MHR 612 Final Test With
Correct Solution
U.S. union contracts (collective bargaining) - ANSWER -compensation
-personnel policies +procedures
-employee rights + responsibilities
-Union rights + responsibilities
-dispute resolution+ ongoing decision making
Need information from employer + union to determine 5 essential things: - ANSWER o
Interests/concerns
o Options for achieving interests
o External benchmarks of fairness
o The other side's interests
o Best Alternative to a Negotiated Agreement (BATNA-pt. willing to walk away, next best
option)
bargaining structure - ANSWER resulting organizational structure for collective
bargaining process
-If the parties agree, the multiple units combine into a single larger bargaining unit for
negotiating a contract
When determining the desired bargaining structure, labor and management negotiators
face a trade-off between power and responsiveness
pattern bargaining - ANSWER union bargains exclusively w/target company until
agreement reached
-that agreement is used by the union as the pattern for subsequent negotiations in the
same industry
-sequential bargaining process is an informal way of achieving more centralized
bargaining structure
-before the 1980's, pattern bargaining was a prominent feature of collective bargaining
in many industries
,Decentralized bargaining - ANSWER more responsive to local needs
-limited group of employees in single workplace-management prefers local situations
-issues are more homogenous and negotiations are close to constituents but decreases
labor's bargaining power (management prefers)
-as negotiations become MORE centralized, the # of issues increase
trend towards greater decentralization
Centralized bargaining - ANSWER numerous occupations, locations, co.-unions prefer
to combo power + contractsà "taking wages out of competition" but too far removed
Bargaining Power - ANSWER the ability to secure another's agreement on one's own
terms
Strikes - ANSWER most important way for unions to impose disagreement costs on
employers,
greater the union strike leverage, increase bargaining power
Bargaining environment - ANSWER analyzing relative bargaining power includes
identifying important elements of bargaining environment
-diverse set of external influences on labor + management as a contract is negotiated
-The dimensions of the bargaining environment apply equally to private (market forces)
+ public (gov't pressure) sectors
-Overpaid workers can be replaced by others willing to work for less
2 key differences between bargaining environment in the public and private sector -
ANSWER -public sector management does not have the option of moving to a different
location in search of lower labor costs
-public services are not bought and sold in economic markets, heightens important of
the sociopolitical dimension
what do these differences lead to - ANSWER public sector unions too powerful. in
private sector, if one car is too expensive, consumers can purchase competing brands.
on the other hand, overpaid workers can be replaced by others willing to work for less
Bargaining Table - ANSWER labor negotiations as theatre
-dramatic structure of labor negotiations make negotiations more complex/conflict than
they appear
-Experienced lead negotiators meet in private with no other bargaining members
present to explore wide-range options
,-Sidebar convos: only 1 rep speak on each side
-This dramatic structure applies equally well to the grievance procedure
negotiating tools - ANSWER -contract costing
-bargaining book
Contract costing - ANSWER used to evaluate proposals by estimating monetary costs
-Requires projections of complex issues + negotiators might disagree
Bargaining book - ANSWER each side uses 3 ring binder to create complete record
negotiation + minutes of each bargaining session
Bad faith bargaining - ANSWER 1) unilateral change
2) direct dealing
3) failing to provide information
4) surface bargaining
unilateral change - ANSWER occurs when employer changes wages, benefits, or other
terms of employment w/o first bargaining with the union
direct dealing - ANSWER occurs when employer illegally ties to circumvent + undermine
union by directly interacting w/ employee's w/respect to bargaining issues (survey,
coercive comm)
Failing to provide information - ANSWER required to provide information which is
necessary for representing the workers effectively: wages, health/safety
Surface bargaining - ANSWER occurs when the employer or union goes through the
motions of bargaining but does NOT sincerely try to reach agreement
Bargaining items- 3 categories - ANSWER 1) mandatory bargaining items- wages, hours,
terms of conditions
2) illegal bargaining items: violate law, such as payment of wages below legal min, racial
discrimination, closed shop
3) permissive bargaining items- everything excluding mandatory +illegal
examples of permissive - ANSWER -union representation on the board of directors
-drug and alcohol screening for applicants
-benefits for retirees
-interest arbitration
, -bargaining unit expansion
-contract ratification procedures
-plant closing
collective bargaining in both sectors for 3 reasons: - ANSWER 1) mixed motive- conflict
of interest and shared opp for mutual gain (dist./integrative)
2. Employer-emp union relationship long term, ongoing affair (attitudinal structuring)
3. both employers + unions have constituencies w/diverse interests (intraorganizational)
distributive bargaining - ANSWER negotiation used to resolve conflict of interest- zero
sum bargaining
-the classic version of collective bargaining - union and management negotiations
demanding more
focus- resolving conflicts of interests
at the bargaining table btwn labor and management negotiators
Integrative bargaining - ANSWER solving joint problems (that do not involve conflicts of
interest) by creating solutions for mutual gains; often collaborative
subprocess occurs at the bargaining table and in brainstorming sessions between labor
and management negotiators and their committees
steps to integrative bargaining - ANSWER 1) identify issue
2) understand e/o's fundamental interests
3) brainstorm options for satisfying interests
4) create standards: obj. criteria (feasible, satisfy interests, acceptable)
5) apply standards to options
6) finalize solution
attitudinal structure - ANSWER changing attitudes and labor-management feelings
toward each other ; often trust-building
occurs at the bargaining table between labor and management negotiators, but spilling
over to others
-it creates a social contract
-negotiation for managing transactions
Intra-organizational bargaining - ANSWER captures the conflict resolution strategies
