1

CHAPTER – 1

INTRODUCTION

1.1 Emergence of wage earners

Trade unions are voluntary organizations of workers formed to

promote and protect the interest of workers through collective action.

Trade unions are a product of industrial society. The main elements in the

development of these unions in every country have been more or less the

same. The setting up of large scale industrial units and the wide spread use

of machinery, opening of new lines of production, changes in living and

working environments of workers and concentration of industries in large

urban centres have all created a new class of ‘wage-earners’.

1.2 Emergence of large scale industries in India

The industrial working class in India constitutes relatively a small

section of the total population. India is still a predominantly rural and

agricultural country despite the growth of industries over the last century.

Before the 1850's the only industry in the modern sense was coal-mining.

However, in the decade between 1850 and 1860 a number of developments

took place which led to the preliminary stage of India's 'industrial

revolution.' A start was made at building railways around Bombay and

Calcutta, in 1854 Calcutta was linked by rail to the coal-mining centre,

Raniganj. In the same year a Scottish entrepreneur established the first jute

mill in Bengal and in Bombay, a member of the Parsi trading community

setup the first cotton textile mill.

During the next sixty years 'industrialization' was confined to these

industries. The cotton textile industry expanded in Bombay and spread out

to other centres such as Ahmedabad, Sholapur, Nagpur and Kanpur. In

1914 there were 234 cotton mills working in India employing around

2

260,000 operatives. In Bengal the jute industry also developed and by 1912

there were more than 60 mills employing about 2,00,000 workers1.

1.3 Emergence of Trade unions

The first quarter of the twentieth century saw the birth of the trade

union movement in India. Though the germs of the movement were to be

found in the last quarter of the 19th

century, S.S.Bangalee, M.Lokhande and

others succeeded in forming trade unions2. However it was not until the

close of the first World war that the modern trade union movement really

took permanent form in Indian soil.

Low wages, long hours of work and deplorable working conditions

were common factors. The workers were too weak to safeguard their

interests and resist exploitation by the employers. The bargaining power of

the individual worker vis-à-vis the employer was minimal. Collective

action was practically unknown. Competition in the labour market added

new problems to the worker’s plight because of its tendency to determine

low wages and thus undermine the living standards of the workers.

To combat the evils of industrial competition and to ameliorate their

conditions through improved bargaining power and status, the workers

organized themselves into trade unions.

Trade unions play a significant role in the industrial relations. In

India, the trade unions were created by political leaders of the freedom

movement. It is the trade unions that determine the living standards of the

employees and the economy of the country. Thus the trade unions played a

significant role not only for workers but also to the community as a whole.

1 V.B. Karnick Indian Trade Unions A survey, Manaktalas Pub. Bombay (1967) pp.7-8.

2 Ruddar Dutt, K.P.M.Sundara, Indian Economy, S.Chand. Pub. (2005)

3

In India most of the trade unions were established by political leaders as

they needed the support of the workers and the masses.

1.4 Trade unions and political affiliations

The relations between the trade unions and their political

affiliations, in the light of economic reforms, is a worthwhile discussion as

our "trade unions were born in politics and they will have to, it appears,

live and grow in politics”3, as expressed by Karnick. It involves two

important aspects:

(a) Trade union involvement in politics;

(b) Political involvement in Trade unions.

As far as the former aspect is concerned, it is desirable and

indispensable to the labour force, since it has to secure favourable

legislation and economic policies. For instance, in England, Trade unions

themselves created their own labour party. But the problem arises with the

latter aspect, i.e., political involvement in trade unions, as it is still a

controversial issue.

The main object of the trade unions was to work for the social,

economic and cultural upliftment of the workers. According to Gandhiji, a

trade union is not only to settle industrial disputes, but to cover all aspects

of work, both inside the factory and at home. Labour unions as Gandhiji

said, should aim to raise the moral and intellectual height of labour and

thus by sheer merit make labour master of the means production instead of

being the slave that it is4.

