TRADE UNION

TRADE
UNION
S
BY: JANANI RAVI

DEFINITION
Trade unions are organisations that

represent people at work. Their purpose
is to protect and improve people's pay and
conditions of employment. They also
campaign for laws and policies which will
benefit working people.
What Do Unions Do?
The main service a union provides for its
members is negotiation and
representation. There are other benefits
people get from being members of trade
unions.
Negotiation
Representation
Information and advice
Member services
How Are Trade Unions
Financed?
 Each trade union member pays a
subscription
People pay their subscription fees in

different ways
 It may be collected by direct debit
from your bank account

 deducted directly from your wages
 paid in cash or by cheque to your
union representative or full time official

TYPES OF TRADE UNION
TYPES DESCRIPTION/EXAMPLE
 CRAFT  To represent skilled workers e.g. Musicians
Union(MU)
 To represent the members of one
 INDUSTRIA particular industry e.g. Fire Brigades
L Union (FBU)
 Unions which recruit workers from all
types of industries and with any level or
 GENERAL range of skills e.g. Amicus – the
Manufacturing Science and Finance Union
(MSF)
 Represent office workers e.g. National
 WHITE- Union of Doctors (NOD)
COLLAR
REASONS TO JOIN A TRADE
UNION
CLOSED SHOP
A shop in which persons are required to

join a particular union as a precondition
to employment and to remain union
members for the duration of their
employment.
SINGLE-UNION
AGREEMENTS
An agreement between an employer and a

union such that the union will represent all
the workers at a particular workplace.
ADVANTAGES
To employees To employer
 One union-  One union-
discussions clear
discussions clear
 Employees together-
greater power  Better working
 No disagreement- relationship
one union  Easier to agree to
 Better working
relationship changes
 Disputes solved  Disputes solved
quickly quickly
What Is The Structure Of
Trade Unions?
STRUCTURE EXPLAINED
 members - people who pay a subscription to belong
to a union
 shop stewards - sometimes called union
representatives - who are elected by members of the
union to represent them to management
 branches - which support union members in
different organisations locally. There is usually a
branch secretary who is elected by local members
 district and/or regional offices - these are usually
staffed by full time union officials. These are people
who are paid to offer advice and support to union
members locally
 a national office - the union's headquarters which
offers support to union members and negotiates or
campaigns for improvements to their working
conditions. At the top of the organisation there is
usually a General Secretary and a National Executive
Committee, elected by the union's members.
EMPLOYERS
ASSOCIATION
EMPLOYER ASSOCIATION
An employer association is an organisation
that represents a group of employers who
share similar interests or areas of trade
and aims to promote and represent their
opinions and concerns.
Also known as EMPLOYER’S FEDREATION

(OR) TRADE ASSOCIATION
ADVANTAGES
 Represent employers and negotiates
with trade unions
 Give advice to members
 Act as PRESSURE GROUPS
 Share ideas help each other –research
and development
 Organise bulk buying and obtain
discounts on goods purchased
EMPLOYER ASSOCIATION AND
THE GOVERNMENT
 Keep control of the
economy and its matter-
inflation, markets, finance,
education
 Taxation should not be a
burden on them
 Rules and regulations – not
a burden
 Economic policies- favour
fair competition
 Infrastructure- assist in
performance of businesses
COLLECTIVE BARGAINING
Collective bargaining is a type of
negotiation used by employees to work
with their employers.
Bargaining can take place at local or

national level
PROBLEMS DISCUSS
NEGOTIATE
REASONS TO INCREASE
WAGES
PRODUCTIVITY
INFLATION
= WAGES
PAY DIFFERENTIALS
CHANGE IN WORKPLACE
INDUSTRIAL ACTION
INDUSTRIAL ACTION
Refers collectively to any measure taken by
trade unions or other organised labour
meant to reduce productivity in a
workplace.
Quite often it is used and interpreted,
mistakenly, as a euphemism for strike, but
the scope is much wider.
Industrial action may take place in the
context of a labour dispute or may be
meant to effect political or social change.
TYPES OF INDUSTRIAL
ACTION
Specifically industrial action may include
one or more of the following:
 Strike
 Work-to-rule
 Non-cooperation
 Slowdown (or Go-slow)
 Overtime ban
 Picketing
STRIKES
Workers select a
day(s) on which
they will not come
into work.
Workers maybe
paid out of trade

