Ghulam Mohammed

These batch of writ appeals are preferred by the Housing Board, challenging the correctness of the Judgment rendered by the learned single Judge who allowed the writ petitions instituted by the workmen challenging the legality and validity of the notice dated 08.04.2005 issued by the appellant/housing board and ordering for their reinstatement with continuity of service, but without any backwages.

2. The case of the writ petitioner/workmen was that, some of them were employed on the work charged establishment of the housing board, while the others were employed on nominal muster rolls (NMR) basis. But however, they were in continuous employment of the housing board ranging from 15 to 30 plus years. It was also their case that, their services have been provincialized upon completion of ten years of continuous service. However, the appellant/housing board has issued on 08.04.2005 the following notice:

NOTICE

The following [As Per List Attached] Work charged/ NMR employees are found surplus, therefore their services are dispensed with effect from 11.04.2005

They are being paid notice pay in lieu of notice and retrenchment compensation as per Section 25-F of the Industrial Disputes Act, 1947.

For Andhra Pradesh Housing Board

Sd/-…..

08.04.2005

Executive Engineer

Signature of Employer Contd….2

BENEITS UPON RETRNECHMENT WORK CHARGED

1. ‘45’ days salary for every completed year and any period in excess of ‘6’ months.

2. Gratuity under the Gratuity Act equivalent to nearly ‘17’ days salary for every completed year of service based on last pay.

3. EPF amount @ 8.33% of the monthly salary for the entire length if there is no GPF NMR

1. One Month salary for every completed year and any period in excess of ‘6’ months.

2. Gratuity under the Gratuity Act equivalent to nearly ‘17’ days salary for every completed year of service based on last pay.

3. It is worthy to notice that, the Andhra Pradesh Housing Board is created by virtue of Section 3(1)of the Andhra Pradesh Housing Board Act, 1956. In accordance with Section 13-A of the Andhra Pradesh Housing Board Act, the Government is empowered to appoint a Vice-Chairman and Housing Commissioner to the Andhra Pradesh Housing Board, who shall be it’s Chief Executive Officer responsible for implementing various resolutions of the said Board and also discharge such functions as are entrusted to him by the Government. A little earlier i.e., on 20.10.2004, the Vice-Chairman and Housing Commissioner has circulated an open letter addressing all those who are working with the Housing Board and the letter was exhibited on the notice board of every office/establishment of the Housing Board. The Vice-Chairman and the Housing Commissioner has very effectively put paid to all the apprehensions of the employees about an impending closure of the Housing Board. The Housing Commissioner has reassured that, the housing segment in the social sector will continue to be very strong in the next twenty years. He has also reassured that, the Andhra Pradesh Housing Board is financially sound and it has got a mandate from the Government to build 50,000 houses a year and therefore, beseeched all his colleagues to bestow a thought as to the manner in which such a mammoth work has got to be organized and accomplished. He closed his letter with the following reassuring words:

“………… not that the Andhra Pradesh Housing Board will be closed or the employees of the Andhra Pradesh Housing Board need to look around for job opportunities outside.”

4. But, surprisingly, in less than six months of the reassuring words of the Vice-Chairman and the Housing Commissioner of the Housing Board, came the impugned notice referred to supra on 08.04.2005. Nearly 487 employees of the Housing Board have been retrenched. According to the learned counsel for the petitioner Sri A.K. Jayaprakash Rao, a vast majority of them, to be very precise, 433 of them, have settled all their claims amicably with the appellant/Housing Board