UNIT – II

Concept of types of Trade Unions – Role of Trade Unions – Recognition of Trade

unions– Pitfalls and suggestions to improve Trade unions- Trade Union Act 1926

Definition and Concept of Trade Unions in India Industrial Relations

Introduction:
Trade unions are an integral part of industrial relations in India. They represent
the collective voice of workers and aim to protect their interests and rights in the
workplace. In this article, we will discuss the definition and concept of trade
unions in India industrial relations.

Definition of Trade Unions in India:

Trade unions are organizations formed by workers to promote and protect their interests
and rights in the workplace.
They are registered under the Trade Unions Act, 1926, and operate under specific
regulations and laws.
Trade unions are democratically elected and operate on the principle of collective
bargaining with employers.
Concept of Trade Unions in India:

● Protection of workers' rights and interests

● Trade unions in India aim to protect the rights and interests of workers in the
workplace.
● They advocate for better wages, working conditions, job security, and other
employment-related benefits.
● Trade unions also work towards ensuring safe and healthy working conditions for
workers.
Collective bargaining
● Trade unions operate on the principle of collective bargaining with employers.
● The process of collective bargaining involves negotiation between employers and
employees to reach an agreement on various employment-related matters.
● Collective bargaining helps to ensure that workers' interests are represented in
the workplace and can result in better wages, working conditions, and other
benefits.

Representation of workers
 ● Trade unions represent workers at different levels, including at the
enterprise level, industry level, and national level.
● They advocate for the rights and interests of workers through various
means, including strikes, protests, and legal action.
● Trade unions also provide support and assistance to workers in cases of
disputes with employers.
● Political advocacy
● Trade unions in India also engage in political advocacy to promote the
interests of workers.
● They lobby for changes in labour laws and regulations to protect workers'
rights and interests.
● Trade unions also work towards ensuring that workers' voices are
represented in policy-making and legislative processes.
Conclusion:

Trade unions play a significant role in shaping industrial relations in India. They
represent the collective voice of workers and aim to protect their rights and interests in
the workplace. The concept of trade unions in India is based on the principles of
collective bargaining, protection of workers' rights, representation of workers, and
political advocacy.

Role of Trade Unions in India Industrial Relations

Trade unions in India play a significant role in shaping industrial relations. They
represent the collective voice of workers and aim to protect their interests and rights in
the workplace. In this article, we will discuss the role of trade unions in India industrial
relations.

Representation of workers
● Trade unions represent the collective voice of workers in the workplace.
● They advocate for better wages, working conditions, job security, and other
employment-related benefits.
● Trade unions provide support and assistance to workers in cases of
disputes with employers.
Collective bargaining
● Trade unions operate on the principle of collective bargaining with
employers.
● The process of collective bargaining involves negotiation between
employers and employees to reach an agreement on various
employment-related matters.
 ● Collective bargaining helps to ensure that workers' interests are
represented in the workplace and can result in better wages, working
conditions, and other benefits.
Advocacy and lobbying
● Trade unions engage in advocacy and lobbying to promote the interests of
workers.
● They lobby for changes in labour laws and regulations to protect workers'
rights and interests.
● Trade unions also work towards ensuring that workers' voices are
represented in policy-making and legislative processes.
● Dispute resolution
● Trade unions play a crucial role in resolving disputes between workers and
employers.
● They provide support and assistance to workers in cases of disputes with
employers.
● Trade unions also engage in collective bargaining to prevent disputes from
arising in the first place.
Political representation
● Trade unions engage in political representation to promote the interests of
workers.
● They support political parties that are favourable to workers' rights and
interests.
● Trade unions also work towards ensuring that workers' voices are
represented in policy-making and legislative processes.
Conclusion:

Trade unions have a crucial role to play in shaping industrial relations in India.
They represent the collective voice of workers and aim to protect their interests
and rights in the workplace. The role of trade unions in India includes
representation of workers, collective bargaining, advocacy and lobbying, dispute
resolution, and political representation. Trade unions are an essential component
of India's labour movement and are crucial for ensuring that workers' rights and
interests are protected in the workplace.

process of recognisation of tradeunion in india

In India, the process of recognition of a trade union involves the following steps:
Formation of a trade union: The first step is to form a trade union with a minimum
of 7 members if it is in the case of an unregistered union, or with a minimum of
10% of the workers if it is a registered union.

Registration of the trade union: The trade union can be registered under the
Trade Unions Act, 1926. The application for registration should be made to the
Registrar of Trade Unions, along with the required documents and fees.

Application for recognition: Once the trade union is registered, it can apply to the
employer for recognition. The application should be in writing and should contain
the name and address of the trade union, its constitution, the names of office
bearers, and the number of members.

Verification of membership: The employer may ask for verification of the

membership of the trade union. The trade union must provide a list of its
members and proof of membership.

Decision on recognition: The employer will then take a decision on whether to

grant recognition to the trade union. If the employer refuses to grant recognition,
the trade union can make a representation to the appropriate government
authority for a decision.

Collective bargaining: Once the trade union is recognized, it can engage in

collective bargaining with the employer on behalf of its members.

It is important to note that recognition of a trade union is not mandatory in India,

but it provides certain benefits to the trade union and its members, such as the
right to engage in collective bargaining and the right to represent its members in
certain legal proceedings.

Recognition of Trade unions:

● The recognition of Trade Unions in India is primarily governed by the Trade
Unions Act, 1926. There is no specific article or section in the Indian
Constitution that deals with the recognition of trade unions. However, the
Constitution of India grants certain fundamental rights to the workers,
including the right to form associations or unions under Article 19(1)(c) and
the right to collective bargaining under Article 23.
Advantages of recognition of trade unions:

● Collective bargaining: The main advantage of trade union recognition is

that it gives workers the right to collective bargaining with their employer.
This allows workers to negotiate better working conditions, wages, and
benefits.

● Legal recognition: Recognition of trade unions provides legal recognition

to the union and its members. This means that the union can represent its
members in various legal proceedings and disputes.

● Improved working conditions: The presence of a recognized trade union

can help improve working conditions for workers. Unions can negotiate
with employers for better health and safety measures, better working
hours, and improved job security.

● Political representation: Trade unions can represent the interests of their

members politically. Unions can lobby for better labor laws and policies
and work to ensure that the rights of workers are protected.

Disadvantages of recognition of trade unions:

● Strikes and lockouts: One of the main disadvantages of trade union

recognition is the possibility of strikes and lockouts. These can disrupt
business operations and lead to financial losses.

● Conflict with employers: Recognition of trade unions can sometimes lead

to conflict between the union and the employer. This can make it difficult to
reach agreements on issues like wages, working conditions, and benefits.

