IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED : 19.11.2020

CORAM

THE HON'BLE MR.JUSTICE P.VELMURUGAN

W.P.No. 26116 of 2004

and WPMP.No.31733 of 2004

1.S.Sengottaiyan

2.M.Gnanavel

3.T.S.Venugopal

..Petitioner

Vs

Managing Director,

Tamilnadu State Transport Corporation

(Coimbature Divn.I)Ltd.,

Coimbatore-43.

..Respondent

Prayer: Writ Petition is filed under Article 226 of Constitution

of India for writ of mandamus, directing the Respondent to

recover the Gratuity amount already paid, from the Petitioners

which were settled getting resignation in the cadre of Assistant

and to credit to the Gratuity account in the cadre of Junior

Superintendent/Welfare Inspector, and to confer all the

consequential benefits of settlement under Section 12(3) of the

Industrial Disputes Act entered in 1989 and 1998 by giving

weightage to the service.

For Petitioner :

Mr.P.Ganeshan

For M/s. S.Mani

For Respondents:

No Appearance

*****

O R D E R

Brief facts of the case is that the 1st Petioner had joined

as Conductor in Cheran Transport Corporation, redesignated as

Clerk, further redesignated as Junior Assistant. The 2nd & 3rd

Petitioners joined as Senior Clerk, redesignated as Junior

Assistant while the petitioners were working as Junior Assistant

in the erstwhile undivided Cheran Transport Corporation, they

were promoted as Assistant. Cheran Transport Corporation

underwent bifurcation and Jeeva Transport Corporation was formed

due to expansion of growth. When the Cheran Transport

Corporation was divided due to administrative extigencies, a

number of new posts were created. Options were asked for from

https://hcservices.ecourts.gov.in/hcservices/

the employees as to whether they want to remain in Cheran

Transport or to go to Jeeva Transport. According to the options

exercised, the personal division also took place. As a result of

the same, a number of posts particularly in the cadre of Junior

Superintendent became vacant. The Feeder Category for the post

of Junior Superintendent is Senior Assistant whereas all the

petitioners herein were only working as Assistant. As there were

a number of vacancies, the management did not want to go to open

market as there may not be sufficient hands with experience,

particularly when the corporation was in the infant state.

Considering maintenance, administration, development and growth,

the management promoted the Junior Superintendent, who were

working as Assistant bypassing intermediary post.

2. The Petitioners were asked to give resignation in the

post of Junior Superintendent/Welfare Inspector. The Petitioners

resigned on the Afternoon and joined in the new post of Junior

Superintendent/Welfare Inspector in the Forenoon, the very next

day, details of which are as follows:

Date of resignation

in the post

Assistant

Date of joining in

the post of Junior

Superintendent/Welfa

re Inspector

1st Petitioner

15.9.1981 AN

16.9.1981 FN

2nd Petitioner

30.6.1981 AN

01.7.1981 FN

3rd Petitioner

15.9.1981 AN

16.9.1981 FN

3. Thus, there were no break. In fact, in the order of

promotion itself, the management made it clear that if no

resignation is submitted, it will be presumed that the

petitioners did not accept and the promotion given will be

cancelled. So, there is no break in service and they have been

continuously working. Therefore, seeking to give effect to the

Government Order in Letter No. 31910/C1/91-2 Transport

Department, dated 23.09.1991 and consequential benefits under

Section 12(3) of Industrial Disputes Act, the present writ

petition is filed.

4. The learned counsel for the petitioners would submit

that only due to bifurcation, the petitioner was placed to the

Jeeva Transport Corporation, therefore, the service rendered by

the petitioner in Cheran Transport Corporation has to be

considered, but the responden