Unit-2 Trade Union

INDUSTRIAL RELATIONS
Dr. Christina Parmar, Assistant Professor

Faculty of social work
The payment of wages act 1936
Chapter-2
Trade Union
Introduction
Objectives
Application;
Definitions
 Responsibility of payment of wages;
Deduction of wages; Time & Mode of payment
Authorities under the Act
 Miscellaneous
CONTENT
□Introduction
□Existing trade unions
□Evolution of trade union in India
□Features of trade union
□Objectives
□Functions
□Propelling factors for joining Trade union
□Structure of trade union
□Problems and weaknesses faced by trade unions
INTRODUCTION
• Definition
Section 2(h) of the trade unions act, 1926 has defined a trade union
as,
“Any combination, whether temporary or permanent, formed
primarily for the purpose of regulating the relations between
workmen and employers, or between workmen and workmen,
or between employers and employers, or for imposing
restrictive conditions on the conduct of any trade or business,
and includes any federation of two or more trade unions.”
Presented by:- Rahul Mahida 4

WHAT ARE TRADE UNIONS?
• Trade unions are organizations 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.
• Trade unions exist because an individual worker has very little power to
influence decisions that are made about his or her job. By joining together
with other workers, there is more chance of having a voice and influence.
• All sorts of jobs and industries are covered by trade unions. Some unions
represent people who do a particular job or work in a specific industry - for
example, the national union of journalists (NUJ), as its name suggests,
represents journalists, and the union for finance staff (UNIFI) is made up of
people who do different jobs in the financial sector.

Continue..
• Other unions include a mixture of people in different
jobs and sectors. The biggest unions in Britain - the
GMB, UNISON and the transport and general workers
union (TGWU) represent people working in a range of
different occupations and industries in the public and
private sectors. Often this is because unions have
merged with other unions so that they can increase their
membership and their influence.

EXISTING TRADE UNION
ORGANIZATION IN INDIA
1. ALL INDIA TRADE UNION CONGRESS (AITUC)
2. BHARTIYA MAZDOOR SANGH (BMS)
3. CENTRE OF INDIAN TRADE UNION (CITU)
4. HIND MAZDOOR KISAN PANCHAYAT (HMKP)
5. HIND MAZDOOR SABHA (HMS)
6. INDIAN NATIONAL TRADE UNION CONGRESS (INTUC)
7. INDIAN FEDERATION OF FREE TRADE UNIONS (IFFTU)
8. NATIONAL FRONT OF INDIAN TRADE UNIONS (NFITU)
9. NATIONAL LABOR ORGANIZATION (NLO)
10. TRADE UNIONS COORDINATION CENTRE (TUCC) ETC.

EVOLUTION OF TRADE UNION
• TRADE UNION EMERGE IN INDIA IN THREE PHASES:
□ FIRST PHASE (1850 – 1900) : GROWTH OF INDIAN
CAPITALIST ENTERPRISES.
□ SECOND PHASE ( 1900 – 1947) : DEVELOPMENT OF ORGANIZED
TRADE UNION “MILITANT TRADE UNIONISM.”
□ THIRD PHASE BEGAN WITH EMERGENCE OF INDEPENDENT INDIA
(IN 1947) AND THE GOVERNMENT SOUGHT THE COOPERATION
OF THE UNIONS FOR PLANNED ECONOMIC DEVELOPMENT.

FEATURES OF TRADE UNION
• TU is an organization formed by employees or workers.
• It is formed on a continuous basis.
• It is a permanent body.
• It is formed to protect and promote all kinds of interests –
economic, political and social-of its members. The
dominant concerned interest of TU is ECONOMIC.
• TU achieve its objectives through collective bargaining
and group efforts.

OBJECTIVES OF TRADE UNION
1. Better & even wage

2. Better working conditions
3. Financial benefits
4. Protect interest of
workers
5. Social welfare
6. Stability, health, growth, interest of industry and leadership
7. Employee – employer relationship
8. Education & training
9. Legal assistance

FUNCTIONS OF TRADE UNION
FUNCTIONS OF TRADE UNION BROADLY CLASSIFIED INTO :

a) MILITANT/ FIGHTING FUNCTIONS
b) FRATERNAL FUNCTIONS

MILITANT /FIGHTING
FUNCTIONS
• Aim of militant activities are to ensure adequate wages,
secure better conditions of work and employment, get
better treatment from employers etc.
• When union fails to achieve the aims through collective
bargaining & negotiation they adopt an approach in the
form of fight against management through go-slow
tactics ,strike , boycott, gherao, etc.

OBJECTIVES OF MILITANT
FUNCTIONS
• To achieve higher wages and better working conditions.
• To raise the status of workers as a part of industry.
• To protect labors against victimization and injustice.

FRATERNAL FUNCTIONS
• Social & economical upliftment
• Aims of this functions are to render help to its members & improve
their efficiency.
• It undertake various welfare measures of its members like
a) Legal assistance at the time of need

b) Schools for education of children, library, reading room
,indoor-outdoor games facilities and recreational activities etc.

OBJECTIVES OF FRATERNAL
FUNCTIONS
• To take up welfare measures for improving the morale of workers.
• To generate self confidence among workers/
• To encourage sincerity and discipline among workers.
• To provide opportunities for promotion and growth.
• To protect women workers against discrimination.
• The prime objective of these functions are to foster a spirit of
cooperation and promote friendly industrial relation

PROPELLING FACTORS FOR
JOINING TRADE UNIONS
• Greater Bargaining & Negotiation Power
• Minimize Discrimination
• Sense Of Security
• Sense Of Belongingness
• Sense Of Participation
• Platform For Self Expression
• Betterment Of Relationship

STRUCTURE OF TRADE UNION
• PLANT LEVEL UNIONS:
This comprise the union in one organization. Minimum seven members are
required to form a union. This has lead to multiple unions in one factory.
• LOCAL LEVEL FEDERATIONS:
The local trade union federation holds together the plant level unions at the local
level in a particular craft and industry.
• REGIONAL LEVEL FEDERATIONS:
These are the organizations of all the constituent unions in a particular state or
region.
• NATIONAL FEDERATIONS:
These are the apex bodies at the top of the structure. They act as coordinating
bodies.
16
Presented by:- Rahul Mahida

PROBLEMS & WEAKNESSES OF
TRADE UNION
• Uneven growth
• Limited membership
• Multiplicity of unions
• Outside leadership
• Financial problems
• Indifferent attitude of
workers
SUGGESTION FOR THE
DEVELOPMENT OF TRADE UNION
• AVOID MULTIPLICITY OF UNION :- In one plant to reduce rivalry against one
another. It weakens the power of collective bargaining & reduce effectiveness
of workers in ensuring legitimate rights.
• PAID UNION OFFICIALS: The trade unions avail the services of the honorary
workers due to lack of funds which act as a demotivating factor for honorary
office bearers. This position entrusted lots of responsibility, you are not offered
anything in return which keeps unbiased justice in danger.
• DEVELOPMENT OF LEADERSHIP FROM INSIDE UNION MEMBERS : Trade
unions are managed by the workers, and not by the outsiders.
• RECOGNITION OF UNION : Till recently employer refused to accept the
existence of trade union inside the organization.

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INDUSTRIAL RELATIONS

Dr. Christina Parmar, Assistant Professor

Presented by:- Rahul Mahida 4

• Trade unions are organizations that represent people at work. Their

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1. Better & even wage

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FUNCTIONS OF TRADE UNION BROADLY CLASSIFIED INTO :

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a) Legal assistance at the time of need

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