WHOLE BRAIN LEARNING SYSTEM

OUTCOME-BASED EDUCATION
TECHNICAL VOCATIONAL AND LIVELIHOOD
WORK ETHICS GRADE
SOCIAL AND MORAL 12
VALUES

SECOND
LEARNING SEMESTER

MODULE WEEK 3-4

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 MODULE
IN
WORK ETHICS
SHS

QUARTER 2
WEEKS 3-4

Labor Relations

Development Team

Writers: Alma C. Asuncion Noemi Rose P. Longboy

Editor: Eliza G. Salvador

Reviewer: Eliza G. Salvador

Layout Artist: Jhone Terence C. Marucut

Management Team:

Vilma D. Eda Arnel S. Bandiola

Lourdes B. Arucan Juanito V. Labao

Marju R. Miguel

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 WHAT I NEED TO KNOW

This module deals with the role of ethics in the industry. It is designed to
develop, improve, and reinforce student’s knowledge, abilities, skills, and attitude to
help him/her become desirable worker, able to cope with and adjust to worker
management problems. It also emphasizes the development of the student’s
awareness of himself/herself as a person, his/her relation to God, to his/her family,
fellow workers and to his/her fellowmen, superiors, peers in the company where
he/she works and to his/her country. It includes the contemporary Filipino values, its
actual application at home, in the community and in the industry towards the
attainment of self-productivity and self-efficiency.

Labor Relations (WE12-Ia4.1-2)

Content Standard:
The learner demonstrates an understanding the laws, rules, regulations, case law,
principles, and practices related to negotiating and administering labor agreements.

Performance Standard:
The learner shall be able to show relevant situations exemplifying the concepts of
labor relations in the Philippines.

Learning Objectives:
At the end of the lesson, the learners are expected to:
1. explain labor relations
2. discuss and cite examples about:
a. labor unions
b. rights of labor
c. duties of worker
d. duties of employer
e. cohesive measures
f. kinds of strikes
g. collective bargaining

The following reminders serve as your guide in using this module:

1. Use the module with care. Do not put unnecessary mark/s on any part
of the module. Use a separate sheet of paper in answering the
exercises.

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 2. Answer first What I Know before moving on to other activities included
in the module.
3. Read the instructions carefully before doing each task.
4. Observe honesty and integrity in doing the tasks and checking your
answers.
5. Finish the task at hand before proceeding to the next.
6. Return this module to your teacher/facilitator once you are through with
it.
If you encounter any difficulty in answering the tasks in this module,
do not hesitate to consult your teacher or facilitator. Always bear in mind
that you are not alone.

We hope that through this material, you will experience meaningful

learning and gain a deep understanding of the relevant competencies. You
can do it!

WHAT I KNOW
PRE-TEST
Direction: This is to test your prior knowledge of the given lesson. Read and
analyze each statement carefully. Choose the letter of the correct answer. Use a
separate sheet of paper.

1. Which term refers to an unwritten contract that is created when an employee

agrees to work for an employer, but no agreement exists as to how long the parties
expect the employment to last?
A. contract employment
B. employment at will
C. temporary assignment
D. right-to-work law
2. The state of employee self-control and orderly conduct that indicates the extent
of genuine teamwork within an organization is referred to as __________.
A. discipline B. ethics
C. internal employee relations D. punishment
3. In the disciplinary action process, what must occur immediately after management
establishes rules?
A. communicate rules to employees
B. compare performance with rules
C. observed performance
D. set organizational goals

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 4. All of the following statements are true about communication in the workplace
Except:
A. Employees need to be informed of what’s going on with the company and
how it might affect their jobs
B. Employees are not stakeholders in the business and do not have a right to
know about management’s plans
C. Communication is important way to ensure good relationships between
employers and employees
D. Communication can be carried out through formal means, such as
newsletters and satisfaction surveys or informal means, such as day-to-day contact
between support staff and management

5. What is the purpose of employee relations?

A. adhere to the law pertaining to workers’ rights
B. maintain a harmonious working environment
C. undertake conflict resolution
D. All of the above
6. The Employees' Compensation Program is the tax-exempt compensation
program for employees and their dependents created under Presidential Decree No.
626 which was implemented in March 1975. Which of the following benefits should
not be included?
A. Death and funeral benefits
B. Disability benefits
C. Educational benefits
D. Medical benefits for sickness/injuries

7. As an employee, you have a 'duty of care' responsibility for safety and health at
the workplace. Under Section 20 of the Occupational Safety and Health Act 1984,
What does 'duty of care' means?

