Collective Bargaining Simulation: Labor Union and Lupine Furniture Ltd

This document presents agreed minutes from negotiations between the Labor Union of British Columbia and the owners of Lupine Furniture Products Limited, focusing on improved working conditions and wages for employees in Vancouver and Prince George. Key agreements include a 5% wage increase, one-year contract terms with renewal options, reinstatement of a 12-day statutory paid holiday system, a new seniority-based system for layoffs and transfers, prohibitions on contracting out, protection against termination due to technological changes, wage equalization between the Prince George and Vancouver plants, and the establishment of a joint union management committee to explore new product development and training opportunities. References to relevant research articles on bargaining and negotiation are also included.

Running head: COLLECTIVE BARGAINING SIMULATION
Collective Bargaining Simulation
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Agreed Minutes of the Negotiations between the Labor Union of British Columbia and
the Owners of Lupine Furniture Products Limited concerning better working
conditions and wages for employees in Vancouver and Prince George.
1. Negotiations for the establishment of better working conditions and wages for
employees of the Lupine Furniture Products Limited were recently held between the
company owners and the Labor Union that is operational in British Columbia, on 9th
March 2017 at Vancouver. The following matters were discussed and understandings
on the concerned matters were reached.
2. The representatives of Lupine Furniture Products Limited and the labor union agree
upon the fact that a rise in the wages of employees of in both Vancouver and Prince
George must be accorded by the company by a margin of 5 % (1). It is argued by the
representatives of the labor union that the increment in wages is to occur keeping in
mind the rising cost of day to day living in British Columbia. It is believed that such
an increment in wages is something that will lead to a much needed improvement in
the working conditions offered by the company for its all of its 128 employees in
Vancouver and in Prince George (1).

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3. The representatives of the labor union of British Columbia argue that it is in the
best interest of the employees of Lupine Furniture Products Limited to be hired under
a one year contract that is later subject to renewal, depending on employee
performance and demonstrated levels of competency (2). It is the firm resolve of the
labor union of British Columbia that a one year contract is the very minimum that a
company like Lupine Furniture Products Limited can offer its employees in terms of
job security. A one year contract it is believed, by the representatives of the labor
union of British Columbia is an agreement that will allow new joinees to adjust
themselves to the working conditions at the company, at either plant, sufficiently,
determining in the process whether they are well suited for the job or they are not (2).
4. It is proposed by the representatives of the labor union of British Columbia and
agreed upon by the owners of Lupine Furniture Products Limited that the latter make
a return to the 12 statutory paid holiday system in order to give its employees the
flexibility and relaxation that they need to do their work better. To this end, the 12
statutory paid holidays offered by the company will be listed in the contract signed by
employees at the time of being recruited to the company (2). The representatives of
the labor union of British Columbia agree that the provision of a 12 statutory paid
holiday system will do much to improve the working conditions of the employees of
Lupine Furniture Products Limited in Vancouver and in Prince George in terms of the
rest and rejuvenation that this will provide employees with in order to be more
productive at the work place (1).
5. It is proposed by the representatives of the labor union of British Columbia and
accepted by the owners of Lupine Furniture Products Limited that a new seniority

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section shall be introduced in the contracts drawn up with employees which will state
that any new layoffs, transfers, or recalls that are made between the plants at
Vancouver and Prince George are those that will be made on the basis of seniority. In
the case of layoffs in particular, employees will be given the opportunity to apply for
a new job at a different plant at within a period of thirty days of being served their
letter of termination by the company, provided such employees do not fall in the
category of senior employees (4).
6. There are to be prohibitions on contracting out by employers as proposed by the
representatives of the labor union of British Columbia and agreed upon by the owners
of Lupine Furniture Products Limited. The company owners agree to the fact that
contracting out will not be done for employees who fall within the bargaining unit
even if such a provision requires the company to engage in the recruitment of new
employees in order to meet business requirements (4).
7. The representatives of the labor union propose that prohibitions be placed on the
termination of employees as a result of any technological innovation or change. It is
posed by the labor union representatives and accepted by the company owners that
employees or members of the bargaining units in either plant will not be laid off or
suffer reduction in working hours due to the use of new types of machinery or
equipment in the production process or due to any other introduction of new
technological change or innovation, that can make it difficult for employees to work
as competently and as efficiently as they were able to before (1).

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8. It is proposed by the labor union representatives and agreed upon by the company
owners that the wage rates of employees at the Prince George Plant be increased to
the same rate as the wages offered to employees on tenure at the company plant in
Vancouver. This is to be initiated by the company owners at the earliest possible
instance in order to benefit the employees of the plant at Prince George, enabling
them to be at par in terms of remuneration with their counterparts in Vancouver (2).
9. The representatives of the labor union of British Columbia propose and the company
owners agree to the fact that a joint union management committee be established,
for investigating feasibility of the development of new products, as well as the scope
of expanding into new markets in addition to overseeing any increase that can arise in
training employees. It is believed on the part of the labor union representatives that
this will lead to a reduction in the work load for employees while facilitating
employers to raise business productivity levels at the same time (3).

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References
1. King NJ, Wright RF. The invisible revolution in plea
bargaining: Managerial judging and judicial participation in
negotiations. Tex. L. Rev.. 2016;95:325.
2. Lianos I, Lombardi C. Superior bargaining power and the
global food value chain: The wuthering heights of holistic
competition law?. CLES Research Paper Series. 2016.
3. Silveira BS. Bargaining with asymmetric information: An empirical study of plea
negotiations. Econometrica. 2017 Mar;85(2):419-52.
4. Weiss K. Trustees' Perspectives on Collective Bargaining. Journal of Collective
Bargaining in the Academy. 2018(13):43.