General Manager Telecom V.

S Srinivasa Rao (1997)

(Brief)

 Point of Discussion in the case was whether the telecom department of Union of
India is a n industry within the meaning of definition of Industry, under section 2(j) of
industrial disputes act, 1947.
 Amendment brought in 1982 were not in force as there was no issuance of
notification, it is mandatory for the government to issue a notification to bring such
amendment in force.
 Hence no notification was issued the old definition was to be kept in mind while
deciding this case, hence the definition from Banglore Water Supply and Sewerage
Board V A Rajappa case will be used.
 According to the above mentioned case ‘Dominant Nature Test’ will be used which
says that telecommunication department is an industry within this definition
because it is engaged in a commercial activity and the department is not engaged in
discharging any of the sovereign functions of the state.
 The decision of the court was that they can’t go against the 7 judge bench of
Banglore Water Supply and Sewerage Board V A Rajappa even though it was laid
down 2 decades back, it is judicial discipline to follow such precedents. A smaller
judge bench can’t go against a 7 judge bench.
 Cases like Theyyam Joseph and Bombay telephone canteen employees will not be
applicable as they have gone against the Banglore Water Supply and Sewerage Board
V A Rajappa.
 Hence the appeal was dismissed.