Recommendations Of Adjudicators

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GOVERNMENT OF MADRAS

RECOMMENDATIONS OF ADJUDICATORS

INDUSTRIAL TRIBUNALS AND

COURTS OF ENQUIRY

IN RESPECT OF LABOUR DISPUTES
DURING THE FIRST HALF OF

1948

i UNIVERSITY LIBRARY

:.. OSMANIA UNIVERSITY

PG8333

PRINTED BY THE SUPBRINTRNDKNT

GOVERNMENT PRESS

MADRAS

1919

Pi ice Ra. 4-8-0

TABLE OK CONTENTS.

PAGE

1 Dispute between the workers and management of

Mahalakshmi Textile Mills, Pasumalai 1-4

2 Do. do. 4-7

3 Do. do. 7-13

4 Dispute between Sri K. Venkatarama Ayyar, typist, and

the management of Sri Minakshi Sundarcswaral

Electric Power Corporation, Karaikudi . . . . 13-14

5 Dispute Jbet ween the workers and the management of the

Western" India Match Factory, Tiruvottiyur, Madras . .

6 Dispute between the workers and the-. management of

Sri Ram ichandra Spinning and Weaving Mills,
Paudalapaka . . . . . . . . . . . . 32-43

7 Dispute between the workers and the management of

Sri Rama Sugar Mills, BobbiJi 43-46

8 Dispute between the workers and the management of

K. P. Neelambi and Sons and all other Handloom

Factories in Calicut . . . / /.. . . . . 46-75

9 Depute between the workers and the m inagoment of the

Coimbatore Cement Works, Madukkarai . . . . 75-80

10 Dispute between the workers and the management of the

Abraham Bus Transport, Limited, Poonamallce . . 80-82

1 1 Dispute between the workers and the management of

Snuff Companies, Madras . . 83-85

12 Dispute between the workers and the management of

Tanneries in Sembiam and Madhavaram -Interim

Award . . . . . . . . . . . . . . 86-88

13 Dispute between the workers and the management of the

Gnanambika Mills, Coimbatore . . . . . . . . 89-99

1 1 Dispute between Adaikalam Pillai, the contractor of
Madura Mills Co., Ltd., Ambasamurlram, and his
workers . . . . . . . . . . 99-105

15 Disputes between the workers and managements of the

Tanneries at Kanipet Interim Award . . , . . . 106-107

16 Dispute between the workers and management of

Tanneries at Pernambut (North Aroot district)

Interim Award .. .. .. .. .. . . 108-110

17 Dispute between the workers and management of Tan- .

neries at Am bur, North Arcot district Interim Award. 110-1 12

18 Dispute between the workers and management of tho

Godland & Co , (Printers), Madras Interim Award . . 112-1 16

19 Disputes between the workers and managements of

Tanneries in Sembiam area Interim Award .. 116-118

20 Disputes between the workers and managements of

the Tanneries in Sembiam and Madhavaram areas,
Chingleput district Interim Award 119-122

21 Dispute between the workers and management of the

Burmah-Shell Oil Storage and Distributing Co.fof India. 122-1 24

22 Disputes between the workers and management of the

Cigar Factories in Madras City 125-135

23 Dispute between the workers and management of

Nizar Ahmed & Co., Tannery, Madhavaram, Chinglc-

put district -Interim Award 135-137

ji CONTENTS

PAGES

24 Dispute between the workers and management of the

Indian Steel Rolling Mills, Limited, Negapatam . . 137-140

25^ Disputes between the workers and management of
Aluminium Factories in th * districts of Vizagapatarn,
East Godavari, West Godavari, Krishna and Guntur . . 140-157

26 Dispute between the workers and management of

St. Antony's Engineering Industries, Golden Rock

Interim Award . . . . . . . . . . . . 157-159

27 Disputes between the workers and management of

Tile Factories of Commonwealth Trust Co., Ltd., at

Jeppo and Kudroli, Mangalore . . . . . . . . 160-166

28 Disputes between the workers and management of

Cashew Processing Factories in Mangalore . . . . 166-180

29 Disputes between the workers and management of

Hotels at Kanchipuram ' 181-190

30 Dispute between the workers and management of the

Thirumagal Mills, Gudiyattam 190-193

31 Dispute between the workers and management of the

Themmalapurara Bus Transport, Limited, Palghat . . 193-205

32 Dispute between the workers and management of South

Indian Leather Co., Ltd., Madras Interim Award . . 200-209

33 Dispute between the workers and management of

Nataraja Engineering Works, Madras Interim Award. 210-211

34 Do. do. 212-214

35 Dispute between the workers and management of

Messrs. Kutty & Rao, Engineers, Madras Interim
Award 214-216

36 Disputes between the workers and managements of Hotels

in Madura 217-232

37 Disputes between the workers and management of Tan-

neries in Dindigul Interim Award P. . . . . . 233-236

38 Dispute between Sri Kanniappa Mudaliyar, compositors

and the management of Salem Laxmi Vilas Press,

Madras Interim Award . . . . . . . . . . 237-239

39 Dispute between the workers and management of Messrs.

Kutty & Rao, Engineers, Limited, Madras Interim

Award 240-244

40 Dispute between T. Subramaniam, moulder, and manage-

ment of Lakshmi Engineering j Works, Madras Interim

Award 244-246

41 Dispute between the workers and management of the

Madura Knitting Co., Madura Interim Award . . 246-249

42 Dispute botween the workers and managements of Beedi

Factories in Timnelveli district 249-261

43 Dispute between, the workers and management of the

East India Distilleries and Sugar Factories . . . . 261-277

44 Dispute between the workers and management of the

American Areot Mission Industrial Tnstitnta, Katpadi. 278-290

LIST OF ORDERS OF GOVERNMENT ON THE

RECOMMENDATIONS OF LNDUSTRIAL

TRIBUNALS OR ADJUDICATORS.

I

BEFOBE THE INDUSTRIAL THIBUNAL OF MADUKA AT

TINNEVELLY.

SHE lUo BAHADUR T. A. SUBBIAH LMLLAL, B.A., U.L.
[Under the Industrial Disputes Act, 1947. J

IN THE MATTJilt OF AN INDUSTRIAL UlSPU'l'U.

Between
TJlbi MAHALAKSHM1 TEXTILE MILLS, LIMITED

and
THE WORKERS.

Subject. L. Whether the " Hartal *' on lltfo September 1947
/v w>/ (/ " s/r/A'c ".-Held thai the cessation of work on 1 1th Sep-
tember 1947 is a strike, that as Jt was- not preceded by the 14 days'
noiiee as enjoined by the Statute, it is illegal.

2. Whether the lockout declared by the ntauuyetnent on 12/h
September 1917 /* le<jai and justifiable. Held that a lockout;
declared in consequence of an illegal stnke shall not be deemed tc
be illegal.

6.0. Ms. No. 88 9 Development, dated 7th January 1948.

[Labour -Disputes -Dispute bet \veeii the \\orkers and the
management o!' the MjihaluUslum Textile Mills, limited, Pasu-
nuilai Recommendations of the Industrial Tribunal Orders-
p.issed.J

RKAD the following papers:

(i)

.<>. Ms. Xo. 1584, Development, dated 24th September 1947.

(2)
From the Indus trnil 'J'ribunal, Madura, dated \)th December 1947.

HRFORE TRF, INDUSTRIAL TBTBUNAL OF MADUBA AT
T1NNEVELLY.

PRESENT :
SBI BAO BAHADUR, 1\ A. SUBBTAH PILLAI, n.A B.L.,

Industrial Tribunal

INDUSTRIAL DISPUTE No. 3 OF 1947.

The workers of Mahaltikslnni Textile Mills, Luiiited, PaKumalai,

versus
The Management of Mahnlakshmi Textile Mill*

3 GOVT. ORDBUS ON THK UUCOMMENDATIONS OL'

AWAKD.

*U.NUER SECTION 10 OF THE INDUSTRIAL DISPUTES ACT, 1947.

1. On the 11 th of September 1947, the workers of Mahalakshmi
Textile nulls observed a hartal and siruck work on that day, on
the score, thut the manage men t oi the mills did not implement
the interim award passed by Mr. Venkataramayya as Industrial
Tribunal. It is common ground tJmt 14 days' notice had not been
given before the strike on the llth September. On the 12th
September, tho management declared a lockout on tho score
that the strike was illegal for want oi the statutory notice and
wired to the (Government that they had no objection to the dispute
being referred to this Tribunal. Under G.O. Ms. No. 4584,
I Development, dated '24th September 1047, the Government have
directed tins tribunal to adjudicate on the dispute that has arisen
(on seqnei it on the strike b\ the workers on 11th September mid
(he lockout by the management From l'2th September.

2. On 25th September, another Government Order was issued
by the Government prohibiting the continuance of lockout and
strike under section JO (!V) of Hie Ac! as the dispute, had been refer-
red for adjudication.

3. It is contended by the workers that the one day hartal on
llth September would not amount to a " strike " as defined in the
Act and that, therefore, 14 days' notice was not necessary. It
is, further, contended that the lockout is illegal. The manage-
ment, on ih other h;'ul, miiipiamcd that the strike -\\MS 'lle^al
and that, therefore, the lockout was justifiable.

1. Tho issues are

(ij Whether the " hartal " on the llth September 1947
would not amount to a " strike " and cannot be deemed illegal.

(ii) Whether the lockout declared on J2th September is legal
;uid justifiable.

5. First inane. " Ilurlal " is a Hindustani term. The advocate
for the mills placed before me a dictionary containing English
equivalents for Hindustani terms. There, I found the English
equivalent for " hartal " to be " strike ". But the advocate for
the workers maintained that " hartal " is not " strike " within
the meaning of the definition found in the Act. He referred me
to Appendix XV of fhr printed award )f Mr. VeiikataramaAx,?
regarding textile nnlls. It ia found in the pnyes 09 to 101 of printed
award. It is a statement showing the strikes that took place in
Coimbatore district in the year 1946. It is found in page 100 that 5
mills in Coimbatore struck work on the 8th May 1946 and that the
reason for the strike was to observe " hartal " in memory of late
Mr. Desai. I am not able to understand how those entries sup-
port the workers' interpretation. On the other hand, it appears

TBIbUNALH OH ADJUDlCATOli^ 3

to be against their interpretation. We are not now concerned with
the reasons or the motive which actuated the workers to stay away
from the mills and stop work on the llth September. Whether
the management had implemented the interim award or not is
also beside the point, li' the award had not been implemented
as contended by the workers, they might be entitled to resort to
a strike. But, if they do want to go on strike, it must be pre-
ceded by 14 days' notice to the management. It is admitted
that 34 days' notice had not been given as required under section
22 of (he Act.

0. I am not pn pared to accept thu //M/ di>nl of the workers
that '* hartal " is not " strike ". %t Strike " is defined in the
Act as cessation of work by a body of persons employed in any
industry acting in combination, or a concerted refusal, or a refusal
under a common understanding of any number of persons who
are or have been so employed to continue to work or to accept em-
ployment. That the workers should attend the mills on working
days and work during the stipulated hours is an implied term of
the contract between the management imd the workers. In this
connection, my attention was drawn to proviso to section 9 of the
Payment and Wages Act. That the workers did not propose to
suspend work for more than a day or that their contention that the
interim award was not implemented might be found to be sustain-
able, are not relevant for determining whether the requirements of
the statute regarding strikes have boon complied with or not.

7. Tlio vm (loxermncnl order directing adjudication recite--,
tliat there was a strike by the workers on the llth September and
that ci lockout was declared on the subsequent day by the manage-
ment. It is idle to contend that a " hartal " is riot a " strike ".

8. I hold that the failure of the workers to attend the mills
and do their allotted work during the working hours of llth Sep-
tember is a " strike " M defined in (he Act and tlmt, as it had not
been preceded b\ the 11- days* notice to the management as
enjoined bv the statute, it was illegal. The first issue is found
accordingly and against the workers.

0. ff/wHrf issue. Under section '21 of the Act (clause fl), a lock-
out declared in consequence of an illegal strike, shall not be deemed
to be illegal. In view of my finding on the first issue, I find the
second issue in 1 favour of th* management of the mills and T hold
that the lockout is legal.

Order Ms. 'No. 83, Development t dated 1th January 1948.

Whereas the award of the Industrial Tribunal, Madura, in
respect of the industrial dispute, between the workers and the
management of the Mahalakshmi Textile Mills, Limited,
malai, has been received.

4 GOVT. O&DftRS ON TllE RECOMMENDATION 8 Ob'

Now, therefore, in exercise of the powers conferred by section
15 (*2), read with section 19 (3) of the Industrial Disputes Act,
UJ47 (Central Act XIV of 1947), His Excellency the Governor of
Madras hereby declares that the said award shall be binding on tbt
management of the Mahalakshmi Textile Mills, Limited, Pusu-
maltu, and the workers employed therein and directs that the slid
award shall come into operation en the 7th Januan 104H and shall
remain in operation for a period of one ye-ir.

(By order of His Excellency the Governor)

K. G. MKNON,
Joint Secretary to Government.

11

BEFORE THK INDUSTRIAL T1UBUNAL OF MADUKA AT
TINNEVELLY.

SRI HAO BAUAUUH T. A. SUBBIAH. 1MLLA1, B.\., B.L.
[Under the Industrial Disputes Act, 1947.]

IN THE MATTER OF AN INDUSTRIAL DISPUTE.

Between
THE MAHALAKSHM1 TEXTILE MILLS, L1M1TKD

and
THE WORKERS.

Subject. Bonus Whether tht workers should bv paid bonus
inr the year MUG and, // NO. at irhal rate. Held that under ihe
Award of Mr. Yenkatjinnnax \a, pending dis])iites regarding bonus
for 1040 should he, disposed of on the principles on which homis
WMS declared in tin previous \oars.

Held that the Mills has not followed any consistent principle
in the declaration of bonus.

Held that one-fifth of the profits already declared as bonus for
Deepavali is adequate and that workers cannot claim any amount as
bonus besides thp "Deepavali Bonus already paid to them.

6.0. Ms. No. 84, Development, dated 7th January 1948.

[Labour Dispute* Dispute between the workers and the
management of the Mahal akshmi Textile Mills, Limited*
Recommendations of the Industrial Tribunal Orders passed.]

following papers :

W
O.O. Ms. No. 1230, Development , dated 1st September 1947.

INDUSTRIAL TRIBUNALS Oil ADJUDICATORS 5

(2)
From the Industrial Tribunal, Madura, dated 9fc/i December 1947.

BBFOKB THE INDUSTKIAL TRIBUNAL OF MADURA
AT T1NNBVBLLY.

PRESENT :

SRI RAO JUHAinm T. A. SUBBIAH PILLA1, B.A., B.L.,
Industrial Tribunal.

INDUSTRIAL DISPUTE No. t2 OF 1947.

The workers of Mahalakshmi Textile Mills, Limited, Pasumalai,
Madura

versa*

The Management of Mahalukshmi Textile Mills.

AWARD.
TlNDKit SUCTION 16 OF THE INDUSTRIAL DISPUTES \cr. 1047.

1. This dispute relates to a claim made by the workers of the
mills for 3 months' wa^es as bonus for the year 1946.

2. The management of the mills have already paid one month's
wages as bonus (they call it Deepavali bonus). They refused to
pay 3 months' wages as bonus. As the parties could not come to
an amicable settlement, the dispute has been referred to me for
adjudication (vide G.O. MR. No. 4289, Development, dated 1st
September 1947).

3. The case of the management is this. The profits in the year
1946 were as low as Rs. 85,716; if 30 per cent dividend should be
declared, the workers could claim 3 months' wages as bonus; if 10
per cent should be the dividend, the workers could claim only n
month's wages; since only 5 per cent has been declared as dividend
in 1946, the workers could claim only J a month's wages as bonus;
but, as already one month's wages has been paid as bonus on the
Deepavali occasion, the demand of the workers for 3 months' wages
is not justifiable and the demand is, therefore, unsustainable.

4. The issue is : whether the workers are entitled to " pros-
perity " bonus for the year 1946 and, if so, at what rate.

5. What is paid on the Deepavali occasion, i.e., to say a
month's salary is styled " Deepavali bonus " and what is paid as
yearly bonus is styled " prosperity " bonus for the obvious reason
that bonus must depend upon the prosperous working of the mills,
i.e., to say, the profits earned in the year. Tt is stated, on behalf
of the management, that, when the yearly bonus is distributed to
the workers, the bonus paid during Deepavali occasion is also taken
into account.

6. A tabular statement is appended to the statement filed by
the management in answer to the claim of the workers. The table

6 GOVT. OttDBBS ON THE RECOMMENDATIONS OF

gives the particulars of net profit, dividend, prosperity bonus and
Deepavali bonus with regard to years 1941 to 1946. In the
years 194'J and 1943, the profits mounted to 9 lakhs and odd and tf
lakhs and odd. From 1944, the profits showed a decline Bs. ty
lakhs hi 1944, Rs. 1,70,000 m 1945 and iis. 85,700 in 1946. The
dividends also began to dwindle from 1942 20 per cent in 1942,
12 per cent in 194; J, 7J per cent in 1944 and 1945 and 5 per cent in
1946.

7. In paragraph 92 of the award of the Industrial Tribunal by
Mr. Vonkataramoyya, he stated that in respect of the year 1946 in
all these cases vvheio bonus has been the subject-matter of Ji pend-
ing dispute or where it has not yet been declared on the results of
the \ear 1916, each case will have to he disposed of on the principle^
on which bonus was paid in the previous years by that particular
concern. If we now turn to the tabular statement filed by the
management, it will be seen that no principle appears to have been
followed either in the manner of determining the rate of dividend
or in the matter of determining the rate of bonus in the years 1943,
1944, 1945 and 1946. It will be further seen that the amount of
bonus -paid in the years 1913, 1944, 1945 and 1946 does not bear
the same ratio to the profits earned in these years. Only l/10th
of the profits of the year 194 1 was paid as bonus in that year ;
roughly say l/6tb of the profits of 1915 was paid as bonus in that
yenr, but l/5th of thr profits earned in 1016 has already been paid
as Deepavali bonus for that year, i.e.. the year in question. The
profits of 1946 amount to only 1/3rd of the profits of the year 1944.
These figures indicate that in the year in question the manage-
ment have been rather very liberal in the matter of granting
bonus.

8. The audited balance sheet for the year ending 31st December
1946 was placed before me. Tt was pointed out on behalf of the
workers that there was a sum of KB. 4,79,215-6-4 mentioned in
the first page as amount to be earned forward to the year 1947
(including provision for the taxation for 1944, 1945 and 1946). The
management filed an abstract of the accounts; it is marked as
Exhibit A. The advocate for the workers, after verification with
reference to the originals, has certified that the particulars therein
are correct. From the particulars found in Exhibit A, it will bj?
seen that there is only n> sum of Bs. 38,000 which remains to be
accounted for by the management. The legal assistant of the
mills, who was oxarnined as a witness, stated " that that sum of
Rs, 38,000 was not actually in the hands of mills and that it was
only^a fluid sum rotating in the business and it may be in the
shape of goods or replaced machinery." It has, thus, been placed
bevond doubt that there is a really no surplus cash in the hands
of the management. From the balance sheets of 1945 and 1946, it
will o/ppear that the mill is indebted to the extent of 20 and odd
felths of jupees and that, no amount has been Bet apart as reserve
fund.

INDUSTRIAL TRIBUNALS OK ADJUDICATORS 7

9. 1 doubted very niudi whether the mill was in a position to
pay even 5 per cent dividend to the shareholders. The advocate
tor the nulls stated, 111 answer to niy query, that just to riatisiy
the shareholders, and please them 5 per cent dividend has been
declared by the directors, ile also added that, though the manage-
ment could not aitord to pay its. 17,500 as bonus tor the workers
AH 1946, they thought it prudent or expedient to dole out bonus to
that extent to the vvorkeis to keep them in good humour and main-
tain their morale if possible.

10. The nulls in Madura had been generally paying a month's
wages as bonus when 10 per cent was declared as dividend. In
this mill, lor the year in question, only 5 per cent has been declared
as dividend. It will not be reasonable for the workers in the pre-
sent condition of affairs in this mill to claim more than half a
month's wages as bonus; and already a month's wages had been
given as Deepavali bonus, hi view of the circumstances above
pointed out, 1 hold that Tor the year 1946 the workers cannot claim
any amount as bonus besides the Deepavali bonus already paid to
them.

Order Ms. Ao. 84, Development, dated 1th January 1948.

Whereas the award of the Industrial Tribunal, Madura, in res-
pect oi' the industrial dispute between the workers and the manage-
nient of the Mahalakshmi Textile Mills, Pasumalai, Madura, has
been received.

Now, therefore, in exercise, of fclie powers conferred by section
36 (2) read with section 19 (3) of the Industrial Disputes Act, 1947
(Central Act XIV of 1947), His Excellency the Governor of Madras
hereby declares that the said award shall be binding on the manage-
ment of the Mahalakshmi Textile Mills, Ltd., Pasumalai, and the
workers employed therein and directs that the said award shall
come into operation on the 7th January 1948 and shall remain in
operation for n period of one year.

(By order of His Excellency the Governor)

K. G-. MENON,
Joint Secretary to Government.

HI
BF/FOBE THE INDUSTRIAL TRIBUNAL OF MADURA AT

TINNEVELLY.

SRI RAO BAHADUR T. A. SUBBIAH PILLAI, B.A., B.L.
[Under the Industrial Disputes Act, 1947.]
IN THE MATTER OF AN INDUSTRIAL DISPUTE. *
Between
TH$ MAHALAKSHMI TEXTILE MILLS, LTD.

and

XHB WORKERS.
2

6 GOVT. OBDBFtR ON THE RECOMMENDATIONS Ol'

Subject 1. Whether the management have jurisdiction to take
disciplinary action against a worker for a misconduct committed
outside the Mills and when a criminal case is pending. Held that
the Standing Orders of the Mills defining misconduct had
included " any other serious act of misconduct " as one of the items
of misconduct and hence Mills have power to take disciplinary action.

Held further, that the pendency of criminal case does not bar
taking disciplinary action and it is not open to any person who
caused the injury to ask the injured person to confine himself to
one remedy.

2. Whether Hie matter covered by the above issue is an, ' Indus-
trial Dispute '. Held that as the result of any disciplinary action
taken by the management might have affected the employment of
workers in question, it came within the definition of an ' Indus-
trial Dispute ' and the Tribunal can decide the issue.

0.0. Ms. No. 85, Development, dated 7th January 1948.

[Labour Disputes Dispute between the workers and the manage-
ment of the Mahalakshmi Textile Mills, Pasumalai Becom-
mendations of the Industrial Tribunal Orders passed.]

HEAD the following papers :

(i)

OKO. My. No. 187J, Development, daled 16th October 1947.

From the Industrial Tribunal, Madura, dated loWi December 1947.

BEFOWE THE INDUSTRIAL TRIBUNAL OF MADUBA AT
TINNEVELLY.

PRESENT :

SRI iuo BAHADUR T. A. SUBBJAH PTLLA1, B.A., B.L.,
Industrial Tribunal.

. DISPUTE No. 4 OF 1947.

The Workers of Mahalakshmi Textile Mills, Ltd., Pasumalai,
\fadura,

The Management of Mahalakshmi Textile Mills.

AWABD.

UNDER SECTION 16 OF THE INDUSTRIAL DISPUTES ACT, 1847.
1. On the llth September 1947, the workers of the Mahalak-
thmi Textile Mills observed a ; hartal and struck work without
giving fourteen days 1 notice to the management. The management

INDUSTRIAL TRIBUNALS OR ADJUDICATORS 9

declared a lock-out on the next day, i.e., 12th September. On the
^2nd September, it is stated by the management that there waft an
assault made by some of the Labour Union members and mill
workers on the General Manager and staff and disturbance caused
by them in the mill premises. The General Manager of the mills
complained to the police about the assault and the disturbance.
Not stopping with this, the management began to take disciplinary
fiction against the alleged offender**. Meanwhile, at the instance
of the Government, the Collector of the district advised the
management to postpone taking the disciplinary action till the dis-
posal of the criminal proceedings. But the management asserted
that they had every right to take disciplinary action without
reference to the criminal -proceedings and without waiting for its
final disposal. The- Labour Union, on the other hand, insisted that
the disciplinary action should be postponed. Thereupon, the
Government referred the dispute to this tribunal for adjudication
under G.O. MR. No. 1874, Development, dated 15th October 1947.

2. It is represented before this tribunal that the management
had given a statement before the police, that they did not vvant to
proceed with the complaint and that they also, after enquiry,
excused and pardoned the offenders. It is maintained by the
management that, in such circumstances, there is no outstanding
dispute between the workers and the management and that the
nuention whether the management have the right to take discipli-
nary action against mill workers for alleged unlawful acts
committed outside the mill while criminal proceedings were pending
against them, in a purely academic question and the tribunal need
not decide that point. It is also urged that it would not amount
to an ' industrial dispute ' as defined in the Act.

3. On the side of the workers, it is contended that the con-
troversy between the parties cornea within the definition of
" industrial dispute " and that the tribunal is bound to give a
decision.

4. The issues are

(i) whether the management have or have no jurisdiction to
hold an enquiry into the alleged misconduct of any workers towards
the management outside the mills which forms the subject-matter
of a criminal proceeding initiated at the instance of the manage-
ment and to pass orders independently without waiting for and
irrespective of the conclusions which may be arrived at by the
fttirtrinal courts, and

(ii) whether the question covered by the first issue is an
" industrial dispute " as stated by the workers and should be
decided by this tribunal or wjietber. as matters stand at present, it
would only be a question. of academical interest which this tribunal
cannot be caTIe3 ujx>n to decide now,

10 UOVT. OBDBR8 ON TH> &&QOMMBNDAT1ONS OF

6. The first, isttoe. The advocate for the workers drew my
attention to rule 16 of the ki standing orders for operatives employed
under Mahalakahmi Textile Mills " which defines the powers of
the management in dealing with the misconduct on the part of the
operatives and contended that, apart from rule 16, the management
have no right to take disciplinary action against the workers. It
was argued on their behalf that the disciplinary action can be taken
only with regard to the acts of misconduct committed within the
mills and during working hours and that the management have no
jurisdiction to take disciplinary action for any alleged misconduct
outside the mills during strikes or lock-out periods unconnected
with the productive activities of Hie workers. It is admitted by the
management that the acts complained of were committed outside
the mills and during the period of the lock-out. It is admitted by
the workers that the persons alleged to have been injured by their
acts were all connected with the management of the mills.

6. As per rule 16, the acts or omissions detailed in clause (a)
to (0) therein would be treated as misconduct. Clause (6) says
that striking work either singly or with other operatives without
giving fourteen days' notice is a misconduct. In such a case, the
operative does not enter tbe mill premises at all and is outside it.
"Nevertheless, it is found in the list of acts or omissions treated
as, misconduct. There is no warrant for confining the scope of
rule 16 only to acts or omissions on the part of the operatives inside,
the mill premises.

7. The advocate for the workers wants to shut his eyes to an
important portion of that rule which is found below the categories
or acts or omissions detailed in tbe clauses (a) to (6). The
portion of the rule which is omitted to be read by him runs thus :

11 any other serious act of misconduct ". It is evident that the
acts or omissions mentioned in clauses (a) to (o) are only illustra-
tive and not exhaustive. The rule vest in the management power
to take disciplinary action also in cases of any serious acts of m*>-
conduct which are not specifically mentioned in clauses (a) to (o).
I am, therefore, clearly of the opinion that the management have
got power vested in them to take disciplinary action against serious
acts of misconduct, even though thev could not be brought under
ttte categories of acts or omissions described in clauses (a) to (o).

8.- I shall' take for instance a college student assaulting
a professor outside the college premises apd after the college doses
for* tbe day. Tt, i* open to the* professor to lodge a 'complaint before
the magistrate; and he can also report to the nrmeipalio the coHejje
aboui the misconduct of the bov. Tt is also open to- Jiim not to ero
to-therriacistrate at all and.be content with the report to .the ^prin-
cipal. After a complaint is lodged before the magistrate, toe ,4886
may end in conviction or acquittal. "Whatever may be. the result
of the criminal case, there e<m bee no. doubt whatever tlint the
principal pan take disciplinary action agafnat the student,

INDUSTRIAL TBIDUtfAl* OJB ADJUDIOATOBS .11

9^ If B defames A 9 A can prosecute him before the magistrate
under the provisions of the Indian Penal Code and also institute in
the oivil court a suit for damages for defamation. If two remedies
are open to an injured person, is it open to the person, who caused
tiie injury-, to ask the injured person tu confine himself to on* of
the remedies? I do not see why the analogy cannot hold good in
this case.

10. No doubt, the mauagement could have gracefully deferred
taking the disciplinary action till the disposal of the criminal com-
plaint aft suggested and advised by the Collector. But it is not
obligatory on the part of the management to abide by his advice
and defer rights. After refusing to listen to the advice tendered by
the Collector and after the Government referred the dispute to this
tribunal, better counsel seems to have however prevailed. The
management a\ that, after enquiry, they have excused and
pardoned the offenders. It seems to me that the management felt
nervous both in the matter of proceeding with the prosecution
before the magistrate and in the matter of depart men tally punish-
ing them. There seems to have been an anxiety on their part to
savo their own preatige by maintaining their firm attitude as a
matte)' of principle and at the same time they did not in effect want
to offend the workers and tbe authorities and so it is. they say,
they made an enquiry and excused the offenders. There may not
have been any serious enquiry at all.

U . The management also stated that they were not proceeding
with their complaint made to the police and that they had actualh
presented a statement to the police that they were not proceeding
with their complaint. Tt is not known, what exactly the offences
complained of are and whether, in spite of the fact that the
management do not want to proceed with the complaint, the police
can nle a charge-sheet or not.

12. The circumstance that the management do not want 1 to
proceed with the complaint and the circumstance that they have
pardoned the offenders are not considerations which affect the
question at issue. When the management say they have excused
the offenders as a result of an enquiry held by them, they assume
they have got power to hold the enquiry despite the criminal pro-
ceding. Since the workers challenge the right claimed by the
management to hold an enquiry and to punish or excuse the
workers in question, I ain bound to give a finding, I accordingly find
that the management have jurisdiction to take disciplinary action
for alleged t unlawful' act on ttfer-totrt'of'the worker* 1 without wait-
ing for ther result of i the criminal proceedings < initiated"! by them
even thfcagh'tKe atitfr complained of werer committed outside the
premises of the mills and that they are eitkitted to pass their clwn
orders. The fixflfc issue ift found in favour of tbe management.

18. 7%* -;^ff f> f)rtfMto : af ftee wrcntf ton*; ^e argument
' on behalf tf the mn^^thent IB that ' the ' question

12 GOVT. OBDJtftt ON THE BBCOMMBN&ATZ0N* OF

whether the management can take disciplinary action against the
workers in a matter like this, is not an " industrial dispute " as
defined in the Act and that the reference by the Government to
this Tribunal for adjudication its itself ultva vires. The workers
pointed out that the Government would not have directed this
Tribunal to adjudicate if the question was not an " industrial dis-
pute ". But it cannot be said that merely because the Government
chose to call it an " industrial dispute '' the view of the Govern-
ment should be accepted by parties and this Tribunal.

14. " Industrial dispute " as defined in the Act means " any
dispute or difference between employers and employees, or
between employers and workmen, or between workmen and work-
men, which is connected with the employment or non-employ-
ment of the terms or with the conditions of labour, of any person ".
In this case, as a result of the disciplinary action taken by the
management against the workers in question, they might have
been dismissed or suspended. The result of the enquiry could
therefore affect the employment of the workers in question. That
as a result of the enquiry held by the management the offenders
were excused or pardoned is not a matter to be taken into account
in deciding the point at issue. In fact, the workers in this case
have been only excused and pardoned; that implies they had been
found guilty and that the management had only, as an act of
clemency or generosity, left them unpunished. If they had been
visited with any punishment, tlie workers would have certainly
taken the matter before the Government and a reference would
have been made to this Tribunal. And it will not be possible to
contend in such a contingency that the tribunal would have no
jurisdiction to decide this point. The events which took place
subsequent to the order of adjudication passed by the Government
can have no bearing. T hold that the question covered by the first
issue is an " industrial dispute " within the meaning of the
definition found in the Act.

15. The second portion of the second issue. I have already
discussed the matter in the foregoing paragraphs. My finding is
that the question covered by the first issue is not merely an
academical one and that this Tribunal is bound to give a finding
on the question. And the finding on the first issue has already
been recorded.

Order Ms. No. 4874, Development, 'dated ISth October 1948.

Whereas the award of the Industrial Tribunal, Madura, in
respect of the industrial dispute between the workers and the
mtaa&ement of the Mah&lakshmi Textile Mills, Limited, Paen-
rftftlai, Ms been received: ' ' , .

ITdw, therefore, ?n exercise of thft powers conferred by neetfbh
15 (9) read with section 19 (8) of the Industrial Disputes Act, 1947
\r>f TTV rff 1(U7). TTIft FiTftflllano,* tiie firoternor of llktfaui

INDUSTRIAL TRIBUNALS OR ADJUDICATORS 18

hereby declares that the said award shall be binding on the manage-
ment of the Mahalakshmi Textile Mills, Limited, Pasumalai, and
the workers employed therein and directs that the said award shall
come into operation on the 7th January 1948 and shall remain in
operation tor a period of one year.

(By order of His Kxoellency thr Governor of Madras)

K. G. MENON,
Joint Secretary to Government.

IV
BEFORE THE INDUSTRIAL TRIBUNAL OF MADURA AT

TINNEVELLY.
Sur KAU BAJIADUK T. A. HUBB1AH P1LLA1, B.A., B.I,.

[Under the Industrial Disputes Act, 1947.1
IN THE MATTER OF AN INDUSTRIAL DISPUJE.
Between

THE MINAKSHi SUNDABE8WARAL ELECTRIC
POWER CORPORATION, LIMITED.

and

SRI K. VENKATARAMA AYYAR, AN EMPLOYEE.
Subject Wrongful diwharye. Award in terms of the memoran-
dum of compromise.

G.O. Ms. 176, Development 9 dated 12th January 1948.

[Labour- -Disputes Dispu'et* belweun Sri K. Wnkatarama A\\ur.
I \pist and thr nuwigemeiit of tho Sri Meenakshi Sun<laros-
waral Electric- Power Corporation, Limited, Karuikudi
Hecommendations of the Industrial Tribunal Orders panned.]

READ the following papers:

(1)
G-.O. No. 4994, Development, dated 30th October 1947.

<*)

Letter from the Industrial Tribunal, dated 15t/t December 1947,
" No. LD. 6/47.

BEFOKK THE INDUSTRIAL TRIBUNAL OF MADURA
AT TINNEVELLY.

PRBSBNT :
SRI KAO BAHADUR T. A. SUBBIAH PILLAI, B.A., B.L..

INDUSTRIAL DISPUTE No. 6 OP 1947.
Sri It. Venkataraiha Ayyar, typist, Karaikudi

versu*

Sri Meenlriedii Sundareswaral Electric Power Corporation, Limited,
Karaikudi.

14 UOVT. OHJJBRS ON THE HKCOMMfiNOATlONS O^

AWAJfcUJ.
U,Ni>Efc SECTION 16 or INDUSTRIAL DISPUTES ACT, 1947.

1. The parties settled their differences and filed a joint state-
ment before me on 17th November 1947, embodying the terms of
the settlement. T.he joint statement was proved to have been duly
signed by the parties.

2. By consent of the parties, 1 adjudicate as follows :

(i) The employer (Sri Meenakshi Sundareswaral Electric
Power Corporation, Limited) shall pay to the workman (Sri
K. Venkatarama Ayyar, typist) a sum of Bs. 650 (rupees six
hundred and fifty only) in full settlement of the dispute with regard
to the dismissal by the employer.

(ii) The employer shall pay to the workman the sum standing
to his credit in his Provident Fund account with the prescribed
interest up to 17th November 1947 less the amount of temporary
withdrawals with interest, on the Haiue.

(iii) The employer shall pa> to the workman the balance of
his pay and clearness allowance up to the date of his dismissal.

(iv) The workman shall have no further claim against the
employer either by wa\ of damages for wrongful dismissal or pay
in lieu of notice of termination of service or by any other way.

Order Ms. No. 176, Development, dated V$h January 1948.

Whereas the awavd of the Industrial Tribunal, Madura, in
respect of the industrial dispute between Sri K. Venkatarama
Ayyar, typist and the management of Sri Meenakshi Sundares-
waral Electric Power Corporation, Limited, Karaikudi, has been
received ;

Now, therefore, in exercise of the powers conferred by section

15 (2), read with section 10 (3) of the Industrial Disputes Act, 1947
( Central Act XIV of 1947), His Excellency the Governor of Madras
hereby declares that the said award shall be binding on the manage-
ment of Sri Meenakshi Sundareswqrai Electric Power Corporation,
Limited, Karaikudi and Sri K. Venkatarama Ayyar, typist,
previously employed therein and directs that the said award shall
come .into operation on Iflth January 1948 and remain in force for
a period of one year.

?
(By order of His Excellency the Governor)

K. G. MBNON,
Joint Secretary to

OK

THE 1KLHJ6TB1AL TRIBUNAL, MADKAS. - -
- ....... . jfcu M. V^KATAliAMAYYA, B.A., B.L.

[Under the Industrial Disputes Act, 1947.]
IN THE MATTER OF AN INDUSTRIAL DISPUTE.

Between

THE WESTKKN INDIA MATCH FACTOUY, TI1W VOTT1-
YUK,MADEAS

< ._ and

THE WOilKBBS.

Mr. Kajeswara Rao, advocate of Messrs. John & Bow for the
Company. --' '

Slit P. B/R-. Barma, M.L.C., President of the Union for the
workers.

t. 1. Reinstatement Whether certain workers were
wrongfully removed from service and whether they should . be
directed to be reinstated. Held that as the workers had been eon-
victed by a competent court for the offence of rioting and mischief
by. fire to the Factory, their dismissal was not improper Rein-
statement refused.

2.. Gratuity Whether a scheme for gratuity should be intro-
duced in respect of, service prior to introduction of Provident
Fund. Held that a worker who has rendered good service and
whose services have benefited the Company must be deemed to have
earned a right to get some amongst of money irrespective of whether
the Company is pleased or not pleased. "

Held that the Burma Shell Company had framed rules for the
grant of gratuity .at a certain rate for the period of service prior to
the introduction qf Provident Fund.

'" Held that the Company should pay gratuity at the rate of half a
month's salary for each year of service prior to the introduction of
Provident Fund. . / - *\ \ . ....

j: 8. -Wdget.-^Held ihat in' order to tletermhie adequacy of wages ^
four factors have to be considered :

, (i) The rate of wages in th^ kindered, factories in the same
locality. .-: .-'. -' -.

(ii) .Tbe rate ppi&ty the. same Company in other -faotprieB of
their own in Bombay fin/i Assam .making; dup allowance for local,
variations. . r .. \ v . ......

' The mature* of the worlc. -. - - T--

The ..increase', ^fatbe rates of wagei in the pa*i eight or
tf.' ' ' jl! ''"' 1? " " ^ " ' \ ')' " *****

*)r >-*} raja.'? r^^y,

3

16 GOVT. OEDBB8 OK THE REOOMMtiNDAliotis 0$

Held that on a consideration of the above factors and taking
into account the several concessions enjoyed by the workmen, the
wages cannot be considered to be too low or inadequate.

4. Whether the starting salary of fitter should be increased.
Held that their wages are adequate.

5. Leaved Held that following the example of Burma Shell, 17
days' privilege leave, 7 days' sick leave and 7 days' festival holidays
with pay should be granted by the Company.

6. Provisions Whether all the workers should be allowed to
buy provisions up to Rs. 20 instead of Rs. 14 as at present. Held
that the cash allowance should be raised from As. 1-4 to 2 annas in
the rupee for all workers with effect from 1st January 1948, in lieu
of the demand.

7* Dress. Held that no case has been made out for asking the
Company to supply dress to all the workers.

8. Recruitment. Held that if trade unionism has exerted a
useful influence on the labour and industry, the Company will be
eager to consult the Union to get efficient men. At present the
Trade Union cannot be depended upon for the purpose of recruit-
ment.

9. Provision lor house-rent, education and medical aid. Held
that the problem of education of workers' children is a matter for
the state to tackle rather than for a Tribunal to force employers
to do.

, Held that considering the number of accidents in the year, the
medical aid available at the factory is inadequate. Recommended
expansion of the dispensary. Held that the Company had not
provided houses except for a small number and that the workers
drawing less than Rs. 75 should be paid a house allowance of Rs. 5
while those paying a house rent of less than Us. 5 shall be paid
their actual amount of rent.

10. Bonus. Whether six montiis* pay should be paid as
bonus* Held that the payment of 20 per cent of the earnings of the
worker as bonus is fair and reasonable.

11. Piece-rates Whether should be abolished. H*ld that the
present piece-rate system has been in existence from 1929 and
snotild continue.

19. Travel facilities WKtther railway far* should be paid
when workers go out on leave. 'Held that two companies Burma
Shell and Imperial Chemical Industries give such facilities and it
csnttbt be made compulsory on other Companies,

13. Provident Fund. Held that the Provident Fund contribu-
tion should be calculated only on the baric salary as dearnese Allow-
ance is paid to cover the increased cost of living and not to make
increased savings.

INDUSTRIAL TRIBUNALS OB ADJUDICATORS 17

14. Mid-fay meals. Held that the workers are paid adequate
salary and that it is too much to ask management to give mid-day
meals to workers.

16. Whether factory premises required remodelling. Held
that on inspection of the factory premises with the Deputy Chief
Inspector of Factories, the factory premises are in good condition
and there is no room for complaint*

0.0. Ms. No. 319, Development, dated 22nd January 1948.

[Labour Disputes-v-Dispute between the workers and the manage-
ment of the Western India Match Factory, Tiruvottiyur-
Recommendations of the Industrial Tribunal Orders passed.]

READ the following papers :

(1)
G.O. No. 4908, Development, dated 16th October 1947.

(2)

From the Industrial Tribunal, Madras, dated 3rd January 1948,
No. l.D. 20/47.

BEFORE THE INDUSTRIAL TRIBUNAL, MADRAS.

PRESENT :
Sm M. VENKATARAMAIYA, B.A., B.L.

[In the matter of the Industrial Disputes Act and in the matter of
the Industrial Dispute between the workers and the
management of the Western India Match Factory, Tint-
vottiyur, Madras.]

AWARD.

The above dispute was referred to me for adjudication in G.O.
Ms. No. 1842, Development, dated 26th April 1947. As I was on
leave for three months and the dispute remained undisposed of it
was again referred to me for adjudication in G.O. Ms. No. 4908,
Development, dated 16th October 1947.

The Western India Match Factory was represented by
Mr. Rajeswara Rao of Messrs. John and Row and the workers
were represented by Mr. P. R. K. Sarma, M.L.O., the President of
tha Union.

Issue 1. Whether Murugcsan, Rangaswami, Shukour <mtf
Kulla Govindan were wrongfully removed from service and whether
thrtr reinstatement should be directed.

Murugesan, Rangaswami, Shukoor and Kulla Govindan were
ermJovees in the Wimco, and were removed from service on
29th July 1939 and the Union now applies for their reinstate-
ment. In one and the aame breath the Union represents thai
thf*e f<w wtxfcers ww M #nwed d yet they want their

IB GOVT. ORDERS ON THE RECOMMENDATIONS OF

reinstatement -< The fact is that their set vices were terminated on
29th;J4ily- 1^3 9. as Excite VIII aeries show. The reason for. this
was that they were all convicted by the Sessions Judge, Chingleput
in 8.C. No., 11 of 1939 and sentenced .to various terms of imprison-
ment, the offences being rioting and mischief by fire and in some
cases hurt' also. The important section is section 426, Indian
Penal Code. There was a conspiracy to set fire to the factory and
there was rioting and some -property was actually destroyed.
When the management ^found that their own workmen inclusive
of the four perSoYis '"mentioned above wefe engaged* in the
a&k of .committing. mischief by fire to their property and a court
found them guilty of the offence, it cannot be said that the dis-
missal was improper. Mr. Sarma said that one of these men,
Shukoor, was convicted by the High Court only under section 147
and not under section 426, Indian Penal Code. Be that as it may,
an employee of a factory engaging himself in rioting and unlawful
assembly and having been convicted in one court and that a
Sessions Court, and the sentence having been confirmed by the
High Court, even if it be under section 147, Indian Penal Code
only, has no right to be reinstated. T do not think many more
reasons are required for the dismissal of an employee than this.
The issue is found against the workers and reinstatement cannot
be directed.

Issue 2. Whether a scheme for gratuity should be introduced
in respect of service prior to the introduction of the Provident
Fund Scheme in 1945.

This company has been functioning in Madras since 1929. In
1945 thev introduced a Scheme of Provident Fund under which the
contribution by the employee and the employer is 8-1/3 per cent
but that, as I said, is from 1945. The Union demands that for the
period -from 1929 to 1945 there should be a gratuity given at the
rate of one month's salary for every year* of service. The company
aays that no such gratuity can be a,;cight exerciseable. It lias often
been held thatf though gratuity and bonus do not partake of the
nature of anv contract, it^aw> be the- subject-matter of adjudica-
tion., f This demand is characterize^ by .the company in . para-
graph 10. of then* .written statement, .at? " preposterous ". Jn
v , pacing,. Ir~ may say I, have floi found- the pleadings of parties
"coiiddecl in such unnecessary strong' language as in this,djpute.
For example, I refer to this : <<l After reference to this Industrial
"Tribunal of the. industrial ' disputes for ' adjudication ,- disobedience
'to orderv insubordination; frivolous complaints, stay-in strikes have
become the order of the day and became more frequent than
previously 1 . " * I hope Government will take due notice of this kind
of language coming from a management claiming to be a paragon
of virtue in regard to 'the conditions of service and other -matters.

the Ityrmali-Shell Company," wfien provident *f urn! scheme
tKey (If* ^ff-gfttadfy half rtftiitW stfafy tip'to

INDUSTRIAL TRIBUNALS OR ADJUDICATORS 1ft

a. ; particular period of service and thereafter at one month. There
ia no. unreasonableness in a man who has put in 20 years of service
to demand a gratuity when he is obliged to quit service. This very
same company, Wimco grants as a matter of fact gratuity. It is
mentioned that they have been giving gratuity which depends upon
11 whether a certain worker has pleased his employer and if so to
what extent.'* This is the very point which the labour is contend-
ing .against. A workman who has rendered good service, and
efficient service for a long period of time and whose services have
benefited the company in the matter of profits is entitled to, or at
any rate, must be deemed to have earned a right to get some
amount of money irrespective of whether the employer is pleased
or not pleased. The days are gone when the employer can dictate
to his employee saying " if you will kneel and be suppliant, you
will get a gratuity and a large sum at that. But if you stand firm
and do not show proper respect you shall not get anything." The
whole tenor of the statement filed by the company in this dispute
unfortunately shows an extremely hostile attitude towards labour.
T hope the company will now at least realize that it owes a duty to
the labour which has stood by the company during all the terrible
years of war and even before. It is they, the workmen, who have
helped this Swedish Company, to establish itself in Madras and
therefore apart from all legal rights moral liability falls on the
employer to freafc the labour with something other than contempt.
They should realize that labour is as much a part of the industry as
the owners of factories.

This is the only case in which I felt necessary to return to the
parties, their written statements and they filed fresh statements.
Yet the language has not been modified to any extent. Inasmuch
as there is at least one employer of labour who indulges in language
unbecoming of respectability, the Government will do well to
amend the rules framed under the Industrial Disputes Act so as to
bring 1 management as well as "Labour Unions to a sense "of res-
ponsibility to observe ordinary canons of good behaviour and not
to use intemperate language. I do not know why the parties
should not b dealt with for contempt of court even. Does the
Wimco wish me to believe that Government's action in referring
disputes to adjudication has led to indiscipline and other ills in the
indusiiry.

Is it not terrible to see that a workman in the factory should
gq to the; length of netting fire to the factory? Thev should con-
sider to what a degree of exasperation they should have been
roused to perpetrate such a nefarious act. It is not mere fan that

fl people do such nefarious deeds. It is want of svmpathv;
life is want of consideration for tfee lot of the worker and it' i the
proving, feeling and snffering on the part of the worker thai drives
to ftuch acts. Why should the payment 6f gratuity depend

foe pleSWre of tfoe employer a$ *he management fey art

90 OOVT. ORDERS ON THE RECOMMENDATIONS OF

page 10 of their statement. They say " Whenever a worker has
died the company has made ex gratia payment to cover reasonable
funeral expenses although not bound to do so." Later on, (< it is
the privilege of the management to grant or refuse payment of
gratuity. . ." What is worse, in spite of the statutory require-
ment that there should be standing orders which clearly define the
conditions of service this company has not yet done so. There are
no standing orders even now and to leave things to the " pleasure "
of the company seems to me to be rather dangerous at least so far
as the Wimco is concerned.

It is only the Burma-Shell Company's rules which are directly
comparable to companies of this kind. There also the provident
fund was introduced some 16 or 17 years ago and service before
that period was not left out of account. Whereas a man who has
contributed towards the provident fund gets the provident fund
from the date of its institution, he would get for the previous
service, i.e., for service prior to the institution of the provident
fund a gratuity calculated at a certain rate. I think that principle
is very sound and I hold that the Wimco should give to the
employees gratuity at half a month's salary for each year of service
up to the date of the introduction of the provident fund in 1945.
This calculated gratuity will become payable along with the
provident fund.

Issue 3. Whether the salaries, piece rates and wages now in
force are inadequate and require to be increased. If so, in what
manner?

(a) Whether the starting salary of Re. 1-1-0 for a fitter
employed after test is too low.

(b) Whether the yard workers 9 wages deserve to be raised.
If so, to what exterit?

Naturally the question of wages and salaries must demand
greater attention and much discussion has also taken place on the
subject. In order to determine whether piece rate or wage or
salary is adequate or not three main factors have to be considered.
One is whether in kindred industries in the same locality the rate
is the same or approximately the same, secondly what does the
same company pay to its employees in Bombay and Dhubri (Assam)
and what variations have to be made in order to suit the different
localities and thirdly what is the nature of the work for which the
wage is to be determined.

A fourth and a very important consideration will be whether
there has been increases in the rates of wages and salaries daring
the past eight or nine years. At my suggestion the company has
obtained a list of rates obtaining in the Ambarnath Factory
f Bombay 1 ) marked Exhibit XII and it lias been signed by the
Tefeiinicat Mabager, "Bombay, and I assume that it is a correct state-
ment. This has to be compared with columns 9 and 10 of Exhi-
bit Xm, which IQ $ statement furnished by th$ <5ompany fc>

on ADJUDICATOH& &t

tbe actual earnings of the diiierent categories of workers in Madras
at present, i.e., in 1U47, Tne last coiuinn ot tne statement snows
uie increase wmcn tJtie workers obtained in tneir wages between tne
period iVtott and lU-iV . It is tound tJhat every one 01 tne workers got
an increase. A man wno was getting its. 4-0-y in Utey gets
ivs. tf-6-U per day now and in respect ot tiie daily-rated worKers
the increase has been distinctly noticeable as Exmbit XIV will
snow, in 1U43 a general increase oi halt an anna in the rupee was
given to all the piece-rated workers. The result of the comparison
of the increases to the diflerent categories show that some persons
got as much as 70 per cent increase in the wage rates while some
got 16 per cent only and in the case of the daily rates it varied
between 2 annas and Be. 0-14-9. The question is whether these
increases are adequate.

In considering this question it is necessary to remember fore-
most that in this company there is no question of dearness allow-
ance. We are now dealing with rates and salaries only without
reference to the increased cost of living for which dearness
allowance is paid, because the company supplies to all the
employees provisions and stores required for household use at the
same rates at which those commodities could be had in the markec
in 1939. The company naturally has to spend a lot of money in
obtaining the stores at current market rates. They have however
fixed the quota for each individual up to which only he will be
permitted to buy in the stores at the concessional rates. This quota
ranges from Bs. 13 to Ks. 20, vide Edition IV. Exhibit XIIl will
show that the actual earnings of all grades and classes of employees
have increased from 1939 to a very substantial extent so much so
that the lowest income of a piece-rated worker is Bs. 24-2-0 and
he is the * dozen packeting receiver '. Besides this man there
are only five other persons who get less than Bs. 30 a month, and
with regard to daily-rated workers except those corresponding to
the coolie classes, viz., the very unskilled, all are paid more than
Bs. 30. In addition to the wages and salaries earned by the
employees the company pays a cash allowance of Be. 0-1-4 per
rupee. Consequently, the wages and salaries paid in this company
compare very favourably with what obtains in other concerns. At
thip stage we may consider what are the types of workers and the
nature of skill demanded of them in this factory.

The Western India Match Factory is located near Tiruvottiynr
and has been in existence since 1929. A visit to it when it is work-
ing daght to convince any one that rationalization in this factory
has gone apace rapidly with the result that there is comparatively
little of what we may call skilled or technical knowledge required.

Huge blocks or stumps of felled trees are brought to the gates
of .the factory and they are, by, means of crowbars and other mean?,
rolled into the place whore sawing is done. This place is called the
' yard ', By means of power driven saws these blocks are cut

))a GOVT. UEDKEb OK THj KKCOMM&NDATtONS Otf

tbe . cuttiug was so nice .to see, as if it was a piece of lamp
o, butter twiog cut by. a Jtniie. The men or man at that stage baa
to roli this blocks into position and the saw does the rest ot *n
work. The sundned blocks or pieces are sent to another section
where by means, again, of machinery from these cut pieces layers
are taken veneers. These are again slightly cut and by impression*
made on them the veneers are shaped into pieces corresponding .to
the match boxes. The inside as well as outside are made by
machines themselves. These outer and inner boxes are all thus
completed by the working of the machined and the man at the spot
has only to remove them when the work is finished or the veneers
have to be put in position to be cut and folded. Another section
is similar to the above where different layers of cut wood are piled
one over another and pushed into proper position and the machine
cuts them into splinters. A sieve separates useless one? from the
good ones and the machine, which is again worked by power, is
so constituted that it just- allows the tips of splinters to touch a
chemical composition which is kept in a large basin at the bottom
of the machine. The splinters with the chemical composition
tipped at their ends pass on- again by the machine and are dried and
they are produced at the other end in order to be put into boxes.
The box filling department arranges these match sticks and the
number to i>e -put into each box is again regulated by a machiue.
It is like the tickets which are put into the shelves at the ticket
collector's office in railway stations. The exact number drops into
the box where they are arranged and filled boxes are sent to trie
bunderol department where the banderols are fixed and labels tire
attached also by machinery. The making of the chemical com-*
position is the one thing where manual labour is prominent. Also
that department where the chemical composition has to be made
for the powdering of the sides of boxes. Thus it will be seen that
from the beginning it is the machine that does -the work and what
the man does is either to feed the machines at one stage or remcve
the finished product at the other end. I am definitely of opinion
that there IB very little skill expected of the workmen in this factory
except at a few places. I consider the box filling department to he
rather of an arduous kind, and the box filling man gets on the
average Rs. 41 an'd there are 44 such men. In the fafce ofwMt
ban been observed above it cannot be said that the wages here are
too low for any category of workers. Prominent attention was
drawn to the case of a coolie, a sweeper, whose salary is Rs. 24*6-0
(CHegappa Beddi) and it was stated that he invariably got much
less than this. It must not be forgotten that the salaries paid or
w&ges, earned would depend on the length of attendence in the
r^onth and as long as the rates are found to be satisfactory and
adequate, the {act that a particular person got low income is not
due to the inadequacy r of salarv, but to bis too frequent absenteeism.

sr.'" " ' ' .' %

.Another -factor which should be borne in mind ia whether ,the
increase Jfcat the several categories of workmen got was to -i vary

XtUBUNALs OK ADJUDICATORS '23

low paid basic salary, If ior instance in 1989 the salaries and
rates were very low Uie increase of 5 or 6 annas or 20 per cent may
uot be an adequate increase but in column it) of Exhibit XIII are
grvoii the piece rates tor each category of worker wliicli obtained
in lybV). To further clarity this tne company has produced Uie
rales tor 1939 (Exhibit I). Even in 1939 except two or three cate-
gories of workers every one got more than one rupee per day. It
will also be observed that the heavy worked man, though
unskilled such as the cross-cutting machmeman, gets a very decent
salary of more than Us. 60 and the helper Us. 57. The correspond-
ing men in Bombay are paid Ks. 1-7-0 and lis. 1-4-0 a day much
lower than what the Madras men are paid. These variations
between one place and another or between one category and a no I her
category are not due to any haphazard lixation ol wages. .When-
ever the work involves hard, manual labour, though it is unsk'lled,
a little more is being given and m some places the same kind of
work will demand a higher rate due to local conditions. Therefore
when a comparison of the rates obtaining in different categories or
in different places is made it should also be remembered that all
types of categories in a factory such as this are or may be said to be
unskilled or at the most semi-skilled. Therefore it is futile to
contend that a man who is paid Us. 1-8-0 in a certain place must
be paid lis. 1-8-0 in another place simply because he does the ame
work. If the variation however is appreciable, then explanation
has to be demanded. In the present case a comparison of Exhi-
bit XI LI with Exhibit XII shows the Madras Workers are in an
advantageous position except in Biiup Veneer Feeding section and
Rims Veneer chopping. The latter's rate is about lie. 1-1-0
whereas it is "Us. 2-4-0 in Bombay. But the dimensions of ihe
layer differ. On a very careful comparison of the rates in the
different departments I am unable to say that there ia any
inadequacy of the rates prevailing in Madras. I would recommend
that the rates with regard to the "Rims Veneer Feeding machines
and Rims Veneer chopping may be revised slightly to bring them
np to the Bombay standard.

Another category about which I would leave a suggestion is the
banderol, cutting, |x>wder and filling where the rate now obtain-
ing in Madras is l\ pies, or 1*29 pies and 138 pies; it may be
raised to 1J pies, the rate which is in vogue in Bombay. These are
to be taken as suggestions but not as obligatory. Mr. Engstrom,
the Chief Engineer ,who knows these matters will set right these
slight anomalies. T would also suggest to him if he could increase
the number of men in the box filling machines. Though it may
also be machanical kind of work a certain amount of risk of burn
exists in this box filling department but the risk cannot be avoided
by giving mote money. Tt is perhaps possible to reduce the risk*
by employing more men. T would leave it to Mr. Engstrom to pay
attention to these matters.

jJ4 (JOVT. ORDERS ON TliJB KECOMMfiiNDATIO&S OF

The result of the foregoing considerations is that the minimum
which an unskilled man in this company gets is Us. 24-12-4) and
he also gets an attendance bonus and a cash allowance at He. 0-1- i
per rupee. There are also other concessions such as fuel arid
stores to which I have already referred. ' These wages cannot,
under any circumstances, be said to be too low or inadequate.

In their statement the company has devoted one column to
show the possible earning of each workman if he \vas doing his
best. This was refuted by the other side and the company has pio
duced Exhibits V to Yll. They show the actual earnings of
three men in the Peeling department in the month of July 1947.
The production is approximately near to what the company shows
as a possibility and the earnings have been lis. 48, Ks. 49 and
Us. 52. Given full attention to the work a workman can earn
much more than the minimum which is fixed for 26 days. Quick
work at the much in e and producing more will get him more money.
This, it is the business of the Union to impress upon all the work-
men. It is not that tin* rate IB too low but that the work is not
quick and efficient that makes the man get what he calls a lower
income.

in the course of discussion it \vas found that a fuw mat tern
required clarification. An impression was created that a number
of people have been kept temporary for a long period of time with
the consequence that the\ got no benefits, either of dearness allow-
ance or stores concessions or provident fund. The management
has filed certain statements showing the number of men whom tne?
confirmed in 1945, 1946 and 1947, and above all they have pent
me the notices which they have put up giving effect to certain
changes from 9th December 3947. Those who have put in a conti-
nuous service of one year will be confirmed and they will no longer
be treated as casual labour without any privileges. The persons
who were treated as casual labour and were getting Ks. 1-11-3
will hereafter get Ks. 2-8-0 including dearness allowance. Bs. 2
per day for an unskilled labourer is exceedingly reasonable. I was
very much gratified to find this immediate response on the part of
the management to a few observations of mine in the course of
the arguments.

l*#ue> 3 (a) and (b). It is not quite correct to say that the start-
ing salary of a fitter is Bs. 1-1-0. At page 2 of Exhibit XIV the
names and incomes of all the fitters are noted. They are all get-
ting more than Its. 40 a month except six people who wre
appointed quite recently. No one can demand that from the date of
appointment as a fitter he should be paid Bs. 1-4-0 or mere.
When he is a learner, during that period he cannot be expected to
be paid the wage of a permanent fitter. Also the kind of work
in which he is employed as a fitter requires consideration. One
e fitter is.crettiner Ra. 1-7-0 but another aaprantice fitter is

INDUSTRIAL TRIBUNALS OR ADJUDICATORS 26

getting only As. 12. Both are new entrants. With regard to
permanent fitters who have put in more than two years of service,
1 do not find that any one gets less than Es. l-4r-0.

With regard to yard workers I have already said that they are
working in the open, pushing or removing the blocks of wood.
None of them gets less than Re. 0-14-0 a day and they also get
Re. 0-1-4 in the rupeo extra. What- they are now getting seems
quite adequate.

hbue No. 4. What shall be the reasonable period of leave
winch should br granted (/) as ordinary privilege leave (it is now
35 days), (//) as sick leave with pay and (Hi] on account of festivals,
(i I is now 13 days without pay)?

N.B. There can be no accumulation of nick leave.

The granting of leave by this company is of one kind only.
Leave for 15 days in the year is given, and I am asked to interpret
this as 10 days privilege leave and of 5 clays for holidays. For this
reliance is placed on their letter to the Commissioner of Labour,
dated 23rd July 1946 (Exhibit X). Mr. Sarma for the Union
states that he never agreed to have 5 da\s j leave for festivals.
Whatever that be, it is now obligatory on the part of every em-
ployer of this type to give 10 days continuous leave and as it is
obvious that those ten days should he given for the purpose of
recuperation of health there should be a few more days avail-
able to the worker. Recently the Madras Legislature considered
12 days privilege leave, 12 days festival holidays with pay and 12
days sick leave would be reasonable for one class of employees.
Tn the installation of the oil companies the workers get 17 days
privilege leave and a fairly long period of sick leave with pay and
half pay and seven days festival holidays with pay. I direct that
the workers in the WIMCO shall be given 17 days privilege leave
with pay, 7 days sick leave with pay and with regard to festival
holidays the company states that at page 13 of their written atate-
ntent that the> close the factory for 18 days in a year on account
of festivals, but without pay, and they elaborate the statement by
saying that when the factory is closed for festivals Sunday is nib-
stituted and double wages are given and so on. It is time, we
bring about some uniformity in these matters. With regard to
festivals the direction should be that seven festival holidays with
nay shall be given, and what those seven festivals are shall be
determined by the workers and the management after due consul-
tation.

,- Issue No. 5. Whether the value of the provisions supplied by
the, stores should be raised from Rs. 14 to Rs. 20 for all workers.

'Out of 1,220 workers, 872 are permitted to buy stores at con-
rasmon rates up to a maximum of RR. 14. The others are allowed
to purchase up to Rs. 15 and BQ. 16. The commodities supnlied
to them are mflntioncd in Exhibit XVT and the quantities whjoh

36 GOVT. ORDERS ON THE RECOMMENDATIONS OF

each person can buy are limited. Much time was spent in esta-
blishing that the value of the stores would be four or five times these
amounts if purchased in the open market today. That however,
111 my opinion is beside the point. The workers are getting the
provisions required at a favourable rate and what they demand is
that this limit should be increased to Ks. *2<) for all workers. Some
employees are permitted to buy even up to Hs. 30 but 1,220 men
cannot exceed Bs. *2<) limit. The management states that uven
as matters are, the workers buy the provisions at concessional rates
and sell them at the market rates and thereby are also making
money. 1 am unable to take this as a proved fact because if
the worker who gets Ks. "M worth of provisions should sell a par*
of them to make a profit he will have to go without that item
which he has sold or should buy it at a higher price in the mar-
ket. The ways of the blackmarket are very mysterious and even if
there is truth in what the management has said it is no guidance
for me in deciding any matter in issue. The workers who have
appeared before me say that what they are able to buy in the stores
is not enough and therefore they have to go to the market for
the extra things required. This is to make out a case for increase
in the quota for all workers up to Rs. 20. If that statement, is
true it cannot be that they are selling what they buy from the
stores for a higher price keeping themselves in needy circum-
stances. Mr. $ Venkoba Rao, the accountant in the factory,
explained how even when a particular article is not available in the
stores, it is got from market and where there is a limited stock
such as coffee in the last month, the quantity made available to
each worker is proportionately reduced. The company has gotie
into each worker's case separately and fixed a quota for him. Gene-
rally, the quota is half the salary. . Mr. G-. T). Paul, wages clerk
for the last 12 years, said his salary was Rs. 50 in 1939 and he gets
now Rs. 90 and his stores allowance is Rs. 26, and he savs that
to-dav he is unable to save any money at all, not even Rs. 10.
though he gets Rs. 90 whereas in 1939 he was able to save Rs. 10
a month when he was getting only Rs. 50. The number of mem-
bers in his familv has increased. So it mav be taken to be the
case with respect to all workers. - So far as provisions for domestic
consumption, tabulated in Exhibit XVT, are concerned, I find chit
the manner in which the management has fixed the quota for each
worker is satisfactory and requires no change.

If you take the case of a worker who is getting Rs. 26. he
spends Rs. 13 for provisions which we may take it for granted
will be enough for the familv consumption ; there is still Rs. J.3
plus Re. 0-1-4 per rupee on the Rs. 26. The question is whether
what is left in cash is an adequate sum of money to meet his other
demands. It is well known that the chief item of expenditure is
efoth : Transport has increased by 50 per cent and house-rent has
increased enormously. The index with respect to cloth is now in
the neighbourhood of 885, Cloth may be scarce ind yet cloth \n

INDUSTRIAL TRIBUNALS OH AlMUttlOATOBS iJ7

required by everybody. If the 5 yards or any quantity that may
be the rationed quantity is insufficient one will be obliged to go
into the blackmarket even, to clothe oneself and his family. Assum-
ing that* a family consists of on the average four members the
i Minimum that one would require for clothing these four would
be nothing less than Rs. 84 which would work out at Rs. 7 per
month, and if this is taken away from the Rs. 13 there is hardly left
anything for other things not included in Exhibit XVI. A man
who was getting Rs. 26 in 1939 must have been spending the
whole of it for his maintenance and if to-day Rs. 13 gets the things
which he was then getting for food, the remaining Rs. 18 will also
go away for his necessary purposes as he was doing in 1939, but
he requires more because the Rs. 13 which is left to him after buy-
ing the stores can hardly he fulfilment to get the thing's which lie
has to #et oilier tluw those mentioned in Exhibit XVI. Medicine,
barber, wash and occasional theatre, transport besides cloth whidi
I have already mentioned. And they have all gone up in price
and therefore the Rs. 13 left as cash balance would hardly be
enough for him and the cash allowance of Re. 0-14 in the nipop
?s not an adequate compensation to neutralise or even oompenat j
for the rise in prices of things other than those mentioned in Ex-
hibit XVI. T therefore reoonmied that the Re. 0-1-4 should he
raised to 2 annas in the rupee with effect from 1st January 1948.

On behalf of the. management a repeated request was made
to permit them to drop the stores concession and that they would
give a cash dearness allowance which is being paid in Bombay at
Rs. 42 a month. The workers did not agree to this suggestion aiid
1 cannot say that the} should be compelled to take cash in substitu-
tion ot the existing arrangement of concessional stores. It is ;t
matter which the company has to propose to the union and the
Labour Officer and after discussion if they agree they may substi-
tute it by dearness allowance in money. I am not however com-
petent to deal with this question in the enquiry. All 1 can say is
circumstances justify an increase in the rate of cash dearness allow-
ance from Re. 0-1-4 to 2 annas. Tn the case of those who have
been entertained after war the stores concession is not available to
them and there is quite a number of men who have been recruited
recently and who have to depend upon the dearness allowance onl\ .
Whatever advantages may accrue by the stores concessions are not
available to the new tenants. Therefore, also the increase of
dearness allowance from Re. 0-1-4 to 2 annas ifl justifiable.

I&sue No. 6. Whether dress should be tupplied to all the wor-
ker* (now only workers in certain sections are given).

A certain number of workers are supplied by the company with
dress in conformity with the Madras Factory Rules. Dress is
demanded by the remaining workers. I can see very little ground
for that. Having inspected the factory I saw the men aft the
machines. Except in a very few places, there is not much chance

28 GOVT. ORDERS ON THE RECOMMENDATIONS OF

of their dhoties getting soiled on account of their being near the
machines. No case has been made out for asking the company to
supply dress to all the workers.

Issue No. 7. \\ hvthtr the union should be consulted when a
person is recruited for service in the factory and whether a com-
mittee au suggested by the union should be constituted for the
purpose of recruitment.

1 am asked to direct the company to consult the union before a
man is recruited for service in the factory. The general policy of
labour exchange is a matter for the Government to decide and in
the present state of trade unionism in the country the factory owner
may not be able to get the right type of man through existing trade
unions. I am not referring to this particular company or to a
particular trade union, if trade unionism gets sufficient strength
and has exerted a useful influence generally on labour and industry
not only will the company be prepared to consult the union but
will only be too glad to consult the union in order to get efficient
and capable recruits. At present however the trade union cannot
be deluded upon for the purpose of recruitment. This is$ue is
found in the, negative.

Issue No. H.-- Whether the cash dearness allowance now bemtj
granted at Re. 0-1-4 per rupee should be raised to 2 annas vide,
finding on issue No. 5.

hsue No. 9. Whether any provision should be made for

(1) allowance for house-rent,

(2) educational facilities, and
(3^ medical aid

beyond ivhat is now obtainting in the factory.

Education. This factory has an elementary school where 80
pupils are being taught. The problem of education of the children
of the working classes is an important problem which it is the duty
of the state to tackle than for a tribunal to compel the employer to
do. I do not think T can make any recommendation on this sub-
ject. It is of course desirable that Government should make it
obligatory on every management which employs more than 1,000
workmen to have a school of a High flchool standard to cater to the
educational noe,da of the families of the workers, hut that
desideratum seems a long way off.

Medical aid. With regard to medical aid there is a dispensary
attached to the factory which I cannot say is of a very high order.
There is a medical officer and such medicines as are constantly
needed are available. The dispensary itself is in a comparative?
small room and the medical officer there told me that even the
families of the 'workmen who go there for treatment are attended

TRIBUNAtB OR ADJUDICATORS 2U

lo. The dispensing requires to be enlarged and there should bo
more facilities for those who go there for medical treat meat. ID
this connexion; Mr. Sauna, addressed arguments that the medi-
cal aid given to the persons who are injured is of a very flimsy
character, that there js not even an ambulance and that there are
frequent accidents and so on. The repty was that whenever there
it* any accident requiring treatment in a hospital, the injured man
is taken to the Koyapurum hospital which is four miles away in a
car that is always available. They have filed a list of accident cases
sent to the hospital from 1st January 1947 to 30th November 1947
(Exhibit XVII). The number of accident cases is 38 and number
of cases of burns is not small. There is no doubt that the manage-
ment is taking as much cure with regard to the treatment of the
injured workmen as is possible, but the number of cases being as
much as 38 in eleven months and the nature of the business being
concerned With things like phosphorous and sulphur, I am of opi-
nion that the immediate medical aid available at the factory i i 3
inadequate. There IH a labour office attached to the factory and
as T said in the course of the arguments the labour office does not
seem to be of any help to the workers. L sbould expect the labour
welfare office to take more interest to see that better medical aid
is provided. 1 recommend that immediate steps should be taken
to expand the dispensary or build a new one where there are some
beds provided for the treatment of persons injured, before they are
removed to the hospital. As lon^> as the officers of the eoinpati}
lend tlieir cars to transport the injured men to hospital the absence
of an ambulance is not of much consequence.

Housing. One of the biggest problems of the day is house
accommodation. There are a few houses constructed by the
management but the number is so small and the houses are so very
antiquated in their pattern that almost all the 1,220 workmen are
going about finding a suitable accommodation for themselves. Ami
there is no village close to the factory. Tiruvottiyur is not so near
probably 2 miles away from the factory and even Tiruvottiyur ia
said to be densely -populated. The few houses attached to the fac-
tory are being let out nt Bs. 3 a month. There is no denying the
fact that the present notion is that it is the duty of the employer to
provide housing accommodation to the employees. The time which
an employee takes to go to the factory and to return home after
working for a period of 8 hours or RJ hours, is unconscionably
long for the betterment of the family life of the worker. The
employers in most cases have found the reasonableness to provide
housing accommodation. By providing a few houses as they have
done the Western India Match Company have acknowledged im-
rfiedty the desirability of providing houses to the workers. They
have not done 60 except for a verv small number. The result is
trutt those who are not provided with houses are obliged fo pay too
much of a house-rent. In many cases where there is no housing
accommodation a hoiiBe-rent allowance is being given. T have,

ft) (iUVT. ofcDJBKB ON 111K HECOMMliNUAllO^ti Ofr

therefore, decided to direct thai the management shall pay a house-
rent allowance of Us. 5 to those whose basic salary is less than
Hs. 75. Those who pay Ixs. 3 or lts. 4 or less shall be paid tb
actual amount of rent.

Issue Ao. 10. Whether tJw bonus oj IJolh of ike total earn-
ings for 1946 which hax been paid itt i)iadequate and should be raised
to six months' pay.

jtfor 1946, a dividend at 1*2 per cent was declared and the bonu^
has been paid which works out to nearl) 2J months' wages. In
1945 when also 12 per cent was the dividend declared, 2 months
earnings were given as bonus in addition to the victory bonus.
On the principle that bonus should be linked to the dividend, 2(j
per cent of the earnings of the workers paid as bonus should be
deemed to bu <jtnte fan. Exhibits XI and XI (a) afford a compara-
tive study of the production in the year 1914, 1945 and 1946 as
well as the profits realized by the Madras branch of the company.
No separate balance sheet is prepared for the Madras branch. The
company has given the. approximate figure under profits realized bv
tbe Madras branch A comparison ol the figures alsc, shows that
JO per cent bonus dcdaicd for 1940 is fan and reasonable.

/9,sH? Yo. II. Whether Ihe piece-rate, system should be
abolished.

This is not the time when piece-rate system should be abolished.
Apart from the principle that piece-rate LS a good estimate and will
indicate the efficiency of the worker the present piece-rate system
has been In existence from 1929 and is vet in vogue in the com-
pany's other branches nt Ambarnath and Dhubri (\ssam). The
o system will continue.

Issue No. 12. Whether the management should pay to the
workers railway fare for 600 miles and give other facilities for uti-
lization of leave.

Two companies, the Bunnah Shell and the Imperial Chemical
Industries give railway fare to some of their workers on certain
conditions, when they proceed on leave. What these two companies
give is a special concession which cannot be mado compulsory on
other companies. The issue is found in the negative.

Tssue No. 13. Whether the contribution for provident fund,
should be on the total earnings or on the basic salary.

Provident fund contribution is calculated on the basic salary
earned in the month. In this dearness allowance is not included.
If dearnesa allowance is to be included in the contribution to provi-
dent fund, the demand for dearness allowance need not be given.
The object with which clearness allowance is given is to compen-
sate the worker for increased cost of living and not, to make
uvereaaed savings. It is obvious that there is no reason at all in
this demand.

TB1BUNAUI OR ADJUDICATORS 81

Iwue No. 14. Whether the management should supply mid-
day, nwqlp^to foe workers. v , r .

The workers are paid an adequate salary and there are tiffin
sheds constructed where they tafce their zaidday meals and the
sliedw are roomy and large in aize. A midday meal is no small
expenditure to a company to undertake. If the workers are united
they can have a co-operative restaurant or hotel for which the com-
pany may be Basked to give some accommodation but it is too much
to ask the management to give midday meal to workers. I am
not aware of any company which does this.

; ''Issue No. 15. Whether the factory premises are not in good
condition and remodelling of the same should be made immedi-
ately.

Along with Mr. C. G. Beddi, Deputy Chief Inspector ol Fac-
tories I visited the factory and I have not found any reason to think
that the premises are not in good condition. There are different
sections and in each section there is plenty of space. There is
no room for complaint that a remodelling is required:

P.S. After I completed the above award the Western India Match Company
has sent me a list of wages and salaries revised by them, to take effect from 27th
December. J947. This, they state in their letter, waa necessitated owing to the
outtin , down of petrol rations and consequent shortage of wood. Instead of full
sice boxes, medium size is to be produced but the 'rate as for full size is being
maintained for medium sice, production being as per standard fixed in column (0)
of the statement. The change, therefore, it is claimed* does not offend the provi-
sions of Section 33 of the Industrial Disputes Act as the workers' earnings are
not adversely affected*

Order Ms. No. 319, Development, dated 22nd January 1948.

Whereat the award of the Industrial Tribunal, Madras, in
respect of the industrial dispute between the workers and the
management of the Western India Match Factory, Tiruvqttiyut,
MM been deceived. . '. .--!

NQW, therefore, in exercise of the powers conferred by section
IS (2); ifead ' with^ctioi 19 (3) of tHe 1 Industrial Disputes Act,
M*t (tfe&ra! Ait 'XXV 6* 1947) His 'ExcbltenOy the Govsttio* 6f
Madras hereby declares that the said award shall bd 'binding on the
haattagement of thd Weaten* India Match 'Factory, Tiruvottiyur
and the workers employed therein and directs that the said attarft
shall coqie into operation on the 22nd January 1948 and shall
frfcm&in in 1 operatkrfi for a period df 6ne yerfr.
r< j*\ '> ' - . , - , . - ,
.* . . <By^ordroif Hi* Excellency the

K. G.
Joint Secretary to

*-K io ^TS*' 'A iii lo .iolJ*it6Jj

tt GOYT. ORDERS ON THE BECOMMBNDATtottfi 6fr

" , VI

BEFORE THE INDUSTRIAL TRIBUNAL, BEZWADA.

SRI P. MARKANDEYULU, M.A., B.L.
[Under the Industrial Disputes Act, 1947.]
IN THE MATTER OF AN INDUSTRIAL DISPUTE.
Between

8RI BAMACHANDKA SPINNING AND WEAVING
MILLS, PANDALAPAKA

and
THE WORKERS.

Mr. C. R. DlKsmrufcU, advocate for the Mills.
Mr. C. V. K. RAO for the workers.

Subject. 1. Whether the closing of the Mills from 1st July
1947 legal and justified (a) Jurisdiction of the Tribunal. Held
that as the dispute related to the employment or non-employment
of 400 workers, there was an industrial dispute within the de&u-
tioa of the Industrial Disputes Act.

(b) Legality of the lockout. Held that the lockout has been
declared during the currency of the Award of Mr. Venkataramayya.

Held that the question of the capacity of the Mills to pay
increased wages was heard and decided by Mr. Venkataramayya
in his Award and the lockout was in breach of a matter covered by
the Award. Hence the lockout is clearly illegal.

(o) Justification for closure of the Mills. Held that the
accounts of the Mills have not been properly kept ;

that tbe partners have drawn interest on their capital con-
trary to the provisions of the Partnership Act and that if tbe item
is excluded there would be no loss.

Held that the treating of the cost of machinery as an item oi
routine' expenditure is an irregularity and it cannot be taken into
fteeoutyt in calculation of profit and loss. Held that the payment of
the wages as per the Award, as and when they fell due would have
resulted in no loss. Held that the closure of the Mills was more a
protest against the Aw&dg rather than a financial necessity.

The lockout therefore is clearly illegal and unjustified.

fc Wagts for the period of lockout. Held on the above find-
ings that the workers should be paid their wages and dearness
allowance from 1st July 1947 till 31st March 1948 for the period
of the operation of the Award of Mr. Venkataramayya.

TOIBTOAI* OB ADITOWAf OBS 8S

G.O* Ms. Mo. 388 D*f*tomtnt, dated 23rd January 1648.
[Lafcottt Disputes Dispute between the workers and the manage-
ment of Sri Ramachandra Spinning and Weaving Mills about
the closure of the mills Recommendations of the Industrial
Tribunal Orders passed.]

HEAD the following papers:

(1)
G.O. Me. No. 2991, Development, dated 10th July 1947.

G.O. Ms. No. 3031, Development, dated llth July 1947.

(2>

from the Industrial Tribunal Sri P. Markandeyulu, dated 5tft

January 1948.
BEFORE THE INDUSTRIAL TRIBUNAL, BE2WADA.

PRESENT :

SRI P. MARKANDEYULU, MA., B.t.,
Industrial Tribunal

In the matter of an industrial dispute between the manage-
ment and the workers of Sri Bamachandra Spinning and Weaving
Mills, Pandalapaka.

AWARD.

By G.O. Ms. No. 2991, Development, dated 10th
July 1947, an industrial dispute between the management and
workers of Sri Ramachandra Spinning and Weaving Mills, Pandala-
paka, regarding the closure of the mills has been referred for adju-
dication to this tribunal. On the very next day the Government
passed another G.O. Ms. No. 3031, Development, prohibiting,
under section 10 (3) of the Industrial Disputes Act, 1947, the conti-
nuance of the lockout in the mills which had been in existence
since 1st July 1947.

2. The events that lead up to the reference ior adjudication
may briefly be stated. The Sri Ramachandra Spinning and
Weaving Mills were started in or about 1928 at Pandalapaka by
three partners, Karri Bhami Reddi, Dwarampudi Subbi ftedcti and
UndavaTli Chellamma and it is stated that each of them contri-
buted a capital, of s. 40,000. In tibe beginning of 1945 the
workers in the mills formed themselves into a Union t called the
Pandalapaka Factory Labour Union and began to make demands
for an increase in the basic wages and for the payment of a
ddawiesff allowance on account of the rise in the cost of living.
On 27th Setrtfember 1946 the Government of Madras passed!
Q-.O. No. 8671, Development, under ttele 81 (0) o'f the Defence of
India Rules, referring (he qttestion of the payment of a clearness
allotfaaec to the Workers in R&tn&chandra Spinning and Weav-
ing Mills and 8trryanrayana 'Spinning and Weaving Milts at
Pandalapaka to the ad)'w|ic$$on of Ithan Bahadur p t

GOYT. QBJDTOS ON THE JUSCOMMESU>ATIONS OF

Sahib Bahadur who, was then the District Judge of Bast Goda-
vari. Before this, the Government have appointed .in July 1946
Sri Hao Bahadur M. Venkataramayya as a Court of Inquiry under
the Trade Disputes Act, 1929, for reporting on the conditions
of 'labour in the textile industry in the Province and on 6th Nov-
ember 1946 they appointed him as an adjudicator for considering
the question whether any intemii relief should be given immedi-
ately to the workers in the textile mills. Mr. Venkataramayya
submitted his interim award on 9th December' 1946 by which he
recommended among other things an increase of Us. 1 6 per men-
sem in the wages of the workers in Kamachandra Spinning and
Weaving Mills and Suryanaravana Spinning and Weaving Mills,
Pandalapaka {see page 80 of Mr. Venkataramayya' s printed award
published by the Government of Madras in 1947). The Govern-
ment accepted the award and passed G.O. Ms. No. 4637, dated
18th December 1946, declaring that the award should be binding on
all the textile mills in the Province and the workers therein for a
period of one year in the first instance and that it should remain
in force thereafter subject to such conditions and for such period
as the Provincial Government might specify.

8. Mr. Sherfuddin, the adjudicator appointed in September
1946, submitted his award on 2Srd December 1946 recommending
the pavment of a dearness allowance to the workers in the "Rama-
chandra Mills and Survanaravana Milk at the rate of Rs. 8 a
month to male adults, Rs. 6 a month to female adults and Bs. 4 a
month to juvenile workers with effect from 1st October 1946.
The Government aerated this award and issued G.O. Ms. No. 39,
dated 4th Januarv 1947 directinor that the award should be bind-
ing on the managements and the workers of the two mills " for
a period of one ve,ar in the first instance or until it is revised bv
specific orders of the Government on the report of the Court of
Enquirv now investigating the conditions of labour in the textile
industry and thereafter shall remain in force subiect to such condi-
tions as may be imposed for such period as the Provincial Govern-
ment mav specify." The effect of Mr. RherfuddiVs award anfl
Mr. Venkatararnavva's interim a-ward, both of which had been
accented bv th* Government, is tho* the workers in the two mill*
shouM eret the Jncrease ir wn-eres of PS. 6 -per mensem n warded bv,
Mi;. Venk*taramn,wa as well aff the dearnea allowance awsrded
hv, Mr. , Sherfuddin with effect from 1st October 1946.

4. On, 35th Anril 1947 the Government issued G.O. Ms. No.
1629 conyertinp Mr. Venkatetamayva 'from a Court of EnmnW
into -an industrial tribunal under the Industrial Disputes, Act. 1947.'
had ^een in force since 1st Atml 1947. Mr. Venltata-
ave^hfe final award on 19th June' 1947 bv which 'lie
a basic Wf^pOf Bs. 26 r>er. mensem for all the textile rniHs
Province and frfso, <Krec*^d flle pavrnent of a clearness afloW*
w$Jv effect from flat Anp'l t*W7 a* tb* rate of three umia^ner
in respect of;, certain mnfjfs an<l As, 2^5 per "point fn rnpecf.

