Trade Unionism Self-Study Notes 2025
Unit 1: Introduction to Trade Unionism
Section 1: 1-Mark Questions
Multiple Choice Questions (MCQs):
1). The Trade Unions Act in India was passed in: a) 1923 b) 1924 c) 1925 d) 1926
Answer: d) 1926
2). The first trade union federation in India was: a) INTUC b) AITUC c) HMS d) NLO
Answer: b) AITUC
3). The primary function of a trade union is to: a) Promote national integration b) Safeguard and promote workers’ interests c) Manage employer associations d) Enforce government policies
Answer: b) Safeguard and promote workers’ interests
4). Craft unions are different from industrial unions because they: a) Include workers from multiple industries b) Focus on workers with specific skills c) Are formed by employers d) Operate only in the public sector
Answer: b) Focus on workers with specific skills
5). Which of the following is a problem faced by Indian trade unions? a) Excessive government support b) Lack of unity among workers c) Overfunding d) Too many legal protections
Answer: b) Lack of unity among workers
True/False:
1). Trade unions aim to negotiate better wages and working conditions for their members.
Answer: True
2). The Trade Unions Act, 1926 mandates the recognition of trade unions by employers.
Answer: False
3). Craft unions cover workers from different industries and crafts.
Answer: False
4). Recognition of a trade union enhances its bargaining power with employers.
Answer: True
5). Political interference is not a problem faced by Indian trade unions.
Answer: False
Fill in the Blanks:
1). The Trade Unions Act was enacted in the year _______.
Answer: 1926
2). A trade union formed by workers with a specific skill set is called a _______ union.
Answer: Craft
3). One of the major problems of Indian trade unions is the _______ of trade unions.
Answer: Multiplicity
4). The process of verifying the membership of a trade union for recognition is known as _______.
Answer: Verification
5). The primary objective of trade unions is to protect and promote the _______ of workers.
Answer: Interests
Section 2: Short Notes (4 Marks)
1). Concept of Trade Unionism
Answer: Trade unionism refers to the collective organization of workers formed to protect and promote their common interests, particularly concerning wages, working conditions, and other employment-related matters. The primary objective is to provide a unified platform for workers to engage in collective bargaining with employers, ensuring fair treatment and equitable policies in the workplace. In India, trade unionism has its roots in the early 20th century, evolving as a response to industrialization and the need for labor to have a collective voice. The Trade Unions Act of 1926 was a significant milestone, providing legal recognition and a framework for the functioning of trade unions in the country.
2). Functions of Trade Unions
Answer: Trade unions perform several critical functions aimed at enhancing the well-being of workers:
Protective Functions: Safeguarding workers against unfair labor practices, ensuring job security, and advocating for safe working conditions.
Economic Functions: Negotiating for better wages, bonuses, and benefits through collective bargaining, thereby improving the economic status of members.
Political Functions: Engaging in political activities to influence labor laws and policies that affect workers' rights and interests.
Welfare Functions: Providing support services such as education, healthcare, and recreational facilities to enhance the quality of life for members and their families.
Educational Functions: Organizing training programs and workshops to improve the skills and knowledge of workers, promoting personal and professional development.
These functions collectively contribute to the holistic development and empowerment of the workforce.
3). Objectives of Trade Unions
Answer: The primary objectives of trade unions include:
Ensuring Fair Wages: Advocating for remuneration that reflects the work performed and meets the cost of living.
Improving Working Conditions: Striving for safe, healthy, and conducive work environments.
Securing Job Security: Protecting workers from arbitrary layoffs and ensuring stable employment.
Promoting Worker Welfare: Facilitating access to social security benefits, healthcare, and educational opportunities.
Encouraging Worker Participation: Involving workers in decision-making processes that affect their work and livelihoods.
These objectives aim to create a balanced and fair relationship between employers and employees, fostering industrial harmony.
4). Structure of Trade Unions
Answer: The structure of trade unions in India is typically organized at multiple levels:
Plant-Level Unions: These are unions operating within a single establishment or factory, addressing local issues specific to that workplace.
Regional or Industry-Level Unions: Unions that represent workers from a specific industry within a particular region, focusing on industry-wide concerns.
National Federations: Umbrella organizations that encompass various industry-level unions across the country, engaging in broader labor movements and policy advocacy.
This hierarchical structure allows for addressing issues at appropriate levels, from localized workplace matters to national labor policies.
