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What Is A Clause In A Collective Agreement


Under common law, Ford v. A.U.E.F. [1969], [8], the courts found once that collective agreements were not binding. Second, the Industrial Relations Act, introduced by Robert Carr (Minister of Labour in Edward Heath`s office), provided in 1971 that collective agreements were binding, unless a written contractual clause indicated otherwise. Following the fall of the Heath government, the law was struck down to reflect the tradition of the British labour relations policy of legal abstention from labour disputes. The next step towards reaching an agreement in your collective agreement is to review it as a clause and understand the rights and duties of each of the parties (employers, workers and unions). When you read each clause, ask yourself the following questions: REMEMBER – The history of work shows us that workers` rights are slow to be recognized, but they are very quickly lost, if not well guarded! While you exercise your rights, also test your interpretation of the collective agreement. In most cases, the employer will agree with your interpretation of the contract and will take all necessary measures. Sometimes the employer may challenge your interpretation. The wage clause is generally the most important and complex clause of the agreement. The clause includes the policy of basic wages and specific wage agreements.

If unit rates are to be paid, the system to be followed must be clearly stated. An escalator clause, if it exists, is expected here. Continuity of the Effects of Collective Agreements The normative effect of collective agreements means that their provisions automatically replace provisions in individual employment contracts that are less favourable to workers (Article 14 of the Employment Contracts Act). The content of a new agreement may deteriorate more favourable conditions if these conditions have been included in individual contracts resulting from a previous agreement, replaced by the new agreement (which is now applicable and introduced), provided that the new agreement contains a clause expressly stipulating that it is generally more favourable to workers (i.e. the “pejus derogation” under Article 15 of the Act). The provisions of collective agreements are therefore not a substitute for the provisions of certain contracts if they have been agreed directly between the parties to the individual contract and are more favourable to the worker.