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Corporate Business & Law
GROUP PROJECT REPORT
Group Members :
1. Syed Ziyad bin Hasan (11091)
2. Muhammad Hamza Zahid (11112)
3. Muhammad Daniyal Khan (10864)
4. Qasim Javed Cheema (60778)
Faculty Name
Mam Attia.
Introduction
The origins of unions’ existence can be traced back to the 18th century when the rapid
expansion of industrial society attracted women, children, and immigrants to the
workforce in large numbers. The pool of unskilled and semi-skilled labor spontaneously
organized themselves in fits and starts throughout its beginning, and would later
become an important place for the development of trade unions. Trade unions were
also endorsed by the Catholic Church towards the end of the 19th Century.
Today, we live in a world where workers have assumed great importance. Employers
have started to realize the importance of workers. The employees too have started to
form Trade Unions to protect their interests. Bosses around the world have recognized
that the best way to resolve issues is by way of dialogue.
The employees have realized that to protect themselves from exploitation, unity is very
important. This is one of the reasons why trade unions have become so important
today.
Trade Union:
A trade union is an organization made up of members (a membership-based
organization) and its membership must be made up mainly of workers. One of the trade
union’s main aims is to protect and advance the interests of its members in the
workplace. Trade unions: negotiate agreements with employers on pay and conditions.
two conflicting views of the trade-union movement strove for ascendancy in the
nineteenth century: one the defensive-restrictive guild-craft tradition passed down
through journeymen's clubs and friendly societies, the other the aggressive-
expansionist drive to unite all laboring men and women' for a different order of things
History:
The origins of trade unions can be traced back to 18th century Britain, where the rapid
expansion of industrial society then taking place drew women, children, rural workers,
and immigrants into the workforce in large numbers and new roles. They encountered a
large hostility in their early existence from employers and government groups; at the
time, unions and unionists were regularly prosecuted under various restraint of trade
and conspiracy statutes. This pool of unskilled and semi-skilled labor spontaneously
organized in fits and starts throughout its beginnings, and would later be an important
arena for the development of trade unions. Trade unions have sometimes been seen as
successors to the guilds of medieval Europe, though the relationship between the two is
disputed, as the masters of the guilds employed workers (apprentices and journeymen)
who were not allowed to organize.
Trade unions and collective bargaining were outlawed from no later than the middle of
the 14th century when the Ordinance of Labourers was enacted in the Kingdom of
England, but their way of thinking was the one that endured down the centuries,
inspiring evolutions and advances in thinking which eventually gave workers their
necessary rights. As collective bargaining and early worker unions grew with the onset
of the Industrial Revolution, the government began to clamp down on what it saw as the
danger of popular unrest at the time of the Napoleonic Wars. In 1799, the Combination
Act was passed, which banned trade unions and collective bargaining by British
workers. Although the unions were subject to often severe repression until 1824, they
were already widespread in cities such as London. Workplace militancy had also
manifested itself as Luddism and had been prominent in struggles such as the 1820
Rising in Scotland, in which 60,000 workers went on a general strike, which was soon
crushed. Sympathy for the plight of the workers brought repeal of the acts in 1824,
although the Combination Act 1825 severely restricted their activity.
By the 1810s, the first labor organizations to bring together workers of divergent
occupations were formed. Possibly the first such union was the General Union of
Trades, also known as the Philanthropic Society, founded in 1818 in Manchester. The
latter name was to hide the organization's real purpose in a time when trade unions
were still illegal.
Trade Union By Country:
Australia
The Australian labor movement generally sought to end child labor practices,
improve worker safety, increase wages for both union workers and non-union workers,
raise the entire society's standard of living, reduce the hours in a workweek, provide
public education for children, and bring other benefits to working-class families.
Melbourne Trades Hall was opened in 1859 with Trades and Labour
Councils and Trades Halls opening in all cities and most regional towns in the next forty
years. During the 1880s Trade unions developed among shearers, miners,
and stevedores (wharf workers), but soon spread to cover almost all blue-collar jobs.
Shortages of labor led to high wages for a prosperous skilled working class, whose
unions demanded and got an eight-hour day and other benefits unheard of in Europe.
Australia gained a reputation as "the working man's paradise." Some employers tried to
undercut the unions by importing Chinese labor. This produced a reaction that led to all
the colonies restricting Chinese and other Asian immigration. This was the foundation of
the White Australia Policy. The "Australian compact", based around centralized
industrial arbitration, a degree of government assistance particularly for primary
industries, and White Australia, was to continue for many years before gradually
dissolving in the second half of the 20th century.
In the 1870s and 1880s, the growing trade union movement began a series of protests
against foreign labor. They argued that Asians and Chinese took jobs away from white
men, worked for "substandard" wages, lowered working conditions, and refused
unionization.
Objections to these arguments came largely from wealthy landowners in rural
areas.[15] It was argued that without Asiatics to work in the tropical areas of the Northern
Territory and Queensland, the area would have to be abandoned. Despite these
objections to restricting immigration, between 1875 and 1888 all Australian colonies
enacted legislation that excluded all further Chinese immigration. Asian immigrants
already residing in the Australian colonies were not expelled and retained the same
rights as their Anglo and Southern compatriots.
The Barton Government which came to power after the first elections to the
Commonwealth parliament in 1901 was formed by the Protectionist Party with the
support of the Australian Labor Party. The support of the Labor Party was contingent
upon restricting non-white immigration, reflecting the attitudes of the Australian Workers
Union and other labor organizations at the time, upon whose support the Labor Party
was founded.
Canada:
Canada's first trade union, the Labourers' Benevolent Association (now International
Longshoremen's Association Local 273), formed in Saint John, New Brunswick in 1849.
The union was formed when Saint John's longshoremen banded together to lobby for
regular pay and a shorter workday. Canadian unionism had early ties with Britain and
Ireland. Tradesmen who came from Britain brought traditions of the British trade union
movement, and many British unions had branches in Canada. Canadian unionism's ties
with the United States eventually replaced those with Britain.
Collective bargaining was first recognized in 1945, after the strike by the United Auto
Workers at the General Motors' plant in Oshawa, Ontario. Justice Ivan Rand issued a
landmark legal decision after the strike in Windsor, Ontario, involving
17,000 Ford workers. He granted the union the compulsory check-off of union dues.
Rand ruled that all workers in a bargaining unit benefit from a union-negotiated contract.
Therefore, he reasoned they must pay union dues, although they do not have to join the
union.
The post-World War II era also saw an increased pattern of unionization in the public
service. Teachers, nurses, social workers, professors, and cultural workers (those
employed in museums, orchestras, and art galleries) all sought private-sector collective
bargaining rights. The Canadian Labour Congress was founded in 1956 as the national
trade union center for Canada.
In the 1970s the federal government came under intense pressure to curtail labor cost
and inflation. In 1975, the Liberal government of Pierre Trudeau introduced mandatory
price and wage controls. Under the new law, wage increases were monitored and those
ruled to be unacceptably high were rolled back by the government.
Pressures on unions continued into the 1980s and '90s. Private sector unions faced
plant closures in many manufacturing industries and demands to reduce wages and
increase productivity. Public sector unions came under attack by federal and provincial
governments as they attempted to reduce spending, reduce taxes, and balance
budgets. The legislation was introduced in many jurisdictions reversing union collective
bargaining rights, and many jobs were lost to contractors.
Prominent domestic unions in Canada include ACTRA, the Canadian Union of Postal
Workers, the Canadian Union of Public Employees, the Public Service Alliance of
Canada, the National Union of Public and General Employees, and Unifor. International
unions active in Canada include the International Alliance of Theatrical Stage
Employees, United Automobile Workers, United Food and Commercial Workers,
and United Steelworkers.
Costa Rica:
Costa Rican agriculture unions demonstration, January 2011
In Costa Rica, trade unions first appeared in the late 1800s to support workers in a
variety of urban and industrial jobs, such as railroad builders and craft
tradesmen.[32] After facing violent repression, such as during the 1934 United Fruit
Strike, unions gained more power after the 1948 Costa Rican Civil War. Today, Costa
Rican unions are strongest in the public sector, including the fields of education and
medicine, but also have a strong presence in the agricultural sector. In general, Costa
Rican unions support government regulation of the banking, medical, and education
fields, as well as improved wages and working conditions.
Spain
During the Spanish civil war anarchists, and syndicalists took control over much of
Spain. Implementing worker control through a system of libertarian socialism with
organizations like the anarcho-syndicalist CNT organizing throughout Spain. Unions
were particularly present in Revolutionary Catalonia, in which anarchists were already
the basis for most of society with over 90% of industries being organized through work
cooperatives. The republicans, anarchists, and leftists would later lose control over
Spain, with Francisco Franco becoming dictator of Spain.
During the fascist regime of Spain, the Francoist regime saw the worker movement and
union movement as a threat, Franco banned all existing trade unions and set up the
government-controlled Spanish Syndical Organization as the only legal Spanish trade
union, with the organization existing to maintain Franco's power.
Many anarchists, communists, and leftists turned towards insurgent tactics as Franco
implemented wide-reaching authoritarian policies, with the CNT and other unions being
forced underground. Anarchists would operate covertly setting up local organizations
and underground movements to challenge Franco. On the 20 of December,
the ETA assassinated Luis Carrero. The death of Carrero Blanco had numerous political
implications. By the end of 1973, the physical health of Francisco Franco had declined
significantly, and it epitomized the final crisis of the Francoist regime. After his death,
the most conservative sector of the Francoist State, known as the búnker, wanted to
influence Franco so that he would choose an ultraconservative as Prime Minister.
Finally, he chose Carlos Arias Navarro, who originally announced a partial relaxation of
the most rigid aspects of the Francoist State, but quickly retreated under pressure from
the búnker. After Franco's death, Arias Navarro began relaxing Spanish
authoritarianism.
During the Spanish transition to democracy, leftist organizations became legal once
again. In modern Spain trade unions now contribute massively towards Spanish society,
being again the main catalyst for political change in Spain, with cooperatives employing
large parts of the Spanish population such as the Mondragon Corporation. Trade unions
today lead mass protests against the Spanish government and are one of the main
vectors of political change.