3V.B.Karnic, Trade unions and politics, Bombay university press (1968) p.15

4V.B.Karnick, Indian Labour – Problems and Prospects (1974) p.140

4

Trade unions themselves established a political party in Britan i.e.,

Labour party. In the U.S.A the trade unions are economical unions. They

concentrate on the economical needs and advancement of the employees

rather than other aspects. They do not have political affiliations to the

parties. They do not want to identify themselves as political unions

apparently. In Russia and some other countries like Ghana, the trade unions

are subordinate to the government. They have to act according to the

instructions of the Government.

N.Pattabi Raman, a scholar on Trade unions in India stated that the

outside political leadership has been the labour benefactor as well as

exploiter5. By the above statement, we can understand that if the leader is

like N.M. Joshi, who devoted all his time for the cause of the labour, the

union will be benefited. However if the leader is selfish, the union will be

exploited. This study, therefore includes the origin of the trade unions and

their nexus with the political leaders. Another considered opinion on this

aspect is as follows.

“It must be realised that outsiders are necessary to a certain extent

due to the present illiteracy of the workers, but it is considered desirable to

decrease the ratio with the advent of literacy among the workers as there is

always likelihood of the workers being exploited by irresponsible labour

leaders for political gain”.6

However, there is nothing unique in this phenomenon. In almost

every country, outsider leaders have helped and guided the trade union

movement. Particularly in its early stages, even in U.K.-"0ne will be

impressed by the contribution that was made by outsiders like Robert

5 N. Pattabi Raman, Political involvement of Trade Unions, Asian Pub. New Delhi (1966) p.163.

6 Report of the Plantation enquiry Commission (1976), P.139.

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Owen, Francis Harrison and others to the cause of labour and trade

unionism. But the leadership gradually passed on to the workers

themselves”.7

In developing countries like India, Sri Lanka and Indonesia where

these countries have recently achieved freedom from colonial domination,

the trade unions were nourished along with the freedom movements. The

leaders of the freedom movements were the leaders of trade unions. Hence,

the existence of political federations continued in India. But there is a little

change in the present trend. The trade unions are making efforts to keep

political parties away from industrial relations.

1.5 Why political involvement is necessitated in Indian Trade

Unions?

The history of the trade union movement indicates the close and

direct link between the political parties as well as contributions made by

political leaders to the growth of the unions. This close link is partly

explained by the fact that the Indian trade union movement was nursed and

developed by the political leaders of the country as a part of the national

movement for independence8.

The dominant personalities in the political movement and trade

union movement on many occasions were same. There was no trade union

untouched by the political colour of national independence. This tendency

was natural and inevitable, moreover this is not a unique phenomenon.

Wherever colonial countries had been struggling for national

independence, the trade unions have been an integral part of the national

7A.S. Mathur and J.S. Mathur, Trade Union movement in India, Chaitanya Allahabad Pub. (1962)

p. 250. 8G.P.Sinha& PRN Sinha, Indian trade unions and political parties and the problem of leadership

in industrial relations and labour legislations (1977) p.178.

6

movement. In these circumstances, it was not possible for trade unions to

remain independent, without participating in the freedom movement.

The unions desire association with the political parties and the

political parties need association with the trade unions to secure the support

of workers whose votes along with those of their family members account

for a sizeable democratic force to reckon with. So, it is a reciprocal

tendency and an important factor for mutual benefit. Moreover, there is a

belief that as a consequence of their affiliation with political parties, trade

unions are better benefited, either through legislation or through higher

bargaining power by exerting political pressure.

Indian workers are not in a position to create their own unions

because of their lack of literacy and economically poor standards of living.

On the other hand due to sophisticated lifestyles of the modern world, they

usually stick to the religious traditions and sentiments e.g. most of the

workers think or attribute their position to the “Karma or the theory of

Rebirth”9.