● Union politics: Trade unions can sometimes become embroiled in internal

politics and disputes. This can detract from the union's primary goal of
representing its members.

● Membership fees: Membership in a recognized trade union typically comes

with membership fees. Some workers may not want to pay these fees,
which can lead to tensions within the union.
Overall, the recognition of trade unions in India can provide several benefits to
workers, including the right to collective bargaining and legal representation.
However, there are also potential downsides, such as the possibility of strikes
and conflicts with employers.

Pitfalls of Trade Unions in India:

1. Fragmentation: One of the biggest pitfalls of trade unions in India is their

fragmentation. There are numerous trade unions in the country,
representing different groups of workers, which can sometimes lead to a
lack of cohesion and unity.
2. Political influence: Many trade unions in India are influenced by political
parties, which can sometimes lead to conflicts of interest and affect their
ability to represent workers effectively.
3. Low membership: Despite the large number of workers in India, the
membership of trade unions is relatively low. This can make it difficult for
unions to negotiate effectively with employers and to represent the
interests of workers.
4. Lack of representation: Trade unions in India often represent only a small
fraction of workers in a particular sector, leaving out many others who may
also benefit from collective bargaining.
5. Corruption: Some trade unions in India have been accused of corruption,
including mismanagement of funds and accepting bribes from employers.
6. Strikes and lockouts: While strikes and lockouts can be an effective means
of negotiation, they can also be disruptive to businesses and lead to
financial losses for both employers and employees.
7. Inefficient governance: Trade unions in India are sometimes criticized for
their inefficient governance, which can lead to conflicts and lack of
progress on important issues.
8. Slow legal processes: Legal processes in India can be slow, which can
make it difficult for trade unions to effectively represent their members in
legal proceedings.

Suggestions for Trade Unions in India:

1. Unity: Trade unions in India should aim to build greater unity and cohesion
among workers, to better represent their interests and negotiate with
employers.
 2. Non-political affiliations: Trade unions should strive to be independent of
political parties and focus solely on representing the interests of workers.
3. Increase membership: Trade unions should work to increase their
membership base by reaching out to more workers, including those in the
informal sector.
4. Broad representation: Trade unions should aim to represent a broad
cross-section of workers, including women, minorities, and those in the
informal sector.
5. Accountability and transparency: Trade unions should ensure
transparency in their operations and be accountable to their members. This
includes regular reporting on finances and activities.
6. Skill development: Trade unions should invest in the skill development of
their representatives to enable them to better represent the interests of
workers.
7. Collaborations: Trade unions should collaborate with other unions,
organizations, and governments to improve working conditions and
workers' rights.
8. Legal awareness: Trade unions should work to increase the legal
awareness of their members, to better protect their rights and interests.
9. Avoidance of strikes and lockouts: Trade unions should aim to avoid
strikes and lockouts, instead of focusing on negotiations and dialogue to
resolve disputes.

Trade Union Act 1926

INTRODUCTION

● With the emergence of industrialization, the relationship between workers and

employers changed, resulting in the growth of trade unions. Trade unions are
organized groups of workers who strive to help workers on issues relating to pay,
working conditions, and other benefits. The Trade Unions Act of 1926 is the
principal Act for controlling and managing the work of trade unions in India.

HISTORY
● Trade unions in India emerged after the end of World War 1 and have since
become an important platform for workers to voice their demands.
● The Bombay Mill-Hands Association, founded in 1890, was the first labour
association in India, followed by other associations and unions such as the
Madras Labour Union and the All India Trade Union Congress.
 ● The concept of trusteeship was introduced by Mahatma Gandhi to improve
the relationship between employers and workers, and commissions such
as the Royal Commission on labour emphasised the need for strong trade
unions in India.

Development of Trade Union Law in India

Labour legislation in India has a key impact on the development of industrial

relations. The establishment of social justice has been the principle of all labour
legislation in India. The establishment of the International Labour Organisation to
uplift the condition of labour all over the world gave further impetus to the need
for well-framed labour legislation in the country. Several other internal factors like
the Swaraj movement of 1921-24, the Royal Commission on Labour also paved
the way for various labour laws and also encouraged the framers of the
constitution to incorporate such laws in the constitution which will benefit the
labourers. Under the Constitution of India, labour is the subject of the concurrent
list and both the centre and the state can make laws related to the subject. The
different labour laws in the country are as follows:

● The Apprentices Act, 1961: The object of the Act was the promotion of
new manpower at skills and the improvement and refinement of old
skills through practical and theoretical training.
● The Contract Labour (Regulation and Abolition) Act, 1970: The object of
the Act was the regulation of employment of contract labour along with
its abolition in certain circumstances.
● The Employees’ Provident Funds and Misc. Provision Act, 1952: The Act
regulated the payment of wages to the employees and also guaranteed
them social security.
● The Factories Act, 1948: The Act aimed at ensuring the health of the
workers who were engaged in certain specified employments.
● The Minimum wages Act, 1948: The Act aimed at fixing minimum rates of
wages in certain occupations.
● The Trade Union Act, 1926: The Act provided for the registration of trade
unions and defined the laws relating to registered trade unions.

Provisions of the Trade Unions Act, 1926

The labourers, especially the ones who work in the unorganised sectors, lack the
capacity to bargain, and this becomes a major reason for their exploitation. The
right to collective bargaining is provided only to those trade unions that are
registered. But in India, there is legislation regarding the recognition of trade
unions but there is no single legislation on the registration of trade unions.
Realising the need to have central legislation for the registration of trade unions,
the parliament passed the Indian Trade Union (Amendment) Act in the year 1947.
The said Act sought to introduce Chapter III-A into the Trade Union Act, 1926,
which enumerated the conditions required for the mandatory recognition of any
trade union. However, this Act was never brought into force. Therefore, the
mandatory recognition of trade unions is not present under any law in force in
India.

The words in Section 1 of the Act, “except the State of Jammu and Kashmir” were
omitted by the amendment Act 51 of 1970. Thus, the Trade Unions Act of 1926
extends to the whole of India.

Definition clause

Section 2(h) lays down the definition of trade unions. It states the following:

Trade Union means any combination, whether temporary or permanent, formed

primarily for the purpose of regulating the relations between workmen and
employers or between workmen and workmen, or 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:

Provided that this Act shall not affect –

(i) any agreement between partners as to their own business;

(ii) any agreement between an employer and those employed by him as to such
employment; or

(iii) any agreement in consideration of the sale of the good-will of a business or of

instruction in any profession, trade or handicraft.

