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The chairman and the representatives of the working journalists voted for and the representatives of the employers voted against). Ratio |
The Government of India should constitute a Wage Board under the Act, to review the effect of the decisions of the Board on the newspaper establishments and the working journalists, after the expiry of 3 years but not later than 5 years from the date of the publication of the decisions of the Board. Ratio |
These decisions were recorded on April 30, 1957, but the representatives of the employers thought fit to append a minute of dissent and the chairman also put on record a note on the same day explaining the 64 reasons for the decisions thus recorded. Ratio |
These documents are of vital importance in the determination of the issues before us. Ratio |
In the minute of dissent recorded by the representatives of the employers they started with an expression of regret that the conditions in the newspaper industry did not Permit them to accept the majority view. Ratio |
They pointed out that: (a) The newspaper industry was a class by itself. Ratio |
The selling price of its product was ordinarily below its cost of production. Ratio |
Further, the cost of production specially that of newsprint, went on varying and the frequent rises in newsprint price made it difficult to plan and undertake any long term commitment of an increasing expenditure. Ratio |
(b) The income of the newspaper industry was principally derived from two main sources: sales of copies and advertisement. Ratio |
While sales depended on public acceptance, income from advertisement depended upon circulation, prestige and purchasing power of readers. Ratio |
All those factors made publishing of newspapers a hazardous undertaking and the hazard continued throughout it , existence with the result that it was obligatory that the rates of wages or scales ,should be fixed at the minimum level, leaving it to the employees to share the prosperity of the units through bonuses. Rat... |
(c) It was not ordinarily easy for newspapers to increase the selling price and it had been the experience of some established newspapers that such a course, when adopted, had invariably brought about a reduction in circulation. Ratio |
The fall in circulation had in turn an adverse effect on the advertisement revenue. Ratio |
The sales or advertisement income of a newspaper was not responsive to a progressive increase in expenditure. Ratio |
65 (d) In any fixation of wages of a section of employees, its effect on other sections had to be taken into consideration. Ratio |
Editorial employees were one section of a newspaper establishment and any increase in their emoluments would have its inevitable repercussions on the wages of other sections. Ratio |
The salaries of working Journalists would roughly be one fifth of the total wage bill. Ratio |
The factory staff had a great bargaining power and as such any increase in the salaries and introduction of scales in the editorial department would have to be followed by an increase in the wages and introduction of time scales in the factory side. Ratio |
(e) It was the advertisement revenue that principally decided the capacity to pay of a newspaper industry. Ratio |
This meant that minimum salaries and scales to be fixed on an All India basis would perforce have to be low if the newpapers in language of regions with a low purchasing power such as Kerala and Orissa were not to be handicapped. Ratio |
It would therefore be fair both to the industry and employees if wages were fixed regionwise. Ratio |
(f) The proposals, which the majority had made, clearly showed that, according to it the dominating principle of wage fixation wag the need of the worker as conceived by them, irrespective of its effect on the industry. Ratio |
The Board had not before it sufficient data needed for the proper assessment of the paying capacity of the industry. Ratio |
The profit and loss statements of the daily newspaper establishments for the year 19.54 55 as submitted to the Board revealed that while 43 of them had shown profits 40 had incurred losses. Ratio |
condition of the newspaper industry in the country as a whole could not be considered satisfactory. Ratio |
The proposals embodied in the decision made by the majority were therefore unduly high. Ratio |
They would immediately throw a huge burden on many papers, a burden which would progressively grow for some 66 years, and would be still bigger when its impact takes place on the wages of employees of its other sections. Ratio |
All this will in its turn add to the burden of provident fund, gratuity, etc., when the full impact of the burden took place and the wages of the entire newspaper establishments went up, it would throw out of gear the economy of most of the newspapers. Ratio |
It might be that there may not be many closures immediately, because many of the newspapers would not be in a position to meet the liability of retrenchment compensation, gratuity, etc., resulting from such a step, newspapers would try to meet the liability by borrowing to the extent possible and when their credit was ... |