The workers were poor and illiterate and were in constant dread of

being thrown out of employment. The outsider with his influence in the

local area was therefore, requested by the workers to assist in forming a

trade union and to represent their grievances to their employer. The

workers assumed that their condition was a punishment for their sins which

were done in their previous life.

Our society has been a hierarchical society. The superiority of the

employer is paramount and the workers are never regarded as equals at the

9Ruder Dutt, Indian Economy, 51

st Edition, S.Chand Pub. New Delhi (2005) p.724.

7

bargaining table. Hence, some means of high status are required to

represent the grievances of the workmen to the employer.

The problem of the fear of victimisation is widely prevalent,

particularly with regard to Indian conditions. Hence, the workers required

outside help to channelize their aspirations.

Continuous dominance of the trade union movement by outsiders

due to the inability of the trade unions to develop internal leadership is

apparent. The trade union finances are too inadequate to pay for full time

leaders. Hence, they have to depend on outside leaders.

Compulsory adjudication has necessitated that the union leadership

must be adept in law because of the volume of complex legal provisions

under which trade unions in India operate. This puts heavy burden on the

union leadership. The legal skills necessary for resolving disputes through

the legal process is unlikely to be found among inside leaders10

. Thus

unions were and are led by non-workers who are usually persons with

political connections.

1.6 Trade unions and Indian conditions

a) Dominance of outsiders

Outside leadership has been playing a vital role in the Indian trade

union movement due to the inability of insiders to meet the needs and

demands of the movement, in view of the low education standards and

poor command over the English language which is still the principal

language of legislation. There is a criticism that outside leadership

undermined the proposals of the trade unions and weakened their authority.

10

R.Chatterji, Union Politics and the State, South Asian Pub. New Delhi (1980) p.194.

8

Personal benefits and prejudices, sometimes, weighed more than the

interests of unions and adjudication of industrial disputes.

b) Political unionism

In India, trade unions were established by political leaders of

freedom movement. Political parties have taken a lot of interest in

organizing trade unions since the Nineteen Twenties in order to secure

mass support for the freedom movement. Most of the trade union leaders

were also the political leaders or at least had political loyalties. These

leaders were more interested in their political elevation than the genuine

welfare of the workers.

c) Multiple unions

Multiple unionism both at the plant and industry levels poses a

serious threat to industrial peace and harmony in India. Every political

party wants to establish a trade union in order to get a foothold among

workers and thereby secure a large bloc of votes. In doing this, they

unleashed divisive tendencies in the union structure by setting up rival

unions at the plant, industry, regional and national levels which resulted in

multiplicity of unions.

In a country like India the problem of multiplicity of unions prevails

in the entire industrial scene because of the multiparty system.

d) Union rivalry

The system of multiple unionism resulted in inter union rivalry in

different industries. The inter union rivalry breaks the very purpose of the

trade unions by weakening the strength of collective bargaining.

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The state of rivalry between two groups of the same union is said to

be intra-union rivalry. Inter-union and intra-union rivalry have been a

potent cause of industrial disputes in the country. They are responsible for

the weak bargaining power of trade unions in collective bargaining. These

rivalries are also responsible for the slow growth of the trade union

movement in the country.

e) Finances

Most of the unions in India suffer from inadequate funds. Sound

financial position is an essential ingredient for the effective functioning of

trade unions. Because of inadequate funds most of the trade unions are

unable to engage full time trade union leaders to replace the outside leaders

who do not understand the workers’ problems as they do not live the life of

a worker.

f) Absence of paid office bearers

Weak finances do not permit unions to engage the services of full

time, paid office bearers and union activists. Outside leaders who work on

part-time basis, neither have the time nor the energy to take up the union

activities sincerely and diligently.

g) Illiteracy

Most of the workers in India are unable to understand the

implications of modern trade unionism. Their illiteracy coupled with

ignorance and indifference account for the predominance of outside

leadership.