INDUSTRIAL TRIBUNALS OB ADJUDICATORS 85

of certain other mills on the cost of living index fixed for Madras
City above 100 points. We are concerned in this case Only with
the .Ramachandra Spinning and Weaving Mills and, so far as
these mills are concerned, his award is that the workers should
get dearness allowance at the rate of As. 2-6 per point on the
cost of living index over 100 points. (See pages 13 and 64 of
Mr. Venkataramayya's printed award.) This is what he says at
page 64 of his award with regard to Sri Bamachandra Spinning
Mills : *

" This is a mill of over 6,000 spindles and their ability to
pay the interim relief and the dearness allowance cannot be
doubted. Moreover this mill comes within the award of the
industrial tribunal which has been submitted to Government and
therefore, must pay the wages and dearness allowance as recom-
mended therein in respect of this mill, subject to this condition
that such payment as per the final award shall be made after the
expiry of one year from the date of the District Judge's award.
The other recommendations made concerning mills in the province
of this size shall apply to this mill and must be given effect to."

5. The Government issued G.O. Ms. No. 3080, Development,
dated 15th July 1947, on the basis of Mr. Venkata-
ramayya's final award declaring it to be binding on the manage-
ments and the workers of all the textile mills in the province of
Madras and also directed that the award should come into opera-
tion on 1st April 1947 and remain in operation for a period of one
vear. The effect of this Government Order in my opinion is that
Mr. Sherfuddin's award and Mr. Venkataramayya's interim award
are superseded by Mr. Venkataramayya's final award with effect
from 1st April 1947 and that from the date it is only the wages and
dearness allowance fixed by Mr. Venkataramayya in his final
award that should be paid by Sri Bamachandra Spinning Mills to
its workers. I may add that there is no dispute before me that
the wages and dearness allowance fixed by the various adjudicators
have notibeen paid at all and it is conceded on behalf of the workers
that the arrears of wages, etc., due to them up to and "including
30th June 1947 were paid to them on that date.

6. On llth June 1947 the management of the Kamachandra
Spinning Mills sent a notice to the Inspector of Factories, II
Circle, Bajahmundry, informing him that it had been decided to
close the mills from 4th July 1947 as they had been suffering loss
on account of the payment of the increased wages and allowances
under the Awards of the adjudicators and also on account of the
high price 'of cotton >arid sent a copy of the notice, "Exhibit E to
the President 6f the Pandalapaka Factory Labour Union. To this
the Secretary of the Union sent a reply, Exhibit ITT, dated 16th
June 1947, protesting against the decision to close the mills and
pointed; put thai it constituted a breach of the terms of 'the awards
made by the adjudicators. The mills were closed on 1st July 1947
and they have remained closed ever since.

36 GOVT. OBDJER8 ON THE RECOMMENDATIONS OF

7. As already stated the Government referred the dispute to
this tribunal for adjudication on 10th July 1947 and on the very
next day they passed another Government Order prohibiting the

continuance of llie lockout under section 10 (3) of the Industrial
Disputes Act.

8. The management filed a statement of their case in October
1947 in which it is alleged that they were forced to close down the
mills from 1st July 1947 as they had incurred heavy losses on
account of the rise in the price of cotton and on account of the
heavy " salaries " recommended by the adjudicators (Mr. Sher-
fuddin and Mr. Venkat&ramayya). It is pointed out that the
management had to pay between 30th October 1946 and 30th
June 1947 a sum of Es. 42,466-11-0 to the workers for arrears
of wages and dearncss allowance and that during the financial
year from 1st April 1946 to 31st March 1947 they suffered a loss
of Ks. 15,941-13-2 and from 1st April to 30th June 1947 they
suffered a loss of Rs. 16,419-7-9.

9. The Pandalapaka Factory Labour Union filed a statement in
the same mouth in which it is alleged that the closure of the mills
is not justified and that the lock-out declared by the management
is illegal inasmuch as its continuance has been prohibited by the
Government under section 10 (3) of the Act. It is also alleged
that the management wilfully delayed giving effect to the awards
of the two adjudicators for a period of six months and that they
ultimately paid the arrears of the clearness^ allowance, etc., due to
the workers only after pressure has been brought to bear on them
by the Government and their officers. It is also alleged that a
number of workers have been wrongfully dismissed and that the
wages and clearness allowance due to them have not been paid.
Lastly, it is contended that the workers are entitled to their full
wages and dearness allowance as per the adjudicators' awards for
the entire period during which they are in force.

10. On 18t'h November 1947 while I was camping at Cocanada
the Factory Labour Union filed a supplementary written state-
ment with substantially the same allegations as those contained
in their previous written statements.

11. The two following issues have been framed witH the con-
sent of both sides :

(1) Are the mills justified in closing down from 1st Tilly
1947?

(3) Are the workers entitled to wages and dearness allowance
for the full period during which the award of the Industrial Tri-
bunal is to be in force according to the orders of the Local Gov-
ernment. The other cdntentions of the Labour Union were given
up.

' tQ- Issue !.< I have fthwflv stated that the management of
tfo Bftmftehft.ndra Spinning 1 Mills sent a notice to the workers on
lllh June 1947 informing them 0f their decision to close the mills

INDUSTRIAL TBIBtTNAliS OB ADJUDICATORS ?

from 1st July 1947 and actually closed them on the latter date.
The closure of the mills amounts to a lockout as detined in section
2 (1) of the Industrial Disputes Act, 1947. A lockout 'is detined
there as the closing of a plaee of employment or the suspension
of work or the refusal by an employer to continue to employ any
number of persons employed by him. Whatever view may be
taken with regard to the legality of the closure on 1st July 1947
there can be no doubt that after llth July 1947 it is illegal and
that it continues to be illegal till the conclusion of the proceedings
before this tribunal. For, on llth July 1947 the Government of
Madras issued G.O. Ms. No. 8081, prohibiting the continuance of
the lockout in the Kamachandra Spinning and Weaving Mills
under section 10 (3) of the Act. Under section 26 (2) of the Act
any employer who commences, continues, or otherwise acts in fur-
therance of a lockout which is illegal under tins Act shall be punish-
able with imprisonment for a term which may extend to one month
or with fine which may extend to Rs. 1,000 or with both: From
this it follows that the workers in the mills are in any event enti-
tled to their wages and deavness allowance from 12th July 1947
till the publication of this award by the Government by means of
a Government Order [.vrc section 20 (tt) of the Act. ]

13. It was argued by the learned advocate for the mills that
there has never been an industrial dispute between the manage-
ment and the workers in these mills and that therefore the
reference to this tribunal for adjudication is incompetent. This
contention cannot be accepted. An industrial dispute is defined as
follows in rectum 2 (k) of the Act : -

4< Industrial dispute " means :tnv dispute or difference
between employers and employees, or between employers and work-
men or between workmen and workmen, which is connected with
the employment or non-employment or the terms of employment
or with the conditions of labour of any person."

14. The dispute between the management and the workers in
this case is whether the mills should be closed or they should
remain open. It is therefore a dispute which is connected with
the employment or non-employinent of the workers in these mills
of whom there are about 400. If the mills are closed, about 400
workers are thrown out of employment whereas if the mills are
open the same number of workers will find employment. I there*
fore hold that there is an industrial dispute between the manage-
ment and the workers in this case and that the reference by the
Government to this tribunal is competent under the Act.

15. It was next argued by Sri C. B. Dikshitulu for the mills
that it is not open to this tribunal to go into the question whether
Use continuance of toe lockout after llth July 1947 is illegal or
not because the reference to this tribunal was made on 10th July

aai the Government Order prohibiting the continuance of
lochont was pawted subsequently, though on the very next

tf GOVT. OHDBKB ON THfc KliOOMMfiNDATIONS Otf

day. His contention appears to bo that the only question that 1
aiu competent to decide is whether the closure ot Jthe mills on
1st July 1947 is justified or not and that 1 cannot take note of
anything that has taken place after the reference to this tribu-
nal. 1 cannot accept this contention either. If during the pen-
dency of a suit or proceeding a new enactment is passed by the
legislature which has the ettecfc of altering or modifying .the law
applicable to the case, the court is bound to take notice of it and
give effect to the new enactment. Similarly if, after a reference
to a tribunal, the Government issues a notification on which makes
the continuance of the strike or lockout illegal the tribunal is
bound to take note of it and to say that whatever may be said
about the legality of the strike or lockout on the date of the refer-
ence, it certainly has become illegal after the notification by the
Government under section 10 (3) of the Act and that it continues
to be illegal till the conclusion of the proceedings before the
tribunal. , ,

16. I shall now consider the question whether the lockout
declared by the management on 1st July 1948 is legal and justified.
It is argued on behalf of the labour union that the lockout is ille-
gal from its commencement inasmuch as it was declared while the
final award of Mr. Sherfuddin and the interim award of Mr. Ven-
katrarnayya were m force and reliance is placed on section 23 (c)
of the Industrial Disputes Act, 1947 which is as follows :

No workman who is employed in any industrial establish-
ment shall go on strike in breach of contract and no employer of
any such workman shall declare a lockout.

* * * *

" during any period in which a settlement- or award is in
operation in respect of any of the matters covered by the settle-
ment of award/'

17. It will be seen that two conditions have to be satisfied
before a lockout can be said to be illegal under section 23 (c) : (1)
it must be declared while a settlement or award is in operation,
and (2) the lockout should be in respect of any of the matters
covered by the settlement or award. In the case before me the
first condition is certainly satisfied. , I have already stated that
after the passing of G.O, No. 3080, dated 16th July 1947 the final
award of Mr. Venkataramayya has come into force with effect
from 1st April 1947 in supersession of the award of M.r. Sherfud-
din and the interim award of Mr. Venkataramayya. Now the
question is whether the second condition specified m section 23 (c)
of the Act has also been satisfied. The adjudicator Mr. Venkata-
ratnayya has directed that the Ramachandra -Spinning and Weav-
ing Mills should pay the basic wage and deaftttss allowance award-
ed by him for stich period as the Government may prescribe and
the" Government has < passed *a- Government Order directing that
ffie%ages ancf the dearmfes Allbtttace awarded by th*.,adjodioatbr
sfioiild fce pafd by the mtaaf?ero3ht of the feflls for * period of one

INDUSTRIAL TlUBUNALfc Oil ADJUDICATORS 'Jl>

year from 1st April 1947. This necessarily means that the oiills
should remain open and not be closed during this period/ tot if
they were to be closed how could the workers get the wages and
the clearness allowance recommended by the adjudicator? 1 there-
fore hold that, though there is no specific direction either in the
award of Mr. Venkatrarn&yya or in the Government Order, dated
15th July 1U47 passed by the Government to the eilect that the
mills should be, working tor a period ol one year there ia by neces-
sary implication a direction to this effect in the award as well as
in toe Government Order. Of course there may be cases where
the mills have to be closed for reasons over which the manage*
ment have 110 control and tor which they cannot juatly blamed,
such as an act of God. But the implied prohibition in the award
of Mr. Venkataramayya and in the Government Order is to the
effect that the mills snould not be closed for the period that the
aWard is in force as the result of any deliberate act or omission oil
the part of the management.

1&. it was argued by Mr. 0. ix. Dikshitulu for the inan^o
ment of the mills that the question whether the management would
be justified in closing down the mills on the ground that .they
have suffered losses in the past has not been considered by any
of the adjudicators, that no finding is given on that question, and
that Jt is uieiclore perfectly open no the management to close uhd
mills on Uub ground and that this is not a matter which is covered
by the aw a,rd su as to attract the operation of section 23 (c) of the
Act. This contention cannoi. be accepted. At page 64 of his
final award Mr. Venkataraaiay>a observe* as loilows with regard
to Sri liamachandra Spinning Mills and Buryanarayana Spinning
Mills, Pandlapaka ;

" There is really uo dispute in ihede nulls. Ah that the
management tells me is that they arc unable to pay the interim
relief granted by the Court of Enquiry and the dearness allowance
allowed by the adjudicator , the District Judge of East Godavan."

19, Immediately afterwards he says with regard to Sri Kama-*
chamdra Spinning Mills that " this is a mill of over 6,000 spindles
and their ability to ; pay the interim relief and dearness allowance
cannot be doubted." From these observations of Mr. Venkfota~
ramayya it is clear that the question of the capacity of the mills
to pay the increased wages and dearness allowance was raised
before him that it was considered by him, and that he came to 'the
conclusion that; the financial resources of the mills were such' as
to enable them to implement the award for the period that ft was
in force. For these reasons 1 hold that ihe second condition in
fteetion 23 () of the Act is also 1 satisfied and thftt the declaration
of the tockouti on 1st July 1947 is jllegal as it is in respect of a
m&tte'f; covered by the' final award of Mr. Vertkataratnayya.

/ 20, ^ Apart from t% legqJTposition even on the merits, I am o
the opinion that there is no justification for the closure of the mill*
from 1st July 1947. The case of the management is that they had
6

GOVT. OADBB8 ON THfc KECOMMfiNDATiONS OF"

suffered a k0 of tia. 15^4-i^^, in the tnancial year
and a loss, of Ks, 15,419-7-9, for the three months from 1st April
to 30th Juae 1947, a*d that tbay therefor* decided to close
the mills from 1st July 1947. To tteae losses, according, to the
wonagettwt should be added a sum of Bs. 42,466-llH) whojch is
the arrears of dearness allowance due to the workers, from 1st
October 1946 to 30t<h June 1947 under the awards of the two. ad-
judicators' Mr. ftheriuddiu and Mr. Venka.taramayya and which
was pftid to them on 30th June J1947. The management have filed
their account books, Exhibit A series, B series and C series in sup-
port of their contention* They have also filed Exhibits I series
which are extracts from their account books for the years 1941-46.
But curiously enough they have not filed an extract for the ye^r
1946747. Mr. C. v . K. Bao, who cross-examined the manage-
ment's witnesses on the account books has elicited a number ot
facts which go to show that the accounts have not been
properly kept and that the profit and loss for each year have not
been correctly arrived at. I shall briefly refer to some of the
ircegotoritiee in febe way the accounts are kept (1) The three
proprietors of the mills have got other business besides the Bama-
okaadffai Spinning Mills. They got the Mohana Bamachandra
IJice Mill* and the Badhakrishna Bice Mill at Pandalapaka and the
Bamaehanchr? Cotton Spinning Mill at Cocanada. The profit and
loss from these business have also been included in the accounts
relating to the Bannaehandra Spinning Mills, which in my opinion
is a serious irregularity. IB the extract filed for 1945-46 a sum
ef K. 1,902-13-0 is included in the expenditure of the milla
whj#h. is really the expenditure incurred for engine repairs to
Mohan$ Baiaachandra Bioe Mill which has nothing to do with the
Rarnachandra Spinning Mills. [See Exhibit I (3).] In*'tbfr
same statement is included an item of Bs. 1,642-5-6 which is
the, " rent and loss ou account of Mohana Bamachandra Bice
Mill".

. 21. The extracts, Exhibit I series, filed by the management
sbqw thpbt every year interest was being taken by the partners on
the oajutaJ invested by them. Exhibit I (3) shows, that a sum of
30,602 and odd was paid towards interest in the year 1945-46.
Exhibit A the ledger for 1945-46 we find that out oLthis
a sum of nearly Bs. 34,000, was taken as interest by tfa
tiwo partjje^s, Sri Ehanu Beddi and Sri Subbi Beddi (see page 8ft1
ojf Rxjiibit A.,) It is said that each ol the three partners haa eOBn
kibuted a capital of BB. 40,000, From , Exhibit I (3) it ia atea
0>%t in the year 1946*46. the "Ramachandra Spinning Mills inemred
a low of Bs. 8,354 and odd* AccoHiiig. to section ia (e) of the
part^rship Act, a partner who, is entitled to interest on the capital
Subscribed by him shall take it only from the. profits and i*no
entitled to any interest if t^e business ends in loss, The payment
Q{ nearly "Rs. 24,000 to two of the partners in the ve^r 1945-46 is

/gl-bss irre^nlarity and, it this item id excluded, we find tnere id np
at all in that vear. .

INDUSTRIAL TRIBUNALS OR ADJUDICATORS 41

23. We find tbe same irregularity in the accounts for 1946-47
ako. It has been elicited in the cross-examination of raanage-
menl's witness 2 that in 1946-47 a sum of Rs. 26,376-3-0 and
odd was paid as interest and that out of this amount a sum of
about Es. 24,000 was paid to the three proprietors (see page 782 of
Exhibit A-l). If this item is excluded, we find there is no loss at
all in that year, fot the loss shown by the company is only a sum
of Bs. 15,944-13-2

24. Management's witness 1, Karri Rama Reddi, has deposed
that the two male partners, who are the working partners, get
a bonus of 6J per cent on the profits and that no bonus is payable
if the year ends in a loss. But we find that the proprietors have
taken bonus even when the business ended according to them in a
loss. In 1915-46 they took a sum of Rs. 948 and odd as bonus,
when according to them, there was a loss of Rs. 8,354 and odd [see
Exhibit T ()]. Again in 1944-45 they took a bonus of Rs. 5,981
and odd when there was a loss of Rs. 72,572 and odd [see Exhi-
bit I (<*)"].

25. Another irregularity relates to the manner in which the
cost of the new machinery has been dealt with in the accounts. It
is treated as an item of routine expenditure and is added to the
losses. For instance, in the year 1946-47, more than Rs. 40,000
was spent on repairs to the mills and purchase of machinery (see
page 662. of Exhibit A-l). It is not known how much was spent
on repairs, and how much on the purchase of new machinery.
The cost of machinery must have been much more than the cost
of repairs. This large sum of Rs. 40,000 and odd is included in
tbe profit aud loss account and as already stated a loss of Rs. 15,944
and odd is arrived at. This method of accounting, in my opinion,
is incorrect.. The purchase. of new machinery is really an invest-
ment of capital or an item of capital expenditure and cannot be
taken into account in the calculation of profit and loss.

26. From the foregoing, it will be seen that the Ramachandra
Spinning Mills have not sustained any loss in the financial year
1946-47* When there was no loss in the previous year, there was
no justification for closing down the mills abruptly from 1st July
1947 as tb* management have done. As regards the plea that they
have sustained a loss of Bs. 15,000 and odd from 1st April to
30th June 1947, it is most surprising that the management should
have calculated profit and loss for a period of three months in
the middle of the year. No man of business would do so. Even
here, it will be noticed that the partners have taken a sum of
R&. 6,127 as interest on their capital for these three months (see
Exhibit A*3 the statement of accounts) and I have already stated
thM this ta irregular. The management had to pay a sum of
Rs. 42,466 and odd as arrears of wages and dearness allowance to
th worker* for a period of niae months from 1st October 1948 and
this amount was paid on 30th .Tune 1947. They would add

42 GQVT. ORDERS ON THE RECOMMEND ATIONfiT OF

amount to the alleged tosa of Es. 16,419 and odd and make out that
thtfy suffered a toss of KB. 57,866 and odd for the three montife
~April, M^y and June 1947. ' This is an ingenious method.
Mr. Venkataramayya's award was published by the Government
in December 1946 and Mr. Sherfuddin's award in the beginning
of January 1947. The wages under these awards are payable with
effect from 1st October 1946. The management did not make any
payments under these awards for a period of six months and when
pressure was brought to bear on them by the Government. the>
paid the arrears on 30th June 1947 and closed the mills on 1st
July 1947. If the management had paid the wages and the dear-
ness allowance promptly and punctually every month, this sum of
Hs, 42,466 and odd would have been evenly distributed over all
Ihe months and probably no loss would have resulted. However,
as already stated the management had no justification whatsoever
for closing the mills in the middle of a financial year. The closure
of the mills is, in my opinion, more a protest against the awards of
the adjudicators thnn a -prudent act of management necessitated
by the financial position of the mills.

27. My finding on this issue, therefore, is that there is no
justification for the closure of the mills from 1st July 1947.

28. An attempt has been made by the factory labour union
to show that the management of the mills have not brought to
account all the yarn produced in the mill and that a portion of it
was being sent to the black-market for sale. But this serious
charge has not been proved. This argument is founded on Exhi-
bits II series which are statements showing the production of yarn
and which are s-nd to have been prepared hv ore "Karri Satva-
narayana Beddi, a clerk of the mills. It is conceded by the
management's witnesses that pink sheets like Exhibits TT series
are in use of the mills but it is denied that Exhibit TT series
were -prepared bv anvone in their service. Karri Ratvanaravana
has not been examined and there is no proof that these documents
were prepared by anyone in the mills at the direction of the
management.

29. Issue 2. From mv finding 1 on the first issue, it necessarilv
follows that the workers ,in the mills are entitled to the wagen and
flenrness allownnce according to Mr. Verikataramawa't* ftnal award
which is declared bv the Government to be binding on both the
parties in G.O. Ms. No. 3080, "Development, dated 15th July 1947.
According to this Government Order, the award comes into opera-
tion on 1st April 1947 and remains in operation for a period of
one year. i,e., till and- including 31st March 1948. The arreari
due to the workers- tilt and including, BOth June 1947 have admit-
tedly .been paid. They ar6 now entitle^ to &et their b4sfe wagfe
of Bs. 26 per month, and clearness allowance at the "rate of As. fc-6
pea: po$ ,on* the, cost of living index over 100 potnta from 1st July
1947 till and inclining' 31si March 'J$48 anfl it la or&tfecl' accord-
ingly*

INDUSTRIAL TRIBUNALS OH ADJUDICATORS 49

Order Ms. No. 338, Development, dated 23rd January 1948.

Whereas the award of the Industrial Tribunal, Bezwada in
respect, of the industrial dispute between the workers and .the
management of Sri Hamachandra Spinning and Weaving Hills
about the closure of the mills has been received ;

Now, therefore, in exercise of the powers conferred by section
15- (2) of the Industrial Disputes Act, 1947 (Central Act XIV of
1947), His Excellency the Governor of Madras hereby declares
that .the award shall be binding on the management of Sri Rama-
chandra Spinning and Weaving Mills, Pandalapakka, and the
workers employed therein, and directs that the said award shall
<*ome into operation on the 23rd day of January 1948.

(By order of His Excellency the Governor)

K G. MENON,
Joint Secretary to Government.

VII

BEFORE THE INDUSTRIAL, TRIBUNAL, BEZWADA.

Siu P. MARKANDEYALTT ) Nf . A ., n.r.
[Under the Industrial Disputes Act, 3917.]
IN THE MATTER OP AN INDUSTRIAL DISPUTE.

Between
8BI RAMA SUGAR MILLS, BOBBIL1

and

THE WORKERS.
Award in terms of the memorandum of compromise.

G.O. Ms. No. 456, Development, dated 2nd February 1948.

[Labour Disputes Dispute between the workers and manage-
ment r of Sri * Rama Sugar Mills, Bobbili Recommendations
of the Industrial Tribunal, Bezwada Orders passed.]

REAP the fol'owing paper :

0)
G.O, Me. No. 5699, Pevelopment, dated 9th December 1947.

(2)

From the Infatfrial Tribunal, Brzwadp. daied 24th Janrary 1948,

No. Nil

BEFORE SRI P. MARKANDEYULU, M.A., B.L.,
Industrial Tribunal, Bezwada.

[In tbe matter of the industrial dispute between the mnna 29 Trent
and workers of Sri Rama Sugar Mills, Limited, BobMN. refer-
red to this Tribunal for adjudication in G.O. Ms. No. 5699,
- , JDeyelopmo&t, dated 9tb December 1947.] t

44 OOVT. ORDERS ON THK RECOMMENDATIONS OF

AWARD.

When I visited Bobbili at the ond of December 1947 iu
connexion with the above industrial dispute, the Management
of the Sri Rama ^ugar Mills, represented by the Secretary Sri
R S- Rao and the labour union represented by Sri K. 8. Tilak,
the President, both reported to me that the dispute had been
amicably settled between the parties on 29th November 1947 and
in support of the statement filed a memorandum of compromise
with a schedule of scales of pay attached, signed by both of
them which is annexed hereto.

The President of i.he labour union said that he did nob want
an award in terms of the compromise but the Secretary of the
management said that it would be better if an award was passed
in terms of the compormise bat that he did not press for it.

I think it is desirable that the agreement between the parties
should be embodied in the form of an award passed by the Tribu-
nal so that it can be enforced between the parties if either of them
does not abide by it. I therefore hereby pass ati award in terms
of the memorandum of compromise, dated 29th November 1947,
filed before me.

ANNEXUKE.

In reply to the memorandum of grievances submitte 1 by the Sri Rama Sugar
Mills Labour Union, tru man ige.nent, after % due consideration, hav agreed
to grant the fallowing :- -

1. Increase of basic salaries for the different classes of workers as per
grades, a schedule of wh.ch is herewith attached.

2* Doarness allowance at As. 2 p-r point aft^r deducting the first 100
points.

3. Bonus of one month's salary including existing dearneas allowance
from profits earned during 1946-17. This bonus has already been paid on the
day preceding Dipavali.

4. Regarding the payment of future bonuses, it is not expedient or
practicable nor even possible to make any definite promises because the
payment of bonus will depend on conditions obt lining in future years which
have yet to happen and cannot now b^ ascertained. However, the company is
prepared to pay one month's bonu* provide 1 sufficient profits are earned in future
years.

5. It is not possible to grant dearness allowance or bonu* with
retrospective effect as it would mean re-opening of past appropriations which
would mnke business impossible.

6. When steel, cement and building materials are available suitable
quarters will bo provided for the permanent employees of the company.

7. The seasonal rmpl >yees of the company will be given the same facilities
AS the permanent, employees regarding basic salaries and dearaesd allowances.

8. Provident fun 1 for the permanent employees has already been started.

9. The following leaves with full pay will be granted to the permanent
employees !

Tea dy sick leave.
> .. Ten days casual leave..
Ten days privilege leave.
In addition, seven days festival holidays with full pay will be continued.

IKUUSTIUAL TlU,UUNAL.ti OR AUJUJ)1CA'I OHH

10. Privilege leave will be allowed to accumulate f two years but the
accumulate d privilego leave cannot be availed of in one stretch during crushing
season.

11. When a worker works in a higher post for a period of ten days or more
in any month, he will bo paid the wages of that higher post.

12. New scales of pay and doarness allowances would como into force from
1st November 1047.

13. Those workers who are drawing higher basic salaries at present than
the grades to which they belong, will continue to draw the same basic wage.

For the Sri Rama Sugar M L'A, Limited.
B. 8. flAO,
Secretary.

Bobbili, 29th November 1947.

ENCLOSURE.

THE SKI RAMA SUGAR MILLS LIMITED, BOBBfLI AND
SEETHANAflRAM.

STATEMENT SHOWING PIIOPOSED SCALES OF FAY.
Mcclianical Department.

Minimum
lay.

Increment
per year.

Maximum
pay.

1

Fitters- -

A grade

60

8

75

J* grade

.6

4

3f>

grade

20

25

2

Turners

A Grade

35

8

50

B grade

25

4

35

grade

20

25

3

blacksmiths

A grade

3.1

8

50

B grade

i!5

1

35

C grade

20

25

4

Moulders

A grade

35

8

50

B grade

20

25

5

Beltmen

'<)

4

10

s

6

Engine . rivers

12

C

8

15

7

Boiler attendors

A grade

35

8

r>o

B grade

25

4

35

C grade

20

C

25

8

Firomon

A grade

12

(

1 8

50

B grade

9

(

> 4

10

8

Fire cleaners

8

12

[> 4

10

10

Fitter helpers

12

) 8

15

0.

0.

11

Calasies

A grade

12

8

15

B grade

o

4

10

8

12

Sarang

A grade

35

1 8

60

B grade

2")

I 4

35

13

Qenoral coolies

8

12

, .

14

Electricians and wiromen

A gratfe

25

1 4

35

B grade

20

1

25

15

Store boys

8

12

16

Hammermen

4

10

8

17

Cane maistriea

10

8

12

18
19

Lathe helper
Oilbovs ..

12
8

12

4

) 8

16

I'eriod
required to

reach
maximum.

YRS.

10
8
5

10
8
5

10
8
5

10
5
6
6

10

8
5

6
6
5

6

6
6

10

8

46 GOVT. oilDtiilS ON Tlffc ftKOOMMftNDATtONS 01'

Order Ms. No. 456, Development dated, '2nd February 1948.

Whereas the award of the Industrial Tribunal, Bezw.,da, in
respect oft te industrial dispute then existing between the workers
and management of Sri Kama Sugar Mills, Bobbili, has b on
received.

2. Now, there ore, in txercise of the powers conferred by
section 15 (2) re.id with section 19 (3) of the Industrial Disputes
Act, 1947 (Central Act XIV of 1947), His Excellency the Gover-
nor of Madras hereby declares that the said award shall be
binding on the management of Sri Kama Sugar Mills, Bobbili,
and the workers employed therein an i directs that the said
award shall come into operation on tho 2nd day of February
1948 and sha 1 remain in operation for a period of one year.

(By order of His Excellency the Governor)

K. G. MBNON,

Joint Secretary t Government.

VIII

BKFOKK THE INDUSTRIAL TRIBUNAL AT CALICUT.

N. D. KRISHNA RAO, tisq., M.A., HAK.-AT-LAW, I.C.S.,

District and Sessions Judge of South Malabar.

[Under the Industrial Disputes Act, 1947.]

IN THE MATTER OF AN INDUSTRIAL DISPUTE.

Between

THE MANAGEMENT OF K. P. NKELAMIU AND SONS
AND OF ALL HANDLOOM FACTORIES IN CALI-
CUT

and
THE WORKERS.

Subject.- Whether the demand for dearness allowance, and
bonus are matters of industrial dispute, as defined in the Act. Held
that the workers can logically claim payment of reasonable dear-
ness allowance and reasonable bonus a& implied term of their
employment and that they are matters of industrial dispute as
defined in the Act.

INDUSTRIAL TBIBUNALS Oil ADJUDiCATOllS 47

2. Wages Whether should be revised and if so in what way.
Held that the figure given as the requirement of working class
family is arbitrary,

that the ultimate test in fixing the workers' remuneration
must necessarily be whether the industry can afford the wages.

Held further that as the Award will be in force for one year
there is little purpose in fixing the minimum wages.

M

Held that the wages have not increased in proportion with the
rise in the cost of living.

Awarded wage increases varying with the job and 100 per cent
of the basic wage as dearness allowance.

3. Bonus. HM that all the managements except Lotus Indus-
trials should pay three months 5 basic wages as bonus and that if any
other factory proved to the satisfaction of the Government that
they cannot be required to pay bonus, the Government may remit
or reduce the bonus. J3onus payable will be subject to conditions.

4. Victimization of workers. (1) Held that the charge that
the workers in the dyeing section were wantonly reduced is not
correct. The management have proved that their yarn supply has
been reduced.

(*2) Held that the charge that the workers had been compelled
to work for more than 8 hours without payment of overtime wages
is not sustainable in the face of the management's letter to the
President of the Union.

(13) Held that carpenter Gopalan was not dismissed without
reason. He uas purely a temporary hand who had to be discharged
when the permanent workers returned to duty.

(4) Held that the charge that V. T. Chathukutti was not
re-entertained when he returned to work has not been substan-
tiated.

. (5) Held that nalli carrier Kumaraii was not re-employed as
he did not return to work.

(6) Held that the charge that women were forced to rewind
the bobbins contrary to agreement is not proved.

(7) Held that the charge that Andikutty was transferred to
Packing Department is not substantiated even by the evidence of
the worker himself.

(8) Held that V. Raman was . transferred to some other
department without reduction of wages owing to exigencies of
management.

Held that there was no case of victimization of the workers after
20th November 1946.

7

48 GOVT. ORDERS ON THE BECOMMfcftDATlONS OF

G.O. Ms. No. 564, Development, dated 8th February 1948,

[Labour Disputes Disputes between the workers and manage-
ment of Handloora Factories in Calicut Kecommendation of
the" Industrial Tribunal Orders passed."]

HEAD the following papers :

(i)

G.O. No. 4731, Development, dated 6th October 1947.

(2)

From Mr, N. D. Krishna Ilao, I.G.S., District and Sessions

JwJyr, South 'Malabar, Calicut, dated 12tfe January 1948,

No. nil.

IN THE COURT OF THE INDUSTRIAL TRIBUNAL AT

CALICUT.

PHESKMT :
N. D. KRISHNA EAO, ESQ., M.A., BAH. -AT- J JAW, I.C.S.,

District and Sessions Judge of South Malabar
and Industrial Tribunal.

Monday, the Vtth day of January 1948.
INDUSTRIAL CASE No. 7 OP 1947.

Between

Messrs. K. P. Neelambi and Sons, Calicut and Managements
of all the Handloom Factories in Calicut,

and

Workers of Messrs. . P. Neelanibi and Sons, Calicut, and all
the Handlooni Factories in Calicut.

AWARD.

In G.O. Ms. No. 4734, Development, dated 6th October 1947,
the industrial dispute which had arisen between the workers and
the management of Messrs. K. P. Neelambi and Sons, Handloom

INDUSTRIAL TRIBUNALS OK ADJUDICATORS i9

Factory, Calicut and the industrial disputes apprehended in other
handloom factories in Calicut, have been referred to me for
adjudication under the provisions of the Industrial Disputes Act,
1947. A list of the handloom factories in Calicut is given in
Appendix I together with some particulars relating to their work-
ing. The representatives of the workers in these factories have
various complaints regarding the employment and the conditions
of labour in them. But they desired immediate relief in the matter
of wages and bonus and have therefore limited their complaints in
this inquiry to the questions appearing from the following
issues :

H) Whether the existing wages should be revised and if vSu,
in what way.

(2) Whether dearness allowance is not a matter of industrial
dispute as defined in the Act.

(3) Whether bonus is not a matter of industrial dispute as
defined in the Act.

(4) What bonus should be paid to the workers for the
account year ending not later than Hist March 1917.

(5) Whether there was any victimization of the workers
after the agreement, dated the 20th November 1946 between the
workers and the management of Messrs. K. P. Neelambi and Sons,
Handloom Factory in Calicut, and if so, what relief should be
granted.

All the parlies agreed to treat as part of the record, the material
gathered in three previous references to me for adjudication
between them, because the present comprehensive reference
supersedes the previous ones.

2. Issues 2 and 3. These two issues have been framed at the
instance of the managements. With regard to dearness allowance,
there contention is that it i? not a term of the wage contract
between them and the workers, and that its payment is
not obligatory, as proved by the fact that their right lo
vary 'the clearness allowance from time to time 'has never been
challenged. They advance the same argument as being even more
applicable to the matter of bonus, which they claim to be a purely
ex gratia payment. In my opinion, these propositions do not
affect the point at issue at all, because of the definition of an
11 mdustrial dispute " in section 2 (ft) of the Act as comprising
11 any dispute or difference between employers and workmen
which is connected with the terms of employment of any person ".
The workers claim the payment under the headings of both dear-
ness allowance and bonus, as part of the terms of their employ-
ment. They ask for dearness allowance on, the ground of increased
cost of living, and as the increase in the cost of living alters from

60 GOVT. ORDERS ON THE RECOMMENDATIONS OF

time to time it is in the nature of things that the allowance should
also vary. They ask for honus on the ground that the manage-
ments either have or ought to have made large profits and that the
workmen are entitled to a share in those profits. Their justifica-
tion for claiming a share is that it was the workmen's contribution
to production which rendered the profits possible, and that bonus
is really an integral portion of the workmen's remuneration, which
was left to be determined after the result of the enterprise was
known. There are precedents for holding that employees can
claim the payment of bonus, though not as a legal right as " a
matter of moral and economic right " (see the report of Lahore
Eletric Supply Company adjudication at page 106 of the Indian
Labour Gazette for September 1946) ; and all the more so, " when
their wages are below the living wage standard " (see the report
of Bombay City Textile Mills adjudication at page 586 of the
Indian Labour Gazette for June 1947). In other words, the idea
that the only possible place, for the profits of sin industry is the
employers' pocket must be regarded as obsolete. Therfore work-
men can logically claim not only the payment of reasonable dear-
ness allowance but also of reasonable bonus as implied terms of
their employment, I find on these issues that dearness allowance
and bonus are matters of industrial dispute as defined in the Act.

3. Issue 1. For the purpose of this issue, it is necessary to
set out briefly the prevailing systems and scales of wages in the
handloom factories at Calicut. Complete information is not
available as only some of the factories have put in appearance or
answered the questionnaire issued to them. The Calicut Handloom
Factory Owners' Association, which was formed in 1945 and of
which 38 factories are members, is not able to give details regard-
ing the absent factories. The Commonwealth Trust Limited,
The Standard Cotton and Silk Weaving Company, Limited, and
the Kerala Textiles, Limited, are not members of the Association
and only the first two among them are represented before me.
The workers' representatives very rightly sought to depend on the
books and the statements of the managements rather than adduce
oral evidence of individual workers. But in several instances the
materials furnished bv the managements are either inadequate,
incomplete or unintelligible. T have taken the Owners' Association
as speaking for all its members on matters common to them. T
have also derived valuable assistance from the statements furnished
by the Commonwealth and from my visits to their factories.

4. All the handloom factories at Calicut obtain their require-
ments of yarn from mills elsewhere, either directly or through
dealers. Only three of them, namely, the Commonwealth, the
Standard, and the Kerala Textiles got their yarn direct from 'the
mills at ex-mill prices. They got the full yarn ration and are
therefore able to give full employment each month to their workers.
The remaining 33 factories obtain such 'fractions of Iheir yarn ration
as are allotted to them by the Textile Control Department. Those

1NDUSTU1AL TlUliUNAl'S Oli ADJUDICATORS ol

having more than *25 looms get thejr supply from wholesale dealers
at ex-mill prices plus 7J per cent and those having less than
25 looms get their supply from retail dealers at ex-mill prices plus
J5 per cent. It appears that their receipts of yarn have been
steadily decreasing since 1945, and further that they have to suit
the patterns which they manufacture to the particular counts of
yarn which happen to be received. Owing to these reasons, they are
not able to ^ive full or steady employment to their workers, a fact
which has accentuated the disparity between the workers' earnings
und expenditure in a period of rising prices.

5. The workers in the hamllonm factories an; employed for
(1) dyeing or bleaching the yarn, (2) winding the \arn on nallis,
i.e., bobbins ami. pirns, (3) doubling (preparing for twisted yarn),
(4) warping, (5) healding, i.e., preparing now healds for weaving,
(6) wnrpinu- join ing and weji\in, (7) processing the manu-
factured cloth, (8) miscellaneous duties such as fitting and
repairing the looms, carrying nallis to warpers and weavers, pack-
ing and despatching the goods and other unskilled labour. Tn the
dyeing and bleaching department, the employees are paid time
wages either by the day or by the month, by all the members of the
Owners' Association. The Commonwealth and tho Standard how-
ever give them piece wages. The next five groups of workers are
employed on the piece-work basis in practically all the factories,
the waives for warp-joining being paid by the weaver himself out
of his earnings. In the operahon of processing the manufactured
cloth, time wages are paid except for tailors, hammers and stitchers
who are piece-workers in a few factories. The final group of
workers belongs to the time wages factory.

6. As regards piece-workers, all the members of the Owners'
Association purport to have adopted the schedule of wages given in
Appendix TT. T( is said that these uniform rates were introduced on
1st April 1945 soon after the Association was formed, and that other
rates at a corresponding or higher level have been -paid only for
patterns and categories of workers not covered by the schedule.
"Dearness allowance at about 25 per cent of these basic \\ntes began
to be paid some time Liter and was gradually increased from time
to time until it reached cent per cent with effect from 15th May
1916. Tt is not necessarv for our present purpose to deal with the
pros and cons of the workers' complaint that a few members failed
to implement the rates fixed by the Association. It is sufficient to
note that the members accept these wages as the proper wages
thev had to pay since 15th May 1946 and that there was no con-
certed increase of piece wages thereafter. As regards time workers,
the wages paid by the members of the Association are not uniform
and some give monthly wages for certain categories of work for
which others -pay daily wages. Broadly speaking the dairy wages
range from six annas which is paid for bobbin carriers (nalli boys)
to a maximum of Rs. 1-10-0 for packers, "Rs. 1-1 f-0 for dyers, and
"Rs. 2 and odd for carpenters,

52 GJOVT. oltDERS ON THE RECOMMENDATIONS OF

7. The Commonwealth aud the Standard have their own basic
piece rates and pay in addition dearness allowance at 100 per cent.
The Commonwealth have inceased most of their hasic rates as
compared with 1939, paid dearness allowance at 100 per cent from
1st April 19-10, and introduced a minimum of Rs. 14 in respect of
clearness allowance from 1st August J9JO. The average monthly
earnings of different categories of workers for October-November
194G are shown below :

(1) Piecc-nite operatives . . . . Range from Rs. 35-G-O

for weft winders to
Rs. 68-13-0 for weavers.

ES. A. p.

(2) Daily paid men, o g-, coolies . . 29 4

(3) Daily paid women 22 2

(4) Daily paid youths below 21 . . 20 8

The Standard paid the 1930 basic rates until 1941 and gave an
increase for most patterns averaging 11 per cent on llth October
1914. Their dearness allowance appears to have been about
90 per cent in 1945-10 and 100 per cent thereafter. The average
monthly earnings during the first half of 1917 are shown below :

(1) PJece-rate operatives .. .. Range from Rs. 26-13-0

for winders up to
Rs. 61-8-0 for weavers.

(2) Daily paid coolies .. .. .. Range from Rs. 2* -8-0

in the printing section
to Rs. 36-8-0 in the
packing section.

(3) Carpenters Rs. 51

The distinctive features to bo noticed in these two factories are that
they are able -to provide full employment for their workers, that
piece wages are paid in the dyeing and bleaching departments, and
that winding at lo\\ei rates is done on machines. The Kerala
Textiles have not furnished adequate or intelligible information
regarding the wages paid-b} them but it is admitted by the workers'
representatives that the earnings there are generally higher than in
other factories.

8. It will be seen from Appendix IT that the Association have
fixed piece rates for only winding, doubling or twisting, warping,
and weaving. In order to ascertain the earnings of the several
categories of piece-workers, we have to know their normal output.
As all the factories are working part-time owing to inadequacy of
yarn^ any figures of average output given by them are not useful
for the purpose, The workers' representatives agreed that the
relevant figures given by the Commonwealth or the Standard which

iNDUSTiilAL TKlliUNALS OH ADJUDICA'L'OKS

work full-time may be accepted. Such figures are available in res-
pect of winding and warping. As regards a \\ caver's normal
output there is considerable divergence oi' opinion among the
managements, which is inevitable because the output mainly
depends on the type of the fabric. Even the figure of 8J yards
per day given by the Commonwealth refers to the average of
different varieties of cloth. The workers 1 representatives state that
the normal output is seven \ards per day for weaving a cloth of
the following specifications : Width IB inches, Heed No. 24, Picks
44 -per inch, Treadles 2, Shuttle 1, Healds 2 to 4, Yarn counts
2 x 20 for both warp and weft. The Cannaiiorc Handloom Factor}
Owners' Association give seven yards per day as the average output
of shirtings and coatings on double looms, without more detailed
specifications of the cloth. But their figure is the mean based on
26 working days per month, while the Calicut workers' figure refers
to only 23 working days per month, owing to tho deduction of three
days on which a loom has to remain idle for the purpose of chang-
ing the warp. 1 think that the workers' estimate of seven yards
per day may be safely taken as the minimum output, i.e., of a
weaver of little or moderate experience. The answers of most of
the factories at Calicut show that tho weaving wage for the above
type of cloth specified by tho workers is l\e. 0-5-G per yard includ-
ing dearness allowance. Thus the earnings of piece-workers at the
current rates of wages are as follows :

Description of work. Output per (Horn. Rate.

Earnings
per
diem.

Rrnvirkfl.

1 Winding
bins.

us. A. p. KS. A. P.
bob- Fourteen hanka. 012 104

2 Winding pirns.

3 Warping

4 Weaving

Ten hanks

Two warps
100 yards.

Seven yards

Four yards

of I

5 6 L

to

12

S

to

Avorugo output given
I y Commonwealth
for hand-winding.

Do.

Output given by
Standard for an
" efficient " warper.
An average warper
miy be taken to
oarn Its. 2-0-0 to
Us. 2 -8-0 per clay.

Can work for only 23
days in a month.

Hates and figures
taken from answers
of the factories.

5 Warp-joining
(when paid
by manage-
ments.)

In their statement filed on 8th March 1947, the Association have
admitted that twery ten days a loom has to remain idle for chang-
ing the warp and have given the earnings of a weaver of average
experience as KB'. 15 a week. This works out to Bs. 2-8-0 a day,
and roughly corresponds With the result arrived at above for a
weaver. A weaver has to hear the expenses oi warp-joining which

4 GOVT. OUDEUb OM TliK UECOMMEflUATlONS Ol'

the workers estimate as lis. 0-11-0 to Ks. 1-11-0 per month. If we
take into account this deduction as well, the difference between
lis. 2-5-8 arrived at and Us. 2-&-0 given by the Association may
be explained as due to the lower experience 1 have assumed for the
weaver.

9. 1 aiay at this stage deal with the workers' contention that the
wage differences obtaining in the factories are unfair. After pay-
ing Re. 1-3-0 Tor warp- joining expenses, a weaver would earn
lis. 51-2-0 HI a month of 23 working days. Consistently with this
level, a piece-worker who can be employed for 26 working days
ought to get Rs. 2-1-0 per day. Winding is generally done by
women and *' the average difference between the level of men's and
women's wages is in most countries nearly as much as 50 per cent "
(Maurice Dobb's W.'ge.s, page 150). Thus it cannot be said that
a winder's earnings are disproportionately low as compared with
a weaver. As lo time wages, it appears reasonable to say " that
piece-workers should be guaranteed more than the normal time-
rate, namely, ' tmie-and-a-quater ', or ' tiine-and-a- third ', since
men on piece-rates usually work al a greater intensity than time-
workers, and the former may be suffering injustice if they are
receiving no more than the latter while in practice doing more
work " (Maurice Dobb's Wages, page 72). On this footing, if we
take Its. 2-1-0 jo be also the wage level of an unskilled piece-
worker, the \\ages of an unskilled time worker has to be Rs. 1-9-0
to Rs. 1-11-0 a day. We have also to bear in mind that in the
nature of things, 5111 unskilled labourer's daily wage in the open
market varies from individual to individual according to his task
and cupjicitv for manual labour. With regard t<, youths, tho
workers' claim themselves recognize that the wages should be
10/22 or 45 per cent of a man's wages. Excepting the case of nalh
boys whose proper wage level works out to 11 to 12 annas a day.
I do not consider tlmt the existing wage differences in the factories
call for adverse comment. 1 won Id emphasize that my conclusions
in this paragraph relate only to the question of the present wage
differences, and not to ilie adequacy or otherwise of the wage
level.

10. On behalf of the workers, objection has been taken to the
present system of the weaver having to meet the expenses of warp-
joining and of oil and wax for lubricating components of the loom.
It is ascertained that in the majority of the factories the manage-
ment themselves provide the lubricants, but pay for warp-joining
only when the length of the warp does not exceed 25 yards. As
regards warps exceeding 25 yards, the origin of the custom is
explained as due to the fact that the weaver himself or his children
used to join the warps. It appears that when the loom is lying
idle on account of warp-joining, the weavers are engaged in helping
one another for operations such as beaming. It is said that if the
managements were to employ warp-joiners, a weaver may not
make his loom available at the proper time, and that the present

UOUJSTRIAL mmUJNALS Oil ADJUDICATORS 56

system is eonduaive to smooth and efficient working. In my
opinion, the only modification necessary of this part of the existing
system is to secure uniformity, by requiring ali the managements
to pay for joining warps not exceeding 25 yards hi length and to
provide the lubricants required for the weaver.

11. The representatives of the workers demand a revision of the
existing wages on three broad grounds, firstly, they urge that the
workers in those factories are entitled to a minimum living wage
according to modern standards. In the second place , they contend
that the workers are entitled at least to the same real wages as
before the war and that the present wages have not kept pace with
the rise in the cost of living. .Lastly, they argue that the existing
scales of wages are not scientific nor uniform, and that the object
of the award would be easily defeated unless the items of work are
defined more precisely.

12. The first ground is based on the familar argument in
suppoit oi a minimum wage. It is claimed that the average
monthly expenditure of a working class family of four members
iiuiouatb to Us. 111-12-0 lis. U.'3-i2--0 tor maintenance each
month plus Rs. 252 per year for items like clothing, utensils,
medical aid and children's education. On this footing, a basic wage
of Us. 45 per month, together with 100 per cent deamess allowance
and three months' earnings as annual bonus is put forward as
absolutely necessary for every labourer. It is contended that
managements can easily pay such a level of wages, aa they have
made huge profits for several years since the commencement of the
war. The claim is also sought to be justified by a reference to tne
earnings oi' similar categories of other workers. The Central Pay
Commission regarded Rs. 55 per mensem plus house allowance as
a fair minimum wage at a cost of living index of 260, while the
cost of living index at Calicut is about 350. The Industrial
Tribunal for textile mills (Sri Rao Bahadur M. Veiikataramaiya)
awarded Ks. 26 as the minimum wage, plus Re. 0-2-6 per point on
cost of living index as the dearness allowance. A free lance
labourer at Calicut gets Rs. 2-8-0 per day as wages, and it is urged
that the skilled workers in hand loom factories should earn propor-
tionately more.

13. The figure of Rs. 114-12-0 given as the requirement of
a working class family is arbitrary. I have not been shown that it
corresponds to the actual budgets of typical workers in the hand-
loom factories. Nor can it be accepted as a general proposition that
a presnt day worker has necessarily to spend an amount in the
region of Rs. 90 for his maintenance. For instance, the investiga-
tion by a recent Court of Enquiry (Rao Bahadur Dr. B. V. Nara-
yanaswami Naidu) revealed that the average expenditure per family
of a beedi worker was T\s. 62-14-0, of cigar worker was "Rs. 'Sf>-4-9,
of a snuff worker was Rs. 73-5-7 and of a tanning worker was
Rs. 58-7-9. In a predominently agricultural and industrially
backward country like India, it would be disastrous to fix the wages

8

56 GOVT. ORDBBfi ON 1HI BfiCOUJtENl>A110N& OF

of an industrial worker on the basis of preconceived notion* of
standards of living. The industrialist ha to be as apprehensive of
tie " buyers' strike " as o the " workers 1 strike ", and it caiiBot
tie main taixied that if an industry does not pay, both the employer
and the employee should be submerged together in the cataclysm.
The ultimate test for fixing the workers' remuneration must neces-
sarily be whether the industry can afford the wages. The profits
made by the managements during the boom of the war years cannot
be a criterion of (he stability of the handloom mdustry which was
regarded before the war as a " decaying " industry. It is useful in
this connection to recall the following sentences from the Eeport
of the Fact Finding Committee:

" If alter a hundred year* oi' uuli competition the nandloom
iududtry ife still able U> employ auch large number a, certainly it
indicates tiiat the Indian handioom industry has a unique capacity
for survival, it may be remembered thai during this period tne
uancUooms in nearly every other country have eitner disappeared
or dwindled to a very suuili number. T.iie verihly ol this industry
is also indicated b} the commendable adjustments made in certain
centres m regard to the methods oi production, designs, quality of
work! etc,, uot only iiy -shuttle sleya but dobbies and jacquardb have
been introduced in uiaay places, and bub&oantiai improvements in
workmanship have also taken place. The ills oi the haudloom
industry described by us are the result* of (various) imiavourable
factors, and if these lactois continue to operate unimpeaded
ii is certam tlia/t the Jiaadlooin industry will eventually dwmdle
liito a smaller size. Hitherio the hand-weavers have survived by
their readiness to sull'er privations. To quote Sir Alfred
Cliatturtoii " the liaudlooui weaver still suivive today because
there is no alter native open to him. . . he can easily hold
his own, for a long time to come. . . since lie is content
to exist 011 but little more than the bare necessities of life ".
Left to itself, the industry will perhaps dwindle down to the
position of a small handicraft concentrating on the production
of a few speciality cloths. This is what has happened in many other
cotttttries. Thus, to take the case of Japan, a country in which
the small scale industry is glorified, we notice that between 1923
and 1934 the number of handloouis engaged in the production of
cotton- doth fell from about 1,50,000 to about 55,000. Tn countries
like the United States of America, the few handlooms that survive
we also- couiined to the production of speciality g.-ods like
ttfciholatry cloths, table linen, etc, (Extract from pages 201-205.)
The managements apprehend that the trade depression which has
to be normally expected after the war has already set in, and state
that large stocks of their goods are even now lying unsold.
Obviously, the principle adopted for fixing wages should not be such
aft to drive the managements to say that they are content with
tbe psro&ts they have already amassed, and would prefer to take
ix> more risks by continuing to run their factories.

TBIBUNAL.S OB ADJUDICATOR^

14. Moreover, there is one special reason why the
Cor a uauiimum wage loses much of its force in the present dis-
pute. Admittedly all except three oi the factories covering 955
looms and 1,273 workers are able to get only a fraction of their
yarn ration a*ad are therefore u&able to work full time. If they are
required to provide a high level of wage for their workers, they
have to work with maxmium efficiency, and be at liberty to dig*
charge unnecessary or inefficient workers. But the workers'
representatives themselves have pressed that this award should
give no handle for t-he discharge of any worker on the ground of
lack of employment. For this reason, they have given up their
claim for either a flat or a minimum rate of dearness allowance
except where the management has already been granting it as in
the common wealth, and want dearness allowance to be fixed as a
percentage of the basic wage. In other words, any minimum
wage that I am called upon to fix is to be operative in the vast
majority of the factories only if and when they receive adequate
yam. As I propose that the award should be in force o&ly for
one year, I feel that there will be little purpose in attempting to
lay down a minimum wage.

15. Turning to the second ground, the workers' complaint
that the wages have not increased proportionately with the cost
of living is well-founded. The coat of living index for Calicut
reached its peak of 358 in August 1947 and was 351 in November
1947. Tt i-s not disrated that the wages have not increased 3J
fold as compared with those before the war, and that they are
stationary in all the factories prince May 1946. The principle of
providing for the workers' increased cost of living has already
been recognized by the managements giving dearness allowance.
It is only fair that the workers should be <eom'penfiated. for the
further increase in their cost of living, since April 1946 when the
index for Calient was only 274. On the question of whether it is
right to link the wages with the coat of living hwiex, I may use-
fully quote from Maurice Dobb's Wages (1944 edition, page 82) :
11 In a number of industries wage agreements provide that
the money rates of wages agreed upon shall be attached to a cer-
tain index according to a sliding scale, and made to vary from
tim-e to time according to variations in this irkttex. The three
main types of slidrng-aeale in operation are those attached ries-
pectivdhr to the cost of living iadex number, to the prioe of the
ppo&uet of the industry in question and to some index of th
profits of ihe industry. The sliding-seale based on the oost of
Hying index is the most common of the toee. Tt is important-
fo ncrtiee, however that in $heir pursuit" of flexibility these sli&-
fo^^Bcales follow different indentions. The fcliding-sealafi feased
on profits or on spllmg-prke are designed to fwose wa^fs -to >verv
according as the prosperity mT the Wintry TPrie<*. fo kinr pr
and seltmg price jreipectiwlv .as 'indices of this proflrwitv.
of this >fnteTHaor> the selling jvire srale ha* th^

88 GOVT. ORDERS ON THE RECOMMENDATIONS OF

weakness that by itself it is no true indicator of the state of trade ;
a fall in selling price may be an indication equally well of
the fall in cost of some important raw material or of greater eco-
nomy in the use of machinery as of a decline in the market demand
for the product. A complaint made against the coal sliding-scale
last contrary was that, not only did wages during bad times seem
to have ' no bottom ', but that it encouraged competitive under-
cutting of coal prices to an excessive extent, since it gave an addi-
tional incentive (that of lower wages) to employers to reduce the
price of coal. The cost of living scale, on the other hand, must
clearly be judged by some other criterion. What the cost of living
scale achieves is an approximate stability in real wages for the
duration of a wage agreement. This may not suit the require-
ments of the employers in a particular industry, if they desire to
adapt wage-rates to changing trade conditions. But if the inten-
tion of a trade union or a minimum wage authoritv in making a
wage-agreement is to determine a certain level of real wages, rather
than of money wages, then this type of scale can be said best to
fulfil ther intention. There is nhn this which is often said m
defence of a cost of living scale ; when large movements in the
general price level take place, the prices of most things are likelv
to move in the same direction, if not in the same degree; and
acordingly, this scale, while it secures to the worker a stable real
wage, at the same time causes the monev wa<re to be more flexi-
ble than would otherwise be the case, and flexible in the same
direction as the movements of other prices."

The chief objection a gain at making the wages depend on the
cost of living is in the words of Dr. Thomas " in any industry
wages must eventually depend upon the state of trade and the value
of the product and neither of these varies with the cost of living
index number " (commerce, its theory and practice). This objec-
tion merely emphasises that the wages should not exceed the
industry's capacity to pay its employees.

16. Tt is not feasible to fix the wages for 1948 so as to corre-
spond exactly with the pre-war real wages. Only the weaving rates
for certain patterns in two of the factories (the Commonwealth and
St. Vincent's) are available for guidance, and the majority (24) of
the factories manufacturing those and different patterns came into
existence after the war began. After considering all the materials
before me, I have come to the conclusion that the only practicable
course is to provide for the increased cost of living since April 1946.
This means that the level of wages should be immediately increased
to roughly 350/275 of the existing level as the index for December
1947 has not been published. If the dearness allowance is retained
at 100 per cent of the basic wage, the basic wage should be increas-
ed by 3/11 and would correspond to the cost of liviner index No.
175. There is no harm in fixing the basic wage at that level as
was done bv the Central Pay Commission. Tf the experience of the
"First World War is any guide, it would take several years before

INDUSTRIAL TRIBUNALS OR ADJUDICATORS 59

the level of 175 is reached. The cost of living index numbers for
each month are published only about the third week of the next
month. When the index number for Calicut for the second pre-
ceding month falls by 17 points the managements must be allowed
to reduce the dearness allowance by 10 per cent.

17. The next question for consideration is whether the proposed
increase of 3/11 is fair from the point of view of the worker and
whether the industry can afford it. The circumstances show that
the level of wages reached in May 1946 was accepted as satisfactory
by the workers. They could not have been handicapped by lack of
bargaining power, because the demand for handloom workers had
increased owing to the establishment of several new factories even
as late as in 1944. and the boom for handloom products was in full
swing. In fact, we find that even in August 1946, the handjoom
workers in Cannanore were able to command an increase of 100
per cent in their basic wasres, bringing their earnings to 300 per
cent of the 1940 level, although the cost of living had not risen
proportionately. The first note of dissatisfaction at Calicut, was
voiced only in a resolution, dated 23rd June 1946 of the Calicut
Textile Workers Congress, which demanded 25 per cent enhance-
ment in the basic wages and a similar enhancement in the dearness
allowance. But the matter was pursued by the workers of Messrs.
TC. P. Neelambi and Sons alone after partial employment on
account of inadequate supply of yarn had commenced, and their
main complaint was that thev were being paid dearness allowance
only at 87 J- per cent instead of at 100 per cent.

18. A comparative statement filed bv the Commonwealth shows
that their weaving rates which ornno into force on 1st April 1946
were 200 to 264 per cent of their weaving rates in 1939. The cost
of living index number for Calicut in March 1946 was 270, and it
follows that these weaving rates did not lag far behind the rise in
the cost of living. Tt has not been contended that the level of
weaving rates as a whole adopted bv the Owners' Association in
Mav 1946 was less than the rate paid bv the Commonwealth. Thus
so far as weavers' wages are concerned, the effect of a, minimum
increase by 3/11 is to restore approximately the renl wflges of 1939.

19. The considerations set out above apply mutatis mutandis to
time workers most of whom belong to the unskilled category.
Owing to the conditions created bv the war, the unskilled labourer
was much in demand in South Malabar in 1946. The dailv or
monthly wages paid in these factories in May 1946 together with
the general conditions of employment there, must, have been
competitive and satisfactory to the time worker. An examination
of the books of the factories reveals that the wages vary from
individual to individual , obviously the differences must be cine to
their respective capacities for manual hbour. Tt would not he fair
to fix a wage without at the same time prescribing the standard of
efficiency. Workers are too readv to complain of victimization,
and in the case of an unskilled worker it is particularly difficult to

60 GOVT. <mi>ttS ON THB RECOMMEND ATIOfffl OF

determine whether his efficiency was on a par with hie wage or
whether he was victimized. It may be that after organized agi-
tation for increase of wages commenced in June 1946, the tune
workers in these factories expected a pan passu enhancement of
their wages. Therefore, it is sufficient if the time wages for the
respective jobs are also increased by 3/11 as compared with those
of 1946.

20. The case of two classes of time workers however calls for
special consideration in view of the history of the dispute, and the
extremely low wages paid for them in some of the factories. As
early as in September 1946, Messrs. K. P. Neelambi and Sons
Workers ' Union demanded a daily basic wage of 6 annas for nalli
carriers and I have already indicated that their daily wages includ-
ing Clearness allowance should have been 11 annas at the wage
level of May 1946. With the 3/11 increase, nalli carriers ought to
be paid a basic wage of 7 annas and the percentage of dearness
allowance. Sweepers are being paid as little as 4 annas per day
in some factories, but the amount of work for them naturally
depends on the size of the factory. After taking into account the
3/11 increase and having regard to the local conditions T would
award them a minimum basic wage at Be. 0-1-6 per hour for a man
sweeper and 9 pies per hour for a woman sweeper subject to a
limit of 9 annas and Re. 0-46 respectively for the whole day
together with the percentage dearness allowance. The factories
concerned may fix the number of hours of work required and
calculate the wages accordingly.

$1. From the point of view of the managements whose associ-
ation fixed the waeres in M*iv 1946, it cannot be denied that the
worker is in fairness entitled to be compensated for the subsequent
increase in the cost of Irrinsr. But rfc has been urged that anv
increase in the wages would seriously affect the market for hand-
lopm g-oocta, an the iwnlt TS to ifMfrwwie the cost of prorhictKW at n
time of imminent trade. depression. The incidence of the 3/11
increase of wages can he, ganffpfl from the following statements :

Abstract of ths Association co*tinri skeetfor 24 yards of
30 inches shirting.

BS. A. P.
Cost of materials ........ 16 11 9

Wage* ......... 11 9

Overhead charges . . . . . . .513

Total . .
AM 15 per cent profit ......

Celling pric? . 37 12

3/11 increase wo iW enhance the wages item and th cost of pno-
cUwtion by KB. 3 for -goods sold at about Rs. ?8.

ANDOBTRIAb TBIBUNALft OK ADJUDICATORS 61

If we take the working of a factory as. a whole tbe figures for the
Commonwealth lor the year ending 30th September 1946 are :

BS. lA. P. RS. A. P.

1 Cost of materials. 6,00,770 110 Sales less 13,91,976 1 2

sales tax.

2 Wages ,. .. 3,40,245 4 8
Bonus already 42,377 4 1

paid-

4 Other working 2,68,926 14 2
expenses in-
cluding over-
head onarges.
5 Profits . . . . 1,39,616 1 2

Total .. 1,3,91,976 8 5

^increase in wages would enhance the wages item and the
ooat at pioduction by auout Ks. 1^,0^0 lor gooud sold at about
JEU. 1

Once it js recognized that a certain increase of wages is an essential
item of expenditure, it follows that tiie cost oi production should be
kept down li possible by eiiectmg economies on otner items. The
producer cannot be heard to say that wages should never increase
any more than he can urge (bat the cost oi his raw materials should
be fixed for ever. The Provincial Handloom Wages Board last
year were not 'prepared to add any overhead charges at all to the
cost of production, and it must be possible for the managements to
make up for the increased wage bill by cutting down overhead
charges.

22. The last ground for revision taken by the workers is that
the existing wage structure should be rationalized and made uni-
form in all the factories without prejudicing any case where a
worker is now receiving higher wages. It is pointed out that the
associations schedule ot wages is unscientific as it does not fix the
identity of the warp or the cloth, but mentions merely the breadths
and names of the patterns, and permits a range of variation of wages
for the same variety of cloth. The association state that the range
of variation is intended for differences in specifications such as
picks, ends, etc. Even for cloth of the same specifications, I do
not consider the range of variation to be unfair, having regard to
the existing conditions under which smaller factories have to pur-
chase yarn at comparatively higher prices. The names of the pat-
terns in Appendix II are those usually manufactured by the facto-
ries at Calicut ,and the parties can have no difficulty in fixing the
identity of the fabric.

23. No doubt a scientific schedule of wages fixing variations
for width, reed number, ends and picks per inch, treadles, shuttles,
healds, and counts of yarn is more desirable. But the problem is
extremely complex, and I must confess that in spite of the enor-
mous pains I have taken since August 1947, I do not find myself

62 GOVT. OttDliRfci ON THK ttlilUOJVlMElSDATiUNii OF

anywhere near a satisfactory solution. The workers' representa-
tives presented on 13th August 1947, tables showing variations of
wages proposed b> thorn, iur the diliei'oni specifications fixing the
identity of cloth. But on scrutinizing them 1 find .that they
would prove inequitable in their working. From the scientific
point oi view, they reduce the existing wages for some patterns just
as they enhance the wages for others. But from the practical
point of view, the portions effecting reduction are to have no effect
under the saving clause. The tables are not scientific to the extent
that they ciin be sai'cl} adapted in loto even where they would
reduce the existing wages. There are numerous defects in them.
For instance, the cloth denned in them as the standard (vide para-
graph 8 above) is stated by the workers' representatives to contain
7 4 J ends per inch as the reed number is 24 (tferman system). But
it is ascertained that it is difficult if not impossible to have so many
ends per inch in 2/20s, and that the managements have understood
the number of ends to be quite different. Thus the Commonwealth
have taken the cloth to be curtain material with only 40 ends. The
tables do not provide for complicating factors, such as different
counts of yarn being used for warp and weft, and cloth of lower
width being woven on a wider loom. Further criticisms of the
tables presented on behalf of the workers would serve no useful
purpose, i shall content myself with saying that it is impossible
to adopt them even as a foundation. Xn order to frame complete
tables of variations of wages according to specifications of the fabric,
an elaborate investigation of the specifications and the rates for the
cloth now manufactured in the different factories would be neces-
sary. The investigation would take more time, but the workers
want a revision of wages if at all without any delay. In these
circumstances, 1 have roluucUintly come to the conclusion that
although a good dual o! lime has bueu already spent Tor the purpose,
it is not possible in this award to frame scientific tables of wages
independent of Appendix II.

24. It may, however, be useful to compare the broad effect of
the 3/11 increase proposed in this award with the scale of wages
claimed by the workers. In their tables, they ask for Re. 0-8-0
per yard for weaving the cloth of the specifications given in para-
graph 8 above. The existing wage is generally Re. 0-5-6 fcer
yard, and the 3/11 increase would enhance it to Re. 0-7-0 per
yard.

25. In the result, I find on this issue that the existing wages
should be revised in the following manner :

(1) Basic wages for winding, doubling or twisting, warping
and weaving shall be not less than 14/11 of the rates given in
Appendix IT.

Explanation. The names of the several fabrics in Appendix
II shall be understood as referring to such fabrics manufactured in
tjie factory concerned in 1946 or 1947.

INDUSTRIAL TRIBUNALS OB ADJUDICATOBS 63

(2) For fabrics not covered by Appendix II, the basic wages
shall not be less man 14/11 oi the rates wmch prevailed in tne
factory concerned m May 1946 :

Provided that il such a labric was not manufactured in the
factory concerned in May l\Mb, basic wages snail be nxed with
reference to tne basic wages ior tnc nearest similar fabrics inanu-
tactured in the factory.

(ety Basic wages for all other categories of piecework and for
time worKers paid eitner by tne monin or by tne day snail be
14/11 of their basic wages m May iy40.

(4) Basic wages lor nalh carriers shall be not less than 7 annas
per day ; and for sweepers not less than As. 1-6 per hour (men)
and y pies per hour i, women; subject to a hunt ot y annas and
As. 4-6 respectively for the whole day.

(5) JDearness allowance shall be paid at 100 per cent of the
basic wages as determined above.

(6) For every fall m the cost of living index for Calicut by 17
points in any month, dearness allowance shall be reduced by 10
per cent in the second succeeding month.

(7) Nothing in this award shall be understood as operating to
reduce the existing wages of any worker.

(8) For the purpose of the above calculations fractions of a
pie shall be rounded oft' to the nearest pie. But the total wages
for a week or a month may be rounded oil to the nearest anna.

The revision of wages may take eilect from 16th January 1948
and be in force for one year.

26. Issue 4. The frame of this issue as to the period m respect
of which bonus has to be determined was decided by consent.
The account years were not uniform Lor the- several factories and
the workers as a body were demanding the preceding year's bonus
when they got the dispute referred for adjudication in June 1947.
It appears that four of the factories the Ananda Vilas, the Kerala
Textiles, the Commonwealth and the Standard -paid of their own
accord three months' basic wages as the bonus in question, while
another factory, namely % tjie Neo Textiles paid a bonus equivalent
to three months' basic wages plus cent per cent dearness allow-
ance. The Owners' Association resolved to give a bonus of one
month's basic wages, but the workers' demand is for three months'
earnings equivalent to six months' basic wages.

27. Only 11 of the factories have filed their profit and loss
accounts, and these are summarized in Appendix TIT. I have out-
lined the positions taken by both sides on the question of bonus in
paragraph 2 above. It is not disputed that bonus has to be paid,
if at ill, out of tho profits earned by tho far-tores during the year
in question. Broadly speaking, the workers' representatives con-
tend that in some of the smaller factories owned by individuals and

9

64 GOVT. OttDl'JUS ON TilE HUCOMMENDATIONS OF

partnerships the expenditure side of the accounts has been inflated
and me true prouts are larger man tnose snown in me accounts;
aim tnat in annost ail uie accounts, the excessive overhead expenses
snown are not consistent vvim good management ana Uie workers
ougno not to be prejudiced by reason ol tne managements incurring
mnucea overneaa expenses tor their own ends. On the oUier hand,
it is urgea lor me managements mat even me pronts shown m the
accounts do not disclose tne true weaiuiess 01 tne fcnancial posi-
tions ol tne lactories; that in several instances provision has not
been made lor items sucn as income-tax, return on investment,
remuneration lor management, depreciation, reserve tund, etc.,
that laclories started during tne war were over-capitalised as they
equipped tneniseives by paying mllated prices and have to provide
lor tne enormous depreciation ot Uieir capital when prices become
normal; and thai in their own interest the managements would
never have incurred unnecessary overhead expenses.

"28. JSo doubt the factories winch came into existence after 194*2
must have been over-capitalised, but they must have also earned
enormous profits and recouped part of their capital during the -pros-
perous years preceding thai under consideration. 1 am of opinion
that the fact ot their over-capitalisation need not now be taken into
account. 1 take note of the tact that all the factories have probably
to face a coming period of depression, when controls are lilted and
handloom goods would have to 'compete with mill products. But
that was all the more reason why they should have commenced
restricting their overhead and miscellaneous expenses. In the light
of the events to which 1 shall refer presently, it is possible to
determine the extent to which such expenses ought to have been
restricted and the profits which ought to have accrued by proper
management.

29. The Handloom Cloth (Price Control) Order, 1946, came into
force in August 1946 and confined the cost of production to the
cost of purchasing and processing the yarn and of weaving and pro-
cessing the cloth. Over this cost of production the producer was
allowed a margin of 15 per cent to cover all his expenses and profit
before the cloth reached the consumer. But, the order did not in terms
prevent the inclusion of overhead expenses in the cost of produc-
tion and the handloom factories at Calicut were adding varying
amounts to their, other expenses of production, under the heading
of overhead charges. Then came the Handloom Cloth (Control)
Order, 1947, which increased the producer's margin to a maximum
of 18| per cent. The Provincial Textile Commissioner proposed
that an allowance of 10 per cent on the cost of production should
be conceded under overheads, for handloom factories which have
10 looms and more, but the Provincial Handloom Wages Board
negatived the proposal. Evidently the view which prevailed was
that the margin of 18f per cent should cover all the expenses and
a fair profit to the producer. It was not suggested before me that

INDUSTRIAL TEIBUNALS OR ADJUDICATORS 65

any of the managements protested against the margin of 18J per
cent as being inadequate. However, as I am now reopening past
accounts, I shall not go to the length o saying that overhead ex-
penses in excess of 18;]- per cent is not consistent with good manage-
ment. Further, I consider that some allowance for overhead
expenses is essential for reaching distant markets and for preserving
the virility of the industry noted by the Fact Finding Committee.
Missionaries who introduced the fly shuttle also created the factory
now managed by the Commonwealth Trust, and the largest amount
of overhead expenses is incurred by this factory. But as regards
the quantum of allowance for overhead expenses, while the Calicut
Owners' Association wanted 25 per cent, the Cannanore Owners'
Association which speaks for a far larger number of factories
wanted only 12J per cent. I think that 18| per cent plus 12J per
cent is a reasonable allowance for all the expenses and the normal
profits of the producer.

30. Column 9 of Appendix III shows that out of the 11 factories
who have furnished their accounts, all except the Lotus Industrials
ought to have made large extra profits. Evidently the factories
were able to sell their goods at exorbitant prices, owing to the weak-
ness of the consumers' position. Even this reason is sufficient to
support a conclusion that the managements should share a part of
the extra profits with the workers. In addition, there is the fact
that the wages of the workers have not been increased although the
cost of living rose during the interval before the end of the account
year. In my opinion, the workers have established a case for the
payment of bonus by nil the factories except the Lotus Industrials.

31. In determining the quantum of the bonus, it has to be borne
in mind that the managements cannot be in a position to get back
any portion of the expenses which they might have incurred over
and above 31^ per cent. Only the actual net profits shown in
column 8, can be regarded as the fund out of which unpaid bonus
can be disbursed. Owing to the inadequate supply of yarn, most
of the managements are not able to realize their full profits, for
no fault of their own. Further it appears that in some of the fac-
tories such as Messrs. K. P. Neelambi and Sons, workers used to be
paid ex gratia wages although they did not have sufficient work.
Taking all the circumstances into consideration, I have come to the
conclusion that except in the Lotus Industrials, the workers in the
other factories should be paid three months' basic wages as bonus
for the year in question, after deducting the bonus already paid to
them.

32. The majority of factories have not submitted their accounts
before me. I must make provision for the possibility of their case
being similar to that of the Lotus Industrials. The bonus of three
months' basic wages should be limited to half the amount calculated
in column 9 of Appendix III, and further should be available out of
the year's net profits. If any factory not mentioned in Appendix

66 GOVT, ORDERS ON THE RECOMMENDATIONS OF

111 shows to the satisfaction of the Government or such officer as
the Government may nominate in this behalf, within one month
from the date of the publication of this award, that it cannot be
required to pay the bonus in accordance with what I have said above
the Government or the said officer may reduce or remit the bonus to
be paid.

33. The bonus payable for the year will be subject to the fol-
lowing conditions :

(1) Workers who have been employed for less than 75 work-
ing days and more than 32 working days shall be granted a bonus
to the extent of 50 per cent, and workers who have been employed
for 32 working days or less shall not be paid any bonus.

(2) Any worker who has been dismissed for misconduct in
the year shall not be entitled to any bonus even if he has worked
for more than 32 days.

(3) Bonus shall be calculated on the basic wages for the year
in question.

(4) In the case of women who have been on maternity leave
during the period referred to, the actual maternity allowance drawn
by them shall be included in their earnings for the purpose of cal-
culating the bonus payable.

(5) Bonus due as stated above shall be paid to the workers
in one lump sum before the 31st March 1948.

(6) Persons who are eligible for bonus but who are not in
service shall be paid the same, provided claims in writing are sub-
mitted to the mann Demerits concerned before the 15th March 1948
after which date their application for bonus will not, be enter-
tained.

(7) Persons who have alreadv received the bonus due to them
for the vear in onostion shall be paid only the balance if any due
to them under this award.

These conditions follow the lines suggested bv the workers' repre-
sentatives, to which no tangible objection has been urged by the
managements.

34. Tswe 5. This issnp oonrerns onlv the management of
Messrs. K. P. Ne^lamni and Rons TTandloom Fnctorv and the neces-
<nrv fnots are hrieflv as follows. Tt appears that in this factorv
flpornAss nllnwnnre wns being- paid at. onlv R7^ per cent even after
15+h Mnv 1946. instond of at 100 per cent fixed bv the Association.
About the middle of Oetoher 1946, the Union of the workers of the
fartorv throi+nnpfl a sh'iVo nnV^q their fJp'irnf^R allowance was
increased to 100 per cent with effect from Mav 1946. Thev formu-
lated also other demands such as increases in the basic wages, and
actnallv went, on strike on 1st November 1946. An agreement waft
reach erf on 20th November 1946, when the management ronse/nted
to pav 100 per cent dearness allowance with effect from 15th Alienist
1946, to adopt the association's schedule of basic wages wherever

INDUSTRIAL TRIBUNALS OR ADJUDICATORS 67

they were higher than the rates obtaining in the factory, and also
to grant certain other demands oi! the workers. This agreement
between the management and the union has been marked as Ex-
hibit P-l. On 21st November 1946, the strike was called off and
the strikers resumed work. Within a, few davs, the workers were
dissatisfied on the ground that some oi' them bad been victimized,
and commenced a second strike which ended on 19th December
1946. The exact date when the second strike began is in contro-
versy. But the question whether it was 26th November 1916 as
alleged by the management or 28th November 1916 as alleged by
the workers is immaterial.

35. The complaint of the workers is that, owing to the activities
of some of them in connexion with the first strike, the manage-
ment have been giving them trouble in various ways. They have
levelled several charges from time to time, but it is sufficient to
consider only those which were pressed at the time of the argu-
ment. Four witnesses have been examined on behalf of the workers :
P.W. 1, Kandakutti, an employee who is the Assistant Secretary of
the Union, P.W. 2, Sankannni, a worker in the, dyeing section,
I'.W. 3, \ T . Iianrni, formerly the oilioe noon, and P.W. 4, Kuma-
ran, ;i non-worker who is a imvinbor of tlie workmg committee of
the union. The mana^cm^rt Invr rxammrd two workers: ft. W.I,
T. Raman, and R.W. 2, Velukutti, and also relied upon their
account books. T have carefully considered the evidence and have
come to the conclusion that none of the charges have been sub-
stantiated.

36. Cliarge 1. In the dyeing section, 10 persons used to be
employed previously irrespective of whether there was sufficient
yarn or not. Before the agreement (Exhibit P-l), the factory had
been engaging 5 men, but on 21st November 1916 only 2 were
employed, and it was only after considerable difficulty and persu-
asion that 5 persons were taken. Subsequently, no one was
employed, on a number of days owing to vindictivoness.

Explanation of the management. Before the agreement, ten
persons used to be employed when sufficient yarn was available.
Even on days when there was no yarn nor work, 5 out of the 10
were given wages in turns on alternate days purely ex gratia. The
management were not bound to continue such a concession, espe-
cially as the wages were increased by As. 4 under the agreement
Exhibit P-l. It was for this reason that clause 12 of Exhibit P-l
expressly provided that work was to be given only according to the
availability of yarn. Five men were employed both on 21st Nov-
ember 1946 and 22nd November 1946 and 10 men from 23rd
November 1946 to 25th November 1946 after which there was the
second strike. Ten men were employed every day from 19th
December 1946 till 6th Februarv 1947. Subsequentlv, the receipts
of yarn were delayed or interrupted, and so the men could not be
employed on every day.

68 GOVT. ORDERS ON THE RECOMMENDATIONS OP

Reasons for the decision. The management have filed a state-
ment showing that their receipts of yarn have steadily decreased
for the past four years :

LB.

1944 78,550

1945 69,330

1946 .. 35,615

1947 (till the end of October) . . . . 27,785

The possibility of manufacturing their dyed fabrics also depends
on their getting suitable counts of yarn. They make comparatively
more profits on dyed fabrics, and it is impossible to believe that
the> would have wantonly curtailed work in their dyeing section.

37. Charge 2. The workers in the dyeing section were com-
pelled to work more than the usual 8 hours per day on 21st Nov-
ember 1946 and 22nd November 1946 without being paid extra
wages.

Explanation of the management. There was no compulsion.
Workers are employed for an extra half to one hour on these dates
and were paid double the rates for overtime as usual. In the pro-
cess of dyeing, sometimes the work cannot be left over for the next
day when a particular stage is reacned, without damaging the yarn.
In these circumstances, overtime work is not unusual in that
department.

Reasons for the decision. The management's explanation is
supported by their loiter, Exhibit P-3, dated 27tli November 1946,
to the Union President's letter, Exhibit P-2, of the same date.

38. Charge 3. Carpener Gopalan was dismissed on 26th Nov-
ember 1946 without any reason or notice.

Explanation of the management. Carpenter Gopalan had been
appointed purely on a temporary basis, when two or three permanent
hands went on lea\v,. One of the permanent hands rejoined duty,
and consequently Gopalan's services were no longer required. There
was no question of dismissal or notice having to be given.

Reasons for the decision. The same explanation was given by
the management in their letter, Exhibit P-3, dated 27th November
1946, and in the agreement, Exhibit P-4, dated 16th December
1946, made before the second strike was called off. There are no
reasons to doubt the truth of the explanation.

$9. Charge 4. One V. T. Chovikutty was not re-entertained
on 21st November 1946 as per Exhibit P-l. He was re-entertained
onlv OP 25th November 1946 and was given a new job where he
could earn less wages. After some days, he was sent back to his
original iob, but was not given the increase of two annas stipu-
lated in Exhibit P-l for similar workers.

Rrplanation of the management. V. T. Chovikutty bad been
working in the packing department and bad been discharge! some

INDUSTRIAL TRIBUNALS OR ADJUDICATORS 69

time before the strike i'oi want of sufficient work m that depart-
ment. However, as clause lb of Jbixlnbit 1 J -1 provided iLut he
should be taken back, the management were willing to re-employ
him. Jbie caine back for duty lor the first time only on iV/th
December 1940 and was re-employed in the packing department
withouc any reduction or loss m wages.

Reasons jor the, decision. The explanation oi the management
is borne out by P.W. 1's answers in cross-examination.

40. Charge 5. Nalh carrier Kumaran was sent away without
any reason.

Examination oj the management. Kumaran was a new hand,
lie was employed onl} for 1J- months before the tirst strike
and was in fact learning work during the -period. He was not
re-employed for the simple- reason that lie did not turn up again
lor work either on 'list November l ( ,)16 or 19th December 1946 or
on any other day.

Reasons for ike decision.- -Kumaran himself has not come
forward to support the; complaint, made on his behalf. P.W. 1's
evidence on the point is vague. The management's explanation
that he has not turned up for work must be true.

41. Charge 6. Women are forced to rewind bobbins contrary
to the agreement of 20th November 1946.

Explanation of the management. New hands have been
appointed for re-winding bobbins and this has been stated m
clause 1 1 of Exhibit P-l .

Reasons for the decision. No woman worker has come forward
with such a complaint, either into the witness-box or when 1 visited
the factory on 18th October 1947. It is not likely that women
would have been required to do the work even after new hands were
specially appointed for the purpose.

12. Charge. 1. J\. Andikutti working in the stores for the last
5 years has been transferred on 28th February 1917 to the packing
tection. This work is much heavier and there is no difference in
pay. Nevertheless, ho is required to close all the doors and win-
dows of the factory, which was part of his work when he was in
the stores department.

Explanation oj the management. Andikutty was entertained as
a nalli carrier about the year 1942, and was working in that capacity
for about two years. Subsequently, he was working in the pack-
ing department and had duties off and on in the stores section. It
is absolutely incorrect to say that he was working in the stores
department for the last 5 years. He is even now in the packing
department, and no question of his having been transferred arises.
The closing of the doors and windows is part of the duty allotted
to him and imolves only a few minutes' work.

Reasons for the decision. P.W. 1's evidence is unconvincing
and S. Andikutti himself has not come forward with a grievance.

70 GOVT. OUDEU8 ON TUB RECOMMENDATIONS OF

13. Charge 8. JAW. 3, V. Hainan, was employed as an office
peon 011 Jie. U-9-6 a clay until the first strike, .but after the stride
was called olf, he was told that an oil ice peon was not needed and
that he would be given a job in some otiier department.

ti.ri>iananon of Ific niaimyement. It js true that I'.W. 3 wa
working as an olnce peon. lint, considering the present quantity
ot worK in the oilice on account oi reduced production there is no
need ior a lull-time oihce peon, further, there were -petty thefts
Irom the othce room and there was strong suspicion against Jb\W. 3.
In clause 3 oi tlie agreement, Exhibit I>-4, dated 16th December
1940, the Union 1'resident's condition ior calling off the strike was
" It is enough that Hainan is given work in any other department
without reduction in wages." Accordingly, I*.\V. 3 was given
work ao warp joiner, without airy reduction in wages.

Reasons for the decision. P.\Y. 3 admits that although he was
transferred to the warp- joining department, he was given the same
wage of Ke. 0-9-6 a day. He further admits that no olilice peon
is employed after No\ ember 1946. It is not proper to interfere
with the management's discretion to decide whether an office peon
is necessary or not, and whether a particular individual is suitable
lor that job.

