CONTENTS

Chapter I

Introduction

Need for the Study

Scope of the Study

Objectives of the Study

Methodology of the Study

Limitations of the Study

Chapter II

Industrial Profile

Chapter III

Theoretical Frame Work

Chapter IV

Data Analysis and Interpretation

Chapter V

Findings & Suggestions

Conclusion

Bibliography

ANNEXURES

Questionnaire

CHAPTER - I

INTRODUCTION

INTRODUCTION

In single sense Human Resources Management means employing people,

developing their resources, utilizing, maintaining and compensating their services

in tune with the job and organizational requirements with a view to contribute to

the goals of the organization, individual and the society.

Michael J. Julius defined Personnel Management as “The field of

management which has to do with Planning, Organizing, Directing and controlling

the functions of procuring, developing, maintaining and utilizing a labour force,

such that the

a). Objectives for which the company is established are obtained economically and

effectively.

b). Objectives of all levels of personnel are served to the highest possible degree

and

c). objectives of society are duly concerned and served.

According to Prof. P. Subba Rao, Human Resources Management (HRM)

can is managing, Planning, Organizing, Directing and Controlling) the functions of

employing, developing and compensating Human Resources resulting in the

creation and development of human relations with a view to contribute

proportionately to the organizational, individual and social goals.

Features of Human Resources Management:

1. Human Resources Management is concerned with employees both as

individuals and as a group in attaining goals. It is also concerned with

behavior, emotional and social aspects of personnel.

2. It is concerned with the development of human resources, i.e, knowledge,

capability, skills, potentiality and attaining and achieving employee goals,

including job satisfaction.

3. Human resources management covers all levels and categories of employees.

It covers both orgainised and unorganized employees.

4. It applies to the employees in all types of organizations in the world (industry,

trade, service, commerce, economic, social, religious, political and

government departments). Thus, it is common in all types of organizations.

5. Human Resources Management aims at securing unreserved co-operation

from all employees in order to attain predetermined goals.

“Trade unions have become an integral and powerful factor in the

contemporary system of production and distribution of goals and services. Modern

industrialization has paved the way for trade unions. They are now exercising a

strong influence on the methods of production of goods and services, their

distribution, the allocation of economic resources, the volume of employment and

unemployment, the character of rights and privileges, policies of governments the

attitude and status of large masses of population, and the very nature of economic

and social organization, under such conditions their role has evoked deep and wide

controversies. For a developing economy such as ours, trade unions and their

policies are of special significance. As such in order to assess their functions, role

and prospects, it is essential to go into the origin and development of trade union

movement and to outline the factors that helped them reach such a strong and

forceful position from a small and humble beginning.

NEED FOR THE STUDY

This project study is confined to the development of trade union movement

on the Indian Railways with a reference to existing machinery for grievance

redressal and policy formulation.

Organizations are liable to be changed rapidly and unpredictably by the

impacts of global scenario. Accordingly, legislative policies and practices with

changes in other environmental factors are posing challenges before organization

to excel in the competition. This is more in the service sector, as service is non-

durable employees play vital role in adapting to the challenges whose relations

with management are more important for effective functioning of an organization

‘Railway’ is no exception to this.

SCOPE OF THE STUDY

The scope of this project study is the development of trade union movement

on the Indian Railways with a reference to existing machinery for grievance

redressal and policy formulation.

While touching upon certain limitations of the present system, an attempt

has been made to suggest certain ways and means for integration of worker

management interests by clearly defining the management logic and the worker

logic and thus evolving an article of faith to achieve better productivity and mutual

satisfaction.

The study reviews the general approach to decision making in the

participative management with special emphasis on the role played by the workers

and the managers.

OBJECTIVES OF THE STUDY

The name of the trade union is “The South Central Railway Employees

Sangh” here in after referred to as the “Sangh”. The objectives are:

1. To safeguard and promote the status, prospects and interest of its members

and to foster a spirit of cooperation, mutual trust and fellowship among the

members employed in the south Central Railway employees sangh,

Secunderabad division.

2. To promote a feeling of mutual trust and good will between the Railway

Administration and its employees.

3. To secure redressal of grievances, without stop-page of work by means of

negotiation and conciliation and failing there by arbitration or adjudication.

4. To develop a sense of responsibility towards the industry in the employee of

south central railway employees sangh, Secunderabad division.

5. To establish joint industrial relationship among the employee of south

Central Railway employees Sangh, Secunderabad Division.

METHODOLOGY OF THE STUDY

The concept of methodology relates to the methods adopted for the research

work. It also includes the process of collection of data from different sources.

Methodology is the basis for the systematic performance unless the work is

preplanned and organized the result.

For the purpose of the study, the data is collected in two ways. Those are:

1. Primary data

2. Secondary data

1. Primary data: primary data is collected directly through personal contacts

and information.

2. Secondary data: the secondary data has been collected from the company’s

records, journals, books on “Trade Union”

SAMPLING:

The sample for the study is selected based on the purposive sampling

method. South Central Railway carriage workshops, South Lallaguda,

Secunderabad is selected.

Sampling Size : 100 employeesSampling Media : Questionnaire method

LIMITATION OF THE STUDY

The duration of the study for a period of two months was a limitation for an

in-depth study of overall analysis.

This study is confined to certain selected variables of trade union; hence it

does not cover the entire ground of trade unions of Indian Railways.

The study being a sample study, generalization cannot be made about the

‘Trade Union’ in Indian Railways.

The opinions have been collected from the executive members of south

central railway employee’s sangh.

CHAPTER - II

INDUSTRIAL PROFILE

INDUSTRIAL PROFILE

The novel plan for the introduction of a rail system, transformed the whole

history of India. This innovative plan was first proposed in 1832; however no

auxiliary actions were taken for over a decade. In the year 1844, private

entrepreneurs were allowed to launch a rail system by Lord Hardinge, who was the

Governor-General of India. By the year 1845, two companies were formed and the

East India Company was requested to support them in the matter.

The credit from the UK investors led to the hasty construction of a rail

system over the next few years. On 22nd Dec’ 1851, the first train came on the track

to carry the construction material at Roorkee in India. With a passage of one and a

half years, the first passenger train service was introduced between Bori Bunder,

Bombay and Thana on the providential date 16th Apr’ 1853. This rail track covered

a distance of 34 kms (21 miles). Ever since its origin, the rail service in India never

turned back. The British Government approached private investors and persuaded

them to join the race with a system that would promise an annual return of 5%

during the early years of operation.

Once finished, the company would be transferred under the Government

ownership, yet the operational control will be enjoyed by the original company. In

1880, the rail network acquired a route mileage of about 14,500 km (9,000 miles),

mostly working through Bombay, Madras and Calcutta (three major port cities).

By 1895, India had started manufacturing its own locomotives. In no time,

different kingdoms assembled their independent rail systems and the network

extended to the regions including Assam, Rajasthan and Andhra Pradesh. In 1901,

a Railway Board was formed though the administrative power was reserved for the

Viceroy, Lord Curzon. The Railway Board worked under the guidance of the Dept

of Commerce and Industry. It was comprised of three members

- a Chairman, a Railway Manager and an Agent respectively.

For the very first time in its history, the Railways instigated to draw a neat

profit. In 1907, most of the rail companies were came under the government

control. Subsequently, the first electric locomotive emerged in the next year.

During the First World War, the railways were exclusively used by the British. In

view of the War, the condition of railways became miserable. In 1920, the

Government captured the administration of the Railways and the linkage between

the funding of the Railways and other governmental revenues was detached.

With the Second World War, the railways got incapacitated since the trains

were diverted to the Middle East. On the occasion of India’s Independence in

1947, the maximum share of the railways went under the terrain of Pakistan. On

the whole, 42 independent railway systems with thirty-two lines were merged in a

single unit and were acknowledged as Indian Railways. The existing rail networks

were forfeited for zones in 1951 and 6 zones were formed in 1952. With 1985, the

diesel and electric locomotives took the place of steam locomotives. In 1995, the

whole railway reservation system was rationalized with computerization

.

Indian Railway has a vast network of rail tracks throughout the

dimensions of India. The network covers 28 states, 3 union territories and some

areas of Nepal, Bangladesh and Pakistan. Indian Railways (IR) uses a rail track of

108,805 kms approx in total length; whereas the total route length of the network is

not less than 63,465 km. Himsagar Express covers the longest distance of 3751 km

on the rail tracks from Jammu Tawi to Kanyakumari. Indian Railways has divided

the country into four main and twelve other zones on the basis of their coverage

area, divisions etc. IR is acclaimed to encompass one of the largest rail networks in

the world. Indian Railway Map helps in knowing about the wide coverage

provided by the trains of India. This railway route map of India would also assist in

exploring the all destinations that are served by the Railways.

INDIAN RAILWAYS PHOTO GALLERY

Indian Railways, with its vast network coverage, is providing impeccable services to the

rail users in India. IR has got many comfort trains like Shatabdi Express, Rajdhani Express etc.

Besides comfort trains, there are many luxury trains including Fairy Queen, Palace on Wheels,

Deccan Odyssey and Heritage on Wheels. Indian Railway boasts not only of passenger trains, it

has ample of locomotives, coaches and freight wagons. The photo gallery of Indian Railways

peeps into the picturesque trains, rare steam engines and locomotives of India. Check out the

Indian Railway picture gallery.

INDIAN RAILWAY FACTS

Indian Railway is certainly the ‘Lifeline of the Nation’ with its

commendable performance since the last 150 years. Indian Railways is known to

be the largest railway network in Asia and world’s largest railway system under a

single management. IR employs about 1.6 million people, making itself the second

largest commercial or utility employer in the world.

