Bargaining Fee

Guidelines for the Use of the Bargaining Fee by the PSA – Te Pukenga Here Tikanga Mahi.

Under the Employment Relations Act, bargaining fees payable to unions by non-union members in a workplace may be bargained into collective agreements.

A bargaining fee does not come into force unless agreed by the employer and the union and then endorsed in a secret ballot (conducted jointly by the employer and union) of employees who perform work within the coverage clause of the collective agreement, whether they are members of the union or not.

If individuals choose not to pay, the benefits of the collective agreement will not apply.The PSA considers the bargaining fee to be a tool to assist the bargaining process. It should only be utilised where more positive and collective approaches, such as union-only provisions, are not considered enough to ensure a positive outcome from the bargaining process, and the circumstances are appropriate. The decision on whether to utilise the bargaining fee lies with the secretariat.