1. TRADE UNIONS ACT, 1926
(Amendments in 1947, 1950,2001)
The right to form association/union is elevated as a
Fundamental right guaranteed under Art. 19(1)(c).
The recognition of workers’ right to combine/ organise
any collective action, was not at all recognised as a legal
right in India until Trade Unions Act, 1926 was passed.
It was risky to organise the workers till 1926. Such unions
were construed to be illegal combinations, were held
liable for tortious conspiracy and were compelled to pay
compensation for the financial loss sustained by the
employer.
2. The absence of organised union activities was much felt in the
beginning of 20th century
Combination among workers and joint action at least to maintain
even the starvation wages, became an unavoidable need of the
time.
Background of the Act
The pace of such organised trade union movement was
accelerated by the inflation after Ist World War.
The establishment of I.L.O in 1919 gave a morale boost to the
workers’ organisation.
The formation of the A.I.T.U.C (All India Trade Union Congress)
in 1920 by fusing 107 unions constituted an important landmark
in the history of Trade Union movement in India.
[It was not affiliated to any political party]
3. By workers’ collective action, they successfully
pressurized the imperial Govt. to enact the legislations.
A purely literal interpretations to the crucial
provisions of the Act was adopted by the Madras High
Court in 1920 to the effect that trade unions were illegal
conspiracies.
The Union officials were held liable to prosecutions
and imprisonment even for bonafide trade union
organisers.
This provoked the Indian Legislative Assembly to
adopt a resolution demanding a law for the registration
and protection of trade unions in 1921.
Finally, the Govt. was compelled to give shape to
the Indian Trade Unions Act in 1926.
4. OBJECTS AND SCOPE
The Trade Union is not limited to the workers union, but
comprehends employers association as well.
It is to protect the legitimate interests of the working class.
FEATURES OF TRADE UNIONS ACT ,1926
It legalises Trade Union [sec. 13]
It provides registration of Trade Union [sec.4-8]
Immunities of Trade Union [sec. 17-18]
Political Activities [sec.16]
Associates Outsiders [ sec.22]
Promotes Collective agreements.