MADRAS FERTILIZERS LTD Vs. REGIONAL LABOUR COMMISSIONER CENTRAL

JUDGEMENT

(1.) THE writ petition is filed against the order of the first respondent dated 31.12.2004 made in Gratuity Appeal Nos.17 to 150 of 2004 and to quash the same.

(2.) THE brief facts which are relevant for consideration herein are as follows: THE petitioner company is a public sector undertaking under the administrative control of department of fertilizers, Ministry of chemicals and fertilizers, Government of India. THE petitioner company was during 1999, directed to submit the proposal for pay revision in respect of its employees as on 1.1.97 for consideration by the dept. of fertilizers, Ministry of Chemicals and fertilizers and the petitioner company has in compliance with the direction, sent proposed revised wage structure for all its employees and sought for due approval of the same from the Ministry of chemicals and fertilizers. THE Ministry of Chemicals and Fertilizers has after taking note of the financial position of the petitioners company and future improvement in the production level, approved the implementation of pay revision of below Board level executives, non-unionised supervisors and workers of the company with effect from 1.1.97 to 31.12.2006 subject to certain terms and conditions as per one of the conditions, the payment of revised salary arrears with effect from 1.1.97 to 31.3.2000 shall be paid in 8 installments subject to company's making minimum profit of Rs.10.5 crores in the particular year and the installments will be paid to the extent of ensuring that maximum of 50% of the profits shall be permitted to be appropriated for payment of arrears.

(3.) ACCORDING to the learned senior counsel for the petitioner company, 128 employees who have been arrayed as the respondents 3 to 130 have already received Gratuity at the rate of 15 days wages based on wages last drawn and the difference in gratuity amount based on the revised pay structure can be paid to them only subject to condition no.3 of the approval letter dated 12.10.2000 and could be paid only after payment of the salary arrears for the period between 1.1.97 to 31.3.2000 in 8 instalments when the company earns profit of Rs.10.5 crores in a particular year and the retired employees have to wait for the fulfillment of such condition by the petitioner company.