working environment. The increasing migrants in Australia during the 1960’s continually replenished the supply of unskilled workers making it difficult for any employee to attain any leverage in negotiations with their employers. This led to employee’s embracement of collective action which then led to the rise of unions. According to (Burchielli, R 2006) Unions are seen as the power house of employees in the workplace, their role was to give employee a collective bargaining with their employers for better working environment, better wages and benefits such as paid leave. However union membership have decreased over the last couple of decades, according to (Australian Bureau of Statistics (ABS), 2013) in 1986 46 % of employees were members of trade unions by 2007 the figures have dropped to only 19%. There...
To conclude this analysis on the basis of the labor’s extensive history, Sloane & Witney (2010) propose, “it is entirely possible that labor’s remarkable staying power has been because of the simple fact that to many workers, from the nineteenth century to the present, there really has been no acceptable substitute for collective bargaining as a means of maintaining and improving employment conditions” (p.80). In the end, it is important to anticipate unions and employers presently work together to find solutions that will enhance collective bargaining strategies and practices to serve the interest of both parties.
... of Labor Unions in Labor Markets. In R. C. Free (Ed.), 21st Century Reference Series. 21st Century Economics (Vol. 1, pp. 163-172). Thousand Oaks, CA: Sage Reference. Retrieved from http://go.galegroup.com.library3.webster.edu/ps/i.do?id=GALE%7CCX1700400026&v=2.1&u=edenweb_main&it=r&p=GVRL&sw=w
In Australia, industrial relations system has been shaped by diverse legislative Acts and political forces coupled with judicial decisions at both the state and federal level. This evident in the sense that there have been diverse amendments of the 1904 Act in light of increased pressures in the industrial sector. This elicited mixed reactions from the employees and employers, among other stakeholders in the industry. However, due to the disadvantages and/or drawbacks of the centralized system of collective bargaining in comparison to the advantages or positive aspects of the decentralized approach of collective bargaining, employers have favored departure from the centralized wage-fixing. Against this backdrop, it behooves us to explore the reasons as why employers have favored the decentralization of Collective bargaining in Australia.
Unions traditionally were “a continuous association of wage earners for the purpose of maintaining or improving the condition of their employment” (Webb & Webb, 1894, as cited in Bryson, 2011b, slide 7). Their function was to campaign for compassionate management procedures, equivalent bargaining power between employers and employees, and for fairness and democracy to be initiated into the workplace (Bryson, 2011a). Union activity at this time tended to focus on nationwide bargaining for industrial groups (Geare, 1983, as cited in Haynes, 2005), with their role seen as wage bargainers and in...
A collective bargaining agreement collectively sets the terms on which an employer offers individual work contracts to each of its employees in the bargaining unit. A bargaining agreement, also herein referred to as a labour agreement, is a legally enforceable written commitment, which states the rights and duties of all parties involved. The labour agreement should be made in good faith and is intended to be observed and not violated. The National Labour Relations Act obligates employers and unions to bargain in good faith concerning terms and conditions of employment, including hours and wages. Like any normal contract, competent parties must enter into a labour agreement. However, a labour agreement is unique from other legal contracts in that there is no consideration involved and nothing tangible is exchanged. Many, but not all, unions require formal ratification of a new labour contract by a majority membership acceptance, which is determined through vote by the members. Until majority approval of those voting in a ratification election is received, the proposed labour contract is not final. While each labour agreement is unique to the needs of an organization and its employees, most agreements include five issues: (1) Management Rights, (2) Union Security, (3) Wages and Benefits, (4) Individual Security (Seniority) Rights, and (5) Dispute Resolution. Management Rights “Management” is the process of working with people and resources to accomplish organizational goals by making the best possible use of money, time, materials and people. The management process, when properly executed, involves a wide variety of activities including planning, organizing, directing and controlling. It is management’s role to perform all of these functions in order to maximize results.
Collective bargaining is the process in which employers and unions undergo a series of negotiations that include terms and typical of collective bargaining where both parties concur to conditions of employment. These conditions may include wages, hours, and working conditions (Budd 229).
The laws and regulations surrounding Industrial Relations since the 1900’s have, at each reform, placed tighter constraints on the amount of power unions are able to exert. The reforms have also radically increased managerial prerogative, through an increased use of individual bargaining, contracts and restrictions imposed on unions (Bray and Waring, 2006). Bray and W...