Judgment

MITTER, J.:- These two appeals by special leave arise but of an award of the Industrial Tribunal, Allahabad following two references dated 24th January, 1962 by the State of U. P. under Section 4-K of the U. P. Industrial Disputes Act. 1947. The subject matter of both the references was, whether the employers (the appellants before this Court) should be required to pay bonus to their workmen for the year 1960-61, and if so, at what rate?

2. The U. P. Electric Supply Co., Ltd. (the appellants herein) had two electricity undertakings, one at Allahabad and the other at Lucknow. It carried on the business of generation and distribution of electricity under two licences one for Allahabad and the other for Lucknow within the areas specified therein. In pursuance of the provisions of paragraph 12 of the said licences the U. P. Electricity Board compulsorily acquired the said undertakings of the company including the business of generation and distribution of electricity in the areas covered by the licences with effect from 16th September, 1964. The Tribunal had however entered on the reference on 29th January 1962 and its proceedings continued down to 16th November 1965 when a common award was made directing the employers to pay three months basic wages as bonus to all the workmen entitled thereto for the year 1960-61. These appeals are against the said award.

3. On behalf of the appellant, a preliminary point was raised, viz., that after the appellants undertaking was taken over in September, 1964 the industrial dispute, if any, between it and its workmen ceased to exist. The reasoning behind the argument was that if the industry itself disappeared any adjudication with regard to a dispute which had arisen in the past would be a fruitless errand and any award made on the reference thereafter would be ineffective. Our attention was drawn to certain decisions of this Court in support of the above reasoning. Before we proceed to do so, we think, it will be proper to examine the question as if it were res integra.

4. In our view, the broad proposition put forward by counsel for the appellant that as soon as a particular industry ceases to function any adjudication in respect of a dispute which had occurred prior thereto becomes abortive cannot be accepted. It may be that an adjudication which concerns only the future working of the industry becomes redundant when the industry itself comes to an end. If the dispute is one which relates to the past working of the industry and in particular where the claim of the workmen is for benefits which according to their view had accrued to them in the past it can hardly be said that the adjudication is without any purpose. If the workmen ask for better service conditions like the revision of wage scales, dearness allowance, medical and other facilities, gratuity etc. it would be useless for the Tribunal to complete the adjudication and award how the dispute vice conditions etc, ought to be bettered or revised where the industry is non est. Where however the dispute as in this case, is over a claim to benefits by way of bonus for work done in the past, it would be the duty of a for Tribunal to complete the adjudication and make its award. If the Tribunal finds that because of the service rendered by the workers in the past an industry reaped profits whereof a portion should go to the workmen it should not lie in the mouth of the employers to say that inasmuch as they have ceased to carry on business their obligation to pay for service rendered in the past should be wiped out. There is no logic in the submission made on behalf of the appellants that the ascertainment of the liability even with regard to the working of the industry in the past can take place only during the subsistence of the relationship of master and servant between the employers and the employed.

5. Counsel for the appellant referred to certain provisions in Chapter V-A of the Industrial Disputes Act, 1947 as illustrative of