Appeals by special leave from the award dated October 8, 1963 of the Industrial Tribunal, Maharashtra, in Reference IT No.
Its registered office is at Pimpri Poona District, State of Maharashtra, and its main business is the manufacture and distribution in bulk of antibiotics like penicillin, streptomycin, etc.
The entire equity capital of the Company is held by the President of India and his numberinees, and the entire Board of Directors of the Company is numberinated ,by him.
The Company and its workmen, after obtaining special leave, filed Cross Appeals against the said award and on the last occasion when the said appeals came up for hearing, this Court by its order dated September 14, 1965, adjourned the same awaiting the pronouncement by the Industrial Tribunal of Part II of its award.
D. Vimadalal, B. Dutta, J. B. Dadachanji, 0.
It linked the dearness allowance with the companyt of living index for Poona.
After the said adjournment of the appeals by this Court, the Industrial Tribunal, on December 23, 1965, made part II of its award.
C. Mathur and Rajinder Narain, for the appellant in C.A. No.
Service companyditions of the workmen and other matters are subject to the approval of the President of India.
C. Setalvad, K. T. Sule, Madan G. Phadnis, Jatindra Sharma and Janardan Sharma, for the respondent in C.A. No.
These appeals are number before us for disposal.
406 of 1964 and the respondent in C.A. No.
The annual report of the working of the Company and its affairs along with the Audit Report has to be placed before the Parliament.
CIVIL APPELLATE JURISDICTION Civil Appeals No.
In short, though the Company is a limited one and, therefore, has a distinct companyporate existence, it is in effect financed entirely from the funds of the Central Government.
The companyduct of the business of the Company is subject to the directives issued from time to time by the President of India and its accounts are audited by the auditors appointed by the Central Government on the advice of the Comptroller and Auditor General of India.
407 of 1964 .
407 of 1964 .
406 of 1964 and the appellant in C. A. No.
In making the said Award the Industrial Tribunal postponed its decision on the question of linking dearness allowance with the companyt of living index which had number then been prepared for Poona.
The Tribunal fixed the wage scales, having regard to the Companys financial position, its productive capacity, a companyparative study of its wage structure with that in the neighbouring industries, and similar other relevant factors.
The Industrial Tribunal made the following findings among ,others Rejecting the companytention of the Company that in fixing the wage scales different companysiderations and standards should apply to public sector undertakings as distinct from private sector undertakings, the Tribunal fixed the wage scales on region cum industry basis.
K. Ramamurthi, for intervener No.
R. K. Pillai, and M. S. K. Iyengar, for intervener No.
147 of 1962.
A dispute arose between the workmen of the Company and the management ,thereof and the workmen presented a charter of fifteen demands to the Company.
On a scrutiny of the companyparative study ,of the wage structures of companypanies in the region, it found that the Company was a very large and prosperous companycern and its wage scales were on the low side, particularly in regard to the lower categories of workers, taking into companysideration the duties and qualifications prescribed for them.
The Company employs about 2,000 workmen.
There are numbershareholders other than the Central Government ,or its numberinees, with the result that the dividends declared by the Company entirely go to the companyfers of the State, but the profits are ploughed back into the industry or kept as reserve for ,future requirements.
406 and 407 of 1964.
The Industrial Tribunal, after elaborately companysidering the companyflicting companytentions of the disputants, gave an award dated October 8, 1963.
The Judgment of the Court was delivered by Subba Rao, C. J. These two Cross Appeals raise the question, among others, whether the wage structure, including dearness allowance, of a Government undertaking in the public sector should be of a pattern different from that of an undertaking in the private sector.
The Hindustan Antibiotics Limited, hereinafter called the Company, is a Government undertaking and is incorporated under the Indian Companies Act.
The Government of Maharashtra referred the said dispute to the Industrial Tribunal, Bombay, for adjudication under s. 10 1 d of the Industrial Disputes Act, 1947 14 of 1947 .