A. make sure your actions do not cause injury or harm to others;

B. follow your employer's instructions on safety and health – ask for assistance
if you do not understand the information;

C. take care of any protective clothing and equipment (PPE) in the way you
have been instructed and report any concerns about it;

D. All of the above

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 8. The aim of this bargaining is to strengthen the business to ensure its survival
alongside its employees, so unions give back previous benefits to secure the
businesses’ long-term future and therefore its members. This refers to what type of
bargaining?
A. Composite bargaining
B. Concessionary bargaining
C. Integrative bargaining
D. Productivity bargaining
9. Just cause refers to any wrongdoing committed by an employee including.
A. serious conduct
B. willful obedience of employers' lawful orders connected with work.
C. gross and habitual neglect of duty
D. promotion against the employer, employer's family member/s or
representative

10. Which of the following refers to a process between employers and employees,
management, and unions in order to make decisions in organizations?
A. Cohesive Measures B. Collective bargaining
C. Labor relations D. Strikes

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 Lesson

2 Labor Relations

WHAT’S IN

Activity 2.1. Concept Map: Labor Relation

Direction: What are the first words that comes in your mind when you hear the word
“Labor Relation”? Copy the Concept Map below in any clean sheet of paper. Write
the first words that comes in your mind in the circles.

Labor
Relation

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 WHAT’S NEW

Activity 2.2. Concept Map: Labor Relation

Before we begin our discussion, give short answers to the questions
below. Write your answers in any clean sheet of paper and label it as Activity 2.2.
1. What is the goal of Labor Relation?
2. Why do Labor Relation is important in every workplace?

Labor Relations
Human Resource Services – Labor Relations provides advice, guidance and
direction to employees, supervisors and administrators on a wide range of Labor
Relations and collective bargaining matters. The Labor Relations unit manages the
relationship between the University and its organized bargaining units and associated
unions.

Labor Relations is responsible for managing:

• Employee, supervisor and administrator labor relations questions
• Addressing union organizing and employee representation matters
• Contract/policy and procedure consultation, interpretation and administration
• Collective bargaining
• Grievance administration, investigation, mediation and arbitration
• Labor/Management relations and meetings
• Labor/Management informal conflict resolution
• Administrator and management training
• Union requests for information

https://hrs.wsu.edu/employees/labor-relations/

WHAT IS IT
Labor Relations: Contemporary Issues in Human Resource Management
By Ana‐Maria Bercu and Ana Iolanda Vodă
Submitted: October 16th 2016Reviewed: March 17th 2017Published: June 7th 2017
DOI: 10.5772/intechopen.68625

Today’s workers want more than a salary, and they want additional benefits to
enrich their lives, to increase their importance at workplace and to be valuable for the
organization. The labor relations are more than a static interpretation of contract

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between an employee and an employer. Means a sum of connections between skills,
abilities, values and opportunities at work. Employee role in organization has grown in
importance and variety over the time. For them, the labor relations become a way to
live, to self‐development and to obtain recognition. The employers realize that to keep
motivated and committed people in organization need more than a salary. It is about
benefits in financial terms, but, also, talking about safety at work, security, rights and
duties. Benefits are necessary to assure the job satisfaction.

Labor relations are the term used to define the process between employers and
employees, management and unions in order to make decisions in organizations. The
decisions taken refer to wages, working conditions, hours of work, and safety at work,
security and grievances. Why is an important topic for Human Resource
Management?

It is known that wage and other economic benefits for employees represent not
only their current income, but also the potential for economic growth and the ability to
live comfortable during the active life and after the retirement. Wage is considered as
an important economic variable for competitiveness. The world economic crises have
shown that the role of wages in sustaining demand in a context of stagnant growth
and very low inflation is very important and needs a particular attention from the part
of management boards, government and employees, through their representants.

Wages and benefits received by employees for their work represent the
compensation or ‘the price paid by employers for their workers services’. This requires
a specific analyze due to the fact that the work is realized under a contract and propose
and active commitment of the workers . From this perspective, the wage issues require
a specific analytical framework because the work cannot be separated by the human
beings, and according to the several studies, the level of payment and economic
benefits of employees are positively related to employee satisfaction at work.

Wage and salary are considered as most important and difficult collective
bargaining issue. In the employment relationships, the collective bargaining process
has several implication at individual levels, for the employers, as a determinant of
production and labor costs, among employers on the competition market, between
employers and employees as a distribution of added value, for employees, as a key
factor for their income and sustainability on a dynamic labor market, among
employees, expressing the solidarity through the ‘wage floors’ applying to different
group of workers at a given bargaining level.

The parties could negotiate the total package of wage and benefits in individual
terms or in collective terms, but reflecting the aim of labor contract: The employees
must be paid for their work, and the employers must receive qualitative work.

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 Also, the negotiations reflect the interest of all the parties involved: managers,
employees through their representants and government.

For the policy‐makers to find a balance between assuring the rights and
promote competitiveness in their organization, also to make their employers more
productive is a key priority, drawing on a range of policy measure. Important aspects
cover wage settings, collective bargaining, employees’ representativeness, safety and
security needs, working hours and contracts. All these influences the policies and the
labor market flexibility. The employees find satisfaction in being able to perform task
adequately and are more willing to perform a better job, increasing the involvement at
workplace and become more implies

Labor Rights or Workers' Rights

Both legal rights and human rights relating to labor

relations between workers and employers. These rights are codified in national and
international labor and employment law. In general, these rights influence working
conditions in relations of employment. One of the most prominent is the right
to freedom of association, otherwise known as the right to organize. Workers
organized in trade unions exercise the right to collective bargaining to improve
working conditions.

https://en.wikipedia.org/wiki/Labor_rights

The Workers Basic Rights

Equal Work Opportunities for All

The State shall protect labor, promote full employment, provide equal work
opportunity regardless of gender, race, or creed; and regulate employee-employer
relations.
Male and female employees are entitled to equal compensation for work of equal
value and to equal access to promotion and training opportunities. Discrimination
against female employees is unlawful. It is also unlawful for an employer to require a
condition of employment that a woman employee shall not get married, or to stipulate
expressly or tacitly that a woman employee shall be deemed dismissed upon
marriage.
The minimum age of employment is 18 years for hazardous jobs, and 15 years for
non-hazardous jobs. But a child below 15 maybe employed by parents or guardians
in a non-hazardous job if the employment does not interfere with the child's schooling.