IR boasts of more than 7,500 railway stations in its periphery. It has a fleet of not

less than 7800 locomotives, 40,000 coaches & 3,26,000 wagons. 9 pairs of

Rajdhani and 13 pairs of Shatabdi Express Trains run on the rail tracks of India. In

1977, the National Rail Museum was established at New Delhi. Given here is a list

providing some interesting and amazing facts about Indian Railways.

Indian Railways Interesting Facts

First Passenger Train Ran On: 16th April 1853 (between Bombay to Thane)

First Railway Bridge: Dapoorie Viaduct on the Mumbai-Thane route

First Rail Tunnel: Parsik Tunnel

First Ghats Covered by Rail Lines: Thal and Bhore Ghats

First Underground Railway: Calcutta METRO

First Computerized Reservation System Started In: New Delhi (1986)

First Electric Train Ran On: 3rd Feb’ 1925 (between Bombay VT and Kurla)

Toilets on Trains Introduced In: 1891 (1st Class) & 1907 (lower classes)

Shortest Station Name: Ib (Orissa)

Longest Station Name: Sri Venkatanarasimharajuvariapeta (Tamil Nadu)

Busiest Railway Station: Lucknow (64 trains everyday)

Longest Run (Time): Himsagar Express (3751 km in 74 hrs and 55 min)

Shortest Run: Route between Nagpur and Ajni (3km)

Longest Run for Daily Train: Kerala Express (3054 km in 42.5 hrs)

Longest Non-Stop Run (Distance): Trivandrum Rajdhani (528 km in 6.5 hrs)

Longest Railway Platform in the World: Kharagpur (2,733 ft in length)

Longest Railway Bridge: Nehru Setu on Sone River (10044ft in length)

Longest Tunnel: Karbude Tunnel of the Konkan Railway (6.5 km)

Oldest Preserved Locomotive: Fairy Queen (1855), still in working order

Gauges of Track: 4 Gauges; BG (5’6”), MG (1 metre), NG (2)

IR Daily Runs: About 14,000 trains

IR Daily Carries: More than 11 million passengers & 1 million 17ones of freight

IR’s Only Line with Rack & Pinion System: From Mettupalayam to Conoor

IR’s Fastest Train: Bhopal-Shatabdi (runs at a speed up to 140 Km/ph)

Railway Station with all the Three Gauges: Siliguri Railway Station

Route Kilometers of Track: More than 62,000 kms

People Employed in IR: About 1.6 million people

Train with Maximum Number of Halts: Howrah-Amritsar Express (115 halts)

Trains without Commercial Halts: Sampoorna Kranti Express, Howrah Rajdhani,

Bombay Rajdhani, Pragati Express and Pune Shatabdi

Stations across State Lines: Navapur (Maharashtra and Gujarat), Bhawani Mandi

(Madhya Pradesh and Rajasthan)

Classes of Travel on Indian Railway: Ist AC, 2nd AC, 3rd AC, AC Chair Car 2nd

sleeper & 2nd ordinary

RAILWAY ZONES

SOUTHERN INDIAN RAILWAY

Headquarters: Chennai

Divisions: Chennai, Madurai, Palghat, Tiruchchirapalli,

Trivandrum, Salem

Established on: 14 April 1951

Southern Railway (SR) is credited to be the first railway zone that

sought establishment in liberated India. On April 14th 1951, Southern Railway was

established by combining three state railways including Madras and Southern

Mahratta Railway, South Indian Railway and Mysore State Railway. Initially, the

Southern Railway was formed in the British times, when Great Southern India

Railway Co. was initiated in Britain (1853). At the outset, Tiruchirappalli was

designated as its headquarters. However, it got registered as a company in 1890 at

London.

The capital city of Tamil Nadu, Chennai serves as the headquarters of

Southern Railway. The zone has been segregated into six divisions namely

Chennai, Madurai, Salem, Palakkad, Thiruvananthapuram (Trivandrum) and

Tiruchirapalli. The Southern Railways encompasses several states including Tamil

Nadu, Pondicherry, Kerala as well as little segments of Andhra Pradesh and

Karnataka. Over 500 million passengers commute on the southern railway network

annually. As a matter of fact, this zone derives all its revenue from passengers

rather than freight, making it different from other zones of Indian

In 2005, Railway Board approved formation of new Railway division

to develop the railway infrastructure and for better administration. Salem was held

as the headquarters for the new division. The creation of this division helped a lot

to launch better train services, hence rewarding the requests of railway passengers.

The places like Coimbatore and Tiruppur (highest revenue yielder) are currently

integrated in division of Salem. Salem is the infant division of the Southern

Railway that shaped out from divisions of Palakkad and Tiruchirapalli.

Most of the section of Southern Railway has Meter Gauge, which is a

contrast to maximum railways having Broad Gauge. Soon, various plans for

improvement would be charged to renovate all tracks to Broad Gauge, develop

stations, swathe platforms and superior catering stalls. An automated signal system

would also be installed to avoid accidents. Chennai Central Station is known to

serve 1 million passengers daily. Advancement of stations including Chennai,

Tiruchirapalli, Madurai, Palghat and Thiruvanathapuram is under the process.

WESTERN INDIAN RAILWAY

Headquarters : Mumbai

Divisions : Mumbai Central, Baroda, Ratlam, Ahmedabad, Rajkot,

Bhavnagar

Established on : 5 November 1951

The Western Railway (WR) is one amongst the most hustling rail networks

in India. Along with the headquarters of Central Railway, Mumbai enjoys the

authority over this railway network too, being the headquarters sited at Church gate

(Mumbai). The western line of the Mumbai suburban railway system is also

managed by the Western Railway. The entire zone is segregated into six divisions

namely Bhavnagar, Mumbai, Ratlam, Rajkot, Vadodara and Ahmedabad.

As per the dates, Nov’ 5 1951 was the golden day when the Western

Railway came into being. It was formed by merging numerous state-owned

railways together with the Bombay, Baroda & Central India Railway (BB&CI) and

the Saurashtra, Rajaputana & Jaipur Railways. In Apr’ 1867, the first suburban

service with steam traction was started in Mumbai. The network was extended till

Churchgate by 1870. With 1900, 45 trains were employed in both directions to

carry more than 1 million passengers every year.

In 1928, the first electric train on this was launched between Churchgate and

Borivali. Ratlam – Mumbai Central, Ahmedabad – Vadodara and Palanpur –

Ahmedabad are some of the main railway lines of Indian Railways that come under

the jurisdiction of western Railways. WR covers the state of Gujarat, the eastern

segment of Rajasthan, a fraction of Western Madhya Pradesh and coast of

Maharashtra. Western Railway serves number of ports on the west coast of India.

The prominent ports being Kandla, Okha, Porbandar, Bhavnagar(Gujarat)

and Mumbai (Maharashtra), generate decent revenue to Indian Railways. In

Mumbai, the suburban section of the zone sprawls from Churchgate to Dahanu

Road covering a sistance of 120 kms, while connecting 38 stations. Another

prominent fact about Western Railway is that it has the most electrified railroad

system of the Indian Railways. Owing to this, Western Railway is the imperative

railroad system in India.

CENTRAL INDIAN RAILWAY

Headquarters : Mumbai

Divisions : Mumbai, Bhusawal, Pune, Solapur, Nagpur

Established on : 5 November 1951

The Central Railway (CR) is perhaps the oldest railway zone of Indian

Railways. That is one amongst the largest of the sixteen zones bifurcated by Indian

Railway. Central Railway also boasts of the first passenger railway line in India

that connected Bombay with Thane. Central Railway has its headquarters at

Chhatrapati Shivaji Terminus (before Victoria Terminus) in Mumbai. Mumbai,

Pune, Kolhapur, Solapur and Bhusawal are some of the major cities that fall under

the Central Railway zone.

CR covers the major part of Maharashtra, north-east part of Karnataka and

southern part of Madhya Pradesh. The Central Railway zone is further structured

into five divisions namely Mumbai CST, Bhusawal, Nagpur, Solapur and Pune. On

Nov’5 1951, Central Railway was established by consolidating numerous

government owned railways, together with the Great Indian Peninsula Railway and

the Scindia State Railway. Earlier, Central Railway Zone also featured northern

Madhya Pradesh, Chattisgarh and southern part of Uttar Pradesh.

Owing to its wide area coverage, CR was the largest railway zone having

maximum track mileage and staff. However, the areas were allocated to the West

Central Railway zone in April 2003 for better administration. Central Railway

zone is also notable for its Matheran Line, which connects Neral with the hill

station of Matheran in the Western Ghats, on the Mumbai-Pune main line. Deccan

Queen, Gitanjali Express, Punjab Mail, Hussain sagar Express and Pushpak

Express are some of the distinguished trains that run under the management of the

Cental Railway.

NORTHERN INDIAN RAILWAY

Headquarters : Delhi

Divisions : Delhi, Awmbala, Firozpur, Lucknow, Moradabad

Established on : 14 April 1952

The Northern Railway (NR) is one amongst the nine older zones of Indian

Railways, Delhi, the capital city of India, serves as the headquarters of Northern

Railway. The whole zone is divided into five divisions namely Delhi, Ferozpur,

Ambala, Lucknow and Moradabad for smooth administration. Northern Railway is

also acknowledged to have the largest route kilometers of track (6807 km) under

its control consistently yet after the streamlining of the railways into the new

structure of zones.

On 14 April 1952, Northern Indian Railway came into being amalgamation

of Jodhpur Railway, Bikaner Railway, Eastern Punjab Railway, north-west of

Mughalsarai and three divisions of the East Indian Railway. Northern Railway

embraces states of Jammu and Kashmir, Punjab, Haryana, Himachal Pradesh,

Uttarakhan, Uttar Pradesh, Delhi and Chandigarh (Union Territory) in India. Not

only this, NR is also known for operating world’s largest route relay interlocking

(RRI) at Delhi.

