What is the basic process of negotiating a labor contract?
What will be an ideal response?
Unions and management prepare for the negotiations by establishing objectives, reviewing the existing contract (if any), gathering data, predicting the likely demands to be made, and establishing the costs of meeting the demands. This information guides decisions about how to negotiate.
The negotiation itself goes through various stages, with the most people present in the earliest stages. The union and management present lists of proposals, or the union presents proposals, which management responds to. Each side evaluates the proposals to identify the importance of the issues to each side and the lengths to which they are likely to go in pursuing objectives.
In the final stages of negotiations, pressure for an agreement increases. A neutral third party may act as a go-between or facilitator. In some cases, bargaining breaks down as the two sides find they cannot reach a mutually acceptable agreement. This may lead to work stoppages. Alternatives to resolve the problem and arrive at an agreement include mediation, a fact finder, and arbitration.
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