Supreme Court Upholds Workmen's Bonus Rights

The Supreme Court allowed the appeal filed by the workmen's union, challenging the Patna High Court's decision to quash an industrial tribunal award under Article 227 of the Constitution. The Court held that the workmen were entitled to receive an attendance bonus in addition to the statutory bonus under the Payment of Bonus Act for the year 1966-67. It clarified that customary bonuses were distinct from statutory bonuses governed by the Act, ensuring the restoration of the tribunal award with interest for the delayed payment to the workmen.

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Issues:
1. Quashing of an industrial tribunal award by the Patna High Court under Article 227 of the Constitution.
2. Entitlement of workmen to payment of bonus for the year 1966-67 under the Payment of Bonus Act.
3. Interpretation of whether attendance bonus is payable along with statutory bonus under the Act.
4. Examination of previous cases regarding the payment of customary bonus in addition to statutory bonus.
5. Justification for restoring the tribunal award and awarding interest to the workmen.

Analysis:
1. The Supreme Court heard an appeal challenging the decision of the Patna High Court, which had quashed an industrial tribunal award under Article 227 of the Constitution. The workmen's union appealed against the High Court's decision.

2. The main issue in the appeal was whether the workmen were entitled to payment of bonus for the year 1966-67 under the Payment of Bonus Act, in addition to the 'attendance bonus' already being paid in the establishment. The Tribunal had found in favor of the workmen, granting them an attendance bonus over and above the statutory bonus.

3. The employer contended that no separate attendance bonus should be paid when bonus was already being provided under the Payment of Bonus Act. The High Court, concurring with the Tribunal, examined whether the attendance bonus was included in the statutory bonus or could be claimed in addition to it. The Court referred to previous cases to determine the scope of bonus payments under the Act.

4. The Supreme Court referred to previous judgments to clarify the distinction between profit-based bonus under the Bonus Act and other types of customary or contractual bonuses. It was emphasized that the Bonus Act dealt specifically with profit bonus and did not govern customary or traditional bonuses unless expressly stated.

5. Upon further analysis of the previous cases, the Court concluded that customary bonuses were not affected by the provisions of the Bonus Act. Therefore, the workmen were entitled to the attendance bonus as it was being paid outside the purview of the Act. The Court held that the High Court was incorrect in vacating the award and ordered the restoration of the award with interest for the delayed payment to the workmen. The appeal was allowed in favor of the workmen.

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