High Court Of Delhi
WESTON ELECTRONICS LIMITED - Appellant
Versus
UNION OF INDIA - Respondent
Decided On : 12/12/1996
INDUSTRIAL DISPUTES ACT, 1947 - SECTION 33-C(1) - SCOPE OF POWER OF APPROPRIATE GOVERNMENT - ADJUDICATION OF DISPUTES - HELD, APPROPRIATE GOVERNMENT HAS NO POWER TO ADJUDICATE DISPUTES BETWEEN WORKMEN AND MANAGEMENT - APPROPRIATE GOVERNMENT CAN ONLY EXAMINE OBJECTIONS OF MANAGEMENT TO WORKMEN'S CLAIM TO FORM PRIMA FACIE OPINION WHETHER OBJECTIONS ARE PERVERSE, FRIVOLOUS OR MALAFIDE TAKEN WITH A VIEW TO DEPRIVE WORKMAN OF MONEY DUE TO HIM.
Fact of the Case:
WORKMEN OF VARIOUS ESTABLISHMENTS OF M/S WESTON ELECTRONICS LTD. WERE TRANSFERRED TO OTHER ESTABLISHMENTS OF THE COMPANY DUE TO ECONOMIC AND COMMERCIAL REASONS. SOME WORKMEN REPORTED FOR DUTY AT THE NEWLY ASSIGNED PLACES, SOME SETTLED WITH THE COMPANY EXPRESSING UNWILLINGNESS TO SERVE, AND SOME RESORTED TO DEMONSTRATIONS AND ILLEGAL STRIKE. THE COMPANY TOOK ACTION AGAINST THE WORKMEN FOR THEIR NON-JOINING AT THE ASSIGNED PLACES OF DUTY. THE UNION WROTE TO THE LABOUR COMMISSIONER OBJECTING TO THE TRANSFER OF WORKERS AND CLAIMING THAT THE TRANSFERS WERE MADE WITH A MALAFIDE INTENTION TO DISRUPT THE UNION. A MEETING WAS HELD WITH THE LABOUR MINISTER, WHERE THE MANAGEMENT AGREED TO PUT WORKMEN AT MOST AT TWO UNITS. THE UNION, HOWEVER, DID NOT AGREE TO THIS SUGGESTION. THE MANAGEMENT THEN ISSUED A NOTICE TO THE WORKMEN THAT THEY HAD ABANDONED THEIR SERVICES WITH THE ORGANIZATION. THE UNION WROTE TO THE ASSISTANT LABOUR COMMISSIONER ALLEGING ILLEGAL LOCKOUT, ILLEGAL AND MALAFIDE TRANSFER OF EMPLOYEES, AND DEMANDING WAGES AND OTHER BENEFITS UNDER SECTION 33-C OF THE ACT. THE ASSISTANT LABOUR COMMISSIONER'S REPORT SHOWED THAT THE WORKMEN HAD REPORTED FOR DUTY AT TWO SITES AND THE MANAGEMENT WAS WILLING TO TAKE THEM ON DUTY, BUT THEY WERE NOT WILLING TO GIVE JOINING REPORTS. THE MANAGEMENT SENT A REPLY TO THE UNION STATING THAT SECTION 33-C(1) OF THE ACT HAS NO APPLICABILITY SINCE THE WORKERS HAVE NOT BEEN RETRENCHED AND, THEREFORE, THE PROVISIONS OF SECTION 25-N READ WITH SECTION 2(OO) ARE NOT ATTRACTED. THE UNION DEMANDED WAGES AND OTHER BENEFITS UNDER SECTION 33-C(1) FOR THE PERIOD FROM 8TH JUNE, 1994 TO 31ST JULY, 1994. THE IMPUGNED RECOVERY CERTIFICATE WAS ISSUED STATING THAT RS. 2,20,954/- WAS PAYABLE BY THE COMPANY TO 71 WORKMEN FOR 22 DAYS FOR THE MONTH OF JUNE, 1994 AND FOR FULL MONTH OF JULY, 1994 UNDER SECTION 33-C(1) OF THE ACT.
Finding of the Court:
THE COURT HELD THAT THE APPROPRIATE GOVERNMENT HAS NO POWER TO ADJUDICATE DISPUTES BETWEEN WORKMEN AND MANAGEMENT UNDER SECTION 33-C(1) OF THE ACT. THE APPROPRIATE GOVERNMENT CAN ONLY EXAMINE OBJECTIONS OF MANAGEMENT TO WORKMEN'S CLAIM TO FORM PRIMA FACIE OPINION WHETHER OBJECTIONS ARE PERVERSE, FRIVOLOUS OR MALAFIDE TAKEN WITH A VIEW TO DEPRIVE WORKMAN OF MONEY DUE TO HIM.
Issues: WHETHER THE APPROPRIATE GOVERNMENT HAS THE POWER TO ADJUDICATE DISPUTES BETWEEN WORKMEN AND MANAGEMENT UNDER SECTION 33-C(1) OF THE ACT.