44. P.W. 3 has also given evidence that acquittances are
obtained in the factory for 4 non-existent persons, and that he was
made to sign for one such person. The management have adduced
evidence rebutting this allegation. The charge is one of keeping
false accounts and not of victimization. It is not necessary for
me to decide it in this award.

45. I find on this issue that there was no victimization of the
workers after the agreement of 2Uth November 1946.

46. Before leaving the matter, I wish to record a tribute to
the assistance rendered by the late Sri M. B. K. Menon, who
was appearing before me to represent the workers and who died
on 24th December 1947. Owing to the intrinsic complexity of the
subject of hfindloom manufacture, very little progress could be
achieved in the case until he appeared and analysed the nature of
the workers' claims and grievances. The managements were at
first inclined to the view that the workers had no real grievance,
and that their leaders were putting up a fight merely for tlie exhila-
ration of giving battle. I am glad to say that all the arguments
advanced before me by Sri M. B. K. Menon proceeded on the footing
of smooth and efficient working of the industry. In tbe difficult times
ahead for the industry, it may be useful to recall the conclusions
of the Fact Finding Committee that the handloom can never suc-
cessfully compete with the power loom in point of cheapness of the
product. The virility and prosperity of the industry must depend
on the superiority of its products and its specialized patterns and
markets. Tbe controls have helped the industry by restricting mill

INDUSTRIAL TRIBUNALS OR ADJ UlUOATOBfl' 71

competition, but have hit the industry by restricting the
supply of yarn and the export of the products. Even after the
removal of controls, we may fairly expect Ihe industry to prosper
if it is properly aligned as regards production aad marketing. The
prosperity would naturally dupend on the overall efficiency of the
industry, and on the worker willingly taking his due share of the
burden, and T nm confident that the workers will follow the lead
given by firi M. B. K. Menon before me by making it possible for
the factories to function smoothly and efficiently.

APPENDIX I.

List of HandlooiH Factories at Cal rut.

Serial number ami name of factory. e^tabHahrar nt.

ot
looms.

Dumber

of
workmen.

1 Anand i ViUs Weav ng

1927

50

59

2 A/hfhavattam Textiles

1943

9

14

3 -Bhama Textiles -

1944

33

43

1944

5

13

5 Caho.it Textile*

1914

15

15

6 Coylon Housr Tovtiles

1<44

Ti

57

7 rommo 1 wea'tli Trust

185!)

350

774

8 Desadandu Weaving Kntablfehmnnt

191S

5

6

9 Dovi Vilas Weaving Factory

1929

il

19

10 Imperial Textiles Indust les

1943

85

112

11 Kellai Textile ..

1944

26

28

12 Kadij i Toxiies

1943

10

42

13 Kerala Textiles

193;)

74

198

14 Lotus Indus' rials

1>43

15

21

15 M.il -bar Wi-avinj Kstpblishment .

1937

51

62

16 Mod-ni Textil a

19*:*

Jo

37

17 iSfational \Ven\ing Eatab'i-hment

1943

4

4

18 National Tex flo

1942

20

32

19-19

16

24

20 K. P. v e Iambi and S >ns .

19 3

157

177

21 Palm Grove* Fabr oa

l!)43

25

32

22 Paramount Dye. up, Printing and Wt aving

1943

25

37

KB< ablishmenl.

23 Phom Textile Industr ee . .

1944

12

12

24 Prabh t Textiles

1944

40

74

25 Promanath Textiles

1944

9

13

26 P.S. Weaving Works

1896

4

8

27 St. Vincent's Industrials

1926

85

154

28 Sivaraj A Co-

1944

15

16

29 Souri Rajan Textiles

1943

7

&.

30 Sanjeevi Textiles

1943

13

14

31 Sivupuri Textiles
32 Sree Venkateswur Wea v ing Establishment.

1D44
1943

18

23
27

33 Standard Cotton & Silk Weaving Co.

1919

325

760

34 Taj Textiles..

1944

56

5ft

3o T.P.K. & Co.

1944

Or

7

36 West Coast Weaving Factory

19,'U

26

37

1,604

2,996

10

fr2 QOVT. ORDERS ON THE RECOMMENDATIONS OF

APPENDIX II.

tohedule of wages in Handloom Weaving Factories approved by the Calient
Handloom factory Owners 1 Association.

(To take effect from 1st April 1945).

1 Wiading for warp big nally

Do. weft email nally
Twisting big bobbins

2 Warping 48* breadth (Honey comb and

plain 2/20*8 and other yarn)

Warping 54" breadth (Honey oomb and

plauT2/20'8 and othw yarn)
Warping 60" breadth (Honey comb ud

plain 2/20'a and other yarn)
Warping 72" breadth (Honey comb and

plain 2/20's and other yarn)
Warping 90* breadth (Honey comb and

plain 2/20's and oth*r yarn)

3 Weaving:

(a) Running length ^
Honey comb and plain 48
For every 12* extra width

as. A. P. as. A. i.

007 per hank.
10
008

U 12 per 100
yards.

12

13

14

o ir o

2 3 to 029 per yard.
006 extra
part
thereof.

(6) Bead spreads

eaas
comb and plain 48 X 90.

6

to

7

6 each

pierce.

Do.

54

X

90 ..

7

to

8

6

ft

Do.

60

X

90 . .

8

to

9

6

,,

Do.

72

X

100..

10

to

11

6

tt

(0) Table clo'h

Pattern V range 48 X 48
Honey comb 36 X 36

(d) Breakfast cloth

36 X 36
51 X 51

(e) Teipoy covers -
V ' 48 x 48

36 X 64
36 X 60

(1) Napkins B.F. quality

18 X 18
14 X 14
16 X 16

16 X 22 . .

(h) Runners

14 X 36 . .

() Huck-buck towels

18 X 28

18 X 36

24 X 36

27 X 45

36 X 64

96 X 72

3 to 039 each.

2 3 to 029

2 to 033 each

4 6 to 056

3 to
2 3 to
2 6 to

039 each.

030,,

033,,

8 to 11 each
10 to 1 1 a pair.
9 to 1 3

1 to
1 3 to

1 2 a pair.
015

1 3 to 015 a pair.

010 each.

014,,

018,.

1 10

023,,

030,,

INDUSTRIAL TBIBUNAI'S OB ADJUDICATORS

73

KB. A. P.

(/) Honey comb towela

18 X 28

1 to 012 each.

24 X 36

1 4 to 018

18 X 36

1 2 to 014

24 X 46

1 9 to 1 10

36 X 64

2 7 to 030

36 X 72

3 6 to 040

27 X 36

1 4 to 018

(k) Honey comb running length
27*

1 3 to 017 each.

(I) Face cloth honey comb
12 X 12

9 to 1 per pair.

(wi) Kitchen towels
22 X 22

009 each.

24 X 24

10

27 X 27

11 ..

Running length 22' width

016 per yard.

() Turkish towels

Plain and checked.

18 X 30

014 each.

24 X 36

027

36 X 54

053

36 X 72

070

030

033

059,,

Bath mats 18 X 28

02 10 each.

Turkish 26 X 36

030,.

Running length
27*

4 6 pot yard.

36"

060,,

(o) Shirtings
27* twis.ed yarn warp . .
32* do.

1 3 to 2 per yard.
2 1 to 2 6

36* do. ....

2 6 to 3 3

() Dress materials
Twisted yarn warp 32*
Do. 36*

2 to 020 per yard.
2 6 to 3 6

(q) Casement cloth

2/20* 2/42* 2/30*

1 9 to 2 per yard.

2 3 to 2 8

2 9 to 3 4

3 3 to 3 10

90*

4 to 5

(r) Coatings
Shirtings 27* ,
Single yarn warps 27/32

1 8 to 029 per >ard.
1 8 to 1 10

Net curt ana
2/20 36*

1 6 to 020 per jaid.

2/20 48*

2 to 2 6

Sail cloth
18*

9 to 1 6 per yard.

Turkish towel warping 24* 130

Yards

11

Dearneas allowance increased to 100 por rent with effect from 15th May
1946.

GOTO. OBDEBS .ON .THE '

:OP

r&

**.&

o *"*

^ O N * 00 O

1 *^ II 5

INDUSTRIAL TRIBUNALS Oft ADJUDICATORS 75

Order Ms. No. 564, Development, dated Qtli February 1948.

Whereas the award of the Industrial Tribunal (Mr. N. D.
Krishna Rao, I.C.S., District and Sessions Judge, South Malabar,
Calicut) constituted under G.O. No. 4734, Development, dated
6th October 1947 to adjudicate in the industrial dispute then
existing between the workers and management of the handloom
factories in Calicut, has been received.

2. Now, therefore in exercise of the -powers conferred by
section 15 (2), read with section 19 ('3) of the Industrial Disputes
Act, 1947 (Central Act XVI of 1947, His Excellency the Governor
of Madras hereby declares that the said award shall be binding on
the managements of handloom factories in Calicut and the workers
employed therein jnd directs that the said award shall come into
operation on the 6th February 1948 and shall remain in operation
for a period of one year.

3. The Commissioner of Labour is requested to send a copy
of this order to the Managements and Workers' Unions
concerned.

(By order of His Excellency the Governor)

K. G. MENON,

Secretary to Government.

IX
BEFORE THE INDUSTRIAL TRIBUNAL, COIMBATORE.

SRI C. R. KRISHNA BAG.
[Under the Industrial Disputes Act, 1947.]
IN THE MATTER OF AN INDUSTRIAL DISPUTE.

Between

THE COIMBATORE CEMENT WORKS, MADUKKARAI.

and

K. R. RAMASWAMI, AN EMPLOYEE.

RAO SAHIB T. T. RATNASABAPATHY PILLAI, Advocate for the
management.

Sri K. R. RAMASWAMI Party in person.

Subject Whether K. R. Ramaswami was victimized and
whether reinstatement should be ordered. Held that Ramaswami
was not discharged for inefficiency. Even if he was inefficient a?
an apprentice, he should have been reverted as unskilled worker
from whence he was promoted and not altogether discharged from
service.

76 GOVT. ORDERS ON THE RECOMMENDATIONS OF

Held further that the termination of Ramaswami's services were
wrongful but not a case of victimization.

Awarded as compensation from 18th August 1947 the average
monthly earning as an unskilled worker.

Ordered reinstatement of worker in his old job.

G.O. Ms. No. 670, Development, dated 13th February

[Labour Disputes Dispuie between the workers and manage-
ment of the Ooimbatore Cement Works, Madukkarai Recom-
mendation of the Industrial Tribunal Orders passed.]

READ the following papers :

(1)
G.O. Ms. No. 5216, Development, dated 10th November 1947.

(2)

Letter from the Industrial Tribunal, Coimbatore, dated 26M
January 1918, No. Nil

[G.O. Ms. No. 5216, Development dated the 10th November
1947 Dispute between the workers and the management of
the Coimbatore Cement Works, Madukkarai Submission of
award.]

I have the honour to submit my award herewith in the dispute
between the workers and fche management of the Coimbatore

Cement Works, Madukkanii, which was referred to me for decision.

BEFORE THE INDUSTRIAL TRIBUNAL, COIMBATORE.

PRESENT :
SRI C. R. KRISHNA RAO.

INDUSTRIAL DISPUTE No. 6 OF 1947.

[In the matter of the industrial dispute between the workers and
the management of Ihe Coimbatore Cement Works, Maduk-
karai.]

Tina dispute having come up for final enquiry on the 23rd
January 1948 at Coimbatore in the presence of Rao Sahib
T. T. Rathnasabapathi Pillai, advocate for the management and
Sri K. R. Ramaswami in person and having stood over for considera-
tion till this day, the 26th day of January 1948, the Tribunal made
the following Award :

AWARD.

The dispute between the workers arid the management of
the Coimbatore Cement Works, Madukkarai, was referred to me
for adjudication in G.O. Ms. No. 5216, Development, dated the
10th November 1947.

INDUSTRIAL TRIBUNALS OR ADJUDICATORS 77

2. I issued notices to the parties and required them to file their
written statements.

The simple question for decision in this case is whether the
worker Sri K. K. llamaswaini is entitled to be reinstated or not.
The facts are not m dispute. The worker joined the company as
an unskilled coolie on a daily wage of 6 annas in 1942. He knows
a little English, having read up to IV Form. He was the
Secretary of the Cement Workers' Union at Madukkarai. As he
knew English, arid as he appeared to be an intelligent worker, the
company wanted to make him a skilled artizan. He was promoted
as a lathe boy in 1944 on a wage of 10 annas. In March 1947, the
Chief Engineer ol the Company held a test for all the apprentices.
The lathe boys by now came to be known as apprentice turners.
Very few did well in the test and Ramaswaini was one of the
miserable failures. He secured only 34 marks. But a few got even
less and one only 11 marks.

3. On 21st May 1947, while Ramaswami was working in the
factory he was arrested by the police under the Public Safety Act
and taken to Vellore. He was released on 13th August and he
reported himself to duty on the 17th or 18th August and he was told
that he had been discharged. He got the Union Secretary to report
the matter to the Labour Officers. As the management were
unwilling to take him back, Government have referred the matter
to me for adjudication.

4. The following issues were framed:

Issue 1. Was Sri K. tt. Ramaswami an apprentice in the
factory in March 1947?

Issue 2. Did he fail in the Trade test held in March 1947?

Issue 3. On account of his failure, or even otherwise, was
the company entitled to terminate his apprenticeship or his
services?

Issue 4. In case Sri K. /?. Ramaswami is to be reinstated,
what compensation, if any has to be paid to him from 15th August
1947?

Issue 5. Is the termination of his service a case of victimiza-
tion?

5. The main contentions of the company are

(1) that the discharge of Ramaswami was not a case of
victimization;

(2) that the company wu entitled to discharge an apprentice
without notice and without compensation under the standing
orders; and

(3) that Ramaswami proved himself so inefficient that the
company could and did discharge him for inefficiency.

6. The learned Counsel for the Company contended that the
worker himself had not alleged victimization in Exhibit I, a copy
of a letter addressed to the Minister of Labour, or in his written

78 GOVT. ORDERS ON THE RECOMMENDATIONS OF

statement, nor bad be made any attempt to prove it. Victimiza-
tion is the taking of some action prejudicial to the worker on some
pretext other than the real reason. Jt is, therefore, largely
a matter of inference i'rom surrounding circumstances, and not one
aKva^y capable ot direct prool.

7. The Company contend that tho^ have terminated Kama-
swaim's apprenticeship, because of his proved meliioiency . The
question arises when uic^ did it and who did iu. Mr. Talcherkar,
Che Chief Engineer of the Company who held the test m March
1947 says " i did not recommend that Ivainaswami should be
discharged immediately. As he was a leader of the workers we did
not want to victimize him and create trouble for ourselves as we
had just then got out a strike. I expected him to improve, if he
was given another chance and so also we kept him on. He did
not improve. A week or ten days before Kamaswaini's arrest,
L found out that hti could uot improve. When 1 was dunking of
terminating his service he was arrested. .We have not intimated
;o jkaiiiaftWtUin lluu his apprenticeship was terminated on account
of his inefficiency. When he presented himself after his release,
for work, I orally told him that he was not wanted. It was
primarily for inefficiency and secondarily because of his absence
without leave. 1 did not refuse to take him back because of his
being the leader of the workers and was taking part in strikes. "

8. The Talcherkar did not terminate Kainaswami's apprentice-
ship before 21st May 1 ( J47 but was only thinking of it. He was
certainly not told by any one that he was terminated for inefficiency.
Sometime about the middle ol June 1947, Mr. bnnivasan (P.W. 3),
the Welfare Otticer of the Company noted on JLiainaswauii's history
card that he was " retrenched due to continuous absence." There
is no mention of uieliiciency. Due of the other apprentices, not
even those who got marks as low as 23 and 11 were discharged, It is
said that all showed promise of improvement, but only Bama-
swami did not improve. However this may be, the evidence does
not make out that on any particular day, any particular officer
terminated Ramaswaini's apprenticeship on the ground of
inefficiency. On the other hand, Exhibit A clearly states he was
retrenched for continuous absence. The Company does not rest their
case now on this ground. They realize that absence under duress
should not be punished. As they are unwilling to take him back,
they have to fall back on his inefficiency.

9. The learned Counsel for the Company contended that they
could terminate Ramaswami's apprenticeship, under the standing
orders, without notice, without compensation and without assigning
any reason whatever. This may be the correct legal position, but
it would be a sad state of affairs if every morning an apprentice
reported himself to duty, he ran the risk of being told that' he was
not wanted, Ramaswami's case can be easily distinguished. He
did not join the factory as an apprentice, but as an unskilled worker

INDUSTRIAL IKltiUNALS OH AMJUDJCA'LOKS W

\\\ 1942. Two years Liter he was taken as a lathe boy. If for
want of aptitude or application he became a failure, then he is
entitled to ask to be sent back to the moulding department from
which he was promoted. If a clerk is promoted as a Magistrate and
Ids magisterial work is found unsatisfactory, he is not dismissed but
reverted. ttamaswami may not be fit for skilled work. But that
is no reason for denying to him even an unskilled job, for which he
IIMS not been found unlit.

10. From the foregoing it is clear that liarnaswaini was not
discharged for inefficiency, that he could not be retrenched due to
continuous absence and bo it was wrongful to refuse to take him
back. Though he IB entitled to be taken back, he is not entitled
to be reinstated as appreiit ice-turner. Mr. Talcherkar's considered
view js that Rainaswand is incapable of improvement. Moreover
ho has been away from the factory for the past eight months and he
Niitv have to begin at tin* begmnning all over again. I do not think
it is in the intermit ol the Com puny or of l\:uiiaswami that he should
be reinstated as a apprentice-turner. But certainly on the proved
I acts, he is entitled to bu taken back in the moulding department
or in some other department as an unskilled worker.

11.1 record my findings on the issues as follows :
Issue* i and '2. I find these in the affirmative.
/v.vy/r :j. The Cuiupj-n^ is entitled to icrimimlc his apprentice-

ship on account of his failure, but not his service. He must be

restored to his old job in the moulding department, or given some

other similar unskilled job.

Issue ">. The termination is wrongful but riot a case of

victimization.

I*suc -1. Uumasw.um is entitled to be paid as compensation
from 18th August 1947 the average monthly earnings of an
unskilled worker in the moulding department.

12. In the result I decide

(1) that Sri K. K. 1 \iimaswanii must report Idmself to duty
before the Welfare Offirn , within one week after the publication
of this award,

(2) that the Company should restore him to his old job in the
moulding department and if there is no vacancy there they should
give some similar alternative unskilled job,

(3) fhat if Hamaswarni does not report himself to duty within
the week he will lose all claim for re-employment, and

(I) that the Company should pay compensation to Kama-

(a) from 18th August 1947 up to the date of the publica-
tion of this award, and that the rate of compensation should be the
11

80 UOVT. ORDERS OA i'HK RECOMMENDATIONS OF

average earnings oi' an unskilled worker in the moulding depart-
ment, and

(b) that i lie a\era<>e earnings shall be calculated aa
follows : For any mouth, say September 1017, the wages and deai-
nessi allowance of all the unskilled workers in the moulding depart-
ment slwll hi 1 tul, tiled and tli< k tot-il dmded by the number nl'
workers. The result will be taken as the average earnings for that
month. Bonus shall nut lu i taken into account.

Order Ms. Ao. l>7lj, UcGefoinm'.Hi. dated LWi February 1948.

Whereas the a \\ard of the Industrial Tribunal, Coimbatore, in
respect of the dispute between the workers and management oi
the Connbatore Cement Works, Madukkarai, consequent on the
dismissal of a \\orker ntimrd K. R Irimaswami, lias been received.

Now, therefore, in exercise oi tbe powerw conferred by section
15 ('2) read with section 19 (H) ol ilni Industrial Disputes Act, 1917
(Central Act XIV of J917), flis Excellency the (i(nernor of Madras
hereby declares thai the s-nd award shall be binding on the manage-
ment of the Coimbatore r\ni(MH Works. Madakkarai, and the
workers employed therein.

(B\ ordn of fTi^ K.xcclhMirx the (io\<-rn(r

K. G. MENON,
Secretary t<t

X

THK LNDL'STKLVL TK1BLNAL, MADKAS.
Siu M. \KNKATAUAMAYYA, U.A., B.L.
[Under the Industnal Disputes Act, 1947, J

IN THE MA'ITEH Ol' \N INDUSTIUAT, DISPUTE.

Between

TUli AJ31^AHAM BUS TRANSPORT, LIMITED POQNA-
MALLEE

and

THE WOEKEBS.
Sn R. HAJESWAB.A RAO. Advocate /or ike Company.

Sri M. STTARAM NATDC, General Recretun- of Hie Union /or
& worker*.

. Award in terms of the memorandum oi' Compromise.

INDUSTRIAL TRIUUNAJ/S OH AOJUDIGATOKS 81

G.O. Ms. No. 814, Development^ dated 19th February 1948.

("Labour --Disputes --Dispute between the workers arid the manage-
ment of the Abraham Bus Transport, Limited Recom
mendations of the Industrial Tribunal Orders passed.]

HMD- -the following papers :- -

(1)
(T.(). No. 182. Development, dated i2ih January 1948.

(i.O. No. 183, Development, dated 12th January 1948.

(2)

letter from the Industrial Tribunal, Mudnts, dated
' \!h February HHs, Vo. /./). I / I*.

{ Lahoin Industrial dispute Dispute between the workers and
management of the Abraham Has Transport, Limited
Award Submission of. Kcferenre. G.O. Ms. No 182, Deve-
lopment, daled 12th January 1948.]

The dispute between the management and workers of the
Abraham Bus Transport, Limited, has been amicably settled and
an <i\vard in pursuance of the compromise filed is submitted here-
with.

I was asked k> recommend that the award may be made binding
on the parties for a period of one venr. Government may consider
ih is request

BEFORE THE INDUSTRIAL TRIBUNAL, MADRAS.

PRESENT
SRT M. VENKATARAMAYYA, B.\.. B.L

[Tu the matter of the Industrial Tribunals Act, 1947 and in the
matter of the Industrial Dispute between the workers and
management of the . \brahain Bus Transport, Limited,
Poonamallee.]

G.O. Ms. No. 182, Development, dated 12th January 1948.

The above dispute was referred to rne on the 12th January 1948
for adjudication. Both parties have filed a memorandum of com-
promise embodying the terms of settlement arrived at and requested
that the award may be passed in terms thereof.

\ copy of the memorandum is appended and an award is passed
in ferms of that memorandum.

T)ated this 4th day of Pebmary 1948,

62 GOVT. ORDERS ON THE RECOMMENDATIONS OF

APPENDIX.
Copy of the memorandum.

BEFORE THE INDUSTRIAL TRIBUNAL, MADRAS.

[In the matter of the Industrial Dispute between the workers of
the Abraham Bus Transport, Limited and the management,
Abraham Bus Transport, Limited.]

[Reference. G.O. Ms. No. 182, dated 12th January 1948.]
Petition for withdrawal of the above adjudication.

The above reference may be treated as a compromise, as the
followingg agreement has been arrived at. An award may be passed
accordingly :

1. It is agreed that all workers mcluding the 19 discharged
nu I k 2th December 1947 are to be taken back to work and they
shall join duty on 1st and 2nd February 1948. They will be
employed on the same basis us was in existence three months back.

2. Workers agree to receive payment of wages for the days
worked in December 1947 as per the company's calculations.

8. Workers are not entitled to payment of any wages for i he-
period of the present strike.

(Signed) M. Sitharama Naidu,
(IcHfiral Secretary, Madras Motor Drivers' Issonatiou.

(Signed) S. 3. Joseph Raj,
Managing Director, Abraham Bus Transport, Limited.

( Signed) R. Rejeswara Rao,
Advocate for Management, Abraham Bus Transport, Limited.

Order Ms. No. 811, Dtoelopnwnl, dated \Qth February 194H.

Whereas the award of the Industrial Tribunal, Madras m res-
pect of the industrial dispute between the workers and the manage-
ment of the Abraham ]Jns Transport, Limited, Poonamallee, has
been received.

Now, therefore, in exercise ol the powers conferred by sec-
tion 15 (2), read with section 19 (3j of the Industrial Disputes
Act, 1947 (Central Act XIV of 1947) His Excellency the Gover-
nor of Madras hereby declares that the said award shall be binding
on the management of the Abraham Bus Transport, Limited,
Poonamallee, and the workers employed therein and directs that
the said award shall come into operation on the 19th February 1948
and shall remain in operation for a period of one year.

(By order of His Excellency the Governor of Madras)

K. G. MBNON,
Secretary to Government,

INDUSTRIAL TRIBUNALS OR ADJUDICATORS ' 83

XI

BEFORE THE INDUSTRIAL TRIBUNAL, MADRAS

SRI M, VENKATAHAMAYYA, B.A., B.L.
[Under the Industnnl (disputes Art, 1947. J
IN THK MATTER OF \N INDUSTRIAL DISPUTE.
Between

THK MANAOKMUiNT OK THK SNUKF COMPANIES IN
MADRAS

and
THE WORKERS.

Messrs. JOHN & Uow, A<l\<K'iites--/or ike Madr<tft Snuff Maun-
lacl M/'"/V I wocialiou .

Sri K. -PRABHr, President of the (^nir>n for the Madras Snuff
Workers' Union.

Award in terms of the i Memorandum of compromise.

6.0. Ms. No. 1314, Development, dated 16th March 1948.

[Labour Disputes Dispute between the workers and manage-
ment of Snuff Manufacturing Companies in Madras Recom-
mendations of the Industrial Tribunal, Madras Orders
passed.]

READ the following papers :

(1>
O-.O. MR. No. 5674, Development, dated 8th December 1917.

(2)

From the Industrial Tribunal, Madras, dated I If// March 1948,

No. J.D. 27/47.

BEFORE THE INDUSTRIAL TRIBUNAL, MADRAS.

PRESENT :
SRI M. YENKATARAMAYYA, B.A., B.T..

fin tlitf matter of the Industrial Disputes Act and in the matter of
the Industrial Dispute between the workers and maTmj^Mr.ent
of Snuff Manufacturing Companies in Madras. 1

[Reference. G.O. Ms. No. 5674, Development, dated
8th December 1947.1

The parties to tho above dispute have reached an agreement and
filed a memorandum of compromise. The award is accordingly
passed in terms of the memorandum of compromise copv of which
is attached hereto.

84 TIOVT. OliDEKS ON TIIK UEOOMMJftJNDATIONS OK

ENCLOSUBE.

Copy uf I he Memorandum oj Compromise.
BEFOKE THE IN DUST] UAL TRIBUNAL, MADKAB.

["In the mutter of the Industrial Dispute between the workers of
the Snuff Companies in "Madras and the managements of the
Snuff Companies, Madras. 1

Memorandum of compromise filed by the workers represented
i\ f h, j Madras Snulf Workers' rnion and 'he managements oi Hie
Snuff Companies represented 1>\ the Madras ftnnff Manufacturers'
Association, Madras.

I. This memorandum of compromise, will be effective and
operative from the date of the award.

i2. The, managements herem agree to increase the wage rate
for one viss of tobacco to 10 annas. Each worker shall be given
a minimum allotment of three viss of tobacco on every working
day. When tobacco is not so allotted, the workers concerned sh-vl!
be paid one rupee per da> for such involuntary unemployment.

8. Workers who have put in a continuous service of three
vears and more shall be paid a gratuity calculated at the rate of
15 days (wages) for every year of service. The ' wages ' for
purposes of calculation of gratuity under this clause shall be at a
flat rate of "Rs. 2 per day. The amount of gratuity due under this
clause shall be paid at the time the worker ceases to be in the
employ of the company. Payment of gratuity under this clan BO
shall be governed bv the rules and regulations relating to payment
of gratuity by the Madras Provincial Government in so far as they
apply.

4. All workers who have put in a continuoiiR service of one
vear and above as on 31st December 1047 shall be paid n consoli-
dated sum of "Rs 45 as bonus during the current year. Workers
who have put in less than one vear service as on 31st December
1947 shall be paid proportionately, their period of continuous
service bears to 12 months.

5. Tho managements agree to #ive six holidays as festival
holidays with wages for the venr 1948. For each of the festival
holidays workers shall be paid a flat wnge of "Rs. 2.

6. Wages for the workers will hereafter be paid fortnightly if
the majority of the workers of the respective companies so agree.
No advance shall be asked or given on anv account.

7. Workers who have put in 12 months continuous service from
the date of appointment shnll be made permanent.

8. Mr. Subbarayan shall be paid bv Original Stmnrmigham
Swiff Company, a consolidated sum of "Rs. 200 only.

INDUSTRIAL TIUHUNALS OK AIMlimCATOBB tfd

9. Other issues are not pressed during the. period the a- ward iu
terms of this compromise is iu force.

Dated at Madras, this 10th da\ of March" 1948.

(Signed) P. N. Nataraja Mudahar,
General Secretary of the Hiniff Manufacturers' Association.

(Signed) John and Itow,
Counsel Jor I he Madras Snuff Manufacturer.^ [.wnciation.

(Signed) K. Prabhu,
/'/v.s /</('///, lite Madras Snuff IKo/'/.r/*' I 'num.

( Signed* S. Subbaniyan,
Secretory, tin 1 Madras Snuff Worker*' r won

(Signed) ,

Madras, llth March 1948. Industrial Tribunal, Madras.

Order Ms. Afo. 1:314, Development, dated l&th Marrh 1948.

Whereas the award of the Industrial Tribunal, Madras in respect
.I the industrial dispute between the workers and managements of
SmifY M iiiufcic.turmg Compaires in Madras has been recei\ed.

Nou , therefore, in exercise of the power* conferred b} sec-
tion 15 (2), read \\ith section 19 (3) of the Industrial Disputes
Act, 19 t7 (Central Act XIV of 11)47) His Excellency the Governor
of Madras, hereb) declarer that the said award shall be binding on
the managements of the snuff manufacturing companies in Madias
and the workers employed therein and directs that the said award
->hali come into operation on the Ib'th day of March 1948 ju'd shall
vmain in operation for a period of one year.

(By order of ITis Excellency the (TOY em or of Madras'*

K. G. MENON.
Secretary to Gowrnmeni.

XII
BEFORE THE INDISTKIAL TRHUiNAL. MADp-RA.

SRI T. A. SUBBTAH P1LLAI, H.A., B.L.
[Under the Industrial Disputes Act, 1947. j
IN TIIM MAITER ot- \N INIU'STI^TAL PTSIHTTE.
Between

THE MANAGEMENTS OF T \X\TCRTErt F\ SEMBIAM
AND MADAVA"RAM

and
THE WOBKEES.

INTERIM AWARD.

Subject Wages. Fixed at As. 8 per unit of hides in Sembiam
and Madavaram area as a tentative rate without prejudice to the
final decision.

Award in terms of the agreement on other matters.

66 UOVT. OHDBHS UN THE. RECOMMENDATIONS OF

G.O. Ms. No. 1947, Development, dated 19th April 1948.

K HAD -the following" papers :

(1)
G.O. No. 0028, Development, dated 23rd December 1947.

(2)

Demi-official from Sri Rao Bahadur T. A. Subbiah Filial, Industrial
Tribunal, Madura, to K. C. Menon, Esq., M.A., I.C.S., Joint
Secretary to Government, Development Department, dated
23rd March 1948.

[Submission of interim award. Reference. G.O. Ms. No. 6028/47,
Development, dated 23rd December 1947.]

Herewith 1 am enclosing the interim award passed by rae with
regard to the disputes between the tannery workers in Sembiam
and Madhavaram area and tanneries in that area for the considera-
tion of the Government.

BEFORE THK INDUSTK1AL TRIBUNAL OJb 1 MADURA.

PRESENT :
SRI HAO BAHADUR T. A. SUBBIAH PILLAI, B.A., B.L.

INDUSTRIAL DISPUTE No. 2 OF 1948.
Between

The Tannery Workers m Madhavaram and Sembmni area.

and
The Tanners m Madhavaram and Sembiam area.

LNTKHJM AWARD.

1. On 10th February 1 1 J48, the Joint Secretary, Madras Pro-
vincial Trade Union Congress and the President, Provincial
Tannery Workers' Federation, Madras, filed a memorandum before
me at Madras detailing the workers' demands and grievances.

2. On llth February 1948, the workers of Sembiam and Madha-
varam area filed an application praying that an interim award may
be passed. I posted it for enquiry on 3rd March 1948 at Madras.
As the parties desired to come to an understanding, the case was
adjourned to 9th March when they filed a joint statement embody-
ing the terms agreed upon and reserving one item of dispute for the
decision by the Tribunal. It is referred to in the second paragraph

JNDCSTIUAL TittBUJSALfc OH

ofi item 1 ol the joint statement. While tke worker demanded
9 aimas per unit for bides, the employers were not prepared to pay
more .than 8 annas per unit for hides.

3. The issue is: Whether, till the final award is passed and
coine into eft'ect, the workers should be -paid in respect of hides
9 annas per umt or 8 annas per unit.

4'. From the oral representation njade by the representatives of
the tannery owners and tanners, I gather that the rate is not
uniform in the entire Province.

5. The investigator, appointed by tho Tribunal, visited 30 tan-
neries in North Arcot district and has submitted his answers for the
questionnaire framed by me, Lt is found that, in Vamarnbndi
centre iiv a number of tanneries a sum of 9 annas is paid for unit
in respect of hides, It was common ground that in some centres 1
the rates for hides and skins were one and the same. Having regard
to these circumstances, T ndviscd the parties to come to a tentative
agreement as regards the rates for hides. But they could not
agree; and T was requested by both parties to fix a rate on the
matem-ls placed before me; 1 am of the opinion that 8J annas
pel? u&i't for hides will bo a reasonable rate for 1'h<*. interim period.
I do not wish that the workers should be left unemployed a-nd get
restless; and the tannery owners also should not be losing their
profits for want of workers. After all it- is only a tentative arrange-
ment. I fix 8J annas per unit for hides in Madhavaram and
Sembiam areas from 1st March 194R, as a tentative rate and without
prejudice to the final decision on the, question.

6. In pursuance of the joint statement died by the parties,
L puss a,n award 1 as hereimder

(i) All managements in Sembiam and Madhavararn areas, who
have not paid wages at the rate of (9) nine annas per unit for skins,
shall pay (9) nine annas from 1st day of March 1948.

(ii) All tannery owners at Seinbiani and Madhavaram area,
who have not paid dearness allowance at the rate of Ks. 16 (sixteen)
per mensem shall pay dearness allowance at Us. 16 (sixteen)
per mensem from 1st March 1948.

(iii) All tannery owners shall pay one month's wages as bonus
from 1st January 1948 onwards.

(iv) All tannery owners shall provide at least one unit of work
every day to all workers who report for duty, in default thereof to
pay wages for one unit of work and the day's dearness allowance to
all workers who report for duty.

(v) The present work-load shall continue till the final award
by the Tribunal is published.

12

88 GOVT, OllpBRb ON THE ilUCOMMENDATIONS OF

7. The tanners shall pay to the workers 8J (eight and a half)
annas per unit of hides from 1st March 1948.

8. This interim award shall be m force till the date of publica-
tion of the final award.

Order No. 1947, Development,, dated l\)Ui April 1948.

In G.O. No. 0028, Development, dated 23rd December 19i7,
the Government directed that the disputes between the workers and
managements of the tanneries in the Province be referred for
adjudication to an Industrial Tribunal consisting of Sri T. A. Sub-
biah Pillai, retired District and Sessions Judge. Now the
Industrial Tribunal has reported that the workers and managements
of tanneries at Sembiam, and Madhavaram areas have filed a joint
statement agreeing to a tentative arrangement pending the final
award in respect of the entire Province and therefore it has passed
an interim award in terms of the said joint statement. The Govern-
ment accept the award and make the following order :

OKDEIi.

Whereas the interim award of the Industrial Tribunal (Sri Bao
Bahadur T. A. Subbiah Pillai), retired District and Sessions Judge,
constituted in G.O. No. 6028, Development, dated 23rd December
1947, to adjudicate in the industrial disputes consisting between the
workers and managements of the tanneries in the Province, in res-
pect of the tanneries in Sembiam and Madhavaram areas has been
received ;

Now, therefore, m exercise of the powers conferred by sec-
tion 15 (2) read with section 19 (3) of the Industrial Disputes Act,
1947 (Central Act XIV of 1947), His Excellency the Governor of
Madras hereby declares that the said interim award shall be binding
on the managements of the tanneries in Sembiam and Madhavaram
areas and the workers employed therein and directs that the said
award shall come into operation on the 19th April 1948 and shall
remain in force for a period of one year or till the final award in
respect of the disputes between the workers and managements of
the tanneries in the Province is accepted by the Government which-
ever is earlier.

(By order of His Excellency the Governor)

K. G. MENON,
Joint Secretary to Government.

INDUSTRIAL TRIBUNALS OB ADJUDICATORS 89

XIII
BEFORE THE INDUSTRIAL TRIBUNAL, COIMBATORE.

SRI C. B. KRISHNA RAO.
[Under the Industrial Disputes Act, 1947.]
IN THE MATTER OF AN INDUSTRIAL DISPUTE.
Between
THE GNANAMBIKA MILLS, COIMBATORE

and
THE WORKERS.

Mr. K. V. NARAYANASWAMI, Advocate for the Management.

Sri CHTNNADORAI, Sri YENKATARAMAN, Advocate, Sri THIRU-
VENQADAM, Sri RAMARAJ, Sri RAGHAVAN NAIR, and Sri RANGA-
SVVAMI. Advocate for Hi* 1 irrirhm at different times.

Subject. Discharge of Ammasai and three others. Whether
justified. Held on the evidence that there was a proper enquiry
into each one of the cases, but the punishment was excessive. Held
that the dismissals cannot stand.

2. Whether Nanjappan and two others voluntarily resigned
their jobs. Held on the evidence that they had voluntarily resigned
and are not entitled to reinstatement.

3. Whether Kandasami and twenty-three others have been dis-
charged as per the Standing Orders. Held on the evidence that it
was not so much a question of discharge or dismissal as an abandon-
ment of the service by the workers themselves.

Held that none of these twenty-four workers were entitled to
rein statement.

4. Whether the discharge of Arumugham and Subbarayan on
payment of thirteen days' wages justified. Held that the workers
sihovo all things desire security of emplo\ ment ; their (litharge and
dismissal must he reserved for grave misconduct and that though the
discharge is strictly legal it cannot be upheld.

Held that Narayanasami abandoned the service and that there
was no case for reinstatement.

Held that "Rasiappan and Venkntasami refused to work on some
other job and stopped away.

Held there was no case for reinstatement.

5. Compensation for non-employment of the riot workers
directed to be reinstated. Held that nearly one year has elapsed
after the dismissals and discharge, that the management is not
wholly responsible for the delay in the proceedings, and that the
management is also technically correct in the action taken.

<9Q GOVT. ORDERS ON THE RECOMMENDATIONS OP

Held in the circumstances of the case that the discharged workers
aixj not e,nlilleil to wa^rs but to subsistence allowance calculated
at the rate of one-third of the total earnings of the workers for
a period of six months.

G.O. Ms. No* 1993, Development, dated 21st April 1948.

[Labour Disputes Dispute between the workers and management
of the Gnanainbika Mills, Coiuibatoro llecornineudatiooB of
the Industrial Tribunal Orders passed.]

READ the following papers :

(1)
G.O. Ms. No. 4*21:2, Development, dated 1st September 1947.

(2)

Letter from Sri C. H. Krishna Rao, Industrial Tribunal, Brahman
E.HfHxion, Cointbutorr, lo the Secretary to Government
Development Deparhnenl, dated 19t/i March 1947, A 7 o. J.D. 5
of 1947.

[G.O. Ms. No. 42'J'2, Development, dated 1st September 1947.
Dispute between the workers aiul the management of the
Gnanambikii Mills, Ooimbatm-e Submission of Award.]

T have the honour to submit my award herewith in the dispute
between the workers and the management of the Gnanarflbika
Mills, Limited, Coimbatore, which was referred to me for decision.

, THH INDUSTRIAL TRIBUNAL, <iOIMBATORE,

PRESENT :
SRI C. R. KRISHNA RAO.

INDUSTRIAL DISPUTE No. 5 OF 1947.
Between

The Management of the Gnanambika Mills, Coimbatore

and
Their Workers.

Appearance for the management Mr, K. V. Narayanaswanxi,
Advocate,

Appearance for the workers at different times

(1) Sri Chinnadurai.

(2) Mr. Venkatraman, Advocate.
(8) Sri Tirnvengadam.

(4) Bri Hamaraj.

(ft) Sri Raghavan Nayat.

(6> Mr. Ranfraawami, Advocate,

INDU6TEIAL TBIBUffALa OR ADITOICATCWai 91

AWARD.

Government referred this dispute to me for adjudication by their
Order Ms. No. 4242, Devtstopartttt, dated 1st September 1947.
Xbe main qwetkm Cor deciwoa is whether 37 workers who are no
longer working in the mills ihouU be reinstated. According to die
management some were discharged, some were dismissed, some
resigned and others abandoned servioe ami stayed wy. None of
these is entitled to be reinstated. According to the workers, because
they happened to be members of the Union, some were dismissed
or discharged on frivolous charges, and others kad to stay away
because they were beaten or threatened to be beaten on account of
their Union activities.

2. The following issues were framed :

(1) Were the following workers dismissed after due enquiry
for just and sufficient cause :

1. Ainmasai Reeling department LIB.

2. Ayyasvvami Spinning department 98.

3. RnngaswaivH Spinning department 285.

4. ftarnaswanii Spinning department 211.

(2) Did the following workers resign their jobs?
t. NnnJMppan Spinning department 2ft I.

2. Bnmaswami, R. V. -61.

8. Ttnnui^wunii alias Hainukntti Spinning department 96.

(3) Did the following workers absent themselves for more
than three days without leave and therefore were lawfully and justly
discharged under the Standing Orders?

1 . Kandas wami Spinning 9 .

2. Krishnaawami Spinning 8.

3. Kaliannan Spinning 38.

4. Kuppannan Spinning 262,

5 . Kuppuswami Spinning 94 .

6. Kondaswami (C. E.) C.D. 4.

7. Marudachalam Spinning 217.

8. Nagappan Spinning 275.

9. Nanjappan Spinning 289.

10. Palaniappan Spinning 29.

1 1 . Palani Spinning 246.

12 . Ponnuswami Spinning 231 .

13. Ponnai Gonndan "Rov. Tnt. 3.

14. Ponnuswami, Gr. Spinning 19.

15. Ponnuswami Rov. 5.

16. Ponrttiswattri alias Virtithannan-*C.D.-~ 14.

17. RamaA.wami alias Bamftrajn Spinning 8$.

18. < Pnmft*w&toi---SpifimAg- i5.

19. "RartgaHWami-* 8piAning-*896.
90.

81.

99 GOVT. ORDERS ON THE RECOMMENDATIONS OF

22. Duraiswami Spinning- 236.

23. Nanjappaa Spinning- 112.

24. Ponnuswami Spinning 237.

(4) Was the service of the following two persons* terminated
on payment of .thirteen days wages and is such termination lawful
and just?

1 .Arunachalam Spinning department 218.

2 Subbayyan Spinning department 227.

(5) Did the following person absent himself during enquiry
and was for that reason discharged and is such discharge valid and
just?

Narayanaswami Spinning department 68.

(6) Did the following persons refuse to do changed work and
leave the mill, and therefore were validly discharged?

1 Kandaswami Rov.-*-13.

2 Rasiapan Spinning 7,

7 Venkitaswami Nayudu Blow room 5.

(7) Or contrarily were any of the workers victimized by the
management on any of the grounds mentioned by the workers and
if so which of them are entitled to be reinstated?

(8) Are the workers who are reinstated to be paid wages, and
if so at what rates and from what date?

(9) Have the standing orders been certified by the Commis-
sioner of Labour and if they are not, are they binding on the
workers? Is action taken under the uncertified standing orders
valid?

3. The Gnanambika Mills are situated near Vellakkinar. The
Managing Agents are Messrs. V. 0. Vellingiri Gounder and Brothers.
Sri V. C. Vellingiri Goundar, M.L.A. (Central) and Sri V. C. Palaoi-
swami Gounder, M.L.A. (Provincial), are two of the managing
agents. Sri Subbayya Gounder is in charge of the mills. The
Managing Agents are said to be very big landholders and very
powerful in their village. The case of the workers is that the
management were opposed to _anv of them joining the Union and
those who joined were victimized in various ways and got rid off.
A large number of workers are drawn from TTrumandapalayam and
a considerable, number from Pnnnimadai. Tt is said that TTrn-
mandapalayam workers began to ill-trent nnd even beat the
workers from Pannimadai and so many of the workers from the
latter village had to leave fho mills.

4. A branch of the Union has been opened at Pannimadai. In
February 1947, there was a genera! strike in which the workers
from Gnanambika also participated. On 18th April there was a
labour conference at Singanallur. A large number of workers from
Gnnnambika attended it with or ^without leave. 'Within a fork
night of the date of conference aftovTt 20 workers left tha mill for

INDUSTJLtiAli TKIbUJMALb uli AUJUUlOATOttb \J&

one reason or another, This is relied on by the workers aa showing
that there was aa amount of ill- treatment, without which there
would not have been this large withdrawal. On the other hand, n
has been contended by the management that the workers returned
from the conference with an exaggerated sense of their strength an_u
importance and su lelt the mills. One Kasiappan was asked by his
maistri to work on another machine, because the worker who
usually worked there was absent. He not only refused to do the
work, but told the mastn, that he could lind jobs for two such men
as he. The learned Counsel for the management! suggested that
(his tttuiudo showed wlucJi way the wind blew.

5. There have been several cases of assault, but only one which
even according 10 the workers had any connexion with Union
activity. P.\V. 3, Ponnai (founder, was beaten by one Chinnnu
but this was not reported to the Manager or to the Police. Granted
that a worker beat another worker from Pannimadai, because the
latter had attended the conference or was an active member of f he
Union, that does not show that the management had anything to
do with it. There is no evidence at all to show that the manage-
ment incited the Urumandapalayam workers to beat the Panni-
rnadai workers. Chinuan belongs to Pudur.

6. A more natural explanation for the conflicts between Union
and non- Union men working in the same shop is available. .Regard-
ing such mixed shops, says Taussig in his Principles of Economics,
41 It seem to be better, however, that no individual shop should be
half opened and half closed employing half Union men and half
non-Union. . . This plan of letting the men to do as Uiej-
please join or not join rarely works well. So eager and vehe-
ment is the Unionist spirit that where the movement has ouci
taken hold, there is constant iiaggmg of the non-Onion men. 5 '
Whether the nagging is done by the Union or the non-Union men
depends on their respective strengths. But whoever does the
nagging, does so quite independently of the management. Where
workers in the same shop belong to two rival Unions and they fight,
they do not require any encouragement or incitement from the
management to do so. The same is the case where Union and non-
Union men fight. But in this dispute, there was only one stray case
of assault by Chinnan. There is no evidence, though the workers'
written statement alleges it, that any goondas were hovering about
the mills armed with lathis to beat Union workers,

7. Another fact on which both sides rely, is that the Gnanambika
Mill alone is now working under the Standardization Scheme.
The workers say that this mill is working because the management is
so -powerful that a strike cannot be organized. But only in February
1947, the workers in Gnanambika Mills also struck work: If they
were not afraid of the 'management then why should they be afraid
now? The management say that they nave earned the loyalty of
the workers, that they have paid to some workers bonus ainonriting

94 GOVT. eiwwsRfr ON THB RISCOWMKNBATIONB OF

t se*e HM>*1' wages, tfaofc tfcey reward faiDbtol service, wad so
common- senee an* tbe peeto*mn of 8 forge boiwiw which dtepe4&
on service, have feep* their wepfcers a* tbeir posts.

8. With this background in view, I shall now proceed to consider
the individual issues.

Out <rf the- 37 workers who want to be reinstated, SOUE dad not
appear hefrw* me and tihiur cases nui&4 be presumed to be dropped.

INH# 1. Ammaai (P.W. ft) is- said to Iwve ki<'k*d wiother
worker ea-lted' Laksbmi She denied hovuig kicked Jhakskmi. The
Manager examined the pauses and one Nallakkal 1 who supported
Lakshrni. He wo^ satisfied tUut Auunosai was guilty and dismissed
her. Exhibit XI series is the record relating to this enquiry.

P.W .10, A.yyasauii, hit; mia Huthusaiiui with a* pump. The
recorded stuienieQt& aacL found A^yyasauai ^uiliy aad (UB-

P.W. 2^, Bangaswaini, beat one- Nunjukutti and 1 tore his shiH.
Exhibit XHI series is* the- record 1 of eacjuiry. One Marudachelltai
supported Nanjukutti. r ifhe- Manager believed' him 1 and dismissed-
Ptutigasami.

P.W. 9, Eamaswauii, is said to have beaten Arunacliailuin.
According to Rtimaswaiin , ArunacheHom beat hmv and^ he did not
beat ArunacheHam at ail'. Anmaeheltonfc wen* to toke bobbins from
Kainaswnirn's basket/ and Mien a acu4^B eneed f . Believing tiie two
workers who were examined aa witnesses, the Manager found
Rfcmaswami guilty and* dismissed 4 him.

The Manager evidently subscribes to the doctrine, " The large-
scale industries of our day call for semi-military organization for
punctuality, prompt obedience, submission to orders. Discipline in
the employers' hands rests on the power of discharge.'* Tauasig.
Principles of Economics,

I agree that the findings of the Manager are correct but ihe
punishment k, in my opinion,, too severe. They all seem to be first
offences- aod auppenjiion f,or a period- would have beei\ quite sufficient
to- enforce discipline and, orderliness. Eamaswami did have some
provocation.

I find Hiat t^ei^ was .an enquiry, but the puniebaien t, wa& exceb-
sive. TIhe disiuissals cannot stand.

Issue 2. The workers who are said- to have resigned have bean
examined' a* P.Ws. 13* 22 and* 3, Their lettere of reswaiioji have
been produced: I; do not see' any reason for holding that the let*-
tew are>not genuine. They wer* presented to<tbe Manager and, in
two cases certificates wei returned to the workera. I find that-
these workers resigned and are not entitled to be reinstated.

Issue 3. Under Standing Order XX (ft absence for 3 consecu-
tive days without sufficient cause is a misconduct for which a- worker
may be dismissed without notice. The case of the management

INDUbTillAL, TIUBUNALS oli ADJUDICATORS M

is that these 24 workers absented themselves not only lor three
days but did not turn up at all nor did. tney oiier any explanation.
The workers have, eacli one a different explanation.

Thus I'.W. 29, Kandasaim, says that he took leave for i'our
days and when he went alter the leave, he was not admitted. Ifix-
hibit XVI (a; shows he took only one day's leave and the time-
keeper says that the worker djd not tell tun he had lost his card.
Once belore he had overstayed and was taken back. I do not
believe P.W. 29.

P.W. 6, Krishnaswanii;, Look leave and then iiohdays. JbLe
says he wanted one month's leave and the maistri said he would
get this leave also. The inaistri (D.W. 3) contradicts him. There
is a certain procedure tor obtaining leave and the leave granted is
noted on the worker a card. This worker also says he lost his card.
1 disbelieve him.

PAY. 30, iviihannan, took leave and did not turn up again.
He said that the manager wanted a medical certificate when he
wanted to extend Ins leave, he did not furnish one. He last attended
the mill on 3rd April 1947, i.e., 15 days before the conference.
He says ne has lost his ticket too. 1 do believe this witness.

P.W. 15, Kuppana Goundar, says that the maistri told him to
sever his connexion with the union and threatened him. Even if
this is true, the management is not responsible and there was no
complaint to the Manager.

Spinning No. 94, Muthusami or Kuppuswauii did not appear.

P.W. 24, Kondaswami, says that he was threatened after the
conference and he left. But the muster roll shows that he left long
before the conference.

P.W. 21, Maruda Chellam, says that he stayed away because
another worker was beaten and he got afraid. As a second reason
he says that he was asked to sign a paper and he refused.

P.W. 28, Nagappan, says he was asked to work m the canteen.
L).W. 5 denies this. I do not believe P.W. 28 's story. He can-
not cook and it is not at all probable he would be asked to cook in
the canteen.

P.W. 4, Nanjappan, says that he was afraid and his father also
told him not to go to the mill. He is doing barber's work now.

P.W. 7, Palaniappan and P.W. 26, Eamaswamy, say that they
were warned by D.W. 4, Kurunda Chellam, not to go to the mill
where they might be beaten. They abstained from going. D.W. 4
denies this.

P.W. 19, Palani, says he was threatened on 3 successive days
with a beating by Kolanthaiappan, a maistri. D.W. 2 denies this,

P.W. 16, Ponnuswami says that after the February strike was
cillod nfT, ht wont tn i]\<\ mill, but l]\c Hint'-k^oper would not allow
him to join. Two other workers (P.Ws. 18 and 19) appear to have

13

96 QOVT. OKPEH8 ON THE RECOMMEND AJ10N 8 OF

i taken even BO late as 1st March 1947. 1 do not see why. the
tippe-keeper should have prevented this worker from joining. NO
complaint was made to the manager.

P.\y. 3, J^onnai Goundar, says he was beaten by Chinnan.
According ty tne written statement Oninnan beat xonnai Oouuaau
inside tne null and was only cnasou outside out not beaten by (Jhin-
n^n aud other g^ondas wno were armed witfc lathies, -bu> ui his
evidence Ponnai Goundar says he was beaten wj^th a boot by Chin-
uan outside the mill and not inside where lie was only threatened.
It was not goondas who prevented him i'rom going in but the
watchman and he does not say a word about lathies. in fact he
says Chinnan , had no stick. There was only one other worker
present. I do not bchc\c Pomiai Gouiutar.

P.W. &, luippuswaini, sa>s he was absent for a day and next
day when he went to the mill, he was not allowed to go m, a most
extraordinary story. He does not say the refusal to. admit him had
anything to do with his being a member of the union.

P.W. 14, Ponnuswaniy, says that he got afraid because Ponnai
Goundar (P.W. 3) was beaten and he stayed away.

P.W. 17, Ponnuswamy, says that Urumyoidapalayani workers
were threatening to beat i'aumumdai \\orkers and so ho stayed
away. He is from Panniinadai.

P.W. 33, Bamraj, is the Secretary of the branch of the union
at P^iHiiuiadai. It was started after the general strike* He was
not given leave to attend the conference. But he attended it all
the same. When he was going to the mill, he was told by the way-
farers that men with sticks were waiting near the mill to beat union
men. He admits that some Paiimmadai people are still working in
the mill. The manager also says that many of the workers from
Pannimatjai are still working and a quite a large number of workers
are still members of the union.

P.W. '^G, Itamaswaiu^, puts forward the siuuc storj as P.W. 7.

P.W. 27, Bangasami, says that he sent word by his brother
who is also a worker and a member of the jmion that he. wanted
an exteflisipa.of leave. He thought he had been granted leaye, but
when Jie.went to, join duty, he was told he had ov.erstayed and bad
been discharged. His brother, however, is still working in the
mill, thpugh a member of the union.

P.W. 24, Kondapwamy, P.W. 25, Tbannasi, alias, O^bimalai
and P.W. 32, Nanjakutti, say they got afraid and stopped.

Before the Conciliation Officer, the complaint of the union seems
to have been that 4 workers were dismissed and 18 others wrong-
fujly ^charged. In all 22 workers were ttyus affected. But now
the number has swollen to 37, At the time of the enquiry several
workers came to give evidence that they also had been wrongfully

WDUfif &IAD TftlBOtfAtS OB AtiJUDIbATOBS 'J7,

discharged but as their names were not included in the state-
ment, they 1 were nfot examined. The complaint of the manage-
ment is that the union got hold of all those workers who 1 had been .
working in the mill at some time or other and had left it to make
a long 'list of grievances. The evidence adduced in several cases is
different frdrti the base set up in the written statement. Even if
Urufei&ndapalayam workers threatened the Pannimadai workers for
having attended the conference that was not a sufficient excuse for
staying aWay. They could have complained to the management.
The easiest thing is to send a letter by post to the manager even if
the 'gatetinan or time-keeper refused admission. I do not believe
the eVitlfenfce bf these witnesses. It was not so much a question of
discharge or dismissal as of abandonment of service. I find that
none of these 24 Workers is entitled to be reinstated.

Issue 4. Arumugam and Subbayyan were discharged on pay-
ment of thirteen days wages. The manager could lawfully termi-
nate their services thus under the standing orders. Nothing was
stated in the management's statement as regards these workers.
But -now it is stated that on the night Kamaswami beat Aruna-
chellam, these two workers collected a crowd and caused a cessa-
tion of work for about half an hour. Assuming that this is so,
discharge without obtaining an explanation cannot be held to be
a proper punishment. It is too severe. Workers, above all things,
desire security of employment. Discharge and dismissal must be
reserved for grave misconduct. Though the action of the manager
is strictly legal, I am unable to uphold the discharge of these two
workers.

Issue 5. Nnravanasami and Kittan fought with each other and
a report was made to the manager. While he was holding the
enquiry Narayanaswami stopped away. He says that he fell ill.
Kittan Was suspended. This is a case of abandonment of service.
I do not see any ground foi reinstating this worker.

I*sut8 and 7. "Rasiappan fP.W. 12) was asked to do work on
another machine and he refused. There is no mention of this hi
the written statement of the workers. There it is stated that the
maistri abused the worker for attending the conference and was
afterwards sent away. Exhibit T) is said to be the Statement made
by this witness. Rasiapp&n admits that the signature on it is his
but he says he signed on a- blank paper. But he admits that the
substance of the statement is correct. The manager says he
Exhibit -I)! This 1 is a case of abandonment and not of

P.W. 11, Venkataswamy, was asked to work in the mixing
room and he refused. He was a balebraker. He also Stayed away;
This again is a case of abandonment.

Kandaswami was not examined. None of these three workers
is eMitted to bfe restated,

W GOVT. ORDERS ON THE RECOMMENDATIONS OF

Issue 8. I have found that the four dismissed, workers
Ammasai, Ay y as wain j, Rangaswami and Rarnaswami and the two
discharged workers Arimiugham and Subbayyan alone are to be
reinstated. Nearly one year luis elapsed after the dismissals and
discharges and the workers are themselves in a measure responsible
for this. I received the Government Order referring the dispute for
decision on 6th September 1917. But issues could not be framed
till 17th November 1947, and the trial could not begin till 26th
January 1948 and the trial could be completed only on 10th March
1948. It would be unfair to ask the management to pay wages or
compensation for this long period when they are not wholly
responsible for the delay in the proceedings. I may also state that
technically the action of the management was correct. The
workers say that they have been idle. Is it likely that able-bodied
young people did not engage themselves in any gainful occupation
during the last eleven months and lived on the hope of being
reinstated with arrears of wages? T think that the discharged and
dismissed workers are not entitled to wages, but only to a subsistence
allowance and for a period of six months only. The monthly sub-
sistence allowance will be one-third of the total earnings of the
worker, i.e., basic wages and dearness allowance in the month of
January or March 1947 whichever is larger. As an example, sup-
nose Ammugam's earnings in March 1947 were higher than in
January and in the month of March, that his basic wages
amounted to Rs. 35 and his dearness allowance to another Rs. 35
he will be entitled to a total subsistence allowance for six months
of Rs. 7 - O x 6 = Rs. 140. And so in the other cases. The subsis-

o

tence allowance allowed will be in addition to the thirteen days'
wages paid or payable to the workers, Subbayyan and Arunrugam
when they were discharged under the standing orders.

Issue 9. The management have done all that they could to get
their standing orders certified. And they cannot do more. Until
the Commissioner of Labour issues the certificate the old orders
remain in force. I find this issue against the workers.

9. The result is that the workers

Ammasai, Ramaswami,

Ayyaswami, Arumugam, and

Rangaswami, Subbayyan

will be reinstated if they report themselves within fourteen days
after the publication of this award. They must be given as
far as possible work in their old departments. The management
must also pay to them subsistence 'allowance as stated in my
finding on issue 8 within one month from the publication of the
award.

The demand of the other workers to be reinstated IB disallowed,

INDUSTRIAL TRIBUNALS OR ADJUDICATORS 99

Order No. 1993, Development, dated 21st April 1948.

Whereas the award of the Industrial Tribunal, Coimbatore, in
respect of the industrial (Impute between the workers and the
management of the Gnanawbika Mills, Coimbatore, has been
received.

Now, therefore, in exercise of the powers conferred by section
15 (2) read with section 10 (3) of the Industrial Disputes Act, 1947
(Central Act XIV of 1947), His Excellency the Governor of Madras
hereby declares that the said award shall be binding on the manage-
ment of the Gnanambika Mills, Coimbatore, and the workers
employed therein and directs that the said award shall come into
operation on the 21st April ]948 and shall remain in operation for
a period of one year.

(By order of His Excellency the Governor)

K. G. MONON,
Secretary to Government.

XIV
BEFORE THE INDUSTRIAL TRIBUNAL OF MADURA.

SRI RAO BAHADUR T. A. SUBBIAH PILLAI, B.A., B.L.
[Under the Industrial Disputes Act, 1947.]
IN THE MATTER OF AN INDUSTRIAL DISPUTE.
Between

ADAIKALAM PILLAI, CONTRACTOR UNDER MADURA
MILLS

and
THE WORKERS.

Subject Representation of workers in the Industrial Court
proceedings. Held that under rule 23 of the Industrial Disputes
Rules only an officer of a registered Trade Union or a legal practi-
tioner may appear. The Secretary, District Congress Labour Sub-
Committee, as such has no locus standi. The signatures of some
workers, not dated and attested, cannot empower an advocate to
appear on behalf of workers.

2. Whether the reference of the dispute to the tribunal is not
valid. Held that the reference made by the Government is clear
and definite.

3. Bonus. Held that as the workers were all casual labourers,
they are not entitled to any bonus.

4. Compensation for workers. Held that there was no lock-out
and that they cannot claim compensation for loss of employment
an they were only casual labourers.

100 GOVU: OUDBBg' ON THfc BECOMMEtfkATIOtfS OP

6.0. Ms. HO. 2286, Development, dated 6th May 1948.

DisputiBiis Dilute between Adaikalam Pillai, the con-
tractor of' Madura Mills Company, Limited, Ambasamudrani
and -his workers Recommendation of the industrial tribunal
Orders passed.]

RBAD-Mhe following papers :

0)
G,O. Ms. No. 5651, Development, dated 6th December 1947.

(2)

Front the Industrial Tribunal, Madura- 1 dated 25rfc March 1948,

No. Nil.

BEFORE THE INDUSTRIAL TRIBUNAL OF MADURA.

PRESENT :
SRI RAO BAHADUR T. A. SUBBTAH PTLLAT, B.A., B.L.

INDUSTRIAL DISPUTE No. 9 OF 1947.
Between

The workers under Adaikalam Pillai, a labour Contractor under
Madura Mills, Ambaflimudram

and
Adaikalam Pillai, the Contractor.

AWARD.

1. The Madura Mills have a branch at Papanasam (Vikrama-
singapurarn) near Ambasainudrani railway station. The mills have
got a railway siding in their compound into which the goods wagons
from the railway station are brought for unloading bales of cotton
and loading bales of yarn manufactured in the mills. For about
15 years, Adaikalam Pillai has been supplying coolie labour for the
loading and unloading the goods as a contractor under the mills.

2. It i& stated by the workers that, on 23rd March 1947, th'ey
insisted that Adaikalam Pillai should pay them bonus just as the
workers under the Madura Mills were paid. But Adaikalam Pillai
refused'to'pay and asked them to clear out. On the next day,
they- appeared again before him and requested him to admit them
for work. But he declined to permit them to work; they havd
thereby been put to enormous loss ; and compensation must be paid
to them for having deprived them of their employment.

3. The contentions of 'Adaikklam Pttki are

Tfe is not a i permanent contractor for supply of coolie labou*.
Though he had been supplying the Iftboitr for a number bf yebraf,

INDUSTRIAL TRIBUNALS OR ADJUDICATORS 10l

the contract between him and the mills could be terminated at the
end of any year. In such circumstances, he wap not in a position
to employ permanent labour. Further, the work in the siding
yard .depeuds upon the arrival of goods trains and the number of
wagons brought into the siding for loading and unloading. He could
engage only such number of workers as would be required for the
work that was available for the day. It might be that he was
employing a few persons regularly whenever there was work. The
workers are not paid by the month. They are paid only daily
wages though for the sake of convenience the wages were calculated
and -payment was made once in a month.

4< The further contentions of Adaikalam Pillai are
., The workers, who had complained to tjie authorities that
they were dismissed summarily and that there was a lock-out were
not . ' workmen ' as defined m the Industrial Disputes Act. The
alleged dispute is also not an ' industrial dispute ' within the mean-
ing of the expression. The reference to the tribunal is vague, indefi-
nite and invalid. The men, who had worked under him, are only
casual labourers. There was no lock-out by him. The labourers
themselves, without valid reasons struck work at the instigation of
the communist-leaders and also behaved rudely and violently and
also intimidated Adaikalam Pillai. In any event, they are not
entitled to reinstatement or compensation. The Industrial Tribu-
nal has no jurisdiction to award compensation for alleged loss of
employment. The workers, who had worked under him, have no
Workers' Union or Labour Union. If there was any union, it
has not been registered as a Trade Union. The Secretary of the
District Congress Committee Labour Section, who has filed the
statement on their behalf, cannot validly represent them in the pro-
ceedings before this tribunal.

5. The issues are

(i) Whether the workers have been duly represented in this
proceeding.

(ii) Whether the reference to the Tribunal is not valid and is
vague and indefinite.

(iii) Whether the workers employed by Adaikalam Pillai are
workers on daily wages and cannot claim the benefits of the provi-
sions of Act XIV of 1947.

(iii-a), Whether the dispute between the contractor, Adaikalam
Pillai and his workmen is an * industrial dispute ' as defined in the
Act.

. (iy) Whether the workers were dismissed summarily and
there was a lock-out.

(y) Whether the workers, who. have not ,beei? reinstated, are
entitled) to reinstatement.

(vi) Whether the workers i^e entitled . to. any .compensation
and. whether this tribunal has. jurisdiction to .award

GOVT. OBDJBRS ON THE RECOMMENDATIONS Ol'

6. First issue. It js proved that there is no worker*' uoioa or ,
Labour Union composed of the workers employed under Adaikalau*
Filial. Under section 36 of the Act, a worker, who is a party to
an industrial dispute, is entitled to be represented in any proceed-
ing under the Act by an officer of a registered trade union. Not
only should there be a union but it must also be a registered union,
if the workers wished, that the officer should act and plead on their
behalf before the tribunal.

7. All the workers, in this case, did not individually appear
before this tribunal at the time of the enquiry; nor did they autho-
rize in writing anybody to represent them as suggested by me on
one of the earlier hearings. On the 15th March 1948, an advocate
filed a memorandum of appearance stating that he had been duly
instructed to appear for the workers in this dispute and wanted a
short adjournment as he had not been fully posted with the facts
of the case; and 1 granted time till 19th March. On that day the
witnesses were examined and the arguments heard.

8. It has to be noted that the statement of the claims and the
grievances of the workers was not signed by the workers or by even
a single worker; it was signed and presented by Sri Krishnan,
Secretary, District Congress Labour Sub-Committee, Tinnevelly.
This was on the 10th February 1948. That gentleman had no
locus standi, in this proceeding; nor can he sign any pleading or
statement on behalf of the workers in this case. The statement,
signed and presented by him purporting to be on behalf of the
workers, cannot be looked into and must be deleted from the record.
The learned advocate, who presented a memorandum of appearance
on the 15th March, after he finished the arguments, presented to
me a paper containing a number of signatures alleged to be the sig-
natures of some of the workers under Adaikalam Pillai. On the
15th March, I had pointed out to him that the Secretary, District
Congress Labour Sub-Committee, was not entitled to represent the
workers before this tribunal. Rule 23 of the rules framed under the
Act, says " Any party to a reference before the tribunal may be
represented by a legal practitioner who shall file a memorandum
of appearance with the permission of the tribunal and subject to
such conditions or restrictions as the tribunal may impose." There
is no guarantee that the signatures found in the paper and presented
to me by the advocate, contains the signatures of the persons whose
signatures they purport to be. The advocate admitted that it con-
tained the signatures of only some of the workers concerned in
this dispute and enquiry. It is obvious that he considered it neces-
sary that his authority to represent the workers should be fortified
by securing the written consent of all the workers concerned. Bu*;
the signatures of only some of the workers appear in that paper,
assuming of course, that they are all genuine signatures. Admit-
tedly all the workers have not signed that paper. The authoriza-
tion paper is not dated and not attested. In these circumstances,

TJUBUJStALS Oil ALKfUiHCATOKS 108

1 cannot but hold that the advocate has not been duly authorized
ro represent the workers in this proceeding. 1 must also fiud that
there is no duly authorized statement of the claims and demands
of the workers heiore th'is tribunal. The finding on the first issue
is that the workers had not been duly represented in this proceed-
ing.

9. In view of the findings given above, I need not enter into
the questions covered by the other issues and give findings thereon.
However, 1 propose not to be technical and shall, therefore, discuss
the other matters also and give the findings.

10. Second issue. There is no point in this contention raised
by the employer, Adaikalain 1'illai. The reference made by the
Government 1% suiliciently clear and definite ; I do not also find
any invalidity attached to it. On the report of the Commissioner
of Labour, the Government, after satisfying themselves that a dis-
pute existed which could be referred to the tribunal, have done so.
The rules framed under the Act were published, after the Govern-
ment referred the dispute for adjudication. The workers could not
have anticipated that they should put forth their demands and
represent their grievances in any prescribed form. The issue is
found against the employer.

11. Third issue. Even the witness, examined on the workers'
side, admitted that he was paid wages only for the days he actually
worked, though he took care to add that, in case he worked for
tnore than 15 days in a month, he would be given an extra salary
for four days and that, if the number of days he worked in the
month fell short of 15, he would be paid an extra salary only for
two days. (This extra salary is of the nature of an ex gratia
payment made at the sweet will and pleasure of the employer,
Adaikalain PillaL) These admissions are sufficient to conclude that
the workers employed b}' Adaikalain L'illai are only daily-rated and
that they are not working on a monthly basis.

]'2. A Muslim, employed by the Madura Mills, to supervise the
work of loading and unloading in the railway siding, deposed that
on some days goods trains would not arrive; that the volume of work
of loading and unloading in the siding could not be uniform ; that
Adaikalain Pillai would engage only such number of coolies as
woud be required to finish the work that was available on the parti-
cular day, and that, if more than the necessary number should be
present, he would send away the surplus men who would go away
without demur and unreniunerated. There is absolutely no reason
why this Muslim, employed in the, Madura Mills, should give false
fviflence to support the Christian, Adaikalam Pillai.

13. A register in the form of an attendance register has been
maintained by Adaikalam Pillai, in order that the number of days
n which the several workers worked in the month could be calcu-
lated and the wages assessed and paid accordingly, as the practice

14

JL04 GOVT, OKDKKS ON THE RECOMMENDATIONS OF

was to make the payment only once iu a month. It was admitted
by the witness, on the side of the worker, that the workers could
not claim and were not paid wages for the days of absence. (Of
course, he stated that 2 days or 4 days' pay was added to the
pay for the days of actual work.) The individuals would vary from
day to day. The number also would vary from day to day. There
was no obligation on the -part of Adaikalarn Pillai to provide alter-
native items of work on the clays when there was no loading or
unloading in the railway siding. There was also no obligation on
the part of the workers to maintain regular attendance. Further,
it is in evidence that the -' workers took to other , occupations on
the days when Adaikalam Pillai could not find work for them and
did not pay any wages. It might be that some workers worked
under Adaikalam Pillai for several years on the days .when he could
provide work for them. This single circumstance is not sufficient
to declare them as permanent workers or workers with any fixity of
tenure. I have pointed out above the various circumstances which
lead to the conclusion that the workers under Adaikalam Pillai
could not be classified as permanent or regular workers. I am
clearly of the opinion that they are only casual workers who are
paid only daily wages for the days they actually worked and T find
the issue accordingly.

14. The next question that falls to be considered is whether
the workers in this case are entitled to bonus. The controversy
with regard to bonus was the cause of the rupture between the
patties. The workers did not work on the 23rd und 21th March
1947. The case of the workers is, that Adaikalam Pillai locked
them out on those days and prevented them from doing the work.
The work was, however, attended to by the coolies supplied by the
Madura Mills. After lapse of one week, Adaikalam Pillai engaged
fresh men to do the work. It is admitted by both parties that the
Police were on the scene. The case of Adaikalam Fillai is that the
workers struck work, as he did not then and there agree to comply
with the demand of the workers and pay bonus and that he did
not lock them out; while the workers would state that, though they
insisted on payment of bonus, they did not strike work and it was
Adaikalam Pillai that prevented them from attending to their work
on 23rd and 24th March and subsequent days. On this point also
I prefer to act on the testimony of the independent and disinter-
ested witness, the Muslim clerk of the Madura Mills. He supports
Adaikalam Pillai' s version.

IB. Since I have held that the workers in this case are only
casual labourers, who are paid daily wages, I hold that they are not
entitled to any bonus.

. 16. There was a lightning strike on the 28rd and 24th March
1947 by the workers in order to coerce, if possible, the employer,
Adaikalam Pillai, to agree to the payment of bonus. There was

INDUSTRIAL, TRIBUNALS OH ADJUDICATORS IOC

no lock-out by the employer. They are also only casual labourers,
entitled to daily wages. They cannot, therefore, claim any compen-
sation for the loss of employment. The second portion of the third
issue is found accordingly.

17. Issue III (a). The definition of industrial dispute found in
the Act is wide enough to bring this dispute under the category of
the industrial dispute. The issue is found in the affirmative.

18. Foitrtli issue. I have already dealt with the question of
lock-out and I have already held that the workers are only casual
labourers, entitled to nothing more than daily wages. They could
be sent away by Adaikalam Pillai at any time. It is not, therefore,
correct to say that they were dismissed summarily. There could also
be no lock-out in this case. Fourth issue is found accordingly.

19. Fifth issue. Tt should follow from the findings on issues
3 and 4 that the workers are not entitled to reinstatement. This
issue is found in the negative and against the workers.

20. iS7.rf./i issue. The question of compensation has already
been considered. T hold that the workers are not entitled to any
compensation.

21. As regards the second portion of this issue, T must hold
that if it could be found that the workers in this case were perma-
nent workers and that they were dismissed summarily, this tribunal
would certainly have jurisdiction to award compensation for loss of
employment.

22. The result of my findings is that the workers in this case
are not entitled to any of the reliefs claimed in the statement filed
on their behalf by the Secretary, District Congress Labour Sub-
Committee.

Order No. 2286, Development, dated 6tfc May 1948.

Whereas the award of the Industrial Tribunal, Madura, in res-
pect of the dispute between the contractor of Madura Mills Com-
pany, Limited, Ambasanuidram , and his workers, has been
received.

Now, therefore, in exercise of the powers conferred by section
15 (2) of the Industrial Disputes Act, 1947 (Central Act XIV of
1947), His Excellency the Governor of Madras hereby declares that
the aLward shall be binding on Sri Adaikalam Pillai, the contractor of
the Madura Mills Company, Limited, Ambasamudram , and his
workers.

(By order of His Excellency the Governor)

C. P. MADHAVA MBNON,
Assistant Secretary to Government*

106 GOVT. ORDERS ON THE RECOMMENDATIONS OF

XV

BEFORE THE INDUSTRIAL TRIBUNAL OF MADURA.

SRI KAO BAHADUR T. A. SUBBIAH PILLAI, B.A., B.L.

[Under the Industrial Disputes Act, 1947. J

IN THE MATTER OK AN INDUSTRIAL DISPUTE.

Between

THE MANAGEMENT OF TANNERIES AT RANIPET
(NORTH AHCOT DISTRICT)
and
THE WORKERS.

INTERIM AWARD.
Subject. Award in terms of the memorandum of agreement.

G.O Ms. No. 2424, Development, dated llth May 1948.

[Labour Disputes Dispute between the workers and manage-
ment of tanneries at Hanipet, North Arcot district Interim
recommendations of the Industrial Tribunal Orders passed.]

READ the following papers :

(1)
G.O. Ms. No. r>028, Development, dated 23rd December 1947.

(2)
From the Industrial Tribunal of Madras, dated 16f/i April 1948.

BEFORE THE INDUSTRIAL TRIBUNAL OF MADURA.

PRESENT :
SRI RAO BAHADUR T. A. SUBBIAH PILLAI, B.A., B.L.,

Industrial Tribunal of Madura.
TANNERY INDUSTRIAL DISPUTE No. 3 OF 1948.

Tannery Labour Union, Ranipet, North Arcot district,

versus
South India Tanners and Dealers' Association, Ranipet.

INTERIM AWARD.

The -parties entered into an interim arrangement, pending the
final award by the Industrial Tribunal, on the 21st day of March
1948. The tanners did not press their contention that it was
brought about under threat of strike.

In pursuance of the joint statement filed by the parties, I
pass an interim award in the following terms :

(1) The workers shall be paid one anna per unit in excess of
the present nte,

INDUSTRIAL TRIBUNALS OH ADJUDICATORS 107

(2 To workers who get 7 annas and to female workers, the
dearness allowance shall be paid at Rs. 10-8-0 per mensem.

(3) To workers who get 9 annas and 8 annas, the dearness
allowance shall be paid at the rate of Rs. 16 per mensem.

(4) That the workers shall withdraw their strike notice.

(5) If possible, one unit of work shall be given to workers.
(G) The said agreement shall take effect from the 16th day of

March 1948 and be in force till the final award to be passed by this
Tribunal takes effect.

Order No. 2424, Development, dated llth May 1948.

In G.O. Ms. No. 6028, Development, dated 23rd December
1947, the Government directed that the disputes between the
workers and managements of the tanneries in the Province be
referred for adjudication to an Industrial Tribunal consisting of
Sri Ban Bahadur T. A. Subbiah Pillai, retired District and Sessions
Judge. Now the Industrial Tribunal has reported that the Tannery
Labour Union, Ranipul, and the South India Tanners and Dealers
Association, Hani pet, filed a joint statement agreeing to an interim
arrangement pending the final award in resjxect of the entire
Province and therefore it has passed as interim award in terms of
the said joint statement. The Government accept the award and
make the folowing order :

ORDER.

Whereas the interim award of the Industrial Tribunal (Sri Rao
Bahadur T. A. Subbiah Pillai, retired District and Sessions Judge)
constituted under G.O. Ms. No. 6028, Development, dated 23rd
December 1947, to adjudicate in the industrial disputes existing
between the workers and managements of tanneries in the Province,
in respect of the Tannery Labour Union, Ranipet, and the South
India Tanners' and Dealers' Association, Ranipet, has been
received ;

Now, therefore, in exercise of the powers conferred by
section 15 (2) read with section 19 (3) of the Industrial Disputes
Act, 1947 (Central Act XIV of 1947), His Excellency the Governor
of Madras hereby declares that the said interim award shall be
binding on the members of the South India Tanners and Dealers
Association, Ranipet, and the workers employed by them and
directs that the said award shall come into operation on the llth
May 1948 and shall remain in force for a period of one year or till
the final award in respect of the disputes between the workers and
managements of the tanneries in the Province is accepted by the
Government whichever is earlier.

2. The Commissioner of Labour is requested to send copies of
this order to the managements and workers concerned.
(By order of His Excellency the Governor)

K. G. MKNON, *
Secretary to Government,

108 GOVT. ORDERS ON THE RECOMMENDATIONS OF

XVI
BEFORE THE INDUSTRIAL TRIBUNAL OF MADURA.

SRI RAO BAHADUR T. A. SUBBIAH PILLAI, B.A., B.L.

[Under the Industrial Disputes Act, 1947.]
IN THE MATTER OF AN INDUSTRIAL DISPUTE.

Between

THE MANAGEMENT OF TANNERIES AT PERNAMBUT
(NORTH ARGOT DISTRICT)

and
THE WORKERS,

INTERIM AWARD.
Subject. Award in terms of the memorandum of agreement.

G.O.Ms. No. 2425, Development, dated l.th May 1948.

[Labour Disputes Dispute between the workers and manage-
ment of tanneries at Pernambut, North Arcot district Imeiiin
recommendations of the Industrial Tribunal Orders passed. 1

READ the following papers :

(1)
G.O. Ms. No. 6028, Development, dated 23rd December 1947.

(2)
From the Industrial Tribunal of Madura t dated IQtk April 1948.

BEFORE THE INDUSTRIAL TRIBUNAL OF MADURA.

PRESENT :

SRI RAO BAHADUR T. A. SUBBIAH PILLAI, B.A., B.L.,
Industrial Tribunal of "Madura.

TANNERY INDUSTRIAL DISPUTE No. 4 OF 1948.
Between

The Pernambut Tannery Workers Union

and
The Pernambut Tanners' Association, Pernambut.

INTEBIM' AWARD.

In the presence of the Subdivisional Magistrate at Tiruppattur
(North Arcot district) on 22nd of March 1948 the parties entered
into an interim arrangement pending the final award by the
Industrial Tribunal. The tanners did not press their contention
that it was brought about by threat and undue influence,

INDUSTRIAL TIUBUNA1/S OK ADJUDICATORS 109

Iii pursuance of the joint statement filed by the parties I pas*
an interim award .in the following terms :

(1) The workers who do the work connected with hides shall
be paid per unit one anna in excess of the present rates, that is to
say

RS. A. p.

(a) l/W llangaram, Tanuu. and Chakram. QUO

(b) Moitu worker 080

(c) Thottj 070

To tlu* above workers, dearncss allowance at Es. 16 per
mensem shall be paid.

(2) To the workers below 16 \ears of age, dearness allowance
at Us. 10-8-0 per mensem shall be paid. This rate applies to the
workers of such age who attend to skins.

(tf) To workers who attend to skins, with regard to llangaram,
Tanna, Chakram and Motlu, ( .) annas per unit shall be paid. The
work should be clean and good and free from any kind of defect.

(4) If possible one unit of work shall be given to workers.

(5) To female, workers, the salary and dearness allowance shall
be paid as per the rate obtaining at Hunipet on the 22nd of March
1948.

(6) The said arrangement .shall take effect from the 16th day
of March 1948 and shall be in force till the final award of the
Tribunal is brought into froce.

(7) The workers should resume work from the 23rd of March
1948.

At 2-30 p.m. on the 22nd of March 1948, the workers withdrew
their strike notice in the presence of the Subdivisional Magistrate
and they agreed to resume work.

OrderNo. 2425, Development, dated lltfc May 1948.

In G.O. Ms. No. 6028, Development, dated 23rd December
1947, the Government directed tlmt the disputes between th
workers and managements of the tanneries in the Province be
referred for adjudication to an Industrial Tribunal consisting of
Sri Itao Bahadur T. A. Subbiah Pillai, retired District and Ses-
sions Judge. Now the Industrial Tribunal has reported that the
Pernambut Tannery Workers' Union and the Pemambut Tanners'
Association filed a joint statement agreeing to an interim arrange-
ment pending the final award in respect of the entire Province and
therefore it has passed an interim award in terms of the said joint
statement. The Government accept the award and made thei
following :

OEDEE.

Whereas the interim award of the Industrial Tribunal (Sri Rao
T<Mhalur T, A, Subbiah Pillai, retired District and Session* Judge)

110 GOVT. ORDERS ON THfc RECOMMENDATIONS Of

constituted under G.O. Ms. No. 6028, Development, dated 23rd
December 1947, to adjudicate in the industrial disputes existing
between the workers and managements of tanneries in the Province,
in respect of the Pernambut Tannery Workers' Union and the
I' o mam but Tanners' Association has been received;

Now, therefore, in exercise of the powers conferred by sec-
tion 15 (2) read with section 19 (8) of the Industrial Disputes Act,
1947 Central Act XIV of 1947), His Excellency the Governor of
Madras hereby declares that the said interim award shall be binding
on the members of the Pernambut Tanners' Association, Pernambut,
and the workers employed by them and directs that the said award
shall come into operation on the llth May 1948 and shall remain
in force for a period of one year or till the final award in respect of
the disputes between the workers and managements of the tanneries
in the Province is accepted by the Government whichever is earlier.

2. The Commissioner of Labour is requested to send copies of
this order to the management and workers concerned.

(By order of His Excellency the Governor)

K. G. MENON,
Secretary to Government.

XVII

BEFOKE THE INDUSTRIAL TRIBUNAL OF MADURA.

SRI RAO BAHADUR T. A. SUB BLAH PILLAI, D.A., B.L.

[Under the Industrial Disputes Act, 1947.]

IN THE MATTER OF'AN INDUSTRIAL DISPUTE.

Between

THE MANAGEMENT OF THE TANNERIES AT
AMBUR

and

THE WORKERS.

INTERIM AWARD.
Subject. Award in terms of the joint statement of parties.

6.0. Ms. No. 2426, Development, dated llth May 1948.

[Labour Disputes Dispute between the workers and management
of tanneries of Ainbur, North Arcot district Interim recom-
mendations of the Industrial Tribunal Orders passed.]

BEAD the following papers :
.......,. (1)

'{KQ'.Ms. No. 6028, Development, dated 23rd December 1947,

INDUSTRIAL T1UBIJNALS UU ADJUDICATORS 111

.(2)

From the Industrial Tribunal of Madura, dated \.llk April 1948.
BEFOBU THJK INDUSTlilAlj TRIBUNAL OF MADUEA.

