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1979 Supreme(MP) 139

High Court Of Madhya Pradesh
G. P. Singh, C. J. and C. P. Sen, J.
Sunil Kumar and others
v.
M. P. Road Transport Corporation, Bairagarh and others
M. P. No. 319 of 1979
Decided On : 19-9-1979

Advocates Appeared:
Gulab Gupta for petitioner;
V. S. Dabir for respondent No. 1.

Headnote:(1) Industrial Court (Formation of Benches) Rules. 1964 (MP)-R. 7-before referring a question of law the trihul1al deciding all other points in controvevey -after getting the opinion the Tribunal deciding the case without hearing the party-order cannot be, held invalid only because the parties were not heard before passing of the order.

       (2) Practice-reference to a larger bench- parties when entitled to be heard by Single Bench after receiving the opinion of larger bench.

       The Single Judge of the Industrial Court decided all the points raised by the parties, and on one question of law referred the case to a larger Bench. After receiving the opinion of the larger Bench, the Single Judge decided the point in question according to the opinion of the larger Bench without hearing the parties. It was contended that the order passed without hearing the parties was void.

       Held: The fact that no hearing was given does not invalidate the order. When the Member referred the question to a larger Bench all other questions raised by the parties were decided. The fact that a new point not raised in the revision petitions filed by the parties and was also not argued the Court could not anticipate that the petitioner had something new to say. The order cannot be held invalid simply on the ground that the Member Judge should have heard the petitioners before passing the order. [Para 2

       (3) Industrial Disputes Act, 1947-S.25-F-retrenchment-discharge for unsatisfactory work-is not retrenchment-meaning of retrenchment.

       The dischange for unsatisfactory work or loss of confidence under Standard Order 11(b) is not retrenchment attracting application of section 25-F of the Industrial Disputes Act. A termination the fall within the definition of retrenchment must be discharge of surplus labour or staff by the employer. AIR 1957 SC 121, relied on. [Para 3

       The order of termination in the present case was held to be valid by the Industrial Court on the ground that it amounted to discharge simpliciter for unsatisfactory work resulting in loss of confidence. Such an order is not retrenchment. Case law discussed. [Para 6

       (4) Industrial Law-Standing Orders 11 & 12-nature of.

       Standing Orders 11 & 12 confer independent powers on the employer and neither should be so construed as to emasculate the other or render it ineffective and therefore bona fide order of termination which is not founded on misconduct and is based on unsatisfactory service of the employee cannot be held to be punitive in nature and beyond the scope of Standing Order 11. [Para 7

       (5) Industrial Relation Act, 1960 (MP)-S. 66-question of law-what is.

       Where an inference is drawn on application of wrong principles, it is not a question of fact; and the Industrial Court could differ form the Labour Court if it found that the legal principles were not correctly applied. [Para 8

       

OEDRR

G.P. Singh, C. J.-

l. The petitioner No. 1 Sunil Kumar Azmi was employed as Lower Division Clerk and petitioners 2 and 3, namely Hazarilal and Manbahadur, as Security Guards, by the M. P. Road Transport Corporation. Their services were terminated by orders passed on 21st November 1974 under Regulation 69 of the Service Regulations, 1964; read with the Standard Standing Order 11. The petitioners challenged the orders terminating their service by separate applications to the Labour Court. All these applications were consolidated and decided by the Labour Court by an order dated 14th December 1977. The Labour Court held that the termination was based on misconduct and as there was no regular domestic enquiry held before the orders of termination were passed, the orders were invalid. The Labour Court directed reinstatement of all the petitioners but did not allow back wages. The Corporation went up in revision to the Industrial Court. The Industrial Court, by its order dated 6th July 1978, held that the termination was based on unsatisfactory work and loss of confidence although no such reasons were recorded at the time of passing of the orders of termination and their communication to the petitioners. The Industrial Court did not agree with the Labour Court that the orders of termination were founded on misconduct. However, the learned Member-Judge of the Industrial Court who passed the orders on 6th July 1978; had some doubts on the question whether the omission to give reasons as required by Standard Standing Order 11(b) could be cured by disclosing the reasons in the written statement before the Labour Court. The learned Member, therefore, formulated a question on this point and referred it for decision to a larger Bench. The question so referred was heard by the President and the Member-Judge who, by their order dated 2nd February 1978, decided that the omission to give reasons as required by Standard Standing Order 11 (b) can be cured by disclosing the reasons in the written statement and that the Labour Court can examine whether the reasons so given justify the order of termination. Thereafter the revisions filed by the Corporation were allowed by the Member-Judge on 15th February 1979 holding the orders of termination as valid. It may here be mentioned that the petitioners had also filed revisions against the disallowance of back wages by the Labour Court. These revisions were dismissed by the same order. The petitioners then filed this petition under Article 226 of the Constitution challenging the order dated 15th February 1979 passed by the Industrial Court.

2. The first contention raised by the learned counsel for the petitioners is that the Member-Judge who decided the revisions did not give any further hearing to the petitioners after the President and the Member Judge decided the question referred by the Member-Judge by their order dated 2nd February 1979. It is true that no further hearing as contended above was given to the petitioners or the Corporation by the Member• Judge, but this omission in our opinion does not invalidate the final order of the Industrial Court passed by the Member-Judge. In the order dated 6th July 1978 by which the Member-Judge had referred a question to a larger Bench he had decided all other questions arising in the revisions and argued before it. The learned counsel for the petitioners could not point out any question which had remained undecided by the order dated 6th July 1978 excepting the question which was referred to be decided by the Bench. The learned counsel for the petitioners, however, submitted that had the Member-Judge given a further hearing before passing the final order, the petitioners could have raised a new point that the orders of termination were invalid because of non-payment of retrenchment compensation as required by section 25-F of the Industrial Disputes Act, 1947. Now, this point admittedly was not raised in the revisions filed by the Corporation or the revi






















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