Section 17B of the Industrial Disputes Act applies to cases where an award directs reinstatement, not regularization, and aims to provide relief to workmen in reinstatement cases under challenge in higher courts.

M.Y. Eqbal, J.

Heard Mr. Ananda Sen, learned Counsel appearing for the appellant, and Mr. Sunil Kumar, learned Counsel appearing for the respondent, and with their consent, this appeal is disposed of at the admission stage.

2. The appellant, who is the employer in relation to the Management of Rajrappa Washery of Central Coalfields Limited, has assailed the impugned judgment dated 20.10.2008 passed in C.W.J.C. No. 1619 of 2001 whereby the learned single Judge allowed the writ petition filed by the respondent u/s 17B of the Industrial Disputes Act and directed the appellant-Management to pay the wages for the workmen equivalent to last wages drawn by them.

3. The undisputed facts are that the respondent, the concerned workman, raised an industrial dispute claiming regularization of services on the ground that they have been engaged by the Management in plant cleaning job. The claim of the workman was denied by the Management stating that no relationship of employer and employee existed. The Central Government referred the following dispute to the Industrial Tribunal for adjudication: "Whether action of the Management not to regularize the services of Sri Jitan Mahto and nine others is justified? If not, to what relief they are entitled to?

4. The Tribunal heard the reference case along with another reference case and recorded a finding that the concerned workman has been engaged for the plant cleaning job and there existed relationship of employer and employee between the Management and the concerned workman and they are certainly entitled for regularization. The Tribunal, therefore, passed an award directing the Management-appellant to regularize the services of the workman.

5. Aggrieved by the said award of the Tribunal, the appellant- Management preferred writ petition being C.W.J.C. No. 1619 of 2001 and the said writ petition was admitted for hearing and the impugned award was stayed. However, in the meantime, the respondent-workman filed an application u/s 17B of the Industrial Disputes Act seeking a direction for payment of wages last drawn during the pending of the writ petition. It was argued by the Management before the learned single Judge that provision of Section 17B of the Act is applicable only when the award relates to reinstatement and not for regularization or absorption in service. On the other hand, it was argued by the workman that although reference was made with respect to regularization of service, but in fact the services of the workman had been terminated while the matter was pending before the Assistant Labour Commissioner, Hazaribagh for conciliation. The learned Single Judge held that though the award is with respect to regularization of services of the workman, but in fact, it has assumed the effect of reinstatement and, therefore, the workman is entitled to get benefit in terms of Section 17B of the Industrial Disputes Act.

6. Mr. Ananda Sen, learned Counsel appearing for the appellant, assailed the impugned judgment taking the same stand that in case of award of regularization in service, provisions of Section 17B of Act does not apply. Learned Counsel submitted that by the impugned award, the Tribunal has not directed for reinstatement of the workman in services, rather direction is only for regularization in service.

7. On the other hand, Mr. Sunil Kumar, learned Counsel appearing for the concerned workman, submitted that the services of the workman was in fact terminated w.e.f. 1.8.1991 while the matter was pending before the Assistant Labour Commissioner for conciliation. According to the learned Counsel, therefore, the award of regularization will amount to reinstatement of the workman whose services were terminated by the Management.

8. Section 17B of the Industrial Disputes Act reads as under:

17-B. Payment of full wages to workman pending proceedings in higher courts.-where in any case a Labour Court, Tribunal or National Tribunal by its award directs reinstatement of any workman and the