# MILLS Co., Ltd v. BADRI MALI AND OTHERS

- **Citation:** [1964] 3 S.C.R. 724
- **Court:** Supreme Court of India
- **Decided:** 1964
- **Bench:** P. B. Gajendbagadkar, K.. N. Wanojioo, K. C. Das Gupta
- **Source:** https://unisonlegal.in/judgment/supreme-court-of-india/mills-co-ltd-v-badri-mali-and-others-3020
- **Pages:** 18

## Headnote

lruiurial DiBpute-Definition of 'worker'.-MaliB u.WAer
tMWkera-JlaliB whether induatrial employee&-" Employed in any
'1iduatr1/'-Meaning-Principle of incide11tal
relati0111Jhip--:
Gninl of 'leave' on ground of fair play and social juaticeValldity-(]oncept of •OcUd justice-Uttar Praie&h Industrial
l>NpvleB Acl, 1947 (U.P. 28 of 19il7), s. 2-Induatrial !Mpulsa
..tel, lfl''I (1' of 1947), •· 2 (s).
An Industrial diaputc was referred by the Government of
U«ar Pradesh for adjudication to the Adjudicator, Kaupur.
The Adjudicator held that the Malis were worlimen under . the
U.l'.' Industrial Disputes Act but they were not Industrial
employees arid hence were not entitled to claim dear food
allowance under the Government order dated December 6, 1948.
ThO claiioa of the Malis with regard to weekly holidays and
leave with wages were also rejected by the Adjudicator.
-
a s.c.R.
SUP.REME COURT REPORTS
725
Two cross appeals were filed against the order of the
Adjudicator before the Labour Appellate Tribunal. The
appeal of the appellant was dismissed. As regards the appeal
of respondents, the Tribunal gave the Malis beneht of dear
food allowance. Their claim for leave with wages was also
allowed on the ground of social justice. However, their claim
fo• weekly holiday was rejected.
The appellant filed a writ petition in the Allahabad
High Court but that was dismissed as infructuous. The
appellant came to this court by special leave.
The contentions raised by the appellant in this court wtte
that the Malis were not workers
within the meaning of
s. 2 of the U.P. Industrial Disputes Act, that Malis were not
industrial employees within the meaning of Government order
dated December 6, 1948, and hence were not entitled to dear
food allowance and that the Labour Appellate Tribun<1l should
not have granted the demand of the respondents for leave on
ground of fair-play and social justice.
Held
that the Malis were workers within the meaning
<>f s. 2 of the U.P. Industrial Disputes Act. They were
employed by the appellant, were paid by it and were subject
to its confrol and supervision and discharged the .function of
looking after the properties of the appellant. Their conditions
of service were also determined by the appellant and the continuance of their service also depended upon the pleasure of the
appellant •. The bungalows and gardens on which they worked
were a kind of amenity supplied by the appellant to its officers.
Hence, the Mal is were engaged in operations which were
incidentally connected with the main industry <;arried on by the
eilfployer. The ease of the Mal is was similar to that of the
bus drivers. The relation of the work earned on· by the
Malis with the Industry was not remote, indirect or farfetl::hed.
The employee who is engaged in any work or operati<>n
which is incidentally connected with the main industry of the
employer is a workman, provided the other requirements of
s. 2 (s) of'the industrial Disputes Act are satisfied.
Held also, that the Malis were industrial employ~ within
the meaning of tha Government order dated December 6, 1948
and hence were entitled to c1aim the benefit of dear food
allowance. The Tribunal was in error in limiting the scope of
the u9'W~ssion "fod~s!rial employ;es". by reference to l the
d'efimtlon of the word "worker" as $1Ven m the l'actorics Ac~.
1'0
/. /{, Col14" ·~1.,
t!I w.-.,.Mills
~~"Lil.
v.
WiMall
-
IJ68
J, K. C.t,_ S;iMi1t1
& w,..;01 MUls
c.., LUI.
••
&iri M•li
726
SUPREME COURT REPORtS(l964) VOL,
Held also, that the Tribunal was justified in granting the
demand of the respondents for leave on grounds of fair-play
and social justice. The concept of social justice has now be·
come such an integral part of industrial law that it is idle for
any party to suggest that industrial adjudication can or should
ignore the claims of social justice in dealing with industrial
di1putos. The concept of social justice is not narrow, one-sided
or pedantic and is not confined to industrial adjudication a

## Text

IHI
124 St:JPREN:IE COURT REPORTS [19tl4] VOt.
be irrelevant when claims are made under s. 33C ( 2),
where these claims are, as in the present case, based
on an award and are intended merely to execute the
award. In such a case, limitation cannot be introduced by industrial adjudication on academic ground
of social justice. It can be introduced, if at all, by
the legislature. Therefore, we think that the Labour
Court was right in rejecting the appellant's contention that since the present claim was belated, it
should not be awarded.
In the result, the appeals fail and are dismissed
with costs.
