LAWS(KAR)-2000-2-57

MGMT OF CIPLA LIMITED Vs. CIPLA KARMIKARA SANGHA

Decided On February 02, 2000
MANAGEMENT OF CIPLA LIMITED, BANGALORE Appellant
V/S
CIPLA KARMIKARA SANGHA (REGISTERED), BANGALORE Respondents

JUDGEMENT

(1.) THE writ appeals are filed assailing the order of the learned single Judge dismissing the writ petition filed by the appellants and allowing the writ petition filed by the respondent.

(2.) THE brief facts of the case are as follows: the appellant (petitioner in W. P. No. 30079 of 1998) is a Company, registered under the Companies Act, 1956. It is engaged in the manufacture and sale of pharmaceuticals including bulk drugs. It has got four factories established in the State of Maharashtra and one in Karnataka at Bangalore. The appellant-Company is governed by the Payment of Bonus act. The appellant maintains a single balance sheet and a single P and L A/c for the Company as a whole and bonus is declared on the basis of the Company's balance sheet and the P and l A/c and in accordance with the Payment of bonus Act. The workmen employed in the various establishments and covered under the act were paid the same rate of bonus in all the years. In order to maintain industrial harmony and peace as per the settlement, the appellant on its volition used to pay the workmen an ex-gratia amount depending upon the performance of the company and also paid bonus even to the workmen who were not covered under the Act. Before the expiry of the earlier settlement dated July 19, 1990 the Union submitted a Charter of Demands on February 10, 1993. The talks for further settlement took place, but there was no final settlement. The last date for disbursement of bonus and ex-gratia amount for the workmen for the accounting year 1992-93 i. e. , November 30, 1993 was declared. The Union demanded the management for payment of bonus to all permanent employees whose wages crossed rs. 2,500/- per month and also to pay ex- gratia amount over and above 20% of bonus. The director of the Company declined the payment of bonus but agreed to settle its Charter of demands by paying Rs. 500. 00 per month, 20% bonus for a period of four years from the date of signing of the settlement which was not agreed by the Union. The Management paid bonus only to those workmen whose basic pay was less than Rs. 2,500. 00 and did not pay the bonus amount to the workmen whose salary was more than Rs. 2,500. 00. The management denied the legitimate bonus and ex-gratia payment to the workmen of the Bangalore unit while the same is paid to the workmen of other units. They also declared the ex-gratia amount and did not pay the same. Therefore, the matter was placed before the Government to refer the dispute to Industrial Tribunal. The Government referred the dispute to the Industrial Tribunal to consider whether the demand of the workmen of CIPLA Limited for the payment of bonus @ 20% for the year 1992-93 to the 119 workmen and ex-gratia amount of Rs. 3,160. 00 to 187 workmen is justified and in that case, for what relief the workmen are entitled to. The Industrial Tribunal registered the reference as Industrial Dispute No. 14 of 1994. After the pleadings were filed by both the parties, the Tribunal framed the issues and held that workmen are entitled to the bonus for the year 1992-93 but held that they are not entitled to payment of ex-gratia claim. Assailing that order the Management filed W. P. No. 30079 of 1998 contending that the decision of the tribunal holding that the Union employees are entitled to the bonus is not legal and proper. The Union filed W. P. No. 30890 of 1998. The learned single Judge after elaborately considering the rival contentions confirmed the award holding that the workmen are entitled to bonus and reversed the finding of the Tribunal regarding the payment of ex-gratia and remanded the matter to the Tribunal for fresh consideration. Assailing that order the present writ appeals are filed.

(3.) BOTH the appeals are disposed of by this common judgment.