Chapter V PROVISIONS RELATING TO EMPLOYEES OF SICK TEXTILE UNDERTAKING

Employment of certain employees to continue.—(1) Every person who is a workman within the meaning of the Industrial Disputes Act, 1947 (Central Act 14 of 1947), and has been immediately before the appointed day, employed in the sick textile undertaking shall become, on and from the appointed day, an employee of the State Textile Corporation with the same rights and privileges as to pension, gratuity and other matters as would have been admissible to him if the rights in relation to such sick textile undertaking had not been transferred to and vested in the State Textile Corporation and shall continue to do so unless and until his employment in the State Textile Corporation is duly terminated or until his remuneration, terms and condition of employment are duly altered by the State Textile Corporation.

1. (2) Every person who is not a workman within the meaning of the Industrial Disputes Act, 1947 (Central Act 14 of 1947), and who has been, immediately before the appointed day, employed in the sick textile undertaking shall, in so far as such person is employed in connection with the sick textile undertaking which has vested in the State Textile Corporation, become, and from the appointed day, an employee of the State Textile Corporation and shall hold his office or service there in by the same tenure at the same remuneration and upon the same terms and conditions and with the same rights and privileges as to pension and gratuity and other matters as he would have held the same under the sick textile undertaking if it had not vested in the State Textile Corporation and shall continue to do so unless and until his employment in the State Textile Corporation is duly terminated or until his remuneration, terms and conditions of employment are duly altered by the State Textile Corporation.

Provident fund and other funds.—(1) Where the owner of the sick textile undertaking has established a provident fund, superannuation, welfare or other fund for the benefit of the persons employed in such sick textile undertaking, the money relatable to the employees, whose services have become transferred by or under this Act to the State Textile Corporation shall, out of the money standing, on the appointed day, to the credit of such provident fund, superannuation, welfare or other fund, stand transferred to, and shall vest in the State Textile Corporation.

1. (2) The money which stand transferred under sub-section
2. (1) to the State Textile Corporation shall be dealt with by that Corporation in such manner as may be prescribed.

Transfer of employees to Subsidiary Textile Corporation.—Where the sick textile undertaking or any part thereof is transferred under this Act to a Subsidiary Textile Corporation, every person referred to in sub-section

1. (1) and sub-section
2. (2) of section 13, shall on and from the date of such transfer, become an employee of the Subsidiary Textile Corporation and the provisions of sections 13 and 14 shall apply to such employee as they apply to an employee of the State Textile Corporation if references in the said sections to the State Textile Corporation were references to the Subsidiary Textile Corporation.