Appeals diamiuei.
J. K. COTTON SPINNING & WEAVING
MILLS Co., Ltd.
v.
BADRI MALI AND OTHERS
(P. B. GAJENDBAGADKAR, K.. N. WANOJIOO,
and K. C. DAS GUPTA JJ.)
lruiurial DiBpute-Definition of 'worker'.-MaliB u.WAer
tMWkera-JlaliB whether induatrial employee&-" Employed in any
'1iduatr1/'-Meaning-Principle of incide11tal
relati0111Jhip--:
Gninl of 'leave' on ground of fair play and social juaticeValldity-(]oncept of •OcUd justice-Uttar Praie&h Industrial
l>NpvleB Acl, 1947 (U.P. 28 of 19il7), s. 2-Induatrial !Mpulsa
..tel, lfl''I (1' of 1947), •· 2 (s).
An Industrial diaputc was referred by the Government of
U«ar Pradesh for adjudication to the Adjudicator, Kaupur.
The Adjudicator held that the Malis were worlimen under . the
U.l'.' Industrial Disputes Act but they were not Industrial
employees arid hence were not entitled to claim dear food
allowance under the Government order dated December 6, 1948.
ThO claiioa of the Malis with regard to weekly holidays and
leave with wages were also rejected by the Adjudicator.
-
a s.c.R.
SUP.REME COURT REPORTS
725
Two cross appeals were filed against the order of the
Adjudicator before the Labour Appellate Tribunal. The
appeal of the appellant was dismissed. As regards the appeal
of respondents, the Tribunal gave the Malis beneht of dear
food allowance. Their claim for leave with wages was also
allowed on the ground of social justice. However, their claim
fo• weekly holiday was rejected.
The appellant filed a writ petition in the Allahabad
High Court but that was dismissed as infructuous. The
appellant came to this court by special leave.
The contentions raised by the appellant in this court wtte
that the Malis were not workers
within the meaning of
s. 2 of the U.P. Industrial Disputes Act, that Malis were not
industrial employees within the meaning of Government order
dated December 6, 1948, and hence were not entitled to dear
food allowance and that the Labour Appellate Tribun<1l should
not have granted the demand of the respondents for leave on
ground of fair-play and social justice.
Held
that the Malis were workers within the meaning
<>f s. 2 of the U.P. Industrial Disputes Act. They were
employed by the appellant, were paid by it and were subject
to its confrol and supervision and discharged the .function of
looking after the properties of the appellant. Their conditions
of service were also determined by the appellant and the continuance of their service also depended upon the pleasure of the
appellant •. The bungalows and gardens on which they worked
were a kind of amenity supplied by the appellant to its officers.
Hence, the Mal is were engaged in operations which were
incidentally connected with the main industry <;arried on by the
eilfployer. The ease of the Mal is was similar to that of the
bus drivers. The relation of the work earned on· by the
Malis with the Industry was not remote, indirect or farfetl::hed.
The employee who is engaged in any work or operati<>n
which is incidentally connected with the main industry of the
employer is a workman, provided the other requirements of
s. 2 (s) of'the industrial Disputes Act are satisfied.
Held also, that the Malis were industrial employ~ within
the meaning of tha Government order dated December 6, 1948
and hence were entitled to c1aim the benefit of dear food
allowance. The Tribunal was in error in limiting the scope of
the u9'W~ssion "fod~s!rial employ;es". by reference to l the
d'efimtlon of the word "worker" as $1Ven m the l'actorics Ac~.
1'0
/. /{, Col14" ·~1.,
t!I w.-.,.Mills
~~"Lil.
v.
WiMall
-
IJ68
J, K. C.t,_ S;iMi1t1
& w,..;01 MUls
c.., LUI.
••
&iri M•li
726
SUPREME COURT REPORtS(l964) VOL,
Held also, that the Tribunal was justified in granting the
demand of the respondents for leave on grounds of fair-play
and social justice. The concept of social justice has now be·
come such an integral part of industrial law that it is idle for
any party to suggest that industrial adjudication can or should
ignore the claims of social justice in dealing with industrial
di1putos. The concept of social justice is not narrow, one-sided
or pedantic and is not confined to industrial adjudication alone.
lts sweep is comprehensive. It is founded on the basic ideal
of socio-economic equality and its aim is to assist the removal
of socio-economic disparities and'inequalities.
In dealing with
industrial matters, it does not adopt a doctrinaire approach and
refuses to yield blindly to abstract notions, but adopts a
realistic and pragmatic approach. It endeavours to resolve the
competing claims of employers and employees by finding a
solution which is just and fair to both parties with the object
of c1tablishing harmony between capita
<! labour and good
rdationship.
Shri Bhikari, Kanpur v. Messrs. Oooper Allen & Oo.,
Kanpur, 1952 L.A.C. 298 ; 1'he Upper India Ghini Mille
Mat.door Union v. The Upper India Sugar Mill•, 1953 L.A.C.
