Supreme Court Remits Case to Industrial Tribunal for Reconsideration of Dismissal of Workmen Due to Exceeding Jurisdiction. Tribunal's Finding of Discrimination Not Part of Reference, Reinstatement Order Unsustainable Under Section 10(4) of Industrial Disputes Act, 1947.

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Case Note & Summary

The dispute arose between the Firestone Tyre and Rubber Company and its workmen, particularly in the tyre-curing department, leading to a strike and subsequent dismissal of workmen for alleged go-slow tactics. The management issued charge-sheets to 102 workmen, but many refrained from participating in inquiries, resulting in their dismissal. A settlement was reached in 1968, reinstating some workmen temporarily while others were not reinstated. The Industrial Tribunal later directed the reinstatement of 12 workmen, citing discrimination and unfair labour practices. The Supreme Court, however, found that the Tribunal had exceeded its jurisdiction by addressing discrimination, which was not part of the reference. The Court emphasized that the Tribunal must confine its adjudication to the specified points of dispute. It also noted that the inquiry conducted by the management was improper due to vague charge-sheets and lack of proper notice. The Court remitted the case back to the Tribunal for a proper examination of the merits of the dismissal, allowing both parties to present evidence. The appeal was allowed in part, and the Tribunal was directed to reconsider the demands specified in the reference (Paras 1-29).

Headnote

A) Industrial Disputes - Jurisdiction of Tribunal - Scope of adjudication - Industrial Disputes Act, 1947, Section 10(4) - Tribunal exceeded its jurisdiction by addressing the issue of discrimination which was not part of the reference. The demands for reinstatement were based on the alleged invalidity of dismissal, and the issue of unfair labour practice was not referred for adjudication. Held that the Tribunal must confine its adjudication to the specified points (Paras 26-27).

B) Inquiry Procedure - Proper Inquiry - Industrial Disputes Act, 1947 - Tribunal's authority to allow evidence - When no proper inquiry has been held, the Tribunal has jurisdiction to allow management to lead evidence. The Tribunal found that proper charge-sheets were not served, thus it was entitled to ask parties to lead evidence to decide the merits of the dispute. The order for reinstatement without considering merits was unsustainable (Paras 27-28).

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Issue of Consideration

Whether the Tribunal could address itself only to a question of discrimination without confining its adjudication to those points and matters incidental thereto, as specified in the industrial dispute.

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Final Decision

The Supreme Court allowed the appeal in part, remitting the case to the Industrial Tribunal for reconsideration of the demands specified in paragraph 1(A) of the Schedule to the order of Reference, allowing both parties to present evidence regarding the merits of the dismissal.

Law Points

  • Industrial Disputes Act
  • 1947
  • jurisdiction of Tribunal
  • unfair labour practice
  • discrimination
  • proper inquiry
  • reinstatement of workmen
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Case Details

1981 LawText (SC) (07) 17

Civil Appeal No. 1794 (NL) of 1977

1981-07-22

Gupta, A.C., Tulzapurkar, V.D., Pathak, R.S.

1981 AIR 1626, 1982 SCR (1) 20, 1981 SCC (3) 451, 1981 SCALE (3) 1075

K.K. Venugopal, Rameshwar Nath, Ravinder Nath, M.K. Ramamurthi, A.D. Sastri, Mrs. Urmia Sirur, Shardul S. Shroff, H.S. Parihar

Firestone Tyre and Rubber Company of India Private Limited

The Workmen Employed Represented by Firestone Tyre Employees’ Union

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Nature of Litigation

Dispute regarding the dismissal of workmen and their reinstatement.

Remedy Sought

Reinstatement of dismissed workmen and adjudication of disputes.

Filing Reason

Allegations of unfair dismissal and discrimination in reinstatement.

Previous Decisions

Tribunal directed reinstatement of 12 workmen, which was challenged.

Issues

Whether the Tribunal exceeded its jurisdiction in addressing discrimination. Whether the inquiry conducted by the management was proper.

Submissions/Arguments

The appellant contended that the Tribunal had no jurisdiction to address the question of discrimination. The respondents argued that the inquiry was improper and the Tribunal's findings were justified.

Ratio Decidendi

The Tribunal must confine its adjudication to the points specified in the reference and cannot address issues not included therein. When an inquiry is found to be improper, the Tribunal has the authority to allow evidence to be presented to determine the merits of the case.

Judgment Excerpts

The Tribunal travelled outside its jurisdiction in recording a finding of unfair labour practice and discrimination. The order directing reinstatement of the 12 workmen without a consideration of the merits of the case cannot be sustained.

Procedural History

The case originated from an award made by the Industrial Tribunal on December 9, 1976, which directed the reinstatement of 12 workmen. The appeal was filed against this award, leading to the Supreme Court's judgment.

Acts & Sections

  • Industrial Disputes Act, 1947: Section 10(2), Section 10(4), Section 33(2)(b), Section 33(3)(b)
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