5). Recognition of Trade Unions
Recognition of trade unions refers to the formal acceptance by employers of a union as the representative body of workers for collective bargaining purposes. In India, while the Trade Unions Act of 1926 provides for the registration of trade unions, it does not mandate their recognition by employers. Recognition is often achieved through a process of verification of membership, and in some cases, through voluntary agreements or as stipulated by specific labor laws. Recognized unions gain the authority to negotiate with employers on behalf of the workers, playing a crucial role in industrial relations.
6). Problems of Indian Trade Unions
Answer: Indian trade unions face several challenges:
Multiplicity of Unions: The presence of numerous unions within a single industry or establishment often leads to inter-union rivalry and weakens collective bargaining power.
Political Influence: Many unions are affiliated with political parties, leading to the politicization of labor issues and sometimes diverting focus from workers' interests.
Financial Weakness: Limited financial resources hinder the ability of unions to effectively support their members and sustain prolonged industrial actions.
Lack of Balanced Growth: Trade unionism is often concentrated in certain sectors, leaving vast areas like agriculture and small-scale industries largely unorganized.
Inadequate Leadership: Leadership in some unions may lack proper training and experience, affecting the efficiency and effectiveness of the union's operations.
Addressing these issues is essential for strengthening the trade union movement in India.
7). Craft Unions vs. Industrial Unions
Answer: Trade unions can be categorized based on their membership composition:
Craft Unions: These unions represent workers who have a specific skill or trade, regardless of the industry they work in. For example, electricians or carpenters may form their own unions focusing on their particular craft.
Industrial Unions: These unions represent all workers within a particular industry, regardless of the specific jobs or skills they possess. For instance, all workers in the automobile industry, from assembly line workers to clerical staff, may be part of the same union.
The choice between craft and industrial unionism affects the bargaining strategies and solidarity among workers.
Additionally Just for Knowledge indepth:
Difference between Craft Unions and Industrial Unions
Strengths of Craft Unions:
High skill power: Skilled workers, such as electricians or machinists, have higher bargaining power due to their specialized skills.
Better unity: All members share similar training and job roles, leading to stronger solidarity.
Focused bargaining: Craft unions can negotiate specifically for issues that matter to skilled workers, such as wages, safety standards, and job security.
Job protection: Skilled workers are often in demand, making it easier for unions to protect their job positions.
Weaknesses of Craft Unions:
Limited scope: Craft unions only represent skilled workers, leaving other workers (like semi-skilled or unskilled) without representation.
Narrow focus: Craft unions might miss broader issues that affect the entire industry or organization.
Lack of coordination: If multiple craft unions exist within the same organization, it can create division and lack of coordination between groups.
Conflict with industrial unions: Craft unions may compete with industrial unions over who represents the workers, leading to potential conflicts.
8). Methods of Verification of Trade Union Membership
Answer: Verifying the membership of trade unions is crucial for determining their representative status. In India, common methods include:
Check-off System: In this method, union dues are automatically deducted from members' wages by the employer and transferred to the respective trade union. The amount of dues collected serves as an indicator of the union's membership strength. While this system provides a straightforward mechanism for membership verification, it requires the consent of both the employer and the employees.
Secret Ballot: This approach involves conducting elections where workers vote anonymously to indicate their union affiliation or preference. The union receiving the majority of votes is recognized as the representative body. The secret ballot method is lauded for its democratic nature and is utilized in various Indian states for union recognition.
Physical Verification: This process entails a detailed examination of union membership records, including claim lists, fee books, and account books. Authorities cross-check these documents to identify and eliminate duplicate or fraudulent memberships. Physical verification is thorough but can be time-consuming and resource-intensive.
Each of these methods has its advantages and challenges, and the choice of method may depend on the specific context, legal framework, and agreements between employers and unions. Implementing an effective verification process is crucial for maintaining industrial harmony and ensuring that workers' collective bargaining rights are upheld.
Section 3: Questions Carrying 14 Marks
1. Explain the concept and functions of trade unions. (Dibrugarh University BCom 2014, 2016)
Answer: A trade union is an organisation formed by workers or employees to protect their interests and improve their working conditions. Trade unions work to solve issues like low wages, long working hours, poor working conditions, and unfair treatment at workplaces. They represent the voice of workers and help them negotiate with employers.
Functions of Trade Unions:
Protecting workers' rights: Trade unions fight for fair wages, job security, and safe working conditions.
Collective bargaining: They negotiate with employers for better pay, working hours, and benefits.
Settling disputes: Trade unions help resolve conflicts between employees and employers through discussions and agreements.
Legal support: They provide legal help to workers if they face problems like wrongful dismissal or harassment.
Promoting welfare: Unions may offer benefits like education, training, medical help, or housing for members.
Encouraging unity: They bring workers together and create a sense of unity and strength.
