MANAGEMENT OF FERTILIZER CORPORATION OFINDIA vs THE WORKMEN

The Supreme Court held that the appellant Corporation failed to prove that the production bonus scheme was introduced with the consent of the Central Government, thus the ex-gratia payment was not eliminated. The Court emphasized that the communication of the Cabinet's decision to the workmen, along with the option to accept either the Cabinet decision or the production bonus scheme, was sufficient. The Tribunal's finding that the strike by the workmen was justified was upheld, affirming their right to demand the ex-gratia payment as per the communicated Cabinet decision.