Securing Labour Rights in a Globalising Economy : The Case of India Print E-mail
Written by Pravin SINHA   
Monday, 16 July 2007
India’s emergence as the 4th largest economy as also a contender for a seat in the UN Security Council is the result of the high pace of economic development that it has achieved in the current phase of liberalisation. In the course of fifteen years, India has come to be acknowledged as the IT hub-centre, supplier of skilled workforce to the world, etc. It has also regained its position as the spokes nation of the developing world. On the other hand, India is poorly placed interms of human development index. The development of social capital is inadequate and worst is its access, as it remains confined to urban areas and to rural elite. For majority of population, more so those who earlier constituted part of the Organised Sector workforce, the emerging conditions can’t be worse. The informalisation of work, skill obsoleteness, absence of any formal social security has left them in a state of desperation.

The direct affect of informalisation has been deterioration in respect for labour rights. The provisions of large number of labour laws remain non-enforced. The adherance to the core labour standards remains good in paper only. The desire to get more FDI and pressure from the MNCs have caused the government to overlook violations. Further the trade unions are divided on political lines. There are however, increased activities among non-mainstream labour organisations, but then they are not influential on the policy-making levels.

The impact of the ongoing globalisation has adversely affected the powers of the membership-based organisations [MBOs], including trade unions to effectively represent the interests of their respective constituencies. The declining size of workforce in the organised sector, with dwindling support from the government against an aggressive employers have further enlarged the size of workforce that is not in receipt of benefits of legislative protection as also of government’s labour welfare policies. Consequently, there is convergence of various MBOs active among the workforce so as to consolidate their power to protect and promote conditions that would realise decent work environment.

The ongoing pressure of transforming the world into a “Global Village” also had its influence on the governance in India. The New Economic Policy [NEP] indicated a shift in general approach of the Government of India [GOI] from nationalistic to global. The liberalising India saw emergence of outward looking policies. The import substitution policy was dome away with. The foreign capital as also players was allowed to enter in its market. Resultantly, India saw entry of significant amount of foreign capital through FDI as also hordes of trans-national companies in practically all spheres of economic activities. The international brands such as Toyota, Dawood, Opel, Samsung, Sony, Honda, Loreal, Chambor, Bennaton, Reebok, etc. flooded the Indian market. The products that were earlier consumed by elite became assessable to non-affluent Indians as well. On the other hand, traditional products such as PALs Padmani, DCM , etc. lost business on ground of being obsolete and non-competitive.

The impact of the new policies was swift and visible. The new economy grew at an unthinkable rate of over seven per cent. The ‘Hindu’ growth rate of 3% became non-discussible issue. The agriculture sector recorded the fastest five-year growth of 4.7% during eighth five-year plan period [1992-97]. Indian export grew at about 20% per annum. The remittances from Indian living abroad also quadrupled as the rapidly developing economy inculcated confidence in them. Export of goods and services [including remittances] accounts for over 20% of India’s gross domestic product [GDP]. The foreign investment in India is now stands at about Euro 20 billion. Although India’s share in world trade is still continues to be at 0.8 per cent,

The ‘new’ India has become one of the ten fastest growing economies of the world. The present government headed by Dr. Manmohan Singh is now talking about 10 per cent growth rate. The distinction is in the background of its economic growth during the fifteen years being averaged at 6.2 per cent. Its average standard of living is 70% higher than what it was in 1991, having registered an average growth of over 4% per year. Literacy increased to 66 percent of the population. According to the NCAER , almost 100 million people now [as compared to 15 million in 1991] live in household with yearly income between Euro 4,000 to Euro 20,000. The proportion of people below the poverty line is said to have dropped to 20 per cent.

