TRADE UNION

SYDNEY & BAETRICE WEBB:

A continuous association of wage earners for the purpose
of maintaining or improving the conditions of their
working lives
GDH Cole
It means an association of workers in one or more
occupations, an association carried on mainly for the
purpose of protecting and advancing the members’
economic interest in connection with their daily work.
LESTER:
An association of employees designed primarily to
maintain or improve the condition of employment of its
1.Trade unions are voluntary association of either employees
or employer or independent worker.
2.Trade union achieve its objectives through collective action
and group efforts. Negotiation and collective bargaining are
the tools for completing objectives
3.It is formed to protect all kinds of interest, i.e. economic,
social and political of its members but the major one is
economic interest.
4.Trade union are adaptable to the changing socio economic,
legal, political environment
5.Trade union are designed to eliminate the exploitation of
workers through workers participation in the management
The main service that a union provides for its members is negotiation and
representing but there are also other functions. All of these functions can
be explained below

1.NEGOTIATIONS( COLLECTIVE BARGAINING)

Negotiation is where union representatives discuss with the management
on issues that affect people working in the organization.
The union finds out the members view and relay these views to the
management.
There may be difference of opinion between management and union
members, negotiation is about finding a solution to these differences.
2.REPRESENTATION
Trade unions represents individuals members when they have a problem
at work. Example if employees feel they are being unfairly treated, the
union representative can sort out the problem with the management, if the
problem can not be solved by the employer himself then it will be solved
on the court

3.INFORMATION AND ADVICE

Trade unions have wealth of information which is useful to people at work.
They can advise on range of issues such as how much pay one is entitled to
get on maternity leave, how much holiday one is entitled to get each year,
how to obtain training at work
4.MEMBER SERVICES
Trade unions offers range of services to its members. It includes the
following
i. Education and training.
Most unions run training courses for their members . The training relates
mostly on employment rights, health and safety.
ii. Legal assistance
Trade union offers legal assistance on employment issues, some unions
even give help on personal matters like housing, wills and debts
iii. Financial discounts
People can get discounts on mortgages, insurance and loans form unions
iv. Welfare benefits
Trade unions also look after members who hit hard times, example; some
unions offer financial help to their members when they are sick
There are two main ways in which trade unions are financed
1.SUBSCRIPTION FEES
Each trade union member pays a subscription fee, the amount differs
among unions and it is normally set at different levels according to the
amount people earn. This is a major source of trade union’s finance
In exchange for subscription fees, members receive benefits of
representation, negotiation , protection and other service from their
union. The subscription fee may be direct deducted from employees
salary and must be paid periodically
2.DONATIONS, GRANTS OFFERED TO THE TRADE
UNIONS
This is a secondary source of finance, its is not obtained periodically and it
is not an obligation for individuals who provide donations, Companies or
wealthy individuals who have trust on the trade union activities may
provide donations to support trade union activities. Obtaining donations
highly depends on trade union reputation and the nature of its activities.
Individuals are recruited in unions through the following ways

1.Most people find out about trade unions by talking to colleagues at the
workplace and then make direct contact with the union.

2.Some people are contacted by union representative who give them

information about the union and tells them how to join

3.Some employers and personal officers tell employees about the union
when they start working for the organization.
1.GREATER BARGAINING POWER
Employees normally posses very little bargaining power as compared to
that of employer, With trade unions, employees are united, the employees
bargaining power can be enhanced through negotiation of their needs by
their leader.
2.MINIMIZING DISCRIMINATION
Discrimination exist in working environment. Some subordinates may be
treated fairly while others unfair due to the relationship. The relationships
existing between the supervisors and each of his subordinates may
influence decisions regarding pay, promotion, transfer. With trade unions
these things can be reduced or eliminated.
3.SENSE OF SECURITY
Some employees join trade unions believing that it is an effective way to
secure adequate protection from various types of hazards and overcome
insecurity such as accident, injury, illness, unemployment
Example: protection of unfair termination of employment, proper remedy
to be given incase of injury ( lets say an employee cuts his hand during
machine operation at work place,)
4.SENSE OF PARTICIPATION
The employees can participate in management on matters affecting their
interests only if they join trade unions. They can influence decisions that
are taken as a result of collective bargaining between the union and the
management
5.SENSE OF BELONGINGNESS
Those who are members feel that they gain respect in the eyes of their
fellow workers. They can also discuss their problems with trade union
leaders
6.PLATFORM FOR SELF EXPRESSION
A trade union provides such a forum where the feelings, ideas and
opinions of the workers could be discussed
7.BETTERMENT OF RELATIONSHIP
Employees join trade unions as they believe trade unions can fulfill the
important need of ensuring proper maintenance of employer-employee
relationship.
Unions help to ensure good industrial relations among management and
workers by solving problems peacefully.
Trade unions performs a number of functions in order to achieve the
objectives. These functions can be broadly classified into four categories
i. Militant(revolutionary) functions
ii. Fraternal functions
iii. Social functions
iv. Political functions

