Professional Documents
Culture Documents
On:
Submitted to : Dr.Kusum
Submitted by :
UILS PU CHD
Harjot singh
65/10 , Sec B
ACKNOWLEDGEMENT
It is a matter of great pleasure and privilege for me to express my gratitude and indebtness to
my highly esteemed teacher Dr. Kusum for her constant inspiration, co-operation, guidance
and
project.
INDEX
Trade Union
An Introduction:
A trade union for an average man signifies an association of workers which is engaged in
securing certain economic benefits for its members and a trade union is commonly regarded
as an association to help its members in getting collectively better terms of employment,
wages etc. The statutory definition of trade union, however permits even employers
organizations to get themselves registered as a trade union.
According to chambers Encyclopedia A trade union is an association of wage earners or
salary earners, formed primarily for the purpose of collective action for the forwarding or
defence of its professional interests
Sidney and Beatrice Webbs have defined a trade union: A continuous association of wage
earners for the purpose of maintaining or improving the conditions of their working lives.
Webbs definition of trade union does not include the association of employers and of white
collar employees which are generally regarded by English and Indian law as trade unions.
But in the popular sense of the term the definition of trade union given by Webbs is still valid.
Trade unions, as generally, understood, are combinations of workmen of some trade or of
several allied trades for the purpose of securing by united action, the most favourable
conditions as regards wages, hours of labour etc. for its members. The essence of trade union
is found in the solidarity among its rank and file as a security against the right of hire and fire
of the employee28.
According to V.V.Giri the trade unions are voluntary organizations of workers formed to
promote and protect their interest by collective action. Once the workers join trade union,
they must be welded together in a united front for the good of the whole group rather than for
promotion of any selfish individual motive or interest. In fact strength lies in the unity it
functions effectively on the solemn belief that united we stand divided we fall.
One can understand that trade union as commonly understood is a voluntary organization of
workers constituted for promoting, advancing and protecting their interests by means of
united action formed with a view to secure maximum benefits, rights, privileges and welfare
of the working class.
G.D.H.Cole went further and said that the objects of trade unions are ultimate control of
industry.
In the Soviet Union, trade union was defined as association of producers, in which citizens
employed for remuneration in state, cooperative and private undertakings, institutions and
business are organized. The union acts for its members in all negotiations with the various
state institutions and represents them at a conclusion of agreements and contracts and in all
discussions of questions relating to labour and social welfare29. To Karl Marx in Germany, a
trade union was first and foremost an organizing centre. It provides focus for collecting the
forces of working classes. The trade unions developed out of spontaneous attempts of the
workers to do away with this competition, or at least to restrict it for the purpose of obtaining
at least such contractual conditions as would raise them above the status of bare slaves.
Lenin characterized a trade union as an educational organization, a school of administration,
a school of economic management and a school of communism.
between employers and workmen but also it is intended to improve peaceful relations
between employers and employees.
The definition indicates that it is an association of workmen or employers based on mutual
confidence, understanding and co-operation for safeguarding common interests.
It need not be permanent combination, it can be formed for a shorter period.
The definition further indicates that the trade union is formed primarily for the following two
purposes.
Firstly for regulating the relations between
(a) workmen and employers, or
(b) workmen and workmen, or
(c) employers and employers.
Secondly, for imposing restrictive conditions on the conduct of any trade or business of its
members.
The word impose connotes an agreement and not compulsion31. Restrictive conditions
would mean to enter into a contract restricting the manner in which one can earn a living.
Any regulation of relations in employment would amount to imposing restrictive conditions.
However, it is to be treated separately from restrictive conditions on the conduct of trade or
business32.
The Act confers civil and criminal immunities to the workers under sections 17, 18 of Trade
Unions Act. No employer can sue for damages on the basis of conspiracy on the part of a
trade union, even though damage is caused, provided the means adopted are not unlawful.
The law relating to civil conspiracy will have no application and it will not be necessary to
prove that their acts are justified in the same manner. It was perfectly legal for the employer
to seek a monopoly and to employ such tactics as boycott or black list etc. but the same were
branded as unlawful if they were adopted by union. After a protected struggle the interests of
trade unions have today been placed on par with those employers in trade. The courts are no
more required to investigate if the trade dispute exists or is apprehended that the acts were
done in furtherance of their purpose or to injure the other party.
The use of the word primarily in the Trade Unions Act suggests that trade union can have
secondary objectives as well. A trade union may provide for other objectives also and it
cannot be refused registration simply on this ground. But the secondary objectives should not
be inconsistent with the primary objects. These ancillary objects must not be opposed to any
law or opposed to public policy.