1.7 Trade unions methods to promote their interests

The precise methods used by trade unions to further their aims vary

considerably from country to country even from union to union within the

10

same country. Nevertheless, their principal methods fall broadly into two

categories - industrial and political. Industrial methods include negotiations

with the employer and all that belongs to collective bargaining, grievance

procedure, picketing, strike action, arbitration and so on. Political methods

on the other hand cover all types of union participation in party politics.

When they use political methods they bring their power and influences to

bear on the parties or the government. In practice the distinction may be

difficult to draw at the margins, especially as industry and politics have

become increasingly interwoven.

When they have choice, trade unions inevitably prefer to rely on

industrial rather than political methods to achieve their aim. This does not

mean that they necessarily dispose political action. On the contrary they are

ready to resort to it as a second string to their bow. It means that they are

prepared to use political methods to get support and to supplement their

industrial methods. Thus labour unions employ two general methods in

promoting and protecting their interests.

1.8 Aim of the present study

The present study aims at studying how the unions, particularly

political unions are functioning in the wake of the introduction of

economic reforms from 1991, which implies privatization, globalization

and liberalization.

Even before the introduction of economic reforms, the problem of

political parties’ involvement has always been a controversial issue. One

set of scholars like Karnick and Murthy say that political involvement is

necessary, essential and inevitable for the development of trade unions.

Otherwise trade unions will indulge not only in industrial action i.e.,

strikes, dharnas and picketing but also resort to violence. Another set of

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people like Dr.Siddique say political involvement not only retards the

internal leadership but also creates a measure of indiscipline, intimidation,

assault and violence in the industrial atmosphere and also creates confusion

about the future of trade union movement.

Prof.B.Benerjee in his article Trade Unions and Politics explains the

term political trade unionism as follows.

"Political trade unionism refers to the pre-occupation of trade unions

with political activities, consequently neglecting legitimate activities of

industry for which trade unions were formed”11

.

1.9 Welfare state and economic reforms

India after independence adopted the philosophy of welfare state.

Article 38(1) of the Indian Constitutions provides that “the state shall strive

promote the welfare of people by securing and protecting as effectively as

it may, a social order in which justice, social, economic and political, shall

inform all the institutions of the national life”. This article, which

contained in the Directive Principles of State Policy reaffirms what has

already been said in the preamble. Article 39 provides:

(a) Equal right of men and women to adequate means of livelihood

(b) Distribution of ownership and control of the material resources of the

community to the common good.

(c) To ensure that the economic system should not result in concentration

of wealth and means of production to the common detriment.

(d) Equal pay for equal work for both men and women etc.

Thus the Directive Principles of the Indian Constitutions resulted in

enacting a series of labour legislations such as Minimum Wage Act, Bonus 11

Prof.B.Benerjee, Trade unions and politics, law quarterly Journal, June (1980) p.1l7.

12

Act, Factories Act and Contract Labour (Regulation and Abolition) Act etc.

These acts aimed at to provide protection and justice to the working class

which was weak and defenceless. Hence the state assumed an

interventionist role in industrial relations and it continues to hold the same

position even after many changes have taken place in the industrial system.

Now the situation has changed. Our indigenous industries are being

replaced by multinational corporations. Introduction of economic reforms

caused severe effects with regard to employment opportunities apart from

job losses which resulted in reduction in membership of trade unions.

All over the world, the workers’ response to the technological and

organizational changes is undergoing a change. Indian workers cannot be

an exception.

Various changes taking place in different economies are affecting

the strength and strategy of the trade unions. Growing unemployment in

developed as well as developing countries and the declining hold of

communism and socialism adversely affect the role of the trade unions.

International legislative changes such as resolutions of World trade

organization etc. reduce the immunities of the trade unions by opening up

opportunities for legal actions by employers, and by attempting to regulate

internal organizational matters of the unions. These changes often look

more like long term shifts and not just temporary experiments. These

changes have increased employees’ fears about job security. Technological

change brings both fear and hopes; fears for established skills and job

opportunity and hopes for longer term growth and productivity

improvement.