Bin lUo BAHAOUU T. A. BUBB1AH PJLLLA1, B.A., B.L.,

Industrial Tribunal.

TANNKKIKS INDUSTRIAL DISPUTK JS T o. OF 1948.
LJoiween

The Tannery Workers of Ainbur, North Arcot district

and
The Proprietors of Tanneries of Ainbur, North Arcot district.

-LNTEIUJM AWARD.

The representatives of the parties amicably settled their disputes
in the presence of the Sub-Magistrate of Ainbur and the terms of
the settlement were reduced to writing. While 1 was camping at
Vellore, the workers presented before me a carbon copy of the joint
btalemenl.

The representative of the employers contended that the agree-
ment was brought about by threat of strike and coercion and that
therefore it was not binding on the employers. I therefore framed
the following issue :

Whether the agreement was brought about under coercion and
undue influence and js therefore not legally enforceable.

On the next day, the representative of the employer stated before
me that he did not -press the issue. The agreement therefore stands
un impeached.

Ln pursuance of the joint statement of the parties I pass an
interim award in the following terms :

(1) From 1st of March 1948, all the workers employed in
tanning (Qpir<so uu>ffi(Biu ^Ksvsvrr Q// J /K(?<50-/--wfrL@) shall be paid
U annas per unit as wages and Us. 10 per mensem as dearness
allowance.

(2) To women workers and to male workers aged 17 years
and above (<sto $&&&)&(&, 1 7 GuiugiLb &&n)(gftio<buLL- LS<5n$ni&$ijj&(Lb)
wages shall be paid at Us. 15 per mensem ; and dearness allowance
sit Bs. 16 per mensem shall be paid from 1st of March 1948.

(3) The interim award shall take effect from 1st March 1948
and be in force till the final award of the Tribunal is published by
the Government.

Strike notice was cancelled on 21st March 1948.
Order No. 2426, Development, dated llth May 1948.

Tn G.O. Ms. No. 6028, Development, dated 23rd December
1947, the Government directed that the disputes between the
workers and managements of the tanneries in the Province be

15

112 (IOVT. OKDEKW ON JL'UE UHOOAlAlliNUATiONS Ob 1

referred for adjudication to an Industrial Tribunal consisting ol
Sri Rao Bahadur T. A. Subbtah 1'illai, retired District and Sessions
Judge. Nou the Industrial Tribunal has reported that the repre-
sentatives of the tanner^ workers of Ainbur and the proprietors of
tanneries of Ainbur filed a joint statement agreeing to an interim
arrangement pending the final award in leaped of the entire Province
and therefore 1 it has passed an interim award in terms of the said
joint statement. The (lovermnent aeeept the award and make the
following order :

OKI) UK.

Whereas the interim award of the Industrial Tribunal (Sri Kan
Bahadur T. A. Subbiah Pilhu, retnod District and Sessions Judge)
constituted under O.O. Ms. No. 00:28, Development, dated 23rd
December J!)17, to adjudicate m the industrial disputes existing
between the workers and managements of tanneries in the Province,
in respect of the tanneries of Ainbur lias been received;

Now, therefore, in exeici^e of the po\\ers conferred by sec-
tion 15 (*2) road \\ith section 1 ( .) (3) of the Industrial Disputes Act,
1947 ((Vntral \r,t XTV of 11M7), ITis Exe-elleney the Governor ol
Madras hereby declares that the said mleinu a \\ard shall be binding
on the management of the t umeries of Ainbur and the workers
employed therein and directs that the said a \\ard shall come into
operation on the nth Mav 11)18 and shall remain in force for a
period of one \ear or till the final award in respect of thn disputes
between the workers and ma-nngements of the tanneries in the
Province is accepted 1>\ fhr (love? nor, whichever earlier.

2. The Commissioner of Labour is requested to send copies of
tins order to the management nml workers concerned.

f F\> order of His Excel lenc,y the Governor)

K. Cr. MENON,
Rccfptarif to Government.

\

XVIII

BEFOUE THE 1NDUSTKIAL TRIBUNAL FOK POINTING
PHESSKS IN T11W PJiOVlNC-K OF MA DBAS.

PUKSKNT :

SMI P. MAHKANDEYULU, M.A., ILL.
[Under the Industrial Disputes Act, 1947.]

IN THE MATTER OF \N, INDUSTRIAL DISPUTE.
Between
GODLAXD & CO., PBINTEES, MAD1U8.

and
TWO WOKKEB8.

INDUSTRIAL TRIBUNALS OR AJ)JUJ)ICATOHS .113

INTEltIM AWARD.

Subject Reinstatement of two compositors. Held on the evi-
dence that the, two workers did not leave the company voluntarily
hut as a result of the pressure applied to them by the management
and that the two workers should be reinstated by the Company.

G.O. Ms. No. 2427, Development, dated llth May 1948.

[Labour Disputes Disputes between the workers and manage-
ments of printing presses in the. Province Interim recom-
mendations of the Industrial Tribunal in respect of The
(jodlund and Compaia (Punters), Madras, and two compositors
therein, viz., Messrs. V. K. Subrahmanyan and Chinnaswami
Orders passed,]

Ki'!\n the following papers:

0)
G.O. Ms. No. 6035, Development, dated 27th December 1947.

(2)

/'Vow the Industrial Tribunal for Printing Presses in the
Province of Madras, dalcd 26M April 1948.

BWFOltE THE INDUSTRIAL TRIBUNAL FOB FEINTING
PKHfiflKH IN T THK PKOMNCTO OF MADItAH (CAMP),
MADRAS.

PBRSKNT

SRT P. MARKANDKYULU, M.A.. B.L.
26//i day of April 1918.

flu the matter of the industrial dispute between the management
and the workers of Oodland and Company (Printers), No. 55,
Alnthnman (lietti street, (ienr^et<>\\ n, Madras.]

INTERIM AWAHD.

1. Two compositors, V. K. Subrahmanyan and Chinnaswami',
working in God land and Company \vere discharged by the Manager
of the Press on 2nd April 194ft \vith an offer of a month's wages
in lieu of notice and the workers have approached this Tribunal
uith a request that they may be reinstated in their appointments
pending the submission of the final award by this Tribunal.

2. The said Tribunal was constituted by the Government in
G-.0. Ms, No. 6035, Development, dated 27th December 1947, and
Hie contention of Mr. V. G. Row on behalf of the workers is that
Hie discharge of the two' compositors on 2nd April 1948 offends
against the provisions of section 83 of the Industrial Disputes Act,
1947, and that I should make an interim award directing that the

114 GOVT. OBDKRS ON THE RECOMMENDATIONS OF

two compositors should be taken back into the service of the com-
pany till the conclusion of the proceedings before this Tribunal. It
is unnecessary to decide this question of law as in my opinion the
case can be disposed of on the merits.

3. Godland and Company started their printing business in
January 1947 with a capital of about Ks. 32,600 and a staff of about
twenty workers. There were four compositors of whom Subrah-
manyaii and Chinnaswaini were the juniormost. Subramanyan has
been in the service of the company since 4th August 1947 while
Chinnaswami joined the service on 15th September 1947.

4. The case of the management is that they have suffered a loss
of Es. 4,370-5-1 for the fifteen months ending with 31st March
1948 and that they therefore decided to cut down their expenditure
by discharging the two compositors in question who were getting
a salary of about Us. 70 per mensem including dearness allowance.

5. The case of the Madras Press Labour Union which repre-
sents the discharged workers, on the other hand, is that the two
compositors are prominent members of the Labour Tnion which
was started in the company about nine months ago and that these,
two workers have been victimized for their activities in the Labour
Union. The Labour Union does not admit that the company has
suffered a loss but asserts on the other hand that it has made a
profit of about Us. 15,000 for the fifteen 'months ending with 31st
March 1948.

6. There is some evidence on record to show iliat the Labour
Union in Godland and Company, of which the two compositors are
admittedly members of the Committee, incurred the displeasure of
the management by its activities prior to 2nd April 1948, the date
on which the two compositors were discharged. One Natarajan,
a wheeler in the Press, was suspended for a day in February 1948
by the Manager, Mr. Thomas, and the Labour Union took up his
case and demanded that the punishment should be cancelled (vide
Exhibit C). Prior to this, on 16th December 1947, the Labour
Union had addressed a communication to the management making
certain demands and sent a reminder, Exhibit B, dated 23rd
December 1947. The management has not replied either to Exhi-
bit C or to Exhibit. B. Tt is therefore probable that the manage-
ment wanted to get rid of the two inconvenient compositors and
that with that object served notice of discharge on them (Exhibit?
A and A-l).

7. I am not satisfied at this stage that the company has suffered
a loss of Rs. 4,370 and odd as alleged by it. Exhibit ITT filed by
the management is only an extract from their account books and
is not an auditor's certificate. The registered accountants, who
have signed it, definitely use the words " Subject to audit f> .
Further, it is found from Exhibit Til that the management have
taken a sum of nearly "Ha. 3,000 ns interest on capital which cannot

INDUSTRIAL TRIBUNALS OR ADJUDICATORS 115

be said to be a loss by any stretch of imagination. It will be open
to the management at the time of the final enquiry to show that the
company has really suffered a loss for the fifteen months ending
nif.h 31st March 1948. It should also he mentioned m this con-
nexion that after the discharge of the two workers the management
have engaged extra t radioman on a daily wage of Us. 1-8-0.

8. It \vas argued by Mr. Eamanathan on behalf of the manage-
ment that the two compositors willingly left the service of the com-
pany on 2nd April 1.94S by agreeing to take a month's salary in lieu
of notice and that it is not now open to them 1o ask for their
reinstatement. T accept the evidence of the Manager (Mr. Thomas)
to the effect that the two compositors originally declined to leave
the service of the company on being tendered fourteen days' wages,
that subsequently the other workers intervened and recommended
that the\ should be paid a month's wages and dearness allowance,
that thereupon the two compositors agreed to leave the company bv
taking a month's wages and dearness allowance in lieu of notice,
and that in token thereof took the two notices. Exhibits I and I (a).

I also accept the Manager's evidence to the effect that the two
compositors wanted certificates of good character from the manage-
ment and that they were furnished to them. [See Exhibits II and

II (a).] All this may he true, but the fact, however, remains that
the two compositors, left to themselves, would never have agreed
lo leave the company voluntarily where they had each been getting
a salary of about Es. 70 per mensem. It must have been the result
of pressure, applied to them by the management on 2nd April 1948.
The two compositors could not have really agreed to leave the com-
pany, for they did not take the wages that were tendered to them
and also they got the Labour Union to send a notice, Exhibit D, on
their behalf on the very same day. In the notice it is stated that
the action of the company is illegal and that the two workers should
be reinstated. I have therefore no hesitation in holding that the
two compositors really and voluntarily did not agree to leave the
service of the, company.

9. I therefore make an interim award to the effect that the two
compositors, V. K Suhramanyan and Ohinnaswami, should be
taken back by Godland and Company into their service with effect
from 2nd April 1948 and that this award shall he in force till the
publication of my final award by the Government.

10. There appear to be some other matters in dispute between
the management and the workers and the workers have been asked
to submit their written statement specifying the matters. These
will be adjudicated on in due course.

Order No. 2427, Development, dated Llth May 1948.

In G.O. Ms. No. 6035, Development, dated 27th December
3947, the Government directed that the industrial disputes between
the workers and managements of all printing presses in the Province

116 GOVT. UilDBttS ON THE RECOMMENDATIONS OP

be referred by adjudication to an Industrial Tribunal consisting of
Sri P. Markandeyulu, retired Judge, City Civil Court, Madras, for
adjudication under sections 7 (\) and (*2), read with section
10 (1) (c) of the Industrial Disputed Act, 19-17. The said Tribunal
has now passed an interim award recommending the reinstatement
of the two compositors, viz., Messrs. V. K. Subrahmanyan and
Chinnaswami, discharged from the services of the (lodland and
Company (Punters), Mad rat*. The Government accept the award
and make the following order :

ORUKH.

"Wherein tlie uilenm award of the Industrial Tribunal (Sri !*.
Markiindcxulu, retired Judge, (Yiv Civil Court), constituted under
G.O. Ms. 'No. BlMo, Development, dsil^d % 27th December H)47, to
adjudicate the mduHtnal disputes existing between the workers
and managements of printing presses in the Province in respect of
the dispute between the workers and management of (ioilland and
Company (Printers). Madras, about the discharge ol two compositors
has been received.

Now, therefore, in exercise of the powers conferred by section
15 (2) read with section 1<) CD of the Industrial Disputes Act, 1917
(Central Act XIV of 1U17). His Kxcellenc\ the Governor of Madras
hereby declares that the said interim award shall be binding on the
management of the Godland and Coinpatu ^Printers). Madras, and
the workers employed therein and directs that the said award shall
come into operation on the llth May 194R and remain in force for
a period of one year or till the final award in respect of the disputes
between the workers and managements of printing presses in the
Province is enforced by the Government, whichever is earlier.
(B\ order of TTis Excellency the Governor)

K. G. MENON,
Secretary to Government.

XIX

BEFORE THE INDUSTRIAL TRIBUNAL OF MADURA.

SET RAO BAHADUR T. A. SUBBTAH PILLAI, B.A., B.L.

[Under the Industrial Disputes Act, 1947.]

IN THE MATTER OF AN INDUSTRIAL DISPUTE.

Between
THE MANAGEMENT OF TANNERIES AT SEMBTAM

and
THE WORKERS.

INTERIM AWARD.

Subject Strike during the pendency of adjudication Validity.
Held that the non-payment of dearness allowance as per

INDUSTRIAL T1UBUNALS t>ll ADJUD1CATUUS 117

the Interim Award of 9th March 1948 is no justification for
going on a strike during the pendency of proceedings before th j
Tribunal.

field that the strike is illegal.

G.O. Ms. No. 2591, Development, dated 20th May 1948.

[Labour Disputes Dispute between the workers and manage-
ments of tanneries in Semlmun area Interim leoommendation
of the Industrial Tribunal Orders passed.]

Ku\p the following papers:

(1)

G.O. No. OOiiS, Development, dated -j:Jrd December 1947.
(<.<>. No. 1917, De\e!opment, dated 19th April 19 |M.

(2)
From il(G Industrial Tribunal of \ladura, dated '2Uf// April 1948.

JVRFOKE THE INDUSTRIAL TJUBUNAL <W MADURA.

SKI J{AO BAHADUR T. A. SI-B13IAH PlLLAl, B.A., B.I,.,
industrial Tribunal of Madura.

TANNEIUKS INTMISTI\L DISPUTK No. 7 OF IMS.
Between

r l'he Tatmei's' Association, Semhiam and Madliavaram -Pcli-

and

The Tinnier) \\oikeis of Sembiam and Mudliavaram Respon-
dents.

AWARD.

This petition has brought to the notice of the Tribunal that, on
Uie 9th and 10th instant, the \\orkers of the tanneries in Sembiam
urea struck work without any justification and ha\e contravened the
provision of section -23 of the Industrial Disputes "Act, as tbe pro-
t'c-etHhgK are pending before this Tiibunal. They pray that appro-
piiate proceedings under Chapter VI ol the Act may be taken
n^ainst them.

Mr. S. Kritthnamuvthi, Advocate, appearing on behalf of the
workers filed a counter-statement. ]t is admitted that the workers
struck work, but it is contended that, as the workers were not paid
dearness allowance at the rate, of J\s. 16 per mensem as -per the
Interim Award passed on foot of a joint statement given by the
parties before this Tribunal on 9th March 19-18, they were justified
in striking work and that therefore action could not be taken against
them.

The point for determination is:

Whether - the workers are not liable to be prosecuted under
section 2G of the Industrial Disputes Act of 1947.

118 OOV'i. OKDEttS ON THE RECOMMENDATION B OF

1 shall assume for the bake of the argument that the tanners are
not entitled to go behind the award fixing the dearness allowance of
Hs. 16 per mensem for Jill kinds of workers. If the tanners failed
to implement the award, it is up to the workers to bring the matter
to the notice of tins Tribunal so that necessary action might be
taken against them. The workers cannot plead this circumstance
as a bar to proceedings being taken against them for acting in
defiance uf law. Section *23 of the Act lays down that no workman
who is employed in any industrial establishment, shall go on strike
in breach of contract during the pendency of proceedings before
a Tribunal and two months after the conclusion of such proceed-
ings. Under section t>l of the Act, the strike must be held to be
illegal. The issue is found accordingly.
Order No. '2501, Development, dated 20fc/t May 1948.

In O.O. Ms. No. 6028, Dexelupment, dated '23rd December 1917,
the Government directed that the disputes between the workers and
managements of the tanneries m the Province be referred for
adjudication to an Industrial Tribunal consist ing of Sri Rao Bahadur
T. A. Subbiah Pillai, retired Pi-strict and Sessions Judge. The
Industrial Tribunal passed an interim award in respect of the
tanneries in Sembiani and Madli5ivara.ni areas and it was accepted
bv Government and enforced on the parties. As the- managements
of tanneries did not implement the award in respect of dearness
allowance, the workers oj tanneries in Sembiain area struck work.
The Tribunal has passed another interim award. Th Government
accept the award and make the following order :

OKDEU.

Whereas the interim award of the Industrial Tribunal (Sri llao
Bahadur T. A. Subbiah Pillai, retired District and Sessions Judge)
constituted under G.O. Ms. No. 0028, Development, dated 23rd
.December 1947 to adjudicate in the industrial disputes existing
between the workers and managements of tanneries in the Province,
in respect of the tanneries in Sembiam area has been received;

Now, therefore, in exercise of the powers conferred by sec-
tion 15 (2) read with section 19 (3) of the Industrial Disputes Act,
1947 (Central Act XIV of J917), His Excellency the Governor of
Madras hereby declares that the said interim award shall be binding
on the management of the tanneries in Sembiam area and the
workers employed therein and directs that the said award shall come
into operation ou the 20th May 1948 and shall remain in force for
a period of one year or till the final award in respect of the disputes
between the workers and managements of the tanneries in the
Province is accepted by the Government whichever is earlier.

2. The Commissioner of Labour is requested to send copies of
this order to the management and workers concerned.
(By order of His Excellency the Governor)

K. G. MBNON,
Secretary to Government.

iNDUSTBlAJU TKIBUNALs OK ADJUDICATORS 119

XX

BEFORE THE INDUSTRIAL TRIBUNAL OF MADURA.

SRI RAO BAHADUR T. A. SUBB1AH PILLAI, B,A., B.L.

[Under llie industrial Disputes Act, 1947. J

IN THE MATTER OF AN INDUSTRIAL DISPUTE.

Between

THE MANAGEMENT OF TANNERIES IN SEMBIAM
AND MADAVABAM

and
THE WORKERS.

INTERIM A WARD.

Subject i. Deafness allowance to unskilled workers 'Whethei
io be paid proportionately. Held that as per the joint statement
originally filed before the Tribunal, dearness allowance of Rs. 16
should be paid in all crises and that section 9*2, (Evidence Act, is a
bar to any contention m variation.

2. Whether the workers who have no work in one department
should not be asked to work in another department , but paid the
wages for the day. Held that worker must do any work allotted to
him by the employer.

6.0. Ms. No. 2592, Development, dated 20th May 1948.

[Labour Disputes Disputes between the workers and manage-
ments of tanneries in Sembiam and Madhavaram areas, Chin-
gleput district Interim recommendations of the Industrial
Tribunal Orders passed . ]

READ the following papers :

(1)

G.O. No. 6028/Development, dated 23rd December 1947.
G.O. No. 1947, Development, dated 19tb April 1948.

(2)
/fVowi the Industrial Tribunal of Madura, dated 9f/i March 1946.

BEFORE THE INDUSTRIAL TRIBUNAL OP MADURA,

PRESENT :

SBJ RAO BAHADUR T. A, SUBBIAH PILLAI, B.A.. B.I,.,
Industrial Tribunal of Madura

TANNERIES INDUSTRIAL DISPUTES No. 8 OP 1948.

Between

Madhavaram Tanners' Association, Madhavaram Petitioners

and

The workers of Sembiam and Madhavaram Tanneries Respato*
dents.

16

180. GOVT. ORDERS ON THE RECOMMENDATIONS OF

AWARD.

The petitioners allege that certain clauses of the joint statement
filed by the parties before this Tribunal on 9th March 1918
requite clarification.

The workers oppose this application.

In the joint statement, on foot of which an award has beeu
passed by me, there are five clauses. Clause '2 runs thus : "All
taunery owners at Seuibiam and Madhavurain areas who have not
paid dearness allowance at the rate of Its. 16 per mensem agree to
pay dearness allowance at the above rate from 1st March 1948."

The case of the petitioners, that is, tanners, is that the lt&. 16
rate of dearness allowance was intended to apply only to skilled
workers and that " the amount of the dearness allowance payable
to other category of workers must be worked out in proportion to
the wages that they receive, that the arithmetical calculations was
reserved to be worked out with reference to the several cate-
gory of workers and that consequent] \ the figures were not
mentioned with regard to them."

On behalf of the workers, the respondents, it is contended that
no $uoh reservation was intended and that the terms contained in
that clause are definite.

I shall now consider whether the clause in question requires m
be clarified and whether the petitioners are entitled to go behind the
terms mentioned in the clause and add to or supplement the provi-
sions contained in it.

The clause in question, in definite and clear terms, recites that
dearness allowance at Bs. 16 should be paid in all cases where the
dearness allowance paid falls short of Bs. 1G. Section 92 of the
Indian Evidence Act precludes the adniissibilit\ of any evidence to
contradict or vary the specific and clear terms of a written contract,
There is absolutely no ambiguity in the wording of the clause. The
Court is not warranted in embarking on an investigation as regard?
what was at the back of the mind of the contracting parties and
what their intention was at the time when the contract was reduced
to writing. Extraneous circumstances could not be called in aid to
consider whether the agreement was natural and probable. If the
tampers had not agreed to give dearness allowance at the uniform
rate of Bs. 16 to all categories of workers, nothing prevented them
from stating so expressly in the written contract to which categories
of workers the Bs. L6 rate should apply and to which categories oi
workers lesser rates should apply. I hold that section 92 of the
Indian Evidence Act is a bar to their "present pleading.

There is also a controversy with regard to clause 4 of the joint
statement, the basis of the .ward. That clause relates to the unit
of work. It runs thus :

41 All tannery owner* agree to provide at least one unit of work
oven 1 dav to all workers who report for duty in default thereof tn pa\

1NDUSTRU& TRIBUNALS OH ADJUDICATORS iftl

wage t'ov one unit of work and the day's dearness allowance to all
workers."

It is common ground that m a tannery there are different types
or branches of work and that with regard to a work, which requires
skilled labour only per eons working in the particular branch are
usually employed. It cannot however be denied that, if there is
not sufficient work in a department which requires skilled labour,
such of the skilled workers as are left unemployed for the day can
be allotted work in another department where skilled labour is not
necessary. The case of the workers is that when there is not suffi-
cient work for any workers in the department in which they usually
work, they should not be asked by the employers to work in any
other department on that day, but should be paid the wages and
deafness allowance for the da t \ . To interpret the clause in ques-
tiion, neither party can be allowed to stray beyond what is war-
ranted by the actual words occurring in the clause embodying in
The contract. The ohiuse in question simply says that if fche
employ 6V is not able to find work for any worker who turns up
for duty, be must bo paid the wages and dearness allowance for
the day. The clause only imposes on the employe)' to pay the
workers, if he could not find work for them. It does not say that
he should pay them if he could not find for them work in the
particular branch whore ho was working all along. The clause
does not restrict the discretion of the employer to allot any work he
likes. Tho court cannot supplement the terms of the contract
found embodied in the clause and declare that a worker should be
paid in caso the employer m not able on any day to allot the parti-
cular kind of work usually attended to by him.

In the result, T hold that as per clause 2 of the joint state-
ment that all workers, to whatever category they may belong, are
entitled to dearness allowance at the rate of Rs. 16 per mensem
and that any worker who turns up for duty on a particular day
nmst do any work allotted to him by tho, employer and cannot ques-
tion his discretion. The two clauses need no clarification. The
petition is dismissed.

OrilerNo. 2592 4 Development, fated 20fc/? May 1948.

In G.O. Ms, No. 6028, Development, dated 28rd December
IN 47, the Govern n lent directed that the disputes between the
workers and managements of the tanneries in the Province be
ruferred for adjudication to an industrial tribunal consisting of Sri
Kao Bahadur T. A. Subbiah Pillai, retired District and Sessions
Judge. The industrial tribunal first passed an interim award in
inspect of the workers and managements of tanneries in Sembiam
and Madhavaram areas which was accepted by Government and
enforced on the parties. As a dispute arose between the parties on
the interpretation O f the interim award, the tribunal has

122 OOVT. ORDERS ON THE HKOOMMBNDATJONS OF

another interim award. The Government accept the award and
make the folowing order :

ORDER.

.. Whereas the interim award of the industrial tribunal (Sri Rao
iBahadur T. A. Subbiah Pillai, retired District and Sessions Judge)
constituted under G.O. Ms. No. 6028, Devolpment, dated 23rd
December 1947, to adjudicate in the industrial disputes existing
between the workers and managements of tanneries in the Pro-
vince, in respect of the tanneries in Sembiam and Madhavaram
areas has been received;

Now, therefore, in exercise of the award conferred by section 15
(2) read with section 19 (3) of the Industrial Disputes Act, 1947
(Central Act XTV of 1917), His Excellency the Governor of Madras
hereby declares that the said interim award shall be binding on the
management of the tanneries in Rembiam and Madhavaram area*
and the workers employed therein and directs that the said award
shall come into operation on the 20th May 1948 and shall remain
in force for a period of one year or till the final award in respect of
the disputes between the workers and managements of the tanneries
in the province is accepted by the Government whichever is
earlier.

2. The Commissioner of Labour is requested to send copies of
this order to the managements and workers concerned.

(By order of His Excellency the Governor)

K. G. MBNON,
Secretary to Government.

XXI
BEFOKE THE INDUSTRIAL TRIBUNAL OF MADRAS.

SRI M. VENKATARAMAYYA, B.A., B.L.

[Under the Industrial Disputes Act, 1947,]

IN THE MATTER OP AN INDUSTRIAL DISPUTE.

Between

THE MANAGEMENT OF THE BURMAH-SHELL OIL
, . .STORAGE AND DISTRIBUTING COMPANY OF INDIA,
, LIMITED, MADRAS

"' : . an ft

THE WORKERS.

fl I .1 '

in terms of the memorandum of agreement,

INDUSTRIAL TRIBUNALS OR ADJUDICATORS ' 123

6:0. Ms. No* 2593, Development, dated 20th May 1948.

[Labour Disputes Dispute between the workers and manage-
ment of the Burrnah-Shell Oil Storage and Distributing Com-
pany of India, Limited, Madras Agreement of the parties
regarding the time-scale of increment subsequent lo the origi-
nal award Made part of the original award.]

RKAD the following papers :

(1)
G.O. Ms. No, 5870, Development, dated 19th December 1947.

(2)

Letter from Sri Rao Bahadur M. Venkataramayya, B.A., B.L.,
Industrial Tribunal, Madras, to the Secretary to Government,
Development Department, dated the 30th April 1948, No. I.D.
12/47.

["Industrial dispute between the workers and management of the
Burmah-Shell Oil Storage and Distributing Company of India,
Limited, Madras Award Scales of pay Increments Agree-
ment Reported . ]

In the above dispute an award was submitted to Government
upon which Government passed orders as per O.O. Ms. No. 5876,
Development, dated 19th December 1947.

In that award it was stipulated that the parties should arrive
at a settlement concerning the increments. Both parties have now
filed an agreement, copy of which is enclosed.

I request that this may be made part of the award already sub-
mitted to Government.

ENCLOSUBE.
BEFORE THE INDUSTRIAL TRIBUNAL, MADRAS.

PRESENT :
RAO BAAJ>U M. VENKATAJRAMAIY^A , B.A , B.L

[In the matter of the Industrial Disputes Act, 1947, and in the matter
of an industrial dispute between ^the Burmah-Shell Oil Storage and
Distributing Company of India, Limited, Madras, and certain of it*
workers.!

MEMORANDUM OF AGREEMENT.

In compliance with section 10 of the award of the Industrial Tribunal.
Madras, made binding on the management of the Burmah-Shell Oil
Storage and Distributing Company of India, Limited. Madras, and the
workers employed therein., by G.O. Me. No. 6876, Development, dated
19th December 1947, both parties to the dispute have discussed the
question of an increment scale and have reached the following agree-
ment :

(1) That increments shall be conditional upon satisfactory service
nnd conduct.

(2) That the normal spread between the minimum and maximum
wage rates already agreed between management and union and embodied in
t|u above award, should be ten years; in other words a workman whoso

.J$4 -GOVT. QHDERB ON THE UECOMMBNDATION8 OF

work and conduct ar satisfactory should procetd in the normal course
of events from the minimum laid down for his grade to the maximum,
in a period of ten years.

(3) Increments due in 1048 will be paid out on the basis of the
above principles. The management agiee to the union's request that
individual cases of hardship should be sympathetically considered.

(4) This agreement will bind both parties as part of the award and
shall be co-term moua with the award.

Order No, 'J593, Development, dated 20t* May 1948,

The dispute between the workers and the management of the
Burmah-Shell Oil Storage and Distributing Company of India,
Limited, was referred to the Industrial Tribunal, Madras, in G.O.
Ms. No. 4910, Development, dated 16th October 1947. The Indus-
trial Tribunal passed an aw&rd, which was made binding on the
parties in G.O. Ms. No. 5876, Development, dated 19th December
1ft 17, for a period of one year from Utth December 1947. In para-
graph K) of the said award the tribunal has stated that both sides
represented to the tribunal that the time-scale of increment would
be clarified and a memorandum filed after the parties discussed
the matter and arrived at a settlement. Now the tribunal has for-
warded a copy of the agreement arrived at by the parties as afore-
said with a request that it may bo made pftrt of the original award.

ORDBR.

Whereas the award of the Industrial Tribunal, Madras, in res-
pect of the dispute "between the workers and the management of
the Runnah-Hhell Oil Storage and Distributing Company of India,
Limited, Madras, was declared binding on Oie parties in G.O. Ms.
tfo. 5876, Development, dated the 19th December 1947, for a
period of one year from the 19th December 1947 ;

And whereas paragraph 10 of the -said award provided for the
filing of a memorandum in resjwt of increments after the parties
should have discussed the matter and arrived ut a settlehient ;

And whereas in pursuance of the said paragraph 10, the parties
have arrived at an agreement, a copy of which has been forwarded
by the Industrial Tribunal ;

Xow, therefore. His Excellency the Governor of Madras herein
directs that the said agreement shall form part of and shall always
be deemed to have, formed part of the *aid award.

(By order of His Excellency the Governor)

K, G. MBNON,
to

TRIBUNALS OK' ADJUDICATORS 1*25

XXII
BEFOBE THE lNi)USTIUAL THlBUtfAL, MADRAS.

SRI M. VENKATARAMAVYA, B.A., B.L.

[Under the Industrial Disputes Act, 1917. J
IN THE MATTER OF AN INDUSTRIAL DISPUTE.
Between

THE MANAGEMENT OF CItfAK FAOTOBIES IN
MAIXKAH ( 1 ITY

and

THE WORKERS.

Dr. V. K. JOHN AND C. 8. YAKADACHAUI, Advocates fur Lite
Management.

Messrs. How AND HEDDY, advocates and Siu K. I?KABHU, Presi-
dent of the Union for the workers.

Subject 1. Whether the workers in cigar factories' are nwn 1
contractors and not workers. Held that by (he nature of their
work, they are piece-rate workers and not contractors.

2. Wages Whether should be increased. Held that each
worker can produce 1,000 cigars a da;y and on that basis increased
piece-rate fixed for the different brands of cigars.

Held that the payment of wages should be by the week.
- Held on examination of accounts that the mdustr) can beai
the increased wages.

3. Dearness allowance Whether should be paid. Held that
the dearness allowance should be paid if the cost of living index
^oes above 300 at the rate of two annas per point above 300.

4. House rent allowance. lief used.

5. Bonus. \Held that all companies except Indian Tobacco
Company should pay one month's earnings as bonus.

6. Provident fund and gratuity. Held that the companies are
too small for any such system of provident fund or gratuity to be
made obligatory.

7. Gratuity to child workers. Held that the law prevents
< i niployment of children and the proprietor cannot be compelled to
give gratuity while dispensing with their services.

8. Leave. Held that weekly holiday should be observed and
Hi -addition ten days recuperative leave should be $iven.

9. Scissors for workmen. Held that the Company should
l>rovide scissors to all the workers.

10. Standing orders. Held that the proprietors are not suffi-
ciently well informed into draft rules and the Labour Officer fthould
be requested to assist iheiu.

iW UOVT. UUDKKa UN THE UECUMMEKDATiUMS O^

11. Confirmation in service. Held that the whole industry has
been unorganized and that steps should be taken to bring them
ID to working order. Any worker who has put in one year's service
must be deemed to be permanent.

12. Compensation for involuntary unemployment,. Held that
the employer should pay one rupee for each day on which they are
unable to provide work for their permanent employees.

13. Canteens,, water taps, etc. Held that under present condi-
tions proprietors cannot afford it.

14. Sweepers. Held that the factory should employ at leas;
one sweeper and the workers should not be asked to do it.

15. Uniforms. Claim negatived.

16. Reinstatement of six workers in Vinayayar Mark Com-
pany. Held that these men should be reinstated if they turn up
tor work within two weeks of the award.

17. Whether the stoppage of dearness allowance by Indian
Tobacco Company justified. Held that there was no such stop-
page.

G.O. Ms. No. 2594, Development, dated 20th May 1948.

[Labour Disputes Dispute between the workers and manage-
ments of Cigar factories in Madras City Recommendations of
the Industrial Tribunal Madras Orders passed.]

the following papers :

(1 )
G.O. Ms. No. 5680, Development, dated 9th December 1947.

From the Industrial Tribunal, Madras, dated l(K/i May 1948.

BEFORE THE INDUSTRIAL TRIBUNAL, MADRAS.

SHI M. VENKATAKAMAYYA, B.A., B.L.

INDUSTRIAL DISPUTE No. 24 OF 1947.

[In the matter of the industrial dispute between the workers and
managements of cigar factories in Madras City.]

AWARD.

1. The industrial dispute between the workers and manage-
ments of certain cigar factories in Madras was referred to me
for adjudication in GLO. Ms. No. 5680, Development, dated the
9th December 1947.

2. Dr. V. K. John and Mr. C. S. Varadachari, advocates,
appeared for the managements and Messrs. Rao & Reddy, advocates,
appeared for the Madras Cigar Workers 1 Union and Mr. IT. Prabhu
for the Madras District Cigar Workers' Union.

Olt . ADJ UJLUCATUlitf > -

_. *k There are seven cigar factories .involved in this dispute. .Of
these, one which is called rne rhoto. Mark Cigar Company has been
closed, and^ is no longer working, bhanniugham Mark Cigar Com-
pany haa live workers onlj and nobody . turned up on behalf of
tuezn.. .lyanur Cigar I^acior^ proprietor appeared -and he was a
worker in the Indian Tobacco Company who has transformed him-
sell as a proprietor .of the factory and there are -three workers in
jt. All Uie other tour lac tones have been represented and the pro-
prietors or their representatives have attended the sittings during
Uie'^eiiquiry. Among Vhese four the Indian Tobacco Company
stands apart and it is an admitted fact that it is an experimental
project and has not yet begun to earn profits.

4. Dr. John's arguments centred mainly on one point and that
is this : the cigar factories are really not factories employing work-
men but that the relationship between the proprietor and. the " so-?
called " worker is that, oi a contractor and a contract ee. It is stated
tliat the workers come arid go at any time they like, that they are
paid so much per 1,000 cigars which they make and that therefore
there is no relationship oi eniplover and employee. There is not
much difliculty in refuting this argument.

5. Mr. I*. G. Manikya Chctti as P.W. I has admitted that he
opens his factory which is 'also his godown at 8 a.m. and from 8 to
II ani. all the 40 men will turn up and he closes the doors
between 5-80 and 6 p.m. If he allows people to corne at ^11 a.m. it is
his fault, via., that he does not care to observe regular hours and is
not a capable factor} manager. It has been elicited that a man
can conie even at 4 p.m. and he will be given work. How much
can a man work between 4 p.m. and 5-30 p.m. one can easily
understand. I do not believe that he really allows a man to come
as late as 4 p.m. He does not, he says, keep an attendance regis-
ter. Workmen are not to be blamed for this. Kegisters, produced
show (hat the same set of workmen go in every day and they hand
over the cigars they 'make and receive payment and all these go on
day after day. It is a regular factory in which a definite number
of men are employed.

6. The next witness ftn S. Parthasafathy does not pretend, to
support Dr. John's arguments at all. His evidence shows that he
clearly understands the relationship of an employer and employee
to exist. P.W. 3, Govindaswami Chetti, simply calls these workers
" coolies " and produces a register, Exhibit III, which he calls
" Coolie Pass Book." These workers are helped by persons who are
called " helpers ", and Govindasami Chetti says that Kamanujam
was a. worker and he was not. dismissed bufc'he went away during the
witness's absence. It is clear from the evidence of these witnesses
themselves and also from the records and registers produced that the
companies in question, are regular factories. . In the . godowns are
stored tobacco and in the factories they manufacture cigars by
employing ^brkm6n who come to the factoiry in Ihe mourning and
go away in the evening and they are ' paid a rfednit-e wa.gK " If

138 GOVT. ORDERS OK THE RECOMMENDATIONS OB*

i>r. Johu'a arguments are to be upheld in a matter like this it
would mean that every piece-rate worker is a contractor. 1 do not
think 1 should labour on this point further than by saying that it is
clearly established that the proprietors of factories are employers
and the workmen therein are employees getting regular salaries.
Payments are made according to the quantity produced , and the
men cannot take away the tobacco to their houses to make the
cigars.

7. The cigar industry in the Madras Province was the subject
of investigation by a Court of Enquiry, Dr. B. V. Narayanaswami
Nayudu, whose report to Government was made in May 1947. His
report was approved by the Government who issued G.O. Ms.
No. 3166, dated the 20th January 1947. By the above Government
Order Government com mended the recommendations of the Court
of Enquiry to all the managements and desired that they should
be givftn effect to. Among the recommendations were that the
hours of work siiould be limited to 8, that children below 15 years
should not be employed, that the system of paying advances should
jfc prohibited, and that with regard to the wages certain increases
should be given over the prevailing wages in January 1947.

8. The report of the Court of Enquiry has given a good descrip-
tkra of the conditions under which the workers have to carry on
(heir work in the cigar factories. It is enough to say that the
cigar factories are not merely unclean but they are ill-ventilated
&nd many of them should at once be asked to find better and
hftaithier places. In fact it has been mentioned before me that in
some of the factories the floors are not even swept. The conditions
under which the workers are working are certainly very unwhole-
BGB&e. Tobacco itself, by its Tery nature, is not a commodity to
b* dealt with in a very pleasant manner for a length of time and if
the surrounding conditions are equally uncomfortable it should be
mid that unwholesome conditions exist in the place of work. This
should be remedied and it is for the Factories Department to look
to this and now that the Non-Power Factories Act has come into
force there should be no legal disability for the Factories Depart-
ment to better the conditions of workers.

Is9ue 1. Whether the rate of wages to the cigar workers is too
tew and if so, what rate is reasonable? Whether wages and sala-
ries should be paid monthly or fortnightly or daily.

9. In the seven factories with which we are concerned there
are only three brands of cigars manufactured and they are M.O. I,
M,0. n and M.O. Ill and the India Tobacco Company alone manu-
factures other brands of superior quality. I should only refer to
what Mr. Narayanaswami Nayudu has stated in bis report to show

at the existing rates of wages is low. Small increases have been

n from time to time but certainly not adequate.
it* .(& Brand : 3 for 6 pies Duty paid non-taxable Rate at
present ifl R*. !HM) per 1,000.

INDUSTRIAL TRIBUNALS OB ADJUDICATORS 129

(ii) Brand : 4 for I anna Duty paidtaxable Es. 1-dSM)
per 1,000.

(iii) Brand : 3 for 1 anna Duty -paid taxable Bs. 2 per
1,000. *

(iv) Brand : 2 for 1 anna Duty paid taxable Rs. 3 per
1,000. ^

The last brand is not manufactured by all the companies. In the
case of the above brands the Indian Tobacco Company pays
Rs. 1-12-0, Rs. 2, Rs. 2-4-0 and Rs. 4, respectively.

10. In 1942 the wages were (for the first three brands) 9 annas,
15 annas and Rs. 1-2-0 and the present rates are Rs. 1-9-0,
Rs. 1-12-0 and Rs. 2, respectively. The increase has not been too
small but the profits have also been unusually high. Mr. Naraya-
naswami Nayudu at page 73 of his report recommended an increase
by 20 per cent in the case of some, 25 per cent in the case of some
other brands and 30 per cent in the case of some others, and it has
been stressed before me that upon the calculations made by Dr.
Narayana&wami Nayudu, the average earnings of a cigar worker
is Rs. 1-2-0 and if the 20 per cent is added to it, it will be
Rs. 1-5-6 and they are now paid much more than what he recom-
mended. It is a fallacy. What Mr. Narayanaswamy Nayudu did
was to recommend something over and above what the workers were
getting on the 1st January 1947. Moreover, in the case of the
cigar workers there is another factor to be taken into account. It
is not the worker alone who produces the cigars. When the pro-
prietor hands over a certain quantity of tobacco as well as the filler
to the worker, the latter gets the help of one or two boys who help
hiru in the work and who are called " helpers." To these boys
the worker himself pays and the proprietor has nothing to do with
them. So Mr. Narayanaswamy Nayudu 's observation was confined
to what was being paid to the worker and the union demands that
where a man is being paid Re. 1-9-0 he should be paid Rs. 2-10-0.
T cannot see much reason in this exaggerated demand. The wor-
kers have been getting increases from time to time and though it
may not be adequate there is no reason to raise Bs. 1-9-0 to
Rs. 2-10-0. A worker with one helper can manufacture about
1,500 cigar a a day. It has been brought to my notice and the
registers also show that on certain days the workmen were able to
deliver as much as 2,000 cigars a day. But they do not show how
many helpers the worker had to deliver the 2,000 cigars. It may
be taken on the average that a worker with one helper can produce
1,500. Mr. Narayanaswami Nayudu observed at page 66 of his
report that " a person of average ability can normally roll 750
country cheroots without any assistance from other adults or boys."
In view of the actual record showing the production, I think it
will be safe to hold that every worker of average ability should be
able td roll 1,000 cigars a day without any assitance,

180 OOVT. OBDEBS ON THE BBCOMMBNDATIONS OF

v-" 11. Another -disturbing factor is that the workers -do 'not get
work for all the days in the month. They can find work only
for about 20 days, but this has to he remedied by the proprietors
'tod to prevent this 'the employer must he made to pay some-
amount to the workers during the days when he will not be able
to., give work to them. This is the subject-matter of issue No. XT
and even here I wish to recommend that on those days on which
the workers are not given work they should he -paid Re. 1 each,
and this is also Mr. Narayanaswarni Nayudu's recommendation.
Therefore in fixing the rale one has to take into consideration only
what amount of work, a man unaided by helper can do in one day
and T fix accordingly the following rates for the different brands :

" ' ' us. A.

1 Six for on- -ann\ brand ...... 1 12 0")

2 Four . do, ...... 2 { ^ M ,

3 Three do. 4 pep 1 '

4 Two Jo.

2 {

2 4 f
4 Gj

It should also be remembered that in 1947 the si/e of cigars has
been reduced for several reasons, i.e., they have become thinner.
The reason for my not giving a higher rate of increase is also due
to other factors. The duty on tobacco has been increased and also
the tax. The duty is now Rs. 2-8-0 per 1,000 cigars of the quar-
ter-anna brand and for the half-anna brand the tax is as
much as Rs. 5 per 1,000. The new rates recommended herein
will come into force from the date on which the award is accepted
and -published by Government.

12. The union demands that the wages should be paid every
fortnight while some of the workers wanted to be paid by the
month. At present they are being paid daily. T am not quite
sure what is the consensus of opinion among the workers. Pay-
ment by the week to the workers of this description is the best
method and T recommend the same accordingly.

13. On the question whether the industry can bear the addi-
tional burden of wages T am satisfied that what T have recom-
mended!, is not too high. The average sale of cigars per month
between March 1947 and March 194ft is nearly 10 lakhs in one
factory * (vide Exhibit A). Even taking the average price to be
Rs. 12 per 1,000 'the total amount received by sale is Rs. 12,000.
The amount they are spending on labour taking it to be Rs. 2 'per
1,000 pn the" average is Rs. 2,000. There is thus a large margin
of T>rofiti. 'Even. according to their own figures the factories make' a
profit of more than Re. 1 per 1 ,000 (vide Exhibit T). Conv of the*
statements .filed before the Inspector of Central "Excise gives
Details/ about the price structure for 1,000 cigars of four 'brands.
For r the non-taxable variety the production value is Rfl. 6-7-6 and
the' Value of llfeO" cigars is Rs. 7. 'flirhilartv m rfcftneci of the hther
fliree hrands the' margin of profit is noted as' 8 anhas. 10 annas' arrd
6 annas hut th'ifeTns makrrig *ip the" f'oat of proftncftioTr do

INDtJSTBIAL TRIBUNALS OB ADJUDICATORS 181

appear to be quite correct. The price of tobacco is put at a very
high rate. In the course of arguments I was given the following
figures :

RS. A. P.

Price of wrapper for 1,000 cigars .. .. 4 14 (Re. 1-8-0

per lb.)
Filler 600

Packing charges 060

Labour 1 12

Total . . 13

And this brand must be selling for much higher than Rs. 13 though
they are said to be selling at Rs. 12-8-0 per thousand. This shows
the unreliability of the data furnished by managements. On the
other hand on behalf of the workmen the figures given were
Rs. 6-7-0 for tobacco, wages KB. 1-12-0, packing Re. 0-8-0 and
tu\ Rs. 2-8-0 making a total of Rs. 11-3-0 and this is sold at Rs. 13
per 1,000. It means there is a profit of Rs. 1-13-0 per 1,000 cigars
and it is also represented that the ribs of tobacco leaves got out of
these are also sold and the income therefrom is Re. 1 per 1,000
ribs.

14. Another statement filed by Mr. Manikam C-hetti, Exhibit
IT, shows the productive value as well as the value of 1,000 cigars
of a number of brands. In all these the margin of profit per 1,000
is between eight annas and one rupee. Assuming that this is cor-
rect, according to my calculations, the country cheroots will fetch
a profit of very nearly six annas to eight annas even by the increase
in the wages. Surely they can bear this.

15. The margin of profits will be very large in some other cases
as the costly brands will fetch larger profits but even in the country
cheroots brands which I have noted above no owner of a factory
can get less than Rs. 500 a month as net profits after paying the
wages as indicated above.

Iff site II. Whether the cigar manufacturers are paying dear-
ness allowance 'and if not, what is the dcarness allowance that
should be .paid.

16. The cigar manufacturers with whom I am now concerned
are not. of flinch standing or status that they should be bracketed
with companies like Spencer's and McDowell who are also cigar
manufacturers. The bigger companies pay a dearness allowance of
Tte. ife or so to their workers but in the factories now in question
the number of men employed does not exceed SO in anv one (the
Tndian Tobacco Company, Limited, excepted). I,' therefore, aerree
witfe the reasons and conclusions of Mr. Narayanaswami Navuchi
arid direct tnat a deafness allowance should be paid if the cost of

index goes above 3()0 anfl the rate will be two annas per point
800,

182 QOVT. ORDERS ON THE BECOMMENDATIONS OF

Issue III. Whether house rent allowance should be paid.

17. This is not a case where I should recommend the grant of
a house rent allowance. The factories concerned cannot bear this
expenditure,

Issue IV. Whether bonus should be paid and on what basis.
(a) Whether Independence Day bonus should be paid.

18. All the companies are making profits excepting the Indian
Tobacco Company, Limited, and therefore they except Indian
Tobacco Company should pay one month's earnings as bonus with-
in one month from the date of the acceptance of the award by
Government.

19. At this late hour I do not propose to make any direction
concerning the Independence Day bonus and there is no evidence
before me as to who have paid or who have not paid it.

Issue V. Whether the cigar companies should be compelled
to introduce a scheme for provident fund and gratuity.

20. For the reasons already mentioned these companies are
too small for any such system of provident fund or gratuity to be
made obligatory on them.

Issue VI. Whether gratuity should be paid to child workers
when they are sent out.

21. The child workers should no longer be employed by the
cigar factories. As for gratuity to be -paid to them this is a thing
for the proprietor and I cannot see my way to compel them to give
gratuity when dispensing with the services of children. They will
be only too glad to employ the children but the law prevents it.

Issue VII. What period of leave should be given to workers in
the cigar factories, ax (i) privilege leave, (ii) for sickness and (Hi)
festivals.

22. As long as these factories are made to run in an organized
and regular manner in conformity with modern concepts of labour
welfare, leave must bo given but at present no leave at all is given.
Sunday is a weekly holiday and must be observed as such. In
addition the 10 days recuperative leave under the Holidays With
Pay Act, 1946 must be given. For the present this recommenda-
tion will do in respect of these firms.

Issue VIII. Whether the companies should provide scissors to
the workmen.

23. Scissors must be provided by the proprietors of factories to
all the workers. They represent that the workers take away the
scissors and ask for replacements frequently. Scissors must be kept
*d a erood instrument for cutting and itmst therefore be sharpened at
intervals of time'. Each workman shall be given a pair of scissors
nnce a year and the sharpening shall be done not less than three
times a year,

TRIBUNALS OB ADJUDICATORS i&J

Issue IX. Whether the companies should frame standing
orders and on what basis.

24. The question oi i'ramiug standing orders must be considered
by the Commissioner of Labour. The Labour Officers have to
insist upon getting standing orders drafted by the companies con-
cerned and approved by the Commissioner oi Labour. The pro-
prietors of these companies do not appear to be sufficiently well
informed to draft the rules and hence the Labour Officer may be
requested to help them in drafting them.

Issue X. What length oj service will be enough tu make the
worker permanent.

25. Regular attendance registers must be kept showing the
number of permanent hands. Any worker who has put in a service
of one year must be deemed to be permanent. The maintaining of
attendance register must be made compulsory and niut be inspected
by the Inspectors of Factories now and then to see that there is not
a large labour turnover. As a matter of fact the witnesses have
mentioned that there are workers who have been continuously in
service for ten years while some of the workers have put in two or
three years of service. As until now the whole industry has been
m an unorganized manner, steps should be taken now to bring them
into working order by maintaining regular registers showing attend-
ance, the hours of work for each worker, the amount of wages paid,
the work turned out bv each worker, the amount of leave taken,
etc.

Issue XI. What provision should be made /or affording
employment to workers during the whole month.

26. The employers should pay to the workers rupee one for each
day on which they are unable to provide work to the permanent
employees.

Issue XII. Whether canteens, water taps, tiffin sheds, etc.,
should be provided.

27. Rest interval must be given to all the workers of at least
one hour and I think tinder the present conditions it will not be
possible for the proprietors of these cigar factories to provide can-
teens, tiffin sheds, etc.

Issue XIII. Whether the companies should not be* compelled
to employ sweepers to clean the floor.

28. Every factory should employ at least one sweeper to clean
the floor. This is not a work which the workers should be asked
to do.

Issue XIV*-*-Whether uniform should be supplied to the wor-
kers.

29. I cannot find refttpq in this demand that uniform should be
supplied to all the workers.

184 GOVT. OKDEK8 ON THE ItKOOMMUflPAT.tONS .OF

Issue XV. Whether Arumuyam ami Ramachandran were
wrongfully dismissed and should be reinstated. (Specific to Photo
Mark Cigar Company.)

30. The Photo Murk Cigar Company lias closed down and
therefore no finding is necessary on tne issue whether the two
workers of that company were wrongfully dismissed.

Issue XVI. Whether Uamanujulu was wrongly dismissed and
should be reinstated. Also Parasuram. tiabapathi, Ganapathi,
Thulukeni, and Dhanushkoti should be reinstated. (Special to
Vinayagar Mark Cigar Company.)

31. The above six people were workers m the Vinayagar Cigar
Factory. They complain they were wrongfully dismissed. Mr.
Govifldaswami Chetti, the Manager of the Vinayagar factory, says
that hone of them were dismissed. It is said that Dhanushkodi
did not turn up for work when the factory was reopened after hav-
ing been closed down for some time in July 1947. The other peo-
ple also were said to have stopped away on their own accord. The
direction I give therefore is that if these men turn up for work
within two weeks after the publication of this award they shall be
taken back and if they fail to do so within the two weeks after
publication they need not be taken.

Issue XVII. Whether stoppage of dearness allowance and
wages for 15th and IQth August 1947 by the Indian Tobacco Com-
pany is valid and justifiable.

32. The Indian Tobacco Company was closed on the 15th
August as a holiday for the Indian Independence Day celebrations.
Mr. Parthasarathy for the company said that the workers worked
on the 16th and were paid their wages lor that day. I am unable
to understand how there can be any demand for the wages for the
15th. For the 15th August he said he offered Rs. 5 to each worker
but they were not willing to receive it. There is a misapprehension
in the minds of the workers that he stopped payment of the dearness
allowance which he was giving. What Mr. Parthasarathi says
is that the factory was working in Guindy and was removed to
Aminjikarai. For a short time after the shifting of the factory in
order to enable the workers to continue to work at Amjnjikarai and to
compensate them for the train fare or bus fare, etc., he was giving
them a monthly allowance of lls. 5 until they established themselves
in Aminjikarai. After they established themselves in Aminjikarai
he stopped the payment of the Us. 5, and T think it is perfectly
reasonable. The issue aa it stands makes a presumption as if the
dearnesH allowance WUH stopped. The assumption is wrong and
I tind that dearies allowance WHP not paid and was not stopped

OrderNo. 2594, Development, dated QQtti Maty 1948.

Whereas the award of the Industrial Tribunal, Madras, in res-
pect of the industrial disputes between the workers and manage-
ments of the Cigar Factories in Madras City has been received ;

INDUSTRIAL TRIBtTNALS OR ADJUDICATORS 185

Now, therefore, in exercise of the powers conferred by section
15 (2) read with section 19 (3) of the Industrial Disputes Act, 1947
(Central Act XIV of 1947), His Excellency the Governor of Mad-
ras hereby declares that the said award shall be binding on the
management of all the cigar factories in Madras City and the
workers employed therein and directs that the said award shall
come into operation on the '20th day of May 1948 and shall remain
in operation for a period of one year.

(By order of His Excellency the Governor)

K. G. MENON,
Secretary to Government.

XXIII

BEFORE THE INDUSTRIAL TRIBUNAL OF MADURA.
SRI RAO BAHADUR T. A. SUBBIAH PILLAI, B.A., B,L.

[Under the Industrial Disputes Act, 1947.]
IN THE MATTER OF AN INDUSTRIAL DISPUTE.
Between

THE MANAGEMENT OF N1ZAR AHMED & CO.,
MADHAVARAirx

and
THE WORKERS.

Subject Reinstatement of two workers. Held that no orders
were necessary as one was reinstated and the other agreed to take
1-1 days' wages in lieu of reinstatement. *

G.O. Ms. No. 2597, Development, dated 20th May 1948.

[Labour Disputes Dispute between the workers and manage-
ment of Nizar Ahmed & Co., Tannery, Madhavaram, Chingle-
put district Interim recommendations of the Industrial
tribunal Orders passed.]

HEAD the following papers :

(1)
G.O. No. 6028, Development, dated 23rd December 1947.

(2)
Front the Industrial Tribunal, Madura, dated Ylth April 1948.

BEFORE THE INDUSTRIAL TRIBUNAL OF MADURA.

PRESENT :
RRI RAO BAHADUR T. A. SUBBIAH PILLAI, B.A., B.L.,

Industrial Tribunal.

INDUSTRIAL DISPUTE No. 5 OF 1948 (TANNERIES.)
Between

Narayanan and Thoppalan, workers of Nizar Ahmed & Co.,
Madhavaram,

and

Nizar Ahmed & Co., Madhavaram.
IS

186 (JOVT. OUDKRS ON THE RECOMMENDATIONS OF

INTERIM AWARD.

The complaint is that the workers, Narayanan and Thoppalan,
were dismissed on 3rd March 1918 and on 1th March 1948, res-
pectively, by Nizar Ahmed & Co., Madhavaram, without lawful
grounds and they prayed that they should be reinstated.

At the time of the hearing it was admitted that Thoppalan had
been reinstated.

Narayanan offered to give his claim for reinstatement if the
proprietor would pay him 14 days' salary and he made a sworn
statement to that effect. On the nex*. day, i.e., 16th Apiil 1948,
(.he proprietor paid Narayanan Rs. 8-G--6, the wages for the fourteen
days and the amount was accepted. There is no further relief
prayed for in the petition. The petition is therefore dismissed as
unnecessary. Narayanan stated that there were other outstanding
items of claim against the proprietor. Without prejudice to his
filing a separate petition in respect of those claims, the above order
is passed. When such claims are put forward, the proprietor can
state his objections to them.

Order Xo. 2597, Development, daied '20th May 1948.

Tn (r.O. Ms. No. 00-28, Development, dated '23rd December
1947, the Government directed that the. disputes between the
workers and managements of the tanneries in the Province be
referred for adjudicatio.il to an Industrial Tribunal consisting of Sri
Rao Bahadur T. A. Subbiah Pillai, retired District and Sessions
Judge. Now the Industrial Tribunal has passed an interim award
in respect of the 'dispute between the workers and management of
Nizar Ahmed & Co., Tannery, Madhavaram, Chingleput district.
The Government accept the award ami make the following order,

OK DEE.

Whereas the interim award of the Industrial Tribunal (Sri llao
Bahadur T. A. Subbiah Pillai, retired District and Sessions Judge)
constituted under (l.O. Ms. No. 6028, Development, dated 23rd
December 1947, to adjudicate in the industrial disputes existing
between the workers and managements of tanneries in thn Pro-
vince, in respect of the dispute between the workers and manage-
ment of Nizar Ahmed & Co., Madhavaram, Ohingleput district,
has been received.

Now, therefore, in exercise of the powers conferred by section
15 (2), read with section 19 (8) of the Industrial Disputes Act, 1947
(Central Act XIV of 1947), His Excellency the Governor of Mad-
ras hereby declares that the said interim award shall be binding on
the management of the Nizar Ahmed & Co., Tannery, Madhavaram,
Chingleput district, and the workers employed therein and direct?
that the said award shall come into operation on the 20th Mav
1948 and shall remain in force for a period of one year or till the

INDUSTRIAL 'TRIBUNALS OR ADJUDICATORS 137

final award in respect of the disputes between the workers and
managements of the tanneries in the Province is accepted by the
Government whichever is earlier.

(By order of His Excellency the Governor)

K. G. MENON,
Secretary to Government.

XXIV

BEFORE THE INDUSTRIAL, TRIBUNAL OF MADURA.

SRI RAO BAHADUR T. A. SUBBIAH PILL AT, B,A., B.L.

[Under the Industrial Disputes ,Act, 1947.] -

IN THE MATTER OF AN INDUSTRIAL DISPUTE.
Between

THE MANAGEMENT OF THE INDIAN STEEL ROL-
LING MILLS, LTD., NEGAPATAM

and
THE WORKERS.

Award in terms of the compromise.

6.0. Ms. No. 2598, Development, dated 21st May 1948.

[Labour Dispute Dispute between the workers and manage-
ment of the Indian Steel Rolling Mills, Limited, STegapatam
Recommendations of the Industrial Tribunal Orders
passed.]

HEAD the following papers :

(1)
G.O. Ms. No. J01, Development, dated 28th January 1948.

(2)
From the Industrial Tribunal of Madura, dated '21th April 1948.

BEFORE THE INDUSTRIAL TRIBUNAL OF MADURA.

PRESENT :

SHI RAO BAHADTTR T. A. SUBBTAH PILLAT AVARGAL, B.A., H.L.,
Industrial Tribunal of Madura.

INDUSTRIAL DISPUTE No. 4 OF 1948.
Between

The Negapatam Steel Rolling Mill Workers' Union, Neg*-
patam

and

The Management of the Indian Steel Rolling Mills, Nega-
patam.

[Reference. G.O. Ms. No. 401, Development, dated
January 1948.]

138 GOVT. ORDERS ON THE RECOMMENDATIONS OF

AWARD,

1. As the disputes between the parties could not oe sUled
amicably the dispute was referred to this tribunal as per \r.O. Ms.
No. 401, Development, dated >28th January 1948, for adjudication.
On lllh March 1948 the -president of workers' union filed a memo-
randum mentioning 18 items of demands. They related to wagtn,
nearness allowance, bonus, provident fund, gratuity, lea^e facj lines,
involuntary unemployment, permanency of the service, ro-operpllve
stores, heat bonus, dress, vacancies, stock-yard, lemsfc-itrment of
worker Sundaramurthi, liouse rent allowance, production bonu**.
They claim for payment retrospectively.

2. The management filed their answer to the various demands.

3. The following issues were settled :

(I) Whether the present wage rates are inadequate and
should be revised and, if so, what will be the proper rates.

(rt) Whether the company's financial position cannot permit
any increase or revision of the scale of wages.

(b) Whether the present grading of workers is not proper
and whether any regarding or reclassification is called for.

( C 2) What will be the pioper rate of clearness allowance?

(3) Whether the workers are entitled to am and what bonus.

(^> Whether there can be any increase in the rate of com-
pany's contribution for workers' provident fund.

(5) Whether any directions are necessary t ns regards gratuity
scheme.

(P.) Whether any change as regards leave facilities are railed
for.

(7) Whether the workers should be allowed any and what
rate of wages on days on which no work could be found.

(8) What directions are necessary with regard to secure
permanency of service?

(9) Whether the company should be directed to provide dress
and boots for all classes of workers.

(10) Whether the demand for heat bonus is justifiable.

(II) Whether the company should open a co-operative store.
(12) Whether the company should be compelled to provide for

the workers' sons and whether their discretion in the matter can
be restricted.

(13) Whether all correspondence should be in Tamil.

(14) Whether there is not sufficient shelter in the stock-yard.

(15) Whether the worker Sundaramurthi is entitled to be
reinstated.

(16) Whether any directions are necessary with regard to the
housing of workers.

INDUSTRIAL TRIBUNALS OB ADJUDICATORS 139

(17) Whether the claim for production bonus is justifiable.

(18) Whether any direction given should have retrospective
effect.

4. The parties stated that they were nut examining any wit-
nesses but addressed arguments. After the case was partially
argued, the parties agreed to settle their differences and presented
before me a memorandum of compromise on 24th April 1948.

5. The terms of the compromise run as follows ;

(1) This memorandum of compromise will be effective and
operative as regards clauses 2 and # from the 1st January 1918 and
as regards clauses 6 and 7 from the 1st April 1948.

(2) Tho management hereby agree to increase the rates of
wages of the low-paid employees as follows :

(a) Daily-rated monthly paid employees (excluding billet
khalasies and coal khalasies) who are drawing a daily wage of less
than Ke. 1 will be allowed to draw Ee. 1.

(b) About 50 per cent (A the weeklies to be converted as
monthlies on Rs. 0-13-00-1-01-0-0.

N.B. Such of those so converted who have been drawing
tte. 0-9-0 for a year and over will draw "Re. 0-14-0 in the scale.
This grade will apply to billet and coal khalasies also.

(c) The other 50 per cent of the weeklies will be on a
grade of We. 0-10-00-1-00-12-0.

N.B. Such of the weeklies who have been drawing As. 9
for a year and over will draw Re. 0-11-0 in the scale.

(3) Dearness allowance will be at Rs. 25 per mensem or 17J
per cent, whichever is higher, for all the employees except the office
staff.

The office staff will get Rs. 30 per month or 17J per cent,
whichever is higher.

(4) Special bonus One month's basic pay equivalent to that
drawn on 31st December 1947. For daily-rated men month means
26 days.

(5) Independence bonus Half a month's (15 days) basic pay
as on 15th August 1947.

(6) Profit sharing bonus For future years bonus will be on a
profit sharing basis according to a scheme to be worked out by the
management.

(7) Production bonus on Hoops

Two shifts operation . - . . *T. 301 400 500 600 700

Single shift operation ., .. *T. K5 236 280 340 400

Production, maintenance including 10 per 20 per 30 per 40 per 50 per
Stores ami Shipping. cent. renf. cent. ncnt. cent.

JV.B. * The bonus amount will be pro rata on tonnages in between,

140 GOVT. ORDERS ON THE RECOMMENDATIONS OF

(8) Attendance bonus

In lieu of production bonus, all daily -rated weekly paid
employees will get an attendance bonus of 20 per cent on their basic
pay provided they are not absent without leave or on leave without
pay for more than two days in each four weekly period.

(9) All other demands are withdrawn by the workers.

(10) This award wjll hold good and be in force for one year
from this date, i.e., 24th April 1948.

6. I pass an award in terms contained in the above-cited memo-
randum of compromise.

Order No. 2598, Development, dated 21*t May 1948.

Whereas the award of the Industrial Tribunal, Madura, in
respect of the industrial dispute between the workers and the
management of the Indian Steel Rolling Mills, Limited, Nega-
patam, has been received;

Now, therefore, in exercise of the powers conferred by section
15 (2) 7-ead with section 19 (IJ) of the Industrial Disputes Act, 1947
(Central Act XIV of 1947), His Excellency the Governor of Madras
hereby declares that the said award shall be binding on the manage-
ment of the Indian Steel Rolling Mills, Limited, Negapatam, and
the workers employed therein and directs that the said award shall
come into operation on the 24th April 1948 and shall remain in force
up to and inclusive of 23rd April 1949.

(By order of His Excellency the Governor)

K. (T. MENON,
Secretary to Government.

XXV

BEFOKE THE INDUSTRIAL TRIBUNAL, BEZWADA.

SRI P. MARKANDKYULU, M.A., B.L.
[Under the Industrial Disputes Act, 1947.] -

IN THE MATTER OF AN INDUSTRIAL DISPUTE.
Between

THE MANAGEMENTS OF THE ALUMINIUM FACTO-
RIES IN THE DISTRICTS OF VIZAGAPATAM, EAST
GODAVAR1, WEST GODAVAR1, KRISHNA AND
GUNTUR

and
THE WORKERS,

Subject 1. Wages Whether should be increased or reduced.
Held on the evidence that the cost of production in Rajahmundry
was lower than in Ellore, that some of the manufacturers at Rajah-
mundry were paying higher wages demanded by workers and that

INDUSTRIAL TRIBUNALS OR ADJUDICATORS 14.1

the Aluminium Workers* Go-operative Society was paying much
higher wages than that demanded by the workers and that the
industry could pay increased wages.

Awarded wage rates of Jis. 9 to caster and hammerer and Es. 24
to polisher per 100 lb.

Held that in view of the above findings, wages should not be
reduced.

2. Whether the inci eased wayes should be paid retrospectively
from 15M August 1017. Held thai the Hajahmundry workers
were on an illegal strike and that their original demand was for
presents and not for increased wages.

Held that the wage increases should be paid from the date of
the publication of the Award.

3. Bonufi for the year 1946-47. Held that as the workers had
taken the bonus in advance they could not claim it again. For the
year 1947-48 accounts had not been closed and hence, could not be
decided.

4. Uniforms for workers. Demand negatived.

5. Whether Hie manufacturers at Rajahtnundry declared a loch
out in June 1947 , Held that the workers went on an illegal strike
without notice demanding presents and that the manufacturers did
not declare a lock out.

6. Whether Lhe manufacturers at FAlore declared an illegal lock
out, -Held that the averment had not been substantiated.

7. Whether Routhu Appalaswami closed his shop and should he
be directed to reopen and employ the workmen. Held that the alle-
gations had not been proved.

8. Whether the workers should be paid wages in the above vir-
cumslanc.es. 'Held that in view of the findings stated above, the
claim should be negatived.

G.O. Ms. No. 2617, Development, dated 21st May 1948.

[Labour Disputes Dispute between the workers and manage-
ments of aluminium factories in the districts of Vizagapatam,
East Godavari, West Godavari, Krishna and Guntur Recom-
mendations of the Industrial Tribunal, Bezwada Order?
passed . ]

J\F\D the following papers:

(1)
G,O. Ms. No. 4346, Development, dated 5th September 1947.

4 4 2 UOVT. ORDERS ON THE RECOMMENDATIONS OF

(2)

Letter from Sri P. Markandeyulu, M.A., B.L., retired City Civil
Judge, Madras, and Industrial Tribunal, Bezwada, to the
Secretary to Government, Development Department, dated
Bezwada, the lMk May 1948.

L Lave the honour to submit herewith my \wai 1 in the Industrial
Disputes m the aluminium factories in the districts of Vizagapatam,
East Godavari , West Godavari , Krishna and Guntur that have been
referred to me for adjudication in G.O. Ms. No. 4846, Develop-
ment, dated 5th September 1947.

BEFORE THE INDUSTRIAL TRIBUNAL, BEZWADA.

PRESENT :
SRE P. MARKANDEYULU, M.A., B.L.

[In the matter of the industrial disputes between the managements
and the workers of the aluminium factories in Vizagapatam,
East Godavari, West Godavari, Krishna and Guntur districts.]

Sri K. S. Prakasa Rao, advocate for the Aluminium fastware
Manufacturers' Association, Rajahmundry.

Sn K. Balakrislmayya, advocate for the Aluminium Castware
Manufacturers' Association, Ellore town.

Sri K. Veerabadra Hwami (Trade Union Worker) for the Andhra
Provincial Aluminium Workers' Organizing Committee, Rajah-
mundry.

AWARD.

1. By G.O. Ms. No. 4346, Development, dated 5th September
J947, the industrial disputes in the aluminium factories in the
districts of Vizagapatam, East Godavari, West Godavari, Krishna
and Guntur have been referred by the Government of Madras to this
Tribunal for adjudication. Strictly speaking, it is not correct to
say that all the industrial disputes in the aluminium factories in
the five districts have been referred to this Tribunal, for, the exact
wording of the Government Order is that " an industrial dispute
has arisen between the workers and the managements of the
aluminium factories ... in respect of rates of wages to be
paid to different classes of workers in the industry. " But I have
taken the view that I have jurisdiction to adjudicate on all the
industrial disputes in existence in the aluminium factories in the
five districts on the date of the passing of the Government Order.
But it may be stated at once that the most important question for
decision in this reference is the fixation of wages for the various
classes of workers in the aluminium industry.

INDUSTRIAL TRIBUNALS OK ADJUDICATORS 13

2. I have sent out notices to about 300 aluminium companies in
the five districts as well as to the woikcrs iu these companies inform-
ing them that if there were any industrial disputes between the
managements and the workers, they could be referred to me for
adjudication. But statements of claims have been received only
from the following :

(i) Aluminium Cast ware Manufacturers' Association, fiajah*
mundry ;

(ii) The Andhra Provincial Aluminium Workers' Organizing
Committee, Eajahmundry ;

(iii) Aluminium Cast ware Manufacturers' Association, Jlllore
Town;

(iv) Ellore Aluminium Sarnuyuktha Karmik Sanghani ; and
(v) The Aluminium Workers' Union, Anakapalle.

No replies have been received from many companies to which
notices had been sent and the managements of some companies
have reported that there are no industrial disputes between them
and their workers and that the relations between the employers and
the employed are quite cordial.

3. As already stated, the mam question for decision in this case
relates to the fixation of wages. There are three main classes of
workers in the aluminium factories. They are (1) casters, (2) ham-
merers and (3) polishers, and they are paid on the piece-rate
system, i.e., according to the amount of work turned out by them.
There is also a helper boy for blowing the bellows and an edrth-
cleaning boy and these are paid monthly wages. At the time jf
the passing of the Government Order, dated 5th September 1947.
referring this case to this TribunaJ, a caster and a hammerer in
most of the aluminium factories m liajahrnundry were getting a
wage of Es. 8-8-0 each per 100 Ib. of metal, while the polisher was
getting a wage of Es. 22-8-0 per 100 Ib. This wage was being paid
from 15th August 1917 as the result of an interim settlement
between the Aluminium Castware Manufacturers' Association,
Rajahinundry, and the Aluminium Workers' Union, Eajah-
i luridry, brought about by the Assistant Labour Commissioner
on 9th August 1947 (vide Exhibit 0). Prior to loth Autfuit
1947 a caster and a hammerer in Eajahmuudry were each being
paid only Es. 8 per 100 Ib. and a polisher Bs. 21 per 100 Ib. But
ift all other places except Eajahmundry (Bezwada* Ellore, Anaka-
palle, Vizianagram and other places) a caster and a hammerer were
each [>aid at the rate of Es. 9 per 100 Ib. and the polisher at the
rate of Es. 24 per 100 Ib. Now the main demand of the Andhra
Provincial Workers' Organizing Committee is that there should be
no distinction between the workers in Eajahmundry and the
workers in other places and that all of them should be paid at an
uniform rate of Es. 9 for easting, "Rs. 9 for hammering and Rs. 24

19

144 GOVT. OKDE1IS ON T1IJS ItECOMMENOATluJSfS ol< 1

for polishing. The Aluminium Workers' Union, Aiiakapalle sup-
ports the case of the Andhra Provincial Workers' Organizing
Committee.

4. The Aluminium Castware Manufacturers' Association, liajah-
mundry, opposes the claim of the aluminium workers in
iiajahmundry for enhanced wages and contends that the aluminium
industry is not now so prosperous as before and that it cannot afford
to pay the wages claimed by the workers m Iiajahmundry. U is
pointed out that the cost of aluminium pure metal has gone up as
well as the cost of the finished article on account of the decontrol
policy of the Government and that the cast wart 1 goods have now
got to compete with the machine-madr articles \vhieh can be pro-
duced at greater speed and are consequently selling at lower prices.
The Manufacturers' Association goes further and contends that the
wages prevailing before 15th August 1947 should bo reduced by
nearly one-half in order to protect the aluminium cast ware industry,

5. The Aluminium Castware Manufacturers' Assocm! ion , Ellore
town, supports the case of the Cast ware Manufacturers' Associa-
tion, Eajahrnundry, and also contends that the prevailing rates
should be reduced as proposed by the Kajahnumdry Association.
Statement E annexed to the written statement filed by the
Aluminium Castware Manufacturers' Association, Kajahmundry,
sets out the reduced wages proprosod by the Association. State-
ment D annexed to the written statement filed by the Aluminium
Castware Manufacturers' Association, Ellore town, gives the
reduced wages proposed by that Association and they are substan-
tially the same as those proposed by the Eajahmundry Association
with this difference, viz., that the 151 lore Association proposes to
pay only Es. 10 per 100 lb. of metal to the polisher while the Eajah-
mundry Association is generous enough to propose Es. 15 per 100 lb.

6. The statement filc'd by the Ellore Aluminium Samuyuktha
Karmika Sanghan> is signed by one Ponnaganti Appalas\\ami
(workers' witness No. 2) who describes himself as the convener of
the Sangham and the only allegation found in it is that one Eowthu
Appalaswami has closed his aluminium company from 10th July
1947 with the result that about 20 workers have been thrown out
of employment and that he should be directed to re-open his com-
pany and provide work for all the workers.

7. There are some other matters in dispute between the
managements and the workers but it is not necessary to specify
them here as they will be apparent from the issues settled in the
ease which will be set out presently.

6. An important contention put forward by the Aluminium
flatware Manufacturers' Association, "Rajahmundry, is that the
wages for the workers in the aluminium industry cannot lv fixed

INDUSTRIAL TIllBUNA^S OR ADJUDICATORS 146

unless it is determined beforehand in what proportion the pure and
the impure metal should be mixed in the manufacture of aluminium
goods.

9. The following issues were settled on 2nd February 1948 :
I. (a) What are the rates of wages that should be paid to the

different classes of aluminium workers?

(b) Are the workers entitled to higher wages with effect
from 15th August 1917?

II. In what proportion should inferior metal and pure metal
be used in the manufacture of aluminium articles?

III. (a) Is there any justification for reducing the wages that
are now prevailing in the aluminium factories in the five districts;
and if so, to what rates should they bo reduced?

(M Should the want's be reduced with retrospective effect
from 15th August 1947?

TV. Are the workers entitled to any bonus for the year
1946-47? And how is the year to be reckoned for computing the
bonus?

V. Should the managements supply the workers with two sets
of uniforms m a, year to be worn while on duty?

T!u following additional issues \\ere framed on lOtti March
19-18 :

I. Did the managements declare a lock-out or did the workers
declare a strike?

IT. Did any aluminium factories declare a lock-out before the
reference to adjudication and did they continue the lock-out even
after the reference?

TIT. If the previous issue is answered in the affirmative, are
die lock-outs illegal and are the workers entitled to compensatory
v\apfi for the duration of the lock-outs?

Issue 7 (a) and (b).

10. The aluminium industry was started as a cottage industry
about 50 years ago in "Rajahinundry which is said to be the home of
the industry. It is said that the silt of the Godavari river is
cminentlv suited for casting moulds. The industry soon spread to
all the districts of the Northern Circars and many aluminium com-
panies were opened in important towns like Bezwada, Ellore,
Anakapalle, Vizianagram , etc. Tt is said that in the beginning all
the workers had to bo taken only from "Rajahmundry who naturallv
demanded higher wages for leaving their native town and that this
rraetioc has been discontinued for the last ten v?ar* or so a
aluminium workers are now available locally. Both sides are

that the silt or earth is still being taken from

JUM> GOVT. OBDEHS QN THE KECOMMENDATIONS OF

for the manufacture of aluyciinmw articles. Thid uccoiints fur jtlje
fypj, thai ijje wages paid to the workers in other stations L.vje always
been higher than those paid at Eajahnmndry. This will be
apparent from Statement * A ' attached to the written statement
filed oy the (Cast ware Manufacturers' Association Bajahmundry,
aruj Sn/ement * A ' attached to the written statement Hcd by the
Casteware Manufacturers' Association, Ellore. It will be seen that
the wages have been increased from time to time and that from 1st
June 10M) to loth August 1917 a caster, a hammerer ind ; t polisher
at Ellore wore paid Es. 0, Es. 9 and Es. 23 respectively while their
counterparts in Kajahmundn were j>aid only Es. 8, Es. 6 and
Us. -21 respect i\ el y. Though the Statement 4 A ' riled by the Caste-
WHj*e Ma nu fact uivrs' Association, Kllore, shows that only Es. 23 was
paid to the polisher till 15th August 1947, the case proceeded before
me on the assumption, and it was tacitly conceded, that a polisher
in Ellore and other places except in Eajahmundry was being paid
Es. 24 for 100 Ib. even before 15th August 1917 the date from
which the interim settlement effected by the Assistant Commis-
sioner of Labour has come into force. It is conceded that the wages
paid in all other places except Eajahmundry are the same as thpse
paid at Ellore. The interim settlement, dated 9th August 1947,
was effected onl\ between the Cast ware Manufacturers' Associa-
tion, Ea jab nil in dry, and the Aluminium Workers' Union, Eajah-
mundry. The managements and the workers in other places were
not interested in this as the former had been paying and the latter
had been receiving higher wages than those mentioned in the interim
agreement. "By reason of this settlement, the members of the
Castwarc Manufacturers' Association, Eajahmundry, agreed to pay
Es. 8-8-0 for casting, Es. 8-8-0 for hammering and Es. 22-8-0 for
policing. These rates are still lower than those prevailing in
JSllore and other places. It should be clearly understood that this
demand for higher wages is made only by the members of the
41unu'nium Workers' Union, Eajahmundry, and that it is resisted
only by the members of the Cast ware Manufacturers' Association,
Rajahmirndry. The contention of the Eajahmundry workers is that
there is no reason for giving them a lower wage than that paid in
Ellore and other places and that, it is but just that the wages paid
to- them should be brought into line with those in other places.

11. It cannot be said that the demand of the aluminium workers
at Bajahimindry is exorbitant or unreasonable and there are many
circum stances which lend support to their case. It should be noted
tfyat fye cost of production of the finished aluminium goods is
greater at "pllore and other places than at Eajahrrmndry, for 9,1x0.
thinjg the wages paid in Ellore and other -places are higher than
t&ope pai,d at Eajahmundry and, further, \vherever the -factory ma,y
Ue sit^arte^, the silt or the earth has to com.e from Rajal^mundry .
The Statement c B-l ' annexed to the statement filed by the EHore
Castwatre, "Nfar^xifacturers' Association shows that the co$t of pjroduo-
mg 9 T 1 Ib. of finished goods with pure metal is "Rs. 178-9-3; hu,t

. OK AJWIWCATOJJS 147

fro/tt $f#teH)f)ril ' C-i '. attached to tUe statement filed i>y tlje Cast-
yvafp M^u^tjwers' ^agociatiop, llajaUmuiwJf} , it is seeii tfeat the
cost gf pi'04|ictoj of the wiie quantity of goods is only Us. 176-0-6.
Fpuity fihjs ij; ojjp*vs that t^e margin of profits for the liajahmundry
i^-cft^jks js greater thija that available for the manufacturers of
Eflore ai^J pl#oes other than taj$hiuuudry. One fajls to see wh\
t|jjB cwiipfMiies in Ji^j^hinqndry hold not pay the same wages that
are pai4 t>y the Merchants in $llore and other places.

ISj. Another iinj[iortant fact to notice is that even in llajah-
muiiiiry town some aluminium companies are paying the wages
demanded by their workers. The witnesses examined by the
Manufacturers' Association, Kajahmundry, have admitted that
some companies in Kajahmundry (some of which are members of
the Manufacturers' Association) have been paying the higher wages
demanded by the workers for a long time. Notable amon<> thesa
i^ the H- 1*. Jv- A. L. Lajsshinanan Chettij-ar's Aluminium Foundry
\v|)ic}i is $ njeml)er of the Castvvare Manufacturers' Association,
Kajtthjnunrlr} . r f]\e manug^iueiits' witnesses have also admitted
that eopie pQjJipaijies in Jayupet have all along 'been pa>ing the
higher wages dejnanded by the workers. When some companies
in liftjahmvfndvy itself a.re paying the higher wa^es demanded by
tllp workers, tljere is no reason >vby the members of the Tasteware
^anvifqcturprs' Association ^lone should demur to it.

Vi- Last, though not least, we must notice a peculiar but
welcome feature qf aluminium industry in Rajahmundry. Some of
the workers of the aluminium factories in Kajahmundry started a
cooperative society in December 1944 or thereabouts, registered
tbe society, ajid h$ve been manufacturing aluminium goods to the
entire satisfaction of the public and it is admitted by the witnesses
for tjve managements tiftunsplves that these g<x>ds are of finer work-
immshjp t^an those produced by the Manufacturers' Association
:uul thUt tbev find a ready market even though their prices are
higher. (See the- evidence of managements' witnesses 1, 2 and 3.)
The most important thing to note about the Workers' Co-operative
Factory \a that it is paying its workers at the rate of "Rs. 11 for
Casting, Bs.. 11 for hammering and Rs. 30 for the polishing a much
higher wage than that now demanded by the workers. It is pointed
nut hy the leaynecl advocate for the Manufacturers' Association,
Uajahnw\dfy, that the Workers Co-operative Factory has borrowed
i su,i\> of Rs. 50,000 fnw the Government and another sum of
Ks. 50,000 on a pted#e of al\uninium metal, that no portion of the
loan h$s been repaid, th^t there is no satisfactor\ evidence that
the fi^ctcspy has, m^de any profits or declared any dividends and that
it cannot he said that the factory can afford to pay the
that it is now paying. But the workers assert that their
wade a net profit of mo*e than "Rs. 25.000 for the vear
from Vt Jvtfy W5 fa 30th Juae 1946, that *kev have constructed
a VuU^in^ at a co$t of about R$. 50,000 and declared a dividend
(> f 6^ per cei>t for that year about two or tlwee months ago. They

146 GOVT. ORDERS ON THE RECOMMENDATIONS OF

have tiled only the Auditor's Report (Exhibit IV) for the year
1945-46 which does not show that any dividend has been declared
or is intended to be declared. The reports of the Kegistrar of
Co-operative Societies arid other officers of the Government are not
filed, so that it is not possible to say with confidence that the
Workers' Co-operative Factory has been working on sound lines or
has been making considerable profits. But from the fact that the
co-operative factory is -paying Rs. 11, Rs. 11 and Rs. 30 to its
workers, L draw the inference that the wages claimed by the
\vorkers at this enquin are neither exorbitant nor unreasonable.

1't. As already stated, the claim for enhanced wages is opposed
b\ the Aluminium Caetware Manufacturers' Association, Rajah-
mimdry, and in order to appreciate the grounds of their opposition it
is necessary to state a few facts.