So far as new newspaper promotions were concerned, they would be few and far between, with the result that after a few years it would be found that the number of daily newspapers in the country had not increased but had gone down. Ratio |
(g)As regards chains and groups the criterion for classification adopted by the majority was unfair and unnatural. Ratio |
The total gross revenue of all the units in a chain or a group gave an unreal picture of its capacity to pay. Ratio |
(h)Giving of retrospective effect, would help only to aggravate the troubles of the newspaper industry which had been already called upon to devise ways and means of meeting the burden of retrospective gratuity. Ratio |
(i) As regards the prevalent rates of wages for comparable employments the nature of work of the working journalists in newspaper establishments could not be compared with other avocations or professions and the rates of wages of working journalists should be fixed only in the context of the financial condition of the ... |
Comparison, could, however, be made within limits, namely with respect to alternative employments available to persons with similar educational qualifications in particular regions or localities. Ratio |
From that point of view the salaries paid to secondary school teachers, college and university 67 teachers and employees in commercial firms and banks should be taken into consideration, but the majority had rejected this view. Ratio |
The note of the chairman was meant to explain the reasons of the decisions which he stated he at least had in view and some of which were accepted unanimously and others were accepted by some members and thereby became majority decisions. Ratio |
At the outset the chairman explained that most of the recommendations of the Press Commission were intended for the betterment of the economic condition of small and medium newspapers, such as price page schedule, telescopic rates for Government advertisements and their fair distribution among newspapers, statutory res... |
These circumstances had necessitated the fixing of a minimum wage lower than that recommended by the Press Commission. Ratio |
As regards fixation of the rates of wages, the chairman observed: "In fixing the rates of wages, we have based them on the condition of the newspaper industry as a whole and not on the effect which they will produce on a particular newspaper. Ratio |
We can only proceed on the average gross income of a newspaper falling under the same class and not on the lowest unit in that class. Ratio |
Otherwise, there will be no improvement in any unit of the same class, and the status quo might remain. Ratio |
With the extremely divergent conditions obtaining in both English as well as Indian language newspapers, it is impossible to try to avoid any small or medium newspaper being adversely affected. Ratio |
When the tone and condition of journalism in India has to be brought on a higher level it is inevitable that in doing so, more or less burden will fall on several newspapers ; I realise that in cases where wages are very low and dearness allowance is also low or even non existent and there are no scales 68 at all, the ... |
Some anomalies may also be pointed out; but it must be remembered that we had no data of all the newspapers before us and where we had, it was in many cases not satisfactory. Ratio |
Under these circumstances, we cannot satisfy all newspapers as well as journalists. Ratio |
However, wehave tried to proceed on the basis of accepted principles also keeping in view the recommendations of the Press Commission and not on the editorial expenditure of each newspaper. Ratio |
I am also of the opinion that by rational management there is great scope for increasing the income of newspapers and we have evidence before us that the future of the Indian language newspapers is bright, having regard to increasing literacy and the growth of political consciousness of the reading public. Ratio |
When there are wide disparities, there cannot be any adjustment which might satisfy all persons interested. Ratio |
We hope no newspaper is forced to close down as a result of our decision. Ratio |
But if there is a good paper and it deserves to exist, we hope the Government and the public will help it to continue. Ratio |
" The chairman then proceeded to observe: " We do not consider it a matter of regret if our decisions discourage the entry into this industry of persons without the necessary resources required for the payment of a reasonable minimum wage. Ratio |
While we are anxious to promote and encourage the growth of small newspapers, we also feel strongly that it should not be at the expense of the working journalists. Ratio |
The same applies, in our view, to newspapers started for political, religious or any other propaganda. Ratio |
" The reason for grouping all the constituent units of the same group or chain in the same class in which they would fall on the basis of the total gross income of the entire establishment was given by the chairman as under: " One of the difficult tasks before us was to fix the wages of Journalists working in newspaper... |
