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Trade Union Act 1926: Key Provisions

Trade union labour law notes

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430 views39 pages

Trade Union Act 1926: Key Provisions

Trade union labour law notes

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yashshukla52
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Topic 2

Trade Union – Definition, Registration and Recognition


Definitions of ‘trade union’, ‘workman’ and ‘trade dispute’ - The Trade
Unions Act,
1926, Sections 2(g) and (h), 3-13, 15, 22
3. Rangaswami v. Registrar of Trade Unions, AIR 1962 Mad. 231 7
4.The Tamil Nadu Non-Gazetted Government Officers’ Union, Madras v.
The Registrar of Trade Unions, AIR 1962 Mad. 234 12
5. In Re Inland Steam Navigation Worker’s Union, AIR 1936 Cal 59 19
6.The Food Corporation of India Staff Unionv.Food Corporation of
India & Ors, Air 1995 SC 1344.
Trade Union- Definition, Registration and
Recognition
Trade unionism has been a moment launched against the concentration of
economic power in the hands of a few individuals of society and for the purpose of
promoting the Welfare of working class.

Trade union act as a pressure creator for factory legislation, for extended
educational opportunities, for removal of social barriers, for securing employment
and are pressures which result in a greater measure of real democracy.

The Advent of Modern Factory System in India has introduced the concept of Trade
Union with a view to reduce the conflict of interest between workers and
employers.
Significance and Objectives of Trade Union-

❖ A trade union is an organized group of workers who strive to help the workers in the
issues relating to the fairness of pay, good working environment, hours of work and
other benefits that they should be entitled to instead of their labour.
❖ It act as a link between the management and workers.

Objectives---
❖ To watch, promote and further the interests, rights and privileges of the workers in
all matters relating to their employment.
❖ To protect the workers from exploitation by management.
❖ To help in maintenance of discipline in organisation/industry.
❖ To ensure the proper implementation of personnel and welfare policies.
❖ To replace managerial dictatorship by worker’s democracy.
❖ To establish industrial peace by improving employees and employers relations.
❖ To act as a best negotiator machinery.
❖ To socialize and nationalize means of production, distribution and exchange.
❖ To ameliorate the economic and social conditions of the working class.
❖ To secure and maintain worker’s freedom of speech, freedom of press, freedom of
association, freedom of assembly, the right to strike and the right to work and
maintenance.
❖ In nutshell, the trade union serve the aims of both workers and management in the
organisation.

Thus, A Trade Union is an organisation of workers, acting collectively, who seek to


protect and promote their mutual interests through collective bargaining.
Right to form trade union in India Article 19(1)(c) of the Constitution

Article 19(1)(c) of the Constitution guarantees to all citizens the right to form
associations and unions.
However, such right can be restricted by making suitable legislation under Art. 19
to protect public order and morality.

Fulfilment of every object of an association formed is also a protected right, but


not a fundamental right. Article 19 does not carry with it a fundamental right in the
union to achieve every object for which it was formed or guaranteed effective
collective bargaining or to go on strike etc. These rights can be controlled by
appropriate industrial legislations (e.g. IDA) but never the right to form Unions.
THE TRADE UNION ACT -1926
NAME :THE TRADE UNION ACT -1926
Extends : whole of India
Effective : 1 June 1927
Total :33 Sections ( into 5 parts )

Regulations : Central trade union Regulations 1938(applicable only for


more than one state )
(17 regulations)
Scheme of the Act
CHAPTER I PRELIMINARY SECTIONS 1. Short title, extent and commencement. 2. Definitions.
CHAPTER II REGISTRATION OF TRADE UNIONS 3. Appointment of Registrars. 4. Mode of
registration. 5. Application for registration. 6. Provisions to be contained in the rules of a Trade
Union. 7. Power to call for further particulars and to require alteration of name. 8. Registration. 9.
Certificate of registration. 10. Cancellation of registration. 11. Appeal. 12. Registered office. 13.
Incorporation of registered Trade Unions. 14. Certain Acts not to apply to registered Trade
Unions. CHAPTER III RIGHTS AND LIABILITIES OF REGISTERED TRADE UNIONS 15.
Objects on which general funds may be spent. 16. Constitution of a separate fund for political
purposes. 17. Criminal conspiracy in trade disputes. 18. Immunity from civil suit in certain cases.
19. Enforceability of agreements. 20. Right to inspect books of Trade Union. 21. Rights of minors
to membership of Trade Unions. 21A. Disqualifications of office-bearers of Trade Unions. 22.
Proportion of office-bearers to be connected with the industry. 23. Change of name. 24.
Amalgamation of Trade Unions. 25. Notice of change of name or amalgamation. 2 SECTIONS
26. Effects of change of name and of amalgamation. 27. Dissolution. 28. Returns. CHAPTER IV
REGULATIONS 29. Power to make regulations. 30. Publication of regulations. CHAPTER V
PENALTIES AND PROCEDURE 31. Failure to submit returns. 32. Supplying false information
regarding Trade Unions. 33. Cognizance of offences.
The Trade Unions Act, 1926

