Case Note & Summary
The case involves a challenge by the BEST Undertaking against an order of the Industrial Court, Mumbai, dated 20 March 2021, in Complaint (ULP) No. 495 of 2015. The Industrial Court directed BEST to grant additional increments to certain employees (Drivers, Conductors, Mechanics) who were graduates and were promoted to the post of Clerk. The dispute centered on the interpretation of BCR No.19 dated 23 April 1987, which provided additional increments to graduate clerks. BEST argued that the benefit was only for direct recruits or those who acquired graduation after promotion, not for those who were already graduates at the time of promotion from lower categories. The Industrial Court rejected this contention, holding that the benefit applied to all graduate clerks irrespective of their source of recruitment. The High Court, in its judgment dated 22 December 2023, upheld the Industrial Court's order, finding no error of law or perversity. The court noted that the settlement agreements and past practice supported the employees' claim. The petition was dismissed, and the Industrial Court's order was confirmed.
Headnote
A) Industrial Law - Settlement Agreement - Additional Increments on Promotion - Clause 17 of Agreement dated 21 May 1965 - The court considered whether graduate employees promoted from lower categories to clerical posts are entitled to additional increments under BCR No.19. The Industrial Court held that the benefit of additional increments is available to such employees, and the High Court upheld this view, finding no perversity in the Industrial Court's reasoning. (Paras 1-10) B) Industrial Law - Notice of Change - BCR No.19 - The court examined the effect of BCR No.19 dated 23 April 1987, which granted additional increments to graduate clerks. The court held that the benefit extends to employees who were graduates at the time of promotion, even if they were originally from lower categories. (Paras 11-15) C) Industrial Law - Industrial Disputes Act, 1947 - Section 2(ra) - Unfair Labour Practice - The court considered whether denial of additional increments to graduate promotees constitutes an unfair labour practice. The Industrial Court found that the BEST Undertaking's differential treatment was unjustified, and the High Court agreed, dismissing the petition. (Paras 16-23)
Issue of Consideration
Whether Drivers and Conductors holding graduation qualification are entitled to benefit of additional increments on their promotion to the post of Clerk under BCR No.19 dated 23 April 1987.
Final Decision
The High Court dismissed the writ petition and upheld the Industrial Court's order dated 20 March 2021, directing BEST Undertaking to grant additional increments to the respondents as per BCR No.19.
Law Points
- Interpretation of settlement agreements
- entitlement to additional increments on promotion
- applicability of BCR No.19 to graduate employees promoted from lower categories




