WORKMEN OF M/S. HINDUSTAN MOTORS LTD. vs M/S. HINDUSTAN MOTORS,LTD.,& ANR.

The Supreme Court addressed an industrial dispute regarding bonus claims for the year 1960-61, where the Industrial Tribunal ruled that the rehabilitation costs of machinery exceeded the available surplus, thus denying the bonus. The Court held that the life of machinery should be determined based on evidence rather than arbitrary rules from the Income-tax Act, emphasizing the importance of actual usage and handling. The Court also found that the Tribunal erred in not considering machinery installed during the bonus year for rehabilitation provisions, and upheld the multipliers initially submitted by the company for calculating rehabilitation costs.