A trade union is typically thought of as a group of wage earners or workers. It is a

voluntarily formed group of workers in a specific trade or business. An
organisation of wage workers known as a trade union was created largely for the
purpose of taking collective action to further the defence of its professional
interests.

These are the components of a trade union:

● There must be a combination of employers and workers in a union;

● The business trade is necessary, and
● The primary goal of the union must be to control employer-employee
interactions and establish limitations on how any trade or company may
be conducted.

Since it includes both employers’ unions and workers’ unions, the definition of a
trade union under Section 2(h) is excessively broad.

It was held in National Organisation of Bank Workers’ Federation of Trade Unions

v. Union of India (1993) that a federation is not a trade union in accordance with
Section 2(h) of the Trade Unions Act of 1926 if it is not a registered organisation
under that Act. Any federation made up of two or more unions is included in the
definition. The appellant lacked the authority to initiate or make any demands for
and on behalf of the employees because it is not a registered organisation.

The Madras High Court in the case of the Registrar of Trade Unions, Union
Territory of Pondicherry v. the Government Press Employees Union represented
by its Secretary V. Thirunavukkarasu (1975) observed that the workmen who are
employed in an industrial undertaking, for example, a government press, are
‘workmen’ entitled to the benefits of the Trade Unions Act of 1926.

Registration of trade unions

By relying on the registration mechanism, unions are encouraged to grow

steadily and permanently. According to the Act, a registered trade union is
entitled to certain protections and benefits. As a result, the union’s supporters
are prompted into registering their trade unions under the Trade Unions Act of
1926.

The regulations relating to the registration of trade unions are outlined in

Sections 3 to 14 of Chapter 2 of the Trade Union Act of 1926 and the Central Trade
Union Regulations, 1938, which have around 17 Rules and forms A, B, and C. A
useful tool for ensuring the expansion of long-lasting and reliable unions is
registration. Although it is not required, registration is preferred because a
registered trade union is granted certain benefits and immunity. Members of a
registered trade union are also granted certain rights and advantages. In other
words, those who belong to a legally recognised union are entitled to protection,
immunity, and exemption from certain legal obligations on both the civil and
criminal sides. However, it should be remembered that a personal conflict only
becomes an industrial issue when it is represented by a group of employees or a
trade union, whether they are registered or not.

In the case of Tamil Nadu N.G.O Union v. The Registrar of Trade Unions (1962),
the N.G.O. union’s petition was denied by the High Court of Madras. The registrar
of the trade union in this case rejected the N.G.O.’s union’s application for
registration on the grounds that public servant unions could not be registered
under the trade union Act. In order for the union to be registered under the Trade
Union Act, its members must be workers employed by trade, business, or
industry, and the applicants lack this qualification because they are civil servants
responsible for the state’s sovereign and legal functions. Accordingly, the High
Court dismissed the appeal.

The Calcutta High Court ruled in the case of Registrar of Trade Unions, West
Bengal v. Mihir Kumar Gooha (1962) that E.S.I. Corporation workers would fall
under the definition of workmen and could, thus, register themselves as union
members.

Section 3 : appointment of registrars

Section 3 of the Act empowers the appropriate government to appoint a person

as the registrar of a trade union. The appropriate government can also appoint as
many additional and deputy registrars in a trade union as it deems fit for carrying
on the purposes of the Act.

The aforementioned actions must be taken in order to exercise and carry out the
Registrar’s legal obligations under this Act, including any specific powers and
functions that the Registrar may, by order, specify, as well as to specify the local
boundaries within which any additional or deputy Registrar may exercise and
carry out those obligations.

Section 4 : mode of registration

Section 4 of the Act provides for the mode of registration of the trade union.
According to the Section, any seven or more than seven members of a trade
union may by application apply for the registration of the trade union subject to
the following two conditions:

● At Least 7 members should be employed in the establishment on the

date of the making of the application.
● At Least 10% or a hundred members whichever is less, are employed in
the establishment and should be a part of it on the date of making the
application.

Section 5 : application of registration

According to Section 5 of the Act, every application for a trade union’s

registration must be presented in writing to the Registrar and include a copy of
the union’s rules as well as a statement of the information listed below:

1. Firstly, the members submitting must mention their names, occupations,

and addresses;
2. Secondly, the name of the Trade Union and its headquarters’ address
must also be included; and
3. Finally, the titles, names, ages, addresses, and occupations of the Trade
Union’s office holders must also be included.

A trade union’s executive must be organised in conformity with the Act’s

requirements before it may be registered.

Section 6 : provisions to be contained in the rules of a trade union

Section 6 of the Act enlists the provisions which should be contained in the rules
of trade union and it provides that no trade union shall be recognized unless it
has established an executive committee in accordance with the provisions of the
Act and its rules, specifies the following matters, namely:

● Name of the trade union;

● The object of the establishment of the trade union;
● Purposes for which the funds with the union shall be directed;
● A list specifying the members of the union shall be maintained. The list
shall be inspected by office bearers and members of the trade union;
 ● The inclusion of ordinary members who shall be the ones actually
engaged or employed in an industry with which the trade union is
connected;
● The conditions which entitle the members to any benefit assured by the
rules and also the conditions under which any fine or forfeiture may be
imposed on the members;
● The procedure by which the rules can be amended, varied or rescinded;
● The manner within which the members of the manager and also the
alternative workplace bearers of the labour union shall be elective and
removed;
● The safe custody of the funds of the labour union, an annual audit, in
such manner, as may be prescribed, of the accounts thereof, and
adequate facilities for the inspection of the account books by the
workplace bearers and members of the labour union, and;
● The manner within which the labour union could also be dissolved.

The Supreme Court ruled in the case of M. T. Chandrasenan v. Sukumaran (1974)

that a member cannot be regarded as a trade union member if the subscription
fee is not paid. However, subscriptions cannot be rejected on the basis of a
reason that prevents membership.

The Supreme Court of India ruled in the 2004 case of Bokajan Cement
Corporation Employees Union v. Cement Corporation of India that membership in
the union did not end immediately upon loss of employment.

Section 7: Power to call for further particulars and require alteration of the name

Section 7 of the Act confers upon the registrar the power to call for information in
order to satisfy himself that any application made by the trade union is in
compliance with Sections 5 and 6 of the Act. In matters where the discrepancy is
found, the registrar reserves the right to reject the application unless such
information is provided by the union.

This Section also confers power to the registrar to direct the trade union to alter
its name or change the name if the registrar finds the name of such union to be
identical to the name of any other trade union or if it finds its name to so nearly
resemble the name of any existing trade union, it may be likely to deceive the
public or members of either of the trade unions.
The Bombay High Court in the case of All India Trade Union Congress v. Deputy
Registrar of Trade Unions (2005) set aside a request to register a trade union with
a name that already existed, claiming it to be expressly contrary to the language
in Section 7(2), leading to the cancellation of registration. It further observed that
the very purpose behind Section 7 is to avoid misleading the general public or
trade union members into thinking that the union seeking registration under the
name for which registration is requested is somehow associated with the union
already registered.