Raising awareness: Trade unions educate workers about their rights and labour laws.
Supporting labour laws: They ensure that employers follow labour laws and government policies.
2. Define trade union. What are the advantages and disadvantages of trade unions? (Dibrugarh University BCom 2017)
Answer: A trade union is a group or association of workers formed to protect their rights, improve their working conditions, and promote their welfare by collective efforts and negotiations with employers.
Advantages of Trade Unions:
Better wages and benefits: Trade unions help workers get fair salaries, bonuses, and benefits.
Job security: They protect workers from sudden job loss or unfair treatment.
Improved working conditions: Unions ensure safe and healthy working environments.
Legal support: Workers get help in legal matters related to work.
Collective strength: Workers become stronger as a group and can voice their issues better.
Skill development: Some unions provide training and education to their members.
Disadvantages of Trade Unions:
Strikes and protests: Sometimes unions go on strikes, which can stop work and lead to losses for both employers and workers.
Unfair demands: Unions may sometimes make demands that are difficult for employers to fulfill.
Political influence: Some unions are influenced by political parties, which may affect their main goal of worker welfare.
Less productivity: Strong union rules may reduce individual performance or discourage hard work.
Membership fees: Workers have to pay regular fees to stay members, which can be a burden for low-income workers.
3. Discuss the objectives and structure of trade unions. (Dibrugarh University BCom 2015, 2022, 2024 Sessional)
Answer: Objectives of Trade Unions: The main aim of a trade union is to protect and promote the interests of workers. Below are the important objectives:
Improve working conditions: Trade unions fight for safe, clean, and healthy work environments.
Increase wages and benefits: They aim to get better pay, bonuses, and facilities like medical aid, housing, etc., for workers.
Job security: Trade unions try to ensure that workers are not removed from jobs unfairly.
Protect workers’ rights: They protect workers from exploitation, harassment, and unfair treatment by employers.
Legal support and representation: Trade unions support workers in legal matters, especially in cases of dismissal or disputes.
Promote unity among workers: They encourage cooperation and unity to make workers stronger as a group.
Participate in policy-making: Some unions take part in forming labour laws and policies through government or employer discussions.
Improve worker welfare: They work for the overall development of workers—education, health, skill training, etc.
Structure of Trade Unions: Trade unions usually have a proper structure or organisation to carry out their functions smoothly. The structure may vary depending on the size and level of the union.
Primary or Local Union:
This is the base level formed by workers in a particular factory, industry, or organisation.
It includes general members and office bearers like President, Secretary, and Treasurer.
District or Regional Union:
These unions are formed by combining several local unions within a district or region.
They provide guidance and support to smaller local unions.
Federation or State-level Union:
This is a group of regional unions across a state.
It works to solve broader issues and influence state-level labour laws.
National Trade Union:
These are at the top level and represent workers from all over the country.
Examples: INTUC, AITUC, CITU, etc.
They deal with national-level worker issues and influence government policy.
International Labour Organisations: Some trade unions also associate with international bodies like ILO (International Labour Organization) to represent workers on a global level.
4. What is meant by recognition of a Trade Union? Discuss the rights of recognised Trade Unions. (Dibrugarh University BCom 2016, 2023)
Answer: Recognition of a Trade Union: Recognition of a trade union means the formal acceptance of a trade union by an employer or the government. A recognised trade union is considered as the official representative of the workers in a particular organisation or industry. Recognition gives legal status and the power to bargain with the employer on behalf of all the workers.
Recognition can be:
Voluntary (employer accepts the union by choice)
Statutory (as per law, if a union meets certain conditions)
Usually, a union is recognised if it has a certain percentage of the total workers as its members (e.g., 30% or more).
Rights of Recognised Trade Unions:
Right to collective bargaining:
The union can represent workers in discussions and negotiations with employers for better wages, hours, and working conditions.
Right to represent workers in disputes:
Recognised unions can raise issues and complaints of workers before management or labour courts.
Right to receive information:
Employers must share important information about business performance, plans, etc., with recognised unions.
Right to speak for all employees:
Even workers who are not union members may be represented by the recognised union in certain cases.
Right to attend grievance meetings:
The union can take part in meetings where employee complaints are discussed.
Right to take part in policy discussions:
Recognised unions may be consulted while forming company rules or disciplinary procedures.
Right to participate in committees:
Recognised unions may be included in welfare committees, safety committees, or works committees.
Right to call for strikes or protests:
If needed, they can organise lawful strikes after following proper legal procedures.