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Security of Tenure

Every employee shall be assured security of tenure. No employee can be

dismissed from work except for a just or authorized cause, and only after due process.
Just Cause refers to any wrongdoing committed by an employee including:
1. serious misconduct
2. willful disobedience of employers' lawful orders connected with work
3. gross and habitual neglect of duty
4. fraud or willful breach of trust
5. commission of crime or offense against the employer, employer's family
member/s or representative
6. other analogous cases
Authorized Cause refers to an economic circumstance not due to the employee's
fault, including:
1. the introduction of labor-saving devices
2. redundancy
3. retrenchment to prevent losses
4. closure or cessation of business
Due Process in cases of just cause involves:
1. notice to employee of intent to dismiss and grounds for dismissal
2. opportunity for employee to explain his or her side
3. notice of decision to dismiss
In authorized causes, due process means written notice of dismissal to the
employee specifying the grounds, at least 30 days before the date of termination.
The inability of a probationary employee to meet the employer's prescribed
standards of performance made known to him or her at the time of hiring is also a just
cause for dismissal.

Work Days and Work Hours

Workday refers to any day during which an employee is regularly required to work.
Hours of Work refer to all the time an employee renders actual work or is required to
be on duty or to be at a prescribed workplace. The normal hours of work in a day is 8
hours. This includes breaks or rest period of less than one hour, but excludes meal
periods, which shall not be less than one hour.
An employee must be paid his or her wages for all hours worked. If all or any part
of his or her regular work hours falls between 10:00 p.m. to 6:00 a.m., a covered
employee shall be entitled to a night shift pay in addition to his or her pay for regular
work hours. If he or she works for more than 8 hours in one day, he or she shall be
entitled to overtime pay.

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 Weekly Rest Day

A day-off of 24 consecutive hours after 6 days of work should be scheduled by

the employer upon consultation with the workers.

• Wage and Wage-Related Benefits

Wage is the amount paid to an employee in exchange for a task, piece of work,
or service rendered to an employer. This includes overtime, night differential, rest
day, holiday and 13th month pay. It also includes the fair and reasonable value of
board, lodging and other facilities customarily furnished by the employer.
Wage may be fixed for a given period, as when it is computed hourly, daily or
monthly. It may also be fixed for a specified task or result. If wage is for a fixed
period, the minimum wage for a regular 8-hour workday shall not be lower than the
minimum daily wage applicable to the place of work as determined by the Regional
Tripartite Wage and Productivity Board having jurisdiction over workplace.
If wage is paid by result, the worker shall receive at least the prescribed minimum
wage for 8 hours of work. The amount may be increased or reduced proportionately
if work is rendered for more or less than 8 hours a day.
An employer cannot make any deduction from an employee's wage except for
insurance premiums with the consent of the employee, for union dues, or for
withholding taxes, SSS premiums and other deductions expressly authorized by
law.

• Payment of Wages

Wages shall be paid in cash, legal tender at or near the place of work. Payment
may be made through a bank upon written petition of majority of the workers in
establishments with 25 or more employees and within one (1) kilometer radius to a
bank. Payment shall be made directly to the employees.
Wages shall be given not less than once every two (2) weeks or twice within a
month at intervals not exceeding 16 days.

• Employment of Women
Nightwork prohibition unless allowed by the Rules:
• in industrial undertakings from 10PM to 6AM
• in commercial/non-industrial undertakings from 12MN to 6AM
• in agricultural undertakings, at night time unless given not less than 9
consecutive hours of rest
Welfare facilities must be installed at the workplace such as seats, separate
toilet rooms, lavatories, and dressing rooms.

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 Prohibition against discrimination with respect to pay (i.e. equal pay for work of
equal value), promotion, training opportunities, study and scholarship grants.

• Employment of Children

Minimum employable age is 15 years. A worker below 15 years of age should be

directly under the sole responsibility of parents or guardians; work does not interfere
with child's schooling/normal development.
No person below 18 years of age can be employed in a hazardous or deleterious
undertaking.

• Safe Working Conditions

Employers must provide workers with every kind of on-the-job protection against
injury, sickness or death through safe and healthful working conditions.
Jobs may be hazardous or highly hazardous. Hazardous jobs are those which
expose the employee to dangerous environment elements, including contaminants,
radiation, fire, poisonous substances, biological agents and explosives, or
dangerous processes or equipment including construction, mining, quarrying,
blasting, stevedoring, mechanized farming and operating heavy equipment.

