Define: Labor Agreement

Labor Agreement
Labor Agreement
Quick Summary of Labor Agreement

A labor agreement, which is also referred to as a collective-bargaining agreement, is a legally binding contract between an employer and a labor union. This contract specifies the terms and conditions of employment, such as wages, benefits, and procedures for resolving conflicts. Both parties are obligated to adhere to the agreement.

Full Definition Of Labor Agreement

A labor agreement, also referred to as a collective-bargaining agreement, is a formal contract between an employer and a labor union that establishes the terms and conditions of employment. This includes details such as wages, benefits, and procedures for addressing grievances. For instance, a labor union representing factory workers may engage in negotiations with the factory owner to reach a labor agreement that encompasses a 5% increase in wages, enhanced health insurance benefits, and a mechanism for resolving conflicts between workers and management. In this scenario, the labor agreement serves as a legally binding agreement between the union and the factory owner, outlining the employment terms for the workers. It encompasses specific provisions for wages, benefits, and dispute resolution, which both parties have mutually agreed to adhere to.

Labor Agreement FAQ'S

A labor agreement, also known as a collective bargaining agreement, is a legally binding contract between an employer and a labor union that outlines the terms and conditions of employment for the workers represented by the union.

A labor agreement typically includes provisions related to wages, benefits, working hours, job security, grievance procedures, and other terms and conditions of employment.

A labor agreement is negotiated through collective bargaining between the employer and the labor union representing the employees. Both parties engage in discussions and negotiations to reach a mutually acceptable agreement.

In most jurisdictions, employers are legally required to negotiate in good faith with labor unions. Refusing to negotiate or engaging in unfair labor practices can lead to legal consequences.

A labor agreement can be changed or modified through negotiations between the employer and the labor union. Any changes must be agreed upon by both parties and documented in a written amendment to the agreement.

If there is a dispute or disagreement regarding the interpretation or application of the labor agreement, the parties may engage in grievance procedures outlined in the agreement. If the issue remains unresolved, it may be taken to arbitration or court.

An employer generally cannot unilaterally terminate a labor agreement. However, there may be provisions within the agreement that allow for termination under certain circumstances, such as a breach of contract or expiration of the agreement.

In most jurisdictions, it is illegal for an employer to retaliate against an employee for participating in union activities, such as organizing or engaging in collective bargaining. Employees have protected rights to engage in such activities.

Yes, a labor agreement can be enforced if an employer violates its terms. The affected party, usually the labor union, can file a complaint or take legal action to seek remedies for the violation, such as monetary damages or specific performance.

The duration of a labor agreement varies and is typically negotiated between the employer and the labor union. It can range from a few years to several years, after which the parties may engage in negotiations for a new agreement.

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Disclaimer

This site contains general legal information but does not constitute professional legal advice for your particular situation. Persuing this glossary does not create an attorney-client or legal adviser relationship. If you have specific questions, please consult a qualified attorney licensed in your jurisdiction.

This glossary post was last updated: 17th April 2024.

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