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The procedure for concluding a collective agreement – parties, obligations, duration and terms of termination

This post outlines the procedure for concluding a collective agreement between two parties and the various key considerations for both employers and employees. The post discusses the parties involved, the obligations imposed, the duration of the agreement, and the applicable terms for termination. This important post highlights the advantages of a collective agreement which provides legal certainty and fairness from a binding contract between employers and employees. It is an invaluable resource for anyone involved in the conclusion of collective agreements and is essential reading for those seeking to better protect their interests.

The content of the article



In any work collective there are two sides between which cooperation takes place. This is the employer and workers. In order for the company to maintain order, not violate rights and fulfill obligations, both parties must comply with a specially developed agreement, which will take into account all working conditions. This agreement is a collective agreement that applies to the actions of the head and all employees of the organization, in accordance with the article provided for by the Labor Code (Labor Code).

What is a collective agreement

Any employment relationship should be regulated. This protects the employer and employees. All the nuances of the work are negotiated and included in a special regulatory legal act, which is a collective agreement. It regulates relations between all employees at once, and not separately one on one with each, as an employment contract does. Collaboration of this kind provides more advantages for organizing working conditions for both parties..

Collective handshake

In what cases is

Both cooperating parties have the right to demand the conclusion of a collective agreement, but there is no obligatory resolution on this in the code established by federal legislation. If one of the parties made such a proposal, then the second should enter into collective bargaining without fail. The reasons that may contribute to the drafting of a regulatory act may be as follows:

  • Strengthening motivation and ensuring interest. The employer may enter into the document information on monetary compensation, surcharges, remuneration and the reasons that contribute to it..
  • Payment Regulation. This is true under conditions of constant price increases, inflation..
  • Severe working conditions. The contract may discuss the improvement of conditions, health protection, safety, medical insurance.
  • The initiative of the employer if you want to earn the image of a reliable and progressive company, since the act protects employees in many ways and cannot contribute to worsening working conditions.
  • The desire of the company to ensure a stable climate at work. Local regulations protect against strikes and other industrial disruptions.
  • The desire to reduce the amount of documentation, since the contract is concluded between the boss and all subordinates at once.

What relations in an organization are governed by a collective agreement

This act, which regulates labor and social relations between the employer and subordinates, is a mutually beneficial partnership. It announces the basic criteria for observing the working and living conditions of workers. Moreover, they themselves are actively involved in the development of these conditions. This legal document should not contain decisions on any restrictions on the rights or reduction of guarantees of employees, which are established by labor legislation.

Legal regulation

All items on the definition of the concept of a collective agreement, the procedure for development, conclusion, amendment and so on are regulated taking into account the norms of the Labor Code of the Russian Federation (LC RF):

  • definition – Art. (article) 40 TC;
  • distribution of action – Art. 43 shopping malls;
  • content, structure – Art. 41 shopping malls;
  • change, addition – Art. 37 shopping mall;
  • registration – Art. 50 shopping mall.

Labor Code of the Russian Federation

The content of the collective agreement

The collective agreement is designed to help establish the activities of the institution or individual branches. To do this, they discuss the rights and obligations of employees and the head, feasible for the fulfillment of both parties, which include regulations. These include:

  • remuneration, forms, sizes, payment systems;
  • allowances and compensation;
  • release, retraining, employment;
  • work / rest time;
  • labor protection, working conditions, environmental safety;
  • guarantees for trained employees for whom benefits are established;
  • payment for meals;
  • rest, improvement;
  • control over the act itself.

Document structure

How the act will be drawn up is decided by both parties after a joint discussion. There are 3 main points of a typical scheme, which can be downloaded from many sites. The structure of the negotiation document is determined individually by the parties. These will be:

  • Introductory part. It contains the main areas in which the organization works and develops..
  • Employer Rights / Obligations.
  • Rights / obligations of employees and bodies that represent them.

Mandatory details

The act must contain accurate information about the parties that conclude it. The layouts of the collective agreement are the same. The list of details provides the following data:

  • full names of representatives of both parties responsible for concluding the contract;
  • information about their documents;
  • place / date of conclusion of the act;
  • content;
  • rights and obligations of the parties;
  • validity period.

Parties to the collective agreement

The conclusion of this document involves two parties: the employer and employees of the organization or its individual representative office. Employees do not act as individuals, but are an independent entity, that is, an individual labor collective with an elected representative. A representative can be selected from both workers and primary trade union organizations. The employer is obliged to respond to the proposals of the team on its own or choose for this an authorized person who will act on his behalf.

Rights and obligations

Labor relations are regulated by Russian law in accordance with Art. 21 and 22 TK. They can be supplemented by any conditions voluntarily through a collective agreement, but must comply with basic legal norms. The main thing is that the rights provided by the labor code are not underestimated. The parties are entitled to include in the document only those items that can be implemented.

Terms of agreement

All the conditions that will be included in the document cannot worsen the situation of people who have signed the collective agreement. Otherwise, the act will be declared invalid. This will identify the local labor authority where the act should be sent after being signed by both parties. If violations are not identified, then all the terms of the agreement will be valid for the entire time for which the document was concluded.

