
The purpose of an employment contract is to guarantee good working relationships between the employer and the employee. The cornerstone for harmonious working relationships is the collective Bargaining Agreements (CBA)
What’s Collective Bargaining?Collective Bargaining is a process of negotiation between employers and a group of employees. Employees are represented by trade unions. The aim of collective bargaining to generate an agreement that regulates working conditions.
Areas Covered by Collective Bargaining agreements
These areas are:
• Wages and salaries
• Working hours
• Benefits (health, retirement, leave)
• Job security
• Grievance procedures
• Health and safety conditions
Objectives of Collective Bargaining
1. To promote dialogue and mutual respect through:
• Encouraging communication between employers and employees.
• Building trust and fostering mutual respect, and reducing adversarial relationships.
2. To reduce industrial conflicts by:
• ,Addressing employee concerns proactively to minimise the chances of strikes, go-slows, or lockouts.
• Providing structured mechanisms for dispute resolution.
3. To ensures fairness and Equity by:
• Helps eliminate arbitrary decisions by management by setting clear, agreed-upon rules and standards.
• Giving employees a collective voice, reducing power imbalances.
4. To improve morale and productivity by:
• Making workers feel valued and heard, and boosting their morale.
• Motivating employees and making them more productive and committed to organizational goals.
5. To ensures legal and institutional stability
• Collective agreements are legally binding and provide a framework for managing employment relations.
• They enhance predictability and reduce legal disputes.6. To encourages long-term employment relationships by:
• Fostering a culture of cooperation and shared responsibility.
• Making the organization to become more attractive to employees when they are seen as fair and responsive.
Legal Framework Supporting Collective Bargaining in Kenya
1. ILO Conventions
• Convention 87 (1948)The convention speaks on Freedom of Association and protection of the Right to organise. It declares that workers and employees have the right to form and join organisations freely.
• Convention 98 (1949)The Convention is about the Right to Organize and Collective Bargaining. It’s main key areas are:
– protection against anti-union discrimination
– encourages voluntary collective bargaining Kenya has ratified both. This reinforces its commitment to international labour standards.
2. Kenya’s Legal Framework
The foundation is established from:
i). Constitution of Kenya (2010)
• Article 41 guarantees labourrights including:
– the right to fair remuneration
– right to join trade union
– the right to engage in collective bargaining
ii). Labour Relations Act, 2007
• Section 54 state that an employer must recognise a union with simple majority
• Section 57-60 defines and regulates Collective Bargaining Agreements (CBA)
• Part V-VIII deal with dispute resolution and protection from victimisation as:
– Part VI: Recognition of Unions- Part VII: CBAs
– Part VIII: Dispute Resolution
Procedure for Collective Bargaining
Collective bargaining process typically follows sequential steps. These steps are guided by both international best practice (ILO) and local law (Kenya’s Labour Relations Act, 2007):
The steps are:
1. Recognition of the Union
A trade union must be formally recognized by the employer after representing a simple majority of employees. This is a legal prerequisite in Kenya under Section 54 of the Labour Relations Act, 2007.
2. Preparation
Both parties, the union and employer, prepare by identifying negotiation teams. They gather data on wages and conditions of work. They also set clear objectives.
3. Proposal Submission
The union submits a collective bargaining proposal (CBA) to the employer. The proposal states the terms they wish to negotiate.
4. Negotiation Face-to-face meetings are held to discuss proposals and reach consensus. The aim is to achieve mutual agreement on employment terms.
5. Drafting the Agreement
Once consensus is reached, a Collective Bargaining Agreement (CBA) is drafted. The draft captures the negotiated terms.
6. Signing and Registration
Both parties sign the agreement. It must then be registered with the Employment and Labour Relations Court as per Kenyan law.
7. Implementation and Monitoring The employer implements the agreed terms. Both sides monitor compliance and can review the agreement periodically.
Challenges in the Implementation of CBAs
Implementation of CBAs is curtailed by these challenges:
1. Delays in Union Recognition
Some employers delay recognizing unions even when they meet legal thresholds.
2. Political Interference
Occasionally external interests like political administration do influence union activities.
3. Weak Enforcement Not all CBAs are registered or implemented effectively.
4. Fragmented Unions
The existence of multiple unions in the same sector do weaken bargaining power.
Promoting Industrial Harmony Through CBAs
In collective bargaining, achieving industrial harmony often requires compromise. Employers must be willing to let go of certain demands. Employees, through their unions, must also be willing to let go of some demands. This is done in the spirit of cooperation and long-term stability.
What Trade Unions/Employees can Let Go
1. Unrealistic wage demands
Employees through unions can accept gradual or performance-based increments instead of steep raises.
2. Rigid stances on work conditions
Unions need to be flexible on issues like shift schedules, transfers, or remote work where justified.
3. Zero tolerance on disciplinary action
Unions need to allow fair disciplinary processes instead of blanket opposition to any sanctions.
4. Absolute demands on benefits
Unions should prioritize critical benefits like health insurance over others like fully paid annual retreats.
5. Short-term wins over long-term gains
Unions need to postpone some demands in favor of productivity-linked benefits later.
What Employers can Let Go
1. Complete control over policy decisions
The employer needs to Involve unions in policy dialogue, especially on welfare, safety, and training.
2. Strict cost-cutting measures
They need to invest in employee well-being and fair wages to boost morale and retention.
3. Resistance to union involvement
They need to accept that union participation leads to transparency and structured communication.
4. Delays in CBA implementation
They need to honor timelines and communicate openly in case of delays.
5. One-sided performance metrics
They need to co-create fair evaluation tools with employee input.
Conclusion Collective bargaining is not just a negotiation tool. It is a key mechanism for promoting industrial peace. It also enhances employee satisfaction and sustainable productivity.
Both parties—employer and employees—should be involved in shaping workplace policies. This involvement lays the foundation for harmonious and stable labour relations.
In Kenya, the legal framework for collective bargaining is largely in line with ILO standards. It provides for union recognition, good-faith negotiation, and legal protection.
Nonetheless, effective a CBA is, implementation depends on institutional will, respect for the law, and strengthening dispute resolution mechanisms.


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