• Right to Self-Organization and Collective Bargaining

The right to self-organization is the right of every worker, free of any interference
from the employer or from government, to form or join any legitimate worker's
organization, association or union of his or her own choice. Except those classified
as managerial or confidential employees, all employees may form or join unions for
purposes of collective bargaining and other legitimate concerted activities. An
employee is eligible for membership in an appropriate union on the first day of his
or her employment.
Collective Bargaining involves two parties:
1. the representative of the employer
2. a union duly authorized by the majority of the employees within a bargaining
unit called exclusive bargaining agent.
It is a process where the parties agree:
1. to fix and administer terms and conditions of employment which must not
be below the minimum standards fixed by law
2. to set a mechanism for resolving their grievances
The result of collective bargaining is a contract called collective bargaining
agreement (CBA). A CBA generally has a term of five years. The provisions of a
CBA may be classified as political or economic. Political provisions refer to those

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 which define the coverage of the CBA and recognize the collective bargaining agent
as the exclusive representative of the employees for the term of the CBA. Economic
provisions refer to all terms and conditions of employment with a monetary value.
Economic provisions have a term of five years but may be renegotiated before the
end of the third year of effectivity for the CBA.

• EC Benefits for Work-Related Contingencies

The Employees' Compensation Program is the tax-exempt compensation

program for employees and their dependents created under Presidential Decree No.
626 which was implemented in March 1975. The benefits include:
• Medical benefits for sickness/injuries
• Disability benefits
• Rehabilitation benefits
• Death and funeral benefits
• Pension benefits

https://bwc.dole.gov.ph/the-workers-basic-rights

Duties of Worker
As an employee, you have a 'duty of care' responsibility for safety and health at the
workplace. Under Section 20 of the Occupational Safety and Health Act 1984, your
'duty of care' means that you must:

• work safely to ensure your own safety and health;

• make sure your actions do not cause injury or harm to others;
• follow your employer's instructions on safety and health – ask for assistance if
you do not understand the information;
• take care of any protective clothing and equipment (PPE) in the way you have
been instructed and report any concerns about it;
• report any hazards, injuries or ill health to your supervisor or employer; and
• cooperate with your employer when they require something to be done for
safety and health at the workplace.

The employee's 'duty of care' responsibility also applies to contractors, labour hire
workers, apprentices and workers in other labour arrangements.

Where you wish to take a more proactive role in ensuring safety and health at the
workplace, there are different options for participating at the workplace.

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 Concerns about workplace safety and health

A wide range of issues can be safety and health concerns that need to be
addressed, such as slippery floors, lifting heavy loads, faulty or unguarded machinery
and equipment, chemicals and workplace bullying or violence.

If you are concerned about your own or your co-workers' safety and health:

• talk to your supervisor, employer and/or safety and health representative (if
there is one) – do this straight away before a small problem gets more serious
and causes an injury or harm;
• talk to one of your more experienced co-workers;
• raise your concerns with your safety and health committee or safety and health
manager if you have them;
• try to resolve the issue through your workplace's issue resolution procedure;
• where attempts to resolve a safety and health issue at work have not
succeeded and there is a risk of imminent and serious injury or harm to health,
you can contact WorkSafe and request an inspector attend the workplace;
• where attempts to resolve a safety and health issue at work have not
succeeded and there is no risk of imminent and serious injury, you can contact
WorkSafe for advice. If you wish an inspector to attend the workplace, your
request will be considered – you can request that WorkSafe does not release
your name to your employer; and
• refuse to work where you have reasonable grounds to believe there is a risk of
imminent and serious injury or harm to health – before considering this, it is
advised that you refer to the requirements that must be met;
• if you work through a group training organization or labor hire agency, report
your concerns to them, as well; and/or
• if you are a work experience or structured workplace learning student, speak to
your teacher or trainer about your concerns.

Participating in safety and health at the workplace

Participating in safety and health at the workplace is a way of having a say on

the safety and health of your job and that of your co-workers.

Employees are often best placed to know about safety and health because they
know how the work is actually done and may have seen near misses and incidents in
the past.

You can participate in safety and health at the workplace by:

• talking directly with your employer, supervisor and co-workers about any
concerns you may have;

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 • notifying the supervisor or employer of any hazards or injuries, or potential
hazards or injuries;
• participating in training on any procedures that you are unfamiliar with;
• asking questions about any matters you do not understand;
• where required, requesting information and training be provided in an
appropriate format to suit your needs, for example through the use of an
interpreter or translator;
• where there are safety and health representatives or a safety and health
committee, raising issues with them and/or nominating to become a safety and
health representative or a committee member; and
• where you don't have safety and health representatives, you can request your
employer hold an election for them.

Refusal to work

Under section 26 of the Occupational Safety and Health Act 1984, employees
may refuse to undertake some work where they have 'reasonable grounds' to believe
there is a risk of imminent and serious injury or harm to health.

However, the employee must have reasonable grounds for believing the work is
unsafe ie there must be the real probability of an accident, injury or harm occurring.