Section 8 : registration

According to Section 8 of the Act, if the registrar has fully satisfied himself that a
union has complied with all the necessary provisions of the Act, he may register
such a union by recording all its particulars in a manner specified by the Act.

Each registered trade union should be a body corporate, which makes it a legal
entity with perpetual succession. It shall have a common seal, the ability to buy,
possess, and enter into contracts with both movable and immovable property, as
well as the ability to sue and be sued using that name.

The Supreme Court ruled in the 1935 case of the Re-Indian Steam Navigation
Workers Union that a Registrar just needs to check that all the technical
conditions are being met, not whether it could be deemed illegal.

Whereas in another case before the Supreme Court of India, ACC Rajanka
Limestone Quarries Workers Union v. Registrar of Trade Unions (1958), it was
determined that an appeal might be filed to the High Court under Article 226 of
the Indian Constitution if the registrar fails to register the trade union within 3
months of the application.

Section 9 : certificate of registration

According to Section 9 of the Act, the registrar shall issue a registration

certificate to any trade union which has been registered under the provisions of
Section 8 of the Act, and such a certificate shall act as conclusive proof of the
registration of the trade union.

Section 9A : minimum requirement related to the membership of a trade union

Section 9A of the Act lays down the minimum number of members required to be
present in any union which has been duly registered. This Section mandates that
a trade union which has been registered must at all times continue to have not
less than 10% or one hundred of the workers, whichever is less, subject to a
minimum of seven, engaged or utilised in an institution or trade with which it’s
connected.

Section 10 : cancellation of registration

The registrar, according to Section 10 of the Act, has the power to withdraw or
cancel the registration certificate of any union in any of the following conditions:

● On an application made by the trade union seeking to be verified in such

manner as may be prescribed;
● If the registrar is satisfied with the fact that the trade union has obtained
the certificate by means of fraud or deceit;
● If the trade union has ceased to exist;
● If the trade union has wilfully and after submitting a notice to the
Registrar, contravened any provision of the Act or has been continuing
with any rule which is in contravention with the provisions of the Act;
● If any union has rescinded any rule provided under Section 6 of the Act.

In the case of Tata Electric Companies Officer’s Guild v. Registrar of Trade

Unions (1994), the Bombay High Court ruled that wilful disregard of the
notification is a requirement for the registrar to cancel the registration. The
registrar cannot cancel the registration on the grounds that the account
statement was not filed earlier if the trade union provides the account statement
after receiving notification from the registrar.

Where a 2-month show cause notice was not sent by the registrar to the changed
address of the union, it was held by the Bombay High Court in Bombay Fire
Fighters Service Union v. Registrar of Trade Unions, Bombay (2003), that the
registrar did not comply with the mandatory provisions of Section 10 and
quashed the order of cancellation.

Section 11 : appeals

According to Section 11 of the Act, any union which is aggrieved by a refusal to

register or a withdrawal of registration made by the registrar can file an appeal:
 ● In any High Court, if the head office of the trade union is located in any
of the presidency towns;
● In any labour court or industrial tribunal, if the trade union is located in
such a place over which the labour court or the trade union has
jurisdiction;
● If the head office of the trade union is situated in any other location, an
appeal can be filed in any court which is not inferior to the Court of an
additional or assistant has chosen a principal Civil Court of original
jurisdiction.

As observed by the Bombay High Court in Mukand Iron & Steel Works Ltd. v. V.G.
Deshpande, Registrar of Trade Unions, Bombay and another (1986), a trade union
has the choice to file an appeal or apply for new registration if the Registrar of
Trade Unions cancels or withdraws its registration. If the appeal is successful, the
trade union would continue to be included on the register as if the decision of
cancellation or withdrawal of recognition had never been made. If a new
registration is allowed, it will take effect as of that date. The Registrar loses all
authority over that order once he cancels or withdraws a trade union’s
registration. Because of the following circumstances, he is unable to evaluate it
or rescind it.

In Philips Workers Union v. Registrar of Trade Unions (1989), the Calcutta High
Court observed that Section 11 of the Trade Unions Act, 1926 is no bar to filing an
application under Article 226 of the Indian Constitution.

Section 12 : registered office

Section 12 of the Act lays down that all communications and notices to any trade
union must be addressed to its registered office. If a trade union changes the
address of its registered office, it must inform the registrar within the period of
fourteen days in writing, and the registrar shall record the changed address in the
register mentioned under Section 8 of the Act.

Section 13 : incorporation of registered trade union

Section 13 of the Act states that every trade union which is registered according
to the provisions of the Act shall:

● Be corporate by the name under which it is registered.

 ● have perpetual succession and a common seal.
● Power to contract and hold and acquire any movable and immovable
property.
● By the said name can sue and be sued.

Rights and liabilities of registered trade unions

Sections 15 to 28 elucidate the rights which a registered trade union has and also
the liabilities which can be imposed against them.

Section 15 : objects on which general funds may be spent

Section 15 of the Act lays down the activities on which a registered trade union
can spend its funds. These activities include:

● Salaries are to be given to the office-bearers.

● The cost incurred for the administration of the trade union.
● Compensation to the workers due to any loss arising out of any trade
dispute.
● Expenses incurred in the welfare activities of the workers.
● Benefits are conferred to the workers in case of unemployment,
disability, or death.
● The cost incurred in bringing or defending any legal suit.
● Publishing materials with the aim of spreading awareness amongst the
workers.
● Education of the workers or their dependents.
● Making provisions for medical treatment of the workers.
● Taking insurance policies for the welfare of the workers.

This Section also provides the reason for non-contribution to the said fund and
also that a contribution to the fund can not be made as a criterion for admission
into the union.

Section 16 : constitution of a separate fund for political purposes

Section 16 provides that a trade union, in order to promote the civic and political
interests of its members, can constitute a separate fund from the contributions
made separately for the said purposes. No member of the union can be
compelled to contribute to the fund.
A legally recognised labour union may establish a separate fund with the goal of
advancing the civic and political objectives of its members. A recognised trade
union is not allowed to use its general finances for its members’ political
campaigns. The trade union must establish a separate political fund for political
causes. Contributions to such a fund must be separately collected. Some of them
are as follows:

● The recovery of all costs incurred, directly or indirectly, by a candidate

or prospective candidate for election as a member of any governmental
body or local authority. The costs cover all outlays in connection with
his candidacy before, during, or after the election.
● Maintenance of any individual who serves on a local or legislative
authority.
● The election of a candidate for any legislative body or municipal
authority, or the registration of voters.
● The staging of political gatherings of any type or the dissemination to
trade union members of any political material or papers.

