Duties and Liabilities of Registered Trade Union

What are the Duties and Liabilities of Registered Trade Unions?

The trade union Act of 1926 imposes certain duties and liabilities on registered trade union are as follows:

1. General Fund:

The general funds of a registered trade unions shall not be spent on any objects other than the following:

  1. The payment of salaries,allowances and expenses to the office-bearers of the trade union.
  2. The payment of expenses for the administration of the trade union,including the audit of the accounts of the general funds of the trade union.
  3. The prosecution or defence in any legal proceeding to which the trade union or any member thereof is a party,when such prosecution or defence is undertaken for the purpose of securing or protecting any rights of the trade union.
  4. The conduct of trade disputes on behalf of the trade union or any member thereof.
  5. The compensation of members for loss arising out of trade disputes.
  6. The allowances to members or their dependents on account of death,old age,sickness,accident or unemployment of such members.
  7. The issue of or the undertaking of liability under policies of assurance on the live of members,or under policies insuring members against sickness,accident,or unemployment.
  8. The provision of educational,social or religious benefits for members or for the dependents of members.
  9. The upkeep of a periodical published mainly for the purpose of discussing questions affecting employers or workmen as such.
  10. The payment of contributions to any cause intended to benefit workmen in general. The expenditure on such contributions in any financial year shall not at any time during that year be in excess of 1/4th of the combined total of the gross income which has up to that time accrued to the general funds and of the balance at the credit of these funds of the trade union during that year.
  11. Subject to any conditions,any other object notified by the appropriate government in the official gazette.

2. Political Fund:

A registered trade union may constitute a separate fund for political purpose from which payments may be made for the promotion of the civic and political interests of its members. This fund may utilized only in furtherance of the following objects:

  1. Holding of any meeting or distribution of any literature or document in support of any candidate for election as a member of legislative body constituted under the constitution or of any local authority.
  2. For maintenance of any person who is a member of any legislative body constituted under the constitution.
  3. For convening of political meeting of any kind or distribution of political literature or documents of any kind.
  4. The registration of electors for selection of a candidate for legislative body.

The funds collected for political purposes shall not be clubbed with the general fund. No workman is compelled to contribute in this fund and the nonpayment in this fund cannot be made a condition for admission to the Trade Union.

The conditions for the creation of political fund are :

  1. The fund can be created only from contributions separately levied for or made to that fund.
  2. Members must not be compelled to contribute to the fund.
  3. A member who does not contribute to the said fund must not be excluded from any benefits of the trade union,or placed under any disability or disadvantage,directly or indirectly, as compared with other members of the trade union,except in relation to the control or management of the political fund.
  4. Contribution to the political fund must not be made a condition for admission to the trade union.