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TRADE UNIONS An Indian Perspective Presented By: Bharat Mahajan Geetika Kohli Sharang Dev Singh

Trade Unions- An Indian Perspective

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Page 1: Trade Unions- An Indian Perspective

TRADE UNIONSAn Indian Perspective

Presented By:Bharat Mahajan

Geetika Kohli

Sharang Dev Singh

Page 2: Trade Unions- An Indian Perspective

CONCEPT

Trade union is an association of workers formed for the purpose of protecting and improving the socio-economic status of its members through collective action.

The common feature of all unions is that the union is in theory a democratic institution. The ultimate power lies in the membership as a whole.

Page 3: Trade Unions- An Indian Perspective

DEFINITION

As per Sec 2(4) of the Indian Trade Union Act, 1926, a trade union means any combination, whether temporary or permanent, formed primarily to regulate the relations between workmen and employers or workmen and workmen or employers and employers and for imposing any restrictions, conditions or the conduct of any trade or business and include any federation of 2 or more trade unions.

Page 4: Trade Unions- An Indian Perspective

FEATURES

It is an association either of employers or employees or of independent workers. They may consist of:

Employers’ association (Employer’s Federation of India, Indian paper mill association, etc.)

General labour unions

Friendly societies

Unions of intellectual labour (All India Teachers Association etc.)

Page 5: Trade Unions- An Indian Perspective

FEATURES

It is formed on a continuous basis. It is a permanent body and not a casual or temporary one.

It is formed to protect and promote all kinds of interests– economic, political and social-of its members.

It achieves its objectives through collective action and group effort. Negotiations and collective bargaining are the tools for accomplishing objectives.

Trade unions are dynamic in character. They have evolved a great deal since their inception.

Page 6: Trade Unions- An Indian Perspective

OBJECTIVES

To establish and promote the growth of an industrial democracy based on labor partnership in the sharing of profits and of managerial decisions, so that ban individuals personality may grow its full stature for the benefit of the industry and of the country as well.

To eliminate or minimize the number of strikes, lockouts and gheraos by providing reasonable wages, improved living and working conditions, said fringe benefits.

To improve the economic conditions of workers in the existing state of industrial managements and political government.

Socialization of industries by making the state itself a major employer

Vesting of a proprietary interest of the workers in the industries in which they are employed.

Page 7: Trade Unions- An Indian Perspective

IMPORTANCE

Reduction in Industrial Disputes

High Morale

Mental Revolution

Reduced Wastage

Page 8: Trade Unions- An Indian Perspective

RATIONALE FOR PARTICIPATIONGreater Bargaining Power Minimize Discrimination Sense of Security Sense of Participation Sense of Belongingness Platform for Self Expression Betterment of Relationships

Page 9: Trade Unions- An Indian Perspective

UNION PROBLEMS

Trade union leadership Multiple unions Union rivalry Finance Illiteracy Uneven growth Low membership Heterogeneous nature of

labour Lack of interest Absence of paid office

bearers

Page 10: Trade Unions- An Indian Perspective

CRITICISM

Strategic strikes and social disruption

Unemployment Harm to Un-unionized Labour Inefficiency Cost-push Inflation Regressivity of Wealth

Redistribution

Page 11: Trade Unions- An Indian Perspective

GROWTH AND DEVELOPMENT OF THE INDIAN TRADE UNION MOVEMENT

Page 12: Trade Unions- An Indian Perspective

INDIAN TRADE UNION MOVEMENT

Trade unions in its modern sense, in India,

can be discussed in two phases:

• PRE-INDEPENDENCE (Before 1947)

• POST-INDEPENDENCE (After 1947)

Page 13: Trade Unions- An Indian Perspective

PRE-INDEPENDENCE PHASE

In ancient India, there were well-developed, efficiently organized and very active craftsmen’s guilds, which persisted well into the 18th century or even later.

