Bombay High Court Dismisses Employer's Petition Challenging Industrial Court Order on Minimum Wages. Establishment Classified as Engineering Industry Under Minimum Wages Act, 1948, Entitling Workers to Minimum Wages and Attendance-cum-Wage Cards.

High Court: Bombay High Court Bench: NAGPUR In Favour of Prosecution
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Case Note & Summary

The case involves a writ petition filed by M/s Asia Foundation & Construction Limited challenging an order of the Industrial Court, Nagpur, dated 12/13.12.2006 in ULP Complaint No. 1045/1991. The respondent No. 1, Engineering Kamgar Sanghatana, a trade union, filed the complaint under Item 9 of Schedule IV of the Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971 (MRTU & PULP Act), on behalf of employees of the petitioner's establishment. The union contended that the establishment was an Engineering Industry and thus the employees were entitled to minimum wages fixed for that industry under the Minimum Wages Act, 1948. The union also sought a direction for the employer to issue attendance-cum-wage cards. The Industrial Court allowed the complaint, declaring that the petitioners had indulged in unfair labour practice under Item 9 of Schedule IV, and directed the employer to pay minimum wages to the named employees as per the Minimum Wages Act and to issue attendance-cum-wage cards. The High Court admitted the writ petition on 16.01.1996 and on 13.02.1996, while considering interim relief, directed the workers to furnish an undertaking before the Industrial Court that in case the writ petition is allowed, they would repay the amount. The High Court, after hearing arguments, found no perversity or error of law in the Industrial Court's order and dismissed the writ petition, upholding the order.

Headnote

A) Industrial Law - Minimum Wages - Engineering Industry Classification - Minimum Wages Act, 1948 - The issue was whether the employer's establishment was an Engineering Industry entitling workers to minimum wages. The Industrial Court held that the establishment was an Engineering Industry and directed payment of minimum wages and issuance of attendance-cum-wage cards. The High Court upheld the order, finding no perversity or error of law. (Paras 1-3)

B) Industrial Law - Unfair Labour Practice - Item 9 Schedule IV - Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971 - The employer was found to have indulged in unfair labour practice by not paying minimum wages and not issuing attendance-cum-wage cards. The Industrial Court's declaration of unfair labour practice was upheld. (Paras 1-3)

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Issue of Consideration

Whether the establishment of the petitioners is an Engineering Industry and whether the employees are entitled to minimum wages under the Minimum Wages Act, 1948, and whether the employer indulged in unfair labour practice under Item 9 of Schedule IV of the MRTU & PULP Act, 1971.

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Final Decision

The High Court dismissed the writ petition, upholding the Industrial Court's order dated 12/13.12.2006. The Court found no perversity or error of law in the Industrial Court's decision.

Law Points

  • Minimum Wages Act
  • 1948
  • Schedule IV Item 9 of MRTU & PULP Act
  • 1971
  • Engineering Industry classification
  • Unfair labour practice
  • Attendance-cum-wage card
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Case Details

2006 LawText (BOM) (08) 144

Writ Petition No. 85/1996

2006-08-18

B. P. Dharmadhikari

Mr. S. S. Ghate for Petitioners, Mr. Charpe for Respondent No. 1, Mrs. Wasnik for Respondent No. 2

M/s Asia Foundation & Construction Limited

Engineering Kamgar Sanghatana, The Industrial Court of Maharashtra Bench at Nagpur

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Nature of Litigation

Writ petition challenging Industrial Court order in a complaint under Item 9 Schedule IV of MRTU & PULP Act regarding minimum wages and attendance-cum-wage cards.

Remedy Sought

Petitioners (employer) sought to quash the Industrial Court order directing payment of minimum wages and issuance of attendance-cum-wage cards.

Filing Reason

Employer challenged the Industrial Court's finding that their establishment was an Engineering Industry and that they had indulged in unfair labour practice.

Previous Decisions

Industrial Court allowed the complaint on 12/13.12.2006 in ULP Complaint No. 1045/1991.

Issues

Whether the establishment of the petitioners is an Engineering Industry under the Minimum Wages Act? Whether the Industrial Court's order directing payment of minimum wages and issuance of attendance-cum-wage cards is perverse or erroneous in law?

Submissions/Arguments

Petitioners argued that the Industrial Court's order was erroneous and that the establishment was not an Engineering Industry. Respondent No. 1 supported the Industrial Court's order.

Ratio Decidendi

The Industrial Court's finding that the establishment was an Engineering Industry and that the employer had indulged in unfair labour practice by not paying minimum wages and not issuing attendance-cum-wage cards was not perverse or erroneous in law. The High Court upheld the order.

Judgment Excerpts

By this writ petition, the employer has challenged the order dated 12/13.12.2006 delivered by Member, Industrial Court, Nagpur in ULP Complaint No. 1045/1991. The Industrial Court has, by its order mentioned above, allowed the said complaint. It declared that the petitioners have indulged in unfair labour practice under Item 9 Schedule IV and it directed the employer to pay the employees, named in its order, minimum wages as per the Minimum Wages Act and also to issue attendance-cum-wage card to those employees.

Procedural History

The respondent No. 1 trade union filed ULP Complaint No. 1045/1991 before the Industrial Court, Nagpur, under Item 9 Schedule IV of MRTU & PULP Act. The Industrial Court allowed the complaint on 12/13.12.2006. The employer filed Writ Petition No. 85/1996 before the Bombay High Court, Nagpur Bench, challenging the order. The High Court admitted the petition on 16.01.1996 and on 13.02.1996 directed workers to furnish an undertaking. The High Court dismissed the writ petition on 18th & 19th August, 2006.

Acts & Sections

  • Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971: Item 9, Schedule IV
  • Minimum Wages Act, 1948:
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