Bargaining and the Employment Relations Act 2000

1. Bargaining and the Employment Relations Act 2000 This training module focuses on key areas of the law around bargaining and may be helpful as a starting point for you in preparing your team. You may adapt this for your own purposes building in exercises or additional information as required. It may also be used in conjunction with the module on Productive bargaining which focuses on the behaviour of parties in and four principles for successful advocacy. This is available through this website.

2. Bargaining under the ERA

3. Initiation to bargain This notice must be in writing and sets out • intended parties to the collective agreement • intended coverage clause (work and/or employees) and is negotiable The parties to bargaining may include • one or more unions with one or more employers, or • one or more employers with one or more unions Employers must inform workers of any notice to initiate bargaining

4. Bargaining process arrangement Parties must endeavour to agree a bargaining process arrangement. You can include • advice as to who will be the representatives • the size and composition of the bargaining teams • the proposed frequency of meetings • the venue and who will be liable for costs • communications between the parties • the provision of information and associated costs • managing disagreements

5. What is in a collective agreement? Collective agreements must be in writing and include • a coverage clause • an employee protection clause (if the business is sold, transferred or contracted out) • a clause covering problem resolution services • a variations clause • time and a half on public holidays, and • an expiry date

6. Good faith (ERA) means parties must be • active and constructive in establishing and maintaining a productive employment relationship • responsive and communicative • use best endeavours to agree on an effective and efficient bargaining process • meet together, consider, and respond to proposals • conclude a collective agreement unless there is a genuine reason based on reasonable grounds not to • respect the role of representatives by not bargaining directly with those for whom the representative acts

7. Settlement of agreement • The Union must set a ratification process that determines how agreement will be reached by its members (e.g. 50%+1) • An agreement can only be signed after ratification by members • An agreement has no effect unless it is in writing and signed by the parties • A copy of the whole agreement must be available to employees when they meet to ratify it • The parties must send a copy of the agreement to the Chief Executive of the Department of Labour

8. Managing problems • Parties may use Department of Labour mediators at any stage to assist • Mediation services must be offered before a strike or lock out in an “essential service” • Facilitation by the Employment Relations Authority may be available if • there is serious/sustained bad faith that undermines bargaining, or • bargaining is protracted, or • there have been proposed or actual strikes/lock outs

9. For more details • Department of Labour website www.dol.govt.nz • Department of Labour Contact Centre 0800 20 90 20 • An employers’ association, union or employment/legal advocate