MILITANT(REVOLUTIONARY) FUNCTIONS
1.To achieve higher wages and better working conditions
2.To protect labour against injustice and victimization
3.To raise the status of workers as part of industry
FRATERNAL FUNCTIONS
1.To provide opportunity for promotion and growth
2.To encourage sincerity and discipline among workers.
3.To generate self confidence among workers
4.To take up welfare measures for improving the morale of workers

SOCIAL FUNCTIONS
1.To promote schemes and procedure for addressing grievances among
members
2.Provision of education among members
3.Publication of union documents such as newsletters or magazines for
establishing communication with their members
1.Better wages by Improving employees pay and other benefits such as
holiday entitlements.
2.Better working conditions. Example ,Securing improvements in
employees working conditions including hours of work. and health safety
at work, improving pensions and industry injury benefits.
3.Social welfare, providing improved standard of living
4.Safeguard the interest of employees by Encouraging firm to increase worker
participation in decision making
5.To prevent employees from employer’s exploitation. This can done by
defending employees rights and jobs. Employees rights are normally
expressed in labour relation act that differs from one country to another.
6.Organizational growth and stability. With trade union on place strikes
can be avoided thus resulting stability and growth of the firm.
1.UNEVEN GROWTH
There is uneven growth in trade unionism. Trade union activities are only
concentrated in few states and bigger industrial centers only.
2.LIMITED MEMBERSHIP
Not all people join trade unions. Many trade unions exist in different
countries but there is declining membership per union. This because
individuals feels that the unions do not meet their member’s needs, hence
results to number of employees who are not member of any union
3.FINANCIAL PROBLEMS
Financial position of trade union is weak since the average yearly income
is low and inadequate. Things such as subscription rates are very low and
sometimes they remain unpaid by their members.
Funds of the union are inadequate and they cannot take welfare programs
for their members effectively.
4.MULTIPLICITY OF UNIONS(PRESENCE OF MULTIPLE
UNIONS IN SAME FIELD)
There is an existence of multiple trade unions in the same field. There is
no restriction on the numbers of unions to be registered in one
establishment.
The law permit a small number of people to form trade unions. Eg
according to trade unions act 2004 of Tanzania, 2o employees can form a
trade union.
Due to this it results to the formation multiple unions in large amount
5.INDIFFERENT ALTITUDE OF WORKERS
In many countries, large number of workers have not joined trade unions
and normally employers discourage trade unions.
Also not all members on the union show interest in the affairs of the
union. For example some people may have poor attendance of union’s
general meetings, under such circumstance trade unionism cannot be
expected to make progress due to lack of unity.
6.POOR LEADERSHIP OF UNION LEADERS
Sometimes trade unions are led by people who are not workers but
outsiders. Outsiders may include politicians, intellectuals who have no
experience of work industry. Normally outsiders focus on their personal
interests rather union interests.
7.ILLETERACY OF SOME WORKERS
Some works fail to understand the impact of trade unionism
due to their lack of education
8.UNION RIVALRY
These are suggestion/measure to be taken for healthily growth of
unionism
1.ONE UNION IN ONE INDUSTRY(MAINTAINING UNITY)
Having multiple union in the same industry lead to inter union rivalry that
ultimately cuts trade union movements, it weakens the power for
collective bargaining. There fore there should be one union only in one
industry.
The presence of one union only will help to have one policy, one program,
one objective, one method of labour movements.
2.DEVELOPMENT OF LEADERSHIP FROM WITHIN
Leaders of the union must be within the industry of workers and not
outside.
Outside leadership is one of the main cause for multiple problems of trade
unions and that can only be eliminated if leaders come from within.
3.PAID UNION OFFICIALS
Individuals who specifically work for the union should be employed and
must be paid well. These union officials must be individuals of proven
integrity and who are able to evaluate the demands of workers so that
they may negotiate with employers on equal terms.
4.IMPROVED FINANCIAL CONDITIONS
Financial position of union is weak and must be improved through
ensuring payments of member subscription and finding donations for the
union.
5.RECOGNITION OF TRADE UNIONS
Trade union must be recognized and be registered under the trade unions
act in order to secure the union and ensuring its safely. If a union is
