Collective Bargaining (Quick Revision)

Question 1

Define: Collective Bargaining

Answer 1

Collective Bargaining is when individuals negotiate with managers on behalf of a group of employees.

Question 2

Distinguish between consultation and bargaining.

Answer 2

Consultation involves asking others for their opinion but retaining the right to decide.

Whereas…

Bargaining involves both parties coming to an agreement.

Question 3

Distinguish between individual and collective bargaining.

Answer 3

Individual bargaining occurs when each employee bargains for themselves rather than on behalf of several others.

Question 4

State one benefit of collective bargaining to employees.

Answer 4

Greater power because more employees are represented.

Question 5

State one benefit of collective bargaining to employers.

Answer 5

Simplifies the bargaining process and may speed it up.

Question 6

What is the Examiner’s note for Collective Bargaining?

Answer 6

Collective bargaining is more common in some industries than others. Typically in public sector (the health service, firefighters and the post office) wages have been set collectively.

Question 7

What is the Evaluation point for Collective Bargaining?

Answer 7

The bargaining power of managers in collective bargaining depends on:

• How many employees are represented
• The availability of alternative sources of labour
• The impact of industrial action by employees.