Before 1926, workers organizing strikes could be prosecuted for criminal conspiracy or sued for civil damages. The Trade Unions Act protects unions through critical legal immunities.
1. Criminal Immunity (Section 17)
No office-bearer or member of a registered trade union shall be liable to punishment under BNS Section 61(2) [formerly IPC Section 120B] (Criminal Conspiracy) in respect of any agreement made between members for the purpose of furthering any lawful object of a trade union.
- Exclusion: This immunity is completely lost if the agreement is to commit an actual criminal offense.
2. Civil Immunity (Section 18)
No suit or other legal proceeding shall be maintainable in any Civil Court against any registered trade union or its members in respect of any act done in contemplation or furtherance of an industrial dispute on the ground only that such act:
- Induces some other person to break a contract of employment.
- Interferes with the trade, business, or employment of some other person.
The Supreme Court held that the civil immunity under Section 18 is robust. While an illegal strike may trigger administrative penalties or loss of wages, the employer cannot recover civil damages or compensation from the union for financial losses suffered during the strike.