Tax Management India. Com
Law and Practice  :  Digital eBook
Research is most exciting & rewarding
  TMI - Tax Management India. Com
Follow us:
  Facebook   Twitter   Linkedin   Telegram

TMI Blog

Home

1960 (2) TMI 60

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... when a dispute arises between such an owner and the workmen engaged in one of the ventures over bonus, not only the quantum of the bonus which may be reasonably payable to workmen, but the very question whether any sum will be payable at all or not, may well depend, on whether the overall results, or the results of the particular venture where the workmen with whom the dispute has arisen are employed are taken into consideration. A proper decision of such a dispute therefore requires in the first place a determination of the question whether the several ventures in which the employer of these workmen are engaged form one industrial unit with the particular venture in which these workmen are employed. That precisely is the question which ha .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... Pratap could not be taken into consideration for the simple reason that the ownership of the Daily Pratap was different from the ownership of the Pratap Press and the Vir Arjun paper. On the next question whether the Pratap Press and the Vir Arjun form one industrial unit or two distinct industrial units its decision was however against the employer's contention. On a consideration of the materials before it it held that the Vir Arjun was a distinct and separate industrial entity From the Pratap Press and so the results of the Vir Arjun could not be taken into consideration in deciding the question of bonus. It may be mentioned here that the question is of considerable importance in the facts of these appeals as admittedly if the worki .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ution was the propagation of knowledge of Hindi in South India. For that purpose there were several sections like library section, publicity section, book sales section, training centers for teacher who are paid stipends and are given free lodging etc. It was held that the various connected activities of the institution were carried on through various departments which are inter-dependent on one another and the income and expenditure of the institution as a whole must be taken into consideration for the purpose of ascertaining the available surplus to meet the demand for bonus made by workmen employed in one of such departments. G. G. Industries Mazdoor Union v. G. G. Tin Factory, Agra, 1952-1 Lab LJ 507 (LATI--All), on the other hand is a .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... nal conciliation board. This information showed that the accounts of the Lucknow branch were kept separately, that the amount of capital employed in the factory at Lucknow was also separately shown in 1947-48 and again in 1948-49. The Appellate Tribunal observed:-- This paper, therefore, in our opinion, establishes the fact that the company kept accounts of the Lucknow branch both as regards capital and profit and loss separately as if it was an independent unit. The Tribunal decided to consider on that basis whether any bonus could be awarded to the workmen of the Lucknow branch. 5. In Associated Cement Co., Ltd. v. Their Workmen, , this Court had to consider the question whether the employer's defence to a claim for lay-o .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... the question of unity of finance and employment and of labour. Unity of ownership exists ex hypothesi. Where two units belong to a proprietor there is almost always likelihood also of unity of management. In all such cases therefore the Court has to consider with care how far there is functional integrality meaning thereby such functional interdependence that one unit cannot exist conveniently and reasonably without the other and on the further question whether in matters of finance and employment the employer has actually kept the two units distinct or integrated. 6. Coming now to the facts of the present appeals we find that the functions of the Press and the Vir Arjun paper cannot be considered to be so interdependent that one canno .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... nd on the record appear to have been prepared sometime in December 26, 1951,--apparently after the reference had been made and the dispute whether these units were one or two, had arisen. No weight can therefore be attached to the fact that in this profit and loss account-- both the receipts from the press and the receipts from the Vir Arjun were shown as the income. 8. Some account-books appear to have been produced in Court but it is nobody's case that these throw any light on the question whether the capital fund or the labour force for the two units were treated as one and the same. It is reasonable to think that the account-books were produced only to show the actual working results of the Vir Arjun. It has to be noticed that th .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

 

 

 

 

Quick Updates:Latest Updates