What is “collective bargaining”?

Collective bargaining is the process of negotiating terms and conditions of work between an employer and a union. A union negotiates on behalf of the union members. The agreement reached between an employer and a union is called a collective agreement.

Historically, there is a distinction between voluntary collective bargaining and collective bargaining imposed by law. England had a well-developed system of voluntary collective bargaining in the early to mid-twentieth century. This meant that employers generally negotiated with unions on a voluntary basis, without any framework for bargaining being imposed by law. By contrast, in Canada, the law has largely imposed collective bargaining. Not until the law imposed a duty upon employers to recognize a union representing a majority of its employees, and imposed a duty to bargain with the union in good faith, did collective bargaining become entrenched in industrial relations in Canada.

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