The Labour Department’s decision to issue notices to 335 unions for failing to submit annual returns under the Trade Unions Act, 1926, marks an important push toward accountability in the labour ecosystem of UT. While some may view this as routine administrative tightening, the implications go far deeper-directly affecting the workers who pay fees, trust these bodies, and rely on them in moments of vulnerability. Annual returns are not a mere bureaucratic formality. They serve as the foundation of transparency and legitimacy for any trade union. Workers contribute money-monthly or annually-with the expectation that the union will protect their rights, negotiate with employers, and represent them before the Government. Without audited records, without annual disclosures, how can members know whether their hard-earned contributions are being used responsibly? Filing returns ensures proper documentation of membership, finances, leadership changes, and activities. This information is essential not just for regulators but for the cadre themselves, who deserve clarity on the functioning of the very bodies claiming to represent them.
A union that does not file returns, or worse, has become defunct in reality while alive only on paper, ceases to serve any meaningful purpose. Such unions offer no negotiation power, no collective voice, and no practical assistance when employees need them most. For workers seeking help during disputes, accidents, wage issues, or policy changes, a non-existent or unregistered union is as good as no union at all. It fails the very people it claims to stand for. From the Government’s perspective, a comprehensive and up-to-date list of registered unions is crucial. When labour laws are amended, when new welfare schemes are introduced, or when feedback is sought on systemic reforms, unions are the natural channel for dialogue. If these unions remain non-compliant, fragmented, or outdated in their records, this critical communication network collapses. Employers, too, suffer, because meaningful negotiation becomes impossible without verified representatives.
The Labour Department’s move is therefore not punitive-it is corrective. It seeks to protect institutional integrity and restore trust in the trade union system. The 10-day compliance window should be seen as an opportunity, not a threat. Unions must understand that proper registration and timely filing of annual returns are basic responsibilities, inseparable from the mandate of representing workers.
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