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2010 Supreme(Mad) 1352

High Court of Judicature at Madras
THE HONOURABLE MR. JUSTICE T. RAJA
The Management, Pudupalayam Primary Agricultural Co-operative Bank, Rep. by its Special Officer,
Versus
The Presiding Officer, Labour Court, & Another
W.P. No. 3999 of 2004 & W.P.M.P. No. 4722 of 2004 & W.V.M.P. No. 1935 of 2006 & W.P.M.P. No. 18343 of 2006
Decided On :30-03-2010

Advocates Appeared:
For the Petitioner:M.S. Palaniswamy, Advocate.
For the Respondent:R2, Rita Chandrasekaran for M/s. Aiyar & Dolia, Advocates.

Stale claims should not be entertained by the Labour Court if they are unreasonably delayed and do not comply with the relevant rules and regulations.

Headnote:

Stale Claim - Labour Dispute - The court held that the stale claim of the respondent, which was barred by a delay of 13 years, should not have been entertained by the Labour Court. The appointment of the respondent was not in accordance with the rules, and the delay in raising the claim was unreasonable, leading to the setting aside of the award passed by the Labour Court.

Fact of the Case:

The respondent was appointed as a Salesman on a daily wage basis and ceased attending duty in August 1997. After a lapse of 13 years, the Labour Court allowed the stale claim and directed the petitioner to reinstate the respondent with full backwages.

Finding of the Court:

The court found that the claim of the respondent was hopelessly barred by time and should not have been entertained by the Labour Court. The award passed by the Labour Court was set aside.

Issues: The issues revolved around the delay in raising the claim, the appointment of the respondent, and the legality of the Labour Court's decision.

Ratio Decidendi: The court held that the stale claim of the respondent, which was barred by a delay of 13 years, should not have been entertained by the Labour Court. The appointment of the respondent was not in accordance with the rules, and the delay in raising the claim was unreasonable.

Final Decision: The award passed by the Labour Court was set aside, and the Writ Petition was allowed.

Judgment :-

1. The present Writ Petition is directed against the award dated 18.03.2003 passed by the Labour Court in I.D.No. 264 of 2000 on the ground that the Labour Court has committed serious mistake in not only entertaining the above delayed and stale claim, but even without considering whether the 2nd respondent was appointed in accordance with the rules and other recruitment process, directed the petitioner management to pay the backwages for 13 years.

2. The learned counsel for the petitioner submits that, the 2nd respondent/N.Balakrishnan was appointed as Salesman in the petitioner banks Public Distribution Shop for selling kerosene on daily wage basis to the ration card holders and that he was appointed without following the principles laid down under Rule 149 of the Tamil Nadu Co-operative Societies Rules. He ceased attending duty in August 1997 and got employed elsewhere. But, all of a sudden, after a lapse of 13 years, when he approached the 1st respondent/the Presiding Officer, Labour Court, Salem, the stale claim preferred by the 2nd respondent was allowed by the 1st respondent by award dated 05.08.2002 by directing the petitioner management to reinstate the 2nd respondent herein with full backwages.

3. The learned counsel for petitioner submits that the Labour Court ought not to have entertained the Claim Petition which is hopelessly barred by time, that too after a period of 13 years. Further, in support of his submission, he also relied upon a Judgment of the Honble Apex Court reported in (2009) 13 SCC 746 (State of Karnataka and Another Vs. Ravi Kumar) wherein the Apex Court, while dealing with a stale claim of 14 years, has held that it is not possible to expect the Assistant Executive Engineer to prove, after 14 years, that the daily wager did not work or that he did not work for 240 days in a year or that the daily wager voluntarily left the work. Further, it has also been repeatedly held by the Apex Court that the stale claim should not be referred since the same has to be done within a reasonable period. In respect of the merits of the claim made by the 2nd respondent before the Labour Court, learned counsel for the petitioner has also taken support of the Judgment of this Court reported in 2002 (4) CTC 385 (L.Justine and Another Vs. The Registrar of Co-operative Societies and Others) wherein this Court has held that mere completion of 480 days of service cannot make employees permanent under the Permanency Act, 1981, when appointment itself is illegal and unauthorised, when a person is not appointed through the Employment Exchange by following the Recruitment Rules. On this basis also, the learned counsel appearing for the petitioner sought quashing of the impugned order passed by the Labour Court.

4. While rebutting the above submissions, learned counsel appearing for the 2ndrespondent submits that the petitioner had not even taken a plea of delay before the Labour Court and after allowing the Labour Court to pass an order by giving direction to the petitioner management to reinstate the 2ndrespondent, it is not open to the petitioner management to re-open the plea of delay before this Court under Article 226 of the Constitution of India. In her further submission, she urged that the 2nd respondent who was issued with a proper appointment order worked about for one year as a casual employee by selling kerosene to the card holders but, all of a sudden in August, 1997, he was refused employment by the petitioner management. Therefore, he was driven from pillar to post during the last 13 years in search of getting back of the employment. Therefore, there is a delay of 13 years in approaching the Labour Court. In any event, the petitioner management did not take up the issue of delay before the Labour Court and, therefore, it is not open to the petitioner to urge the point before this Court and on that basis prayed for dismissal of the Writ Petition.

5. Heard, the learned counsel on both sides.

6. Prim


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