TRADE UNION

• Trade Union means a combination formed

for the purpose of regulating the relations
not only between workmen and employers
but also between workmen and workmen
or between employers and employers

- Trade Union Act 1926

 WHAT IS TRADE UNION

A trade union is an organised group of workers.
Its main goal is to protect and advance the
interests of its members


A union often negotiates agreements with
employers on pay and conditions. It may also
provide legal and financial advice, sickness
benefits and education facilities to its members


Trade unions aim to represent the interests of
people at work and negotiate with employers for
better terms and conditions for their members
 
Features of trade unions :
It is an organisation formed by employees
or workers.

It is formed on a continuous basis. It is a
permanent body and not a casual or
temporary one.

It is formed to protect and promote all
kinds of interests –economic, political and
social-of its members.

The dominant interest with which a union
is concerned is, however, economic.

It includes federations of trade unions
also.

It achieves its objectives through
collective action and group effort
The main features of the process of
industrialisation that necessitated the origin of
trade unions are:
(i) separation between capital and labour;
(ii) philosophy of lassez-faire i.e., least/non-
interference of the state in the affairs of labour
and management;
(iii) lack of bargaining power on the part of workers
(which forced the workers (as individuals) to
either accept the jobs with wage rates, hours of
work etc. unilaterally determined by the
employers, or to remain unemployed); and
(iv) the realisation by the working class that
while the individual worker was
dispensable to the employer, workers
collectively were indispensable to him, and
as such, he could not dispense with all his
workers and replace them. It is this
realisation that sowed the seeds of
collective bargaining which later resulted
in trade unionism.
 HISTORY OF TRADE UNION
On March 25, 1875, the Government of
Bombay appointed the first Bombay
Factories Commission to investigate
factory conditions. 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.
 The first trade union was started in 1877 in Empress
Mill, Nagpur.

 It was this labour protest on an organized scale,

through the support of some philanthropic
personalities, that organized labour unions came into
existence.

 The Madras Labour Union, the first trade union in

India to be formed on systematic lines, was
established on April 27, 1918, by B.P. Wadia.
In 1921 an effort was made by N.M. Joshi to
introduce in Indian legislature a trade union
legislation. However, his effort succeeded
after five years in 1926 when the Trade
Unions Act was enacted legalising the right
of workers to combine and form unions, and
granting them immunity from civil and
criminal prosecution for bonafide trade
union activities and the action flowing from
the same.
The economic distress that followed the war,
the new spirit of awakening, the change in
the 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 represent
workers for settlement of their disputes under
the Act) contributed to the growth of trade
union movement in the country after the war.
In 1941 the Radicals left the AITUC with nearly
200 unions with a membership of 3, 00,000 and
formed a new central federation known as the
Indian Federation of Labour.
The Post-Independence Period (From 1947 to-
date)
As pointed out earlier, when attempts to
restructure the AITUC failed, those believing in
the aims and ideals other than those of the
AITUC separated from the organization and
established the Indian National Trade Union
Congress (INTUC) in May, 1947
 FUNCTION 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
Names and details of some
Unions in India
 The Indian National Trade Union Congress

Origin:

The INTUC came into existence on 4th May, 1948, as a result of the resolution passed
on 17th November 1947, by the Central Board of the Hindustan Mazdoor Sevak
Sangh, which was a labour leader on the Gandhian Philosophy of Sarvodaya

Objectives:


To establish an order of society which is free from hindrances to an all-round
development of its individual members, which fosters the growth of human
personality in all its aspects, and which goes to the utmost limit in progressively
eliminating social, political or economic exploitation and inequality, the profit motive
in the economic activity and organization of society 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 industry and their
full participation in that control;
 All-India Trade Union Congress (AITUC)

Origin:
It was established in 1920 as result of a resolution passed by the organized workers of
Bombay and the delegates which met I a conference on 31st October, 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 the workers in
all matters relating to their employment;

to secure and maintain for the workers the freedom of speech, freedom of press,
freedom of association freedom of assembly, the right to strike, and the 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
 United Trade Union Congress (UTUC)

Origin:

Some trade union leaders of the socialist bent met together December 1948 to form a
new 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 all
matters, social, cultural, economic and political;

to secure and maintain workers’ freedom of speech, freedom of press, freedom of
association, freedom of assembly, right to strike, right to work or maintenance and
the right to social security;

to bring about unity in the trade union movement.
 Bhartiya Mazdoor Sangh (BMS)

Origin:
This union has been the outcome of decision taken by the Jana Sangh in its Convention
at 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 to
the 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 and
dutifulness 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;
 National Front of Indian Trade Unions (NFITU)
Origin

This union was founded in 1967, with the claim that “this trade union of India is not
controlled 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 the
government, to further the cause of labour and that of national solidarity security and
defence of India, and to make the working people conscious of their right as well as
of obligations in all spheres of life;

to secure to members of trade unions full facilities of recognition and effective
representation of interests of workers and to ensure for the working people fair
conditions 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 wages
of the workers;

to endeavour to secure for members of affiliated trade unions adoption of
progressive legislation for their welfare and to ensure the effective environment of
the rights and interests of members of affiliated trade unions and for the working
people in general.
 Centre of Indian Trade Union (CITU)

Origin
This 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 by
socializing all means of production, distribution and exchange and establishing a
socialist state, that is, it stands for the complete emancipation of the society from all
exploitation.

