Amalgamation of Trade Unions

Amalgamation of Trade Unions

Amalgamation of Trade Unions

Amalgamation of Trade Unions means, "the merger or combining the two or more trade unions into one trade union." The previous relating to the amalgamation of trade unions has been provided under sections 24 to 26 of the Trade Unions Act, 1926.

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Amalgamation of Trade Unions

Section 24 of the Trade Unions Act, 1926, it is provided with that Any two or more registered Trade Unions may become amalgamated together as one Trade Union with or without dissolution or division of the funds of such Trade Unions or either or any of them, provided that the votes of at least one-half of the members of each or every such Trade Union entitled to vote are recorded, and that at least sixty per cent. of the votes recorded are in favour of the proposal.

Section 25 of the said Act, makes provisions for the amalgamation of the trade unions that the notice should be sent to the registrar for the change of name or amalgamation of trade unions.

Further, section 26 of the said Act, deals with the effect of amalgamation of the trade unions, it is provided that The change in the name of a registered Trade Union shall not affect any rights or obligations of the Trade Union or render defective any legal proceeding by or against the Trade Union, and any legal proceeding which might have been continued or commenced by or against it by its former name may be continued or commenced by or against it by its new name.

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Meaning and Definition of Trade Unions

The meaning and definition of trade unions have been defined under Section 2(h) of the Trade Unions Act, 1926. It defines Trade Union as “any combination whether temporary or permanent, formed primarily:

a) For the purpose of regulating relations between:

  • Workmen and employers; or
  • Workmen and workmen; or
  • Employers and employees.

b) Imposing respective conditions on the conduct of any trade or business and including any federation of two or more trade unions, is called Trade Union: Provided that this act shall not affect-

  • Any agreement between partners as to their own business.
  • Any agreement between an entrepreneur and those employed by him as to such employment; or
  • Any agreement in consideration of the sales of the goodwill of a business or of instruction in any profession, trade or handicraft.

Change in Name

With the consent of not less than two-thirds of the total members of the Trade Unions and the subject to the provisions of section 25 of the Trade Unions Act, 1926. Therefore, as per the provisions laid down in this section, the registered trade union can change its name with a two-thirds majority members' consent of the members of trade unions.

Amalgamation of Trade Unions

According to section 25 of the Trade Unions Act, 1926, any two or more registered trade unions with or without dissolution or division of the funds of such merged trade unions or any of them.

Conditions for Amalgamation of Trade Unions

The conditions for the amalgamation of two or more trade unions are laid down as;

  1. At least one-half of the members of the concerned trade union must participate and vote for the amalgamation of the trade unions.
  2. At least 60% of the votes should be recorded in the favour of the proposal for such amalgamation of trade unions.

Procedure for Amalgamation of Trade Unions

The procedure for the amalgamation of trade unions is laid under section 25 of the Trade Unions Act, 1926. As per this section, a notice in writing as to the change of the name of the trade unions after the amalgamations has to be served as follows:-

  • Notice for Amalgamation of Trade Unions
  • Registration of Amalgamation of Trade Unions
  • Effects of Amalgamation of Trade Unions

Notice for Amalgamation of Trade Unions

The notice for amalgamation of trade unions is to be served by the secretary and seven members of that trade union to the registrar of that particular trade union which one is going to be merged with another.

Moreover, if the head officers of the trade unions are located in other States, the notice is to be served to the registrar of other States also.

Registration of Amalgamation of Trade Unions

The Registrar on being satisfied with the conditions, registers by posting an entry in the Register and issuing a certificate to that effect. The Amalgamation Come into force with effect from the date of Registration.

Effects of Amalgamation of Trade Unions

According to Section 26 of The Trade Unions Act, 1926 Change of name of a registered trade union does not affect the rights and obligations of the Trade Union or render defective any legal proceeding by or against the Trade Union. Similarly, the Amalgamation of registered trade unions shall not prejudice any right of the Trade Unions or any right of the Creditor.

Frequently Asked Questions

What is the Amalgamation of Trade Unions?

Amalgamation of Trade Unions means, "the merger or combining the two or more trade unions into one trade union.

What is Section 25 of the Trade Union Act?

Section 25 of the said Act, makes provisions for the amalgamation of the trade unions that the notice should be sent to the registrar for the change of name or amalgamation of trade unions.

How is a Trade Union formed?

Any seven or more members of a trade union by submitting their names to the registrar of trade unions and otherwise complying with the provisions of the Act with respect to registration may apply for the registration of the Trade Union under the Trade Unions Act.

What is the main purpose of a trade union?

One of a trade union's main aims is to protect and advance the interests of its members in the workplace. Most trade unions are independent of any employer. However, trade unions try to develop close working relationships with employers.

Conclusion

Amalgamation of Trade Unions means, "the merger or combining the two or more trade unions into one trade union. The Trade Unions Act, 1926 is an important welfare legislation giving provisions for registration, regulation, benefits and protection for trade unions.

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