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AIR 1974 SUPREME COURT 1132 ::1974 LAB. I. C. 730
Supreme Court Of India
(From : Industrial Tribunal (II) at Lucknow)
Hon'ble Judge(s): P. Jaganmohan Reddy, S. N. Dwivedi, P. K. Goswami , JJJ

Index Note :- (A) Industrial Disputes Act (14 of 1947) , S.25A Expln., S.25FFF— "One establishment" - Two units when constitute one establishment - Tests. Brief Note :- (A) The most important aspect in a case relating to closure is whether one unit has such componental relation that closing of one must lead to the closing of the other or the one cannot reasonably exist without the other. Functional integrality will assume an added significance in a case of closure of a branch or unit. That the other unit is capable of functioning in isolation is of very material import in the case of closure. There is bound to be a shift of emphasis in application of various tests from one case to another. Case law discussed.(Para 16) Held, in the circumstances the two units viz., the Straw Board Mill and the Regmal Mill, owned by the Straw Board Manufacturing Company did not form parts of one establishment and therefore the closure of Straw Board Mill was legitimate and it was not a case of lay off retrenchment of lock out.(Para 14 16) Index Note :- (B) Industrial Disputes Act (14 of 1947) , S.25FFF— Closure of establishment - Motive of employer - Relevancy. Brief Note :- (B) The workmen cannot question the....

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