1955 Supreme(Mad) 102

MADRAS HIGH COURT
RAMASWAMI
A.C.Arumugham
Versus
Manager, Jawahar Mills Ltd. Salem Junction
Civil Revn. Petns. Nos. 650 to 655 of 1954
Decided On : 29 March, 1955

The Payment of Wages Act applies to the payment of wages to four categories of persons of whom we are concerned here only with the first category viz., persons employed in any factory.

Headnote:

PAYMENT OF WAGES ACT - SCOPE AND APPLICABILITY - STANDING ORDERS - APPLICABILITY - APPEALS - MAINTAINABILITY - LIMITATION - PRINCIPLES.

Fact of the Case:

Employees of Jawahar Mills, Ltd. and the Mettur Industrials Limited were laid off due to a cut in the supply of electricity. They applied before the Additional Commissioner for Workmens compensation for payment of wages during this period under S. 15(3), Payment of Wages Act 4 of 1936. The Additional Commissioner passed orders in favor of the employees. The employers filed appeals therefrom and contended that the Payment of Wages Act was not applicable to this case and that in case it was even considered applicable, these applicants were workmen within the meaning of that Act and that the Standing Orders applied to them and that if the Standing Orders applied to them they were not entitled to wages for the period during which they had not worked and that no question of Relayed wages arose.

Finding of the Court:

The court held that the Payment of Wages Act was applicable to the case and that the employees were workmen within the meaning of the Act. However, the court also held that the Standing Orders applied to the employees and that they were not entitled to wages for the period of their involuntary unemployment.

Issues: 1. Scope of the Payment of Wages Act and its applicability to the circumstances of this case. 2. Scope of the Standing Orders certified under the Industrial Employment Act, 1946, and their applicability to the employees under consideration. 3. Scope of S. 17(1)(a), Payment of Wages Act and the maintainability of the appeals in the lower Court. 4. The principles of limitation applicable to appeals under S. 17(1), Payment of Wages Act.

Ratio Decidendi: 1. The Payment of Wages Act applies to the payment of wages to four categories of persons of whom we are concerned here only with the first category viz., persons employed in any factory. 2. The term "workman" is defined therein as any person employed in any industrial establishment to do any skilled or unskilled manual or clerical work for hire or reward but does not include any member of the armed forces of the Union. 3. The term "wages" payable to these persons employed in the factory is defined in S. 2(6) as follows: "Wages means all remuneration, capable of being expressed in terms of money, which would, if the terms of the contract of employment express or implied, were fulfilled be payable whether conditionally upon the regular attendance, good work or conduct or other behaviour of the person employed or otherwise, to a person employed in respect of his employment or of work-done in such employment, and includes any bonus and/or other additional remuneration of the nature aforesaid which would be so payable and any sum payable to such person by reason of the termination of his employment, but does not include........" 4. Section 7 provides for deductions that can lawfully be made from wages payable to employees. 5. Section 15 provides the procedure for hearing claims arising out of (a) deduction from wages; or (b) delay in payment of the wages i.e. wages which are admittedly due but the payment of which has been postponed on some excuse or another. 6. Section 17 provides that an appeal shall lie from every direction of the Authority made under S. 15(3) or S. 15(4) except that no appeal from a direction made under S. 15(3) shall be maintainable. (a) by the employer (or other person responsible for the payment of wages), if the total sum directed to be paid by way of wages and compensation does not exceed Rs. 300; or (b) by the employed person, if the total amount of wages withheld from him or from the unpaid group (to which he belonged) does not exceed Rs. 50. 7. An appeal under this section must be preferred within 30 days from the date of the direction sought to be appealed against.

Final Decision: The court dismissed the Civil Revision Petitions filed against the orders made by the learned District Judge of Salem in Appeals Nos. 186 and 279 to 283 of 1953, reversing the orders of the Additional Commissioner for Workmens compensation, Madras.