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2014 Supreme(Bom) 1261

IN THE HIGH COURT OF JUDICATURE AT BOMBAY
N.M. JAMDAR, J.
M. Visvesvaraya Industrial Research & Development Centre, World Trade Centre, Mumbai, 31st floor, Centre-1 Building, World Trade Centre Complex, Cuffe Parade, Mumbai-400 005. - Petitioner
Versus
Shri Dilip Madhavrao Vaidya 17/B, 2nd floor, Tilakdham, Cama Road, Andheri (W), Mumbai – 400 058. - Respondent
WRIT PETITION NO. 2283 OF 2006
Decided on : 27 JUNE 2014

Advocates appeared:
Mr. S.K. Talsania, senior advocate i/by Piyush Shah for the petitioner.
Mr. Bhavesh Parmar along with Mr.Vijayprakash Yadav i/by Sandhya A. Mailagir for the Respondent.

Headnote:

workman - Industrial Disputes - Industrial Disputes Act, 1947, Section 2(s); M.R.T.U. & P.U.L.P. Act, 1971, Section 3(5) - Section 2(s) of the I.D. Act and Section 3(5) of the M.R.T.U. & P.U.L.P. Act were referenced and discussed by the court. The court analyzed the statutory provisions and previous decisions to determine whether the respondent could be considered a 'workman' and an 'employee' under the respective acts. The court emphasized the two-stage inquiry to ascertain workman status and highlighted the need to consider the overall nature of duties and responsibilities performed by the individual.

Fact of the Case:

The respondent, a General Manager (Research), challenged his termination and filed a complaint seeking various grievances against the petitioner. The Industrial Court held that the respondent was a workman, which was challenged in the present petition by the petitioner.

Finding of the Court:

The court found that the Industrial Court failed to draw the legal inference required and applied erroneous and perverse findings. It noted that the respondent, despite being highly qualified and doing creative research work, devalued his own work to fit within the jurisdiction of the Industrial Court.

Issues: The issues revolved around whether the respondent could be considered a 'workman' under the Industrial Disputes Act and an 'employee' under the M.R.T.U. & P.U.L.P. Act, and whether the Industrial Court's finding was appropriate.

Ratio Decidendi: The court emphasized the need to consider the overall nature of duties and responsibilities performed by the individual to determine workman status. It also highlighted the two-stage inquiry process and the importance of analyzing the dominant nature of the work performed.

Final Decision: The petition was allowed, and the court made the rule absolute in favor of the petitioner.

Judgment :

The question that falls for consideration is: whether the Respondent who was working as a General Manager (Research) could be considered as a “workman” under the provisions of Section 2(s) of the Industrial Disputes Act, 1947 and an “employee” under Section 3(5) of the M.R.T.U. & P.U.L.P. Act. The Industrial Court, Mumbai, in the complaint filed by the Respondent, on a preliminary issue, held that the Respondent is a workman. This finding has been challenged in the present petition by the petitioner.

2. The Respondent is a nonprofit company under Section 25 of the Companies Act. It is primarily a Scientific Research Organization, and publishes research journals. The object of the petitioner is to undertake and promote scientific research in the field of development of Indian trade and industry. The petitioner has set up World Trade Centre at Mumbai, for which Government of Maharashtra gave a plot of land on concessional terms. The petitioner is managed by a Council of Management. Four members of the Council are nominated by the Government of Maharashtra.

3. The Respondent joined the services of the petitioner on 21 December 1987 as a Research Associate. His services were terminated on 31 December 1988. He instituted proceedings challenging his termination in the Labour Court. He succeeded in the Labour Court and this Court and thereafter he was reinstated on 27 August 1997. Thereafter he was posted as the Deputy Manager (Research). The Respondent filed a Complaint (ULP) No.1316 of 1998 making various grievances against the petitioner. He sought a direction to produce salary statements showing grades, revision of salary, designation of employees and their academic qualifications, for a period from the year 1986. The Respondent raised various general grievances in the complaint. In the written statement, the petitioner raised an issue that the Respondent is not a ‘workman’. A preliminary issue was framed by the Industrial Court as to whether the Respondent was an 'employee' under the definition of Section 3(5) of the M.R.T.U. & P.U.L.P. Act, 1971. The Respondent examined himself. The Industrial Court by the impugned order held that the Respondent was primarily doing clerical, unskilled, skilled and technical work, and nothing was shown by the petitioner that he was doing any supervisory or managerial duties. Accordingly, the Industrial Court by the impugned order held that the Respondent falls in the category of ‘workman’ within the meaning of Section 2(s) of the Industrial Disputes Act and an ‘employee’ under Section 3(5) of the M.R.T.U. & P.U.L.P. Act.

4. It will be fruitful to notice the statutory provisions and the decisions governing the field, so as to appreciate the scope of enquiry to be conducted to ascertain whether a person is a workman or not. Section 2(s) of the I.D. Act reads as under :

“Sec.2(s): “workman” means any person (including an apprentice) employed in any industry to do any manual, unskilled, skilled, technical, operational, clerical or supervisory work for hire or reward, whether the terms of employment be express or implied, and for the purposes of any proceeding under this Act in relation to an industrial dispute, includes any such person who has been dismissed, discharged or retrenched in connection with, or as a consequence of, that dispute, or whose dismissal, discharge or retrenchment has led to that dispute, but does not include any such person.”

(i) who is subject to the Air Force Act, 1950 (45 of 1950), or the Army Act, 1950 (46 of 1950) or the Navy Act, 1957 (62 of 1957); or

(ii) who is employed in the police service or as an officer or other employee of a prison, or

(iii) who is employed mainly in a managerial or administrative capacity, or

(iv) who, being employed in a supervisory capacity, draws wages exceeding Ten thousand rupees per mensem or exercises, either by the nature of the duties attached to the office or by reason of the powers vested in him, functions mainly of a manageri
































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