All the 69 accounts of the constituent units in the same group or chain are merged together with the result that the losses of the weaker units are borne from the high income of prosperous units. Ratio |
There is considerable disparity in the wages of journalists doing the same kind of work in the various constituent units situated in different centres. Ratio |
The Press Commission has strongly criticised the methods of such chains and groups and their adverse effects on the employees. Ratio |
We have decided to group all the constituent units of the same group or chain in the same class in which they would fall on the basis of the total gross income of the entire establishment. Ratio |
We are conscious that as a result of this decision, some of the journalists in the weak units of the same group or chain may get much more than those working in its highest income units. Ratio |
If however, our principle is good and scientific, the inevitable result of its application should be judged from the stand point of Indian Journalism as a whole and not on the burden it casts on a particular establishment. Ratio |
It may be added that in our view, the principle on which we have proceeded is one of the main steps to give effect to the views expressed by the The chairman then referred to the points which the representatives of the newspaper employers had urged as to the burden which might be cast as a result of the decisions and e... |
We are, therefore, averse to imposing a wage schedule of all classes of newspapers on a permanent basis. Ratio |
It is, thus important that the wage rates fixed by us should be open to review and revision in the light of experience gained within a period of 3 to 5 years. Ratio |
This becomes necessary especially in view of the fact that the data available to us have not been as complete as we would have wished them to be, and also because it is difficult for us at this stage to 70 work out with any degree of precision, the economic and other effects of our decisions on the newspaper industry a... |
" The chairman suggested as a palliative the creation by the Government of India immediately of a standsing administrative machinery "which could also combine in itself the functions of implementing and administering our decisions and that of preparing the ground for the review and revision envisaged after 3 to 5 years... |
This machinery should collect from all newspaper establishments in the country on systematic basis detailed information and data such as those on employment, wage rates, and earnings, financial condition of papers, figures of circulation, etc., which may be required for the assessment of the effects of our decisions at... |
The Commissioner of Labour, Madras, issued a circular on May 30, 1957, calling upon the managements of all newspaper establishments in the State to send to him the report of the gross revenue for the three years, i. e., 1952, 1953 and 1954, within a period of one month from the date of the publication of the Board 's d... |
Writ Petition No. 91 of 1957 was thereupon filed on June 13, 1957, by the Express Newspapers (Private) Ltd., against the Union of India & others and this petition was followed up by similar petitions filed on August 9, 1957, by the Press Trust of India Ltd., the Indian National Press (Bombay) Private Ltd., and the Saur... |
99, 100, and 101 of 1957 respectively. Ratio |
The Hindustan Times Ltd., New Delhi filed on August 23, 1957, a similar petition, being Petition No. 103 of 1957, and three more petitions, being Petitions Nos. Ratio |
116, 117 and 118 of 1957, were filed by the Loksatta Karyalaya, Baroda, Sandesh Ltd. ' Ahmedabad and Jan Satta Karyalaya, Ahmedabad, respectively, on September 18, 1957. Ratio |
The Express Newspapers (Private) Ltd., the petitioners in Petition No. 91 of 1957, otherwise termed 71 the " Express Group ", are the biggest chain in the newspaper world in India. Ratio |
They publish (i) Indian Express, an English Daily, from Madras, Bombay, Delhi and Madurai, (ii) Sunday Standard, an English Weekly, from three centres Madras, Bombay and Delhi, (iii) Dinmani, a Tamil Daily from Madras and Madurai, (iv) Dinmani Kadir, a Tamil Weekly from Madras, (v) Lokasatta, a Maratha Daily, and Sunda... |
The total number of working journalists employed by them are 331, out of whom there are 123 proof readers, as against 1570 who form the other members of the staff. Ratio |
The present emoluments of the working journalists in their employ amount to Rs. 9,77,892, whereas if the decision of the Wage Board were given effect to they would go up to Rs. 15,21,282 12 thus increasing the wage bill of the working journalists annually by Rs. 5,43,390 12. Ratio |
They would also have to pay remuneration to the part time correspondents on the basis of retainer as well as payment for news items on column basis. Ratio |
That would involve an additional burden of about Rs. 1 lakh a year. Ratio |
