HARIPRASAD SHIVSHANKAR SHUKLA vs A.D. DIVIKAR (With Connected Appeal)

The Supreme Court interpreted 'retrenchment' under Section 2(oo) and Section 25F of the Industrial Disputes Act, 1947, as amended by Act XLIII of 1953, to mean the discharge of surplus labor by an employer, excluding terminations due to bona fide closure of industry or changes in ownership. The Court held that the provisions of the Act do not extend to such closures, emphasizing that Section 25F applies only to existing industries. The Court also noted that Section 25FF, introduced by the 1956 amendment, is not retrospective and does not alter the existing legal framework regarding retrenchment and closure.