Collective bargaining on employee compensation is predominantly related to union activity and the emergence of unions in the 19th century and their strengthening and peak during the 20th century, dominant and characteristic of industrialized countries. Compensation for work is one of the basic elements of the economy and economic production and is placed at the center of the relationship between employers and employees. Through collective bargaining, employees aimed to achieve better working conditions and compensation for their work in general, which is most often the result of the collective strength of the negotiating position vis-à-vis the employer. The whole process of collective bargaining was regulated in almost all countries of the world in the 20th century and is one of the main levers of labor and entrepreneurship policy. Although it has certain advantages as well as disadvantages, collective bargaining raises the level of quality of life of employees through a greater possibility of better working conditions and greater compensation. One of the products of negotiations is the diversification of types of compensation that enter the sphere of negotiations.