Importance of collective bargaining to employees:

☛ It increases the strength of employees as a group.

☛ It helps in boosting their self respect and level of motivation

☛ It increases their sense of responsibility

☛ It helps in reaching a quick and fair settlement for employee’s issues.

Importance of collective bargaining to employers:

☛ It’s easier for management to deal with group issues rather than individual issues

☛ It leads to an increase in the level of trust among employees and employers benefiting the overall business

☛ Reduces absenteeism and labour turnover which increase productivity and reduces the cost and wastage

☛ It helps in settling the issues at an initial level before they turn into disputes