EASTERN INDIAN RAIWAY

Headquarters : Kolkata

Divisions : Howrah, Sealdah, Asansol, Malda

Established on : 14 April 1952

The Eastern Railway is one of the major zones of Indian Railways. Fairley

Place in Kolkata being its headquarters, the Eastern zone is segregated into four

divisions including Howrah, Malsa, Sealdah, and Asansol for better administration.

On 14 April 1952, the Easterb Railways was created by merging the East Indian

Railway encompassing divisions of Sealdah, Howrah, Asansol and Danapur with

Bengal – Nagpur Railway.

At present, Eastern Railway encompasses 2383.38 Kilometers of

route. For the economy of the country, the region attended by the Eastern Railway

is really significant. Besides ministering the most populated expanse of the

country, Eastern Railway deals with the area that is prosperous in industry,

agriculture and minerals. The three major workshops of Eastern Railway are

located in Jamalpur, Liluah and Kanchrapara.

Eastern Railway elongates to the Bangladesh bnorder in the East,

whereas Lalgola, Mlada and Kiul in the North, Kakdwip near Ganga Sagar in the

South and Asansol and Jhajaha in the west. In order to accommodate long distance

passenger rush, the Railway runs a large number of high-speed long distance

trains. Rajdhani Express, being the premium one, ran for the first time (1969) on

the tracks of ER and NR between Howrah and Delhi.

Eastern Railway is also known for making most of its suburban routes

electrified, yet the routes that have not been electrified, are getting served by

Diesel Multiple Units. The overall originating traffic of Eastern Railway comprises

86 percent of coal. In Eastern India, the major Power Houses and Industries rely

upon the coal encumbered on the Eastern Railway. Not only this, Eastern Railway

also transfers Iron, Steel, Stone, Cement, Jute, Tea, Textile, Automobiles etc.

CHAPTER III

THEORITICAL ASPECTS

THEORITICAL ASPECTS

Trade union is an association of employees formed for the social,

economical, psychological and political well being among them. Trade unions

come into existence for protecting for economic and social interests of its

members. Trade unions help in neutralizing the resistance for change and are

necessary for country’s progress in general and a sound industrial climate in

particular.

Trade unions usually from with primary intention of helping its members

from arbitrary and depressive decisions of management, in this process, union’s

flight/ bargain with the management for improvement of working conditions of

employees and other work related aspects. Obviously, the goal of union is

represent the interest of the members, Economic, psychological and social needs of

members are satisfied in the process.

In order to fulfill the philosophy, the trade unions work with two broad

goals. The first one being the provision of social satisfaction through a group

activity and expressing solidarity in case of need. The second one is to gain social

power and control to emerge as leader representing the interest of the members.

The Indian Railways being the largest employer in the country, its trade

union leaders from the very beginning have been playing a major role in shaping

the industrial relations policies of India and some of them were so prominent that

they occupied important positions at the center level as well as state and created a

lasting impact on the political atmosphere of India.

In india, structure and functioning of trade unions are mostly developed

based on the British Practices. They discharge different functions namely welfare

functions, need fulfillment function and political function. It is relevant to note that

National Commission of Labour recommended that Trade unions in India should

pay attention to some of the following important functions:

To secure fair wages for workers

To enlarge opportunities for promotion and training

To promote individual and collective well being

To broaden the understanding of workers and facilitate technological

advancement

To become instruments for constructive purposes such as promotion of

national integration, influencing of socio- economic policies of the

community through active participation etc.

In India, a number of factors influence the functioning of trade union. Such

problems include multiplicity of unions and recognition of unions. The existence

of multiple trade unions in an industry leads to lot of politicization and internal

fights. This leads to failure in bargaining process. Apart from this, leadership

ambiguity makes outside dominance, political interference coupled with financial

and membership problems. This leads to establishment of genuine union by the

process of recognition. Even the legislative frame work also require that the

agreement entered with recognized trade unions will only have binding effect on

parties.

However a number of problems surround this recognition process. Unions

have made a long struggle in order to get certain code for their recognition.

Because of which the tri particle conference of National Commission of labor has

formulated certain principles and procedures for recognition of trade unions. They

are

Where there is more than one union, a union claiming recognition should have

been functioning for at least one year after registration. Where there is only one

union, this condition would not apply.

The membership of the union should cover at least 15% of the workers in the

establishment concerned membership would be counted only if members had

paid their subscriptions for at least three months during the period of six months

immediately preceding the recognition.

A union may claim to be recognized as a representative union for an industry is

a local area if it has a membership of at least 25% of the workers of that

industry in that area.

When a union has been recognized, there should be no change in its position for

a period of 2 years.

Where there are several unions in an industry or establishment the one with

largest membership should be recognized.

Only unions, which observed the code of Discipline, would be entitled for

recognition.

A representative union for an industry in an area should have the right to

represent workers in all the establishments in the industry. But if a union of

workers in a particular establishment has a membership of 50% or more of

workers, it should have the right to deal with matters of purely local interest

such as for instance the handling of grievance pertaining to its own members

and

In case of trade union Federations not affiliated to any of the four central

organizations of labor, the question should be dealt with separately.

Accordingly, a recognized trade union shall have to submit all required returns

to the Register of the Trade unions. The Registrar is empowered to de – recognize

the union Recognition of union to certain extent reduces the inter union rivalries

that prevail because of multiplicity of unions. However, for maintaining

harmonious inter- union relations the central labor unions namely INTUC, AITUC,

HMS and UTUC have adopted certain inter relations code, which is as follows:

1. Every employee in an industry shall have the freedom and right to join a

union of his choice.

2. There shall be no dual membership of unions

3. There shall be unreserved acceptance of and respect for democratic

functioning of trade unions

4. There shall be regular and democratic election of executive bodies

5. Ignorance of workers shall not be exploited

6. There shall be no violence, coercion, intimidation or personal vilification in

inter union dealings and

7. All central unions shall combat the formation of company unions.

It is relevant to note what Gandhiji said that Union should raise to the moral

and intellectual heights of labour and such qualities in labour will make them

master of the means. He desired an equal status for capital and labor and opined

that there should be mutual trust between these two elements by developing a clear

understanding and co-operation.

Gandhiji trusteeship never advocated coercion and agitations rather he

advocated for class collaboration, mutual confidence and self-sacred heartedness as

the pillars of relations between management and working class. At the same time,

Gandhiji advocated scientific organizing of trade union. He advocated for strong

trade unions that should work on the activities to increase welfare of members. The

cardinal principle of Gandhian Philosophy is truth, Non-violence, family feeling,

co-partnership, trusteeship and arbitration.

PRE – INDEPENDENCE ERA

In general, the trade union movement has emerged mostly with the advent of

industrialization. The post First World War conditions of economic hardship due to

escalated cost of living, nationalism and scarcity of labor has led to the formation

of labor unions. In 1942, after the first tripartite labor conference, four major

central trade union organizations have been formed. However, the history of trade

union movement in India can be traced to the year 1877 when the workers of

Express Mills at Nagpur staged a combined protest. In 1895, the work at Budge

Jute Mill in Bengal was stopped collectively. In 1890, Lokhande and Bengali

established an organization by name Bombay Mill Hands association. In 1905,

another organization was formed in Calcutta by the name The Printers Union

followed by formation of the Postal Union 1907. These unions are considered first

organized labor organizations in India. Later the impact of industrial revolution

triggered the formation of number of trade unions. This is because the

industrialization has brought the rural people to the urban areas. They have started

conglomerating in urban areas as factory workers and have faced pathetic working

and living conditions. Certain indelible imprints have specific impact on Indian

trade union movement, which area as follows:

The success of Russian Revolution,

The Swaraj movement widening the gulf between the employees and

employers and brought about a mass awakening among the workers

demanding racial equality with their British employers,

The establishment of ILO in 1919 emphasizing dignity to working class,

Non co-operative movement of Gandhiji during 1920-21 and the support to

the demands of Industrial labor.

The era of trade union growth from the end of eighteenth century to the

beginning of nineteenth century even in the British regime has been impressive.

Wadia formed the first union in 1890, on the initiative of Gandhiji, Spinners and

Weavers unions were formed. AITUC was established under the leadership of Lala

Lajapath Roy. It has emerged as a sole representative of working class. Some of

the measures taken by the then government like launching of welfare measures,

recognition of trade unions have enhanced the status of Indian Trade Unions. In

1942, a tripartite labor conference was convened for the first time to provide a

forum for discussion and understanding between labor and employers. However,

the post war and independence scenario has poised division of union. In 1947, the

AITUC has been divided and INTUC was formed. The INTUC has been under the

subjective guidance of Congress Party. However, it has emphasized on negotiation,

conciliation and adjudication of industrial disputes and believed in democratic and

peaceful means of achieving harmony and augmenting good industrial climate.

Later split of unions and obtaining sympathy of political parties has become more a

common phenomenon in our country.

The passing of Trade Union Act 1926 gave legislative protection to trade

unions. The act defined the structure, form, finance and working aspects of the

trade union. The recognition and de-recognition of trade union have become more

formal under the act. This has surely enhanced the security and status of trade

unions in the country.

During the pre-independence era, in India, the Managers ruled the scene.

Most of them resorted to power play and gave the minimum facilities/benefits to

the workers that what they could possibly demand and get and this resulted in

exploitation of labor to a great extent. The Railways, however, did not follow this

policy.

During the same period, the Railway’s chief Commissioner, as early as 1924,

introduced the scheme of coordinated Local Committees for local settlement of

disputes and to prevent exploitation of labor. The years followed the development

of Shop, Committees, Welfare Committees and Staff Committees and medical and

educational facilities to Railway men and to their families as a model employer for

the first time going beyond the traditional barriers. The Indian Railways is the first

organization to have a Member (Personnel) on the Board to look after the staff

problems giving due importance to this human relation aspect.

