WORKMEN OF HINDUSTHAN MOTORS Vs. HINDUSTHAN MOTORS
LAWS(SC)-1962-8-11
SUPREME COURT OF INDIA
Decided on August 13,1962

WORKMEN OF HINDUSTAN MOTORS LIMITED Appellant
VERSUS
HINDUSTHAN MOTORS Respondents

JUDGEMENT

- (1.) Six matter in dispute between the respondent, Hindusthan Motors, Ltd. , and their workmen were referred to the second Industrial tribunal, West Bengal. The first five were: (1) Grades and scales of pay, (2) Dearness allowance, (3) Production bonus, (4) Contract labour, and (5) Casual Leave. The sixth was in respect of the termination of services of some workmen. The tribunal by its award decided that the workmen were not entitled to any relief as regards the third, fourth, fifth and the sixth of these matters. On the question of grades and scales of pay the tribunal laid down several slabs of annual increments for the time-rated workmen but refused to make any change in the rates of piece-rated workmen. On the question of dearness allowance it fixed the same rates as fixed by the Third Major Engineering tribunal award for the engineering concerns covered by its award but did not make any provision for any changes on account of changes in the cost of living index. The tribunal refused to modify the production bonus scheme which was already in operation in the concern and also to extend the scheme to the plant engineering, master mechanic and inspection and supply and stores departments for which claim was made by the workmen. The workmen's claim for abolition of contract labour in some departments and their demand for ten days' casual leave were also rejected. The workmen applied for special leave to appeal against the tribunal's award on all these six matters. Special leave was however granted only la respect of the first five matters. At the hearing, the appeal was not pressed in respect of two matters, viz. , the contract labour and the casual leave. It would be necessary, therefore, to examine the award only in respect of the first three matters, viz. , (1) Grades and scales of pay, (2) Dearness allowance, and (3) Production bonus.
(2.) The arguments before us regarding the grades and scales of pay have centred round the question whether the tribunal was justified in not applying to the time-rated workers the grades and scales of pay awarded by the Third Major Engineering tribunal. It has to be noticed that the respondent company was originally made a party to the order of reference to the Third Major Engineering tribunal; but it got its name deleted from that reference by moving High court on the ground that the provisions made by another Industrial tribunal (ale) and its workers were at that time subsisting. At the hearing of the present reference the workmen appear to have contended that even though the respondent is also an engineering concern it should; In view of Its exceptional prosperity, pay wages at a higher rate than was fixed by the Third Major Engineering tribunal for workmen in other engineering concerns. The present tribunal agreed that the respondent is an engineering concern and addressed itself to the question whether the grades and scales Introduced by the Third Major Engineering tribunal could reasonably be applied to this concern. 16 accepted however the respondent's plea that in view of the numerous categories of the workmen of that concern no division in groups according to the skill was possible and so grades and scales of pay provided in the award of the Third Major Engineering tribunal had to be modified. In making the modification it fixed the slab and rates thus: " (1) The mazdoors and helpers will have an annual Increment of 4 naye paise per day for two years after they have completed one year of service on the rate of Bs. 1.34 fixed by the award provided that they have Improved in efficiency in respect of both nature and quality of the work. (2) Between the dally wage rates of Rs. 1.54 and Rs. 1.75 there will be a Blab of 6 years with annual Increments at the rate of 4 naye paise per day for 4 years and at the rate of 5 naye paise per day for the fifth year. (3) To (5) Between the carefully wage-rates of Rs. 1.75 and Rs. 2. 00 and between Rs. 2. 00 and Re. 2.25 and again between Rs. 2.25 and Rs. 2.50 there will be three slabs of 6 years 354 each with annual Increments at the rate of 4 naye paise per day for 5 years and at the rate of 5 naye paise per day for the sixth year. (6) To (10) The next dally wage rate la Rs. 2.75 and between this wage rate and Rs. 3. 00 between Rs. 3. 00 and Rs. 3.25, between Rs. 3.25 and Rs. 3.50 between Rs. 3.50 and Rs. 3.75 and between Rs. 3.75 and Rs. 4 there will be 5 slabs of 4 years each with annual Increments at the rate of 6 naye paise per day for 3 years and at the rate of 7 naye paise per day for the fourth year. (11) To (14) Between the dally wage rates of Rs. 4. 00 to Rs. 4.25, between Rs. 4.25 and Rs. 4.50 between Rs. 4.50 and Rs. 4.75 and between Rs. 4.75 and Rs. 5. 00 there will be 4 slabs of 3 years each with annual increments at the rate of 8 naye paise per day for 2 years and at the rate of 9 naye paise per day for the third year. "
(3.) The appellants' contention before us is that the grades and scales of pay provided in the award of the Third Major Engineering tribunal can and should be applied to this concern also. On turning to that award we find that there also an argument was advanced on behalf of the engineering concerns that classification of workmen with reference to skill could not be conveniently made without the aid of technical expert bodies and that the tribunal should not embark upon the task of dividing the workmen in different groups. The Third Engineering tribunal appreciated the force of the contention made on behalf of the companies about the difficulty of scientific classification of workmen but decided. In our opinion, rightly that that would be no reason to avoid the task altogether and adopted a classification of the workmen Into four groups. A, B, C and D, and fixed the pay scales and grades of these groups thus: "Group D (corresponding to the unskilled category in previous awards) : (1) Rs. 35. 00 for workers who do heavy manual work such as transport of things from one place to another and other such jobs. (2) Rs. 35-1-25 NP. /2-37.50 for workmen who Improve in efficiency of working both in respect of nature and quality of his work. After he reaches the top of the grade the management will consider whether he la eligible for promotion to next higher group.;


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