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1983 Supreme(SC) 282

SUPREME COURT OF INDIA
D.A. DESAI, O. CHINNAPPA REDDY AND A. VARADARAJAN, JJ.
Hari Mohan Rastogi, Appellant
Versus
Labour Court and another, Respondents.
Civil Appellant No. 743 (NL) of 1981
Decided on 14-9-1983.

Advocates:
A.P.Mahanty, S.Markandaya

Headnote:

Termination of service - Order of retrenchment - Appellant continues to be in service as town-in-charge, he will be entitled to arrears of salary and other benefits which can be computed in terms of money - One peculiar feature of this case is that appellant was re-employed afresh as Sub-Station Assistant and was confirmed in that post - While rendering his service as Sub-Station Assistant he was in receipt of monthly salary - Therefore while working out monetary benefit with regard to arrears of back-wages and other monetary benefits, credit will have to be given for what appellant has received as and by way of salary and all other allowances - Employer stated that on computation made by respondent-Management, it will have to pay and odd to appellant, amount will be paid by respondent-Management to appellant within one month from today and appellant will accept same without prejudice to all his contentions – Held, appellant does not accept computation made by respondent-management, it would be necessary to determine monetary benefit to which Appellant would be entitled - In this connection, Court would like to follow a precedent in CMP No. wherein in similar circumstances, Court directed Labour Court to compute the benefits which appellant was entitled to, pursuant to decision of this Court - appellant shall be re-posted as Town-in-charge forthwith and not later than a fortnight from today – Court direct Labour Court to, compute back-wages payable by respondent to appellant pursuant to this decision and this computation may be both of monetary benefits and non-monetary benefits to which appellant is entitled after giving credit for amount which would be paid to appellant within one month from today - Balance shall be paid within such reasonable time as may be determined by Labour Court - Labour Court do compute monetary and non-monetary benefits within a period of six months - Order accordingly.

ORDER :—We heard Mr. A. P. Mohanty, learned counsel for the appellant and Mr. S. Markandeya, learned counsel for respondents.

2. In view of the decision of this Court in Mohan Lal v. Management of M/s. Bharat Electronics Ltd. dated April 21, 1981 reported in (1981) 3 SCR 518, the termination of service of the appellant by respondent U. P. State Electricity Board, Lucknow on and from December 31, 1967 will constitute retrenchment and prerequisite for a valid order of retrenchment being absent has to be treated as invalid and inoperative. The appellant will continue to be in service as Town-in charge continuously without interruption and any break from the date of ineffective termination of service.

3. Now that the appellant continues to be in service as town-in-charge, he will be entitled to arrears of salary and other benefits which can be computed in terms of money. One peculiar feature of this case is that the appellant was re-employed afresh as Sub-Station Assistant on December 4, 1968 and was confirmed in that post. While rendering his service as Sub-Station Assistant he was in receipt of monthly salary. Therefore. while working out the monetary benefit with regard to the arrears of back-wages and other monetary benefits, credit will have to be given for what the appellant has received as and by way of salary and all other allowances.

4. Mr. Markandeya for the employer stated that on the computation made by the respondent-Management, it will have to pay Rs. 13,000/- and odd to the appellant, This amount will be paid by respondent-Management to the appellant within one month from today and the appellant will accept the same without prejudice to all his contentions.

5. As the appellant does not accept the computation made by the respondent-management, it would be necessary to determine the monetary benefit to which Appellant would be entitled. In this connection, we would like to follow a precedent in CMP No. 15708 of 1981 in C. A. No. 364 of 1981 wherein in similar circumstances, we directed the Labour Court to compute the benefits which the appellant was entitled to, pursuant to the decision of this Court.

6. We, therefore, direct that the appellant shall be re-posted as Town-in-charge forthwith and not later than a fortnight from today. We direct the Labour Court to, compute the back-wages payable by respondent to the appellant pursuant to this decision and this computation may be both of monetary benefits and non-monetary benefits to which the appellant is entitled after giving credit for the amount of Rs. 13,000/- which would be paid to the appellant within one month from today. The balance shall be paid within such reasonable time as may be determined by the Labour Court. The Labour Court do compute monetary and non-monetary benefits within a period of six months from today. The report will also be submitted to this court. Respondent shall pay Rs. 1,000/- as and by way of costs to the appellant.

Order accordingly.

For Citation: AIR 1984 SC 502

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