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Unit 6: Trade Union Act

In 1920 All India Trade Union Congress (AITUC) was formed. The first meeting of the Notes
AITUC was held in October, 1920 at Bombay (now Mumbai) under the presidentship of
Lala Lajpat Rai. The formation of AITUC led to the establishment of All India Railwaymen’s

Federation (AIRF) in 1922. Many Company Railway Unions were affiliated to it.
There are over 9,000 trade unions in the country, including unregistered unions and more
than 70 federations and confederations registered under the Trade Unions Act, 1926.
Outside leadership has been playing a pivotal role in the Indian Trade Union Movement
due to the inability of insiders to lead their movement. The Royal Commission of Labour
(RCL) 1931 recommended for the reduction of the statutory limit of outsiders from 1/2 to
1/3 but no efforts were taken in this direction. Outside leadership has been responsible for
the slow growth of Trade Unions.
In view of the evil effects of inter-union rivalry the recommendations of the National
Commission on Labour, 1969. To minimise union rivalry are: Elimination of party politics
and outsiders through building up of internal leaders, Promotion of collective bargaining
through recognition of sole bargaining agents, and Empowering labour courts to settle
inter-union disputes if they are not settled within the organisation.
To minimise trade union problems and to strengthen the Trade Union Movement. Unions
must present a joint front. Trade unions should form a sort of labour party and all the trade
unions in the country should be affiliated to it.

Trade unions should extend welfare measures to the members and actively pursue social
responsibilities.

The Trade Union Act, 1956 should be amended and the number of members required to form
a trade union should be increased from 7 to 50% of the employees of an organisation.
The Government of India drew up a Bill which was introduced in the Legislative Assembly
on 31st August 1925. The Bill was passed the next year as the Indian Trade Unions Act,
1926. The Act with subsequent amendments is still in force in the country.
The federation of trade unions also requires registration. It was held in National
Organisation of Bank Workers’ Federation of Trade Unions vs. Union of India and others
(Bombay -1993) that where a federation of Trade Unions is not registered, it is not a trade
union under the Act.
The Supreme Court upheld the writ petition, brought as a class action by certain social
activists and NGOs, concerning the fundamental rights of working women with particular
reference to the evil of sexual harassment of women at workplaces.

6.11 Keywords

AIRF: All India Railwaymen’s Federation
AITUC: All India Trade Union Congress

BMS: Bhartiya Mazdoor Sangh
Reformist or Welfare Unions: Work for changes and reforms within existing socio-political
framework of society - European Model.

Revolutionary Unions: Believe in destruction of existing social/economic order and creation of a
new one. They want shift in power and Authority and use of force - Left Unions.
Trade Union: A trade union is an association of wage earners for the purpose of maintaining and
improving the conditions of their working lives.

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