Collective bargaining basics

PIoWR Learning Hub · about 5 minutes, including the quiz · For: Fishers, Seasonal Workers, Domestic Workers

In this lesson you will learn:

What collective bargaining means
How it works step by step
What a collective agreement can cover

Bargaining together

Collective bargaining is when a union, on behalf of a group of workers, negotiates with an employer (or a group of employers) to agree terms and conditions of work. The result is usually a written collective agreement.

It is different from each worker negotiating alone. Together, workers have more information, more confidence and more weight at the table.

Why it is a right

ILO Convention No. 98 asks governments to encourage and promote voluntary negotiation between employers and workers' organisations, to regulate terms and conditions of employment by collective agreements. Collective bargaining is one of the ILO's fundamental principles and rights at work.

How it usually works

1. Organise. Workers join the union and agree what matters most to them — pay, hours, safety, accommodation, leave.

2. Prepare. The union gathers facts: payslips, hours, costs of living, what other workplaces pay.

3. Agree a claim. Members vote on what to ask for.

4. Negotiate. Union representatives meet the employer. Both sides should bargain in good faith — that means really trying to reach agreement.

5. Report back. Representatives tell members what is on offer. Members decide whether to accept.

6. Sign and use it. The agreement is written down and signed. The union checks that it is followed.

What an agreement can cover

Pay rates and how they rise; hours, overtime and rest; leave; health and safety; accommodation and food; how complaints are handled; and how disputes are settled. For fishers, the work agreement itself is required by C188 — a collective agreement can add to it, for example on a share system.

If talks break down, many countries' laws provide mediation or a tribunal. Check your national law.

Key points

Collective bargaining is negotiation by a union on behalf of a group of workers.
The result is a written collective agreement.
ILO C98 asks governments to promote voluntary collective bargaining.
Good-faith bargaining means genuinely trying to reach agreement.