Harjit Singh Bedi, J. - (1.) This appeal by special leave arises out of the following facts.
(2.) The Central Government vide its order dated 1st July, 1971 declared Vishakhapatnam as a Group "A" city. As a consequence of the aforesaid declaration, the staff of the appellant bank claimed certain additional benefits such as house accommodation, house rent allowance etc. While some of the other nationalized banks extended the benefits to their employees, the Andhra Bank declined to do so on the plea, inter alia, that it was running into huge losses and was unable to meet the additional burden. These differences led to protracted conciliation proceedings before the Assistant Labour Commissioner, Vishakhapatnam, but no concrete solution was arrived at. The Central Government thereupon referred the dispute to the Industrial Tribunal for adjudication. The respondent management i.e. present appellant filed a written statement before the Industrial Tribunal questioning the jurisdiction of the Tribunal to entertain the reference and further clarifying that on account of several awards such as the Shastri Award, the Desai Award and several bipartite settlements arrived at between the Bank and its employees from time to time, there was no obligation on the bank to give the benefits arising out of the declaration dated 1st July, 1971. The Industrial Tribunal held that there were two points for consideration : 1. Whether the Tribunal had the jurisdiction to entertain the reference and; 2. Whether the management of Andhra Bank was justified in denying the enhanced rate of House Rent Allowance applicable to project area to its award staff
(3.) The Tribunal held that as per the legal position the Industrial Tribunal was competent to entertain the reference. On point No.2 the Court observed that the Andhra Bank was paying house rent to different categories of employees with a ceiling of Rs. 400/- to Rs. 550/- and as the attempts at conciliation had failed on account of the dilatory tactics on the part of the Bank, the employees had absolutely no remedy but to approach the Tribunal for the redressal of their claim. The Tribunal in conclusion observed as under : "It can be taken judicial notice that the State Government is paying 20% HRA to the employees subject to a maximum of Rs.1000/- When other banks are paying money towards house rent allowance where quarters are not provided the denial of house rent allowance at the enhanced rent by Andhra Bank to project Area Group "A" cannot be said justified in the circumstances stated above. As seen from the annexure, the Union Bank of India of Vishakhapatnam has opted to pay or make housing accommodation to the award staff at Vishakhapatnam w.e.f. 24.06.92. In the said circumstances, I am of the opinion that the award staff of Andhra Bank i.e. (Clerical, Sub-Staff) would be entitled to house rent allowance at 20% of the basic pay as is provided in the case of the State Government employees in Group "A" project area like Vishakhapatnam. The reference was registered as L.D., in the month of August, 1992. In the said circumstances, the petitioner, Andhra Bank Award Staff Employees Unions claim is justifiable. The denial of enhanced rate of house rent allowance applicable to project area A to its award staff by the management of Andhra Bank is not justifiable. The point is answered accordingly. In the result an award is passed in favour of the petitioner, Andhra Bank Award Staff Union and against the respondent management situated at Vishakhapatnam, Hyderabad, Head Office (I) directed to consider payment of 20% of HRA to project area of Group A at Vishakhapatnam on par with Government employees subject to a maximum of Rs. 1000/- however if housing accommodation is provided by the Andhra Bank, 10% of the basic pay shall be deducted for the concerned individual and the HRA calculated at 20% shall be surrendered by the concerned employee, I(a) or as is paid by the other banks employee referred in the annexure of the claim statement, (II) it shall be effected from December, 1992 and (III) the award shall be implemented by the management of Andhra Bank within a month after receipt of the award by the management". ;