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Industrial Relations Policy Introduction The Fair Work Act was introduced to solve the problems facing employees at the workplaces and to ensure that employers are fair to their employees. Collective bargaining is one aspect of the Forward with Fairness law and policy that was enacted on 1 July 2009. This law states that employers have the obligation of enabling their employees to negotiate in all aspects that affect them at the workplace. The new laws require that the application of terms and conditions under any employment contract should be consented by both the employer and employee. The rights and responsibilities of each party in the employment contract are negotiated and agreed upon before putting them into action. Joint regulation in a work environment is a requirement that employers should adhere to. It is important that employers should consult employees before implementing any decision that may affect them at the workplace (Smith, 2010). Collective bargaining creates a contractual relationship between employers and employees. Both parties must consent to the contract. After making the contract, the employer and employee representatives sign the agreement to make it legally enforceable. The documents are kept in a safe place where both parties agree. Amendments to the agreement can be made upon request by any party. However, no changes can be made to the agreement without the consent of any of the parties. Collective bargaining agreements are legal contracts which can be used in a court of law when any of the parties contravenes the provisions of the contract (Smith, 2010). Description of Collective Bargaining Collective bargaining entails creating an agreement between two or more parties. The employer has economic power to control all the economic resources of