There are certain factors that should be taken into account when considering whether
or not there are reasonable grounds to believe that continuing to work would result in
exposure to the risk of imminent and serious injury or harm to health. These factors
include whether a WorkSafe inspector has attended the workplace because an issue
could not be resolved and what measures, if any, they required be taken to remove
the risk.

Before you refuse to work, you must take the following steps:

• notify the employer and safety and health representative (if there is one); and
• attempt to resolve the issue according to the workplace's relevant (issue
resolution) procedure.

The decision to refuse to work should be made with care – it is recommended that you
read the information listed below. These also outline the requirements in relation to
assignment of alternative work and payment of entitlements.

Duties of Employer

Your employer has a responsibility to provide and maintain, as far as practicable, a

safe working environment, under section 19(1) of the Occupational Safety and Health
Act 1984. This is called the employer's 'duty of care' and it applies regardless of the
terms or type of your employment and includes casual workers.

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The employer's 'duty of care' includes protecting you from both physical hazards (for
example, slippery floors, heavy loads, unguarded machinery and hazardous
substances) and 'psychosocial' workplace hazards (for example, workplace bullying,
violence and aggression).

The employer's 'duty of care' means that your employer must, as far as practicable:

• provide and maintain workplaces, plant and systems of work so that you and
other workers are not exposed to hazards;
• provide information about the hazards and risks from your job;
• provide you with instruction, training (including an induction) and supervision so
you are able to work safely;
• consult and co-operate with safety and health representatives (if any) and
employees about safety and health;
• where it is not practicable to avoid the presence of hazards, provide
adequate personal protective clothing and equipment without any cost to you;
and
• ensure your safety and health in relation to plant and hazardous substances at
the workplace so you are not exposed to hazards.

To meet their 'duty of care', the employer must take into account any individual
needs an employee may have to ensure they are able to work safely.

Your employer also has a responsibility to inform you about:

• how to resolve any complaints or concerns about safety and health at work;
• what to do in an emergency;
• what to do if you are injured; and
• your rights to workers' compensation if you are injured.

You also have the right to:

• be represented by a safety and health representative (Sections 29-32 of the

OSH Act) and/or have a safety and health committee (Sections 36-41 of the
OSH Act) – you can request your employer holds an election for safety and
health representatives and/or sets up a safety and health committee;
• be notified about the outcome of investigations into hazards or injuries that you
have reported (Section 23K of the OSH Act); and
• refuse to work where you have reasonable grounds to believe there is a risk of
imminent and serious injury or harm to health – before considering this, it is
advised that you refer to the requirements that must be met.

You also have a duty of care responsibility in relation to safety and health at the work.
This includes working safely and not affecting the safety and health of others.

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Casual and labour hire workers

Casual and labor hire workers have a right to a safe workplace and the same safety
and health standards as for other workers.

If you are a casual or labor hire worker, you must be provided with safety and health
training, instruction and information so you can work safely, not matter how short a
time you will be at the workplace.

Further information

Casual workers – Managing the safety of a temporary workforce.

Industry checklist – OSH and labour hire workers

Individual needs

The law in Western Australia requires the employer to take into account the individual
needs of employees to ensure they are able to work safely. This means the employer
must consider the appropriate format for your safety and health training, instruction
and information so you are best able to understand them.

For example, for workers from a migrant or non-English speaking background, the
information, instruction and training may need to be provided in other languages so
workers can fully understand what is required.

Further information

• A guide for migrant workers

• Casual workers – Managing the safety of a temporary workforce.
• Migrant workers: A guide for employers
• Older workers and safety: A guide for employers, workers, safety and health
representatives and committees

Induction

Part of the employer's 'duty of care' includes providing employees with instruction,
training and supervision so you are able to work safely. This must include a general
and job specific induction.

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Personal protective clothing and equipment (PPE)

Where it is not practicable to avoid the presence of hazards, your employer has a duty
to provide adequate personal protective clothing and equipment (PPE) without any
cost to you. This applies whether you are an employee at the workplace or a labour
hire employee.

Examples of PPE are:

• gloves;
• safety boots;
• aprons;
• dust masks; and
• safety glasses.

If you require PPE different to what is being provided by your employer, for example
prescription safety glasses instead of over glasses or brand name safety boots,
consult your employer about who will pay the difference in cost.

Where your employer has provided you with PPE, they must inform you on:

• when it is to be used;
• how it is to be used; and
• how to maintain it.

Where your employer has directed you to use PPE, you must:

• use the PPE according to the employer's instructions – ask for assistance if you
do not understand;
• not misuse or damage the PPE; and
• when you notice the PPE is damaged, not working or dirty, report this to the
appropriate person at the workplace.

PPE is often used in conjunction with other control measures, and should not be the
only way of controlling a hazard. Ask your employer if you are not clear about all the
controls in place to eliminate or minimise a hazard.

https://www.commerce.wa.gov.au/worksafe/employees-your-rights-and-
responsibilities

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 Coercive Measures
If you use coercive measures to get people to join your club, it means that you
intimidate or force people to make them feel like they have to join.
If you use threats to get what you want from other people, your methods can
be described as coercive. It can take nothing more than a strong sense of authority to
come across as coercive, or the intimidation can take the form of physical threats.
When you're coercive, you're demanding obedience without much concern for what
the people you coerce need or want. The Latin root is coercere, which means "to
control or restrain."