The retrospective operation of the Wage Board 's decision with effect from May 2, 1956, in their case would further involve a payment of Rs. 5,16,337 20. Ratio |
This would be the extra burden not taking account the liability for past gratuity and the recurring gratuity as awarded under the provisions of the Act and also the increased burden which would have to be borne by reason of the impact of the provisions in regard to reduced hours of working, increase in leave, etc., pro... |
The Press Trust of India Ltd., the petitioners in Petition No. 99 of 1957, are a non profit making cooperative organization of newspaper proprietors. Ratio |
They 72 employ 820 employees in all, out of whom 170 are working journalists and 650 do not come within that definition. Ratio |
The ,increase in their wage bill due to increase in the salary of the working journalists as per the decision of the. Ratio |
Wage Board would come to Rs. 4,05,600 and they would have to pay by way of arrears by reason of the retrospective operation of the decision another sum of Rs. 4,05,600 to the working journalists. Ratio |
There would also be an additional financial burden of Rs. 60,000 every year by reason of the recurring increments in the monthly salaries of the working journalists employed by them. Ratio |
If the benefits of the Wage Board decision were extended to the other members of the staff who are not working journalists within the definition of that term but who have also made similar demands on them, a further annual burden would be imposed on the petitioners which is estimated at Rs. 3,90,000. Ratio |
If perchance the petitioners not being able to run their concern except at a loss intended to close down the same, the amount which they would have to pay to the working journalists under the pro visions of the Act and the decision of the Wage Board would be Rs. 23,68,500 as against the old scale liability of Rs. 11,62... |
The total liability of the petitioners in such an event would amount to Rs. 39,18,000 as against the old liability of Rs. 27,12,500. Ratio |
The Indian National Press (Bombay) Private Ltd., otherwise known as the Free Press Group, are petitioners in Petition No. 100 of 1957. Ratio |
They publish (i) Free Press Journal, a morning English Daily (ii) Free Press Bulletin, an evening English Daily (iii) Bharat Jyoti, an English Weekly (iv) Janashakti, a morning Gujarati Daily and (v) Navashakthi, a Marathi Dailyall from Bombay. Ratio |
They employ 442 employees including part time correspondents out of whom 65 are working journalists and 21 are proof readers and the 73 rest form members of the other staff not falling within the category of working journalists. Ratio |
The effect of the decision of the Wage Board would be that there would have to be an immediate payment of Rs. 1,73,811 by reason of the retrospective operation of the decision and there will also be an annual 'increase in the wage bill to the same extent, i. e., Rs. 1,73,811. Ratio |
There will also be a yearly recurring increase to the extent of Rs. 22,470 and also corresponding increase for contribution to the provident fund on account of increase in salary. Ratio |
Under the provisions of the Act in regard to reduced hours of work, and increase in leave, moreover, there will be an increase in liability to pay Rs. 90,669 and Rs. 29,806 respectively, in the case of working journalists, besides the liability for past gratuity in another sum of Rs. 1,08,534 and recurring annual liabi... |
If similar benefits would have to be given to the other members of the staff who do not fall within the definition of working journalists the annual burden would be increased by a sum of Rs. 1,80,000. Ratio |
This would be the position by reason of the petitioners being classified and treated as a chain of newspapers and having been classified as " A " class newspaper establishment on a total computation of the gross revenue of all their units. Ratio |
If they were not so treated and the component units were classified on their individual gross revenue the result would be that the Free Press Journal, the Free Press Bulletin and the Bharat Jyoti would fall within class " A ", and Navashakti would fall within class " C " and Janashakti would fall within class "D" thus ... |
The Saurashtra Trust, the petitioners in Petition No. 101 of 1957, are another chain of newspapers and they publish (i) Janmabhoomi, a Gujrati Daily from Bombay, (ii) Janmabhoomi and Pravasi, a Gujrati Weekly from Bombay, (iii) Lokmanya, a Marathi Daily from Bombay, (iv) Vyapar, a Gujrati Weekly commercial paper from B... |
The effect of the Wage Board decision on them would be to impose on them a burden of Rs. 1,59,528 by reason of the retrospective operation of the decision and an annual increase in the wage bill of Rs. 1,59,528 for the first year and an annual recur ring increase of Rs. 22,000. Ratio |
The operation of sections 6 and 7 of the Act in regard to reduced hours of work and provision for increased leave would impose an additional burden of Rs. 42,000 per year. Ratio |
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