Case Note & Summary
The petitioner, Hindustan Unilever Ltd. Research Centre And FCU / Development Centre, challenged an award of the Industrial Court dated 30 November 2013. The award arose from a reference made by the Additional Commissioner of Labour, Mumbai, under the Industrial Disputes Act, 1947, to resolve a dispute between the petitioner and the respondent, Hindustan Lever Research Centre Employees Union. The Union filed a Statement of Claim seeking protection of service conditions including basic wages and allowances, and extension of benefits under prior awards (Mehendale Award, Rothe Award, Shivankar Award) and settlements to workmen transferred from erstwhile Tata Oil Mill Company Limited (Tomco) and Lakme factories to the Research Centre and Fine Chemical Unit at Andheri. The concerned workmen were daily rated and monthly paid employees. Their service conditions were governed by the Y.D. Joshi award dated 14 October 1980, a settlement dated 15 December 1986, and a settlement dated 14 June 1990 for Tomco workmen, and a settlement of 2 April 1997 for Lakme workmen. The Union claimed that 27 workmen from Tomco at Sewree were transferred to the Research Centre and FCU/Development Centre. The Industrial Court allowed the Union's claim and directed the petitioner to extend the benefits. The High Court, after hearing the parties, dismissed the petition, upholding the Industrial Court's award. The court held that the Industrial Court had correctly applied the principles of protection of service conditions on transfer and that the workmen were entitled to parity with existing workmen at the transferee establishment. The petition was dismissed with no order as to costs.
Headnote
A) Industrial Law - Transfer of Workmen - Protection of Service Conditions - Industrial Disputes Act, 1947 - The Industrial Court directed the petitioner to extend benefits of prior awards and settlements to workmen transferred from erstwhile Tomco and Lakme factories to the Research Centre and FCU/Development Centre, holding that the workmen were entitled to protection of their existing service conditions and parity with existing workmen at the transferee establishment. (Paras 1-4) B) Industrial Law - Reference - Scope of Industrial Adjudication - Industrial Disputes Act, 1947 - The Industrial Court, upon a reference by the Additional Commissioner of Labour, adjudicated the dispute regarding service conditions of transferred workmen and granted relief in the form of extension of benefits under prior awards and settlements, which was upheld by the High Court as within the scope of the reference. (Paras 2-4)
Issue of Consideration
Whether the Industrial Court was justified in directing the petitioner to extend the benefits of prior awards and settlements to workmen transferred from erstwhile Tomco and Lakme factories to the Research Centre and FCU/Development Centre, and whether such direction amounts to an adverse change in service conditions.
Final Decision
The High Court dismissed the writ petition, upholding the Industrial Court's award dated 30 November 2013. No order as to costs.
Law Points
- Protection of service conditions on transfer
- extension of benefits under prior awards and settlements
- parity of benefits between transferred and existing workmen
- jurisdiction of Industrial Court under Industrial Disputes Act
- 1947