5. What are craft unions? How are they different from industrial unions? Elaborate the strengths and weaknesses of craft unions. (Dibrugarh University BCom 2023 Sessional, 2024)
Answer: Craft Unions: A craft union is a type of trade union formed by workers who are engaged in the same type of skilled work or craft, such as electricians, carpenters, plumbers, machinists, etc. These workers usually have special training or certifications in their craft and belong to different organisations or industries, but they form a single union based on their common skill.
Difference between Craft Unions and Industrial Unions:
Difference between Craft Unions and Industrial Unions:
Strengths of Craft Unions:
High skill power: Skilled workers have more bargaining power due to their expertise.
Better unity among members: All members share a similar background and work type, leading to stronger unity.
Focused goals: Craft unions deal with specific issues related to their trade, making them more effective in problem-solving.
Job protection: They can strongly negotiate for better wages and working conditions because their skills are often in demand.
Professional development: These unions often promote training and certification among their members.
Weaknesses of Craft Unions:
Limited membership: Only specific skilled workers can join, leaving others unrepresented.
Narrow focus: They may not address broader industry-level issues.
Lack of coordination: When multiple craft unions exist in one company, they may not work together effectively.
Conflict with industrial unions: Sometimes, craft unions may clash with industrial unions over representation and leadership.
Less inclusive: Unskilled and semi-skilled workers are usually left out.
6. What do you understand by recognition of trade unions? Why is it relevant? What are the usual methods for verification of the membership of trade unions? (Dibrugarh University BCom 2024)
Answer: Recognition of Trade Unions: Recognition of a trade union means officially accepting a union as the representative of workers in an organisation or industry. This recognition can be given by the employer or by law. A recognised union can legally speak and negotiate on behalf of all or most employees.
Relevance (Importance) of Recognition:
Legal status: Recognition gives the union legal power to represent workers in official matters.
Collective bargaining: Recognised unions can negotiate wages, benefits, and work conditions with employers.
Dispute resolution: They help settle disputes between workers and management efficiently.
Worker representation: Recognised unions act as the voice of employees in company decisions.
Improved labour relations: Recognition improves communication between workers and employers.
Ensures discipline: Recognised unions follow certain rules, which helps maintain order in industrial relations.
Participation in committees: They may be included in works committees, safety committees, and welfare boards.
Usual Methods for Verification of Membership:
Check-off system:
In this method, union membership fees are deducted directly from workers’ wages with their permission.
This helps track how many workers officially support the union.
Secret ballot (voting):
Workers vote in a secret election to choose which union should represent them.
The union that gets the majority vote is recognised.
Membership verification by records: Labour authorities may check the union’s membership records, such as signed forms, lists, and attendance at meetings.
Government inspection: A labour officer or authorised person may be assigned to inspect and confirm the number of active union members.
7. Explain briefly the problems of trade unions in India. What measures can you suggest to overcome these problems? (Dibrugarh University BCom 2014, 2015, 2017, 2023)
Answer: Problems of Trade Unions in India:
Multiplicity of Unions: Too many unions exist within a single industry or company, often with conflicting interests. This weakens the strength of the workers’ voice.
Political Interference: Many trade unions are affiliated with political parties, leading to biased decisions that favour political agendas rather than workers’ welfare.
Lack of Unity: Internal conflicts and rivalry among union leaders reduce the effectiveness of trade unions.
Poor Leadership: Many unions are run by leaders who lack proper knowledge or training in labour laws, bargaining techniques, and management skills.
Low Membership: In many sectors, a small percentage of workers are union members, which weakens collective bargaining power.
Financial Weakness: Unions often lack sufficient funds due to irregular or low subscription fees, affecting their functioning and support services.
Unorganised Sector Problems: A large number of workers in India are in the unorganised sector and are not part of any union, leaving them unprotected.
Employers' Resistance: Many employers oppose the formation or recognition of unions, using threats or incentives to discourage workers.
Lack of Education and Awareness: Many workers, especially in rural areas, are not aware of their rights or the role of unions.
Measures to Overcome These Problems:
One union – one industry policy: Encourage a single strong union per industry to avoid rivalry and confusion.
Training and Education: Provide training to union leaders and workers about laws, leadership, and negotiation.
Legal reforms: Simplify and strengthen labour laws to protect and empower trade unions.
Limit Political Control: Make unions independent from political parties to focus on workers' welfare.
Support for Unorganised Workers: Promote unionisation and support for workers in the informal sector.
Awareness Campaigns: Spread awareness among workers about the benefits of union membership and their legal rights.
Financial Assistance: Encourage proper collection and use of membership fees and provide government support when needed.