Each important craft – textiles, black-smithy, gold-smithy, pottery, carving etc. – had it’s own guild and that guild regulated the hours of work of craftsmen, apprenticeship system, quality and quantity of goods to be produced prices at which they were to be sold and markets to sell them.

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PRE-INDEPENDENCE PHASE

Trade unions are essentially the product of modern large scale industry which was taking root in the later half of nineteenth century. It was an era of society, which did not have the latter, did not have the former, neither was there any need for them.

But before the unions were actually formed there were some earlier attempts, no doubt isolated and ephemeral, at articulating the protest of workers and giving expression to their demand for lessening the rigors of industrial life.

Page 15: Trade Unions- An Indian Perspective

PRE-INDEPENDENCE PHASE

However till late 19th century the workers had no trade unions.

From 1875 to 1884, the two philanthropists namely Sorbji Shapurji Bengali and N.M. Lokhande, played a magnificent role in laying the foundation of organized labour movement in India.

Page 16: Trade Unions- An Indian Perspective

PRE-INDEPENDENCE PHASE

The first workers’ meeting was convened in 1884.

Many other friendly societies cropped up, such as the Amalgamated Society of Railway Servants of India and Burma (1897), the Printers Union of Calcutta (1905), the Bombay Postal Union (1907) the Kamgar Hit Wardhak Sabha (1909) and the Social Service League (1910) etc.

Page 17: Trade Unions- An Indian Perspective

PRE-INDEPENDENCE PHASE

The period between 1919 and 1923 saw the beginning of trade union movement in India. The First World War was over and there was a depression in the socio-economic life of the people.

It marked the start of a new era, an era of growth and one in which the leadership of the trade unions was to pass from the hands of social workers into the hands of politicians.

Page 18: Trade Unions- An Indian Perspective

PRE-INDEPENDENCE PHASE

Thereafter, the workers’ organizations sprang up all over India, particularly in the jute and cotton textiles, railways, sea ports and transport workers in general.

During the period ending 1925, the number of unions increased nearly four-fold.

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PRE-INDEPENDENCE PHASE

The period between 1926-1939 is refereed to as a period of disunity among labour unions by many researchers and during this period some violent and strong strikes occurred.

The period from 1936 to 1939 witnessed a phenomenal increase in the number of registered trade unions and their membership. In 1936-1937 there were 272 unions which rose to 562 in 1938-39.

Page 20: Trade Unions- An Indian Perspective

POST-INDEPENDENCE PHASE The period immediately preceding independence

and succeeding independence of India (1947) saw the political leaders of different political ideologies vying for having a separate and their own labour wing.

The Indian National Congress which was the strongest political party formed the Indian National Trade Union Congress (INTUC) in May 1947.

Page 21: Trade Unions- An Indian Perspective

POST-INDEPENDENCE PHASE The year 1964 saw division of communists’ movement

into two political parties – the Communist Party of Indian (CPI) and Communist Party of India – Marxists (CPM).

The 70’s saw an upsurge in the unionism of white-collar workers. With the rapid growth of tertiary sector and Government’s commitment to give employment to educated unemployed, there was a phenomenal increase in the white collar workers In industrial enterprises, the white collar workers, mostly joined the already existing unions of the blue-collar workers.

Page 22: Trade Unions- An Indian Perspective

POST-INDEPENDENCE PHASE In the institutions, insurance

companies, educational institutions, hospitals, etc. new unions were formed.

The various five year plans of Government of India further boosted the growth of trade unions.

Page 23: Trade Unions- An Indian Perspective

POST-INDEPENDENCE PHASE Presently, there are 68,544 registered Trade Unions in India

with 6.9 Millions active members and average membership of 893.

