A brief employers’ guide to working with trade unions

By Katie Carter.
27 May 2025

As an employer you are obligated under employment law to ensure that you recognise trade unions and uphold the rights of employees affiliated with a trade union.  

Understanding what a trade union is, how they operate and what you are legally required to uphold, is paramount to ensuring that you don’t fall foul of any employment legislation that may result in your business being taken to an employment tribunal.

With the Government’s Employment Rights Bill offering greater rights and protections to trade unions, representatives and members, now is the time to ensure your policies and documentation is up to date.

Contact Croner today and talk to a member of our expert Employment Law and HR advisory team.

Call today and ensure compliance 0808 501 6651.

A graphic depicting an employer pressing a button with "Trade Unions" indicating co-operation.

What are trade unions?

Simply put a trade union is an organisation made up of members, which are predominantly workers. The purpose of a union is to protect and improve the interests of their members in the workplace.

Whilst most unions are independent, one of their fundamental roles is to form close relationships with employers, sometimes partnering to align objectives for the common interest of both parties.

As part of their purpose trade unions undertake a variety of functions including:

  • Entering negotiations with employers on pay and conditions.
  • Discussing concerns regarding the workplace with employers.
  • Providing legal and financial advice to members.
  • Providing accompaniment to members during disciplinary and grievance
  • Discuss major changes to workplace arrangements, such as mass redundancy.
  • Provide educational and consumer benefits.

What is my legal obligation as an employer regarding trade unions?

Employers are bound under law to The Trade Union and Labour Relations (Consolidation) Act 1992.

If you employ staff, you are legally obligated to the following:

  • You must recognise unions that meet specific criteria.
  • As an employer you must negotiate terms with recognised unions.
  • You must share relevant information with unions.
  • You cannot penalise employees that participate in lawful action.

Recognising trade unions

When a trade union meets the criteria outlined in the Act, then an employer is under a legal obligation to recognise them as legitimate. This means that employers should verify members of the union and engage with negotiations regarding collective bargaining. The expectation on an employer in this position is that they will act in good faith to hold discussions with unions.

Whilst most recognition agreements are reached voluntarily, sometimes there are occasions where an agreement can’t be reached. If in the case that the union employs more than 20 people, that union can apply for statutory recognition. In order to undertake this process, it must first submit a written request for recognition to the employer, if this does not resolve the issue then they can apply via the Industrial Court.

Participation in collective bargaining

 Collective bargaining is the practice of negotiating the terms and conditions of employment in an open and honest manner, and being open to suggestions regarding wages, working hours and workplace policies.

For this to work both employers and unions need to agree on how the arrangement should work. These types of procedural agreements along with agreements on the terms impacting workers are known as collective agreements.

It is also possible for a union to negotiate on behalf of employees who are non-members.

Sharing relevant information

Necessary for negotiations and member representation, employers are required to provide trade unions with all relevant information. This includes things like the terms and conditions of employment, financial information and any changes that could have an impact on employees’ terms and conditions.

Balloting requirement compliance

In the event the employees decide to take a vote on whether to take industrial action, then as an employer you should respect the outcome of the ballot. Workers should also follow the requirements set out in The Trade Union and Labour Relations (Consolidation) Act 1992. This means that there is a minimum notice period that must be adhered to before industrial action can be undertaken.

Protecting workers’ rights during industrial action

It is unlawful for employers to discriminate and or penalise workers involved in lawful industrial action. This includes dismissals or disciplinaries of employees who are involved in strikes compliant with The Trade Union and Labour Relations (Consolidation) Act 1992.

How should employers manage relationships with trade unions?

In order to maintain compliance with their legal obligations and ensure a harmonious working relationship with union members, businesses can employ the following best practice.

  • Open communication with trade unions.
  • Collaborate with unions on the decision-making process.
  • Be proactive in resolving conflict with trade unions and union members.
  • Be willing to negotiate and compromise where necessary.
  • Train management in effective engagement with unions.

Contact Croner to understand your responsibilities with trade unions

Our expert team of employment law advisors and HR professionals can help your business negotiate the often-tricky landscape surrounding trade unions.

With changes to legislation on the horizon, talk to us today to ensure your documentation is up to date. Call 0808 501 6651.

About the Author

Katie Carter.

An Employment Law Consultant is happy to help with any complex issue or matter of concern. Katie is confident in providing a best practice or commercial approach to safely reach the required and desirable outcome. Katie has a retail and hospitality background.