2012 Supreme(Raj) 2296
RAJASTHAN HIGH COURT AT JAIPUR BENCH
Mohammad Rafiq, J.
Managing Director, Energetic Lighting (India) Pvt. Ltd. - Appellant
Versus
Presiding Officer, Shops and Commercial Establishments & Anr. - Respondent
S.B. Writ Petition No. 11901 of 2010.
Decided On : 10-12-2012
Advocates:
For the Petitioner:R.K. Kala, Sr. Adv. with Rupin Kala, Advocate.
For the Respondents:Dharmendra Jain, Advocate.
Headnote:A. Rajasthan Shops and Commercial Establishments Act, 1958 – S. 2(5) – Industrial Disputes Act, 1947, Schedule II, Item 6 – Though there was no confirmation in writing to extend the probation period of the probationer, probationer cannot ask for deemed confirmation.
B. Rajasthan Shops and Commercial Establishments Act, 1958 – S. 2(5) – Respondent NO. 2 working as regional sales manager has not shown ultimate control over the business – He was working at the ground level and was controlled by senior management.
C. Rajasthan Shops and Commercial Establishments Act, 1958 – S. 28 – B – Industrial Disputes Act, 1947 – S. 11A – Performance of the employee was terminated as he could not get any supply or purchase order – Termination order is correct as the probationer does not have any right to hold the post he was assigned to.
JUDGMENT
1. - Petitioner, the Managing Director, Energetic Lighting (India) Pvt. Ltd., Gurgaon, has approached this court in the writ certiorari, challenging interim order dated 29- 09-2009 passed by respondent Presiding Officer, Shops and Commercial Establishments, Jaipur City. Jaipur, and its final order dated 16-04-2010 passed in Case No. RSC 8/2008.
2. Although in writ petition, petitioner seeks to also challenge validity of order dated 29- 09-2009 by which preliminary objection of petitioners about maintainability of application before Prescribed Authority was rejected but validity of that order need not be examined because ultimately the main application itself was decided by order dated 16-04-2010 which order is asailed in present writ petition, therefore. the matter is being considered to adjudge validity or otherwise of the said order.
3. Factual matrix of the case is that petitioner Company is engaged in manufacturing of energy saving lamps in its factory premise at Gurgaon in the State of Haryana. Petitioner engaged respondent No.2 Shri Santosh Bharti as Regional Sales Manager for Rajasthan initially on probation for a period of six months, which was extend-able for a further period, by order dated 05-04-2008. Petitioner company did not find the performance of respondent No.2 to be satisfactory and therefore terminated his services vide order dated 04-11-2008 with effect from 05-11-2008 by invoking probation clause. Respondent No. 2 therefore filed a complaint before the Prescribed Authority under Section 28-A of the Rajasthan Shops and Commercial Establishments Act, 1958 (for short, 'the Act of 1958'). Petitioner company contested the matter and filed reply thereto. A preliminary objection was raised in the reply that neither respondent No.2 Santosh Bharti is a 'workman' under Section 2(s) of the Industrial Disputes Act, 1947 (for short, 'the Act of 1947') nor can he be termed an 'employee' under Section 2 (5) of the Act of 1958. In fact, respondent No.2 was himself an employer under Section 2(6) of the Act of 1958 as such the complaint filed by him was not maintainable and was liable to be dismissed. Alternatively, it was submitted that even if respondent No.2 is accepted to be an employee, then also petitioner was competent to terminate his services by giving him one day notice, considering that he was on probation, it was also contended that since factory premise where respondent No.2 was engaged was situated in Gltrgaon of the State of Haryana, therefore, if Factory Act was applicable to the petitioner establishment, the Act of 1958 was not applicable.
4. The preliminary objection raised by petitioner was rejected by the Prescribed Authority by order dated 19-09-2009. It was thereafter that the evidence of respondent No.2 was adduced on affidavit and he was subjected to cross-examination by the representative of the petitioner. Affidavits of one Shri Manish Sarin, Manager & Head (HR) and Shri Anil Kumar, Manager (Accounts) were filed by petitioner and they were cross-examined by respondent No.2. The Prescribed Authority vide impugned order dated 16-04-2010 allowed the application of respondent No.2 and quashed his termination order dated 04-11-2008. In view thereof, petitioner has approached this court.
5. Shri R.K. Kala, learned Senior Advocate, appearing on behalf of petitioner, has contended that respondent No. 2 was appointed in a senior position as Regional Sales Officer on probation on monthly salary of Rs. 14,000/-. His work consisted in distribution management and team management. Sales officers and sales in-charge used to report to the petitioner. He was performing supervisory and administrative managerial work. He was authorised to appoint a super stockiest to buy company products and to sell to distributors and retailers. He was responsible for collection of all payments in time and appointment of management team to promote sales of products and generate profits. Considering the nature of his duties, res
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