High Court Of Delhi
KEVENTERS KARAMCHARI SANGH - Appellant
Versus
LIEUTENANT GOVERNOR UNION TERRITORY OF DELHI - Respondent
Civil 408 of 1968
Decided On : 04/06/1970
INDUSTRIAL DISPUTES ACT, 1947 - SECTION 10(3) - PROHIBITION OF STRIKE - VALIDITY - DISCRETION OF APPROPRIATE GOVERNMENT - GUIDING PRINCIPLES - CONSTRUCTION OF SECTION 10(3) - OPPORTUNITY TO SHOW CAUSE.
Fact of the Case:
The petitioner union challenged the order passed by the Delhi Administration prohibiting the continuance of their strike under Section 10(3) of the Industrial Disputes Act, 1947, on three grounds: (1) Section 10(3) violates Article 14 of the Constitution; (2) the order was not in compliance with the provisions of Section 10(3); and (3) the order was passed at the instance of the company without affording an opportunity to the petitioners to show cause.
Finding of the Court:
The court held that: (1) Section 10(3) of the Industrial Disputes Act, 1947, does not violate Article 14 of the Constitution as it provides guiding principles for the exercise of discretion by the appropriate government, namely, the settlement of industrial disputes, promotion of industrial peace, maintenance of production, and benefit to the community in general; (2) the order prohibiting the continuance of the strike was in compliance with Section 10(3) as one of the demands mentioned in the notice of strike was referred to as an industrial dispute; and (3) the order was not passed at the instance of the company and, in any case, an opportunity to show cause is not required before passing an order under Section 10(3).
Issues: 1. Whether Section 10(3) of the Industrial Disputes Act, 1947, violates Article 14 of the Constitution? 2. Whether the order prohibiting the continuance of the strike was in compliance with Section 10(3)? 3. Whether the order was passed at the instance of the company and whether an opportunity to show cause was required before passing the order?
Ratio Decidendi: 1. Section 10(3) of the Industrial Disputes Act, 1947, does not violate Article 14 of the Constitution as it provides guiding principles for the exercise of discretion by the appropriate government, namely, the settlement of industrial disputes, promotion of industrial peace, maintenance of production, and benefit to the community in general. 2. The order prohibiting the continuance of the strike was in compliance with Section 10(3) as one of the demands mentioned in the notice of strike was referred to as an industrial dispute. 3. The order was not passed at the instance of the company and, in any case, an opportunity to show cause is not required before passing an order under Section 10(3).
Final Decision: The writ petition was dismissed with costs.
( 1 ) THE order dated May 20, 1968 of the Delhi Administration prohibiting the continuance of the strike by the petitioner Union which was passed in exercise of powers conferred by sub-section (3) of section 10 of the Industrial Disputes Act, 1947 has been challenged by this writ petition on three main grounds. Firstly, because sub-section (3) of section 10 of the said Act is violative of Article 14 of the Constitution; secondly, because the said order was not in compliance with the provisions of the said sub-section and thirdly, because the said order was passed at the instance of respondent No. 2 without affording any opportunity to the petitioners to show cause against it.
( 2 ) THE petitioners are a union of workmen of Messrs Edward Keventer (s) Private, Limited. The first Respondent 1s the Lt. Govenor of Delhi and the second Respondent 1s the said company. Certain demands raised by the petitioners on December 20, 1967 were pending conciliation before the Conciliation Officer, Delhi. On April 1, 1968 while the conciliation proceedings were pending, the General Secretary of the petitioners served a notice of a strike upon the said company under sub-section (1) of section 22 of the said Act to be called on any day after the expiry of fourteen days of the receipt of the said notice. The three demands upon which reliance has been placed by the petitioners before us which gave rise to the said notice were :-
(1) "withholding of existing benefits and nonpayment of past wages etc. ";
(2) demand for bonus for the year 1966-67 at the rate of not less than 20% instead of at the rate of 4% as declared by the said company; and
(3) the unlawful and unauthorised adjustment of the declared bonus against the advances of the workmen without their consent.
( 3 ) A copy of the said notice of strike was sent to various authorities and to the Delhi Administration. On May 20, 1968, the Delhi Administration REFERRED TO various demands of the petitioners for adjudication to the Industrial Tribunal, Delhi, in exercise of powers conferred by sections 10 (l) (d) and 12 (5) of the said Act. It is not disputed that the demand for bonus for the year 1966-67, being demand No 2 enumerated above and mentioned in the notice of strike, was REFERRED TO for adjudication. The petitioners complaint is that demands Nos. 1 and 3 mentioned above were not REFERRED TO for adjudication. On the same date, May 20, 1968, the continuance of the strike which had been resorted to by the petitioners in pursuance of their aforesaid notice was prohibited by the impugned order on the ground that the dispute between the management and the workmen had been REFERRED TO to the Industrial Tribunal, Delhi, for adjudication. It may here be stated that the said company had earlier by their letter dated May 10, 1968 written to the Conciliation Officer praying, inter alia, that prohibitory orders may be passed calling off the strike as it was the responsibility of the Government to protect public utility services to which category the said company admittedly belongs.
( 4 ) ON the first point it is urged that sub-section (3) of section 10 of the said Act confers arbitrary powers on the Government and no guiding principles have been specified for the exercise of discretion under this sub-section which is in these terms:-
"where an industrial dispute has been REFERRED TO to a Board, Labour Court, Tribunal or National Tribunal under this section, the appropriate Government may by order prohibit the continuance of any strike or lockout in connection with such dispute which may be in existence on the date of the reference. "
( 5 ) RELIANCE is placed on the third class of cases enumerated by the Supreme Court in Dalmia s case (AIR 1958 SC 538) (1) where it is observed :-
"a statute may not make any classification of the persons or things for the purpose of applying its provisions but may leave it to the discretion of the Government to select and classify persons or things to whom i
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.