Ratio Decidendi: THE COURT HELD THAT THE APPROPRIATE GOVERNMENT HAS NO POWER TO ADJUDICATE DISPUTES BETWEEN WORKMEN AND MANAGEMENT UNDER SECTION 33-C(1) OF THE ACT. THE APPROPRIATE GOVERNMENT CAN ONLY EXAMINE OBJECTIONS OF MANAGEMENT TO WORKMEN'S CLAIM TO FORM PRIMA FACIE OPINION WHETHER OBJECTIONS ARE PERVERSE, FRIVOLOUS OR MALAFIDE TAKEN WITH A VIEW TO DEPRIVE WORKMAN OF MONEY DUE TO HIM. THIS IS BECAUSE PROCEEDINGS UNDER SECTION 33-C(1) ARE IN THE NATURE OF EXECUTION PROCEEDINGS PROVIDING AN ADDITIONAL MODE OF SPEEDY RECOVERY OF MONEY DUE TO A WORKMAN FROM AN EMPLOYER UNDER A SETTLEMENT OR AN AWARD OF THE PROVISIONS OF CHAPTER V-A OR CHAPTER V-B. SECTION 33-C(1) DOES NOT VEST ANY POWER OF ADJUDICATION ON THE APPROPRIATE GOVERNMENT EXCEPT TO THE LIMITED EXTENT OF EXAMINING THE FACTS TO FIND OUT WHETHER OBJECTIONS TO JURISDICTION OF THE APPROPRIATE GOVERNMENT HAS BEEN TAKEN BY THE EMPLOYER SIMPLY WITH A VIEW TO OUST THE JURISDICTION OF THE APPROPRIATE GOVERNMENT UNDER THE SAID SECTION AND DEPRIVE THE WORKMAN OF MONEY DUE TO HIM.
Final Decision: THE IMPUGNED RECOVERY CERTIFICATES WERE QUASHED. THE APPROPRIATE GOVERNMENT WAS DIRECTED TO DECIDE THE MATTERS AFRESH WITHIN A PERIOD OF 3 MONTHS IN THE LIGHT OF THE LAW LAID DOWN IN THE DECISION.
( 1 ) THESE writ petitions raise common question of low regarding construction of Section 33-C (1) of the Industrial Dispute Act, 1947 (for short the Act ) and scope of power of the appropriate government under this provision.
( 2 ) THE challenge in all the writ petitions is to the action taken by the government under Section 33-C (1) of the Act. The employers (hereinafter described as management ) are writ petitioners. The workmen are the respondents besides the Government and Officers of Labour department (hereinafter described as. government ).
( 3 ) WITH a view to appreciate how the controversy has arisen we may notice facts of one of the writ petition (C. W. P. 4669194 M/s. Weston Electronics Ltd. Vs. Union of India and others ). The case of this company in brief is as under:--
( 4 ) THE Company is engaged in manufacture of electronic components etc. , for the last more than 25 years. The registered office and corporate office of the company is at 43-A, Okhla Industrial Estate, New Delhi with one of the unit at 240, Okhla Industrial Estate and other establishments at various places in Delhi, amongst others at 6, Community Centre, East of Kailash, New Delhi, Shed No. A-7, Okhla Industrial Area, Phase-I. Plot No. 5, Sector No. 6, R. K. Puram and 15, Jain Bhawan, Near Gurudwara in Tikri Village, Opposite Vasyusenavad Bagh Gate, New Delhi. In this writ petition Respondent No. 5 is the Union formed by the workmen of the petitioner. In November, 1992 petitioner after due discussion with the representatives of the Union, for economic and commercial reasons, decided to go in for reorganisation in its establishment. On 6th January, 1994 by a general notice all workmen were informed that it has been decided to vacate factory building at 240, Okhia Industrial Estate on account of certain economic and commercial reasons and the Management is trying to hire other building for vacating this building and the workmen will have to go to the new acquired building on the above said building being vacated. By another general notice dated 31st January, 1994 the workmen were notified, with reference to earlier notice dated 6th January. 1994 that in order to vacate premises at 240, Okhla Industrial Estate, another building had almost been obtained and negotiations are at the final stages and it is possible that the work may be started in the new building in the first week of February 1994. 524 Thus, the workmen were informed through this general notice that directions to go to new building to be hired soon may be given to them at any time without any prior notice. On 7th February 1994 the petitioner decided to shift 194 workers working a 240, Okhla Industrial estalishment to be shifted to its other establishment inasmuch as 23 persons were asked to report for duty at corporate Office, 10 at Community Centre, East of Kailash, 58 at A-7 Okhia Industrial Area, Phase-I, 13 at Plot No. 5, Sector 6, R. K. Puram, Delhi and 91 at Jain Bhawan, Yasyusenavad Bagh Gate, New Delhi. Some of the workmen reported for duty at the above places, some settled with the petitioner expressing unwillingness to serve, other workers numbering about 74 resorted to demonstrations and started indulging in illegal strike at the establishments of the petitioner. For smooth working and functioning at its establishments the petitioner filed a suit for injunction (Suit No. 414/94) on 22nd February 1994 wherein Civil Court passed an order of injunction restraining, conducting or holding any demonstration within 50 meters from the main gate of its premises establishment and the order of injunction was in force. On 25th February, 1994 the Union wrote a letter to Labour Commissioner objecting to the transfer of workers from the aforesaid premises No. 240, Okhla Industrial Estate, to various other places. It was claimed that the transfer orders were made by the management with a malafide intention to disrupt the Union and that the argument of the management tha
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