The Trade Unions Act of 1926 was passed in the year 1926 but it came into
effect in the year 1927. The Act contains the provisions relating to
registration, regulation, benefits, and protection for trade unions.

Definitions-
Section 2(h) Trade Union-
Trade Union" means any combination, whether temporary or permanent,
formed primarily for the purpose of regulating the relations between--
➔ workmen and employers or
➔ workmen and workmen, or
➔ employers and employers, or
➔ for imposing restrictive conditions on the conduct of any trade or
business.
Provided that this Act shall not affect -

● any agreement between partners as to their own business.


● any agreement between an employer and those employed by him as to such
employment. or
● any agreement in consideration of the sale of the good-will of a business or of
instruction in any profession, trade or handicraft.

Section 2(g) defines Trade Dispute and Workman---


“Trade dispute” means any dispute between--
➔ employers and workmen or
➔ workmen and workmen, or
➔ employers and employers
➔ Dispute must be connected with the employment or non-employment, or the terms
of employment or the conditions of labour, of any person.
➔ The definition of Trade Dispute in this Act is almost similar to the definition of
Industrial Dispute given in the Industrial Disputes Act, 1947. In Trade Dispute, it is
necessary that there must be a demand from one party and refusal to accept those
demands by other party.

➔ The latter part of section 2(g) defines “Workmen”


➔ Workmen means all persons employed in trade or industry whether or not in the
employment of the employer with whom the trade dispute arises.
➔ This definition has two ingredients--
★ Workmen means all person employed in trade or industry.
★ It is immaterial that the persons employed in a trade or industry are not in
the employment of the employer with whom the trade dispute arises.

Provisions for Registration and Recognition


Appointment of Registrars-- Section 3

As regards registration of a trade union, the Act empowers the appropriate Government
to

● Appoint a person to be the Registrar of Trade Union for each state.


● The appropriate Government may appoint as many additional and deputy registrar’s
trade unions as it think fit.

They shall work under the superintendence and direction of the Registrar. The
appropriate Government shall specify and define the local limits within which any
additional and Deputy Registrar shall exercise and discharge his powers and functions.

Mode of Registration of Trade Union-- Section 4

The registration of a trade union can be made under this Section 4, it provides that any
seven or more members of a trade union may by subscribing their names to the rules
of trade union and by otherwise complying with the provision of this Act with
respect to registration, apply for registration of the trade union under this Act.

The section also provides that in case members applying for registration disassociate
themselves from the application, or cease to be members of the union, after the date of
application, but before the registration of the union and their number does not exceed
half of the total number of the persons applying, the application shall not be deemed to
be invalid.

Application for Registration---Section 5

For registration of a trade union, seven or more members of the union can submit their
application in the prescribed form to the Registrar of trade unions.

The application shall be accompanied by a copy of the ‘rules of the trade union’ and a
statement giving the following particulars:

● Names, occupations and addresses of the members making the application;


● The name of the trade union and the address of its head office.
● The titles, names, ages, addresses and occupations of the office bearers of the
trade union.

Every application for registration of a Trade Union shall be made to Registrar.

Provisions to be Contained in the rules of a Trade Union-- Section 6


For the purpose of registration the application shall be accompanied by a copy of the
rules containing matters as given in Section 6. The rules thereof provide for the
following matters, namely:—

➔ The name of the Trade Union;


➔ The objects for which the Trade Union has been established;
➔ The purposes for which the general funds of the Trade Union shall be applicable;
➔ The maintenance of a list of the members of the Trade Union and adequate
facilities for the inspection thereof;
➔ The conditions under which any member shall be entitled to any benefit assured by
the rules and under which any fine or forfeiture may be imposed on the members;
➔ The manner in which the rules shall be amended, varied or rescinded;
➔ The safe custody of the funds of the Trade Union, an annual audit, in such manner
as may be prescribed, of the accounts thereof, and adequate facilities;
➔ The manner in which the Trade Union may be dissolved etc.

