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2026 Supreme(Del) 29

IN THE HIGH COURT OF DELHI AT NEW DELHI
Shail Jain, J.
Punjab & Sind Bank - Petitioner
Versus
Ramesh Chandra Semwal - Respondent
W.P.(C) 6918 of 2014, CM APPL. 16302 of 2014, CM APPL. 41674 of 2016
Decided On : 27-02-2026

Advocates Appeared:
For the Petitioner: Mr. Rajat Arora, Mr. Niraj Kumar & Mr. Sourabh Mahila, Advs.
For the Respondent: Mr. Sandeep Sharma, Sr. Adv. with Mr. Hunny Singh and Mr. Ankit Parindiyal, Advs.

The court upheld that an employee's continuous service of over 240 days entitles him to protections under the Industrial Disputes Act, and any termination without adherence to statutory requirements is invalid.

Headnote:(A) Industrial Disputes Act, 1947 - Sections 10, 12, 25B, and 25F - Writ petition challenging termination of temporary employee - Court upholds CGIT's finding of illegal termination; employee deemed to have completed 240 days service, entitling him to protection under Section 25F - Regularization not granted as not part of the reference. (Paras 4, 9, 10, 68)

(B) Industrial Disputes - Burden of proof regarding completion of 240 days of service - It lies primarily on the employee, shifting to the employer upon prima facie establishment - Employer failed to produce records. (Paras 41, 42, 50)

(C) Delay in raising the dispute - Industrial Disputes Act does not prescribe limitation for disputes; mere delay does not invalidate reference. (Paras 34, 36)

Facts of the case:
The petitioner bank terminated the employee while he had been working temporarily since 1988 without notice, yet the employee claimed continuous service exceeding 240 days. The CGIT ruled in his favor for reinstatement citing failure by the bank to prove non-completion of days.

Findings of Court:
The Court concluded that the CGIT's findings regarding the employee's continuous service were well supported by the lack of evidence from the bank and reaffirmed the lower court's order for compensation in lieu of reinstatement.

Issues: The central questions were whether the CGIT was justified in its order of reinstatement and if the employee met the criteria for continuous service.

Ratio Decidendi: The court highlighted that the employee had established his case of continuous service, which the employer failed to rebut, and hence reinstatement with compensation was ruled appropriate.

Result: The award regarding reinstatement was modified to a monetary compensation of Rs. 11,00,000/- while the aspect of regularization was quashed as it was outside the CGIT's reference.

Table of Content
1. background of employment and termination (Para 1 , 2 , 3 , 4 , 5 , 6 , 7 , 8 , 9)
2. arguments regarding delay and service duration (Para 11 , 12 , 13 , 14 , 15 , 16 , 17 , 18)
3. respondent's evidence of continuous service (Para 19 , 20 , 21 , 22 , 23 , 24 , 25 , 26)
4. court's interpretation of delay in raising industrial dispute (Para 31 , 32 , 33 , 34 , 35)
5. observation on burden of proof and continuous service (Para 37 , 38 , 39 , 40 , 41 , 42)
6. nature of employment and section 25f applicability (Para 44 , 45 , 46 , 47)
7. court's stance on reinstatement vs monetary compensation (Para 48 , 49 , 50 , 51)
8. recent developments in case law regarding relief (Para 52 , 53 , 54 , 55)
9. adjustment of compensation and regularization aspects (Para 56 , 57 , 58 , 59 , 60 , 61)
10. jurisdiction limitations on grant of relief (Para 62 , 63 , 64 , 65)
11. final order regarding compensation and regularization (Para 68 , 69)

JUDGMENT :

SHAIL JAIN, J.

1. The present Writ Petition has been filed under Article 226/227 of the Constitution of India, inter-alia, assailing the Award dated 09.06.2014 (hereinafter ‘Impugned Award’) passed by Ld. Central Government Industrial Tribunal II, New Delhi (hereinafterCGIT’) answering the reference in negative terms holding the termination of the Respondent/Workman to be void and that the Respondent/Workman is entitled for reinstatement with regularization of his services as Orderly/ Daftari.

BRIEF FACTS:

2. The Petitioner is a Nationalized Bank constituted under the Banking Companies (Acquisition & Transfer of Undertaking) Act, 1980 having its branches all over India including its branch at Mussoorie in Dehradun District, Uttarakhand.

3. The Respondent/Workman was employed with the Petitioner/bank since 1988 in the capacity of a temporary employee (Peon) at its Zonal Office in Dehradun vide appointment letter dated 19th September 1988. The initial appointment was for a period of 30 days w.e.f. 21st September 1988, the terms and conditions of appointment stipulated that the engagement was temporary in nature.

4. In the year 1992, the Petitioner/Bank terminated the services of the Respondent/Workman without any notice, in pursuance to which the Respondent/workman raised an industrial dispute. Consequently, vide Order dated 22.08.1997, the Central Government declined to make a reference of the dispute to the Industrial Tribunal for adjudication under Section 12 (5) of the Industrial Disputes Act, 1947 (hereinafter‘ the Act ’), holding that the Respondent had worked only intermittently, namely: 87 days in 1988, 111 days in 1989, 26 days in 1990, 20 days in 1991, and 20 days in 1992. Therefore, it was held that the Respondent had not completed 240 days of continuous service in any twelve calendar months preceding the date of termination of his services.

5. In the interregnum, the Respondent/workman was reappointed by the bank on 16.12.1996 and was engaged as a temporary employee against a vacant post on the panel of subordinate staff, on the post of Orderly(Temporary), at the Punjab and Sind Bank, Mussoorie Branch, Dehradun.

6. During his tenure of serving as temporary orderly, the Workman raised a demand before the management seeking regularization of his services which were not regularized; instead, another individual was appointed by the management on compassionate grounds. Workman thereafter, filed Petition No. 205 of 2003 (SS) before the High Court of Uttarakhand at Nainital seeking regularization of his services; however, the same was dismissed with liberty to avail appropriate remedies before the competent forum.

7. Thereafter, the Respondent/Workman continued to discharge his duties as a temporary employee on the bona fide belief and legitimate expectation that his services would be regularized, as he had been assured by the Petitioner/Bank that necessary communications in that regard had already been forwarded to the competent higher authorities. However, on 11.05.2003, the services of the R

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