However, the unfortunate fact remains that the ongoing liberalisation and benefits there from has touched only a small section of over a billion Indians. The gaps between rich and poor have further widened in the post reform era as the fruits of liberalisation has been pocketed by the section of Indians who were already well off. The rural India where over 60 percent of its people live remains bypassed by the ongoing reforms. This is amply clear from the fact that India, despite of impressive economic growth, is poorly placed at 127 position out of 177 countries interms of human development . The UNDP Report further stresses that for human outcome such as democratic participation in decision-making or equal right for man and women do not depend on income (…alone). One must examine how widely the reforms have penetrated both interms of application and results. One must look at the ‘reach’ of the policy. The liberalised India is therefore, not far away from its predecessor if the majority of the population remains not benefited by the new policies as well. Many of the studies have shown that the ongoing reforms have benefited primarily the urban population more so the ones who were already economically well off. For the majority of the population, more so who belonged to the deprived sections, the quality of life has deteriorated. The worst affected are the workers who are without a source of income in midst of plenty.

The Planning Commission’s mid-term appraisal report for the 10th Five-year Plan [2002-07] concludes in its very first paragraph of Chapter on ‘Labour and Employment’ that “…the pace of creation of employment opportunities may not exceed the addition to the labour force”. The conclusion was for the period 2002-05. Further, the employment in the organised sector has decreased during the period under reference.


Structure of Employment:

The 2001 Census has classified workers into main workers and marginal workers. Accordingly, 77.8% of the total workers were main workers while 22.2% were marginal workers. The Census further reveals that 77 percent of the workforce are resident in rural areas. Among the main workers the proportion of rural workers was about 73 per cent and that of urban was 27 per cent. On the other hand, 91 percent of the marginal workforce were in rural areas. Another aspect of Indian workforce is its classification into organised and unorganised sectors. The above table indicates that by 1994 only 8.0 per cent of the total workforce constitute part of the organised sector where as the unorganised sector account for 92.0 per cent. Agriculture and allied occupation are the single largest employer of the Indian workforce, about 99.2% of which are in the unorganised sector. In the manufacturing sector also the workers in the unorganised sector account for almost 75% of the workforce. Similarly, the 98% of the workers in trade and commerce belong to the unorganised sector. [Table 1]

The prevailing conditions have led to development of duel labour market situations. The workers in the Organised Sector are fully protected through coverage by the labour laws, although they account for about 8 per cent of the work force only. Incidentally, majority of the workforce is employed in the government owned establishments. The labour in the unorganized sector, accounting for over 92% of the workforce is deprived of the benefits accruable under the various laws, primarily due to informal nature of employment. Consequently, they face exploitation of various kinds both at work and home. Women workers are the worst sufferer of this exploitation. Further, it is in this sector that one observes existence of child labour.

Feature of Employment:

The dominant features of employment and unemployment in India are typically those of less developed countries. There are low rates of open unemployment but much higher level of poverty. The poor can’t afford to remain unemployment. Consequently, nearly 33% of the employed workforce in 1993 were poor [almost similar to the all India level] on the other hand only 18-19% of those unemployed were poor. Implicate in this feature are higher rates of under-employment and low level of productivity and income, as also open unemployed among those above the poverty line. Predominantly, a large proportion of the workforce employed in the agriculture and a very large proportion of those employed both in rural and urban sectors report themselves as self-employed or casual workers. Of recent, however, there had been an increase in female work participation rates and increase in education level of the workforce. Unemployment of educated youth is gradually becoming a serious problem.

SAP and Jobless Growth:

India’s economic performance during the post-1991years has experienced: faster economic growth, faster growth in manufacturing sector as also in agriculture and allied sector. Significant growth rates in exports and imports, improvement in trade and current account deficits; and substantial reduction in the Central Government’s fiscal deficit. The employment situation, however, has not been impressive as there was declining trends in the number of workers employed in the industrial establishments.

According to GOI's Planning Commission Study on employment generation during 8th Five-Year Plan, it has been estimated that the organised sector employment has grown at the rate of 0.36% as against planed 2.6% during the first two year of the plan period. It was also observed that majority of the new employment created was in the category of self-employment. The annual growth rates for the remaining part of the 8th Plan period too had been far below the set target. Similarly, a number of other studies have drawn conclusions that the post liberalisation economic growth in India has not been accompanied by growth in employment. The decade (1991-2000) had, infact experienced a "jobless growth". [Table 2]

Labour Rights in India:

The Constitution of India declares India to be a sovereign socialist secular democratic republic. The Constitution guarantees to all its citizens, individually and collectively, certain fundamental rights including the ones relating to equality of opportunity in employment and freedom of association.