Section 17 : criminal conspiracy in trade disputes

Section 17 of the Act states that no member of a trade union can be held liable for
criminal conspiracy mentioned under sub-section 2 of Section 120B of the Indian
Penal Code regarding any agreement made between the members of the union in
order to promote the lawful interests of the trade union.

The office bearers of the registered trade unions are exempt from penal
punishment for criminal conspiracy, per Section 17 of the Trade Unions Act of
1926. An agreement between two or more people to carry out an illegal act or a
legitimate act through an illegal method is referred to as a conspiracy in English
law.

Criminal conspiracy is defined in Section 120-A of the Indian Penal Code of 1860
as follows:

When two or more people agree to do something or make it happen

1. A prohibited act,
2. An Act that is not committed via unlawful methods; such as a contract is
referred to as a criminal conspiracy;
The Trade Union Act of 1926 grants registered trade unions immunity.
Nevertheless, this immunity is only applicable with regard to the legal
agreements made by trade union members for the promotion of legitimate trade
union purposes. The right to call for a strike and persuade members is one of the
rights granted to registered trade unions in the stimulation of their industrial
conflicts. All acts that give rise to civil litigation are considered illegal acts. For
instance, two men who conspire to get workers to violate their employment
contracts are guilty of a crime. However, Section 17 safeguards a trade unionist
from a crime if the arrangement they have entered into is not an agreement to
conduct an offence.

In the case of West India Steel Company Ltd. v. Azeez (1988), a trade union
representative protested against the delegation of a worker to another sector by
blocking or stopping work inside the factory for five hours. It was decided that a
worker in a factory had to obey the directives issued by his superiors. A trade
union leader is not exempt from following the rules. There is no legal authority for
a trade union official or any other employee to share managerial responsibilities.

Section 18 : immunity from civil suits in certain cases

Section 18 of the Act immunises the members of trade unions from civil or
tortious liabilities arising out of any act done in furtherance or contemplation of
any trade dispute.

For example, in general, a person is subject to tortious liability for inducing any
person to breach a contract. But, the trade unions and its members are immune
from such liabilities provided such inducement is in contemplation or furtherance
of any trade disputes. Further, the inducement should be awful and should not
involve any aspect of violence, threat, or any other illegal activity.

Any authorised officer or member of a registered trade union is eligible for this
immunity. No civil action may be brought against them for conduct related to a
trade dispute on the grounds that it encourages another person to breach an
employment agreement; or interferes with another person’s trade, business, or
employment.

Furthermore, the incentive should be made via legal techniques that are not
against the legislation of the state. There is no protection from physical harm,
verbal abuse, or other illegal tactics.
The Kerala High Court ruled in the case of P. Mukundan and Ors. v. Mohan Kandy
Pavithran (1991) that a strike by itself is not a legally actionable offence.
Furthermore, it was determined that the provisions of Section 18 shield the trade
union, its officers, and its members from legal actions related to the workmen’s
strike.

In the landmark decision, Rohtas Industries Staff Union v the State of Bihar (1962)
by the Patna High Court, it was decided that employers did not have the right to
sue an employee who participated in an illegal strike and subsequently lost
business and output.

In another case, Simpson & Group Companies Workers & Staff Union v. Amco
Batteries Ltd. (1990) by the Karnataka High Court, the Court relied on the
judgement in Chandrana Bros. & Others v. Venkata Rao (1976) to observe that
workers’ protection under Section 18 of the Trade Unions Act is unaffected by
“strike” or “lock-out” situations and remains unchanged. In both circumstances,
the consideration and the principle are similar. Physically impeding the
movement of management staff, contractors, goods, or trucks transporting raw
materials is neither a trade union right nor a basic freedom protected by Article
19 of the Constitution. Section 18 immunity cannot be invoked for such actions.
Picketing is a highly undefined right that only extends to other people’s freedom
of movement. The only acceptable means of persuasion are vocal and visual;
physical interference with people or objects is not permitted.

In the 2005 case of Shahdol Pipe Works v. Zala Loghu Udyog Kamgar Sangh, it
was claimed that the employer had suffered a loss of Rs. 22,500 due to the strike
that the defendant’s trade union had arranged. The Court dismissed the
employer’s request for damages and determined that members of a registered
trade union were exempt from being held accountable for any torts committed in
advance of or in support of a trade dispute. Furthermore, it was not possible to
conclude from the evidence in the current case that the loss was brought on by
the defendant’s trade union members, officers, and supporters.

The provision puts an end to action against trade unions while looking at the
right of trade unions to use and to be used. The union or its members are not
prohibited from bringing a claim for wrongs done to the union. Unlawful threats
and coercion are not protected since doing so would deprive the person of the
Section’s protection.
In East India Hotels Ltd. v. Oberoi International Hotel Employees Union (1994), the
Court emphasised that it is well established that no one has a basic right to stage
demonstrations on company property if doing so will interfere with the office’s
regular operations. The freedom of expression, organisation, and unionisation
that citizens have does not grant them the right to use these rights wherever they
wish. The moment someone else’s right to own their property interferes, the
exercise of this freedom will terminate. The Court added that the law
acknowledges both the existence of unions and the scope and ambit of legal
activity. Such actions or acts may be protected under Section 18 of the Trade
Unions Act of 1926, depending on the specifics of each instance. However, in
order to obtain this safety net, the temptation and interference must be done so
legally.

Torts are considered to be civil wrongs. It can be resolved by civil court action. It
is different from breaking a contract, a quasi-contract, a trust, or other equitable
obligations (like trespassing or creating a private nuisance). However, Section
18(2) grants an exemption from tort liability. The action of the parties must further
result in a trade dispute in order to be eligible for exemption or immunity from
tort liability. If an agent acts without the knowledge of the executive committee of
the trade union or against the specific instructions of the executive committee,
the registered trade union is not accountable for the torts committed by the agent
in the advancement of the trade dispute.

Section 19 : enforceability of agreement

According to Section 25 of the Indian Contract Act of 1872, any agreement in

restraint of trade is void. But under Section 19 of the Trade Unions Act, 1926, any
agreement between the members of a registered trade union in restraint of trade
activities is neither void nor voidable. However, such a right is available only to
registered trade unions, as unregistered trade unions have to follow the general
contract law.