15. From the pleadings filed before me as well as from the
evidence adduced it would appear that it is possible to produce
aluminium goods either from -pure metal or from base or inferior
metal. The pure metal is, of course, more costly than the inferior
variety. The former is now selling at about Rs. 100 per cwt. and
the, latter at prices ranging from Rs. 40 to Rs. 50 per cwt. Accord-
ing to the evidence of some of the witnesses examined by the
Manufacturers' Association, Rajahmundry, so far as the marketa-
bility of the goods is concerned, it docs not matter very much
whether pure metel is used or inferior rnetal is used in the manu-
facture of aluminium goods. M.W. No. 2 (Vasi Reddi Ramulu)
deposes " The saleability of the goods depends upon the degree of
workmanship displayed in their manufacture/' M.W. No. 4
(N. Achutha Ramiah) deposes " the price of aluminium goods
depends upon the degree of finish. The goods of the co-operative
factory have a better finish than our goods. If the finish is very
good, the goods will fetch a high price. Even if 70 per cent inferior
metal is used a good workman can give a good finish to the finished
.article and if the finish is good it will fetch a good price. IJ The
management's witnesses have also deposed that the public prefer
cheap goods and are not very particular that they should be made
of pure metal. Tn these circumstances the temptation to use more
and more of inferior metal in the manufacture of goods is very great
Jind T do not think that the manufacturers in Rajahmundrv and
Ellore arc an exception to this rule. M.W. 2, a leading aluminium
manufacturer of Rajah mundrv who made a profit of Rs. 46,000 in
1045-4f>. has deposed that he has been using 60 per cent of inferior
metal and 40 per cent of superior metal in the manufacture of
aluminium goods. "Rut M.W. 4 deposes that some companies are
using superior and inferior ?netnl in the proportion of 50 : 50 and
that the companies are not following a uniform practice in thiV
respect. Thev use superior and inferior metal according to the
needs of the momont, But it can safely be assumed that no mer-
chant, however high-rmnded and mornl ho may be, would il*"*

INUUSTHIAL TRIBUNALS OK ADJUDlCATOlib L4U

superior metal to such an extent as to involve himself in loss. I
Lave already stated that MAY. 2 uses 00 per cent of inferior luetaJ
and 40 per cent of superior metal and made a profit of Rs. 46,000
in 1945-46. lie deposes that he paid an income-tax of 11s. 14,500
<n that income and that in the previous year he had paid an income-
lax of Us. 4,000 and odd. M.W. 3 (KanakaJa Suhba Eao), who
was originally an aluminium worker and subsequently started a
factory of his own m or about 1911, deposes that he arid his parl-
uer invested JUs. 500 each in the business and made a profit of
Us. 10,000 in 1916-17 and that in the next year 1917-48 they made
u profit of about Ks. 9,000. It means that they made a profit of
1,000 per cent in 19J6-47 und 900 per cent in 1947-48. It is
not likely that they would have made those lingo profits if they
had used only pure metal in the manufacture of their goods. M.W.
o deposes that he was onginalh using superior and inferior mehil
in the proportion of 12 :l and that he has been using them in the
proportion of 1 : 1 since January 1948.

16. It is argued by Sn I\. S. Prakasa Rao for the Manufac-
turers' Association, Kajahmundr v , that the wages of the workers
(the caster, the hammerer and the polisher) cannot be fixed unless
(he proportion in which the two varieties of metal are to be used is
determined beforehand. His argument is thai if only pure metal
is to be used in the manufacture of goods, or if 80 per cent pure
metal and 20 per cent inferior metal or even if 7o per cent superior
metal and 25 per cent inferior metal are to be used, the aluminium
companies in ftajahimmdry and other places will undoubtedly suffer
a loss and cannot afford to pay the wages claimed by the workers in
I \ajahmuridry. The Aluminium (Jasteware Manufacturers' Asso-
ciation, Rajahmundry, has filed certain statements along with its
written statement in support of this contention. (See statements
C-l and C-2 attached to their written statement and the statement,
dated 12th April 3948.) The answer to this is that there is no
obligation on the part of the manufacturers to nao only pure metal
<>r 80 per cent of pure metal and 20 per cent of inferior metal or
oven 75 per cent of pure metal and 25 per cent of inferior metal
;md that they can use the superior and inferior metals in such
proportions as would satisfy the public demand and yield them
a reasonable profit. Further, the merchants of Ellore and other
places have made profits in the past in spite of the fact that they
hud been paying the higher wages now demanded by the workers
in Bajahmundry. (See the evidence of M.W. 5 Alhi Ramulu).
T cannot therefore, accept the rontention that the wages cannot
ho fixed unless the proportions are determined.

17. But I am satisfied that even if 75 per cent of pure metal
{ ind 25 per cent of inferior metal are nsod and oven if the wages
domancM by the workers are piid the aluminium companies in
I'ajnhmunclry would not suffer any loss thereby. T ^ivo below a
rough estimate of the cost of production and sale price in respect

150 UOV'J*. OttDERS ON THE l&COMfENJXvnbtfS OF

of one cwt. (H2 lb.> of aTflminhlm metal nirxed* in 1 the ptopbr'tibri
of 75 per cent pure and 4 25 pet ceftf impute :

IWf. A, P.

I cwt. of pure infital a fr*. I'OO per 1 cwt 75

i owe. of ifileWor metal at Us. 50 par 1 cwi.. . . ' ' ..1280

Cost of cliarcoal, crucible, wheel', rope, eta. . . . . . . 19

EstftbliBhrni-ntf charges 6' u

Wares -

Caster for m lb 14' <V

ftairtmcrer for 1121b. ' lV

T*tint<fr for 94' lb 22 6

Helper and earth boy for two day A f>

4'8 4' 9
1'60' 1'2 9

Soiling price of 94 lb. (.f finished goods at Rs. 1-15 per lb. . . 182 2
Deduct the cost of production 160 12 9

.Net proiit . . 21 5 3

r ! 1 his roughly comes to a net profit of about 13 per cent.

18. There is not much difference between the figures given above
and the figures given by the Casteware Manufacturers' Association,
Rajahmundry, in Jts statement, dated 12tti April 148, but
there is one important point of difference. They have given the
sale price of firttahed goods as Us. 1-13-0 per lb. Whereas "f Bfeve
adopted that' the figure of Rs. 3-1 5-0 'per lb. 'iHte Aluminium Cast-
svare 1 Maimftictnrers' Association have nrtt' filed 5 their account 1 book*
to show the prices, at which they sold ttiefr godd though repeatedly
called upon to db so whereas the aluminium workers have filed ttie
invoices books of their co-operative factory from which it is seen
that they have sold' their/ goodk on a great' many" occasions at
Ks. 1-15-0 per lb., Es. 2-1-0 per lb. and eVen at Rs. 2-4M) per lb.
I have therefore adopted Rs. l-l'HJ-O {5er 1U. as the price of the
finished 1 goods. Ih order to understand the calculation given abbve,
it is necessary to state tliat about Il2 ; iH: (1 cw't.) of aluminium
metal would* yield about 94 lb. of finished goods.

19. It will be seen from the foregoing that an aluminium itianu*-
facturer can make a profit of about 12 to 13 per cetit on- his- capital
using the superior and the inferior metal in the proportidn of 76
per cent and 25 per cent and paying a wage of Rs. 9 to the caster,
Rs. 9 to the hammerer and Rs; 24 to the polisher. This is quite
treasonable aiid substantial profit arid no itianufacturef ' can' nave
any reason for complaint. The aluminium manufacturers cannot
expect to make the fabulous profits that they made during the Inst
wat.

INDUSTRIAL TJUBtfNAtS OK ADJUDICATORS 151

'20. It is not contended on behalf of the aluminium workers
they are not paid a living wage and that that is the reason for their
present demand for higher wages*, it is conceded that the alu#u-
nium worker is the highest paid worker in the five djstricts and
that a caster, a hammerer and a polisher make anything between
Rs. 70 and Bs. 100 per mensem working about -twenty days in a
month. There can therefore be no doubt that the aluminium wpr-
ker is getting a living wage even on the existing wages. His coa-
tention is that there is no reason why the Bajahmundry worker
should get a lower wage than the workers in Ellore and other place*
and that there should be a uniform wage in all the factories in the
live districts and 1 have conic to the conclusion Unit this is a
reasonable demand,

21. I must now refer to some notifications and warnings pub-
lished by the Government regarding the use of aluminium vessels.
In the " Hindu " of 9th March 1947, the following Press News
was published :

" Aero-scrap utensils injurious to health.

A Government Press Note says that cooking utensils made out
of scrap metal from aeroplane parts have found a ready market
in this country. They especially commend to the poor folk for
their attractiveness, durability and low price. The Council of
Scientific and Industrial Research, however, has issued a warning
against their use inasmuch as food cooked in aero-scrap utensil*
has been found injurious to health. This warning should be widely
published and the manufacture and sale of such utensils must be
immediately stopped."

The following apeared in the " Hindu " of 17th November
1947 :

" The risk to human health in the indiscriminate use of
aluminium vessels is described in a Government Press Communi-
que which among other things says :

11 VoHfieln for cooking and storing food form an essential
equipment in household but people are apt to forget what an im-
portant role they play in the preservation of their health. Vessels
made of aluminium are extensively used in this Province for cooking
and atari tig prejmwd food. Recent experiments carried out in liadiu
and other countries have shown that certain foods where especially
tamarind and salt are used (for instance ' sambhar ' ' rasam,' etc.)
act on aluminium and dissolve it in appreciable amounts. Though
the available evidence is that aluminium in the amounts it is likely
to ho oonmmiwl a** a result <>f uwn^ aluminium veKwlft, may not
have any harmful effect on all consumers yet it is advisable that the
use of these vessels is minimized as far as possible.

A special word of caution is also necessary against the use for
cooking and storing food of vessels made of aluminium scrap metala
dcNuantled from aeroplanes and other war-discarded machinery.
From the latest information available from the United Kingdom",

20

162 GOVT. OKDERS ON THE KECOMMBJMDATiONS OF

it has been found that there is considerable injury to health atten-
dant on the use of these vessels. It is a duty cast on the manu-
facturers of aluminium vessels that they select for their ware only
sound material. The public have a right to demand from the
traders a guarantee about the genuineness of the articles they
purchase."

- 22. .From the "foregoing it would appear that the use of alumi-
nium vessels for cooking and for storing cooked food js attended
with danger to health; and the manufacturers and the consumers
naturally expect the Government to take some action in the mat-
ter. They would expect the Government either to prohibit the
use by suitable legislation of the use of aluminium vessels alto-
gether for cooking purposes and for storing cooked food or to pres-
cribe the proportions in which the pure metal and the impure
should be mixed, if the danger to health can be averted thereby.
In the interim settlement effected on 9th August 1947 the Govern-
ment is requested either to prohibit -the manufacture and sale of
utensils made of aero-scrap metal or at least to prescribe the pro-
portion in which the scrap metal and the virgin metal should be
used in the manufacture of such vessels. During the pendency
of -these proceedings before this Tribunal, the Aluminium Workers'
Co-operative Factory, the manufacture of such Limited, addressed
a -communication, dated 12th January 1018, to the Director of
Industries, Madras, in which the Government is requested to
enlighten the public as to whether cooking vessels inn.dc of aero-
scrap metal alone are injurious to health or whether such vessels
are equally injurious to health even if made of pure metal and to
take suitable action in the interests of public health. The manage-
ments and the workers are equally anxious that something
should be done by the Government to ease the public mind and
I too ani of the same opinion. T strongly recommend that the
Government, either Tjocal or Central, should obtain the opinion
of. scientific experts and introduce suitable legislation either pro-
hibiting the use of cooking vessels made of aluminium altogether
or prescribing the proportions in which the virgin and the impure
metals could be mixed without detriment to public health. I would
suggest that after that a wage board should be constituted for fixing
the minimum wages for the different classes of workers in the
aluminium industry. But I do not agree with the learned Advocate
for the Aluminium Castware Manufacturers' Association that the
wages cannot be fixed unless and until the proportions in which
the pure and the base metal should be mixed are prescribed by
the - Government.

.23. My award on issue I (a) is that in all the aluminium fac-
tories in the districts of Vizagapatam, East Godavari, West Goda-
vari, TCistna and Guntnr, a caster and hammerer should each get a
wage of Rs. 9 per 100 Ib. and a polisher Bs. 24 per 100 Ib. No
ge i called for in the wages paid to the helper boy and the
cleaning as no argument was addressed on their behalf. But
are now being paid to them cannot be reduced-

INDUSTRIAL TRIBUNALS OR ADJUDICATORS 168

24. -My award on issue 1 (b) is that that the enhanced wages
should be paid to the caster, hammerer and the polisher from the
date of the publication of this award by the Government and not
from 15th August 1947 the date on which the interim settlement
has come into force. I shall show presently when dealing with
the additional issues that the aluminium workers in Bajahmundry
started an jllegal strike from 2nd June 1947 in order to put pres-
sure on the employers to give them presents and remained on strike
till llth August 1947 on which date they resumed work as the
result of the interim settlement. It should also be noted that the
demand for higher wages was not put forward at first but only
after the strike had been in progress for some time. The original
demand of the workers at Kajahmundry was that they should be
given presents (see Exhibit ' F '). Subsequently they demanded
either presents or increased wages (see Exhibit ' X '). Later they
appear to have changed their front and taken their stand only on
increased wages. For all these reasons I hold that the aluminium
workers in Kajahmundry are not entitled to the increased wages
awarded by me from 15th August 1947 but only from the date of the
publication of this award by the Government.

Issue If.

25. I have dealt with this question under the first issue and
have recommended to the Government that they should undertake
suitable legislation with regard to aluminium vessels after obtaining
the opinion of scientific experts.

Issue III (a) and (6).

26. The Aluminium Castware Manufacturers' Association,
Kajahmundry, and the Aluminium Castware Manufacturers*
Association, Ellore, have put forward a most extraordinary conten-
tion, namely, that the prevailing rates of wages in the aluminium
factories in all the five districts should be reduced by nearly one-
half on the ground that the industry cannot bear this burden. In
dealing with the first issue, T have exposed the hollowness of this
plea. T have shown that the aluminium manufacturers made pheno-
menal profits in recenl years and that even now they can make a
substantial profit even on the footing that the superior and the
inferior metal should be mixed in the proportion of 3 : 1. Further
the prevailing wages can never be reduced unless it is shown that
the only other alternative is the closing down of the industry which
the managements have utterly failed to do. This issue is decided
against the managements and in favour of the workers.

Issue IV.

27. This is a claim put forward by the Aluminium Workers'
Union, Baiahmundry, and it relates to the bonus for the year
1946-47. Tt is well known that bonus is naid to the employees
only when, the. company bas made large profits and if in any year
there ""are no profits no bonus can be claimed- But in this particular

154 GOVT. OBDBRS ON THE RECOMMENDATIONS OF

case the aluminium workers of liajahmundry took their bonuses in
the beginning of the year itself without waiting to see whether
any profits were made by the companies or not. And this fact is
admitted by the workers' representatives. Exhibit ' B ' is an
agreement, dated 1st November 1940, executed by an employee,
Koil Sree liamulu, in favour of his employer \ asjreddi Bamulu
(M.W. 2) in which it is recited tiinong other things tliat the worker
lias taken a sum oi' Us. 120 as advance bonus for the year 1946-47
and that the worker should not leave the service of the company for
one year. It is admitted that all the employees in the aluminium
factories received advance bonuses in this manner for that yeai and
executed agreements similar to Exhibit ' B ' in favour of their
employers. From this it follows that the bonus for 1946-47 has
already been paid and that it r^nnot be claimed once again.

28. So far as the bonus for the year 1947-48 is concerned, the
year, as reckoned by the aluminium companies, has not yet come
to a close and it is therefore to,) soon to say whether the companies
have made profits or Tint. The aluminium companies in liajah-
mundry calculate their vear from the 1st of November till the 31st
of October following. This issue is decided against the workers and
in favour of the managements.

Issue V.

29. The workers demand that every one of them should be
supplied with two uniforms in a vear to be worn by them while
actually engaged in aluminium work. This demand was not put
forward by tbe workers at any time before the reference to adjudica-
tion and it is mentioned for tbe first time in tbe written statement
filed by them. It is admitted that no company so far has been
supplying uniforms to its workers not even the Workers' Co-opera-
tive Factory which has the welfare of the workers at heart. But
the President of the factorv T>. Sanyasi "Rao (W.W. 3) has deposed
that the "Directors have decided to supply the workers with uni-
forms but the minutes book or the resolutions book IWH not been
filed. AB I am of opinion that the aluminium workers are better
off than the other manual labourers such as a carpenter or a mason.
I hold that that they should provide themselves with their own
uniforms and that the managements should not be called upm to
Jo so. This issue also is decided against the workers and in favour
of the managements.

Additional 7 '.s sue T.

30. It is alleged by the Aluminium Workers' Union, ttajah-
mundry, that the members of the Aluminium Castware Manu-
facturers 1 Association, Hajahmundry, unlawfully closed their shops
from 2nd June 1947 to llth August 1947 thereby creating a lock-out
and the wages for this period are claimed by the Workers' Union,
There is absolutely no foundation for this allegation and the evidence
in the case points to the contrary conclusion, Tt is admittefl QB

INDUSTRIAL TRIBUNALS OR ADJUDICATORS 155

behalf />C tuc L'ajahinurdry Workers' Union that ttie,/ made a
demand for presents about the end of May or the beginning of June
1947. Exhibit ' C ' (29th May 1947) is a hand bill circulated by
the Secretary of the Workers' Union in which the members are
informed that an emergent meeting of the general body will be held
on 30th May 1947 to consider the question of ' Bahumatis ' (pre-
sents). The minutes of the meeting held on 30th May 1947 are
not produced by the Union though repeatedly requested to do so.
Exhibit ' I) ' (6th June 1947) is a letter written by the Secretary of
the Aluminium Castware Manufacturers' Association to the Deputy
Superintendent of Police, Rajahmundry, in which it is stated that
the aluminium workers have been on strike since 2nd June 1947.
Exhibits ' 5 ' series are printed pamphlets issued by the Aluminium
Castware Manufacturers' Association in which it is stated that the
workers have gone on strike as their demand for presents was not
conceded and they are advised to come back to work on the old
wages. Exhibits ' E ' series range between 13th June and 6th
August 1947. The Aluminium Castware Manufacturers' Associa-
tion have also sent a petition Exhibit '"D-l ', dated ICth June
1947. to the Hon'bJp Minister for Labour in which also it is reite-
rated that the workers have been on strike since 2nd June 1947.
The only document filed on behalf of the Workers' Union is Exhi-
bifc ' X ' the date of which is not known but which must have
been sent some time after 23rd June 1947. It is a petition sent
by the Aluminium Castware Manufacturers' Association. It is
by the Aluminium Workers' Union to the Hon'ble Minister for
Labour presumably in answer to Exhibit ' D-l ' the petition sent
alleged in Exhibit ' X ' among other things that the manufacturers
who are members of the Aluminium Castware Manufacturers'
Association have closed their shops from 2nd June 1947 and have
not acceded to their demand for presents or in the alternative for
increased wages. I have no doubt in mv mind that if is the workers
that started an illegal strike without giving any previous notice and
that the manufacturers of Kajahmundry did not declare a lock-out.

31. The Samvukta Karmika Samgham, Ellore, of which
W.W. 2 is the Secretary alleges that some of the manufactures in
Ellore closed their shops in July 1947 and kept them closed for
about one and a half months as the workers did not agree to the
reduction of the wages proposed bv the manufacturers. The
workers of Ellore demand that thev should be paid the wages for
the period of the lock-out. The allegation that some of the manu-
facturers of Ellore proposed to reduce the already existing wages
and subseonentlv closed their shops when the workers did not
agree to the proposed reduction appears to be true. Exhibit ' VT '
(7th Jurv 1947) in a letter from the President of the Castware
Manufacturers' Association, Ellore, to the Samvukta Karmika
Sangham In which the workers are informed that the wacres that
were being paid till then would be reduced to the level of wages
prevailing in "Rajahmundry with effect from 15th July 1947, T have

156 GOVT. ORDERS ON THE RECOMMENDATIONS OF

no doubt that this letter was written at the instance of the
Aluminium Castware Manufacturers' Association, Rajahmundry.
Sri Allu Ramulu, the President of the Castware Manufacturers'
Association, Ellore, admits in his evidence as M.W. 5 that the
managements closed their shops one by one when the workers did
not agree to the reduction of wages. It is admitted that from llth
August 1947 or 15th August 1947 most of the companies in Ellore
have reopened and that work has been going on there as unusual
without any reduction in wages.

32* It is a matter for regret that I am unable to give any relief
to the aluminium workers in Ellore though it is a fact that many
companies in that town declared a lock-out in July 1947 IB the
first place the written statement, dated 22nd December 1947, filed
by the ftamyukta Karmika Samgham does not make any mention
of the fact that many companies in Ellore declared an illegal lock-
out. As already stated the only allegation in it is that one Routhu
Appalaswami has closed his shop from 10th July 1947 and it is
prayed that he should be directed to reopen his shop and take back
the workers. But the Secretary of the Union in his evidence as
W.W. 2 deposes that the companies of Ellore closed their shops for
about one month and fifteen days. But the names of the manu-
facturers who declared a lock-out in- or about July 1947 are not
known and in the- absence of such evidence no relief can be granted.

83. So far as Rauthu Appalaswami is concerned, the Secretary
of the S&mgham W.W. 2 does not mention his name at all in chief-
examination. On the other hand in cross-examination he deposes
" I do not know whv Roitthu Appalaswami closed his business.
T do not know if he became an insolvent."

34. In these circumstances I am constrained to hold that no
relief can be granted to the aluminium workers of Ellore either.

Additional Issue IJ .

35. I' have already held that the manufacturers of Rajahmimdr^
did- not declare a lock-out and that en the other hand the workers
went on strike from 2nd June 1947. So far as Ellore is concerned
there is absolutely no evidence that any aluminium company
declared a lock-out before 5th September 1947, the date on which
this dispute was referred to this Tribunal for adjudication and
continued the lock-out even after that date. The allegation in the
written statement, dated 22nd December 1947, filed by the
Workers' Union (Samvukta Karmika Samgham) of Ellore thai
Kouthu Appalaswami closed his shop -on 10th July 1947 and had
not yet reopened it has not been proved.

36. This issue also is decided against the workers and in" favour
of 'the managements.

Additional Issue III.

37. Tn view of mv finding on the additional issue II, this issue
does not arise for decision.

INDUSTRIAL TRIBUNALS OB ADJUD1CA1OKS

^ 3&. In the result I made an award that m all the
/actories m the districts of Vizagapatam, East Godavari, West
Godavari, Kistna and Guntur a caster should be paid at the rate of
Us. 9 per 10U lb., a hammerer also at the same rate and a polisher
i&.tte Jrate.ot' Hs. 24 per 100 lb. These enhanced wages will be
paid at places where they are not already in vo^jue from the: date of
the publication of this award by the Government.

39. So far as the helper bo> and the earth cleaning boy are
concerned no increase in their wages is ordered but the wages that
tney are now drawing should continue to be in force and cannot be
reduced.

40. The other demands of the workers are negatived.
Order No. 2617, Development, dated '2lst May 1948.

Whereas the award of the Industrial Tribunal, Bezwada, in
respect of the industrial dispute between the workers and manage-
ments of the aluminium factories in the districts of Vizagapatam,
East Godavari, West Godavari, Kistna arid Guntur has been
received ;

Now, therefore, in exercise of the powers conferred by sec-
tion 15 (2) read with section 19 (8) of the Industrial Disputes Act,
1047 (Central Act XIV of 19 17). His Excellency the Governor of
Madras hereblv declares that the said award shall be binding on
the management of the aluminium factories in the districts of
Vizagapatam, East Godavari, West Godavari, Kistna and Guntur
and the workers employed therein and directs that the said award
shall come into operation on the '21st day of May 1948 and shall
remain in operation for a period of one year.

(By order of His Excellency the Governor)

K. G. MENON,
Secretary to Government.

XXVI

BEFORE THE INDUSTRIAL TRIBUNAL FOB ENGINEER-
ING FIRMS AND 1YPH FOUNDRIES, MADRAS.
SRT T. D. RAMA1YA PANTULU, M.A., B.T..
[Under the Industrial Disputes Act, 1947.]
IN THE MATTER OF \N INDUSTRIAL I)ISPUTB.
Between

THE MANAGEMENT OF ST. ANTHONY'S ENGINEER-
ING INDUSTRIES, GOLDEN ROCK.
- and

THE WORKERS.

. MR. J. S. VBDAMANIKKAM, advocate and MB. J. W. T. FREE-
MAN, Engineer and Sole Proprietor for the management.

16$ GOVT. ORDERS ON THfe RECOMMENDATIONS 0#

MB. PARAMBSWABAN NAIR, Secretary, St. Antony's Engineer-
ing Industries Labour Union for the workers.

1NTEBIM AWABD.

The management undertake to give first preference to retrenched
workers.

The management also agree to pay wages for the days of recupe-
rative leave.

The management agree to take back certain workers if there is
work.

Ordered accordingly.

G.O. Ms. No. 2619, Development, dated 21st May 1948.

[Labour Disputes Dispute between the workers and manage-
ment of St. Anthony's Engineering Induwtries, Golden Eock
Interim recommendation of the Industrial Tribunal Orders
passed.]

HEAD the following papers :

(1)
GLO. Ms. No. 1115, Development, dated 5th March 1048.

(2)

From the Industrial Tribunal fur Engineering Firms and Type
Foundaries, Madras, dated *29th April 1948.

BKFORE THE INDUSTRIAL TRIBUNAL FOR ENGINEER-
ING FIRMS AND TYPE FOUNDRIES, GOVERNMENT
OF MADRAS.

PKKSKNT :
SRI T. D. RAMAIYA PANTUhU, M.A., B.L.,

Retired District and Sessions Judge.

[In the matter of the dispute between the management of
St. Anthony's Engineering Industries, Golden Rock, and the
workers of St. Anthony's Engineering Industries.]
Mr. J. S. Vedamanikkain (Advocate*), and Mr. J. W. T. Freeman,

Engineer and sole proprietor for the management.
Mr. Parameswaran Nair, Secretary, St. Anthony's Engineering
Industries Labour Union for the workers.

AWARD.

The management says that on account of slackness in work,
they will be able to engage only eleven to tifteen men (excluding
office-boys and welders) from the 1st May 1948. They undertake
to give first preference to the old workers now unemployed ftp and
when they get more work provided however there are among the
unemployed the categories of trades needed for the, jobs to be
performed.

INDUSTRIAL TiUUUNALb OK ADJUDICATORS 159

2. The management also agree to pay tiie wages for the days of
recuperative leave as soon as tho communication irom. the Inspector
oi' Factories, in answer to the letter of the management,
No. A-54/139-A/4b, dated 20th April 1918, is received. Manage-
ment will take back Arogya Das if he is willing to come back and if
there is work and if he gives the undertaking prescribed by the
Labour Oflicer in his letter, dated 23rd March 1948. Doraiswami
and Rangaswaim will also be taken back when there is a chance.
Management agrees to take back Govindaswami, boilersnnth, when
there is a chance for work and Govindaswami should on his part
undertake to obey all legitimate and reasonable orders o the
management. The wages due to him will be paid at once upon his
application to the management.

Order No. 2(3 L9, Development, daled 2 1st May 194<S.

Ill G.O. Ms. No. 1115, Development, dated 5th March 1948,
the Government directed that the disputes between the workers
and managements of engineering firms and type foundries in the
Province be referred for adjudication to an Industrial Tribunal con-
sisting of Sri T. D. Ramaiya Pantulu, Retired District and Sessions
Judge. Now the Industrial Tribunal has submitted an interim
award in respect of the dispute between the workers and manage-
ment of St. Anthony's Engineering Industries, Golden Rock. The
Government accept the award and make the following order :

ORDER.

Whereas the interim award of the Industrial Tribunal (Sri T. D.
Ivamaiya Pantulu, Retired District and Sessions Judge) constituted
under G.O. Ms. No. 115, Development, dated 5th March 1948,
to adjudicate in the industrial disputes existing between the
workers and managements of engineering linns and type foundariea
in the Province in respect of St. Anthony's Engineering
Industries, Golden Rock, has been received ;

Now, therefore, in exercise of the powers conferred by sec-
tion 15 (2) read with section 19 (3) of the Industrial Disputes Act,
1947 (Central Act XIV of 1947), His Excellency the Governor of
Madras hereby declares that the said interim award shall be binding
on the management of St. Anthony's Engineering Industries,
Golden Rock, arid the workers employed therein and directs that
the said award shall come into operation on the 21st May 1948 and
shall remain in force for a period of one year or till the final award
in respect of the disputes between the workers and managements
of the engineering firms and type foundries in the Province is
accepted by the Government whichever is earlier.

(By order of His Excellency the Governor)

K. G. MBNON,
Secretary to Government.

21

169 ; OOVT. OBDER6 ON THE llEGOMMtiNDATTONS' 6$

XXVII
BEFORE THE INDUSTRIAL TRIBUNAL, COIMBAT.ORE.

Sin C. R. KRISHNA RAO.
[Under the Industrial Disputes Act, 1947.]
IN TUB MATTER OK AN INDUSTRIAL DISPUTE.
Between

THE MANAGEMENT OF THE TILE FACTORIES OF
COMMONWEALTH TRUST, CO., LTD., AT JEPPO
AND KUDROL1, MANGALORE

and
THE WORKERS.

Subject 1. Wayes Whether should be increased by 1 annas
per day. Held that as the company was pa} ing dearness allowance
as per the Mangalore settlement based on cost of living, they were
entitled to reduce the basic salary iixed on the Malabar settlement.

Held that the workers could not claim the best of both the set-
tlements but should choose the one or the other in entirety.

2. Bonn*. Held no decision \\as neces.san as three months'
wages had been declared as bonus.

3. -Dismissal of workers in Jeppo factory Whether 'justified and
whether reinstatement should be ordered. Held that the workers
were not dismissed for disobedience of the orders or for attending
the factory while under suspension but Cor refusal to sign an apology
letter. Held that no Standing Orders could provide for dismissal
of workers for failure to sign a letter of apology and the dismissal
could not be sustained.

Ordered reinstatement of the discharged workers.

6.0. Ms. No 2703, Development, dated 26th- May 194S

fLabour Disputes Dispute between the workers and manage-
ment of the tile factories of Commonwealth Trust Company,
Limited, at Jeppo and Kudroli, Mangalore Recommendations
of the Industrial Tribunal Orders passed.]

HEAD the following papers :

(1)
G.O.- Ms. No. 312, Development, dated 4 2.'Jrd January

INDUSTRIAL TRIBUNALS OR ADJUDICATORS -'-161

(2;

From the Industrial Tribunal, Coimbatore.
(Idled 2Bth April 1948.

DEFOKE THE -INDUSTIIIAL TRIBUNAL, (JOIMBATOBE.

PRESENT :

SHI (J. II. KRISHNA RAO.
INDUSTRIAL DISPUTE No. 5 OF 1948.

i[In- the matter of the industrial dispute between the workers and
*itfhe management of the tile factories of the Commonwealth
Trust, Limited, at Jeppo and Kudroli, Mangalore.]

' 'This dispute, having come up for final enquiry on the 14th and
15tlh April 11)18 at Man^alore in (he presence of Sri Bhaskar Kai,
('Vxiimel few the \\orkers, and Mr. W. A. Burnett for the manage-
ment and -having stood over for consideration till this day, the 27th
day of April 11) IH, the Tribunal made the following

AWARD.

Government referred the dispute to me for decision by GKO.
'Ms. No. 342, Development, dated 23rd January 1948.

2. The- workers claimed that As. 1-6 which was cut by .the
management from their basic wage should be restored, that 20
workers who were dismissed- should be reinstated and that three
months' bonus should be paid. The management replied that the
(juestion of bonus had been referred to the Head Office at London,
that the workers wei-e properly dismissed for disobedience and -that
the cut in the wages was effected because clearness allowance was
given on a different and higher basis.

JJ. 'The follownig issues were framed :

First issue. Are the workers entitled to be paid As. 1-6 more
a .day than they are getting now, for any of the reasons mentioned
by them?

- Second issue. -Are the workers entitled to be paid bonus now
and, if-, so, at what rate?

f -Third mue. Is the 1 dismissal of the workers of the despatch
.department), justifiable, if not, which of them is entitled- to be
'fleinstated-and on -what condition?

4. The Commonwealth Trust, Limited, have tile factories in
? Ma'labar and in 1 Man galore. Many other companies also have tile
-factories in 'Mangalore and Malabar. Disputes arose earlier in
'Ma/labar between the workers and the managements regarding basic
wages- ahd dearness allowance. The Commissioner of Labour rtiet
1 the- parties and brought about a settlement. The basic wage

162 GOVT. OKDERS ON THE RECOMMENDATIONS OF

was raised and clearness allowance was fixed at 100 -per cent of the
basic wage but in no case was it to be less than 12 annas a day.
When effect was given to this settlement in Malabar, the
Commonwealth Trust raised the basic wage and dearness allowance
of their workers m the Mangalore factories also. Troubles
started in the other tile factories in Mangalore and an
arbitration Committee was formed to settle the dispute. That
Committee appears to have 1 thought that the time was in-
opportune to interfere with the basic wage, but gave dearness
allowance, on the cost of li\ing index, basis. Some time after
this, the. workers in tin* Commonwealth Tile Factories at Man-
galore wanted dojirness allowance paid to them on the basis of
the Mangalore award, that is on the cost of living. But the
management thought that as they had given an increase in the basic
wage because they expected to pay dearness allowance on the
Malabar basic, they should be entitled to go back to the original
basic wage if the Mangalore scale of dearness allowance was to be
paid. In fact they say they have not completely gone back to the
old scale of basic wages and that their basic wages are 6 pies better
than that of any other factory in Mangalore.

5. The workers do not dispute the fa.cts, but they say that the
dearness alowance is given to neutralize the effect of the rise in the
cost of living and that the basic wages of 6 annas and 7 annas pre-
vailing in 1939 or earlier- are utterly inadequate and that even
one rupee a dav has been held by some to be inadequate. It is
obviously not right, that one single institution should be compelled
to pay a higher basic wage while others -pay very much less. In
the Textile industry for instance when the basic wage was fixed
at one rupee per day it was for all the mills and not for one or two
selected mills. If in all the other factories in Mangalore wages are
being paid on the basis of the Arbitration Committee's Award the
Commonweal tb Trust also is entitled to pay wages on the same
basis. T do not see any ground for discrimination. No worker
from the Commonwealth Trust factories says that he or she is get-
ting less than a similar worker in the other factories of Mangalore.
P.W. T, Oosappa Chetti, who is a kiln burner in the Jeppo Tile
factory savs he is earning Bs. 7ft and odd annas a month for eight
hours work. His basic wage is As. 11 fi per day. He savs one
Taniya Pooiari in Sudarsan Tile Works gets one rupee a. day as
basic wage but he has to work for 12 hours a day. Moreover
Oosappa gets a helper both day and night and Taniva gets only in
the night. Tn other words Taniva should get for eight hours work
not even As. 10-8 and Oosappa gets for the fwrne amount of work
As. 11-6.

6. If mav be that the basic wages paid in all the tile factories in
Mangalore are too low and that a better minimum wage should be
fixed. But that must be done for all the factories and not for
two factories onlv. The better basic wage which workers in the
Commonwealth factories were getting \yas yolnntarily given

INDUSTRIAL TRIBUNALS OB ADJUDICATORS 163

i$ was connected with the clearness allowance granted. If the
dearness allowance is to be enhanced the workers cannot say that
the basic wage which was raised on a different basis should not be
reduced. I am satisfied that the workers in the Commonwealth
Trust tile factories in Mangalore, are at least as well off if not
better than the workers in the other factories, and that they have
no reasonable ground for complaining about the so-called wage cut.
When there is any general revision of basic wages these workers
also will get the benefit thereof. Now the point for decision is on
what basis should they ho paid, on (lie basis of the Mangalore
award or of the settlement ellected in Malabar. As the manage-
ment points out, the workers seem to want the best portions of
both, that is the basic wage, under the Malabar settlement and
dearness allowance under the Mangalore settlement. They cannot
pick out the best in both, they can choose the one or the other as
a whole.

I find this issue against the workers.

7. Second isaue. The company have now notified that the
workers will receive three months' bonus and so this issue does not
call for decision.

8. Third issue. Twenty workers of the Jeppo factory who were
told off to work at the railway goods yard on the morning of 10th
September 1047 refused to go unless they were paid an allowance
of 6 annas a day. The usual allowance, which is said to be for
tea and snacks and not for a regular meal, was -1 annas a day.
Mr. Tait, now in England, was in charge of the factory then.
From his letters to the Head office written on the KMh, 20th and
21th September 1047 the following facts emerge. On the 19th
morning Mr. Tait was informed by his factory clerk that workers
deputed to go to the goods yard refused to go and when Mr. Tait
went to the wharf they told him that if they were not paid 6 annas
they would not go. He warned them and then suspended them for
four days for refusing to do their appointed work. But the workers
instead of going home returned to the factory and continued to
work during the four days of suspension. Their tokens had been
taken from them. On 24th September 1947, there, was a kind of
conference and Mr. Tait asked the workers to sign a statement
which he had prepared. The workers refused to apologize in terms
of the statement and to sign it and they were dismissed.

9. It was contended on behalf of the workers that no notice of
suspension was given to them. No notice in writing was indiv : -
dually served on each worker. But they must have known that
thev were suspended, because their tokens were taken away, and
not given back to them, though thev continued to come to the
factorv and do their work. The correspondence leaves no room
for doubt that the workers were suspended and were told that thev
were suspended. The workers sav that this demand for 6 annas
for work ip the goods yard had been made previously, Ther* 1 IB

164 aovT. ouDEttts ON TUB KECOMMISNDATIONS OF

'Something m Mr. Tait'i* letters which gives colour to this. la his
detter:on 20th September 1947, he says " this is by no means tiie
ifkst time we have had trouble with the Jeppo workers, on L the
.question of rates of pay. or allowances at the goods yard." Eefer-
nng to the arguments of the workers. in support of their demand
for an allowance of 6 annas, he says in his letter on 24th September
/1947 " These, of course, are old arguments and I put forward our
point of view/' Hut whether the demand for payment of 6 annas
was made for the first time on 19th September JL947 or had been
made before is immaterial. They were suspended for refusing to
go to the yard, and even then Mr. Tait thought that for the sake
of harmony in the factory, the workers should be dismissed. When
the workers attended the factory and worked there in spite of the
dismissal, a contingency which Mr. Tait did not foresee, he thought
this was a fresh defiance of his authority and made up his mind
to dismiss the workers unless they signed a statement apologizing
for their disobedience and promising to obey the manager in
future.

10. The action of the 20 workers m refusing to go to the goods
yard and unless they were paid 6 annas a day extra was really a
strike, and if the standing orders provided for dismissal of the
workers if a strike was launched without sufficient notice, the
management maj have been justified in taking action under that
standing order. Instead of this, ,Mr. Tait chose to regard this
strike as an act of disobedience and suspended the workers under
Standing Order 22 (a). The action of the workers in attending
the .factory after suspension was also a continuation of the strike,
a stay in strike. Mr. Tait does not appear at any time to have
prohibited the 20 workers from entering the factory. A suspension
order Deprives the worker of his attendance and his wages and car-
ries a stigma also because it is a punishment for misconduct, but
I do not think that if a worker works in the factory or attends the
factory in spite of the suspension., he must necessarily be deemed
to defy .authority or to disobey instructions of -the manager. But
llu 1 case is different if he has been expressly told to keep away
from the factorv and he still persists .in coming to the factory.
From Mr. Tait's letter, of 24th September 1947, it appears that
the workers were dismissed, not so much because they attended
the factory in spite of the, suspension, as because they refused to
sign the statement placed before them for signature. He gays
"'Fjfteh person was asked directly whether or not he or she would
sign the 1 statement- and each in turn said ' No '. I then advised
them that they were dismissed." >Some other workers who were
present suggested that some time should be given to the dismissed
workers to think over and time was given till noon. Then 'Mr.
Tait says M The meeting reassembled at noon and all were present
exeent ono female. "Rnoh was asked individuallv whether he or she
wortld now sigrn the statement arid each refused, T then confirmed
their dismissal and tbe meeting disbanded,"

INDUSTRIAL TRIBUNALS OH ADJUDICATORS 165

11. It is quite clear from the passages extracted- from Mr. Tait's
letter- that the workers were dismissed for refusing to sign a
statement. For disobeying the orders of the manager, the workers
had been suspended for four days as provided in the Standing
Orders. A copy of the Standing Orders has not been produced.
I do not think there is any Standing Order which requires a worker
to sign a letter of apology on -pain of dismissal. If they disobeyed
a second time, the Standing Orders provided the penalty. The
dismissal, therefore, if it was for refusing to sign the statement was
unjustified and cannot be sustained. If it was for attending the
factory and doing work there, m spite of the orders of suspension,
this was not properly put to the, workers and their explanation, if
any, was not taken. The workers were not asked to explain why
they should not be dismissed for disobe}ing the order of suspension,
and they could have been asked on the 19th, '20th and on the fol-
lowing days when they continued to defy that order. Why should
Mr. Tait have waited till the 24th morning to dismiss the suspended
workers, if he thought their continued attendance at, the factory
\\as a fresh breach of the Standing Orders? He wanted an -ipolog*
and not getting it he dismissed them. Even on the 19th itself,
Mr. Tait was for dismissing the 20 workers. He writes in his
letter of that day " Please confirm that T am to dismiss the 8
males and 12 females as from the 24th September morning." He
adds in the postscript " To ensure fhat we are not put in the wron,u
by interested parties over the dismissal of these workers, I suggest
that if and when they return on the 2ith they be given the chance
of apologizing for their behaviour and of agreeing to obey orders
in future. . ." The impression left on my mind is that the
workers were dismissed not for what they had done before 24th
September 1947, but for failing to give an assurance of good beha-
viour for the future. The dismissal f is unsustainable and the

workers must be reinstated.

12. The result is that I make an award as -follows :

(1) There will be no revision of the basic wages now being
paid in the Jeppo and Kudroli Tile factories of the Commonwealth
Trust, Limited.

(2) As the company has notified the workers that bonus will
be paid, there will be no order for the payment of bonus.

(3) The 20 dismissed workers, 8 males and 12 females, will
be reinstated by the company in the departments in which they
were working at the time of dismissal if they report themselves to
duty within 14 days of the publication of this award.

Order No. 2703, Development, dated 26ffo May 1948.

Whereas the award of the Industrial Tribunal, Coimbatore, in
respect of the industrial dispute between the workers and the
management of the tile factories of Commonwealth Trust Company,
Limited, at Jeppo and Kudroli , Mangalore, lias been received;

166 UOVT. OUDtoS ON THE

Now, therefore, in exercise of the powers conferred by section
15 (2) read with section 19 (3) of the Industrial Disputes Act, 1947
(Central Act XIV of 1947), His Excellency the Governor of Madras
hereby declares that the said award shall be binding on the
management of the tile factories of Commonwealth Trust Com-
pany, Limited, at Jeppo and Kudroli, Mangalore, and the workers
employed therein, and directs that the said award shall come into
operation on 26th May 1948 and shall remain in operation for a
period of one year.

(By order of His Excellency the Governor)

K. G. MENON,
Secretary to Government.

XXVIII
BEFORE THE INDUSTRIAL TRIBUNAL, CO1MBATOKE.

SKI C. R. KRISHNA HAG.
[Under the Industrial Disputes Act, 1947.]
IN THE MATTE K OJK AN INDUSTRIAL DISPUTE.
Between

THE MANAGEMENTS OF CASHEW PROCESSING
FACTORIES IN MANGALORE.

and
THE WORKERS.

Subject 1. Classification of labour. Held that the labour in
cashew factories were unregulated, that the management should
ascertain the number of hands required and add a 5 or 10 per cent
reserve and make them permanent workers. In effecting retrench-
ment the management should first dispense with the services of
children, then absentees for over 50 per cent of the -possible attend-
ance, and then absentees for one month continuously and lastly
according to service.

2. Wages and dearness allowance. Held that the plea that the
wages in Mangalore should not be raised unless the wages in Cali-
cut and Quilon were also increased was untenable.

Awarded increase in piece rates of wages for each category of
workers.

3. Bonus. Held that one month's wages should be paid as
bonus to those who had put in at least 50 per cent of the total
possible attendance,

4. Welfare. Held that creche was not at all maintained and
where one was kept, it was worse than none.

Held also that the canteens were very poor and that there were
no proper rest shelters.

INDUSTRIAL TRIBUNALS OK ADJUDICATORS 167

5. Maternity benefit. Granted to eligible women.

6. Working conditions. held that betier working conditions
should be provided to workers.

7. Peeling. Held that peeling by fingers was painful and that
extra allowance had therefore been provided for.

8. Dismissal of nine workers. Held that the dismissals should
stand as one preferred a false charge and the rest refused to peel
without blades and incited others to go on strike without demand,
negotiation and other preliminaries.

G.O. Ms. No. 2704, Development dated 26th May 1948.

[.Labour Disputes Dispute between the workers and manage*
ments ol cashew procebbing i'dclorieb in Mangalore Recom-
mendations of the Industrial Tribunal Orders passed.]

HEAD the following papers :

G-.O. No. 107, Development, dated 6th January 1948.

(2)

From the Industrial Tribunal, Coimbatore t dated 4th May 1948,
LD. No. 3/48.

BEFORE THE INDUSTRIAL TRIBUNAL, COIMBATORK

PRESENT :
SRI C. R. KRISHNA RAO.

INDUSTRIAL DISPUTE No. 3 OF 1948.

[In the matter of the industrial disputes between the workers and
the managements of cashew processing factories in Manga-
lore.]

This dispute having come up for final enquiry on the 16th, 17th,
19th, 20th and 21st April 1948 at Mangalore in the presence of
Sri B. S. Bhasker Hai, counsel for the workers, and Sri B. Vai-
kunta Baliga and Mr. P. D' Sou/a, counsel for the managements,
and having stood over for consideration till this day, the 1st day
of May 1948, the tribunal made the following

AWARD.

At first the dispute between the workers arid the management

in the cashew procesfling factories in Mangalore of Messrs. Peirce,

22

GOVT, O&&&4U3 ON THE itt&OOMMNi*ATlON& OF

Leslie & Go,, I*6cL, WAS xeferred to ine for ^djudk^tioii by Gr.O.
Ms. No. 6372, Development, dated 19th November 1947. By U.O.
He. No. 107 , dated 8th January 1948, the previous order w<is super-
seded and the disputes in all the cashew processing factories of
Mangmlore were referred to me for decision.

2. There are ten cashew processing factories in Mangalore.
The managements of two, viz., Mizr Uoviuda Anua^pa, Pad <fc Sons
and Hindustan Commodity Corporation, Limited , sent rather argu-
mentative ^statements and took no further part in the enquiry.
The latter stated that it had stopped working for me iaat two
\ears. Of the other eight factories Peirco, Leslie & Co., own three
and Mallya Nayak & Co., own two. The Cardol Corporation, Fer-
nandez Brothers and S. D. liainachaudra Nayak own one a piece.
Only Peirce, Leslie & Co. is a joint stock company. The rest are
owned by a lew partners in each case. I inspected the -eight
factories at different times.

3. Tfeere is only one union called the Cashewnut, 'Cardamom
*nd Coffee Workers' Union. The largest part of the membership
u*' the union is from the workers from the factories of Peirce,
Leslie & Co. tfroin some of the factories, e.g., Mallya Nayak &
Co., them is .not even one member. After 1 had completed my
enquiry into the disputes in Peirce, Leslie & Co.'s factories, the
union, though it does not represent the workers in all the factories,
sent a set of demands to all the other managements and tentative
replies were sent to me by the managements. I 'framed issues
mainly on the basis of demands put forward by the union and the
managements were asked to suggest amendments to the issues, to
save l tiDOfe. No modifications were suggested. The main points -in
dispute in all the factories relate to wages, dearness allowance,
bonus, canteen and finally recognition of the union. In one of the
factories of Peirce, Leslie & Co., some workers were dismissed and
the union demanded that they should ho reinstated. In all the
factories of Peirce, Leslie & Co., tlie easy nuts are peeled with
the fingers. One of the demands of the workers is that they should
be allowed to use blades.

General The industry.

4. Before I consider the issues in detail, it would be useiul to
give a short account of the growth of the industry. The Govern-
ment of India ^published in 1944 a report on .the marketing .of
caahewnufcs in India. Messrs. Peirce, Leslie & Co., published in
1989 an illustrated booklet on the Indian Cashews. What follows
is taken almost verbatim .from one or the other of these publica-
tions :

The cashew tree was introduced into India about 400 years
ago mainly for the checking of soil erosion on coastal lands. The
systematic rultrwatrior) of cashews on a plantation basis has Jbeen
taken up only from about 1930 with the development of the export

INDUSTRIAL. TRIBUNALS OK ADJUWCATOBS 160

trade in cashew kernels. The production of caahewnuU u> India
during the trieuniuin ending 1940-41 averaged 45,000 too* per
annum. Of the total production approximately 50 par cant is
contributed by Madras, 20 per cent by Travancore, 16 per cent by

Cochin and 10 per cent by Bombay. The market supply of cashew-
nuts ia estimated to have increased nearly tenfold between 1930
and 1944. This has been due partly to the planting of new areas
and partly to the better collection of nuts from old trees. As a
large number of new plantations have not yet (1944) reached
full bearing capacity, it is estimated that the production from the
existing plants will go on increasing at the rate of at least 5 per cent
every year for the coming ten years or so. Although local produc-
tion is more than sufficient to meet tbe requirements of the home
market, it falls much short of the export demand for kernels. Con-
siderable quantities are, therefore, imported every year, mainly
from East Africa. The import of cashewnuts during the triennium
ending 1940-41 averaged about 28,000 tons. The African nuts
are of smaller size, compared with Indian nuts although the kernels
in the former are more fully developed. Of the total supply of
kernels, nearly 75 per cent is exported outside India. The trend
of exports has been steadily upward even during the war years
in spite of serious shipping difficulties. More than 80 per cent of
the tot'al exports genernllv <ro to the United States of America,
about fi per cent to the United "Kingdom and 3 per cent" to Canada.

In Southern India, cashew kernels are mostly used for flavour-
ing sweet dishes and for decorating confectioneries. "During recent
vears, the use of fried and salted kernels has become very popular
practicallv all over the conntrv, and there appears to be a large
scope for increasing the consumption of cashew kernels in that
form. As cashew kernels do not keen well for more than three to
four months, the kernels exported abroad are packed in vacuum
with or without carbon dioxide. The kernels packed in vacuum
keen well for about a year while those in carbon dioxide for about
two vears.

The rT*ioe of cnshewmits as also those of cnshew kernels are
largelv determined bv the demand from the United States of
America the market which consumes more than 75 per cent" of the
world's sunnlv of cashew kernels. As cashewnut factories work
moatlv on invnorted nuts in the off season, and as the production
of kernels is snrend more or less e.venlv all over the ve,nrs, the
seasonal fluctuations in the -price of both nnts nnd kernels are
general! v small.

A" maior portion of the cashewnnt crop in Tndin is assembled
from farms bv itinerant merchants. In recent" vears a number of
factories have started their own Vrnviner denots in .irrm^rfant nwenv
blinr? markets and it i estimated tnaf nhont nulf of fheir reqvifra-
mont's are now purchased bv far-tone* fhrmirrh their own

170 GOVT. ORDERS ON THE RECOMMENDATIONS OF

More than 85 per cent of the production on the West Coast
ie exported to foreign countries. Distribution to foreign countries
id carried out chiefly by the processing factories themselves. Most
of the large factories have their own representatives or commission
agents in foreign markets. Per Government of India Report.

Small quantities of cashew kernels are exported from Brazil,
but India has proved to be the only country providing conditions
favourable to the large scale developments of the cashew kernel
industry. The Indian cashew crop is harvested during March/May
and the African crop normally arrives in India during December/
March. The trees both in India and Africa are scattered over
large areas of waste land or semi-waste land with the result that
crop forecasts are unreliable, and it is not easy to arrive at estimates
of. crops harvested. The output of the best equipped cashew
kernel factories is now about 30 owt. of blanched kernels per year
per person employed.

' -The devolpments to date in cashew kernel processing have
eliminated waste of valuable by-products and the serious labour
discomforts inseparable from the old processes. But very little
has yet been done in the direction of reducing the large amount of
hand labour involved in the production of blanched kernel as
packed for -export. It appears probable that failing the application
of some completely new principle to the treatment of cashews, the
industry will remain restricted to countries where steady fairly
intelligent labour with natural cleanly and tidy habits is abundant
arid cheap. Per Indian Cashews.

f " * Processing.

5. The processing of cashewouts into blanched kernels has to
Ije.done in several stages, viz., roasting, shelling, peeling and finally
grading. The ancient practice was to roast nuts in shallow pans
over, open fires. It had two drawbacks. The oil in the shells was
burnt and lost. The roasting gave off a pungent and poisonous
smoke which affected the health of the roasters. This primitive
method of roasting is not in use now in any of the factories in
Mangalore. In tbe Peirce, Leslie & Co.'s factories, the nuts are
roasted in oil, the effect of which is that a large percentage of the
oil in the shells is simultaneously recovered. The machinery was
in vented and patented by Peirce, Leslie & Co. Mallya Nayak and
Co. , decorticate the nnts without roasting and they do it by machine.
It is a kind of nut cracker attached to a table and one worker
(a female) cracks the nut by pedalling tbe machine and another
pitting on the opposite side receives the keinel and the, shell.
Tie, shell oil is recovered in another machine. The machines ore
American patent, and have been purchased by Mallva Nayak .& Co,
The other factories adopt the drum roasting method. In Peirce,
Leslie & Go.'s-factorics, the oil that remains after roasting, on the
surface, is further recovered in centrifugal machines ajid nutft are

INDUSTRIAL TBIBUNALS Oil ADJUDICATORS 171

passed on to the shelling department, much cleaner than in other
factories. The shelling is done by women workers who give a few
sharp elbows to each nuts with a small mallet or club. This breaks
open the nut and the kernel is removed. The kernel has still got a
brown husk or jacket, which is removed by the fingers in most
cases in Peirce, Leslie & Co.'s factories and in others by the aid
of a knife or bamboo blade. This is called peeling. This work is
done in all the factories by women and little girls. The peeled
kernels are then graded by women workers and finally packed in
tins.

Labour.

6. Between d,000 and 5,000 workers are employed in all the
cashew processing factories of Mangalore. More than 80 per cent
of the workers are women and young girls. At the preliminary
enquiry, the counsel for Peirce, Leslie & Co., Rao Sahib T. T. B.
Pillai, put forward the extraordinary proposition that the workers
in the factories were all casual labour and, therefore, not entitled
to any of the relief b claimed by them. I framed this issue :

" Are the workers in the cashewnut factories of Peirce,
Leslie & Co. at Mangalore only casual workers, and therefore none
of the reliefs chinned by the union on their behalf can be granted?"
The managements of the other factories have not put their case in
this crude form, but they sympathise with the contention of
Peirce, Leslie fe Co. Ft would be indeed strange if 80 to 90 per cent
of the workers in a factory were casual workers. What the Company
really means is that the workers have liberty to attend the factory
or not as if they were casual workers. The virtues of this system
are stated to be these

(3) There is no contract of service.

(2) No regular attendance is insisted on.

(3) No explanation need be given for absence.

(4) The worker can come and go as she pleases without
reference to the hours of work.

(5) The worker is not attached to any factory and may migrate
from one to another.

(6) No minimum output is insisted on.

(7) Work that is available is evenly distributed amongst the
workers, i.e., there is spread over.

(8) The industry is seasonal, and the supply of nuts, and the
sale of processed goods are both uncertain.

7. There i* an atfrendnnre register maintained. The workers
are given cards in which their outturn is noted, day by day. Wages
ire pair! once a week and not each dav. Maternity benefit is given
to workers who are eligible for it. One of the factories at leaat
gave a bonus. Some of tb* workers have been working in the

factorv for VWH. Tt woiiM be ridiculous to contend in *h*

GOT?., OKtXEBS ON THfc BECOJIMEKDATION* OF

facie of-!hf**e fatfte-that the workers nor no better than casual lab&ur.
The ptfopar designation will be that it IB unregulated labour. I/about
is cheap a*id unfortunately too abundant. Because the manage-
ments cftft get all the labour they want, no attempt has been made
frr regtilate it. The Model Standing Orders propose that workers
should be olasaifted a& permanent, temporary, etc. None of the
factories fteronB to have any standing orders, and certainly workers
have not *<> far been classified on any intelligent basis. Absenteeism
i:< v^rj considerable, amounting to about 40 per cent. From the
figures supplied by Peirce, Leslie & Co., it appears that against
a possible attendance of 7,800 days, there was actually only an
attendance of 5,208, the average for 40 workers and of 4,224, the
average of another set of 40 workers. In the peeling section against
a possible attendance of 7,960, the two averages for sets of 40 workers
were respectively 5,557 and 4,025. No figtrrea have been supplied
from which the rate of turnover can be assessed, but that also must
be considerable. In tlie Maidan factory of Peirce, Leslie <fe Co., the
Manager told me that the crowding was due to a large influx of
workers from other factories. A high rate of turnover and of
absenteeism affect prejudicially both the employers and employees.
It ia high time that the workers are put on a regular and permanent
basis. Amongst the many advantages that labour will obtain
thereby are security, better wages and better working conditions.

8. It is inevitable that if labour is to be regulated there will have
to be Considerable retrenchment. At present much more labour is
employed than the amount of work available justifies. A wealth
of statistical data has been supplied by Peiice, Leslie & Co., for
which I am grateful to them. A statement regarding the quantity
shelled by 20 befit and 20 worst workers in the Ttvp-pu factory on
19th April 1948 has been put in. None of the best did less than
20 Ib. and one did as much as 28. Their average was about 22J Ib.
Of the worst some did no more than 7 Ib. and no one did more than
8J Ib. It all could be made to do about 22J Ib. then only 460
workers would be necessary. But for that day the Company engaged
ed 662 women and 123 children. The system of " come when you
please, go when you like " must be responsible for the poor outturn
of 7 and 8 Ib. in a working day. Or there must be such a wide
disparity in skill and efficiency between those who could do only
7 or 8 Ib. in eight hours and those who could do 23 and 24 Ib. in the
same period. Whatever the cause, the slackers should be elimi-
nated. I have nfct referred to the other factories or other depart-
ments of Peirce, Leslie & Co., but the statements supplied tell
tho same tale.

O.'I found during my inspection that quite a lot of little girls
wore e*npto7*d in the shellm* and fn the peeling departments.
Thifc tras very marked in the Jet>pu factory, where rows atid rows
of litfle sirfe were at work. When onioned tley all gavs their
affes as 14, 16 or 17, b* they looked <m* mm* than 10 or 12

TKUWJNAU OK AW4JDKJATOB6

a few vea younger. Of course Uj#y bad all obtained
frail a doctor about their age. A doctor hap generally to gucaa
th age and he may go wrong as frequently as a layman un-leas Ue
has ueeouree to special testa. A more satisfactory system wottid be
io '"iisis* on a certified extracj, from the Birth and Death J tegwt*. c
Births are now oompulsonly registered and it must be quite as eas\
to get a <sopy from this register as to obtain a medical certificate.
These ii>ttle girls should have been in school or in the play&eld*
atad not working in a factory to ihe detriment of their bodies. I
am clearly of opinion that m any retrenchment that requires to be
effected these little girls must be the first to be sent away.

30, &o attempt seems lo have been made by any lactory to
estimate the amount ol' permanent labour required lor normal
wjrk'tjg. Because labour is so abundant anil ch^ap, during the
busy season everybody for whom room can be found is taken on
and \vnca the work is over, they are asked to go away atui fend for
tluMiiseives. It must be quite easy to calculate how many shelters
and peelers and other workers are really needed in each one of these
factories. The average outturn of a good worker is known. The
average quantity of nuts handled in a year is known. T* is Pimple
aritftimotic to find out how many vsorkers are needed in each depart-
ment . There may be a 5 or 10 per cent reserve. As regards labour,
therefore, the first thing the managements have to do is to ascertain
I*TW *mriy permanent workers they want in each department and
(m-ploN only that number plus a reserve and enforce strict attCH**-
anee H-B FR done in all \u*ll regulated factories. There \\i\\ be some
discontent amongst those who are thrown out, 'but they will find
otiher em-plovmeftt- in agriculture or other pursuits. Tn retrenching,
1he -girls who have eome j-ri with medical certificates will go first
Hi en <tfce absentees, that .is those who have put in less than 50 per
(rent f -the possible attendance in the 12 months ending '30tri April
T948 and -Ohen tfeose who have been continuously absent for one
monifc (SOidays) in 'the year ending '30th Aprill948, and 'lastly ifeose
wri/h the lentft years of service.

Wages and dearness allowance.

11. The shelters and the peelers who form the vast majority of
workare ,ae paid .piece rates. The rate includes both basic wage
and dearness allowance. In most of the /factories the shelters get
10 ipies .per pound of whole kernels shelled. No payment is made
for'brokens. In the Maidan -factory, of Peirce, Leslie .& Co. , a higher
mte .is given 'because the nuts handled there are more difficult. In
the Rdixehady factory 12 pies per pound are given :to two -wvdsars.
hut as ^hey shell ft>y machine their outturn is more and -so they arn
*Hctt*t:tbe ahne as (the workers in other rfnctories. '

T!he peelers in all -the Poirre, 'Leslie factories peel the easy
kermflfl 'wMi fingers, but in rill Hie nflier -factories blades are used.
Fmgera do become painful when peeling bas to be done for 9ii or

174 GOVT. UiiDEKy ON THE KKCOMMKNDATXONb Oi'

seven hours a day, but they pay the same rates of wages as in .the
other factories, viz., 10 pies per pound for wholes. It is claimed
that because of the centrifugal and hot air chambers, shellers and
peelers in Peirce, Leslie & Co., can produce more and ear a more.
But S. D. Bamachandra Nayak has filed a statement which shows
that his best shelters too have done as much as 26, 27 and 28 Ib.
and that his best peelers have done 20 J Ib. wholes and one as much
as 24 Ib. which is considerably more than what the peelers in the
Maidan factory of Peirce, Leslie & Co., have done, in the Jeppu
factory the average for the best peelers is about 21 Ib.

12. All the managements contend that they cannot att'ord to
pay any higher wages or clearness allowance and as it is, they have
sustained losses. They plead further

(1) that no reasonable forecasts can be made of the Indian
crop or of the imports of the African crop.

(ii) that the prosperity of the industry is entirely dependent
on the American market and the prices to be got there, and

(3) that any raise in wages will tell upon the Mangalore
factories only, while the factories at Calicut, Quilon and other
places with cheaper labour will be able to sell their goods cheaper.
As regards this last argument, it would mean that there can be
no improvement in the lot of the workers in Mangalore unless at the
same time, there is an improvement in Quilon. And if some one
agitated for improvement in Quilon. he will be met with the same
argument, that no improvement can be effected there unless the
conditions in Mangalore also were improved at the same time.
And so the present conditions should continue indefinitely in both
places, because there is no means of compelling both places to move
forward simultaneously. Just as prices adjust themselves in spite of
political barriers so wages also will adjust themselves. It is not
to be expected that if conditions improve in Mangalore, the workers
in Quilon will not hear of it, and will not desire to approximate
their conditions to those of Mangalore/ It may be safely predicted
that Quilon will very soon have to alter her conditions if conditions
change in Mangalore. But some one must begin.

13. Two statements have been filed by the managements to show
that no increase at all can be given now, and in fact they would be
justified in reducing the wages. The cost of processing 16,000 bags
which will yield roughly 500,000 Ib. of broken and whole marketable
kernels, and the result of trading have been worked out. This
would represent the quantity handled by Fernandez Bros., Mallya
Nayak & Co. , and others and would be about one-tenth of what the
three factories of Peirce, Leslie & Co., would handle. The net loss
i'-, shown at Us. 92,188. It is strange that if this is the real sta+e
of affairs that S. D. Kamachandar Nayak should have made a profit
of about Us. 32,000 for the year ending 31st August 1947 and a
profit of Rs. 11,000 in the preceding year. The lorry hire to convey

IflDUbTlUAL T1UBUWALS UK ADJUDICATORS 176

10,000 bagy to factory silo has been put down at Us. 8,000, a ttum
perhaps suirioient to buy a lorry. Loading arid handling per bag
at .Bandar is stated to be 1 annas -per bay. If a worker iiandleb
four bags in an hour and works eignt hours a day, he would earn
Ks. 8 at the Bandar which appears to be fantastic. Interest on
capital contributed b> the partners and on borrowed capital i*
allowed at the liberal scale of 8 per cent and this accounts for
31,000 rupees. The managing agents are allowed besides K.S. 33,000
us remuneration. Nothing is mentioned of the oil recovered or the
price obtained for it. Travelling, telephone, repairs, charges are
all allowed on a liberal scale. The other statement I referred to
shows that even if L increase the wages by onl> one pie, Peirce,
Leslie & Co., \\ill have to pa} Us. 01,770 more and each of the
other factories Us. 0,864 more. The basis in each case being a
unit of 16,000 bags,

ISays 13everidge in ins 1'ull Employment:

" The correlative to acceptance by trade unions of an arbitra-
tion clause in all collective bargains would be acceptance by employ-
ers in all important industries of standardized accounting practice
and their readiness to put all iacts as to profits, costs and margins
unreservedly at the disposal of the arbitrator and expert stall for
criticism/'

The einpolyers are all unwilling to show even their balance sheets
to the union oliicials. The workers are illiterate and cannot make
anything of the statements riled. 1 have to do what I can without
any expert assistance. Mr. Bhaskar Kai, who appeared for the
workers did get copies of the statements but he did not have much
time to scrutinize them. Peirce, Leslie & Co., have many concerns,
and although separate accounts are maintained allocations of com-
mon expenditure have to be made, and here there may be difference
of opinion.

14. A statement has been filed by Peirce, Leslie Co,, showing
the actual daily earning of female labour at Kulasekhar during July
to October 1947. Twelve peelers got one rupee or more a clay out
of 440 peelers and shelters got one rupee or more a day out of G2ft
shelters. The average earnings of adult females was As. 10-3 per
day. I have carefully considered all the materials placed before
me and I have come to the conclusion that a bettor system of
rewarding labour can be devised and that the industry can bear any
additional burden this may involve.

At present the shelters and peelers get a uniform raie of 10 pies
per p"-nd shelled and of wholes peeled. I would vary the piece
rates tnus. For the first 10 pounds 6 pies per pound. Prom llth
to 15th pound 1 annas per pound. From 16th to 20th pound
2 annas per pound. From 21st to 25th pound, 1 anna per pound
and from 26th to 30th pound, 6 pies per pound. A worker who
shells or [ tvls (wholes) 22 Ib. will pr e f, (0 5 + 0-7-6 + 0- 10-0

23

J76 GOVT. ORDERS ON THE RECOMMENDATIONS Otf

_+ 0-2-0) Kg,. 1-8-6. This will include clearness allowance also as
at present. In Peirce, Leslie & Co., where peeling is done with
fingers, eveiy peeler will get an allowance of 1 anna a day in addi-
tion to the above piece rates. Both shellers and peelers will gel an
attendance bonus of 2 annas a day for regular attendance of 11 days
m 12 days (two weeks). The rates for peeling brokens will continue
as at present. No payment will be made for brokens in the shelling
department.

In the Kaiichody Oil factory the shelling >s by machine? and two
workers are put on each machine. They are together paid 1 an'ia
per pound. This will be raised to 15 pies per pound. The raw nuts
are shelled in this factory and the workers have to handle the shells
with the oil exuding from them which is injurious to the skin. No
separate dearness allowance need be given. These workers also
will be given attendance bonus at 2 annas per day if they attend 11
davs in 12 (barring two Sundays in two weeks).

15. The roasters, graders and other workers who are paid by the
da\ will have their wages and dearness allowance raised by on-
third. Thus a worker who is now getting 12 annas a day will get
Re. 1 (basic and dearness allowance inclusive). All these workers
will also get the attendance bonus of 2 annas a day for eleven
da} s attendance in 12 days.

Bonus.

16. Fernandez Brothers is a new company and has not made an) 1
profits. The others are all Comparatively older and better estab-
lished. Even S. D. Hamachandra Nayak's who admit they have
made a profit in 1947 have not paid any bonus. Peirce, Leslie & Co.
have -paid bonus to their clerical staff but not to their productive
workers. Even in years when the company made profits, no bonus
appears to have been paid to these workers, probably because they
were regarded as casual workers. T think that all the workers in
all the factories except Fernandez Brothers, who have put in at
least 50 per cent of the total possible attendance in 1947, should be
paid one month's bonus calculated on his or her average monthly
earnings for that year.

Welfare Creches, canteens and rest shelters.

17. With several thousands of women workers working in the
cashew factories, one would expect to see well-equipped creches and
a number of children in them. Some of the newer factories have
no creches at all. The older ones have creches only in name. Not
one baby is to be found in any of the creches. There is no cot,
no mat, no cradle, nothing but bare walls. The creche in the
Maidan factory was worse than nono. Tt. is a portion of a verandah
where workers were working in ooflW. No woman would consent

INDUSTRIAL TKIBUNAL8 OK ADJUDICATORS 177

to leave her baby here to inhale the coffee dust. Regarding the
creches maintained by the Begg Sutherland group of mills, the
Labour Investigation Committee say " The creches are equipped
with hanging cradles and cots, mattresses, sheets, blankets and all
other necessary equipment. The children are kept clean, being
washed and clothed in fresh garments every day, toys, biscuits and
nourishing food are also provided by the management. In the
Madura Mills, a creche is being maintained in a spacious building,
with a kitchen attached to it, from which children are supplied free
meals, milk, fruit, etc." The Committee goes on to observe " These
are merely illustrations of the facilities provided by enlightened
employers, but generally speaking the attitude of employers is not
very favourable to the provision of creches." It would be perhaps
too much to expect even Peirce, Leslie & Co., to provide the faci-
lities which Madura Mills, with their great resources, can provide
in their creche. But there is no excuse for making a pretence of
maintaining a creche when you do not want to put yourself to any
expense about it. No babies are brought because the place is so
uninviting. T am certainly of opinion that the creches should be
better located and better equipped if they are to serve any
purpose at all.

Creches are not properly equipped because no babios are brought
to the factories by their mothers, canteens are not efficiently main-
tained because the workers prefer to take their tea or snacks else-
where. This is the stock excuse. Fernandez Brothers have
rented a shop to a tea vendor who sells eatables to the workers and
other passers-by. The Mnidan factory canteen supplies sweet, pota-
toes, boiled and jaggerv coffee. The onlv merit about this canteen
is its cheapness. There is not even a place where the workers
can sit down and eat their potatoes. "Rest shelters are provided
in spine of the factories, but the places are not made interesting.
Very little thought is bestowed bv anv management on these wel-
fare questions. The letter of the law is all that they want to
observe. A radio set, a few tables and benches a few illustrated
magazines and newspapers, a small lihrarv could make the rest
shelter a really attractive place.

Maternity benefits.

These are granted to eligible women. In one case, in Fernandez
Brothers, it was said that a worker had not been given maternity
benefit, hut- it was stated she had not put in requisite attendance.

Working conditions.

18. Shelling and peeling are done in long big halls. They are
well ventilated and lighted. But the workers have to sit on a brick,
a piece of stone or a block of wood and the rmts are kept on a brick
and broken. A few workers have small planks fo flit on. The

178 GOVT. OBDJSRS ON TUB BlSCaMMlflNDATIUNS OF

Sit on their haunches and crouch on their work. It is not a
eritnfottable posture to be in for hours together. I think that, if
better working conditions are provided, the output will increase as
there will be less fatigue to the worker. The shellers have frequently
to smear their hands with ash as the shell oil which spurts when the
nut breaks is injurious to the skin. I found the hands of a worker
from Fernandez Brothers vtTy badly discoloured. They agreed to
supply gloves. Much ingenuity and thought has been apent by
Peirce, Leslie & Co. , in improving the machine, but very fittle seems
to have been spent in improving the working conditions of the
worker. Surely it is easier to invent a glove which will protect
the shelter's hand and still allow her to work freely than to invent
the oil immersion roaster. But nothing in this direction has been
attempted so far. I found in the Maidan factory a worker wearing
on her left arm an old storking cut out at the foot end also; another
had a cloth tied round her arm. T found a few workers with pieces
of old gunnies on their feet, or \vi1h old big shoes to protect their
feet. Surely, these discomforts are not irremediable. They could
be remedied with n little thought and at a little cost.

Peeling.

19. The workers in the factories of Peirce, Leslie <fe Co., have
to peel the easy kernels with their fingers while in all other factories
the workers are allowed to use knives or bamboo blades. If a
'piece of the kernel is chipped ofT when peeling, it leaves a mark
when the nut is cooked and the American market of Peirce,
Leslie & Co., requires that there should be no spots. Peeling with
the fingers does make it painful and I think the only satisfactory
solution is to give an extra allowance for this which I have already
provided. The system now prevailing in the Peirce, Leslie & Co.'s
factories regarding peeling will continue.

Closure of factories.

20. As already stated, the factories work part of the year on the
Indian nuts and part of the year on African imported nuts. It
happens that sometimes there is no stock left and so the factory is
closed and the workers are sent away. When the next consignment
arrives, the factory is opened again. I asked the managements
whether they could suggest any way of giving work to the workers
throughout the year and they all said it is impracticable if not
impossible. T suggested a five day week and this did not meet with
any satisfactory response. With a regulated and permanent labour
it must not be difficult to spread over the work throughout the
year. As T have already suggested the regulation of labour, the
managements will find it easy when they give effect to it to spread
the work throughout the year. So T shall not make any recom-
mendation on this head,

TIUBUNALy OR ADJUDICATUEB 179

Union.

21. The union wants to be recognized by the managements. If
they are unwilling, it must wait until Labour Courts are established
under the amendment to the Trade Unions Act.

Dismissals.

22. Of the ten workers of Peirce, Leslie & Co., who were dis-
missed, one Parameshri has been reinstated. As regards the other
nine, the case against Saraswati was that she preferred a false
charge of bribery against Humakke, the Mukkadam. The others
took part and incited others to take part in an illegal and lightning
strike.

Saraswati stated that though she was absent for half a day,
Kamakke had marked her present and had got her 5 annas and
that this unlawful wages was given to Kamakke. The case was
investigated and Saraswati varied her story in material particulars.
The manager thought her charge was false and dismissed her. I
do not think there are any good grounds for interfering with the
order of dismissal.

As regards the other eight, the charge was that they would not
peel the kernels without blades und incited the other workers to
come out on a strike without any excuse. These workers refused
to peel without blades, that is, they wanted to work on their own
conditions which of course cannot be permitted. There was no
demand, negotiation and the usual preliminaries to a strike. Wor-
kers must learn to be disciplined. They must also realize that a
strike is the last resort and not the first weapon to attack the
employer with. The dismissals will fitand.

23. As a result of my findings there will be an award in the
following terms :

(1) The workers employed in all the cashew factories in
Mangalore will bo classified as permanent, temporary, etc., a?? pro-
vided in the Model Standing Orders.

(2) The managements will make an estimate of the number
of permanent workers required on the basis of the output of the
efficient workers an indicated in paragraph 10 supra.

(3) If there is to be a retrenchment, workers will be dis-
charged in the following order :

(a) Young girls who are now working on the strength of
medical certificates will go first and of these the youngest first.

(fc) Workers who have put in less than 50 per cent possible
attendance in the 12 months ending 30th April 1948 will go next,
find after this, worker* who have been continuously absent for
30 days (working and more at a time during trie same period.

(c) Lastly, workers with th leapt number of years of
service will b* discharged,

180 GQVT. ORDEKS ON THE JE^CQMMENDATJONS OF

U) Basic wage and clearness allowance will be combined as
at present, but the rates will be increased as stated in paragraphs
14 and 15 above and these revised rates will come into effect from
1st April 1948.

(5) Bonus will be paid as provided in paragraph 16.

(6) Creches, canteens and rest shelters must be improved and
made really attractive.

(7) The dismissal of the nine workers Saraswathi, Iladhu and
the rest is upheld.

(#) Regarding working conditions, etc., no specific recom-
mendations are made, because the works committees that will be
set up will be in a better position to deal with these matters by
negotiation especially as some of the remedies may have to be tried
as experiments before they are finally adopted.

Order -No. 2704, Development, dated 26M May 1948.

Whereas the award of the Industrial Tribunal, Coimbatore, in
respect of the Industrial dispute between the workers and manage-
ments of Cashew Processing Factories in Mangalore has been
received ;

Now, therefore, in exercise of the powers conferred by sec-
tion la (2) read with section 19 (3) of the Industrials Disputes
Act, 1947 (Central Act XIV of 1947), His Kxcellunoy the Governor
of Madras hereby declares that the said award shall be binding on
the managements of the Cashew Processing Factories in Mangalore
and the workers employed therein and directs that the said award
shall come into operation on 26th May 1948 and shall remain in
operation for a period of one year.

2. The Commissioner of Labour is requested to send a copy of
this order with a copy of the award to the managements of the
Cashew Processing Factories and to the union of workers
concerned.

("By order of His Excellency the Governor)

C. P. MADHAVA MENON,
Assistant Secretary to Government.

JNDUSTUIAL TK1BUNALS OH ADJUDICATORS 181

XXIX.

BEtfOKE THE 1NDUSTK1AL TRIBUNAL Otf MAJDUBA.
SRI M. VENKATABAMAIA, B.A., B.L.
I Under the Industrial Disputes Act, 1947.]

IN Tllli AJATTKH OK AN INDUSTRIAL UlSl'UTE.

Between
THE MANAGEMENT OF HOTELS AT KAN CHIP URAM

and
THE WOHKEKb.

Subject. 1. Classification of workers and adequacy uf wages
paid. Held that the workers were in many cases getting the
minimum scales oi' pay demanded by the Workers' Union and that
the maximum demanded was too high. Scales of pay for different
categories of workers and increments fixed. Held also that where
the workers did not get any increment in the past year, they should
be given one increment as per the scale fixed.

'2. Dcarness allowance,. Held that most of the workers m the
hotels were bachelors and that the} were served meals, coffee and
tiffin and that there was no case for grant of dearness allowance.

3. Amount of work Jor servers. Held that one server should be
employed for eight seats.

4. Bonus, Provident Fund and Gratuity. Held that it was
enough it' u provident, fund was started. Held also that as the
hotels had made profits, they should pay one month's salary a
bonus.

5. Employment of c.rtr<i staff or payment of e.rlra wages during
festivals. Left to the discretion of the managements.

6. House rent allowance.--- Demand negatived as the workers
were mostly residing in the hotels.

7. Confirmation in service. Held that the Shop Assistants ACT.
would govern their conditions of service and that normally a person
who had put in one year service should be deemed to be permanent.

8. Whether the termination of services of certain workers wrong-
ful and what redress should be given. Held that the discharge of
Kamachandra Ayyar was wrongful and that the worker should be
paid his salary from 15th August to 1st October 1947.

Held that the discharge of Vasudeva Namhudri and Natesa
Ayyar had not been proved to be wrongful.

Held that the discharge of Vadivelu and Munusaini pending the
adjudication was illegal and the discharge without enquiry was
unjustified. Ordered payment of wages from the date of discharge
till the date of reinstatement.

Held that the workers should be reinstated in service.

0. Recognition of the Ihuon. It prom in ended recognition of the
Union by the Hotels' Association.

192 GOVT. OflPEKS ON THE RECOMMENDATIONS

G.O. Ms. No. 2705, Development, dated 26th May 1948.

[Labour Disputes Dispute between the workers and manage-
ments of hotels at Kanchipurain .Recommendations of the
Industrial Tribunal Orders passed.]

UEAD the following -papers :

(i)

G.O. Ms. No. 209, Development, dated 20th January 1948.

(*)

From the Industrial Tribunal, Madras, dated 1st May 1948.

BEFORE THE liNDUSTBiAL TRIBUNAL, MADBAS.

SHI M. VENKATAEAMAIYA, B.A., B.L.

INDUSTRIAL DISPUTE Nu. 2 OK

[In the matter of the industrial dispute between the workers
and managements of hotels in Kanchipuram.j

AWAKD.

J . The dispute referred to the Industrial Tribunal for adjudica-
tion in G.O. Ms. No. 1469, Development, dated the 20th January
1948, was stated to be between the workers and the managements
of the hotels in Kanchipuraui. On a reference to the Labour Oilicer,
Madras, he has furnished a list of hotels, copy of which is appended
hereto. Of the 41 mentioned therein, three are said to have been
clobed and none of the workers therein has appeared. The only
persons who appeared are the proprietors of the Santana Kishna
Bhavau, New Model Lunch Home, Sarada Vilas, Krishna Bhavan,
Nehru's Cafe, and Mr. T. S. Raman ujam for the workers and the
Secretary of the Hotel Employees 1 Association.

2. Seven witnesses for the wokers and three for the hotel
pioprietors were examined.

3. Notices were issued to all the 41 hotels but the proprietors of
15 hotels only filed a statement. One other, the Mysore Sada-
nanda Bhavan, reported that his workers had no demands and sent
a |>etition signed by the proprietor as well as by 20 workers of that
hotel to that effect. Another hotel proprietor, Sri Kumaraswami
Mudaliyar, has filed a statement for himself.

Issue No. 1. What are the categories of workers employed in
the hotels Are the wages now paid to them adequate? If not,
what will be the reasonable wages for them?

4. Tn their statement, the workers have referred to ten categories
of workers and it is now admitted that there IB no watchman
employed in any of the hotels in Kanchipuram. The scales of pay
for the other nine categories are not too low and on the evidence
that T have recorded, it beoarae apparent that there is not much

INDUttTlMAL TJEUBUMAi'S OK ADJUDICATORS Ib3

dift'erence iu the iiuiial stages oi pay which is now m vogue and
which the unioa demands. P.W. 1, U. P. liQsavan, is a supplier,
i.e., a serve jji inbacuolai Hotel and he states tnat the * peria
{tdupii ' ui his hotel >ets Us. (iu a month and the ' china adupu '
Us. 45, the ' a,ra\ai ' grinder) J<s. <3o, the assistant grander Us. 30,
the suppliers, who are the in number, get Ks. 37-8-4), Bs. 32,
Its. 30 and Kb. 25, the maistri or the store-keeper gets Us. 18, the
cleaners get between Us. 10 and Us. 14 and the woman servant Jbte. 7
and she works only in the morning and evening. P.W. 2, liama-
chandra Ayyor, JH a chinna adupu ;uid gets Ks. 45. He works m
the Kailas -Bhavan Hotel and before that he was m the Arya
Bhavan, there also getting a pa^ of .Rs. 40. L'nor to that, he
was a supplier or a server i'or ten and a half years on a salary of
Hs. 35. P.W. 3, 1\. P. Krishnamurthi, is a peria adupu in Sarada
Vilas on a salary of Rs. 50 a month, P.W. 4, K. V. Krishnamurthi,
is a peria adupu in the Bombay Kailns Bhavan on a salary of Us. 60
a month. P.W. 5, P. S. Mam Ayyar, is an aravai and is paid
Its. 37-fcK): P.W. 6, P. Munuswaim, is a cleaner in Arya
Bhavan on a salary of Ks. 16 and his services have been dispensed
with 15 days ago on the ground that the business has gone down.
P.W. 7, K. Haraan, is a supplier in Htiukar Cafe on a salary of
Rs. 35 a month.

5. The statement of claim Jiled b) the workers' union demands
11s. 50 5 123 for peria adupu, Us. 15 1 105 i'or chinna adupu,
Us. 10 3 55 3J 90 for aravai, Ks. 35 90 Tor assistant grinder,
Ha. ."J5 lOo for supplier or soner, ]\s. oO- 2- Go for store uiaistn,
lis. 30 65 for cleaner, Es. 30 1 .45 for servant-maid and
Bs. 45 4 105 for the cook (in the meals section). It will be
observed that, except in three or four categories, all the others are
getting the salary within the range as per the workers' demand.
The maximum demanded seems too high. The hotels in Kanchi-
puram are working on good business lines and the hotel proprietors
have, on the whole, been treating their employees with considera-
tion and well and all the witnesses who gave e\ idence before nie
appear contented with salaries the> are getting. The manner in
which they were questioned and spoken to b\ the proprietors who
appeared before me showed also that the proprietors did not treat
them as other employers do with their employees. A few of the
hotel proprietors are educated young men who have settled down
in- that town for carrying: on this trade and appeared quite
reasonable.

All the workers in the hotels get besides their pay, pocket money
of 1 anna, 2 annas, 3 annas or 4 annas every day. This is called
dgeksbina. A peria adupu for instance is paid 4 annas in some hotels,
and 3 annas in some other hqtels. The suppliers are paid 2 annasi
e'yqrj? .day., Though this cannot be said to compensate for the
d^rness allowance, yet it is a factor to be taken into account ia
oojiisdering the total emoluments of the workers,

24

184 GOVT. ORDBIKS ON THE HiiCOMMBNIMTlONS OF

6. It will be too much of a strain to fix the minimum that the
workers have demanded. I accordingly fix the following scales for
the different categories of workers in the hotels in Kanchipuram :

ES.

(1) Peria adupu, i.e., chief cook, refreshment Action . . .00580.

(2) China* aduj u (junior cook, refreshment section) . . 40 2$ 60-

(3) Aravai (grinder) 30 t] 00.

(4) Assistant aravai (grindor) . . 30 2 -40. '

(5) Server 3C 2 60.

(6) Store ma>stri 25-245,

<7) Cleaner 20125.

(8; Servant women ..10.

(9) Cook (meals section) 453 Go.

