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2025 Supreme(Kar) 2187

IN THE HIGH COURT OF KARNATAKA AT BENGALURU
D.K.SINGH, UMESH M. ADIGA, J.
The Management Of Indian Institute Of Management, Represented In These Proceedings By Its Dean (Admin) Dr. Jayadev M. – Appellant
Versus
Sri. D. Manikya, S/o. Late Doriswamy – Respondent 
Writ Appeal No. 1711 of 2025 (L-ID)
Decided On : 01-12-2025

Advocates Appeared:
For the Appellant :Sri. Pradeep S. Sawkar, Advocate
For the Respondents:Sri. Samarth Murthy, Advocate

An employee dismissed without lawful grounds is entitled to back wages during appeal delays caused by the employer, emphasizing fairness in reinstatement with continuity of service.

Headnote:(A) Industrial Disputes Act, 1947 - Sections 10(4-A) and 33-C(2) - Dismissal of employee - The court addressed the legality of dismissal and entitlement to back wages - The employee was reinstated with continuity of service and the period of absence treated as leave - The order of sanction for prosecution was quashed, and issue of entitlements and back wages was remitted for further adjudication. (Paras 5, 8, 9, 11-12, 21-24)

(B) Principle of 'No Work No Pay' - The principle applies only during the period of suspension and not during litigation delays caused by the employer's appeals against reinstatement orders - The court emphasized that an employee should not be penalized for delays beyond their control. (Paras 16, 20)

Facts of the case:
The respondent was initially dismissed from service due to alleged misconduct, challenged the dismissal leading to various proceedings in Labour Court and High Court, resulting in reinstatement without back wages.

Findings of Court:
The court upheld the Labour Court's findings regarding reinstatement and the remittance for calculating back wages excluding prior payments.

Issues: Whether the employee is entitled to back wages for the intervening period between dismissal and reinstatement.

Ratio Decidendi: The court reaffirmed that dismissing an employee without compensation for delays caused by the employer is unjust, necessitating back wages due to illegal dismissal and subsequent reinstatement orders.

Result: Writ Appeal dismissed.

Table of Content
1. respondent's employment history and misconduct allegations. (Para 2 , 3 , 4 , 5)
2. application for wage claims and adjudication history. (Para 10 , 11 , 18)
3. judicial review on entitlements and wage calculations. (Para 15 , 16 , 17)
4. applicability of back wages in employment law. (Para 19 , 20 , 21)
5. dismissal of the writ appeal. (Para 23)

JUDGMENT :

UMESH M. ADIGA, J.

This Writ appeal is filed under Section 4 of the Karnataka High Courts Act, 1961 directed against order dated 24.06.2025 passed by learned single Judge in W.P.No.19969/2016 (L-ID).

2. The brief facts of the case are that respondent was appointed as a plumber on 21.10.1974 on temporary basis, and thereafter, he was regularised on 25.09.1975. It was alleged against him that on 04.02.1991, 05.02.1991 and 29.08.1991 he had committed certain misconduct. In this regard, a complaint was made against him and he was placed under suspension by an order dated 29.08.1991. Thereafter, a charge sheet dated 10.09.1991 was issued against him, mentioning in detail about the charges levelled against him. He was called upon to reply to the said charges The respondent submitted a reply; however, the employer did not accept it as satisfactory and therefore, appellant ordered to hold an enquiry.

3. The Disciplinary Authority appointed enquiry officer to hold enquiry. The enquiry officer conducted enquiry and gave report to Disciplinary Authority. The Disciplinary Authority after issue of notices to respondent held that the charges levelled against him were proved. The Disciplinary Authority imposed punishment of dismissal of respondent from service with immediate effect vide order dated 20.08.1993.

4. Respondent filed a petition under Section 10 (4-A) of the Industrial Dispute Act, 1947 (for short 'Act, 1947) before the II Addl.Labour Court, Bengaluru in I.D.No.98/1993, challenging the order of his dismissal.

5. The Labour Court after recording the evidence of both the parties and on appreciation of the materials available on record vide its judgment and award dated 29.09.2005 allowed the petition partly, and passed the following:

ORDER

"i. The dispute raised by the first party workman under Sec.10(4-A) of the ID Act.1947 is allowed in part and the impugned order of dismissal dated 20th August 1993 is hereby set aside and the second party management is hereby directed to reinstate the first party workman into his original post forthwith together with continuity of service and all other consequential benefits with backwages already paid as per order dated 05.05.1995 passed by this court on the application filed by the first party for interim relief.

Further, the second party management is directed to treat the period of suspension of the first party as leave at his credit and if no leave is available at his credit the same shall be treated as leave without allowance."

6. Both appellant as well as respondent challenged the said award passed by the Labour Court dated 29.09.2005 by filing the W.P.Nos.13097/2006 and 10409/2008 respectively before this Court. The learned Single Judge heard both writ petitions together and by common order dated 08.11.2006 dismissed both the writ petitions. Against the said orders, appellant filed an appeal in W.A.No.379/2010 and respondent filed WA.No.2457/2010. The Division Bench of this Court heard both the appeals together and by common order dated 23.11.2010, allowed WA.No.379/2010 filed by appellant in part and dismissed W.A.No.2457/2010.

7. The appellant filed an application I.A.No.1/2013 in W.A.No.379/2010 seeking certain clarification in respect of certain financial benefits/service benefits to respondent. The said application was heard by the Division Bench of this Court in W.A.No.379/2010 and by order dated 13.03.2013, clarified, which reads as under:

"This application is filed for clarification of the order dated 23.11.2010. By the said order, this Court partly allowed the writ appeal filed by the Management and punishment of withhold

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