Trade Union Movement in India | Commerce & Accountancy Optional Notes for UPSC PDF Download

Introduction

Trade unions in India, much like those in other nations, emerged naturally as a consequence of the modern factory system. The evolution of trade unionism in India has a varied history marked by challenges and turbulence.

Early Period

• In the initial stages of industrial development, efforts were made by social workers, philanthropists, and religious leaders to organize workers for their well-being, primarily driven by humanitarian motives. The first Factories Act of 1881 was enacted based on the recommendations of the Bombay Factory Commission in 1875. Limitations of this Act led to workers in the Bombay Textile Industry, led by N M Lokhande, advocating for reduced working hours, weekly rest days, mid-day recess, and compensation for injuries. The Bombay Mill Owners' Association agreed to the demand for a weekly holiday. Subsequently, Lokhande established the first Workers' Union in India, named the Bombay Mill Hands Association, in 1890, along with the publication of a labor journal called "Dinabandu."
• Several significant unions were formed during this period, including the Amalgamated Society of Railway Servants of India and Burma (1897), the Printers Union in Calcutta (1905), the Bombay Postal Union (1907), the Kamgar Hitavardhak Sabha (1910), and the Social Service League (1910). However, these unions were often considered ad hoc entities and struggled to fully fulfill the functions of trade unions.

Modest Beginning

• The initiation of the labor movement in a humble sense commenced after the outbreak of World War I in India. The prevailing economic, political, and social conditions influenced the growth of the trade union movement. The establishment of the International Labour Organisation in 1919 played a pivotal role in facilitating the formation of trade unions in the country. The Madras Labour Union, organized on systematic lines, emerged in 1919, and numerous trade unions were established between 1919 and 1923. Categories such as the Spinners' Union and Weavers' Union came into existence in Ahmedabad under the guidance of Mahatma Gandhi.
• These unions were later consolidated into an industrial union known as the Ahmedabad Textile Labour Association. This union was formed on systematic lines, adhering to Gandhian principles of mutual trust, collaboration, and non-violence.

All India Trade Union Congress (AITUC)

The most significant year in the history of the Indian Trade Union movement is 1920 when the All India Trade Union Congress (AITUC) was formed to elect delegates for the International Labour Organisation (ILO). This marked the establishment of the first all-India trade union in the country. The inaugural meeting of the AITUC took place in October 1920 in Bombay (now Mumbai) under the leadership of Lala Lajpat Rai. The formation of AITUC led to the establishment of the All India Railwaymen's Federation (AIRF) in 1922, with many Company Railway Unions affiliating with it. During this period, signs of militant tendencies and revolutionary ideas became apparent.

Period of Splits and Mergers

(a) Splits and Unification within AITUC:

• The splinter group of AITUC formed All India Trade Union Federation (AITUF) in 1929.
• A split by the communists in 1931 led to the formation of All India Red Trade Union Congress.
• Efforts by the Railway Federation resulted in unity within AITUC as All India Red Trade Union Congress dissolved, and All India Trade Union Federation merged with AITUC.
• The unified AITUC faced splits during World War II, with two groups forming their central organization called the Indian Federation of Labour. Another split occurred in 1947 when Congress leaders formed a separate central organization.

(b) Indian National Trade Union Congress (INTUC):

• The efforts of the Indian National Congress led to the establishment of INTUC by reconciling the split in AITUC. INTUC began gaining membership right from its inception.

(c) Other Central Unions:

• Socialists formed Hind Mazdoor Sabha (HMS) in 1948.
• The Indian Federation of Labour merged with HMS.
• Radicals established the United Trade Union Congress in 1949.
• Additional central unions were formed: Bharatiya Mazdoor Sangh (BMS) in 1955, Hind Mazdoor Panchayat (HMP) in 1965, and Centre of Indian Trade Unions (CITU) in 1970.
• The split in INTUC in 1969 led to the formation of the National Labour Organisation (NLO).

Present Position

• As of now, there are more than 9,000 trade unions in India, encompassing both registered and unregistered entities, along with over 70 federations and confederations registered under the Trade Unions Act, 1926. The prevalence of unionism is notably high in the organized industrial sector, while it remains negligible in the agricultural and unorganized sectors.
• Despite a significant increase in the number of unions over the past four decades, the membership per union has not kept pace with this growth. According to the National Commission on Labour, only 131 unions boast a membership exceeding 5,000, while over 70% of unions have memberships below 500. The average membership figures per union have steadily declined over the years, dropping from approximately 1,387 in 1943 to 632 in 1992-93 (Pocket Book of Labour Statistics, 1997). Unions with a membership exceeding 2,000 constitute around 4% of the total unions in the country.
• In specific sectors such as coal, cotton, textiles, iron and steel, railways, cement, banking, insurance, ports and docks, and tobacco, there is a notable degree of unionization, ranging from 30% to over 70%. White-collar unions have witnessed significant growth, covering officers, senior executives, managers, civil servants, and self-employed professionals like doctors, lawyers, and traders, aiming to safeguard their interests.
• The country currently has 10 central trade union organizations, a notable contrast to countries like the UK, Japan, and the USA, which typically have one or two central trade unions. The criteria for recognition as a Central Trade Union require a combined strength of 5 lakhs members, with a presence in at least four states and four industries as of December 31, 1989. The ten recognized Central Trade Unions are: (1) BMS, (2) INTUC, (3) HMS, (4) U.T.U.C - LS, (5) AITUC, (6) CITUC, (7) NLO, (8) UTUC, (9) TUCC, and (10) NFITU. According to a survey conducted by the Economic Times on September 24, 1997, the strengths of the five leading trade unions are as follows:
• Trade Union Strength:
  • BMS: 331 Lakhs
  • INTUC: 271 Lakhs
  • AITUC: 18 Lakhs
  • HMS: 15 Lakhs
  • CITU: 3.4 Lakhs

Trade Unions in India

The labor landscape in India encompasses a vast workforce of 430 million individuals, experiencing a 2% annual growth. This workforce is distributed across three key sectors:

• Rural Workers (60%): The majority, constituting 60% of the workforce, is engaged in rural areas.
• Organized Sector (8%): This sector employs 8% of the workforce and includes formalized structures.
• Urban Informal Sector (32%): Comprising the rest 32% of the workforce, this sector involves various services, including the burgeoning software industry, and operates outside the formal sector.

Currently, there are twelve Central Trade Union Organizations in India:

• All India Trade Union Congress (AITUC)
• Bharatiya Mazdoor Sangh (BMS)
• Centre of Indian Trade Unions (CITU)
• Hind Mazdoor Kisan Panchayat (HMKP)
• Hind Mazdoor Sabha (HMS)
• Indian Federation of Free Trade Unions (IFFTU)
• Indian National Trade Union Congress (INTUC)
• National Front of Indian Trade Unions (NFITU)
• National Labor Organization (NLO)
• Trade Unions Co-ordination Centre (TUCC)
• United Trade Union Congress (UTUC)
• United Trade Union Congress - Lenin Sarani (UTUC - LS)