union’s strike
fund
In case of an
unofficial/ wild-
cat strike, workers
are not paid
STRIKES
TYPES OF STRIKES
 TOKEN STRIKE
 SELECTIVE STRIKE
 ALL OUT STRIKE

WORK TO RULE
 Workers do not carry out duties that are not in
their employment contract.
 Carry out management's orders to the letter
 Workers observing safety laws to the letter,
when they are normally disregarded.
 Working to rule does not mean that workers
are working in breach of their contract
 They carry out tasks exactly as their
contracts state.
 This has the implication that tasks are carried
out inefficiently.
For example if train drivers were to work to

rule, trains would be late arriving or even
cancelled. Drivers may delay trains by
refusing to trains out until rigorous safety
checks have been carried out.
NON-COOPERATION
 Workers refuse to do
anything to do with
new working
practices that they do
not approve of.
GO- SLOW
Employees deliberately
attempt to slow down
production, whilst still
working within the terms
of their contract.
OVERTIME BAN
 Limits the working hours to
the agreed contract of
employment for normal hours.
 Used by unions to demonstrate
that workers are prepared to
take further collective
actions if their demands are
not met.
 Results in lost wages.
 Can lead to a decrease in costs
for the business and fall in
the production.
 Effective where production
takes place overnight, e.g.,
coal mines, large production
lines.
PICKETING
 Primary Picketing is legal.
This involves members of a
union on strike standing
outside a firms entrance
trying to persuade other
workers not to cross it.
 Secondary Picketing is not

legal. This involves workers
who are on strike from one
firm trying to dissuade
workers at a firm not
involved with the strike
from going to work.
Secondary picketing is
resorted to by workers to try
and spread the impact of their
action.
CONFLICT IN
BUSINESS
ORGANISATION
WHY DOES IT HAPPENS?
 Less efficiency
 High levels of absenteeism
 High labour turnover (% of employees
leaving in a year)
 INCREASED Customer complaints
FORMAL GRIEVANCE AND DISPUTE

PROCEDURES SHOULD BE ADOPTED TO
AVOID CONFLICTS
SOURCES OF CONFLICT
 Poor wages (differs from one country to
the other), working & employment
conditions.
 Rigid management/ authoritarian (chapter
13).
 Rapid change/ poorly planned change.
 Lack of involvement in decision making.
 Decline in market share.
CONSULTATION
 Differs from collective
bargaining or negotiation
 Views of employees are asked
regarding decisions that will
affect them.
 The problem areas are
discussed and a conclusion is
arrived at.
 Worker’s word is not taken,
but considered.
WORKER
PARTICIPATION
DEFINITION
The involvement of ordinary employees in
making decisions at all levels in a
business.
Morale of the employees boosted since

they are made to feel like an important/
integral part of the business.
FORMS/ TYPES
WORKS COUNCIL
A body representing the workers of a plant,
factory, etc., elected to negotiate with the
management about working conditions,
wages, employment contracts and others
Also called works committee
(EU WILL INCREASINGLY USE THIS TO
NEGOTIATE WITH MNC’s)
REPRESENTATIVE + MANAGER DISCUSS

PROPOSAL
Health and safety, introduction of
machinery…. Typical issues of
discussion
QUALITY CIRCLES
Japanese methodology of continuous
improvement in the product. Also called
as sustainable development.
Meet regularly To
discuss the areas
of improvement
and concern
Employees will be able to voice their opinion

ADVANTAGES OF WORKER
PARTICIPATION
 INCREASED FLOW OF INFORMATION.