Power to call for further particulars and to require alteration of


name-- Section 7
● The registration of a Trade Union will be refused by the registrar if the name under
which a Trade Union is proposed to be registered is identical with any existing
Trade Union or,
● In the opinion of the Registrar, so nearly resembles such name as to be likely to
deceive the public or the members of either Trade Union,
● The Registrar shall require the persons applying for registration to alter the name of
the Trade Union stated in the application, and shall refuse to register the Union until
such alteration has been made.
Registration ---Section 8
The Section 8 of the Trade Unions Act, 1926 prescribes a duty on the Registrar to
register the trade union if all the requirements of the Act with regard to registration
have been complied with. The Registrar will, in such a case enter the particulars relating
to the trade union in a register maintained in the prescribed form.

Certificate of Registration-- Section 9


The Registrar, on registering a Trade Union, shall issue a certificate of registration which
shall be conclusive evidence that the Trade Union has been duly registered under the
Act.
Section 9A provides for minimum requirement about membership of a trade
union, which shall not be less than 10 % or 100 of the workmen whichever is less at all
times.

Cancellation of registration Section 10


A certificate of registration of a Trade Union may be withdrawn or cancelled
by the Registrar—
Power to withdraw or cancel registration of a Trade Union is given to the Registrar.
The Registrar can exercise the power in the following case, namely:

● On the application of the Trade Union.


● Where the certificate of registration has been obtained by fraud or mistake.
● Where the Trade Union ceased to exist.
● Where the Trade Union has willfully and after notice from the Registrar allowed any
rule to continue in force which is inconsistent with the provision of this Act.
● Where the Trade Union has willfully and after notice from the registrar violated any
provisions of this Act.
● if the Registrar is satisfied that a registered Trade Union of workmen ceases to have
the requisite number of members.

Appeal Section 11--- Any person aggrieved by any refusal of the Registrar to
register a Trade Union or by the withdrawal or cancellation of a certificate of registration
has the right to of appeal within a period specified i.e. 60 days.
Section 12 provides that all communication and notices will be addressed to the
registered office.

Incorporation of Registered Trade Union Section 13--

Some of the advantages gained by registration as given in Section 13 are as under:

● A Trade Union becomes a body corporate by name under which it is registered


and it a legal entity distinct from its members of which it is composed.
● It gives perpetual succession and common seal.
● It can acquire and hold both movable and immovable property.
● It can enter into a contract.
● It can sue and be sued in its registered name.

Thus,An Unregistered Trade Union is only a voluntary association of individuals having


no corporate existence. It is not a legal entity. An unregistered Trade Union cannot be
sued and any appearance of officials on its behalf before the court is not right.
Certain Acts not to apply to registered Trade Unions Section 14---

The following Acts, namely:—


❖ The Societies Registration Act, 1860
❖ The Co-operative Societies Act, 1912
❖ The Companies Act, 1956
shall not apply to any registered Trade Union, and the registration of any such Trade
Union under any such Act shall be void.

Objects on which general funds may be spent Section 15---


The general funds of a registered trade union shall be spent on the
following objects---

I ● Salaries, allowances and expenses to office bearers.


2● Expenses for administration and audit of the accounts of funds of the union.
3● Towards Prosecution or defense of any legal proceeding to which the union or its
member is a party.
● The conduct of trade disputes on behalf of the union or its members.
"● Compensation for the members at the time of dispute.
6● Allowances to members or their dependants on account of death, old age,
sickness, accidents or unemployment of such members.
7● Policies for insuring members against sickness, accident or unemployment.
&● The provision of educational, social or religious benefits for members (including the
payment of the expenses of funeral ceremonies.
9● the upkeep of a periodical published mainly for the purpose of discussing questions
affecting employers or workmen as such.
Thus, it will be illegal to spend the Union funds for any purpose other than those stated
above.

Proportion of office-bearers to be connected with the industry Section 22


Section 22 of the Act mandates that not less than half of the members of the trade
union should be employed in the industry or work with which the trade union is
connected. For example trade union is made for the welfare of the agricultural labourers
then, as per this Section half of the members of such a trade union should be employed
in agricultural activities.
Rangaswami v. Registrar of Trade Unions (2962)

Facts of The Case--

● In the Raj Bhavan at Guindy, a number of persons are employed in various


capacities such as household staff, peons, chauffers, tailors, carpenters, maistries,
gardeners, sweepers etc.
● There are also gardeners and maistries employed at the Raj Bhavan at
Ootacamund.
● Those persons are employed for doing domestic and other services and for the
maintenance of the Governor’s household and to attend to the needs of the
Governor, the members of his family, staff and State guests.
● There are 33 such persons employed at Guindy and 35 at Ootacamund. Their
duties consist in maintaining the gardens. Their service is not pensionable but they
would be entitled to gratuity at certain rates.
● With the object of securing better service conditions and to facilitate collective
bargaining with the employer, the employees formed themselves into a union called
the Madras Raj Bhavan Workers’ Union.

