Gujarat High Court
Judgename :D.M.Dharmadhikari, J.M.Panchal
ABAD DAIRY - Appellant
Versus
MANJIBHAI DHANJIBHAI - Respondent
Letters Patent Appeal275 of 1997
Decided On : 07/25/2000
Industrial disputes Act, 1947 - Section 2 (p) - Service - Letters Patent Appeals have been preferred by Dairy which is a unit of Gujarat Dairy Development corporation Limited, and is an employer within the meaning of the Act - Employer feels aggrieved by a common oral judgment - Held, Considering the claim of regularisation or reinstatement and backwages to the workmen, the financial condition of the Industry and its requirement for the jobs or posts cannot be overlooked - As a matter of fact, these are very relevant circumstances and might justify denial in a given case - In the instant case; admittedly Abad Dairy is now a sick unit - Due to competitive market in Gujarat its business has gone down so much that it is under tremendous financial strain - There are few job opportunities available with it - As has been pointed out in the reply-affidavit the sale of milk in the year was 3 lacs litres per day which at the time of filing reply in the petition in the month had gone down - Statement on affidavit reads :"with the sale of milk taking nose-dive as aforesaid, it was no longer possible for the respondent-Dairy to provide work to even its permanent workmen - Since large number of permanent workmen were surplus in the Dairy there is a burden of idle wages - Employer had to introduce Voluntary Retirement schemes resulting in 671 workmen availing the benefit of retirement - Appeals allowed. (Para 24)
( 1 ) THESE Letters Patent Appeals have been preferred by Abad Dairy which is a unit of Gujarat Dairy Development corporation Limited, and is an employer within the meaning of the Industrial disputes Act, 1947. The employer feels aggrieved by a common oral judgment pronounced on 23-4-1996, 1-5-1996, 21-6-1996, 3-8-1996 and 5-8-1996 by learned single Judge (M. R. Calla, J.) (reported in 7997 (2) GLR 1204 ). The employer also feels aggrieved by the judgment dated 22-1-1998 passed by the learned single Judge (Rajesh Balia, J.) in some of the cognate matters, which are being decided by this common judgment.
( 2 ) THE common question involved in all these appeals is whether the Badli workmen employed in Abad Dairy, after it was taken over from the Ahmedabad municipal Corporation by the present employer i. e. Gujarat Dairy Development corporation, are entitled to the relief of regularisation of their service and payment of consequential monetary benefits on their completion of 900 days of work in last period of 5 years in terms of tripartite settlement dated 11-5-1981 and circulars dated 29-12-1978, 2-6-1983 and 16-8-1984 alleged to have been issued thereunder. Learned single Judge (Rajesh Balia, J.) by the judgment impugned dated 22-1-1998 upheld the award of the Industrial Tribunal, ahmedabad in favour of the Badli workmen and rejected the writ petitions filed by the employer in case of some of the workmen.
( 3 ) LEARNED single Judge (M. R. Calla, J.) by the impugned judgment pronounced on various dates mentioned above allowed the Badli workers claim for regularisation and payment of monetary benefits on the petitions jointly filed by them, individually and through the Union.
( 4 ) THE operative part of the impugned judgment of Justice M. R. Calla granting relief of regularisation and monetary benefits to Badli workers of the abad Dairy reads as under :-"the result of the aforesaid discussion is that all these petitions succeed and it is directed that all the petitioners who have completed 900 days in accordance with the policy decision No. 334 dated 29-12-1998 read with settlement under sec. 2 (p) and the circulars dated 2-6-1983 and 16-8-1984 may be granted the relief of regularisation from due date with all consequential benefits, if any, and thereafter, it will be open for the Corporation to deal with such employees in accordance with law on account of subsequent developments and the fate they should have met otherwise as regular employees for all purposes including retrenchment keeping in view the observations made in the judgment. Appropriate orders may be issued accordingly within a period of three months from the date the certified copy of this order is served. Rule is made absolute in all these petitions accordingly with no order as to costs. "
( 5 ) THE facts leading to the raising of the aforesaid industrial disputes by the Badli workmen of Abad Dairy need be stated in brief.
( 6 ) THE Abad dairy was run by the Ahmedabad Municipal Corporation upto the year 1971. It was taken over on 20-12-1979 by Gujarat Dairy Development corporation (the employer herein ). At the time of taking over by the Corporation, the question arose regarding the service conditions and other facilities of the employees of erstwhile Municipal Corporation who became employees of the present employer. A tripartite settlement in terms of Sec. 2 (p) of Industrial disputes Act was arrived at on 11-5-1981 between the Management of the Dairy and the Workers Union. One of the terms of the settlement on which heavy reliance has been placed on behalf of the workers is that in future salaries and other facilities to the employees working in the dairy shall be kept equivalent to pay-scales and facilities made available to the employees of the Ahmedabad municipal Corporation.
( 7 ) THE case of the workmen is that it was agreed that the service conditions of the employees of the dairy would be similar to service conditions of employees in t
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