Case Details

Citation(s)
1976 SLG 652 1976 SLD 652 1976 PLC 80
National Industrial Relations Commission
Appeal No. 12(23) of 1975, decided on 11th December 1975.
MAMOON A. KAZI, BASHIR AHMAD MALIK AND FARHAT ALI KHAN, MEMBERS

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COFCOT TEXTILE LTD., HYDERABAD

VS

MAZDOOR UNION

Law:

Section:

Industrial dispute---- ------Bonus-Customary bonus-Factors relevant for establishing claim for customary bonus-Ancient or immemorial in origin-Certain and reasonable in nature-Not inconsistent with any law-Continuous to use and universally acquiesced by every one concerned-Must have been paid continuously for many years at uniform rates and parties must have given their acquiescence and tacit approval in such a manner that it can be treated as an integral part of a contract between them­ Bonus paid despite loss during past three years-Three years' period, held, not sufficient to establish a valid claim for customary bonus­---Bonus paid during past three years at different rates and not even to tall workers-Such bonus, held, not certain in nature and not sufficient to establish claim for customary bonus-Bonus paid during past three years on basis of settlements consequent to demands as ex gratia payments-Such bonus, held, cannot give rise to custom. Grahams Trading Co. (India) Ltd. v. Their Workmen 17 F J R 130; Vegetable Products Ltd. v. Their Workmen 1966 P L C 51 and Jugmohun Gose v. Manickchund (1959) 7 M I A 263 rel. Jammadas Adukia and others v. Chetondas Daga and others A I R 1928 Born. 487 ref. Ghulam Hassan for Appellants. M. A. Khadim for Respondents. Dates of hearing : 14th and 15th July 1975. JUDGMFNT MAMUON A. KAZI (MEMBER).-This appeal relates to an Award given lay the learned Chairman, allowing one-and-a-quarter months' wages as bonus to the workers of Cofcot Textiles Limited. A dispute had arisen between the appellants and their workmen, represented by the respondents, regarding payment of one hundred and fifty days' wages as bonus for the financial year 1973-74, which could not be resolved and was ultimately referred by the Federal Government to the Commission as a dispute of national importance. It may be pointed out that the appellants had been suffering losses between the financial years 1970-71 and 1973-74 and according to the balance-sheet produced by the appellants' Chief Accountant, the loss suffered by the appellants during the last mentioned year was Rs. 53,35,896. In spite of the loss, the appellants had been paying bonus to their…
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