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Merc Law 285 Ch 7
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Lecture notes of 3 pages for the course Mercantile Law 285 at SUN (TB Summaries Ch 7)
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CHAPTER 7 – COLLECTIVE BARGAININGIn this chapter, we focus on the following:
• Rights- vs. interest disputes
• LRA's recognition and encouragement of collective bargaining
• Freedom of association (right of employees)
• Organisation rights (of trade unions)
• Collective agreements
• Bargaining councils and statutory councils
• Strikes and exclusions
Rights disputes: The LRA makes provision for arbitration (CCMA) or adjudication (Labour
Court)
Disputes of interest must be resolved through collective bargaining
• Collective bargaining between WG and unions
• Industrial action
> Note: Strikes over rights disputes - unprotected, employee can be dismissed - does not
apply to organisational rights disputes
> LRA provides for freedom of association of employees and organisational rights for trade
unions to encourage collective bargaining
Freedom of association:
• Employers should not infringe upon this right of employees
• Also remember Sec 187 - form of automatically unfair dismissal
Trade union organisational rights:
• Rights are granted to trade unions, depending on their level of representation
in the workplace
Sufficiently representative (by agreement with the employer)
• Access to the workplace
• Deduction of union fees or levies
Majority trade union
• Election of union representatives
• Right to information
Note: Above rights do not apply to all sectors
COLLECTIVE AGREEMENTS
Agreement: Employer and trade union(s) on conditions of service or mutual interest
• Binds parties and their members
• Majority union agreement also binding on non-members (if explicitly determined)
• Disputes on interpretation / application of collective agreements can be referred to
the CCMA for conciliation and / or arbitration
• Collective agreement automatically forms part of employment contract
Agency shop agreement:
• Agreement between employer and trade union (majority trade union)
• Employer may deduct an agency fee from wages of non-member employees
• Must be paid into a separate account and used to protect the socio-economic
interests of employees
• May not use to force employees (non-members) to join the union
• Aimed at preventing free-riding
Closed shop agreements:
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