Administrative industrial dispute reference: no prior employer hearing is required, and no tribunal adjudication arises without an actual reference.

A reference under the Industrial Disputes Act, 1947 is an administrative decision based on the Government's subjective satisfaction that an industrial dispute exists or is apprehended, and it is not quasi-judicial. On that basis, the employer has no right to prior notice or hearing before a reference is made, including on a second request after an earlier refusal. Section 12(5) requires reasons to be recorded only when the Government declines to make a reference. The communication in question also did not amount to a reference to the Labour Court or Tribunal, so no entitlement to adjudication arose.

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Issues: (i) Whether the State Government was bound to hear the employer before making a second reference under the Industrial Disputes Act, 1947 after an earlier rejection; (ii) whether a reference had in fact been made by the Government so as to entitle the appellant to adjudication by the tribunal.

Issue (i): Whether the State Government was bound to hear the employer before making a second reference under the Industrial Disputes Act, 1947 after an earlier rejection.

Analysis: A reference under Section 10(1) is an administrative act based on the Government's opinion whether an industrial dispute exists or is apprehended. Section 12(5) requires reasons to be recorded only when the Government refuses to make a reference. Since the decision to refer or not to refer is not quasi-judicial, there is no requirement of notice to, or hearing of, the employer before making a reference, including on a second application.

Conclusion: The State Government was not required to hear the employer before making a second reference, and the contrary view was .

Issue (ii): Whether a reference had in fact been made by the Government so as to entitle the appellant to adjudication by the tribunal.

Analysis: Although a ministerial note suggested reference, the communication issued by the Labour Department indicated that the Government did not consider it necessary to reconsider its earlier decision and found no industrial dispute warranting reference. On that basis, no reference was actually made to the Labour Court, Tribunal or Industrial Tribunal.

Conclusion: No reference had in fact been made, so the appellant was not entitled to adjudication by the tribunal.

Final Conclusion: The challenge failed because the Government's refusal to make a reference remained effective and no actual reference existed for adjudication.

Ratio Decidendi: A decision to make or refuse an industrial dispute reference under Section 10 of the Industrial Disputes Act, 1947 is an administrative decision based on subjective satisfaction, and the employer has no right of prior notice or hearing before such reference is made.

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