870 ; Tho Suti Mill Malllloor Sabha, Kanpur v. M ef&rB. The
British India Oorporation Ltd., Kanpur, 1956 L.A.C. 549;
J.K. Iron & Steel Go. Ltd., Kanpur v. The Iron and Steel
Mardoor Union, Kanpur, [1953] 2 S.C.R. 1315 ; Muir Milla Go.
Ltd. v. Suli Mill• Mat.door Union, Kanpur, [1955] l S C.R. 991;
Mesar1. Grol/Jn Aluminium Works v. Their Workmen, [1958]
S.C.R. 651 and The State of My.ore v. Tho WorkerB of Gold
MinOB, [1959] S.C.R. 895, referred to.
CrvIL APl'ELLATEjURISDICTION: Civil Appeals
Noa. 48<1 & 481 of 1962.
Appeals by special leave from the order dated
March 10, 1958 of the Allahabad High Court in
Writ Nos. 1006 and 1007 of 1955, and from the
decision dated July 15, 1955 of the Labour Appellate
Tribunal of India, Lucknow, III Bench in Appeal
Nos. 111-274 and 300 of 1954.
G. 8. Pathak and G. O. Mathur, for the appe·
Han ts.
lf.. S. Hajela and O.P. Lal, for respondent No. 2
(ID C • .A. No, 480 of 1962).
I
-
3 S.C.R.
StJPRE~E COURT REPORTS
72'7
J.P. Goyal, for respondents Nos. 3 to 12 (in
C.A. No.'480of1962) and the respondents (in C.A.
No. 481 of 1962).
1963. May 9. The Judgment of the court was
de Ii vered by
GAJENDMGADKAR J.-An Industrial dispute
which arose between the appellant, J.K. Cotton
Spinning & Weaving Mills Co., Ltd., and the respondents, its employees, was referred by the Government of Uttar Pradesh for adjudication to the
Adjudicator,
Kanpur, on November,
30, 1953.
This dispute covered two items of claim made by the
respondents. The first item was in regard to the
dismissal of a gardener (Mali) Badri by name. The
respondents urged that the said dismissal was unlawful and Badi"i was entitled to reinstatement with all
the wages during the period of his enforced unemployment. The second item of dispute was in regard
to the claim made by the 10 Malis employed by the
lppellant to receive dear food allowance, weekly
liolidays and leave with wages.
Before the Adjudicator, the appellant contended
that the Malis were not workmen within the meaning
of the U.P. Industrial Disputes Act, 1947 (No. 28of
194 7), and so, the reference was invalid. It was
also urged by the appellant that the claim made by
the respondents for dear food allowance could not be
sustained, because G.O. No. 3754 (LL)/XVIII-894
(L)-1948 issued by the U.P. Government on December
6, 1948, was inapplicable to the Malis inasmuch as the said Government order applied only to
industrial employees and the Malis are not industrial
employees within the meaning of the said order.
The other claims made by the respondents for weekly
holidays and leave with wages ''lere also resisted on
the ground that the Malis w<:re &lot workmen under
1161
1.1>. c.11 • .a~.,
Ill WHJ/•1 MUl1
c ... ""'·
v.
.llo<lri Moli
J .J:. Ct1IM Sf1Uutbi1
•ti w,..; ·.Milli
" I. co;;"l,tJ.
-· .,, .. '
4/~¥oli
Gcjtrulrcgadt., I.
7.28 SUPREME COURT REP0RTS [1964) VOL.
tl,ie Act, and so, they were entitled to no relief in the
present proceedings.
The Adjudicator held that the Malis were
workmen under the Act, and so, he rejected the
appellant's contention that .the reference was bad.
On the merits, he found that the dismissal of Badri
was without justification, and so, he was entitled to
reinstatement. He also ordered that the appellant
should pay Badri half his wages at Rs. 45/-p.m. as
compensation from the date of his dismissal to the
date of hi! reinstatement. That is how the first item
of dispute was decided by the Adjudicator. On ,the
· second item of dispute, the Adjudicator found that
the Malis were not industrial employees, and so, they
were not entitled to claim dear food allowance unC!er
the relevant Government order. The other claims
made ,by the Malis with regard to weekly holidays
and ]eave with wages were likewise rejected by the
Adjudicator. In other words, the second item of
dispute was decided against the respondents. This
award was pronounced on May, 31 1954.
The decision of the Adjudicator gave rise to
two appeals before the Labour Appellate Tribunal.
The appellant by its appeal No. 300 of 1954 disputi;?
the correctness of the Adjudicator's conclusion tha'.t
Badri was . a workman and that his dismissal was
unjustified. The Labour Appellate Tribunal .has
rejected this contention and the appellant's app'e'al
was dismissed. The respondents by their appeal
No. 274/1954 contended that the Adjudicator was
in error in holding that the Malis were not indus.·
trial employees and as such, were not entitled fo
dear food allowance.
