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2026 Supreme(Mad) 134

IN THE HIGH COURT OF JUDICATURE AT MADRAS
S.M. Subramaniam, C. Kumarappan, JJ.
The Management, L.G. Balakrishnan and Brothers Limited - Appellant
Versus
Coimbatore District Secretary - Respondent
W.A.Nos.3398, 3399 and 3544 of 2025 and C.M.P.No.27714 of 2025
Decided On : 19-02-2026

Advocates Appeared:
For the Appellant : Mr.S.Ravindran, Senior Counsel For Mr.S.Sellapillai Kumar
For the Respondent: Mr.S.Kumaraswamy

Judicial review of administrative transfers in employment requires proof of mala fide or jurisdictional error, reaffirming adherence to contractual terms unless misconduct is established.

Headnote:(A) Industrial Disputes Act, 1947 - Section 2(ra) - Transfer of Workmen - The Management's transfer order from Coimbatore to Pant Nagar deemed administrative, not mala fide; Union's claim of illegality rejected as transfer within contractual terms as per appointment order clause 5 - Certification Standing Order clause lacks binding force in absence of specific incorporation - Absenteeism during litigation addressed, emphasizing no prejudice claims substantiated. (Paras 6-16)

(B) Administrative Transfers - Judicial intervention requires proof of mala fide or jurisdictional fault; norms governing transfers are well established, emphasizing the unpunishable nature of administrative transfers unless extreme misconduct evidenced. (Paras 10-15)

Facts of the case:
The Industrial dispute arose from the Management’s transfer of Workmen from Coimbatore to Pant Nagar, alleged by the Union to lack jurisdiction and be potentially victimizing due to distance. Issues arose from the legality of transfers under the Certified Standing Orders and transfers conducted without explicit incorporation in work agreements.

Findings of Court:
The Court found no evidence of mala fide intent nor procedural violations; upheld administrative grounds for transfer based on contractual adherence.

Issues: Whether the transfer was malafide or lacked jurisdiction.

Ratio Decidendi: The court concluded that administrative transfers, if within the scope of contractual obligations, do not invite judicial scrutiny unless misconduct is clearly proven.

Result: Appeals allowed; Labour Court award and Writ Order set aside.

Table of Content
1. the case involves competing writ petitions by both union and management. (Para 1 , 2 , 3)
2. union argues transfer was unlawful and mala fide. (Para 4)
3. management defends transfer as administrative necessity. (Para 5)
4. court analyzes appropriateness of administrative transfer. (Para 6 , 7 , 8)
5. court addresses absenteeism during dispute pendency. (Para 9 , 10)
6. court concludes transfer not punitive, addresses legal thresholds. (Para 12 , 13 , 14 , 15)
7. final ruling indicates set aside of lower court decisions. (Para 16)

JUDGMENT :

S.M.SUBRAMANIAM, J.

The present Inter Court Appeals under Clause 15 of the Letters Patent have been instituted both by the Writ Petitioner / Union and the respondent / Management, challenging the common Writ Order dated 17.10.2025 passed in W.P.Nos.28283 and 25963 of 2023.

2. Since both parties to the industrial dispute are not satisfied with the award of the Principal Labour Court (FAC), both of them preferred Writ Petitions. W.P.No.28283 of 2023 has been instituted by the Management, L.G.Balakrishnan and Brothers Limited, challenging the award of the Principal Labour Court (FAC), Coimbatore dated 10.05.2023 in I.D.No.66 of 2019. Similarly, W.P.No.25963 of 2023 has been instituted by Uzhaipor Urimai Iyakkam (Union), representing Workmen, challenging the very same award passed in I.D.No.66 of 2019.

3. Writ Court considered the issues, relating to transfer raised in the industrial dispute and disposed of Writ Petitions by way of passing a common order, holding that the transfer order, which is under challenge in the industrial dispute is not a mala fide one. However, due to efflux of time and long pendency of the case, the Writ Court declined to interfere with the order of transfer and to grant back wages. Since the order of transfer has not been interfered with, Union, viz., Uzhaipor Urimai Iyakkam, representing Workmen preferred W.A.No.3544 of 2025. Similarly, aggrieved by the award of the Labour Court in respect of non-validating the transfer and the grant of 50% back wages to Workmen, the Management too preferred W.A.Nos.3398 and 3399 of 2025. Thus, both Intra Court Appeals have been heard together and the following orders are passed.

4. Submissions of Union:

4.1. The subject issue relates to transfer of Workmen from Coimbatore Unit, Tamil Nadu to Pant Nagar Factory at the State of Uttarakhand. Mr.Kumaraswamy, learned counsel for Workmen would mainly contend that the transfer order, transferring Workmen from the State of Tamil Nadu to the State of Uttarakhand is without jurisdiction and illegal. He would raise an allegation of mala fide on the ground that the order of transfer is drafted in such a manner, incorporating the term "Congratulations", which would be sufficient that the Management victimized Workmen by transferring them to a far off place. He would rely on the Certified Standing Order dated 30.11.1998, wherein Clause-13 provides ‘Transfers’. However, transfer has not been incorporated in the Item in the Schedule to the Certified Standing Order and therefore, the impugned transfer is a nullity. In the absence of incorporating the transfer in Item in the Schedule to Certified Standing Order, a Clause incorporated in the Standing Order would be insufficient to exercise the powers of transfer by the Management. Thus, the finding of the Writ Court is incorrect to the said extent. He would rely on several judgments to establish that if Workmen are transferred to a far off place, it will result in hardship. Even as per Clause-13 of the Certified Standing Order, transfer may be effected from one Section or Department to another. Further, it states that transfers will be subject to the individual contract between the Management and the Workers and that being the scope of transfer under Clause 13 of Certified Standing Order, the transfer of Workmen to Pant Nagar Unit, which was opened in the year 2006 after appointment of Workmen is invalid.

4.2.Mr.Kumaraswamy, learned counsel wou

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