The power-game played by the various managements did not allow the

workers to grow and get their due wages and even prevented them forming Labor

Unions.

In June 1927, Indian Trade Act came into operation to render organizations

of labor lawful for collective bargaining. They were permitted to negotiate with the

employers in respect of matters connected with employment, non-employment,

condition of labor etc.

In 1929, the Government passed the Trade Disputes Act. The act provided for

the establishment, on an ad-hoc basis, of Courts and Board of Conciliations for

investigating trade disputes. This act contained certain provisions restricting strikes

in Public Utility Services but at the same time provided no assurance to the

workers to have a dialogue to settle their grievances and thus restricted the growth

of organized labor movement and ultimately this resulted in wide spread unrest

which reached its peak in 1947.

POST-INDEPENDENCE ERA

In 1947, after independence, due to socialistic ideology and political

considerations, the Government of India adopted a pro-labor approach and

replaced the Trade Dispute Act 1929 by industrial Disputes Act of 1947 based on

the then existing environment with only Railway and Post & telegraph

Departments as Public Undertakings and a new concept of compulsory

adjudication was introduced in Industrial Jurisprudence. The act also sought to

promote collective bargaining with the help of conciliation machinery of the

Government. With the expansion of Industries and several Public Undertakings

coming into existence after 1947, the provisions of the Industrial Disputes Act

failed to help the worker in fulfilling their aspirations in the changed

circumstances.

The Industrial Disputes Act, which provided for a fair and equitable

intervention by State on the principles of natural justice, did not help in quick

redressal of grievances. The labour court procedures spelt out in the Act were time

consuming and only the administration could afford the delays involved in settling

the disputes, even though the Labour Unions became stronger by way of protection

from Industrial Disputes Act provisions. During this era, the Ministry of Labour

wanted to protect itself as a model employer. Efforts were made to ensure that the

relationship between the labour and managements remained cordial but the

Railway Ministry and other Ministries did not fully respond to their expectations.

Instead, the Public sector Organizations resorted to power game. The management

could not decide which was fair to the workers because the Audit questioned the

legality of various issues and measures. As a result, instead of questioning

themselves “is it fair for the workers”, they started examining under what rule the

labour is eligible for a particular demand. Thus the public sector undertakings took

a legalistic approach and resorted to power game. The managements resorted to ad-

hoc settlements moving from situation to situation without any systematic

approach. The industrial Disputes Act of 1947 was only amended in 1984

incorporating certain provisions giving a rational approach.

Trade Unions in India have successful stories of participation in the national

development too. In the process of planning, trade unions have continued to play a

significant role. They were giving direction to the policy makers of the country.

It is interesting to note that in the planning advisory board, trade union

leaders were made as members and the first Deputy Chairman of Planning

Commission was an eminent trade union leader. In this way trade unions have a

clear potential in influencing the policy and willingness of Indian Politics to make

the country industrially sound. Trade Unions marched in forming lobbies with the

Government in influencing the Government policy and achieving implementation

of beneficial schemes to workers. In India, there is no dearth of sound policy base

but the problem exists in the process of implementation.

1977 and 1982 can be considered the landmarks in the years of which

tripartite labour conferences were held. Indian Labour Conference is the apex body

of the workers that solicit the Government on policy making. The Indian Labour

Conference held in 1985 has reinforced the agenda of supporting the plans of

growth and provide a meaningful interaction among various interest groups in

furtherance of India’s industrial progress. In spite of the growth and development

of trade union, certain impediments come in way of sound management of trade

unions. Some of them are small size of trade unions, poor financial structure, and

multiplicity of trade unions, politicization and dominating outside leadership.

Role of union in Indian Railways

In this chapter, it is intended to present the major issues that caused disturbed

industrial relations in the Organization. At the same time, the recognitions and the

role-played by the recognized/unrecognized unions in bringing harmonious

industrial relation in the Railway are also discussed.

ISSUES OF CONCERNING IN INDIAN RAILWAYS

1. Three Railway Strikes:

In spite of Permanent Negotiating Machinery (PNM) and joint Consultative

Machinery (JCM) facilities for sorting out the staff problems by mutual

discussion, the Indian Railways had to face three strikes. On issues connected

with need based minimum wage, neutralization of cost of living index and

Dearness Allowance due to lack of settlement, Railways had to face a 5 days

General Strike during July 1960.

Since the administration refused to refer the issues of Bonus/DA/Need based

minimum wage after a failure of agreement in Departmental JCM to

arbitration, Railway men resorted to 1 day strike in September 1968.

On issues connected with Bonus, reclassification and restructuring, parity of

wages with Public Sector Undertakings, decasualization and non-victimization

of staff, the Railway men resorted to 22 days General Strike in May 1974.

All the three strikes left bitter memories in the mind of the staff.

After 1974, there is no occasion of any strike in Indian Railways. However,

strike notices are served twice i.e. on 4 th September 1997 and in 2006 for

speedy implementation of report of Vth Central Pay Commission and for

appointment of VIth Cental Pay Commission respectively.

2. Origin Permanent Negotiating Machinery (PNM):

The Trade Union Act of 1927 and the Industrial Disputes Act of 1947 and

Payment of Wages Act of 1936 failed to fulfill the long-standing expectations

of employees, their Unions started agitating with a view to resorting to strike.

Railway Minister had negotiations with the Federations and agreed to set up

Permanent Negotiating Machinery on the Railways in 3 tiers i.e. Divisions,

Zones and Railway Board Level and Adhoc tribunals for maintaining contact

with labour and resorting disputes and differences which may arise between

them and the administration. Thus the Permanent Negotiating Machinery

institution was born on the Indian Railways in 1951. The policy directive

contained in Railway Board’s letter dated 24.12.1951 and 21.7.1958 are given

at annexure I and II. This machinery did not function properly in the initial

stages due to lack of understanding on both sides to give up rigid stands on

issues and absence of any provision for arbitration was the main drawback.

3. Origin of Joint Consultative Machinery (JCM)

After 1960 strike, the Government felt that the need for a Joint Consultative

Machinery to bear and settle the grievances of the employees with a provision

for arbitration on items of dispute and instituted Joint Consultative Machinery

in 1968. The joint Consultative Machinery functions in two tiers i.e., through

National and Departmental Councils. The National Council has 50 members

on the staff side representing various departments of government of India. The

Railway men’s share is major with 26 members (out of 50) represented

equally by two federations. The second tier of Departmental Joint

Consultative Machinery at Railway Board’s level is functioning well with 30

representatives equally distributed from both the recognized federations.

Details are given at Annexure III. This JCM procedure brought out two

distinct improvements – firstly, it provided opportunity for both the

Federations to come closer as members of the staff side and thereby develop a

common stand on staff matters, secondly, it provided compulsory arbitration

on important matters. These provisions have made it possible to have some

earnest discussions by the parties concerned without the issues being referred

to a third person whose award might leave both the parties dissatisfied.

Departmental JCM at 2nd tier did very good work and is reasonable for all

cadre benefits of Railway employees during the recent past.

4. Board of Arbitration

In the early 70s, important awards were secured from the Board of Arbitration

(JCM) at the instance of the Federations on the issues viz. Grant of Semi-

Skilled Grade to all Gangmen, Grant of Transfer Allowance to all Class III

and Class IV employees, Grant of Special Pay of Rs.150/- per month to Loco

Foreman Grade Rs. 450-575 (AS), Revision of the scale of pay of Stock

Verifiers, grant of 12 days casual leave to Workshop staff and many more

issues.

5. Participation Of Railway Employees In Management (PREM)

As a first step towards labour participation in the Management, the Railway

Ministry had constituted Corporate Enterprise Group (CEG) of Management

in the year 1972, which consisted leaders of NFIR and AIRF. Through this

CEG, the labour organizations were given the opportunity to highlight their

view points on the working and also suggest measures needed to be taken for

improving the efficiency of Railways. The Corporate Enterprise Groups

(CEG) at Railway Board, Zonal and Divisional levels was restructured during

the year 1994 as participation of Railway Employees in Management (PREM)

to facilitate meaningful and effective participation of workers in the

management process.

6. Recognition of Unions Indian Railways:

Indian Railways are divided into 16 zones for the easy administration and

each zone has its own independent administration under the control of General

Manager. The recognition of unions is granted zonal railway wise. Two

unions are recognized in each zonal railway and they are affiliated to their

respective Federations at nation level. The Federations are, National

Federation (AIRF). South Central Railway having its headquarters at

Secunderabad too has recognized two unions and that is taken in the report for

the purpose.

South Central Railway has staff strength of little more than one Lakh

including Officers.

There are two employees’ unions recognized viz.

1. South Central Railway Employees’ Sangh (affiliated to National

Federation of Indian Railwaymen/ NDLS)

2. South Central Railway Mazdoor Union (affiliated to All India

Railwaymen Federation)

These two unions are entitled to negotiate with the Management at

Divisional and Zonal Headquarters level in respect of matters connected

with employment or non-employment or terms of employment conditions of

labour of all or of any of its members. Copies of terms of recognition given

to both the recognized unions are at Annexure IV(a) and Annexure IV(b).

Code of Discipline and provisions of Trade Union Act govern the conduct of

trade unions. Each union has equal number of branches over the zone i.e.

around 120 branches. Each union has 35 members in the Executive

Committee functions at Headquarters level and elections of Office Bearers

in the recognized again at Division level to work under zonal offices headed

by Divisional Secretary, It is stipulated that each branch will not have less

than 250 members and branch office will have 10 office bearers to function

at branch level directly under Divisional office.

a). One channel of communication: Zonal/Divisional units are authorized

only one channel of communication in that, the Zonal secretary or his

authorized assistant can correspond with General Manager/ Chief personnel

officer. This is to eliminate contradictory references from branches and also

to give more authority to zonal/divisional secretary.

b). Meetings with recognized unions: Each Divisional Unit has three to four

office bearers who have dialogue with the Divisional Railway Manager.