13

Opinions vary about the effect of technological change on industrial

relations. Some holding pessimistic view say that the new technology is yet

another weapon in the armoury of employers seeking to degrade work,

while some others think optimistically that it will reduce the demeaning

unpleasant jobs.

In developing countries like India, where the labour movement has

to encounter a substantial portion of small enterprises, the unions are linked

to political parties and the political parties are competing for trade union

support. As a result, pluralism of trade unions has assumed a complex

nature.

The package of economic reforms includes both stabilization and

structural adjustment. Structural adjustment policy aims at promoting

market led growth through privatization, trade liberalization, deregulation,

disinvestment of public sector undertaking and so on. The main objectives

are to promote economic efficiency through deregulation and integration of

the Indian economy with the global economy. Privatization and

introduction of multinational corporations one way or other suppress the

freedom of the workers because they reduce the work force and replace

workers with technological inventions.

The key elements of Economic reforms are

(a) Liberalization

(b) Privatization

(c) Globalization

Liberalization denotes one of the government policies associated

with economic reforms which reduces regulations of economic activity and

limits the intervention of the state on business activity and allowing for

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unfiltered operation of market forces in determining the economic process.

An important feature of liberalization is the removal of the licence system.

Now there is no need to wait upon ministers and departments for licences.

Another feature of liberalization is the easing of import restrictions and

removal of Monopolies and Restrictive Trade Practices (MRTP) Act which

would enable the private sector to grow in size in the place of the public

sector.

Privatization in a narrow sense means replacing public sectors with

private ownership or even without changing ownership, induction of

private management and control in the public sector enterprises.

Globalization implies growing interdependence in the world

economy where by resources flow from one region to another, goods and

services also move relatively fully from one region to another. The aim of

globalization is to see the entire world as one economic unit.

1.10 Effects of economic reforms on trade unions

(a) Structural adjustment which advocates technical upgradation

ultimately leads to large scale unemployment and workers on a large

scale will be retrenched and no trade union can enable them to find

new jobs. The trade unions would thus lose their credibility to some

extent.

(b) Private industries particularly multinational industries, according to

their different structures and strategies, like technical knowledge,

productivity, quality would prefer to have company unions posing a

challenge to the trade union movement.

(c) More unions will be freed from political dominance. The big trade

unions in their efforts to survive will seek more and more an efficient

inter dependent system of functioning.

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(d) Trade unions will be seeking protection more through contractual

obligations than from Industrial Disputes Act. The grand idea of

participation in management will die its natural death. The

managements of new modem industries would keep the workers’

organizations at arm’s length. The workers in general would turn a

deaf ear to the voice of the trade unions and trade unions will have no

alternative but to have one center of labour thus ending, all the

multiplicity of unions12

.

The above changing trends and atmosphere compel the trade unions

to unite themselves for their self-existence. The combined effect of the

harsh macro-economic realities, external pressures, technological changes

and restructuring of enterprises will further weaken the already weak trade

union movement. The economic reforms and present global situation

demand trade unions to give up their negative, agitational and formational

approach vis-a-vis managements and engage in more constructive and

participatory dialogue with both the government and the employers.

It should be clear from the preceding analysis that the trade union

centres in India today need moving closer urgently on issues that

have so far kept them divided and have weakened their movement in

general. The new awareness and concern among workers help to meet the

inevitable challenges of adjustment and modernization, to emphasise

neglected areas of the work situation and to influence the labour market

process more constructively.

The recent economic policies have far reaching implications on the

future of trade unions in India. Their future is also a subject matter of

12

Samuel Masilamani, Economic Reform and Trade unions in India, Friedrich EbertStiftung Pub. New Delhi (1995) p-49.