Germany:
Trade unions in Germany have a history reaching back to the German revolution in
1848 and still play an important role in the German economy and society. In 1875 the
SPD, the Social Democratic Party of Germany, which is one of the biggest political
parties in Germany, supported the forming of unions in Germany. The most important
labor organization is the German Confederation of Trade Unions (Deutscher
Gewerkschaftsbund – DGB), which represents more than 6 million people (31
December 2011) and is the umbrella association of several single trade unions for
special economic sectors. The DGB is not the only Union Organization that represents
the working trade. There are smaller organizations, such as the CGB, which is a
Christian-based confederation, that represent over 1.5 million people
India
Main article: Trade unions in India
In India, the Trade Union movement is generally divided into political lines. According to
provisional statistics from the Ministry of Labour, trade unions had a combined
membership of 24,601,589 in 2002. As of 2008, there are 11 Central Trade Union
Organisations (CTUO) recognized by the Ministry of Labour. The forming of these
unions was a big deal in India. It led to a big push for more regulatory laws which gave
workers a lot more power.
AITUC is the oldest trade union in India. It is a left supported organization. A trade union
with nearly 2,000,000 members is the Self Employed Women's Association (SEWA)
which protects the rights of Indian women working in the informal economy. In addition
to the protection of rights, SEWA educates, mobilizes, finances, and exalts their
members' trades.[38] Multiple other organizations represent workers. These
organizations are formed upon different political groups. These different groups allow
different groups of people with different political views to join a Union.
United States
Labor unions are legally recognized as representatives of workers in many industries in
the United States. In the United States, unions were formed based on power with the
people, not over the people like the government at the time. Their activity today centers
on collective bargaining over wages, benefits, and working conditions for their
membership, and on representing their members in disputes with management over
violations of contract provisions. Larger unions also typically engage in lobbying
activities and supporting endorsed candidates at the state and federal level.
Most unions in America are aligned with one of two larger umbrella organizations:
the AFL-CIO created in 1955, and the Change to Win Federation which split from the
AFL-CIO in 2005. Both advocate policies and legislation on behalf of workers in the
United States and Canada and take an active role in politics. The AFL-CIO is especially
concerned with global trade issues.
Child labors in an Indiana glassworks. Labour unions have an objective interest
in combating child labor
In 2010, the percentage of workers belonging to a union in the United States (or total
labor union "density") was 11.4%, compared to 18.3% in Japan, 27.5% in Canada, and
70% in Finland.[61] Union membership in the private sector has fallen under 7%– levels
not seen since 1932. Unions allege that employer-incited opposition has contributed to
this decline in membership.
The most prominent unions are among public sector employees such as teachers,
police, and other non-managerial or non-executive federal, state, county, and municipal
employees. Members of unions are disproportionately older, male, and residents of the
Northeast, the Midwest, and California.
Union workers in the private sector average 10–30% higher pay than non-union in
America after controlling for individual, job, and labor market characteristics.[64] Because
of their inherently governmental function, public sector workers are paid the same
regardless of union affiliation or non-affiliation after controlling for individual, job, and
labor market characteristics.
The economist Joseph Stiglitz has asserted that "Strong unions have helped to reduce
inequality, whereas weaker unions have made it easier for CEOs, sometimes working
with market forces that they have helped shape, to increase it." The decline in
unionization since the Second World War in the United States has been associated with
a pronounced rise in income and wealth inequality and, since 1967, with loss of middle-
class income
Trade Union In Pakistan:
A less known aspect of the life of Quaid-e-Azam Mohammad Ali Jinnah (father of the
nation) is that he was also a labor leader and supporter of workers’ cause. He was
elected President of the All India Postal Staff Union in 1925. This union had a
membership of 70,000. As a member of the Indian Legislative Assembly for over thirty-
five years, he played a key role in the enactment of the Trade Union Act, 1926, which
provided legal cover to the formation of unions. He attended the founding session of the
All India Trade
Union Congress in October 1920. He had a personal relationship with the Labor
Leaders of that time, including Lala Lajpat Rai, Dewan Chaman Lal, MM Alvi, and
Subas Chanderbos.
The trade union movement in Pakistan can be traced back to this pre-independence
period. The wage-earning class that emerged in the sub-continent due to the
introduction of railways and agriculture plantations was the beginning of the trade union
movement.
The establishment in 1919 of the International Labor Organization (ILO) greatly
influenced the growth and development of the trade union movement throughout the
world. The arbitrary selection of delegates for the first session of ILO by the
Government of India was greatly resented by the trade unions and they organized a
convention, where it was decided to form a central organization of workers namely, All
India Trade Union Congress (AITUC). Quaid- e Azam Mohammad Ali Jinnah attended
the founding conference of AITUC held on 30 October 1920 in Bombay. The passing of
the Indian Trade Union Act, 1926, and Trade Dispute Act, 1929 gave formal recognition
to the workers’ right to organize and settle disputes between parties. The adoption of
Convention 87 on the right of association and Convention 98 on the right of collective
bargaining by ILO and the ratification of these important ILO Conventions by Pakistan in
the earlier years after independence, paved the way for the adoption of legislation
favoring workers’ right of association and collective bargaining. The enactment of the
Industrial Relations Ordinance, 1969 was a landmark for the trade union movement in
the country.
The trade union movement was initially opposed by the employers, because most
employers at that time (early fifties) were composed of the government (bureaucrats),
particularly in sectors like railways, telecommunications, power, and industries
established by the Pakistan Industrial Development Corporation (PIDC). They followed
the authoritarian tradition of the colonial arena, against the participatory approach
envisaged in modern industrial Relations. The employers in private enterprises also
followed a similar approach as that of public sector bureaucrats, and generally were not
in favor of trade unions. The formation of trade unions was resisted and obstructions
were created by a variety of methods, such as not recognizing the trade unions,
creating rival trade unions at the same plant, and victimization of trade unions officials.
There were, however, exceptions too. For instance, as early as 1951, a foreign
company recognized the union and accepted all her legitimate demands. In return, the
union agreed to double productivity. The company was able to attain human productivity
comparable to its European plant by 1955. All foreign companies were however not
alike. A foreign bank issued a written warning to its employees for joining trade unions.
During the sixties, the conditions somewhat improved. Employers realized the
importance of workers’ productivity and offered better deals. The workers’ attitude also
improved and they adjusted to the industrial order. Labor laws enacted during the period
also helped in bringing about this change. The attitude of the employers also changed,
mainly due to the struggle of workers and enactment of new legislation like the Industrial
Relations Ordinance, 1969 replacing the earlier Trade Union Act of 1926. The
recognition of trade unions was made obligatory by law. The employers also realized
the importance of a stable and contented workforce. Many family concerns were
converted into public limited companies run by management boards elected by
shareholders. The relationships were getting more impersonalized. The employers
started taking interest in labor welfare, which led to a reduction in hostility and
antagonism towards trade unions.
By the late sixties, the bureaucrat as an employer was less visible. However, with the
1972 nationalization of key industries the composition again changed as most industrial
units went again under the management of bureaucrats. Professionals were also
included in the management of public sector enterprises. This trend continued till the
eighties when the government started a policy of dis- investment. Both public and
private sector enterprises started inducting professionals as managers. Their approach
towards unions was also growing accommodative.
Features of Trade Unions
The Features of trade unions are :
1. It is an association either of employers or employees or of independent workers.
They may consist of :
 Employers’ association (eg. Employer’s Federation of India, Indian paper mill
association, etc.)
 General labor unions
 Friendly societies
 Unions of intellectual labor (e.g. All India Teachers Association)
2. It is formed continuously. It is a permanent body and not a casual or temporary
one. They persist throughout the year.
3. It is formed to protect and promote all kinds of interests –economic, political, and
social-of its members. The dominant interest with which a union is concerned is,
however, economic.
4. It achieves its objectives through collective action and group effort. Negotiations
and collective bargaining are the tools for accomplishing objectives.
5. Trade unions have shown remarkable progress since their inception; moreover,
the character of trade unions has also been changing. Despite only focusing on
the economic benefits of workers, the trade unions are also working towards
raising the status of laborers as a part of the industry.
Practical (action & relationship)
The main practical actions that trade unions can take fall into two categories. The first is
large scale practical actions by all members, including strikes and other coordinated
industrial action. It should be noted that these actions are only triggered by a properly
conducted ballot of union members, and hence can occur when the union members
disagree with any action taken by management. For example, in 2009 the trade union
Unite launched industrial action to prevent Total Oil Company from using mainly
overseas contractors at its Lindsey Oil Refinery, despite the Acas tribunal ruling that this
use of contractors was not illegal (Gill, 2009, p. 29). As such, it can be argued that trade
unions not only act when the written contract between managers and employees has
been broken, but also when the psychological contract has been broken. The other
main practical actions that trade unions take are for individual employees, including the
legal assistance mentioned above, but also the provision of services such as
unemployment benefits, sick pay, and even additional pension provision.
The function of Trade Union:
The main functions of the trade union are to protect and defend the interests of workers
by serving as a mediator between the workers and the company. Trade unions exist to
help workers ban together to have a stronger collective voice of influence.
The breakdown of those functions is as follows:
1) Advocating for fairness and equality for workers’ compensations.
2) Securing better working conditions for workers.
3) Trade unions will organize strikes and demonstrations on behalf of worker
demands.
4) Fight for social welfare for workers.
5) Promote and advocate for education and proper training for workers.
6) Advocate and fight the government for legislative protection for workers.
7) Promote and advocate for organizational growth and stability.
8) Trade unions act as representatives of workers in national and international
forums.
9) Involved in collective bargaining agreements and disputes with management to
settle any conditions on employment.
10)Advising management on correct personnel policies and procedures.
11)Involved in collective and personal collective grievances between management
and workers.
TYPE OF TRADE UNIONS:
There are major four types of trade unions:
1). Crafts of Skill Unions: This union consists of all those workers possessing the same
type of skills.
2). Industrial Unions: This union represents workers of the same industry.
3). General Unions: This union is formed by a collection of workers from different
industries and having different skills.
4). White-Collar Unions: This union represents all the office workers at higher posts.
STRUCTURE OF TRADE UNIONS:
The structure refers to how the trade unions are organized. They can be organized based
on crafts unions, industrial unions, or general unions.
