Kinds of bargaining arrangements, Managerial Economics

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Kinds of Bargaining arrangements

Basically there are three kinds of bargaining arrangements, namely:

Open Shop:

In an open shop a union represents its members, but does not have an exclusive bargaining jurisdiction for all workers of one kind.  Membership in the unions is not condition of getting or keeping a job.

Closed Shop:

In this arrangement only union members may be employed and the union controls membership however it sees fit.

Union Shop:

The employer may hire anyone he chooses but every employee must join the union within a specified period.


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