8. Trace the origin and development of trade unionism in India. (Dibrugarh University BCom 2014, 2017)
Answer: Origin of Trade Unionism in India:
Pre-1920 period:
The growth of trade unions in India began during British rule due to poor working conditions, long hours, and low wages.
The first known labour movement was the Bombay Mill Hands Association formed in 1890 by N.M. Lokhande.
Early 20th Century:
As industrialisation grew, several small unions were formed in cities like Bombay, Calcutta, and Madras.
In 1918, B.P. Wadia formed the Madras Labour Union, considered one of the first trade unions in India.
Development of Trade Unionism:
Formation of AITUC (1920):
The All India Trade Union Congress (AITUC) was formed in 1920 as the first national-level trade union body.
Important leaders included Lala Lajpat Rai and N.M. Joshi.
Trade Unions Act, 1926:
Legal recognition of trade unions was given through the Trade Unions Act, which allowed registration and protection of unions.
1930s to 1940s:
The trade union movement grew stronger, with the rise of political parties.
Unions like INTUC (Indian National Trade Union Congress) and AITUC became active.
Post-Independence Period: Many new national-level trade unions were formed:
INTUC (1947) – Congress Party
HMS (1948) – Socialist
CITU (1970) – Communist
BMS (1955) – RSS-backed
Present Scenario:
Trade unions today face new challenges like globalisation, privatisation, and informal employment.
However, they continue to play a key role in collective bargaining, worker safety, and legal rights.
9. Discuss the role of trade unions in improving the working conditions of Indian workers. (Dibrugarh University BCom)
Answer: Trade unions play a very important role in improving the working conditions of Indian workers. Their main aim is to protect the interests of workers and ensure they get fair treatment from employers.
Roles of Trade Unions in Improving Working Conditions:
Collective Bargaining: Trade unions negotiate with employers on behalf of workers to improve wages, working hours, leave policies, and other employment conditions.
Improvement of Workplace Safety: They demand safe and healthy working environments, proper ventilation, lighting, sanitation, and safety equipment in factories and offices.
Job Security: Unions fight against unfair dismissals, retrenchment, and layoffs, ensuring workers have stable jobs.
Better Wages and Benefits: They play a key role in increasing wages, bonuses, and other benefits like housing, medical aid, and retirement plans.
Regulation of Working Hours: Unions help enforce laws related to 8-hour work days, overtime payment, and weekly holidays.
Promotion of Welfare Measures: They promote welfare facilities like canteens, transport, recreation, and education for workers and their families.
Protection from Exploitation: Trade unions protect workers from being exploited by ensuring laws like Minimum Wages Act, Factories Act, and others are followed.
Grievance Redressal: Unions act as a platform for workers to voice their complaints and seek solutions for workplace issues.
Support for Unorganised Sector Workers: In recent times, unions have started helping workers in informal jobs to get basic rights and protections.
Legal Aid and Education: Unions often provide legal help to workers and educate them about their rights and duties.
Conclusion: Trade unions are essential for improving the life of workers in India. With their support, workers can work in safer, fairer, and more respectful environments.
10. Explain the significance of trade unionism in the context of industrial relations in India. (Dibrugarh University BCom)
Answer: Trade unionism plays a major role in shaping industrial relations in India. Industrial relations refer to the relationship between employers, employees, and the government.
Significance of Trade Unionism in Industrial Relations:
Promotes Industrial Peace: Trade unions help maintain harmony between workers and management by solving disputes through negotiation and discussions.
Encourages Collective Bargaining: Through collective bargaining, unions ensure fair wages, working hours, and good employment conditions, reducing chances of conflicts.
Protects Workers’ Rights: Trade unions protect workers from exploitation, discrimination, and unfair treatment at the workplace.
Acts as a Communication Bridge: Unions act as a link between workers and management, ensuring both sides understand each other's needs and concerns.
Dispute Resolution: Trade unions help in solving labour disputes peacefully through mediation and arbitration, avoiding strikes and lockouts.
Promotes Workers’ Participation in Management: They encourage involvement of workers in decision-making, which builds trust and improves productivity.
Strengthens Labour Laws: Trade unions push for stronger labour laws and policies that benefit workers and improve industrial relations.
Supports Social Justice: Unions play a role in fighting social injustice and ensuring equal treatment of all workers regardless of caste, gender, or background.
Helps in Economic Development: Peaceful industrial relations lead to higher productivity and growth of industries, contributing to the economy.
Worker Empowerment: Through education and awareness, trade unions empower workers to stand up for their rights and demand fair treatment.
Conclusion: Trade unionism is very important in India’s industrial relations system. It ensures cooperation, fairness, and stability in workplaces, which helps both employees and employers.
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