Business

Textile mills, unions await verdict on wage relief

By Our Staff Reporter

CHENNAI JUNE 9. The outcome of a batch of writ petitions in the Madras High Court challenging a Government Order granting interim wage relief to over 2 lakh textile mill employees is being keenly awaited by the 1,600-odd spinning mill managements and labour unions in the State. The Additional Advocate-General, R. Muthukumarasamy, whose arguments before Justice P.K. Misra remained inconclusive on Friday, will resume his submissions on June 18.

The petitioner-mills sought to quash a Labour Department order, dated September 13, 2000, granting interim relief and lumpsum payment to workmen, pending a final decision by the Industrial Tribunal.

According to them, the Government cannot issue an order of reference without calling the managements to participate in the conciliation proceedings initiated under Section 12 of the Industrial Disputes Act.

They also questioned the rationale behind classifying all the mills in the State into two categories, while ``historically there had been four categories'' depending upon their spindlage. They also said the order had cast a huge financial liability on the mills which were already reeling under a severe recession. They also contended that the conciliation process initiated by the Government lacked credibility as the South India Small Spinners Association (SISSPA), which was invited for conciliation, made it clear during discussions that it had not been authorised to represent its members.

Noting that the officials ought to have invited the individual mills for conciliation talks, the petitions said ``the mock conciliation proceedings ought not to have been conducted in the absence of parties who would really be affected by any order.''

In its counter-affidavit, the Government sought to dismiss the petitions filed by the mill managements and submitted that under Section 10(1) of the Act, even if they apprehended any dispute, the Government may refer such dispute for adjudication.

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