Trade unions are organizations made up of employers and workers that voluntarily join together to safeguard and advance the interests of their members. These are the best kinds of organizations when it comes to striking a balance and enhancing the relationship between the employer and the workforce. The quick development of the industrial sector has helped trade unions advance. In order to preserve and strengthen their negotiating position over pay and working conditions, the employees band together.

The Madras Labour Union, India's first officially recognized trade union, was established in 1918. Trade unions were never limited to just workers from the start. Employer groups, such as Chambers of Commerce and Industrial groups, were established as early as the 19th century to unifiedly safeguard and advance the interests of its members.

Trade unionism has had a significant influence on social, political, and economic life in industrialized nations. India is an agrarian nation, therefore trade unionism is limited to industrial areas and is still in its infancy there. The Printers' Union was established in Calcutta in 1905, the Bombay Postal Union in 1907, the Amalgamated Society of Railway Servant of India and Burma in 1897, the Bombay Millhand's Association in 1890, and the Kamgar Hitwardhak Sabha Bombay in 1910. These are the earliest known trade unions in India.

Following the First World War, the Indian trade union movement got underway. Ten years after the First World War ended, it became evident that the various unions' operations needed to be coordinated urgently. Consequently, the Central Labour Board was established in Bombay in 1920, the All India Trade Union Congress was organized on a national basis, and the Bengal Trades Union Federation was established in 1922. In the same year that the All India Railwaymen's Federation was established, the Provincial and Central Federations of Unions of Postal and Telegraph Workers were also established.

Origin
The historic Buckingham Mill case, in which the Madras High Court issued an interim injunction against the Madras Labour Union Strike Committee, prohibiting them from pressuring specific workers to violate their employment contracts by refusing to return to work, served as the impetus for the passage of a Trade Unions Act in India. Trade union leaders believed that legislation was required to protect their organization after learning that their genuine union operations could land them in jail or punishment.

A motion advocating that the government create legislation for the registration and protection of trade unions was successfully introduced in the Central Legislative Assembly in March 1921 by Shri N. M. Joshi, the General Secretary of the All India Trade Union Congress at the time. The Indian Trade Unions Act, however, was not implemented until 1926 due to strong employer opposition to the implementation of such a law.

Indian Trade Unions Bill, 1925

On March 25, 1926, the Legislature granted assent to the Indian Trade Unions Bill, 1925. As the Indian Trade Unions Act, 1926 (16 of 1926), it became operative on June 1st, 1927. The term "Indian" has been removed by section 3 of the Indian Trade Unions (Amendment) Act, 1964 (38 of 1964), and it is now referred to as THE TRADE UNIONS ACT, 1926 (16 of 1926).

This act enumerates the procedures relating to trade union registration and dispute resolution. This ordinance establishes rules for industrialists and laborers alike. The Act covers trade union registration, rights, obligations, and responsibilities. It also makes sure that money are used appropriately. It grants registered trade unions corporate and legal status. In order for them to continue their legal actions for the good of the working class, it also aims to shield them from civil or criminal prosecution. The Act applies to both the association of employers and the union of workers.

It encompasses all of India. Additionally, no registered trade union shall be subject to the provisions of any of the following Acts: the Societies Registration Act, 1860; the Co-operative Societies Act, 1912; and the Companies Act, 1956. Any trade union that registers under any of these Acts will have its registration revoked. The following are the principal provisions made by this Act:

• Trade Union: A trade union is any temporary or permanent combination that was established primarily to regulate the relationship between employees and their employers, or between employees and each other, or to impose rules and regulations on the conduct of any business or trade. It also includes any federation that consists of two or more trade unions.
   
• Trade Union Registration: The Act mandates that trade unions register with the "Registrars of Trade Unions" established in the several States. A trade union may register by submitting an application in the required form to the Registrar of Trade Unions with the support of seven or more union members.
  
  A copy of the "rules of the trade union" and a statement containing the following information must be sent with the application:
  1. the names, ages, and occupations of the members submitting the application;
  2. the name of the trade union and the address of its head office; and
  3. the titles, names, and occupations of the office bearers of the trade union in the format specified by the Act.
      
• Registration Certificate: As definitive proof of that trade union's registration, the Registrar issues a certificate of registration in the required form upon receipt of the registration application.
   
• Revocation of Registration: A Trade Union's certificate of registration may be revoked or canceled by the Registrar upon Trade Union application, or if the Registrar determines that the certificate was obtained fraudulently or accidentally, that the Trade Union has dissolved, or that the Trade Union has knowingly broken any Act provisions or rules, etc. after receiving notice from the Registrar.
   
• Annual Statutory Returns: The Registrar receives annual statutory returns from registered trade unions (employers & workers) detailing membership, general funds, sources of income, items of expenditure, and specifics of their assets and liabilities. The Registrar then submits a consolidated return of their state in the approved proforma to the Ministry of Labor Employment's Labour Bureau. After receiving the annual returns from the various States and Union Territories, the Labour Bureau compiles all of India's statistics and disseminates them through its regular publications, including "Trade Unions in India." On or before the first day of June of the year that follows the calendar year, each trade union is required to submit annual returns in triplicate to the Registrar.
   
• Use of Finances: The Act's list of approved uses for a registered trade union's general finances is mandatory. Additionally, a registered trade union may establish a distinct fund to further the political and civic interests of its members, with donations made to or levied separately for that purpose. No member may be forced to make a contribution to this fund, and those who choose not to make a contribution will still be eligible for all trade union benefits.
   
• Accounts Maintenance: An office-bearer or union member may check the account books and membership list of a registered trade union at any time during business hours as specified by the union's bylaws.

Trade Unions Act, 1926

The Trade Unions (Amendment) Act of 2001 is the most significant of the numerous amendments to the Trade Unions Act of 1926. This Act was passed in order to increase trade unionism's popularity in India and to bring about greater openness. The Trade Unions (Amendment) Act, 2001 has several noteworthy features. Firstly, any trade union of workers cannot be registered unless at least 10% or 100%, whichever is lower, of the workers in the establishment or industry in which it is associated are members of the trade union on the date of the application for registration. There is a provision for restoring registration or for submitting an appeal before the Labour Court or Industrial Tribunal in the event of non-registration.

Except for those who make up at least one-third of the total number of office bearers or five, whichever is fewer, all office bearers of a registered trade union must be people who are actively involved in or employed by the business or industry that the union is affiliated with.

The minimum annual subscription rate for trade union members is set at one rupee for workers in rural areas, three rupees for workers in other unorganized sectors, and twelve rupees for all other workers.

For the purpose of holding an office in the relevant trade union, retired or laid-off employees shall not be considered outsiders.

Unions may establish independent political funds to further the civic and political interests of its members.

A legally recognized labor union must always maintain a minimum of seven members who are either employed or involved in the business or industry to which it is affiliated, or at least 10% of the total number of workers, whichever is lower.

Written By: Akanksha