2008 Supreme(Ori) 771
IN THE HIGH COURT OF ORISSA
B.S. Chauhan, B.N. Mahapatra, JJ.
ORISSA AGRO INDUSTRIES CORPORATION LTD. - APPELLANT
Versus
THE PRESIDING OFFICER LABOUR COURT AND ANOTHER - RESPONDENT
W.A. No. 80 of 2008
Decided On : 08-09-2008
N.K. Mishra, P.K. Sahoo, D.K. Pani and A.K. Ray, for the Appellant; S. Mishra, G. Tripathy and S.K. Swain, for the Respondent
The interpretation of 'full wages last drawn' under Section 17-B of the Industrial Disputes Act and the court's power to award more than what is provided under the Act in the interest of justice.
Headnote:
Industrial Disputes Act - Payment to Workmen - Section 17-B
Fact of the Case:
The workmen's services were terminated, leading to an industrial dispute. The Labour Court made an award directing reinstatement without back wages. The employer filed a writ petition challenging the award, and an interim order was passed to make payment to the workmen in compliance with Section 17-B of the Industrial Disputes Act.
Finding of the Court:
The court rejected the employer's argument that the workmen should only receive wages for the days worked, emphasizing the provisions of Section 17-B and the need to provide subsistence allowance to the workmen during the pendency of the proceedings.
Issues: Interpretation of Section 17-B of the Industrial Disputes Act, applicability of subsistence allowance, and the court's power to award more than what is provided under Section 17-B.
Ratio Decidendi: The court emphasized that 'full wages last drawn' under Section 17-B means the wages drawn at the time of termination, not what the workmen could have been getting on the date of the award. The court also highlighted the need to provide subsistence allowance to prevent hardship to the workmen and their families.
Final Decision: The appeal lacked merit and was dismissed.
JUDGMENT :
B.S. Chauhan, C.J. - This writ appeal has been filed against the judgment and order dated 28.3.2008 passed by the learned Single Judge by which the direction was given to make payment to the workmen in view of the provisions of Section 17- B of the Industrial Disputes Act, 1947 ( hereinafter called 'the Act') ' Rs. 450/ - per month till the disposal of the writ petition.
2. The facts and circumstances giving rise to this case are that the workmen were engaged on casual basis in the Implement Production Unit of the Appellant whose services had been terminated with effect from 18.5.1990. They raised Industrial dispute and the appropriate court made a reference on 17.9.1993 to the Labour Court as to whether their services were terminated in accordance with law. The Labour Court made the award on 21.12.2004 holding that the termination was bad and therefore the employer-appellant was directed to reinstate them without any back wages.
3. Being aggrieved, the Appellant filed a writ petition challenging the said award. The writ petition has been entertained and the same is still pending. Further interim order has been passed to make the payment to the said workmen in compliance with the provisions of Section 17-8 of the Act, and the learned Single Judge rejected the case of the Appellant that the said workmen had not worked for the whole month, their services had been terminated at the midst of the month i.e. on 18.5.1990 and therefore, they can have the wage only for the said period i.e. for eighteen days and not for the whole month. Therefore, the said five workmen had been held to get Rs. 459/ - per month as interim relief. The said amount had been calculated taking into consideration that the daily wages of the employee had been ' Rs. 15/ - per day on the date of termination of their services.
4. Learned Senior Counsel for the Appellant Shri N.K. Mishra has submitted that such direction could:not have been issued by the learned Single Judge for the reason that in view of the provisions of Section 2(aaa) of the Act the average pay and Section 2(rr) had to be taken into consideration and the interim award had been made notwithstanding their lack of engagement during the entire month at any time whatsoever. The employer has been unnecessarily burdened.
5. On the other hand, Shri Somanath Mishra, learned Counsel for the Respondent-workmen has vehemently opposed the appeal contending that the learned Single Judge could have granted minimum wages prevailing today, but it has not been asked for. The appeal lacks merit and is liable to be dismissed.
6. We have considered the rival submissions made by the learned Counsel for the parties and perused the record.
7. The service of the workmen were terminated on 18.5.1990, reference was made after three years vide order dated 17.9.1993 and the award was made after 14 1/2 years of the date of termination on 21.12.2004.
8. In ordinary circumstances, in other cases the Writ Court has the power to grant interim relief even to the full extent if the facts involved in that case so warrant. Section 17-B of Act had been carved out by the Legislature that delay in execution of the award causes hardship to the workman concerned. It was thus suggested that payment of wages last drawn by the workman concerned, under certain conditions, are to be paid from the date of award till the case is finally decided by the Court. In case the Writ Court set aside the award and in the meanwhile the workmen gets full current wages, it would not be Possible for the employer to recover the same. Nor it is permissible to recover the same for the reason that the amount is paid as the subsistence allowance. However, in order to save the said workmen and his family members from starvation, some subsistence allowance was to be paid and keeping these things in mind, the provisions of Section 17-B provided that "full wages drawn" on the date of termination would be paid to the workmen. The term 'full wage last drawn' had be