A special fund established by trade unions in the UK to finance their involvement in the political process. Political funds are used by some unions to affiliate to the Labour Party, but many others use their funds to finance lobbying activity, whilst remaining neutral in a party-political sense. Under the Trade Union Act 1984, it is a requirement that unions establish a separate fund for political purposes and that they ballot their members every ten years to gain authorization for such a fund. It is also a requirement that union members who do not wish to contribute to the political fund can ‘opt out’.
Subjects: Human Resource Management.