The five major trade unions which account for about 75 per cent of total membership of all the trade union membership in India are as follows:

Indian National Trade Union Congress (INTUC), affiliated to the Indian National Congress (I)

HMS (Hind Mazdoor Sabha) at one time affiliated to the Socialist Party of India

Bharatiya Mazdoor Sabha (BMS), affiliated to the Bharatiya Janta Party All India Trade Union Congress (AITUC) Centre for Indian Trade Unions (CITU)

Page 24: Trade Unions- An Indian Perspective

POST-INDEPENDENCE PHASE At present there are twelve Central Trade Union

Organizations in India:

1. All India Trade Union Congress (AITUC)2. Bharatiya Mazdoor Sangh (BMS) 3. Centre of Indian Trade Unions (CITU)4. Hind Mazdoor Kisan Panchayat (HMKP)5. Hind Mazdoor Sabha (HMS)6. Indian Federation of Free Trade Unions (IFFTU)7. Indian National Trade Union Congress (INTUC)8. National Front of Indian Trade Unions (NFITU)9. National Labor Organization (NLO)10. Trade Unions Co-ordination Centre (TUCC) 11. United Trade Union Congress (UTUC) and 12. United Trade Union Congress - Lenin Sarani (UTUC - LS)

Page 25: Trade Unions- An Indian Perspective

RECENT TRENDS

White-collar workers have formed very powerful trade union organizations in recent years.

Trade unions in public sector undertakings appear to be very powerful and with an enormous bargaining power.

In large industrial establishments, there is not just one trade union but two or some times three, owing allegiance to the different political parties in the country.

Politicizing of trade unions have resulted in inter-union and intra-union rivalries in the trade union movement in India.

Page 26: Trade Unions- An Indian Perspective

RECENT TRENDS

It is observed that functions of many trade unions are becoming diversified.

Trade union bodies today are undertaking educational, recreational and health improvement programmes

Role of trade unions in making policies at the plant, industry and even at the national level is growing

Page 27: Trade Unions- An Indian Perspective

All-India Trade Union Congress (AITUC) Origin:

It was established in 1920 as result of a resolution passed by the organized workers of Bombay and the delegates which met in a conference on 31st October, 1920.

Page 28: Trade Unions- An Indian Perspective

All-India Trade Union Congress (AITUC)

Objectives:

to establish a socialist state in India;

to socialize and nationalize means of production, distribution and exchange;

to ameliorate the economic and social conditions of the working class;

to watch, promote, and further the interests, rights, and privileges of the workers in all matters relating to their employment;

Page 29: Trade Unions- An Indian Perspective

All-India Trade Union Congress (AITUC) to secure and maintain for the workers the

freedom of speech, freedom of press, freedom of association freedom of assembly, the right to strike, and the right to work and maintenance;

to co-ordinate the activities of the labour unions affiliated to the AITUC;

to abolish political or economic advantage based on caste, creed, community, race or religion;

to secure and maintain for the workers the right to strike.

Page 30: Trade Unions- An Indian Perspective

The Indian National Trade Union Congress (INTUC)

Origin:The INTUC came into existence on 4th May, 1948, as a result of the resolution passed on 17th November 1947, by the Central Board of the Hindustan Mazdoor Sevak Sangh, which was a labour leader on the Gandhian Philosophy of Sarvodaya.

Page 31: Trade Unions- An Indian Perspective

The Indian National Trade Union Congress (INTUC) Objectives:

to establish an order of society which is free from hindrances to an all-round development of its individual members, which fosters the growth of human personality in all its aspects, and which goes to the utmost limit in progressively eliminating social, political or economic exploitation and inequality, the profit motive in the economic activity and organization of society and the anti-social concentration of power in any form;

to place industry under national ownership and control in a suitable form;

to secure increasing association of workers in the administration of industry and their full participation in that control;

Page 32: Trade Unions- An Indian Perspective

The Indian National Trade Union Congress (INTUC) to organize society in such a manner as to ensure full

employment and the best utilization of its manpower and other resources;

to promote social, civic and political interest of the working class;

to establish just industrial relations;

to secure redressal of grievances, without stoppage of work, by means of negotiation, conciliation, and failing these, arbitration and adjudication;

to take other legislative methods, including strikes or any suitable form of satyagraha, where adjudication is not applied and settlement of disputes within reasonable time by arbitration is not available for the redress of grievances;

Page 33: Trade Unions- An Indian Perspective

The Indian National Trade Union Congress (INTUC) to make necessary arrangement for the

efficient conduct and satisfactory and speedy conclusion of authorized strikes or satyagraha;

to foster the spirit of solidarity, service, brotherhood, co-operation and mutual help among the workers;

to develop in the workers a sense of responsibility towards industry and the community;

to raise the worker’s standard of efficiency and discipline.