Section 20 : right to inspect the books of trade union

According to Section 20 of the Act, the account books and the list of the
members of any registered trade union can be subjected to inspection by the
members of the trade union at such times as may be provided under the rules of
the trade union.
Section 21 : rights of minors to membership of trade union

Section 21 provides that a person who is above 15 years of age can be a member
of any trade union, and if he becomes a member, he can enjoy all the rights
conferred upon the members of the trade union, subject to the conditions laid
down by the trade union of which he wants to be a member.

Section 21-A : disqualifications of office-bearers of trade union

Section 21A of the Act lays down the conditions, the fulfilment of which
disqualifies a person from being a member of the trade union. The conditions laid
down in the Act are as follows:

● If the member has not attained the age of majority

● If he has been convicted by any of the courts in India for moral turpitude
and has been sentenced to imprisonment unless a period of five years
has elapsed since his release.

Section 22 : proportion of office-bearers to be connected with the industry

Section 22 of the Act mandates that not less than half of the members of the trade
union should be employed in the industry or work with which the trade union is
connected. For example, if a trade union is made for the welfare of agricultural
labourers, then, as per this Section, half of the members of such a trade union
should be employed in agricultural activities.

The Calcutta High Court in the case of Kesoram Rayon Workmen’s Union v.
Registrar of Trade Unions (1966) observed that if all officers and members of the
executive were needed to be employees of the industry to which the union is
related, Section 22 would have no purpose. Of course, Section 2(h) of the Act
defines a trade union as a group of workers employed in a certain industry.
However, Section 22 specifically states that a non-member of the union may be a
member of the executive or another officer, as long as the required proportion is
not exceeded.

Section 23 : change of name

Section 23 states that any registered union is free to change its name provided it
does so with the consent of not less than 2/3rd of its members and subject to the
fulfilment of the conditions laid down in Section 25 of the Act.

Section 24 : amalgamation of trade unions

Section 24 lays down that two or more trade unions can join together and form
one trade union with or without dissolution or division of the fund. Such
amalgamation can take place only when voting by half of the members of each
trade union has been effectuated and that sixty per cent of the casted votes
should be in favour of the proposal.

Section 25 : notice of change of name or amalgamation

Section 25 of the Act provides that:

● A notice in writing of every change of name and of every amalgamation

which is duly signed by the Secretary and by seven members of the
Trade Union changing its name, and, in the case of an amalgamation, by
the Secretary and by seven members of each and every Trade Union
which are a party thereto, should be sent to the Registrar.
● If the Registrar feels that the proposed name is identical to the name of
any other existing Trade Union or, it so nearly resembles such name as it
is likely to deceive the public or the members of either Trade Union, the
Registrar may refuse to register the change of name.
● If the Registrar of the State in which the head office of the amalgamated
Trade Union is situated is satisfied that the provisions of this Act have
complied with the amalgamation shall be given effect from the date of
such registration.

In D.C.M. Chemical Mazdoor Ekta Union v. Registrar of Trade Unions, Delhi (1978),
the Delhi High Court held that according to Sections (3) and (4) of Section 25, the
Registrar has the same authority to register a trade union as he or she does
under Section 8. Regardless of whether the registration is made in accordance
with Section 8 or Section 25, the Registrar must issue the certificate of
registration. Therefore, it cannot be claimed that the revocation of the certificate
of registration under Section 10 solely applies to the issuance of the certificate
under Section 9, which is a result of an order made under Section 8. It cannot be
argued that Section 25 does not include the grant of certificates, and as a result,
anyone who is requesting the reversal of the Section 25 judgement cannot seek
the remedy of cancellation of the certificates of registration. The Court further
observed that Section 10 must be read to cover both situations where fraud or
mistake were used to gain the registration itself as well as only the certificate of
registration.

Section 27 : dissolution

Section 27 of the Act talks about the dissolution of a firm as follows:

● If a registered trade union has been dissolved, a notice of such

dissolution which must be signed by seven members and by the
Secretary of the Trade Union should be served to the registrar within 14
days of such dissolution and if the registrar is satisfied that the
dissolution has been effected in accordance with the rules laid down by
the trade union may register the dissolution.
● Where a union has been dissolved but its rules do not lay down the way
in which the fund is to be distributed after its dissolution, the registrar
may distribute the funds in any prescribed manner.

Section 28 : returns

Section 28 provides that each trade union should send the returns to the registrar
annually on or before such a day as may be prescribed by the registrar. The
return includes:

● General statement
● Audit report
● All the receipts and expenditures incurred by the trade union
● Assets and liabilities of the firm on the 31st day of December

Sub-Section 2 of the Section provides that, along with the general statement, a
copy of the rules of the trade union, corrected up to the date of dispatch thereof,
and a statement indicating all the changes made by the union in the year to which
the statement is referred, be sent to the registrar.

Whenever any registered trade union alters its rules, such alterations should be
conveyed to the registrar within a period of not less than 15 days from making
such alterations.
Regulations

Section 29 and Section 30 of Chapter 4 of the Act lays down the regulations
which shall be imposed on the trade union.

Section 29 : power to make regulations

Section 29 of the Act confers the right on the appropriate government to make
provisions in order to ensure that the provisions of the Act are fairly executed.
Such regulations may provide for any or all of the matters, which are as follows:

● The manner in which a trade union or its rules shall be registered;

● The manner in which the registration of a trade union has to be
transferred which has changed its head office;
● The manner of appointment and qualification of the person who shall
audit the accounts of the registered trade union;
● Circumstances under which the documents kept by the registrar shall be
allowed to be inspected and also the fees that shall be levied in lieu of
the inspection so made.

Section 30 : publication of regulations

Section 30 states that:

● The power of making regulations conferred to the government is subject

to the condition that such regulation has been made after the previous
publication.;
● The date from which the regulation shall be given effect shall be
specified in accordance with clause (3) of Section 23 of the General
Clauses Act, 1897, and the date should not be less than three months
from the date on which the draft of the proposed regulations was
published for general information;
● The regulations which are made must be specified in the official gazette
of India and it shall have the effect of an enacted law.

Penalties and procedure

Section 31 to Section 33 of the Trade Union Act lays down the penalties and the
procedure for their application to a trade union which is subject to such a penalty.
Section 31 : failure to submit returns

Section 31 states that:

● If any trade union was required to send any notice, statement or any
document to the registrar under the Act and if the rule did not prescribe
a particular person in the union to provide such information then in case
of default each member of the executive shall be imposed with the fine
extendible to five rupees. In case of continuing default, the fine may be
extended to five rupees a week.
● If any person willfully makes or causes to be made any false entry or
omission in the general statement required under Section 28 of the Act
shall be punishable with a fine extendible to 500 rupees.

