K.N. Singh, J. - (1.) The State of Uttar Pradesh set up a committee under Notification No. 6275 (ST) XXXVI-1-197 (ST) 69, dated 29 November 1971, to consider, inter alia, matters relating to wages and bonus of the workmen employed in the distilleries and breweries of the State and to submit its report to the Government. The committee submitted its interim report in 1972. Thereupon, the State Government issued a notification, dated 9 August 1972, under S. 3 (b) of the Uttar Pradesh Industrial Disputes Act directing the employers of the distilleries and breweries to pay a sum of Rs. 32.20 per month per workman to all the workmen employed by them. The notification was published in the Uttar Pradesh Gazette Extraordinary, dated 10 August 1972. The order was to remain in force for a period of one year or till the implementation of the final report of the committee whichever was earlier.
(2.) Mohan Goldwater Breweries, Ltd., challenged the validity of the Government order, dated 9 August 1972, by means of the present petition under Art. 226 of the Constitution. It further obtained an interim order as a result of which it did not comply with the directions contained in the Government order, dated 9 August 1972. Since the committee as constituted by the Government could not submit its report within one year, the Government order, dated 9 August 1972, ceased to remain in force after the stipulated period of one year. It appears that the committee submitted its final recommendations to the Government in January 1974. Consequently the State Government issued another order on 7 January 1974, tinder S. 3 (b) of the Uttar Pradesh industrial Disputes Act implementing the recommendations of the committee. The order directed the employers of the distilleries and breweries in the State to pay wages and allowances to the workmen in accordance with the rates prescribed in the order. The order further directed the employers to carry out the scheme of fitment of workmen in accordance with the principles laid down in the order. Clause 5 of the order stated that the payment shall be made to the workmen in accordance with the scales of pay and dearness allowance specified in the order which shall be calculated with effect from 1 August 1972. Clause 6 of the order stated that where the workmen have been given an ad hoc increase of Rs. 32.20 only in their total wages within the period of 21 November 1971 to 8 August 1972, i.e., where an ad hoc increase similar to the ad hoc increase in wages as provided in Government notification, dated 9 August 1972, had already been given the notification, dated 9 August 1972, shall be deemed to have been implemented from the date, such ad hoc increase was earlier given. Clause 7 of the order laid down that an ad hoc increase given vide Government notification, dated 9 August 1972, or any other increase in wages given during August 1972, under any settlement between the employer and their workmen or union, shall be adjustable against wages fixed under this order. Clause 9 directed that the order shall come into force with immediate effect and shall remain in operation for a period of three years. Thus the order required the employers of the distilleries and breweries of the State to observe conditions of service including payment of wages, dearness allowance and other matters as laid down in the order for a period of three years. Though the Government order, dated 9 August 1972, had ceased to remain in force on the expiry of one year but in view of the directions contained in the Government order, dated 7 January 1974. the employers were directed to give an ad hoc increase of Rs. 32.20 in wages to the workmen with effect from 1 August 1972. On the expiry of the period of three years, the State Government issued another order on 7 January 1977, extending the period of operation of the order, dated 7 January 1974, for one year more. The petitioner took steps to get the petition amended challenging the validity of the aforesaid two Government orders, dated 7 January 1974 and 7 January 1977.
(3.) The petitioner is engaged in the business of production of beer at its factory situated at Lucknow. It has about 300 workmen in its employment. The petitioner has asserted that there was complete industrial peace among the workmen of the breweries in the State and there was no demand raised by the workmen of the petitioner-factory in respect of wages or other conditions of service. On these allegations learned counsel for the petitioner urged that the State Government exceeded its jurisdiction in issuing the impugned notification as there was on acute emergency rather any emergency or unrest among the workmen of the breweries and distilleries of the State and spec ally among the workmen of the petitioner-factory to justify the exercise of power under S. 3 (b) of the Industrial Disputes Act. In the absence of any grave emergency the State Government had no jurisdiction to lay down terms under conditions of employment of the workmen under S. 3 (b) of the Act. He assailed the notification on other grounds, namely, that the tripartite committee constituted by the notification, dated 29 November 1971, had no representative of the breweries and the State Government had no material before it to form opinion that the workmen employed in the brewery industry and the workmen of the petitioner-factory were dissatisfied with the wages paid to them. The petitioner-company was not given any opportunity to place its view point before the committee or the State Government It acted arbitrarily in extending the life of the notification and imposing conditions of employment which were to the detriment of the petitioner- company. Lastly, he urged that beer which is manufactured by the breweries is not a commodity essential to the life of the community and as such the State Government had no jurisdiction to issue the impugned notifications.;