Trade Unions: Theoretical Foundations and Legal Framework

Trade unions
Theoretical Foundations and Legal Framework
Sooraj R, soorajdms@gmail.com
Introduction
Trade unions are voluntary organizations of
workers formed to promote and protect their interests through collective action.
Theories of trade union movement

Karl Marx: Class Conflict and Communist
Manifesto Sydney and Beatrice Webb The Socialist Pattern of Society Robert Hoxie Unions under the American Capitalist system Mahatma Gandhi The Concept of Trusteeship
Trade unions of India

Trade union movement emerged between the
1850s and 1870s. All India Trade Union Congress was the first national federation of trade unions.
Trade unions and economic development

Key role of trade union is to act as a
countervailing power to ensure that considerations of enterprise and efficiency are balanced by equity. It also prevent exploitation and ensure that economic development is not an end in itself, but a means to human development and progress.
Legal framework
ILO Convention No 87: Freedom of Association
Indian Constitution and the Freedom of
Association Trade Unions Act, 1926 Salient Features
Definition of trade and Trade union

According to 2(h) if Trade Unions Act, 1926
defines a trade union as any combination , whether temporary or permanent, former 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 or two or more trade unions Distinction between Registration and Recognition Privileges of Recognized, Representative Unions Sooraj R, soorajdms@gmail.com
Trade Union Recognition

Closed shop/Union shop
Membership Verification
Check-off Secret Ballot Code of Discipline
Union Recognition Agreement

These agreement stipulates dos and donts for
both management and union Specify the benefits that management would provide to the unions The facilities are accorded to unions subject to the latter agreeing to fulfill certain obligations
The Problem of the Free Rider

Employees may participate in 4 types of election
To elect office-bearer for unions 2. To elect a representative union for collective bargaining purpose, 3. To elect workers representatives for works committees, departmental councils, etc 4. To take decisions on whether to go on strike, etc
1.
Non union firms

The law in India does not make it mandatory for
management
To have unions To recognize them (except in some states), or To engage in collective bargaining
Trade Union Structure
Introduction
Evolution of different models of national trade
union movements - how they are linked to the evolution of capital. Emergence of the international trade union movement - during the middle of the 12th century special characteristics of unionism - among managers and women - issues relation to multiplicity of unions Brief analysis of the future trends
Models of National Trade Union Movements

Occupational Unions
Industrial Unions
General Unions Territorial Unions Enterprise Unions State sponsored Unions
Challenges Facing trade Unions

Decline in membership
Decline in state support or state neutrality

Deregulation, decentralization and consequent
reduction in the job, income, and social security, creating anxiety among workers about the effectiveness and utility of unions(s) Repudiation of their rights by employers, consumers and other actors, institutions in civil society. Changing aspirations and needs of new generation workforce Reduced capacity to mobilize workers for conflict Sooraj R, soorajdms@gmail.com Imperative need to cooperate with managements
International trade union federations

International Confederation of Free Trade Unions
(ICFTU) World Federation of Trade Unions (WFTU) International Federation of Christian Unions (IFCU) Regional Trade Union Organizations at International Level International Trade Union Organizations in Specific Industries Occupations Global Union Federations (GUFs) Objective of GUF
Promotion of worldwide solidarity Securing and enforcing human and trade union rights Establishing a just economic and social order
Trade Union Internationals (TUIs)

Trade Union Structure at the National Level

Structuring of a trade union is composed of
Several layers of geographical and sectoral levels Staff in various departments depending on the type
of activities Rules and regulation concerning decision-making to carry on activities, and mechanisms for rewarded, review and refinement Committees with specific tasks.
A union formal structure influenced by the following factors

Size
Spread
Role and function/activities Responsibility and accountability
A trade union structure has 3 dimensions

Formal organization
The people
The Human resource system
Managerial Trade Unions

Managerial response to Managers Unions
Relations between Workers and Managers
Unions
National Trade Union Centers

Regional Political Parties and their Trade Union
Wings Industrial/Sectoral Federations Enterprise-level Union
Women in Trade Unions

Unionization Among Women Workers
Organizing Women Workers in the Unorganized
Sector Why Women Do Not Join Unions Womens Representation and Gender issued in Collective Bargaining
Role on International Trade Union Movement

ICFTU Charter of Rights of Working Women as follows
Equal rights and opportunities at work Maternity protection for all working women Sharing of work in the family
A place for women at all levels of trade union
hierarchy Actions in all spheres to respond to womens needs
Monitoring Gender Equality in Trade Unions

Trade unions should discuss the following issues in their meetings at the local, regional, national and international levels:
Sexual division of labor Percentage of women in the total workforce Percentage of leadership positions helf by women
in the union Membership in tripartite and bipartite for a at the national, regional and local levels Training programmes conducted at the international, national, regional and local levels Paid positions in trade union secretariats at the international, national, regional and local levels
Trade Union Unity and Trade Union Mergers