The Labour Appellate Tribunal has upheld this plea and has given the Malis 'the
benefit of the provision contained in the relevant
Government order in respect of dear food allowance~
The cJajm of the respondents for a weekly 'holiday
was, lfo•1ever, rejected by the Labour· Appellate
3 s.c.R
SUPllB.a QOUllT UPOllTS
729
'I'rJ.~u~~l. waile their claim fo.r leavJ: with wages
was allowed, and a direction was issued that the
Malis in question should be given leave in the
riii!Ane)'.' prescribed by s,ection 79 of the Factories
Act (No. 63 of 1948). The Labour Appellate Tril?.l\nM held that though the said Act was, in terms,
not applicable to the Malis, the principle on which
tl;:ie statutory provision for leave pre~ribed by s. 79
\fas \>ased
was a principle of social justice, and
so, the Malis were entitled to have a similar benefit.
The respondents had also claimed that Badri shou Id
l?e given the full wages for the period of his enforced
unemployment instead of Rs. 45/-p.m. a.q allowed by
the Adjudicator. This plea has also been upheld
by the Labour Appellate Tribunal. In the result,
the respondents' appeal subst.antially succeeded. The
decision of the Labour Appellate Tribunal was
proll~:mnced on 15. 7.1955.
This decision was challenged by the appellaat
before the Allahabad High· Court by preferring a
writ petition No. 1006/1H55. It was urged by the
appeliant that the decision of the Labou,r Appellate Tribunal was patently erroneous and illegal, and
so, it shou.ld be quashed under Art. 226 of the Constitution. Whilst the writ petition was pending in tlte
s'aid'High Court, the Bench of the Labour Appellate
Ti'ibunal that sat at Lucknow ceased to exist, and 'so,
the High Court took the view that it had no junsdiction to entertain a writ petition in respect of the dei:ision of the Labour Appellate Tribunal which was not
functioning within the limits of its territorial juri,
diction. That is why the said writ petition was dismissed as having become infructuous. This dicision
was pronounced on March 10, 1958.
The two present appeals Nos. 480 & 481/1962
have been brought to this Court by the appellantb'y ·
spi;c,~al leaye, and ~hey are di~e<;ted against the decisigp Qf the l;l;igh Gol\rt dismi~ing the
apRella~t's
''°
,,,., c.~ $,.. .. ,
& "ct"!.tt!i/ls
••
11.'!fi M•li
G•J1iWatdlwr /.
•
,, ..
tt·
'
~ J: ;f!"Cottb~ Spidning
·l? ·~-~tJtiini Milli
Lo .• Lid
'
,. . .
'
Batlri Mali
.. e•~7"~'
G•jnulr«z•ik., J.
.,
730
SUPREME COURT REPORTS (196~] vot:
writ petition and against the decision of the Labour
Appellate Tribunal respectively.
Mr Pathak who
appeared before us for the appellant stated that he
did not propose to argue Civil Appeal No. 480/1962,
because this
Court's decision ju Civil Appeal
No. 481/1962 would determine the dispute between
the parties. Civil Appeal No. 480/1962 has in that
·ense become unnecessary, because the merits of the
main dispute are raised by the appellant in its
appeal No. 481/1962 which is directed against the
decision of the Labour Appellate Tribun:il.
We
would, therefore, deal with Civil Appeal No. 481/1962
only.
In this appeal, Mr. Pathak has not disputed
the correctness or propriety of the decision of the
Labour Appellate Tribunal in regard to the claim
niade by the respondents· in respect of Badri's dismissal. So, that part of the dispute need not detain us
in the present appeal. The principal contention
which has been seriously pressed before us by Mr.
Pathak is that the Labour Appellate Tribunal was
in error in holding that the Malis are workmen under
section 2 of the Act. Section 2 of the Act, as it
stood at the relevant . time, provided, inter alia , that
in this Act the expression "workman" shall have
the meaning ~assigned to it in s. 2 of the Industrial
Disputes Act, 194 7, and that takes us to s. 2 (s) of the
Industrial Disputes Act, 1947 (No. 14 of 1947) which
defines a workman. Secticn 2 (s), inter alia, provi·
des that a "workman" means any person (including
an apprentice) employed in any industry to do any
skilled or unskilled manual, supervisory, technical or
clerical work for hire or reward, whether the terms
of employment be expressed or implied; and so, the
question is whether the 10 Malis whose claims have
given rise to the present reference can be said to be
workmen under s. 2 (s).
For deciding this point, it is necessary to refer
to the relevant facts as they have been fou11d by the
3 S.C.lt
StJl'REME COURT REPORTS
731
Tribunals below. The 10 Mails have been appointed by the appellant for the maintenance of !(ardens
attached to the bungalows of some of the officers of
the Mills which are situated in the compoun, of the
Mills, while othe1s are employed for
looking
after the gardens attached to Kamla Niwas which is
a resedential building allotted to the
Governing
Director of the Mills and which is also situated within
the compound of the Mills. Some of these Malis have
also to work in the gardens attached to the residential
building of the Director-in-charge of the Mills. The
gardens which are looked after by these Malis are
not the gardens attached to the Mills as such.