Correct Solution
U.S. union contracts (collective bargaining) - ANSWER -compensation
-personnel policies +procedures
-employee rights + responsibilities
-Union rights + responsibilities
-dispute resolution+ ongoing decision making
Need information from employer + union to determine 5 essential things: - ANSWER o
Interests/concerns
o Options for achieving interests
o External benchmarks of fairness
o The other side's interests
o Best Alternative to a Negotiated Agreement (BATNA-pt. willing to walk away, next best
option)
bargaining structure - ANSWER resulting organizational structure for collective
bargaining process
-If the parties agree, the multiple units combine into a single larger bargaining unit for
negotiating a contract
When determining the desired bargaining structure, labor and management negotiators
face a trade-off between power and responsiveness
pattern bargaining - ANSWER union bargains exclusively w/target company until
agreement reached
-that agreement is used by the union as the pattern for subsequent negotiations in the
same industry
-sequential bargaining process is an informal way of achieving more centralized
bargaining structure
-before the 1980's, pattern bargaining was a prominent feature of collective bargaining
in many industries
,Decentralized bargaining - ANSWER more responsive to local needs
-limited group of employees in single workplace-management prefers local situations
-issues are more homogenous and negotiations are close to constituents but decreases
labor's bargaining power (management prefers)
-as negotiations become MORE centralized, the # of issues increase
trend towards greater decentralization
Centralized bargaining - ANSWER numerous occupations, locations, co.-unions prefer
to combo power + contractsà "taking wages out of competition" but too far removed
Bargaining Power - ANSWER the ability to secure another's agreement on one's own
terms
Strikes - ANSWER most important way for unions to impose disagreement costs on
employers,
greater the union strike leverage, increase bargaining power
Bargaining environment - ANSWER analyzing relative bargaining power includes
identifying important elements of bargaining environment
-diverse set of external influences on labor + management as a contract is negotiated
-The dimensions of the bargaining environment apply equally to private (market forces)
+ public (gov't pressure) sectors
-Overpaid workers can be replaced by others willing to work for less
2 key differences between bargaining environment in the public and private sector -
ANSWER -public sector management does not have the option of moving to a different
location in search of lower labor costs
-public services are not bought and sold in economic markets, heightens important of
the sociopolitical dimension
what do these differences lead to - ANSWER public sector unions too powerful. in
private sector, if one car is too expensive, consumers can purchase competing brands.
on the other hand, overpaid workers can be replaced by others willing to work for less
Bargaining Table - ANSWER labor negotiations as theatre
-dramatic structure of labor negotiations make negotiations more complex/conflict than
they appear
-Experienced lead negotiators meet in private with no other bargaining members
present to explore wide-range options
,-Sidebar convos: only 1 rep speak on each side
-This dramatic structure applies equally well to the grievance procedure
negotiating tools - ANSWER -contract costing
-bargaining book
Contract costing - ANSWER used to evaluate proposals by estimating monetary costs
-Requires projections of complex issues + negotiators might disagree
Bargaining book - ANSWER each side uses 3 ring binder to create complete record
negotiation + minutes of each bargaining session
Bad faith bargaining - ANSWER 1) unilateral change
2) direct dealing
3) failing to provide information
4) surface bargaining
unilateral change - ANSWER occurs when employer changes wages, benefits, or other
terms of employment w/o first bargaining with the union
direct dealing - ANSWER occurs when employer illegally ties to circumvent + undermine
union by directly interacting w/ employee's w/respect to bargaining issues (survey,
coercive comm)
Failing to provide information - ANSWER required to provide information which is
necessary for representing the workers effectively: wages, health/safety
Surface bargaining - ANSWER occurs when the employer or union goes through the
motions of bargaining but does NOT sincerely try to reach agreement
Bargaining items- 3 categories - ANSWER 1) mandatory bargaining items- wages, hours,
terms of conditions
2) illegal bargaining items: violate law, such as payment of wages below legal min, racial
discrimination, closed shop
3) permissive bargaining items- everything excluding mandatory +illegal
examples of permissive - ANSWER -union representation on the board of directors
-drug and alcohol screening for applicants
-benefits for retirees
-interest arbitration
, -bargaining unit expansion
-contract ratification procedures
-plant closing
collective bargaining in both sectors for 3 reasons: - ANSWER 1) mixed motive- conflict
of interest and shared opp for mutual gain (dist./integrative)
2. Employer-emp union relationship long term, ongoing affair (attitudinal structuring)
3. both employers + unions have constituencies w/diverse interests (intraorganizational)
distributive bargaining - ANSWER negotiation used to resolve conflict of interest- zero
sum bargaining
-the classic version of collective bargaining - union and management negotiations
demanding more
focus- resolving conflicts of interests
at the bargaining table btwn labor and management negotiators
Integrative bargaining - ANSWER solving joint problems (that do not involve conflicts of
interest) by creating solutions for mutual gains; often collaborative
subprocess occurs at the bargaining table and in brainstorming sessions between labor
and management negotiators and their committees
steps to integrative bargaining - ANSWER 1) identify issue
2) understand e/o's fundamental interests
3) brainstorm options for satisfying interests
4) create standards: obj. criteria (feasible, satisfy interests, acceptable)
5) apply standards to options
6) finalize solution
attitudinal structure - ANSWER changing attitudes and labor-management feelings
toward each other ; often trust-building
occurs at the bargaining table between labor and management negotiators, but spilling
over to others
-it creates a social contract
-negotiation for managing transactions
Intra-organizational bargaining - ANSWER captures the conflict resolution strategies