 IMROVED RELATION BETWEEN THE
EMPLOYER AND EMPLOYEES.
 INCREASED SATISFACTION AMONGST
WORKERS.
DISADVANTAGES OF WORKER
PARTICIPATION
 TIME CONSUMING
 WORKERS MAY LACK NECESSARY
TECHNICAL KNOWLEDGE
 NON-UNION MEMBERS WILL LOSE OUT.
 CONFLICT OF INTEREST
MAJOR UK
ORGANISATIONS
INVOLVED IN
INDUSTRIAL RELATIONS
TRADES UNION CONGRESS
The TUC is the voice of Britain at work.
With 58 affiliated unions representing

6.2 million working people from all walks
of life.
Campaign for a fair deal at work and for

social justice at home and abroad.
They negotiate in Europe, and at home

build links with political parties, business,
TRADES UNION
CONGRESS….AIMS
 ACT AS A PRESSURE GROUP

 REPRESENT TRADE UNION VIEWS IN
GENERAL
 INFLUENCE EMPLOYERS ASSOCIATIONS
 INFLUENCE GOVERNMENT POLICIES
CONFEDERATION OF BRITISH
INDUSTRY
Premier lobbying organisation for UK
business on national and
international issues.
The Confederation of British Industry's

mission is to help create and sustain
the conditions in which businesses in
the United Kingdom can compete and
prosper for the benefit of all.
ADVISORY, CONCILIATION AND
ARBITRATION SERVICE
ACAS aims to improve organisations and
working life through better employment
relations, by supplying
 up-to-date information
 independent advice
 high quality training
 working with employers and employees
to solve problems & improve

performance.
SERVICES PROVIDED BY
ACAS
 ADVICE AND INFORMATION: TO
EMPLOYERS AND EMPLOYEES ON ALL AREAS
OF EMPLOYMENT
 CONCILIATION: TALK TO BOTH SIDES AND

SETTLES DISPUTES AMICABLY.
 ARBITRATION: IF A SITUATION HAS

REACHED A ‘DEAD LOCK’, ACAS ARRANGES
FOR AN INDEPENDENT GROUP TO LISTEN TO
BOTH SIDES AN ARRIVE AT A FAIR
SETTLEMENT.
ACTIVITY
 AS A GROUP, MAKE YOUR
OWN TRADE UNION….
1. SUGGEST A NAME TO IT
2. ELECT THE MEMBERS,

SUBSCRIPTION FEES & OTHER
DETAILS (w.r.t TRADE UNION)
3. THE ISSUES PERTAINING TO
AN ORGANISATION
4. HOW ARE YOU GOING TO
ADDRESS THEM
5. TYPE OF INDUSTRIAL ACTION
YOU MIGHT TAKE IF THE
ISSUES ARE NOT ADDRESSED
AND WHY?

TRADE UNION

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TRADE

BY: JANANI RAVI

Trade unions are organisations that

Information and advice

People pay their subscription fees in

from your bank account

 paid in cash or by cheque to your

union representative or full time official

A shop in which persons are required to

An agreement between an employer and a

Also known as EMPLOYER’S FEDREATION

Bargaining can take place at local or

 Slowdown (or Go-slow)

paid out of trade

 ALL OUT STRIKE

For example if train drivers were to work to

 Secondary Picketing is not

FORMAL GRIEVANCE AND DISPUTE

Morale of the employees boosted since

REPRESENTATIVE + MANAGER DISCUSS

Employees will be able to voice their opinion

 INCREASED FLOW OF INFORMATION.

With 58 affiliated unions representing

Campaign for a fair deal at work and for

They negotiate in Europe, and at home

 ACT AS A PRESSURE GROUP

The Confederation of British Industry's

 high quality training

 working with employers and employees

to solve problems & improve

 CONCILIATION: TALK TO BOTH SIDES AND

 ARBITRATION: IF A SITUATION HAS

2. ELECT THE MEMBERS,

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