Works councils are legally required in Indian factories with over one-hundred employees, and many are also active in the textile and garment sector. Commissioned by Mondiaal FNV, British researcher Stirling Smith conducted research into whether these bodies could play a role in promoting the establishment of trade unions. Unfortunately, the answer was ‘No.’
Photo: iStock/triloks
In many Indian states, trade unions face significant challenges that obstruct them and keep them weak. This is also the case in the country’s garment industry, a sector where Mondiaal FNV actively supports trade unions. Many clothing brands, multi-stakeholder initiatives, and NGOs regard works councils as a possible replacement for trade unions to fight for workers’ rights, assuming that these bodies ‘can bridge the gap’ until unions are free to do their job. As a result of repression, less than 5% of workers in the Indian textile and garment industry are trade union members. This was reason enough to investigate whether the above-mentioned assumption is valid.
In addition to a study of the literature, Stirling Smith conducted interviews with multi-stakeholder initiatives as well as with organisations that fight for the rights of workers, and with Mondiaal FNV’s programme partners. He also spoke with project leaders who helped to set up works councils. The ‘The right to organise or the right to talk? Workers’ agency in Indian garment factories’ study was conducted in Tiruppur, a city in the southern Indian state of Tamil Nadu, known for garment production. ‘Under Indian law, factories with over one-hundred employees are required to establish a works council,’ says Smith. ‘Management also sits on these councils.’
One of the study’s main conclusions was that works councils do not do the same work and do not have the same power as trade unions. ‘I have discovered that employers do not allow these bodies to be fully operational. Workers with a seat on such councils are, for example, mainly concerned with resolving colleagues’ individual problems relating to leave and payment of overtime. There are always many issues in these factories, so it is important to resolve them quickly. Another study has shown that works councils do not convene often, and that workers are not always granted leave to attend meetings. They are also not granted extra hours for this.’
Another significant limitation according to Smith is that works councils are not allowed to negotiate collectively on working conditions and terms of employment. ‘Indian law forbids them from doing so. The International Labour Organization (ILO) also stipulates that collective bargaining should only be conducted by trade unions. However, works councils can engage in social dialogue on working conditions, but they tend to operate only at the level of a suggestion box. It all comes down to fear. Because management also takes part in a works council, workers are afraid of losing their jobs. Expressing even slight criticism can have consequences.’
To Smith’s surprise, there appeared to be no connection between works councils and trade unions. ‘I had assumed that if we trained workers actively to participate in a works council, they would progress naturally into union involvement. But that is not the case; we have found no evidence in this respect.’ He stressed that anti-union sentiment in several Indian states hinders the growth of trade unions. ‘The state Tamil Nadu, where this research took place, is not very trade union friendly. Trade unions need to register, a process that takes time. Trade unions are now taking the matter to court because the government allows the registration deadlines to lapse.’
Smith recommends that trade unions encourage workers to run for election in works councils and to support them in doing so. Many factories do not even hold elections - workers are simply appointed. ‘In Bengaluru (Bangalore), where trade unions operate at the city level rather than the factory level, they advise ensuring that works council elections are held. Elected members connect more directly with their colleagues. If anything happens then, such as a strike called by a trade union, it is more likely to receive widespread support.’
In the study, Smith emphasises that concerns relating to gender equality should be the central focus of improving union representation within India’s textile and garment sector. ‘Sexual harassment in the textile sector occurs daily, and there is no provision for nurseries or maternity leave. The more women in union leadership, the better the working conditions will be for female workers.
Mondiaal FNV’s policy officer Katrine Danielsen is pleased with this research. ‘This report helps us to understand employee representation in the Indian textile and garment industry’, she says. It shows how works councils can help resolve immediate workplace issues and encourage workers to speak up. However, the study also makes clear that works councils do not necessarily help workers to get in touch with trade unions, to establish unions, or to exercise their right to freedom of association. These are important findings for us and for other organisations that support trade unions and workers’ rights. It demonstrates that supporting works councils is not enough. We need to do more to assist unions and support freedom of association in this important sector.’
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This research was published intentionally on 10 December, a date that has been proclaimed the United Nations’ International Human Rights Day. The right of association is also a fundamental human right.