MAHARASHTRA STATE ELECTRICITY BOARD BOMBAY Vs. ITS WORKMEN EXCLUDING THOSE N M R ESTABLISHMENT EMPLOYED UNDER IT IN THE

JUDGEMENT

(1.) This is a reference made by the Government of Maharashtra, under S. 10(1)(d) read with S. 12(5) of the Industrial Disputes Act, for adjudication of a dispute between the Maharashtra State Electricity Board and the workmen (excluding those on the N.M.R. establishment) employed under it in the Western Maharashtra and Marathwada which arises out of a demand for adequate bonus for the year 1963-64 and 1966-65 made by the workmen. So far as the dispute relating to bonus for the year 1964-65 is concerned, it is undisputed that the case is governed by the Payment of Bonus Act, 1965. Sri N. V. Phadke, on behalf of the Maharashtra State Electricity Board, has raised a preliminary objection contending that the Maharashtra State Electricity Board is exempt from the liability to pay bonus by reason of the fact that it is an establishment in the public sector within the meaning of that expression in S. 2(16)(b) of the Payment of Bonus Act, which for the sake of brevity will hereafter be referred to as the Bonus Act. In this connection Sri Phadke relied upon S. 32 of the Bonus Act, which relates to certain classes of employees to whom the Act is no applicable. He also extensively referred to the provisions of the Electricity (Supply) Act, 1948, to buttress his contention.

(2.) Section 2 of the Bonus Act is a defining section. Clause (16) of S. 2 defines "establishment in public sector" to mean an establishment owned, controlled or managed by

(3.) Sri Phadke conceded that Clause (a) which relates to a Government company as defined in S. 617 of the Companies Act, 1956, is not attracted in the present case, as the Maharashtra State Electricity Board is not a Government company within the meaning of S. 617 of the Companies Act. He, however, strongly urged that the case of the board falls within Clause (b). According to him the Maharashtra State Electricity Board is a corporation which is almost wholly financed by the State Government. According to Sri Phadke, the board is exempt from the operation of the Bonus Act, under Cls. (iv), (v), (c) and (x) of S. 35 of the said Act, Clause (iv) runs thus;