LAWS(BOM)-2004-7-254

BANK KARMACHARI SANGH Vs. PUNE DISTRICT CENTRAL CO-OP BANK LTD, A CO-OP BANK HAVING ITS REGD OFFICE AT MARKET YARD, PUNE - 411 037 AND HAVING ITS BRANCHES ALL OVER DISTRICT

Decided On July 01, 2004
BANK KARMACHARI SANGH Appellant
V/S
Pune District Central Co-Op Bank Ltd, A Co-Op Bank Having Its Regd Office At Market Yard, Pune - 411 037 And Having Its Branches All Over District Respondents

JUDGEMENT

(1.) The question involved in this Petition is whether the respondent-bank was entitled to make deductions from the salaries of Grade I and II officers towards Union levy and Employees Welfare Trust and not remit the same to Petitioner Which is a representative union.

(2.) The facts in this case are not disputed. The petitioner Union, Which is a representative union under the BOMBAY industrial RELATIONS ACT, 1946 for employees in the banking industry for Pune city cantonment and Talukas in pune district, entered into an agreement under the provisions of the BOMBAY industrial RELATIONS ACT, 1946. This agreement was preceded by a resolution of the Board of directors of the Respondent-Bank setting out the terms of the settlement. In clause 20 of the resolution, it was stated that out of the arrears payable to the employees covered by the settlement 10% Would be remitted as levy and 5% towards the employees welfare trust to the Petitioner Union. Under clause 26 of the resolution, it was mentioned that an agreement Would be entered into between the Sangh, that is, the Petitioner union and the Respondent-Bank. Accordingly, on 19.4.1993. The Sangh and the Bank entered into a settlement for an upward revision of Mages and other service conditions. By clause 19 of the settlement, it was agreed that 10% Mould be deducted from the arrears towards the Union levy and 5% for the Trust. This amount was to be deducted at source by the Bank and paid over to the Sangh. The settlement took into consideration various categories of employees. These included Grade I officers, Grade II officers, junior agents, head cashier, etc. The amounts payable were released as allowances and other benefits mentioned in the agreement.

(3.) It appears that the Bank made deductions from the amounts payable to Grade I and II officers towards contribution to the Union levy and to the trust. This amount was not paid over to the Sangh and was in fact retained by the Bank. The Sangh had called upon the bank to implement the settlement, especially clause 19 thereof, which was in respect of the levy and contribution to the Trust. Due to an unfavourable response from the Bank, the Petitioner filed a complaint under Item 9 of Schedule IV of the MRTU and PULP Act. The complaint was resisted by the Respondent Bank by contending that the grade I and grade II officers were not employees as defined under section 3 (13) of the bombay industrial RELATIONS ACT, 1946: therefore, the amounts deducted from the arrears payable to them Was not required to be paid over to the Sangh. The evidence of the President of the Sangh was led on behalf of the petitioner. The Bank examined an in-charge officer in the Administration, grade I. The Industrial Court on the basis of the evidence led before it, came to the conclusion that the Bank was not liable to remit the amounts deducted in respect of Grade I and II officers towards union levy and towards the Trust to the Sangh. The complaint came to be dismissed as the Industrial court was of the view that the grade I and grade II officers did not fall under the definition of an 'employee' under the BOMBAY industrial RELATIONS ACT, 1946.