Case Note & Summary
The dispute arose between the appellant management, M/s Sasa Musa Sugar Works (P) Ltd., a sugar factory in District Saran, Bihar, and its workmen represented by forty-eight individuals including Shobrati Khan and others. The litigation originated from two applications filed by the management under Section 33 of the Industrial Disputes Act, 1947, seeking permission to dismiss the workmen for indulging in an unjustified go-slow. A cross-application was filed by the workmen under Section 33A alleging that the management had suspended them as a punitive measure in breach of Section 33. The background involved a history of industrial disputes between the management and the union, including previous dismissals and reinstatements. In January 1952, after the union served a notice with forty demands, the workmen resorted to go-slow from January 9 to 12 and again from January 24 to 31 despite conciliation efforts and advice from labour authorities. The management suspended thirty-three workmen on February 1, 1952, and later seven more on February 6 and eight more on February 7, giving notices that they were suspended until further orders for taking leading part in the unjustified go-slow which was in contravention of the Act. As adjudication proceedings were pending since September 1951, the management filed two applications under Section 33 on February 6 and February 11, 1952, seeking permission to dismiss all forty-eight workmen. The workmen filed an application under Section 33A on March 29, 1952, claiming that the suspensions were punitive and violated Section 33. The Industrial Tribunal, after considering evidence, held that no enquiry was held by the management before filing the applications but that the Tribunal was in full possession of facts and no prejudice was caused to the workmen. It further held that the order of suspension was not a measure of punishment but an order pending enquiry and proceedings under Section 33, and since there were no Standing Orders, the management's liability to pay wages during suspension remained. On the merits, the Tribunal found that there was a deliberate and unjustified go-slow during pending conciliation proceedings. However, it held that there was no evidence against sixteen of the forty-eight workmen and refused permission to dismiss them. For the remaining thirty-two workmen, instead of granting permission to dismiss, it granted leave to suspend them for seven days, citing contemplated Standing Orders and a Go-Slow Committee's opinion. The workmen's application under Section 33A was rejected. Both parties appealed to the Labour Appellate Tribunal. The workmen withdrew their appeal regarding Section 33A, resulting in the confirmation of the Industrial Tribunal's finding that suspension was not punishment. The Appellate Tribunal, however, held that the suspension was substantive punishment because the notices did not state it was pending enquiry, and the subsequent application for permission to dismiss was mala fide, and dismissed the management's appeal. The management then appealed to the Supreme Court by special leave. The Supreme Court held that the Industrial Tribunal had no power under Section 33 to substitute its own punishment; it could only grant or refuse permission to dismiss. The Appellate Tribunal erred in holding suspension as substantive punishment contrary to the confirmed finding. The finding of no evidence against sixteen workmen was perverse because the evidence against them was the same as against the others. Go-slow was serious misconduct, insidious in nature, and could not be countenanced. Consequently, the Supreme Court allowed the appeals, set aside the Appellate Tribunal's order, and granted the management permission to dismiss all forty-eight workmen.
Headnote
A) Labour Law - Industrial Disputes Act, 1947, Section 33 - Powers of Industrial Tribunal - The Tribunal has no power to substitute its own punishment; it can only grant or refuse permission to dismiss - Held that the Tribunal erred in granting only seven days' suspension instead of dismissal permission (Paras not mentioned). B) Labour Law - Industrial Disputes Act, 1947, Sections 33 and 33A - Nature of Suspension - Suspension pending enquiry and proceedings under Section 33 is not punitive if no Standing Orders; liability to pay wages remains - Held that Appellate Tribunal erred in treating suspension as substantive punishment (Paras not mentioned). C) Evidence - Perverse Finding - Industrial Disputes Act, 1947, Section 33 - Tribunal's finding of no evidence against sixteen workmen was perverse when the same evidence existed against the others - Held that permission to dismiss must be granted for all forty-eight workmen (Paras not mentioned). D) Labour Law - Misconduct - Go-Slow - Go-slow is serious misconduct, insidious in nature, and cannot be countenanced, especially during pending conciliation proceedings - Held that workmen's deliberate go-slow justified dismissal (Paras not mentioned). E) Appellate Review - Effect of Withdrawal - Withdrawal of workmen's appeal under Section 33A confirmed the Industrial Tribunal's finding that suspension was not punishment; the Appellate Tribunal could not reopen that issue - Held that the management's application was not mala fide (Paras not mentioned).
Issue of Consideration
Whether the Industrial Tribunal, while deciding an application under Section 33 of the Industrial Disputes Act, 1947 for permission to dismiss workmen, could substitute its own punishment; whether suspension pending enquiry was punishment; whether finding of no evidence against sixteen workmen was perverse.
Final Decision
The Supreme Court allowed the appeals by the management, set aside the order of the Labour Appellate Tribunal, and granted permission to the management to dismiss all forty-eight workmen under Section 33 of the Industrial Disputes Act, 1947. The Court held that the Industrial Tribunal's finding of no evidence against sixteen workmen was perverse and that the suspension was not a punishment. The workmen's application under Section 33A stood dismissed.
Law Points
- Legal points not extracted
- Industrial Tribunal under Section 33 can only grant or refuse permission to dismiss
- cannot substitute lesser punishment
- Suspension pending enquiry and proceedings under Section 33 is not punishment unless Standing Orders provide otherwise
- Finding of no evidence against some workmen when same evidence applies to others is perverse
- Go-slow is serious misconduct insidious in nature
- Withdrawal of appeal under Section 33A confirms findings of Industrial Tribunal



