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The Trade Unions Act, 1926 regulates trade unions in India. As per the Act,
trade unions regulate employer-employee relationships. Further, a federation
of two or more trade unions is also a trade union.
A boom in the textile industry took place in late 19th century. This lead to
massive recruitment in these mills. This gave rise to the need for a regulating
law.
The British enacted the Factories Act in 1881. This act laid down some strict
laws. These laws favoured owners over the workers.
As the First World War began, these textile mills faced more work. But more
work did not mean more staff. Working conditions deteriorated further. That is
how unionism in India started.
Related: Are You Working Overtime? Know the Overtime Laws in India
The Trade Unions Act, 1926 is the original act related to labour unions in
India. The Act provides for formation and registration of trade unions and in
certain respects to define the law relating to registered Trade Unions.
The Industrial Dispute Act, 1947, also deals with trade unions. It primarily
regulates the rights of employers and employees in the investigation and
settlement of industrial disputes.
Who can set up a trade union in India?
A minimum of seven persons can form and register a trade union under the
Trade Union Act.
Such members must follow the trade union rules. Registration of trade unions
is not compulsory. But, it can be helpful in the long run.
These rules are given under Section 6 of The Trade Unions Act, 1926.
Conclusion
Traditionally, the function of trade unions in India was limited largely to
collective bargaining for economic considerations. However, over time, trade
unions have begun to play various other roles as well.