The main legal point established in the judgment is the interpretation and application of the Industrial Disputes Act, particularly S. 25-F and S. 22, in determining the status of retrenched workers and the legality of strikes and lockouts.

( 1 ) THIS petition under Art. 227, is directed against the Award dated 2oth Dec. 1972, made by the Addl. Industrial Tribunal, Bangalore, in A. I. D. No. 1 of 1971. The matter arises in this way: there is a textile mill at Hubli. Its management was frequently changed from hand to hand. Once it was taken over by the Karnataka Cooperative textile Mills, Hubli. Or some ground, the management closed the mill from 1st Septr. 1969. Tn September 1970, its management was taken over by Mahadev Textile Mills and the mill started functioning again from 5th September 1970. The new management refused to absorb the ex-employees. Those employees started agitation. On 23rd October 1970, an agreement was reached between the new management and the ex-employees. Clauses 5 and 7 of the agreement are relevant and are as follows :"5. Recruitment of Labour:-In recruitment of labour, preference shall be given to the ex-employees of K. C. T. Mills. However, it is agreed that no ex-employee can claim as a matter of right, any benefits accruing under Industrial Disputes Act, Employees' Provident Fund Act, Employees' State Insurance Act and other Acts, Rules and Regulations by virtue of their services in the said K. C. T. Mills. ""7. In appreciation of "workers" op-operative spirit and as a gesture of goodwill, the Employer agrees to employ 25 workmen on suitable occupations on or before 15th November 1970. The selection of workmen would be on purely sympathetic and humanitarian grounds. "it is said that as per the said terms, the management re-employed some of these workmen out of whom, on 23rd January 1975, 24 were disengaged. The management contended that those 24 workmen were 'badali' workmen engaged only in the months of Decr. 1970 and January 1971 for a couple of days in each month and their disengagement was necessitated for want of raw materials. The Union-representing those workmen, disputed that contention. It was contended that they were permanent workmen and their services were retrenched without any basis. That dispute was not settled amicably, and so, on 24th Jany. 1971, the workmen went on strike. On 25th Jany, 71, the management declared a lockout. The Government thereafter referred the said dispute under S. 10 (l) (d) of the Industrial disputes Act, 1947 to, the Addl. Industrial Tribunal, Bangalore for adjudication. The points of dispute set out in the-Government Order are: i. (a) Are the management of Mahadev Textile Mills, Hubli, justified in retrenching the following 24 workmen with effect from 23rd January 1971? (b) If not, to what relief are the said workmen entitled? ii. (a) Are the workmen of the Mahadev Textile Mills, Hubli, justified in going on strike from 24th January 1971? (b) If so, to what relief are they entitled? iii. (a) Are the management of Mahadev Textile Mills, Hubli justified in declaring a lockout with effect from 25th January 1971? (b) If not, to what relief are the workmen entitled?

( 2 ) BEFORE the Tribunal, the Union filed its claim statement, inter alia contending as follows: the present management has taken the mills on lease and has started the mills from 5th Septr. 1970. Since from the beginning, the attitude of the management is of anti-labour. The management was not giving preference for the employment to the old hands. They were bringing persons from outside to work in the mills. The interest of the workmen who were formerly working in the mills suffered. Hence the workmen raised protests. On 23rd October 1970 an agreement was reached between the workmen and the management. According to that agreement, the management agreed to employ 25 workmen on or before 15th November 1970. The management after repeated requests acted according tp the terms of the agreement and gave employment to the 24 workmen. These 24 workmen were permanent workmen. They were neither badali nor casual. When this was the position, the management all of a sudden, removed these 24 workmen including 10 women with effect from 23rd Januar

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