It
appears that in the large and expansive colony or the
Mills, the factory of the Mills is inside a compound.
Outside this componnd of the factory, but within the
colony of the Mills, are situated the bungalows
occupied by the officers of the Mills and the Director.
It is the gardens attached to these bungalows that are
looked after by the 10 Malis.
It is also clear that the Malis are appointed by
the appellant.
The total month I y wages of these
10 Malis come to about Rs. 450i·· The appellant
collects a small amount from the officers as a contribution to the salaries of these Malis and the bulk of
it approximating to 78 % is paid by the appellant.
The contributions made by the officers are credited to
the revenue of the appellant and from the funds of
the appellant, the Malis are paid their wages and
they are debited in the accounts of the appellant.
The names of the Malis are borne on a register maintained by the clerk of the appellant who supervises
their work. This clerk notes their attendance from
day to day.
Their appointment is made by the
appellant, their work is supervised and controlled by
the appellant and they are liable to be dismissed by
the appellant.
The officers who are allotted the
bi.mgalows have no control over the Malis and can
exercise no jurisdiction over them. . It is in the light
1963
J.K. Col,.,, Spi .. i•1
& W1•tin1 Miiii
C1., Ltl.
v.
Buri Mali
1905
1,:·
J .Ii". C•Utn S;innU.1
!ii W~tMills
.CO., Ltd.
v.
8-'ri Mali
Gaj.urag.Okar J.
732
SUPREME COURT REPORTS [1964) VOL.
of these facts that the question raised by Mr. Pathak
in regard to the status of the Malis has to be
determined.
Mr. Pathak contends that the crucial words used
in the definition prescribed by s. 2 (s) are "employed
in any industry''. He argues that before any person
can claim to be a workman under s. 2 (s), it must be
shown that he has been employed in the industry of the
employer. The industry of the appellant is spinning
and weaving ope-rations and, says Mr. Pathak, the
Malis have obviously nothing to do either with the
spinning or weaving operations of the appellant;
since they are not employed in the industry of the
appellant, the fact that they have been employed by
the appellant would not make them workmen within
the meaning of the Act. Thus presented, the ariument is no doubt prima jacie attractive; but as soon
as we begin to examine it more carefully, it breaks
down. If the construction for which Mr. Pathak
contends is accepted without any modification, clerks
employed in the factory would not be workmen, because on the test suggested by Mr. Pathak, they are
not employed in the spinning or weaving operation
carried on by the appellant and yet, there is no
doubt that clerks employed by the appellant to db
Clerical work are workmen under s. 2 (s), arid so;
the literal construction of the clause "empliiyed in
any industry" cannot be accepted and that means
that "employed in any industry" must take in employees who are employed in connection with operations incidental to the main industry, and once we
are compelled to introduce this concept of incidental
connection with the main industry, the literal construction for which the appellant contends· has to be
rejected.
It is, of course, not very easy to decide what .is
the field of employment included by the principle .of
incidental r.elatio.nship, and· wha,t
,would, be .the
lim,i,tat\oμs .of tJ,le s!'!id p~~uciple? lf ,sweepi:i;s !U:e
St1PMD COUR'f' RBPOlt1'S"
~~3
employed by the appellant to clean the premises of
the Mills, that clearly would be work incidental to
the main industry itself, because though the work of
the sweepers has no direct relation either with the spinning or weaving, it is so manifestly necassary for the
efficient functioning of the indus'.ry itself that it would
be irrational to exclude sweepers from the purview
of s. 2 {s). If buses are owned by the industry for
transporting the workmen, would the drivers of such
buses be workmen or not? It would be noticed that
the incidental connection in the present illustration
is one degree removed from the main industry; the
workmen who work in the industry are intended to
be brought to the factory by the buses and it is these
, buses that the drivers run. Even so, it would not be
easy to exclude drivers of buses engaged by the
factory solely for the purpose of transporting its
employees to the Mills from their regpective homes and
back, on the basis that they are not workmen under
s. 2 (s).
Mr. Pathak was unable to resist the exten·
sion of the definition to such cases; but, nevertheless,
he attempted to argue that though sweepers who
sweep the premises of the factory may be called
workmen, sweepers who sweep the area around the
factory may not be included under s. 2 (s). Sweeping
the. area outside the factory, it is argued, may be
incidentally connected with the main industry, but
the incidental connection is indirect and remote, and
so, this class of employees must be excluded from the
definition.
We are not
prepared to accept
this argument.
In our opinion, an employee
who is engaged in any work or operation which is
incidentally connected with the main industry of the
employer would be a workman, provided the other
requirements of s. 2 (s) are satisfied.
