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TRADE UNION

Trade Union means a combination formed

for the purpose of regulating the relationsnot only between workmen and employers

but also between workmen and workmen

or between employers and employers.

- Trade Unio n Act 1926

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It is an organisation formed by employees or

workers.

It is formed on a continuous basis. It is apermanent body and not a casual or

temporary one.

It is formed to protect and promote all

kinds of interests economic, political andsocial-of its members.

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The dominant interest with which a

union is concerned is, however,

economic.

It includes federations of tradeunions also.

It achieves its objectives through

collective action and group effort

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(iv) The realization by the working class

that while the individual worker wasdispensable to the employer, workers

collectively were indispensable to him,

and as such, he could not dispense withall his workers and replace them. It is

this realization that sowed the seeds of

collective bargaining which later

resulted in trade unionism.

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On March 25, 1875, the Government ofBombay appointed the first BombayFactories Commission to investigate factoryconditions. The members of the Commission

failed to see any necessity of legislation.But due to the agitation started by the

social reformers led by Sorabji Bengalle and

other reasons the first Indian Factory Act

was passed in 1881.

HISTORY OF TRADE UNION

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In 1921 an effort was made by N.M. Joshi to

introduce in Indian legislature a trade unionlegislation. However, his effort succeeded

after five years in 1926 when the Trade

Unions Act was enacted legalizing the right

of workers to combine and form unions, andgranting them immunity from civil and

criminal prosecution for trade union

activities and the action flowing from the

same.

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The economic distress that followed the war,

the new spirit of awakening, the change inthe outlook towards the unions both on the

part of the Government and employers, and

the enactment of the Industrial disputes Act,

1947 (which enabled the unions to representworkers for settlement of their disputes

under the Act) contributed to the growth of

trade union movement in the country after

the war.

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In 1941 the Radicals left the AITUC withnearly 200 unions with a membership of

3,00,000 and formed a new centralfederation known as the Indian Federationof Labour.

The Post-Independence Period (From

1947 to-date) As pointed out earlier, when attempts to

restructure the AITUC failed, thosebelieving in the aims and ideals other thanthose of the AITUC separated from the

organization and established the IndianNational Trade Union Congress (INTUC) inMay, 1947

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FUNCTIONS OF TRADE UNION

To secure for workers better wages

To safeguard security of tenure and improve conditions of

service

To increase opportunities for promotion and training

To improve working and living condition

To provide for educational cultural and recreational facilities

To promote identity of interests of the workers

To offer improved level of production and productivity

discipline and high standard of quality

To promote individual and collective welfare

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3 Forms or type of trade unions:

Craft Unions:

Earliest forms of trade unions

Promote the skilled status of members Recruit within a particular craft

Membership through apprenticeship system

Power in skill and ability to control entry into the

profession, i.e. control supply of skill

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Industrial Unions:

Presently most common form of union

Organises all workers in a particular industry

Promotes sectoral based collective bargaining Strength is in no. of members per sector

Stronger unions due to one industry focus

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The appropriate Government appoints a person to be the

Registrar of Trade Unions for each State. It may also

appoint Additional and Deputy Registrars of Trade Unions.

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Any seven or more members of a Trade Union may apply

for registration of the Trade Union under this Act:

by subscribing their names to the rules of the Trade Union

and by complying with the provisions of this Act with respect

to registration.

An application for the registration of a Trade Union shall

not become invalid merely for the reason that at any timeafter the date of the application, but before the

registration of the Trade Union some of the applications

(not exceeding half of the total number of the personswho made the application) have ceased to be members of

the Trade Union.

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Application for registration of a Trade Union shall be made

to the Registrar and shall be accompanied by:

copy of the rules of the Trade Union

statement of the following particulars, namely:-

The names, occupations and addresses of the members making the

application.

The name of the Trade Union and the address of its head office.

Where a Trade Union has been in existence for more than

one year before the making of an application for its

registration it needs to submit a statement of the assets

and liabilities held by it.

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A Trade Union shall not be entitled to registration under

this Act, unless the executive is constituted in accordance

with the provisions of this Act, and the rules provided for

following matters:

the name of the Trade Union

the object for which the Trade Union has been established

the purposes for which the general funds of the Trade Unionshall be applicable.

