ASSOCIATION Vs. FILM DISTRIBUTORS EMPLOYEESMETRO GOLDWYN MAYER INDIA LIMITED

JUDGEMENT

(1.) THE Metro Goldwyn Mayer (India), Ltd., and Indian subsidiary firm of the American company, has its head office at Bombay with a branch at Madras, THE business of the Indian concern consists in the import of films produced outside India and distributing them to customers inside the country. THE commission charged by the company on the income realized by the exhibitors constitutes its principal income. THE Madras branch employed seventeen persons, mainly as clerical personnel, in the eight sections of its office. With effect from 20 September, 1957, eight of the employees were given notice of retrenchment, the grounds being the extraordinary state of affairs resulting from a sharp increase in customs duty of films, drastic import restrictions, and loss experienced in consequence. Seven of these retrenched persons, with the exception of one Miss Jayalakshmi, represented their grievances to the Secretary of the Film Distributors' Employees' Association, which, in turn, led to an industrial dispute referred by the Government to the Industrial Tribunal, Madras, for adjudication.

(2.) IN an elaborate order, the tribunal held that the retrenchment of the seven persons was not justified, and directed that they should be reinstated with a half of their back-wages. The company then filed Writ Petition No. 49 of 1959 for the issue of a writ of certiorari quashing the award of the tribunal. This petition was allowed by Balakrishna Ayyar, J., except in certain respect which we shall presently indicate. The appeal before us is by the concerned employees, against the order of the learned Judge.

(3.) RECENTLY in the Bench decision of this Court in A. R. Varma v. Mettur Industries Ltd. observation have also been made to the effect that, in an industrial dispute.