V. Ramaswami, J.

The appellants in these two writ appeals are the Management of Coimbatore Pioneer B. Mills Ltd., Coimbatore. On the 19th of October, 1970 at 3 A.M. they put up in the notice board of the mill a notice stating that the management had decided to retrench 87 women reelers with effect from 19-10-1970 for the reasons explained in the annexure to that notice. After giving particulars of the total workers and the retrenched workers, the notice further stated that

"the workers concerned have been/will be paid compensation as required by and in accordance with cl. (b) of S.25F of that Act" *

(The Industrial Disputes Act, 1947 - hereinafter referred to as the Act). Among the reasons given for retrenchment, it is stated that the mills have decided to produce mainly fine counts and cone yarn to meet the demand of importers from other countries which has resulted in considerable reduction of reeled production rendering a large number of reelers idle, with about 75 to 100 women reelers being laid-off day to day involving the concern to considerable economic strain and needless and wasteful expenditure. It was further stated that besides searing prices of cotton staple fibre is not at all available and this is also added to their problems and difficulties. The preparatory work had to be confined to six days while the spinning section was working for seven days. There was also an annexure which gave a list of female reelers retrenched and details of workers, compensation, notice pay and leave wages. The managements sent retrenchment notice to the Secretary, Labour Department, Madras under copy to the Labour Officer and the Commissioner of Labour, Coimbatore proposing to retrench the 87 workers. When the 87 workers turned up for work in the morning, they were informed that they have been retrenched and were not permitted to work. The workers of the mill went on a strike from 12 noon. On 20-10-1970 another notice was put up by the management and it was stated in that notice that the compensation salary and other amounts would be paid on 20-10-1970 and 21-10-70 at the office of the B. Mills and on 22nd to 24th October, 1970 at the A. Mills Office. It was also stated therein that if the amounts were not received on these days, they would be deposited in the Court.

2. The Labour Officer, Coimbatore held conciliation proceedings with respect to the retrenchment of the 87 workers. On 9-11-1970 the Labour Officer made certain suggestions to the management and the union. One of the suggestions made was to keep the retrenchment in abeyance for thirty days and to pay for 30 days' lay-off compensation and this lay-off compensation was paid by the management. In the meantime, 47 of the workers accepted the retrenchment compensation. On the basis of a conciliation failure report, the Government in G.O.R.T. No. 861 Department of Labour dated 23-4-1971 referred for adjudication to the Labour Court, Coimbatore, the following dispute :

"Whether the retrenchment of 40 workers (as detail in Annexure 2) by the management of the Coimbatore Poineer B. Mills, is justified; if not, to what relief they are entitled" *

3. Before the Labour Court it was contended on behalf of the workers that the notice pay and retrenchment compensation as provided under S. 25F (a) and (b) had not been paid and the provisions of S. 25F (c) was also not complied with and that, therefore, the retrenchment was invalid. They also questioned the validity of the retrenchment on the ground of violation of the provisions of S.25G of the Act which on the basis that the management is having two textile mills Pioneer A. Mills and Pioneer B. Mills and both formed a single establishment and for the purpose of applying the "last come first go" rule, the seniority of the workers in both these mills should be taken together and if so taken, S. 25G has been violated. They also pleaded that the retrenchment was illegal, wilful and not bona fide. On these contention they prayed t