( 1 ) THIS writ application has been filed by the clerical and sub- staff employees of the head office of the National Jute Manufactures Corporation Ltd. (referred to as the "njmc" ). The employees are represented by two unions.

( 2 ) THE question raised in this writ application is whether the employees represented by the petitioners should be governed by the provisions of the Employees' State Insurance Act, 1948, or whether they should continue to enjoy the medical and other benefits which had been granted by NJMC to these employees all along.

( 3 ) BRIEFLY stated, according to the petitioners, the employees should be exempted from the operation of the Employees' State Insurance Act, 1948, and should continue to be granted the benefits under the NJMC's Medical Treatment and Attendance Rules, while the respondents argue to the contrary. Before considering the arguments in support of the rival contentions in detail, the background of relevant facts is as follows:

( 4 ) NJMC was incorporated in June, 1980. At the time of its incorporation the total number of equity shares was 70,000 of which the President of India holds 69,998 and one was held by the then Additional S