N.B. The servant woman is a part tima worker who works for tliroo or tour
hours m iho morning and throe or four hours in the at tor noon and gets mqaltf
twice a duy anu hor work is mostly cleaning of vessels.

7. It should be understood that any worker who is now getting
a particular salary shall not have his salary reduced by virtue of
this award. fc>onie of the hotels have not been giving increments
and those who have not given any increment within the last one
year shall now give one increment in accordance with the above
scales. Mr. banthana Gopala Ayyangar, Troprietor of the
Santhaiia Krishna Bhavaii, stated that lie has been giving incre-
ments of JRs. 5 to some and Ks.. 3 or Bs. 2 to other categories of
workers but his statement was challenged. He then brought his
account books which were examined by Mr. T. S.* llamanujam and
Mr. Sankar. It is a fact that he has paid Hie increment for the last
four years.

8. The workers in all the hotels will now be placed in the scales
above mentioned and will be given on<e increment if the same has
not been given within the last one year. If no increment has been
given within the last one year, the next increment will be at the
rate above mentioned.

h*ue No. 2. Whether deafness allowance should be paid. Jj
so, at what rate?

9. The contention of the employer is that inasmuch as all these
workers in the hotels get meals during both day and night and
also their morning and afternoon tiffin, there is no case for grant
of dearness allowance. It is a fact that .all the workers get these,
and also that most of the workers have no residences of their own.
This contention is met by the union in this way. A unit of labour
family is nearly five and if one member of the family is getting
t'6od in the hotel it cannot compensate for the portion of the allow-
ance on account of clearness of food with regard to the other four.
Therefore clearness allowance must be given but it may be four-
fifths of what may be allowed in other cases. Witness after witness
has stated about the condition of the premises of the hotel where
they have to sleep, arid one man K. Raman said that the hotel was

INDUSTRIAL TRIBUNALS OB ADJUDICATORS 186

so dirty that he sleeps by the roadside. Except a very small
number, the workers spend all the time, day and night, in the hotel
itself and they are bachelors. The married man with a family is
only one exception. 1 do not think that in the case of these hotel
employees any case for the grant of dearness allowance arises.

Issue 3. What should be the number of workers to be
employed in a hotel or restaurant of fixed number of seats.

10. In some hotels, a man has got to attend to as many as
12 seats while in some others the workers are made to attend to
eight only. For good business and attention, I think one server
for eight seats should be the standard.

Issue No. 4. Whether bonus, provident fund and gratuity
should be introduced.

11. None of the hotels has given bonus, provident fund or
gratuity. Many of these hotels are of recent growth. It is time
that a Bcheine for 'provident fund is started. There is a Hotels'
Association and there is a workers* union. Both these bodies may
meet through their representatives and draft rules for the institu-
tion of provident fund. Three representatives of the hotel pro-
prietors and three representatives of the hotel workers may meet
within the course of one month and settle the draft rules and send
the same to the f'oinmissioner of Labour, the contribution to be,
one anna per rupee by the employer and the employee. A good
provident fund scheme is one of the best means of securing security
of service to the employee and a guarantee to the employer that
the employee will not jump from one hotel to another as he is said
to be doing now. For the present, a provident fund scheme out-
lined above will meet the ends of justice.

12. The proprietors, who were present, while admitting that no
bonus as such was paid, represented that they gave presents for
Pongfll, Dipavali, and it is unfortunate that even this was denied
at one time by the workers. Mr. E. V. Rama Ayyar of Sarada Vilas
produced his account book which showed that he gave to the workers
Pongal presents in the shape of cash amounting to Rs. 46. But
the pavment of pongal present is not a bonus. Bonus is paid on
account of profits earned and a present partakes the nature of an
affectionate gift. All these hotels have made verv good profit and
one of them his made as much as "Rs. 10.000 in a year while
another has made "Rs. 5,000. and in spite of being asked to -pro-
dtiee their account books or to state the profits, except a few the
rest have not chosen to produce anv data. But all of them admit
that thev have made profit. I have decided in the circumstances
to direct that for the vear-endins 31st March 1948, the workers
flnn.ll be mid a month's s<Unrv as bonus, the silarv bein<* what thev
were wttnig on 1st Tamiarv 1948. Unless 'there was a loss, it fa
deft-able In follow this rule that the workers shall be paid one
month's salnrv as honus every vear

186 GOVT. ORDERS ON THE RECOMMENDATIONS OF

Issue 'No. 5. WketJicr e#tr& staff should be employed during
ftstival days or extra wages should be paid.

13. Tiiere are two festivals, one in Panguni and the other in
Vaikasi wlieu there is a large concourse of pilgrims coining into
the town and extra business is being done in the hotels. Mr. B. V.
Kama Ayyar, Proprietor, Sarada Vilas, states for the Garudothsa-
vam he pays Rs. 5 to the cleaners, Us. 7 to the suppliers and Bs, 8
to the peria adupu, From what the witnesses have said, it is not
clear whether they want the employers to employ extra hands
during those festival days or pay some extra remuneration to them.
1 think it must be left to the discretion of the 'managements.
The workers will in no way be benefited if extra hands are
employed. It is true that the\ may have to work extra hours. Inas-
much as the workers are being paid extra moneys during the festival
days 1 do not see am necessity to direct that extra hands should
be employed by every hotel. The difficulty will come in now
because of the eight hours rule. The extra payment may be taken
in the nature of overtime, It is also mentioned that not all the
hotels have a larger volume of business during the festivals. I am
informed that during the Vangnni festival there is hardly an\
increase in the hotels in TTodsonpet.

Jfsstie Yo. 6*. Whether the workers should be paid house-rent
allowance. If so, lioir much*!

11. There is no ease for the payment of house-rent allowance.
Most of the workers spend their time in the hotel, itself and a few
that have a room or house of their own are sufficiently paid to pay
a small sum of Its. 3 as house-rent which one or two workers said
they were paying.

Issue No.'l.- What Imiijih of service should be enough to make
a worker permanent.

15. It is difficult to ea} which worker is permanent and which
is not permanent as things ai^e at present. It has been elicited that
one worker left the service in a hotel and went to another where
he worked for three months and came back to the former one.
There is no regular permanent establishment with all that it con-
nates. Tt is time that it is organized in a proper manner and tha
workers are given privileges which the law has given to them sttch
a.fl "weekly holidays, privilege leave, casual leave and sick leave. All
these are now regulated by the Shop Assistants Act. The grievance
of the workers is that they are not given these facilities. The only
thing that is now being given to them is the weekly off-day. Until
the institution of f a proviclerit fund and a regular working of the
above acts, it IB tifieteflR to lay down a rule as to what length of
service shouW make a man permanent. Ordinarily one year's
service is deemed eYwttigh. In the present case it is enough to say
thftt tfvery person, who IHIB put in onfc year's service shall be Entitled
to contribute towards the provident fund and the moment he begins

'INDUSTUIAL TEIBUNALS OB ADJUDICATORS 187

to contribute to the provident fund he must be deemed to be a
permanent employee, in other words a service of one year will
entitle him to all the benefits of permanent service.

Issue No. 8. Whelher Hamachandra Ayyar, Vasudeva Xambu-
diri,, were wrong) My discharged. If so, what redress should be
given. Whether T. A'. Natesa Ayyar was reduced to lower grade
and was it unjustifiable.

16. A few people who have been removed from service apply for
reinstatement.

Ramacliandra Ayyar. He was a chmiia adupu m the Arya
Bhavan hotel on a salary of Its. 45 and was removed from service
on 15th August 1947. He got a job in Kailas Bhavan on 1st October
1947. The dismissal is clearly wrong and unjustifiable. On the
Independence JJay (15th August 1947) Jt was notified that it should
be .a holiday for all concerns. The Collector as well as the
Tahsildar notified that it should be observed as a holiday by every-
one and so says T.W. -1, Knshnamurthi , the proprietor also said
that he need not attend on the 15th August. But it appears late lu
the day the Kation officers and the Tahsildar said that the hotels
should be kept open and so what happened was that with such staff
as they could get or by employing new hands hotels were run for
half a day, i.e., in the morning, and Santana Krishna Ayyangar
also says that he gave a half holiday. Kamachandra Ayyar was
dismissed on the ground that he did riot turn up on the 15th August.
When lie went on the 16th he was told his services were not
required. No enquiry was held and therefore the dismissal was
wrong and he should have been taken back into service on the IGth
when he turned up. As T have already stated the Arya Bhavan
proprietor has not chosen to contradict the witness's statement
which is to the effect that lie was (list-harmed on the ground that he
" took part in the Independence Da}' celeb ration. " T direct that
his pay should be paid from the loth August 10 17 till the 1st October
3047 at T{s. 15 41 month by the Arya Bhavan proprietor. The
witness further says that his pay even up to 15th August has not
yet been paid. But that is a matter of contract and if it has not
been paid I hope the proprietor will pay it at least now.

17. Vasudeva Nambudri. He has not appeared and no reason
has been put forward to say that his removal was for unjustifiable
grounds. The -same should be said of T. N. Natesa Ayyar also.

18. Vadivelu was discharged by the proprietor of Krishna
Bhavan and the proprietor K. V. Viswanatha Ayyar admits that he
made no enquiry before the dismissal. The rea'son for dismissal
was that he did not turn up on Monday and Tuesday and when he
turned up on Wednesday he was told his services were not required;
This is a clear case of injustice. What is worse is that Vadivelu
was in the hotel itself even on the days on which he is said to have
been absent and the reasoti for absence from duty is that

188 UOVT..OKUJtftB ON TUB

was sick. When questioned on the subject Viswanatha Ayyar says,
" he was not so sick as not to work." What enquiry he made on
the day is not known and how he came to know that he was not so
sick as not to work is not disclosed. The discharge of Vadivelu
during the pendency of this enquiry is an illegal act.

19. P. Munuswami, who has been a cleaner for the last three
years lias been dismissed during the pendenpy of this enquiry on
the ground that the business has fallen but his juniors are still work-
ing. The proprietor of Arya Bhavan has no grounds to justify this
summary dismissal of a worker and I direct that the proprietor of
Arya Bhavan should reinstate P. Munuswami, cleaner and the
proprietor of Krishna Bhavan should reinstate Vadivelu. They
should be paid the salary which they were drawing from the date
of their discharge till the time of their reinstatement.

20. The Union brings to my notice certain matters connected
with the working conditions. The hotels must be kept clean and
tidy, especially when this is a place where the workers have got to
take rest during nights, every care should be taken to see that the
place is well ventilated and kept clean. Now that the Shop
Assistants Act has come into force the leave to which they arc
entitled must be given to them and to ensure this the officers con-
nected with the Labour Department should be instructed to ser
whether each worker is given the leave to which he is entitled.
Even sick leave is now being denied and most of the workers now
working in the hotels in Kanchipuram have put in more than two
years of service so that almost all of them will be en titled to some
kind of leave or other.

21. On weekly off-days the workers are givn meals and tiffin
in the hotel but one item of demand now put forward is that if a
worker goes out of town he must be paid in cash the value of that
meal and tiffin. T think this is an extraordinary demand. He i<*
given a dav-off and he can go about the town or take rest as he
like? and he is given the further concession of having free meal.
If, however, he goes to take his meal in his sister's house, or
brother's house, it is manifestly unfair to demand of the hotel
proprietor that the food value should be paid ro him in .".ash. The
same remarks will apply if the worker g6es to places outside
Kanchipuram.

22. Regarding the recognition of the Union like many emplovers
who have not vet seen their wav to view trade unions svmpathe-
ticallv, the hotel proprietors of "KancbinurRm also do not appear to
like trade unions activity. Ba-nthana TTrishna Avvnngar has, how-
ever, boen very friendlv to the Union at least in my presence he
AVIS so -T do not, however, see how T can compel the Hotels'
Association to recognize the Union. "Recognition of a Union does
not bv itself bring great benefits to the working classes. They will
have to consolidate themselves and put? up reasonable denriflnd< *>r
object to unreasonable actions of the hotel employers and if they

INDtrSTRFATj TRIBUNAL* OK ADJUDICATORS

have good cause they will succeed in obtaining a hearing from the
Hotel's Association. As a matter of fact a lew of the hotel's proprie-
tors themselves were workers* until not long ago. I can merely
recommend to the Hotels' Association that they will do well to
recognize the union and carry on negotiations with the union to
bring about better relations between themselves and their workers.

APPENDIX

Lint of hotels in KaiwJiipurain.

1 Raja'n Oaf

2 Arya Bhavan . .

3 Santa ia Krishna Bhavan

4 New Model Lunch Homo

5 Kailasa Bhavan
b Kamakshi C'afo *

7 Sarikar Cafe

8 Inba Cholai

9 Bombay Ananda Bhavan *

10 Raja L^k^nni Vila< .

11 Madhavnn Nair Military Hotel

12 Sarada Vilas

13 Rama's C*if. (Shaikpet)

14 Rama's Cafe

15 Gjendran Cafe

16 Victory R ataurant

17 Banu Military Hotel .

18 Mysore Cafo

19 Krishna Vilas ..

20 Krishna Vilas (Mittai Kadai)

21 Lakshmi Lunch Homo

22 Lakshmi \ ilas (Taluk Office)
2i Uftjc&pathi Lodjze

24 Thana Lakahuu Vil.is .

25 Nateaa Ayyar M-ttai Kudii . .

26 New Sankar Vilas

27 Kamakrishna Lunch Home

28 Krishna Bhavan (Theradi) . .

29 Nehru's C,ife

30 Mysore Sadauand** Bhavan

31 Padnuauabha Nair AJilitHry Hofel

32 Krishna Bhavan (Knmrnala Street)

33 Kamat'handra Lunch Home . .

34 Ananda Vilas (Railway Station)

35 Modern Cafe

36 Gannpathi Vilas

37 Kannan Cafe

38 Lakshmi Cafe

39 Mahalakshmi Lunch Home . .

40 Jyothi Coffeo Hotel * . .

41 Komala Vilas

I

All h i se hotels are in Hodgson-
put, Kfin^hipuram.

11 the-e hotels are lonated in
Raltai M, ndapam Circle,
Kam-hipuram

All these hotels are located in
Big Kaachipuram.

All these hotels are located in
Little Kanch puram.

* Denotes hotels which have been closed.

Order -No. 2705, Development, date I 20//* May 1948.

Whereas the awtrl of the ['.clustiia Tribuua 1 , Madras, in
respect of the hid stria! dispute between the workers and the
managements of Hotels in Ka lohipuram, Chin^leput Listriot,
has been received ;

Now, tUe-efore, in excerci 5e of the pow *s conferred by section
15 (2) read with section 10 (3) of the Industrial Disputes Act, 1947
(Central Act XIV of 1947), His Excellency the Governor of Madras

190 UOV'l\ ORDERS ON THE BECOMMENDATIQNS OJf

hereby dec ares that the said award shall be binding on the
managements of hotels in Kanehipurim and tho worker* employed
therein and directs that the sai i award shall come into operation
on 26th May 1948 and shall remain in operation lor period of
one j ear.

2 Thj Commissioner of Labour is lequeats.i to send j, copy o
this orde. together with a c >py of the award * the niaua e<neiit8
of h ,tels and the workers' unions j'jncorned.

(By order >: His Excellency th^ Governor)

C. P. MADHAVA MWNON,

Secretary to Government 1 .

XXX.

BEFORE THE INDUSTRIAL TRIBUNAL, MADRAS. ,
SHI M. VENKATARAMA1YA, B.A., B.L.
[Under the Industrial Disputes Act, 11)47. ]
IN THE MATTER OF AN INDTSTIUAL DISPUTE.
Between
THE TK1RUMAUAL M1LJ.B, OUD1YATTAM

and
THE WORKERS.

MK. A. T. KRISHNAMACHARI on behalf of the Manage-
ment.

Mu. P. BAI.ACHANDHA MKXON for the Workers.

Subject. 1. /)/.vw/.s i .v</f uf lli ret' workers ichvlhcr ^itsli/ied.
If eld on the evidence that their dismissal was for unauthorized
absence in two cases and for theft of bobbins in the third. Held
that the dismissals were justified.

2. Retrenchment of watchmen. Held that consequent on the
raising of the- compound wall there was no need for six watchmen.

Held retrenchment was inevitable.

3. Whether head jobber should be replaced by another. Held
that the demand by the Union is not reasonable.

4. Provident fund. Company is taking steps to institute pro-
vident fund. Hence no orders necessary.

#. Housing whether phopld be rent free. Held that eVen
under the Government of India Scheme labour should contribute
reasonable rent. Demand negatived.

6. Medical aid. Held that the medical aid now available is opt.
adequate.

, TttlUUNAU OH ADJUDICATOltS lUl

G.O. M*. No. 2706, Development, dated 26th May 1948.

[ Labour Disputes Dispute between the workers and manage-
ment of the Thirumagal Mills, Gudiyattam Becommenda-
tions of the Industrial Tribunal Orders passed.]

U BAD the following, papers :

' i.
G.O. Ms. No. 402, Development, dated 28th January 1948.

(2)

From the Industrial Tribunal, Madras , dated 19t/i April 1948.

" BKFQKE THE INDUSTRIAL TKLBUNAL, MADEAS.

PRESENT :
SKI M. VKNKATARAMAIYA, B.A., B.L.

INDUSTRIAL DISPUTE No. 3 OF 1948.

[In the matter of the industrial dispute between the management
and workers of the Thiruinagal Mills, Limited, Gudiyattam.]

AWARD.

1. The above dispute was referred to me for adjudication b>
G.O. Ms. No. 402, Development, dated the 28th January 1948.

2. Mr. A. T. Krislmamachari appeared on behalf of the manage-
ment and Mr. P. Balachandra Menon for the workers.

3. In this dispute except one ail other points are covered by the
award of the Industrial Tribunal on the conditions of labour in
Textile Mills in the Madras Presidency. Mr. P. Balachandra
Menon appeared for the workers and filed a statement and on
behalf of the management a reply has been filed and since then no
one has turned up on behalf of the workers. Mr. Krishnamachari
representing the management has been attending all the adjourn-
ments. To-day none appeared for the workers and Mr. Krishnama-
chari represents to me that the present circumstances are such that
for some months to come none connected with the union is likely
to appear, and he also states that most of the points raised do not
require a decision as the matter has become only " academic/'
I do not see any reason to keep this dispute pending for any length
of. time hereafter. The union, as I said, is not represented and the
Secretary, one TVIr. Kothandaraman, is said to have gone " under-
ground/ 1 Those connected with the union appear to be communists
who arc not to be seen in Gudiyattam or anywhere else.

4. Three persons, viz., Gangadharan, Varadammai and Parvati
werfc removed from service and the union wanted their reinstate^
ment. Gangadharan and Varadammai were dismissed for too muds
absenteeism, i.e., for unauthorized absence. Their

25

iW GOVT. OUDEKS OK THE KECOMMENJDATIONS OF

shows , tbaV they have never been regular and as lor Parvati it
is said that siie was dismissed because she stole " kaudai '
(bobbins). It is futile to say that they were dismised on unjusti*
liable grounds.

5. Three watchmen were retrenched and this is objected to.
The reason for the retrenchment was this, formerly they had not
a, compound wall around the premises of the Mill and now they
liave built a wall all round and therefore there is uo need for all
the six watchmen which they had formerly. The retrenchment was
therefore inevitable. There is no work for so many watchmen when
there is a wall to protect the premises.

6. One other demand is that the head jobber who is now holding
the place should be replaced by another man who is qualified. This
can hardly be said to be a reasonable request that a union can put
forward. The management is satisfied with the head jobber and
the head jobber is reported to be doing his work satisfactorily. Bo
this request is thoroughly unwarranted.

7. The other requests lire that a Provident l^und Scheme should
be introduced, Housing Scheme should he adopted and there should
be more medical aid given. With regard to provident fund I have
seen the papers to-day and the provident fund rules have been
approved and a letter has been written to the Commissioner of
Labour to approve of these rules with the amendments suggested
by the Commissioner ol' Labour himself. I, therefore, think that
no order need be passed on this subject. As soon as the rules are
approved by the Commissioner of Labour the Provident JPund
Scheme, will come into force.

8. Regarding Housing Scheme them are already houses provided
for some of the workers but not for all. Some of the houses are
thatofeed ones and the management wants the workers living in
them to vacate them so that they can be rebuilt. I do not know if
the management is really justified in asking them to go or not. This
is- a subject in which I am not concerned, but there are houses that
have been allotted to workers and if men who are not workers are
occupying them the management will be justified in removing the
non- workers. Another request is that the houses should be let free
of reht. Even in the Housing Scheme for labour that the (iovern-
metot of India suggested it has been laid down that the contribution
which flie labour should make towards the Housing Scheme is the
payment of reasonable rent. Therefore it is perfectly reasonable
for the management, if they build houses for the workers, to demand

rent*

9. With regard to medical aid there is a doctor who attends the
mttte twice week. That is, in my opinion, not sufficient. There
be & Sub-Assistant Surgeon who attends daily to cater to
Ttteeds ol the* sick workers, and if possible to their families.

16, There is no other point which arises in this case.

INDU8TRJAL TBIBUNALH OR ADJUDICATORS 1U3

Order No. 2706, Development, dated 26th May 19l8.

Whereas the award of the Industrial Tribunal, Madras, in
respect of the Industrial dispute between the workers and manage-
ment of the Thiruiuugal Mills, Gudiyattam, North Arcot district
has been received.

Now, therefore, in exercise of the powers conferred by section
15 (2) read with section ]9 (3) of the Industrial Disputes Act, 1947
(Central Act XIV of 1947), His Excellency the Governor of Madras
hereby declares that the said award shall be binding on the manag$-
raent of the Thirumagal Mills, Gudiyattam, and the workers
employed therein, and directs that the said award shall come into
operation on 26th May 1948 and shall remain in operation for a
period of one year.

(By order of His Excellency the Governor)

C. P. MADHAVA MENON,

Secretary /<> Govennnrnt.

XXXI

BEFORE THE INDUSTRIAL TRIBUNAL, COIMBATOBE.

SRI C. R. KRISHNA RAO.
[Under the Industrial Disputes Act, 1947.]
IN THK MATTER OK AN TNIM-BTRIAL

Between

THE MANAGEMENT OF THE THEMMALAPURAM
BUS TRANSPORT, LIMITED, !>AL(iHAT

and
THE WORKERS.

Subject. 1. Recognition of the Union. Held that the Trade
Union Amendment Act had not come into force yet and that the
management could not be compelled to recognize the Union.
Demand negatived.

-3. Whether the strike was illegal Held that under the law,
fourteen days should not be calculated from the date of receipt of
the notice by the management and as the notice would normally
have been delivered on the 7th November 1947, the Union should
not writer for any delay in the Post office or for absence of the
addressee,

194 GOVT. ORDERS ON THE RECOMMENDATIONS OF

Held further that us the strike was commenced on the same day
when the conciliation failed, it was illegal as being contrary to
'section 22 (1) (d) of the Act,

3. Reinstatement of Sukumaran. EM that as the Union had
previously agreed to drop the case of Sukumaran, it was not open
to them to raise the mutter again. Ilecommended for fresh
appointment if the worker applied again.

1 ~" 4. 'Discharge of Balakrishna Menon and Kuppusami Chetti.
Held on the evidence that their discharge was for misconduct proved
at "an 'enquiry. Hence justified.

5. -Suspension of Rayliawn Nair. Held that it was without
satisfactory enquiry and that the punishment was awarded to
please the Police officer. Ordered payment of average wages for
the period of suspension.

6. Suspension of Chockalinya Moothan. Held that the supen
sion for 15 days for applying for leave without prior notice was too
severe. Absence should have been treated as on leave on loss of
pay. Ordered payment of average wages for 14 days to the worker.

7. Suspension of Yakub. Held that the suspension was justified
as the worker refused to work overtime and claimed overtime wages
as a condition precedent.

8. Confirmation oj 38 workers. Held that these workers could
not be directed to be made permanent, that there should be no dis-
crimination between the new workers taken during the strike and
the old workers and that all workers should be employed in strict
rotation. Held that the charcoal coolies should be made permanent.

9. Conductors' duties. Held that the conductor need not do
pumping and cleaning except when there was a breakdown en
route.

10. Right of the Union to represent worker at the enquiries.
Held that as the works committees were going to be constituted the
Union need not be allowed to be present during enquiries against
the workers.

( 11. Interest on the security deposit. field that the security
deposited should be placed in the Post Office Savings Bank and
interest credited to the worker.

12. Whether the excessive fines levied by the company should
be refunded. Held that the fines imposed were excessive and all
fiues collected in excess of the Payment of Wages Act should he
, to the workers.

,

', r !3. R*st shelter en route. Held that the management should
provide a room for the workers in halting stations,

INDUSTRIAL TRIBUNALS OK ADJUDICATORS W5

14. Whether Pam and Nachimuthu and temporary workers
titiled to interim relief. Held that Paru and Nachimuthu should

be paid interim relief and the question whether temporary workers
were entitled to interim relief shoulcj be decided bv the appropriate
Tribunal.

15. 'Welfare. Held IhatUie workshops should be provided with
ventilators; drinking water "in clean pots should be provided.
R<28t shelters in workshops should be extended. Latrine should
be kept clean.

16. Free pusses to workers. Agreement between parties
confirmed.

17. Cut in batta and salary for insufficient work. Held that
salary including clearness allowance might be cut but not batta.

(NQTB. The Awd. |,oition o r thi* ro ^-rt stf ? tli.i' batta and sa'ar\ may
bot-h be cut for insufficient work.)

18. Wat/as for the strike //m'o<l. Claim negatived. Parties
should abide by the Award of the Industrial Tribunal on Motor
Transport Companies in the Province in respect of other issues.

G.O. Ms. No. 2724, Development, dated 27th May 1948

[Labour Disputes Dispute between the workers and manage-
ment of the Theminnlapuram Bus Transport, Limited, Palghat

' Recommendations of the In dust Hal Tribunal Orders
passed.]

HEAD the following papers :

(1)
G.O. Ms. No. 5492, Development, dated 27th November 1947.

(2)
From the Industrial Tribunal, Coimbatore, dated fith May 1948.

BEFORE THE INDUSTRIAL TRIBUNAL, COIMBATORE.

PRESENT :
SRI C. R. KRISHNA RAO.

INDUSTRIAL DISPUTE No. 8 OF 1947.

[In the matter of the industrial dispute between the workers and
management of the Themmalapuram Bus Transport, Limited,
r , Palghat.3 ,

"fliis dispute having come up for final enquiry on the 15th, 16th
and 17th March 1948 at Palghat in the presence of Sri A. Appfc-
ktttoi Mefioh, Sri V. V. Srinivasa Ayyangar and Sri V. V. Bama-
diirai, advocates for the management, and Sri P. Gopala Menon,

196 CiOVT, ORDERS ON THE KKOOMMENDATIONS OF

Advocate for the worker*, and having stood over for consideration till
this day, the 28th day of March 1948, the tribunal made tie

AWAKD.

1. The dispute between the workers and the management of the
I'hemmalapurani Bus Transport, Limited, Palghat, was referred
at me for decision by G.O. Ms. No. 5492, Development, dated the
27th November 1917. I sent out notices to both the parties and
they filed writen statements. The points in controversy will appear
from the issues set out below.

2. Issues. (1) Is the strike of the workers begun on 21st
November 1017 illegal, and if it is so what consequences follow
from it?

(2) Ts (he management not bound to recognize the Palghat
Motor Workers' Union for any of the reasons stated by them, and
are they entitled to impose any and what conditions as a pre-
requisite to recognition?

(3) Was Sukumaran retrenched or was he dismissed? Is he
entitled to be reinstated?

(4) Were Kuppuswami Chetti and Balakrishna Menon dis-
missed after proper enquiry and for sufficient reasons?

(5) Were Kaghavan and two other workers properly sus-
pended after due enquiry? If not what relief are they entitled to
for the period of suspension?

(6) Are the workers entitled to bonus for 1947 now or should
they wait until the accounts are made up for the year and profits
are ascertained?

<7) Are the 38 workers mentioned in demand No. 4 of the
workers to be made permanent, or should they be kept on a tem-
porary basis? Tf they are to be made permanent, what is the
Meeesflary period of service for being made permanent?

(8) When should the 8-hour day for the workers begin, when
thay turn up for work, or when they actually commence and close
work ? How should the 8-hour period be calculated ?

(9) Should drivers, conductors and check inspectors be paid
a daily batta of Es. 1-8-0?

(10) Are conductors compelled to do pumping, cleaning, greas-
ing, etc.?

(11) Are any ex parte enquiries held and should not the Union
i& help a worker, when there is an enquiry heM against

(12) Should not the workers be paid interest OB the *6c*rtfcr
affionnts paid by them?

WDUSTttlAL T1UBUNAU Oli ADJUDlcATOliR jUi?

(i'6) Were the workers fined in excess of the amounts sanc-
tioned by law, or were the amounts recovered as compensation?
What relief if an> are the workers entitled to in tins respect?

(14) Are workers, i.e., drivers and conductors to he paid double
bit it a when buses ai'e hired to marriage parties?

(15) Are there no suitable halting places 1'or drivers, conductors
and inspectors at Palghat, Cherplacherry , Perintalnianna and
Vadakkancheri ?

(16) Are the temporary workers to be paid interim relief recom-
mended by the Court of Enquiry and particularly Paru and
Nachimuthu ?

(17) Does tin- Provident fund subscription to bejjin from Ul
January 1947 if the workers pay their arrears from that date?

(18) Should the drivers, conductors and inspectors to be pro-
vided with 4 sets of uniforms? Should factory workers also be
supplied with 4 sets of uniforms?

(19) Are the workers entitled to be paid clearness allowance in
addition to salary and is Es. 25 a month a proper rate?

(20) Should the drivers and conductors have permanent lines
and the inspectors also as claimed by the workers?

(21) Should the company provide a canteen for the workers?

(22) Should the workshop be provided with fans and is the
ptovibion of drinking water at the workshop unsatisfactory?

(23) Have the workers in the workshop a restroom now or
should one be provided?

(24) Should the latrine be removed from its present position?

(25) Should the rules about concession passes be modified, if
so, how?

(26) Should batta alone be cut and not salary as well for
insufficient work?

(27) Should the workers have 15 days' casual leave in the year
Mvi*h pay and sick leave for two months on full wa<es? Should
ihe workers have in addition one month's privilege leave on full
wages? Should they bo given also leave on all public holidays 9

(28) Are the workers to be given annual increments and, if so
eit what rates?

- (20) Is the settlement brought about by tho Labour Officer,
on- 16th September 1946, a bar to the claims of th* workers
mentioned in issues 3, 9, 18, 25, 27 and 2ft?

(30) Are the workers entitled to be paid wages for the strike
period*

3. Sri Rao Bahadur M. Venkataramayya was appointed Court
ot Enquiry and then Industrial Tribunal to adjudicate oa th* #*>>
ptitos im Motor Transport Companies in the Province. His decision
will bind the Theinmalapuram Bus Transport, Limited (which will

itttt GOVT, OKDiillS ON Tills llttCOMMliNDA'ilONS Ol^

be, referred to hereafter as Theminalapurani Bus Transport) as
well. 1 understand ihe Manager , bn i'azuauimaiai, was examined
by the Tribunal at (Jalicut, though no one appears to have been
examined on behall ol the workers, .best tliere should
be any conflict m our findings, it was agreed by the parties that
the general questions which iVlr. Venkatarainayya is likely to deal
with, need not be decided by me. Accordingly issues 6, 8, 9, 14, 17,
Itf," 19, 20, 21, 27 and 28 will abide the decision of Mr. Venkafca-
ramay^a and 1 shall not deal with them vide joint statement
filed by the parties.

4. Issue 2. The question of the recognition oi' the " Palghat
Motor Workers' Union " seems to have loomed large during the
conciliation proceedings. There were 23 demands put forward by
the union and on 22 demands there was some kind oi' settlement.
But' the parties could not agree on the 23rd demand, viz., the
recognition of the union and the negotiation fell through, which
was indeed a pity. Both sides seem to have entertained exagge-
rated and altogether unfounded hopes' and fears regarding the
result ol the recognition. There was a Workers' Union called the
Themmalapurarn Bus Transport, Limited, Motor Workers' Union,
whicli was confined to workers of the Themmalapuram Bus Trans-
port, Limited. It was enlarged so as to enable workers in other
motor bus companies to join the union and consequently the name
was changed to " Palghat Motor Workers' Union." The Them-
malapuram Bus Transport obviously wanted the union to be confined
only to their own workers in other words that it, should be a com-
pany union. They wish now to impose certain other conditions.
There was no law to compel the management to recognize a trade
union. But under the amendment to the Indian Trade Unions
Act (Central Act XLV of 1947) a union can apply for recognition
under section 28-E. I understand from a communication of the
Commissioner of Labour that this amendment will come into force
only in June 1948. And in any case the machinery which can
&rant recognition, viz., the Labour Court has not been set up.
It is. therefore, quite true to say even now that there is no law
under which the Theiuinalapuram Bus Transport, Limited, can be
compelled to recognize, the Falghai Motor Workers' Union. I
find 'this issue against the workers.

5. Issue 1. The Themmalapuram Bus Transport considered
this issue so important, that they brought eminent counsel (Mr.
V. Y. Srinivasa Ayyangar) from Madras to argue this issue only.
The Union Secretary sent a notice by registered post on 6th Nov-
ember 1947 to the Manager, Themmalapuram Bus Transport,
Limited, that a strike would begin at 1 a.m. on 21st November
1947. The notice was received by the Manager at Palghat on
8th November 1947. In the ordinary course, the notice .would
have been delivered on 7th November 1947, but the Manager
could not be fotmd on the day.

INDUSTRIAL TKIBUNALS OR ADJUDICATORS 19

Mr. V. V. Srmivasa Ayyangar began by saying that Industrial
Tribunals administer the principles compendiously known as
Equity and good conscience " and a suitor in equity should do
equity before he seeks equity and Xhat he must come before the
court with clean hands and so on. He argued that inasmuch as
the notice of strike had reached the management on 8th November
1947 and the strike had commenced on 21st November 1917, ihe
union had begun the strike before the expiry of 14 days and so the
strike was illegal. 1 aske,d Mr. Srinivasa Ayvangar whether he was
contending that if the strike was illegal the workers would loose
their claim to all other reliefs. He was not prepared to go so far.

It is now conceded that tins is a public utility service and a notice
of strike should conform to the provisions of section '2*2 of the
Industrial Disputes Act. That section sa\s that a strike begun
" within 14 days of giving notice " would be illegal, (living of
notice is different from the service of notice. Mr. Srimvasa Ayyan-
gar contended that the computation of the 14 days period must be
from the date of service. But the section does not say so. No
rules had been framed in November 3947 under the Act. Kule
25 (I)) says that copies of the notice shall be furnished In registered
post to the opposite party . Thai the union has done. I do not
think there is any substance in this argument. If there is delay
in the Post office or if the addressee is absent or cannot be found,
the union must not suffer when the\ have done \\hat the law
requires them to do. The 14 days' notice is required to give the
parties sufficient time lo negotiate and if possible to avoid the
strike or lockout. Negotiations were going on till within an hour
or two of the actual commencement of the strike and agreement
had been reached on all but one point. Considering the obstinacy
displayed by both parties on this question of recognition a prolonga-
tion of the negotiation would not have yielded any better result.
T do not say that the notice given was insufficient in law but T am
pointing out that even if 24 hours more had been given the result
would not have been any different.

6. Mr. Appukutti Menon raised two other points. He said
that the conciliation proceedings were concluded only on 20th Nov-
ember 1947 and a strike commenced that night was illegal because
the condition provided in section 22 (!) (d) of the Act had not been
complied with. Mr. Gopala Menou for the workers contended that
the conditions were alternative as the use of the word ' or ' clearly
showed and that only one condition need be satisfied, and the
workers had complied with the condition mentioned in section
22 (1) (6). Under section 22 (1) of the Act any strike in a public
utility service whieh offends against any one of the four provisions
mentioned in it is prohibited. In other words the strike if it is to
be legal must satisfy all the four conditions. Otherwise a very
curious result will follow. If Mr. Gopala Menon's contention <s
accepted, when the workers give a notice on 1st April 1948 that they

200 (JOM. OUDliKS OiN Tlli; JlliOUJdMiiNDA'J'iUflS 01''

will strike on Urd April iVJltt and they actually striKe on 4tn Apin
JL^4b it vvouici oe legal, because section w () {cj vvuuiu iiave ueen
complied \vjtii. Alia uns ciettn^ is not me ict>\. ivir. ^ppuKUtti
ivienon is ngnt. because tne stride was oegun on tne day the
conciliation was closed 011 tfist JNoveuiber -U/4Y vnot concluded
witnin cue meaning ol section ^0 ol tne Act; it must be held to be
illegal.

The other pumt raised is that the striKe notice was signed only
by tne becreiary 01 tne Union ana not by me representatives ol
tne worKers. 'Hie Mauras Industrial Uisputes ituies nad not been
puonsned and tne union cannot be expected to comply witii rule 2o
oeiore its euactinenc. Tnere is notiung jn tins oojection. 1 und
tne strnxe was illegal. Tne consequences tnat now Iroin it will be
considered in tne appropriate places.

7. Issue 3. JSn fcukuniaran is the Secretary ol the Union. He
says lie wna dismissed in April lydb. .but me iliemniaiapurain
>us 'iransport say mat lie was reuencnea as some buses weie
soid 10 anu tner company, ine worker renes 011 JUixaioit l^ 1 , m
wnicn ens name is not mentioned amongst tne reirencned. le also
conteiius tnat lie was not tne jumormost. Admittedly ins brotner-
m-iaw was tne junioi'inost ana ne liay been reramed. i do not
tlmiK it was a case ol dismissal, but tne matter is really not impor-
tant because in a subsequent proceeding it was agreed that tne
union snould not press lor tlie reinstatement oi buKUinarari vide
.&xnibit M. The question cannot be raised again, i hnd that
bri bulvumaraii is not entitled to be reinstated, .but as lie is an
intelligent young man, without any Diennsh on his character, I
would recommend to the management that they consider lavourabty
his application ior appointment il he should make one atresh.

8. Issue 4. Balakriishna Menon has been examined as P.W. 2.
He says that he issued a luggage ticket ior its. 5-^b-O though there
was no luggage but only passengers. The exact number ol passen-
gers and their destinations are not known. Balakrishna Menon
says he had no passenger tickets, so he issued one luggage ticket
tor all the passenger tares he collected. He was not really on duty
on the bus according to him. in the enquiry held, he and the
conductor of the bus and the checking inspector were all dismissed.
When the driver and conductor arid checking inspector combine
it is so easy to defraud the Company. A deterrent sentence is
necessary to prevent such frauds. Balakrishna Menon had been
punished before. 1 do not believe his story about the luggage
ticket. 1 think his dismissal was right.

Kuppuswaini Chetty was dismissed for altering a luggage ticket.
He had shown Es. 3 and he changed it into 3 annas. He says the
bundle for which the charge was made consisted of 10 coconuts
and so the charge of "Rs. 3 would be excessive and could not have
been collected. According to the rules of the company, the amounts
collected for luggage have to be added and noted on the back of the

INDUSTRIAL TRIBUNALS OB ADJUDICATORS 201

ticket. What the conductor has done is to deduct Ks. 3. But
he failed to add 3 annas which he says he actually collected. He
has not a clean sheet. He was suspended in 1945 and fined two
or three times. I am not satisfied that his dismissal was improper.
1 find this issue against the workers.

9. Issue 5. llaghavan Niur was suspended, it is said, because
he \\as rude to a policeman. lie was asked to take a bicycle of the
constable on Ins bus, which he refused. TV Police Inspector is
said to have complained to the Manager who thereupon suspended
Eaghavan Nair. There was no satisfactory enquiry and I think
the punishment was awarded to please the Police Inspector. The
suspension was improper and the worker must be paid his wages for
the period of suspension calculated on the average for the previous
month

Chokkalinga Moothan, a driver was suspended for 15 days
bee i use he is alleged to have refused to go on a different route
and applied for leave on account of his child's birthday. Under the
rules he should have applied earlier for the leave. Leave on loss
of pay would have been a sufficient punishment. The suspension
for 15 days is too severe, when it has not been proved that the
excuse given, the child's birthday, is not true. His suspension
is set aside and he must have his wages for 14 days calculated on
the average for the previous month.

Mahomed Yakub was a fitter at Cherplacherry. His complaint
is that he was suspended for 7 days when he asked for overtime
wages. But the company says that he refused to do work. He
might have done the work and then claimed overtime and not make
it a condition precedent to doing work. His refusal to do work was
improper and the punishment is not oxrpssive T uphold Ihe
suspension.

10. Issue 7. A large number of workers especially drivers and
conductors are engaged on what may be called a day to day basis.
They are employed and paid when there is work and not when
there is no work. They are expected, according to the union, to be
present throughout the day and often times they are not employed.
The Company say that the workers have been engaged on specific
terms and they cannot all be made permanent merely because they
have put in some length of service. They have all given security
of Es. 100 each. A number of drivers and conductors were brought
to take the place of those who struck. And Borne of them have
been confirmed even though they have not given security. Sir
H. V. Divatia observed in regard to the Bombay Electric Supply
and Tramway Company, that " they cannot be compelled to make
every temporary employee permanent after three months service. It
is well .known that the company has to increase or decrease the
number of workers from time to time Rpoordin*? to exigencies of
work." Labour Gazette, Volume XXVII, page 498. It cannot be
that all the 38 workers require to be retained on a temporary basis,

GOYT. ORDERS ON THE RECOMMENDATION 8 OF

TJae newcomers, the strike breakers, have been made permanent.
This i indeed a hardship. But can this Tribunal now afford, them
auy relief? Even if it was a question of remstatment, the 38
workers if they had lost their jobs on account of the strike could not
ask to be reinstated for the Company was not guilty of any unfair
labour practice. " An employer against whom a strike has been
called, not as a consequence of his unfair labour practice but solely
for the purpose, of enforcing a demand by a show of strength, lias
the right to employ others to take the place of the strikers, and to
promise tmch newly employed persons continued employment even
ifter cessation or termination of the strike, and hence he is under no
duty to reinstate the strikers upon termination of the strike, to
take the places of those hired during the strike to take the place
of the strikers." Bombay Labour Gazette, Volume XXVII, page
209. The refusal to recognize the Union is not an unfair labour
practice. The Manager and his Assistant are said to have dis-
suaded workers from joining or continuing in the Union, but this
was not the cause for the strike and T have held on other grounds
that the strike was illegal. I cannot direct the Company to put
the 38 workers on a permanent footing at once. But they will be
serving their own interest if they confirm as many of these tempo-
rary workers as they can and remove a cause for discontent-. The
discrimination between the strike breakers and the strikers should
disappear as quicklv as -possible if the work is to proceed smoothly
and well. T hope the Company realizes this. Probablv Mr. Ven-
kataramavva's Award mav dispose of this question too. There
snonld certainly be no discrimination in the employment of tem-
porary workers. All should be employed in strict rotation

As regards the female coolies in the charcoal department, there
is no difficulty. All of them have put in years of service and they
must be made permanent with effect from 1st December 1947.

11. Tenth issue. Conductors need not do pumping, cleaning,
<etc. f at regular sub-stations and Branch offices but they must attend
to this work, if there is a breakdown en route.

12. Eleventh issue. As a Works Committee is to be constitu-
ted in this establishment, there is no need for the Union to help a
worker when there is an enquiry held against him.

13. Twelfth isme. The security is taken on the understanding
that no interest will be paid. T direct that the security amounts be
deposited in the Post. Office Savings Banks and the interest naid by
the Post Office should be credited to the worker. The Manager
mtifit give a receipt to the worker for the amount deposited.

14. Thirteenth issue. Admit tedlv the fines imposed were in
excess of what the law allows. The Management say they deducted
the amount*) not as fines, but. as compensation for loss sustained .
One conductor did not issue 24 tickets and he was fined Ks. 80,

INDUSTRIAL TRIBUNALS OB ADJUDICATORS 20ii

Another worker misused 7 tickets and he was fined Es. 25. Another
was fined Be. 40 for not issuing 5 tickets and rubbing out and
altering other tickets. These are arbitrary fines and not recoupment
ol loses sustained by the Company. It is not stated that the actual
loss sustained in each case is represented by the fine. The Company
may have given other punishment, but if the workers had to be fined,
it must be as provided by the Payment of Wages Act. All the
amounts collected m excess of what the Act allows should be
refunded to the workers concerned.

15. Fifteen tli issue. I inspected two stations, Vadakancheri
and Mankappara. There is plenty of room in Vadakancheri and
one room has now been set ajKiH for the use of drivers and conduc-
tors. In Mankappara there is no room but only a garage. Only
one bus stops here for the night and that too in the dry months.
The Management must provide a room here for the driver and
conductor and also in other halting stations.

16. Sixteenth issue. As regards Paru and Nachimuthu, the
Compam agreed to grant interim relief. As regards the other
temporary workers it is for the Tribunal that granted the interim
relief to decide whether they should get, it or not.

17. T trenty -second issue, I inspected the workshop. In my
opinion fans will he no good hut ventilators should he opened and
more light and air made accessible as pointed out by me to the
parties. The Management must get this work done within three
months. Good drinking water must be kept in mud pots in easih
accessible places and tumblers also must be provided.

18. T ir.enty -third issue. There is a rest shelter, but it requires
to be extended as I suggested at the time of inspection. The
Company will extend it within three months.

19. Twenty-fourth issue. The latrine is used by the passengers.
but it is sufficiently removed from the workshop and it is not a
nuisance. It must be kept properly cleaned.

20. Twenty-fifth issue. By the settlement Exhibit M it was
agreed that the worker should have free passes when going on leave
and at half rates on other occasions. The Company says that the
tickets are wanted on the date before going on leave and the date
after when returning from leave. If this is found to interfere
with the passenger traffic, the concession may be limited to twenty
workers in order of priority and urgency. In other respects the
settlement will be adhered to,

21. Tiventy-fiirth issue. This relates to the cut of salary
batta for insufficient checking work done by Inspectors. The old
practice was to cut the sfilarv onlv. But now l)oth are cut and the
workers contend that the old 'practice must- be restored. T agree
that a cut of one day's salary would be a sufficient penalty and that

204 GOVT. ORDERS ON THE RECOMMENDATIONS OF

batta should not be cut. 1 the salary is fixed on a monthly basis,
then the cut will be a day's proportionate salary. Dearness allow-
ance will be regarded for this purpose as part of the salary and may
be cut.

22. Twenty -ninth issue. Yes as regards issue 3. But as regards
issue 25, changed conditions may require modification and I have
made the necessary modification.

23. Thirtieth issue. No.

24. In the result 1 make an Award as follows :

(1) The strike begun by the workers on 21st November 1947
is declared illegal.

(2) The T.B.T., "Ltd., is not bound to recognize the Palghat
Motor Workers Union at present.

(3) Sri Sukumaran is not entitled to be reinstated. But if he
applies for appointment afresh, the company would do well to
consider his application favourably and give him a clerk's post.

(4) Kuppuswaim Chetti and Balakrishna Menon were pro-
perl} dismissed and are not entitled to be reinstated.

(5) The suspension of Jftaghavan and Chokkalinga Moothan
was improper. They must be paid their earnings, calculated on
their average earnings for the previous month for 25 days and 14
clays respectively. The suspension of Mahomed Yakub is upheld.

(6) The Company must put on a permanent footing as from
1st December 1947, the female workers in the charcoal department
who have put in four years of service and more.

As regards temporary drivers, conductors, etc., the Company
cannot be compelled to make them permanent at once. But they
will do well to absorb as many of them as they can in the permanent
service and remove a cause of discontent. Work should be allot-
ted to them in strict rotation.

(7) The conductors need not do pumping and cleaning except
between halting stations.

(8) The Company should issue receipts for the amounts depo-
sited as security and these amounts should be kept in the Post
Office Savings Bank and the interest paid by the Post Office should
be credited to the workers.

(9) The fines levied from the workers in excess of what is
permitted by the Payment of Wages Act should be refunded within
a fortnight after the publication of the Award. The workers
concerned are conductors Krishnan Nair, Madhavan Nair, Siva-
sankaran, Sandara Mannadiar, Kannan Kutti, Ezhnthasflin find
Balakrishnan , drivers Baghavan and Kareem and Stand Manager.
Swanty,

IKDUSTKIAL TRIBUNALS OB ADJUDICATOBS

(10) Paru an'd Nachimuthu must be paid interim relief granted
by the Court of Enquiry. As regards the others, relief must be
sought from the appropriate Tribunal.

(11) Drinking- water in clean mud pots must be provided. No
fans are necessary in the workshop but ventilators must be provided.

(12) The rest shelter in the workshop must be extended and a
board put up that it is reserved for the use of the workers.

(13) The agreement reached and recorded in Exhibit M
regarding concession passes will hold good unless modified by Rao
Bahadur M. Venkatjiramayya. The issue of passes available on
Saturdays and Mondays may be restricted to twenty.

(14) Salary ina^ be cut for insufficient work.

(15) Workers are not entitled to wages for the strike period.

(16) The issues which 1 have not considered, viz., 6, 8, 9, 14,
17 to 21, 27 and 28 will abide the decision of Eao Bahadur M. Yen-
katramayya, the tribunal appointed to adjudicate on the disputes
between the workers and the managements of Motor Transport
Companies in the Province.

Order No. 2724, Development, dated 27tfc May 1948.

Whereas the Award of the Industrial Tribunal, Coimbatore, in
respect of the industrial dispute between the workers and the
management of the Themmalapurarn Bus Transport, Limited,
Palghat, has been received ;

Now, therefore, in exercise of the powers conferred by section
15 (2) read with section L9 (3) of the Industrial Disputes Act, 1947
(Central Act XIV of 1947) His Excellency the Governor of Madras
hereby declares the said Award shall be binding on the Management
of the Themmalapuram Bus Transport, Limited, Palghat, and
the workers employed therein and directs that the said award shall
come into operation on the 27th May 1948, and shall remain in
operation for a period of one year.

(By order of His Excellency the Governor)

C. P. MADHAVA MBNON,
Assistant Secretary to Government..

$J06 GOVT. ORDERS ON THE RECOMMENDATIONS OF

XXXII

BEFOULS THE INDUSTRIAL TRIBUNAL OF MADUEA.

Sm RAO BAHADUR T. A. SUBB1AH PILLAI, "B.A., B.L.

[Under the Industrial Disputes Act, 1947.]

IN THE MATTE K OF AN INDUSTRIAL DISPUTE.

Between '

THE SOUTH INDIAN LEATHER COMPANY, LIMITED,
MADRAS

and

THE WORKERS.
Represented by M. Nithiyananthaii and V. A. Nagamuthu.

INTERIM AWARD.

Nubjecl. II hether the termination of service of Nagamutlin
?/.<? proper and whether he should be reinstated. Held that the
worker continued in service after the misconduct alleged by the
management, that his services were terminated for want of work
and as worker was offered one month's salary in lieu of notice, the
worker eon Id have no grievance.

field tho rljiim foi reinstatement is unsustainable.
Award m terms of the, joint statement on other matters.

G.O. Ms. No. 2831* Development, dated 29th May 1948.

[Labour Disputes Dispute between the workers arid management
of the South Indian Leather Company, Limited, Madras
Interim recommendations of the Industrial Tribunal Orders
paused. J
READ the following papers :

(1)
G-.Q. Ms. No. 6028. Development, dated 23rd December 1947.

(2)
From the Industrial Tribunal of Madura, dated 19th March 1948.

BEFORE THK INDUSTRIAL TBIBUNAL OF MADUEA.

PRBSENT :
SRI EAO BAHADUR T. A. SUBBIAH PILLAI, B.A., B.L.

INDUSTRAL DISPUTE No. 1 OF 1948.
Between

The South Indian Leather .Company, Limited.

and

The labourers of the SILCO, represented by M. Nithiyanan-
than and V. A. Nagamuthu.

AWAKD.

1. An application was presented by the abovesaid company
(SILCO) on the, 13th February 1948 while T was camping at
Madras and holding an enquiry regarding the disputes between
the tannery workers and tanners in the Province.

TiUBUNAi.S UK AJUJUDiCArOKS far

. A. -it is stated m the application mat tuere are some disputes
ctireau> existing turn iiicti ouiier m*puteB uetween tne company and
men workers ctre nKeiy to ause. LI. mention** senatum tne various
Ueinanab made tty tne worker*; aiid it is coii tended that the
demands are exorbitant and unworkable."

'6. JL'he application then reler& to tne conduct ol the labourer
and cne aiincuicies ex-pei tenceo* D) the company and indicates to
what extent they are piepared to meet tiie demands ot the workers,
it also fcets out the ouiiga,uont> which should be imposed upon the
workers. It is added tnat, if ihu outstanding disputes are not
settled, the company would have to close the business.

4. A reply was hied on behalf ol the workers.

o. The petition was posted ior hearing at Madras on lind March
1946. On that day, alter a good deal ol discussion, the parties
agreed to a tentative arrangement pending the linai award with
regard to the entire 1'rovince. The terms agreed upon were re-
iluced to writing and ti joint statement was ihed be Tore me on iLuU
day.

b. Under clause 8 of the joint statement, the matter of tht
reinstatement ol the three workers Nagamuthu, Appadurai and
Nithiyananthan is left ior tne decision by I ho Tribunal. The com-
pany agreed to take all the other workers except Snnivasan.

7. Srinivasan did no appear during the proceedings before me.
His case need not, therefore, be considered. Appadurai and Nithi-
\anandan ^ave an undertaking to behave hrlter and the i-ompiMV
agreed to take them back for service.

8. The only question to be decided, therefore, is with regard to
the worker Nagamuthu. He js one ol 1 the secretaries of the South
Indian Leather Company Workers' Union.

9. The issue w: Whether the services of Nagamuthu were
terminated on proper and siilrieient grounds and if not, whether
he should be reinstated.

10. Nagamuthu examined himself ns a witness in support of
His case. On the side of the employer, two witnesses were exa-
mined (the manager and the assistant manager). The witnesses,
oxamined on behalf of the company, staled thai Nagamutlm was
responsible for two lightning strikes in January and was given
warnings. According to them, one da> he and Hrinivasan removed
gourd (suraikkai) from the plant raised m the company's premises,
without the knowledge and consent of the manager or his assistant,
that, when the manager questioned Hrinivasan, Nagamuthu inter-
vened and threw the gourd in'fronl of the manager in a disrespect-
ful and contemptuous manner and exclaimed that he might take
action against him also and send for the police and that he was not
afraid' of the consequences. The incident is practically admitted by
Nagamuthu. The manager stated that Nagamuthu, who had
behaved in such a defiant and insulting manner, should not be

27

208 GOVT. UBDBRS ON THE RECOMMENDATIONS 0*

directed to be reinstated. But il was admitted by the assistant
manager that iNagainuthu continued in service tor one month after
this incident and atter a warning had been given. JSagamuthu also
did not deny that he continued in service during that period. His
version is tliat the assistant manager told him, when he appeared
before him one morning and asked for work to be allotted to him,
that there was no work which could be given to him and that his
services were not required and the company would be prepared to
give a month's salary for terminating his services. But he did
not accept the oiler of 30 days' salary in lieu of notice of termi-
nation of service. It IK, thus, clear tlmt Nagaimithu was not dis-
missed from service for the misconduct with regard to the gourd
incident and that his services were only terminated for want of
work. If he had been dismissed, 1 should certainly go into the
question whether the order of diinissal was proper and valid. There
is, therefore, no point in urging that no charges were framed, no
explanation called for and no enquiry held.

11. As it is admitted that .Naganiuthu was ottered a month's
salary when his services were abruptly terminated, i.e., without
due notice, he could have no legal grievance. His claim for
reinstatement is unsustainable. The issue is found accordingly.

12. The company is not bound to re-eniploy Nagainuthu. If he
makes a written ofter to the company to receive a month's salary,
the compaii} shall remit the amount to him by money order after
deducting money order commission.

13. There will be an interim award in terms of the joint state-
ment with the omission of clause No. b, i.e., to say as set out
below :

(i) If the factory should be kept open for more than 8 hours,
overtime allowance at two times the usual basic wage shall be
paid.

(ii) Annaininal and Jxaniala, shall be taken as daily rated.
Thayammal and L'asamal shall be taken on monthly basis.

(iii) Instead of rubber gloves, rubber shins and aprons suit-
able chrome leather material shall be provided to the workers for
whom they are essential.

(iv) The workers' union shall be recognized.

(v) If the management should send away workers on the
ground of no work, then, the workers shall be paid a starvation
allowance of 12 annas (in lieu of clearness allowance and wages)
per day.

(vi) The recommendations in Dr. B. Y. Narayanaswamy
Nayudu's report as adopted by the Government, shall be given effect
to forthwith regarding wages and dearness allowance.

(vii) Tf there is no work for a month, the labourers should be
given fifteen davs notice or wages in lion of notice and their
servic.es terminated.

INDUSTRIAL TRIBUNALS OR ADJUDICATORS 20'J

(viii) If there is any difficulty in working out these interim
arrangements, either party shall be at liberty to move the tribunal
by a petition for decisjon on the point of dispute.

14. Nagamuthu is not entitled to reinstatement.

15. This interim award shall take effect from 2nd March 1948,
i.e., from ihc day on which the joint statement was filed before me
and recorded. This award shall be in force till the final award is
accepted by the Government and published in the official gazette.

Order No. 2861, Development, dated Mth May 1048.

In G.O. Ms. No. 6028, Development, dated 23rd December
J947, the Government directed that the disputes between the wor-
kers and managements of the tanneries in the Province be referred
for adjudicaion to an industrial tribunal consisting of Sri Rao Baha-
dur T. A. Subbiah Pillai, retired District and Sessions Judge.
Now the Industrial Tribunal has reported that when the dispute
between the workers and management of the South Indian Leather
Company, Limited, Madras, was taken up for hearing, the parties
thereto filed a joint statement agreeing to a tentative arrangement
pending the final award in respect of the entire Province and
therefore it has passed an interim award in terms of the said joint
statement. The Government accept the award and make the
following order :

ORDBB.

Whereas the interim award of the Industrial Tribunal (Sri Rao
Bahadur T. A. Subbiah Pillai, retired District and Sessions Judge)
constituted under G.O. Ms. No. 6028, Development, dated 23rd
December 1917, to adjudicate in the industrial disputes existing
between the workers and managements of tanneries in the Pro-
vince in respect of the South Indian Leather Company, Limited,
Madras, has been received;

Now, therefore, in exercise of the powers conferred by section
15 (2) read with section 19 (3) of the Industrial Disputes Act, 1947
(Central Act XIV of 1947, His Excellency the Governor of Madras
hereby declares that the said interim award shall be binding on the
management of the SoutW Indian Leather Company, Limited,
Madras, and the workers employed therein and directs that the said
award shall come into operation on the 29th May 1948 and shall
remain in force for a period of one year or till the final award in
respect of the disputes between the workers and managements of
the tanneries in the Province is accepted by the Government which-
ever is earlier.

2. The Commissioner of Labour is requested to send copies of
this order to the management and workers concerned.
(By order of His Excellency the Governor)

W. R. S. SATHIANATHAN,
Secretary to Government,

210 GOVT. ORDERS ON THE RECOMMENDATIONS OF

XXXIII

BEFORE THIS INDUSTRIAL TRIBUNAL FOR KNGINKKR-
ING FIRMS AND TYPE FOUNDRIES, MADRAS.

SRI T. D. RAMAYYA PANTIU^, M.A., U.L.,

[Under the Industrial .Disputes Act, 1947.]

IN THK MATTKR OF AN INDUSTRIAL DISPITJ'K.

Between

THE NATARAJA ENGINEERING WORKS, MADRAS

and
THE WORKERS.

MR. 0. KAMAKHIKHNA AYYAK, advocate and MB. J. SUBRA-

ATANTAM for the munafjcmr nt .

Mr. R. \RNKATARAMAN, Advocate and Mr. K. L'RABHU, Presi-
dent of the Union for ih<* workers.

Interim award in terms of agreement between the parties.

G.O. Ms. No. 2322, Dd.elopmtnt, dated 1st June 1948.

[Labour Disputes Dispute between the workers and manage-
ment of the Nataraja Engineering Works, Madras Interim
recommendation of the Industrial Tribunal Orders passed.]

READ the lollowing papers :

<1>
G.O. Ms. No. 1115, Development, dated 5th March 1948.

(2)

Front the Industrial Tribunal for Engineering Firms and Type
Foundries, Madras, dated Sth April 1948.

BEFORE THE INDUSTRIAL TRIBUNAL FOR ENGINEER-
ING FIRMS AND TYPE FOUNDRIES, GOVERNMENT
OF MADRAS.

SRI T. D. RAMAYYA PANTULU, M.A., B.L.,
Retired District and Sessions Judge.

f In the matter of dispute between the management of the Nataraja
Engineering Works and the workers of the Nataraja -Engi-
neering works.]

Mr. G. Ramakrishna Ayyar (advocate) and Mr. Subramanyam
for the management.

Mr- H. Venkataraman (advocate) and Mr. K. Prabhn, President,
The Nataraja Engineering Workers' Union for' the workers.

INDUSTRIAL TBIBUNALS OR ADJUDICATOBS 211

AWABD.

Out of the nineteen persons mentioned in the letter of the
management, dated 5th March 194b, to the Tribunal all are present
except Muthiai Nayudu, Doraiswainy Pillai, Gengu Naicker and
Ethirajalu Naicker. The workers express regret for what has hap-
pened and promise to behave properly in the future. Mr. Prabhu
as President of the Union 'of the Nataraja Engineering Workers
also expresses regret on behalf of the four absent men. In view of
this expression of regret, the lessee (management represented by
J. Subrhanmnyam) agrees to their coming and working in the
factory from to-morrow the 9th April 1918 as usual. The men
also agree to go nnd work from to-morrow (i.e), 9th April 1948 as
usual.

OrderNo. 19'2'2, Development, dated 1st June 1948.

In G.O. Ms. No. 1115, Development, dated 5th March 1948,
the Government directed that the disputes between the workers and
managements of Engineering Firms and Type Foundries in the Pro-
vince be referred for adjudication to an Industrial Tribunal consist-
mg of Sri T. D. Ramayya Pantulu, retired District and Sessions
Judge. Now tiie Industrial Tribunal has submitted an interim
award in respect of the dispute between the workers and manage-
ment of the Nataraja Enginering Works, Madras.

The Government accept the award and make the following
order :

ORDEK.

Whereas the interim award of the Industrial Tribunal (Sri
T. D. Ramayya Pantulu, retired District and Sessions Judue) con-
stituted under G.O. Ms. No. 1115, Development, dated 5th March
1948, to adjudicate in the industrial disputes existing between the
workers and managements of Enginereing Firms and type Foun-
dries in the Province in respect of the Nataraja Engineering Works,
Madras, has been received;

Now, therefore, m exercise of the powers conferred by section
15 (2) read with section 19 (3) of the Industrial Disputes Act, 194V
(Central Act XIV of 1947), His Fjxcellency the Governor of Mad-
ras hereby declares that the said interim award shall be binding oh
the management of the Nataraja Engineering Works, Madras, and
the workers employed therein and directs that the said award shall
come into operation on the 1st Tune 1948 and shall remain in force
for a period of one year or till the final award in respect of the
disputes between the workers and managements of the Engineering
Firms and Type Foundries in the Province is accepted by the
Government whichever is earlier.

(By order of His Fjxcellency the Governor)
' K. G. MBNON,

Secretary to Government,

212 GOVT, OBDBRS ON THE BECOMMENDATIONS OF

XXXIV

BEFORE THE INDUSTRIAL TRIBUNAL FOR ENGINEER-

ING FIRMS AND TYPE FOUNDRIES, MADRAS.

Hiu T. T). KAMAYYA PANTULU, M.A., B.L.

[Under the Industrial Disputes Act, 1947.]

IN TUK MATTKR OF AN INIMISTIUAL DISPU'UK.

Between

THE NATAKAJA ENGINEERING WORKS, MADRAS

and

THE WOKKKRft.

MR. G. RAMAKHISHNV AYYVH, advocate and MR. J. SUBRA-
MANIAM for the manage tnent.

Mr. H. YENKATAHAMAN, Advocate and Mr. K. PRABHU, Presi-
dent of the Union for I he workers.

IXTERH1 AWARD.

Subject. \. Whether the strike, dated 1-sf March 1948 and the
subsequent lock-out legal. Held that the strike during the
pendency of the investigation by the Court of enquiry is illegal.

Held that the subsequent lock-out by the management is legal.

2. Whether workers are entitled to irage* for the period of the
strike and the lock-out. Held that us the strike was illegal and the
lock-out justified, workers are not entitled to wages.

GO Ms No 2923, Development, dated 1st June 1948.

[Labour Disputes Dispute between the workers and management
of the Nataraja Engineering Works, Madras Interim recom-
mendation of the Industrial Tribunal Orders passed.]

BEAD the following -papers :

(1)
G.O. Ms. No. 1115, Development, dated 5th March 1948.

(2)
From the Industrial Tribunal for Engineering Firms and Type

Foundries, Madras, dated 28ffe April 1948.

BEFORE THE INDUSTRIAL TRIBUNAL FOR ENGI-
NEERING FIRMS AND TYPE FOUNDRIES, GOVERN-
MENT OF MADRAS.

SRI T. D. RAMAYYA PANTULD, M.A., B.L.,

Retired District and Sessions Judge.

fin the matter of dispute between the management of the Nataraja
Engineering Works and the workers of the Nataraja Engineer-
ing Works.]

Mr. G. Ramakrishna Ayyar (advocate) and Mr, J. Subrahman-
for tfce

TRIBUNALS OK ADJUDICATORS 21b

Mr. K, Venkataraman, (advocate) and Mr. K. Prabhu, Presi-
dent, T.he Nataraja Engmermg Workers' Union for the workers.

AWAKD.

Tiie points to be considered art* whether the strike of the work-
men, dated the isi March 1948 and the subsequent declaration ot
lockout by the management 'are legal.

*2. There was a Court of Enquiry investigating the disputes on
the 1st 01 March 1948 when the strike was called. The notice
issued by the workmen disclosed that the demands were covered
by the subject-matter of the court. It is however contended for
the workmen that the manager abused m vulgar language and that
it was one of the reasons for the strike. If that is so, it is surpris-
ing that no mention should have been made in the notice about
the abuse. The contention cannot be accepted. The strike was
therefore not legal.

3. As regards the lockout declared by the management, it was
done in consequence of I he illegal strike within the meaning of
section 24, clause 3 of tire Industrial Disputes Act and cannot be
deemed to be illegal. Moreover the workers rendered the lockout
wholly ineffective, by their admittedly unauthorized occupation of
the factory premises for a number of days. T hold, the lockout
was legal. The workers did not do work from the 1st of March to
the loth of March 104ft (both da}s inclusive) and will not be enti-
tled to wages for that period in any event.

t. As regards the period from the 10th of March 1948, the
workers did not work until the Oth of April 1048 when after the
apology tendered before the Tribunal, they returned to work. Tn
view of the illegality of the strike and the forcible occupation of
the factory premises for nearly 15 days, the management was justi-
fied in continuing the lockout. Tn the^e circumstances, the
workers cannot ask for wages for the period they did not work.

5. I find that the strike was illegal, that the lockout was legal
and that the workers are not entitled to wages or dearness allow-
ance for the period from the 1st of March to the 8th of April 1948
both days inclusive.

Order No. 2923, Development, dated 1st June 1948.

In O.O. Ms. No. 1115, Development, dated 5th March 1948,
the Government directed that the disputes between tbe workers
and managements of Enginering Firms and Type Foundries in the
Province be referred for adjudication to an Industrial Tribunal con-
sisting of Sri T. D. Ramayya Pantulu, retired District and Sessions
Judge. Now the Industrial Tribunal has sumitted an interim
award in respect of the diepnte between the workers and

214 GOVT. ORDEKS ON THE RECOMMENDATIONS Of

manageuient ol' the Nataraja Engineering Works, Madras. . The
Government accept tiie award and make the following order :

ORDER.

Whereas the interim award ol the industrial Tribunal (Sri
T. 1). Kamayya JPantulu, retired District and Sessions Judge)
constituted under G.O. Ms. No. 1115, Development, dated 5th
March 1948, to adjudicate in the industrial disputes existing between
the workers and managements of Engineering Firms and Type
foundries in the Province in respect of the Nataraja Engineering
Works, Madras, has been received.

Now, therefore, in exercise of the powers conferred by section
]5 (-2) read with section 19 (8) of tJie Industrial Disputes Act, 1947
(Central Act XLY of 1017), His Excellency the Governor of Mad-
nib hereby declares that the said interim award shall be binding
on (he, management of the Nataraja Engineering Works, Madras,
and the workers employed therein and directs that the said award
shall come into operation on the 1st June 1948 and shall remain
in force for a period of one year or till the final award
in respect of the disputes between the workers and managements
of the engineering firms and type foundries in the Province is
accepted by the Government whichever is earlier.

(By order of His Excellency the Governor)

TC. G. MENON,
Secretory to Government.

XXXV

BHFORU THK INDUSTRIAL TRIBUNAL FOR KNGJNKMR-
JNG FIRMS AND TYPE FOUNDRIES, MADRAS.

SRI T. D. UAMAYVA PANTULU. M.A., B.L.

[Under the Industrial Disputes Act, 1947.]

IN THK MATTKJK OF AN TNDUSTIUM, DISPUTE.

Between
THE MANAGEMENT OF MESSRS. KUTTY AND BAG,

ENGINEERS, MADRAS

and
THU WORKERS.

MK. G. S. RAO for the, management.

MESSRS. Row and REDDY Advocates for the Workers.

Sifbjeci. 1. Whether the lock-out by the management on the
8th April . 1948 justified. Held that the previous strike was

UitmJNAts OB ADJtJDicM'OltJS 2l

terminated by the agreement before the Labour Commiwioner and
the refusal of the management to allow the workers to resume the
work on the 9th was wrong.

Held that the lock-out cannot be deemed to be consequential on
the strike,

2. Wages fur the period oj lock-out. -Held that as the lock-out
was not justified, usual wages and dearness allowance should be
paid for the days specified,

G 0. Ms. No. 2924, Development, dated 1st June 1948.

[Labour Disputes Dispute between the workers and manage-
ment of Messrs. Kutty and Rao, Engineers, Madras Interim
recommendation of the Industrial Tribunal Orders passed.]

HEAD the following papers :

(1)
G.O. Ms. No. 1115, Development, dated 5th March 1948.

(2)

From ike Industrial Tribunal for Enyineeriny Firms and Type
Foundries, Madras, dated 30th April 1948.

BEFORE THE INDUSTRIAL TRIBUNAL FOR ENGI-
NEERING FIRMS AND TYPE FOUNDRIES, GOVERN-
MENT OF MADRAS.

SRI T. D. RAMAYYA PANTULU, M.A., B.L.,
Retired District and Sessions Judge.

[In the matter of the dispute between the management of Messrs.
Kutty and Rao (Engineers), Limited, Madras, and the workers
of Kutty and Rao (Engineers), Limited, Madras.]

MR. G. S. RAO for the management.

MESSRS. Row and RBDDY (Advocates) for the workers.
AWARD.

One point of disputes is whether the workers agreed with the
management to resume work on the 8th April 1948. The workers
say that there way no such understanding and that they had to
join only after 24 hours' notice was given to the workers. From
the letter addressed by the management to the Labour Commis-
sioner on the 7th April 1948, it is clear that the resumption was
agreed to be on the 8th. I am unable to accept the workers' con-
tention on the point.

2. The next matter for consideration is whether the workers

are entitled to wages for 9th, 12th, 13th and 14th of April 1948.

The management contends that the anterior strike was illegal and

that it must be deemed to be continuing, in spite of the agreement

28

GOVt, OHDfiHS oti 1'fcfc

bjrfor* &* Juftbour Gwuiuiftskmer, aiuoe the worker* did not
iiwttt the agreeuumt. iu my view the coutealiou id uuteuabie

especially because of the lock out declared by the inttiiageiuen* on
the. 6th itself, i.e.,, the very day iixed for resumption of work.
.Whatever may have beeu the attitude of the workers on the 8th f
the management should have let them work on the 9th and were
wfohg in declaring a lock out. Trip, compromise "arrived at ter-
minated tlie anterior strike and the lock out cannot be deemed to'
be consequential on the strike within the ineahing of section '24,
clause 3 of the Industrial Disputes Act.

1 hold that tlie lock out was not legal atid that the workmen
ar% entitled to tin usual wages aud dearueas allowance for the
9th, lath, 13th and 14th of April 1948.

Order No. 29^4, Development, dated 1st June 194b.

In Gr.O. Ms. No. 1115, Development, dated 5th March l$4d,
the Government directed that the disputes between the workers
and managements of Engineering , firms uiid type foundries in the
Province be referred for adjudication to an Industrial Tribunal
consisting of Sri T. D. llamayya Pantulu, retired District and
Sessions Judge. Now the Industrial Tribunal has submitted an
interim award in respect of the dispute between the workers and
management of Messrs. Kutty and itoo, Engineers, Madras. The
Government accept the award and make the following order :

OBDER.

Whereas the mieruu award of the Industrial Tribunal (Sri
T. D. lianiayya 1'autulu, retired District and beswions Judge) con-
stituted under G.O. Ms. No. 1115, Development, dated 5th March
W$$, to adjudicate in the industrial disputes existing between the
workers and managements of Engineering firms and type found-
ries in the Province in respect of Messrs. Kutty and Rao, Engi-
neers, Madras, has been received;

Now, tfarefare, in exetciae of the powers conferred by -sec-
tion 15 (2) read with section 19 (3) of the Industrial Disputes
Act, 1917 (Central Act XIV of 3947), His Excellency the Governor
dC Mftdm* h<#dby declares that the said interim award shall be
binding on tlie management of Messrs. Kutty and Eao, Engineers,
MhfrWj w*d the workers employed therein and directs that tbc
dai& award shall oonie into operation on the 1st June 1948 and
shall wmain in fore* for a period of one year or till the final award
in respect of the <tiiM!toH Iwtweeii the workers and management*
of the Engineering firms and type foundries hi the Province is
accepted by the Government whichever is earlier.

, . . . (By order of His Excellency the Governor)

K, <3K MfiNON,

<?*t*rom**l.

INDUSTRIAL TRIBUNALS OB ADJUDICATORS

XXXVI

BEFORE THE INDUSTRIAL TRIBUNAL OF MADURA,
8m RAO BAHADUR T. A. SUBBIAH PILLAI, B.A., B.L.
[Under the Industrial Disputes Act, 1947.]
IN THR MATTKR oij AN INDUSTRIE DisrrM.
Between
THE MANAGEMENTS OF HOTELS IN MADURA

and

THE WORKERS.

Subject. 1. Wages for the period of the strike. Held that
strike on 26th November 1947 was legal but its continuance on the
'27111 after the order of the Government prohibiting the strike and
lock-out was illegal.

Held that the Union was not justified in launching a strike on
26th November 1947 against the advice of the Labour Commis-
sion ef.

Claim negatived.

2. Whether there was a lock-out in Nandikeswara Vila*
Hotel. Held that when the proprietor had tolerated the late coming
of his workers on previous occasions, it was wrong to have locked
out the workers on the night they attended Union meeting. Held
there was a lock-out.

Held further that the 13 workers should be paid 14 days 1 wages.

3. Whether there was a lock-out in Manikka Valli Bhavan.
Held that the workers were guilty of misconduct and that there was
no illegal look-on t.

4. Wages,, dearness allowance and bonus. Held that claim of
the workers was extravagant. Taking into account the value f
food supplied to the workers, scales of wages for different classes
of hotels fixed

Dearness allowance at Rs. 12-8-4 for thole getting Rs, 50 and
less and Es. 10 for those getting more than Bs, 60 awarded.

Three months' bonus in three instalments awarded to all
workers.

Held further that where workers were getting more than the
minimum fixed, they should get an increment of Rs. 2 per mensem
over their existing salary with effect from 1st July 1948. All
other* should get an increment of Rs. 8 per inensem with elfcot
from 1st July 1948.

5. Wage structure and grades. Held that it wap not posdbte
to fl* rates, of .pay for several categories of workers in the absence
of data and that the managements were best fitted to judge the
drill of the workers and fix their wages according to skill.

218 GOVT, ORDERS ON THE RECOMMENDATIONS OF

0.0. Ms. No. 2940, Development, daled 1st June 1948.

[Labour Disputes Dispute between the workers and manage-
ments of hotels in Madura Recommendations of the Industrial
Tribunal Orders passed.]

BEAD the following papers :

(1) '

G.O. No. 5494, Development, dated 27th November 1947.
(r.O. No. 5495, Development, dated 27th November 1947.

(2)
. BEFORE THE INDUSTRIAL TRIBUNAL OF MADURA.

PRESENT :

SRI RAO BAHADUR T. A. SUBBIAH P1LLAI, B.A., B.L.,
Industrial Tribunal of Madura.

INDUSTRIAL DISPUTE No. 7 OF 1947.
Between

The Hotel Workers of Madura,

and
The Managements of Hotels.

[Reference. G.O. Ms. No. 5494, Development, dated
27th November 1947.]

AWARD.

Disputes arose between the workers in the hotels at Madura
and the managements thereof in October 1947. On 24th October
1947, the Secretary, Madura Hotel Thozhilalar Sangam (herein-
after called the Union) issued a notice of strike intimating that the
workers would go on strike after 14 days if, before the expiry of
that period, their demands for bonus of four months' wages, the
clearness allowance as recommended by the award of the Industrial
Tribunal for the Textile Industry, increase in basic piy and provi-
dent fund benefits are not satisfied.

2. The proprietors of the hotels in Madura have started an
association called Sitrundi Bhojana Salaikarargal Sangam (herein-
after called the Association).

3. The Labour Officer, Madura, constituted a Conciliation Com-
mittee with two representatives of the Union and two represen-
tatives of the Association and himself as President and tried to
bring about a settlement on the basis of the recommendations of the
Assistant Labour Commissioner. He recommended as regards
clearness allowance a flat rate of Bs. 12-8-0 to all the workers
drawing R$. 50 and below, a sum of Bs. 10 to those getting above

INDUSTRIAL TRIBUNALS OB ADJUDICATORS 5Ji9

Us, 50 and as regards annual bonus two months' salary in addition
to the Deepavali bonus already paid by the proprietors to the
workers.

4. The workers were prepared to accept the recommendations
of the Assistant Commissioner of Labour; but the managements of
the hotels declined to accept the recommendations. The hotel
workers thereupon went on strike on 20th November and it was
continued on 27th November also.

5. On the report of the Commissioner of Labour and the sug-
gestion of the District Magistrate of Madura that the disputes
between the Union and the Association might be referred for
adjudication by the Tribunal, the Government passed orders on the
27th November 1947, " directing adjudication and prohibiting the
continuance of the loek-out and strike which \vere in existence in
connexion with the disputes."

G. On 19th December 1947, the workers' union tiled before me a
statement of their claims and demands. The statement runs over
several pages with a number of appendices (* A ' to '!?'). In
Appendix ' C ' there is classification of the hotels into three grades
A, B arid C based on the daily turnover of business. Class A is
naid to represent "hotels with more than Rs. 200 sales a day, class
B between Rs. 100 and Rs. 200 and class C less than RB. 100. It
is stated that Rs. 30 may be fixed as the basic minimum wage for
unskilled workers in C class hotels. Appendix ' G ' to the rejoin-
der filed by the workers' union contains the wage structure pro-
jx>sed by the Union. They now press for four months' salary as
bonus.

7. As regards the strike, it is stated by the Union that the
workers waited sufficiently long hoping to come to an amicable
settlement with the Association with the help of the officers of
(he Labour Department, that, only after they found an uncompro-
mising attitude on the part of the Association, as a last resort,
went on strike on the 26th November 1947 and continued the strike
on the 27th November and that, after the notification was issued
by the Government prohibiting the strike, they called off the strike
on the 28th November.

8. Appendix ' A ' to the Union's statement, is a copy of the
strike notice. The names of 15 workers said to have been unjustly
dismissed are mentioned; and their reinstatement is prayed for.

9. The Union filed their reply statement or rejoinder on the
16th January 1948. Appendix ' M ' contains the names of 13
workers of Nandhikeswara Vilas Hotel, 90 workers of Manikka
Valli Bhavan Hotel, 1 worker of Udipi Restaurant and 10 workers
of other hotels said to have been thrown out of employ as a result
of lock-out and unjust victimization. It is prayed that these 54
workers also should be reinstated with pay for the intervening

890 GOVT. OKDBHS ON TUB BKCOMMBNDATIONfi OF

period. Even in the first statement of the workers it waa alleged
that there was an unlawful lookout in Nandhikeswam Vilas Hotel
and Mainkka Valli Bhavan Hotel.

10. The Hotel Proprietors' Association has filed a detailed
counter-statement, running over 27 pages. As regards wages, the
case of the Association is that the hotel workers are " cm($/ easwl
workers " and " and are entertained in service on definite term* "
and that therefore to fix a standard of wages for the various cate-
gories of workers would be uncalled for, that the wages proposed
by the Union are exorhitant and beyond the capacity of the industry
to bear and that the workers want to ignore or shut their eyes to
the " singular advantages eitjoyed by them such as free boarding
and lodging, which are riot provided for by the employers of any
other industry.'* For the same reason, it is stated that the
workers should not be allowed any bonus besides the Deepavali
bonus already allowed.

11. It is further maintained that the strike resorted to by the
workers was unjustifiable and those who struck work cannot claim
any salary for the two days of strike (96th and 27th November
J947).

12. The proprietors of Naiulhikeswara Vilas Hotel and Manikka
Valli Bhavan Hotel slate that they did not illegally lock-out the
respective hotels, that the workers were guilty of misconduct and
that the action taken by the managements in the circumstances
were just and proper and cannot be questioned and that the
workers cannot claim re-instatement or any salary. As regards
the other workers dismissed or sent away, the Association jugtifieR
the action taken.

13. The following are the issues settled :

(1) What is the basic pay that can be fixed for an unskilled
worker?

(1-a) Whether any scale of pay can be fixed with regard to
workers working continuously.

(2) Whether dearness allowance should be paid, and if so, at
what rate.

(3) Whether any bonus should be paid, and if so, at what
rate.

(4) Whether the dismissal of the 15 peraonR mentioned in
Appendix ' A * to the workers' statement and those mentioned in
Appendix ' M ' to their rejoinder is unjust and improper,

(5) WHether the strike by the workers on 26th and 37th
November 1947 was. legal and justified.

(&*) Whether the strikers are entitled to pay on 96th and
SKth November 1947,

(6) Whether there was anv illegal look-out by the proprietor*
of Nandhikeswara Vitas and Manikka Valli Bhavan Hotel*,

INDUSTRIAL tKtBUNAtH OR AIM UDtCATOHS

14. /u 5. This relates to tho question of the strike on 26th
and 2?th November. On the side of the union, it is stated thai
alter waiting for 32 days from the date oi the issue of the strike
notice they were forced to go on strike on account of the unreason-
able and uncompromising attitude of the Association. It is no
doubt true that an the hotel service has not been declared by the
Government to be a public utility service, the workers were noi
bound to give notice of strik iiudr section 2 of tho Act; but they
acted very discreetly in having given the notice and also ui having
waited ibr more than 32 days. Jt was only on ItHh November,
the Labour Officer at Madura constituted a conciliation committee.
The As&istaut Commissioner of Labour had also visited Madura
before that date in order to compose the differences between the
parties. On 23rd November, the Labour Officer at Madura began
to despair about the prospect of an amicable settlement; and be
reported to the Commissioner of Labour about the situation and
suggested that the Government might be addressed with a view to
refer the dispute for adjudication by the Tribunal. The Commis-
sioner of Labour, almost immediately, made the necessary recom-
mendation to the Government. On the 25th November, he sent
a. telegram to the Secretary of the Workers' Union advising them
not to strike a# he was recommending to the Government reference
to the Tribunal, On the next day after the receipt of the telegram,
the strike in question was launched. The workers would not have
lost any thing b} waiting for two or three days more to see how the
Government reacted and viewed the situation. The Labour autho-
rities and the Government could not have acted more expeditiously
in the matter. The workers' union would not allow breathing
time for the Government to issue the order directing a reference.
The workers were most ill-advised in throwing to the winds the
advice of the Commissioner of Labour and precipitating a strike
wjth lightning speed. I have no hesitation in finding that the
strike was not at all justified, , Striking work is no doubt a weapon
available to the workers and sanctioned under the law; but it
cannot be gainsaid that it can be resorted to only after all consti-
tutional means to obtain redress have been exhausted. The pru
dance evinced by the advisers of the workers in the beguinji.g
deserted them in the course of the conciliation proceedings. It is
unfortunate, that the day selected for the strike was on the eve of
the TirukarMyai day (&7tli November) when a very large number
of Hindu pilgrims would visit Madura.

Id, Section 12 (6) of the Industrial DiftpnteH Act allows 14
days' time to a Conciliation Officer (here the Labour Officer at
Madura and the President of the Ooncilmtion Committee) for wil-
mission of a report by him to the Government. He has *!*> to
submit the report through the proper channel, that is to say,
through the Commissioner of Labour. It has to be noted that the
Conciliation Ootnmitfoe was constituted only on 19th Novwibar.