India has the distinction of developing one of the most comprehensive labour laws in the world. Under the Constitution, labour is a concurrent subject implying that both the Central and State governments are empowered to enact laws. Resultantly, in course of five decades, India has enacted over 150 laws covering various aspects of workers life. The issues covered by these laws including industrial relations, service conditions, wage and benefits, social security, etc. Some of the important laws include the Minimum Wages Act, 1948; the Payment of Wages Act, 1936; the Contract Labour [Regulation & Abolition] Act, 1970; the Inter-State Migrant Workmen [Regulation & Employment of Conditions of Services] Act, 1979; the Bonded Labour System [Abolition] Act, 1976; the Child Labour [Prohibition and Regulation] Act, 1986; etc.

The rights, privileges and protection provided by the law, however, are realised only through their enforcement and implementation. The law itself can only lay down the broad principles. The courts play an important role by examining each dispute against these principles. The interpretation of laws by judiciary, therefore, plays, through case laws, crucial role in meeting peculiarities of specific situations.

The Government of India has been over occupied with the organised sector, which employees no more than 8 percent of the work force. All the policies and programmes of both the Central and State governments have been directed towards the workers in the organised sector. The Government, playing the role of a model employer, had ensured application of labour laws in all its establishments. The workers employed in the large private sector undertakings too have been in receipt of the legal benefits, although on the lower scale as compared to those employed in the public sector.

For workers in the informal / unorganised sector as also of small scale units, it has been the case of unabated exploitation since all the labour laws enacted in the country are good in paper only. The inadequate size of the State’s administrative machinery has often been quoted as a reason for their ineffectiveness and corruption.

Trade Union Movement in India:

The trade union movement in India recently celebrated 100 years of existence. However, in the years following India’s independence, the ITUM membership has remained stagnant, if not declining. Its activities have been more or less confined to organized sector, more so to the public sector enterprises – from where over 70 per cent of its membership is drawn. The number of trade unions and their federation have nevertheless significantly increased. The state ownership on the one hand and trade unions closeness to political parties on the other hand made not only the unionization work but also securing non-productivity related financial benefits easier in the public sector establishments. With the onset of liberalization process the ITUM capacity to influence political leadership in securing undue demands weakened causing the Labour Movement to move one stage of marginalisation to the other.

Since the focus of ITUM was the workers in the organized sector, more so those employed in the government owned establishments, the mass of workforce engaged in the unorganized sector remained not covered by the trade union movement. Consequently, over 92 per cent of the workforce remained unaware of their rights as workers and as such were being exploited by their employers. Most of the times the worker is not even aware of the employer's excesses. Long working hours, under payment, sexual abuse, physical confinement, differentials wage payment to man and women, etc. are day to day affaires. The workers take these actions of their employer as fate [and rights in the case of employer or the master]

The labour laws in India does not make distinction between the organized and unorganized sector, yet the resources of the government and trade unions were directed towards the workforce employed in the organised sector. Interestingly, this section of the workforce is already well protected. The real exploitation of the worker and his/her family takes place in the unorganised sector where unions too are conspicuously absent.

The international pressure as also the shift of workforce from organized to the unorganized sector, etc. in the post reform era has generated renewed interest in the unorganised sector. The government has repeatedly made announcement about its intention to focus its activities towards workers in the unorganised sector. The current trends, however, do not speak well of the government intentions since its well intended pronouncements remain partially implemented. Apart from setting up a National Commission on Labour with object to suggest an umbrella legislation for the workers in the unorganised sector and simplify those laws that concerns the workers in the organised sector, there is little of significance that the governments [central and state] have done. The Commission has since submitted its report which currently hibernating in the corridors of the Central government.

The trade unions too are now trying to penetrate the unorganized sector. There are some indication of workers being organised in beedi, construction, fisheries, forestry, homebased workers, etc. industries. However, enrolling, a worker as a member can't be a sufficient indictor of unions functioning. There is need to realize that the conditions different in the liberalised India as such one ought not do the mistake of using same tools.

