Employers Associations

Compiled By Rohit Kumar Sharma Gaurav Mukhija

Introduction
A collective organization of employers whose primary

interests include the regulation of relations between their members and employees or trade unions.
These

are the employer equivalent of unions for employees and are typically organized along craft, regional, industry or multiple industry lines.

Came into existence as a result of formation of ILO and

growing presence of Trade Unions after the First World War.

Based on the recommendation of Royal Commission of

Labour.

Objectives
Primary
Promote

and protect the interests of employers engaged in industry, trade and commerce in India. labour policy, labour-management relations, collective bargaining etc.

Study, analyse and disseminate information relating to

Offer advice concerning various aspects of labour

policy.
Liaise with Union Government and initiate steps that

are representative and legislative in nature.

 Secondary
Train and develop staff and members. Obtain data on wages and conditions of work in

industries attached to them.

Come out with surveys, research-based reports on

issues of importance to both labour and management.

Take up projects for social and family welfare. Deal with safety and health at work place and working

environment.
Initiate steps to improve public image and improve public

relations.
Educate the public regarding the character, scope,

importance and needs of trade, commerce represented by members.

industry

and

Origin and Growth

No efforts were made till the First World War. Associated Chamber of Commerce

(ASSOCHAM) was made in 1920 and Federation of Indian Chamber of Commerce (FICCI) was setup in 1927. ILOs requirement to nominate representatives of workers and employers on all India basis. All India Organisation of Employers was formed in 1932 by the initiative of FICCI. Employers Federation of India was formed in 1933 by the initiative of ASSOCHAM. IN 1941, All India Manufacturers Organisations

Structure

Local Organisations
They serves the interests of local businessmen. These bodies operates through local chamber of commerce. Example Bombay Mill Owners Associations.

Regional Organisations
These regional outfits are affiliated to central employer organisations. They offer consultancy services and take care of training, safety and welfare measures on behalf of their members. Example Employers Federation of South India.

Central Organisations
These are the apex bodies which governs the affairs of several regional and local associations. They include AIOE, EFI and AIMO. In order to bring AIOE and EFI under single umbrella, Council of Indian Employers was formed in 1956.

All India Organisation of Employers (AIOE)

It is a unitary type of organisation. It was established in 1953.

Its members hail from manufacturing, banking,

insurance and commercial establishments.

It has no sub-organisation on an industrial or

geographical basis.
Its president is elected every year.

Employers Federation of India (EFI)

It has a federal structure. It was formed in 1933.

It has a governing body, executive committee

and a secretariat.
It has had only four presidents in the past 50

years.
It was registered as a trade union in 1963 under

the Trade Union Act, 1926

International Organisation of Employers (IOE)

It was founded in 1920. Its headquarter is in Geneva.

It represents the interests of employers in all

social and labour matters at international level.

It has a membership of Employers Association

from over 100 countries.

Membership and Financial Status

Membership Membership is voluntary in nature. Three type of memberships in EFI Individual Association Honorary In 1986, 648 employers association was registered under TU Act. In 1986, AIOE and EFI had 59 and 31 association members respectively.

SCOPE
Standing Conference on Public

Enterprises
Financial Status

Main source of income is the subscription amount.

Other source of income in the form of interest on

deposits, conference fee, publications etc.

Evaluation
EAs relations with Govt. have remained individualistic in nature. They were keen to have personalized relations with Govt. functionaries. Employers were never a homogenous class.
Reasons
The conflict between Swadeshi and Videshi in

pre-independence era. The on-going rivalry and battles between ASSOCHAM, AIMO and FICCI.

They should learn to be proactive than

reactive.

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