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Issues: Whether a dispute between a municipality and its employees engaged in municipal sanitation and clerical work is an industrial dispute within the Industrial Disputes Act, so as to sustain a reference to the Tribunal and the award of reinstatement.
Analysis: The definitions of "industry", "industrial dispute" and "workman" in the Act are of wide amplitude and must be construed in the setting of modern industrial conditions. The inclusion of undertakings carried on by or on behalf of a local authority, together with public utility services such as sanitation, conservancy, water and lighting, shows that municipal activities are not excluded merely because they are performed by a statutory body and not for profit. The Court applied a broad and purposive construction, holding that disputes arising out of municipal operations analogous to trade or business fall within the statutory conception of industrial dispute. It further noted that the Government's jurisdiction to make a reference depends on the existence of such a dispute, and that the Tribunal's finding of victimisation and wrongful dismissal was not open to interference in writ proceedings absent grave miscarriage of justice or flagrant illegality.
Conclusion: The dispute was an industrial dispute within the Act, the reference was competent, and the award could not be disturbed.
Ratio Decidendi: Municipal undertakings carrying on activities analogous to trade or business, including public utility and sanitation services, fall within the statutory meaning of industry, and a dispute between such a municipality and its employees can constitute an industrial dispute amenable to reference under the Industrial Disputes Act.