In this connection, it is hardly necessary to
emphasise that• in the modern world industrial
operations have become complex and complicated
and for the efficient· and successful functioning of
196J
J,1:;, CotiO. s}i~1
& W ,..,;., Mi//,
Co,, LIJ.
••
B.ir1 Moli
Gojar4roji'i"4r J.
1963
J,K. C111011 5pi1lni11g
' & ,Wo,v.ing }.fills
c~., ltd.
..
Badti Mali
f?ojeruh-~gadkar J,
:734
SUPREME COURT REPORTS [1964]VOL:
any industry, several incidental operations arc called
in aid and it is the totality of all these operations
that ultimately constitutes the industry as a whole.
Wherever it is shown that the industry has employed
an employee to assist one or the other operation
incidental to the main industrial operation, it would
be unreasonable to deny such an employee the status
'Jf a workman on the ground that his work is not
Jirectly concerned with the main work or operation
Jf the ind us try.
J{ everting to the illustration of the
buses owned by the factory for the purpose of transporting its workmen, if the bus drivers can legitimately be held to assiSt an operation incidental to
the main work of the industry, we do not see why
a Mali should not claim that he is also engaged
in an operation which is incidental to the main
industry.
While we are dealing with this point, it is
necessary to bear in mind that the bungalows are
owned by the appellant and they are allotted to the
officers as required by the terms and conditions of
the officers' employmeqt. Since the bungalows are
allotted to the officers, it is the_ duty of the appellant
to_ look after the bungalows and take care of the
gardens attached to them .. _If the terms and condi~
tions of service require that the officers should be
given bungalows and gardens are attached to such
bungalows, it is difficult to see why in the case of
Malis who are employed by the appellant, are paid
by it, and who work subject to its control and
supervision and discharge the function of looking
after the appellant's property, it should be said that
the work done by . them has no relation with the
industry carried on by the appellant. The employment
is by the appellant, the conditions of service are
determined
by
the
appell:; ut,
the payment
is substantially by . the appellant,. the · continuance
of service
depends . upon
the . pleasure
of the al?pellant, subject, ofcourse, to. the Standing
3 S:C;R.
SUPREME COURT REPORTS
735
Orders prescribed in that behalf, and the work
assigned to the Malis is the work of looking after
the properties which have been allotted to the officers
of the appellant. Like the transport amenity provided
by a factory to its employees, bungalows and gardens
are also a kind of amenity supplied by the employer
to his officers and the drivers who look after the
buses
and
the
Malis who look
after
the
gardens must, therefore, be held to be engaged in
operations which are incidentally connected with the
main industry carried on
by the employer. It is
true that in matters of this kind it is not easy to
draw a line, and it may also be conceded that in
dealing with the question of incidental relationship
with the main industrial operation, a limit has to
be prescribed so a11 to exclude operations or activities
whose relation with the main industrial activity
may be remote, indirect and far-fetched. We are
not prepared to hold that the relation of the work
carried on by the Malis in the present case can be
characterised as remote,
indirect or far-fetched.
That is why we think that the Labour Appellate
Tribunal was right in coming to the conclusion that
Malis are workmen under the Act.
Before we part with this point, we would like
to add that industrial adjudication appears consis·
tantly to have taken the view that Malis looking
after the gardens attached to the bungalows occupied
by officers of any industrial concern are workmen
under s. 2 (s).
Our attention has been drawn to
two decisions of the Labour Appellate Tribunal
dealing with this question. In Shri Bhikari,
Kanpur v. Messrs. Cooper Allen & Oo., Kanpur, (')
the Labour Appellate Tribunal while dealing with
the case of Bhikari who was engaged as a gardener
by the Company and was 011 the pay· roll of the Company observed that the Tribunal failed to see why he is
not to be regarded as a workman within the meaning
of s. 2 (s) of th!! Industrial Disputes Act which
(I) (1952] L, A. 0, ~.
/!J6j
J.K. Cottdn SJinllin1
I!/ w...,;•g Mills
Co ,.;Ltd1
v.
BadriM•li
/HJ
'·"· c,i,.,, srnm.,
Ill w•,•~Uv Mills
c.., '''·
..
B•dri M.Ji
738
SUPRBMB COURT RBP'ORTs [1964] VOL~·
definition has been adopted by the U.P. Industrial
Disputes Act under which the case was started. The
same view was taken by the Labour Appellate
Tribunal in the case of The Uppe.T India Chini
.Mills Mazdoor Union v. The Upper India Su;gar
Milla ('). Dealing with the case of Rati Ram who
was engaged as a Mali, the Tribunal rejected the
employer's contention that the said Mali was a
domestic servant and observed that merely because
the Company chooses to put Rati Ram on the work
of a gardner with the Managing Director which the
Company is admittedly required to provide for and
pay for, it does not follow that Rati Ram became a
domestic servant. It is remarkable that both these
decisions which are directly in
point, were under
s. 2 of the Act with which we are concerned. In
dealing with industrial dispute we are reluctant to interfere with the well established and consistent course
of decisions pronounced by the Labour Appellate
Court unless, of course, it is shown that the said
decisions are plainly erroneous.
