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The Trade Unions Act 0F 1926. Dr A Jagan Mohan Reddy. Object & Applicability. Object – Legal framework for operation of trade unions. Norms & Procedure relating to Registration, dissolution, cancellation , alteration of rules Obligations of A Trade Union—rights & liabilities

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The trade unions act 0f 1926

The Trade Unions Act0F 1926

Dr A Jagan Mohan Reddy

Object applicability
Object & Applicability

  • Object – Legal framework for operation of trade unions.

  • Norms & Procedure relating to Registration, dissolution, cancellation , alteration of rules

  • Obligations of A Trade Union—rights & liabilities

  • Penalty in case of failure to abide by the Rules

  • Recognition of trade unions as bargaining agents (amendment act 1983)


  • Provides for registration of Trade Unions (including association of employers)

  • with a view to render Lawful Organization of Labour

  • to enable Collective Bargaining.


  • Extends to whole of India

  • Applicable to Union of Workmen & Employers

  • Central Legislation but administered by State Govt. both for Central & State sector

  • Labour Directorate on behalf of the State Govt. administers the Act

Def of trade union
Def. of Trade Union

  • Any combination, whether temporary or permanent formed for the purpose of regulating the relations between

  • Workmen & Employers

  • Workmen & Workmen

  • Employers & Employers or

  • For imposing restrictive conditions on the conduct of any


Case law
Case law

  • Rangaswamy Vs Registrar of Trade Unions, AIR 1962 Mad.231. Group of gardeners and domestic servants refused registration of their union – not employed in trade or business carried on by the employer.

  • Tamilnadu NGO’s Union Vs Registrar of Trade Unions AIR 1962 Mad 234.

    Civil servants engaged in the task of sovereign and regal functions of the Government-refused.

Trade dispute
Trade Dispute

  • Any dispute between

  • Workmen & employers

  • Workmen & workmen

  • Employers & employers connected with employment/ non employment / terms of employment /conditions of labour


  • Workmen--All persons employed in trade or industry whether or not in employment of the employer with whom the trade dispute arise

  • Executive – the body entrusted to and responsible for managing the affairs of the Trade Union

  • Office bearers—any member of the Executive

Mode of registration
Mode of Registration

  • 7 members by subscribing their names to the rules of the trade union

  • Amendment of 2001– A trade union of workmen shall have at least 10% or 100 of the total workmen as members on the date of making application.

  • If more than half applicants disassociate from membership, application to be cancelled

Application for registration sec 4
Application For Registration( Sec 4)

  • Application in prescribed with fees

  • Along with name of the trade union & address of its head office

  • Name , address, occupation of 7 applicant members

  • Details of the Office bearers

  • Rules of the Trade union

  • Statement of Assets & liabilities

Rules of the trade union sec 6
Rules of the Trade union (Sec 6)

  • Name, address, object of T.U

  • Condition of membership of T.U– both Ordinary & Honorary

  • Rate of Subscription

  • Purpose for which general fund can be spent

  • Condition of entitlement of any benefit

  • Condition of imposing fines


  • Duration of the Executive body, selection of office bearers (election/ appointment)

  • Manner of alteration/ amendment of Rules

  • Safe custody of funds, annual audit of accounts, facilities of inspection of documents by office bearers / members

  • Manner of dissolution of T.U

Membership of trade union sec 2
Membership of Trade Union (Sec 2

  • Ordinary members—persons in the trade

  • Honorary members– outsiders

  • Minor on attainment of 15 years can be a member but he cannot be an office bearer

  • Minor shall enjoy all rights of a member, execute all instruments, give all acquittances necessary

Disqualification of office bearer
Disqualification of office bearer

  • Executive Body of a T.U (office bearers)

  • Has not attained the age of 18 years

  • Has been convicted by a Court in India pf any offence involving moral turpitude and sentenced to imprisonment & unless a period of 5 years has passed since his release

Proportion of office bearers amendment of 2001
Proportion Of Office Bearers (amendment of 2001)

  • Unorganized sector– at least half of the total office bearers shall be persons engaged in the trade

  • Other Sectors — Maximum 5 or 1/3 of the total office bearers , whichever is less shall be outsiders

  • No ministers or persons holding office of profit can be an office bearer of a T.U

Registration of trade union
Registration of Trade Union

  • Registrar/ Additional/ Deputy Registrar

  • Verification of application in prescribed

  • Call for other particulars

  • Verify the name of the trade union proposed to be registered—may require change of name

  • Amendment of 2001- Membership 10%or 100 at all times

Other functions of registrar
Other functions of Registrar

  • Cancellation of Registration

  • Change of name of a Trade Union

  • Amalgamation of trade unions

  • Dissolution of a Registered trade union

  • Alteration to the Rules of the Trade union

Cancellation of t u
Cancellation of T.U

Withdrawn or cancelled by the Registrar

  • On application of T.U to be verified

  • Obtained by fraud or contravened any provisions of the Act & Rules

  • T.U. ceased to have the requisite number of members

  • Minimum 2 months previous notice by the Registrar before such cancellation stating the reasons –appeal with in 60 days

Change of name
Change of Name

  • Application by T.U

  • Consent by 2/3 members

  • In case of name being same or similar with a registered trade union , registrar shall refuse to register it , unless the name is changed.

