Union status and obligations — overviewUnion status and capacity

Either workers or employers may form together in groupings. Groupings formed by workers, for the support and advancement of their interests, are usually called trade unions.

Trade union law largely consists of extensive statutory provisions. They give a broad definition of ‘trade union’, set out trade unions' status and capacity, and impose various statutory obligations on them.

For example, a trade union is not a corporate body, but is capable of:

• making contracts

• suing and being sued in its own name

• being prosecuted as a defendant in criminal proceedings

Certification Officer

The Certification Officer is appointed by the Secretary of State following consultation with Acas.

The rôle has a number of administrative functions under various statutory provisions:

• preparing an annual report on activities undertaken

• maintaining a list of trade unions

• deciding whether a trade union is independent

• receiving an annual return from every trade union

The Certification Officer also:

• has significant powers to instigate investigations into the financial affairs of a trade union

• has a number of quasi-judicial functions: members of trade unions and some others may make applications to, or raise complaints with, the Certification Officer about a number of matters relating to the functioning and activities of a union

The rôle only has such functions and powers as are given it by statute; it has no inherent power.

Central Arbitration Committee

The Central Arbitration Committee is an independent arbitration body established by statute. It is based in London but operates nationally. Members of the CAC are appointed by the Secretary of State in consultation with Acas. One member of the CAC is appointed as Chairman, and there may be one or more Deputy Chairmen.

Members of the CAC must have experience in industrial relations, and the CAC must include some members with experience of representing employers and others with experience of representing workers.

The CAC has a number of statutory functions:

• trade union recognition and derecognition

• voluntary arbitration in respect of trade disputes

• unilateral arbitration

• complaints and applications in respect of the requirements of the Information and Consultation of Employees Regulations 2004

• complaints and applications in respect of European Works Councils

• complaints and applications in respect of European Public Limited-Liability Companies

Union obligations

A trade union is subject to a number of statutory obligations. It must:

• compile and maintain a register of the names and addresses of its members

• supply a copy of its rules to any person on request

• keep proper accounting records

• send an annual return to the Certification Officer

• send a statement to each of its members containing information such as its total income and expenditure for the period of the annual return, how much of the income consisted of membership payments, the total income and expenditure of any political fund and the salary and other benefits provided to its leadership

• appoint an auditor to audit the accounts in its annual return

• maintain a members’ superannuation scheme, and arrange for its periodic examination by an actuary, who must produce a report

• ensure that certain leadership positions are subject to periodic election

• ensure that its funds are not used for any of a number of specified political objects, other than:

• • in accordance with an appropriate political resolution, and

  • out of a separate fund, in accordance with appropriate rules of the union