M/S. BURN & CO. LTD. & OTHERS versus THEIR EMPLOYEES.

M/S. BURN & CO. LTD. & OTHERS versus THEIR EMPLOYEES.

The Supreme Court held that the industrial tribunal was correct in directing extension of the incentive bonus scheme to clerical and subordinate staff, since their contribution to production, though not direct, is material, and similar benefits are provided in comparable industries. The ground of higher dearness allowance or lack of direct production was not a reason for exclusion. The Court also upheld the tribunal's finding that workmen were not entitled to tiffin allowance for the period when the canteen was not in operation due to their own conduct.

Parties
Appellant: M/S. Burn & Co. Ltd. & Others; Respondent: Their Employees
Jurisdiction
India
Judgment Date
30 March 1960
Procedural Posture
Civil Appeal / Appeal From Award of Industrial Tribunal, Decided by Supreme Court
Outcome
Appeals dismissed
Legal Topics
Incentive Bonus, Industrial Dispute, Scope of Tribunal's Power, Tiffin Allowance
Labour and Industrial Law Incentive Bonus Industrial Dispute Scope of Tribunal's Power Tiffin Allowance

Case Brief

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Parties

M/S. Burn & Co. Ltd. & Others

Appellant

Their Employees

Respondent

Procedural Posture

Civil Appeal / Appeal From Award of Industrial Tribunal, Decided by Supreme Court

Legal Issues

  1. 1 Whether the Industrial Tribunal can extend an existing incentive bonus scheme to clerical and subordinate staff who are not manual workers
  2. 2 Whether clerical and subordinate staff should be excluded from incentive bonus solely on the ground of receiving higher dearness allowance or not engaging in direct production
  3. 3 Whether the workmen are entitled to tiffin allowance during the period the canteen was not in operation

Ratio Decidendi

The Supreme Court held that the industrial tribunal was correct in directing extension of the incentive bonus scheme to clerical and subordinate staff, since their contribution to production, though not direct, is material, and similar benefits are provided in comparable industries. The ground of higher dearness allowance or lack of direct production was not a reason for exclusion. The Court also upheld the tribunal's finding that workmen were not entitled to tiffin allowance for the period when the canteen was not in operation due to their own conduct.

Court Disposition

Appeals dismissed