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Judgment
Petitioner company has impugned order dated 22nd September, 2017 made by First Labour Court, West Bengal. Mr.Ghosh, learned advocate appears
on behalf of petitioner and submits, a settlement dated 4th October, 2016 under section 12(3) of Industrial Disputes Act, 1947 was duly made between
his client and workmen. A recital and term of settlement are reproduced below:-
Recital:
“The settlement dated 04.11.2010 between M/s. J. Thomas & Company Private Limited (hereinafter referred to as the company) and J. Thomas
& Associate Companies Employees’ Union has expired on 31.03.2013. After the expiry of the said settlement, the union submitted its charter of
demands but due to un-compromise attitude on the part of the said union, no settlement could be arrived at. In the mean time a computation case being
no.28 of 2014 has been filed before the learned First Labour Court in connection with the claim relating to bonus as per the said settlement.
Term:
It is agreed that Bonus equivalent to two months Basic Salary and corresponding Dearness Allowance shall be paid to all employees of Category
‘C’ irrespective of salary or wage drawn in respect of the financial years of the Company ending on 31st March 2014, 31st March 2015, 31st
March 2016 and 31st March 2017. For the purpose of computation of the Bonus, Basic Salary and Dearness Allowance will be the Basic Salary and
Dearness Allowance (including Additional Dearness Allowance applicable, if any) of each employee as on 31st March of each relevant financial year,
as stated above, and it is hereby agreed that such Bonus will be in full and final settlement of the dues of the staff in respect of statutory and/or
Customary Bonus and the Management shall not be liable to pay and the Union and/or Members of the Staff shall not be entitled to claim any further
amount on account of Statutory and/or Customary Bonus at any time in respect of the aforesaid years. No other amount, statutory or otherwise, shall
be payable on account of Bonus or otherwise, save and except as stated above.â€
He demonstrates from annexure-D at pages 109 and 110 of the writ petition, settled amounts were paid to workmen of his client on or before 28th
November, 2016. Private respondent no.5 applied to Labour Court under section 33C(2) of the Act. Others joined and impugned order were made. He
submits, impugned order is required to be set aside. Section 33C(2) empowers Labour Court to compute either amount of money a workman is entitled
to or the money value of a benefit a workman is entitled to. Workmen joining in seeking to invoke the provision and the Court acting accordingly
cannot be sustained under the provision.
He demonstrates from impugned order that settlement of 2016 was noticed. Said provision does not allow the Court to act against terms of a
settlement duly made. Finding in impugned order that previous settlement dated 4th November, 2010 was still in operation and binding on the parties is
perverse. It is also in excess of the jurisdiction and power granted under said provision. There can be no finding of entitlement of interest when the
agreement under which it is claimed stood terminated as expired and thereafter another settlement duly arrived at. Scope of section 33C(2) proceeds
on entitlement but does not call for adjudication of it. He seeks interference.
Mr. Shaw, learned advocate appears on behalf of respondent nos.4 to 14 and submits, no interference is required. He refers to settlement dated 4th
November, 2010, to its application and the period of it. The relevant clause is reproduced below:
“ii) This settlement shall come into force with effect from 1st April 2009 and supercedes all previous settlements. The settlement shall remain
binding and operative upon the parties for a period of four years ending 31st March 2013 and thereafter, the same shall continue to remain binding and
operative unless determined in accordance with law.â€
He submits, this settlement was valid till 31st March, 2013 on its terms. The settlement was to continue and did continue thereafter as not determined
in accordance with law. The term which his client got enforced from the Court is regarding payment of two months salary as bonus every financial
year under that settlement. The term is reproduced below:
“(iii) It is agreed that Bonus equivalent to two months Basic Salary and corresponding Dearness Allowance shall be paid to all employees of
Categories 'A’, ‘B’, ‘C’, & ‘D’, irrespective of salary or wage drawn in respect of the financial years of the Company ending
on 31st March 2010, 31st March 2011, 31st March 2012 and 31st March 2013. For the purpose of computation of the Bonus, Basic Salary and
Dearness Allowance will be the Basic Salary and Dearness Allowance (including Additional Dearness Allowance applicable, if any) of each
employee as on 31st March of each relevant financial year, as stated above, and it is hereby agreed that such Bonus will be in full and final settlement
of the dues of the staff in respect of statutory and/or Customary Bonus and the Management shall not be liable to pay and the Union and/or Members
of the Staff shall not be entitled to claim any further amount on account of Statutory and/or Customary Bonus at any time in respect of the aforesaid
years. No other amount, statutory or otherwise, shall be payable on account of Bonus or otherwise, save and except as stated above.†Paucity of
time intervenes. List on 19th July, 2018.