  • Changed name shall not affect any right/ obligation of T.U.

Amalgamation of t u s
Amalgamation of T.U s

  • Two or more T.U s can be amalgamated

  • Application by Secretary & 7 members of each union

  • At least 50% of members of each union to vote

  • 60% of votes cast in favour of amalgamation

  • If , according to the Registrar, name of amalgamated T.U is identical / almost identical with the name of any registered Trade Union, the Registrar shall require the amalgamated union to change its name

  • Amalgamated T.U not to affect right / obligation to the unions amalgamated

Dissolution of t u s
Dissolution of T.U s

  • Dissolution as per the Rules of the T.U

  • Notice of dissolution signed by Secretary & 7 members

  • Effective from the date of registration

  • Funds to be divided amongst members as per Rules

Alteration of rules
Alteration of Rules

  • Partial alteration

  • Complete alteration


  • Registrar refuse to register a T.U

  • Withdrawal / Cancellation of T.U

    --- Appeal within 60 days of order of the Registrar


    High Court ( H.O of T.U within Presidency town)

    Not below the Court of ADJ

Privileges and immunities of a registered trade union
Privileges and Immunities of a Registered Trade union

On registration becomes entitled to

  • Gets perpetual succession and common seal

  • Can acquire and hold both movable and immovable property.

  • Certain acts not apply like The Societies Registration Act, 1860, The Cooperative Societies Act, 1912, The Companies Act. 1956.

Two types of funds
Two Types Of Funds

General fund of the Trade union may be spent

  • expenses incurred in payment of salaries, allowances to office bearers & other administrative expenses

  • expenses in handling trade dispute, legal proceedings

  • compensation to members for loss out of trade dispute

Constitution of a separate political fund
Constitution of a Separate Political Fund

  • Promotion of political interest of member

  • No member forced to contribute

  • No discrimination to members for non contribution to the political fund

  • Expenses for a candidate to any legislative body or local authority and maintenance of a elected representative

  • Publication of political journal

Immunity from criminal proceedings sec 17
Immunity from criminal proceedings (sec 17)

  • Immunity is granted, in respect of any agreement made between the members for the purpose of furthering the objects of trade union, from punishment under section 120B (2) of Indian panel code.

  • National Labour Relations Board V.Fansteel Metallurgical corporation, (1939) 306 US 240-sit-down strike:removal,violence-no immunity as they took into their hands

  • Pen-down strike-though stayed beyond hours not liable

Annual returns
Annual Returns

  • Sec 28

  • Annual Returns in prescribed forms having all particulars of membership, office bearers, statement of accounts

  • To be submitted within specified time

  • On failure to submit for 3 consecutive years, registration may be cancelled.

Appellate court may
Appellate court may

  • Dismiss the appeal

  • Direct the Registrar to registrar the T.U/ set aside the order of cancellation

  • Direct for issuing certificate of recognition as bargaining agent

  • Direct for cancellation of the certificate of recognition so issued

Recognition of trade union
Recognition Of Trade Union

  • Amendment Act 0f 1983—

  • election of trade unions in an industrial establishment/class of industry by secret ballot

  • Declaring bargaining agents

  • West Bengal Trade Union Rules 1998– procedure to be followed for declaring bargaining agents

Who can apply for recognition sec 28 a
Who can apply for recognition ? Sec 28 A

  • Registered Trade union

  • Function in the industry/ industrial establishment for at least 6 months before making application

  • Membership open to all

  • Appointment of office bearers annually

  • Executive meetings at least once in three months

Procedure for recognition
Procedure for Recognition (Exception- Cancellation)

  • Registrar shall give notice to other functioning trade unions (Form J) with a copy to the management

  • Date for receipt of application by other trade unions to be specified by the Registrar

  • Display it to the office notice board/ industrial establishment

  • Verification of application in Form I (Exception- Cancellation)

    (u/s 28 A) –accepted/ rejected

  • If there is only one applicant trade union, the registrar shall declare the T.U as SOLE BARGAINING Agent

