IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI
K. MANMADHA RAO, J.
The Regional Manager and Others – Appellants
Versus
Kareti Tirupathi and Others – Respondents
Writ Petition No.16769 of 2022
Decided on : 03-10-2024
Writ - Industrial Disputes - Section 33-C(2) - The court interpreted Section 33-C(2) of the Industrial Disputes Act, 1947, emphasizing that claims must be based on pre-existing rights. The tribunal's jurisdiction was affirmed, and the decision to grant partial relief was upheld.
Fact of the Case:
The petitioner challenged a tribunal's order that partially granted a claim for encashment of earned leave and other dues, arguing that the claims were not based on pre-existing rights and thus not maintainable under Section 33-C(2) of the Industrial Disputes Act.
Finding of the Court:
The court found that the tribunal correctly determined the lack of pre-existing rights for certain claims and upheld the partial relief granted for encashment of earned leave, affirming the tribunal's jurisdiction under Section 33-C(2).
Issues: Whether the tribunal had jurisdiction to adjudicate the claims made under Section 33-C(2) of the Industrial Disputes Act and whether the claims were based on pre-existing rights.
Ratio Decidendi: The court held that claims under Section 33-C(2) must be based on pre-existing rights, and the tribunal's decision to grant partial relief was consistent with the law.
Result: The Writ Petition is dismissed.
ORDER :
This Writ Petition is filed under Article 226 of the Constitution of India, seeking the following relief:
“…..to issue a Writ, Order or direction more particularly one in the nature of Writ of Mandamus calling for records relating to order in M.P.No.3 of 2015, dated 29.01.2020 on the file of the Industrial Tribunal-cum-Labour Court, Guntur and quash the same in so far as it went against the petitioners corporation as illegal, arbitrary, null and void and pass such other orders....”
2. Heard Mr. Solomon Raju Manchala, learned counsel for the petitioner; Mr. N. Sriram Murthy, learned counsel for the 1st respondent and Mr. T. Balaji, learned Standing Counsel for the respondents 2 and 3.
3. The petitioners herein are the respondents 1, 2, 5 and 6; 1st respondent herein is the petitioner; respondents 2 and 3 are the respondents 3 and 4 in M.P.No. 3 of 2015 on the file of 4th respondent herein (in short ‘the Tribunal’)
4. The precise case of the petitioner is that the 1st respondent herein filed a petition before the tribunal under Section 33-C(2) of the Industrial Disputes Act, 1947 to compute due amount of Rs. 9,70,755/- towards EPF encashment of Earned Leave for 15 days in 2008-09, encashment of Earned Leaves for 60 days on attaining the age of superannuation, difference of SRBS amount and two 12 years special grade increments, on completion of every 12 years of service and difference of Provident Fund amount. The tribunal rightly stated that if the claim of the workman is not based on a preexisting right and which may appropriately be made subject matter of an industrial dispute in a reference under Section 10 of the I.D.Act and the Tribunal has no jurisdiction to adjudicate such a claim made under Section 33- C(2) of the I.D.Act, the tribunal held that the petitioner is not maintainable. With regard to encashment of 60 days earned leaves, the tribunal held that the 1st respondent is entitled for Rs. 57,244/- and with regard to 15 days earned leave for 2008 and 2009, the tribunal held that he is entitled for Rs. 19,052/-. With regard to SRBC amount, difference of provident fund amount and special grade increments, the tribunal dismissed in favour of the petitioners. The present Writ Petition came to be filed assailing the order dated 29.01.2020 passed in M.P.No.3 of 2015 by the learned Tribunal in allowing in part, directed the petitioners herein to pay an amount of Rs. 76,296/- with interest at 6% p.a from the date of petition till payment or realization.
5. During hearing learned counsel for the petitioner vehemently contended that the tribunal erred in not considering the fact that the claims of the 1st respondent are with regard to computation of due amount of Rs. 9,70,755/- towards EPF encashment of Earned Leave for 15 days in 2008- 2009, encashment of Earned Leave for 60 days on attaining the age of superannuation, difference of SRBS amount and two 12 years special grade increments, on completion of every 12 years of service and difference of Provident Fund amount, but the tribunal granted relief of payment of Rs. 76,296/- with interest only and rest of claims were dismissed, as such it is clearly established that there is no pre-existing right to the 1st respondent. It is further contended that the tribunal ought to have appreciated the fact that as per Circular No.PD-19/10, dated 24.04.2010, the employees are permitted on cessation of service to encash earned leave to a maximum limit of 300 days with effect from 24.04.2010, but the date of retirement of 1st respondent is 28.02.2010 as such he is not entitled for encashment of 60 days earned leave.
6. It is further contended that the tribunal ought to have appreciated the fact that as per Notification dated 10.11.2010 for payment towards encashment of earned leaves for 2008 and as per Notification dated 28.10.2011 for 2009 subject to conditions, the employees, who are on rolls are eligible to receive encashment of earned leave, but the date of retirement of the 1st resp
AI
Claims under Section 33-C(2) of the Industrial Disputes Act must be based on pre-existing rights, and the tribunal's jurisdiction is affirmed in determining such claims.
The Labour Court has jurisdiction to hear claims under Section 33(C)(2) of the Industrial Disputes Act, affirming employee rights to leave encashment as a property interest without valid statutory lo....
The main legal point established in the judgment is that approved and registered by-law amendments create a pre-existing right for employees to claim benefits, and the delay in claiming monetary bene....
The right to encash earned leave is a property right protected under the Constitution, and depriving an employee of this right without valid statutory provision is impermissible.
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