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1969 Supreme(Raj) 234

RAJASTHAN HIGH COURT
V.P.Tyagi, J.
Cement Works Karmachari Sangh, Sawai Madhopur and another - Appellants
Versus
Judge, Industrial Tribunal, Rajasthan and others - Respondents
Civil Writ Petns. Nos. 614 of 1965 and 305 of 1968.
Decided On : 10-10-1969

For the Petitioners (in both petitions):Marudhar Mridul, Advocate.
For the Management of Jaipur Udyog Ltd., Sawai-Madhopur :C.N. Sharrna and Sagar Mal Mehta, Advocates.

A settlement arrived at between the parties to an industrial dispute is a valid settlement under the Act if it is signed by the parties in the manner prescribed by the Rules and a copy thereof is sent to the appropriate Government and the conciliation officer. The Tribunal has jurisdiction to make an award in terms of a settlement arrived at between the parties to an industrial dispute. Rule 20(2) of the Rules is not applicable where there is only one trade union representing the workmen. The Tribunal is not required to scrutinise the merits of a settlement arrived at between the parties to an industrial dispute before making an award in terms of the settlement. A party to an industrial dispute who has taken the full advantage of a settlement is estopped from challenging the award on technical grounds.

Headnote:

INDUSTRIAL DISPUTES ACT, 1947 - SECTION 10 - SETTLEMENT - VALIDITY - AWARD - JURISDICTION OF TRIBUNAL - RULE 20(2) OF THE RAJASTHAN INDUSTRIAL DISPUTES RULES, 1958 - MANDATORY - NOTICE - NUMEROUS PARTIES - TRADE UNION - ESTOPPEL - WRIT PETITION - DELAY.

Fact of the Case:

The Cement Works Karmachari Sangh, Sawai-Madhopur (the union) raised a dispute regarding the fixation of various types of workmen in the factory as well as at the quarries in the grades recommended by the Wage Board. The dispute was referred by the State Government to the Tribunal under Section 10 of the Industrial Disputes Act, 1947. During the pendency of the dispute, a settlement was arrived at between the union and the management, which was recorded on 17th November, 1964. The Tribunal, by its order dated 26th November, 1964, gave its award on the strength of the aforesaid settlement. The union challenged the award on various grounds, including that the settlement was not a proper settlement, that the reference made by the State Government to the Tribunal was misconceived, that the award was vitiated because of mandatory provisions of Rule 20(2) of the Rules made under the Act by the State of Rajasthan were not complied with by the Tribunal, and that the Tribunal acted mechanically in giving its award on the strength of the settlement without scrutinising whether the settlement was a proper one.

Finding of the Court:

The Court held that the settlement was a valid settlement under the Act and that the Tribunal had jurisdiction to make an award in terms of the settlement. The Court further held that Rule 20(2) of the Rules was not applicable in the present case as there was only one trade union representing the workmen and that the union was estopped from challenging the award on technical grounds after having taken the full advantage of the settlement for almost complete one year.

Issues: 1. Whether the settlement arrived at between the union and the management was a valid settlement under the Act? 2. Whether the Tribunal had jurisdiction to make an award in terms of the settlement? 3. Whether the award was vitiated because of mandatory provisions of Rule 20(2) of the Rules made under the Act by the State of Rajasthan were not complied with by the Tribunal? 4. Whether the Tribunal acted mechanically in giving its award on the strength of the settlement without scrutinising whether the settlement was a proper one? 5. Whether the union was estopped from challenging the award on technical grounds after having taken the full advantage of the settlement for almost complete one year?

