Explanation:

1. Independent and responsible unions and an orderly, rational environment free from unfair labour practices are the two pre-requisites of effective collective bargaining.
2. There was no effective legislation providing for recognition of representative trade unions as exclusive bargaining agent except the Bombay Industrial Relations Act, 1946, which applied only to a few industries.
3. There was also no systematic law to determine and penalise unfair labour practices. The Government of Maharashtra therefore in February 1968 appointed a Tripartite Committee under the Chairmanship of the President, Industrial Court, Bombay - Justice V.A. Naik, for defining the activities on the part of the employers and workers and their organisations which should be treated as unfair labour practice and for suggesting action which should be taken against employers or workers or, as the case may be, their organisations for engaging in such unfair labour practices.
4. The Committee after detailed deliberations submitted an unanimous report to the State Government. The Committee noticed that the concept of unfair labour practice arose after a long drawn out struggle waged by the trade unions in the West For establishing and estabilising the practice of collective bargaining.
5. The emergence of the practice of collective bargaining marks a distinct mile-stone in the progress of the trade union movement. The rise of the practice of collective bargaining has played an extremely important role in the history of industrial relations.
6. The Committee on unfair labour practices (headed by Justice V. A. Naik) was constituted basically to go into and report on the question of ascertaining the collective bargaining agent. 
7. The Committee, while making an elaborate report on this issue, also suggested that efforts to thwart the process of identification and recognition of sole bargaining agent must be discouraged and, therefore, advised that an elaborate machinery be created to identify such unfair labour practices and grant appropriate relief in such cases. 
8. This is the reason why the 1971 Act is in two parts. The 1971 Act creates three kinds of machinery :-One for dealing with the recognition of trade unions as recognized unions under Chapter III, one for dealing with unfair labour practices in Chapter VI and one for deciding legality of strikes and lock-outs.