● On 9.2.1959, seven of the employees applied to the Registrar for registration of


their union as a trade union.

● The applicants did not however claim before the Registrar that the employees were
engaged in either a trade or an industry; the claim was that their services could not
be held to be purely domestic services and therefore their union would be entitled
to the benefits of registration under the Trade Unions Act.

● The Registrar was of the view that before a union can be registered, the members
thereof must be connected with a trade or industry or business of an employer, and
that condition not being fulfilled in the present case, the employees could not be
held to be workmen within the meaning of the Act to entitle them to the registration;
the application for registration was rejected.
Question for Consideration--
This is a petition under S. 11 of the Trade Unions Act seeking to set aside the order of
the Registrar of Trade Unions, Madras refusing to register the union of employees of
the Madras Raj Bhavan as a trade union.
CONTENTIONS:
★ The respondents argued that because the activity was not a trade in nature
therefore they cannot be allowed to form Trade Union under the Trade Union Act
1926 by the registrar. Before the union is registered the members must be
connected to any trade or business of the employer. Whereas the activity of
providing domestic help does not fit well in the definition and thus they were not
granted to form union under the Act though they can simply form an association if
wanted.
★ The applicant argued that there is no definition of the term ‘industry’ in the Trade
Union Act and therefore they need to refer to the meaning of Industrial Dispute Act
1947, which define to include an undertaking would be comprehensive enough to
cover the case of employees like these engaged in services at Raj Bhavan who
systematically do material services. For the benefit of not merely the members of
Governor’s household but the visitors and guest as well.
JUDGEMENT: Ramchandra Iyer .
J .

★ Industrial Dispute Act has the objective of securing industrial peace and speedy
remedy for labour unrest. This objective is not applicable in the case. ‘Trade
Dispute’ under the Industrial Dispute Act means the person employed in trade or
industry, whether or not in the employment of the employer with whom the trade
dispute arises. It is obvious that the industry should be one as would amount to a
trade or business, i.e. A commercial undertaking.
★ The Madras High Court held that the employees are not allowed to form union
under the Act as they do not engage in any trade or business.
★ The services rendered to the visitors and the guests were ancillary and personal
services and are indirect to their employer. They are done with certain rules framed
by the government. The services rendered by them were purely of personal nature.
They would not amount to trade and business.
★ The order of the Registrar of Trade Unions rejecting the application of the
petitioners is, therefore, correct.

The Tamil Nadu Non-Gazetted Government Officers’ Union,


Madras v. The Registrar of Trade Unions (1962)
FACTS-
➢ The Non-Gazetted Government Officers such as Sub-Magistrates, Tehsildars,
Sub-Treasuries and the people working under the Home Department and such of
their ten members went to register their Trade Union with the Registrar in Tamil
Nadu.
➢ However, the Registrar of Trade Union denies and rejects their application on the
ground that the Ministerial Employees and Government Officers cannot form a
Trade Union and therefore a registration cannot be done.
➢ The case then goes to the Court which was adjudged by Ramachandra Iyer J.,
wherein the court agrees with the Registrar of Trade Union and declares that the
Associations of Government Officers do not come under the ambit of section 2(g)
and 2(h) of the Act.
➢ This was then Appealed in the Madras High Court.
ISSUE-
Can Government Servants and other Non- Gazetted Officers form a Trade Union?
CONTENTION OF COUNSEL FOR NON- GAZETTED OFFICERS-
The learned counsel for the Non-Gazetted Officers argued that as per section 7 of the
Act, the Registrar of Trade Union may call for further information for the purpose of
satisfying himself that an application has been made and complied with sections 5 and 6
of the Act, in order to make it entitled to registration. However, in the instant case the
Registrar did not call for any further information under Section 7 and therefore he has no
jurisdiction to decline the registration of the Non Gazetted Officers.
VIEWS OF LEARNED JUDGE-
➔ The Hon’ble Judge considered section 2(h) of the Trade Union Act and concluded
that ‘Workmen’ under this section would only mean manual labourers or workers of
that particular class.
➔ The learned Judge was of the view that the concept of ‘Collective Bargaining’ is
important in Trade Union Movement. However, this cannot be applied to
Government Servants.
➔ The Government Servants are employed as per the statute and legislations
enacted, wherein their salaries, incentives, and other formalities such as termination
and tenure is also mentioned.
➔ While the whole purpose of ‘Collective Bargaining’ is also to bargain upon and
negotiate upon the salaries, incentives, tenure and termination of the workers.
Therefore it was concluded that the concept of ‘Collective Bargaining’ which is
important in Trade Union Movement cannot lie parallelly when applied to the
Government Servants.
JUDGEMENT BY MADRAS HIGH COURT-
.
J
The Court held that- Anantalarayanan
.

