GAUHATI HIGH COURT ISSUES ORDER ON BASANTA KUMAR KALITA V/S THE MANAGEMENT OF M/S FERTICHEM AND 2 ORS.

GUWAHATI, India, Oct. 9 -- Gauhati High Court issued the following order on Sept. 9:

1. Heard Mr. A. Dasgupta, learned Senior Counsel assisted by Ms. B. Das, learned counsel for petitioner. Also heard Mr. D. Deka, learned counsel for the respondent No. 1; Mr. P. K. Roy, learned Senior Advocate assisted by Mr. B. Das, learned counsel for the respondent No. 2 and Mr. S. S. Roy, learned Government Advocate for the State respondents.

2. Challenge made in this writ petition is to the judgment dated 11.09.2013, passed by the Presiding Officer, Labour Court, Guwahati, Assam in Misc. Case No. 04/2007, whereby, the claim for wages and salaries of the workmen in terms of the award dated 11.11.2002 passed in Reference Case No. 02 of 2000, has been rejected.

3. Petitioner served as Senior Office Assistant in M/s Fertichem Ltd., a company owned by the Government of Assam, respondent No. 1 herein. M/s Fertichem Ltd. manufactured fertilizers and started its production in the year 1974, however, it could not carry out its production after 1995. In the year 1999, a Memorandum of Understanding (MOU) was signed between the M/s Fertichem Ltd. and Assam Industrial Development Corporation (AIDC) in one part and M/s BES Foundries Pvt. Ltd. in other part, inter alia with an agreement that M/s BES Foundries Pvt. Ltd. will carry out the production and manage all other affairs of the business and that the existing workers who would like to work under new arrangement would give their consent and remaining unwilling persons would go for VRS Scheme.

4. In terms of the Memorandum, some employees opted for VRS Scheme and remaining 65 employees expressed their willingness to serve in the industry. The MOU failed to evoke any response to have the production and as a result, the 65 employees, who expressed their willingness to work under M/s Fertichem Ltd. had not received their due wages from 01.01.1996. In the meantime, a notice was issued by the respondent No. 1 to the effect that all the workmen employed in the industry would not get their wages and other entitlement w.e.f. 01.11.1999, which virtually amounts to closure of the establishment without due compliance of the provisions of the Industrial Dispute Act, 1947 (hereinafter referred to as the Act of 1947). The said action of the respondent No. 1 caused an industrial dispute and the same was raised by the Trade Union, namely, Shramik Kalyan Manch, claiming it to be an illegal closure.

5. As the dispute could not be settled, the Government of Assam in exercise of power conferred under Section 10 of the Act of 1947, referred the dispute before the Industrial Tribunal at Guwahati vide Notification dated 15.02.2000 being Reference Case No. 02/2000. The learned Industrial Tribunal, Guwahati, passed its Award dated 11.11.2002 by holding that the Management is not justified for non-payment of their contesting employees as per the Act of 1947. Therefore, the Management is liable to pay the amount payable to the legitimate employees who has not opted for VRS Scheme. It also held that the Management is to clear wages/salaries from 01.11.1999 onwards to the legitimate workers who are entitled to it.

6. The Trade Union demanded for implementation of the said Award, however, it was not implemented. On 31.08.2003, the respondent No. 1 issued letters to the workers, wherein, it was stated that the Management has decided to close down the establishment w.e.f. 31.08.2003 and on such closure, the services of the employees are terminated on 31.08.2003. Against the said decision, the Trade Union raised an industrial dispute, which was against the 33 workmen.

*Rest of the document can be viewed at: (https://hcservices.ecourts.gov.in/ecourtindiaHC/cases/display_pdf.php?filename=lG6h6ilt3H1fOBr4DLdM9c%2BQwG561T3mwoPXzQCpF%2FHro2NIZAt7Q7WPTyqTNzpp&caseno=WP(C)/496/2014&cCode=1&cino=GAHC010224742014&state_code=6&appFlag=)

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