Andhra Pradesh High Court
Judges : RAMESH RANGANATHAN
P.MANOHAR REDDY - Appellant
Versus
APPELLATE AUTHORITY UNDER SECTION 53 OF THE A.P.SHOPS AND ESTABLISHMENTS ACT AND Assistant COMMISSIONER OF LABOUR - Respondent
Decided On : 07/25/2007
Writ Petition 22172 Of 1997
Payment of Wages Act – Section 15 – A. P. Shops and Establishments Act, 1988 – Sections 50, 51 and 53 – Delay in payment of wages – Stop work – Seeking payment of wages – Petitioner was appointed as a veterinary service representative in respondent-company with effect from 10-12-1989 – He met with an accident on 13-04-1992 – After undergoing extensive treatment he reported for duty along with a medical fitness certificate – His joining report was accepted, he was permitted to join duty, period from date of his accident till he joined duty was treated as leave, he was paid medical expenses and other benefits and he commenced work from 11-01-1993 – While matters stood thus second respondent, vide letter, asked him to "stop work" from 08-06-1993. Petitioner would submit that, as the order to "stop work" was neither an order of suspension nor termination of his services, he was continued to be paid full wages. However, from 01-10-1993, 2nd respondent stopped paying wages – As several representations, seeking payment of wages, were of no avail the petitioner invoked jurisdiction of authority under Sections 50 and 51 of a. P. Shops and Establishments Act, 1988 (for short the Act) claiming wages from 01-10-1993 to 31-05-1994 and bonus for year 1992-93 – Authority, after enquiry and by order held that, since respondent-company had issued an order to stop work, petitioner was entitled to wages, that claim was maintainable under Section 51 of the Act, that the respondent-company had not paid wages willfully and intentionally and that there were no bona fides in withholding wages for past several years – Held, It is wholly inappropriate for this Court, in certiorati proceedings, to examine facts in issue and adjudicate on merits, as appellate Authority, under Section 53 of act, has set aside orders under appeal holding that expression "delay in payment of wages" should be understood in limited context of Section 38 of Act and it is only in cases where wages payable, are not paid in manner and time stipulated thereunder, would claims arising out of such delay fall within jurisdiction of authority – While an employee is entitled to be paid wages, for the work discharged by him, within the time stipulated under section 38 (1), the Authority has, in addition, jurisdiction to examine the contract of employment, construe its terms and decide all questions which are intimately and integrally connected with payment of "wages" as defined in Section 2 (23) of Act – Appellate authority has committed an error of law in holding that the jurisdiction of the Authority under Section 50, in examining a claim of delayed payment of wages, is limited only to the manner and time stipulated under section 38 of Act – Ends of justice would be met, if order of Appellate Authority is set aside and matter remanded for his consideration afresh in light of observations made hereinabove – Since claim relates to payment of wages from October, 1993 onwards, and nearly 14 years have elapsed since then, first respondent shall hear these appeals, and pass orders in accordance with law, at earliest and, in any event, not later than four months from the date of receipt of a copy of this order – Writ petitions are allowed.
( 2 ) THE petitioner was appointed as a veterinary service representative in the respondent-company with effect from 10-12-1989. He met with an accident on 13-04-1992. After undergoing extensive treatment he reported for duty along with a medical fitness certificate. His joining report was accepted, he was permitted to join duty, the period from the date of his accident till he joined duty was treated as leave, he was paid medical expenses and other benefits and he commenced work from 11-01-1993. While matters stood thus the second respondent, vide letter dated 05-06-1993, asked him to "stop work" from 08-06-1993. Petitioner would submit that, as the order to "stop work" was neither an order of suspension nor termination of his services, he was continued to be paid full wages. However, from 01-10-1993, the 2nd respondent stopped paying wages. As several representations, seeking payment of wages, were of no avail the petitioner invoked the jurisdiction of the authority under Sections 50 and 51 of the a. P. Shops and Establishments Act, 1988 (for short the Act) claiming wages from 01-10-1993 to 31-05-1994 and bonus for the year 1992-93. The Authority, after enquiry and by order dated 08-05-1996, held that, since the respondent-company had issued an order to stop work, the petitioner was entitled to wages, that the claim was maintainable under Section 51 of the Act, that the respondent-company had not paid wages wilfully and intentionally and that there were no bona fides in withholding wages for the past several years. The application was allowed and the respondent-company was directed to deposit the claim amount along with one time compensation equal to the amount to be deposited.
( 3 ) AGGRIEVED thereby, the 2nd respondent preferred an appeal to the Assistant commissioner of Labour, the appellate authority under Section 53 of the Act.
( 4 ) THE Appellate Authority noted the 2nd respondents contention that entitlement of wages was itself in dispute and, unless entitlement was decided, the claim under section 50 of the Act could not be entertained, that the petitioner had contended that he was prevented from working and that the Authority had held that, when an employee was asked not to work, he was entitled to full wages and on non-payment thereof it became "delayed wages". The Appellate Authority, placing reliance on Payment of Wages Inspector, ujjain v. The Barnagar Electric Supply and industrial Co. Ltd. , held that the Authority under Section 50 had no jurisdiction as non-payment of compensation was neither an illegal deduction nor did it amount to delay in payment of wages, that the issue was not delayed wages and, since the employee had himself contended that he was prevented from working, entitlement of wages itself was in dispute and the claim could not have been entertained under Section 51 of the Act. The appellate Authority held that delayed wages should be understood with reference to section 38 of the Act and, if wages payable and earned were not paid in the manner and time stipulated thereunder, claims arising out of such delay alone fell within the jurisdiction of the Authority under Section 50 of the Act. The Appellate Authority held that the Original authority had erred in entertaining the claim and had exceeded his jurisdiction. The orders under appeal were set aside by order dated 30-06-1997. Aggrieved thereby, the petitioner-employee has invoked the jurisdiction of this court.
( 5 ) SRI B. G. Ravindra Reddy, learned counsel for the petitioner, would submit that the 2nd respondent had asked the petitioner to stop work, that no enquiry was held, that the services of the employee
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