The other method to organize trade unions can be the way plant level, local level, regional
level, and national level are interrelated.
Plant Level Union-
The plant level is the first and the lowest level of the structure. This type of union is formed
in a single company. Maximum seven members can be a part of this type, due to this in
only one company there are multiple such unions.
Local Level Federations-
Local-level Union is the second level of the structure. This consists of the plant level
unions at the local level in a particular industry. The local level union can be an
independent body or can be affiliated with a national level or regional level unions.
Regional Level Federations-
All the local level unions of a particular state or region collectively come under the regional
level Union.
National Level Federations-
This is a national level body which gives affiliation to all plant level union, local-level union,
and regional level unions.
What a trade union is
A trade union is an organization made up of members (a membership-based
organization) and its membership must be made up mainly of workers.
One of the trade union's main aims is to protect and advance the interests of its
members in the workplace.
Most trade unions are independent of any employer. However, trade unions try to
develop close working relationships with employers. This can sometimes take the form
of a partnership agreement between the employer and the trade union which identifies
their common interests and objectives.
Trade unions:
 negotiate agreements with employers on pay and conditions
 discuss major changes to the workplace such as large scale redundancy
 discuss members' concerns with employers
 accompany members in disciplinary and grievance meetings
 provide members with legal and financial advice
 provide education facilities and certain consumer benefits such as discounted
insurance
Trade union recognition
Employers which recognize a union will negotiate with it over members' pay and
conditions.
Many recognition agreements are reached voluntarily, sometimes with the help of the
Labor Relations Agency.
If an agreement can't be reached and the organization employs more than 20 people, a
union may apply for statutory recognition. To do so, it must first request recognition from
the employer in writing. If this is unsuccessful, the union can apply to the Industrial
Court(external link opens in a new window/tab) for a decision.
In considering the union's application, the Court must assess many factors including the
level of union membership and the presence of any other unions. Often, the Court will
organize a ballot among the affected workforce to decide whether recognition should be
awarded. Throughout the process, the emphasis is on reaching a voluntary agreement.
Collective bargaining
If a union is formally recognized by an employer, it can negotiate with the employer over
terms and conditions. This is known as 'collective bargaining'.
For collective bargaining to work, unions and employers need to agree on how the
arrangement is to operate. They might, for example, make agreements providing for the
deduction of union subscriptions from members' wages; who is to represent workers in
negotiations, and how often meetings will take place.
Both these agreements on procedure and agreements between employers and unions
changing the terms applying to workers (like a pay increase for example) are called
'collective agreements'.
Your contract of employment will probably set out which collective agreements cover
you.
A union may negotiate on your behalf even if you're not a member.
 Employment contracts
Joining a trade union
Some workers join a trade union because they believe that a union can:
 negotiate better pay
 negotiate better working conditions, like more holidays or improved health and
safety
 provide training for new skills
 give general advice and support
Union members have the right to be accompanied to a discipline or grievance hearing
by a trade union representative (although trade unions are not compelled to provide
this). All employees, regardless of whether they are union members or not, are entitled
to be accompanied by a work colleague.
 Grievance procedures
 Disciplinary procedures
Recognized unions also have rights to a consultation where redundancies or a transfer
of business are proposed. There is a regular subscription cost for union membership
and different rates may apply to trainees and part-timers. Unions will not normally help
with problems that pre-date membership.
 Employment protection during business transfers and takeovers
 Redundancy pay
How to join a union
If you want to join a recognized union in your workplace, you could approach a
representative for information like the shop steward. Otherwise, contact the Northern
Ireland Committee of the Irish Congress of Trade Unions (ICTU) to find out which union
is relevant to you.
 Irish Congress of Trade Unions Northern Ireland Committee website(external link
opens in a new window/tab)
Trade union-related rights
The law gives you the right to join a trade union wherever you work. This right applies
whether a union has been recognized or not. You're protected from being
disadvantaged for being a union member. Specifically, trade union membership is an
unlawful reason for:
 refusing your employment
 dismissing you
 selecting you for redundancy
 Trade union membership: your employment rights
The law gives you the right not to join a trade union. The same protection applies to you
as it does to union members. In particular, employers are not permitted to operate a
'closed shop' (that is, make all workers join the employer's preferred union). An
employer can't deduct payments from you to a union or charity instead of union
membership without your permission.
Blacklisting
You can’t be discriminated against because you are in a union or because of your union
activity.
With rare exceptions, it’s also illegal to compile, use, sell or supply a ‘blacklist’ of union
members that will be used to discriminate against you.
 Blacklisting Regulations NI guidance(external link opens in a new window/tab)
Trade union activities
When a union is recognized by an employer, members have the right to time off at an
appropriate time to take part in trade union activities. These may include:
 voting in ballots on industrial action
 voting in union elections
 meeting to discuss urgent matters
 attending the annual conference
 Time off for trade union duties and activities
You don’t have the right to be paid for any time spent taking industrial action.
 Industrial action
5 Reasons to join a trade union:
1. Better wages and benefits
It’s proven that workers who are trade union members earn more than non-unionized
workers. Trade unions use their collective muscle to bargain for better salaries,
pensions, holidays, health insurance, sick pay, overtime, and more. Trade unions
hammer out negotiations with management to get the best possible deal for employees,
so you don’t have to.
2. Personalprotection
Unions have got your back. Not only can they tell you your rights, but they will also
defend your rights. If your employer treats you unfairly, you can rely on the support and
expert representation from your union. A trade union rep is a trusted person to turn to
when you’re unhappy at work or management is behaving badly. And, as the workplace
is transformed by automation and robotics, trade unions are demanding training, lifelong
learning, and social protection for workers to transition to the new world of work.
3. Equality
Trade unions champion equal rights and equal pay. They fight discrimination against
race, gender, sexual orientation, and disability. They foster respect and dignity in the
workplace. Trade unions promote maternity rights, flexible working, and paternity pay so
that caring responsibilities are shared. Today, some of the world’s biggest trade unions
are led by women and unions are actively encouraging women and young people to
take on leadership roles in union structures. As a trade union rep, you can make your
workplace better.
4. Health and safety
Unionized workplaces are safer – fact. That’s because trade unions won’t let workers
put their lives at risk to meet production targets or save the company money. The only
people with the moral authority to assess the risk, are those who face the risk. And the
only way to have a voice is to have a union. With the backing of a union, you can feel
confident in saying no to dangerous work without losing your job. Trade unions
campaign tirelessly for safer working conditions and can be thanked for most of the
gains in workplace health and safety.
5. Solidarity
Trade unions have an incredible network that spans the world. Global trade unions, like
Industrial, which counts over 600 trade union affiliates in 140 countries, can use their
membership of millions to command the attention of the very biggest
corporations. Global unions can raise a serious issue that is getting ignored at the plant
or office level, with the top management of a multinational company. Often, senior
management is unaware of a problem that’s going on locally, and global unions can
help resolve an issue on the ground. When you join a union, you join a global family.
Trade union membershipin Asia
Counting the number of trade union members presents several measurement issues.
To name but one, it is membership in independent trade unions that ought to matter, as
defined by ILO Conventions Nos. 87 and 98. This caution noted we proceed with
looking at data on the number of trade union members published by the ILO. Trade
union membership is generally looked at using measures of trade union density, most
commonly defined as the number of trade union members as a percentage of non-
agricultural workers or wage and salary earners. Such denominators are used on the
reasonable grounds that it is these workers for whom union membership is most
relevant (ILO, 1997). Yet it is also useful to look at the number of trade union members
as a percentage of the number of labor force participants, to provide a sense of the
importance of trade unions for the workforce and the economy as a whole. Using the
labor force participants as a denominator is also useful in that there are more data
available than for non-agricultural workers or wage and salary earners, enabling a more
comprehensive overview of developments in trade union membership.
The denominator can, of course, make a very large difference in measures of trade
union density, depending on the structure of employment in a country which itself varies
by levels of economic development. For China in 2000, for instance, trade union density
relative to wage and salary earners was 90.3 percent but relative to the labor force was
only 13.7 percent. The comparable figures for India as of 1997 are 26.2 and 1.8
percent. The differences are much smaller, though, for the industrialized countries in
Asia and the Pacific, with trade density figures for 2000 of 24.7 and 19.4 percent for
Australia, 21.5 and 16.9 percent for Japan and 21.5 and 16.5 percent for New Zealand,
relative to wage and salary earners and the labor force respectively. Nonetheless, one
finds that an assessment of overall trends is very similar using either wage and salary
earners or labor force participants as a denominator, and the latter is referred to
hereafter.
Trade union density tends to be highest in the wealthiest countries. For instance, for the
most recent year of data, the four countries with the highest trade union density also
had the highest levels of per capita income. These are the industrialized countries
Australia, Japan, and New Zealand, as well as Singapore, having trade union densities
between about 16 and 19 percent relative to the labor force. Other countries with trade
union densities greater than 10 percent relative to the labor force for the most recent
year of data are China, the Philippines, and Sri Lanka. Countries with trade union
density relative to the labor force of less than 3 percent for the most recent year of data
are Indonesia, Bangladesh, India, and Pakistan. The two remaining countries for which
there are data are the Republic of Korea at 6.5 and Malaysia at 7.9 percent relative to
the labor force.
A striking pattern in the region is the downtrend in trade union density relative to the
labor force for most countries in the region. Taking the 11 countries for which there are
five or more years of data going back to 1990, there was a trend increase in only one
country: Singapore, with this increase beginning in the mid-1990s. In the two countries,
there was no clear upward or downward trend, namely Bangladesh and India. In all
eight other countries, overall downward trends were going back to 1990. These
countries are China (though with an upturn in 2000), the Republic of Korea, Malaysia,
the Philippines (with a small but steady year-by-year decline from 1994 to 2002), Sri
Lanka (with a strong decline since 1994), and the industrialized countries of Australia,
Japan, and New Zealand.
