KARNATAKA PLANTERS ASSOCIATION Vs. STATE OF KARNATAKA

JUDGEMENT

(1.) THIS Writ Petition is directed against the notification No. KAAE-11 LMW 2004 dated 25-3-2008 published in Karnataka gazette dated 24-4-2008 produced at Annexure-K.

(2.) PETITIONER No. 1 is an Association of planters established in the year 1958. Petitioners-2 and 3 are the members of the first petitioner. There are about 4,67,000 labourer employed in Coffee estates in Karnataka and their wages are fixed under the provisions of Section 5 sub-section (1) of the Minimum Wages act, 1948 (hereinafter referred to as 'the Act' ). State Government by notification dated 19-2-2004 had published a draft notification calling for objections, wherein the State Government had indicated the minimum wages for the workers working in Cincona, Rubber, Tea, coffee and mixed plantations at Rs. 70. 10 paise. In response to the same, the first petitioner No. 1-Association has filed a statement of objections as per Annexure-B. In this regard, the State Government had constituted an Advisory Board (hereinafter referred to as 'the Board') under the chairmanship of second respondent and the said Board had convened several meetings and had submitted its recommendation. The State Government by its notification dated 25-3-2008 revised the minimum wages of the workers in Cincona, rubber, tea and coffee plantation at Rs. 84. 50 paise as per Annexure-K. While determining the minimum wages, the average Consumer price Index (C. P. I.) was taken at 2967 points and provided for payment of Dearness Allowance at 3 paise per point per day for every increase in points over the State Consumer price Index. Applying the said price, the State government has fixed the minimum wages at rs. 84. 50 paise.

(3.) THE case of the petitioners is that, in a notification issued in 1999, the basic minimum wages was fixed at Rs. 52/- and the said sum was determined by adding Dearness Allowance at 2 paise for the earlier basic wages i. e. Rs. 40/- for the year 1996 and addition of 5% to the same. The earlier practice followed by the State was that, basic minimum wages under the impugned notification at Rs. 52/- with merger of V. D. A. (Variance Dearness Allowance) from 1980. 5 to 2967 i. e. , 2. 5 paise per point i. e. , Rs. 24. 66 paise, in all, Rs. 76. 66 paise + 5% increase as per practice i. e. , Rs. 3. 83 paise. total Rs. 80. 49. paise, rounded off to Rs. 80. 50 paise, but as a result of wrong calculation arbitrarily done by the impugned notification, the minimum wage is fixed at Rs. 84. 50 paise. The said decision of fixing the minimum wages was questioned by the employers in W. P. No. 17636/2004 and connected matters. This Court held that, the said determination was not in accordance with the provisions of the Act and Rules made thereunder and directed the authorities to re-consider the matter.