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Demand for Trade Unions
- Early phase of Congress could not materialise the demands of labour class. They failed to raise the issues and challenges of labour class in the central legislative body.
- Moderates believed that labour legislation would affect the competitive edge enjoyed by Indian-owned industries. They did not want a division in the movement based on classes.
- Factories Act 1881 applied to only those factories where labour strength was more than 100. This leaves out many Indian-owned factories and small-to-medium-scale industries.
- World War I brought a rise in exports, soaring prices, and massive profiteering opportunities for industrialists but very low wages for the workers. This led to discontent among workers.
Trade Unions in 1920s
- All India Trade Union Congress was founded on October 31, 1920. Lala Lajpat Rai was its first President and Dewan Chaman Lal as first general secretary. Indian National congress at the Gaya session welcomed the formation of AITUC.
- Jawahar Lal Nehru, Subhas Chandra Bose, V V Giri, Sarojini Naidu, C R Das and J M Sengupta were prominent congress leaders who had close contact with AITUC.
- The major strikes during the 1920s included those in Kharagpur Railway Workshops, Tata Iron and Steel Works (Jamshedpur), Bombay Textile Mills (this involved 1,50,000 workers and went on for 5 months), and Buckingham Carnatic Mills.
Trade Union Act, 1926
- Allowed recognition of trade unions as legal associations.
- Conditions for registration and regulation of trade union activities were laid down.
- It provided for secured immunity, both civil and criminal, for trade unions from prosecution for legitimate activities, but put some restrictions on their political activities.
- Workers participated 1930 in Civil Disobedience Movement but after 1931 there was a dip in working-class movement because of a split in 1931 in which the corporatist trend led by N.M. Joshi broke away from the AITUC to set up the All-India Trade Union Federation.
