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Tribunal under rule 31 of the Industrial Disputes (Bombay) Rules,1957.Rule 31 provides: "The Labour Court,Tribunal or Arbitrator may correct any clerical mistake or error arising from an accidental slip or omission in any award it or he issues STA
The jurisdiction given to the Tribunal by rule 31 is closely circumscribed Ratio
It is only a clerical mistake or error which can be corrected,and the clerical mistake or error must arise from an accidental slip or omission in the award Ratio
An accidental slip or omission implies that something was intended and contrary to that intention what should not have been included has been included or what should have been included has been omitted Ratio
It must be a mistake or error amenable to clerical correction only Ratio
It must not be a mistake or error which calls for rectification by modification of the conscious adjudication on the issues involved Ratio
Is the instant case one where the amendment made by the Tribunal in the original award can be said to correct a mere clerical mistake or error arising from an accidental slip or omission Ratio
To answer the question,it is necessary to examine the basis of the award and the intent which flows from that basis Ratio
The terms of reference in the State Government's order required the Tribunal to revise the scales of pay and dearness allowance,and there was no mention of giving any ad hoc increase in the basic pay of individual workman Ratio
It would do well to recall that the claim of the Union filed before the Tribunal also centered on the need to revise the wage scales Ratio
That was the main issue between the parties Ratio
It is to the task of revising the pay scales that the Tribunal addressed itself,and throughout the material part of the award it is that task which held its focussed attention Ratio
The financial capacity of the appellant,and the related study of its annual profits from 1968 to 1977,were examined from that view point Ratio
The sufficiency of the existing pay scales was considered in detail,and regard was had to their original structure and the accretions made subsequently by way of dearness allowance and house rent allowance Ratio
For the purpose of restructuring the pay scales the Tribunal ruled on the paying capacity of the appellant,both with reference to the profits of the preceding year as well as the prospects of the future Ratio
The financial capacity,as the Tribunal observed,constituted one of "the principles which are required to be followed in the fixation of the wage structure Ratio
A clear statement of its intention is found in paragraph 22 of the award,where the Tribunal stated: "I only propose to modify the existing structures of the scales with flat increases in each category Ratio
No ad hoc increase to the pay of each individual workman was intended Ratio
And that is confirmed by what was stated in paragraph 23 of the award: "Considering this outgoing the flat increase of Rs.150/-in the category of Draughtsman and Rs.100/-in the case of the other categories would be fair Ratio
It will be noted that the pay scales of different categories were being restructured,and the flat increase envisaged there related to an increase in the general pay scales of different categories Ratio
Individual workmen were not present to the mind of the Tribunal Ratio
That the increase was pertinent to the general pay scales in the revised wage structure is patently clear from a comparison of the existing pay scales and the revised pay scales Ratio
The comparative table of existing pay scales and the revised pay scales has been reproduced earlier Ratio
The revised pay scales of all categories,except the category of Draughtsmen,shows an increase of Rs.100/-in the initial pay fixed in each scale,the increase in the case of the category of Draughtsmen being Rs.150/-.There was only one increase contemplated in the award,in paragraph 23 of award,and it is more than plain ...
No second flat increase was envisaged at all Ratio
The amendment made by the Tribunal has the effect of providing a second increase,this time to each individual workmen Ratio
If,as the Tribunal has stated in the amendment order,the increase in paragraph 23 was intended to apply to each individual workmen,there is nothing in the body of the award to form the foundation on which the actual figures in the restructured pay scales can be made to rest Ratio
There will be no explanation why the initial start of the revised pay scales has been increased by Rs.150/-in the case of the category of Draughtsmen and Rs.100/-in the case of other categories Ratio
Considering the fitment of the workman in the revised scales,it was stated in the award that a workman found drawing a salary less than the beginning of the grade would be stepped up to the beginning of the grade and if his pay fell between two steps in the reclassified pay scales the basic pay was to be fixed at the s...
Conspicuous by its absence is any reference to a flat increase in the pay of an individual workmen Ratio
Even when considering the range of permissible retrospectivity the Tribunal stated in the award: "In view of the revision of the wage scales,there would be consequent increase in the dearness allowance and the house rent allowance Ratio
And the clinching circumstances of all is that the award was made on the basis that the overall financial load according to paragraph 33 of the award would be to the tune of about Rs.5 lakhs Ratio
It was that figure which the Tribunal had in mind against the backdrop of the gross annual figures when it made the revised pay scales retrospective from 1st Ratio
January,1976.This liability taken with the liability accruing on the need to increase the salaries of the other staff determined the Tribunal's deliberations in regard to the several features of the award,including the grant of increments related to completed periods of service,the expansion of the span from 15 years t...
