The Government has the power to revise minimum wages after considering the advice of the Committee appointed under Section 5 of the Minimum Wages Act, 1948.

Headnote:
MINIMUM WAGES ACT, 1948 - SECTION 5, 16, 27 - REVISION OF MINIMUM WAGES - CLASSIFICATION OF ZONES - VALIDITY - ARTICLE 14 OF THE CONSTITUTION.
Fact of the Case:

The State Government of Andhra Pradesh appointed a Committee to advise on the revision of minimum wages for cinema theatre employees. The Committee submitted its report with a majority and minority view. The Government, after considering both views, revised the minimum wages. The employers challenged the notification, arguing that the Chairman's refusal to include the minority proposals in the report violated natural justice and that the classification of zones was arbitrary and violated Article 14 of the Constitution.
Finding of the Court:

The court held that the Chairman's decision was within his powers and that the dissenting note was forwarded to the Government for consideration. The court also held that the Government was free to accept either the majority or minority view or decide in its own way. The court further held that the classification of zones was based on rational criteria and had a nexus with the object of the Act.
Issues: 1. Whether the Chairman's refusal to include the minority proposals in the report violated natural justice. 2. Whether the classification of zones was arbitrary and violated Article 14 of the Constitution.
Ratio Decidendi: 1. The Committee is of an advisory nature, and the Government is free to accept either the majority or minority view or decide in its own way. 2. The classification of zones was based on rational criteria and had a nexus with the object of the Act.
Final Decision: The writ petition and writ appeal were dismissed with costs.

JUDGMENT :

GOPAL RAO EKBOTE, J.

The Writ appeal and the Writ petition raise a common question. We propose there fore to dispose them of by a comma order.

2. The brief facts are: The State Government of Andhra Pradesh by G.O. Ms. No. 839 dated 24-6-1969, issued under Section 5 of the Minimum Wages Act, 1948, hereinafter called the Act, appointed a Committee to advice the Government in respect of revision of minimum wages with regard to employees in the cinema theatres of Andhra Pradesh. It consisted of two independent members one of whom was appointed as Chairman, three representatives of the employers to which category one more member was subsequently added, and three representatives of the employees to which category, one more member was added subsequently. The Committee thus consisted of ten members.

3. The Committee submitted its report. From the report, it is seen that it discussed at length the percentage of increase to be given in the existing minimum wages. Members representing the employers as well as those representing the employees put forth their views, which views were different. The Chairman and the other independent member on the committee also put forth certain proposals. Despite prolonged discussions, however, no unanimity could be obtained. Prof. M. Ramakrishna Reddy, one of the independent members and the members representing the employers pressed for inclusion of their proposals in the report, but the Chairman suggested that the said members may send their respective proposals to the Government through the Secretary of the Committee.

4. The Committee then proceeded to give its advice to the Government by majority of members. They suggested revised monthly wages as proposed. The committee in para 21 of its report also considered the question of classification of different areas into 4 zones.

5. According to the suggestion made by the Chairman of the Committee, the dissenting members, that is to say, representatives of the employers gave a dissenting note. It is however not clear whether that note was directly sent to the Government by those representatives or it was sent through the Secretary of the Committee as was decided in the Committee.

6. It is, however, clear that before the impugned G.O. was issued by the Government, both the views of the majority as well as those of the minority were before the Government. Taking into account not only the advice of the Committee, but several other representations received, the Government by G.O. Ms. 179 dated 1-2-1971, practically approved the advice tendered by the majority of committee members and revised the minimum wages in regard to the employees of the cinema theatres. It is to challenge the correctness of the notification that the writ petition out of which the appeal arises and the other writ petitions have been filed, The writ petition out of which this appeal arises is from the Hyderabad City and filed on behalf of the employers whereas the writ petition is filed by the employers of Machilipatnam Town.

7. The principal contention raised in both the writ petitions was that the Chairman's declining to make the proposals of the minority as part of the report violated the principles of natural justice and consequently, the advice tendered by the majority is vitiated. We find no strength in this contention. Section 5 of the Act empowers the Government to appoint a Committee to hold enquiries and advise it in respect of revision of the minimum wages, if already fixed. The Government can fix the minimum wages only after considering the advice of the committee so appointed.

8. Rule 16 of the Rules made under the Act enjoins that all business before the advisory Committee shall be considered at a meeting of the committee and shall be decided by a majority of the votes of the members present and voting. In the event of an equal number of votes, the Chairmen shall have a casting vote. It could not be disputed that when in spite of some efforts, unanimity could not be b

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