  • If > 1 T.Us – Election by secret ballot

Procedure for election
Procedure for election (Exception- Cancellation)

  • Scrutiny–

    Date fixed by the Registrar 2nd day after last day of receipt of application in Form I

  • Notice in Form U

  • 1 representative from each trade union

  • Name of Election Agent to be submitted

  • Withdrawal—within 3rd day after the date of scrutiny

Allotment of symbols
Allotment of Symbols recognition , the Registrar shall hold an election

  • Contesting Trade Union is to have a symbol

  • Reserved Symbol

  • Free Symbol ( as per Schedule)

  • Same symbol chosen by more than 1 T.Us--- Decision of the Registrar is final(1st submission basis)

Role of management
Role of Management recognition , the Registrar shall hold an election

  • Required to make all arrangements for holding of election

  • Registrar to issue notice of requisition of premises, vehicles etc

  • Printing of electoral rolls/ ballot papers

  • Provide other stationeries as required by the Returning Officer.

Returning officer
Returning Officer recognition , the Registrar shall hold an election

  • Make arrangement for holding of election under the superintendence & guidance of the Registrar

  • Publication of list of contesting T.Us & Electoral Roll– Draft & Final

  • Receiving & Disposing claims / Objections

  • Arrange for polling booths/counting venues

  • Appoint Presiding & Polling Officers

  • Declare Results

List of contesting trade unions
List of Contesting Trade Unions recognition , the Registrar shall hold an election

  • Publication of the list of contesting trade unions in English , Bengali, Hindi and in Nepali and English in Darjeeling District

  • Arrangement of Name of Trade Unions at the discretion of the R.O ( arranged according to registration no.)

  • Copies to be served to Trade Unions/ management & display in office notice board.

Draft electoral roll
Draft Electoral Roll recognition , the Registrar shall hold an election

  • Publication of Draft Electoral Roll – R.O to issue notice in Form P to management/ T.Us

  • (Name / Fathers name/ Ticket No/ Token No : arranged acc to workplace)

  • --specifying date and manner of submission of claims and objection and date for hearing of the same

  • Serve copies to T.Us/management for display

Claims objection
Claims & Objection recognition , the Registrar shall hold an election

  • To be filed within 10 working days from the date of publication of Draft Electoral Roll

  • Claim for inclusion – Form Q

  • Objection to inclusion of name– Form Q1

  • Objection to a particular entry – Form Q2

  • Hearing of claims & objections

  • Corrections also could be done by R.O

Final electoral roll
Final Electoral Roll recognition , the Registrar shall hold an election

  • Publication of Final Roll by the R.O

  • Copies to be sent to the Trade unions/ management & display in office notice board

  • No Role of management as regards to the Electoral Roll

  • No alteration of the Final Electoral Roll

  • Arrangement of Polling Booths as per the Final Electoral Roll

Polling stations
Polling Stations recognition , the Registrar shall hold an election

  • At the workplace decided by the R.O.

  • Booth Notification– to be published by the R.O not later than 12 days before the day of poll

  • Specifying the venue, no of voters to vote at a particular polling booth

  • Send copies to trade unions/ management/ display in office notice board.

Procedure of voting
Procedure of Voting recognition , the Registrar shall hold an election

  • Secret Ballot

  • Ballot Paper– Name of the Trade Union & allotted symbol arranged as in the list of contesting trade unions

  • Ballot paper with serial number

  • Final Electoral Roll – no & names of voters at a polling booth & sample ballot paper to be displayed

  • Counting at the polling booths

Polling counting agents
Polling /Counting Agents recognition , the Registrar shall hold an election

  • Polling Agents– 1 for each trade union & 2 relievers/ Counting Agents– 1 for each T.U & 1 reliever

  • Application to be given on the poll day before start of poll to the Presiding Officer

  • Application to be signed by the General Secretary/ Election Agent

Results of election
Results of Election recognition , the Registrar shall hold an election

Trade Union securing

  • highest number of votes --- > 50% of total votes cast--- SOLE BARGAINING AGENT

  • > 10% of votes cast

    (industrial establishment)– JOINT

    or >15% of votes cast BARGAINING (Class of industry) COUNCIL

Joint bargaining council
Joint Bargaining Council recognition , the Registrar shall hold an election

  • T.U > 40% of the votes cast– PRINCIPAL BARGAINING AGENT

  • Constituents of a Joint Bargaining Council > 50% of votes cast --- entitled to sign an agreement

  • No agreement without Principal Bargaining Agent

  • Result of Election to be declared by the R.O

  • Registrar to issue certificate of recognition.

Thank you recognition , the Registrar shall hold an election