PARRY AND CO LIMITED DARE HOUSE MADRAS Vs. COMMERCIAL EMPLOYEES ASSOCIATION MADRAS

JUDGEMENT

(1.) THIS appeal is directed against a judgment of a division bench of the Madras High court dated 1/04/1949, passed in a certiorari proceeding, by which the learned Judges directed the issue of a writ of certiorari for quashing a portion of an order made by the Labour Commissioner, Madras, in any enquiry under section 51 of the Madras Shops and Establishments Act.

(2.) THE facts material for our present purpose lie within a narrow compass and to appreciate the point that requires consideration in this appeal it will be convenient first of all to advert to a few relevant provisions of the Madras Act referred to above. THE Act was passed in 1947 and its object, as stated in the preamble, is to provide for the regulation of conditions of work in shops and other establishments. Section 14(1) of the Act sets a statutory limitation upon the working hours and lays down: `Subject to the other provisions of the Act, no person employed in any establishment shall be required or allowed to work for more than 8 hours in any day and 48 hours in any week.` A proviso attached to the Ss. which by way of exception to the rule enunciated therein, allows employment of a person in any establishment for any period in excess of this statutory limit subject to payment of overtime wages, provided the period of work including overtime work does not exceed 10 hours any day, and in the aggregate 54 hours in any week. Section 31 provides: `Where any person employed in any establishment is required to work overtime, he shall be entitled, in respect of such overtime work, to wages at twice the rate of ordinary rate of wages.`

(3.) AS regards Issue No. 6 the Labour Commissioner observes first of all that although it is customary in many establishments to fix certain hours of business during which business is transacted with the outside public, yet they are not the 'real hours of employment and as a matter of fact the employees do work outside these business hours, for which they are not entitled to any extra remuneration provided. the statutory limit of 8 hours a day is not exceeded. In the opinion of the Commissioner if the normal hours of work were previously fixed and strictly adhered to, the employees could have acquired a right or privilege to work only for such hours and they would be entitled to seek protection under section 50 of the Act against the imposition of longer hours without a corresponding increase in emoluments. The Commissioner goes on to say that in such cases it would be sufficient if compensatory wages are paid at the ordinary rate calculated according to rule 10 of the Madras Shops and Establishments Rules for work in excess of the normal hours but less than the statutory hours. But for work of more than 8 hours a day or 48 hours a week, wages at twice the ordinary rates should be paid as required by the proviso to section 14 (1) and section 31 of the Act. The conclusion reached by the Commissioner with regard to this issue is expressed by him in the following words: `I hold that the case of Messrs. Parry and Company's employees falls under the former category and that the employees in this company will be entitled to overtime wages only when the statutory hours are exceeded.`