Singer Industries (Ceylon) Ltd. vs Ceylon Mercantile Industrial and General Workers Union and Others – sllr 2010 volume 1 page 066

In the case between Singer Industries (Ceylon) Ltd. and Ceylon Mercantile Industrial and General Workers Union (among other respondents), the court addressed the issue of whether a final and enforceable agreement had been reached regarding enhanced gratuity payments exceeding the statutory minimum under the Payment of Gratuity Act, No. 12 of 1983. The holding determined that no such agreement was finalized, and the arbitrator’s award, which imposed enhanced gratuity obligations based on prolonged negotiations and preliminary willingness, was found unsustainable. The judgment reaffirmed the principle that industrial agreements are subject to established contractual rules governing offer and acceptance. Relevant statutory and case law principles emphasized that neither preliminary proposals