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Mutual Gain Approach To Bargaining Assessment Answer



Companies have their own terms and conditions, at times, which may be dissatisfying to the employees thereby consequently affecting their performances. An effective tool, which allows the employer and the employees to settle dispute, is the method of collective bargaining using the technique of mutual gain approach. So collective bargaining is collective approach of negotiation in between the employees represented by the trade union to which the employees belong and the employer of the respective firm, so briefly collective bargaining is the outcome of negotiation (Carrell &Heavrin, 2013).

Mutual approach being collaborative is 'Win-Win' approach, where the both the parties should have a shared understanding of the complexity and the scope of the project. It involves a five step principles: “Identify interest, consider all options, Develop criteria, understand your alternatives, and Build relationships “.

Saturn partnership is a separate wholly owned subsidiary corporation of general motors. It offers an excellent example of mutual gains approach to workplace conflict. It incorporates the tactics of mixed bargaining along with integrative problem solving, one such conflict occurred in the year 1991. In Saturn organization the union leaders give substantive expertise and an independent view to a problem, they increase the value by incrementing the quality of decision making in several joint committees to strategic action plan, where union leaders speak up directly to confront their problems. In Saturn organizations there are many instances of conflicts and their resolutions through partnership, here the problems are clear cut, bilateral and labor versus management conflicts. Two undoubted form of organization’s governance system is its traditional form of labor management conflict resolution and problem solving against the traditional decision making. Therefore,this is what makes the Saturn unique for its incredible and nevertheless strategic method of conflict resolution (Cornette, 2016).

Now, the BC ministry of social services and housing which is renowned for confronted approach to resolve labor related issues. In the year 1994, an effective measure to utilize tax payer monies in a better manner, the BC government agreed for a partnership which resulted in mutual gain approach in workplace problem resolution. They employed a five-step problem solving strategy for both the parties to examine the current relation issues and create schemes to foster changes. Both participants had a lot more in common than they originally imagined. It actually was a strategy to resolve issues from win loose to cooperative decision making for the problem solution.

Considering the Canadian case of the Northern Telecom and communication, the mutual bargaining process was deployed by the company in order to prevent the closure of the plant and through this process, the company was able to pass the resolution and avoid the plant closure. The mutual bargaining approach employed the use of the negotiation process. The BC ministry of social services and the Saturn organization also followed the mutual approach to bargaining to resolve the matter as against the traditional decision making.


Carrell, M. R., &Heavrin, C. (2013). Labor relations and collective bargaining.

Cornette, G. (2016). Saturn: Re-engineering the. Teamwork in the Automobile Industry: Radical Change or Passing Fashion?, 85.

Rubin, J. Z., & Brown, B. R. (2013). The social psychology of bargaining and negotiation. Elsevier. 


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