The Indian Trade Union Movement is politically influenced, narrow support base, there is multiplicity of unions, centralised decision making, ad hock management, obsolete strategies, external and over aged leader, personalised and power oriented leadership, confrontationist attitude, non-existent second tier leadership, and negligible gender representation.

New Trends in Trade Unions:

i. Emergence of Independent Unions: The ineffectiveness of politically affiliated unions as also of CTUOs affiliated to one or other political parties have created conditions in which workers found their membership to unions of little practical use. In fact, the common feeling among member workers of being "used" by leaders for their personal or political interests is wide spread. The workers feel that the leaders and political parties are busy in scoring points over the rival groups despite of the fact that their very survival, both, as worker and human being is at stake. This condition has led to the emergence of independent / unaffiliated trade unions, particularly, at plant levels, e.g. workers initiatives at Kanoria and Victoria Jute Mills (West Bengal); Kamani Tubes (Maharashtra); Madura Coats (Kerala); etc. The enterprise level independent unions are also functional at Seimens; Brooke Bond; Phizer; and other multinational companies. While in other cases, e.g. IDPL, the unions have joined together, against the wishes of CTUOs, to sign an agreement with government / employers accepting, among others, wage cuts.

This is indicative of changing trends in the Indian trade unionism wherein, ai some places, independent and affiliated plant level unions are successfully competing with the recognized and rather ineffective affiliated unions to represent the workers at a particular plant. In the process they are finding themselves more acceptable by workers as also by employers who find its demands and pattern of negotiation more reasonable and attuned to the existing situation in the organization / enterprise.

ii. Merger moves: Faced with a situation of declining membership and the fear of loosing its relevance, the CTUOs are taking initiatives to fight unitedly. In the last twelve months alone there has been many cases where the CTUOs, including those having affiliation to Left Parties, have joined together to fight for the cause of workers, e.g. against closure, dis-investment, privatization and/or modernization moves of NTC; banking and insurance sectors: etc. and these have produced some positive results.

As a consequence there are moves for merger among CTUOs. AITUC and HMS have for long taking steps towards their merger. In this connection the HMS Executive Committee conveyed its acceptance to AITUC proposal of merger. AITUC's General Secretary during the inaugural of AITUC's annual convention made public the intention of AITUC and HMS to merger. The issue of unification was discussed in the HMS Working Committee held on March 5-6, 1997. Subsequently, on March 18 the General Secretaries of AITUC and HMS addressed a joint rally of AITUC and HMS at Calcutta. AITUC's General Secretary further stated that other CTUOs, except BMS- affiliated to BJP, have also been approached for possible merger. The merger move however failed, presumable because no agreement could be reached on its affiliation to international trade union bodies.

Again on the occasion of the 27th Annual Convention, the President of the INTUC on November 5 gave call for the unity of the trade unions in the background of challenges posed by the globalisation process. Again on December 15th at the annual convention the AITUC Office bearers called for a united trade union movement.

iii. Distancing from Affiliated Political Party: Recent developments have shown signs of unions trying to distance themselves from their political party of affiliation. INTUC, for example, had opposed a number of policies of the federal government constituted by Congress (I) the party to which INTUC is affiliated. Similarly, INTUC's leader Arif Ali and CITU's leader Wazibur Rehaman along with about 3000 workers at Kanoria jute Mill [Kokata] deserted their respective unions to form Sangrami Shramik Union [SSU].

The union leaders are now publicly claiming of being independent of political parties. A particular reference could that of the INTUC annual convention held at Ranchi in Jharkhand wherein the office bearers repeatedly said that the INTUC is independent of Congress.

iv. Professionalising TU Management: To fight criticisms as also to face the organized forces of the Employers, the trade unions, particularly CTUOs, through various research institutions such at Ambekar Institute of Labour Studies, Maniben Kara Institute, National Labour institute etc. are trying to upgrade the quality of their leadership, personnel, as also of services rendered. In their this effort they are assisted by both national and international organizations which includes the Friedrich Ebert Stiftung. The capacity building activities include training programme on management, gender issue, labour laws, information technology, strategic planning, networking, leadership development, etc.

v. Democratization of Unions: Till recent time the union's elections used to be the affairs of limited group of people including political party workers. Labour leaders could manipulate things in the background of uninterested and unenlightened membership to maintain their occupation of leadership position. The changing scenario of India has, however, induced workers to be more active and militant. This is resulting in increased active participation of member workers, particularly young workers, in their trade union activities. This also implies that the functions and meetings of unions, now, have participation of larger percentage of its member workers.

