Brakazahn Cyber Appellate Tribunal 0. Supply Act, which provided that a tariff to be known as the grid tariff shall, in accordance with any regulations vwssb in this behalf, be fixed from time to time by the Board. Section 54 — Joint and several liability of owners and occupiers for offence in relation to water supply. Sub-Categories Policies, Laws and Regulations.
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Rajappa which overruled numerous other decisions of the Supreme Court but simplified the task for the legislature by placing major issues in the right perspective, major policy issues being best decided by the legislature and not by the judicial process.
It is the analysis of this very judgement which is the subject of this paper. Industry involves an employer and employee, and progress postulates harmony and justice in industrial relations. The consequence was a fall in production.
The object of labour legislations is to ensure fair wages and to prevent disputes so that production may not be adversely affected. The function of law is to intervene and, by a just process, resolve the dispute. The Bench was presided over by Justice V. Their ruling was a result of the various disputes arising in establishments that are not manufacturing industries but belong to categories of hospitals, educational and research institutions, Governmental departments, public utility services, professionals and clubs.
The definition was accordingly expanded to cover those establishments which involved an employer-employee relationship, irrespective of the objectives of the organization in question.
These are discussed hereunder. It is the Safdarjung Hospital case which according to Justice Krishna Iyer gave a sharp bend to the course of the law necessitating the reversal of its ratio and in fact the seven-member bench had to be constituted for the specific purpose of reconsidering the case.
Justice Hidayatullah propounded the view that there were two conditions that needed to be satisfied for them to fall in the said definition namely, the end-product should be the result of co-operation between employers and the employees, and if the end-product is a service, it should be a material service, which has been described as that which involves an activity for providing the community with the use of something such as electric power, water, transportation, telephones etc.
In a hospital, especially one engaged in research work, the services are those of professionally trained expert persons. The end-product namely, services rendered to the patient cannot be described as those brought into existence by the co-operation of employers and employees. The employers might have created the necessary conditions for rendering the service but the service is that of the doctor alone and is absorbed by the patient in the form of benefit which is not tangible.
This was criticized by Justice Iyer who said that it is transcendental to define material service as excluding professional service. This undoubtedly represents a departure from the Safdarjung case.
However, this new doctrine was again rejected in Bangalore Water Supply as there is no need for insistence upon the principle of partnership, the doctrine of direct and indirect nexus or the contribution of values by the employees. It was held that every employee in a professional office makes for the success of the office. Firstly, the activity of the club may be falling in the second part of the definition i.
This was again criticized by Justice Iyer who says that it is the employees who work for wages and hence, produce the goods and services, not the club members. When all the services are rendered by hired employees, how can the nature of the activity be described as self-service.
The Gymkhana case was held to be wrongly decided in the Banagalore Water Supply case. The drivers of the buses were retrenched and they raised a dispute claiming retrenchment compensation.
The incidental activity of the subordinate staff may be industrial activity but that by itself cannot alter the predominant character of the institution. This case was also criticized in Bangalore Water Supply by saying that education is a service to the community and hence, university is an industry. Although Section 2 j uses words of the widest amplitude in its two limbs, their meaning cannot be magnified to overreach itself.
All features, other than the methodology of carrying on the activity viz. It does not matter, if on the employment terms there is analogy. Application of these guidelines should not stop short of their logical reach by invocation of creeds, cults or inner sense of incongruity or other sense of motivation for or resultant of the economic operations.
The ideology of the Act being industrial peace, regulation and resolution of industrial disputes between employer and workmen, the range of this statutory ideology must inform the reach of the statutory definition.
Nothing less, nothing more. Such eleemosynary or like undertakings alone are exempt-not other generosity, compassion, developmental passion or project.
The crux of the issue before the court in State of Uttar Pradesh v. Employers in many service establishments and Government departments, aggrieved by the ruling in the Bangalore Water Supply case raised demands for their exclusion from the ambit of the IDA. Parliament subsequently passed in an amendment to the IDA, which sought to exclude many kinds of establishments from the definition.
However, the amendment was never notified. The latest order of the Bench headed by Justice N. The Government had explained before courts that the amendment was not notified in view of the fact that no alternative machinery for redress of grievances of employees in establishments excluded by the amendment had been provided.
No doubt, the question of a differentiated piece of industrial relations legislation for service establishments is becoming ever more relevant because the role of the service sector in the economy is growing. Services are also becoming a subject of international trade negotiations and are being opened to foreign capital. Many service activities such as health care, education, water and power supply, for long either the obligation or the prerogative of governments, are now undertaken by private entrepreneurs.
There is a need, on the one side, to protect the legitimate interests and democratic rights of workers in these sectors, and on the other, to minimize the scope for disruption of industrial peace in these vital sectors to protect the interests of the public. All these reasons are important enough to warrant a separate law for these services. However, some observations made by the Hegde Bench in favour of a legal review of the ruling are on quite different lines and highly debatable.
This also ignores the explanation given by the Government for non-enforcement of the restrictive amendment. Thus the remarks on macroeconomic tendencies made by the latest ruling seem to be no more than assumptions. These, are wise words. Conclusion The Supreme Court has restored judicial discipline and thereby prevented an unnecessary court-initiated turmoil in the area of labour law by giving a judgement in Bangalore Water Supply case. The new definition sought to exclude institutions like hospitals, dispensaries, educational, scientific and research or training institutes, institutions engaged in charitable, social philanthropic services.
It was also proposed to exclude sovereign functions of the Government including activities like atomic energy, space and defense research. For all these institutions, a separate body was proposed to be created to address grievances, But after this legislatives mandate, the successive Governments have been reluctant to bring the said law into force by merely issuing a notification.
It remains a debatable point as to what the Apex Court would do if a petition moved for the enforcement of this definition in terms of A. Roy v. Union of India where it was held that a legislative mandate cannot be held in abeyance by the ruling politicians for an unreasonable period. Anand, Justice S. Bharucha and M. Mukherjee said that the two judges were bound by the judgement of the larger bench in Bangalore Water Supply.
In the opinion of the three judges, the said judgement did not require any reconsideration and they also sent out a silent but clear message that they will not step in where political executive has thought it wise to keep off.
Bangalore Water Supply Case
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Rajappa which overruled numerous other decisions of the Supreme Court but simplified the task for the legislature by placing major issues in the right perspective, major policy issues being best decided by the legislature and not by the judicial process. It is the analysis of this very judgement which is the subject of this paper. Industry involves an employer and employee, and progress postulates harmony and justice in industrial relations. The consequence was a fall in production. The object of labour legislations is to ensure fair wages and to prevent disputes so that production may not be adversely affected. The function of law is to intervene and, by a just process, resolve the dispute.