Each Branch has 10 elected office bearers and 15 nominated similar

privileges to that of 10 elected office bearers. All the elected office bearers

and five commit members only are eligible for special casual leave and five

committee members only are eligible for special casual leave and passes to

travel for attending branch council meetings. Both these unions have the

facility of special leave and free passes to travel for attending the following

meetings:

1. General Council/General Body/ Central Working Committee Meetings

subject to a maximum of 7 meetings in a year,

2. Divisional Council Meetings – 4 Meetings a year,

3. Branch Executive Committee Meetings – 6 Meetings a year,

4. PNM Meetings held at Division level or at Headquarters Level once in

two months as the case may be,

5. Monthly meetings on payment items and

6. Informal meetings

7. Tribuanals

The then existing Joint Advisory Committee, in spite of its liberal approach,

could not solve all the problems arising out of the Third Pay Commission’s report.

A large number of issues remained unresolved and consequently the Sankar Saran

Tribunal was appointed through an agreement arrived between the Federation

(NFIR) and the Railway Board during 1953 under PNM rules. Even while the

Tribunal was sitting, marathon discussions were held between the Federation and

the Railway Board in which 67 important cases pertaining to revision of scales of

pay of a large number of categories of staff were decided and 5 issues only were

left to be decided by the Tribunal. For the first time, the benefit of up gradation

was provided to skilled artisan staff as an outcome of these discussions/pleadings.

The Railway Labour Tribunal, 1969, otherwise known as the Miabboy

Tribunal was a landmark in the history of the Railway Labour Movement. The

Tribunal was appointed in 1969 as a result of an agreement between the Federation

(NFIR) and the Railway Board to arbitrate upon certain outstanding issues. This

was the second Tribunal emanating under the PNM rules. Some of the main

features of the Tribunal’s Award as follows:

Workshop staff:

1. Mistries supervising the highly skilled Grade I be given the Grade of 175-240

(AS)

2. Mistries holding independent charge of a section should be upgraded to

Chargemen ‘C’

3. Foreman ‘A’ should be given a Special Pay of Rs. 150/- per month as

superintending allowance.

4. In the case of the Foreman ‘B’, instead of paying Special Pay, the scale be

revised to Rs. 450-575(AS)

Casual Labour

1. Casual labour should be given temporary status after completing 120 days of

service.

2. Project casual labour employed for continuous period of six months on the

same type of work should be given temporary status.

Gangmate and Keyman

Gangmate should be given the scale of Rs. 105-135(AS) instead of the scale

Rs. 80-110(AS). The Keyman should be given the scale of Rs. 75-110(AS) instead

of Rs. 75-95(AS).

Running Staff

All inter-divisional and long passenger trains should be upgraded to Grade

‘A’ provided the total run is not less than 250 Kms.

Hours of Employment

The significance of the Award in this respect does not lie merely in the fact

that it reduced the working hours of enhanced the overtime rate, but it changed the

very concept of the Hours of Employment on the Railways. The Award also

introduced many wholesome features.

At the end of the marathon discussions prior to the 1974 strike by a section of

the Railway men, an agreement was arrived at between the Federation and Railway

Board to review the existing classification of Artisan Staff in Technical Branches

of Workshops and Maintenance Departments. Accordingly, a Tripartite Railway

Workers’ Classification Tribunal 1976 was appointed with shri. N.N. Tandon,

Retired Member Mechanical (Railway Board) as Chairman and one each from

NFIR and AIRF as Members. The Tribunal was appointed under the PNM Rules.

It was unfortunate that the first experiment of the Tripartite Tribunal under

the PNM Rules failed. Serious differences arose between the Official side and the

Labour side on the hand and also between the Chairman and the Labour side on the

other and there was deadlock in the functioning of the Tribunal as a result of which

the Tribunal had to be ultimately abandoned. In spite of the abandonment of the

Tribunal, negations continued between the Railway Board and the Federations and

a Joint Bipartite Committee was appointed to go into all the issues. It is heartening

to note that where the Tribunal failed, the Bipartite Machinery succeeded. 45

standard Semi-Skilled Trades had already been classified as skilled. As a second

step, 25 standard semi-skilled trade designations were also upgraded as a result of

the deliberations. The remaining 8 trades were later upgraded as skilled consequent

upon the negotiations between Railway Board and the Federations. In addition to

the above developments, many other decisions were taken to the satisfaction of the

staff.

7. Anomaly Committees

The Anomaly Committee constituted to rectify 3rd pay Commission’s

anomalies, had teething problems from the beginning. While the Railway Board

had its own reservations regarding the scope of Anomaly Committee’s functioning,

the Federation (NFIR) succeeded in utilizing the forum to the advantage of

Railway men. After umpteen numbers of meetings, the Anomaly Committee

submitted the Report in April 1976 accepting the revision of pay scales in the case

of 14 minor categories covering a large number of staff.

The Bipartite Anomalies Committee for Railways took into the anomalies

arising from the recommendations of the Fourth Pay Commission and their

implementation was set up in 1988. The committee consisted of 4 members from

the official side and 4 members each from the two Federations. In the course of

discussion there was agreement on 5 items for which orders were immediately

released. The proposals of staff side for 4 items was not agreed by the official side

and decided that these need not be pursued further. 7 items have been decided to be

referred to the National Anomalies Committee set up by the National Council

(JCM).

8. Career Advancement Planning For Group ‘D’ staff

Although the class IV employees of Railways were brought on the uniform

scales of during 1957 (First Pay Commission), the major problem of their career

advancement was not looked into. More than half of total workforce of Indian

Railways was engaged on maintenance of Permanent way, Execution of work,

Running of Trains and Operations, which constitute Class IV employees, who

survived on meager pay packet. There was no reasonable avenue for their career

improvement to higher grades of Group ‘C’. This had generated serious frustration

among these neglected classes of workers.

The class IV Promotion Committee, 1957 had made several

recommendations for substantial improvement of Group ‘D’ staff through

promotion to Group ‘C’ and above, it is unfortunate that they continued in Group

‘D’ itself for more than half of their total service – even after four decades from the

date of recommendations of the Promotion Committee. Consequent to constitution

of a sub-committee, no satisfactory progress was made. However, due to efforts of

the Federation (NFIR), orders were issued by Railway Ministry earmarking 16

2/3% vacancies in Group ‘C’ (Scale Rs. 3050 – 4590) to be filled by Group ‘D’

staff through selections. The Federations continue to pursue the issue and as part of

its efforts, a comprehensive proposal suggesting various measures has been sent to

Ministry of Railways for further dialogue.

9. Productivity Linked Bonus

The Railways had been hitherto exempted from the Bonus Act. The Railway

men had to wage persistent struggle for over a decade to secure bonus on par with

other Industrial Employees. The first productivity Linked Bonus (PLB) agreement

was signed on November 22, 1979, consequent to the negotiations held between

Federations and the Government. This PLB agreement was, in fact, an epoch

making endeavor, and in turn enabled the Ministries to emulate the example. The

agreement was renewed in August 1984, keeping the same norms for determining

Bonus.

During May 1985, the federations demanded the abolition of the ceiling of

Rs.1600/- per month. As emphatic plea was made to raise the eligibility limit to

include all Group ‘C’ staff and this should made applicable to the year 1984-85.

Subsequently the Bonus Act was accordingly amended raising the ceiling from Rs.

750/- to Rs. 1600/- payable from the year 1984-85. The ceiling limiton monthly

salry for the purpose of eligibility to bonus was further raised from Rs.1600/- to

Rs.2500/-. It needs special mention here that the Federations continued consistent

efforts for securing Bonus to Railway men bore the fruit as a result of landmark

agreement reached with the Ministry of Railways in November 1979. Thereafter,

the matter was further pursued for improving the Scheme and eligibility criteria.

As a result of serious struggle and ultimatum by Federations supported by all the

groups of Railway men, the Union cabinet met on 17.10.1996 and gave its

approval for removal of salary eligibility ceiling that facilitated payment of Bonus

to all the Railway men(Group ‘C’ & ‘D’) irrespective of their salaries.

10. Negotiated Settlement – A Historic Event

The negotiated settlement reached on 11th September, 1977 with the

Government was a historic event, wherein not only serving Central government

employees, but also retired Central government Employees got 40% fitment

benefit of their pay and as well penisonary benefits respectively. This was a unique

decision with no parallel in the Indian trade Union Movement of Post –

independence era. The Federation (NFIR) played a very effective role during

marathon discussions by insisting that nothing short of 40% of pay fitment benefit

would be acceptable.

Another landmark achievement in Vth Central Pay Commission was getting

improved pay scales to Artisan Categories and also revised pay scales of Accounts

Department of Railways.

11. Report of Expert Group on Railways

The Ministry of Railways has appointed a Railway Expert Group headed by

Dr. Rakesh Mohan, Director general, National Council of Applied Economic

Research on 31st December 1998 to look into-

a. Estimate the financing requirements of an expansion and upgrading

programmed for Indian Railways,

b. Identify the sources of funding of the estimated investment,

c. Study models of structure and ownership of rail transport facilities; and

d. Recommend suitable regulatory arrangements.

