2021 Supreme(P&H) 106

IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
ANIL KSHETARPAL, J.
Sharma Ram - Petitioner
Versus
Presiding Officer, Industrial Tribunal, Patiala and others. – Respondents
CWP No.4342 of 2020(O&M)
Decided On : 01-03-2021

Headnote:

Industrial Dispute - Compensation - State Financial Corporations Act, 1951 - Section 10 - Section 2(k) - Compensation awarded in lieu of reinstatement - Workmen claimed reinstatement or compensation for illegal termination - Corporation challenged the correctness of the award - Court held that the workmen were engaged by the Corporation and were entitled to compensation - Court rejected the argument of delay and latches - Court held that the industrial dispute was not non-existent - Court held that the workmen were not entitled to reinstatement due to the nature of their work and the time elapsed since termination - Court awarded compensation at the rate of Rs.65,000 per year with a maximum cap of Rs.5,00,000

Fact of the Case:

The workmen filed writ petitions claiming reinstatement or compensation for illegal termination of their services by the Corporation. The Corporation challenged the correctness of the award passed by the Tribunal.

Finding of the Court:

The Court found that the workmen were engaged by the Corporation and were entitled to compensation. The Court rejected the argument of delay and latches, holding that the industrial dispute was not non-existent. The Court held that the workmen were not entitled to reinstatement due to the nature of their work and the time elapsed since termination. The Court awarded compensation at the rate of Rs.65,000 per year with a maximum cap of Rs.5,00,000.

Issues: The issues involved the entitlement of the workmen to reinstatement or compensation for illegal termination, the argument of delay and latches, and the appropriate amount of compensation.

Ratio Decidendi: The Court held that the workmen were entitled to compensation as they were engaged by the Corporation. The Court rejected the argument of delay and latches, finding that the industrial dispute was not non-existent. The Court held that the workmen were not entitled to reinstatement due to the nature of their work and the time elapsed since termination. The Court awarded compensation at the rate of Rs.65,000 per year with a maximum cap of Rs.5,00,000.

Final Decision: The writ petitions were disposed of with the direction that the petitioners shall be entitled to compensation at the rate of Rs.65,000 per year, subject to a maximum cap of Rs.5,00,000.