MESSRS. ISPAHANI LTD. CALCUTTA versus ISPAHANI EMPLOYEES UNION

MESSRS. ISPAHANI LTD. CALCUTTA versus ISPAHANI EMPLOYEES UNION

The workmen were entitled to Puja bonus equal to one month's wages as it was an implied term of employment due to unbroken payment over years, including years of loss, which was not paid out of bounty. However, the workmen were not entitled to benefits for service with M/s. M. M. Ispahani Ltd., as their service was terminated and no express or implied undertaking of continuity was given by the new employer.

Parties
Appellant: Messrs. Ispahani Ltd. Calcutta; Respondent: Ispahani Employees' Union
Jurisdiction
India
Judgment Date
06 May 1959
Procedural Posture
Civil Appeal / Appeals by Special Leave From the Judgment and Order Dated July 27, 1955 of the Labour Appellate Tribunal of India at Calcutta in Appeal No. Cal. 257 of 1954
Outcome
Appeals dismissed
Legal Topics
Industrial Disputes, Puja Bonus, Implied Agreement, Employment Benefits, Continuity of Service
Labour Law Industrial Disputes Puja Bonus Implied Agreement Employment Benefits Continuity of Service

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Parties

Messrs. Ispahani Ltd. Calcutta

Appellant

Ispahani Employees' Union

Respondent

Procedural Posture

Civil Appeal / Appeals by Special Leave From the Judgment and Order Dated July 27, 1955 of the Labour Appellate Tribunal of India at Calcutta in Appeal No. Cal. 257 of 1954

Legal Issues

  1. 1 Whether workmen are entitled to Puja bonus for 1953
  2. 2 Whether workmen are entitled to receive from the company any benefits for the period of service rendered under M/s. M. M. Ispahani Ltd.

Ratio Decidendi

The workmen were entitled to Puja bonus equal to one month's wages as it was an implied term of employment due to unbroken payment over years, including years of loss, which was not paid out of bounty. However, the workmen were not entitled to benefits for service with M/s. M. M. Ispahani Ltd., as their service was terminated and no express or implied undertaking of continuity was given by the new employer.

Court Disposition

Appeals dismissed

Orders

  • Parties to bear their own costs as the Court has not examined the merits of the controversy.