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The Registrar can call for further information for the

purpose of checking the compliance of the application with

respect to Sec 5 and Sec 6 of the Trade Union Act.

He may refuse to register the Trade Union until suchinformation is supplied.

If the name under which a Trade Union is proposed to be

registered is identical or it nearly resembles with that of

any other existing Trade Union, the Registrar shall requirethe persons applying for registration to alter the name of

the Trade Union stated in the application.

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The Registrar, on being satisfied that the Union has complied

with all the requirements of this Act in regard to registration,

shall register the Trade Union.

Note:This section is mandatory. The Registrar cannot refuse to

register a Trade Union if the application for registration

complies with the technical requirement as laid down in this

Act.

The Registrar registering a Trade Union under Section 8, shall

issue a certificate of registration which shall be conclusive

that the Trade Union has been duly registered under this Act.

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A certificate of registration of a Trade Union may be

withdrawn or cancelled by the Registrar:

On the application of the Trade Union

If the Registrar is satisfied that the certificate has been

obtained by fraud or mistake

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Any person aggrieved by any refusal of the Registrar to

register a Trade Union or by the withdrawal or cancellation

of a certificate of registration may appeal to the

prescribed courts.

The Appellate Court may dismiss the appeal, or pass an

order directing the Registrar to register the Union and to

issue a certificate of registration or setting aside the order

for withdrawal or cancellation of the certificate, as the

case may be, and the registrar shall comply with such

order.

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All communications and notice to a registered Trade Union

may be addressed to its registered office.

Notice of any change in the address of the head office shall be

given within fourteen days of such change to the Registrar in

writing.

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Every registered Trade Union:

shall be a body corporate by the name under which it is

registered

shall have perpetual succession and a common seal

power to acquire and hold both movable and immovable

property

it can, by the said name sue and be sued.

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The Societies Registration Act, 1863.

The Co-operative Societies Act, 1912.

The Companies Act, 1956

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The payment of salaries, allowances and expenses to office

bearers of the Trade Union.

The payment of expenses for the administration of the Trade

Union including audit of the accounts of the general funds.

The compensation to members for loss arising out of trade

disputes;

Allowance to members or their dependants on account of

death, old age, sickness, accidents or unemployment of such

members;

The provision of educational, social or religious benefits for

members or for the dependants of members;

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The upkeep of a periodical published mainly for the

purposes of discussing questions affecting employers or

workmen;

Any other object notified by the appropriate Governmentin the official Gazette.

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A registered Trade Union may constitute a separate fund,

from which payments may be made, for the promotion of

the civic and political interest of its members.

No member shall be compelled to contribute to the fund.

Member who does not contribute to the said fund shall not be

excluded from any benefits of the Trade Union

Contribution to the said fund shall not be made a condition foradmission to the Trade Union.

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No officers or members of a registered Trade union shall be

liable to punishment under sub-section (2)of Section 120-B

of the Indian Penal Code, in respect of any agreement

made between the members for the purpose of furthering

any such object of the Trade Union as is specified in

Section 15 unless the agreement is an agreement tocommit an offence.

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No suit or other legal proceeding shall be maintainable in any

Civil Court against any registered Trade Union or any member in

respect of any act done in contemplation or furtherance of a

trade dispute to which a member of the Trade Union is a party

on the ground only that such act induces some other person to

break a contract of employment, or that it is in interferencewith the trade, business or employment of some other person

or with the right of some other person to dispose of his capital

of his labour as he wills.

A registered Trade Union shall not be liable in any suit or other

legal proceeding in any Civil Court in respect of any tortuous

act done in contemplation or furtherance of a trade dispute by

and agent of the Trade Union if it is proved that such person

acted without the knowledge of, or contrary to, express

instructions given by the executive of the Trade Union.

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An agreement between the members of a registered Trade

Union shall not be void merely because of the fact that any

of the objects of the agreement is in restraint of trade.

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The account books of a registered Trade Union and the list

of members shall be open to inspection by any member of

the Trade Union.

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Any person who has attained the age of fifteen years may

be a member of registered Trade Union subject to any

rules of the Trade Union to the contrary.

