APHC010266322012 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI [3457]

(Special Original Jurisdiction)

FRIDAY, THE TWENTY FOURTH DAY OF JANUARY TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE HARINATH.N WRIT PETITION NO: 19282/2012 Between:

Andhra Organics Limited, ...PETITIONER AND The Authority Appointed Under Section 15 Of The ...RESPONDENT(S)

Payment and Others Counsel for the Petitioner:

1. G V S GANESH Counsel for the Respondent(S):

1. GP FOR LABOUR The Court made the following:

Heard Sri C.R.Sridharan, learned Senior counsel representing G.V.S.Ganesh, learned counsel for the petitioner appeared through online and learned Assistant Government Pleader appearing for the respondents.

2. Learned Senior counsel for the petitioner submits that the impugned order dated 31.05.2012 passed by the respondent No.1 is beyond the perview of the law. It is submitted that the respondent No.1 has exercised jurisdiction beyond his powers and gave a direction to pay amounts due towards delay in payment of salary and also amount payable towards bonus. Learned Senior counsel submits that the payment of wages Act defines as follows:

“2. Definitions.—In this Act, unless there is anything repugnant in the subject or context,—

1[(vi) “wages” means all remuneration (whether by way of salary, allowances, or otherwise) expressed in terms of money or capable of being so expressed which would, if the terms of employment, express or implied, were fulfilled, be payable to a person employed in respect of his employment or of work done in such employment, and includes—

(a) any remuneration payable under any award or settlement between the parties or order of a Court;

(b) any remuneration to which the person employed is entitled in respect of overtime work or holidays or any leave period;

(c) any additional remuneration payable under the terms of employment (whether called a bonus or by any other name);

(d) any sum which by reason of the termination of employment of the person employed is payable under any law, contract or instrument which provides for the payment of such sum, whether with or without deductions, but does not provide for the time within which the payment is to be made;

(e) any sum to which the person employed is entitled under any scheme framed under any law for the time being in force, but does not include—

(1) any bonus (whether under a scheme of profit sharing or otherwise) which does not form part of the remuneration payable under the terms of employment or which is not payable under any award or settlement between the parties or order of a Court;

(2) the value of any house-accommodation, or of the supply of light, water, medical attendance or other amenity or of any service excluded from the computation of wages by a general or special order of 2[appropriate Government];

(3) any contribution paid by the employer to any pension or provident fund, and the interest which may have accrued thereon;

(4) any travelling allowance or the value of any travelling concession;

(5) any sum paid to the employed person to defray special expenses entailed on him by the nature of his employment; or (6) any gratuity payable on the termination of employment in cases other than those specified in sub-clause (d)].”

3. The definition of wage would not indicate any bonus, would not include value of any house accommodation, and supply of light, water, medical attendance or other amenities or any contribution paid by the employer to any pension or provident fund, any travelling allowance or any sum paid to the employed person or any gratuity. When the definition of wage did not include the component of bonus the respondent No.1 had committed a manifest error in directing the respondents to pay an amount of Rs.18,44,634/- towards the bonus. It is also submitted that the respondent No.1 by the impugned proceedings claims to have exercised his jurisdiction conferred by the statute under Section 15 of Payment of Wages Act. The provision of law under Section 15 of th