Law:

Section:

, Industrial dispute- --Retrenchment made due to concurrent loss by a Firm taking Mills on lease-No evidence regarding profit or loss after taking over by lessee firm--Decision made by Labour Court on basis of loss prior to taking over by lessee-Matter on appeal remanded by Appellate Tribunal for decision afresh after evi­dence relating to accounts of post lease period--Industrial Relations Ordinance (XXIII of 1969), S. 37. Mahmood A. Ghani for Appellants. Ali Amjad and Fasahat Hussain Rizvi for Respondents. Date of hearing : 24th March, 1981. ORDER These 56 appeals by the appellant-Corporation, which bousts of the honorific appellation of the Textile Corporation of Pakistan" are all directed against the decision of the learned VIth Labour Court, given on 30th November 19180, by which it set aside the orders of retrenchment of the 56 respondents, and directed their re-instatement with full back benefits. The retrenchment orders were purported to have been made on the ground that the appellant-Corporation had been suffering huge losses since 30th September, 1974. According to the Management, the Corporation had suffered accumulated losses of Rs. 2,29,25,000 during the period from 30th September, 1974 upto 30th September, 1978. The learned Labour Court has not doubted the quantum of losses suffered by the appellant-Corporation but has taken the view that the reasons for the losses were not tile inefficient working of workmen but some other causes as stated in the Assessment Order of the Income-tax authorities. Moreover, the basis for its decision was that the appellant-Corporation had taken over the Management of the Corporation from 18th November, 1978, with the full knowledge of the accumulated losses and as it had run the mills for only. a few months when the orders of retrenchment in respect of the respondent workmen were issued, there was no tangible evidence on record to show that after the take over the appellant-Corpo­ration had incurred losses. 2. Since the present Management of the appellant-Corporation has by now been running the Mills for over 2 years, and for this period or at least part of it, audited account must be available, it would be proper to…

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