Public Sector Union Negotiation Models, Strategies, and Tactics

Chapter 5 Negotiation

Models, Strategies, and

Tactics

PART IILabor Relations Overview

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall 5-1


Chapter Outline

• Negotiating Sessions: “At the Table”• Critical Elements in a Negotiation: Information,

Time, Power• Ethics in Negotiations• Bargaining Strategies• Distributive Bargaining• Integrative Bargaining• Interest-Based Bargaining• Reaching Agreement


Figure 5.1 - A Model for Negotiating Sessions

Source: Courtesy of Lou Manchise, former directorof mediation services, Federal Mediation and Conciliation Service, “A Helpful Model for Negotiations,” unpublished manuscript (2008). Used by permission.


Table 5.1 - Ethical and Unethical Bargaining Tactics


• Collective bargaining generally involves one of two strategic approaches:• Distributive • Integrative

• When considering which approach might be best for a given collective bargaining situation:• A negotiator should review information, timing,

and power• Specific issues to be negotiated• The people involved• General context of the negotiations

Bargaining Strategies


Distributive Bargaining

• A negotiation method described as a “win-lose” situation, in which resources are viewed as fixed and limited, and each side wants to maximize its share

• Can best be explained by five key elements:• Target point• Resistance point• Initial offer• Settlement range• Settlement point


• Three key starting values• Desired outcome• Bottom line• Opening offer• Negotiators make opening offers, with one of three

types of anchors• Facts• Extreme offer• Precedent

Distributive Bargaining


Figure 5.2 - Distributive Bargaining Negotiation Model: First-Year Base Wage Increase (percentage)


Negotiation Norms

• Relational norms• Fairness norms• Reciprocity• Good faith bargaining


Figure 5.5 - How Norms May AffectCounteroffers


Framing Positions

• Presenting an issue to the other side in a negotiation in a way that is convincing and causes the other side to “see” the proposal in a different light


Table 5.2 - Four Types of Frames (Applied to Grievance Settlement)


Use of Framing Questions

• Ask why• Ask why not• Ask what if• Ask for advice


• Both sides seek ways to integrate the interests of both sides into mutually agreeable options

Integrative Bargaining


• The integrative negotiator generally strives to achieve two goals: • To create as much value as possible for both sides• To claim as much value as possible for their own

interests

Integrative Bargaining


Table 5.3 - Common Differences between Distributive and Integrative Bargaining Techniques


• Emphasize positions versus interests• Separate people from issues• Focus on objective criteria• Develop mutual gains options

Principled Negotiations


Table 5.4 - The Positions versus Interests of Union and Management


Figure 5.6 - Steps in the Interest-Based Bargaining Negotiating Process


Advantages of IBB

• Improved communications• Uncovers additional ideas and thus superior

solutions to problems• Uncovers new options• Explain the critical “why” behind an interest or

proposal


Disadvantages of the IBB

• Time consuming• Negotiators may have difficulty transferring a

proposed creative option into a practical, concrete solution

• The standards suggested by IBB negotiators are often not precise, and are subjective, thus not easily agreed to by both parties


The Categorization Method

• An integrative negotiation method that includes:• Exchanging information• Developing a common list of issues• Agreeing on compatible issues• Exchanging equal value issues• Resolving remaining issues using distributive

bargaining


Figure 5.7 - The Five Steps of the Categorization Method of Integrative or “Win-Win” Bargaining


• Negotiators reach a decision• If agreement cannot be reached, this may be

the point of crisis

Reaching Agreement - Point of Crisis


• Knowing that an agreement has been reached, the people involved become psychologically committed to the agreement

The Closing Stage

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Public Sector Union Negotiation Models, Strategies, and Tactics

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