MANGALDAS NARANDAS Vs. PAYMENT OF WAGES AUTHORITY

JUDGEMENT

(1.) THIS is a group of special civil applications in which certain orders passed by the Payment of Wages Authority, Ahmedabad, are challenged. The authority has by his order directed payments to be made by the employer to employees found due as delayed wages for the period from 1 July 1955 to 7 July 1955. The order has been challenged by these applications under Articles 226 and 227 of the Constitution.

(2.) A few facts which give rise to these applications may be stated. The petitioner is the employer and the respondents, except the first respondent in all the applications, are the employees. The petitioner is a manufacturer of bidis. A dispute relating to wages payable to the workmen employed in the manufacture of bidis was, it appears, referred to the industrial court and by an award, made on 8 July 1952, the rate was settled at Rs. 3-6-0 per 1,000 bidis. On 5 January 1955 the employer served a notice of change upon the employees intimating that as from 10 March 1955 the rate will be altered. The notice stated that all persons covered by the award in reference I. T. A. No. 19 of 1951 of the industrial tribunal dated 8 July 1952 were informed that the said award is terminated with effect from 10 March 1955 in so far as it has fixed the rate of Rs. 3-6-0 per 1,000 bidis. It is the case of the employer that from and after 10 March 1955 he paid to the employees at the rate of Rs. 3-2-0 per 1,000 bidis On 16 June 1955 the employer informed the employees that the current rate of wages of Rs. 3-2-0 per 1,000 bidis could not be maintained and the same was revised on and from 1 July 1955 and the new rate will apply from 1 July 1955. The employees were asked to take note that the rate as from 1 July 1955 will be Rs. 2-8-0 per 1,000 bidis. Even after this notice, it appears, the employees continued to work under the employer but for the wage period from 1 July 1955 to 14 July 1955 when remuneration was tendered to them at the rate of Rs. 2-8-0 per 1,000 bidis they declined to accept it and they submitted an application on 14 July 1955 for payment of delayed wages on the plea that they were entitled to wages at the rate of Rs. 3-6-0 per 1,000 bidis.

(3.) THE application filed by the employees was resisted by the employer. He contended inter alia that the applicants were not governed by the Payment of Wages Act, that the award of the industrial tribunal made in reference No. 19 of 1951 was terminated with effect from 10 March 1955 by due notice and that by notice dated 16 June 1955 the employer had reduced the rate to Rs. 2-8-0 per 1,000 bidis and that the revised rate had come into effect from 1 July 1955. He submitted that the applicants were entitled to receive wages at the rate of Rs. 2-8-0 per 1,000 bidis as from 1 July 1955 and the claim made by the applicants for wages in excess of Rs. 2-8-0 per 1,000 bidis was not maintainable.