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A person shall be disqualified for being chosen as, and for

being a member of the executive or any other office-

bearer or registered Trade Union if-

He has not attained the age of eighteen years;

He has been convicted by a Court in India of any offence

involving moral turpitude and sentenced to imprisonment,

unless a period of five years has elapsed since his release.

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Not less than one half of the total number of the office

bearers of every registered Trade Union shall be persons

actually engaged or employed in an industry with which

the Trade Union is connected.

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Any registered Trade Union may, with the consent of not

less than two-thirds of the total number of its members

and subject to the provisions of Section 25 change its

name.

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Notice in writing of every change of name and every

amalgamation shall be sent to the Registrar, signed,

in the case of change of name, by the Secretary an by sevenmembers of the Trade Union changing its name

in the case of an amalgamation by the Secretary and by seven

members of each and every Trade Union which is

amalgamating.

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When a registered Trade Union is dissolved, notice for the

dissolution signed by seven members and by the Secretary

of the Trade Union shall, within fourteen days of the

dissolution, be sent to the Registrar.

Where the dissolution of a registered Trade Union has been

registered and the rules of the Trade Union do not provide

for the distribution and funds, the Registrar shall divide

the funds amongst the member in such manner as may be

prescribed.

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Every registered Trade Union is required to send a general

statement, of all receipts and expenditure audited in the

prescribed manner, to the Registrar annually on or before

such date as may be prescribed of during the year.

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The appropriate Government may make regulations for the

purpose of carrying into effect the provisions of this Act.

Such regulations may provided for all or any of the

following matters:

The manner in which Trade Union and the rules of Trade Unions

shall be registered and the fees payable on registration;

The transfer of registration in the case of any registered Trade

Union which has changed its head office from one State to

another;

The manner in which, and the qualifications of persons by

whom, accounts of registered Trade Unions or of any class of

such Unions shall be audited;

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The conditions subject to which inspection of documents kept

by Registrars shall be allowed and the fees which shall be

chargeable in respect of such inspections;

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The Power to make regulations conferred by section 29 is

subject to the condition of the regulations being made

after previous publications.

Regulations so made shall be published in the OfficialGazette and on such publication shall have effect as if

enacted in this Act.

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Names and details of someUnions in India

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The Indian National Trade Union Congress

Origin:

The INTUC came into existence on 4th May, 1948, as a result of the resolutionpassed on 17th November 1947, by the Central Board of the HindustanMazdoor Sevak Sangh, which was a labour leader on the GandhianPhilosophy of Sarvodaya

Objectives:

To establish an order of society which is free from hindrances to an all-rounddevelopment of its individual members, which fosters the growth of humanpersonality in all its aspects, and which goes to the utmost limit inprogressively eliminating social, political or economic exploitation and

inequality, the profit motive in the economic activity and organization ofsociety and the anti-social concentration of power in any form;

to place industry under national ownership and control in a suitable form;

to secure increasing association of workers in the administration of industryand their full participation in that control;

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All-India Trade Union Congress (AITUC)

Origin:

It was established in 1920 as result of a resolution passed by the organizedworkers of Bombay and the delegates which met I a conference on 31stOctober, 1920.

Objectives:

to establish a socialist state in India;

to socialize and nationalize means of production, distribution and exchange;

to improve the economic and social conditions of the working class;

to watch, promote, and further the interests, rights, and privileges of theworkers in all matters relating to their employment;

to secure and maintain for the workers the freedom of speech, freedom ofpress, freedom of association freedom of assembly, the right to strike, andthe right to work and maintenance;

to co-ordinate the activities of the labour unions affiliated to the AITUC;

to abolish political or economic advantage based on caste, creed,community, race or religion;

to secure and maintain for the workers the right to strike

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United Trade Union Congress (UTUC)

Origin:

Some trade union leaders of the socialist bent met together December 1948 to form anew central organization of labour, called Hind Mazdoor Sabha

Objectives:

The objectives of the UTUC are:

to establish a socialist society in India;

to establish a workers and peasants state in India;

to nationalize and socialize the means of production, distribution and exchange;

to safeguard and promote the interests, rights, and privileges to the workers in allmatters, social, cultural, economic and political;

to secure and maintain workers freedom of speech, freedom of press, freedom ofassociation, freedom of assembly, right to strike, right to work or maintenance andthe right to social security;

to bring about unity in the trade union movement.

