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AI Drafter - (New and Powerful) ✕ Generate professional replies, appeals, opinions to Show Cause Notices, assessment orders, audit objections, and other legal communications using TaxTMI's AI Drafter.
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Issues: Whether a notice of change was mandatory before altering the definition of "Crushing Season", since the alteration affected the employees' conditions of service and wages.
Analysis: Section 4-I of the U.P. Industrial Disputes Act, 1956 requires notice before an employer effects any change in the conditions of service applicable to workmen in respect of matters specified in the Third Schedule. The Third Schedule includes wages, including the period and mode of payment. The amended definition of "Crushing Season" shortened the period during which seasonal employees would be engaged and paid, and therefore directly impacted their wages and service conditions. The requirement of prior notice was thus attracted, and the contrary view taken by the High Court was not sustainable.
Conclusion: Prior notice under Section 4-I read with the Third Schedule was mandatory. The impugned change and the consequential termination order could not stand without such notice, and the issue was decided in favour of the appellant.
Ratio Decidendi: Where a change in the service regime directly affects wages or the period for which workmen are engaged, it amounts to a change in conditions of service for which prior notice under Section 4-I and the Third Schedule is obligatory.
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