Recognition of Trade

Unions
Dr. Atul S. Jaybhaye
Assistant Professor (Law)
What is RECOGNITION?
 Recognition means the expressed recognition of a registered
trade union by an employer or by an employers association for
the purposes of collective bargaining.
It is the employer and only the employer, who awards
recognition to one or more unions, or refuses such recognition.
After recognition, a Trade Union becomes negotiating union/
Negotiating Council.
Note: To be read with sec. 14 of IRC, 2020 and Industrial
Relations (Central) Recognition of Negotiating Union or
Negotiating Council and Adjudication of Disputes of Trade
Unions Rules, 2021.
What is RECOGNITION?
A union must be recognised before it may effectively
represent any employees.
Once a union is recognised it serves as the bargaining
agent for the workers in a particular bargaining unit. 
There is no enforced central legislation on this subject.
There are however voluntary code of discipline and
legislations in some states.
Recommendations of the Royal Commission on Labour:

Indian Trade Unions (Amendment) Act of 1947 remained only on

paper.
(1) trade union registration be made compulsory;
(2) the registrar must be time bound to decide the issue of
registration
(3) effective measures must be taken for cancellation if the unions
do not comply with conditions regarding filing of returns or
membership;
(4) trade union recognition by the employers be made compulsory
by Central legislation as specified undertakings;
(5) the minority unions must also be allowed to represent workers
in redressal of individual grievances like dismissal, discharge etc.
Registration is not recognition:

Registration and recognition of Union by an employer

are independent issues.
Registration of Trade Union with Registrar has nothing
to do with its recognition in a particular
factory/company.
Recognition of Trade Union is generally a matter of
agreement between employer and trade union. In States
like Maharashtra and Madhya Pradesh, there are
specific legal provisions for recognition of a trade
union.
Types of recognition
Recognition is of two types:
VOLUNTARY TRADE UNION RECOGNITION:
When an employer voluntarily recognizes a trade
union without using any legal procedures.
STATUTORY TRADE UNION RECOGNITION:
If an employer and trade union do not come to a
voluntary recognition agreement, a trade union can
make an application for statutory recognition. This
only applies where the employer, together with any
associated employers, employs 21 or more workers.
Conditions for recognition
All ordinary members are workmen employed in the
same industry or in industries closely allied to or
connected with another;
It is representative of all workmen employed by the
employer in that industry or those industries;
Its rules provide for the procedure for declaring a
strike;
Its rules provide that a meeting of its executive shall be
held at least once in every 6 months;
 It is a registered trade union;
Methods of recognition
Membership Verification

Check-Off

Secret Ballot

Code of Discipline
Membership Verification:
 An official of the labor department of the state or central
government visits the establishment, obtains the
manpower list from the management and asks each
employee individually whether or not they wish to become
members of a union and if so, which union.
 Based on the responses, it is identified which union gets
the majority support of employees. This becomes the
criteria for selecting the sole bargaining agent in an
establishment.
Check-off:
Employees are asked to state in writing whether or not they

belong to a union and if they do, to which union. Also, they

should undertake in writing that they are willing to have
union membership deducted from their salary.
The check-off system helps management to know and

make an assessment of the relative strength of unions for

the purpose of recognition.
Secret Ballot:
A more democratic method, election by secret ballot,

enables employees to exercise their option secretly,

without fear or favor. The entire process takes place in
the overall supervision of the Chief Labor
Commissioner.
Code of Discipline:
The criteria is set for recognition of trade unions.

In professionally managed organizations the management

signs an agreement with the recognized union which

stipulates do’s and don’ts for management and union.
The unions which do not follow code of discipline will not

be granted recognition.
Rights of recognized trade unions
Right to sole representation

 Entering into collective agreement on terms of employment and

conditions of service

 Collection of membership subscription within the premises of the

undertaking

Holding discussion with departmental representatives of its workers-

members within factory premises

Inspecting by prior agreement the place of work of any of its members


 The Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act,
1971

 An Act to provide for the recognition of trade unions for facilitating

collective bargaining for certain undertakings, to state their rights, and

obligations; to confer certain powers on unrecognised unions; to provide
for declaring certain strikes and lock-outs as illegal strikes and lock-
outs; to define and provide for the prevention of certain unfair labour
practices; to constitute courts (as independent machinery) for carrying
out the purposes of according recognition to trade unions and for
enforcing the provisions relating to unfair practices;
Thank you…