Judgement

GAJENDRAGADKAR, C.J.I. : The appellant, Salem Erode Electricity Distribution Co. Ltd., is a licencee under the Indian Electricity Act, 1910, and its business consists in buying electrical energy in bulk from the State Electricity Board of Madras and selling it to consumers in Salem and Erode and certain rural districts in the State of Madras. For the purpose of carrying on this business, the appellant has an industrial establishment at Salem.

2. In or about 1940, when the number of the appellant s consumers was about 3,000, and that cf its workmen about 45, the appellant framed certain terms and conditions of its workmen s employment. Amongst these were included terms about leave and holidays. Later, when the Industrial Employment (Standing Orders) Act, 1946 (No. 20 of 1946) (hereinafter called the Act ) came into fore, the provisions as to leave and holidays which had been introduced by the appellant in the terms and conditions of the employment of its workmen, were embodied in the appellant s Standing Orders which were certified under the relevant provisions of the Act in or about 1947. The said terms read thus :-

"Standing Order 5 (b) - The number of holidays to be grant