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Section 15 – The Trade Unions Act, 1926

The Trade Unions Act, 1926


15. Objects on which general funds may be spent.—


The general funds of a registered Trade Union shall not be spent on any other objects than the following, namely:—


(a) the payment of salaries, allowances and expenses to 1[office-bearers] of the Trade Union;


(b) the payment of expenses for the administration of the Trade Union, including audit of the accounts of the general funds of the Trade Union;


(c) the prosecution or defence of any legal proceeding to which the Trade Union or any member thereof is a party, when such prosecution or defence is undertaken for the purpose of securing or protecting any rights of the Trade Union as such or any rights arising out of the relations of any member with his employer or with a person whom the member employs;


(d) the conduct of trade disputes on behalf of the Trade Union or any member thereof;


(e) the compensation of members for loss arising out of trade disputes;


(f) allowances to members or their dependants on account of death, old age, sickness, accidents or unemployment of such members;


(g) the issue of, or the undertaking of liability under, policies of assurance on the lives of members, or (under) policies insuring members against sickness, accident or unemployment;


(h) the provision of education, social or religious benefits for members (including the payment of the expenses of funeral or religious ceremonies for deceased members) or for the dependants of members;


(i) the upkeep of a periodical published mainly for the purpose of discussing questions affecting employers or workmen as such;


(j) the payment, in furtherance of any of the objects on which the general funds of the Trade Union may be spent, of contributions to any cause intended to benefit workmen in general, provided that the expenditure in respect of such contributions in any financial year shall not at any time during that year be in excess of one-fourth of the combined total of the gross income which has up to that time accrued to the general funds of the Trade Union during that year and of the balance at the credit of those funds at the commencement of that year; and


(k) subject to any conditions contained in the notification, any other object notified by the 2[appropriate Government] in the Official Gazette.

State Amendment


Maharashtra.—In Chapter III, in the Heading, after the words, ‘Trade Unions’, insert the words “and Settlement of Certain Disputes”.

[Vide Maharashtra Act 3 of 1968, sec. 2 (w.e.f. 10-10-1968).]



1. Subs. by Act 38 of 1964, sec. 2, for “officers” (w.e.f. 1-4-1965).


2. Subs. by the A.O. 1937, for “Governor-General in Council”.


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The Trade Unions Act, 1926


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