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1976 Supreme(Mad) 673

BALASUBRAMANYAN
Industrial Chemicals Limited, Madras-2 – Appellant
Versus
Labour Court, Madras and Others – Respondent


Advocates Appeared: For

Judgment :-

Balasybranmanyan, J.

These two writ appeals raise questions of some importance in the application of the law relating to retrenchment of an employee from service.

2. The appellant is a limited company having an office at Madras. The respondent Sankaran was an employee in that office for more than ten years. In 1970, the company discharged Sankaran from service avowedly as measure retrenchment. At that time he was one out of four assistants in the office, but not the juniormost. When serving the notice of retrenchment to management gave him one month notice pay and retrenchment compensation. But the amount was given by cheque.

3. Sankaran raised an industrial dispute over his retrenchment. On reference before the Labour Court he pleaded that there was no warrant whatever for the management to introduce any measure of retrenchment at the material time. The Labour Court rejected this plea on the score that the company had incurred losses in its business in 1969 and there was nothing wrong in its desire to effect economies. Sankaran raised two other contentions based on S.25F and 25G of the Industrial Disputes Act, 1947. He urged that the payment of his dues by cheque, instead























































































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