The Chief Justice.-On 9th April, 1948, the Government of Madras by G.O. No.1791, Development, made a reference under section 10 (1) (c) of the Industrial Disputes Act, 1947, to the Industrial Tribunal having its place of sitting at Coimbatore, of an industrial dispute, which had arisen between the workers and managements of hotels in the whole of the Coimbatore district in respect of certain matters, for adjudication. The Notification did not mention the hotels by name; nor did it specify the matters in respect of which an industrial dispute had arisen. The introductory part of the Government Order referred to a report from the Commissioner of Labour, but no further light is thrown on the matter, because that report is stated to be only to the effect that an industrial dispute had arisen between the workers and managements of the hotels in the whole of the Coimbatore district in respect of certain matters and that the parties to the dispute were unable to arrive at an amicable settlement. The industrial tribunal sent notices inter alia to the hotel owners’ sangam, Coimbatore, and the Coimbatore district hotel workers’ union. On 10th August, 1948 the workers’ union addressed a letter to the Tribunal praying for time to prepare their demands. On 14th August, 1948 the union filed a preliminary statement setting out the history of the alleged dispute and the demands to be adjudicated upon. The hotel owners’ sangam, Coimbatore, filed a counter statement attacking the validity of the reference, the representative character of the workers’ union, and denying that the Tribunal had jurisdiction to proceed with the enquiry. Apparently because of the decision of this Court in Ramayya Pantulu v. Kutty and Rao (Engineer), Ltd.1, the Government considered it advisable to issue a fresh reference. How and on what material they acted will be set out later. On 15th March, 1949 the Government issued another notification which runs thus:

“Whereas industrial disputes have arisen between the workers and managements of the hotels in Coimbatore district mentioned in Annexure I to this order in respect of matters mentioned in Annexure II to this order:

And whereas in the opinion of His Excellency the Governor of Madras it is necessary to refer the said disputes for adjudication:

Now, therefore, in exercise of the powers conferred by section 10 (1) (c) of the Industrial Disputes Act, 1947 (Central Act XIV of 1947), and in supersession of the orders issued in Development Department’s Notification, No. 363, dated the 9th April, 1948, published on page 322 of Part I of the Fort St. George Gazette, dated the 20th April, 1948, His Excellency the Governor of Madras hereby directs that the said industrial disputes be referred for adjudication to the industrial tribunal having its place of sitting at Coimbatore.

2. The Commissioner of Labour is requested to send copies of this order to the managements and workers’ unions concerned.

(By order of His Excellency the Governor).......”

Annexure No.1 contained a list of 85 hotels situated in Erode, Coimbatore, Pollachi, Udumalpet, Tiruppur and Puliampatti divided into three classes, A, B and C, and Annexure II contained 11 items of matters in dispute, namely,

1. Wages. 7. Holidays.

2. Dearness allowance. 8. Medical facilities.

3. Bonus. 9. Rest room.

4. Provident fund. 10. Appointment through employment exchange.

5. Gratuity. 11. Dismissal

6. House rent.

Thereupon the prior reference was treated as closed, and there were fresh statements filed before the Tribunal by the Hotel-owners’ sangam and the Hotel-workers’ Union. The Tribunal, after an enquiry, passed its award on 17th March, 1950, which contained the following provisions: (1) the basic wages of all the hotel workers were to be revised from 1st January, 1949 as stated in paragraph 22 of the award. The hotels were divided into three classes, namely, Class A comprising hotels with a daily turnover of Rs. 250 and more, Class B of hotels with a daily turnover of Rs.1

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