Structural adjustments related changes seem to make trade unions' position more vulnerable and pose several challenges and dilemmas. The already thin organised sector may become even thinner in the short run due to adjustment reforms. The labour market segmentation may become deeper resulting also in a reverse movement of employment from organised to unorganised sector. Job protection seems to have had adverse effect on job creation. Employers' strategies concerning flexibility led to an ascendancy in managerial rights. Concession bargaining in crises resulted in a trade - off between saving jobs versus protecting the accummulated benefits under successive collective agreements. When an enterprise is faced with the prospect of liquidation, union(s) seem to prefer to make sacrifices to save jobs. The changing scenario calls for redefinition of the role of trade unions and the other social partners as well. This paper briefly discusses the possible roles that trade unions could play in (a) influencing adjustment programmes with a human face; (b) proactively responding to technological changes; (c) productivity improvement; (d) participation and (e) relooking at their role in the changing situation.