Data on the percentage of workers covered by collective bargaining agreements are
scant. One unsurprising pattern that does emerge, however, is that for the nine
countries for which there are data, the four countries with the highest collective
bargaining coverage rates are the same four having the highest rates of trade union
density – that is, Singapore, Australia, Japan and New Zealand (ILO, 1997).3
Benefits of Trade Union
A trade union is an organized association of workers formed for the protection and
promotion of their common interests. The standard view of unions is that they
are monopoly organizations that improve the welfare of members, principally by raising
wages above the competitive level. For a union to be able to increase wage rates above
the competitive level, there must be some surplus that can be shared between the firm
and the union, and the union must have some bargaining power to induce the firm to
share this surplus. This article investigates the conditions under which a union can
increase wages, and explores ways of modeling the competing preferences of unions
and management. The article also notes the arguments suggesting that, in the presence
of imperfect information and uncertainty, unions may enhance efficiency. To the extent
that unions reduce labor turnover and negotiating costs, they may increase the available
surplus to be shared between parties.
This leaflet aims at providing information on the statutory rights and duties of trade
unions, trade union members, and officers provided by the Trade Unions Ordinance and
other relevant legislation, as well as the rights and obligations of members and officers
under their trade union rules. Irrespective of any attempts hereby made in illustrating the
provisions in the law, the relevant Ordinances themselves remain the sole authority for
the provisions of the law explained.
The Right to Organize a Trade Union
•Article 27 of the Basic Law guarantees that Hong Kong residents have the freedom of
association and the freedom to form and join trade unions. •The Employment Ordinance
(EO) provides that every employee has the rights to be a member / an officer of a trade
union registered under the Trade Unions Ordinance (TUO) and to associate with other
persons to form or apply for the registration of a trade union. Trade union
members/officers have the right to take part in activities of the trade union outside
working hours or if with the consent of the employer, during working hours. •Moreover,
the EO also provides that an employer shall not prevent or deter an employee from
exercising any of the above rights; or dismiss, penalize or discriminate against an
employee for exercising the above rights. An employer shall not make it a condition of
employment that an employee must not exercise the above rights
Duties and Responsibilities of Trade Union Members
•Trade union members have the duties and responsibilities to observe union rules and
pay membership subscriptions and contributions on time. Besides, members shall
inform the Executive Committee of any changes in their particulars. They should
actively participate in union activities and express views on issues of concern. They
may also take part in the management of the union by assuming union office as
appropriate.
Statutory Rights of Trade Unions
•Protection from criminal prosecution / civil suits • Although the purposes of a trade
union registered under the TUO may be involved in the restraint of trade, such purposes
alone would not render any agreement or trust void or give rise to a charge of criminal
conspiracy on trade union members. Moreover, a trade union, its members, and officers
also enjoy immunity from civil suits for certain acts
done in contemplation or furtherance of a trade dispute. It is lawful for trade union
members, in contemplation or furtherance of a trade dispute, to attend a picket line
peacefully and lawfully.
Statutory Rights of Trade Union Members
•Apart from the abovementioned stipulations, members of a registered trade union have
the following rights under the TUO:
Inspection of union documents
•Trade union members or their authorized agents have the right to inspect the account
books and membership register of the union at such times and in such places as
specified in the union rules. They may also apply to the Registrar of Trade Unions in
writing for inspection free of charge of any documents required by law to be filed with
the Registrar that is related to the union, such as annual statements of accounts,
registered union rules, and lists of union officers.
•Other Statutory Rights
•Trade union members can take legal action against any officer of the union concerned
for wilfully withholding or misapplying union funds or property, and apply to the Court for
an injunction restraining the union officer from holding office or controlling trade union
funds. Besides, trade union members may appeal to the Court of First Instance of the
High Court against the Registrar of Trade Unions on such decisions as to the refusal to
register a change of union name or refusal to register amendments to union rules, etc.
Duties and Responsibilities of Trade Union Officers:
Trade union officers are elected by members as their agents to handle the general
administration of the union and they shall comply with the TUO and union rules in
managing the union. They have to carry out the instructions of the General Meetings
and the Executive Committee, submit the annual report and financial report of the union
to members in the general meeting. Important issues shall be submitted to the General
Meeting for discussion and voting by members.
According to the TUO, where any offense against the TUO or any regulations made
thereunder has been committed by the union, every officer of the trade union shall be
guilty of the like offense unless he proves to the satisfaction of the court that the act
constituting the offense took place without his knowledge or consent.
Any person who in any form prescribed by the Registry of Trade Unions makes any
false statement or furnishes any false information shall be guilty of an offense and shall
be liable on summary conviction to a fine and imprisonment. Trade union officer makes
false financial statement would also be liable for deception or other criminal offenses.
Trade union officers solicit or accept any advantage on account of his any act to his
Executive Committee office may amount to a breach of the Prevention of Bribery
Ordinance.
According to the TUO
any person by false representation or imposition obtains possession of any documents,
amounts of money and other effects of a trade union, or having the same in his
possession, wilfully withholds or fraudulently misapplies the same, or wilfully applies any
part of the same to purposes other than those directed in the union rules, the District
Court may make an order requiring such person to deliver up to the trade union all such
effects, or payment of a penalty and legal costs. In default of delivery of such effects or
payment of a penalty and legal costs, the Court may order imprisonment.
Criticism of Trade Unions:
Lack of educationmakesthe workersnarrow-mindedandpreventsthemfromtakinglong-termviews.
Thus,anything,whichdoesnotresultinanimmediate reward,becomesunattractivetothem.This
attitude isresponsible formanystrikesandlock-outsinindustrialconcerns.Trade unionsmaynot
welcome rationalizationandimprovedmethodsof productionforthe fearthatsome of the workerswill
be put out of work.Therefore,theyresorttogoingslow policythatretardsindustrial progress.When
laborunionsstrike because of illogical grounds,incalculablelossesoccurtoproducers, the community,
and the nation.These are harmful tothe workersalso.Theysufferbecause of the lossof wages.They
create artificial scarcityof laborby demandingthatonlyunionpersonnelshouldbe employed.Byundue
insistence onthe paymentof standardratesof wages,theyhave onlyleveleddownthe earningsof the
efficientworkers.
Problems and Weaknesses of Trade Unions:
1- Uneven Growth.
Trade unionism in India is characterized by uneven growth, both industry-wise and
area-wise. Trade unions are popular in big industries and the degree of unionization
varies widely from industry to industry. Besides, trade union activities are concentrated
in a few states and bigger industrial centers mainly due to the concentration of
industries in those places.
2- Limited Membership.
The number of trade unions in India has increased considerably. But this has been
followed by the declining membership perunion.
3- The multiplicity of Unions.
There exist several trade unions in the same establishment. The multiplicity of unions is
the result of outside leadership and labor laws. The law permits and gives sanctity to
small unions. Any seven persons can form a union under the Trade Unions Act, 1926.
This Act confers rights on such a union. It is allowed under the Act to raise disputes, file
suits, go to conciliation and even bargain with employers. Therefore, small sections of
workers are encouraged to form separate Unions. There is no restriction on the number
of unions to be registered in one establishment.
4- Outside Leadership.
Trade unions in India are led largely by people who themselves are not workers. These
outsiders are politicians, intellectuals, and professionals having no experience of work in
the industry. Outsiders continue to dominate the trade unions to advance their interests.
5- FinancialProblems.
The financial position of the trade unions is weak because their average yearly income
is very low and inadequate. The subscription rates are very low. Under conditions of a
multiplicity of unions, a union interested in increasing its membership figures keeps the
subscription rate unduly low. As a result, the funds with the unions are inadequate and
they cannot undertake welfare programs for their members. Another reason for the
weak financial position of the union is that large amounts of subscription dues remain
unpaid by the workers. Besides this, unions do not have proper staff and organizations
to collect subscriptions.
6- IndifferentAttitude of Workers.
A large number of workers have not joined any union. Moreover, all the members of the
trade unions do not show interest in their affairs. The attendance at the general
meetings of the unions is very low. Under such circumstances, trade unionism cannot
be expected to make much progress.
Suggestions for the Development Unions:
1- One Union in One Industry:
The multiplicity of unions in the same plant leads to an inter-union rivalry that ultimately
cuts at the root of the trade union movement. It weakens the power for collective
bargaining and reduces the effectiveness of workers in securing their legitimate rights.
Therefore, there should be only one union in one industry.
2- Paid Union Officials:
Generally, the trade unions avail the services of the honorary workers due to lack of
funds. The practice should be stopped because honorary office bearers cannot do full
justice to the task entrusted to them because of lack of time at their disposal. Suppose
that you are asked to do something in the office, which requires a lot of responsibility.
You are not offered anything in return. Of course, the motivational levels will come down
unless and until you are a very passionate or committed person. The same applies to
the officials of the unions. Therefore, paid union officials should be employed who are
persons of proven integrity and who can evaluate the demands of workers so that they
may negotiate with employers on equal footing.
3- Developmentof Leadership from Within:
It is of crucial importance that trade unions are managed by the workers, and not by
outsiders. Leadership should be developed from within the rank and file of the workers.
4- Recognition of Trade Unions:
Till recently, the employers refused recognition to the trade unions either on the basis
that unions consisted of only a minority of employees or two or more unions existed.
Criticism:
In the United States, the outsourcing of labor to Asia, Latin America, and Africa has
been partially driven by increasing costs of union partnership, which gives other
countries a comparative advantage in labor, making it more profitable to purchase
disorganized, low-wage labor from these regions. Milton Friedman, economist, and
advocate of laissez-faire capitalism sought to show that unionization produces higher
wages (for the union members) at the expense of fewer jobs, and that, if some
industries are unionized while others are not, wages will tend to decline in non-
unionized industries
On the other hand, several studies have emphasized so-called revitalization strategies
where trade unions attempt to better represent labor market outsiders, such as the
unemployed and precarious workers. Thus, for instance, trade unions in both Nordic
and southern European countries have devised collective bargaining agreements that
improved the conditions of temporary agency workers
Several studies have found evidence that trade unions can reduce competitiveness due
to a reduction of business profit, which can then lead to job losses as it makes the
business unable to compete. Unions have also been criticized by conservative
economists and political groups for prolonging recessions and depressions due to
discouraging investment
Union Publications:
Several sources of current news exist about the trade union movement in the world.
These include LabourStart and the official website of the international trade union
movement Global Unions. A source of international news about unions is RadioLabour
which provides daily (Monday to Friday) news reports.