1. The civil servants are integrated with inalienable and regal functions of the
Government which are sovereign in nature. The functions that are performed by them
cannot be concluded as an ‘Industry’ as per the Industrial Dispute Act, 1947. Therefore,
these civil servants cannot be concluded as ‘Workmen’.
2. Further, sections 2(h) and 2(g) does not apply to these civil servants, therefore they
cannot form a ‘Trade Union’ or claim any dispute as ‘Trade Dispute’
3. Under Article 310 and Article 311 of the Indian Constitution, statutory safeguards are
provided against certain penalties such as removal or reduction in rank of a servant. To
this, the concept of ‘Collective Bargaining’ cannot be applied.
4. The court further held that as per Section 16 and Section 22 of the Trade Union Act
allows permits to form a separate fund for political purposes and office bearers to be
connected with the Industry. However, both of these things cannot be done by
Government Officers. This concludes that Government Servants do not come under this
Act.
The Court agreed with the view of Learned Judge Ramchandra and dismissed the
appeal made by the Non-Gazetted Officers.
In Re Inland Steam Navigation Worker’s Union
(1936)
❖ An application filed before the Registrar for registration of a Union was rejected by
him on the ground that the Union was for all practical purposes the same as
another Union which had been previously declared unlawful under S. 16, Criminal
Law Amendment Act.
❖ The Registrar in passing the order relied on a letter written by the Secretary of the
Union to the Bengal Government in which it was prayed that the ban on the other
Union be raised.
❖ The Registrar appeared to have acted on the letter without giving the Union any
opportunity of explaining the statements made therein.
❖ The Union went in appeal to the High Court under S. 11. The original proceedings
were started by a petition in which the petitioner described himself as the
Secretary of the Union and prayed that a Rule might be issued to the Registrar to
show cause why the order passed by him should not be set aside.
Observation of High Court..
★ High Court held that the functions of the Registrar were limited to seeing that the
requirements of the Act had been complied with and he was not entitled to go into
the question, whether or not the Union in question was the same which had been
declared unlawful.
★ This appeal should be allowed and the matter should be sent back to the Registrar
for him to consider the question as to whether the requirements of the Act, and the
regulations made thereunder, with regard to registration, have been complied with,
or not.
★ If, on the face of the application, the objects and the provisions for carrying them
out are within what is allowed by the Act and the requirements as to registration
have been complied with, he should register; if not, he should decline to register.
The Food Corporation of India Staff Union v. Food Corporation of
KULDIP SINGH, B.L. HANSARIA, S.B. MAJUMDAR, JJ. India & Ors 11995/
Question For Determination-- How the representative character of trade unions be
assessed.

When in an establishment, be it an industry or an undertaking, there are more than one


registered trade unions, the question as to with whom the employer should negotiate or
enter into bargaining assumes importance, because if the trade union claiming this
right be one which has as its members minority of the workmen/employees, the
settlement, even if any arrived between the employers and such a unions, may not be
acceptable to the majority and may not result in industrial peace. In such a situation
with whom the employers should bargain, or to put it differently who should be the sole
bargaining agent, has been a matter of discussion.
➢ The Food Corporation of India (FCI) and the unions representing the workmen have
agreed to follow the “secret ballot system” for assessing the representative
character of the trade unions.

➢ The Apex Court directed the following norms and procedure shall be following
for assessing the representative character of trade unions by the "secret
ballot system":

➢ (i) As agreed to by the parties the relative strength of all the eligible unions by way
of secret ballot be determined under the overall supervision of the Chief Labour
Commissioner (Central) (CLC).