The Madras High Court observed in the judgement of Neyveli National Workers
Union v. Additional Registrar II of Trade Unions and Deputy Commissioner of
Labour II, Chennai (1998) that in addition, under Section 10(b) of the Act, the
penalty of cancellation is applied if the Registrar determines that the registration
certificate was obtained through deception, error, etc. All union members who
violate the law will get punishment. However, the penalty outlined in Section 31 of
the Act is only applicable to officeholders who are overdue in completing their
returns. Because the union’s members or the entire body of the union cannot be
punished, they alone must be punished when they fail to perform their duties.
Section 10 of the Act, in summary, foresees the violation by the union. As a result,
Section 10 is related to the offence of the union, whereas Section 31 is related to
the offence of the office-holders. It’s important to keep this distinction in mind.
Section 31 was specifically enacted to punish office bearers only for this reason.
According to that interpretation, the first respondent is likewise ineligible to use
the provisions of Section 10 of the Act to punish the entire union for the offences
committed by the office-bearers.

Section 32 : supplying false information regarding trade unions

Section 32 states the following:

● Any person who in order to deceive a member of any trade union or any
other person who purports to be part of the trade union,
● Gives a copy of the document with the pretext of it containing the rules
of a trade union.
 ● Which he knows or has reason to believe that it is not a correct copy of
such rules and alteration and,
● Any person with the like intent give a copy of any document purporting
it to be a copy of the rules of a registered trade union which in reality is
an unregistered union,
● Shall be imposed with a fine which may extend to two hundred rupees.

Section 33 : cognizance of offences

Section 33 contains the provisions with respect to the cognizance of offences. It

says that no court which is inferior to a presiding magistrate or a magistrate of
the first class shall try an offence under the Act. The courts can take cognizance
of the offences under the Act only in the following cases:

● When the complaint has been made with the previous sanction of the
registrar
● When a person has been accused under Section 32 of the Act, he shall
be tried within six months of the commission of the alleged offence.

Shortcomings of trade unions

Even though trade unions are very important for the well-being of workers, they
also have some shortcomings, which are discussed as follows:

1. The existence of competing unions and the abundance of unions in the

same industry cause workers to become divided, which in turn leads to
unhealthy trade union expansion and allows bosses to take unfair
advantage of the working class during collective bargaining.
2. Before the country gained its independence, there were only a few
industries in existence, and employers—the managerial class—paid
their employees very low wages, worsening their economic situation. In
the current times, the same issue persists, and as a result, workers are
unable to pay the subscription member fee for the trade union and never
join it.
3. The majority of trade unions in our nation are relatively small because
their members are unable to effectively compel the government or
companies to meet their requests and objectives.
 4. There is not a very strict implementation of the regulations relating to
trade unions, which leads to its deteriorating the trust of the workers.
5. Due to the fact that trade unions were founded as a result of disputes
between employers and employees, the working class of trade unions
must contend with employer resistance. As a result, the employers try to
dissuade by offering bribes to union officials.
6. The migrated workers are in need of economic facilities and the
fundamental necessities for meeting their needs, so they do not try to
join a trade union and cannot oppose the managerial class because they
are completely dependent on the managerial class. Some migrated
workers would obtain employment through contractors, and the
contractors are supporters of industry or any establishment.

Collective bargaining and trade disputes

When an organised body negotiates with the employer and fixes the terms of
employment by means of bargaining, this is known as collective bargaining. The
essential element of collective bargaining is that it is between interested parties
and not by third parties.

International labour organisation in its manual in the year 1960 defined the
meaning of collective bargaining as:

“Negotiations about working conditions and terms of employment between an

employer, a group of employees, or one or more employers’ organisations, on the
other hand, with a view to reaching an agreement.” The terms of agreement are
used to ascertain the rights and obligations by which each party is bound
towards one another during the course of employment.

Section 8 of the Industrial Relations Act 1990 defines trade disputes. According
to the Act, an industrial dispute refers to any dispute which arises between the
employers and the workers, and it is usually in connection with any one of the
following:

● employment or non-employment,
● the terms or conditions of the employment,
● Something which affects the employment of any person.

Essential conditions for collective bargaining

 ● Favourable political and social climate: all the collective bargaining
which took place in the past bears testimony to the fact that a favourable
political and social climate is the prerequisite of collective bargaining.
The reason for the same is quite obvious as almost all the trade unions
in India subscribe to one or the other political view and therefore, trade
unions usually favour the employees not on the basis of the merit of the
issues they raise but on the basis of their political considerations.
● Trade union: in any democratic country like India which recognizes the
right to speech as a fundamental right, the right to form a trade union is
a direct consequence of it and so all employers should recognize the
trade unions and its representatives.
● Problem-solving attitude: it means that both parties while negotiating a
bringing up their relative concerns should adopt a problem-solving
attitude and should aim at amicably solving the problem without trying
to put the opposite party at a loss.
● Continuous dialogue: the dialogue between the employer and the
workers may sometimes end up without any fruitful negotiation or there
may arise a bargaining impasse, in such a case the free flow of dialogue
between the employer and employee should not be stopped and
sometimes keeping aside the bone of contention helps bring up a better
solution.

Purposes of collective bargaining

● To provide an opportunity for the workers to voice their complaints and

grievances regarding the working conditions.
● To pave the way for the employer and workers to reach an amicable
solution peacefully without having any ill will towards one another.
● To sort out all the disputes and conflicts between the employer and
worker.
● To prevent any dispute which is likely to take place in the future by
mutually agreeing on the contract.
● To foster a peaceful and stable relationship between the workers and the
organisation.

Position in India

In India, collective bargaining remains limited in its application and has been
restricted by different labour legislation in India. Different labour laws make
different provisions with respect to the working conditions of the workers. Some
of the labour legislation in India is as follows:

● The Factories Act of 1948 made provisions for the betterment of the
workers in respect of their health, safety, welfare and other aspects
while the workers are employed in factory work. However, all the
provisions of the Act were not applicable in all the factories, for
example, the provision for restrooms will be applicable only if there are
150 or more workers.
● The Employees Provident and Miscellaneous Provisions Act, the
Maternity Benefit Act and the Payment of Gratuity Act.
● The Industrial Disputes Act, of 1947, lays down the procedures by which
the settlement of industrial disputes has to be done. Its procedural
aspects are applicable to all enterprises for the settlement of industrial
disputes.

A closer view of the labour laws in India indicates that most of the workers who
are employed in the organised sectors of the economy are protected under
various labour legislation. The Fifth Economic Census of 1999 revealed that more
than 97 percent of enterprises employ less than ten workers, and most of these
employ less than five workers. This clearly shows that labour laws apply to less
than 3 percent of enterprises.

