Unions need to change their outlooks if they wish to maintain their relevance in today?s changing environment. Both employers and workers need to recognise each other?s rights and obligations (Aswathappa 2001). While the unions need to enhance the quality of participation of rank and file in union activities to regain their influence (Srivastava 2001), the management needs to look at employee empowerment, through getting the workers to take responsibility for shop-floor decisions over quality, safety, productivity and material use as a strategic option to develop strong industrial relations (Ramaswamy & Schiphorst 2000). Both employers and unions need to secure settlement of disputes through negotiations conducted with integrative strategies while unions avoid work stoppage and maintain business discipline. Keywords : Trade unions, Collective bargaining, conflicts & contradictions