Within eight days of the constitution of the Gonoiiiatkm Committee

GOVT. OltDmtS ON TUK UECOMMflNDATlOtfS Otf

and on the next day, after the receipt by the Union of tiie telegram
from the Commissioner of Labour intimating the recommendation
to the Government and advising not to strike, the strike was
launched in this case. 1 have no hesitation in finding that in the
circumstances pointed out above the strike on the 26th November
wa? unjustifiable. 1 shall show later on that the demands are
exorbitant, The workers, however, have not violated the provi-
sions of the statute with regard to the strike on the 26th November
and it cannot be hold to be illegal. The Government Order dec-
laring the prohibition of the continuance of the strike was passed
on 27th November. So the strike on 27th November is illegal.

16. Issue 5 (a). 1 have held that the strike on 2Gth November
is unjustifiable and the strike on 27th illegal. As a result of these
findings, I hold that the strikers are not entitled to their pay for
26th and 27th November 1947.

17. Issue 6. The workers complain that there was a iock-om
by the proprietor of Nandhikeswam Vilas Hotel on the 16th and
1 7th November. The proprietor maintains that there was no lock-
out and that there was only a temporary closure of the business for
valid reasons. It is stated that the closing was necessitated by the
misconduct on the part of the workers on the night of the 16th
November. Witnesses Nos. 14 and 15 called on the side of the
union depose that there was a lock-out. On the night of the 16th
November, there was a meeting of the Hotel Workers' Union.
Both the witnesses returned late at night after attending the meet-
ing and were not admitted inside by the proprietor as he had kept
the gate locked from inside. That they were not admitted into
the hotel that night is not denied by the management. The pro-
prietor was examined as a witness on his side. He is witness
No. 9. He stated that he noticed a tendency on the part of the
workers to return one by one late at night and that he found it
inconvenient to open the gate at nights for their convenience, that
the workers had been keeping their articles of clothing in the store
loom (which usually contained groceries of the value of Us. 2,000
or Rs. 3,000), that he had been taking objection to their entering
the store room, that on the night of the 16th November when they
were refused admission they created a disturbance, that they wrote
on the furniture in the hotel obscene words, that he considered it
advisable to discharge those troublesome and unruly workers anrt
therefore did not allow them to work. Witness No. 10 on the
employers' side was keeping a betel-leaf bunk in front of the hotel.
Tie spoke to the disturbance caused by the workers at dead of
night on the 16th November when they claimed entrance into the
hotel and when it was refused. He also spoke to the fact that
the workers used to enter the store room to put in and take out
their articles of clothing. When it is admitted by the proprietor
and his witness that the workers had been coming late at nights
after attending cinema shows and were allowed admission on prior
occasions, it is difficult to believe the proprietor's case that he

INDUSTRIAL TBitiUNAts ofc ADJUDICATORS *J23

shut the door against them that night for the reason that they
came lake and sought entrance. When he had tolerated late com-
ings on previous occasions, i do not see why he should have acted
in the extraordinary manner on the night of the 16th November.
It is clear that the proprietor did not like that any of his worker*
should take part in the activities of the workers' union and that
he therefore wanted to get rid of such of the workers as were
taking interest in the Union. My finding is that there was a lock-
out of 13 workers of Nandhikeswara Viias Hotel (vide Appendix
M in Union's rejoinder on the night of the 16th and ou the 17th
November 1947).

18. As regards the alleged lock-out in respect of Manikka Valh
Bhavan Hotel on the night of the 16th November 1947, ou the
workers 5 side witnesses Nos. 9 and 10 were examined. Both of
them admitted that they two and another woker on the night of the
16th November 1947 wrote on the serving tables with chalkpiece
that there was no supply of refreshments. It was also admitted
that, though there was enough stock of refreshments available for
supply to the customers who came to the hotel after attending the
cinema shows, they refused to serve them refreshments. This
conduct on the part of the workers, who acted in concert on that
night, amounts to gross misconduct and such misconduct cannot
be tolerated by the manager of the hotel, whose proprietor was a
minor. They deserve to be sent out. An accountant of the hotel
was examined as eighth witness on the side of the employers. He
stated that he brought to the notice of the police, the misconduct
of the workers in writing on the serving tables that there would
be no supply though there was a good stock available. Nineteen
of the workers turned up after the incident and received their dues
from the manager after passing vouchers. The witness stated, on
behalf of the management, that, if the other workers turned up
and demanded their arrears, they would also be paid but that they
had not yet turned up. There can, therefore, be no grievance at
all for these workers who are said to have been illegally locked out.
1 find that there wa no illegal lock-out with regard to Manicku
Valli Bhavan.

19. Issue 4. This relates to the alleged dismissal of the
workers mentioned in Appendix A and Appendix M in the sta^e-
ments filed on behalf of the workers. In Appendix A, the names
of 15 persons are mentioned and there was a prayer that they should
be reinstated. Eight of them were examined on the side of the
union as witnesses. On the 30th January 1948, the union filed a
petition that it gave up the prayer for the reinstatement of the 15
workers; but they wanted an alternative prayer to be introduced
in their pleading to the effect that 14 days' salary might be paid to
them as they had been sent away without notice. No reason is
assigned why these 15 workers should not have claimed, alterna-
tively, wages for 14 days in the original statement filed by them.
The amendment was opposed by the association. I see no valid

29

COVT. ORDERS ON THE RECOMMENDATIONS Otf

aad sufficient reason to allow the amendment prayed for. I shall,
however, consider the evidence with regard to the eight worker*
who gave evidence in this case. No. 1 refused to prepare sweets
on the 25th November on the ground that there was to he a strike
on the 26th November. He thus struck work without notice. His
dismissal must therefore stand.

20. Witness No. 2 was only an' acting man and was replaced
by the permanent man when he returned to resume duty. He
was, therefore, not dismissed.

21. Witness No. 5 admitted that he had already received wages
for 15 days.

22. Witness No. 3, a young man, aged 22 years, had the auda-
city .to sit by a lady who had coine to take refreshments in che
hotel. The proprietor condoned his misconduct as he expressed
hi regret. Afterwards, he overstayed after taking leave and turned
up after a substitute was appointed us otherwise the business could
riot be managed.

23. Witness No. 4 got the loan of a vessel on the pretext of
using it for his own purposes; but he utilized it for preparing
sweets to a stranger and receiving wages; he got from the stranger
the amount of hire and pocketed it himself after having falsely
represented that the vessel was required for his personal use. The
proprietor of the hotel in wbich he was employed was examined
as witness No. -4 on the side of the association . He swore that
the worker had been paid his arrears of salary and was discharged.

24. Workers' witness No. 6 has already received his salary and
stopped away.

25. Workers* witness No. 8 has also received his salary.

26. It is really not understandable how, in such circumstances,
an amendment of the pleading by adding the alternative prayer of
directing payment of 14 days' salary was sought for in respect of
the 15 workers mentioned in Appendix A to the union's statement.
The amendment cannot be allowed.

27. As some of the points involved in this case were not touched
upon in the course of the arguments at the time when the enquiry
was closed. 1 liud to re-open the case with notice to the ]>arties
and hear further arguments. After further arguments were heard,
the advocate for the workers' union filed a memorandum on 27th
April 1948. This memorandum relates to the 54 workers men-
tioned in Appendix M of the union's rejoinder. Just as in the
case of the 15 workers mentioned iu Appendix A of the union's
first statement, the prayer for reinstatement w*as not pressed. The
reliefs in respect of the last 11 workers mentioned at page 30 (last
portion of Appendix M) were wholly given up (vide union's advo-
cate's memorandum filed on 27th April 1946 the day when further
arguments were heard). But the prayer for the 14 days' salary

INDUSTRIAL TBIBUNAL8 OB ADmniOATOBS 225

in respect of 13 workers of Nandhikeswara Yilag Hotel and 30
workers of Manikka Valli Bhavan stands and has to be considered.
The prayer is found in the original statement. I have already
referred to the evidence given by workers' witnesses Nos. 14 and
15 who were among the Id employed in Nandhikeswara Vilae
Hotel. The remaining 11 workers have not come forward to give
evidence. But it was .stated that the statement filed by the union
was on their behalf also. As I have held that the lock-out in
Nandhikeswara Vilae was illegal, the proprietor should pay 14
days' wages to the 18 workers as and when they apply in writing
to him demanding the same.

28. As regards Manikka Valli Bhavan Hotel, I have held that
there was no illegal lock-out. None of the 13 workers alleged to
have been removed from the service of the hotel on 16th November
1947 has appeared before the Court. The witness examined on
behalf of the management, of the hotel stated that such of those
workers as had not already received the 14 days' wages, viz., 11
individuals, would be paid the same if they should come forward
with a claim for the same. In view of the generosity on the part
of the management, it is not even necessary to give a finding
whether these 30 workers were sent away on lawful grounds or
not. It is open to them to apply for payment, if they are so
minded.

29. Issues 1, 2 and 3. These issues will have to he considered
together. The questions of wages, dearness allowance and bonus
are interdependent. In the statement filed by the union, it is
prayed that Rs. 30 may be fixed as the basic wage for the lowest
paid unskilled workers in a ' C class hotel such as server or sup-
plier. It is pointed out on behalf of the workers that Mr. Ven-
kataramayya in his Award with regard to Textile Labour has fixed
Rs. 26 for an unskilled worker and it was stated by their advocate
that the work of an unskilled worker was more exacting than that
of a textile worker. 1 am unable to agree with him in this respect
It has also to be noted in this connexion that the Shop Assistants
Act has come into force on the 1st April 1948 and no worker can
be asked to work for more than eight hours a day. It cannot
therefore be said under the existing conditions a worker in a hotel
has to work from 5 a.m. in the morning to 11 p.m. at night with
brief intervals of rest.

30. On behalf of the workers it was emphasized that the worker
should be given a living wage with due regard to the high prices
of. necessary commodities and that the hotel proprietors are earning
enormous profits and have got the capacity to pay higher rates of
wages, dearness allowance and bonus. I was informed in the course
of the arguments that there were about 400 hotels in Madura City.
The proprietors of 286 hotels are members of the Hotels Proprie-
tors' Association (vide list filed). But there are only 51 hotels in
class ' A ' and 66 hotels in class ' B ' and 57 hotels in class ' C '
as mentioned in Appendix C to the union's statement. On tbo

326 GOVT. ORDERS ON THE RECOMMENDATIONS OP

materials before me, it is not possible to know under which cate-
gory each of the reinaining 112 hotels can be brought. The pro-
prietors have no doubt in their memorandum stated that the
division into the three categories A, B and C is not quite correct and
that the hotels mentioned in Appendix C have to be reclassified.
They would have rendered real help to the Court if they had Lold
the Court how the 174 hotels should be reclassified but they were
not prepared to help the Court. They did not also put in any
memorandum under what category or categories the 112 hotels
(286) (174) can be brought in. Only 58 proprietors out of 286
members of the Association filed written statements and appended
a list of the workers in the respective hotels with particulars of
service and salary. Some of them produced along with the state-
ments a statement of Profit and Loss Account. The original
account books were not placed before the Court and the Auditors'
reports, if any, were not also placed before the Court. Absolutely
no reliance can be placed on the statements filed by these hotel
proprietors in the absence of legal evidence and original accounts.
The Account Book of only one proprietor (Thiruvengadathu
Ayyangar) No. 32 ' B ' Class was placed before the Court. The son
of the proprietor was examined. He stated that his daily sales
amounted to about Us. 200 and that the pay of the workers in the
hotel was periodically revised and that there was no dispute between
the proprietor and the workers in that hotel. His evidence is of uo
consequence. In page 26 of the statement by the association, it
is stated that " Regarding capacity and the affordability each case
has to be gone into on its own merits." In paragraph 17 of the
statement, it was also stated that " there were concerns which
ended in failure and which are losing." Nobody prevented the
proprietors, who were not making profits or who were losing or
could not afford to pay any increase in salary or dear ness allowance
or bonus, from appearing before the Tribunal and giving sworn
testimony and by placing the accounts in their possession for
scrutiny by the other side and the Tribunal. On the side of the
workers, the hotel proprietors were summoned to appear before
the Court and give evidence. But they did not appear in pursuance
of the summons. I also gave the ruling that a party to a civil
proceeding has no right to summon his adversary as his witness
and cross-examine him and that if the summoned accounts are pro-
duced and inspected, the party who produced the documents can
request the Court to have them marked as exhibits on his side.
The workers were not given the opportunity to look into the
accounts of the proprietors. They were not produced at all. The
proprietors did not venture into the witness box to tell the Court
whether they can or cannot afford to pay to their workers more
than the present rates. There was no opportunity given to the
workers to cross-examine them. In such circumstances the
workers are entitled to ask the Court to presume that the proprie-
tors have got the capacity to pay increased rates and I hold
accordingly.

INDUSTRIAL TRIBUNALS OH ADJUDICATORS 227,

SI. It was argued on behalf of the workers that they must have
not only a minimum wage but also a living wage under the pre-
sent conditions of soaring prices of necessary articles of food and
clothing and high rents.

32. In Appendix E of the union's statement the budget of an
average hotel worker's family (according to their view) with all
the details is given. The substance of the statement given is
that for a family consisting of two adults and two children two
children to be considered as one unit i.e., to say, for three mem-
bers living in the village a sum of Us. 77-11-1 per mensem would
be required or Bs. 26 per head roughly. It is also mentioned in
that budget that the worker who has to live in Madura City, has
to .spend Us. 19-8-0 every month, though he has free boarding
and lodging in the hotel in which he is employed. Two items in
this table, 1 consider, are, not essential, vi/., Rs. 4 for betelnuts,
cigars, snuff and beedi and Us. 1--6-0 for entertainments.

33. If the budget framed by the union should be accepted,
the worker will have to get Rs. 78 for the maintenance of his
family in the village and Rs. 19-8-0 for his own personal expenses
in Madura, City, besides the minimum pay of Rs. 30 (I am con-
sidering the case of an unskilled worker in a * C ' class hotel) as
per the union's statement, that is to say Rs. 127-8-0. Besides
this, the union wants four months' bonus which works out to Rs. 10
per mensem and dearness allowance of at least Rs. 12-8-0 per
mensem, that is to say, the proprietor of a ' C ' class hotel should
pay TVs. 150 for an unskilled workei. I have given the above
details to show how extravagant the claim is.

34. It was strenuously argued on behalf of the proprietors
that the hotel workers are placed in a singularly advantageous
position unlike the workers in other industries, in that they are
provided free boarding and lodging, besides a bonus of a month's
salary on the occasion of the Deepavali festival. It cannot be
denied that in no other industry the workers are supplied two
principal meals, early breakfast and evening tiffin and coffee at
least four times a day.

35. In Appendix A-l of the statement of the association the
particulars for feeding a worker for a day are given : the cost of
providing them with the principal meals, light refreshments and
coffee is said to come to Rs. 3 per day. The cost of each item,
has been grossly exaggerated. It is obvious that for each item
the value is entered as recovered from a customer and the amount;
is given as Rs. 3. For the two principal meals the cost cannot
exceed 9 annas. The cost for preparing a cup of coffee will not
exceed one anna. The charges entered for the tiffin are also high ;
when meals or refreshments are prepared on a large scale the
cost would be far less than the cost of preparing the same for a
single individual. The cost of feeding one worker, afi per my
estimate, will come to Rs, 37-8-0 per mensem , that is Rs. 1-4-0
per diem.

938 GOVT. ORDERS ON THE RKOOMMBNDATIONS OP

96. Even according to the particulars given in the family budget
appended to the workers' statement Rs. 26 would be necessary for
meeting the expenses of food and clothing of a member in a village.
Town life is undoubtedly more expensive than village life.

37. It was suggested during the conciliation proceedings that
dearness allowance at a flat rate of Bs. 12-8-0 for all workers
drawing Bs. 50 and below, bomi.-? of 'three months' salary inclusive
of the Deepavali bonus might be allowed to a worker. This sug-
gest ion appeared to be agreeable to the workers but was rejected
by the proprietors. If the monthly salary of unskilled worker is
fixed at Es. 25, Es. 20 and Es. 17-8-0 I or ' A ' class, ' B ' class
and ' ' class hotels respectively and if the suggestion made
during the conciliation proceedings can be adopted, the following
will be the result :

A. B. c.

BS. A. RS A. B*. A.

Wages ............ 25 20 17 S

De.irnoss Allowance ........ 12 8 12 8 12 8

Bono* (3 months salary) ........ 64 50 46

Charges for free boarding and lodging at 37 8 37 8 37 9
Rft. 1-4-0 per diem.

Total .. 81 4 75 71 14

38. The peon under Government gets Es. 16 a8 salary, Bs. 18
as dearness allowance and B's. 3 as house-rent. In all he gets
only Bs. 37 per mensem.

39. Lower division clerks in Government service, some of
whom are graduates, get Bs. 45 as salary, dearness allowance
Bs. 22 and house-rent allowance Be. 5. In all the clerk gets
Re. 72,

40. 17 the scale above mentioned is adopted, an unskilled
worker in a ' C ' class hotel gets practically the same amount
which a lower division clerk in Government service gets.

41. In view of the circumstances above mentioned, I fix the
basic wage of an unskilled worker in ' A ' class hotels at Bs. 25,
' B ' class at Bs, 20 and ' G ' class at Bs. 17-6-0 per mensem.

42. Tf any unskilled worker in. any of the three classes of hotels
is actually getting a salary higher than that fixed by me, my
award will not have the effect of reducing it to his disadvantage.

. 43. As regards dearness allowance, I fix a flat rate of Be. -
for all grades of workers in all the three classes of hotels who get
Bs, 50 and below and for those workers who get over- Bs. 50, I
fix a ffat rate of Bs. 10 per mensem as dearness allowance,

INDUSTRIAL TRIBUNALS OR ADjltutCAlORg S&)

44. As regards bonus, all the workers in the three classes of
hotels will receive three months' salary as bonus, one month's
salary on the occasion of the Deep avail, one month's salary on the
occasion of Tluii Ponyal and one month's salary on the occasion
of the first of Chit mi (Ohaitrai Vishu). The bonus shall be paid
during the week prior to the said occasions.

45. The findings as regards issues 1, '2 and 3 are as above
stated.

46. Issue 1 (a). The wage structure as proposed by the
Workers' Union is found in Appendix ' G ' to the Union's rejoin-
der. It will be noticed that they have mentioned Ji2 categories
of workers in ' A ' class hotels, 10 in ' B ' class hotels, 7 in ' C
class hotels and 9 in boarding and lodging houses and 5 in meals
hotels and 6 in ' A ' class sweet shops and 4 in ' B ' and ' C' "
class tea-hotels and G in military meals hotels. These categories
were not mentioned in the original statement filed by the Union
and there was no opportunity for the Hotel Proprietors' Associa-
tion to file any additional pleading after the rejoinder filed by the
Workers' Union. There are absolutely no data before me to ascer-
tain whether these are all the categories of workers and whal
amount of skill is expected of each category of worker and what
will be the reasonable salary for each category of worker. In such
circumstances, I have to confess my inability to build the wage
structure for the several categories of workers. Further, J fee!
that the salary muat be fixed according to the qualifications of the
particular skilled worker. It IB a matter which would be satis-
factorily fixed only by the employer. As the salary of a particular
skilled worker should depend upon the degree of his proficiency,
it must be a matter of specific contract between him and the
employer at the time when he is taken for service. The proprie-
tors complain that the workers do not stick to one hotel and they
leave all on a sudden if a higher salary is offered in another hotel
or on festival occasion when for temporary services temptingly
high daily wages are offered and paid. It was also pointed out
on behalf of the proprietors that, if a proprietor should send away
a worker without notice, he was asked to pay 14 days' wages,
while if a worker deserted or suddenly stopped away without notice,
the law has not provided for any * hold ' for him on the worker.
(Of course a civil suit for damages would lie.) T should certainly
sympathize with the proprietor in this respect, f would, therefore,
provide a safeguard. The salary of every worker shall be paid
only on the 10th of the succeeding month. No employer shall
send away or terminate the services of any worker without serving
on him a notice in writing giving 14 dayw' time.

47. I have fixed only the minimum salary of a full-timed (by
full- timed worker, I mean a worker who is given work for 8 hours
a day and who is given free food), unskilled worker in the tforee*
classes of hotels. If the present salary of any of them exceeds trie

GOVT. ORDERS ON THE UMCOMMfiNDATlOKg O#

salary that 1 have now fixed, they will be given an increment of
Rg. 2 per mensem over their existing salary with effect from 1st
July 1948. All other workers, skilled or semi-skilled, shall have
an increment of Ks. 3 per mensem with effect from 1st July 1948.
No further increment can be claimed for one year from 1st July
1948. The revised scales of pay and rates of bonus and dearness
allowance shall take effect from .1st JJul} 1948. The revised rates
for unskilled workmen, increment for others, bonus and dearness
allowance are payable only to workers who have been in service
in the respective category from 1st January 10'17 and who con-
tinue in service till 1st July 1948.

48. The classification of the 174 hotels mentioned in the
Workers' Union's statement is accepted by the, Tribunal. Leave
IB given to the proprietors of the hotels, who were not members
of the Association during the pendency of these proceedings, to
apply, if considered necessary, to get adjudication regarding the
placing of any particular hotel in A class, B class or C class.

APPENDIX "0".

Li At of hotels mid alln'd I'xttiblixhmeals in Madura City, cla*sijit'<1
into three groups on the Ittiuis of dailif tumovrr.

CLASB " A ".

^Daily tuuiover above R. 200.)
Name of establishment and addresK.

(1) Uduppi Boarding and Lodging, West Masi Street; (2) Teppakulam
Lodge, Perumal Teppakupam Street; (3) Mani's Cafe, Town Hall lload;
(4) Ambal Cafe, Town Hall Road; (5) College House, Town Hall Road;
(6) Harrison Cafe, West Avani Moola Street; and (7) Dinakaran Lodge,
West Perurnal Maistri Street.

Restaurants.

(8) Uduppi Restaurant, West Tower Street; (9) Rama Cafe, Went
Tower Street- (10) National Restaurant, West Masi Street; (11) Towfeok
Hotel Town Hall Road; (12) New London Tea Hotel, Town Hall Road:
(13) Bhima Vilas, Town Hall Road; (14) Ceylon Tea Hotel, Town Hal!
Road; (15) Meenakshi Food Company, West Masi Street; (16) Jaya-
lakshmi. Central Bus Stand; (17) Ilenga Vilas, South Avani Moola Street;
(18) Lakshmi Lunch Home, South Masi Street; (19) Jaya Vilas, CMnna-
kadai; (20) Mysore Ananda Bhavan Periya Vilakku Thoon; (21)
Subramania Vilas, Palace Road; (22) National Cafe, Palace Road; (23)
Madras Restaurant No. 2, South Gate; (24) Mangala Vilas, Ramnati
Road; (25) Ganesa Bhavan, Ramnad Road: (26) Sarada Lunch Home,
Ramnad Road; (27) Madras Restaurant No. 3, Ramnad Lload; (26)
Mingala Vila* (B), South Masi Street; (29) Shanmukha Vilas. East Veil
Street; (30) Uduppi Hotel. East Veli Street; (31) Koya Tea Hotel, East
Veli Street; (32) Marakatha Valli, East Veli Street; (33) Indira Vila*,
Yanaikkal; (34) Pandya Bhavan, North Vaclam Pokki; (35) City Coffee
Bar. Goods Shod Street; (36) Meenakshi Vilas, Mani Nagaram; (37)
Modern Lodge, North Masi Street; (38) Royal Hotel, East Avani Moola
Street; (39) Manikka Valli Bhavan, East Avani Moola Street; (40) Radha
Central, East Avani Moola Street. (41) Nethaji Hotel, East Avani Moola
Street; (42) Shanmugha Lunch Home, East Avani Moola Street; (43)
Lakshmi Vilas, East Avani Moola Street; (44) Manikka Valli Bhavan, East
Avani Moola Street; (45) Nithyananda Bhavan, Venkal a Kadai Street;
(46) Nagalinga Bhavan, East Chitrai Street; (47) Dhana Lakshmi Bhavan,

INDUSTRIAL TRIBUNALS OB ADJUDICATORS 8i

East Ohitrai Street; (48) Muthu Vilas, West Tower Gate; (49) Muthu Vilas
(Bombay), Amman Sannidhi; and (60) Original Mittai Shop. East Avani
Moola Street.

Military Hotel.
(51) Swaminatha Pillai Meals Club, West Tower Gate.

CLASS, " B ".

(1) Jyothi Krishna, Town Hall Road; (2) Nithya Kalyani, Town Hall
Road; (3) Meenakshi Vilas, East Marret Street; (4) Jay Sitbaram Cafe,
West Masi Street; (5) Mani Bhavan, West Masi Street; (6) Anarida Natesa
Bhavan, West Masi Street; (7) Karthika Bhavan, West Masi Street; (8)
Nehru Cafe, South Masi Street; (9) Nandikeswara Vilas, South Masi Street;
(10) Lakshmi Lunch Homo, South Masi Street; (II) Mangala Vilas, South
Masi Street; (12) Mangala Vilas (Branch), South Masi Street; (13) Thermutti
Seenu lyengar Shop, South Masi Street; (11) l>evi Hindu Hotel, Main Guard
Square; (15) Kopu Jyengar Hotel, West Chitrai Street; (16) A. S. Mani
Iyer's Hotel. Mani Nagaram; (17) New Chandra Vilas, Mani Nagaram;
(18) Bala Krishna Bhavan, Pichai Pillai Lane; (19) Jayaram Cafe,
Arapalayam Cross Road; (20) City Cafe, Arapalayam Cross Road; (21)
Subramania Vilas, New Jail lload; (22) Eswara Vilas, Goods Shed Street;
(23) Goyalram Cafe. Simmakkal; (24) Karthika Bhavan (Branch), New
Street; (25) Shanmukhananda Hhavati, Now Street; (26) Karunanda Vilas,
Simmakkal; (27) Shannmkha Vilas, Yanaikkal; (28) Azhakananda Bhavan,
East Veli Street; (29) Dhannlakshmi Bhavan, Ramnad Road; (30) Bhanu
Chandra Vilas Santhapettai ; (31) Krishna Vilas, Mahal Road; (32)
Thiruvengadathiengar's Hotel, Mahal Road; (33) Ramakrislinfc, Lunch
Home, Mahal Road; (34) R.G.S.S., Mahal Road; (35) Chandra Cafe,
Manjanakara Street; (36) Meenakshi Chandra Bhavan, South Gate; (37)
Venugopal Vilas. South Gate; (38) Mahaganapathi Lunch Home, Chinna-
kadai; (39) Guha Vilas, Dindigul Road; (40) Central Lunch Home,
Dindigul Road; (41) Janardhana Vilas, Diiidigul Road; and (42) Milk
Dairy, South Masi Street.

Meals Hotels.

(43) Maiina Hotel, West Tower Street; (44) Rama Lodge, West Masi
Street; (45) Bharatha Vilas, Amman Sannadhi ; (46) Thavamani Vilas,
Vitta Vasal; (47) Modern Lodge (Branch), North Vadam Pokki; (48)
Ganesh Lodge, West Masi Street; (49> Saival Meals Hotel, East Chitrat
Street; and (50) Meenakshi Chandra Bhavan, East Chitrai Street.

Tea Hotels.

(51) Baby Victoria, Main Guard Square; (52) Jayalakshmi Vilas, Main
Guard Square; (53) Towfeek Hotel, Tahsildar Palli Vasal; (54) Rama Vilas
Tea Hotel, Munissali; (55) Krishna Vilas, Simmakkal; (56) Muslim Tea
Hotel, South Gate; (57) Muneeswara Vilas, South Gate; (58) Imperial Tea
Hotel, Central Bus Stand; (59) Mangala Vilas, Mani Nagaram; (60)
Subramania, Vilas, New Jail Road; (61) Muruga Vilas, Simmakkal; (62)
Muruga Vilas, Gouripalayam ; and (63) Radhamani Vilas, Gouripalayam.

Sweet Stalls.
uani Iyer's Wei

.,. , . hittrai Street;

Moola Street.

(64) Pichumani Iyer's West Tower Gate; (65) Nagapattinam S\vee*
Stall, West Chittrai Street; and (66) Kamakshi Sweet Stall, East Avani

CLASS "O".

(1) Ambi's Cafe, Dindigul Road; (2) Seenu Tyengar's Hotel, West
Tower Gate; (.3) Gopalakrishna Bhavan, North Masi Street; (4) Sumukha
Vilas, North Avani Moola Street; (5) Gomathi Vilas, South Masi Street;
(6) Jayalakshmi Vilas, Main Guard Square; (7) Selai Kadai, North
Chittrai Street; (8) Jayalakshmi, Mani Nagaram; (9) Maruthi Vilas, Mani
Nagaram; (10) Bala Shanmugha Vilas, Mani Nagaram; (11) Sarma's Cafe,
Arapalayam Cross Road; (12) Eswari Vilas, Arapalayam Cross Road; (13)
Padhma Jothi, Ottukadai; (14) Gokula Vilas, Pechi Amman Thurai; (1^
Coffee Nilayam, Chockappanaicken Street; (16) Narayana Vilas, South

30

283 GOVT. OttDfiRS ON THE RECOMMENDATIONS OP

Chittrai Street; (17) Gomathi Vila*, East Veli Street; (18) Ananda Bharan,
East Veli Street: (19) Subramania ViUw, East Marret Street; (20) Valli-
yoor Rama Iyer Shop, East Veli Street; (21) Uduppi Opposite to Dinamatii
Talkies; (22) Raja Rajeswari, South Gate; (23) Krishna Sarathi, South
Gate; (24) Dhana Lakshmi, South Gate; (25) Mani Vilas, South Gate; (26)
New rhappathi Stall, Main Guard Square; and (27) Cawnpnre ChnppathJ*
Stall, Main Guard Square.

Meals Hotels.

(28) Vasantha Lodge, Town Hall * Road; and <29) Brahmins Meals
Hotel, East Chittrai Street.

Tea Hotel*.

(30) Nambiar Tea Hotel, Town Hall Head; (31) Meenakshi Vilas, East
Marret Street; < .2) Sakthi Vel, Arapalayam Cross Road; (33) Maha-
lahshmi, Workshop Road; (34) Rharatha Matha Tea. Mahali Patti; (35)
Gopalakrifihna Bhavan, Tallakulam ; (36) Kasturi flhai Tea Hotel, Hiw
stand; (37) Kamakshi Military, Veiikala Kadai Street; (38) Saival Club,
Yeukala Kadai Street; (39) Kundathur Military, Gouripalayam ; (40)
Ram Ram, West Pattamar fitreet; (41) Bharathi Vilas, Anuppanadi,
<42> Rajalakshmi Viias, Anuppanadi; and (43) Meenakshi Tafe, Sellur.

NMIt.

(44) Janardhana Vilas, West Masi Street; (46) Sankaiaiyer Sweet
SSt" 1 *,^ 68 * T ? wer Street J ( 46 > Pichumani [yer's West Tower Street;
(47) feuri Iyer's, East Avani Moola Street; (4vS) Sundaraia lyei's

vr W S alj ^i S lS ct Stal1 ' East Vcli ^^t; (30) ^lani Iye.'.->, East
y*h Street; (51) Thanu Iyer's East Veli Street; (52) Venkitenwam
lybi-^. Oindigul Road; (58) Meenakshi Sundarnm, Chinnakadai: (54)
Mahadeva Iyer's, North Vadam Pokki; (55) Padnmaaba Iyer's, North
vadam Pokki; (56) Padmanahha Iyer's, Rannind Road; and (57) Shan-
mugha fiweet Stall, South Masi Street.

Order No. 21)40, Development, dated M June. J948.

Whereas the award of the Industrial Tribunal, Madura, iu
respect of the Industrial dispute between the workers and the
managements of hotels in Madura has been received ;

Now, therefore, in exercise of the powers conferred by section
15 (2) read with section 19 (3) of the Industrial Disputes Act, 1947
(Central Act XIV of 1947), His Excellency the Governor oC
Madras hereby declares that the said award shall be binding oii
the managements of the hotels in Madura, and the workers
employed therein and directs that the said award shall come into
operation on the 1st June 1948 and shall remain in operation for
a period of one year.

2. The Commissioner of Labour is mjuested to send copies of
this order and award to the managements of hotels and workers'
unions concerned.

(By order of His Excellency the Governor)

K. G. MENON,

Secretary to Government.

INDUSTRIAL TRIBUNALS OK ADJUDICATORS 233

XXXVII

BEFOKE THE INDUSTRIAL TRIBUNAL OF MADUBA.

SRI RAO BAHADUR T. A. SUBBIAH PILLAI, B.A., B.L.

[Under the Industrial Disputes Act, 1947. J

IN THK MATTEII OK .IN INDUSTRIAL DtSPUTK.

Between
THK MANAGEMENT OF TANNERIES IN DJND1GUL

and
THE WORK Kite.

Subject The number of skins constituting a unit. Held, in
the absence of any evidence, that until the final award is published
the number of skins constituting a unit shall continue to be wbat
it was in the respective factories in November 1947.

Award in term* of the agreement in respect of other matteis.

O.O Ms. No 2997, Development, dated 4th June 1848

[Labour Disputes Dispute between the workers and manage-
ments of tanneries in Dmdigul Interim recommendation of
the Industrial Tribunal Orders passed.]

READ the following papers :

(1)
G.O. M*. No. 6028, Development, dated 23rd December 1947.

(2)
From tlie Industrial Tribunal of Madura, dated l%th May 3948.

BEFORE THE INDUSTRIAL TRIBUNAL OF MADURA.

PRESENT :

SHI RAO BAHADUR T. A. SUBBIAH PILLAI, B.A., B.L.,
Industrial Tribunal, Madura.

INDUSTRIAL DISPUTE No. 9 OF 1948.
Between

The Tinmen Workers of Diridigul.

and
The Tanners of Dmdigul.

INTERIM AWARD.

In the presence of the two panchayatdars iSri I. Deivabakti
Gounder and Janab Abdul Sattar Sahib, the President of the
Labour Union and the President of the Skin Merchants Associa-
tion, Dindigul, brought about a settlement of their disputes and
reduced the settlement to writing and signed them. This settle-
ment was arrived at on 25th December 1947,

234 GOVT. OEDBBS ON THE RECOMMENDATIONS OF

2. An. authenticated copy of the terms of the settlement was
placed before me and proved to be a true copy.

3. Under clause 1 (b) of the Terms of the Agreement the two
panchayatdars have to determine the unit of work in case the
Government did not do so before 15th March 1948. The pan-
chayatdars, though they were allowed extension of time, have
communicated to me their inability to do so. T have, therefore,
to fix it tentatively on practically no satisfactory materials.

4. The number of skins constituting a unit shall, till the final
award is published by the Government, be as obtaining in each
factory in November 1947 between 1st and 15th. (It will be
noticed that under the agreement the accounts have to be settled
as from 16th November 1947.) As regards the other points in
the dispute, in pursuance of the terms of agreement, entered into
between the two presidents on 4 25th December 1947, I pass an
award as hereunder :

(1-f) The amount of 9 unnas per unit paid as wages to
workers shall be debited in the respective ledger pages.

If there be any excess credits or debits, the respective pre-
sidents should be answerable for the amounts involved.

(1-b) If a worker is present for duly throughout the month
exclusive of the weekly holidays, he shall be paid "Rs. 16 as dear-
ness allowance; for the number of days during which a worker is
absent 10 annas per diem shall be debited out of the clearness
allowance.

(2) The leaders of the Labour Union should co-operate with
the panchayatdars in their efforts to introduce a group system of
holidays for the Sunday holiday.

(3) On no account shall the workers strike without consult-
ing and obtaining the consent of the panchayatdars.

(4) The proprietors shall have power to fine, suspend ancl
dismiss workers who are guilty of misconduct ; but a right of
appeal to the panchayatdars is allowed to the workers who are
so punished.

(5) Retrenchment. It shall be the responsibility of the
na.u'ha.vutdars, in the event of retrenchment having to be effected,
to regulate the personnel for discharge in the order of seniority
in service.

(6) Tf a worker should think of quitting service or a proprie-
tor should think of dismissing a worker, 30 days notice shall be
given in the case of workers employed in tanning skins and 45
days notice in the case of workers employed in tanning hides.

(7) If proprietors or their maistris or agents are found
guilty of improper behaviour towards the workers, the panchayat-
dars shall take the necessary action against them on the reports
by the aggrieved workers,

INDUSTRIAL TRIBUNALS OK ADJUDICATORS 235

(8) Towards amounts advanced as loans to the workers the
proprietors shall deduct Rs. 5 per mensem. In cases of urgent
necessity for accommodation an advance may be given on the
letter of the President of the Labour Union.

(9) Tubmen ( <9=/rrfo workers) shall do all items of work as
per mamool. .

They shall work for 8 hours per day. With regard to the
practice of the tuhmen assisting the knife-men such assistance
may be given out of mutual goodwill with which the proprietor
has no concern and to which he shall not object. But the knife-
men shall do all the work appertaining to knife-work.

(10) No women-worker shall be employed for any item of
work inside the shop of the factory. But they can be engaged for
doing other work not- connected with the shop.

(11) That hereafter there shall be no gift to workers of
tfxsB>9,u uiL&m. or on occasions of Deepavali, Christmas, Easter,
Pongal and Ayudha Pooja.

02) A worker, who has to his credit an animal attendance
of '240 working days, shall be paid one month's salary as bonus.
A worker with an attendance of 120 days shall be given half a
month's salary as bonus. The worker whose attendance fallp
short of 120 days, shall not be eligible for any bonus.

For workers who do work by units (I think this has reference
to piece-rate workers) if they had not absented themselves for
more than 120 days in a year they shall be paid wages for 35
units and one month's salary together with one month's dearness
allowance of Rs. 16.

(13) Pearness allowance shall be paid only at the end of the
month.

(14) Wages paid as per unit shall be paid weekly.

(15) Till the Government fix the number of skins and hides
constituting a unit, every worker who turns up for duty and to
whom no work could be found by the proprietor, shall be paid
wages for one unit of work. But if there be excess units of work,
the wages paid for the unemployed days shall be adjusted towards
the excess units of work.

(16) That for turning at dewooling pits wages at the rate of
As. 1-6 per pit shall be paid, for the work in llangaram, wages
at the rate of one anna per pit shall be paid.

(17) Upon written requisition by the President of the Labour
Union, the agent of the proprietor of factories shall grant per-
mission to any office bearer of the Labour Union to have private
consultations with the representative of their union in the
particular factory.

!J3G OOYT. OHDEBS ON THE RECOMMENDATIONS OP

: (18) In the event of any difficulty arising in the interpreta-
tion of any of the clauses in the terms of the agreement, both the
presidents shall confer with each other and decide.

(19) All the above clauses shall be in force till the final award
is published by the Government. All the factory proprietors shall
settle the accounts as from 10th November 1947 in pursuance ol
their award, dated 18th December 1947.

OrderNo. 4997, Development, dated 4Ah June 1948.

Tn G.O. Ms. No. 0028, Development, dated Sffird' December
1947, the Government directed that the disputes between the
workers and managements of the tanneries in the Province be
referred for adjudication to an Industrial Tribunal consisting of
Sri Rao Bahadur T. A. Subbiah Pillai, retired District and Ses-
sions Judge. Now the Industrial Tribunal has submitted an
interim award on the basis of an agreement entered into between
the workers and managements of tanneries at Dindigul. The
Government accept the award and make the following order :

ORDER,

Whereas the interim award of the Industrial Tribunal (Sri Rao
Bahadur T. A. Subbiah Pillai, retired District and Sessions Judge)
constituted under G.O. Ms. No. 6028, Development, 'dated 23rd
December 1947, to adjudicate in the industrial disputes existing
between the workers and managements of tanneries in the Pro-
vince in respect of tanneries in Dindigul has been received;

Now, therefore, in exercise of the powers conferred by sec-
tion 15 (2) read with section 19 (3) of the Industrial Disputes Act,
1947 (Central Act XIV of 1947), His Excellency the Governor of
Madras hereby declares that the said interim award shall be
binding on the managements of the tanneries in Dindigul and the
workers employed therein and directs that the said award shall
come into operation on the 4th June 1948' and shall remain in
force for a period of one year or till the final award in rewpect of
the disputes between the workers and managements of the tan-
neries iti the Province is accepted by the Government whichever
is earlier.

2. The Commissioner of Labour is requested to send copies of
this order to the managements and workers concerned.

(By order of His Excellency the Governor)

C. P. MADHAVA MBNON,
Assistant Secretary to Government.

INDUSTRIAL TRIBUNALS OB ADJUDICATORS 28f

xxxviir

BEtfOHE THK INDUSTRIAL TRIBUNAL FOB PRINTING
PRESSES FOR THK PROVINCE OF MADRAS.

SRI P. MARKANDEYULU, M.A., B.L.
[Under the Induwtnai Disputes Act, L947.J
IN THfc MATTKK or \\ lNi)rsmi\L

Between

THK MANAGEMENT OF SALEM LAKSHMI Y1LAH
PRESS, MADRAS,

and
KANN1APPA MTDALIAK, A COMPOSITOR.

INTERIM AWARD.

Subject. Whether the termination of services of the worker
legal and justified. Held that there was no evidence that the
worker hud completed his 55th >ear.

Held that the Standing Orders framed by the Company hav
not acquired the force of Law as it has not been certified by the
Commissioner of Labour as per the Act.

Held that the Standing Orders were intended to be brought into
force only from 1st May 1948 and the service of notice of discharge
on the 15th April 1948 could not be in pursuance of the Standing
Orders.

Held that the worker should be reinstated with effect from the
16th April 1918 and paid his usual salary.

G.O. Ms. No. 2098, Development, fated 4th June 1948.

[Labour Disputes Dispute between Kanuiappu Mudaliao,',
Compositor and the management of Salem Lakshmi Vila*
Tress, Madras Interim recommendation of the Industrial
Tribunal Ordtns passed.] s

HEAD the following papers : .

. . "?.

G.O. Ms. No. GOU5, Development, dated '27 tb December, 1947,.

338 GOVT. OKDBKS ON THE KECOMMfeNDATIONS Otf

(2)

I 1 rum the Industrial Tribunal for Printing Presses j-pr the Province
of Madras, dated 14'Ji May 1948.

BEFOlili THE INDUSTRIAL TRIBUNAL J?OK PUiNTlflG
PlihSSKS FOK THK PKOV1NOE OU 1 MADItAS.

PRESENT : *

SRI P. MAJUvANLJlSYULU, M.A., B.I,.

[In the matter of the industrial dispute beUveeu Kanmappa Mud a
liar, worker and the management of Salem Lakshini Vilas
.Press, \Yallajah lioad, Mount lioad, Madras.]

INTERIM AWAlit).

The petitioner entered the service of the respondent-press as a
compositor on ( Jtii October J946 and has been discharged from
the press from 15th April 1948 with an oiler of fifteen days' wages
in lieu of notice. The reason for his discharge is that he has com-
pleted fifty-five years of age and that according to Standing Order
No. 3 of the Standing Orders (Kxhibit 11) framed by the compan}
under the Industrial Employment (Standing Orders) Act, 1946,
he is liable to be discharged on account of superannuation. The peti-
tioner contends that he has not yet completed the age of fifty-five
years and that his discharge is an act of victimization on the part
of the management as he had taken a prominent part in the
activities of the labour union and prays that he may be reinstated
in the press pending the adjudication by this Tribunal of all
other matters in controversy between the management and the
woikers. It may be stated that notices have been published b}
this Tribunal in the leading newspapers informing the workers in
and the managements of the printing presses in this Province that
they may submit their disputes to this Tribunal for adjudication
on or before the 20th May 1948.

1 am of opinion that the prayer of the petitioner, Kanniappa
Mudaliar, should be granted. In the first place there is no proof
that he has completed his fifty-fifth year. In the second place the
Standing Orders framed by the company (Exhibit II) have not
yet acquired the force of Law. They do not appear to have been
sent to the Commissioner of Labour ; and the Workers' Union has
admittedly not yet been asked to state its objections, if .any to the
proposed Standing Orders as required by the Industrial Employ-
ment (Standing Orders) Act, "HH6, and t,he rules framed under
it. It is only after the Commissioner of Labour has considered
the objections, if any, of the workers and approved of the
draft Standing Orders that they become binding on the workers
and the managements. This stage has not yet been reached.

Another irregularity is that, though it is stated in the Standing
Orders that they will come into force only on 1st May 1948, the
petitioner was served with a notice of discharge (Exhibit A) on
15th April 1948 itself.

INDUSTRIAL TRIBUNALS OB ADJtJOljCATOUS

For all these reasons 1 hold thai the discharge of the petitioner
Jxanmappa Mudaliar is illegal and allow this application, lu the
view I have taken it is unnecessary to decide whether this is a
case of victimization or not.

The Madras Press Labour Tnion has sent a communication
to the respondent-press (Kxhibit K), dated 4th January 1918, in
which a ninnher of demands aro made which wjll lm\e to be con-
sidered at the final adjudication.

1 hereby make an interim award directing that the petitioner
Kanniappa Mudaliar should br taken back into the service of
,thti Salem Lakshmi Yilas Press (respondent-press) with cffoct from
loth April 191H and that he should be naicl his usual salan and
allowances till th conclusion of the proceedings before" this
Tribunal.

Order No. -290S, Development, dated JM June 1948.

In G,O. Ms. No. (iO'35, Development, dated -27th December
1917, the Government directed that the disputes between the
workers and managements of printing presses in the Province be
referred for adjudication to an Industrial Tribunal consisting of Sri
P. Markandeyulu, retired Judge, City Civil Court, Madras. Now
the Industrial Tribunal lias submitted an interim award in respect
of the dispute between Kanniappa Mudaliar, compositor, and the
management of Kalem Ijakshmi Yilas Press. The Government
accept the award and make the following order :

OKDER.

Whereas the interim award of the Industrial Tribunal (Sri
P. Markande.Milu, retired Judge, City Civil Court, Madras) consti-
tuted under G.O. Ms. No. G035, Development, dated 27th Decem-
ber 1947, to adjudicate in the industrial disputes existing between
the workers and managements of printing presses in the Province,
in respect of the "dispute between Kanniappa Mudaliar, compo-
sitor and management of Salem Lakshmi Vilas Press, Madras, has
been received ;

Now, therefore, in exercise of the powers conferred by section
15 ("2) read with section 19 (ft) of the Industrial Disputes Act, J917
.(Central Act XIV of 1917), "His Excellency the Governor of Madras
hereby declares that the said interim award shall be binding on
the management of the Salem Ijakshmi Vilas Press and Kanniappa
Mudaliar, compositor, employed therein and directs that the said
award shall come into operation on the 4th June 1948 and shall
remain in force for a period of one year or till the final award in
respect of the disputes between the workers and managements of
printing presses in the Province is accepted by the Government
whichever is earlier.

(By order of His Excellency the Governor)

C. P. MADHAVA MENON,
Assistant Srcrrtary tn Government.

31

GOVT. ORDKHS ON THE RRCOMMfeNDATiotiR 0$

XXXIX

BEFORE THE INDUSTRIAL TRIBUNAL FOR ENGINEER-
ING FIRMS AND TYPE FOUNDRIES IN THE
PRO V INC K OF MADRAS.

SRI T. D. RAMAYYA PANT.ULU.
[Under the Industrial Disputes Act, 1947.]
IN THE MATTHK OF AN INDUSTRIAL DISIMTTH.
Between

THE MANAGEMENT OF MESSRS. KUTTY AND RAO
ENGINEERS, LIMITED, MADRAS,

and
THE WORKERS.

INTERIM AWARD.

Subject. 1. Whether Tribunal had jurisdiction to hear dispute
relating to dismissal of si,v workers. The contention that the
Tribunal had no jurisdiction as there was no specific reference of
the dispute to the Industrial Tribunal, negatived.

Held that the general reference of disputes existing and appre-
hended between the workers and managements of Engineering
firms vested jurisdiction in the Tribunal and that the dismissals
came under section 8.'5 of the- Industrial Disputes Act.

k j. Whether the dismissal of six workers justified. Held that
the dismissal of Michael could not be justified and that he should
be reinstated.

Held that the dismissal of C-ochu Krishnan and Yidyadaran
were justified as they wen* guilty of indiscipline.

Held that the dismissal of Alwar could not be justified as there
was no proof of his assaulting another worker outside the factory.
Ordered reinstatement of the worker.

Held that the conduct of Goviudasami did not merit dismiss-il.
Ordered reinstatement.

Management agreed to take back the, discharged worker Kaimi-
appa Mudaliar.

6.0. Ms. No. 2999, Development, dated 4th June 1948.

[Labour Disputes Dispute between the workers and manage-
""" raeiit of Messrs. Kutty and Kao, Engineers, Limited Madras

Interim recommendation of the Industrial Tribunal Orders

passed.]

READ the following papers

' " " (1)
G-.O. Ms. No. Ill 5, Development, dated 5th March 1948.

INDUSTBIAl-j TRIBUNALS OB ADJUDICATORS 'J41

- , (2)

Prom the Indu.strial Tribunal for Engineering Firms and Type
Foundries, dated 17th May 1948.

BFFOKE THE INDUSTRIAL TRIBUNAL FOR ENGINEER-
ING FIRMS AND TYPE FOUNDRIES IN THE PRO-
VINCE, MADRAS.

[In the matter of the dispute between the workers and the
management of Messrs. Kuttv and Rao, Engineers, Limited,
Madras.]

INTERIM AWARD.

It is necessary to refer at the outset to the preliminary point
raised for the management. It was argued that since there is no
specific reference of any dispute of Messrs. Kutty and Rao and
their workmen and since the (iovernment have not referred the
question of the validity or otherwise of the dismissal of the six
workers, the Tribunal has no jurisdiction to consider the matter of
dismissals. The short answer to this is the general and compre-
hensive character of the G.O. Ms. No. 1115, Development, dated
5th March 1948, under which the Tribunal was constituted. The
notification refers to the existing disputes between the workers and
the managements of certain engineering firms and type foundries
in the Province and also to apprehend industrial disputes in the
rest of the firms and foundries in respect of certain matters.

2. The Government have referred to the Industrial Tribunal
both existing and apprehended industrial disputes for decision.
Considering the relations between the employers and workers at
the time of the Government Order, it was perhaps deemed neces-
sary to include future apprehended disputes as well to obviate the
necessity of numerous individual references. I am of opinion that
the dismissals of the workers in question come within the scope
of section 33 of the Industrial Disputes Act. This is subject, of
course, to the exception mentioned therein, namely, dismissal for
misconduct not connected with the dispute.

3. This dispute relates to the dismissal of six workers, Michael,
Gochu Krishnan, Vidyadaran, Alwar, T. C. Govindaswami and
Kauniappa Mud.il iar of Messrs. Tvutty and Rao.

4. It is necessary to mention that there was a strike in the '
workshop of Messrs.' Kutty and Rao and an attempt was made to
end the impasse by compromise. There was a dispute as to
whether the compromise was to open the workshop on the 8th of
\pril or on the next day. The matter was settled by another
order to the effect that 'the workshop was to open op. the 8th
of April. It was also held that the lock-out declared by the
management on the 8th of April itself was not consequential upon
the anterior strike and WRB, therefore, not legal. The workers wore

242 GOVT. ORDERS ON THE RECOMMENDATIONS OP

advised to resume work subject to the result of the pending dis-
pute on the l&th of April and they did so. Then come the dis-
missals.

5. Cochu Krishnan was dismissed on the 16th April, Michael
on the 17th April, Vidyadaran on the 15th April, Alwar on the
17th April, Govindaswaini on the 17th April and Kanniappa Muda-
liar on the 27th April. These dismissals were not made with the
permission of the Tribunal. It is contended for the management
that they were made for misconduct unconnected with the pending
dispute. Michael was dismissed on the ground that he did not
obey an order given to him on the 15th March to supervise certain
work in and about (iurnmidipundi and Avadi. Another ground
alleged is that he wrote certain libellous letters to others. So far
as the latter point is concerned, there is nothing much. As regards
the disobedience of orders, it is curious that no action was taken
against him soon after the alleged disobedience. The manage-
ment waited until after the 15th April when the workers returned
to work and then the dismissal order Was made on the 17th of
April. It is in evidence that his antecedents were gool. There
was no justification for his dismissal, and 1 consider that, he
should be allowed to resume his work.

6. The allegation against Cochu Krishnan and Yidyadarau is
thai on the UJth March and the 17th March 1948, they forcibly
stopped certain carts loaded with iron and brass sheets 1 elonghig
lo constituents of the firm from going out of the, gai*-. So far
as this matter is concerned, there is reliable evidence for the
management pointing to the conduct of these two workers Besides
the evidence of the l)irector-in-charge, Mr. Jayanthi, there is
the testimony of the supervisor of Tarapore Company that his
firm's loaded carts were prevented from going out <>f the gate in
spile of his complaint to the manager who actually cane t ml stood
at the gate. Cochu Krislman denies that he obstructed the cart*
but says' that he went and told Mr. Jayanthi that t,he v.orkers
would suffer if the materials were sent out of th^ factory . It is
difficult to believe him. After all there was no justification for
the. workers to obstruct a cart of a constituent from iroing out of
the factory. The conduct of both Cochu Krishna n and Vidyadaran
cannot be defended and is opposed to all discipline. There is also
another allegation against Cochu Krishnan and V'dyadaran that
they pushed or tried to push the supervisor of the factory on the
20th March at 9 a.m. This related" to the previous strike and as
the strike was the subject matter of a dispute, the mansgement
cannot put this forward as a ground for dismissal. In my view,
however, the other grounds alleged have been established and they
justify the dismissals of these two workers, Cochu Kriahnan and

7. AP regards Alwar, he is said to have assaulted anotiyr
worker, Gopalan not in the Factory but elsewhere. Gopalan ha*
not been examined, and the assault cannot be said to have been

INDU&TBIAL TRIBUNALS OK ADJUDICATORS 243

Another worker, Khan, is said to have been beaten by
But here again there is no satisfactory proof. Another
ground for dismissal is that he wrote a letter to the father-in-law
of a worker commenting adversely ii[,on ihe management. I do
not think there is anything .serious in the letter. The dismissal
pt Alwar js not justified and 1 consider that he should be taken
back. ,

8. The management allege that Govindaswami ceased to do
his work before 4 p.m. on the 17th April 1948 and persuaded
others also 1o stop work and invited the management to dismiss
him. GovindaHwami says that on the 17th April, the factory "bell
was not struck at the usual hour though it was 4-15 p.m. and a
Saturday. He says lie went to Mr. Jayanthi and told him that the
bell was not rung though the time was up. Then, lie is said to
have been dismissed and an order was given. Mr. Jayanthi says
that the clock of the factory was not working that day and that
he relied upon the time-piece on his desk for starting and closing
the factory. Tt seems to me that the action of Govinduswami was
the result of Koine misunderstanding about time and that Ins
representation to the manager and his failure to take the per-
mission of the maisiri to see the manager do not merit his dismis-
sal. I consider that he should be taken back.

9. Another Kanniappa Mudalwr was dismissed on the ( 27th of
April. During the course of the enquiry, Mr. Juvanthi said that
he would take him back. He was directed to join work on the
7th of May producing a medical certificate which he had obtained.

10. 1 pass an interim award accordingly.

Order No. 2999, Development, dated 4th June 1948.

In (I.O. Ms. No. 1115, Development, dated 5th March 1948,
the Government directed that the disputes between the workers
and managements of Engineering Firms and Type foundries in
the Province be referred for adjudication to an Industrial Tribunal
consisting of Sri T. L). liamayya Pantulu, retired District arid
Sessions Judge. Now the Industrial Tribunal has submitted
an interim award in respect of the dispute between the workers
and management of Messrs. Kutty and Rao, Engineers, Limited,
Madras. The Government accept the award and make the follow-
ing order :

ORDEE.

Whereas the interim award of the Industrial Tribunal (Sri
T. D. Ramayya Pantulu, retired District and Sessions Judge) con- .
stituted under G.O. Ms. No. 1115, Development, dated 5th March
1948, to adjudicate in the industrial disputes existing between the
workers and managements of Engineering Firms and Type foun-
dries in. the Province in respect of Messrs. Kutty and Rao, Engi-
neers, tiimited, Madras, has been received :

244 GOVT. ORDERS ON THE RECOMMENDATIONS OP

Now, therefore, in exercise of the powers conferred by section
15 (2) read with section 19 (8) of the Industrial Disputes Act, 1947
(Central Act XIV of 1947), His Excellency the Governor of
Madras hereby declares that the said interim award shall be bind-
ing on the management of Messrs. Kutty and Eao, Engineers,
Limited, Madras, and the workers employed therein and directs
that the said award shall come into operation on the 4th June
1948 and shall remain in force for a period of one year or till the
final award in respect of the disputes between the workers and
managements of the engineering firms and type foundries in the
Province is accepted by the Government whichever is earlier.

(By order of His Excellency the Governor)

0. P. MADHAVA MRNON,
A Mini ant Secretary to Government.

.XL

BEFORE THE INDUSTRIAL TRIBUNAL FOR ENGINEER-
ING FIRMS AND TYPE FOUNDRIES IN THE PROVINCE
OF MADRAS.

SRI T. D. HAMAYYA PANTULU, M.A., B.TJ.
[Under the Industrial Disputes Act, 1947.]

IN THl- M A TTfeR OF AN INDUSTRIAL DlSPUTV.

Between

THE MANAGEMENT OF THE LAKSHMF ENGINEER^
.TNG WORKS, MADRAS,

and
THE' WORKER, T. SUBRAMANIAM, MOULDER.

Subject Whether the dismissal of the worker justified. Held
on the evidence that misconduct on the part of the worker has been*
established and that the dismissal was right and proper.

G.O. Ms. No. 3000, Deevlopment, dated 4th June 1948.

[Labour Disputes Dispute between T. Subrainaniam, moulder,
and management of \Lakshmi Engineering Workers, Madras
Interim recommendation of the Industrial Tribunal Orders
passed.]

'

READ the following papers :

a) . .. .

G.O. Ms. No. 1115. Development/ dated 5th March 194Q.

INDUSTRIAL TRIBUNALS OR ADJtiWCATORfi *24p

, ' - (2)

From I he Industrial Tribunal for Knyineering Firm* and T.ype
Foundries, Madras, dated llth May L948.

BEFOKK THE INDUSTRIAL TK1BUNAL FOR ENGINEER-
ING FIKMS AND TYPK FOUNDRIES IN THK
PROVINCE OF MADRAS.,

[In the, matter of the dispute between the workers and the
management of LakMimi rCngineering Works, Madras.]

INTERIM AWARD.

This dispute arises out of the dismissal of T. Subranuinnm, n
moulder in Ijakshnu Engineering Works. The dismissal was
after the Court of Enquiry was constituted and <vus made -without
the permission of the Court. It is, however, c intended Tor the
management that he was dismissed for misconduct unconnected
wiih the dispute which the Tribunal has to consider. The manage-
ment dismissed him on the ground that he assaulted another
v.orkman, Joseph. Joseph sa\s that he was beaten l\ Subra-
inaniam when he complained to him that another \\nrkman. AJi-
kesavan, beat him while he was drinking water at the water-tap.
Adikesavan however says nothing about Suhramamam 1 .* healing
Joseph but that he himself was assaulted by Joseph, r.ht'ii^h he
did not complain about it to the management. Another worker
(lovindaraju Mudahar supported the version of the. management
tiiax Suhramaniam beat Joseph. The partner of tlie firm gives
evidence about this. The management was willing to let Subra-
maniam work if he expressed regret for his misbehaviour; but
he declined to do so and chose to rest on the merits of his defence.
I have no doubt upon the evidence that the dismissal was right
and proper and that there is no need to interfere with the order
of the management.

I pass an interim award accordingly.

Order No. ;H)0(>, Development, dated \lh June 1948.

In G.O. Ms. No. 1115, Development, dated 5th March 1948,
the Government directed that the disputes between the workers
and managements of engineering firms and t\pc foundries in the
Province be referred for adjudication to an Industrial Tribunal
consisting of Sri T. D. liamayya Puntulu, retired District and
Sessions Judge. Now the. Industrial Tribunal has suhmitted an
interim award in respect of the dispute between T. Subramaniaiii,
moulder, and management of Lakshmi Engineering Works,
Madras. The, Government accept the award and make the follow-
ing order:

OKDER.

Whereas the interim award^of the Industrial Tribunal (Sri
T D. Bamayya Pantulu, retired District and Sessions Judge)
constituted under O.O. Ms. No. 1115, Development, dated 5th

<!<>VT. OtUiBRS ON THE BlSWMM&NDATiONri Of

March 1048, to adjudicate in die industrial disputes existing
between the workers and managements of engineering Anns and
type foundries in the Province in respect of the dispute between
T. Subranianiuin, moulder, and management of Lakslmii Engi-
neering Works, Madras, has been received ;

Now, therefore, in exercise of the powers conferred by section
15 (2) read v\itli section 10 C}) of the Industrial Disputes Act,
19*7 (Central Act XLY of 1047), His Excellency the Governor of
Madras hereby declares that the said interim award shall be bind-
ing on the management oi Lakshmi Engineering Works, Madras,
and T. Subramaniam, moulder, employed therein and directs that
the said award shall come into operation on the 4th June 1948 and
shall remain in force for a period of one year or till the final
award in respect of the disputes between the workers and manage-
ments of the engineering firms and type foundries in the Province
is accepted by the Government whichever is earlier.

(By order of His Kxcellency the Governor)

W. H. S. SATTHIANATHAN,
Secretary to Government.

XLI
BEFORE THR INDUSTRIAL TRIBUNAL, COIMBATOEE.

Sin C, R. KTCISHNA RAO.
[Under the Industrial Disputes Act, 1047.]
IN THE MvriMK OF \N INDUSTRIAL DISPUTE.

Between

THK MADURA KNITTING COMPANY, MADURA

and
Tim WORKERS.

Interim Award.
Award Jn terms of the compromise.

G.O. Ms. No. 310), Development, dated 11-h Jiuu i943

[Labour Disputes Di&pute between the workers and manage-
ment of the Madura Knitting Company, Madura Interim
recommendations of the Industrial Tribunal Orders passed.]

HEAD the following papers :

(1)
O.O. Ms. T3o. -8096, Development, dated 27th December 1947 ;

INDUSTRIAL TRIBUNALS OB ADJUDICATORS >itf

(2)

F/om the hidustrial Tribunal, Coimbatore, dated -24th May 1948.
BKFOKE THK INDUSTRIAL TRIBUNAL, COIMBATOHM.

PRESENT :
JSiu C. R. KRISHNA RAO.

INDUSTRIAL DISPUTE No. a OF 1948.

{In the matter of the dispute between the workers and the
management of the Madura Knitting Company, Madura.]

INTERIM AWARD.

Government referred to me the disputes in all the Hosiery
Factories in the Province for adjudication by G.O. Ms No OIK JO
Development, dated 27th December 1947. I sent notice; 't-> 'He
management and to the workers of the Madura Knitting Company
After protracted negotiations they have arrived at an ,ier?enient
As the matter is now pending before me the proper course is to
make an mterirn award in terms of the agreement which I
accordingly make as follows :

1. (a) There shall be, tuu classes of workers, permanent and
temporary.

(b) Workers who have put m one year of continuous satis-
factory service shall be classed MS ' Permanent '.

2. The basic pay of jill workers shall be raised b\ Rs. 4 pro-
vided that no worker gets" less than Rs. lo \w mensem In way of
basic pay.

3. The clearness allowance shall be raised from Rs. 21 in
Rs. 28 per mensem per worker.

4. No bonus need be paid for tbe xear 194(1-47.

5. A Contributory Provident Fund system shall be instituted
and each permanent worker shall contribute at the rate of He. 1
per month. The detailed rules for the working of the Provident
Fund Scheme' shall be laid down in consultation with the union
and shall be printed.

(). All permanent workers with moiv than 10 \ears of service
at the time of their leaving the service of the company or in the
event of death their heirs or nominees shall be paid a gratuity in
addition to the Provident Fund of a sum not less than 4 months'
pay.

7. Workers shall be entitled to all kinds of leave as awarded
to textile workers under the Textile Tribunals' Award, 1947.

8. (a) Suitable dining sheds shall be provided for the wor-
kers and arrangements shall be made for the supply of cool fresh
water.

(b) In consultation with the union, the company shall
supply articles of food stuff as may be necessary in the canteen.
32

GOVt, OftDBRB ON THB BECOMMEHDATIONS W

(c) The company shall provide a separate shed for the use
of women workers and a creche fitted with modern amenities and
shall supply milk to workers' children free. Further a trained
nurse shall be appointed to be in charge of the creche.

9. The company shall appoint as soon as possible a lad)
doctor also.

10. (a) The company shall provide gloves, masks, etc., to
workers employed in the Dyeing and Bleaching departments and
shall supply oil to these workers every day.

(6) It is not necessary now to suppl} shoes to the workers
in the Circular department.

11. The company shall secure preference to workers' children,
in the matter of free scholarship, free supply of books and midday
meals in the local Sourashtra High School.

1*2. The company shall recognize the union.

13. The company shall not make any retrenchment 311 an)
department now.

14. A permanent Board of Arbitration shall be set up con-
sisting of one representative of Employer and one representative-
of Labour, and this Board shall be empowered to discuss and settle
all disputes between the workers and management in the future.
If there is difference of opinion and no agreement could be reached,
the matter shall be referred to an umpire acceptable to both the
parties.

Order No. 3105, Development, dated lif/i June 1948.

hi G.O. Ms. No. 6036, Development, dated a?th December
1947, the Government directed that the disputes between the
workers and managements of Hosiery Factories in the Province
be referred for adjudication to an Industrial Tribunal consisting
of Sri G. li. Krishna Rao, retired District and Sessions Judge.
Now the Industrial Tribunal has submitted an interim award in
respect of the dispute between the workers and the management
of the Madura Knitting Company, Madura. The Government
accept the award and make- the following order :

ORDEB.

Whereas the interim award of the Industrial Tribunal (Sri
C. R. Krishna Rao, retired District and Sessions Judge) consti-
tuted under G.O. Ms. No. 6036, Development, dated 27th Decem-
ber 1947, to adjudicate in the industrial disputes existing between
the workers and managements of Hosiery Factories in the Pro-
vince, in respect of dispute between the workers and management
of the Madura Knitting Company, Madura, has been received;

Now, therefore, in exercise of the powers conferred by section
15 (2) read with section 19 (13) of the, Industrial Disputes Act,
1947 (Central Act XIV of 1947), His Excellency the Governor of
Madras hereby declares that the said interim award shall be bind-
ing on the management of the Madura Knitting Company, Madura,

INDUSTRIAL TRIBUNALS OR ADJUDICATORS 249

and the workers employed tliereiii and directs that the said award
shall come into operation on the llth June 1948 and shall remain
in force for a period of one year or till the final award in respect
of the disputes between the workers and managements of the
Hosiery Factories in the Province is accepted by the Government
whichever is earlier.

2. The Commissioner of {jabour is requested to send copies
of this order to the management and workers concerned.

(By order of His Excellency the Governor)

W. ti. S. SATHIANATHAN,
Secretary to Government.

XLII

BEFORE THE INDUSTRIAL TRIBUNAL OF MADURA,
SRI RAO BAHADUR T. A. SUBBIAH PILLAI, B.A., B.L.

[Under the Industrial Disputes Act, 1947.]
JN THE MATTER OF AN INDUSTRIAL DISPUTE.
Between

THE MANAGEMENTS OF BEEDI FACTORIES IN TIN-
NEVELLY DISTRICT

and
THE WORKERS.

Subject Whether the reference of the dispute between the
workers and managements of Beedl Factories in Mukkudal and
Melapalayam to the Tribunal valid. Held that the workers in
Mukkudal and Melapalayarn were not members of the United
Beedi Labour Union, that in spite of publication in the papers,
none of the workers in those areas had come before the Tribunal,
that there was no dispute between the workers and managements
in those areas.

Held that Government Order bad no reference to the workers
in those areas.

2. Whether the reference of the dispute in Tinnevelly by
His tf.rcellency the Governor and noi by the Government ultra
v jre. Held that under Government of India Act, 1935, the Gover-
nor was still the Chief Executive of the Government, that in pur-
suance of the decision of the Government to direct a reference, the
Governor as the Chief Executive authority of the Province had
issued the order. Held that the reference was valid and intra
vires.

3. Whether the reference was vague and indefinite. Held that
the plea that the dispute between the parties had not been specified
was highly technical, that the* letter of the Labour Commissioner to

260 GOVT. ORDERS ON THE RECOMMENDATIONS OF

Government mentioned the disputes existing between the parties
and could be looked into and that the reference was neither vague
nor indefinite.

4. Wages, dearnexit allowance and bonus. Held taking into
consideration the report of Dr. B. V. Narayanaswami Nayudu, a
30 per cent increase in piece rates for every 1,000 should be given
from 1st July 1948.

Claim for dearness allowance and bonus negatived in view of
the above award.

Held that workers who had continuously worked from 1st Janu-
ary 1947 to 1st July 1948 should be given work for 23 days in a
month giving a miniimim work of rolling 750 beedis and in case of
involuntary unemployment wages for making 500 sadha or 6 oz.
beedis should be paid.

5. Extension of Factory Act to beedi industry. Held that it
was beyond the competence of the Tribunal to so extend the Act.

6. Provident fund and gratuity. Claim negatived.

7. Welfare. No direction given.

G.O. Ms. No. 3173, Development, dated 15th June 1948.

.[Labour Disputes Dispute between the workers and manage-
ments of beedi factories in Tinnevelly district Recommenda-
tions of the Industrial Tribunal Orders passed.]

READ the following papers :

(1)
G.O. Ms. No. 4835, Development, dated llth October 1947.

(2)

From the Industrial Tribunal of Madura, dated 9th May 1948.
BEFOKE THE INDUSTRIAL TRIBUNAL OF MADURA.

PRESENT :

SRI RAO BAHADUR T. A. SUBBIAH PILLAI, B.A., B.L..
Industrial Tribunal of 'Madura.

INDUSTRIAL DISPUTE No. 5 OF 1947.
Between

The workers of Beedi Factories in Tinnevelly district

and
The management of Beedi Factories in Tinnevelly district.

(Reference. G.O. Ms. No. 4835, Development,
dated 11th October 1947.)

AWARD.

On 21st July 1947 the Commissioner of Labour addre^ed the
Government recommending that the question of wages for the beedi

INDUSTRIAL TRIBUNALS OK ADJUDICATORS 251

workers in Tinnevelly district might be rei'erred to the Industrial
Tribunal of Madura for adjudication. It appears that during his
visit to Tinuevelly, he discussed with the proprietors of J3eedi
Factories, the grievances of the beedi workers resulting from non-
implemeritation of the recommendations of Dr. B. V. Naravaim-
swami Nayudu (as Court of Rnquiry), especially the recommenda-
tions relating to wages and that the managements expressed their
inability to raise the existing level of wages by 25 per cent, since
they had raised the wages by one anna only a short lime I.efore
his visit.

2. Under the Government Order above referred to, the v.iovern-
ment accepted the recommendations of the Labour (-ommissioner
and directed that the dispute be referred to this Industrial Tribunal,
for adjudication under section 10 (I) (r) of the Act.

3. The ('Oinmissioner of Labour at my request forwarded to me
M. list of beedi establishments in Tmnevelly district. Six of them
are located in Tmnevelly Junction and Tinnevelly Town. Twont.y-
four are in Melapalayam , a town situated at a distance of five miles
from Tinnevelly Town. Twenty are in the village of Kalakkad ibout
twenty miles from Tinnevelly. Eight are in Mnkkudal village
about 15 miles from Tinnevelly, one in Krai 25 miles from Tmne-
velly.

4. I may, at the outset, mention that there are no beedi factories
at all in Mukkudal, but there are eight individuals in Mukkuc'ijil
who are beedi merchants. They are all doing very large business.
They distribute tobacco and wrapper leaves to the workers in about
sixty or seventy villages in three taluks of The district and collect
the finished beedies from them through their agents, bundle them
in parcels and send them to the market for iale. About 20,000
workers M women do the beedi rolling in their oirn howe? in
their spare hours.

5. I issued notices to all the proprietors of beedi factories and
heedi merchants mentioned in the list forwarded to me. Some of
them reported that they had closed their business. The notices sent
to some were returned nn served. Some of them who were served
with notices did not turn up.

6. Some of the beedi merchants of Melapalayam appeared at ihe
first hearing and made sworn statements thai there wore no
disputes between them and their workers. Seventeen merchants
of Melapalavam engaged a vakil and filed a joint statement in
answer to the memorandum of demands and grievances p 4 ] e ^ nv
the Secretary of the United "Beedi Workers' Union, Tinnevelly
Junction. The other merchants had closed their business before the
controversy arose.

7. The beedi merchants of Mukkudal (who are continuing the
business) appeared by vakils and filed objection statements in answer
to the memorandum submitted by the Secretary of the United
Workers' Union, Tinnevelly Junction.

252 GOVT. ORDERS ON THE RECOMMENDATIONS OF

8. All the six beedi merchants in Tinnevelly Junction ;ind cown
own factories. They appeared by a common vakil and filed their
answer lo the memorandum of the Workers' Union.

9. The Workers' Union has its office at Tinnevelly, the head-
quarters of the district. It is a registered Trade Union. The
number of members on the rolls is about 400. Under the rules
imd by-laws of the Association, all beedi workers in the entire district
of Tinnevelly are entitled to become members of the Association.
But it is an admitted fact that no worker outside the municipal
limits of Tinnevelly Town and its suburbs is a member of the Beedi
Workers' Union. Though Melapalayam is situated only five miles
distant from Tinnevelly, no worker of Melapalayam has joined the
Union. It was admitted by the Union that there is no Workers'
or Labour Union in Melapalayam. It was also admitted that Ihere
was no Workers* Union in Mukkudal. But workers' witness No. 8,
Dasaratharaman, deposed that in February 1948, that is to suy,
about four months after this Tribunal was directed to adjudicate
upon the disputes that existed between the beedi workers and
proprietors of beedi factories, a Union was started and that the
Union has not yet been registered as a Trade Union, though an
application has been made for registration.

10. Since it was brought to my notice at fehe earlier stages of the
enquiry that there were no Labour Unions in Melapalayam , Muk-
kudal, Kalakkad and Krai and that no beedi worker in those areas
was a member of the Beedi Workers' Union in Tinnevelly Junction.
1 suggested to the Secretary of that Union that he might publish
in some daily that this Tribunal was sitting at Tinnevellv to enquire
into the disputes referred to it for adjudication by the (rovernment
and that any worker who wishes to be heard might appear before
the Tribunal at the date of hearing. Accordingly a notification was
published by that Union in a Tamil daily " Swadesamitran ",
dated 3rd December 1947. But no worker from those areas appeared
in response to this notification and presented any statement of
demands or grievances. I received a communication by post from
some person in Tuticorin that a Labour Union had just then been
started and that it has been affiliated to the Union at Tinnevelly
Junction. No office-bearer of that Union at Tuticorin appeared
at the time of the enquin . Admittedly it is not registered Trade
Union. There is also no proof that it has been affiliated to the
registered Union at Tinnevellv. On the basis of the facts narrated
above, the vakils for the proprietors of beedi factories in Melajiaia-
yam and the beedi merchants of Mukkudal asked me to conclude
that no worker outside Tinnevelly municipal limits has any grievance
and that the dispute was only between the workers in the beedi
factories within Tinnevelly municipal limits and the proprietors
thereof. The argument is certainly acceptable.

11. A number of technical objections have been raised by the
beedi merchants and proprietors of beedi factories who are

INDUSTRIAL TRIBUNALS OU ADJUDlCATOKS i?3

represented by vakils. 1 do not propose to mention them in detail
ac this stage as i shall have to reior to them in detail while dealing
with the issues relating to those poims.

12. The points in dispute bel \\reu the Beech Workers' Union
at TiunevelK Junc-tion on the one Jiand and the beedi merchants
of MukkudaJ and Melapalayaiu on the other hand are prac-ically
the same. 1 may point out 111 tins connexion that there are some
small beedi factories in Melapalayani, that is to say, factories with
a small number of workers and that the bulk of the beedies which
were being sent to the market from Melapalayani were those made
by women workers in their own homes with the tobacco and wrapper
leaves supplied to them b> the beedi merchants.

13. On the pleadings filed by the Melapalayani and Mukkudal
merchants, the following points arise for decision :

(1) Whether the United Beedi Labour Union is a registered
Trade Union.

(2) Whether the Union is entitled to represent the beedi
workers of Melapalayani and Mukkudal who are not admittedly
members of the Union.

(3) Whether there are any industrial disputes between the
beedi workers of Melapalayani and Mukkudal and their employers
and whether the G.O. No. 4835, dated llth October 1947, lias made
a valid reference of such disputes to this Tribunal.

(3-A) Whether the validity or propriety of the Government
Order cannot be questioned.

(4) Whether in the absence of any specific reference lo any
disputes in the Government Order arid in the memorandum sub-
mitted by the United Beedi Labour Union this Tribunal should
consider the case of Melapalayarn and Mukkudal workers.

14. First issue. The certificate of registration was produced at
the time of the final enquiry. I find that the Labour Union at
Tinnevelly Junction is a registered Trade Union.

15. Second issue. The number on the rolls of the Labour Union
at Tinnevelly Junction is about 100. Though under the rules of
that Union any beedi worker in any part of the Tinnevelly district
is entitled to apply to be enrolled as a member, till now no worker
outside the municipal limits of Tinnevelly Town and its suburbs
have joined the Union, despite the efforts made by the office-
bearers of that Union subsiequent to the proceedings started 1/efore
this Tribunal. There are not less than 20,000 workers (all women)
jn Mukkudal area. Admittedly none of them has joined the Union
at Tinnevelly Junction. The majority of the workers in Melapala-
vam are women workers. They have also not joined the Union.
The small number of male workers in Melapalayani have also not
joined the Union. The Labour Union said to have come into being
at Tuticorin some months after the Tribunal began its sittings in

454 GOVT. OKDEBS ON TiiE BEOOMMBNDAT1ONS OF

Tinnevelly has not been proved to have been affiliated to the Union
at Tinnevelly Junction. In the circumstances, I must hold that
the Union at Tinnevelly, which can boast of only 400 members, is
not entitled to represent the several thousands of beedi workers in
Melapalajam, Mukkudal area and other villages situate outside the
Tinnevelly municipal limits.

16. Third issue. There is not even an allegation in the -nemo-
landum filed by the Secretary of the Union at Tinnevelly Junction
that there were any disputes at all between the beedi workers of
Melapalayam and their employers. On the other hand there **
evidence to the effect that there was no dispute at any time m Mela-
palayam. The only witness who comes from Mukkudal area is
Dasaratharaman. On his own showing, he is not a beedi worker
u the Mukkudal area. He was employed as a supervisor under
some of the beedi merchants of Mukkudal. He appears u> nave
been employed for shon periods under some of the merchants of
Mukkudal and was sent out by every one of them. He lias beeii
putting forward a claim against his latest employer wtrle the
employer was claiming that some amount was due from him. Very
little reliance can be placed on the statements made by him.
Nobody was called to corroborate his statements.

17. The agents or managers or accountants of the merchants
of Mukkudal were called as witnesses in support of their case that
ihere was no dispute between the employers and the workers, who
were all women doing the work of beedi rolling in their own homes.
No woman worker or any male relation of any woman worker came
forward to challenge the testimony furnished by these witnesses.
The workers of Mukkudal and the workers of Melapalayam are not
members of the Union at Tinnevelly Juiictioiu In such Circum-
stances, it is indeed extraordinary that the Secretary of the Union
should state on their behalf that disputes exist between the workers
in those villages and their employers and that they oall for adjudi-
cation. ' A ' can speak on behalf of ' B ' only if * B ' has autho-
rized ' A ' to act and speak for him. The mere statement of ' A '
unsupported by the authorization of ' B ' will riot suffice to make
'A' the agent of ' B '. If, as a result of such unauthorized
representation by * A ' the interests of ' B ' should suffer, can * 1 3 '
he made to suffer by reason of the gratuitous service of ' A '?

IS. My finding on the first part of issue 3 is that there is no
industrial dispute between the beedi workers of Melapalayam and
Mukkudal and their employers.

19. The second part of the issue must be found in the negative
in view of my finding of the first part of the issue. The Government
Order directing adjudication in this case cannot have reference to a
dispute which did not exist at the time of the reference. It has also
not been proved that any dispute has since arisen, assuming that
the Tribunal should adjudicate upon those disputes.

OH

20. it is just jxjfcaibte that the women workers <rf Mukkudud
Jb lo&gmg k> jbye an .increase in (heir wages &nd Ikfrt ihair
have been owflted by reason of the influence of their MutJ

i.e., the employers. They uiay be afraid to appear before this
Tribunal to voice their grievances, let they should be victimised
or served b> suspension of busmen. It is a, pity that the women
workers are unorganised and that by force of circutustajjce* ilne^v
have to keep their mouths shut and a.llow the capitalists io exploit
them. In the absence of a complaint by a duly authorized wpwen-
tatiitf, no relief can be granted to I hem.

21. / Jwid that the Government Order can have no reference to
Mukkiidal and Melapalayam workers.

22. Issue 3-A. Since on the third issue 1 have found lhat there
is no dispute between the workers of Melapala\am and Mukkudal
and their employers and that the Government Order could have no
reference to the workers in those areas, this issue reduces itself to
an academical question. No finding oi this is* UP is called for.

23. Issue 4. Tn view of m\ finding on issue 3, this is^uo
also must be found in the negative. The Tribunal need not consider
the question.

24. With reference to the dispute between the beedi workers in
Tinnevelly Junction and Tinnevellx Town on the one hand and I he
proprietors of the six beedi factories, the following iHsues were
framed and they will be consecutively numbered :

(5) Whether the leference is illegal or ultra mrvs as the
Government Order has not been issued b^ the Provincial (lovern-
nienit and issued onl t > b} His Kxuellenc} the Governor.

(6) Whether the reference is vague and indefinite.

(7) What is the rate of wa&es th;it can be tixed ?

(8) Whether the workers are entitled to destrness ullowjiuoe
and bonus and if so at what rates?

(9) Whether the provisions of the Factory Act can apply to
these beedi factories.

(10) What provisions should be made or directions given a
regards working conditions, cantcan. medical aid, provident fund,
gratuity and securitx of services?

25. Issue 5. It was pointed out bv the vakil for proprietor* of
the Iwedi factories in Tmncvcllv Town and Junc.tion that, while
under section 10 (3) of the Act, it is the Govfrnment t-hat is r.un-
>petent -to refer an industrial dispute to a Tribunal for adjudication,
the Government Order under which the reference is made Rpeeifi-
vallv mentions that the authority directing the reference is His
Excellency the Governor of Madras and it is argued that the
reference is accordingly n/fwi r/w. Tt is, however, not denied that
His lExtjellentfy the Governor is the .chief executive of the Ciovern-
mfi&t under the Government of India Act of 1935. There is noi
warrant for assuming that before the Government Order was issued,
1he Government, th^t is to say, His Excellency the Governor

256 GOVT. OftDtiflS Otf TiJfc IlEtiOMM&NDATXOtfg OP

the Ministers did not go into the question before the declaim to
lefer was taken up. All official acts are presumed to hav been
done 111 the proper manner, The argument advanced on Uie side
of the workers is highly technical and there is no force in it. In
paragraph 1 of the Government Order it is clearly stated that the
Government accepted the recommendation of the Commissioner
ol Labour that the dispute 111 this case should he referred for udjudi-
cation and it is the Government that directed the dispute to be
referred to the Tribunal under section 10 (1) (c) of the Act. ' In
pursuance of the said decision by the Government to direoc a
reference, His Excellenc\ the Governor, as the chief executive
authority of the Government, has issued the notification comprising
paragraph 2 of the Government Order. 1 hold that the order of
reference of adjudication in this case is legal and intra vires.

26. Issue 6. This is another technical objection raised on behalf
oi the beedi managements based on section .10 of the Act. It was
pointed out that au industrial dispuie must actually exist or must
be apprehended before a reference for adjudication is ordered and
that such dispuie alone could be referred for adjudication. The
argument is that the Government Order does not mention or recite
anywhere what the dispute is that has arisen and what exactly
the dispute is which is referred for adjudication and ihat the Govern-
ment Order is thus vague and indefinite. The objection raised it?
altogether devoid of merits. Having regard to the words in sec-
tion 10, one could expect specification of the nature of the dispute.
The learned vakil stated that , if the Government Order does not
disclose the nature of the dispute, the Tribunal need not take the
trouble of investigating \vlmt the dispute could have been which
called for the action taken by the Government under section 10.
The argument is that this Tribunal is not a Court of Enquiry, which
could be empowered to investigate what are all the matters involved
in the controversy between the parties and that the scope of the
enquiry before a Tribunal must be confined to the dispute" that is
to say, the dispute specified by the Government and that as the
Government has not chosen to state in express terms the 'point in
dispute between the parties, the Tribunal has nothing to adjudicate
upon and should report to the Government accordingly.

27. If I should agree with the learned vakil for the manage-
ments and make such a report to the Government, the Government
can issue another Government Order stating the particulars of the
dispute and direct this Tribunal to adjudicate upon 'that dispute;.
This will only result in waste of public time; and the manage-
ments will have to appear at the next enquiry once again, the
Tribunal will have to cover the same ground in the fresh enquiry.
This is only technicality with a vengeance.

