In organized labor, collective bargaining is the method whereby workers organize together (usually in unions) to meet, converse, and negotiate upon the work conditions with their employers normally resulting in a written contract setting forth the wages, hours, and other conditions to be observed for a stipulated period.It is the practice in which union and company representatives meet to negotiate a new labor contract. In various national labor and employment law contexts, the term collective bargaining takes on a more specific legal meaning. In a broad sense, however, it is the coming together of workers to negotiate their employment.
A collective agreement is a labor contract between an employer and one or more unions. Collective bargaining consists of the process of negotiation between representatives of a union and employers (represented by management, in some countries by employers' organization) in respect of the terms and conditions of employment of employees, such as wages, hours of work, working conditions and grievance-procedures, and about the rights and responsibilities of trade unions. The parties often refer to the result of the negotiation as a Collective Bargaining Agreement (CBA) or as a Collective Employment Agreement (CEA).
A number of theories – from the fields of industrial relations, economics, political science, history and sociology (as well as the writings of activists, workers and labor organizations) – have attempted to define and explain collective bargaining.