Perhaps the greatest benefit of this system is that a formal agreement allows both parties to know exactly what they can expect from each other and to be aware of the rights they have. This can reduce the number of conflicts that occur later. It can also make the operation more efficient. In his own words: “Most collective bargaining (agreements) have been at the factory level, although in major textile centres such as Bombay and Ahmedabad, inter-professional agreements were (quite) common… Such agreements also exist in the southern plantation industry, Assam and the coal industry. That said, in new industries – chemistry, oil, oil refining and distribution, aluminum and electrical equipment, auto repair – dispute resolution through voluntary agreements has become commonplace in recent years. In ports and wharves, collective agreements have played a role in the various centres. For some issues concerning all ports, all Of India`s agreements have been concluded. In the banking sector, employers and unions have moved closer to collective agreements following the series of awards in recent years. In the life insurance company (LIC), with the exception of the employer`s decision to introduce automation that disrupted industrial harmony in some centres, there was a fair discussion between the parties for dispute resolution. According to this theory, workers sell their individual work only on terms defined collectively on the basis of a contract concluded in the context of collective bargaining.
The main objective of the development of the collective bargaining technique is to improve relations between workers and management and thus maintain peace in industries. The technology only developed in India after India`s independence and the increase since then. Collective bargaining is an art, an advanced form of human relations. x) When an agreement is reached after negotiation, it must take into account in writing the entire duration of the contract. The collective bargaining obtained was of three types: negotiations are the next step after the union has submitted the Charter of Claims. Both the employer and the employee are looking for ways to propose compromise solutions in their favour until an agreement is reached.