registered it enjoys the rights of the registered trade unions as per the
trade unions act.
If it not registered then it is not subjected to the rights of a registered trade
union.
6.IMPROVING WORKERS EDUCATION
It is the responsibility of trade unions to make workers realize their
responsibilities and ensure discipline in them to perform their job
satisfactory
7.IMPROVING WELFARE ACTIVITIES FOR WORKERS IN
UNION
Welfare activities efforts make the workers loyal to the union. Example
provision of day school for children, night for adults, opening
libraries,gyms.
1.It promote unity
2.It ensures improvement in working conditions and provision for better
welfare facilities
3.Spirit of self reliance and self respect
4.Uniform wages
5.Change in employer’s altitude
1.Dispute can be avoided or may be solved politely
2.It results to industrial peace
3.Framing healthly labour policies. It reduces chance of
industrial dispute in future
1.Gain sympathy of general public(in crisis)
2.Propose to the government( to enact labour policies to protect
and develop labour force of the country in a better way
3.It helps in development of industrial economy by maintaining
good industrial relations, thus it will results in higher and better
production at lower cost
1.LACK OF EDUCATION
Lack of education makes workers narrow minded and prevent them to
understand long-term views.
For workers anything that does not results in an immediate rewards
becomes unattractive to them even if it is important for their own benefits
also.
2.UNIONS MAY NOT WELCOME CHANGES
Unions may not welcome changes for productivity methods for the fear
that some of the workers will loose their jobs. Therefore they slowdown
industrial progress.
3.STRIKES ON ILLOGICAL BASIS
Sometimes unions strikes on illogical bases/grounds and causes losses to
producers, community and the nation. Workers also suffers because of
their loss in salaries due to strikes
4.CREATION OF ARTIFICIAL SCARCITY OF LABOURS
Trade union creates artificial scarcity of labour by demanding that only
union personnel should be employed
5.Undue demands relating to wages.
HISTORICAL DEVELOPMENT OF TRADE
UNIONS
1) Early Trade Unions (The Period Between 1890-1918)
2) Trade Unions after World War 1( The period between 1919-1923)
3) Emergence of Left Wing Trade Unions (The period between 1924-1935)
4) Increase in Trade Union Activity and Unity Moves (The period between
1936-1939)
5) Union Activity during the II World War (Between 1940-1946)
6)The Post War and the Post Independence Period (After 1947)
7) Present Position
Early Trade Unions (The Period Between 1890-1918)
• TU movement is a by-product of Modern Factory system
characterized by long hrs of work, poor housing and appalling
working conditions, exploitation of women and children labours
• Workers grievances remained unredressed
These factors Raised discontentment among workers and they got
united
Bombay Mills Hands Association was established in Mumbai in 1890
the first TU in India (Amended the Factories act 1881)
After this large no of labour union started Bombay Postal Union, The
Kamgar Hithvardhak Sabha, Social Service League etc
 Only Welfare associations or friendly societies
 They lacked definite aim & constitution and no striking power
 Largely Sectarian in Character (BMA & KHS were Maratha
community)
Trade Unions after World War 1( The period between
1919-1923)
• This phase saw the real beginning of TU Movement.
• Large size strong unions came into existence
• B.P.Wadia an associate of Annie Besant founded the Madras Labour
Union of all Textile workers in the city of Chennai
• Unions of Spinners & Weavers were established in Ahmedabad
under Gandhiji
• By 1924 there were 167 unions in the country
• Factors affecting growth were:
• Economic conditions: Boom in Industry, Heavy profits with no
corresponding increase in wages
• Political Conditions: Non-Cooperation movement , Russian
revolution
• The ILO: ILO established in 1919
• India felt the need to send representative hence the first cental
organization of labour AITUC was set up in 1920
• Lala Lajpat Rai became its first President
• Remained oriented towards INC
Emergence of Left Wing Trade Unions (The period between 1924-1935
• Emergence of Communist in India
• AITUC received greetings from Red International Of Labour Unions,
Moscow at Jharia in II session of AITUC
• AITUC reciprocated to RILU Moscow
• 5th congress gave idea to Indian communist that TU movement from
now onwards should be influenced by Communism
• Favourable political situation for receiving communism . Political
leaders were highlt sympathized with Russia new regime
• People developed doubt about gandhian philosophy
• In result no of violent strikes were held in in several industrial areas.
• Communist succeeded in gaining control of both the General council