28. The Government have forwarded to me the letter of the
Gommtflftioner of Labur recommending reference for adjudication.
I have marked that letter as Court Exhibit TIT. The ' oondiidmg
fe^iitence of thd letteY rims thus i " I request that the Government

INDUSTRIAL TRIBUNALS OE ADJUDICATORS 257

may be pleased to refer the question of wages of the beedi workers
in Tinnevelly district to the industrial Tribunal, Madura at Tinne-
velly for adjudication." In the first paragraph of this letter, he
lias stated that, on the representation of the beedi workers, .he
suggested to the managements of beedi factories that an 'uorease
df 25 per cent in the wages might be allowed us recommended by
Dr. B. V. Narayunaswami Nayudu as Court of Enquiry and that
they pleaded inability to do so. The CoinmisKio/ier of Labour has
made it clear thai it was the only question which called for adjudica-
tion by the Tribunal. Jt is on the basis of tins recommendation
by the Commissioner of Labour that the Government have directed"
adjudication by this Tribunal. If that letter and the Government
Order are read together, it would be clear that the dispute related
to the wages of the beedi workers and that such dispute has been
referred for adjudication. I do not agree with the view of llie
vakil for (.he man age intuits that (lie Government Order alone should
be looked into and not the recommendation of ilie Commissioner
of Labour which formed the basis of the Government Order fur
ascertaining what the dispute, in this case is. As I stated already,
if J should he inclined to be as technical as the vakil for the manage-
ment B, it will only result in loss or public time and money without
any corresponding advantage either of the parties to the dispute and

I may add that it would only put them to further trouble, -innoyance
and expense. My finding on this i*sue is that, if the Government
Order and the letter of the Labour Commissioner are read together,
there is no vagueness or indefiniteness about the matter in dispute
between the parties. The issue is found accordingly.

29. Issue 1. This is the main issue in this case and it relates
to the question of wages. The plea of the proprietors of beedi
factories and beedi merchants JB that, since the war began, the
wages have been increased from time to time and that the workers
are now getting more than double the pre-war rates. Paragcaph

II of the objection statement filed by the proprietors of beetir
factories in Tinnevelly Town and Junction, mention a the old arid
new rates; before the war, the rates were 9 annas for small beedies
and 10 annas for big beedies; now the rates are Us. 1-6--0 and
Us. 1-7-0 or Us. 1-8-0. It was also stated that, though their
margin of profits could not permit them to pay these high rates,
they are paying such rates to avoid strikes and troubles. The 1 "
have mentioned the various factors which are contributing lo Iheir
detriment, chief among them being increase in inland excise duty,
increase in duty by the Ceylon Government for the beedies pnportad
by these factories into Ceylon, which is their sole market, conse-
quent reduction 6f exports of their beedies to Cevlqn , resuli ing ip
excess of stock being left in their hands. That these disadvantages
exist was not seriously disputed by the workers, though it was
stressed that the exact amount of increase^ duty in India and
Ceylon ha riot been proved by the best evidence,

266 GOVT. OBWKS ON THE BBOOMMBN!>A i riONS OF

30. Dr. B. V. N. Nayndti, in his report as Court of Enquiry
into the labour ctrouhtiotoB of Beedi Industry, has elaborately dealt
with all the points which fall to- be considered m determining the
reasonable wages, that is to say rates which will not work hardship-
either to ihe capitalists or to the labour. Paragraphs HI to % deaf
with the question of wages. The vakils for both the parties read
various passages including paragraphs 81 to 88. Fn paragraph ?,
Dr. B. V. N. Nayudu says that instead of a uniform minimum
v ate of wages for the province local minima are better muler the
prevailing conditions and the enforcement of these local minima
will induce re-organization and re-ad juatment in the industry which
will pave the way for final standafizatkm of wages in about three
to five years. Since I have already found that there was no legal
evidence of any dispute an \where in this district except with
legard to the workers and employers in Tinnevelly To\vn and
Junction, the wages I am gomy to fi.r xhall relate only to the (aciorie*
witfrin the municip'tl limit* of Tinnevelly inclusive of the Five
Factory.

31. No doubt the beedi manufacturer* are not able to ,^e* -i*
much profit as they used to get during the period of ihe war. On
the 7th morning, J inspected all the five factories witlim the muni-
cipal limits. The five Flower Company, which had a factory
within the municipal limits has, after the enquire commenced,
been shifted to Melapalaywn which is outside the municipal limits.
1 did not visit that factory as the notice could not be served on the
proprietor. From the enquiries 1 made of the managements
on the five factories in the municipal area, I learnt that Ihey are
making a profit of at least 3 annas per 1,000 beedies even now. I
have recorded in my notes of inspection all tEe particulars gathered.
The manufacturers cannot expect to make large profits always;
bttt the workers must have a living wage. If the proprietor of any
of these factories is not able to pay his workers the wage I am
fixing now, he can close down the factory with permission. Saiu
of them have already reduced the number of workers.

82. Taking into consideration every relevant factor found
cussed m paragraph 88 of Dr. B. V. Narayanaswanu Nayiidu'g
leport, 1 direct that the following scale of wages be adopted :-

(1) The existing wage rates in the said six factories for 1,000
beedies of the several grades shall be increased by 30 per cent
(thirty per cent).

NflttE. I am allowing 30 per cent increase in view of Ihe fact
that 1 am not alldwing bonus; and the coal of thing index has risen
about 300 point*.

, . (2) Workers who have continuously worked in. ihe ve|ioniv
factories (though on piece-rates) from 1st January 1947 to lit July
1948 shall be given work for 23 days in a month giving each day ft
minimum work of rolling 750 beedies failing which, such workers

INDUSTRIAL TRIBUNALS OR ADJUDICATORS

must be paid for each day of in voluntary unemployment,
for making 500 wtha or 6"oz. beedies.

(3) All the male workers in the said factories shaft have the
increase in their existing salary with eft'eet from 1st July IHIS.

Btriotiy speaking the questions covered by t*auet 8, 9 and
10 cannot be gone into. >

33. Issue b. From the evidence on record and on the mi[uirv
riiade by me at the time of the local inspect ton on the 7th morning.
1 fiad that the workers are not paid wages by the month or the
day but they are all only piece-rate workers; the\ are paid :it certain
rates per 1,000 beedis. There is a difference in rate corresponding
to the difference in si2e and length of the beedies. There are 10 o/.
beedies, 8 o/. beedies and oz. heedies. The f> oz. bodies are
known as sadha beedies. The workers are not bound 10 work on :lli
the days when the factories ure open. The\ an* also not required to
Work for any specified number of hours. They can stop with work-
ing for 8 hours or even for less number of hours. They tire only
piece-rated workers, No leave application is required for ntHciuw
and no permission to stay away is required. Such of the workers
who care to earn more can turn out more \vork than those who
have no such desire and can work for all the <T:i\s m i month.
From the extract filed it IK seen that workers' earnings in a month
range from Us. 50 or 60 to Ks. 109. Workers sire Hot com-
pelled to work for 11 hours by the employers as alleged. It is only
the desire of the workers to earn more that make them sit Tor long
hours. Of course, squatting on the floor for a number t-f hours
in an atmosphere saturated with the smell of tobacco is a ptntin on
the muscle and nerves and it is not conductive to health. But tbe
nature of the work is such. Of course, it is possible for such
proprietors to minimize the inconvenience felt by the workers. As
the workers are practically casual labourers with no restrictions and
paid at piece-rates, it will be difficult to introduce the system of
bonus or dearness allowance. The system can be introduced only
in large factories which employ ?i large contingent of permanent
workers paid bv the month 07- paid by the day. 1 have me, reused
the wages sufficiently as in my view they need not be allowed cither
dearness allowance or bonus. My finding is thai the beedi workers
in Tiimevelly municipal area are not entitled to dearness allowance
or bonus.

34. Issue 9. It is beyond the competence of this Tribunal to
extend the application of the provisions of the Factory Act to beedi
factories. The issue is found accordingly.

35. Issue 10. For the reasons mentioned by me in dealing with
iaetie 8, 1 hold that the beedi workers of the six factories >n Timie-
vcrllv municipal area are not entitled to the benefit or provident fund
and gratuity. As regards security of service, the workers and the
employers can come to an agreement independent of the Tribunal

260 GOVT. ORDERS ON THE BBCOMMBNUATIONS OP

They are now only a casual piece-rate workers. The factories jn
the municipal area are all very small factories, except Syed JBeedi
Factory which employs 160 workers. The Star Company has got
only 14 workers. Karnala Factory has got only 5 workers. It will
be too much to expect the proprietors of these factories to open
canteens or provide for medical aid, contribute for provident lund
and also introduce a scheme of gratuky. 1 do not, therefore, give
any directions witli regards to these demands.

86. 1 inspected all the five urban beedi factories this morning
In " Star " factory the workers are sitting in two open stalls in
vhe High lioad, Tinnevelly Junction. There is no privy for the
use of the workers. The proprietor pointed out a choultry on the
other side of the road just opposite where there is a latrine and a
\\eli and he added that these workers are allowed a free use ol' them
The stalls are rented by the proprietors. It will be impossible for
turn to provide a latrine or dig a well. Of course, water is kept
in mud pots and a tumbler for each pot is provided in this factory
us in all the other factories* All these factories are well ventilated
and well-lighted. In Syed Factory and A.J. Itet-di Factory, t
found electric lights in the workshed. Out of the three sheds in the
latter, two have only mud flooring, the manager represented to mo
that they were making arrangements to get cement for flooring aad
that it would be possible to do the floormg within two months at
the most. -The workers wanted that bamboo mat thattis should
be put under the tiled roofing to prevent excessive heat. The
manager represented to me that somethmg would bo done in ibis
direction.

Before closing this, I wish to make mention of the fact tint
proper steps should be taken to prevent the exploitation of women
labour. Dr. B. V. Narayanaswami Nayudu has made some sug-
gestions with regard to this matter. I fully endorse his opinion,
Bmce the women workers had not been duly represented befo-e
me 1 and as there was no legal evidence before me that they have
grievances which require to be redressed, T regret my inibility to
improve their lot.

Order No. 3173, Development, dated 15M June 1948.

Whereas the award of the Industrial Tribunal, Madura, in res-
pect of the industrial dispute between the workers and the manage-
ments of beedi factories in Tinnevelly district has been received.

r Now, therefore, in exercise of the powers conferred by section
IS (2) read with section 19 (3) of the Industrial Disputes Act, 1947
(Central Act XIV of 1947) , His Excellency the Governor of Madras
Hereby declares that the said award shall be binding on the manage-
ihents of beedi factories in Tinnevelly district and the workers
Employed therein and directs that the said award shall contra into
^bpertttron on 15th June 1948, and shall retnam in operation, 'for a
pferfod of one year/ r ' Vf '-^

flti&UKALft Oft AbJtJDtcATOftS Mi

-8. i Tbe Commissioner oi' Labour is requested to send &. .;op\ of
shis Order together with a cppy of the award to the managements
ot the beedi factories and the workers' unions concerned.,,

(By order of His Kxcellenc) the (rovernor.)

W. H. S. SMTIIIANATRAN,
* Secretary to (iorr.nnnfwl.

\\A\\.
BKffOUE TllU LNJM'HTJUAIj TKLBUffAL, MADliAS.

SRI M. VENKATAKAMAYYA, B.A., B.I,.
[Under the Industrial .Disputes Act, 1017.]
IN THE MATTKU <>F AN INDUSTIIIVL DisrirrK.
Bel teem

THE MANAGEMENT <>K THE EAST INDIA DI8TIL-
LKilUKS AND Sr(JAJ{ FACTORIES, LTD., NELrM-
KUP1\VM, SOVTII AIU'OT DISTRICT.

and
THE WORKERS.

MKRSRS. KTNG & PARTRIDGE, Solicitors for the management.

ME. B. GITRTTRWAMT, President of the East India Difitilleries
and Sugar Factories Labour Union, Nellikuppam for the Workers.

Subject 1. Wages and salaries Whether adequate. Held that
minimum wages should not be fixed for one factory in the Province
in a competitive industry.

Held that a working class family in Madras consisting of five
members require about Rs. 45 to Rs. 50 per mensem as bare mini-
mum, that the dearness allowance in the Company stood at
Rs. 28-10-0 and that annas 12 per day was a fair wage.

Held further that there should be some incentive offered to wor-
kers to remain jn the same institution for long number of years
by granting increments.

Awarded revised scales of wages and salary.

Held further that while the labour cost had increased
between 1944-47 by 100 per cent, the increase given to covenanted
staff was 160 per cent , the increase of expenditure in London office
was 250 per cent and increase of Director's Fees, 180 per cent.

Held that the increase ift wages recommended was by no means
r. burden.

Held also that in view of the introduction of prohibition an\I
posfflbihty of rationalization of the industry, the Award flhould be
binding for six months up to end of December 1948* ^ .-

262 GOVT. OftO&fcff ON THE

2. Whether the present system of MlcuMuiy dearticaa allow-
ance should be replaced by a,nna# 3 per writ.* Held that the com-
pany wa following * scientific basis for amviog at the ooet of living
and it was not proper to disturb it. It was for the Government to
lay down a uniform policy for payment of dearness allowance for
all industrial labour. Demand negatived.

3. Whether night xliijt workers xhoiild be paid night allow-
ance of 1.J times. Held that all njght shifter workers should be
paid '25 per cent extra for the whole night work and not merely for
the hours alter midnight.

4. Contribution tu Provident Fiwd and Gratuity. Held no
change was called for.

5. Compensation for involuntary unemployment during non-
crushing seasons. Held disagreeing with the report of the Sugar
Factories Labour Enquiry Committee, that the worker was aware
that -there was no work for him after crushing season and could not
demand any compensation. Claim negatived.

G. Holidays and leave. Held that no increase (on 8 festival
holidays and 10 da\s privilege leave) was called for.

Held that the sick leave of 7 days on full pay and 14 days on half
pa\ allowed to workers recruited before 1st December 1046
should be extended to all classes of worker 8.

7. WheUwr workers who had put in one year service should be
made pe.rtnenent. Held that the Company did not say after what
period of service the workers would he made -permanent, and that
there were a number of cases where workers with long service were
not made permanent. Ordered that those with one year of contigu-
ous service or two years service of broken periods should be made
permanent.

8. Educational and nn-dical facilities. Held that provisions for
education of workers' children were not satisfactory. Matter left
to tbe Government and management.

9. Bonus. Held that the. clerical staff and labour should be
paid bonus on the same footing.

Held that 20 per <^ejQt bonus declared was adequate. Held that
deamess allowance was paid not to enable savings but to compen-
sate for tlie increase in cost of living and that clearness allowance
should &ot be included in calculating bonus.

10. Rrpresent&iiion of the Union at the enquiries. ~~H eld that
BtowUng Ordew provide for the worker taking a friend vttfc him
during any enquiry and provision was wide enough to &How a
Union reprftsentative to attend.

11. Housing. Held that step* should be taken to provide taut-
ing for industrial labour.

INDUSTRIAL tHIBUNALS OK AUJUD1CATOBS

1'2. Promotions. Promotion should depend oa seniority and
service . Instances of injustice might be brought to the notice of
the Management by the Union.

13. Contract labour. Kecouini ended discontinuance of the prac-
tice within one year.

14. Whether the workers were precluded by their agreement,
dated 2bth February JAM7, jruni rawing any demands. Held thai
the workers were not precluded from raising the demand as all the
formalities of a contract had not been complied with.

6.0. Mi. No, 3184, Development, dated 15th June 1948.

L Labour Disputes Dispute between the workers and manage-
ment of the Mast India Distilleries and Sugar Fad ones,
Limited, Nellikuppam llecoinmeiidalions of the Industrial
Tribunal Orders passed.]

HEAD the following papers :

(1)
G.O. Ms. No. 5fiO, Development, dated 5th 1'Vhninry (948.

(2)
From the Industrial Tribunal, Mart HI*, duled 3U/ May 1948.

BEtfOBli THE JNDUSTIUAL TKU3UNAL, MADRAS.

PllKSKNT :

SHI M. VENKATAKAMAH A, H.A., u.i,.

INDUSTIUAL 1)]8PUTK No. 1 Ob 1

[in the matter of the Industrial dispute between the workeis and
management of the East India Distilleries and Sugar l^aclone.q,
Limited, Nellikuppam, South Arcot district.]

AWAHD.

The above dispute was referred to me lor adjudication in 'l.O.
Ms. No. 560, Development, dated the 5ih Febnriry i ( J48.

2. The management was repi'esented b\ Messrs. King and
Partridge, Solicitors, Madras, and the workerts by Mr. S. (iuru-
swami, President of the East India Distilleries and Sugar factories
Labour Union, Nellikuppam.

3. The management in this case is the East India Disiilletiea
and Sugar Factories, Limited, Nellikuppam, for which the
Managing Agents are Messrs, Parry & Co., Ltd., Madras. The
beginnings of this factory go back to the first quarter of t-Lc 19th
century and many changes have taken plnce since then, fn Hs
present, re-rnodelled condition on modern hues the. factory ? working
since 1933. Tt employs 2,000 hands of whom about 600 aie laid

264 GOVT. OttDEHS ON THE HliCOMMENDATION-S O#

off for uearly half the year. The crushing of canes and the
facture of sugar is & seasonal operation and therefore there is 110
vork which can be given to the entire body of workers for tiid
whole year. The office attached to ihe factory consists of a large
number t>f clerks who are described as ' writers ' and ?ierks
Grade 11, 111, V representing the annual increments "whiTti they
an* getting. There is also a works ulgil, Grade LI. Ill, \' fuad X.

4. Since a considerable length of nine tirere is a LabmiT Union
i/emsistfog of the ^workers of the factory whose president fit present
!s Mr. S. Gumswami, Hvho is also t-he Gewerai Secretary >f ifee
All-India Kailwa) Men's Federation. In 194G there were points
of difference between the Management anul the Union rs*d an
agreement was arrival at. the terms of winch are embodied in
Schedule IV at page 07 of the written statement of the Manage-
ment. This was on 135th February 1047. tt looks as it this agree-
ment wat almost at once repudiated by t'he Union and 1 t'lun'k this
agreement is not being respected. 'Phis is one of the points raised
by the Management that in c,onscquence if n (;laue in ^ns j^ree-
ment that the demands abont which the agreement was arrived
at shall not be the subject-matter of ;m\ further denrind arid there
shall be no disturbance of the peaceful conditions of labour in "Nelli-
kuppam in respect of these demands beiore 1st July J948. Tins
forum the subject-matter of an issue.

Issue No. /. \V1ietlier tJic salarif'tt and irayes now being paid
to uxtfkers m the factory und to lite clencdl and ftttpirrmsvTtj Maff
are inadequate.

5. The factory employees have been classified mto certain
groups and the management has furnished me with a list of wage,-,
obtaining in respect of each such group nnd also the number of
categories in each such group. (Vide Exhibit 1.) It is observed
in that that they refer to unskilled workers and nowhere have they
mentioned of skilled workmen. Before me it was represented that
there is no skilled hand at all but thai is obviously wrong. The
expressions the management would like to use, viz., " experienced
and inexperienced are only a distinction without difference." I do
not believe 'that 002 foreman, or the pan mm and even the painter
aie unskilled people. There are blacksmiths, tinsmiths, welders,
turners, fitters, etc., and all these men are definitely nkiHed men.
But I need not bother myself about considering this 'qaegtfon >u& 1
propose to adopt Exhibit -I and the claftsification unade therein.

6. The first question which has to be considered is what sliall
be the minimum wage. Now as before, 1 have 'been thinking that
14 annas a da/y ou^ht to be the minimum. No worker should . be
paid less them that but the minimum varies from industry to
industry and the sugar industry should be no exemption ordinarily.
Bui my difficulty was that the present enquiry relates only to <int>
sugar factory in the Province and sugar in a cornpoHtive mdiMiny.
Kxhibit 1<I in a comparative statement of whut is earned by 3 -vo*ker

INDUSTRIAL TW&UNALS OU ADW&ICAT0118 265

in different sugar factories in the Province. 1 take it that it gives
a correct picture of the conditions of labour but jj: the figures given
in it are wrong my remarks wjll be irrelevant. It is recorded in
that statement that in Bobbili the minimum wage is Rs. 8-12-0
and in Hospet Rs. JM2-0, in Etbkuppaka Ks. 8 and Vuyyur Ba. 13.
In all these the number of days for which payment is made is 26
whereas in the Nellikuppam .factory the workers get payment for
28 days. For some reason or other it has been the practice in the
Nellikuppam factory to pay the workers for all the days *hat they
work and in addition for two Sundays. If therefore 1 j-use t-bo
minimum wage of a worker in the factory to 11 annas as 1 'n tended
to do it would be placing the Nellikuppam Sugar Factory at a e mi-
raercial disadvantage. Secondly the minimum wage at present
obtaining in this factory is 9 annas as is seen from Kxhibit 1. In
passing I may observe that there are women who are paid six annas
a day. When this was brought to the notice of the representatives
of the management who appeared before mo they stated that I may
fix any wage for them as they propose to discontinue the employ-
ment of women. There should be no distinction between the wage**
paid to a man and a woman. So from 9 annas to 14 annas is a big
jump,

7. Another consideration for me to adopt the suggested scales
is that wage has to be* considered along with the dearness allow? ace
paid. A working class fannlv nowadays consisting approximately
of five members has been held to require in Madras Province some-
thing between Rs 45 and Rs. 50 a month as a hare minim nip.
Fourteen annas a day would be just n living wage if the clearness
allowance is about Rs. 25, making a total of fts. 47. The 'lea me as
allowance which the workers in this factory got was Rs. 28-JO--0 in
April 1948 and the d earn em allowance has been almost the same
for the last three or four months. Therefore also with a minimum
of 12 annas the income of a worker will be in the neighbourhood of
Rs. 48 to Rs 49 which will meet with the just demands of labour.
In the case of skilled rnn what T have adopted is in accordance with
the other industries taking into consideration the dearness allowance
also,

8. On the one band the management has been saying ',Kfrt lljey
cannot bear any heavy burden on the labour cost and thai production
IK going down and coni?)etitiori is likely to rome a* soon as the slump
sets in and that the realization from the sales is not so high as lo
warrant any increase in the wages. On the other band the Union
has been representing that the com pan v has made enormous profits.

9. Two important points have to be first indicated, A not,
insignificant part of the business done bv this factory is in <JKUI-
leries. From October of this year with the introduction ?f prohi-
bition throughout the Province this part of the bufunee* will hove
to be closed down. Distillerv is a subsidiary business and wen if.
an Mr. Gumswami suggests, it mav be converted into a manufacture
Of power alcohol, T do not expect that the results will be so attractive

266 GOVT. ORDEttS ON THE RECOMMENDATIONS OF

as a distillery in the matter of profit. Another factor which should
be noticed is that the company has set about introducing rationali-
zation in the factory. This rationalization scheme is not uncon-
nected with the changes which may be introduced in tho distillery.
With rationalization a certain amount of retrenchment is inevitable
but I have been assured that there will be no retrenchment of hands
when the scheme is completed. At^the same time retrenchment
would necessitate the reduction of certain hands in certain sections
of the factory. Less number of men will be enough in a certain
operation as the machine will hereafter do much of the work which
.the men are now doing.

10. In view of all those matters 1 recommend that this ? \\ard
shall be made binding on the parties only for a period of six months.
It will bo open to the management no less to the union to revise
the wages as well as, if necessary, any other matter relating to the
conditions of service. The next crushing season will commence
some time about December 104ft. Therefore this award n.-ay be,
.mncta valid and binding till the end of December 1048.

11. In class A there is no increment given to anybody. All of
them start their career and end on nine annas a day. These are
ungraded and unskilled workers. Tt is true they aro on the lowest
level of manual labour. Even they must, T fancv, have an incentive
to work in the same institution for a large number of vears. It is
difficult to decide a wage, which is adequate in respect of such T.I en.
The only criterion which is obvious is that thev should l.ave a
reasonable amount to lead their life in a decent manner. Tt is clear
ihat nine annas is ridiculously small for anyone. Ml these men
are working all the time in the factory. T have therefore decided
to revise their wage from nine annas to the grade of 12 annas to 14
annas the annual increment being half an anna. Then omg to
the B class workers they are described as graded unskilled workers,
and and D classes are also similar to them, but the tvpe of \v.\rlf
which they do is more responsible. All these start on nine Jtnrta?
as in the A class. Even where workers are designated as tmikiflefl
there are different types of men even arnonsj the nn skilled and there-
fore higher pav to some is desirable. A man who works in the sun
nnd one who does more arduous work must be paid more than the
very ordinarv manual worker who carries earth from one place to
another. Also men who have knowledge of certain implements or
tools or instruments and men who are able to understand what is
one inch spanner or to put certain machinery in order or :o record
metre readings, though thev are unskilled, should be paid * little
more than what is paid to purely manual labour.

12. After the unskilled come the mnistrin over the unskilled ^nd
waifltris who do a little work also besides supervision and maistris
over skilled whom the company choose to call " experienced trades-
man ". . The difficulty will be to fix the salaries of these naifitris
which should be a little higher than whit {he workers *hemselve
get, Taking into consideration the several aspects of their wrrk,

INDUSTRIAL TRIBUNALS OR ADJUDICATORS

367

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468 GOYT. OBDERtt ON THE RECOMMENDATIONS OP

13. With regard to clerks and other staff, although Mr. Davis
mentioned that aftdr the Madras adjudication he has Adopted the
same for the Nellikuppam factory also, 1 find that this clerks are
started on Rs. 40 and not on Rs. 45 and in the case of writers their
probationary salaries are given as Rs. 17-8-0. L indicate below ihe
recommendations 1 make in respect of the clerical staff, works staff
and typists i ^

'proba-
tionary Salary.

Clerical staff-

Writers and cano ataff .. .. 20 2fi 2 4fi.

Pfo-grade . , ...... . . 35 (No change).

Cfradetl ........ 35 45275.

Grade 1IC ........ ,. ftl -384 (Xo change).

Grade V ....... .. 70 5-120 (No change).

Copy typists

Cfopy typiflta ........ 35 40268 (No chunge).

"8 " Grade ......... 40 46-384 (No change).

"SS" Grade ........ 65 70 5 155 (No change).

Watch and ward ...... . . 20 127 (No change).

Transport

Drivers ....... 315 245.

Senior drivers . .

Lower grade
Peons and messi 'rigors
Senior peons
Cleaners
Chokras

40275.

20120.
26135,
20-i25.
5 }- 20 (not t, be older

than 21 years of age).

14. These revised rates will come into force from 1st Tune 1948,
i.e., their salaries for June 1048 payable in the first week of July.
T would like to give an Idea how revision may he made.

15. A class workers as per Kxhihit 1 should he given an incre-
ment of 1/3 of their present rate. From 1st June 1948 all of them
will get 12 annas a day.

16. B, C and T) class workers should be given roughly 5/0
increase over what they were getting before. Wherever a man van
getting .9 annas he is now to be paid 14 annas and the increase is
6/9 over hi old rates. The maximum of "Re. 0-13-6 is now r.iised
to Re. 1. So in the higher grades existing incumbents should h;
gi^en on the average 45 per cent increase. Wherever there is a
alight variation that should he adjusted in conformity with reason.

17. "E and F class workers get 1/3 increase over their piesent
rates. It will be seen that for E class the lowest wage is lie. 0-15-0 ,
if 1/3 is added, but it is rounded off to Re. T so that it rnav not 1 e
lesij than the lowest pay of a D class worker. Therefore E and F
class workers should be given a 1/3 increase. Casual labour may be
given aih inpreafe of 25 per cent over the existing rates.

18. Difficulty arose as to what should be given to the 'nnistris/
With regard to G class maistris who supervise the work of \ class'

no maifttri should get less than TJs. 25 and he wa* still no\v^

IMUBUtfALS ou AJJJ4J1MCATO&8 ^9

getting Us. 22-8-0. The increase in the ca&g of maistris m ih

G class shall be in that proportion, VMS,, li-1/9 per cent lor juator

and 9-1/11 per cent for those m senior grades. Similarly attout

classes JH. and 1. The K clas* workers have jM>t jbeen given any

increase because then- salaries are adequate. Towards Ike *d <af

tin* arguaaentB in tlve case 1 was informed that the piwa men

LH given -an increase of Ks. 5 by the management with

effect. That would mean Its. 37-8-0 to KB. 65. I have

ir* reconmiojad Its. 40 to lis. 65 for them, and these belong h. J

class.

19. One other point \vhich nia> bo mentioned is about the
condition of the sugar industry and whet'her the increase will be
a heavy burden on it. L need not spend much time over it as
everyone knows that the sugar industry is au exceedingly pros-
perous one at the present time. The price of sugar is soaring so
high that every one feels convinced about it. Apart from these
general observations 1 have before me a statement furnished by
the management themselves to uliow the manufacturing cost and
proftts (Exhibit 111). The profits from other items manufactured
by the factory are also there, and it is no small amount. Only
as regards the cost of labour J wish to draw particular attention
to one tabular statement contained in Exhibit 111. Whereas in
J944 the cost of labour and clerical and works stall in Is'eth
kuppam was Us. 8,84,001) it is to-day lis. 10,05,000. The per-
centage of increase from 1U11 to 1917 is 100. The increase in the
amount paid to the covenanted stall during the corresponding
period is 160 per cent and what is more, tihe Jjoudtm ufik'e expen-
diture of this company which was K*. -10,500 >m -.1941 is now
Ks. 1,42,000 in 1947 an increase of 250 per cent. The Directors'
fees have increased to Rs. 1,38,000 m 1947 180 ^or cent over the
1944 figure. In the face of these figures it is needless to discuss
ihe present subject any longer. The London office expanses, flu;
Directors' 'fees and the covenanted staff's salaries .should be
teduoed to the same 100 ,per cent level of increase as the clerical
and labour staff's salaries in order to make them contented. The
increase, therefore, that 1 have recommended and tjhat too for six
months only, is by 110 means a burden on such a prosperous com-
pany as this. The increased price which they arc paying for
sugarcane is not particularly a burden on the company as -fchey
have thrown thai burden cm the, consumer.

Issue No. II. Whether the jirettGiil mvthvd >of filing
allowance should be replaced by the rale of three arwa*s per (
and 41 should he the same for all classes of emp,loyees.

20. At present ihe dearness allowance paid ,to the, oiqrks .is at
II anna-s ,por .point on the. cost of living index. ,It ifi the -same in
Madras. The dearnoss allowance paid to the labour f however, in
slightly different. From 108 l<> lliJ.pomts one rupe is allowed
and thereafter at two annas a puint on the cost of living index

OO'VT. oklJttktt Ofl TiLE UECOMM&NbATioMb OF

prepared lor .Nellikuppani. Tlic company takes the Madras City
indices lor the several groups sucn us iood, luel ana lighting,
House-rent, etc. ior instance whereas in aMauras iood is given
Ob per cent weightage in calculating tne aadex, the jN eiiikuppani
percentage is r to. House-rent which is il-3 in Madras is given
2-y in j^elnkuppani. The result oj Una lias been, that the ^v#lu-
Kuppatu cost oj Living inde^v is alicays sttghity higher than Madia*
City indejt. Ab long as the company is proceeding on tonic
M jentihc basjs in arriving at the coat oi living maex, 1 do not
think it is proper to disturb u. It is lor the uovernmeni to lay
clown a policy lor the payment ol deaniess allowance lor ail indus-
trial labour common to all or variable according to diilerent places.
.Nelhkuppam is on the countryside and ^et when the company has
uxed a higher rate ol cost 01 living muex b) laK.ng into account
the conditions ol hvmg in that locality one cannot pronounce tc
be wrong. \Vith regard to the clerks there is no need to make i
differentiation between a clerk in Madras and a clerk in JXelli-
kuppani. The clerks in both the places are liable ior transfer Irom
one place to the other. Alter the adjudication relating to the ^ame
management in the beginning ol 1917, 1 understand the same
bcales of dearness allowance have been introduced in .N cUikuppam
also. Uniformity, therefore, at least to that small extent is desir-
able. 1 accordingly hold that the dearness allowance at present
being paid to the clerical stall as \\ell as to the labour force in
Nelhkuppam is adequate and should be maintained. .No change
is therefore necessary.

Issue No. 111. Whether nujht shift work should be paid by
night shift allowance of i the daily rate.

21. The argument that has been advanced by the manage-
ment is that there is no such thing as a night slult workti. 1
have been informed that in England there are only shift workers
and shift workers are paid a little more than ordinary workers.
Bhift workers are those who by rotation have got to do the work
during night also. Whatever may be the conditions in England,
in India we are accustomed to a different interpretation. There
is no such man as shift worker contrasted from an ordinary
worker.

22. In other fields of industry a man who works during night
is paid extra allowance. In railways if a man works after 11 p.m.
he gets extra allowance. In the textile industry the worker ij
paid one and one-fourth for working during nights. /, therefore,
hold tliat the night shift workers shall be paid 25 per cent extra.
A worker is a night shift worker if his period of work takes him
to work beyond midnight, i.e., 12 o'clock. I would like to make
it clear that the night shift allowance should be paid not per hour
but for the whole shift. Tn other words -if the night shift that is
prescribed requires that, the man should bo on duty aftor 12 o'clock
midnight, he should be paid one and one-fourth iraye* for the

TRIBUNALS OK AUJUDICAIOKS 2tl

whole shift and not for t/w (me or tico hours only lhat he ha* to
work after midnight.

Fssae No. /V. Whether the rules relating iv yratiitly and
provident fund shonid be modified by allowing contribution io he
made from deal ness allowance al*o.

*28. Tiie demand on this point is someu hat " obscurciv \vorded.
The demand is thus stated: 4t Retirement honus should be based
on a contribution from the company at the rate of two months'
earnings tor each year of service. The earnings should include
deal-ness allowance."

k 24. There is a provident fund to which the coiLiributiou made,
i* 10 per cent and the company makes a similar contribution.
With regard to those who had no provident fund and who have
put in long service il is represented that " that the company agree
to calculate gratuity in respect of am per od a worker had not been
a member of the provident fund in such a. manner that the w uker
would obtain the same heiieiit as if he had been a member ot' the
provident fund throughout." Tins rule js quite sulutaiv and givey
benefit foi 1 the retiring man which is by no means inadequate.
i<Yom the schedule which the management has filed it will be seen
that non-member of the provident hind has also been given the
nenefit. If in an\ ease the, company lias not kept its word, that
is. did not give that the\ have agreed to give, 'it is for the union
to take up the eause of the worker and get redress. As far as
the rules go concerning provident fund and retirement ben^i'its
the.} are sufficient to satisfy ihe ends of justice. Tn many o'>er
concerns the contribution is i\} per cent and when the contn.bution
is 10 per cent as in this ease it cannot be said to be small.

Issue No. I-'. Whether company should make provision for
payment of compensation to those irho' do not have work tor the
whole year but only for the crushing season.

25. This is virtually an unemployment benefit. It is 'ir<;ed
that the men who are thrown out of employment after the
crushing season is o\er should bo given compensation and my
attention is drawn to the report of Sugar Factories labour
Ei(|uir\ r.'miimitee (Hbalia Committee) al page 7'2 of Indian Sugai
Industrx -lOlfv 17, Annual, where it is said tliat <'ompensatioji
should be paid at the rate, of 50 per cent to the skilled, 25 per -oJit
to the semi-skilled and 10 per rent to the unskilled . T must siy
I am not in agreement with the views contained in <hat report.
This is an agricultural counirv and Nelliknpparn is in thn midst
of agricultural tract and paving compensation to such people 'is
these will have only one effect, namely, to make them la/y, and
moreover I cannot see any principle in this. The man ooim-q to
work knowing that it is the crushing season for sugarcane and
the company "does not get any work out of him, in fact, rarmot
him am work after the crushing season is over. Further it is

36

GOVT. ORDERS ON THE RECOMMBNDATIONK 0#

not on account of any policy oi' retrenchment or any other uut
of the management that the men are thrown out of employment.
Consequently 1 sec* no reason in this demand for compensation
which is therefore negatived.

Issue No. VI. What /* the reasonable amount of leave which
should be allowed as (i) privileye l<'ave, (u) sick leave and (m)
holidays and on what terms?

526. One oi' the important points of dispute which cnlmmai'jd
m the agreement, of 25th February .1047, was the question oi
leave. The agreement provides that the company should grau. to
all workers on its A roll on 80th November J.9lf> and to workers on.
the B rolls, eight i'estival holidays (details given) and ten days'
privilege leave. The ten da)s' leave the} Further agreed <o giv<>
piecemeal so long as Government rules permitted it. Government
has taken the view which m my opinion is not in conformity with
the spirit of the Holidays With L'a} Act ol 1945. The Act sa}s
that the ten days, should be consecutive, continuous and the idea
oehiud this legislation was to enable the worker to have a holiday,
i.e., to be away from work for ten days ut a stretch, but it appears
the Government lias permitted tlie splitting up oi these ten days.
If the Government should prohibit the piecemeal taking of these
ten days, it will then be time to consider whether a few days
extra should be given for am urgent needs. The agreement was
so recent as 1947 and the men are getting the privilege leave for
two days and three days according to their needs, making a total
of ten days in the year. 7 am the n fore nol inclined to increase
the number of days. If however the Government should rule that
the ten days in one siretch should be ^'iven to every worker after
a period of service -of twelve months, then 1 would suggest the
giving of five days more as privilege leave. This matter may be
considered at the end of six months the period 1 am fixing for a
reconsideration of the wages question.

27, The workers are allowed seven day* of sick leave with full
pay or fourteen da^s with halt' pay but this is not allowed to
regular workers recruited niter "Nt December 1^16. The latter are
given sick leave only on loss of pay. T see no reason for this
lifferentiation between the two classes of workers, those reciuited
before and after 1st December l!M6,.r recommend that the sick
leave provision referred to above shall be made applicable to all
classes of workers. If the medical certificate shows that a man
requires a longer treatment either free treatment or fourteen days'
leave on half pay may be given.

Issue No. VII. Whether nil those who have put in one year
service should be yiven the privileges of a permanent employee.

28. In their written statement the management have stated
that after a period of satisfactory service the workers are enrolled
m the regular roll or the regular seasonal roll. We are concerned

INDUSTRIAL TRIBUNALS OR ADJUDICATORS

with the regular roll and no period is mentioned in the statement
of the management. I have, however, been furnished with a
number of cases where persons who have put in four years of
service are still treated as casual labour. This is not satisfactory,
and most of them are working in the workshop. T shall refer
here only to a few so that the company may know what I mean.
Thambuswamy, fitter, lias put in 4 years service, Anandam,
4 years, ft am ami jam , ttj \ears, Atlii Naidn, 'JJ years, blacksmith
Sabapathy, 3 years. Cases like these seem to be fairly large.
Therefore, the union's demand is that nil those who have put in
one year's service should be made permanent. At the same time
I have been informed that the services of some men are termi-
nated after one or two years of service to create a break in the
continuity of service. [ recommend that those who have put in a
continuous service of one year or broken periods making a total of
two years shall be taken on the permanent roll.

No. VIM. Whether the company IK bound lo provide
educational facilities for employee ft 1 chfl-fyen and irhelJier Hie com-
pany ift bound to provide more than irhat it has done for yinng
medical aid to the employee*.

29, On the question of education of the children of the factory
workers there 4 is a hn^e hteratnro continuing dilferent types of
recommendation by public bodies and social workers. What is
being done by this company is a grant of Rs. 1 ,000 to the Danish
Miss'on Society at Pattambakkarn and another grant of "Rs. 1,000
to the Danish Mission Secondary School at NeJlikuppam. These
grants bear the stamp of a donation to the Mission and not to the
workers' children and therefore it cannot- be said that they are
giving Rs. 2,000 for the education of the children, and the schools
are there not for only the children of the workers but for all.
It is said that the children of the workers are supplied with books,
slates and pencils, but it is not stated that they are given free.
Another token of the company's interest 'in the education of the
children is evinced by a clause in the agreement of the 25th Feb-
ruary 1047 already referred to which provide that the company
should endow a scholarship for which they would nive, 7?,v. 2,000.
Nothing has been done in this direction. Tn other words the
agreement stands on paper and has not taken actual shape. The
result of the foregoing discussion of the management's case is that
the management has not done anvthing at all to promote the
education of the children. T am not in a position to decide what
kind of educational facilities T should make the company to give.
Much of the labour troiible is due to the fact thai the labour is
uneducated. Not until the workers in the factories and their
children are well educated will they be in a position to understand
what is good for them, how far any derrmnd of theirs should go
and no farther, and the development of character which is an
essential ingredient in the existence of good relations between the

274 OOVT. ORDERS ON THJB RECOMMENDATIONS OF

employer and the employee. Thing* are merely drifting in the
country without any tangible and responsible measures taken to
give a satisfactory kind of education to the children of the workers
in the factories.' Tf the Rs. 4,000 (1,000 pins 1,000 plus 2,000)
referred to in the management's statement is immediately set apart
and every promising child is given a scholarship that will go a great
way to show that the interest of the management in the ectucn
tion of the children is genuine. Until any such tangible step ,
taken all I can say is that nothing is being done and 1 recommend
that the company should strive their utmost and the frovernment
should compel the company to do something for the sake of the
workers' children . One step will be to have a school with efficient
teachers in the locality where the employees reside. Co-operation
of the Government, the company and the social workers is needed
for the purpose. I leave it at that.

Tssus No. JX. Whether the bonus should be on the same
basis for all categories of employees and hoir is it /<> le deter-
mined, whether in calculating the amount of litmus, fl earner
allowance should also be taken into account.

BO. The union demands that the method of paving bonus
should be the same for the clerical staff and for the workers in the
factory. The company agreed to this in the agreement of 25th
February 1947 but the\ have also taken care to say ihat that was
only for the purpose of conciliation nnd that they would not give
effect to 'it after 1st July 1948 but. would reconsider the question.
T do not know why there is this differentiation between these two
classes of employees. Bonus is paid on account of the profits
earned and the profits have been earned not merely with the*
capital invested by the management but also b\ the labour which
the workers gave in the production of the mann Pictured product,
viz., sugar or lozenges or CO2, or arrack, etc. Labour is not a
small factor which can be eliminated in the realization of profits.
The salary or wage which has been paid to the labour is for
the work which they have done no doubt, but the value of <he
labour must be valued at the money which they have been paid.
Therefore if a man who has invested a caprltal TCa. 10,000 has
obtained a net profit of say Bs. 1,000 and he declares a dividend
which he distributes to the shareholders, the labour is entitled
to ask that the labour's share of the investment should also be
given -to them. What that share should be is a matter of great
controversy nt the present moment. The union in this case
demands that 25 per cent of the profits should bo set apart for
the labour. As at present advised T do not think that T can lav
down that 25 per cent should be set apart. The view T have held
in the past will hold good in this case also, viz., that when a
dividend is declared for the benefit of the shareholders, the same
percentage should he given to the workers pro rata on the wages
which thev earned in the year. It is represented to me that 20
per cent i* the bonus given this year and T should sav that it ia

TVniJSTRIAL TTUBUNALH OR ADJUDICATORS

not low or unreasonable. Now when the worker^ are the
who have contributed to the production >f the manufactured
articles out of which the compan\ has made a profit and the clerks
j'l-c those who only maintained accounts and carried on corres-
pondence the absolute want of reason in denying to the workers
the higher rate of bonus which the company is prepared to pay
to the clerks in manifest, if at all there should be any differen-
tiation between these two classes o' 1 workers Tor ihe purpose o ?
payment of bonus, preference should be given to the workers.
But all they claim is that thev should be put on the same footing
as the clerks in the matter of paxment of bonus. Th"r claim is
quite reasonable and I therefore hold thai both the clerks and
the labour should be paid on the *ame fo'itinir.

31. Another point which has been raised is in calculating the
amount of bonus not only the wages earned but also the dearness
allowance paid should be taken into consideration. That is, if
I wo months' salan or wage is granted MS bonus, a man who gets
Rs. 30 as wage and Ms. '28 a* dearness allowance should be given
2X58= lift. 116 whereas he is now paid only ?X3 or Rs. fiO.
I am not in favour of this suggestion. Dearness allowance is
given not for the purpose of saying or for the purpose of calculat-
ing the bonus at the end of a yenr. It is intended to compensate
the earner for the high cost of things which he has necessarih
to buy day after day to keep his family going. (Jonsrquentlv the
dearness allowance is a variable thing from month to month m
many cases and it is a set off against the rise m the cost 'ihiefh
of foodstuffs. Therefore there is no reason whatsoever in the
' demand that in calculating bonus dearness allowance should a No
he included.

No. X. Whether the siflndiny im/rrs should provide /'</
an employee to wnd (is hiv reprcvnlatioe, in an enquiry ttyainftt
hhn. a person connected with the union.

32. At present there is a rule (hat when an enquiry is made
against the conduct of an employee, he can take with h'n\ any
other man to represent his case. The company has not said tint
the representative shall not be a person connected with the union.
Therefore the rules are sufficiently wide fo allow an aggrieved
employee to take an officer ( >f the union to represent his case to
Ihe management at the time ot :m\ en|ii*r\.

lawn' No XI.- Whether the cum puny is bound, to provide
houshuj f awl Hi ex to their employee* or itt it the function of the
State.'

33. The demand for houses for the workers is another -point
which has been thrashed thread-bare by several pronouncements
bv the Provincial Governments, the Govtrmnent of Tndw, public
bodies and social workers. T im in entire agreement with the

w that steps should be taken imme.diatelv to provide hoii*e for

276 GOVT. ORDERS ON TFfK RECOMMENDATIONS OF

all industrial labour. From the latest communique issued by the
Government of Indi'i, it is acknowledged that providing houses
should be by joint efforts of the management, labour and the
Government concerned. The labour's contribution can only be
payment of rent. All T can do is to repeat whal T have said
in several other awards of mine that early steps should be taken
by the Government and the managements to secure housing
accommodation for the workers in the Nellikuppam Factory.
Although the company says that they accept no liability to build
houses they must now realize it is one of theii duties but in
discharging such duties they can seek the assistance of the Govern-
ment.

34. With regard to medical facilities the company is maintain-
ing a dispensary and there is a creche where a nurse is employed.
Health and welfare of the workers is a subject for the State
which I find is taking steps by way of legislation to secure for
the workers throughout India the necessary facilities. With
regard to efficient medical aid 1 cannot fix any further liability
on the company at the present moment by making them to open .\
hospital.

85. A few more points like promotion and recruitment of
labour giving preference to the workers' children have also been
raised. The company's rules relating to promotion and recruit-
ment meet the demands of the union but it is too much to say
that promotion should depend solely on seniority. Promotion
hould depend on seniority as well as efficiency. Whenever the
union finds that the management has shown either favouritism
for or prejudice against a worker, tfie matter ma\ be taken "to the
notice of the higher officers of the company who, I am sure, will
set right any injustice that is brought to their notice.

36. There is a system of recruiting labour In contract. Tt is
now too late m the day to say that a contractor is necessan to
secure labour. Tn all such cases the labour suffers in more ways
than one. It is said that this kind of labour is employed only
for unloading the carts and wagons with cane. This can be done
by employing casual labour, not necessarily recruited through a
contractor. T recommend that contract- labour should be dis-
continued within one year from now.

Twit* No. XII. Whether in view of the agreement, dated
25t/i February 1947, the workers are precluded front putting
forward the demands before 1*f July 1948.

37. T have already referred to the agreement, dated 25th
February 1947, and said that it was repudiated then and there
by the workers. Mr. Guruswami negotiated the terms of the
agreement with the officers. of the company and obviously he con-
nidered that the terms recorded in that agreement were fair and

INDUSTRIAL TliUJl'NALS Oil ADJUmUATOKS ii?7

reasonable but when he put the waiter before the union, the union
seems to have said that they were not willing to abide by the
terms. The authority of Mr. Guruswami to agree to the terms
was also questioned. Further in the case of agreements, such
us this, there w no sanction behind them such as we find in con-
iracts entered into in other walks of life. There is no res judicata
except to the limited extent, of time Tor which the Government
makes the award binding. There seems to be no ebloppel even
because the workers, are not bound by an\ statement which one
of them was made at a former time. The representative* character
of the person who either makes a statement or carries on negotia-
tion must first be determined before any agreement is incorporated
as binding, and that agreement must be placed before the union
and adopted. Of course 'it is not cjinte in consonance with the
canons of honesty that a union which puts forward one or more
individuals to carry 011 negotiations on their behalf should turn
round and sa^ that the> are not hound by what those individuals
did, but in the absence of regular formalities such us I have indi-
e/iited, one cannot, say that the workers are precluded from putting
forward demands notwithstanding the agreement. Moreover the
agreement is valid only up to 1st Julj 1 c .)4ft and not all the
demands now being considered are included in that agreement.

Dated at Madras, this :ttst May 191*.

r No. 3184, DftdopmrHl , tlaled Ibth June 1918.

Whereas the award of the Industrial Tribunal, Madras in
respect of the industrial dispute between the. workers and the
management of the East India- Distilleries and Sugar Factories,
limited. NelKkuppam, South Arcot district, has been received:

Now, therefore, in exercise of the powers conferred b\ sec-
tion 15 OJ) read with section 19 (')) of the Industrial Disputes Act,
1947 (Central Act XFV of 1U-I7). His Excellency the Governor of
Madras hereby declares the said award shall be binding on the
management of East Fndia Distilleries arid Sugar Factories,
Limited, Nellikuppam, and the workers employed therein and
directs that the sand award shall come into operation on the 15th
June 1948 and shall remain in operation till 31st December 1948.

(By order of His RJxcellenev the. Governor)

\V. li. S. SATTHIANATUAN,
Secretary to Government.

ii?8 CiuVT. OBbliRB UN TUB K K( 'OA1 MEN DA* IONS ofr

XLTV

BEFORE THE INDUSTRIAL TEIBUNAL, MADBA8.

SRI M. VKNKATAKAMAYYA, B.A., B.L.

[lender the Industrial Disputes Act, 1947.]

JN THE MATTER OF AN I^DUSTHJAJ, DISPUTK.

Between

THE MANAGEMENT OJb 1 THE AMEBICAJS AKCOT MIS-
SION INDUSTRIAL INSTITUTE, KATPAJM

and
THE WOHKEKS.

SHI A. V. OANCVADHARA SASTRi , advocate for the management.

MESSES. P. MOSES, M,. GNANAPRAKASAM, M. SWAMINATHAN,
M. PONNUSWAMI, and A. LAZARUS represented the workers.

Subject 1. Whether the workers who work for 8J hours a day
and 48 hoars a week entitled to overtime wages when they work 8|
hours a day.- -Held that so long as the 18 hours a week was not
exceeded there was no objection to working 8} hours a day.

Held also that the wages fixed for 18 hours could he distributed
over 5 days.

'2. Leave. Held that '20 days leave, 10 during Christmas and
10 during Rummer, provided by the Company was adequate.
. Held that the sick leave was generous.

Held further that no one who had been granted lea\e should
be asked to work during the leave period even on payment of extra
wages.

3. Wag en Whether should he monthly and whether should be
revised. Held that the system prevailing in the Institute was
piece-rates and thorp was no rase for distnrbing it.

Awarded scales of wages as per schedule.

Held that the same wages should he paid whatever the nature
of wood used.

4. Whether the dismiwal of inifiani Hameid justified. Held so
long as the worker was satisfactory inside factory no employer
should enter into the private affairs of an employee. Held that the
worker should be reinstated.

Held also that the withholding of the Company's contribution
of tlie. provident fund was unfair.

5. Dearness allowance Whether the difference in rates between
bachelors and married men should be removed. Held that the
Government also observed similar difference in payment of dear-
ness allowance. Awarded Rs. 10 to bachelors and Rs. 16 to married
men as d earnest allowance.

INDUSTRIAL TRIBUNALS OR AJXFUDICATOBS SJ9

6. Whether certain workers should be reinstated. Held that
there was nothing unsatisfactory about these men and that they
should be reinstated if they reported themselves to duty.

7. Whether strike and lock-out legal and whether wages should
be paid for the period from Qth January 1948 to 25th February
1948. Held that the management had no right to insist on the
workers signing a statement before entering the factory and that
the management was wrong in not letting the workers in. Held
there was a lock-out and not a strike.

Held that such wages the workers would have earned had they
worked during the period should be paid to them.

8. Closure of the institute. Held that in view of the threat
made dnring the enquiry that the management would close down
the institute it should be ordered that the management should not
close down the institute for at least one year.

6.0. Ms. No. 3853, Development, dated 21s 1 June 1948.

[Labour disputes Dispute between the workers and the manage-
ment of the American Arcot Mission Industrial Institute,
Katpadi Recommendations of the Industrial Tribunal:
Orders passed.]

READ the following papers :

(1)
G.O. Ms. No. 759, Development, dated 17th February 1948.

(2)
From the Industrial Tribunal, Madras, dated 28th, May 1948.

BEFORE THE INDUSTRIAL TRIBUNAL, MADRAS.

PRESENT :

SBI M. VENKATARAMAYYA, B.A., B.L.
INDUSTRIAL DISPUTE No. 7 OF 1948.

[In the matter of the industrial dispute between the workers and
the management of the American Arcot Mission Industrial
Institute, Katpadi, North Arcot district.]

AWARD.

The above dispute was referred to me for adjudication in G.O;
Ms. No. 759, Development, dated the 17th February 1948.
Messrs. P. Moses, M. Gnanapragasam, M. Swamiaaihanv M*
Ponnuswami and A. Lazarus represented the workers while Sri
4. V. Gangadhara Saetri, Advocate, appeared for the

36

880 GOVT. ORDERS ON THE RECOMMENDATIONS OF

dispute which .was referred to adjudication arose under
the, following circumstances. The Industrial Institute, Katpadi,
makes furniture in- Katpadi and is one of . the activities of the
American Mission. The work is thus mainly that of carpenters
who are trained by the Mission authorities and later on taken
as workmen in the Institute. On llth November 1947, the workers
represented to the Manager of th Institute for certain reliefs.
They also complained of tjie stoppage of certain amenities, such
as, bonus and allowances for children (Rs. 3) and they wanted an
increase in wages. That was practically taken no notice of by the
fliariagfeinent. Finally- the matters came to a climax in the begin-
ning of this year* X)n 30th December 1947, a meeting was held
of the workmen and it was addressed by one Mr. Vasan, said to
be a communist, which the workers denv. On hearing that such
a meeting was going to be held, Mr. Rottschaffer, the Manager,
put up a notice saying ," I cannot atop the meeting nor do I plan
to ask you whether to go or stay awav from the meeting . But I
advise vou that the Institute is working for the same purpose as
all Misdiori activities." Tt is said that at the meeting the lecturer
used unnecessarily strong lancrui^e in condemning the missionaries
ntid their activities and in unbecoming language. Exhibit TIT is
said to be extracts from that speech but the workers say it is not
correct. After the meeting was over, things went on peacefully
until 8th Januarv ]948. On tint date at about 10-30 a.m., all
the workers were asked to as^rnhif* in the offW and so. they feft,
their work and went there. Th^ they were loU that they rim* 1 '
sign a statement similar to Exhibits IV series. Some complied
wittf rt arid while things were going on, one man is said to' have
shouted " "Don't sign it " and the rest desisted. The doors of the
factory were closed. The workers went home and when they
returned, thev found that their tiffin boxes and other things which
were left inside the factory were brought outside and the factory
itself 'was closed. They then went home with their thmgs.

8. Next day, when they returned to- the factory, Mr. Deveries
was standing at the gate and so was Mr. 0. John, the foreman.
The workers were informed that onlv those who signed the state-
ment as per Exhibit TV could go inside, otherwise ,not. As, yras
to.be ;expected, a, few signed and went inside but most dd nor.
It appears that some foul matter was thrown inside the houses
of three loval workers on the night on 7th January 1948. T cannot
understand what is meant by-, the expression ' loyal workers ' as
until 8th Januarv. 1948 there was no reason to Differentiate the
16yI from the disloyal, and all were of the, same mould. Ronje
vf&ei adopting tfce * go-slow ' policy it seems, but it is difficult to
say who f 'adapted that; 'c9urse. In any event those . whom" tl^
frtn*einent : <$tiftsidered ' loval ' seem to have suffered the alcove;.
vifc., -thro^feg f# fofcl' matter into their Houses, ffritfl this day 'ft
is not known who did it. When the management insisted on" 'all

INDUSTRIAL TRIBUNALS OR ADJUDICATORS 2S1

workers signing the statement and they refused, the factory re-
mained closed from 10-30 a.m. on 8th January 1948 until 26th
February 1948. Government ordered adjudication in G.O. Ms.
No. 759, Development, dated the 17th February 1948, and on the
same date prohibited the continuance of the strike and the lock-out.

4. As will presently be Jjeen, most of the -points except the
question of wage, are very simple for settlement. It is unfortunate
that a small incident has unnecessarily been aggravated into a
dispute.

-5. Issue No. I. Whether the workers are working for 8J hours
a day and if so, are they entitled to extra remuneration?

For some time past the working hours have been 8| hours
on five of the working days and on Saturdays 4J, making a total
of 48 hours in a week. There is no statutory objection to this
but as the workers were working f hour extra every day more
than.8| hours, the management was giving 2 annas per rupee of
the earnings of a worker every month as extra remuneration. In
October 1947, this was said to be an infringement of the law by
th6 Factory Inspector and therefore it was stopped. This matter
is not sufficiently clearlv made out in the written statement. What
happened was this : the hours of work were as stated before 8f
hours per day. It is unexceptionable so long as the weekly 48
hours is not exceeded. But what actually the management did
was to add an extra f hour to this, making it 9J hours a day for
five davs and 4^ hours on Saturday. Therefore, the total number
of working hours in a week was 52 hours and the Inspector of
Factories rightly objected to this, and the management reverted
to the 8? hours a day. This happened in October 1947. As a
result of this curtailment of work from 9J hours to 8^ hours, the
workers became disentitled to the extra remuneration of 2 annas
p6r rupee which the management was paving on account of the
extra f hour of work over and above the 8f hours. The manage-
ment stopped it but in November 1947, on the application of the
workers, they restored the 2 annas per rupee.

6. So far as the hours of work are concerned, it is manifest that
the management are within their rights to allot 8? hours a day for
5 days and 4J hours on Saturday as the weekly period does not
exceed 48 hours. In the course of the argument, it was difficult
for me to find out what really the workers would desire whether
they wanted to work for only 8 hours a dav for all the six davs
in the week, or work for 8$ hours a dav for 5 days and get.half the
Saturday and Sunday off. For a long time, they were unable to
come to a decision, but upon discussion with them yesterday (27th
May 1948), I think the more advantageous scheme of work would
be what now obtains, viz., 8f hours for five davs and 4* hours
on Saturdays, making a total of 48 hours a week. This shall be
adhered to.

282 GOVT. ORDERS ON THE RECOMMENDATIONS OF

7. With regard to payment, it is obvious that the wages are paid
for a week of 48 hours work. Actually the men work for 5} days
in the week and the wage rates have been fixed for a week of 48
hours which is divided into 5| days. If it is to be divided inta she
days, they will have to work for 8 hours on all the six days and the
wage rate per day will proportionately be reduced. The workers
have just now understood this point. Therefore, the existing system
of payment will continue.

8. Issue No. II. Whether the monthly or weekly paid workers
ore entitled to 5J days or 6 days wages in a week if they work 8|
hours a day and total of 48 hours a week.

By virtue of what has been stated under Issue No. I, the
men should be paid 5 days wages, that is to say, they work for
48 hours and 48 hours work means one week, even though the
period of work is actually 5| days in the week.

9. Issue No. III. (a) What is the amount of leave which
should be granted as (f) privilege leave, (ii) casual leave and (Hi)
sick leave with pay?

(b) Whether the summer and Christmas leave is being given
as stated in the management's written statement.

The first part of the issue really does not arise in view of
what follow. The system prevailing in this institution is that
every worker gets 10 days leave during Christmas and 10 day*
leave during summer with full pay. I am also informed that siclt
leave is usually granted and there is no period limited. It depend*
upon the nature of the sickness. With regard to leave during
Christmas and summer, the workers also admit that is the case,
but they say they are not allowed to enjoy the leave but are com-
pelled to work without extra remuneration. When the manage-
ment say that leave is being granted and have filed a statement
showing what extent of leave has been taken by the workers in the
previous year, I cannot see what T can do to the workers. Tf leave
is not granted when they ask for it, the matter should be reported
to the Factory Inspector who will do what is necessary. Exhibit I
shows the number of days of leave (ordinary) and the number of
days of casual leave and sick leave taken bv the workers. Thr
total number of days is in some, cases 20 davs and in one case,
Sigamony, 30 and in another case, Arunachala Achari was given
1 months leave on account of sickness. When the sick leave is
thus on a generous scale, I do not want to limit it to a period of
7 davs or so which will be to the disadvantage of the worker.
The 20 days leave 10 during Christmas, 10 during the Summer
is adequate.

10. It was mentioned on behalf of the management that even
though the leave is allowed to the workers, some of them, however
express a desire to work during those days and they are |>aid
wages for that period in addition to the salary during leave. Th0re

OK ADJUDICATORS &&

is no use in con fcro verting these facts when the records allow that
many people have taken leave, I think it is better the manage-
ment does not permit the worker on leave to work at all. All that
1 propose to do is that 10 days leave during summer and 10 days
during Christmas shall be given and no one who is granted leave
bhouid be permitted to won* during the period oL that leave.

11. Issue No. IV. (a) Whether the piece-rate should be
replaced by monthly rate jor ail workers.

(b) Whether ike present rates should be revised, i) so,
how V

(a) There is a demand that the workers should be paid b^
the niontn, i.e., time-rate instead oi piece-iatc. In the nature 01
things work in an institute such as iins should be on piece-rate
system and it has been HO over since us inception. \Vhai is done
is a man is asKed to do a particular item oi' 1'urniture, say an
almiran. ll'or that a wage is iixed. l r or ti unit ot almiran, the
wage is Ks. 30 at present and it was Ks. "20 toimeii}. It depends
upon the man to nmsh the almirah m a lew it ays and earn the
Its. 30. But il! he takes a month to make it, he will earn only
Ks. 30 for the month. It is a good incentive to quick despatch 01
work to place a man on p.ece-rate. i loathe to disturb the existing
system.

(b) There was 110 revision oi the wages lor a considerable
time. The wages were bxert in 192u and ever since remained th<
same until quite recently when an increase was made. The in-
creased rates are shown in tne statement hied by the management
as Exhibit VJLL. The increase was from Ks. 8 to Us. 10, Ks. 5-b-O
to lis. 8, Ks. 32-&-0 to its. 40, Us. 3-4-0 to Ks.4-tH), Us. 20 to
Ks. 25, Ks. 30 to Ks. 37-b-O, Ks. 25 to Ks. 35, Ks. 10 to Ks. 13
and so on. Apparently they take into consideration the nature ol
the work and hx the rates. I atn unable to see any reason to think
that the increases given are low.

It was mentioned that i'rom October 1947 an increase of 12J pei
cent has been given and with the increased wage and dearness
allowance there are 8 workers getting between Us. 30 and Ks. S5,
21 getting between Ks. 55 and 60, ^ getting between JKs. tfO
and Ks. 90. The schedule on page 4 of the management's state-
ment gives details. Between Ks. 20 and Ks. 30 is given only to
young men who have joined about a year or less ago. The workers'
side was not well represented and those who appeared were unable
to say whether it is true they had the 1^ per cent increase from
October 1947. Yesterday both the parties mot before me and the
matter has been discussed. No increase of 12 J per cent has been
given from October 1947, but when the workers agitated for the
restoration of the 2 annas per rupee which the management was
giving from April to October 1947, the management continued to
pay the 2 annas per rupee on the earnings of every worker during
the month. But this has to be regularized. Exhibit VII showt
in the first column the wage rates which was prevailing in 1926

37

GOVT. Ofci&HS ON THtt KilCoMMKNDATlUJSS oi

and lift nefct column allows the wage late in existence in the
ftogittning of 1947. The difference between the two reptesdntfc the
tot*U of the iiUtf eases given between 1026 and 1947. With the
1$J pltt: gettt increase which I ain now allowing to the wage rate
I am of opinion that the workers would be getting a fair deal.
The rate's to be allowed hereafter will be what is appended to this
award.

12. These rates should be strictly adhered to b) the manage-
ment and no deviation should be nwde either on the ground that
jungle wood or country wood is being given and not teak wood, etc.
Mr. 'Bottschaier said that the} do not use anything other than
r6sew66d Or teakwood, and if lor any customer country wood is to
toe 'used that is no reason wh} the rate should also be altered for
the sake of the customer. Therefore it must be a rule that the
fixed in the appendix hhall be applicable ju all casew for the
items ol work described therein, whatever may be Iht.
htiture of the wood used. J say this because it was brought to m
Ubtice that Bs. 8-4-0 was the * coolie ' fixed lor a work while in
the schedule the rate was Hs. 3-8-0.

IB. Workers have been pressing before me that enormbU*
profits are being made by the management arid although gewe'rall}
Katpadi furniture is known to be a costly affair, it is possible, b)
exporting the finer articles of furniture or art to America, they
may be making a good profit. But all this IK beside the point for
our present purposes because the wage rate is fixed not with refer-
ence to profits earned but with reference to" the degree of skill
which the man has to exhibit, in producing the article concerned,
and also the arduous nature of the work or otherwise. All these
factors have been taken into consideration in arriving at the con-
clusion in the appendix fixing a fair and reasonable wage.

14. Issue No. V. Whether William. Samuel was wrongfully
dismissed; has he been given hi* provident fund in full? If not,
. fe deduction justifiable?

William Samuel is reported to be an efficient worker and he
was removed from service and he applied to the Comrniotfoner
of Labour, and it is referred for adjudication. Tn his application
he 'said that he was removed owing to irregular attendance but
the management have stated that he was removed because of his
bad character. In the statement filed on 14th April 1948 on this
subject, it is said that he lapsed into his " old ways of life " and
consequently his attendance became irregular. It was revealed at
ihe time of the arguments that bis work has been satisfactor) ,
tut ttiat a Christian institution like this cannot allo\\ a man of the
character of William Samuel to work in the institute. It appears
'that this man has got a concubine when he has a wife toviitg anVI
lie was asked riot to have the coucnbifie, and 'once or t\\ice'1if
represented that he would not have her but he continued to have

INDUSTRIAL TBIBUNALJ* QB ADJUgJjC^TO&S

>yitb her. Bgfo*e me he represented that
deserted him and the Mission authorities would not obtain fop
a divorce and that the pastor usked for a sum of Hs. 200 for getting
the divorce and these are his troubles. / think no employer should
enter into matters concerning the private life and it is not within
Wft frpvince to go, into thes<> matters. Whether he is at favtft 01
his wife, so long as his work^is satisfactory in the institute, bis
keeping a concubine is no reason for dismissing him. What ?s
worse, he has produced a receipt for the provident fund amount
paid to him, which shows that he was paid only his contribution
and the management's share of the contribution is noted as 'Nil,'
*ide Exhibit VI. This really is unfair. In view of the above
facts, Samuel William should be taken back into service but he
will not have any pay until the date of his joining. He must
report himself for duty within two weeks from the date of publi-
cation of this award.

15. Issue No. VI. Whether the distinction between bachelors
and married men with regard to rate of clearness allowance should
be removed and all paid al equal rate.

Bachelors are paid Bs. 8 as dearness allowance and the
married men are paid Es. 16. The differentiation between bache-
lors and married men with regard to payment of dearness allowance
exists, even in the dearness allowance paid In Government jO
certain officers and there is also reason in it. Even Government
gave to unmarried officers more than half of what they paid t
mamed officers as dearness allowance. T tlunk it was 10 per cent
and 17 per cent respectively. Whether it should be half of whufc
is paid to married men is a different matter. Here also it may be
same as in Government. T recommend that the bachelors should
,'jet Bs. 10 and married men Es. 16.

16. Issue No. VII. Whether A runachalaw , Saitfeevi and
Vasudeva chart should be taken back.

These tfyree workers shall be permitted to join duty in the
institute. It appeals that Vasudevachari was asjced to prqduce a
medical certificate anc| hr pro<]ucr,d it and be was not allowed.
Exhibit A is tbe notice whicli was put up aftrr the strike and
lockout were prohibited. Tt is dated 21th February 1948. It is
mentioned that all the workers who are willing to work might conic
and the factory was open, but no time-limit was fixed and all of
them were asked to join immediately. These three people were
in far off villages and on their behalf it is mentioned in the
workers' statement at page 2 that some of the men came late " aa
our communication reached them late." There is nothing parti-
cularly unsatisfactory about the conduct or behaviour of these three
men and if they report themselves witbin two weeks from the da** 1
of publication of this award thov shall be token back into service.
Fav, however, should be pnid from the dn<e on which they repoit
for

$86 OOVT. ORDERS ON THE BECOMMENDATIONB 'OF

' 17. Issue No. VII. (a) Whether there was a strike on 8th
January 1948 or a lockout. Were they legal?

(b) Whether the workers should be paid wages during the
period from Sth January to 25 th February 1948.

In the opening paragraphs of this award the incidents
which happened in the first week of, January have been mentioned.
It is obvious that it was a lockout and not a strike which happened
on the Sth January. Even Mr. Eottschafer admits that on Sth
January 1948 the men were woi'king in the factory until " we
called them to office at 10-30 a.m." 1 have already mentioned
that the management wanted them to sign a statement that they
would obey the orders and so on as per Exhibit IV and as that
was not done they were not allowed inside the factory that after-
noon or the next day. Why should the workers be asked to s:gn
such a statement at thai particular time? Because somebody
threw foul matter into the houses of some workers, the whole body
of workers ought not to be punished in this manner. Moreover,
why should the management take upon its shoulders the cause of
the men whose houses were defiled. Mr. Kottschafer says that the
men came back in the afternoon of 8th January 1 ( .HS at 1-30 p.m.
and they were paid their salary for the previous month and they
were in the bigger courtyard the whole afternoon. The next morn-
ing the engine stokers did not turn up for work and Mr. Devries
was at the gate and asked them to stop and advised them to
come to a proper understanding and later Mr. Bottschafer
himself went there. He read out Exhibit IV and they refused to
give the slip of paper duly signed although Mr. Bottschafer ftaid :
11 The place is open to you. I invite you to come." But all these
words were accompanied by the direction that thev should sign the
p. lip of paper. Tt is clear that the men were under no obligation
to sign a statement such as this as demanded by the management
and consequently they (the management) were on the wrong in
not letting the workers in after they were called of! from work at
10-30 a.m. on 8th January 1948. I therefore hold that it was not
a strike but a lockout which happened on Sth January 1948.

18. The statement which was demanded bv the management
was to the effect that the workers would implicitly obey the orders
of the management. There is no need to sign such a statement
because a servant is bound to obev the master's orders. The whole
thing seems to have arisen on account of that meeting on the
80th December 1947 which the men attended. If the manage-
ment did not like that the workmen should attend it they should
have plainly told them so. Having permitted them to attend the
meeting (bv not prohibiting) and putting 'up notice referred to in
the beginning of the award, the management cannot sav that their
attending the meeting was anything 1 in the nature of a misconduct'.
In these davs of many an adventurer turning up for getting a
leadership of labour, the management ought not to become excited

INDUSTRIAL- TRIBUNALS OR -ADJUDICATOKS 387

for what the lecturer aays. 'Oftentimes they are irresponsible
men who use unnecessarily provoking language. Tf the attending
of such a meeting has led to a deterioration in the work or
behaviour of the workers I can understand, but in the present case
the workmen were doing the work as usual and without any kind
of change in their attitude towards the management. Therefore,
I am definitely of opinion that the management were not justified
in demanding either an apology or a statement such as is contained
in Exhibit TV.

19. It follows that the management which kept out the workers
from work should pay wages. They should, therefore, pay the
wages which the workers would have earned if they had been
on duty from 8th Januan to 25th February 1948. They being
piece-rate workers the amount to be paid to them during the above
period should be the average earning which they earned in the
previous three months.

20. One other point is mentioned by the workers and that is
that not all the workers are permitted to join the provident fund,
but only the Christians. Tfcfv /* a fact until now. but they haw
informed me that the Hindht workers will also be permitted lo
contribute to the provident fund in future. There is no need to
make any recommendation on this point.

21. Lastly the management has been saving to (lie workers
and also before me that they would close down the institute. This
looks more like a threat to the workers that they would lose their
jobs, and the management also says that they are not a profit
making concern and it is more on a philanthropic motive that the
institute is being run. On the other hand, the workers have been
saying that the management is making huge profits and in fact they
have mentioned that certain articles like the rosewood elephant,
which is a work of art, are being sold at exorbitant prices whoreas
the wage paid is relatively small. There is no doubt that the
institute is making profit and that is enough for the present purpose.
Tt should be distinctly understood that the recommendations made
herein should not be taken with a feeling of resentment against
the workers. The philanthropic motive mentioned before me
should lx; constantly held in view to provide employment to them,
to make them better citizens, to make them better Christians if
T may say so, and' to make them more prosperous, which is the
most important matter in these days. 80, T should add a recom-
mendation that the management shall not close the institute, or
deprive the workers of their employment for at least one year from
the date of publication of this award.

(Appmidi*

OF

Schedule <tf rote* /or different ftwfe of artfcJe* 1946, 1047 and new rate*,
Deswi&to*. i 94 fi t m ? t

Furniture

BS, A. *.

A. p.

we. A. p.

Dresser with long mirror

Modern sliding chair
Magazine and lamp stand

Ring arm sofa /
Do. chair J

Dresser, 4 draws with mirror
Jacobine neat of 3 tables
Q.A. sideboard

&
?(

*
fl
*
(
C
IS
12
32

) (
) (
J <
8
) <
1 (
I (
* (
C

g

)
)
)
t
) 0"
)
> OJ
>
I

o

l(

fl

1

2C
18
4(

) (

) C

> c

(

)

>

>

ft

33 li
22 f

11 '

9 C
33 li

22

20 4

Af> f

OOOo OO<

Annfes&ohair

3

4

o

4

g

V

40 \

51

' V

Arm chair

4

c

o

U

g

In

J
60

China cabinet

15

20

V

c
22 8

o

Dinner wagon

10

12

8

14 1

Meat safe

10

11 4

Pineapple bed

11

8

12 15

o

Q.A. sideboard '

32

8

40

6

45

o

Sideboard (Conieeveram)

25

28 2

o

Q.A. ohair

3

4

4

8

5 i

o

Q.A. arm ohair

4

4

5

8

6 3

o

Jaoobine dining table

20

26

29 4

o

Oompactum

38

50

56 4

o

Q.A. sofa

12

13 8

o

Q.A. chair

8

9

o

Small oempaotum

32

40

6

o

45

Q

Dming table

18

25

28 2

o

Neat for four tables

8

12

13 8

Reclining chair, rosewood

4

8

6

6 12

o

Reclining ohair, teakwood

4

4 8

Victoria cabinet

15

20

22 8

o

Q.A. writing table, 3' X 2'

8

8

12

13 8

P. Sewing cabinet

4

6

6 12

M. Sawing cabinet

8

10

11 4

o

Dresser 24' JL 3 mirrors ]
three draws and oupboard j ' '

14

20

22 8

Dresser 24* H- with one mirror

12

17

S

19 11

Q

Three-set dining table
Six draws dresser with mirror . .

40
18

25

45
28 2

o

Five draws dresser with mirror . .

17

24

27

o

Reclining eofa chair
Two reclining sofa

8

000

30

33 12

Baby cot

8

12

13 8

o

Rosewood bed

9

15

16 14

o

Jacobine .writing desk, 4 legs . .

18

22

8

25 5

Bungalow book case
Folding ewwas ohair

15

4

20
3

8

2$ 8
S 15

Jacobine writing .desk,, 8 legs ..

20

25

28 2

tf odera dining table

on

A

25
07

28 2

O ft

Piano stool 3 ...

u\f

6

o i

42 S
6 12

Tilt top table

2

g

Carving cheat

18

20 4

o

Double pedestal desk

25

35

6'

89 6

y

o

Double pedestal desk with cupboard .

27

37

8

42 3

Single pedestal desk

15

20

22 8

o

Cot with wooden bottom

10

15

16 14

o

For mattress and curtain poles

10

15

16 14

o

Sliding sofa and chairs with pocket
jlofcewooJ catalogue chair

22

2

4

30
3

8

33 12
3 1^

INDUSTRIAL TJUUUNALS ou

Description.

1946

H8. A.

p.

1947.

US. A. P.

Proposed .

KB. A. P.

Furniture con*.

Ofeakwood catalogue chair

2

3

3

6

Bed with curtain poles

10

*>

Bed with curtain poles and reeper

12

. .

13

8

bottom.

Unit almirali .. .. '.'.* ..

2
20

8

o

4
30

o

o

4
33

8
12

Shelf ahnirah

18

28

8

Hanging almirali

17

25

28

2

Jaoobine chair (armless)

4

5

8

6

3

Hakkim rocker

6

7

8

8

7

Arm rocker

4

8

6

6

12

Swing rocker

3

4

4

8

5

1

Modern low table

2

8

4

6

5

1

Book case, drawerless

12

8

17

8

19

11

Book case with drawers

13

8

20

, 22

8

De Virus end table

7

9

10

2

China cabinet with ornamental feet

24

30

33

12

Hall stand

7

'0

10

o

1]

'4

Tailor-

One bus, complete (21 seats)

12

()

<J

,13

8

One lorry (any size)

3

3

6

One car seat covers

3

8

'

3

15*

" One bus seat covers

2

' #

o

2

13

One oar top -

4

o

4

8

o

Carvers

Monk table .

70

80

*".io

o

o

Full elephant .

1

8

2

*2

4

i)

Relief elephant .

1

4

ft

1

8

I

11

Fruit bowl

4

4

8

5

1

o

Collection plate .
Three elephant set

3

7

8

4

8

4
9

8

SIMing book rack pair

10

12

13

6

P. and E. table book rack

1

1

"4

r

G

Jacobine legs per foot

5

8

9

Nut of three tables beading

3

4

4

6

Lamp stand jaoobine

1

1

8

1

11

Sewing cabinet (oar)

1

1

2

Chair back Happan

2

2

8

3

6

Do.

2

2

4

Two elephant gong stand
Lotus tea table

8
2

8

9
2

13

Carved chest

75

< S 4

6

Jacobine chair

4

4

8

Bizou

2

4

3

3

6

Nut of three tables (Modem)

8

9

Dunken coffee table

6

12

Cake stand complete

3

3

ti

Ball book rack table

4

8

5

1

Vanity dresser carving, complete

5

8

6

3

Jacobine chair, complete

* 8

12

9

13

6

Kneeling elephant
Full single elephant

2
o

3

3
2

6
4

Key hole handle

8

9

Peg table

2

8

2

13

Jacobine nest of 3 tables

7

8

8

7

Jacobine chair new side carving,

10

11

4

complete.

Rope carving for nest of 3 tables

8

9

(per foot)

(per foot)

Standing elephant

2

8

3

3

6

Lamp stand and elephant

3

8

3

8

3

15

Standing elephant 9"

3

3

(1

3

U

Carved chest, round

80

110

123

12

290 WVT. OBWSKiS ON THE HKCOMMliNDATIO^ S OF

INDUSTRIAL TBIBUNALS OB ADJUDICATORS

Description,

Case work
Sofa Q.A. seat

Do. back

Do. side
Sofa chair Q.A. seat

Do. back

Do. aide
Verandah easy chair
Chair Beat . .
Book

1946.

R. A. P.

380
380
200
1 12
1 12
200
300
10
060
080

1947.

RM. A. P.

500
500
300
280
280
300
480
14
10
12

Proposed,

RS. A. P.

5 10

5 10
3 6
2 13

2 13

3 6

6 1
16
11
13

Order \o. 3353, Develops nt, dated 21** June 1948.

Whereas the award of the Industrial Tribunal, Madras, in
respect of the industrial dispute between the workers and the
management of the American Arcot Mission Industrial Institute,
Katpadi (North Arcot district) has been received ;

Now, therefore, in exercise of the powers conferred by section
16 (2) read with section 19 (3) of the Industrial Disputes Act, 1947
(Central Act XIV of 1947), His Excellency the Governor of Madras
hereby declares that the said award shall be binding on the
management of the American Arcot Mission Industrial Institute,
Katpadi, and the workers employed therein and directs that the
said award shall come into operation on 21st June 1948 and shall
remain in operation for a period of one year.

The Commissioner of Labour is requested to bring the
recommendations of the Industrial Trib inal to the notice of the
workers concerned.

(By order of His Excellency the < Governor)

W. R. S. SATTUIANATHAN,

Secretary to Government,

AGENTS FOR THE SALE OF MADRAS GOVERNMENT
PUBLICATIONS,

IN INDIA.

ANWA*I LAL JAIM, 1719, Motikarta, Agra.

M.G.BAK8Hi,Akola.

KITAPISTAN, Pnblhben, Allahabad.

LAW BOOK COMPANY, Baokaellors, p.B. No. 4, AUalmb<i.

Nuw BOOK COMPANY* Booksellers, etc., "Kitab ftfatal," 188-00, Hornby

Bombay.

TIIAOKER & Co. (LTD.). Bombay.
N. S. WAGLE, Circulating Agent and Bookseller, 6, fribhuvan Hand, Olrgaon,

Bombay.

THB BOOK COMPANY-, Calcutta.
BUTTBRWOKTH & Co. (LTD.), 6, Hastings Street, Calcutta.

B. CAMBRAY & Co., Calcutta.

LAW BOOK SOCIETY, Publishers and Printers, 65/3, Harrison Road, Calcutta .

THAOKBR, SPINK & Co., 3, Esplanade East, Calcutta.

The Manager, TUB HYDERABA^OOK DEPOT, Hyderabad (Dcccan).

The Secretary, OSMANIA UNIVERSITY STUDENTS' CO-OPBRATIVB BOOK DBPOT,

Lallaguda P.O., Hyderabad (Deccan).

Id. II. APPADURAI, Bookseller, 57-A, Anderson Street, Esplanade, Madras.
THB CHRISTIAN LITERATURE SOCIETY FOE INDIA, Post Box No. 601, Park Town,

Madras.
CITT BOOK COMPANY, Post Box No. 233, Madras.

C. COOMABASWAMI NAYUDU AND SONS, 27.and 35, Chlnnathamhi Street, Martini.
HtuaiNBOTliAMS (LTD.), Mount Koad, Madras.

MACMILLAK & Co., LTD., Mount lload, Madras.

V. lUMASWAMi SASTRULU & SONS, 202, Esplanade, Madras.

P. VABADAOHAUI A Co., Booksellers, 8, Linghl Chetti Street, Madras.

Agent, TUB SOUTH INDIA SAIVA SIDDIIANTA WORKS PUBLISHING SOCIETY, LTP.,

6, Coral Merchant Street, Madras.

VBNKATBAMA & Co., Educational Publishers and Booksellers, Esplanade, Madias.
THE UIVINB TRADINO COMPANY, 22, Namasivava Mndali Street, Madra-5.
V. 1'EEUMAL CHBTTl & SONS, 5, Stringers Street, Georgetown, Madras.
MOHAMBD All HUSAIN, Educational Publlttlier and Proprietor, "Madina Frew,"

Triplicane P.O., Madras.

O. SRI KRISHNAMURTI, Editor of if Oraina Paripalana ", Bapatla (^fa<lr,ls).
SCIBNTIFIO ADVKRIISINO SERVFCE, Brucepct, Bellary (Madras).
TUB DKCOAN PUBLISHING HOUSE, Huzur lload, Calicut (Bladras).
K. P. AKMBP KUNIII and BROS., Books all Gr/s^Cauaanore (Madras).
TUB EDUCATIONAL SUPPLIKS Co., 143-A, Ponnurangam Street, K.R. Pnram,

Coimbatore (Madras).

SKINIVAB & Co., Town High School Road, Kumbakouam, Madras.
K M. GOPALAKRISUNA HONE, Pudumantapam, Madura (Madras).
K. BHOJA ItAO & Co., Booksellers, Kodialball, Mungalore (Madias).
U. R. BIIENOY & SONS, Booksellers, Kodialbail, Mf\nalore (Madras).
M. SBSHACHAiAM fc Co., Proprietors, The liiudu Press, Wastilipatani (Madras).
THB MODBRN STOKES, Saloui (Madras).

S. KRISHNABWAMI & Co., Teppakulam Post, Tiruchirappalli Fort (Madras).
V. S. VASAN & BROS., Booksellers and Stationers, Tirunelvelt (Madras).
A. VKNKATASUBUAN, Law Bookseller, Vellore (M^draa).
THB LITTLB SLOWER COMPANY, Educational Publishers and Booksellers,

ViUnpuraro, S.I.lly. (Madras).

BIIAWNAM it SONS, Bookscllert), etc., Coutmught Place, New Delhi.
The Manager, TUB INTERNATIONAL BOOK SERVICE, Booksellers, Poona-4.
P. N. SWAMINATIIA SIVAN & Co., Oouimissioa Agents, Booksellers, etc., Pudnkkottni

State. (Branches at Dcvakottai and Tiruchiraypalli.)

IN EAST PAKISTAN.
VARCO'S PUBLISHING UOURB, Dacca,

NOTICE.

Official publications may be obtained in the United
Kingdom either direct from the office of the High Commis-
sioner for India, India House, Aldivych, London, W.C. 2, or
through anybooksetter.