It cannot be the case of the Union that the figure of Rs.5 lakhs mentioned in paragraph 33 of the award represented the result of adding a flat increase to the pay of each workman in addition to the benefits conferred by the revised pay scales and other awarded reliefs Ratio
In its order of 22nd FAC
December,1978,the Tribunal has referred to the statement (Exhibit C-51) filed by the appellant when called upon to indicate the increased financial burden apprehended by it FAC
The Tribunal has relied on this statement as evidence showing that the appellant knew that a flat increase of Rs.150/-and Rs.100/-was intended to each of the employees in the category of Draughtsmen and the other categories FAC
In so construing the statement,Exhibit C-51,the Tribunal has grievously erred FAC
It seems from a perusal of the document,Exhibit C-51,that it is a statement giving trial figures of the increased financial load on different bases Ratio
On the basis that a sum of Rs.150/-per month was added to the pay of each Draughtsman and a sum of Rs.100/-was added to the pay of every other workman,who belonged to the Union staff,the financial load would increase to Rs.9,22,032/-.Likewise,if a flat increase of Rs.100/-was given to individual workmen of all categori...
The statement afforded an indication merely of what the additional financial load would be if a flat increase was given to the individual workman on the alternative basis set forth therein Ratio
None of the alternatives was actually adopted by the Tribunal,because when the award was made the Tribunal proceeded instead to restructure the wage scales by the addition of Rs.150/-in the case of the category of Draughtsmen and Rs.100/-in the case of other categories to the initial pay in the wage scales pertaining t...
The addition was integrated as a feature of the wage scales; it was not regarded as an addition to the pay of each individual workman Ratio
It seems that the Tribunal was betrayed by a curious confusion in accepting the plea of the Union that a flat increase to the pay of each workman was intended in the original wage and,consequently,it fell into the error of amending the award Ratio
The evidence contained in the award throughout provides incontrovertible proof that this flat increase was never originally intended in the award Ratio
The amendment has resulted in the Tribunal making,as it were,a supplementary award,whereby a further relief is being granted beyond that granted in the original award Ratio
The original award was completed and signed by the Tribunal,and it cannot be reopened now except for the limited purpose of Rule 31.In travelling outside and beyond the terms of the original award,the Tribunal has committed a jurisdictional error Ratio
Our attention has been drawn to what purports to be an endorsement by counsel for the appellant on the application dated 22nd December,1978 filed by the Union before the Tribunal to the effect that the appellant would submit to whatever the Tribunal decided,and it is urged that the appellant is bound by the order made ...
It is an accepted principle that consent by a party cannot confer jurisdiction on a court Ratio
What is without jurisdiction will remain so Ratio
In the circumstances the order of 22nd December,1978 is invalid so far as it amends paragraph 23 of the original award Ratio
The corrigendum amending the award in consequence is liable to be quashed Ratio
The second contention of the appellant is entitled to succeed Ratio
I shall now consider Civil Appeal No.2300 of 1979 filed by the workmen Ratio
The only contention of the workmen is that the Tribunal should have fixed the dearness allowance in communion with the cost of living index ARG
It is wrong in principle,it is said,to provide a fixed dearness allowance Ratio
Reliance was placed on The Hindustan Times Ltd.,New Delhi v Ratio
Their Workmen [1964] 1 SCR 234 1962 Indlaw SC 436,247 where it was observed by this Court that dearness allowance should not remain fixed at any figure but should be on a sliding scale in order to neutralise a portion of the increase in the cost of living Ratio
Reference was also made to Bengal Chemical & Pharmaceutical Works Limited v Ratio
Its Workmen Ratio
2 SCR 113 1968 Indlaw SC 183.Now,it is not a universal rule that the dearness allowance should in all cases be correlated with the cost of living index Ratio
The Tribunal,in the present case,considered the matter and found it sufficient and in accord with justice that the wage scales should be restructured with suitable increments provided therein FAC
It noted that dearness allowance was being granted by the appellant at 10% of the salary subject to a minimum of Rs.50/-and house rent allowance at 30% of the basic salary FAC
Having regard to the not inconsiderable improvement in the level of the basic wage,it observed that there would be a consequent increase in the dearness allowance and house rent allowance FAC
In view of the increase so secured,the Tribunal rejected the suggestion that a slab system should be introduced in the dearness allowance or that there should be any other modification of the principle on which dearness allowance was being presently granted FAC
It declared that the cumulative effect of an improved wage structure together with dearness allowance operating on a slab system would throw an impossible burden of about Rs.1 crore on the financial capacity of the appellant FAC
It was open to the Tribunal to adopt the position which it did Ratio
If the dearness allowance is linked with the cost of living index the whole award will have to be reopened and the entire basis on which it has been made will have to be reconsidered Ratio
The award is a composite document in which the several elements of increased wage scales,larger increments,longer span of 20 years for earning increments,dearness allowance at 10% of the basic wage,besides several other benefits,have been integrated into a balanced arrangement in keeping with what the Tribunal has foun...
