In Sports collective bargaining plays a huge role. It is the settlement between the players and their associations. If there was no agreement on the terms that are supplied, there would be a drastic lock out, or strike and there would be no sports for the season. In the past 10 years, the National Football League has not had a single strike, lockout, or other game-stopping fight with its players, due to the collective bargaining agreement struck between the NFL and its players' union in 1993 and renewed five times since then. The 292-page document covers just about every labor topic imaginable, and requires that most disputes be resolved by internal arbitration rather than in court. The MLB just about had a lock out, but with a little more than three hours to spare, the sport averted a strike. When negotiators pulled off a surprise by agreeing to a tentative labor contract, the settlement was agreed upon and this was called a historic deal. The first time since 1970 the players and owners accepted a new collective bargaining agreement without a work stoppage. The deal that pulled baseball back from the brink penalizes big spending on player salaries and gives poorer teams a bigger share of the wealth. In return, the union received a guarantee that baseball won't eliminate teams through the 2006 season. And for the first time, players agreed to mandatory, random testing for illegal steroids. Two lawyers from each side bargained until 2 a.m. before the sides broke for a break. Players gave owners a proposal during a 20-minute meeting that began at 4 a.m., and owners responded with a counteroffer about 6:30 a.m. The union returned with a response at 9:15 a.m. The final meeting, which completed talks that began in January, lasted almost three hours. As soon as it ended, teams started heading to ballparks. With the deal, owners gained concessions from one of the most powerful unions in the nation. The players' association has lifted the average salary of its members from $51,501 in 1976 -- the last year before free agency -- to $2.38 million this season. As part of the agreement, all teams will have to share 34 percent of their locally generated money, up from 20 percent. That money is divided evenly among the 30 franchises and is intended to help middle-market teams. Owners can spend the money on their teams or pocket it, without restriction.

There are three basic functions of collective bargaining, a market or economic function. It determines on what terms labour will continue to be supplied to a company and by its present employees or will it be supplied in the future by newly hired workers. This process is primarily concerned with determining the substantive terms on which people are being employed. Second a government function in which collective bargaining may be regarded as a political process based on the dependency of the parties. The third function is a decision making function which allows workers, through their union representatives, to participate in the determination of the policies, which rule their working conditions. Any or all of these may be the subject of considerat

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