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

 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 working
class; (b) nationalization of all concerns owned by Indian monopolists and big
industry who garner huge profits at the expenses of the workers, who exploit the
people 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 the
democratic and trade union movement;
 Revolutionary theory
–Propounded by Marx and Hegels
–According to it instruments of production
must belong to workers.
–TU are preparations for a revolution in
which capitalists must be destroyed.
–Workers must take over industry and
government.
–But events in USSR could not lend support
to the theory
(Class conflict and communist manifesto)

According to Marx trade union perform a necessary

and useful task in protecting wages and improper
working condition. They should not limit themselves
to these goals. Rather they should use their power to
emancipate the working class by putting an end to
the capitalist system.
Mark believed that the labour movement was
pure and simple trade union, with workers remaining
subordinate to the owners of the industry. He
emphasized a role for intellectual, to imbue and
inspire in workers a class and political
consciousness, outside the economic straggle, and
outside the sphere of relation between workers and
employers.
The so called intellectual have however failed in
providing the kind of leadership expected of
them not only in economic, but also in the
political share. In India the trade union
leadership was largely from among the
individual and elite group of the society.
 Industrial Democracy

Put forth by Sidney and Beatrice Webb.

It suggests democracy in industry as in
government.
It suggests that through Unions, the workers
protect themselves from the power and
influence of owners.
All rules and regulations are developed in order
to protect the rights of the Labour.
The Socialist Pattern of Society

The Webbs viewed the role of trade unions as

move than first winning economic benefits of the
members. They saw a role for unions to
socialism through political action. The Webbs
too, like Marx observed that the market pressure
on workers to organize into unions to protect
their economic interests.
The condition of employment was determined by the
chain of bargains that linked the manual worker, the
capitalist employer, the wholesale trade, the
shopkeeper and the customer. Like Marx the Webbs
too were opposed to the capitalist system.

Webbs played an instrumental role as

intellectual’s leader of the labour party in
Britain, drafting the socialist manifesto for
converting capitalist Britain into a mixed
economy, thus laying the foundation for
the nationalization of major industries.
ROBERT HOXIE:-Unions under the American
capitalist system-
Robert Hoxie is among the earliest to have
argued that unions evolve differently
across social.
He considers Americans unions less
dogmatic and more pragmatic and
opportunist.
He identified five functional types of principal
unions:
a. Business Unionism
b. Friendly or uplift Unionism
c. Revolutionary Unionism
d. Predatory Unionism
e. Dependent Unionism
➲ Business Unionism: Its major aims are
to improve wages, shorter hours of
work and working conditions.
It adopts method of collective bargaining,
favours voluntary arbitration,
depreciates strikes and avoid political
actions, but when they serve its
interest they may resort strike or
political action.
Friendly or uplift Unionism:
Idealistic in nature and aspires to elevate
the moral intellectual and social life of
the workers.
Relies on the weapon of political action,
mutual insurance plan and cooperative
entreprises.
➲ Revolutionary Unionism:
Aima at overthrow of capitalistic system.
Strongly inclined towords political action,
strikes, boy-cutts, subotage and
violence.
➲ Predatory Unionism:
This kind of union has no particular
ideology and can adpot any method
which may deliver the goods and it
sticks at nothing.
➲ Dependent Unionism:
Relies upon the support of the employers
or other labour groups.
Dependence appears in two forms:
1. Company Unionism: Entirely dependent
on employers.
2. Union Lables Unionism: The union label
being imprinted on the products made
by the union members. The union label
is supposed to encourage greater sales
and thus make it necessary for
employers to hire union members.
MAHATMA GANDHI:The concept of trusteeship-
Trusteeship is stewardship of one’s
possessions to increase wealth using one’s
talent and deploying the surplus wealth in public
causes.
Thus it presumes social responsibility and treaty
resources as if they are held in common
ownership and meant to be used for common
benefit.
The concept of trusteeship presupposes premises
of incentives for the creation and development of
enterprises while eliminating the defect of
capitalism.
Gandhi’s concept of trusteeship is not based on
class conflict or on the ideology that
nationalization of resumes to provide equity. He
emphasized voluntarism.
 Business Theory
Put forth by Samuel Gompers
Emphasised that the primary objective of the unions was
to protect the economic interest of the workers.
Gompers viewed unions as the labor's collective voice in
the industrial world. He wanted to partner with business to
promote higher wages (and higher profits).
Gompers viewed unions as the labor component of a
business operation, neither superior nor inferior to the
management component, but just as essential.
This theory opposes the revolutionary theory.
 CONCLUSION

Trade Union is an important factor of the
current society, as it safeguards the basic
interest and needs of both the employees
as 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.