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2025 Supreme(Online)(Bom) 1412

HIGH COURT OF BOMBAY
S.G. Mehare, Shailesh P. Brahme, JJ
Arvind Bhaurao – Appellant
Versus
Union of India – Respondent
WRIT PETITION NO.12785 OF 2019



Advocates:
For the Appellants/Petitioners: Yashodeep Deshmukh, A.D. Kaware
For the Respondents: Manish N. Navandar

In cases of wrongful termination, while reinstatement is the norm, entitlement to back-wages is not automatic. The claimant must plead and prove they were not gainfully employed during the interim period; failure to raise or support this plea before the initial adjudicating authority justifies applying the 'no work no pay' rule.

Headnote:(A) Service Law - Back-wages - Doctrine of 'no work no pay' - Applicability - Reinstatement with continuity and back-wages is the normal rule in cases of wrongful termination; however, this is subject to the employee pleading or making a statement before the adjudicating authority that they were not gainfully employed during the relevant period. (Para 33)

(B) Burden of Proof - Initial burden lies on the employee to show absence of gainful employment; once this is established, the burden shifts to the employer to prove otherwise. The absence of such pleadings before the court of first instance warrants the application of the 'no work no pay' doctrine. (Para 33, 11)

Facts of the case:
A former employee of a transport organization challenged an order denying back-wages subsequent to a decision setting aside compulsory retirement. The primary issue concerned the application of the 'no work no pay' principle, with the employee alleging victimisation and the employer contending that the employee never attempted to resume duties or prove unemployment.

Findings of Court:
The court noted that the employee failed to produce evidence of any representation or attempt to resume service after the revocation of suspension. Evaluating the record, the court observed that no pleadings were made before the initial adjudicating body regarding the employee's financial state or gainful employment during the period of absence. Consequently, the court found no error in the application of the 'no work no pay' doctrine.

Issues: Whether the doctrine of 'no work no pay' is properly applied when an employee seeking back-wages fails to demonstrate, through pleading or evidence before the initial tribunal, that they were not gainfully employed during the period of termination.

Ratio Decidendi: While reinstatement is the general consequence of wrongful termination, back-wages are not automatic. The burden remains on the claimant to demonstrate that they remained unemployed during the contested period. In the absence of such pleadings or proof at the initial stage, the adjudicating authority is justified in denying back-wages based on the 'no work no pay' principle.

Result: Petition dismissed.

Table of Content
1. procedural context and factual history of the termination dispute. (Para 1 , 2 , 3 , 4)
2. parties' contentions regarding eligibility for back-wages upon reinstatement. (Para 5 , 6)
3. analysis of precedents governing the 'no work no pay' doctrine. (Para 7 , 8 , 9 , 10)
4. application of legal burden of proof for back-wages in absence of pleadings. (Para 11)
5. final order dismissing the petition based on lack of pleadings. (Para 12 , 13 , 14)

JUDGMENT :- (PER S.G. MEHARE, J.)

1. Rule. Rule made returnable forthwith. Heard finally with the consent of the parties.

2. The petitioner being a Shunter in railways has impugned the order partly of the learned Central Administrative Tribunal, Mumbai dated 23.09.2013 passed in Original Application No.202 of 2008 to the extent of not granting him back-wages by applying the doctrine of ‘no work no pay’.

3. The facts are not disputed. The petitioner was booked for duty at Mudkhed Station. However, before he reached there, another employee for discharging the same duty was available. Therefore, he left the station signing the register. On these allegations, the petitioner was suspended. The inquiry was initiated against him. The disciplinary authority had terminated him from services. The petitioner had impugned the said order. The Divisional Mechanical Engineer, Hyderabad, he allowed his appeal partly and converted his removal to compulsory retirement. He then preferred the revision before the Divisional Railway Manager (DRM). He also rejected it. Lastly, he filed the original application before the Central Administrative Tribunal by which the order of his compulsory retirement has been quashed and set aside. However, the learned Central Administrative Tribunal find it appropriate to apply the doctrine of ‘no work no pay’ and denied the back-wages.

4. In pursuance to the undisputed facts about quashing and setting aside the termination and revocation for compulsory retirement, a small question that has been raised is, whether in given circumstances, the doctrine of ‘no work no pay’ would apply to the case of the petitioner.

5. Learned counsel for the petitioner referring to the findings of the Central Administrative Tribunal has vehemently argued that the doctrine has been applied with predetermined mind. It was passing in the mind of the Presiding Officer of the Central Administrative Tribunal that no relief of back-wages should be granted to the petitioner. To bolster his arguments, he referred to the findings of the Central Administrative Tribunal about the confession that he did not sign the appearance register before returning to Purna and due to his failure, the goods train was detained and the blame for such acts were not rebutted. He would also refer to the findings in para 15, that since the applicant has admitted in the inquiry as also borne out by the Appellate order that he has not taken permission of the RSS at Mudkhed while finally leaving from Mudkhed to Purna, he is guilty of absconding in the sense that the Railway administration uses the term and to that extent the charges remains proved. He also referred to the findings of the Central Administrative Tribunal that since the petitioner has not worked for the entire period from 22.10.1999 to 31.08.2008, the principle of ‘no work no pay’ would apply. He has strenuously argued that the petitioner is a Class-IV and low paid employee. His back-wages are not heavily burdened the employer. The employer never denied that after the suspension was revoked, he deliberately did not join. On the contrary, the petitioner was ever ready to join and discharge the duties. However, the employer did not allow him. He further submitted that there was nothing on record to establish that during the period of his not discharging the services, he was in another employment. The employer also did not raise any objection as such in the entire petition. Therefore, the doctrine of ‘no work no pay’ would not have been applied. To bolster

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