It is not possible to maintain one part of the award and supersede another Ratio
Accordingly,the appeal filed by the workmen must fail Ratio
In the result,Civil Appeal No.2299 of 1979 is allowed in part insofar that the order dated 22nd December,1978 of the Industrial Tribunal,Maharashtra Bombay is quashed to the extent that it modifies the original award dated 20th December,1978,and the corrigendum made consequent thereto is also quashed RPC
Civil Appeal No.2300 of 1979 is dismissed RPC
There is no order as to costs RPC
CHINNAPPA REDDY,J.We have had the advantage of perusing the judgment prepared by our learned brother Pathak,J.we agree with him that Civil Appeal No.2300 of 1979 should be dismissed RPC
We also agree with him that Civil Appeal No.2299 of 1979 should also be dismissed in so far as it relates to the award dated December 20,1978.However,we do not agree with our learned brother that Civil Appeal No.2299 of 1979 should be allowed in so far as it relates to the order dated December 22,1978 of the Industrial...
We do not propose to give our reasons to the extent we are in agreement with Pathak,J.and we propose to state our reasons for the disagreement only RPC
It is needless to recapitulate all the basic facts which have been set out in the judgment of Pathak,J.The Award of the Industrial Tribunal was made on December 20,1978.On December 22,1978 that is to say,two days after the Award was made and when everything must have been fresh to the minds of the Tribunal,the respecti...
The application was as follows: "In the above reference your honour was pleased to pass an award on 20th December,1978 Ratio
In the said award,Your Honour has observed,at the end of Para 22,'In view of the increase that is being allowed in the basic pay,I do not propose to revise the existing scheme of Dearness Allowance'.Further,it appears that the Tribunal intended to grant the increase of Rs.150/-to each draughtsman and Rs.100/-to all oth...
The Union therefore prays the honourable Tribunal to clarify the position and correct the award accordingly Ratio
On this application,the Advocate for the employer company made the following endorsement: "Submitted to whatever this Hon'ble Tribunal desires to do ARG
Thereafter the Tribunal made an order on the same day in the following terms: "There can be no doubt that a flat increase of Rs.150/-to each of the employees in the category of Draftsmen and of Rs.100/-to each employee in the other categories has been granted under my award RLC
This order was made in the presence of Shri Manak Gagrat,Advocate for the Company and Shri N.P.Mehta,Advocate for the workmen Ratio
The endorsement made on the application by the Advocate for the company does not indicate that the company had any objection to the award being corrected as sought by the employees union Ratio
On the other hand the endorsement reads as if there was tacit agreement on the part of the Company to the correction sought by the union Ratio
The order dated December 22,1978 of the Tribunal also does not reveal that there was any opposition by the company to the application for correcting the award Ratio
Even so we propose to examine whether the correction sought by the employees union was within the bounds of the authority of the Tribunal or whether it was in effect a fresh award Ratio
The primary and basic question considered by the Industrial Tribunal,in making the award dated December 20,1978 was the question of revision of the wage-scales Ratio
Implicit and intrinsically connected with the question of revision of the wage-scales were the questions of fitment of employees into the wage-scales and flat or ad-hoc increase of salaries of workmen wherever considered necessary Ratio
It cannot possibly be doubted that an Industrial Tribunal deciding upon the wage-scales of the employees of an establishment would have full liberty to propose ad-hoc increase of salaries as part of the revision of wages Ratio
Nor can it be doubted that fitment into the revised pay scales is certainly a part of the revision of pay scales Ratio
This in our opinion is elementary and fundamental to the jurisdiction of the Industrial Tribunal in revising wage-scales Ratio
In the present case the Industrial Tribunal on a consideration of the material placed before it came to the conclusion that the company was in an undoubted position to bear the additional financial burden FAC
At the end of paragraph 15 of the Award,the Tribunal stated: "But there can be no doubt that the company can very well bear the additional burden FAC
The question is what should be the extent of such burden FAC
At the end of paragraph 18 of the award the Tribunal said: A" mere reading of Exhibit U-15 will immediately dispel the misgivings about the future of the present company FAC
For some years to come this is likely to be one of the few Consulting Engineers who will be securing major contracts FAC
Again in Paragraph 19 it was said: "I have no doubt that the present Company would be able to bear the additional burden for the years to come FAC