The Management of Central Machine Tool Institute, the Petitioner, challenged the validity of the registration of their employees' association as a trade union under the provisions of Trade Union Act, 1926 on the ground t

The Trade Union Act, 1926 has not defined the word industry. Whereas the Industry is defined under section 2(j) of the Industrial Disputes Act, 1947 which means any business, trade, undertaking, manufacture or calling of employers and includes any calling service, employment, handicraft, or industrial occupation or avocation of workmen. The Supreme Court carried out an in-depth study of the definition of the term industry in a comprehensive manner in the case of Bangalore Water Supply and Sewerage Board v. A Rajiappa, AIR 1978 SC 548 , after considering various previous judicial decisions on the subject and in the process, it rejected some of them, while evolving a new concept of the term "industry". After discussing the definition from various angles, in the above case, the Supreme Court, laid down the tests to determine whether an activity is covered by the definition of "industry" or not. It is also referred to as the triple test. The Supreme Court observed that professions, clubs, educational institutions, co-operatives, research institutes, charitable projects and other kindred adventures, if they fulfil the triple tests cannot be exempted from the scope of Section 2(j). The industry is used indirectly in the Trade Union Act, 1926 in the definition of Trade Dispute and having regard to the context in which the said word is used in the Trade Union Act, 1926 it should be given a restricted meaning and not the same wider meaning which is specifically given in the definition of the word Industry under Industrial Disputes Act, 1947. Notwithstanding the fact that there is no profit motive in the activities of the petitioner institute so long as it is a research institute for rendering material service to the community, its activities clearly fall within the meaning of the word Trade or Industry as used in the Trade Union Act, 1926 ( State of Bombay Vs Hospital Mazdoor Sabha 1960 ). The employees are therefore workmen within the meaning of section 2(g) of the Trade Union Act, 1926, and section 2(j) of the Industrial Disputes Act, 1947. These two enactments should be read in Pari Materia.