Enforcement of Core Labour Standards:

India is a founder member of the ILO. It holds a non-elective post in the Governing Body of the ILO and had been active participants in the formulation as also adoption of its International Labour Standards. The ILO has inturn influenced India in the labour sphere. India has, so far ratified 39 Conventions. [Table 3] The ILO Conventions / Recommendations have played a significant role in the legal framework on wages, working conditions, welfare, social security, protection of the vulnerable section of the society, human resource development, equality, non-discrimination, etc. Ther exist a tripartite Indian Labour Conference, that meets once every year, as the highest policy making body on the subject of labour. A tripartite committee on ILO Conventions of the Government of India overseas various aspects relating to ILS, including proposals concerning new conventions/ratification of old conventions, compliance of the provisions in the ratified conventions, etc. The Committee, however, has been dormant for many years.

On 18th June 1998 the 86th Session of the International Labour Conference [ILC] of the ILO adopted a “Declaration of Fundamental Principles”. The declaration makes it mandatory for member States to enforce provisions of Core Labour Conventions [i.e. Convention Nos. 87, 98, 29, 100, 105, 111 138 and 182] irrespective of whether the same have been ratified or not by the national governments. [Table 4] The position with regards to enforcement of the provisions of legislation that covers the provisions of core labour conventions are:

A. Child Labour:

Article 24 of the Constitution of India prohibits the employment of children below the age of 14 years of age in any factory or mine. Further the Government has introduced legislation like the Child Labour [Prohibition and regulation] Act, 1986 to prevent employment of child labour. The GOI has also announced a National Policy on Child Labour in 1987 aimed at rehabilitating children after withdrawing them from prohibited employment.

The GOI has also identified following industries as hazardous thus prohibiting employment of children therein: the diamond polishing industry in Surat [Gujarat], match industry in Sivakashi [Tamil Nadu], the precious stone polishing industry in Jaipur [Rajasthan], the glass industry in Firozabad [UP], the brass industry in Moradabad [UP], the slate industry in Markapur and Mandsaur, and the handmade carpet industry in Mirzapur- Bhadohi [MP] and Jammu & Kashmir.

The Supreme Court of India on December 10, 1996 delivered a judgement aimed at abolishing child labour in occupations identified in the Child Labour [P&R] Act, 1986 and implementation of free and compulsory education for all the children until they have attained the age of 14 years as prescribed under Article 45 of the Constitution. The Court directed that all those employers offending the 1986 Act were to pay a compensation of Euro 400 for every child employed. The fine so collected would be deposited in a fund to be called "Child Labour Rehabilitation and Welfare Fund". The Court, noting that the income accruing from the corpus fund of Euro 400 per concerned child would not be enough to dissuade the parents / guardians from seeking employment of the child, directed the respective governments to deposit in the aforesaid Fund additional Euro 100 per child, in case the government is not in a position to provide a job to an adult member of the concerned family.

The employment of children, however, is wide spread and touches almost all the industries in the unorganised sector. Mass illiteracy and wide spread poverty have been identified as major caused behind the existence of the practice of child labour. Insensitiveness of employers as also of the government too could be considered as responsible for the same. The use of child labour in the production of goods reduces cost thereby making the goods of the concerned countries cheaper in the world market. This, in return, brings extra economic benefits to most of the developing countries. Most of these children are subjected to worst form of exploitation. India has large number of working children. The estimated figure on child labour ranges between 40 to 100 million. The government, however, gives a figure of 14 million only.