The next question which calls for our decision
is whether the Malis are
industrial
employees
within the meaning of the relevant G. O. The
said G. O. opens with two operative paragraphs
· which are followed by the table of minimum basic
wages prescribed by it and other paragraphs. These
first two paragraphs read thus :
" ( 1) This order shall he deemed to have
come into force with effect from December,
1, 1948 and sha,11, in respect of the matters.
covered by it, bind all the industries affected
thereby and the workmen employed therein.
(2)
The minimum basic wage payable to
employees (industrial or clerical) in the various
industries and undertakings specified in column
I of Table I hereunder shall, so long as this
(1) liP ... A; c, &70.
a s.a.R.
SUPREME COURT REPORTS
737
order remains in force, be the amounts mentioned against them in column 2 or 3 thereof,
as the case may be,"
Paragraph 3 prescribes the dear food allowance, and
it is in respect of this claim made by the respondents
that the appc;llant has raised the contention that this
paragraph does not apply, because the Malis are
not industrial employees. It will be noticed that
the first paragraph makes it perfectly clear that the
order binds all the industries affected by it and the
workmen employed therein ; ·so that as soon as it is
held that the Malis are workmen under s. 2 of the
Act, it would follow that the order would apply to
the Malis. In considering the present point. it is
necessary to bear in mind that this order has been
issued in exercise of the powers conferred by clauses
(b) and (g) of section 3 of the Act, and that clearly
means that persons who are workmen under 1. 2 of
the Act are referred to by paragraph I and there
would be no escape from the conclusion that the
order would apply to such workmen and the Ind·
ustries that employed them.
It is, however, urged that in paragraph 2, the
minimum basic wage is specified as being payable to
employees, industrial, or clerical, in the vario•S
industries
and
the
suggestion
is
that it is
only employees who are either industrial or clerical to
whom the order applies.
Industrial employees are
not defined; but it is assumed by the appellant in
urging this argument that the class of industrial
employees would be narrower than the class of
workmen covered by s. 2 of the Act. In our opinion,
this argument is wholly fallacious.
It is clear that
the second paragraph refers to industrial or clerical
employees, because the table prescribing the minim um basic wages divides the employees into two
categories, industrial and clerical. It is only because
his division is made by the table that for the
1969
IX. C•tton ,SPintiJal
fY W .. oiill Milli
Co., Ltil;
.
y,
Badri M•li
1963
/.K. Cati.. Sji....,
&,W,..;n, Mi/11
Co., Ltd.
••
Bairi Moli
738
SUPRBNm COURT REPORTS [1964] VOil..
purpose of clarification,
paragraph 2 mentions
industrial or clerical in bracket after referring to
the employees. Besides it would be unreasonable to
assume that when the order prescribed minimum
basic wages for workmen to whom paragraph 1
expressly refers, it could have been intended that
the said minimum basic wages should not be extended to some workmen falling under paragraph 1
because they do not fall under the category of industrial employees or clerical employees. The scheme
of the order is plain and unambiguous ; to all
workmen falling under s. 2 the benefits of the order
are intended to be extended.
That is the view
taken by the Labour Appellate Tribunal and, in
our opinion, that view is obviously right. If that
be so, the validity of the order passed by the Labour
Appellate Tribunal awarding the respondents' claim
for dear food allowance under paragraph 3 of the
G.O. cannot be questioned.
It is true that in The Buti Mill Mazdoor Sabha
Kanpur v. Messrs. The British Indian Corporation
Ltd. Kanpur (1), the Labour Appellate Tribunal
appears to have taken the view that the expression
"industrial employees" is limited to the class of
employees who are employed directly or indirectly
for the purpose of manufacturing process carried on
by the factory. In coming to this conclusion, the
Labour Appellate Tribunal noticed the fact that the
expression "industrial employees" had not been
defined, but it was disposed to drive assistance from
tlie definition of the word "worker" in the Factories
Act in determining the scope of the · expression
"industrial employees". No doubt, it
wa~ urged
before the Tribunal that expression "iudustrial
employees" should be understood in the same comprehensive sense as the word "industry" as defined
in the industrial Disputes Act, but this contention
was rejected by the Tribunal. It seems to us that
the Tribunal was in error in limiting the scope of
(I) 1956 L,A,C,. 549,
a s.a.R.
SUPREME COURT REPORTS 739
the. expression "industrial employees" by reference
to the definition of the word "worker" prescribed by
the Factories Act. Indeed, it would be relevant
and appropriate to refer to the definition of the word
"workman"
under s. 2 (s) of
the
Industrial
Disputes Act, because the G.O. in question has been
issued under the Act and the definition of a "workman" prescribed by s. 2 of the Act as s. 2 (s) of the
Industrial Disputes Act would determine the true
denotation of the expression "industrial employees".
