Trade Union : Objectives, Functions, Types, Impact, Advantages & Disadvantages of Trade Union

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Trade Union is an organization made by workers from related fields that works towards the common interest of workers.


In major countries, there are laws governing the formation, membership, and administration of trade unions.





  1. Objectives of Trade Union  

The critical objectives of a trade union are mentioned below:

1. To control terms and conditions of employment.

2. To enhance the working requirements at the workplace.

3. To increase the living standards of employees.

4. To cover the workers by exploitation of management.

5. To assist in the maintenance of discipline of the organization/industry

6. To provide the proper performance of personnel and welfare policies.

7. To substitute the managerial dictatorship with worker democracy.

8. To execute industrial peace by enhancing employee and employer relations.

9. To work as the most suitable negotiator machinery.

10. To protect the welfare of the organization and organizational health.

11. In a more general sense, to safeguard the interests and welfare of workers.





  2. Functions of Trade Union  

The functions of the trade union are mentioned below:

a. To fulfill higher wages and more acceptable working necessities.

b. To uplift the quality of workers as a part of industry

c. To save laborers against victimization and injustice.

d. To take up welfare efforts for enhancing the confidence of workers

e. To develop self-confidence among employees

f. To promote sincerity and discipline among employees

g. To deliver opportunities for promotion and growth

h. To save women workers against discrimination



  3. Types of Trade Union  

Mainly there are 3 types of trade unions that are as follows:

a. Craft Unions

b. Industrial Unions

c. General Unions


a. Craft Unions

A craft union is a trade union combining workers who are engaged in a particular craft or skill but who may work for various employers and at various locations.

For example, in the building trades, all carpenters belong to the Carpenters’ Union, the plasterers join the Plasterers’ Union, and the painters belong to the Painters’ Union.


Craft Unions


b. Industrial Unions

Industrial unionism is a union organizing technique via which all workers in the same industry are organized into the same union, any way of skill or trade, thus giving workers in one industry, or in all industries, more power in bargaining and in strike conditions.


Industrial Unions


For example, here are a few unions that are active currently.

a. International Union of Operating Engineers.

b. International Brotherhood of Teamsters.

c. International Association of Machinist and Aerospace Workers.

d. United Mine Workers



c. General Unions

A general union is a union that illustrates workers from all industries and companies, instead of just one association or a certain field, as in a craft union or industrial union.

A general union varies from a union federation or trades council in that its members are individuals, not unions.


General Unions





  4. Impact of Trade Union  

They hold the ability to go on strikes and can pressure employers to raise wages and satisfy their demands. Also, it can push employers to bypass redundancies. However, if the labor market flexibility is enhanced, their power may be affected.





  5. Advantages of Trade Union  

The advantages of trade unions are as follows:

a. Right pay Demands.

b. Improved working conditions

c. Guaranteed Job security

d. Reduced Economic Inequality

e. Grievance Handling





  6. Disadvantages of Trade Union  

The disadvantages of a trade union are as follows:

a. Increasing the wages of workers can also increase unemployment.

b. Productive time can be lost due to strikes, rallies, and meetings to encourage their demands.

c. Creates lethargic attitude in employees




  7. References  

1. Content Filter & Authenticity Checking Team, Dream Civil International

(Our team checks every content & detail to maintain quality.)




Read Also: Construction Scheduling


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