Labor Notes is the largest circulation cross-union publication remaining in the United
States. It reports news and analysis of union activity or problems facing the labor
movement. Another source of union news is the Workers Independent News, a news
organization providing radio articles to independent and syndicated radio shows in the
United States.
Conclusion
In conclusion, trade unions still tend to play an important role in protecting workers and
helping them enforce their legal rights, particularly in cases when these rights may be
uncertain or under debate. Unions will also be able to support employees when they
feel that the psychological contract between workers and managers is being breached,
and can help workers to renegotiate this contract if necessary. Unfortunately, a
poststructuralist view of the trade unions indicates that the unions tend to be more
responsive to their social contract with the workers, than to the actual needs and
demands of the workplace itself. This can lead to unions behaving in overly militant
ways, particularly when they feel their power and relevance are being threatened.

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Trade union project report (1)

  • 1. Corporate Business & Law GROUP PROJECT REPORT Group Members : 1. Syed Ziyad bin Hasan (11091) 2. Muhammad Hamza Zahid (11112) 3. Muhammad Daniyal Khan (10864) 4. Qasim Javed Cheema (60778) Faculty Name Mam Attia.
  • 2. Introduction The origins of unions’ existence can be traced back to the 18th century when the rapid expansion of industrial society attracted women, children, and immigrants to the workforce in large numbers. The pool of unskilled and semi-skilled labor spontaneously organized themselves in fits and starts throughout its beginning, and would later become an important place for the development of trade unions. Trade unions were also endorsed by the Catholic Church towards the end of the 19th Century. Today, we live in a world where workers have assumed great importance. Employers have started to realize the importance of workers. The employees too have started to form Trade Unions to protect their interests. Bosses around the world have recognized that the best way to resolve issues is by way of dialogue. The employees have realized that to protect themselves from exploitation, unity is very important. This is one of the reasons why trade unions have become so important today. Trade Union: A trade union is an organization made up of members (a membership-based organization) and its membership must be made up mainly of workers. One of the trade union’s main aims is to protect and advance the interests of its members in the workplace. Trade unions: negotiate agreements with employers on pay and conditions. two conflicting views of the trade-union movement strove for ascendancy in the nineteenth century: one the defensive-restrictive guild-craft tradition passed down through journeymen's clubs and friendly societies, the other the aggressive- expansionist drive to unite all laboring men and women' for a different order of things History: The origins of trade unions can be traced back to 18th century Britain, where the rapid expansion of industrial society then taking place drew women, children, rural workers, and immigrants into the workforce in large numbers and new roles. They encountered a large hostility in their early existence from employers and government groups; at the time, unions and unionists were regularly prosecuted under various restraint of trade and conspiracy statutes. This pool of unskilled and semi-skilled labor spontaneously organized in fits and starts throughout its beginnings, and would later be an important arena for the development of trade unions. Trade unions have sometimes been seen as successors to the guilds of medieval Europe, though the relationship between the two is disputed, as the masters of the guilds employed workers (apprentices and journeymen) who were not allowed to organize.
  • 3. Trade unions and collective bargaining were outlawed from no later than the middle of the 14th century when the Ordinance of Labourers was enacted in the Kingdom of England, but their way of thinking was the one that endured down the centuries, inspiring evolutions and advances in thinking which eventually gave workers their necessary rights. As collective bargaining and early worker unions grew with the onset of the Industrial Revolution, the government began to clamp down on what it saw as the danger of popular unrest at the time of the Napoleonic Wars. In 1799, the Combination Act was passed, which banned trade unions and collective bargaining by British workers. Although the unions were subject to often severe repression until 1824, they were already widespread in cities such as London. Workplace militancy had also manifested itself as Luddism and had been prominent in struggles such as the 1820 Rising in Scotland, in which 60,000 workers went on a general strike, which was soon crushed. Sympathy for the plight of the workers brought repeal of the acts in 1824, although the Combination Act 1825 severely restricted their activity. By the 1810s, the first labor organizations to bring together workers of divergent occupations were formed. Possibly the first such union was the General Union of Trades, also known as the Philanthropic Society, founded in 1818 in Manchester. The latter name was to hide the organization's real purpose in a time when trade unions were still illegal. Trade Union By Country: Australia The Australian labor movement generally sought to end child labor practices, improve worker safety, increase wages for both union workers and non-union workers, raise the entire society's standard of living, reduce the hours in a workweek, provide public education for children, and bring other benefits to working-class families. Melbourne Trades Hall was opened in 1859 with Trades and Labour Councils and Trades Halls opening in all cities and most regional towns in the next forty years. During the 1880s Trade unions developed among shearers, miners, and stevedores (wharf workers), but soon spread to cover almost all blue-collar jobs. Shortages of labor led to high wages for a prosperous skilled working class, whose unions demanded and got an eight-hour day and other benefits unheard of in Europe.
  • 4. Australia gained a reputation as "the working man's paradise." Some employers tried to undercut the unions by importing Chinese labor. This produced a reaction that led to all the colonies restricting Chinese and other Asian immigration. This was the foundation of the White Australia Policy. The "Australian compact", based around centralized industrial arbitration, a degree of government assistance particularly for primary industries, and White Australia, was to continue for many years before gradually dissolving in the second half of the 20th century. In the 1870s and 1880s, the growing trade union movement began a series of protests against foreign labor. They argued that Asians and Chinese took jobs away from white men, worked for "substandard" wages, lowered working conditions, and refused unionization. Objections to these arguments came largely from wealthy landowners in rural areas.[15] It was argued that without Asiatics to work in the tropical areas of the Northern Territory and Queensland, the area would have to be abandoned. Despite these objections to restricting immigration, between 1875 and 1888 all Australian colonies enacted legislation that excluded all further Chinese immigration. Asian immigrants already residing in the Australian colonies were not expelled and retained the same rights as their Anglo and Southern compatriots. The Barton Government which came to power after the first elections to the Commonwealth parliament in 1901 was formed by the Protectionist Party with the support of the Australian Labor Party. The support of the Labor Party was contingent upon restricting non-white immigration, reflecting the attitudes of the Australian Workers Union and other labor organizations at the time, upon whose support the Labor Party was founded. Canada: Canada's first trade union, the Labourers' Benevolent Association (now International Longshoremen's Association Local 273), formed in Saint John, New Brunswick in 1849. The union was formed when Saint John's longshoremen banded together to lobby for regular pay and a shorter workday. Canadian unionism had early ties with Britain and Ireland. Tradesmen who came from Britain brought traditions of the British trade union movement, and many British unions had branches in Canada. Canadian unionism's ties with the United States eventually replaced those with Britain. Collective bargaining was first recognized in 1945, after the strike by the United Auto Workers at the General Motors' plant in Oshawa, Ontario. Justice Ivan Rand issued a landmark legal decision after the strike in Windsor, Ontario, involving 17,000 Ford workers. He granted the union the compulsory check-off of union dues. Rand ruled that all workers in a bargaining unit benefit from a union-negotiated contract. Therefore, he reasoned they must pay union dues, although they do not have to join the union. The post-World War II era also saw an increased pattern of unionization in the public service. Teachers, nurses, social workers, professors, and cultural workers (those employed in museums, orchestras, and art galleries) all sought private-sector collective
  • 5. bargaining rights. The Canadian Labour Congress was founded in 1956 as the national trade union center for Canada. In the 1970s the federal government came under intense pressure to curtail labor cost and inflation. In 1975, the Liberal government of Pierre Trudeau introduced mandatory price and wage controls. Under the new law, wage increases were monitored and those ruled to be unacceptably high were rolled back by the government. Pressures on unions continued into the 1980s and '90s. Private sector unions faced plant closures in many manufacturing industries and demands to reduce wages and increase productivity. Public sector unions came under attack by federal and provincial governments as they attempted to reduce spending, reduce taxes, and balance budgets. The legislation was introduced in many jurisdictions reversing union collective bargaining rights, and many jobs were lost to contractors. Prominent domestic unions in Canada include ACTRA, the Canadian Union of Postal Workers, the Canadian Union of Public Employees, the Public Service Alliance of Canada, the National Union of Public and General Employees, and Unifor. International unions active in Canada include the International Alliance of Theatrical Stage Employees, United Automobile Workers, United Food and Commercial Workers, and United Steelworkers. Costa Rica: Costa Rican agriculture unions demonstration, January 2011 In Costa Rica, trade unions first appeared in the late 1800s to support workers in a variety of urban and industrial jobs, such as railroad builders and craft tradesmen.[32] After facing violent repression, such as during the 1934 United Fruit Strike, unions gained more power after the 1948 Costa Rican Civil War. Today, Costa Rican unions are strongest in the public sector, including the fields of education and medicine, but also have a strong presence in the agricultural sector. In general, Costa Rican unions support government regulation of the banking, medical, and education fields, as well as improved wages and working conditions. Spain During the Spanish civil war anarchists, and syndicalists took control over much of Spain. Implementing worker control through a system of libertarian socialism with