The expert group gave a voluminous report on 12.02.2001 with

recommendations like imparting greater commercial orientation, achieving a high

growth rate with increasing line capacity and other matching inputs catching up the

arrears of replacement of assets and other safety related works, Screening and

deletion of unviable projects, rational hikes of fares and freights and compensation

for social burdens to be carried by Indian railways etc. the report envisages

Railways to follow the path of 7% growth of traffic to achieve break-even level.

The Expert Group has brought out the crucial fact; the growing financial crisis

being faced by Indian Railways today has been the result of the faulty investment

policies pursued dueing 1990s.

Reacting on the Report of Expert Group, the Federation (NFIR) has pointed

out in the National Workshop held at Vadodara in September,2001, many

corrective measures were suggested and some of the same are cited below:-

i. No investment without adequate return, say at least 12 to 15%, except

for strategic reasons, must be made in the next decade. The entire

ongoing projects should be subjected to close scrutiny, pruned/phased

out.

ii. Technological improvements in track, locomotives, rolling stock and

signaling will go a long way to improve productivity. For instance

speed of goods trains can be improved by inducting more power

packed locomotives and upgrading suspension system of wagons to

improve line capacity apart from reduction of accidents since

maximum punishment to track comes from the goods stock with

inadequate suspension arrangement.

iii. In order to attract merchandise goods, Indian Railways reduce the trip

time considerably and provide necessary logistics for movement of

goods from warehouse to warehouse so as to bring down in inventory

cost of high rated goods locked up in transit.

iv. In order to attract high rated traffic, Indian Railways may have to

guarantee the transit time, violation of which may attract stiff

penalties.

v. There is too much departmentalism in railways that leads to wasteful

expenditure and unproductive working, which needs rectification.

vi. Railway Board Presently engaged in a number of activities like day to

day monitoring of train operations, tendering/store procurement etc.

all such activities should be given away and entrusted to the

respective Zonal Railways.

The Federation (NFIR) opposed the recommendation of the Expert Group for

accelerated reduction of Man Power in Indian Railways. Majority of the

workforce are living in areas where facilities of Medical, Educational and Social

life are not available and are giving best account of themselves by ensuring the

uninterrupted services round the clock despite all those odds.

The observation that 25% of total staff in Indian Railways is excess’ appears

have been coined to cover up the failures on various fronts such as planning,

execution, marketing and leadership etc. the federation further stated that, due to

inadequate staff in track maintenance, non availability Leave Reserve, Rest giver

staff, the staff particularly those belonging to safety categories are already heavily

over-burdened and this contribute for unsafe train operations and hasty reduction

of staff strength, as recommended by the Expert Group, will impair the efficiency

of the system Federation suggested that the methodology for identification of

surplus staff and their re-training and useful deployment should be evolved by

frank and open discussion with the recognized Labour Federations.

The Expert Group also came to the conclusion that Indian Railways should

engage only those business directly related to its core activity of rail based logistics

and passenger transport. Non-core business should be spun off on arms length

basis. They identified production units, Research facilities, Printing Presses,

Residential colonies, Medical Facilities, School and Colleges etc as “Non-Core”

business. It is shown by the Group a sole reason for spinning off of the above non-

core activities is to free IR’s management, so that it would be able to concentrate

on its core business of transportation. While this may appear logical to those not

sufficiently acquainted with the geography and working of Railways, the

Federation was of view that Railway Production Units, Residential Colonies,

Medical Services, Security, Printing Presses etc should continue to be with the

Railways and their separation will create new problems and add to the costs,

besides creating staff discontentment. They further added that the Medical

Department of IR gradually developed over a period of 150 years in response to

the needs of the Organization. It is shown that the annual budget of Medical

Department is Rs. 574.85 crores that works out to Rs. 2286/- per annum per

employee. This is a cheapest one when compared to other medical schemes

available in the Country.

The federation opposed the Report of the Expert Group and serious agitations

on the subject were launched all over the country demanding the Government to

scrap the report. Government finally kept the report in cold storage resorting to

other alternatives to reform the Railways. Without implementing the

recommendations of the Expert Group in open, the Railways have made a record

profit in the year 2005-2006 for a sum of Rs.13,000 Crores with the talented

functions of the organization. As per the statements that are given at various places

by the Hon’ble Minister of Railways, the profit for the year 2006-2007 is expected

to be Rs.20,000 Crores that proves the challenges of the workers of the

organization.

12. Appointment of VIth Central Pay Commission

Vth pay commission at para 105.11 recommended “DA should be converted

into Dearness Pay each time the CPI increases by 50% over the base index used by

the last Pay Commission. Such DA should be termed as Dearness Pay and be

counted for all purposes, including retirement benefits”.

Vth Central Pay Commission has also recommended at Paras 171.8 to 171.13

that “ in case for any reason Government finds itself unable to set up a permanent

body, it should at least concede the right of Central Government employees to have

a complete pay revision once in 10 years. This would mean that if the date of

implementation of the Fifth Pay Commission is 1.01.0996, the date of

implementation of the Sixth Pay Commission should be pre-determined as

1.1.2006 irrespective of the Sixth Pay Commission is actually appointed. However,

the Government should also take note of the fact that it generally takes a Pay

Commission a period of about three years to complete its deliberations and

therefore, the next Pay Commission should be appointed latest by 1.1.2003, so that

its report becomes available by 1.1.2006”.

It was given at para 171.13 of the Vth CPC’s Recommendations that each

time the CPI increases by 50% over the base index used by the last pay

commission, DA should be converted into Dearness Pay. Such DP should be

counted for all purposes, including retirement benefits. Assuming that an increase

of 50% in the CPI Index would take place in about 5 years time, the above

proposal would amount to a kind of pay revision every 5 years instead of 10 to 13

years as at present. This would be the second best scenario to the ideal of annual

pay revisions painted above. This relief could be combined with the decennial

exercise of pay revision through a Pay Commission and would partially meet the

demand of Central Government employees for more frequent revisions of salaries

on the analogy of Public Sector Employees”.

Despite the caterogical recommendation that the VIth Central Pay

Commission shall be appointed by 1.1.2003 so as to make available its report by

1.1.2006 to implement the recommendations by 1.1.2006 i.e. exactly after 10 years

from the date of effect of recommendations of Vth CPC, Government has not taken

any decision to that direction leading discontentment among the employees and a

trade union struggle all over the country. The struggle and agitation of more than 3

years, and an ultimatum of indefinite strike given by all the Central Government

Federations including NFIR made the Government to bent upon announcing the

appointment of VIth Central Pay Commission comprising the following with a

direction to submit its report within 18 months:-

1. Chairman - Mr.Justice B.N.Srikrishna2. Member - Prof. Ravindra Dholakia3. Member - Mr.J.S.Mathur4. Member-Secretary - Smt. Sushama Nath

ORIGIN AND GROWTH OF TRADE UNIONS

Trade unions have grown in response to the peculiar needs and problems

which the wage-earners have had to face in the course of industrialization under

the capitalist economic system. The main features of the process of

industrialization that necessitated the origin of trade unions are:

i. Separation between capital and labour;

ii. Philosophy of lasses-faire i.e., least/non-interference of the state in the affairs

of labour and management;

iii. Lack of bargaining power on the part of workers (which forced the workers

(as individuals) to either accept the jobs with wage rates, hours of work etc.

unilaterally determined by the employers, or to remain unemployed); and

iv. The realization by the working class that while the individual worker was

dispensable to the employer, workers collectively were indispensable to him,

and as such, he could not dispense with all his workers and replace them. It is

this realization that sowed the seeds of collective bargaining which later

resulted in trade unionism. The workers, working under a common employer,

faced common problem and common tasks. They developed common

sentiments, and organized themselves into associations which could meet the

employers on a basis of equality. The inchoate labour organizations had to

cross many hurdles before they could develop into full fledged stable trade

unions. There were internal dissentions, persistent and determined opposition

from the employers, merciless persecution and suppression by the state (For

example, in England, France, Germany and the United States, Combinations

of workmen per se were declared illegal), and the full-throated condemnation

of trade unionism by the advocates of free competition and laissez-faire. In

spite of these efforts at suppression, trade unions continued to grow,

sometimes working underground and sometimes openly. They continued to

defy the laws prohibiting the combination of workmen. (combination Acts of

1799 and 1800 in Great Britain, for example) and the judicial

pronouncements (particularly, the judgement in the Philadelphia Cordwainers

Case of 1806 in the united states) against the combination of workmen.

Under incessant pressures from the workers and their organizations, the law

and the attitude of the courts gradually came to be modified. The history of

the trade union movement everywhere is a history of blood, tears and tools.

Trade unions in all the capitalist countries have passed through three stages:

a. Outright suppression,

b. Limited acceptance and tolerance and

c. General acceptance and recognition

However, trade unions in the world today are not at the same stage of

development everywhere. In some countries, especially in those under

hitherto colonial rule and dictatorship, trade unions had to struggle hard till

recently to cross the first stage; in many underdeveloped countries free from

colonial yoke, they are in the second stage; and in the full-fledged

industrially advanced capitalist democracies, they are in the third stage. In the

communist countries, trade unions occupy an altogether different position

and status.

DEVELOPMENT OF TRADE UNIONS IN INDIA

The Indian trade union movement is about a century old. As compared to

the trade unions of Great Britain and USA, the Indian unions have a shorter

history. It is the delayed start and the slow growth of modern capitalist industrial

enterprises in India that was responsible for the delay in the emergence of the trade

union movement in India. It was in 1851 that the first cotton mill was set up in

Calcutta. Subsequently, a few big industrial enterprises were established in the

second half of the nineteenth century. During this period, the working and living

conditions of labour presented a pathetic picture – the hours of working were long,

the wages were very low, and general labour conditions in industrial areas were

harsh, Inevitably, the industrial workers, especially in the cotton textile industry,

protested against these inhuman working and living conditions by going on strikes.