Some years back the GOI vowed to remove all form of child labour by year 2002. This looked, and still seems, ambitious. However, during the recent year a number of programmes aimed at removal of child labour from wage employment have been initiated by the government, employers' associations, NGOs and the trade unions. Most of the activities related to awareness generation. There is negligible attention given on strengthening the enforcement machinery. The employers' sensitization programmes too are not properly directed. There is flaw in selection of target population also.

In 2003, the GOI adopted education as fundamental right. Accordingly, the governments are now required to take measure to ensure that children upto the age of 14 years are made to go to schools.

The trade unions, independently or in association with other labour supportive organizations have been undertaking activities aimed at withdrawal of child labour from the labour market and ensuring their participation in schools. The five Central trade union organisations (CTUO) have joined hands in the implementation of ILO’s Programme aimed at the elimination of child labour.

B.Trade Union Rights:

Article 19 of the constitution of India guarantees freedom to form union as such right to form union is a fundamental right in India. The Trade Union Act, 1926 also provides for the formation of trade unions for redressel of member workers’ grievances. As of now there are estimated to be over 60,000 trade unions in the country. Most of them are affiliated to one or the other CTUOs. It is difficult to state accurately the current strength on the trade unions as no more than 15 per cent of the union have been filing the mandatory annual returns to the government. The last verification of CTUOs membership was done in 1994 that declared the Bhartiya Mazdoor Sangh [BMS] as the most representative union. The process towards next verification has started only a few weeks back and the same are expected to be completed before the end of this year.

However, there are certain categories of workers such as civil servant, police, army, etc. who are debarred from forming and / or joining a trade union. The group not covered under the provisions of Trade union Act have, nevertheless, formed their associations and are undertaking activities for and on behalf of its members and this includes going on strike, e.g. the case of strike by Bihar Police.

In November 1998 the Supreme Court of India upheld the decision of the Kerala High Court imposing ban on Bandh [strike] . The Kerala High Court on 28th July 1998 had declared "illegal and unconstitutional" the calling and holding of bandhs [industrial actions / strikes] by political parties and other associations / organisations. The Bihar and West Bengal State governments have imposed similar restrictions.

In the recent years, some of the state governments have imposed restriction on formation of union, and if formed then on its functioning effectively. For example, the state governments of Kerala and West Bengal had passed orders restricting functioning of trade unions. The Haryana State government has, on November 8, 2000 passed order preventing its employees from going on strike.

The union’ right to go on strike as tool to express its unacceptability to a particular course of action was challenged by the Supreme Court which in August 2003, in a case between the Tamil Nadu State Government vrs. TN Government employees unions questioned their right to go on strike. According to the Supreme Court, the workers have no right to go on strike. The trade unions in India have strongly come against this judgement and are jointly planning to appeal before a larger Bench of the Supreme Court. Such actions of a democratic government on democratic institution do not speak well of its attitude.

The unionization of workers in the transnational companies as also in information technology sector have received particular attentions. The government’s one point agenda of luring FDI and brutality of police came into open when the electronic media telecasted live the protest [ July 25, 2005] by the employees Honda Motorcycle and Scooter India (HMSI) located in Gurgaon [Haryana] were inhumanely dealt with.

C. Discrimination:

Article 16 states that no citizen, on the ground of religion, race caste, sex, etc. discriminated against in respect of employment. The payment of wages act as also the minimum wage act also does not make any distinction between mal or female workers. Nevertheless, in practice, the provisions of law as also of the constitution are openly ignored. Excepting the public sector undertaking and large private enterprises, there exist differential rate of payment for male and female workers. A child worker is also paid at half or 1/3rd the normal rate which may not be as prescribed in the schedule of the Minimum Wage Act.

The vast unorganised sector and diverse nature of the country has been often given as reason for State's inability to enforce legal provision. Consequently, despite of the Government commitment on the subject, workers continue to face discrimination of various kinds. The women workers are paid at almost half the rate of male workers [who are in any case not being paid wagers at the rate suggested by the government]. The absence of trade union activities has given the employer free hand to treat workers as they desire.

