IN THE HIGH COURT OF JHARKHAND AT RANCHI
ANUBHA RAWAT CHOUDHARY, J.
The Executive Engineer, Water Resources Department, Irrigation Division, Government of Jharkhand - Petitioner
Versus
Their Workmen of Water Resources Department, represented through it’s President, Sichai Kamgar Union – Respondent
W.P. (L) No. 1544 of 2024
Decided On : 27-02-2025
(A) Industrial Disputes Act, 1947 - Section 25(F) - Writ petition challenging award of Labour Court - Workmen entitled to minimum wages of regular employees but not due wages after 31.03.2009 - Compensation of Rs. 1,00,000/- awarded for removal without notice and procedure - Labour Court's jurisdiction upheld despite petitioner's claim of sovereign function. (Paras 1, 14, 15, 18, 29)
(B) Jurisdiction of Labour Court - The petitioner did not raise the issue of being a 'State' or 'industry' before the Labour Court, thus the reference was valid - The court emphasized that such objections must be raised at the proper forum. (Paras 19, 22, 29)
Facts of the case:
The petitioner, Water Resources Department, terminated workmen's services without following due procedure under Section 25(F) of the Industrial Disputes Act. The workmen claimed regularization after over 10 years of service. (Paras 1, 2, 10)
Findings of Court:
The Labour Court found the workmen were not entitled to wages post 31.03.2009 but awarded compensation for wrongful termination. The direction for regularization was set aside. (Paras 14, 18, 29)
Issues: Whether the Labour Court had jurisdiction to adjudicate the dispute and whether the workmen were entitled to regularization. (Paras 19, 22)
Ratio Decidendi: The court held that the petitioner failed to raise jurisdictional issues in the Labour Court and thus must accept the reference's validity. The compensation awarded was justified due to procedural lapses. (Paras 18, 29)
Result: Writ petition disposed of, with the award upheld except for the regularization direction.
JUDGMENT :
ANUBHA RAWAT CHOUDHARY, J.
1. This writ petition has been filed challenging the award dated 05.11.2022 passed by the learned Presiding Officer, Labour Court, Deoghar in Reference Case No. 01 of 2013 wherein the learned labour court while answering the reference has held that the workmen are not entitled to due wages after 31.03.2009 but they are entitled for wages at the minimum of the pay scale extended to regular employees holding the same post. The learned labour court also held that the workmen are also entitled for compensation to the tune of Rs. 1,00,000/- per head for removing them without notice and without following the procedure under Section 25(F) of the Industrial Disputes Act, 1947.
Arguments of the Petitioner
2. The learned counsel appearing on behalf of the petitioner while assailing the impugned award has submitted that the learned labour court had no jurisdiction to decide the case in view of the fact the petitioner, who is Water Resources Department, Irrigation Division, Sikatiya, Deoghar, is ‘State’ and was discharging sovereign functions. Accordingly, the petitioner is not an ‘industry’ within the meaning of Industrial Disputes Act, 1947. The learned counsel submitted that though the aforesaid point was not specifically raised before the concerned court but it is a point of law particularly in the light of the judgment passed by this Court reported in 2006 (1) JLJR 382 (State of Jharkhand through Executive Engineer, Irrigation Division vs. Jwala Raut). The learned counsel has also relied upon the judgment passed by this Court reported in 2014 SCC OnLine Jhar. 2907 (Pranaya Kumar Srivastava & Others vs. State of Jharkhand) and has submitted that no material was produced on behalf of the concerned workmen to show that the activity of the petitioner was relating to any manufacturing or other related activities. The learned counsel has also relied upon the judgment passed by this Court in 2024 SCC OnLine Jhar. 3052 (State of Jharkhand vs. Their workmen, represented by Sichal Kamgar Union) to submit that this Court has framed the point of law and remanded the matter back to the concerned court for fresh consideration of the point, as to whether the division where the workmen were engaged i.e., irrigation department Sikatia is an ‘industry’ or not within the meaning of Industrial Disputes Act.
3. The learned counsel has submitted that the petitioner is not an ‘industry’ and therefore the concerned labour court had no jurisdiction and consequently the impugned award is fit to be set-aside. He has also submitted that otherwise also the impugned award is not sustainable as the learned court has gone beyond the terms of reference.
Arguments of the Respondent
4. Learned counsel appearing on behalf of the respondent while opposing the prayer has submitted that this Court is exercising power of certiorari and the power of certiorari can be exercised under limited conditions.
5. The learned counsel has referred to the judgment passed by the Hon’ble Supreme Court reported in (2003) 6 SCC 675 (Surya Dev Rai vs. Ram Chander Rai & Others) paragraph 38 and in particular sub- paragraphs 3, 4, 5, 6 and 7 of the said judgement to submit that none of the conditions mentioned therein is satisfied in the present case and therefore no interference is called for.
6. The learned counsel has also submitted that not only the materials on record but also various judgments have been considered, and the impugned award cannot be said to be illegal or perverse with respect to the point of reference. The learned counsel has also submitted that the court while holding that the concerned workmen are entitled for compensation for removing them without notice and without following the procedure under Section 25(F) of the Industrial Disputes Act, 1947 has entered into incidental question that was relatable to the terms of reference as the petitioner themselves had taken a stand before the learned court that the workmen were removed in terms of S
The court upheld the Labour Court's award of minimum wages and compensation for wrongful termination, asserting the need for procedural adherence under the Industrial Disputes Act.
The court ruled that the petitioner did not raise jurisdictional issues regarding its status as an industry, thus the Labour Court's award stands, except for the direction on regularization.
The court reaffirmed that failure to follow termination procedures under Section 25(F) of the Industrial Disputes Act warrants compensation, but does not guarantee regularization of services.
The Irrigation Department is classified as an 'Industry' under the U.P. Industrial Disputes Act, 1947, and retrenchment without notice or compensation violates Section 6(N).
The Irrigation Department is classified as an industry under the Uttar Pradesh Industrial Disputes Act, 1947, and termination without compliance with statutory provisions is unlawful.
Section 25-F of the Industrial Disputes Act, 1947 requires the employer to follow the procedure thereunder when a workman is employed in an industry and who has been in continuous service for not les....
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