In 1877 textile workers of the Empress Mill, Nagpur remained on strike for a long

time demanding short working hours, adequate wages and other improvements in

their employment conditions. Between 1882 and 1890, twenty five strikes were

recorded in the Bombay and Madras presidencies. These strikes took place

spontaneously, through there were no formal organizations of workers. From these

strikes workers learnt the power of united action.

During the early period of industrial development efforts towards organizing

workers for their welfare were made largely by social workers and philanthropists,

both Indian and foreign, mostly on humanitarian grounds. In 1875, a number of

social reformers of Bombay under the leadership of Shorabji Shapurji Bengalle

took upon themselves the responsibility of drawing public attention to the terrible

working conditions obtaining in factories. In particular, they drew attention to the

inhuman conditions under which women and children were required to work in

factories. On March 25, 1875 the Government of Bombay appointed the first

Bombay Factories Commission failed to see any necessity of legislation. But due

to the agitation started by the social reformers led by Sorabji Bengalli and other

reasons the first Indian Factory Act was passed in 1881. But this Act was so

inadequate (the Act’s focus being mainly on children, it was considered as a

children’s welfare enactment) that workers in Bombay protested against it. N.M.

Lokhande, a skilled worker in a textile mill in Bombay and a social reformer of

the Satyashodhak Samaj, organized two public meetings of mill operatives in

Bombay in September 1884 and had a memorandum signed by 5,500 workers,

demanding a weekly holiday, half an hour’s recess and regular payment of wages

and submitted the same in October 1884 to the second Factory Commission.

In 1890, Lokhande established the Bomabay Millhands Association primarily to

provide a clearing house for the grievances of the mill-workers and to help in

drawing public attention to them. The association had no existence as an organized

body, heaving no membership, no funds and no rules. The leaders acted as

voluntary advisers to mill-workers. The Association also took over the Dinabandhu

(Friend of the poor), a social reform journal, and converted in into the first labour

journal in India. Some of the important organizations set up before the First World

War were the Amalgamated Society of Railway Servants of India and Burma

(1897), the Printers Union, Calcutta (1905), the Bombay Postal Union (1907) and

the Social Service League (1910). However, all these organizations were ad-hoc

bodies, and they could hardly be regarded as trade unions in the true sense. Besides

Lokhande, some other persons (including P.C. Mazumdar in Bengal) and

organizations (Theosophical Society in Madras, Servants of India Society in

Bombay, and Brahmo Samaj in Calcutta) took interest in drawing public attention

to the cause of labour. Most of the workers’ organizations that were established

before the First World War disappeared after a short and stormy career.

1918-1947 (Prior to Independence)

The immediate post-war period (1918-20) saw the birth of the trade union

movement in the modern sense of term. The main factors which favoured its birth

and early beginnings include public expectations of a new social order, intense

industrial and economic unrest because earnings did not keep pace with prices and

profits, the Russian revolution (1917) and the formation of the International

Labour Organization (1919).

The Russian Revolution, which ushered in workers’ rule, placed an ideal

before the workers, namely, that the exploitation of labour could be stopped by

political means. In its early stage, the Indian trade union movement was influenced

by communism. The international Labour organization (ILO) came into existence

as a result of the Peace Treaty of Versailles for the well-being- physical and

intellectual of the industrial wage-earners. The ILO has profoundly influenced

india’s trade union movement, labour legislation and labour policy. When the first

ILO conference was held in 1919 in Washington, there was no central federation of

Indian trade unions. As such, the Government of India nominated a delegate

withour consulting trade unions. This action led to dissatisfaction in the ranks of

labour. On October 30,1920 representatives of 64 trade unions, claiming

membership of 1,40,854 met in a conference in Bombay and established the All

India Trade Union Congress (AITUC) with Lala Lajpat Rai as its first President.

As a central federation of Indian Trade unions, the AITUC developed the trade

union movement. The ILO also encouraged the movement by providing training,

literature and other resources, including an international platform for trade union

leaders from various countries. During this period, the Madras Labour Union, the

first trade union in India to be formed on systematic lines, was established on April

27, 1918, by B.P. Wadia, editor of an outspoken nationalist paper. At Ahmedabad,

under the inspiration and guidance of Mahatma Gandhi and Anusayaben, spinners’

union and Weavers’ unions were formed, which later on federal into the industrial

union known as Ahmedabad Textile Labour Association (ATLA). This association,

ever since its inception, has been aa model of sound trade unionism in our country,

based on Gandhian Philosophy of mutual collaboration and non-violence. The

formation of this association was also started with a strike for a wage rise in 1917

when Mahatma Gandhi had to go on fast following which Ahmedabad Mill

owners’ Association conceded the right of workers to be compensated for the rise

in price. The workers were given 10 percent rise in wages in the form of war bonus

in 1917, and which increased to 15 percent in the following year.

The year 1920 is also important in the history of trade union movement due to

the agitation of workers of Bukingham and Carnatic Mills in Madras for better

wages and other employment conditions. The management declared lockout and

filed a suit for damages against the union leader B.P. Wadia and other leaders of

Madra Labour Union. The Madras High Court granted an injunction declaring

formation of union an illegal conspiracy and also awarded to the management

damages amounting to Rs.75,000. This judgement of the court brought to the fore

the need for legal protection to trade unions for their survival. This was very

powerful demonstration of the methods used in our country to crush early trade

union movement.

Leaders became conscious of the fact that in the absence of any base they

could be prosecuted for bonafide trade union activities. In 1921 an effort was made

by N.M. Joshi to introduce in Indian Legislature trade union legislation. However,

his effort succeeded after five years in 1926 when the Trade Union Act was

enacted legalizing the right of workers to combine and form unions, and granting

them immunity from civil and criminal prosecution for bonafide trade union

activities and the action following from the same. This Act still continues to be the

basic law governing trade unions in the country. This gave further boosting to the

trade union movement in the country by providing that any seven persons can form

their union and got it registered under the Act in the prescribed manner. The

registration which is still optional provides necessary security to the union and its

members against any prosecution for legitimate trade union activities.

The Indian Trade union movement, which was in ascendancy from 1920 to

1929, suffered a setback during 1930-34. Since 1930, the world economic crisis is

known as the Great Depression, intensified the misery and poverty of the working

class. But instead of meeting the challenge the trade union movement divided itself

on political grounds. In 1929, at the Nagpur Session of the AITUC, the reformist

group (moderates) led by N.M. Joshi broke away on the ground that the AITUC

was dominated by communists. In 1930, the reformists formed (in 1933) as the

National Trade Union Federation (NTUF). The AITUC had another split in 1931 in

Calcutta, when the hardcore communists walked out and started a rival labour

federation, the Red Trade Union Congress (RTUC). Thus, it could be said that the

Indian trade unions were divided into four groups by 1931, that is,

(a) The original AITUC under the control of the radicals,

(b)The ITUF(NTUF) controlled by moderates,

(c) The RTUC under the leadership of the communists, and

(d)The group of independent trade unions unattached to any central

organization, the chief among them being, the All India Railway men’s

Federation and the ALTA.

The splits had been caused mainly on account of differences on the role of the

Indian Trade Union movement in the fields of political and class struggle. The

union movement ultimately reunified in 1940 through a series of compromises,

mainly due to the sustained efforts of R.R. Gokhale, V.V.Giri, N.M. Joshi and

Diwan Chamanlal. The Second World War (1939-45) posed a serious question to

Indian trade unions: “what should be the attitude of Indian workers to the war?”

This was a difficult question to answer for the war was between an anti-labour,

Nazi Germanay and Great Britain, our traditional enemy. The communists,

following the Russian line, first supported Germany when it invaded Great Britain,

opposed it when it invaded Russia. Congressmen opposed Great Britain with their

Quit India movement and went to jail. M.N. Roy and his followers bitterly opposed

Germany, and when the AITUC failed to accept their line, they started their own

organizations, the Indian Federation of Labour (IFL) in 1941 in support of the war

against Germany. In return, the Government recognized the IFL, some other events

that took place during the war had an impact on the trade union movement. These

were: the establishment of the Indian Labour Conference – a tripartite labour

machinery – in 1942, providing a platform for discussions between the

government, employers and trade unions.; ordinances relating to the Defence of

India, National Service (Technical Personnel), Essential Services (maintenance),

etc. placing restrictions on the freedom of association and the right to strike, and

the Quit Idia Movement and consequent arrest of many trade unionists, leaving the

field for control to communists. During the war, trade union membership registered

a substantial increase from 3,99,000 in 1938-39 to 8,89,000 in 1944-45.

The economic distress that followed the war, the new spirit of awakening

change in the outlook towards the unions both on the part of the Government and

employers, and the enactment of the Industrial Disputes Act, 1947 (which enabled

the unions to represent workers for settlement of their disputes under the Act)

contributed to the growth of trade union movement in the country after the war.

From the point of view of its impact on the Indian trade union movement, the

most important of the events was the establishment of the Indian Trade Union

Congress (INTUC) on May 3, 1947. The divided trade union movement was

further divided when the INTUC was set up on the initiative of Gulzati Lal Nanda

and other likeminded persons who believed in the Gandhian ideology. Sardar

Vallabhai Patel, a powerful congress leader, became its first president.

Trade Unionism

The economic distress that followed the war, the new spirit of awakening, the

change in the outlook towards the unions both on the part of the Government and

employers, and the enactment of the Industrial Disputes Act, 1947 (which enabled

the unions to represent workers for settlement of their disputes under the Act)

contributed to the growth of trade union movement in the country after the war.

From the point of view of its impact on the Indian trade union movement, the most

important of the events was the establishment of the Indian Trade Union Congress

(INTUC) on May 3, 1947. The divided trade union movement was further divided

when the INTUC was set up on the initiative of Gulzari Lal Nanda and other like-

mined persons who believed in the Gandhian ideology. Sardar Vallabhbhai Patel, a

powerful congress leader, became its first president.

