High Court Of Delhi
AIR INDIA - Appellant
Versus
UNION OF INDIA - Respondent
Civil 637 of 1988
Decided On : 08/27/1990
INDUSTRIAL EMPLOYMENT (STANDING ORDERS) ACT, 1946 - APPLICABILITY TO AIR INDIA - SECTIONS 7, 13B, 45 - STANDING ORDERS ACT IS APPLICABLE TO AIR INDIA - REGULATIONS FRAMED UNDER SECTION 45 (2) (B) OF AIR CORPORATION ACT, 1953 DO NOT OUST THE APPLICABILITY OF STANDING ORDERS ACT - NOTIFICATION ISSUED BY AIR INDIA CANNOT BE REGARDED AS HAVING BEEN ISSUED UNDER SECTION 13B - APPROPRIATE GOVERNMENT HAS NOT EXERCISED ITS JURISDICTION UNDER SECTION 13B.
Fact of the Case:
Air India challenged the applicability of the Industrial Employment (Standing Orders) Act, 1946 (1946 Act) to it, arguing that the regulations framed under Section 45 of the Air Corporation Act, 1953 (Air Corporation Act) should apply instead. The petitioner contended that the specific provisions of Section 45 of the Air Corporation Act excluded the application of the 1946 Act and that the regulations framed with the prior approval of the Central Government should govern the terms and conditions of service of its employees.
Finding of the Court:
The court held that the 1946 Act was applicable to Air India and that the regulations framed under Section 45 (2) (b) of the Air Corporation Act did not oust the applicability of the 1946 Act. The court reasoned that the Standing Orders Act was a special Act dealing with a specific problem, namely, the promulgation of Standing Orders with regard to a section of employees of Air India, while the Air Corporation Act was a general Act. The court also noted that Section 7 (3) of the Air Corporation Act provided that nothing contained in Section 7 shall be construed as authorizing the disregard by the Corporation of any law for the time being in force, which meant that any action taken by the Corporation had to be in conformity with the laws of the land, including the 1946 Act.
Issues: 1. Whether the Industrial Employment (Standing Orders) Act, 1946 (1946 Act) is applicable to Air India. 2. Whether the regulations framed under Section 45 of the Air Corporation Act, 1953 (Air Corporation Act) exclude the application of the 1946 Act.
Ratio Decidendi: 1. The Standing Orders Act is a special Act dealing with a specific problem, namely, the promulgation of Standing Orders with regard to a section of employees of Air India, while the Air Corporation Act is a general Act. 2. Section 7 (3) of the Air Corporation Act provides that nothing contained in Section 7 shall be construed as authorizing the disregard by the Corporation of any law for the time being in force, which means that any action taken by the Corporation has to be in conformity with the laws of the land, including the 1946 Act. 3. The regulations framed under Section 45 (2) (b) of the Air Corporation Act do not oust the applicability of the 1946 Act because they deal with not only the workmen but also with other categories of employees who are not covered by the 1946 Act. 4. The notification issued by Air India cannot be regarded as having been issued under Section 13B of the 1946 Act because it was not issued by the appropriate Government, which is the Central Government.
Final Decision: The writ petition was dismissed with costs.
( 1 ) THE challenge iff this writ petition is to the applicability of the Industrial Employment (Standing Orders) Act, 1946 to Air India.
( 2 ) THE petitioner Corporation was incorporated under the provisions of Air Corporation Act, 1953. Section 45 of the said Act, inter alia, enables the Corporation to frame regulations. According to section 45, as it originally stood, the regulations could be framed only with the previous consent of the Central Government. Subsequently, Section 45 (2) was amended and it is no longer. necessary to obtain; previous consent of the Central Government except that it was still necessary to obtain the government s prior consent in relation to making of the regulations with regard to the terms and conditions of serivce of officers and other employees of the Corporation, other than the Marraging Director and officers of any other categories referred to in section 44.
( 3 ) IN pursuance of the powers under section 45 (2) (b) service regulations were, for the first time, notified by the petitioner vide notification published in the Gazette of 5th December 1959. These service regulations had been framed with the prior approval of the Central Government and then superseded by a fresh set of regulations framed and published in the Gazette of India of 19th October, 1963.
( 4 ) SOME time prior to the year 1983, the Deputy Chief Labour Commissioner, New Delhi, (respondent No. 2), initiated proceedings under the 1946 Act for certification of the Standing Orders under the said Act. It was the case of the petitioner before second respondent that 1946 Act was not applicable. The petitioner, however, vide letter dated 2nd February 1983 was required to show cause why legal action should not be taken for violation of the 1946 Act. It was under these circumstances that the petitioner submitted draft standing orders. The representative of the petitioner attended the proceedings before the second respondent and again contended that the said Act was not applicable. Vide order dated 3rd August 1983 the second respondent did not accept the preliminary objection and he came to the conclusion that the 1946 Act was applicable. The second respondent thereafter started proceedings in connection with certification of the standing orders and the standing orders were finally certified vide order dated 31st January 1986.
( 5 ) AN appeal was filed against the aforesaid order and once again an objection was raised regarding the applicability of the said Act. Vide order dated 17th March 1988, the appellate authority overruled, the preliminary contentions raised off behalf of the petitioner. It is thereafter that the present writ petition has been filed. During pendency of the writ petition, operation of the standing orders has been stayed.
( 6 ) IT is contended by learned counsel for the petitioner that in view of the specific provisions of section 45 of the Air Corporation Act, 1946 Act does not apply. According to the learned counsel, the scheme of the Act clearly shows that the intention of the Legislature was that it is only the regulations which should be applicable to the employees and not the standing orders. In support of this contsntion, it was urged that originally all the regulations made under section 45 required the prior concurrence of the Central Government but after its amendment, it is only regarding regulations framed under section 45 (2) (b) that prior concurrence is required. Learned counsel submits that this is a special provision and therefore the provisions of the Standing Orders Act, 1946 would have no application. It is also contended that the petitioner is under legal obligation to comply with the directions of the Central Government. It is the Central Government which has granted approval to the regulations which have been made and, furthermore, under section 34 the Central Government can issue directions, from time to time, and the Corporation is under an obligation to carry them o
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