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Bhartiya Mazdoor Sangh (BMS)

Origin:

This union has been the outcome of decision taken by the Jana Sangh in its Conventionat Bhopal on 23rd July, 1954.

Objectives: to establish the Bhartiya order of classless society in which there shall be secured

full employment;

to assist workers in organizing themselves in trade unions as medium of service tothe motherland irrespective of faiths and political affinities;

the right to strike;

to inculcate in the minds of the workers the spirit of service, co-operation anddutifulness and develop in them a sense of responsibility towards the nation in

general and the industry in particular. The BMS is a productivity-oriented non-political trade union. Its ideological basis is

the triple formula:

nationalize the labour;

labourise the industry;

industrialize the nation;

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National Front of Indian Trade Unions (NFITU)

Origin

This union was founded in 1967, with the claim that this trade union of India is notcontrolled by any of the political party, employers or government.

Objectives:

to organize and unite trade unions with the object of building up a National Central

Organisation of trade unions, independent of political parties, employers and thegovernment, to further the cause of labour and that of national solidarity security anddefence of India, and to make the working people conscious of their right as well asof obligations in all spheres of life;

to secure to members of trade unions full facilities of recognition and effectiverepresentation of interests of workers and to ensure for the working people fairconditions of life and service and progressively to raise their social, economic and

cultural state and conditions;

to help in every possible way member trade unions in their fight to raise real wagesof the workers;

to endeavour to secure for members of affiliated trade unions adoption ofprogressive legislation for their welfare and to ensure the effective environment of

the rights and interests of members of affiliated trade unions and for the workingpeople in general.

Centre of Indian Trade Union (CITU)

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Centre of Indian Trade Union (CITU)

OriginThis union was formed in 1970 when as a result of the rift in the AITUC, some members

of the Communist party seceded. About the objectives of the CITU, its constitution

says:

Objectives:

The CITU believes that the exploitation of the working class can be ended only bysocializing all means of production, distribution and exchange and establishing asocialist state, that is, it stands for the complete emancipation of the society from allexploitation.

The CITU fights against all encroachments on the economic and social rights of theworkers and the enlargement of their rights and liberties including the right to strike,for winning, defending and extending the freedom of the democratic trade unionmovement.

In the fight for the immediate interest of the working class the CITU demands: (a)

nationalization of all foreign monopoly concerns who barbarously exploit the workingclass; (b) nationalization of all concerns owned by Indian monopolists and bigindustry who garner huge profits at the expenses of the workers, who exploit thepeople by pegging prices at a high level and who dictate the anti-labour and anti-people policies of the government.

The CITU fights against the repressive policy of the government towards thedemocratic and trade union movement;

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Political Affiliations

As regards leadership, all the four organizations have their politicalaffiliations, and the leadership, therefore, lies in the hands of the politicians,and not in those of the working class, which is yet illiterate and backward to

wield any influence.

The AITUC is pro-communist. It is led by the Right CPI. Its attitude towards thegovernment is not entirely hostile, but of course highly critical of thegovernment.

The UTUC is radical, non-communist and anti-INTUC. It is led by some

independent trade union leaders, the Forward Block and the RevolutionarySocialist Party.

On the international level, the INTUC is affiliated to the InternationalConfederation of Free Trade Unions (ICFTU) an organization mainlysupported by the Anglo American block; while the AITUC is affiliated to theWorld Federation of Trade Unions (WFTU), supported by the Communistblock.

CRITICISMS

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CONCLUSION Trade Union is an important factor of the

current society, as it safeguards the basic

interest and needs of both the employeesas well as employers, by giving better

terms and conditions of employment,

secured jobs, better wages, favorable

working environment which in turn leads

to desired profitability.

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i) Primary Unions of the IndustrialType

Unlike the Western countries, wherethe trade union movement began withcraft unions, the Indian trade union

movement started with the industrialunions.On the basis of their units oforganisation, the primary unions are

again classified intoa) plant-level industrial unions /establishment-level unions, andb) region-cum-industry level industrial

unions

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a) Plant-Level Industrial Unions /Establishment-Level Unions

This type of unions are most common in India.They cover a single plant and the membershipof these unions is open to all categories ofworkers of the plant.

