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2021 Supreme(Gau) 218

IN THE HIGH COURT OF GAUHATI
Sanjay Kumar Medhi, J.
Kakumoni Bhuyan - Appellant
Versus
Management Of Apollo Hospitals Guwahati - Respondent
Interlocutory Application (Civil) No. 2076 of 2020; Writ Petition (Civil) No. 3406 of 2020
Decided On : 01-02-2021

Advocates Appeared:
S. Chakraborty, Advocate, S.N. Sarma, Advocate, K. Kalita, Advocate

The main legal point established in the judgment is that the entitlement to full wages last drawn under Section 17 B of the Industrial Disputes Act should be calculated and paid from the date of the award, emphasizing the objective of providing relief to the workman and ensuring sustenance during pending litigation.

Headnote:

Section 17 B - Industrial Disputes - Act 1947 - [Section 17 B] - The court discussed the provisions of Section 17 B of the Industrial Disputes Act, 1947 and its interpretation in light of various case laws. The court emphasized the objective of Section 17 B, which is to provide relief to the workman in whose favor an award of reinstatement is passed and to ensure sustenance during the pending litigation. The court held that the entitlement to full wages last drawn should be calculated and paid from the date of the award.

Fact of the Case:

The applicant filed an application under Section 17 B of the Industrial Disputes Act, 1947 for payment of full wages last drawn during the pendency of the proceeding challenging the award of reinstatement.

Finding of the Court:

The court found that the entitlement to full wages last drawn should be calculated and paid from the date of the award, i.e., 11.03.2020.

Issues: The main issue was the date from which the wages under Section 17 B of the Act should be calculated.

Ratio Decidendi: The court held that the entitlement to full wages last drawn should be calculated and paid from the date of the award, emphasizing the objective of Section 17 B to provide relief to the workman and ensure sustenance during pending litigation.

Final Decision: The court allowed the Interlocutory Application with a direction that the full wages last drawn should be calculated and paid from the date of the award, i.e., 11.03.2020.

JUDGMENT

Sanjay Kumar Medhi, J. - Heard Shri S Chakraborty, learned counsel for the applicant-respondent no.1. Also heard Shri SN Sarma, learned Senior Counsel assisted by Shri K Kalita, learned counsel for the opposite party.

2. This is an application under Section 17 B of the Industrial Disputes Act, 1947 (for short hereafter referred to as Act) for payment of full wages last drawn.

3. Shri Chakraborty, learned counsel for the applicant submits that this Court vide order dated 02.09.2020 while issuing notice, had stayed the operation of the judgment and award dated 11.03.2020 passed by the learned Labour Court, Guwahati, Assam in Reference Case No.01/2019. By the said award dated 11.03.2020, the applicant-respondent no. 1 was directed to be reinstated in service with full back wages. By drawing the attention of this Court to the provision of law, namely, Section 17 B of the Act, it is submitted that on preferring of any proceeding against such an award to the High Court or the Supreme Court, the employer shall be liable to pay the workman, during the pendency of the proceeding, full wages last drawn and an affidavit has to be filed to the effect of not being gainfully employed. Attention of this Court has also been drawn to the pleaded case of the workman as well as the averments made in this Interlocutory Application regarding the lack of gainful employment from the date of suspension till the date. It is submitted that such wages has to be calculated from the date of the award to give a proper meaning to the legislative intent.

4. In support of his submissions, Shri Chakraborty, learned counsel for the applicantrespondent no. 1 relies upon the following cases:

i) Dena Bank Vs. Kiritikumar T. Patel;, (1999) 2 SCC 106, (referred to as Dena Bank-I).

ii) Dena Bank vs. Ghanshyam;, (2001) 5 SCC 169,(referred to as Dena Bank-II).

iii) Indra Perfumery Co. Thr. Vs. Presiding Officer & Ors.;, (2004) 109 DLT 927 [Division Bench of the Delhi High Court].

iv) LPA No.165 of 2012 (Municipal Corporation of Delhi Vs. Santosh Kumari & Anr., decided on 24.08.2012). [Division Bench of the Delhi High Court].

5. In the case of Dena Bank (I) (supra), the Hon'ble Supreme Court had clarified the law relating to Section 17 B of the Act in the following manner:

"7. It would be convenient at this stage to set out the provisions contained in Section 17-B of the Act which reads as under:

Section 17-B. Payment of full wages to workman pending proceeding is higher courts. - Where in any case a Labour court, Tribunal or National Tribunal by its award directs reinstatement of any workman and the employer prefers any proceedings against such award in a High Court or the Supreme Court, the employer shall be liable to pay such workman, during the period of pendency of such proceeding in the High Court or the Supreme Court, full wages last drawn by him, inclusive of any maintenance allowance admissible to him under any rule if the workman had not been employed in any establishment during such period and an affidavit by such workman had been filed to that effect in such Court: Provided that where it is proved to the satisfaction of the High Court or the Supreme Court that such workman had ben employed and had been receiving adequate remuneration during any period or part thereof, the Court shall order that no wages shall be payable under this section for such period or part, as the case may be."

The objects and reasons for enacting the said provisions were as follows :

"When Labour Courts pass award of reinstatement, these are often contested by an employer in the Supreme Court of High Courts. It was felt that the delay in the implementation of the award cause hardship to the workman concerned. It was, therefore, proposed to provide the payment of the wages last drawn by the workman concerned, under certain conditions, from the date of the award till the case is finally decided in the Supreme Court High courts."

21. As indicated earlier Section 17-B has been enacted by Pa

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