SUPREME COURT OF INDIA
2nd December, 1963.
P.B. GAJENDRAGADKAR, K.N. WANCHOO AND K.C. DAS GUPTA, JJ.
South Indian Bank Ltd., Appellant
Versus
A. R. Chacko, Respondent.
Civil Appeal No. 178 of 1963.
Advocates appeared
Mr. M. C. Setalvad, Senior Advocate, (M/s. J. N. Hazarika and K. P. Gupta, Advocates with him) for appellant; M/s. M. K. Ramamurthi, R. K. Garg, S. C. Agarwal and D. P. Singh, Advocates of M/s. Ramamurthi and Co., for Respondent.
INDUSTRIAL DISPUTES ACT, 1947 - S. 33C(2) - APPLICATION UNDER - JURISDICTION OF LABOUR COURT - AWARD - OPERATION AND BINDING EFFECT - DISTINCTION - S. 19(3) AND 19(6) - EFFECT OF S. 4 OF INDUSTRIAL DISPUTES (BANKING COMPANIES) DECISION ACT, 1955 - WORKMAN - ACCOUNTANT - WHETHER A WORKMAN - SASTRY AWARD - APPLICABILITY.
Fact of the Case:
The respondent, a clerk in the appellant Bank, was promoted as an accountant and transferred to another branch. He was allowed a basic pay of Rs. 120/- in the new grade and a CAIIB allowance of Rs. 10/- per month from August 1, 1960. He claimed to be entitled to a special allowance of Rs. 40/- per month for additional supervisory duties under Para 164 of the Sastry Award, as well as dearness allowance in terms of the award. The Bank resisted the application, contending that it was incompetent, that the matter was within the jurisdiction of an industrial tribunal and not the Labour Court, that the Sastry Award had ceased to be operative from March 31, 1959, and that the respondent had ceased to be a workman on his appointment as an accountant.
Finding of the Court:
The Labour Court rejected the Bank's objections and allowed the application, computing the amount due to the respondent at Rs. 855.49. The Bank appealed against this decision.
Issues: 1. Whether an application under S. 33C(2) of the Industrial Disputes Act 1947 is competent? 2. Whether the matter is within the jurisdiction of an industrial tribunal or the Labour Court? 3. Whether the Sastry Award had ceased to be operative from March 31, 1959? 4. Whether the respondent had ceased to be a workman on his appointment as an accountant?
Ratio Decidendi: 1. An application under S. 33C(2) of the Industrial Disputes Act 1947 is competent. 2. The matter is within the jurisdiction of the Labour Court and not the industrial tribunal. 3. The Sastry Award had not ceased to be operative from March 31, 1959, as the non-obstante clause in S. 4 of the Industrial Disputes (Banking Companies) Decision Act, 1955, only affects the period of operation of the award and not the period for which it remains binding on the parties. 4. The respondent had not ceased to be a workman on his appointment as an accountant, as the duties performed by him consisted of clerical work with supervisory functions and were certainly not managerial or administrative.
Final Decision: The appeal was dismissed with costs.
Judgement
DAS GUPTA J. : This appeal arises out of an application under S. 33C(2) of the Industrial disputes Act. The respondent A. R. Chacko was working as a clerk in the Coimbatore Branch of the appellant Bank when by an order dated June 19, 1959 he was promoted as accountant and was transferred to the Alleppy Branch of the Bank. The appellant s pay in the new post was fixed by an order on July 16, 1960. By this order he was allowed Rs. 120/- as basic pay in the new grade of Rs. 120-10-160 from January 1, 1960. From August 1, 1960 and thereafter he was allowed to drawn Rs. 10/-per month as CAIIB allowance. The petitioner s case in the application under S. 33C(2) is based on the contention that after his promotion to the post of accountant with additional supervisory duties he was entitled to the special allowance of Rs. 40/- under Para 164 of the Sastry Award. His case is that he was entitled from the date of his joining as accountant i.e., from July 13, 1959 - (a) to a basic pay of Rs. 95/- of his old grade with annual increments due on December 1, every year i. e., at the rate of Rs. 95/- in the months of August, September. October and November 1959 and thereafter at the rate of Rs. 100/- from December 1959 to November 1960, and thereafter at the rate of Rs. 106/- from December 1960; (b) special allowance of Rs. 40/- per month for the additional supervisory duties and (c) dearness allowance in terms of the award. The total amount to which he would be entitled thus would be Rs. 4,495.22. The amount actually paid to him for the period July 13, 1959 to the end of March 1961 for which the application was brought was Rs. 3637.73. He claimed to be entitled to the additional amount of Rs. 855.49 and prayed that the Labour Court be pleased to issue a certificate for this amount to the Collector authorising the Collector to recover, the amount in accordance with law.
2. In resisting this application the Bank contended (1) that such an application under S. 33c(2) of the Industrial Disputes Act 1947 was incompetent, (2) that in any case the matter would be one within the jurisdiction of an industrial tribunal and not the Labour Court. (3) that the Sastry Award had ceased to be operative from March 31, 1959 long before the date of the respondent s appointment as an accountant and so no benefits accrued to him under that award and (4) by his appointment as accountant the respondent had ceased to be a workman and was therefore not entitled to he benefits of the Sastry Award. The Labour Court rejected all these objections and allowing the application, computed the amount due to the respondent from the Bank to be Rs. 855.49. Against this decision the present appeal has been filed by special leave.
3. The first objection raised by the Bank is now concluded by the decision of this Court in the Central Bank of India v. P. S. Rajagopalan, C. A. Nos. 823 to 826 of 1962 D/-19-4-195-63 where it has been held that such an application by workmen lies under S. 33C(2) of the Act.
4. In support of the second objection Mr. Setalvad drew our attention to the second schedule to the Industrial Disputes Act, which sets out the matters within the jurisdiction of the Labour Court, but does not include any which could be said to cover an application under S. 33C(2). The contention is clearly misconceived. The schedule refers specifically to S. 7 of the Act. That section lays down that the appropriate government may, by notification in the official Gazette, constitute one or more Labour Courts for the adjudication of industrial disputes relating to any matter specified in the second Schedule and for performing such other functions as may be assigned to them under this Act. Section 33C(2) in terms assigns the determination of the amount of benefit to which the workman is entitled to receive from the employer and which is capable of being computed in terms of money to such Labour Court as may be specified in this behalf by the appropriate Government. Clearly, there
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