We must accordingly hold that the Labour Appellate
Tribunkl was in error in accepting the very narrow
construction of the expression "industrial employees"
used m the Government order.
·
The next point which has been urged before
us by Mr. Pathak is in regard to the decision of the
Labour Appellate Tribunal awarding the benefit of
leave to the respondcn:s on the same lines ass. 79
of the Factories Act.
Mr. Pathak attempted to
argue that the c1aim for leave had . been made
specifically on the basis of provisions of the Factories
Act and the U.P. Shops and Commercial Establish·
men ts Act, and he suggested that as soon as it was
found that these two Acts were inapplicable to the
Malis, the said claim should have been rejected.
The Labour Appellate Tribunal has, however, held
that though the said two Acts do not apply, a claim
for leave can be justified on the ground of social
justice. Mr. Pathak objects to this decision on the
technical ground that the claim itself was based on
the provisions of the said two Acts and no other.
This contention is not well-founded. lt does appear
that in paragraph 10 of the written statement filed
on behalf of the respondents reference is made to the
said two Acts, but in the prayer clause the claim is
made in general terms without reference to the Acts,
and the reference itself is in general terms and makes
n0 mention of the said two Acts. Therefore, the
(echnical. ground urged by Mr. Pathak tha,t · t~~
'. '' ,)
. '
,.,,
J.K. c.ttoo S/>IMIM1
llW.....,MUll
c.., Uil.
v.
BM; "'"'i
-
~,*rl.
IHI
. . v'
1.a:. c.i. $iinain1
•·!ti . . . Mills
" o::'l":·
••
"""!. ~~j
G~.I.
740
~μit~ENIE COURT REPORTS [1964] VOL ..
relevant claim was made on the provisions of the
twcl spedfied Acts and should be rejected 'solely on
the ground that the said Acts do not apply, cannot
be sustained. It was a general reference which the
Adjudicator wa8 called upon to decide and the fact
that the said two Acts did not apply, cannot be said
to rule out the said claim as to leave in limine.
Then Mr. Pathak was driven to contend that
the ground of social justice given by the Labour
Appellate Tribunal in support of its award is really
not sound in law, and he referred us to the observations made by this Court on some occasions that
the considerations of social justice were "not only
irrelevant but untenable" vide J.K. Iron & Steel Oo.,
Ltd. Kanpw v. The Iron and Steel Mazdoor Union,
Kanpur('), and Muir Milla Oo., Ltd. v. Suti Milla
Mazdoor Union, Kanpur.('), In our opinion, the
argument that the considerations of social justice
are irrelevant and untenable in dealing with industrial disputes, has to be rejected without any
hesitation. The development of industrial law
during the last decade and several decisions of this
Court in dealing with
industrial matters have
emphasised the relevance, validity and significance
of the doctrine of social justice, vide Messrs. Grown
Aluminium Works v. Their Workmen, (1) and The State
of Mysore v. The Workers of Gold Mines (*). Indeed
the concept of social justice has now become such an
integral part of industrial law that it would be idle
for any party to suggest that industrial adjudication
can or should ignore the claims of social justice in
dealing with industrial disputes. The concept of
social justice is not narrow, one-sided, or pedantic,
and is not confined to industrial adjudication alone.
ltS sweep is comprehensive. It is founded on the
basic ideal of socio-economic equality and its aim is
to assist the removal of socio-economic disparities :
and inequalities ; nevertheless,
in dealing with
indU'.atrial' matters, it does not adopt a doctrinaire •
(I) U!l95! 2 &.C.R. 1315.
(2) [1951] I B.C.11. 9111,
(I) 119581 S.C,R. 65J,
(t) 11"91 S,C,R, 1195.
3 S.C.R.
SUPREME COURT REPORTS 741
-~
J.X. r:.t• s~
elW...U.,Mil/I
c.., l.td.J
approach and refmes to yield blindly to . abstract
notions, but adopts a realistic arid pragmatic
approach.
It, therefore, endeavours to resolve the
competing claims of employers and employees by
finding a solution which is just and fair to both
parties with the object of establishing harmony
between capital and Labour, and good relationship.
The ultimate object of industrial adjudication is to
help the growth and progress of national economy
and it is with that ultimate object in view that
industrial disputes are settled by industrial adjudication on principles of fair-play and justice. That
is the reason why on several occasions, industrial
adjudication has thought it fit to make reasonable
provision for 1 eave in respect of the workmen who
may not strictly fall within the purview of the
Factories Act or the Shops and Commercial Establishments Act.
We are, therefore, satisfied that there
is no substance in the grii:vance made by Mr. Pathak
that the Labour Appellate Tribunal should not have .
granted the demand of the respondents for leave on
grounds of fair-play and social justice.
The result is, Civil Appeal No. 481/1962 fails
and is dismissed with costs. Civil Appeal No. 480
of 1962 has not been pressed and is, therefore, dismissed. There would be no order as to costs.
Appeals dismi.!sed.
v.
Boari Moli
_,_