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2014 Supreme(Online)(SC) 159

SUPREME COURT
Gyan Sudha Misra, *V. Gopala Gowda, JJ.
Bhuvnesh Kumar Dwivedi v. M/s. Hindalco Industries Ltd.
Civil Misc. Writ Petition No. 8784 of 2002|Civil Misc. Review / Recall Application No. 118006 of 2011|Case no. 59 of 1999



Advocates:
For the Appellants/Petitioners: Mr. Abdhesh Chaudhary
For the Respondents: Mr. Chander Udai Singh

The court held that the termination of the workman was illegal as it violated mandatory retrenchment procedures, entitling him to reinstatement with full back wages.

Headnote:(A) Industrial Disputes Act, 1947 - Section 2(oo)(bb), Section 6-N, Section 25B - The High Court set aside the Labour Court's award for reinstatement based on claims of temporary employment. The appellant, a continuous employee for six years, was wrongfully terminated without due process. (Paras 3-34)

(B) Judicial Review - The High Court's role is limited; it cannot review findings of fact unless shown to be perverse or illegal. A finding based on evidence cannot be substituted lightly. (Paras 10-36)

Facts of the case:
The appellant worked continuously as a Labour Supervisor from 1992 until termination in 1998, which was claimed to be illegal due to non-compliance with statutory retrenchment requirements under the U.P. Act. (Paras 3-5)

Findings of Court:
The terminations were wrongful due to lack of statutory compliance; the appellant is entitled to reinstatement with full back wages and benefits. (Paras 29-36)

Issues: The core issues included the interpretation of retrenchment provisions and compliance with the mandatory notice requirements. (Paras 15-20)

Ratio Decidendi: Continuous service entitles the appellant to statutory protections against retrenchment, which were not adhered to. The High Court exceeded its jurisdiction by altering the Labour Court's factual findings. (Paras 26-34)

Result: Appeals allowed with reinstatement and full back wages.

Table of Content
1. leave granted for appeals (Para 2)
2. background of appellant's employment and termination (Para 3 , 4 , 5 , 6)
3. employer's arguments against the labour court's findings (Para 7 , 8)
4. appellant's rebuttal to employer's arguments (Para 9 , 10 , 11 , 12)
5. respondent's stance on employee's status and compensation (Para 13 , 14)
6. points of law for consideration (Para 15 , 16 , 17)
7. discussion on high court's jurisdiction and precedents (Para 18 , 19 , 20 , 21)
8. interpretation of u.p. i.d. act concerning benefits and unfair labor practices (Para 22 , 23 , 24)
9. criteria for defining retrenchment and requirements under u.p. i.d. act (Para 25 , 26 , 27)
10. final adjudication on reinstatement and compensation rights (Para 28 , 29 , 30 , 32 , 33 , 34 , 35 , 36)

1. Leave granted.

2. These appeals are filed against the final judgment and order dated 10.03.2011 passed by the High Court of Judicature at Allahabad in Civil Misc. Writ Petition No. 8784 of 2002 and also against judgment and order dated 12.10.2011 passed by the High Court of Allahabad in Civil Misc. Review / Recall Application No. 118006 of 2011 by allowing the writ petition filed by the respondent - employer and setting aside the award passed by the Labour Court which substituted the same by issuing direction to the respondent - employer (for short "the employer") to pay a sum of Rs.1,00,000/- as damages to the appellant - workman. The direction issued by the High Court in its judgment further states that the amount shall either be paid through draft to the workman or deposited before the Labour Court within three months for immediate payment to the workman. In case of default, 12% interest per annum shall be payable on Rs.1,00,000/- after three months till actual payment / deposit / realisation.

3. However, the backdrop of industrial dispute between the parties is briefly stated hereunder to find out whether the appellant is entitled for the relief as prayed in these appeals.
It is the case of the appellant - workman that he was appointed as Labour Supervisor in the employer's factory on 30.12.1992 and he worked continuously in terms of S.25B of the Industrial Disputes Act, 1947 (for short "the I.D. Act") in the said post till 28.7.1998 - the day on which his services were terminated. It is the case of the appellant - workman that he has worked for six calendar years from the date of his appointment till the termination of his service and he has rendered more than 240 days of continuous service in every calendar year before his termination. The respondent - employer terminated the services of appellant - workman on 27.7.1998 as per practice with the reason 'sanction expired'. The respondent - employer neither paid retrenchment compensation nor issued any notice or paid wages in lieu of the same to the appellant - workman as mandated under S.6N of the U.P. Industrial Disputes Act (for short "the U.P. I.D. Act"). The respondent - employer engaged the appellant - workman for work against a post which was permanent in nature but his appointment was made only for a temporary period from 1992 to 1998 with oblique motive to deprive his statutory rights. At the end of every working year, the workman was handed over a receipt of 'relieved from work' and after 4-6 days, he was again engaged for three or six months but without proper procedure and in this manner, he was continuously made to work for full one year and each time the annual increase in wages was shown in the fresh appointment letter. During the entire period of service of the appellant - workman with the respondent - employer, the management followed the process of annually terminating him from service and again reappointing him in the same post by assigning the same Badge No., ID No. in the same department of Construction Division with the marginal increase of salary and dearness allowance per month.

4. It is the further case of the appellant - workman that during the course of his employment wit







































































































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