16

debate throughout the world since trade unions have the potential of

contributing to economic growth. The industry is primarily concerned with

excelling in the highly competitive global environment. The use of latest

technology, which is essential today has considerably reduced the role of

the mass production workers resulting in an adverse impact on the unions.

The unions are now expected to shift to a more cooperative role of

increasing productivity and quality13

. There is a threat regarding the future

of the trade unions throughout the world. Therefore it is high time to

discuss about the political trade unions that are known as weak trade

unions in the present new environment in India, in particular.

1.11 Objectives of the study

The study deals with a set of specific objectives which are as

follows.

1. To analyse the relation between trade unions and politics.

2. To examine the impact of economic reforms on trade unions.

3. To assess the functioning of trade unions which are politically affiliated

in the present situation where the government is attempting to privatise

public service undertakings.

4. To compare the functioning of independent trade unions and the trade

unions having affiliations with political parties.

5. To analyse the advantages and disadvantages of the independent and

politically affiliated trade unions.

History tells that the trade unions are created and developed by

political leaders and most of the labour legislation is the result of the

political leader’s continuous pursuit. It is only because of this reason the

trade unions remain faithful to political parties. Introduction of economic

13

B.P.Guha, Challenges of Economic Reforms Impact on labour and Industrial relations, B.R.Pub. New Delhi (1997) p.168.

17

reforms threaten the very existence of the trade unions because of exit

policy, structural adjustment, and globalization. History is also a witness to

the fact that because of political affiliations there had developed a culture

of splitting in the trade union movement and the workers give importance

to the political ideology to which their unions are affiliated rather to their

economic needs.

Hence the study also attempts to show how trade unions have to

move away from the culture of splitting to bringing unity among

themselves by keeping away from political ideology in order to save the

existence of trade unions and achieving the welfare of workers.

1.12 Sample Selection

For this purpose the scholar selected trade unions of Andhra Pradesh

State Road Corporation, which have political affiliations with all the

parties. The reasons which led to the selection of the above establishment

are numerous. APSRTC is the largest transport corporation in India

employing nearly 1.5 lakh employees in different categories. The unions in

APSRTC have affiliation to important national federations like AITUC,

NITUC, CITUC etc. Besides, there is also the presence of a major

independent union called National Mazdoor Union which was elected as

representative union several times. In the APSRTC therefore is the

availability of political as well as independent trade unions. Further, it is a

public enterprise which is always controversial and we often see the

problems of APSRTC being discussed in the print media and electronic

media. At present, there is a threat of privatization because of economic

reforms. Hence there is change in the attitudes and strategies of the

political unions.

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1.13 Hypothesis

a) Political parties played a crucial role in the emergence of labour

movement and trade union movement in almost all countries in the

world.

b) Wherever the trade union movement had been strong they played an

important role in the establishment of balance of power relations

between employer and workmen, thus contributing to the overall

welfare of the working class.

c) Economic reforms have posed a great threat to the trade union

movement throughout the world.

d) For the effective functioning of the trade unions, political involvement

shall be minimized, particularly for Indian conditions, in the light of the

changes in the economic policies of the government.

1.14 Purpose of the study

The purpose is to get a comprehensive understanding of political

and independent trade unions and find out the advantages and

disadvantages particularly in the light of the new economic environment in

the industries. This would enable to formulate necessary remedial measures

for improving healthy and strong trade unions in order to combat and face

new situations not only in India but also in the world. Another purpose is to

find out how far these economic reforms further weaken the already weak

political trade unions in APSRTC and to suggest remedial measures in

order to reduce the problems that the trade unions as well as the

management have been trying to solve.

After introducing economic reforms the government identified five

major public sector undertakings including APSRTC as loss making

industries. Since then the government is using many strategies to privatize

APSRTC which is the largest transport corporation in the country, one with

historical credentials of serving the people even before independence.