Post-Independence Period

The post-Independence Period witnessed further disintegration of the AITUC. In

1948, the socialists who has hitherto been working in the AITUC left it and

established a separate national federation called Hind Mazdoor Panchayat (HMP).

The Indian Federation of Labour (IFL), Which was languishing since the end of

the war and the partition of the country in 1947, merged with the HMP, and a new

organization – the Hind Mazdoor Sabha (HMS) came into being in December

1948. Some trade union leaders, who attended the meeting called by the socialist

leaders in December 1948 to from the HMS, did not agree with the principles and

objectives of the HMS. They, therefore, decided to set up another organization.

Consequently, on April 30, 1949, the United Trade Union Congress (UTUC) was

formed by radicals outside the Communist and Socialist groups.

After the adoption of the constitution in 1950, the role of political parties became

all the more important. Not only new political parties came to be formed, but also

the existing political parties witnessed splits for one reason or the other. The

political parties tried their best to keep as many trade unions and workers as

possible under their influence and control. These developments had their

repercussions on the trade union movement also. In 1955, Bharatiya Jan Sangh

established the Bharatiya Mazdoor Sangh (BMS), which later came under the

influence of the Bharatiya Janata Party. When the Indian National Congress was

divided into the Ruling Congress and the Organisation Congress, the former took

over the INTUC, while the latter established in Ahmedabad a new organization

called the National Labour Organisation (NLO). Similarly, when the Communists

divided into the CPI and CPM, and AITUC came under the control of the former,

while the latter set up the Centre for Indian Trade Unions (CITU).

The UTUC broke into two – one with headquarters at Central Avenue and the

other at Lenin Sarani, Calcutta. Both the UTUC (Central Avenue) and the UTUC

(Lenin Sarani) claim to be the genuine UTUC. Later on, two other central

federations of trade unions, namely National Front of Indian Trade Unions

(NFITU), an Independent organization and Trade Union Coordination Centre

(TUCC). There are a few other organization and Trade Union Coordination Centre

(TUCC). There are a few other organizations such as the Hind Mazdoor Kissan

Panchayat (HMKP), the Indian Federation of Free Trade Unions (IFFTU), and

Bharatiya Kamgar Sena (Shiv Sena, Mumbai). But they are not as prominent as the

other central trade union organizations. Table 1 shows the membership figures of

ten central trade union organizations, number and membership wise, as claimed by

them and as verified by the Chief Labour Commissioner for recognizing them for

consultation and giving them representation and national international tripartite

forums as on December 31, 1989.

The Role of Trade Union

Trade unions are unique organizations whose role is variously interpreted and

understood by different interest groups in the society. Traditionally trade unions

role has been to protect jobs and real earnings, secure better conditions of work and

life and fight against exploitation and arbitrariness to ensure fairness and equity in

employment contexts. In the wake of a long history of union movement and

accumulated benefits under collective agreements, a plethora of legislations and

industrial jurisprudence, growing literacy and awareness among the employees and

the spread of a variety of social institutions including consumer and public interest

groups the protective role must have undergone, a qualitative change. It can be said

that protective role of trade unions remains in form, but varies in substance.

There is a considerable debate on the purpose and role of trade unions. The

predominant view, however, is that the concerns of trade unions extend beyond

‘bread and butter’ issues. Trade unions through industrial action (Such as protests

and strikes) and political action (influencing Government policy) establish

minimum economic and legal conditions and restrain abuse of labour wherever the

labour is organized. Trade unions are also seen as moral institutions, which will

uplift the weak and downtrodden and render them the place, the dignity and justice

they deserve.

The State of Trade Unions in the World

Trade Unions are organized for protection promotion of interests of their members

in particular and workers in general. It generally pursue the following broad

objectives.

(1)Steady employment:- Steady employment is something which the

employer by himself may not be able to guarantee to the workers.

Achievement of this aspiration may thus involve workers in political action,

through their unions, for maintenance of full employment.

(2)Rationalization of personnel policies:- Workers may successfully

pressurize for higher wages workers want to know what his chances are for

continued attachment to the company. What is “the success of the company”

to him if in transferring the plant, say, from Delhi to Ghaziabad he is laid

off? The intervention of trade union in such decisions of management is the

only method by which the workers is able to achieve any degree of control

over the affairs that concern him.

(3)Voice in decisions affecting workers:- Workers may successfully

pressurize for higher wages workers want to know what his chances are for

continued attachment to the company. What is “the success of the company”

to him if in transferring the plant, say, from Delhi to Ghaziabad he is laid

off? The intervention of trade union in such decisions of management is the

only method by which the worker is able to achieve any degree of control

over the affairs that concern him.

(4)Recognition and participation:- Another objective that unions seek to

achieve is winning recognition for workers that they are equal partners with

management in the task of production. It is an intellectual quality that is the

intellectual faculties of workers are no inferior to those of management.

(5)Gaining legislative enactments:- To Provide legal sanctions to its

demands, the unions attempt to get these framed in form of Acts so that they

become permanent features of the contract between employers and workers.

(6)Miscellaneous Service:- Modern trade union also engage in providing

educational, medical, recreational and other facilities for development and

welfare of their members.

Advantages of Trades Unions

1. Increase wages for its members.

Industries with trade unions tend to have higher wages than non-unionised

industries.

2. Counterbalance Monopsonies.

In the face of Monopsony employers, Trades Unions can increase wages and

increase employment. Monopsony employers are those who have market power

in setting wages and employing workers. Traditionally, monopsonies occur

when there is only 1 firm in a town, or type of employment. However, in

modern economies, many employers have a degree of market power

(monopsony).

3. Represent Workers

Trades Unions can also protect workers from exploitation, and help to uphold

health and safety legislation. Trades unions can give representation to workers

facing legal action.

4. Productivity deals

Trades Unions can help to negotiate productivity deals. This means they help

the firm to increase output; this enables the firm to be able to afford higher

wages. Trades unions can be important for implementing new working practices

which improve productivity.

5. Important for Service Sector

Modern economies have seen a fall in trade union power. This is because of a

decline in manufacturing and rise in service sector employment. Service sector

jobs tend to more likely to be part time and temporary; unions are needed to

protect workers in these kind of jobs.

Problems of Trade Unions

1. Create Unemployment

If labour markets are competitive, higher wages will cause unemployment.

Trades unions can cause wages to go above equilibrium through the threat of

strikes e.t.c. However when the wages is above the equilibrium it will cause a

fall in employment.

2. Ignore non Members

Trades unions only consider the needs of its members; they often ignore the

plight of those excluded from the labour markets, e.g. the employed.

3. Lost Productivity

If unions go on strike and work unproductively (work to rule) it can lead to lost

sales and output. Therefore their company may go out of business and be

unable to employ workers at all.

4. Wage Inflation

If unions become too powerful they can bargain for higher wages, above the

rate of inflation. If this occurs it may contribute to general inflation. Powerful

trades unions were a significant cause of the UK’s inflation rate of 27% in

1979.

The benefits of trades unions depend on their circumstances. If they face a

monophony employer they can help counterbalance the employer’s market

power. They can increase wages without causing unemployment.

If unions become too powerful and they force wages to be too high, then they

may cause unemployment and inflation.

It also depends on whether they cooperate with firm or not on increasing

productivity.

CHAPTER – IV

DATA ANALYSIS AND INTERPRETATION

CHAPTER – V

FINDINGS

SUGGESTIONS

CONCLUSION

BIBLIOGRAPHY

QUESTIONNAIRE

FINDINGS

1. Trade unions are implementing new working practices which improve

productivity.

2. Trade unions can help to negotiate productivity deals.

3. Trade unions can give representation to workers facing legal action.

4. Trade union only considers the needs of its members they after ignore the

plight of those excluded from the labour markets.

5. If labour markets are competitive, higher wages will cause unemployment.

6. Trade unions can increase wages and increase employment.

7. Trade unions can protect workers exploitation, and help to uphold health and

safety legislation.

SUGGESTIONS

1. There should be progressive management in the enterprise and should

recognize its obligations and responsibilities towards workers and trade

unions.

2. There should be strong, democratic and representative unions which should

represent the cause of workers without neglecting the management’s

interest.

3. There should be closely and mutually formulated objectives for participation

by trade unions and the management.

4. There should be effective communication between workers and management

and effective consultation of the workers by the management.

5. There should be mutual trust and faith among all the parties concerned.

CONCLUSION

The experience of Trade unions on the Indian Railways provides the

difficulties and problems of skilled workers working within the framework of

industrial unionism. The two mass organizations of railway men in India are the

All India Railway men’s federation and the National Federation of Indian railway

men. The membership of these two federations is open to all railway workers,

irrespective of their skills, crapt of status. It is well known that the vast majority of

railway men in India consist of unskilled workers. The two federations particularly

the AIRF, have secured significant gains for the railway men. But kmany

categories of skilled workers have developed a sense of grievance against the

federations, the skilled workers feel that they have been swampled by the unskilled

workers in the federations and that the federations have not been able to meet their

specific needs and protect their interests. The result is that numerous categories of

workers have come to form their separate unions and are struggleing for

recognition.

BIBILIOGRAPHY

Human Resource Management

- Dr. P. Subbarao

Human Resource Management

- Dr. C.B. Gupta

Personal Management and Human Resource

- C.S. Venkata Ratnam

- B.K. Srivastava Davis

Essentials of Human Resource Management and Industrial Relations

- P. Subbarao

- III Editor, Himalaya Publications

Websites:

o www.hrm-management.com

o www.managementparadise.com

o www.indianrailway.com

o www.google.com