IN THE HIGH COURT OF JUDICATURE AT MADRAS
M. DHANDAPANI, J.
The Management of M/s. Vee Jay Tool and Die Pvt. Ltd., Rep. by its Managing Director – Petitioner
Versus
The Presiding Officer, Labour Court, Coimbatore and Ors. – Respondents
W.P.Nos.7467 and 7448 of 2011 and 27447 of 2012 And M.P.Nos.1 and 1 of 2011 and 1 of 2012
Decided On : 03-02-2025
ORDER :
(M. DHANDAPANI, J.)
The writ petitions have been filed seeking issuance of Writ of Certiorari seeking to quash the order dated 08.01.2010 in ID Nos.223 to 229 of 2004, 427 of 2003 and 427 of 2003 respectively.
2. Since the issue involved in these writ petitions are interrelated, they are heard together and disposed of by way of a common order.
For brevity, the petitioner in W.P.Nos.7467 and 7448 of 2011 and the second respondent in W.P.No.27447 of 2012 would be hereinafter referred to as 'Management'. The respondents 2 to 8 in W.P.No.7467 of 2011, the second respondent in W.P.No.7448 of 2011 and the petitioner in W.P.No.27447 of 2012 would be hereinafter referred to as 'Employees'.
3.The case of the Management is that the Management is engaged in the manufacture of plastic injection moulding, engineering component and undertakes job work for twisting yarns. Since its order position used to fluctuate depending on the market conditions, the petitioner used to engage casual labour. As the casual labourers are covered under the provisions of EPF & Miscellaneous Provision Act and ESI Act, even if they had worked for a day, the Management used to ensure compliance of the said enactment to the said casual labourer. The workmen of the Management are members of Kovai Mavatta Podhu Thozhilalar Munnettra Sangam (LPF) which was recognized by the petitioner.
4.The further case of the Management is that the Employees are the members of LPF and the said union after issuing charter of demands in the year 2000, entered into a settlement under Section 12 (3) of the ID Act on 04.08.2000. Clause 7 of the settlement provided that the Employees would be engaged as an apprentice for a period of three years and their emoluments were also fixed. The Employees while engaged as apprentice were provided with identity card and during the period of training the Employees were given extensive training in all the departments of the Management. On completion of apprenticeship training, they returned the card. When the period of apprenticeship training came to an end, there was no need for additional manpower in the Management and therefore they were not given further training or probationary employment in the Management.
5.The further case of the Management is that the Employees challenged their cessation of apprenticeship by raising industrial disputes before the Labour Court. The Labour Court, in I.D.No.227 of 2004 directed the Management to pay a sum of Rs.50,000/- to the second petitioner therein/ legal representative of the deceased first petitioner therein who is one of the Employee; and in other I.Ds., directed the Management to reinstate the Employees in service with continuity of service and to pay a sum of Rs.25,000/- each as backwages. Aggrieved by the same, the Management has filed
6.Since full backwages was not granted and other attendant and consequential benefits is vitiated, one of the Employees/ petitioner in ID No.427 of 2003 has filed W.P.No.27447 of 2012.
7.The learned counsel appearing for the Management submitted that the Employees are not permanent employees and they were engaged as casual labourers. The learned counsel further submitted that even during the training period they were not treated as permanent employees and they were treated as casual labourers, however, they raised industrial disputes before the Labour Court alleging that they have worked as regular workers for more than 240 days in a calender year, however, they were terminated and the Labour Court instead of dismissing the said industrial disputes, ordered for reinstatement, which is not sustainable one.
8.The learned Senior Counsel appearing for one of the Employees/ petitioner in W.P.No.27447 of 2012 [ID No.427 of 2003] submitted that the Employee worked in the Management for more than ten years. Even as per Tamil Nadu Industrial Establishments (Conferment of Permanent Status to Workmen) Act 1981, if a person is in continuous service for 480 days in two Calender years,
Reinstatement with back wages is not automatic; compensation may be more appropriate in cases of significant delay since termination.
The court has the discretion to fix fair compensation in industrial dispute cases, taking into account the circumstances of the employment and termination.
Workers employed beyond 240 days are entitled to compensation for unfair termination under the Industrial Disputes Act, despite being classified as casual laborers.
However, wherever it is found that similarly situated workmen are regularized by the employer itself under some scheme or otherwise and the workmen in question who have approached Industrial/Labour C....
Termination of casual workers constituted illegal retrenchment under Section 25F due to failure to provide notice and compensation; reinstatement replaced with monetary compensation due to the delay ....
The main legal point established in the judgment is that in cases of illegal termination, reinstatement with backwages is the appropriate relief, considering the sustained unemployment of the employe....
The main legal point established in the judgment is that the termination of workmen must comply with the provisions of the Industrial Disputes Act, and violations of Sections 25G and 25H can lead to ....
Conferment of permanency entitles workman to permanent salary scale despite company's defunct status.
Once violation of Sections 25(F), (G) and (H) of the Industrial Disputes Act is established, reinstatement should follow, as per the decision in Gauri Shanker vs. State of Rajasthan.
Reinstatement following illegal termination does not guarantee back wages; compensation may be awarded based on service duration and other considerations.
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