Judgment

WANCHOO, J. : These two appeals by special leave arise out of two references made by the Government of Bombay in connection with a dispute between the appellant-company and two sets of its workmen, namely, clerical staff and staff other than clerical. The clerical staff had raised four questions which were referred to the Industrial Tribunal, Bombay for adjudication. Of these, only two points survive in the present appeal, namely, retirement age and gratuity. The non-clerical staff had raised two questions of which only one relating to gratuity arises before us.

2. It appears that the appellant-company is an all-India concern but the major part of its business is concentrated in Calcutta. The number of non-clerical staff outside Calcutta is very small as compared to the non-clerical staff in Calcutta while the clerical staff outside Calcutta is much less than the clerical staff in Calcutta. The company had a gratuity scheme in force which applied to both clerical and non-clerical staff, though there were differences in the scale of payment depending upon whether the basic salary drawn by workmen-other than operatives was more than Rs. 100 or less. In case of operatives, there was a uniform scale equal to the scale for workmen other than operatives drawing less than Rs. 100 or less. In case of operatives, there was a uniform scale equal to the scale for workmen other than operatives drawing less than Rs. 100 per mensem. The clerical and non-clerical staff in Bombay raised disputes and their main contention was that the scale fixed by the scheme in force was low and should be raised. As for the retirement age, the clerical staff claimed that it should be raised from 55 years to 60.

3. The case of the appellant-company before the tribunal was that as the large majority of the staff both clerical and non-clerical was in Calcutta and as the gratuity scheme and the retirement age were enforced by virtue of an agreement arrived at between the appellant-company and its workmen both clerical and others in Calcutta who are a large majority of its total workmen, they should not be changed at the instance of a small minority of workmen both clerical and others in Bombay. The tribunal did not accept this contention and raised the age of retirement from 55 years to 60. It also made changes in the gratuity scheme by which the scale was raised and made uniform both for clerical staff and others. Thereupon the appellant applied for and obtained special leave from this Court; and that is how the matter has come up before us.

4. Shri Palkhivala appearing for the appellant has raised only two points before us, relating to the raising of the retirement age and the change in the scale of gratuity, and we shall confine ourselves to these two points only. It is conceded by him that the Industrial Tribunal has jurisdiction to order the changes which it has ordered. But his contention is that though the jurisdiction may be there, the tribunal should take into account the special position of an all-India concern and should not make changes particularly at the instance of a small minority of workmen as that would lead to industrial unrest elsewhere. He further contends that the scale of gratuity and the age of retirement are matters which are independent of local conditions and therefore should be uniform throughout India in concerns which have an all-India character. He points out that the conditions of service in the appellant-company are uniform throughout India and were arrived at by agreement with the unions of workmen at Calcutta where the large majority of the workmen are employed, and in these special circumstances, the tribunal at Bombay should not have made any changes in the retiring age or in the gratuity scheme at the instance of the small minority of workmen in Bombay.

5. There is no doubt that in the case of an all-India concern it would be advisable to have uniform conditions of service throughout India and if uniform conditions preva