There are some establishments which do notcome under the purview of the wordindustry. Examples are: shops, agriculture,personal services etc. The unions that form

these establishments, covering all categories ofworkers employed in them are therefore calledas Establishment-Level Unions.

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b) Region-cum-Industry Level

Industrial UnionsThis type of unions cover all categoriesof employees of a particular industry(irrespective of the number of plants or

the employers) located in a particularcity/ region. Examples are: RashtriyaMill Mazdoor Sangh and Girni KamgarUnion located in Mumbai.

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ii) Primary Unions of the General TypeThe primary unions of the general typemay be further classified into two types:

a) Employer-cum-local level generalunions; and

b) local-level general unions.

A union that is formed for all the categories of

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A union that is formed for all the categories ofworkers employed in a variety of industries thatare located in the same place and are owned bya single employer is called as an employer-cum-local level general union. Example:Rohatas Workers

Union of the Rohtas Industries (covering such

industries such as cement, sugar, paper,chemicals, asbestos) located in Dalmianagar.On the other hand, a union that is formed forall categories of workers employed in a variety

of industries that are located in the same place,but are owned by different employers, is knownas a locallevel general union. Example:Jamshedpur Labour Union.

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Industrial FederationsWorkers belonging to a particular industry havecertain problems in common, which can at best

be settled at the industrial level. In order todeal with these problems effectively, the plantlevel and /or locality level unions have tendedto form federations at two levels: regional and

national levels.

Examples of regional level federations are:the UP Chini Mazdoor Federation and the BiharSugar Workers Federation.

Some examples of the national level industrialfederations are: All India Coal WorkersFederation, All India Bank Employees

Federation

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Central Federations

The central federations of trade unions are at theapex of the trade union structure in India. Thesefederations provide guidance and formulate broadpolicies of the unions that are affiliated to themand give these policies a national character.Further, they act as coordinating authorities fortheir affiliates. They come to the rescue of theaffiliates whenever the latter face crises.However, in the negotiations at the lower levels,

they have little say.

At present there are 12 central trade union

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At present, there are 12 central trade unionorganisations/ federations in India. Theyare :

AITUC , INTUC, HMS, UTUC, UTUC (LeninSarani), CITU, BMS, National Federations ofIndian Trade Unions (NFITU), Trade UnionCoordination Committee (TUCC), NationalLabour Organisation (NLO), Hindu MazdoorKisan Panchayat (HMKP), and IndianFederation of Free Trade Unions (IFFTU).

Out of these, thefollowing 5 are considered

major: INTUC, BMS, HMS, AITUC, and CITU.All these have affiliations to national politicalparties. The NFITU, HMKP, and IFFTU areindependent federations.

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The main objective of forming trade unions is toimprove the employment and service conditions

of workers. The unions seek to achieve this

objective by negotiating / bargaining with the

employers / managements about the terms andconditions of employment. Collective bargaining

can be possible only when employers recognise

trade unions as bargaining agents. There is no

central legislation in India regarding recognitionof unions for collective bargaining and other

purposes. As such, recognition of trade unions

has become a vexatious problem in India.

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What is Recognition?

The Royal Commission on Labour in India (1931) in

its Report explained that recognition shouldmean that the employer recognised the right of

the union to negotiate with him in respect of

matters affecting either the common or the

individual interests of the members. Sen (2003) defines trade union as the process

through which management acknowledges and

accepts a trade union as representative of some

or all of the workers in an establishment orindustry and with which it is willing to conduct

discussions on all issues concerning those

orders.

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The methods used for determining the unionstrength are:

(a) election by secret ballot;

b) check-off method; and c) physical verification of union

membership.

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a) Election by Secret Ballot: The secretballot method is similar to the conduct ofelections in general for the purpose of

entrusting the reins of Government to a

political party. Under this system all eligibleworkers of an industrial establishment may

vote for a union of their choice. Generally,

elections through the method are conducted

by the Registrar of Unions who acts as aneutral agent. The elected union enjoys

the recognition status for a minimum period,

usually two years.

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