  • 6. organizations like the anarcho-syndicalist CNT organizing throughout Spain. Unions were particularly present in Revolutionary Catalonia, in which anarchists were already the basis for most of society with over 90% of industries being organized through work cooperatives. The republicans, anarchists, and leftists would later lose control over Spain, with Francisco Franco becoming dictator of Spain. During the fascist regime of Spain, the Francoist regime saw the worker movement and union movement as a threat, Franco banned all existing trade unions and set up the government-controlled Spanish Syndical Organization as the only legal Spanish trade union, with the organization existing to maintain Franco's power. Many anarchists, communists, and leftists turned towards insurgent tactics as Franco implemented wide-reaching authoritarian policies, with the CNT and other unions being forced underground. Anarchists would operate covertly setting up local organizations and underground movements to challenge Franco. On the 20 of December, the ETA assassinated Luis Carrero. The death of Carrero Blanco had numerous political implications. By the end of 1973, the physical health of Francisco Franco had declined significantly, and it epitomized the final crisis of the Francoist regime. After his death, the most conservative sector of the Francoist State, known as the búnker, wanted to influence Franco so that he would choose an ultraconservative as Prime Minister. Finally, he chose Carlos Arias Navarro, who originally announced a partial relaxation of the most rigid aspects of the Francoist State, but quickly retreated under pressure from the búnker. After Franco's death, Arias Navarro began relaxing Spanish authoritarianism. During the Spanish transition to democracy, leftist organizations became legal once again. In modern Spain trade unions now contribute massively towards Spanish society, being again the main catalyst for political change in Spain, with cooperatives employing large parts of the Spanish population such as the Mondragon Corporation. Trade unions today lead mass protests against the Spanish government and are one of the main vectors of political change. Germany: Trade unions in Germany have a history reaching back to the German revolution in 1848 and still play an important role in the German economy and society. In 1875 the SPD, the Social Democratic Party of Germany, which is one of the biggest political parties in Germany, supported the forming of unions in Germany. The most important labor organization is the German Confederation of Trade Unions (Deutscher Gewerkschaftsbund – DGB), which represents more than 6 million people (31 December 2011) and is the umbrella association of several single trade unions for special economic sectors. The DGB is not the only Union Organization that represents the working trade. There are smaller organizations, such as the CGB, which is a Christian-based confederation, that represent over 1.5 million people
  • 7. India Main article: Trade unions in India In India, the Trade Union movement is generally divided into political lines. According to provisional statistics from the Ministry of Labour, trade unions had a combined membership of 24,601,589 in 2002. As of 2008, there are 11 Central Trade Union Organisations (CTUO) recognized by the Ministry of Labour. The forming of these unions was a big deal in India. It led to a big push for more regulatory laws which gave workers a lot more power. AITUC is the oldest trade union in India. It is a left supported organization. A trade union with nearly 2,000,000 members is the Self Employed Women's Association (SEWA) which protects the rights of Indian women working in the informal economy. In addition to the protection of rights, SEWA educates, mobilizes, finances, and exalts their members' trades.[38] Multiple other organizations represent workers. These organizations are formed upon different political groups. These different groups allow different groups of people with different political views to join a Union. United States Labor unions are legally recognized as representatives of workers in many industries in the United States. In the United States, unions were formed based on power with the people, not over the people like the government at the time. Their activity today centers on collective bargaining over wages, benefits, and working conditions for their membership, and on representing their members in disputes with management over violations of contract provisions. Larger unions also typically engage in lobbying activities and supporting endorsed candidates at the state and federal level. Most unions in America are aligned with one of two larger umbrella organizations: the AFL-CIO created in 1955, and the Change to Win Federation which split from the AFL-CIO in 2005. Both advocate policies and legislation on behalf of workers in the United States and Canada and take an active role in politics. The AFL-CIO is especially concerned with global trade issues. Child labors in an Indiana glassworks. Labour unions have an objective interest in combating child labor
  • 8. In 2010, the percentage of workers belonging to a union in the United States (or total labor union "density") was 11.4%, compared to 18.3% in Japan, 27.5% in Canada, and 70% in Finland.[61] Union membership in the private sector has fallen under 7%– levels not seen since 1932. Unions allege that employer-incited opposition has contributed to this decline in membership. The most prominent unions are among public sector employees such as teachers, police, and other non-managerial or non-executive federal, state, county, and municipal employees. Members of unions are disproportionately older, male, and residents of the Northeast, the Midwest, and California. Union workers in the private sector average 10–30% higher pay than non-union in America after controlling for individual, job, and labor market characteristics.[64] Because of their inherently governmental function, public sector workers are paid the same regardless of union affiliation or non-affiliation after controlling for individual, job, and labor market characteristics. The economist Joseph Stiglitz has asserted that "Strong unions have helped to reduce inequality, whereas weaker unions have made it easier for CEOs, sometimes working with market forces that they have helped shape, to increase it." The decline in unionization since the Second World War in the United States has been associated with a pronounced rise in income and wealth inequality and, since 1967, with loss of middle- class income Trade Union In Pakistan: A less known aspect of the life of Quaid-e-Azam Mohammad Ali Jinnah (father of the nation) is that he was also a labor leader and supporter of workers’ cause. He was elected President of the All India Postal Staff Union in 1925. This union had a membership of 70,000. As a member of the Indian Legislative Assembly for over thirty- five years, he played a key role in the enactment of the Trade Union Act, 1926, which provided legal cover to the formation of unions. He attended the founding session of the All India Trade Union Congress in October 1920. He had a personal relationship with the Labor Leaders of that time, including Lala Lajpat Rai, Dewan Chaman Lal, MM Alvi, and Subas Chanderbos. The trade union movement in Pakistan can be traced back to this pre-independence period. The wage-earning class that emerged in the sub-continent due to the introduction of railways and agriculture plantations was the beginning of the trade union movement. The establishment in 1919 of the International Labor Organization (ILO) greatly influenced the growth and development of the trade union movement throughout the world. The arbitrary selection of delegates for the first session of ILO by the Government of India was greatly resented by the trade unions and they organized a
  • 9. convention, where it was decided to form a central organization of workers namely, All India Trade Union Congress (AITUC). Quaid- e Azam Mohammad Ali Jinnah attended the founding conference of AITUC held on 30 October 1920 in Bombay. The passing of the Indian Trade Union Act, 1926, and Trade Dispute Act, 1929 gave formal recognition to the workers’ right to organize and settle disputes between parties. The adoption of Convention 87 on the right of association and Convention 98 on the right of collective bargaining by ILO and the ratification of these important ILO Conventions by Pakistan in the earlier years after independence, paved the way for the adoption of legislation favoring workers’ right of association and collective bargaining. The enactment of the Industrial Relations Ordinance, 1969 was a landmark for the trade union movement in the country. The trade union movement was initially opposed by the employers, because most employers at that time (early fifties) were composed of the government (bureaucrats), particularly in sectors like railways, telecommunications, power, and industries established by the Pakistan Industrial Development Corporation (PIDC). They followed the authoritarian tradition of the colonial arena, against the participatory approach envisaged in modern industrial Relations. The employers in private enterprises also followed a similar approach as that of public sector bureaucrats, and generally were not in favor of trade unions. The formation of trade unions was resisted and obstructions were created by a variety of methods, such as not recognizing the trade unions, creating rival trade unions at the same plant, and victimization of trade unions officials. There were, however, exceptions too. For instance, as early as 1951, a foreign company recognized the union and accepted all her legitimate demands. In return, the union agreed to double productivity. The company was able to attain human productivity comparable to its European plant by 1955. All foreign companies were however not alike. A foreign bank issued a written warning to its employees for joining trade unions. During the sixties, the conditions somewhat improved. Employers realized the importance of workers’ productivity and offered better deals. The workers’ attitude also improved and they adjusted to the industrial order. Labor laws enacted during the period also helped in bringing about this change. The attitude of the employers also changed, mainly due to the struggle of workers and enactment of new legislation like the Industrial Relations Ordinance, 1969 replacing the earlier Trade Union Act of 1926. The recognition of trade unions was made obligatory by law. The employers also realized the importance of a stable and contented workforce. Many family concerns were converted into public limited companies run by management boards elected by shareholders. The relationships were getting more impersonalized. The employers started taking interest in labor welfare, which led to a reduction in hostility and antagonism towards trade unions. By the late sixties, the bureaucrat as an employer was less visible. However, with the 1972 nationalization of key industries the composition again changed as most industrial
  • 10. units went again under the management of bureaucrats. Professionals were also included in the management of public sector enterprises. This trend continued till the eighties when the government started a policy of dis- investment. Both public and private sector enterprises started inducting professionals as managers. Their approach towards unions was also growing accommodative. Features of Trade Unions The Features of trade unions are : 1. It is an association either of employers or employees or of independent workers. They may consist of :  Employers’ association (eg. Employer’s Federation of India, Indian paper mill association, etc.)  General labor unions  Friendly societies  Unions of intellectual labor (e.g. All India Teachers Association) 2. It is formed continuously. It is a permanent body and not a casual or temporary one. They persist throughout the year. 3. It is formed to protect and promote all kinds of interests –economic, political, and social-of its members. The dominant interest with which a union is concerned is, however, economic. 4. It achieves its objectives through collective action and group effort. Negotiations and collective bargaining are the tools for accomplishing objectives. 5. Trade unions have shown remarkable progress since their inception; moreover, the character of trade unions has also been changing. Despite only focusing on the economic benefits of workers, the trade unions are also working towards raising the status of laborers as a part of the industry.
  • 11. Practical (action & relationship) The main practical actions that trade unions can take fall into two categories. The first is large scale practical actions by all members, including strikes and other coordinated industrial action. It should be noted that these actions are only triggered by a properly conducted ballot of union members, and hence can occur when the union members disagree with any action taken by management. For example, in 2009 the trade union Unite launched industrial action to prevent Total Oil Company from using mainly overseas contractors at its Lindsey Oil Refinery, despite the Acas tribunal ruling that this use of contractors was not illegal (Gill, 2009, p. 29). As such, it can be argued that trade unions not only act when the written contract between managers and employees has been broken, but also when the psychological contract has been broken. The other main practical actions that trade unions take are for individual employees, including the legal assistance mentioned above, but also the provision of services such as unemployment benefits, sick pay, and even additional pension provision. The function of Trade Union: The main functions of the trade union are to protect and defend the interests of workers by serving as a mediator between the workers and the company. Trade unions exist to help workers ban together to have a stronger collective voice of influence.
