ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -It may provide some benefits directly, for example, pensions. It may set the ground rules which govern the parties; conduct to take an example, through giving unions the right to bargain, restricting the conditions under which strikes may occur or determining the scope of bargaining.

Detailed explanation-2: -Need For Recognition of Trade Union: Number of industrial strikes broke out on the question of recognition of union. In practice, management allows the recognized Trade Union only for negotiations and collective bargaining. As such, recognition of trade union serves as backbone of collective bargaining.

Detailed explanation-3: -Collective bargaining is an important element in industrial relations. Collective bargaining helps to make the relationship between employees and employers smooth. A strong bond between the employers and employees contributes to the successful working of the company.

Detailed explanation-4: -Preparing for bargaining. Conducting negotiations. Ratifying the contract. Resolving a contract dispute. Changing or clarifying the contract.