D. Forced Labour:

Article 23 of the Constitution forbids forced labour of any kind. The Bonded labour (Abolition and Regulation) Act also forbid forced labour of any kind and as such the bonded labour System in India is stated to be formally abolished in February 1976. However, various study on bonded labour in India show the practice continues. In the recent years high incidences of bonded labour have been found in the states of Bihar, Madhya Pradesh, Orissa, and Uttar Pradesh. Other studies have also indicated that the plight of workers in the brick kilns and mines no better than slaves. So also is the case with those working in building and road construction, agriculture and plantation, stone quarries, and other comprising part of the Unorganised sector. Government has, however, been declaring that there are no cases of bonded labour in the industries mentioned above.


Influence of Globalisation on ITUM:

The increased economic activities with more players have caught trade unions off-guarded. The concept of ‘competition’ and ‘individualism’ were alien issues as the national trade unions have been functioning in an environment of government monopoly and political party patronage. This is indicative from the fact that over 70 percent of the membership of trade unions, which is in any case confined to the organized sector representing less than 10 percent of the workforce, is drawn from government controlled corporations. The emerging scenario has thus further marginalized the already weak and fragmented Indian trade union movement.

The changed role of the government, dis-investment in PSUs, voluntary retirement schemes, and above all the new form of politicking have jointly increased ineffectiveness of traditional unions which in turn are resulting in their declining membership. The declining industries such as textile, jute, etc. have also lead to decline in the membership of unions such as National Labour Organization [NLO]; Rashtriya Mill Majdor Sangh [RMMS] etc. The fear of further narrowing down of already small membership base [representing less than 10% of Indian workforce] are forcing trade unions and their leaders to venture in new areas to enroll new members. Of recent there have been moves to form trade unions in the unorganized sectors, including that of agriculture labour. The extent of success achieved has, however, been negligible.

 

The trade unions leaders drew much of their power from their association with political party of their affiliation. As such INTUC which is affiliated to Congress was better placed to get benefits for workers till the time Congress Party had formed government at the Centre. Similar is the situation in the States wherein one or the other of the political parties forms the government. Consequently, it had been observed that the union closer to the party in power has been able to extract more for its member. Changing equations amongst political parties have lead to further marginalisation of trade unions as also their leaders. There has been declining trends in so far trade unions as the representative body of Indian workers is concerned. Intra and inter-unions' rivalry; conflicting interests of political party's of affiliation; ineffective and stale strategies; inconsistent policies and programmes; concentration of power in top leadership resulting in delayed and inconsistent reactions; politically biased motives, etc. have jointly led to declining powers of trade unions which in turn has resulted in distrust and revolt amongst rank and file. The changing trends in trade unionism, particularly in Jute, textile, pharmaceutical, telecom, etc. industries are indicative of this state of affairs. The employers and government, too, are finding it easier to sidetrack unions in the current multiple trade union environments with outside and politically supported leadership.

On the other hand there are new scenarios, for example in the case of ITES where number of jobs available is much higher than supply of suitable workforce, there are independent workers, as also atypical workers. Their concerns are different that the traditional industrial workers. They are educated, wide spread and open to new ideas. They need to be serviced professionally.

Convergence as tool for securing labour rights

The globalisation process initiated a process leading to de-industrialization and transfer to information society; decline of large scale manufacturing workplace based on mass production; decline in demand for semi skilled and unskilled workers; public sector cuts; decline of collective attitude and rise of workers' individualism; technological innovations, new management theories of team working and flat business organisations; the rise of small enterprises; the increase in part time and temporary work and other alternative forms of employment. Consequently unions, as a representative body of the working class are finding hard to survive and grow.

The trade union’s earlier strategy of it being endowed with the sole responsibility to represent the workforce has neither worked in the post nor would be effective in the emerging boundary-less environment. A globalised world needs to be approached through globalised and collective actions. The case of child labour eradication is there for us to see where in the trade unions, NGOs and other membership based organizations and global trade unions have acted as a collective. So also is the case of HIV/AID, etc. A recently concluded study on the impact of Solidarity Support Organisations assistance too have concluded that to fully effective in dealing with the issues confronting the working class, it is imperative that there is convergence of organisations functional to protect and promote the interest of the workers.

 

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