We can distinguish three classes of objectives which a trade union can have. The first may be
classified as purely economic objectives i.e., those which relate to questions concerning
wages, hours of work, working and living conditions. The second one viz. benefit purpose,
which includes dispensation of various benefits like sickness and unemployment. The third
group consists of social and political objectives33.
The words trade or business are not defined in the Trade Unions Act. However these words
can have a wide variety of meaning, indeed trade is not only in the etymological or dictionary
sense, but as legal usage, a term of widest scope. It is connected originally with the word
trade and indicates a way of life or an occupation. Persons belonging to a number of trades or
to no trade at all may constitute a trade union whose members may not be members of any
one trade. There may be trade union which is composed neither of workmen nor masters
although it may be a combination to regulate the relations between workmen and workmen or
workmen and employers or employers and employers. What matters is the object of the union
and not its composition. A union may consist of both workmen and employers.
In ordinary usage it may mean the occupation of small keeper equally with that of a
commercial magnate. Trade includes generally speaking, any gainful occupation. Any one
from a dustman to highly skilled professional worker may enter into contract in restraint of
trade restricting the manner in which he can earn a living.
However wide the term trade might be, the Supreme Court approved the dictum that those
activities of the government which should be properly described as legal or sovereign
activities are outside the scope of industry1.
In the same manner when Madras Raj Bhavan Workers Union applied for registration under
Trade Unions Act the Registrar rejected on the ground that the members were not connected
with a trade or industry or business of the employer.
With regard to word workmen it has not been independently defined in the Trade Unions
Act. But in the definition of the term trade dispute in section 2(g) the definition of the
workmen is found which runs.
All persons employed in any trade or industry, whether or not in the employment of the
employer with whom the trade disputes arise.
Another term employer also was not defined in Trade Union Act 1926, However section
2(g) of the Industrial Disputes Act, 1947 defines an employer to mean (i) in relation to an
industry carried on by or under the authority of any department of the central government or a
state government the authority prescribed in this behalf or where no authority is prescribed
the head of the department (ii) in relation to an industry carried on by or on behalf of a local
authority, the Chief Executive Officer of that authority.
Appropriate Government [Sec. 2]: In relation to Trade Unions whose objects are not
confined to one state 'the appropriate Government' is the Central Government. In relation to
other Trade Unions, the 'appropriate Government' is the State Government.
Executive [Sec. 2(a)]: Executive means the body of which the management of the affairs of a
Trade Union is entrusted.
Trade Dispute [Sec. 2(g)]: A trade dispute means any dispute between the employers and
workmen, the workmen and workmen and the employers and employers which is connected
with the employment or non-employment, or the terms of employment, or the conditions of
labour of any person. 'Workmen' mean all persons employed in trade or industry whether or
not in the employment of the employer with whom the trade dispute arises.
Registered Trade Union [Sec. 2(e)]: A registered Trade Union means a 'Trade Union'
registered under the Act.
Procedure of Registration
The government will appoint required number of person as the Addition and deputy
Registrar of the Trade Unions. These office will be under the Registrar of the Trade
Union
the application must be made by seven or more persons who are engaged in the trade
or industry in connection to which the Trade Union is to be formed.
all the applicants must subscribe their names to the rules of the Trade Union and
comply with the provisions of this act regarding registration.
there must be at least 10% or 100, whichever is less, members who are engaged or
employed in the establishment or industry to which it is connected.
there must be not be less than seven members who are engaged or employed in the
establishment or industry to which it is connected.
If more that half of the persons who applied for the registration cease to be members of the
union or expressly disassociate themselves from the application, the application will be
deemed
to
be
invalid.
The name of the trade union and the address of its head office.
The titles, names, ages, addresses, and occupations of the office bearers of the trade
union.
If the trade union has been in existence for more than 1 yr, a general statement of its
assets and liabilities.
9. the safe custody of funds and provisions for inspecting or auditing the statements, or
other documents of the trade union.
10. dissolution of the trade union.
In the case of M T Chandersenan vs Sukumaran AIR 1974, SC held that if a member fails
to pay subscription fee, he cannot be considered a member of the trade union. However,
subscriptions cannot be refused under some pretext which results in the denial of
membership.
cease
upon
termination
of
the
employment.
If Registrar is not satisfy with information provided by the members of the Trade
Union going to be registered, Registrar is having power to call its members for
submitting the additional and required information for registering the Trade Union.
If the Name of the Trade Union is already existed or similar to other Trade Unions
names, registrar is having power to order for changing of the name.
Registrar of the Trade Unions will register the trade union. It is mandatory for the registrar
to register a trade union if the union satisfies all the technical requirements of this act.