  • 12. The breakdown of those functions is as follows: 1) Advocating for fairness and equality for workers’ compensations. 2) Securing better working conditions for workers. 3) Trade unions will organize strikes and demonstrations on behalf of worker demands. 4) Fight for social welfare for workers. 5) Promote and advocate for education and proper training for workers. 6) Advocate and fight the government for legislative protection for workers. 7) Promote and advocate for organizational growth and stability. 8) Trade unions act as representatives of workers in national and international forums. 9) Involved in collective bargaining agreements and disputes with management to settle any conditions on employment. 10)Advising management on correct personnel policies and procedures. 11)Involved in collective and personal collective grievances between management and workers. TYPE OF TRADE UNIONS: There are major four types of trade unions: 1). Crafts of Skill Unions: This union consists of all those workers possessing the same type of skills. 2). Industrial Unions: This union represents workers of the same industry. 3). General Unions: This union is formed by a collection of workers from different industries and having different skills. 4). White-Collar Unions: This union represents all the office workers at higher posts. STRUCTURE OF TRADE UNIONS: The structure refers to how the trade unions are organized. They can be organized based on crafts unions, industrial unions, or general unions. The other method to organize trade unions can be the way plant level, local level, regional level, and national level are interrelated. Plant Level Union-
  • 13. The plant level is the first and the lowest level of the structure. This type of union is formed in a single company. Maximum seven members can be a part of this type, due to this in only one company there are multiple such unions. Local Level Federations- Local-level Union is the second level of the structure. This consists of the plant level unions at the local level in a particular industry. The local level union can be an independent body or can be affiliated with a national level or regional level unions. Regional Level Federations- All the local level unions of a particular state or region collectively come under the regional level Union. National Level Federations- This is a national level body which gives affiliation to all plant level union, local-level union, and regional level unions. What a trade union is A trade union is an organization made up of members (a membership-based organization) and its membership must be made up mainly of workers. One of the trade union's main aims is to protect and advance the interests of its members in the workplace. Most trade unions are independent of any employer. However, trade unions try to develop close working relationships with employers. This can sometimes take the form of a partnership agreement between the employer and the trade union which identifies their common interests and objectives. Trade unions:  negotiate agreements with employers on pay and conditions  discuss major changes to the workplace such as large scale redundancy  discuss members' concerns with employers  accompany members in disciplinary and grievance meetings  provide members with legal and financial advice  provide education facilities and certain consumer benefits such as discounted insurance Trade union recognition
  • 14. Employers which recognize a union will negotiate with it over members' pay and conditions. Many recognition agreements are reached voluntarily, sometimes with the help of the Labor Relations Agency. If an agreement can't be reached and the organization employs more than 20 people, a union may apply for statutory recognition. To do so, it must first request recognition from the employer in writing. If this is unsuccessful, the union can apply to the Industrial Court(external link opens in a new window/tab) for a decision. In considering the union's application, the Court must assess many factors including the level of union membership and the presence of any other unions. Often, the Court will organize a ballot among the affected workforce to decide whether recognition should be awarded. Throughout the process, the emphasis is on reaching a voluntary agreement. Collective bargaining If a union is formally recognized by an employer, it can negotiate with the employer over terms and conditions. This is known as 'collective bargaining'. For collective bargaining to work, unions and employers need to agree on how the arrangement is to operate. They might, for example, make agreements providing for the deduction of union subscriptions from members' wages; who is to represent workers in negotiations, and how often meetings will take place. Both these agreements on procedure and agreements between employers and unions changing the terms applying to workers (like a pay increase for example) are called 'collective agreements'. Your contract of employment will probably set out which collective agreements cover you. A union may negotiate on your behalf even if you're not a member.  Employment contracts Joining a trade union Some workers join a trade union because they believe that a union can:  negotiate better pay  negotiate better working conditions, like more holidays or improved health and safety  provide training for new skills  give general advice and support
  • 15. Union members have the right to be accompanied to a discipline or grievance hearing by a trade union representative (although trade unions are not compelled to provide this). All employees, regardless of whether they are union members or not, are entitled to be accompanied by a work colleague.  Grievance procedures  Disciplinary procedures Recognized unions also have rights to a consultation where redundancies or a transfer of business are proposed. There is a regular subscription cost for union membership and different rates may apply to trainees and part-timers. Unions will not normally help with problems that pre-date membership.  Employment protection during business transfers and takeovers  Redundancy pay How to join a union If you want to join a recognized union in your workplace, you could approach a representative for information like the shop steward. Otherwise, contact the Northern Ireland Committee of the Irish Congress of Trade Unions (ICTU) to find out which union is relevant to you.  Irish Congress of Trade Unions Northern Ireland Committee website(external link opens in a new window/tab) Trade union-related rights The law gives you the right to join a trade union wherever you work. This right applies whether a union has been recognized or not. You're protected from being disadvantaged for being a union member. Specifically, trade union membership is an unlawful reason for:  refusing your employment  dismissing you  selecting you for redundancy  Trade union membership: your employment rights The law gives you the right not to join a trade union. The same protection applies to you as it does to union members. In particular, employers are not permitted to operate a 'closed shop' (that is, make all workers join the employer's preferred union). An employer can't deduct payments from you to a union or charity instead of union membership without your permission. Blacklisting
  • 16. You can’t be discriminated against because you are in a union or because of your union activity. With rare exceptions, it’s also illegal to compile, use, sell or supply a ‘blacklist’ of union members that will be used to discriminate against you.  Blacklisting Regulations NI guidance(external link opens in a new window/tab) Trade union activities When a union is recognized by an employer, members have the right to time off at an appropriate time to take part in trade union activities. These may include:  voting in ballots on industrial action  voting in union elections  meeting to discuss urgent matters  attending the annual conference  Time off for trade union duties and activities You don’t have the right to be paid for any time spent taking industrial action.  Industrial action 5 Reasons to join a trade union: 1. Better wages and benefits It’s proven that workers who are trade union members earn more than non-unionized workers. Trade unions use their collective muscle to bargain for better salaries, pensions, holidays, health insurance, sick pay, overtime, and more. Trade unions hammer out negotiations with management to get the best possible deal for employees, so you don’t have to. 2. Personalprotection Unions have got your back. Not only can they tell you your rights, but they will also defend your rights. If your employer treats you unfairly, you can rely on the support and expert representation from your union. A trade union rep is a trusted person to turn to when you’re unhappy at work or management is behaving badly. And, as the workplace is transformed by automation and robotics, trade unions are demanding training, lifelong learning, and social protection for workers to transition to the new world of work.
  • 17. 3. Equality Trade unions champion equal rights and equal pay. They fight discrimination against race, gender, sexual orientation, and disability. They foster respect and dignity in the workplace. Trade unions promote maternity rights, flexible working, and paternity pay so that caring responsibilities are shared. Today, some of the world’s biggest trade unions are led by women and unions are actively encouraging women and young people to take on leadership roles in union structures. As a trade union rep, you can make your workplace better. 4. Health and safety Unionized workplaces are safer – fact. That’s because trade unions won’t let workers put their lives at risk to meet production targets or save the company money. The only people with the moral authority to assess the risk, are those who face the risk. And the only way to have a voice is to have a union. With the backing of a union, you can feel confident in saying no to dangerous work without losing your job. Trade unions campaign tirelessly for safer working conditions and can be thanked for most of the gains in workplace health and safety. 5. Solidarity Trade unions have an incredible network that spans the world. Global trade unions, like Industrial, which counts over 600 trade union affiliates in 140 countries, can use their membership of millions to command the attention of the very biggest corporations. Global unions can raise a serious issue that is getting ignored at the plant or office level, with the top management of a multinational company. Often, senior management is unaware of a problem that’s going on locally, and global unions can help resolve an issue on the ground. When you join a union, you join a global family. Trade union membershipin Asia Counting the number of trade union members presents several measurement issues. To name but one, it is membership in independent trade unions that ought to matter, as defined by ILO Conventions Nos. 87 and 98. This caution noted we proceed with looking at data on the number of trade union members published by the ILO. Trade union membership is generally looked at using measures of trade union density, most commonly defined as the number of trade union members as a percentage of non- agricultural workers or wage and salary earners. Such denominators are used on the reasonable grounds that it is these workers for whom union membership is most relevant (ILO, 1997). Yet it is also useful to look at the number of trade union members as a percentage of the number of labor force participants, to provide a sense of the importance of trade unions for the workforce and the economy as a whole. Using the labor force participants as a denominator is also useful in that there are more data available than for non-agricultural workers or wage and salary earners, enabling a more comprehensive overview of developments in trade union membership.
  • 18. The denominator can, of course, make a very large difference in measures of trade union density, depending on the structure of employment in a country which itself varies by levels of economic development. For China in 2000, for instance, trade union density relative to wage and salary earners was 90.3 percent but relative to the labor force was only 13.7 percent. The comparable figures for India as of 1997 are 26.2 and 1.8 percent. The differences are much smaller, though, for the industrialized countries in Asia and the Pacific, with trade density figures for 2000 of 24.7 and 19.4 percent for Australia, 21.5 and 16.9 percent for Japan and 21.5 and 16.5 percent for New Zealand, relative to wage and salary earners and the labor force respectively. Nonetheless, one finds that an assessment of overall trends is very similar using either wage and salary earners or labor force participants as a denominator, and the latter is referred to hereafter. Trade union density tends to be highest in the wealthiest countries. For instance, for the most recent year of data, the four countries with the highest trade union density also had the highest levels of per capita income. These are the industrialized countries Australia, Japan, and New Zealand, as well as Singapore, having trade union densities between about 16 and 19 percent relative to the labor force. Other countries with trade union densities greater than 10 percent relative to the labor force for the most recent year of data are China, the Philippines, and Sri Lanka. Countries with trade union density relative to the labor force of less than 3 percent for the most recent year of data are Indonesia, Bangladesh, India, and Pakistan. The two remaining countries for which there are data are the Republic of Korea at 6.5 and Malaysia at 7.9 percent relative to the labor force. A striking pattern in the region is the downtrend in trade union density relative to the labor force for most countries in the region. Taking the 11 countries for which there are five or more years of data going back to 1990, there was a trend increase in only one country: Singapore, with this increase beginning in the mid-1990s. In the two countries, there was no clear upward or downward trend, namely Bangladesh and India. In all eight other countries, overall downward trends were going back to 1990. These countries are China (though with an upturn in 2000), the Republic of Korea, Malaysia, the Philippines (with a small but steady year-by-year decline from 1994 to 2002), Sri Lanka (with a strong decline since 1994), and the industrialized countries of Australia, Japan, and New Zealand.
