Collective Bargaining and Trade Union: A Decision Imbroglio at UPSRTC

Any fundamental change in structures, processes or business operations is bound to trigger reactions from stakeholders’ perception about the intention to change. These reactions need to be addressed with due consideration to the stakeholders’ interest or else may prove detrimental to all. Resolving disputes and trade unions roles are crucial in establishing peace and safeguarding the interest of employees. Trade unions initiate dialogues, organize collective actions and use the dispute machinery for resolving conflicts to bring an agreeable solution satisfying all. Collective bargaining is a major tool towards a mutual consensus and agreement through bipartite measures. Continuous efforts at arriving at a mutual agreement may fail and resorting to the third-party intervention may hold the key to arriving at an agreeable and a peaceful end to problems. This has been demonstrated in the given case. Uttar Pradesh State Road Transport Corporation (UPSRTC) is a major player in roadways transportation with very low competition from private transporters. The corporation provides comfortable and economical services to the passengers and holds a monopoly position with the private operators relying heavily on infrastructure support of the corporation. The state government decided to introduce public–private partnership (PPP) model on which UPSRTC model would work. Such a move by the government was not acceptable to the unions and the employees. Major agitations and intervention of the court forced the government to withdraw some of its decisions perceived as a threat and detrimental to the corporation.