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1Repair Windows errors before they cause bigger problems2Scan for outdated or missing drivers - takes under a minute3Clear out junk files and repair common Windows errorsCollective bargaining is the process in which employees’ chosen labor organization negotiates with their employer over wages and other terms and conditions of work. Under the U.S. National Labor Relations Act (NLRA), the employer and representative must bargain in good faith, but neither side is required to accept a proposal or make a concession. The process generally moves from selecting a representative to negotiations, then to an agreement or—if the legal standard is met—an impasse.
How does collective bargaining work?
For workplaces covered by the NLRA, collective bargaining follows a series of steps. The exact representation process and the legal rules that apply depend on the employees and employer involved.
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- Employees choose a representative. Employees designate or select a labor organization to represent them in negotiations with the employer. The National Labor Relations Board (NLRB) describes the right as bargaining through a representative employees and coworkers choose. See the NLRB’s employee-rights guidance.
- The representative and employer negotiate. They meet at reasonable times and bargain in good faith over mandatory subjects of bargaining. They may exchange proposals and counterproposals and, in some circumstances, must provide relevant information.
- They seek a written agreement. If the parties reach an agreement and either requests it, the NLRA provides for incorporating the agreement into a written contract. The duty is to negotiate in good faith—not to reach a particular result.
- They reach an agreement or a valid impasse. Bargaining continues until the parties agree or reach impasse. A disagreement alone does not necessarily establish impasse; whether one exists depends on the facts. If a valid impasse occurs, an employer may implement terms it offered before the impasse, but the NLRB may review a dispute over whether the legal standard was met.
- They administer the contract and bargain again. The parties apply the agreement during its term and may later negotiate a successor contract. When a contract expires, they generally continue bargaining, with most expired terms remaining in effect while negotiations continue, subject to exceptions and applicable notice rules.
The Federal Mediation and Conciliation Service (FMCS) can provide mediation for initial or successor contract negotiations and offers training in negotiation, conflict resolution, and contract administration. The NLRB describes the listed FMCS services as free. NLRB collective bargaining resources.
What can employees and employers bargain over?
Mandatory bargaining subjects generally include wages, hours, and other terms and conditions of employment. NLRB examples include health and safety, leave, insurance, vacation, and anti-discrimination or anti-harassment policies. The NLRB’s examples and overview explain the scope of these discussions.
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Some management or operational decisions, such as relocation or subcontracting, may not themselves be mandatory subjects. The employer may still have a duty to bargain over the effects of such a decision on represented employees. How the distinction applies can depend on the circumstances and current law.
What does bargaining in good faith require?
Good-faith bargaining requires the parties to make a sincere effort to negotiate, including meeting at reasonable times. The NLRA does not require either party to agree to a proposal or make a concession. That means a party can reject a proposal while still bargaining in good faith; the relevant question is whether it is genuinely participating in the bargaining process, not whether it gives the other side what it wants. Section 8(d) of the NLRA states that the obligation does not compel agreement or require a concession.
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What happens when a collective bargaining agreement expires?
Expiration does not generally end the bargaining relationship. The parties usually continue negotiating a successor agreement, and most terms of the expired contract continue during that period. There are exceptions, and written notice and timing requirements apply to termination or modification. Healthcare agreements have different timing rules, so a deadline or live dispute should be checked against current agency guidance or with qualified counsel. NLRB guidance on collective bargaining rights and the NLRB’s rights and obligations guidance describe these rules.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.Does the NLRA cover every worker and employer?
No. The process described here concerns the U.S. NLRA framework; it should not be assumed to govern every workplace or collective bargaining system. The NLRB says the NLRA does not apply to federal, state, or local government employers; employers who employ only agricultural workers; or employers subject to the Railway Labor Act, including interstate railroads and airlines. Other labor laws or systems may apply. The NLRB’s FAQ on NLRA coverage lists these exclusions.
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