IN THE HIGH COURT OF JUDICATURE FOR RAJASTHAN BENCH AT JAIPUR
ANOOP KUMAR DHAND, J.
Dy. Conservator of Forests, And Anr. - Appellant
Vs.
Kalyan Sahay S/o Shri Chhitarman Gurjar - Respondent
S.B. Civil Writ Petition No. 5387 Of 2017
Decided On : 28-01-2025
(A) Industrial Disputes Act, 1947 - Section 25F - Challenge to termination of workman - Termination quashed with directions for reinstatement and back wages - Court held reinstatement not automatic; compensation can be awarded instead - Workman entitled to Rs.3,00,000/- as compensation in lieu of reinstatement. (Paras 1, 12, 13, 14)
(B) Reinstatement - Not a matter of right - Compensation can be awarded in lieu of reinstatement, especially for daily wage workers. (Paras 6, 7, 10, 11)
Facts of the case:
The workman was engaged as a daily wager from 01.01.1990 until his termination on 01.04.1994 without notice or compensation, claiming violation of Section 25F of the Act. The Tribunal quashed the termination and ordered reinstatement with back wages.
Findings of Court:
The Tribunal's findings were upheld, but reinstatement was deemed inappropriate due to the workman's age and length of service, leading to a compensation award instead.
Issues: Whether reinstatement is warranted or if compensation suffices given the workman's age and service duration.
Ratio Decidendi: The court emphasized that reinstatement is not automatic for daily wage workers and monetary compensation is appropriate when termination is found illegal.
Result: Writ petition disposed of; compensation awarded.
| Table of Content |
|---|
| 1. workman engaged as daily wager (Para 1 , 2 , 3 , 4 , 5 , 7 , 8 , 9 , 10 , 11) |
| 2. settled law regarding violation (Para 6) |
| 3. compensation awarded to workman (Para 12 , 13 , 14 , 15 , 16 , 17) |
Order :
ANOOP KUMAR DHAND, J.
1. By way of filing of this instant writ petition, a challenge has been led to the impugned award dated 05.10.2016 passed by the Industrial Tribunal-cum-Labour Court, Alwar (hereinafter referred to as ‘the Tribunal’) in LCR No.600/2006 by which the claim petition filed by the respondent-workman (hereinafter referred to as ‘workman’) has been allowed and his termination order dated 01.04.1994 has been quashed with the directions to the petitioners to reinstate him back in service with continuity along with 15% back wages.
2. Learned counsel for the petitioners submits that the workman raised an industrial dispute before the Tribunal by way of filing claim petition stating therein that he was engaged as daily wager w.e.f. 01.01.1990 till 01.04.1994 but without serving any notice, his services were terminated and he was not paid any amount of compensation. It was pleaded in the petition that services of the workman were terminated in violation of the provisions of Section 25F of the Industrial Disputes Act, 1947 (hereinafter referred as ‘the Act of 1947’). In the claim petition, the workman prayed for declaring his termination as null and void in view of violation of the provisions of Section 25F of the Act of 1947 with the prayer for reinstatement in service.
3. The employer in its reply has denied the averments of the claim petition and submitted that the workman worked less than 240 days in the last calender year but this fact was not appreciated by the Tribunal and the impugned award has been passed.
4. Counsel submits that a direction has been issued to the petitioners to reinstate back the workman in service but the reinstatement is not possible, looking to the current age of the petitioner i.e. 57 years. Counsel submits that the instant petition be disposed of by awarding adequate amount of compensation to workmen.
5. Per contra, learned counsel for the respondent opposed the prayer but he is not in a position to controvert the submission with regard to the age of the workman i.e. 57 years.
6. It is settled law, decided by the Hon’ble Apex Court in catena of judgments that if a workman claims that there is a violation of the provisions of Section 25F of the Act of 1947, and if he proves it before the Court by leading evidence that the employer has violated the provisions contained under Section 25F of the Act of 1947, then the Court can pass appropriate orders in this regard for payment of compensation in lieu of reinstatement.
7. As per the recent trend of judgments of Hon’ble Apex Court as well this Court, it has been held in number of cases that even if the termination is found to be illegal, the reinstatement is not a rule of thumb. It has been held that lump-sum amount of compensation can be paid to the workman in lieu of reinstatement.
8. In the case of BSNL vs. Man Singh (2012) 1 SCC 558, the Hon’ble Apex Court held that when the termination is set aside because of violation of the provisions of 25F of the I.D Act, it is not necessary that the relief of reinstatement be given as a matter of right.
9. In Incharge Officer vs. Shankar Shetty (2010) 9 SCC 126, it was inter alia held that in those cases where the workman had worked on daily wage basis, and worked merely for a period of 240 days or 2-3 years and where the termination had taken place many years ago, the recent trend was to grant compensation in lieu of reinstatement.
10. In BSNL vs. Bhurumal, reported in (2014) 7 SCC 177 taking the trend further, the Supreme Court inter alia held as under in para 33 and 34:-
“33. It is clear from the reading of the aforesaid judgments that the ordinary principle of grant of reinstatement with full back wages, when the termination is found to be illegal is not applied mechanically in all cases. While t
Reinstatement of a daily wage worker is not automatic upon illegal termination; monetary compensation may be awarded instead, particularly considering the worker's age and service duration.
Compensation in lieu of reinstatement is warranted where termination violates Section 25F, reflecting a judicial trend favoring monetary relief over automatic reinstatement, particularly for daily wa....
Reinstatement of daily wage workers is not automatic upon illegal termination; monetary compensation may be awarded instead, particularly when procedural violations occur.
Reinstatement is not automatic for daily wage workers upon illegal termination; compensation can be awarded instead, reflecting the length of service.
Reinstatement is not automatic in cases of delayed disputes; monetary compensation may be awarded instead, especially for procedural violations under the Industrial Disputes Act.
Monetary compensation can be awarded instead of reinstatement for daily wage workers whose termination is found illegal due to procedural defects, as reinstatement is not automatic.
Monetary compensation is preferred over reinstatement for daily wage workers whose termination is found illegal, especially after significant delays.
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