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Issues: Whether sub-section (4) of section 6 of the U.P. Industrial Disputes Act, 1947, empowering the State Government to remit an award of a Labour Court or Tribunal for reconsideration before publication, was constitutionally valid; and whether the order remitting the award in the present case was sustainable.
Analysis: The provision conferred on the State Government an unrestricted power to remit an award without any statutory guidelines, without requiring notice to the parties, without obliging the Government to record reasons, and without indicating the points on which reconsideration was sought. The power could be exercised so as to reopen an award in its entirety, even though adjudication before the Labour Court or Tribunal was quasi-judicial in character and had already afforded the parties a full opportunity to lead evidence and be heard. The absence of limitations or safeguards rendered the power arbitrary and capable of misuse, and the Court held that mere reference to the object of the Act could not cure the defect. The provision was therefore inconsistent with the equality guarantee in Article 14.
Conclusion: Sub-section (4) of section 6 of the U.P. Industrial Disputes Act, 1947, was struck down as unconstitutional, and the Government's remission order was set aside.
Ratio Decidendi: A statutory power enabling the executive to nullify or reopen a quasi-judicial award before publication, without procedural safeguards or intelligible guidelines, is violative of Article 14 because it confers unguided and arbitrary discretion.
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