It gives an opportunity to represent their collective
interests. It is based on the belief: United we stand, divided we fall
Future Directions
Cyber Unionism
Towards E-Unions
Management of Trade Unions of India
Introduction
Theoretical and legal foundations of trade unions
as well as their structure at various levels Constitution and functions of trade unions and the internal and external challenges they face. Issues for leadership and organization, including internal democracy in there functioning of the union.
Trade Union Constitution

Every registered trade union in India is supposed
to have a constitution of its own endorsed by its members.
Essential elements of a unions constitution

Preamble Name Declaration of principles Membership Rights and obligation of members General assembly conference: election at al levels Duties and responsibilities of officials Executive committee Standing committee Meeting rules Finance Collection of dues Auditing Allowances
Trade Union Functions

Objectives Economic and Job Regulation
Decrease in labor intensity through avoidance of
wasteful practices Increase in workload through multiskilling Increase in wages of skilled workers but decrease in unit wage/labor costs Growing informalization of jobs Increase in dualism in the labor market Shift in control over jobs to management
Non-Bargaining Roles and Social Activities
Internal Challenges
Low Membership Density
Declining Union Membership

Representativity Poor Finances
Major Sources and Uses of Funds

Sources Monthly membership subscriptions Donations from members at the time of wage revision, etc Interest on savings Contributions for political funds Uses Activities/services to members Wages and salaries of staff Travel Printing, postage, stationery, etc Legal expenditure on court fee, lawyers fee, etc Meetings, conference, campaigns, etc.
Financial Strength of Trade Unions

Critical indicators of the factors that determine the financial strength of a trade union: Composition of revenue Relative size of expenses and/or revenues Amount of surplus or deficit over a period or time Number of activities carried out by a unions own funds
External challenges
Global competition
Rapid changes in Technology

Shifting attitudes of Government Managerial Strategies and HRM Policies Assertion of their Rights by the Community and
Consumers
Leadership and organizational issues

Leadership
Changing workforce Demographics

Internal democracy Declining Union Power and Influence
Strategies for strengthening Unions and Unionism

Organize, organize, and organize. Membership
drive is most critical Expand membership base Unity within the trade union movement
NINE PRINCIPLES OF TRADE UNION UNITY

1. 2. 3. 4. 5. 6.
7.
8.
9.
Unreserved acceptance of, and respect for democratic functioning of trade unions. Regular and democratic elections of the executive bodies and office bearers Proper representation of all trades in the leading organs of the common organization. Right of every worker and trade unionist to belong to any political party of his own choice. Freedom from interference in the internal affairs of the organization by the Government, employers, and political parties. All vital decisions affecting the workers interests including important collective agreements with the employers to be endorsed by the general body of the workers. All decisions on political issues to be conditional on 75% majority. In the normal course, strike action to be taken only as a last resort and after properly ascertaining with the wishes of the workers. Sooraj R, soorajdms@gmail.com Rival unions in the same factory, industry, or undertaking be wound up either by

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Trade unions

Theoretical Foundations and Legal Framework

Theories of trade union movement

Trade unions of India

Trade unions and economic development

Indian Constitution and the Freedom of

Association Trade Unions Act, 1926 Salient Features

Definition of trade and Trade union

Trade Union Recognition

Union Recognition Agreement

The Problem of the Free Rider

Non union firms

Trade Union Structure

Models of National Trade Union Movements

Challenges Facing trade Unions

Decline in state support or state neutrality

International trade union federations

Trade Union Internationals (TUIs)

Trade Union Structure at the National Level

A union formal structure influenced by the following factors

A trade union structure has 3 dimensions

Managerial Trade Unions

Relations between Workers and Managers

National Trade Union Centers

Wings Industrial/Sectoral Federations Enterprise-level Union

Women in Trade Unions

Organizing Women Workers in the Unorganized

Role on International Trade Union Movement

A place for women at all levels of trade union

hierarchy Actions in all spheres to respond to womens needs

Monitoring Gender Equality in Trade Unions

Trade Union Unity and Trade Union Mergers

interests. It is based on the belief: United we stand, divided we fall

Management of Trade Unions of India

Trade Union Constitution

to have a constitution of its own endorsed by its members.

Essential elements of a unions constitution

Trade Union Functions

Declining Union Membership

Major Sources and Uses of Funds

Financial Strength of Trade Unions

Rapid changes in Technology

Leadership and organizational issues

Changing workforce Demographics

Strategies for strengthening Unions and Unionism

NINE PRINCIPLES OF TRADE UNION UNITY

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