Judgment

SHELAT, J.:- By a reference dated September 17, 1965, the Government of West Bengal referred to the Sixth Industrial Tribunal the following question for adjudication:

"Whether computation of bonus in respect of the accounting year ending 31st March, 1965, payable to the employees is in accordance with the Payment of Bonus Ordinance? If not, what should be the quantum of bonus for the employees?"

2. The dispute between the appellant company and its employees arose in the following manner. The company s accounting year is from 1st April to 31st March of the following year and its books of account are maintained on the mercantile system of accounting. The company computed the amount of bonus payable to its employees under the Payment of Bonus Ordinance which was promulgated on May 20, 1965 and furnished on July 5, 1965 copies of its computation to the three respondent Unions representing its employees. The available surplus and allocable surplus, according to this computation, were Rs. 49.96 lacs and Rs. 29.98 lacs respectively. On this basis the company declared the bonus at 13,28 per cent of the total wages paid to the employees. According to this computation, the gross profi