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Union Employer Negotiation

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1. Explain the interventions and procedures required such as arbitration or mediation.
2. Describe the Best Alternative to a Negotiated Agreement (BATNA) in this negotiation.
3. Evaluate the theoretical models, methods, sources of power, and analytical procedures required to be utilized in the negotiation process.
4. Examine the mechanics of the procedures in terms of framing, packaging, use of questions, and types of proposals.
5. Assess the strategies utilized and the results achieved and/or anticipated in the settlement.

Packaging Corporation Inc. was looking at a wage revision, due to their employee's demands. Since the organization was unionized, a wage revision involved multiple negotiation deals. The wage revision that was proposed by the employers was neither accepted by the union nor by the employees, so a union negotiator was appointed to look into the revisions deals. The issues that arose on this negotiation was that the employers deals did not include the many clauses which was put forth by the employees through the union and hence the employees did not agree to the revisions despite the levels of agreement and talks that went on between the representative of the union and the employers. This called for a negotiation and a bargaining agreement where the representatives of the employees represented by the union, the employers and the union along with the negotiator present to settle the issue. During a negotiation conflicts occurred as the employees believed that their demands were not being agreement cannot be reached, because they demanded more money. The negotiator job is to fulfill the demands by finding an agreement that satisfies all involved parties. If these demands are not meet then they will seek resolution through mediation or arbitration.

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Solution Summary

Employer-employee negotiation is discussed step-by-step in this solution. The response also has the sources used.

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Step 1
When the union and the employer cannot settle a grievance, the grievance must be referred to an arbitrator. The arbitrator is selected in accordance with the terms set out in the collective agreement. The arbitrator's ruling is binding. In some cases the collective agreement provides for the selection of a single arbitrator. Alternately a three member board may be selected for carrying out the arbitration. Mediation on the other hand is a voluntary process bringing a neutral third-party into a negotiation as a facilitator. This may or may not lead to an agreement. Collective bargaining mediation is a voluntary process that occurs when a neutral third-party mediator assists the Packaging Corporation in reaching an agreement during negotiations with it union.

Step 2
The Best Alternative To Negotiated Agreement is the course of action that will be taken by a party if the current negotiations fail and an agreement cannot be reached. A party should not accept a worse resolution than its BATNA. From the point of view of Packaging Corporation the employees have suggested the inclusion of several clauses. Because the management has not agreed to these clauses, the issue is not ...

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