In the case of re Indian Steam Navigation Workers Union AIR 1936 SC held that a
Registrar only has to see whether all the technical requirements are being fulfilled and not
whether it could be described as unlawful.
In the case of ACC Rajanka Limestone Quarries Worker's Union vs Registrar of Trade
Unions, AIR 1958, it was held that if the registrar does not register the trade union within 3
months of application, an appeal can be made to the High Court under art 226.
certificate of registration in the prescribed form, which shall be a conclusive evidence that the
trade union is registered under this act.
Minimum requirement about membership of a Trade Union. [Sec 9A]
A registered Trade Union of workmen shall at all times continue to have not less than 10% or
100 of the workmen, whichever is less, subject to a minimum of seven, engaged or employed
in an establishment or industry with which it is connected, as its members.
Cancellation of Registration
Under section 10, the Registrar of Trade Unions has the power to cancel the registration of a
trade union in the following conditions:
1. On the application of the trade union to be verified in the prescribed manner.
3. if the head office of the trade union in any other location, to such court, not inferior
to the court of an additional or assistant judge of a principal civil court of original
jurisdiction, as the appropriate govt. may appoint in this behalf for that area.
An appeal must be made within 60 days of the date on which registrar passed the order
against which the appeal is made.
In the case of Registrar of Trade Unions, West Bengal vs Mihir Kumar Guha 1963, Cal,
it was settled that a trade union whose head office is in a presidency town has only a single
chance of appeal against the decision of the registrar, which is to the high court while a trade
union whose head office is in muffasil has two chances of appeals, first in the local court and
second in the high court.
A trade union cannot force members to subscribe to political fund under section
16.
Under section 20 a trade union must make available all its record books of
accounts and list of membership for inspection upon request of any member or his
representative.
Section 21 Rights of minors to membership of Trade Unions- allows minors
more than 15 yrs of age to be members of a trade union. However, such minors
this power must be used judiciously and rules of natural justice must be followed.
Under section 28, a general statement, audited in a prescribed manner, of all
income and expenses must be sent to the registrar every year.
Disqualification: A person shall be disqualified for being chosen as, and for being a
member of, the executive or any other office-bearer or registered trade union if(i) he has not attained the age of eighteen years;
(ii) he has been convicted by a court in India of any offence involving moral turpitude and
sentenced to imprisonment, unless a period of five years has elapsed since his release.
their
trade
disputes
such
as
calling
for
strike,
persuading
members.
In the case of West India Steel Company Ltd. vs Azeez 1990 Kerala, a trade union
leader obstructed work inside the factory for 5 hrs while protesting against the
deputation of a workman to work another section. It was held that while in a factory,
the worker must submit to the instructions given by his superiors. A trade union leader
has no immunity against disobeying the orders. A trade union leader or any worker
does not have any right by law to share managerial responsibilities. A trade union can
espouse the cause of workers through legal ways but officials of a trade union cannot
direct other workers individually or in general about how to do their work. They do
not have the right to ask a worker to stop his work or otherwise obstruct the work of
the establishment. An employer may deal with a person causing obstruction in work
effectively.
2. Section 18 confers immunity from civil proceedings in certain cases to a trade union
or its office bears or members. In general, a person is liable in torts for inducing
another person to breach his contract of employment or for interfering with the trade
or business of another. However, a trade union, its officers, and its members are
immune from this liability provided that such an inducement is in contemplation
or furtherance of a trade dispute. Further, the inducement should be lawful. There is
no immunity against violence, threats, or any other illegal means.
In the case of P Mukundan and others vs Mohan Kandy Pavithran 1992 Kerala, it
was held that strike per se is not an actionable wrong. Further, it was held that the
trade union, its officers, and its members are immune against legal proceedings linked
with the strike of workmen by the provisions of section 18.
In the leading case of Rohtas Industries Staff Union vs State of Bihar AIR 1963, it
was held that employers do not have the right to claim damages against the employee
participating in an illegal strike and thereby causing loss of production and business.
In the case of Simpson & Group Companies Workers & Staff Union vs Amco
Batteries Ltd 1992 Karn., it was held that physical obstruction of movement of
management officials, contractors, goods, or vehicles carrying raw materials, is not a
trade union right or a fundamental right under art 19. Immunity under section 18
cannot be claimed for such activities. Right to picket is a very intangible right and it
extends only up to the right of free movement of others. The methods of persuasion
are limited to oral and visual and do not include physical obstruction of vehicles or
persons.
3. Section 19 Enforceability of agreements - In India, an agreement in restraint
of trade is void as per section 27 of Indian Contract Act. However, such an agreement
between trade union members is neither void nor voidable. It is important to note that
this right is available only to registered trade unions. An unregistered trade union must
follow the principles of general contract law.