STATE OF TAMIL NADU v. K. SABAN AYAGAM AND ANR. ETC.

A counsel for the Housing Board. He submitted that Section .36 of the Act also entitles the appropriate Government to take into consideration other relevant circumstances for exempting any establishment or class of establishments - from the provisions of the Act. That this may involve a policy decision on the part of the Government to give impetus to a class of industries in an area where the industrial development may be less so that new industries in that area can be attracted and their operation costs may be reduced. We fail to appreciate how such type of circumstances are to be kept in view by the appropriate Government while considering the rival versions put forward by existing establishment or class of establishments on the one hand and their employees on the other who are likely to be affected by such exercise of power. It is also to be kept in view that the financial position and other relevant circumstances are not independent of their nexus with the existing claimant-establishment or class of establishments and they do not refer to any future establishment which have yet not seen the light of the day and which have not still employed any employees who could be said to have earned any statutory benefits under the Act till then. Therefore, the other relevant circumstances as mentioned in Section 36 will have to be read with the financial position of the claimant-establishments themselves and their other circumstances have to be seen on the touchstone of public interest to enable the appropriate Government to form its opinion under Section 36 qua the claims of such existing establishments. This submission of learned counsel for the Housing Board, therefore, does not advance the case of the Board any further.

In view of our aforesaid decision on all the three points, therefore, these appeals fail and are dismissed. In the facts and circumstances of the case there will be no order as to costs.

R.K.S. Appeals dismissed.