Jasz
VIP Contributor
There are two kinds of collective bargaining. The first is the kind that takes place when a single employer wants to get a better contract than what it has now. In this case, the union will be negotiating with the company on behalf of its members.
The second kind of bargaining is what we call collective agreements or work agreements. This is when there are multiple employers and many unions, and each union negotiates an agreement with all employers at once. In this case, no one employer can sign an agreement without all the others agreeing to it too.
Collective agreements are more common than you might think. The most obvious example is in Canada where most large companies have signed up with one or more unions and agree to pay them a percentage of their profits (usually around 5%). In return, they get guaranteed jobs for their employees who are also represented by the union whenever they work for another company in the same industry (such as railroads).
The second kind of bargaining is what we call collective agreements or work agreements. This is when there are multiple employers and many unions, and each union negotiates an agreement with all employers at once. In this case, no one employer can sign an agreement without all the others agreeing to it too.
Collective agreements are more common than you might think. The most obvious example is in Canada where most large companies have signed up with one or more unions and agree to pay them a percentage of their profits (usually around 5%). In return, they get guaranteed jobs for their employees who are also represented by the union whenever they work for another company in the same industry (such as railroads).