Further, the acceleration of the formalisation of the workforce with the onset of
liberalisation has also changed the formal sector in terms of shifting jobs from
the formal to the informal sector and, along with it, the formalisation of jobs.
Today, in the formal sector, the number of formal workers is about 33.7 million,
and the number of informal workers is about 28.9 million (2004-05). The increase
in employment (in whatever amount) in the formal sector has largely been
informal in nature. Which in turn has been reflected on the trade bargaining?

Agreements for collective bargaining

In India, the following types of agreements are prevalent for collective bargaining:

● Bipartite agreement: These agreements usually result in voluntary

negotiations between the employer and employees and are usually
binding per se.
 ● Settlements: Settlements usually arise out of the conciliation process
and they are usually tripartite in nature as they involve three parties
which are the employer, employee and conciliation officer.
● Consent awards: When the parties reach an agreement while the dispute
between them is pending before the adjudicatory body. Such
agreements are incorporated in the authority’s award and are binding on
the parties under the dispute.

CONCLUSION:

The Trade Union Act of 1926 was enacted to protect workers and provide them
with registration, regulation, benefits, and protection for trade unions. Trade
unions play a vital role in the democratic development of a country by
representing workers' needs and demands through collective bargaining, which
is only provided to recognised trade unions. The media has empowered trade
unions, making them influential pressure groups in various sectors.
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Trade Union Strucutre

 Trade Union Structure

The trade union structure refers to the basis on which unions are organized
﴾i.e. whether they are organized on craft, staff, industrial or general union
basis﴿ and to the pattern whereby the plant unions are linked to regional
level or national level federations. The unions of different countries have
different lines of trade unions depending upon socio‐economic
compulsions of industrialization and political and economic factors. The
types and structure of trade unions differ from country to country and even
from industry to industry within the same country. However, Trade unions
may be classified on the following basis:

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I. Classification based on Purpose

The trade unions may be classified according to the purpose for which they
are constituted. Such union may be divided into two categories:

1. Reformist unions

These unions are those which aim at the preservation of the capitalist
society and the maintenance of the usual employer‐employee relationship,
elimination of competitive system of production. They neither seek
comprehensive change nor wish to destroy the existing economic, political
and social structure of the country. They simply try to modify these in
accordance with the desire and requirement of their members, keeping in
view the current moves of the society. For example they may wish to
increase labour’s share in increased production or they may aim at
improving working conditions but enforcing safety measures, they may try
to generate increased purchasing power by providing for worker’s various
cooperative ventures, insurance associations and educational programmes.
Professor Hoxie has further sub‐divided the reformist unions into the
following two types:
i. Business unions

Business unions are the form of labour cooperation in which employees

enter the successful business relationships with employers. Such unions
primarily represent workers in collective bargaining with their employer.
They aim at securing economic advantages to their members through
peaceful means. However, they are craft‐conscious rather than class‐
conscious.

ii. Friendly unions or uplift unions

Friendly unions or uplift unions are idealistic in nature and aspires to

elevate the moral, intellectual and social life of workers and advocates
idealistic plans for social regeneration. They are idealistic in nature,
conservative and law binding. They believe in eh process of collective
bargaining. They are not craft conscious but interest conscious of the
workers.

2. Revolutionary Unions

These unions aim at destroying the present structure completely and

replacing it with new different order which they consider is better. They try
to replace capitalistic industry with a socialistic or communistic type of
industrial set up. Industrial Workers of eh World ﴾IWW﴿ is an example of
revolutionary unionism.

The revolutionary unionism is also of four types:

i. Anarchist Unions

Such unions aim at destroying the existing economic system by

revolutionary means.
ii. Political Unions

These unions aim at changing power through political action. They aim at
enactment of laws eliminating the power of capitalist and giving effective
power to workers.

iii. Predatory Unions

This type of unionism has been added by Professor Hoxie. These unions
does not subscribe to any ideology. Such types of unions believe in ruthless
pursuit of the matter in hand for which they can follow any means without
bothering for ethical or legal considerations. These unions can further be
divided into two types:

a﴿ Hold up Unions

In these unions, the unscrupulous bosses of the worker’s organizations and

unscrupulous employers join hands together and exploit the customers by
selling their products or services at exorbitant rates. The workers, if at all,
get a very small share of profits accrued due to increase in prices.

b﴿ Guerilla Unions

These unions do not believe in cooperation with employers. Such unions

believe in exploiting anyone and whatever they can, usually by resorting to
terrorism or any other ruthless measures.

iv. Dependent Unions

This union has also been added by the followers of Prof. Hoxie, namely the
dependent union. The existence of this type of union is dependent wholly
or partly on the other unions or the employees.

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Trade Union Strucutre

II. Union Classified on the basis of Membership Structure

On this basis, four types of unions have been recognized:

i. Craft Union

It is an organization of workers employed in a particular craft, trade or

occupation. Such organization links together those workers who have
similar skills, craft training and specialization. It may cover all workers
engaged in a particular craft irrespective of the industries in which they are
employed. Thus, electricians though working in different industries may
form a union of electricians. There may be separate unions for carpenters,
fitters etc. The Ahmedabad Weaver’s Union, The Kanpur Suti Mill Mazdoor
Sabha, Indian Pilot’s Guide are the examples of such unions. Due to their
identical training and skills, members of a craft union tend to develop
similar outlook and unity among them is easier. Members are generally
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Craft unions are horizontal in character because their members belong to a
single process or group of processes. In India craft unions are found largely
among white collar workers and professionals such as Government
employees, bank employees, doctors, lawyers, teachers etc.

ii. Staff Union

The term staff union is popularly used to refer both craft and industrial
unions.  The staff union seeks to recruit members of non‐manual sectors
including clerks, supervisors, draughtsmen, computerists, operators,
technicians, managers etc. As the tertiary sector emerges on the economic
platform, the number of employees working in such a sector ﴾like health,
services, local services etc.﴿ also increases, the persons working therein 
joins such unions.

iii. Industrial Unions

An industrial union is organized upon an industry‐wise rather than a craft

wise basis. It members belong to different crafts within the same industry.
The Textile Labour Association of Ahmedabad,The Rashtriya Mill Mazdoor
Sangh, Bombay, The Labour  Mines Mazdoor Sangh , Udaipur are
important examples. Such organsiations are vertical in nature because they
enroll all types of workers in an industry.

iv. General Unions

This type of union consist of workers employed in different industries and

crafts within a particular city or region. The Jamshedpur Union is one
example. In India there are several industry cum region unions due to
concentration of some industries in particular regions.

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