Collective Bargaining and Organisational Rights

Study Notes

Collective Bargaining

Collective bargaining is important in the labour relationship as it builds harmonious employment relations through negotiation between employers and employees.
The Labour Relations Act (1995) creates a framework that promotes constructive bargaining by:
- Extending organisational rights to trade unions
- Establishing various bargaining forums (bargaining councils, statutory councils, and workplace forums)

Functions of Bargaining Councils

Establish and conclude collective agreements
Enforce collective agreements
Prevent and resolve labour disputes
Perform dispute resolution functions
Manage a dispute resolution fund
Promote and initiate training and education schemes
Initiate and administer schemes or funds to benefit its parties or members (e.g., pension, provident, medical aid, sick pay, holiday, unemployment, and training schemes)

Statutory Councils

Established under the Labour Relations Act (1995) in areas or sectors where no bargaining councils exist
Three main functions:
- Resolve disputes within their area of jurisdiction
- Establish and promote training and education schemes
- Establish and administer pension, provident, medical aid, sick pay, holiday, and unemployment schemes or funds

Collective Agreements

Bind the bargaining council parties and their members who are also parties to the collective agreement
The Minister can extend the application of a collective agreement to non-parties

Representativity and Recognition

Representativity is a precursor to a registered union acquiring organisational rights
There are three levels of representation: sufficient representation, agency-shop agreements, and closed-shop agreements

Agency-Shop Agreements

Established through a collective agreement between an employer and a majority union, or two or more unions acting together to achieve majority representation
Employer deducts agency fees from salaries of employees who are not members of the trade union but are eligible for membership

Closed-Shop Agreements

Require employees who are not members of a trade union to join the trade union
Certain provisos must be met for a closed-shop agreement to become binding, including:
- Holding a ballot of all employees to be covered by the agreement
- Employees need to become members of a trade union only after taking up employment
- Exclusive use of all deductions to further the socio-economic interests of employees

Description

Test your knowledge on collective bargaining and organisational rights in the South African labour system. Learn about the role of collective bargaining, employer's duty to recognise and bargain with a trade union, and the legal status of collective agreements.