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In the past, the Israeli industrial relations system was distinguished by great levels of trade union membership and employee associations with many active collective agreements (Mundlak et al., 2013). Today, however, about 30% of Israel’s workforce is organized (Adler & Avgar, 2011). This means that collective bargaining is a function that less than half of the workforce participates in. In Israel, the outcome of collective bargaining is known as collective agreements. These agreements verify the rights and obligations of the worker, union, and employer (Adler & Avgar, 2011). Svarstad and Kostøl (2022) state that, for example, the management and the union in firms participating in collective agreements can agree on more flexible working time arrangements than are otherwise permitted by law. There are similarities between collective bargaining in the United States and Israel. Both countries bargain in good faith, have agreements that extend beyond union membership, and members are not allowed to make unilateral decisions. In Israel, collective agreements are governed by the Collective Agreement Law, 1957. This law covers the two types of collective agreements in Israel the special and general agreements. Adler & Avgar, (2011) explain that a special collective agreement covers one workplace or employer, and a general collective agreement covers an industry or the entire workforce.
The author believes that collective bargaining in Israel is effective for the country. The country strives to make collective agreements fair and in compliance with the Collective Agreement Law. Even with the decline in union membership, the Histadrut, one of Israel's largest trade union organizations, continues to advocate for workers’ rights and a better workplace.
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