TOPICS – THIS SESSION Trade Unionism in India Definition – British Trade Unions Act Definition – Indian Trade Unions Act, 1926 Functions of Trade Unions in India National Commission of Labour Structures of Trade Unions Types of Trade Unions Union Security Problems of Trade Unions Problems of Recognition of Trade Unions Recognition under the Maharashtra Act, 1972 Conclusion HR Lecture 4.12.03

Trade Unionism in India According to Sidney & Beatric Webb Trade Unions are “a continuous association of wage earners for the purpose of maintaining and improving the conditions of their working lives”. Therefore, it is a “permanent organization” of workers and “wage earners” includes “salary earners”. The objective of such association is to maintain and improve the working conditions of its members. HR Lecture 4.12.03

Definition : British Trade Unions Act According to British Trade Unions Act “A trade union is a combination with a main objective of regulating the relationship between workmen and master or between workmen and workmen or between master and master for imposing of restrictive conditions on the conduct of any trade or business and also provision of benefit to members”. HR Lecture 4.12.03

Definition : Indian Trade Unions Act-1926 According to Indian Trade Unions Act 1926 “A trade union is a combination whether temporary or permanent formed primarily for the purpose of regulating relations between workmen and employers or between workmen and workmen, between employers and employers or for imposing restrictive conditions on the conduct of any trade or business and includes any federation of two or more trade unions”. HR Lecture 4.12.03

FUNCTIONS OF TRADE UNIONS IN INDIA To promote and protect the interest of workers and their conditions of employment. Functions include :- To achieve higher wages and better working and living conditions. To acquire control over industry by workers To minimize the helplessness of individual workers by making them stand up untidily and increasing the resistance power through collective bargaining; protecting the members against victimization and injustice by employers. To raise the status of workers as partners in industries. To generate self-confidence amongst workers. To encourage sincerity and discipline among workers. To take up welfare measures for improving morale of the workers. HR Lecture 4.12.03

National Commission of Labour The National Commission of Labour has underscored the basis functions to which trade unions have to pay greater attention such as: To secure fair wages for workers To safeguard the security of tenure and improve working conditions To enlarge opportunity for promotion and training To improve working / living conditions To provide for educational cultural and recreational facilities To help in technological advancement To promote identity of interest of workers with their industries To offer responsive cooperation in improving levels of production and productivity, discipline and high standards of quality. To promote individual and collective welfare. Added to this the commission also gave following responsibility to unions. Promotion of national integration To influence socio economic policy To instill a sense of responsibility to the industry & the community HR Lecture 4.12.03

Structures of Trade Unions In India structure of Trade Unions are at three levels :- Plant / Shop level State level Center level HR Lecture 4.12.03

Types of Trade Unions There are 2 types of organization to which the Trade Unions of India are affiliated:- 1. National Federations 2. Federations of Unions. National Federations : Here all trade union in the given industry are the affiliated members. The national federation are apex structures. Federations of Unions These are combination of various unions for the purpose of gaining strength and solidarity. They can resort to concerted action. HR Lecture 4.12.03

Union Security It covers : Sole or exclusive bargaining agent Preferential union shop Maintenance of membership. Agency shop Union Shop Closed shop Open shop Check off : It is a practice under which the employers deducts unions dues from the pay of the workers and hands over to the union. The National Commission of labours discussed the advantage and disadvantage of union security measures and made these recommendations :- A closed shop is neither practical nor desirable. A union shop may be feasible though some compulsion is inbuilt in this system also. Neither should be introduced by the state. They should be allowed to evolve as a natural process An enabling provision to permit check off on demand by a recognized union would be adequate. HR Lecture 4.12.03

Problems of Trade Unions Uneven Growth Small size of Unions Financial Weakness Multiplicity of Unions and Inter-Union Rivalry Leadership Issue Politicalisation of Unions Problems of Recognition of Trade Unions HR Lecture 4.12.03

Problem of Recognition of Trade Unions It is very difficult to get employers to recognize any union. Either on grounds of being in minority or where 2 or more unions exist. Prior to 1946 no provision existed in any state regarding grant to any union. The Bombay Industrial Relations Act,1946 provided for recognition of representative union. Further the Maharashtra Recognition of Trade Union and Prevention of Unfair Labour Practices Act 1971, which came into force in 1975, provides for :- Recognition of a representative union which would act as a sole bargaining agent for the establishment. Prevention of unfair labour practices on the part of employers and trade unions. HR Lecture 4.12.03

Recognition under the Code of Discipline Where is more than one union a union claiming recognition should have been functioning for atleast one year after recognition. Where there is only one union this condition will not apply. Member should cover atleast 15% of the employees. It should have a membership of 25% of the workers of that industry in that area. There should be no change in the form the ranks of craft workers who tended position for the period of 2 years. Where there are several unions in a industry of established the one with the largest union should be recognized. A representative union for an industry in the area should have the right to represent workers. Only those unions which observe the code of disco will be entitled to recognition. HR Lecture 4.12.03

Recognition under the Maharashtra Act 1972 A trade union must be registered under the Trade Unions Act 1926 Only a registered trade union can be recognized. There should be one union in one industry or undertaking or in more than one undertaking in a “local area”. The recognized union becomes the sole bargaining and its recognition cannot be challenged within a period of two years of its registration as a recognized union. The unrecognized minority unions have two rights viz (a) to meet and discuss with an employer or his representative the grievances of an individual member relating to his discharge, removal, retrenchment, termination of service or suspension, and (b) to appear on behalf of the members employed in the undertaking at any domestic or departmental enquiry held by the employer. A union can apply for registration as the recognized union for an undertaking to the Industrial Court, set up under this Act, if during the preceding period of six months it has not less than 30% of the total number of employees employed in that undertaking as its members. HR Lecture 4.12.03

Recognition under the Maharashtra Act 1972 7. The Industrial Court would indicate its intention to consider the application on the notice board of the undertaking and the employer or employee may, within a prescribed time, show cause why recognition should not be granted to the applicant union. While considering the objections, if the Industrial Court is satisfied that those are not valid, it would grant recognition to the applicant union and issue a certificate of recognition. If it reaches the conclusion that any of the other existing unions, with 30% or more membership, has the largest membership, it may issue a certificate of recognition to that union. 8. There shall not at any time be more than one recognized union in the same undertaking. 9. The Industrial Court shall not recognize any union if it is satisfied that the application for its recognition is not made bonafide in the interest of the employees, but is made in the interest of the employer to the prejudice of the interest of the employees. 10. The Industrial Court shall not recognize any union if at any time within six months immediately preceding the date of application for recognition, the union has instigated, aided or assisted in the commencement or continuation of a strike which is deemed to be illegal under the Act. HR Lecture 4.12.03

Conclusion Trade unions suffer from variety of problems : Politicalisation of unions Multiplicity of unions Inter and intra-union rivalry Small size and low membership Financial weakness Weak bargaining power Reliance on litigation of strikes Dependence of outside leadership HR Lecture 4.12.03