LexALEMBIC CHEMICAL WORKS CO., LTD. versus THE WORKMEN
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3 S.C.R. SUPREME COURT REPORTS 297 ALEMBIC CHEMICAL WORKS CO., LTD. v. THE WORKMEN (P. B. GAJENDRAGADKAR, K. N. WANCHOO and K. c. DAS GUPTA, JJ.) Industrial Dispute-Award of privilege leave-Jurisdiction- Industrial Disputes Act, I947 (I4 of I947), s. IO(I)(d)-Factories Act, I948 (63 of I948), SS. 79, 78, 84. It is not correct to say that s. 79 of the Factories Act, 1948, standardises the grant of annual leave with wages to employees to whom the Act applies and that neither the employer by voluntary agreement nor the Industrial Tribunal by its award can vary that standard. It is well settled that in construing the provisions of ~welfare legislation, such as the Act in ques- tion which has for its object the preservation of the health, safety and welfare of the workmen, courts should apply the rule of beneficent construction and moreover, ss. 78 and 84 of the Act put il beyond doubt thats. 79(1) is not intended to stand- ardise annual leave with wages by providing the maximum. Rightly construed s. 78(1) of the Act not only protects past laws, awards, agreements and contracts but also those that are to come into existence in the future and does not prohibit a more generous agreement than that prescribed bys. 79(1). Likewise the scope of s. 84 of the Act which, in empowering the State to exempt a factory from all or any provisions of Ch. VIII of the Act, contemplates better amenities than those guaranteed by the Chapter, cannot be limited to benefits existing at the date of the Act but must also apply to future benefits which an employer may grant to his employees. Consequently, in a case where the Industrial Tribunal, on a consideration of awards and agreements between employers and employees in comparable concerns, awarded annual leave in excoss of what is prescribed bys. 79(1), Held, that the award was not open to challenge. Held, further, that the distinction generally made between operatives doing manual work and clerical and other staff is perfectly justifiable and so the award of privilege leave to the clerical staff could not be said to be discriminatory. Although the Industrial Tribunals in awarding privilege leave or sick leave must not fail to consider their effect on pro- duction and so on the interest of the community in general, this Court would be reluctant under Art. 136 of the Constitution to interfere with an award unless its provisions are unsustainable on any reasonable grounds and make a violent departure from the practice and trend prevailing in comparable concerns. 38 December Ij. 298 SUPREME COURT REPORTS [1961] CIVIL APPELLATE JURISDICTION: 475of1960. Civil Appeal No. Alembic Chemical works co., Ltd. Appeal by special leave from the Award dated v. The Workmen March 31, 1960, of the Industrial Tribunal, Bombay, in Reference (I. T.) No. 227 of 1959. M. 0. Setalvad, Attorney-Gerieral for India, G. B. Pai and J.B. Dadachanji, for the appellant. I. N. Shroff, for the respondents. 1960. December 15. The Judgment of the Court was delivered by Gajendragadkar j, GAJENDRAGADKAR, J.-This appeal by special leave arises from an industrial dispute between the appellant, the Alembic Chemical Works Co. Ltd., and the respondents, its workmen. The said dispute rela.- ted to a single demand made by the respondents with regard to leave. This demand consisted of three parts, (a) one month's privilege leave with full salary and dearness allowance on completion of eleven months service in a year with a right to accumulate upto six months, (b) one month's sick leave with full salary and dearness allowance for each year of service with right to accumulate for the entire period of service, and (c) every workman chould be entitled to take leave in proportion to the number of days he is in service of the company at the time of his application for the same. This dispute was referred by the Government of Bombay for adjudication before the Industrial Tribunal under s. IO(l)(d) of the Industrial Disputes Act XIV of 1947. The Tribunal considered the contentions raised by the appellant against the respondents' demands, took into account awards or agreements between employers and their employees in comparable concerns and made its award. In regard to privilege leave the Tribunal has ordered that leave should be granted to the staff members covered by the reference as follows: Privilege leave upto 3 ... 16 days as at present completed years of
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