  • 19. Data on the percentage of workers covered by collective bargaining agreements are scant. One unsurprising pattern that does emerge, however, is that for the nine countries for which there are data, the four countries with the highest collective bargaining coverage rates are the same four having the highest rates of trade union density – that is, Singapore, Australia, Japan and New Zealand (ILO, 1997).3 Benefits of Trade Union A trade union is an organized association of workers formed for the protection and promotion of their common interests. The standard view of unions is that they are monopoly organizations that improve the welfare of members, principally by raising wages above the competitive level. For a union to be able to increase wage rates above the competitive level, there must be some surplus that can be shared between the firm and the union, and the union must have some bargaining power to induce the firm to share this surplus. This article investigates the conditions under which a union can increase wages, and explores ways of modeling the competing preferences of unions and management. The article also notes the arguments suggesting that, in the presence of imperfect information and uncertainty, unions may enhance efficiency. To the extent that unions reduce labor turnover and negotiating costs, they may increase the available surplus to be shared between parties. This leaflet aims at providing information on the statutory rights and duties of trade unions, trade union members, and officers provided by the Trade Unions Ordinance and other relevant legislation, as well as the rights and obligations of members and officers under their trade union rules. Irrespective of any attempts hereby made in illustrating the provisions in the law, the relevant Ordinances themselves remain the sole authority for the provisions of the law explained. The Right to Organize a Trade Union •Article 27 of the Basic Law guarantees that Hong Kong residents have the freedom of association and the freedom to form and join trade unions. •The Employment Ordinance (EO) provides that every employee has the rights to be a member / an officer of a trade union registered under the Trade Unions Ordinance (TUO) and to associate with other persons to form or apply for the registration of a trade union. Trade union members/officers have the right to take part in activities of the trade union outside working hours or if with the consent of the employer, during working hours. •Moreover, the EO also provides that an employer shall not prevent or deter an employee from exercising any of the above rights; or dismiss, penalize or discriminate against an employee for exercising the above rights. An employer shall not make it a condition of employment that an employee must not exercise the above rights Duties and Responsibilities of Trade Union Members
  • 20. •Trade union members have the duties and responsibilities to observe union rules and pay membership subscriptions and contributions on time. Besides, members shall inform the Executive Committee of any changes in their particulars. They should actively participate in union activities and express views on issues of concern. They may also take part in the management of the union by assuming union office as appropriate. Statutory Rights of Trade Unions •Protection from criminal prosecution / civil suits • Although the purposes of a trade union registered under the TUO may be involved in the restraint of trade, such purposes alone would not render any agreement or trust void or give rise to a charge of criminal conspiracy on trade union members. Moreover, a trade union, its members, and officers also enjoy immunity from civil suits for certain acts done in contemplation or furtherance of a trade dispute. It is lawful for trade union members, in contemplation or furtherance of a trade dispute, to attend a picket line peacefully and lawfully. Statutory Rights of Trade Union Members •Apart from the abovementioned stipulations, members of a registered trade union have the following rights under the TUO: Inspection of union documents •Trade union members or their authorized agents have the right to inspect the account books and membership register of the union at such times and in such places as specified in the union rules. They may also apply to the Registrar of Trade Unions in writing for inspection free of charge of any documents required by law to be filed with the Registrar that is related to the union, such as annual statements of accounts, registered union rules, and lists of union officers. •Other Statutory Rights •Trade union members can take legal action against any officer of the union concerned for wilfully withholding or misapplying union funds or property, and apply to the Court for an injunction restraining the union officer from holding office or controlling trade union funds. Besides, trade union members may appeal to the Court of First Instance of the High Court against the Registrar of Trade Unions on such decisions as to the refusal to register a change of union name or refusal to register amendments to union rules, etc. Duties and Responsibilities of Trade Union Officers: Trade union officers are elected by members as their agents to handle the general administration of the union and they shall comply with the TUO and union rules in managing the union. They have to carry out the instructions of the General Meetings
  • 21. and the Executive Committee, submit the annual report and financial report of the union to members in the general meeting. Important issues shall be submitted to the General Meeting for discussion and voting by members. According to the TUO, where any offense against the TUO or any regulations made thereunder has been committed by the union, every officer of the trade union shall be guilty of the like offense unless he proves to the satisfaction of the court that the act constituting the offense took place without his knowledge or consent. Any person who in any form prescribed by the Registry of Trade Unions makes any false statement or furnishes any false information shall be guilty of an offense and shall be liable on summary conviction to a fine and imprisonment. Trade union officer makes false financial statement would also be liable for deception or other criminal offenses. Trade union officers solicit or accept any advantage on account of his any act to his Executive Committee office may amount to a breach of the Prevention of Bribery Ordinance. According to the TUO any person by false representation or imposition obtains possession of any documents, amounts of money and other effects of a trade union, or having the same in his possession, wilfully withholds or fraudulently misapplies the same, or wilfully applies any part of the same to purposes other than those directed in the union rules, the District Court may make an order requiring such person to deliver up to the trade union all such effects, or payment of a penalty and legal costs. In default of delivery of such effects or payment of a penalty and legal costs, the Court may order imprisonment. Criticism of Trade Unions: Lack of educationmakesthe workersnarrow-mindedandpreventsthemfromtakinglong-termviews. Thus,anything,whichdoesnotresultinanimmediate reward,becomesunattractivetothem.This attitude isresponsible formanystrikesandlock-outsinindustrialconcerns.Trade unionsmaynot welcome rationalizationandimprovedmethodsof productionforthe fearthatsome of the workerswill be put out of work.Therefore,theyresorttogoingslow policythatretardsindustrial progress.When laborunionsstrike because of illogical grounds,incalculablelossesoccurtoproducers, the community, and the nation.These are harmful tothe workersalso.Theysufferbecause of the lossof wages.They create artificial scarcityof laborby demandingthatonlyunionpersonnelshouldbe employed.Byundue insistence onthe paymentof standardratesof wages,theyhave onlyleveleddownthe earningsof the efficientworkers. Problems and Weaknesses of Trade Unions: 1- Uneven Growth.
  • 22. Trade unionism in India is characterized by uneven growth, both industry-wise and area-wise. Trade unions are popular in big industries and the degree of unionization varies widely from industry to industry. Besides, trade union activities are concentrated in a few states and bigger industrial centers mainly due to the concentration of industries in those places. 2- Limited Membership. The number of trade unions in India has increased considerably. But this has been followed by the declining membership perunion. 3- The multiplicity of Unions. There exist several trade unions in the same establishment. The multiplicity of unions is the result of outside leadership and labor laws. The law permits and gives sanctity to small unions. Any seven persons can form a union under the Trade Unions Act, 1926. This Act confers rights on such a union. It is allowed under the Act to raise disputes, file suits, go to conciliation and even bargain with employers. Therefore, small sections of workers are encouraged to form separate Unions. There is no restriction on the number of unions to be registered in one establishment. 4- Outside Leadership. Trade unions in India are led largely by people who themselves are not workers. These outsiders are politicians, intellectuals, and professionals having no experience of work in the industry. Outsiders continue to dominate the trade unions to advance their interests. 5- FinancialProblems. The financial position of the trade unions is weak because their average yearly income is very low and inadequate. The subscription rates are very low. Under conditions of a multiplicity of unions, a union interested in increasing its membership figures keeps the subscription rate unduly low. As a result, the funds with the unions are inadequate and they cannot undertake welfare programs for their members. Another reason for the weak financial position of the union is that large amounts of subscription dues remain unpaid by the workers. Besides this, unions do not have proper staff and organizations to collect subscriptions. 6- IndifferentAttitude of Workers. A large number of workers have not joined any union. Moreover, all the members of the trade unions do not show interest in their affairs. The attendance at the general meetings of the unions is very low. Under such circumstances, trade unionism cannot be expected to make much progress.
  • 23. Suggestions for the Development Unions: 1- One Union in One Industry: The multiplicity of unions in the same plant leads to an inter-union rivalry that ultimately cuts at the root of the trade union movement. It weakens the power for collective bargaining and reduces the effectiveness of workers in securing their legitimate rights. Therefore, there should be only one union in one industry. 2- Paid Union Officials: Generally, the trade unions avail the services of the honorary workers due to lack of funds. The practice should be stopped because honorary office bearers cannot do full justice to the task entrusted to them because of lack of time at their disposal. Suppose that you are asked to do something in the office, which requires a lot of responsibility. You are not offered anything in return. Of course, the motivational levels will come down unless and until you are a very passionate or committed person. The same applies to the officials of the unions. Therefore, paid union officials should be employed who are persons of proven integrity and who can evaluate the demands of workers so that they may negotiate with employers on equal footing. 3- Developmentof Leadership from Within: It is of crucial importance that trade unions are managed by the workers, and not by outsiders. Leadership should be developed from within the rank and file of the workers. 4- Recognition of Trade Unions: Till recently, the employers refused recognition to the trade unions either on the basis that unions consisted of only a minority of employees or two or more unions existed. Criticism: In the United States, the outsourcing of labor to Asia, Latin America, and Africa has been partially driven by increasing costs of union partnership, which gives other countries a comparative advantage in labor, making it more profitable to purchase disorganized, low-wage labor from these regions. Milton Friedman, economist, and advocate of laissez-faire capitalism sought to show that unionization produces higher wages (for the union members) at the expense of fewer jobs, and that, if some industries are unionized while others are not, wages will tend to decline in non- unionized industries On the other hand, several studies have emphasized so-called revitalization strategies where trade unions attempt to better represent labor market outsiders, such as the unemployed and precarious workers. Thus, for instance, trade unions in both Nordic and southern European countries have devised collective bargaining agreements that improved the conditions of temporary agency workers
  • 24. Several studies have found evidence that trade unions can reduce competitiveness due to a reduction of business profit, which can then lead to job losses as it makes the business unable to compete. Unions have also been criticized by conservative economists and political groups for prolonging recessions and depressions due to discouraging investment Union Publications: Several sources of current news exist about the trade union movement in the world. These include LabourStart and the official website of the international trade union movement Global Unions. A source of international news about unions is RadioLabour which provides daily (Monday to Friday) news reports. Labor Notes is the largest circulation cross-union publication remaining in the United States. It reports news and analysis of union activity or problems facing the labor movement. Another source of union news is the Workers Independent News, a news organization providing radio articles to independent and syndicated radio shows in the United States. Conclusion In conclusion, trade unions still tend to play an important role in protecting workers and helping them enforce their legal rights, particularly in cases when these rights may be uncertain or under debate. Unions will also be able to support employees when they feel that the psychological contract between workers and managers is being breached, and can help workers to renegotiate this contract if necessary. Unfortunately, a poststructuralist view of the trade unions indicates that the unions tend to be more responsive to their social contract with the workers, than to the actual needs and demands of the workplace itself. This can lead to unions behaving in overly militant ways, particularly when they feel their power and relevance are being threatened.