Mediation In Collective Bargaining
Mediators can become involved at any stage of the collective bargaining process. If the parties are having difficulty reaching agreement and think that mediation might help, either party can seek mediation. Often both parties will agree that mediation is necessary – however it is always best to first discuss with the other party whether they think that mediation might be helpful.
The Employment Relations Act requires that the parties who are entering into a collective bargaining process first reach an agreement about the process they will use for conducting the bargaining in an effective and efficient manner. This is called a bargaining process agreement. For guidance on what a bargaining process agreement should contain see the Code of Good Faith on the Department of Labour website.
If at any point in the bargaining process the parties reach impasse they can seek the assistance of a mediator. The mediator will assist them to overcome the impasse and then will leave the parties to continue bargaining.
Because in Collective bargaining the parties have to report progress and consider options with parties that are outside the mediation such as union members or company board members the confidentiality obligations that normally apply to mediation do not apply to collective bargaining. However how this information is to be shared and how information is given to the media is something that the parties should agree as part of the Bargaining Process Agreement. There are times when the parties will want to agree that the progress of the discussions is to be kept confidential. Reaching an agreement on what will be reported publicly or on maintaining confidentiality sometimes helps things along, particularly if a range of options is being discussed.
Mediators will record agreements reached but the parties remain responsible for keeping track of changes to the collective agreement.
When agreement is finalised the whole new agreement should do to the union members for ratification. After ratification a copy of the agreement should go to the Secretary of labour at the Department of Labour.
CASE STUDY: Mediation In Collective Bargaining
Ben runs a printing business that employs 22 staff. All staff were on individual employment agreements but he has employed a number of printers who were used to being on a collective agreement and who have talked to their fellow employees about those benefits.
One day a union organiser visited Ben’s firm. Twelve employees joined the union and as a result Ben has received a notice from the Union initiating bargaining for a collective agreement.
Ben felt completely out of his depth. He talked things over with his wife, who reminded him that staff relations had always been good.
Ben phoned the Department of Labour for advice, and now understands that he must send a copy of the notice initiating bargaining and its proposed coverage clause to all his employees, whether they are union members or not. He then organises a preliminary meeting with the Union Organiser in order to agree a Bargaining Process Agreement. Agreement was reached quickly.
Ben is concerned that the difference between the conditions in the current individual agreements and proposed collective agreement are substantial. He does not want to have too greater difference between the employment conditions for union employees and non-union employees and the parties reach an impasse on this issue.
Ben contacts the Department of Labour and a mediator is allocated the case. The mediator contacts both parties to find out what the difficulties are. A mediation meeting is scheduled.
Over two days of meetings the parties are assisted to find common ground and solutions to the employer’s concerns and the union’s desire to have a collective agreement.
Agreement is reached and that agreement goes to the union members for ratification. Following ratification Ben met individually with the non-union members to renegotiate their individual employment agreements.
back to top
This page was last updated on:
15-Sep-2009
and is current.
|
