Industrial disputes
Trade union recognition
It is for employees to choose if they want the employer to recognise a trade union. Alternatively they may be happy to keep the relationship informal, using direct negotiation with managers or through works councils.
Points relating to union recognition:
- A recognised union is able to negotiate agreements with the employer on terms and conditions of employment on behalf of workers. This is known as collective bargaining.
- Trade union recognition may be either voluntary or statutory.
- Voluntary recognition may be express or implied, does not involve any legal procedures and can exist regardless of the number of employees.
- If you employ more than 20 workers and at least ten per cent are members of a union, the union may apply for the statutory recognition process to begin if it appears that the majority of workers are likely to support recognition.
- Recognition (and derecognition) of a union usually involves a secret ballot of employees in the "bargaining unit". It is illegal for either the union or the employer to intimidate workers during these ballots.
- As of 1 October 2005, the Employment Relations Act 2004 places new duties on the employer in connection with the union’s access to workers in the ballot period. It places duties on both parties to refrain from using any unfair practice.
Read about trade union recognition and derecognition on the Central Arbitration Committee (CAC) website.
Subjects covered in this guide
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