Section 8: Application for registration, alteration of name and procedure thereof

The Industrial Relations Code, 2020 (Act No. 35 of 2020) • Official Statutory Text & Plain English Practice Guide

Statutory Mandate
Chapter III: Trade Unions
Competent Labour Forum
Act No. 35 of 2020

Legal Commentary & Landmark Judgments: Section 8

Section 8 of the Industrial Relations Code, 2020 prescribes the mandatory provisions that must be embodied in the constitution and rules of every Trade Union, establishing structural governance, financial transparency, member rights, and a statutory ceiling of 3 years on executive tenure as non-negotiable prerequisites for registration.

  • Compulsory Constitutional Architecture & Democratic Objects: Section 8 mandates that a Trade Union shall not be registered unless its executive is constituted in accordance with the Code and its rules explicitly provide for: the name, objects for which the union is established, lawful purposes for general fund expenditure, maintenance of a list of members, and admission criteria for ordinary and honorary members.
  • Subscription Benchmarks & Safe Custody of Funds: The rules must provide for the payment of a minimum monthly membership subscription as may be prescribed, the safe custody of funds, an annual audit of accounts by certified auditors, and adequate facilities for the inspection of account books and membership registers by office-bearers and members.
  • Executive Tenure Ceiling & Dissolution Procedures: Section 8(j) introduces a critical statutory mandate capping the duration of the executive and office-bearers to a term not exceeding three years; the rules must also provide clear procedures for the appointment and removal of office-bearers, alteration of rules, and the orderly dissolution of the Trade Union.
Key Landmark Precedents:
  • MTNL v. MTNL Staff Union (2004) 112 DLT 424: The Delhi High Court held that the constitution and registered rules of a Trade Union constitute a solemn contract between the union and its members; any resolution, election, or executive action taken in violation of the registered rules is ultra vires and legally void.
  • Bokaro Steel Workers Union v. State of Bihar 1995 Supp (1) SCC 20: The Supreme Court held that the election and tenure of office-bearers must strictly adhere to the registered constitution mandated by statute; office-bearers cannot perpetuate their tenure beyond the registered period without fresh democratic elections.
  • Indian National Electricity Workers Federation v. Chandreshwar Prasad Singh (1980) 1 SCC 517: Affirmed that compliance with mandatory statutory provisions governing trade union rules is essential for maintaining corporate status and exercising collective representation under industrial law.
Courtroom Practice & Strategic Litigation Guidance:

Drafting counsel for Trade Unions must cross-check the draft constitution against every clause of Section 8. Crucially, verify that the executive tenure clause strictly specifies a period of three years or less, as any rule stipulating four or five-year terms will result in immediate rejection by the Registrar. Unions must also incorporate express provisions detailing the procedure for annual audits and member inspection to prevent cancellation proceedings under Section 10.