Woman studying documents through a magnifier

The procedure for concluding a collective agreement

Any of the parties may propose concluding an agreement. If the initiative comes from workers, they must choose an official representative (representative body) or delegate authority to the union, if any. The further steps are as follows:

  1. A written notification is sent to the opposite party with a proposal to conclude a contract.
  2. If the initiative comes from workers, at the same time as the first step, they must notify the trade union organizations and create a representative body with their participation. A period of 5 days is allotted for this..
  3. A written response must be sent to the proponents of consent to negotiate within 7 days.
  4. The next day, negotiations are considered open..
  5. To control the process, a commission is formed, under whose leadership a project of collective cooperation is being developed.
  6. If it is necessary to pay for the services of any specialists, this obligation is assumed by the initiators of the negotiations.
  7. All information that may be needed during the preparation of the project must be provided by the parties within 2 weeks from the date of receipt of requests.
  8. After the project is ready, all participants should discuss and approve.
  9. Further, representatives of the parties sign the document.
  10. In case of social and labor disputes that cannot be resolved, they should be included in the document as a separate protocol of disagreements..
  11. The entire procedure takes 3 months.
  12. After signing, the contract must be sent to the labor authority for notification registration.
  13. When registering, the collective body identifies violations.

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Collective agreement

Depending on the circumstances in which the organization falls, between the employer and the employees of which the agreement is concluded, it may change its validity period, terminate earlier than the agreed time, or be extended. Among the circumstances that lead to the early termination of the agreement include: change of ownership, reorganization of the enterprise or liquidation.

When changing ownership

There are frequent cases when an organization needs transformations, which leads to the transfer of authority to another organization. If the latter has a different legal form of ownership, the first takes over it, after which it ceases to exist. All of her rights and obligations are transferred to the new organization. In such conditions, the contract is valid for the next three months from the moment the rights of the organization are fully transferred.

A man with a seal, pen and letterhead

Upon reorganization

In many cases, reorganization of the enterprise may be necessary. If it is not profitable or, conversely, more serious goals have appeared. In this case, management may announce the completion of activities and form one or more new enterprises from the old one. No matter how the reorganization takes place and wherever it leads, the contract remains valid throughout this process.

Upon liquidation of the organization

Liquidation is a procedure after which any organization completely ceases to operate. All her obligations to employees or creditors are coming to an end. Her affairs cannot be transferred to other persons or enterprises in succession. As a result, the collective agreement previously concluded cannot be extended or amended. It will be valid only during the liquidation process, then there is a termination of labor obligations.

When a collective agreement comes into force

At the moment when the collective labor contract was signed, it is valid and has entered into force. The agreement itself may indicate the date on which the collective act enters into force. Also, this moment can be marked by the onset of some event. This is stated in Article 43 of the Labor Code of the Russian Federation. The date of commencement of the action does not depend on any circumstances, unless the parties wish otherwise.

Validity

Three years – this is the maximum duration of a collective agreement between an employer and subordinate or individual structural units of an organization. At the request of the parties, the agreement may be valid for a shorter time. When the negotiated period comes to an end, the parties may agree to extend for another three years. Each of the parties has the right to demand the conclusion of a further collective agreement with the adoption of local changes in a separate list of applications.

The procedure for changing the collective labor contract

Since two parties are needed to conclude a collective agreement, making changes is also possible only after agreement with each other. It should occur in the following order:

  • An interested party, such as a team, can send a written proposal to the employer in any form to start negotiations. A draft amendment must be attached to it..
  • The second party must respond to it within 7 calendar days with written consent.
  • The day after the initiator receives the letter, the negotiations are considered open and the procedure for developing changes begins.
  • Next, a commission is created that carries out the work of the whole process, resolves collective disputes and proposals in accordance with the wishes of the parties..
  • Three months are allotted for the process of dismantling all proposals, after which the agreement enters into force if it is accepted and approved.
  • After signing, the document is sent to the appropriate authority for registration. This will provide additional legal guarantees..

People at the meeting

Administrative liability for violation of the terms of the agreement

In case of violation of the established contract, there are appropriate measures provided by law. Failure to comply is subject to mandatory penalties. The following types of violations and punishments exist:

Type of violation Penalties Legislative norm
Evasion of negotiations, violation of the terms of imprisonment. Fine from 1000 to 3000 r. Art. 5.28 Administrative Code (Code of Administrative Offenses).
Avoidance of Obligations. Fine from 3000 to 5000 r. Art. 5.31 Code of Administrative Offenses.
Concealment of information for negotiations. Disciplinary punishment or a fine from 1000 to 3000 r. Art. 5.29 Code of Administrative Offenses.
Refusal to conclude a collective agreement without reason. Fine from 3000 to 5000 r. Art. 5.30 Administrative Code.
Evasion of requirements. Evasion of participation in conciliation proceedings. Fine from 1000 to 3000 r. Art. 5.32 Administrative Code.
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Comments: 1
  1. Jaxon Morgan

    Can you please provide more information on the procedure for concluding a collective agreement? Who are the parties involved and what are their obligations? How long does such an agreement typically last, and what are the terms of termination?

    Reply
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