SC rejects MRF workers union's plea on wage settlement

The Supreme Court today rejected the petition filed by the workers union of leading tyre company MRF seeking to restrain the management from giving effect to a wage settlement entered into with a rival union.

A Bench headed by Justice B Sudershan Reddy had dismissed as withdrawn a petition filed by the MRF United Workers Union challenging the Madras High Court's interim order that asked the parties to maintain the status quo on a settlement reached between the management and a "puppet union", the MRF Arakonam Workers Welfare Union, on May 8.

The Bench refused to intervene in view of the petition coming up for hearing in the High Court tomorrow (June 9).

Alleging that their workers along with their families were agitating as they were saddled with one more wage settlement on May 8, the MRF United Workers Union submitted that the employer paid "the permanent workers on a piece-rate basis while extracting work load at impossible levels of production".

The counsel told the court that there was no legislation relating to recognition of trade unions in Tamil Nadu.

On this the Bench expressed the need for considering amendments to the Trade Union Act, 1934.

"It is high time the Government considered amending the Trade Union Act," the Bench observed.

Senior advocate Abhishek Singhvi said this is part of the fourth-generation reforms.