The record-union., 1894-08-02
ENGLISH TRADES UNIONS.
Report of the Royal Commission to
Parliament.
Observations on the Law Relating to
Trades Unions and Employ
ers' Associations.

The Press Association understands that
in the final report, as presented to Parlla-
ment, the following supplementary OBJ
servations'' on the law relating TO trades
unions and employers associations,
which were drawn up by the Chairman
(the Duke of Devonshire), were signed by
his Grace and several of the Royal Com
missioners:
While agreeing with the report so far
as it extends, which we have signed to-
gether with the majority Of our col
leagues we desire to call attention 10
some proposals discussed by the COM
mission, but with regard to which there
| proved to be no such general agreement
as would Justify their inclusion III the
body of the report. 1t has been stated In
paragraph l53 OF the report at present
collective agreements are as a matter oi
fact frequently made between great
bodies of organized Workmen and EN-
Dloyers, which bodies have no legal
personality and cannot sure or be sued
for damages occasioned by the breach OF
such agreements by sections or their
members There is collective action
without legal collective responsibility.
While this state of things lasts 1t does not
appear that such collective agreements
can be as between such bodies otherwise
than morally binding upon them" We
think that this state OF things might DE
benefcially altered by some amend
ments OF the existing law. In the fol-
lowing observations it must be borne IN
mind that trade unions or trade aSSOcla-
tions of employers as we'll as OF work.
men are included, and that if in any par
ticular instance it appears to be sug-
gested that special privileges should be
conferred or responsibilities imposed
class of Snch associations. IL
will probably be found that correspond
ing privileges or liabilities will attach to
the other.
THE LIBERTY OF AGREEMENT.
We think that tie extension of liberty
10 bodies Of workmen or employers, 10
acquire fuller personality than that which
I they at present possess, is desirable in
order the better to secure the observance
at least for liked periods of the collective
agreements which are now made between
| them in so many cases. The associations
which might avail themselves OF the
liberty might in some cases be trade
unions or employers associations, and In
other cases bodies OF Workmen employed
III Il few establishments, or even body
| employed in a single establishment, ac-
cording to the circumstances Of each in
dustry. We do not maintain that the
scheme would be applicable to the Cir
cumstanceS Of all, or even at present OF
| the larger part OF the industries OF this
country We find. however, from the
evidence that a considerable and very
important part OF British industry is con-
Quoted under collective agreements made
in the most formal way between highly
organized trade associations, and that the
substitution of agreements between lndi-
vidual employers and individual work
men is growing practice, and one which
is intimately connected with the mode
and scale upon which modern Industry
is at present carried on. 1t seems to us
to be clear, from the evidence OF both en-
ployers and employed, that the advant-
ages OF this system greatly outweigh the
disadvantages. This may not have been
so evident at the date when the Trade
Union Act OF 1871 was passed. but
we think that it has now
been sufficiently proved by experience
that these agreements are on the whole i'll
accordance with the public interest and
with the circumstances of modern in
dustry. Ii this is the case, then it seems
to follow that further legislation is de-
sirabie TO bring the law into harmony
with the present state OF facts and public
opinion. We think that such an extern
sion OF liberty, If conceded (and in SO far
as il was acted upon, would not only re-
suit in the better observance for definite
periods OF agreement with regard TO wage
rates, hours of labor, apprenticeShip
rules profit-sharing and joint insurance
schemes, and other matters but would
also afford q better basis for arbitration in
| industrial disputes than any which has
| yet been suggested. 10 enable trade as
sociationS to enter into collective legally
| binding agreements, with the conse-
| Ouences that i'll case of breach of contract
they would be liable 20 be sued for dam
ages payable out of their collective funds,
it would not be sufficient to repeal sub
| A 4 If Of
Even if that legislative incapacity were
taken away the trade associations would
be prevented by the want Of legal per-
sonality from entering into such agree
ments, or suing or being sued, except
with regard 10 the management OF their
! funds and real estate. 1t would be neces-
sary that they should acquire by some
process of registration corporate charac-
ter sufficient for these purposes.
INCORPORATION OF TRADES UNIONS.
We are anxious to make it clear that
we propose nothing of a compulsory
character, bat that we merely desire that
trade associations should have the lib
erty, if they desire it, of acquiring a
! larger legal personality and corporate
character than that which they possess at
present. The further powers of incorpo-
ration would not be made condition of
the existing registration, but would be
offered as powers to be obtained by regis
iration under new Act The motive
which would, it might be hoped, influ-
ence trade associations so TO register
would be the desire to acquire power to
enter into agreements OF more solid
and binding kind than heretofore. This
might be sufficient in the case of an in
creasing number of the trade assoeia-
tons. With regard to the collective
agreements there should probably be
some statutory conditions attaching to
them, for instances:
III That every agreement should spec-
fy period for which it was intended to
hold good, and q period for notice of
amendment or renewal; q That every
agreement should be registered in central
and local public offices, and should be
open to inspection by the public; (3l That
copies oil every agreement should be kept
open to inspection n factories and work
shops which is affected.
We think that the contracting associa-
ton should be responsible for observance
OF the collective agreement by all its
members so long as they remained its
members, and that every member of an
association should, during membership,
be held TO be under a contract with the
association for the observance OF the col
lectiye agreement. The effect of this
would be to give 10 those entering into
contract with al association the right TO
sue it for damages i'll case of breach of
contract by it or any OF its members, and
To give the association the right to recover
damages from those of its members who
infringed the collective agreement. For
the more convenient enforcement OF the
| latter right, some power of decid-
ing disputes between a society and
its members, similar TO that conferred on