➢ (ii) The CLC will notify the Returning Officer who shall conduct the election with the
assistance of the FCI. The Returning Officer shall be an officer of the Government of
India, Ministry of Labour.
➢ (iii) The CLC shall fix the month of election while the actual date/dates of election
shall be fixed by the Returning Officer.
➢ (iv) The Returning Officer shall require the FCI to furnish sufficient number of copies
of the lists of all the employees/works. The said list shall constitute the voters list.

➢ (v) The FCI shall display the voters list on the notice boards and other conspicuous
places and shall also supply copies thereof the each of the union for raising
objections, if any. The unions will file the objections to the Returning officer, within
the stipulated period and the decision of the Returning Officer shall be final.

➢ (vi) The FCI shall make necessary arrangement to :

(a) give wide publicity to the date/dates of election by informing the unions and by
affixing notices on the notice board and also at other conspicuous places for the
information of all the workers;
(b) print requisite number of ballot papers in the proforma prescribed by the CLC
incorporating therein the names of all the participating unions in an alphabetical
order after ascertaining different symbols of respective unions;
(c) the ballot papers would be prepared in the proforma prescribed by the CLC in
Hindi/English and the concerned regional language;

(d) set up requisite number of polling stations and booths near the premises where the
workers normally work; and

(e) provide ballot boxes with requisite stationery, boards, sealing wax etc.

➢ (vii) The Returning officer shall nominate Presiding Officer for each of the polling
station/booth with requisite number of polling assistants to conduct the election in an
impartial manner. The Presiding Officers and the polling assistants may be selected
by the Returning Officer from amongst the officers of the FCI.

➢ (viii) The election schedule indicating the dates for filing of nominations, scrutiny of
nominations papers, withdrawal of nominations, polling, counting of votes and the
declaration of results, shall be prepared and notified by the Returning Officer in
consultation with the FCI. The election schedule shall be notified by the Returning
Officer well in advance and at least one month's time shall be allowed to the
contesting unions for canvassing before the date of tiling the nominations.

➢ (ix) To be eligible for participating in the election, the unions must have valid
registration under the Trade Unions Act, 1926 for one year with an existing valid
registration on the first day of filing of nomination.

➢ (x) The Presiding Officer shall allow only one representative to be present at each
polling station/booth as observer.

➢ (xi) At the time of polling, the polling assistant will first score out the name of the
employee/workman who comes for voting, from the master copy of the voters' list
and advise him thereafter to procure the secret ballot paper from the Presiding
Officer.

➢ (xii) The Presiding Officer will hand over the ballot paper to the workman/employee
concerned after affixing his signatures thereon. The signatures of the
workman/employee casting the vote shall also be obtained on the counterfoil of the
ballot paper. He will ensure that the ballot paper is put inside the box in his presence
after the voter is allowed to mark on the symbol of the candidate with the inked
rubber stamp in camera.

➢ (xiii) After the dose of the polling, the Presiding Officer shall furnish detailed of total
ballot papers received, ballot papers used, unused ballot papers available etc. to the
Returning Officer.

➢ (xiv) After the close of the polling, the ballot boxes will be opened and counted by
the Returning Officer or his representative in the presence of the representative of
each of the unions. All votes which are marked more than once, spoiled, cancelled
or damaged etc. will not be taken into account as valid votes but a separate account
will be kept thereof.

➢ (xv) The contesting unions through their representatives present at the counting
place may be allowed to file applications for recounting of votes to the Returning
Officer.

➢ (xvi) The result of voting shall the compiled on the basis of valid votes polled in
favour of each union in the proforma prescribed by the CLC and signatures obtained
thereon from the representatives of all the unions concerned as a proof of counting
having been done in their presence.

➢ (xvii) After declaring the results on the basis of the votes polled in favour of each
union by the Returning Officer, he will send a report of his findings to the CLC.

➢ (xviii) The union/unions obtaining the highest number of votes in the process of
election shall be given recognition by the FCI for a period of five years from the date
of the conferment of the recognition.

➢ (xix) It would be open to the contesting unions to object to the result of the election
or any illegality or material irregularity which might have been committed during the
election. Before the Returning Officer such objection can only be raised after the
election is over. The objection shall be heard by the CLC and dispose of within 30
days of the filing of the same. The decision of the CLC shall be final subject to
challenge before a competent court, if permitted under law.

➢ It would be open to the CLC to deal with any situation not covered by the procedure
detailed above. He may do so in consultation with the returning officer and the FCI.

➢ We direct the CLC and the FCI to hold the elections in accordance with the
procedure prescribed by this order. This may be done before April 30, 1995. The
appeal and the writ petition are disposed of in the above terms. No costs.

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