Kinds of Strikes

What types of strikes are legal and illegal?

Author: Irene Stavrellis Englert, Englert Legal Consulting, LLC

The following strikes are legal under Section 7 of the National Labor Relations Act
(NLRA):

• Economic strikes, in which employees attempt to pressure the employer to concede

to their demands for improvements in wages, benefits or work rules;

• Unfair labor practice strikes, in protest of an employer's committing an unfair labor

practice; and

• Sympathy strikes, which occur when employees choose not to cross a primary picket
line out of sympathy for the primary striking employees.

Note that the terms of a collective bargaining agreement between the employer and
union may limit or prohibit a union's right to engage in an economic strike.

The following strikes are illegal, and employees who engage in such strikes lose the
protection of the NLRA:

• Intermittent strikes, involving the constant repetition of short strikes in which the
employees attempt to pressure the employer to concede to their demands while still
receiving wages;

• "Work to rule" or slowdown strikes, in which employees fail to perform the duties which
the employer has historically required them to perform;

• In-facility or "sit down" strikes, in which the striking employees take possession of the
employer's property and block others from entering;

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• Recognitional or organization picketing when the employer has lawfully recognized
another union, or when a valid election has been conducted within the preceding 12
months;

• Secondary boycotts, in which the employees picket a neutral employer; and

• Violence and mass picketing.

Collective bargaining

A process of negotiation between employers and a group of employees aimed

at agreements to regulate working salaries, working conditions, benefits, and other
aspects of workers' compensation and rights for workers. The interests of the
employees are commonly presented by representatives of a trade union to which the
employees belong. The collective agreements reached by these negotiations usually
set out wage scales, working hours, training, health and
safety, overtime, grievance mechanisms, and rights to participate in workplace or
company affairs

Collective Bargaining Definition

Types and Examples

WRITTEN BY PAUL BOYCE | Updated 25 September 2020

What is Collective Bargaining

Collective bargaining is the process where a group of employees ‘collectively’

negotiate with the employer. This is generally to negotiate pay, working conditions,
benefits, and other factors regarding the employees compensation package and
rights.
Generally speaking, collective bargaining is conducted through a trade union which
represents its members. There will be representatives from the union that negotiate
on their behalf. This may be on a business by business basis, or there may be an
industry wide negotiation.

For instance, USDAW, a retail trade union in the US, may sit down with all the
big players such as Walmart, Target, and Costco, among others. It will then negotiate
a retail wide agreement for its workers across the industry. For example, this may be
a minimum wage, basic benefits, or certain working conditions.

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What happens in Collective Bargaining

Collective bargaining is generally conducted through a trade union. Employees

will pay the trade union a relatively small fee each month to be a member.
In return, the trade union hires has a negotiating team to bargain on the employees
behalf. What happens next is a set of steps before the conclusion of the negotiation.

1. Preparing for Negotiations

This may cover a number of areas that its members are most concerned with.
It may include a survey of members or several focus groups.
Simply put, the trade union and negotiators look to find out the key points by which
they are to negotiate on.
For instance, the lack of local canteen may be an issue, or alternatively, workers
want to get paid extra to work Sundays. Whatever the key issues, the first stage would
be to compile these ready for the negotiation.

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 2. Propose Key Demands
Once a list of key items is highlighted by the unions members, it compiles them
down into an official document which is then passed onto the relevant party/parties.
These are also known as ‘key demand’.

It may include items that are ‘red lines’ by which the negotiation must start with.
Often this would be wages or key benefits to the employee. So if these are not met,
negotiations will fall down.
There may also be some conditions by which the unions would ask their
members to strike if certain criteria is not agreed upon or met. For instance, this may
be a set minimum wage or a higher wage for overtime.

3. Negotiation
There may be sit down meetings, emails, or phone calls whereby the details of
a deal are discussed. Both sides may request certain parts of the deal be left out,
whilst the employer may request some to be included in.

As part of the process, both parties may take time to gather information on
whether a specific course of action would be best. For instance, an increase in
employees’ salary by 10 percent is going to cost the company. So, the negotiators
would have to see whether this is financially possible.
In turn, the negotiation will continue in a circular fashion until an agreement is
reached or negotiations completely break down.

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 4. Agreement Reached

An agreement is usually reached in principle and it is at this stage by which the

more intricate details are hammered out.
Legal wording, and binding agreement are put into place so both parties are
liable. Any legal documents are then signed.
In short, this stage is where the agreement is put into place and the final details are
arranged.

5. Administration of Agreement
It is at this stage by which unions will look to hold the employer to account and
ensure the agreement is being implemented. For instance, are workers getting paid
the agreed minimum salary? Or, has the firm built the newly requested canteen on
time and to an agreed upon quality.
Furthermore, some agreements may have a set expiry date by which another
set of negotiations will take place. So, the collective bargaining system can be seen
as a continuous process.

