Cabinet Approves Bill To Provide Statutory Recognition To Trade Unions
Activists of trade unions staging a rail blockade as a part of nationwide strike in Guwahati on Friday. (Source: PTI) 

Cabinet Approves Bill To Provide Statutory Recognition To Trade Unions


The government on Wednesday approved amendment to the Trade Unions Act, 1926 to make provisions regarding recognition of trade unions.

The present act provides for only registration of trade unions. However, the recognition of trade unions is governed by guidelines in the 'Code of Discipline' evolved in 1958, voluntarily accepted by employers and employees.

The recognition is necessary because recognised trade union of an industry or establishment gets bargaining or negotiating rights with the employer.

According to the statement released by the government, these amendments will:

  • Facilitate recognition of trade unions at central and state level
  • Ensure true representation of workers in tripartite bodies
  • Check on the arbitrary nomination of workers' representatives by the government
  • Reduce litigations and industrial unrest.

The proposed Bill will ensure that the nomination of workers' representatives in tripartite bodies by the government will become more transparent. The trade unions so recognised will be accountable in maintaining industrial harmony.

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