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2016 Supreme(SC) 629

SUPREME COURT OF INDIA
KURIAN JOSEPH, ROHINTON FALI NARIMAN, JJ.
D.T.C. – Appellant
Versus
Gian Chand – Respondent
Civil Appeal No. 7364 of 2016 [@ Special Leave Petition (C) No. 4399 of 2016]
Decided On : 08-08-2016

Awarding back wages should be justified in the facts of the case.

Headnote:

Back Wages - Employment Law - The court vacated the direction of payment of back wages, reinstated the respondent with continuity of service but without any back wages, and provided the respondent with a fresh opportunity for an option for pension before superannuation.

Fact of the Case:

The appellant challenged the order of the High Court directing reinstatement with 60% back wages.

Finding of the Court:

The court found no justification for awarding back wages and vacated the direction of payment of back wages. The respondent was reinstated with continuity of service but without any back wages. The respondent was also provided with a fresh opportunity for an option for pension before superannuation.

Issues: Impugned order directing reinstatement with back wages

Ratio Decidendi: No justification for awarding back wages in the present case

Final Decision: The direction of payment of back wages was vacated, and the respondent was reinstated with continuity of service but without any back wages. The respondent was provided with a fresh opportunity for an option for pension before superannuation.

JUDGMENT :

Kurian, J.

1. Leave granted.

2. The appellant is aggrieved by the impugned order dated 05.10.2015 passed by the High Court of Delhi in LPA No. 739 of 2008, by which the respondent has been directed to be reinstated with 60% back wages.

3. Having heard the learned counsel appearing on both sides, we are of the view that there is no justification in awarding back wages in the facts of the present case.

4. Therefore, the direction of payment of back wages is vacated. All other consequential benefits will follow, which would mean that the respondent would be reinstated as per the award with continuity of service, but without any back wages.

5. We make it clear that in case the respondent has been denied an option for pension in view of the fact that at the relevant time of option, he was not in service, now that he is deemed to be in service for all other benefits except the monetary benefits, he shall be given fresh opportunity for an option for pension before his date of superannuation.

6. With the above observations and directions, the appeal is disposed of.

No costs.

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