and Executive committee of AITUC and ousted the Moderate leaders
from AITUC in 10th Nagpur session in 1929.
• The Moderates formed National Trade Union Federation with
Subhash Bose (President of NTUF)
• Mines act, WC act, TU act, Trade Dispute act
• Workman Compensation act marked the beginning of social security
in India
 CONT..
• In 1929 the Whitley commission on labour was
appointed to enquire in to exixting conditions of
labour (2 Indian Members were N.M joshi & Dewan
Chamanlal)
• By 1930 India came under the influence of world
wide depression
• Govt banned Communist Party
 Increase in Trade Union Activity and Unity Moves
(The period between 1936-1939)
• Period from 1936-1939 see a phenomenal increase in the
no. of registered union and their membership, By this time
there were 272 unions. No rose to 562 in 1938-39.
• One important reason was the passing of the govt of India
Act, 1935which gave increased representation to labour in
legislative assembly.
• Labours full fledgedly supported INC and won the lections
in 1937
• AITUC started the Unity move by bringing back theNTUF
by accepting the merger terms
5) Union Activity during the II World War
(Between 1940-1946)
• Beginning of II world war in Europe.
• Rifts in AITUC leaderships.
• Communist in the AITUC earlier opposed later on favored the
cooperation in the war when Soviet Union joined it.
• Started advising workers to moderate demands, abjure strikes, work
hard to cooperate in the war.
• INC opposed the war and didn’t participate in war efforts further
participated in Quit India Movement and were imprisoned.
• Opportunity for communist to take over AITUC with the backing os govt.
• War came to an end in 1943 communist reverted to the old role of
militant trade unionism to regain lost popularity.
• Many prominent leaders got fed up of communism and formed separate
Trade Union INTUC(May 1947)
• INTUC adopted peaceful means consistent with truth for the
furtherance of objectives.
• After this communist dominated AITUC lost its image and prestige and
membership.
• INTUC became the most representative orga of workers.
6)The Post War and the Post Independence Period
(After 1947)
• Proliferation of trade unions in the pattern of proliferation
of political parties has been a distinguishing feature in the
trade union history of India during the post-Independence
period. In May 1947, the Indian National Trade Union
Congress (INTUC) was formed by the nationalists and
moderates and was controlled by the Congress Party.
Since by then, the AITUC is controlled by the Communists.
• The Congress socialists who stayed in AITUC at the time of
the formation of INTUC subsequently formed the Hind
Mazdoor Sabha (HMS) in 1948 under the banner of the
Praja Socialist Party. Subsequently, the HMS was split up
with a group of socialist and formed a separate
association, namely, “Bhartiya Mazdoor Sabha” (BMS)
which is now an affiliate of the Bhartiya Janata Party (B
JP). Years after, the communist party split into various
fractions forming the United Trade Union Congress
(UTUC) and the Center of Indian Trade Unions (CITU).
• Later again, a group disassociated itself from the
UTUC and formed another UTUC—Lenin
Sarani. Of late, with the emergence of regional
parties since 1960, most of the regional parties
have shown its inclination to a trade union wing,
thus, adding to the proliferation of trade unions
in the country. Thus, it is clear that the origin
and growth of trade union movement in India is
riddled with fragmented politicization.
• At present, there are 8 central trade
union organisations. Of these, four major
federations with their national network
are:
• 1. All India Trade Union Congress (AITUC)
• 2. Indian National Trade Union Congress
(INTUC)
• 3. Bhartiya Mazdoor Sangh (BMS)
• 4. Centre of Indian Trade Unions (CITU)
• Going by data from various trade unions,
submitted by them to the union labour ministry
as part of the survey, the Indian National Trade
Union Congress (INTUC), affiliated to
the Congress party, has emerged as the biggest
of the seven central trade unions, with a
membership of 33.3 million. This is against its
earlier size of a mere 3.9 million.
• The Bharatiya Mazdoor Sangh (BMS), lenient to
the Bharatiya Janata Party (BJP), is in second
place after INTUC, with 17.1 million members.
• The All India Trade Union Congress (AITUC),
affiliated to the Communist Party of India, has
retained the number three slot with a 14.2
million membership, up from 3.4 million in
2008.
• the Hind Mazdoor Sabha (HMS), an
independent union, with 9.1 million members,
up from 3.2 million in 2008.
• Other central trade unions include United Trade
Union Centre, which has claimed a membership
of 4.7 million, Trade Union Coordination Centre
with 1.6 million, Self Employed Women's
Association with 1.3 million and All India
Central Council of Trade Unions with 2.5
million.