Trade Unions Act: 1926

Trade Unions Act: The trade unions act was passed before independence to provide legal protection to employee’ collectives and regulate them. Under the act, trade unions are to be registered with the appropriate government appointed Registrar of Trade Unions.
Maintaining smooth relations between management and labor has been one of the main objectives of Indian Industrial relations.

Laws falling under this domain are mainly regulative in nature. They specify the dos and don’ts.

The Trade Unions Act, 1926 allows freedom for any seven employees to apply to register a trade union, but a later amendment (2001) specified the minimum membership as 10% of unionizable employees or 100 employees, which ever is less. The act does not make registration compulsory. However, the registered trade union protection from certain civil and criminal actions.

The act does not specify any criterion or method for recognition of trade union by the employer as the representative of employees. Various state governments, like Maharasthra, have enacted separate legislations to deal with recognition.

The Industrial Employment (Standing Orders) Act, 1946 is regulatory in nature and is applicable to industrial establishments under the jurisdiction of central and state governments. By formally defining conditions of employment, the act serves to reduce conflict and also be a communication mechanism between management and labor.

Industrial establishments have to frame standing orders and apply for certifications for those as well. Certifications will be done by designated certifying officer after inviting objections from workmen or trade unions and considering the objections. In the absence of certified standing orders, the model standing orders provided in the act automatically apply, except in Gujarat and Maharasthra.

READ MORE--http://business.gov.in/legal_aspects/trade_unions.php