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1.15 Methodology

In the present study both doctrinal and empirical research methods

are used. The data and other information relating to trade unions and

politics in the light of economic reforms in APSRTC has been collected

through questionnaire method. While collecting answers to questionnaires

interviews were also conducted in order to collect reliable data. Care was

taken to ensure that the answers of the workers, trade union leaders and

executives were not unduly influenced by the wording of the questions.

Simple language was used in the questionnaire in order to have good

communication with the workers and the trade union leaders.

Prolonged interviews were conducted with union officials, workers

and management officials in order to gather information about the

advantages of political unions and independent unions and the ill effects of

political affiliations of trade unions in the Andhra Pradesh State Road

Transport Corporation to find out the impact of economic reforms and the

strategies of the government of Andhra Pradesh to privatize APSRTC.

Much care has been taken to avoid personal bias, at the time of conducting

the interviews.

1.16 Limitations

There are limitations in collecting the data as most of the workers,

drivers and conductors, are educationally backward and unable to respond

to the problems associated with economic reforms such as liberalisation.

The workers and trade union leaders who have political affiliations with

their union, do not admit the truth with regard to the damage caused by

political leaders and the parties as they have strong loyalties with the party

and political leaders. Therefore some of the answers they gave to the

questionnaire and at the time of the interviews are half hearted.

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More over the study is a limited study which is restricted to the

Andhra Pradesh State Road Transport Corporation.

1.17 Presentation of study

The present work is conveniently divided into eight chapters.

The First chapter which is introduction to the thesis provides an

outline of concept of trade unions, discusses why political leaders became

part of the trade unions, briefly narrates about the nature of economic

reforms and its impact on trade unions, in addition to the hypotheses,

objectives and purpose of the study it also contains a brief narration of the

methodology used in the collection of data.

The second chapter deals with the evolution of trade unions and

trade unionism and the approaches of trade unions which can be termed as

frames of reference. The theories of trade unions are discussed briefly in

this chapter so as to have a comprehensive study. Brief history of the trade

union movement in Britain and India, functions and problems of trade

unions, meaning, advantages and dis-advantages of political as well as

independent unions are also discussed in this chapter.

The third chapter which is titled Trade Unions and Politics in

developed and developing countries and the impact of economic reforms,

provides a comparative study as to how the trade unions function and their

relations with the political parties. This chapter includes a discussion on the

impact of economic reforms on developed and developing countries.

The fourth chapter deals with the concept, freedom of association

and Article 19(1)(c) of the Constitution of India with reference to important

case law. This chapter also analyses the statutory definition of ‘trade union’

under section 2(h) of the Trade Unions Act, 1926. This chapter also

21

discusses ILO conventions and freedom of associations. The summary of

Trade Unions Amendment Act, 2001 has been included in this chapter.

The fifth chapter examines the ‘trade unions and collective

bargaining’ in which the important aspects like the nature and meaning of

collective bargaining, growth of collective bargaining, collective

bargaining and legal framework, recognition of trade unions, new trends in

collective bargaining and recommendations of the National Commission on

labour (NCL) etc. are discussed.

The sixth chapter is unique in which aspects such as economic

reforms and its implications, trade unions under changing economy,

structural adjustment programme and its implications for labour are

discussed. Issues like impact on trade unions, new role of trade unions,

responses of trade union federations, emerging challenges before trade

unions and strategies of trade union federation to protest against reforms

are dealt with in detail.

The seventh chapter attempts to deal with the empirical study in

which data is collected from trade union members, office bearers and

officials of the management of APSRTC. This chapter is again divided into

three sections. Section I deals with methodology. Section II deals with the

origin of trade unions in APSRTC and origin of APSRTC, views of trade

unions regarding trade unions and politics in APSRTC. Section III deals

with impact of economic reforms in APSRTC.

The last chapter ‘Summary and Conclusions’ presents an overall

summary. The findings and suggestions of the study are discussed in detail

to find out remedial measures for strengthening trade unions and

suggesting the measures to face new situations in the new economic

scenario.