In: Economics
If you were the leader of a union during collective bargaining for a labor contract, which type of bargaining would you use? Would your approach be designed to get the best outcome for your workers or to be the most fair?
As being a leader of a union during collective bargaining for a labour contract, I will use Co-operative or Integrative Bargaining to get the best outcome for workers of my company. This method will allow me to sit along with the labour and to try to resolve the problem faced by them of their common interest and also to find a suitable solution which would be beneficial for both the labour as well as the firm. This type of bargaining will allow them to trust the leader and motivate them which will enhance the productivity of the labour.In this way, maximum utilization of workers will lead to effective management and also to increase the profit of the firm.From the side of labour, they will have advantage that their point of view and their demands are considered by the leader and the suitable solution is also derived on the basis of their interest, through which they have better employment opportunities and also have security of their job. By following this method, both the parties that are leader and the labour will reach to a "win-win situation" where they both are mutually beneficial. This will lead to encourage each side to strive for excellence. Therefore, as being a leader I will use Integrative Bargaining to bring out bes for workers of my company.