Types of Collective Bargaining

When looking at the types of collective bargaining, it is important to distinguish

it between a collective agreement. There are also different types of collective
agreements, but these refer to the outcome of collective bargaining.
For instance, there are single union deals, procedural agreements, substantive
agreements, and partnership agreements. All of which refer to the agreement that has
taken place as a result of the collective bargaining process.

1. Distributive Bargaining
Distributive bargaining is defined as a negotiation process by which one party
benefits at the others expense. This usually refers to the redistribution of income in the
form of higher wages, higher bonuses, or higher financial benefits. Simply put;
anything related to the transfer of money.
In this type of bargaining, the trade union needs to have enough market power
to win the negotiation. The employer will want to pay as little in wages. Yet in order to
convince them to pay more, the trade unions need enough members to provide a
significant incentive.

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 In other words, a trade union that has 100 percent of the employer’s workforce
has significant power. Should they call a strike, it would cause severe disruption to the
employer. Consequently, any distributive bargaining will be skewed significantly in
favour of the unions.

2. Integrative Bargaining
Integrative bargaining is whereby both sides aim to benefit in what is seen as
‘win-win’ bargaining. Both parties may bring together a list of demands by which an
agreement is reached that benefits both parties.
To put it another way, integrative bargaining involves both parties considering
the others point of view, needs, wants, fears, and concerns. As a result, both parties
either lose or gain by the same amount. For example, unions may advocate for greater
levels of staff training. Now this may cost the business more, but it will benefit from
greater levels of productivity in the long run.
If workers are better trained, they are equally going to be more productive. So
the business and the unions workers may gain as a result.
We can also look at integrative bargaining where both sides lose in order to gain. For
example, the unions may be willing to give up yearly bonuses in order to have a higher
annual salary. Or, alternatively, the union would accept a pay freeze in order to accept
better working conditions. So, the workers would lose out from lower real wages, whilst
the employer would have to invest in better conditions.

3. Productivity Bargaining
Productivity bargaining involves both parties negotiating around productivity
and pay. Unions may suggest that higher salaries would boost productivity. However,
this is unknown to the business. So, target-oriented bonuses may be suggested, or
new ways of improving the process.
Unions may suggest new ways of organizing the worker force than may
increase productivity and therefore create value to the firm. In turn, employers would
look to increase employees’ wages as a result.
Simply put, productivity bargaining is where the two parties look to agree to changes
that would boost productivity in return for higher wages or other benefits.

4. Composite Bargaining
Composite bargaining refers to a negotiation that focuses on a number of
elements that are not related to pay. They are generally related to employee welfare
and job security. For instance, it covers factors such as working conditions, policies,
recruitment, and disciplinary processes.
The aim is to ensure a mutually beneficial long-term relationship between the
employer and employee. It does this by highlighting issues that employees may have,
which may impact their long-term future at the company.

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 Businesses want to retain talent, particularly if they spend time and money
training them up. Factors such as workload and working conditions can impact on this
long-term relationship. So, it is in the best interest of both parties to ensure that the
employees are happy.

5. Concessionary Bargaining
Concessionary bargaining is based on unions giving back previous benefits to
the employer. For instance, trade unions may agree to lower wages in return for job
security.
This may come during an economic decline whereby job security is more
important to the unions than higher wages. Overall, this may actually benefit the
company as they won’t have to pay for so many redundancies and can keep workers
on.
The main aim of concessionary bargaining is to strengthen the business in
order to ensure its survival alongside its employees. Unions give back previous
benefits in order to secure the businesses’ long-term future and therefore its members.

WHAT’S MORE

Labor Union

By STAFF AUTHOR
Reviewed By MICHAEL J BOYLE
Updated Nov 21, 2020

• A labor union represents the collective interests of workers, bargaining with

employers over such concerns as wages and working conditions.
• Labor unions are specific to industries and work like a democracy.
• Labor unions have local chapters, each of which obtains a charter from the
national-level organization.

How a Labor Union Works

Unions have a democratic structure, holding elections to choose officers who
are charged with making decisions beneficial to the members. Employees pay dues
to the union and, in return, the labor union acts as an advocate on the employees’
behalf.

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Example of a Labor Union
Some 600 national trade unions, industrial federations and plant-level unions
from private and public sectors are registered in the Philippines, although they
represent less than 10 per cent of the 38.8 million-strong workforce. Among these
are the Federation of Free Workers (FFW), Kilusang Mayo Uno (KMU), Sentro ng
mga Nagkakaisa at Progresibong Manggagawa (SENTRO), and the Trade Union
Congress of the Philippines (TUCP). Their primary concerns include decent work
for job seekers and job preservation for the employed.

The ILO works with trade union partners to examine the Labor Code ,
contractualization and stringent organizing and strike provisions, and involves
tripartite constituents in the Decent Work Country Programme through programmed
work to eliminate child labor, youth unemployment, gender inequality, and
discrimination, better regulate labor migration and seek greater social protection and
dialogue.

https://www.ilo.org/manila/areasofwork/workers-and-employers-
organizations/lang--en/index.htm

What is an example of collective bargaining?

