collective agreement

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A written or oral agreement between an employer and trade union that is the product of collective bargaining and allows for the joint regulation of the employment relationship. Collective agreements can specify the substantive rules that govern the terms and conditions of employment and can also determine procedural rules governing the behaviour and interaction of managers, workers, and trade unions. In many countries, collective agreements are legal contracts and can be enforced in law. In the UK, however, they have the status of ‘gentlemen's agreements’ and are not legally binding, though they are typically incorporated within the contracts of employment of individual employees.

Subjects: Human Resource Management — Law.

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