Bombay High Court Dismisses Petition Challenging Reference Under Section 10(1) of Industrial Disputes Act at Instance of Unrecognized Union. Contract Labour Workmen Can Raise Industrial Dispute Through Any Union, Recognized or Not, Under Section 10(1) of Industrial Disputes Act, 1947.

High Court: Bombay High Court Bench: BOMBAY
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Case Note & Summary

The petitioner, Bharat Forge Limited, a company engaged in manufacturing forgings, challenged the validity of a reference made by the Additional Commissioner of Labour under Section 10(1) of the Industrial Disputes Act, 1947 (I.D. Act) at the instance of Respondent No.1, Maharashtra General Kamgar Mahasangh, an unrecognized trade union representing contract labour workmen engaged in the petitioner's undertaking through contractors under the Contract Labour (Regulation and Abolition) Act, 1970. The petitioner contended that only a recognized union could raise an industrial dispute and that the reference was invalid. The Court examined the definition of 'industrial dispute' under Section 2(k) of the I.D. Act, which includes any dispute between employers and workmen connected with employment or non-employment, and noted that the Act does not require a union to be recognized for raising a dispute. The Court held that the appropriate Government has the power to make a reference under Section 10(1) if it is satisfied that an industrial dispute exists or is apprehended, and there is no bar against an unrecognized union initiating such a process. The Court dismissed the petition, upholding the reference.

Headnote

A) Industrial Law - Reference under Section 10(1) - Unrecognized Union - The principal question was whether a reference can be made by the appropriate Government at the instance of an unrecognized Union under Section 10(1) of the Industrial Disputes Act, 1947. The Court held that there is no bar in the I.D. Act preventing an unrecognized union from raising an industrial dispute or from the Government making a reference at its instance. The Court relied on the definition of 'industrial dispute' under Section 2(k) and the scheme of Section 10(1) which does not require the union to be recognized. (Paras 2, 5-10)

B) Industrial Law - Contract Labour - Raising Dispute - The dispute pertained to contract labour workmen represented by an unrecognized union seeking regularization. The Court held that contract labour workmen can raise an industrial dispute through any union, recognized or not, as long as the dispute is an 'industrial dispute' within Section 2(k) of the I.D. Act. (Paras 3-4, 11-12)

C) Industrial Law - Recognition of Trade Unions - MRTU & PULP Act - The Court noted that the Maharashtra Recognition of Trade Unions & Prevention of Unfair Labour Practices Act, 1971 provides for recognition of unions but does not affect the right of an unrecognized union to raise an industrial dispute under the I.D. Act. (Paras 3, 13)

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Issue of Consideration

Whether a reference can be made by the appropriate Government at the instance of an unrecognized Union under Section 10(1) of the Industrial Disputes Act, 1947.

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Final Decision

The petition was dismissed. The Court upheld the reference made under Section 10(1) of the Industrial Disputes Act, 1947 at the instance of the unrecognized union.

Law Points

  • Industrial Disputes Act
  • 1947
  • Section 10(1)
  • Reference at instance of unrecognized union
  • Contract Labour (Regulation and Abolition) Act
  • 1970
  • Maharashtra Recognition of Trade Unions & Prevention of Unfair Labour Practices Act
  • 1971
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Case Details

2010 LawText (BOM) (06) 98

Writ Petition No. 1610 of 2009

2010-06-14

Smt. Ranjana Desai, A. A. Sayed

2010:BHC-AS:10952-DB

Mr. P. J. Rele for the Petitioner, Mr. N. M. Ganguli for the Respondents

Bharat Forge Limited

Maharashtra General Kamgar Mahasangh, R.R. Hendre, D.P. Pagar

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Nature of Litigation

Writ petition challenging the validity of a reference made under Section 10(1) of the Industrial Disputes Act, 1947 at the instance of an unrecognized union.

Remedy Sought

Petitioner sought to quash the failure report and the order of reference made by the labour authorities.

Filing Reason

Petitioner contended that the reference was invalid because it was made at the instance of an unrecognized union, which it argued had no locus standi to raise an industrial dispute.

Previous Decisions

The Assistant Commissioner of Labour issued a failure report dated 7th October, 2008, and the Additional Commissioner of Labour passed an order of reference dated 25th November, 2008.

Issues

Whether a reference can be made by the appropriate Government at the instance of an unrecognized Union under Section 10(1) of the Industrial Disputes Act, 1947.

Submissions/Arguments

Petitioner argued that only a recognized union can raise an industrial dispute and that the reference at the instance of an unrecognized union is invalid. Respondents argued that there is no bar in the I.D. Act preventing an unrecognized union from raising an industrial dispute or the Government from making a reference at its instance.

Ratio Decidendi

The Industrial Disputes Act, 1947 does not require a union to be recognized for raising an industrial dispute. The definition of 'industrial dispute' under Section 2(k) and the power of the Government under Section 10(1) do not impose any such condition. Therefore, a reference can be made at the instance of an unrecognized union.

Judgment Excerpts

The principal question which falls for consideration in this petition is whether a reference can be made by the appropriate Government at the instance of an unrecognized Union under Section 10(1) of the Industrial Disputes Act, 1947. There is no bar in the I.D. Act preventing an unrecognized union from raising an industrial dispute or from the Government making a reference at its instance.

Procedural History

The Assistant Commissioner of Labour issued a failure report dated 7th October, 2008. The Additional Commissioner of Labour passed an order of reference dated 25th November, 2008. The petitioner filed the present writ petition challenging these orders.

Acts & Sections

  • Industrial Disputes Act, 1947: Section 10(1), Section 2(k)
  • Contract Labour (Regulation and Abolition) Act, 1970:
  • Maharashtra Recognition of Trade Unions & Prevention of Unfair Labour Practices Act, 1971:
  • Companies Act, 1956:
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