Collective bargaining is commonplace in Scandinavia which uses it instead of
minimum wages to set a base salary for workers. So rather than having a universal
minimum wage, employees’ unions agree on a wage structure.
What are the types of collective bargaining?
There are 5 main types of collective bargaining
1. Distributive Bargaining
2. Integrative Bargaining
3. Productivity Bargaining
4. Composite Bargaining
5. Concessionary Bargaining

What is the role of collective bargaining?

The role of collective bargaining is to give employees a greater negotiating
power against the employer. It is then generally targeting a number of key areas such
as wages, benefits, pensions, workers’ rights, working conditions, and protecting
workers’ jobs.

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 WHAT I CAN DO

Direction: From the given situation below. Choose one then how are you going to deal
with the situation.

Situation no.1

You are a department manager and you have recently thought of a new
procedure that you believe would improve the work process. Some of the employees
in your department agree with the change and some do not. One of your employees
openly criticizes the idea to your director.

Situation no. 2

After you have served two years as manager of the sales team, the director of
your company appoints a new deputy manager. Although you have been able to work
together, your impressions of her are negative—you find her arrogant and disloyal.
The director has now considered sending her on course that would create an
opportunity for her relocation to a different position within the company. However, it
would also speed up her promotion.

Situation no. 3

You’ve been working in the same place for the past three years and have
managed to work way up. Lately, you have been feeling that you have reached your
potential in the company, so you start pursuing options for advancing your career in
other companies. You are now in the midst of negotiations for a new position. Rumors
that you are leaving have spread in your current workplace.

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 Assessment

Direction: Read and analyze each statement carefully. Choose the letter of the
correct answer. Use a separate sheet of paper.
1. The Employees' Compensation Program is the tax-exempt compensation
program for employees and their dependents created under Presidential Decree No.
626 which was implemented in March 1975. Which of the following benefits should
not be included?
A. Death and funeral benefits
B. Disability benefits
C. Educational benefits
D. Medical benefits for sickness/injuries

2.. As an employee, you have a 'duty of care' responsibility for safety and health at the
workplace. Under Section 20 of the Occupational Safety and Health Act 1984, What
does 'duty of care' means?
A. make sure your actions do not cause injury or harm to others;
B. follow your employer's instructions on safety and health – ask for assistance
if you do not understand the information;
C. take care of any protective clothing and equipment (PPE) in the way you
have been instructed and report any concerns about it;
D. All of the above

3. The aim of this bargaining is to strengthen the business to ensure its survival
alongside its employees, so unions give back previous benefits to secure the
businesses’ long-term future and therefore its members. This refers to what type of
bargaining?
A. Composite bargaining
B. Concessionary bargaining
C. Integrative bargaining
D. Productivity bargaining

4. Just cause refers to any wrongdoing committed by an employee including.

A. serious conduct
B. willful obedience of employers' lawful orders connected with work.
C. gross and habitual neglect of duty
D. promotion against the employer, employer's family member/s or
representative

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5. Which of the following refers to a process between employers and employees,
management, and unions in order to make decisions in organizations?
A. Cohesive Measures B. Collective bargaining
C. Labor relations D. Strikes

6. Which term refers to an unwritten contract that is created when an employee

agrees to work for an employer, but no agreement exists as to how long the parties
expect the employment to last?
A. contract employment B. employment at will
C. temporary assignment D. right-to-work law

7. The state of employee self-control and orderly conduct that indicates the extent
of genuine teamwork within an organization is referred to as __________.
A. discipline B. ethics
C. internal employee relations D. punishment

8. In the disciplinary action process, what must occur immediately after management
establishes rules?
A. communicate rules to employees
B. compare performance with rules
C. observed performance
D. set organizational goals

9. All of the following statements are true about communication in the workplace
Except:
A. Employees need to be informed of what’s going on with the company and
how it might affect their jobs
B. Employees are not stakeholders in the business and do not have a right to
know about management’s plans
C. Communication is important way to ensure good relationships between
employers and employees
D. Communication can be carried out through formal means, such as
newsletters and satisfaction surveys or informal means, such as day-to-day contact
between support staff and management

10. What is the purpose of employee relations?

A. adhere to the law pertaining to workers’ rights
B. maintain a harmonious working environment
C. undertake conflict resolution
D. All of the above

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30 TVL 12 Self-Learning Module CG-Aligned WBLS-OBE
What I Know
PRETEST
What I Know
1. B
2. A
3. A
4. B
5. D
6. C
7. D
8. B
9. C
10. C
Assessment
1. C
2. D
3. B
4. C
5. C
6. B
7. A
8. A
9. B
10. D
What I can do:
Answers may vary
Answer Key
 References

Internet Sources

https://maritain.nd.edu/jmc/etext/cp44.htm
https://marketbusinessnews.com/financial-glossary/property-rights-
definitionmeaning/

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For inquiries or feedback, please write or call:

Department of Education – Schools Division of Laoag City

Curriculum Implementation Division
Brgy. 23 San Matias, Laoag City, 2900
Contact Number: (077)-771-3678
Email Address: laoag.city@deped.gov.ph

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