Ratio Decidendi: 1. A settlement arrived at between the parties to an industrial dispute is a valid settlement under the Act if it is signed by the parties in the manner prescribed by the Rules and a copy thereof is sent to the appropriate Government and the conciliation officer. 2. The Tribunal has jurisdiction to make an award in terms of a settlement arrived at between the parties to an industrial dispute. 3. Rule 20(2) of the Rules is not applicable where there is only one trade union representing the workmen. 4. The Tribunal is not required to scrutinise the merits of a settlement arrived at between the parties to an industrial dispute before making an award in terms of the settlement. 5. A party to an industrial dispute who has taken the full advantage of a settlement is estopped from challenging the award on technical grounds.

Final Decision: Both the writ petitions were dismissed.

JUDGMENT

1. - Both these writ petitions are directed against the award dated 26th of November, 1964 of the Industrial Tribunal, Rajasthan, Jaipur and because in these petitions common questions of facts and law are involved, I propose to dispose them of by one judgment.

2. Writ Petition No. 614 of 1965 is filed by the Cement Works Karmachari Sangh, Sawai-Madhopur (hereinafter for the sake of brevity referred to as the `union') at whose instance the industrial dispute was referred by the State Government under the provisions of the Industrial Disputes Act, 1947, to the Tribunal. Writ Petition No. 305 of 1968 has been filed by an industrial workman Baij-nath Singh of the cement factory of the Jaipur Udyog Limited established at Sawai-Madhopur.

3. The facts giving rise to these writ petitions, in a nutshell, may be given as follows :

4. The Jaipur Udyog Ltd., is a public limited company and is running a cement factory at Sawai-Madhopur. It also operates the limestone quarries at Phalodi in District Sawai-Madhopur. According to the petitioner, the quarries are the main source of supply of limestone for the running of the cement factory. Somewhere in the year 1958, the Government of India, Ministry of Labour & Employment, appointed a Central Wages Board for the cement industries which was headed by Shri M. R. Mehar, I.C.S. (Retd.) as its Chairman. This Central Government (sic) whereby it recommended certain uniform rates of wages to be paid to the workmen in all the cement factories in India. It is alleged that the Government of India accepted the recommendations of the said Wage Board. While prescribing certain grades for the workmen, the Wage Board also suggested certain principles according to which the workmen of the cement factories were to be fitted in the various grades recommended by it.

5. Cement Works Karamchari Sangh, Sawai-Madhopur is a trade union registered under the Trade Union Act and according to the petitioner's claim, it is the only trade union of the workmen employed by the management of the Jaipur Udyog Limited in the cement factory and in quarries. The union raised a dispute regarding the fixation of the various types of workmen in the factory as well as at the quarries in the grades recommended by the Wage Board, but it so appears that no accord could be reached between the management and the union. The allegation of the union against the management is that in disregard of the principles laid down by the Wage Board, the workmen were arbitrarily tried to be fixed in the grades inferior to those to which they were entitled according to the recommendations of the Central Wage Board and, therefore, a dispute was raised by the union before the Conciliation Officer appointed by the Government of Rajasthan. The Conciliation Officer submitted his failure report whereupon the Government of Rajasthan by issuing a notification dated 27th of December, 1969, in exercise of the powers vested in it under Section 10 of the Industrial Disputes Act, 1947, (hereinafter to be referred as the Act) referred the industrial dispute to the Tribunal in the following term:

"How the workman of Jaipur Udyog Limited. Sawai-Madhopur should be fixed in the various grades proposed by the Central Wage Board on Cement Industry?"
While the dispute was pending before the Industrial Tribunal, a settlement was arrived at between the union and the management which was recorded on 17th of November, 1964. This settlement was signed on behalf of the union by Parmanand, President, Chittar Singh, Vice-President, Vinod Shanker Pareek, Office Secretary and Devilal Sandilya, Joint Secretary, whereas Messrs. R. N. Chaturvedi Works Manager and M. L. Rathi, Secretary appended their signatures on behalf of the management. Both the parties, who sought various adjournments from the Industrial Tribunal, and requested to give an award on the basis of the settlement. The learned Judge presiding over the Tribunal by his order dated 26th November, 1964, gave his award on t
















































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