Legal Definitions - employee givebacks

Definition: Employee givebacks, also known as concession bargaining, is a type of negotiation between employers and employees where the employees agree to give back previously gained improvements in wages, benefits, or working conditions in exchange for job security, such as protection against layoffs.

For example, a union may agree to a wage freeze or reduction in order to prevent layoffs or keep a company from moving jobs overseas. Another example could be employees agreeing to pay a larger portion of their healthcare costs in exchange for job security.

These examples illustrate how employee givebacks work in practice. Employers may ask for concessions during tough economic times or when facing financial difficulties, and employees may agree to give up some of their benefits or pay in order to keep their jobs.