Labor-management cooperation (LMC) is a state of relations where labor and management work hand in hand to accomplish certain goals using mutually accepted means.

 

It is the outcome of a continuing process of enhancing mutual trust and respect through information sharing, discussion, consultation and negotiations that are, at the same time, considered as schemes of workers' participation on decision-making process on matters not covered by collective bargaining agreements.

 

THE NEED

Since labor and management are social partners, sharing a common interest in the success and growth of the enterprise and the economy is more than enough to justify the need for labor-management cooperation.

 

LMC promotes workers' participation in the decision-making process, creates a labor relations climate conducive to productivity improvement, improves the quality of working life, and achieves and sustains economic growth.

 

THE SCOPE

LMC covers sharing of information, discussions, consultations, and negotiations on matters outside the collective baregaining agreement which may cover, among others, areas of management decisions like:

• personnel policies;

• production plans;

• business expansion programs;

• productivity improvement programproductivity gain-sharingprogram;

• job security;

• improvement of quality worklife;

• occupational health and safety programs;

• introduction of new technology and machinery;

• retrenchment programs;

• busieness mergers or closures;

• workers' welfare and livelihood programs; and

• sports, recreation & social activities.

 

THE BENEFITS

Through LMC, workers are given the opportunity to participate in policy and decision-making process, provided with a channel to communicate to the top management, able to make inputs in solving operational problems and management plans affecting workers in the workplace, and offered a means to air complaints that cannot be appropriately addressed in the grievance procedure.

 

It is also a way to demonstrate that the Union is responsible organization with a constructive role to play beyond the traditrional contract negotiations and grievance settlement and it is also a great opportunity for self-improvement and on-the-job leadership training.

 

The management, on theother hand, is provided with a forum to share about business conditions, quality problems, product development and other matters that demonstrate the role of employees in the success of the enterprise. It can also have advance discussions of operational probelms and plans, particularly those affecting employee work schedules, overtime, layoffs, transfers, etc.

 

This will also act as an avenue to relate with the Union without being bogged down by labor relations issues all the while demonstrating responsiveness to constructive suggestions and valid complaints of the employees in improving the workplace.

 

Management is also enabled to tap to the large reservoir of know-how and creativeness of its employees and enhance the human factor in organizational effectiveness.