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United Trade Union Congress (UTUC) Origin:

Some trade union leaders of the socialist bent met together December 1948 to form a new central organization of labour, called Hind Mazdoor Sabha.

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United Trade Union Congress (UTUC) Objectives:

to establish a socialist society in India;

to establish a workers’ and peasants’ state in India;

to nationalize and socialize the means of production, distribution and exchange;

to safeguard and promote the interests, rights, and privileges to the workers in all matters, social, cultural, economic and political;

to secure and maintain workers’ freedom of speech, freedom of press, freedom of association, freedom of assembly, right to strike, right to work or maintenance and the right to social security;

to bring about unity in the trade union movement.

Page 36: Trade Unions- An Indian Perspective

Bhartiya Mazdoor Sangh (BMS) Origin:

This union has been the outcome of decision taken by the Jana Sangh in its Convention at Bhopal on 23rd July, 1954.

Page 37: Trade Unions- An Indian Perspective

Bhartiya Mazdoor Sangh (BMS)

Objectives:

to establish the Bhartiya order of classless society in which there shall be secured full employment;

to assist workers in organizing themselves in trade unions as medium of service to the motherland irrespective of faiths and political affinities;

the right to strike;

to inculcate in the minds of the workers the spirit of service, co-operation and dutifulness and develop in them a sense of responsibility towards the nation in general and the industry in particular.

The BMS is a productivity-oriented non-political trade union. Its ideological basis is the triple formula:

nationalize the labour;

labourise the industry;

industrialize the nation;

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National Front of Indian Trade Unions (NFITU) Origin:

This union was founded in 1967, with the claim that “this trade union of India is not controlled by any of the political party, employers or government.”

Page 39: Trade Unions- An Indian Perspective

National Front of Indian Trade Unions (NFITU) Objectives:

to organize and unite trade unions with the object of building up a National Central Organisation of trade unions, independent of political parties, employers and the government, to further the cause of labour and that of national solidarity security and defence of India, and to make the working people conscious of their right as well as of obligations in all spheres of life;

to secure to members of trade unions full facilities of recognition and effective representation of interests of workers and to ensure for the working people fair conditions of life and service and progressively to raise their social, economic and cultural state and conditions;

to help in every possible way member trade unions in their fight to raise real wages of the workers;

to endeavour to secure for members of affiliated trade unions adoption of progressive legislation for their welfare and to ensure the effective environment of the rights and interests of members of affiliated trade unions and for the working people in general.

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Centre of Indian Trade Union (CITU)

Origin:

This union was formed in 1970 when as a result of the rift in the AITUC, some members of the Communist party seceded.

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Centre of Indian Trade Union (CITU) Objectives:

The CITU believes that the exploitation of the working class can be ended only by socializing all means of production, distribution and exchange and establishing a socialist state, that is, it stands for the complete emancipation of the society from all exploitation.

The CITU fights against all encroachments on the economic and social rights of the workers and the enlargement of their rights and liberties including the right to strike, for winning, defending and extending the freedom of the democratic trade union movement.

In the fight for the immediate interest of the working class the CITU demands: (a) nationalization of all foreign monopoly concerns who barbarously exploit the working class; (b) nationalization of all concerns owned by Indian monopolists and big industry who garner huge profits at the expenses of the workers, who exploit the people by pegging prices at a high level and who dictate the anti-labour and anti-people policies of the government.

The CITU fights against the repressive policy of the government towards the democratic and trade union movement.

Page 42: Trade Unions- An Indian Perspective