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1990 Supreme(SC) 310

SUPREME COURT OF INDIA
SABYASACHI MUKHARJI, CJI., B.C. RAY, M.H. KANIA, K.N. SAIKIA AND S.C. AGRAWAL, JJ.
Civil Appeal Nos. 3241-48 of 1981{From the Judgment and Order dated July 20, 1983 of the Punjab and Haryana High Court in C.W.P. Nos. 469, 748, 750, 751, 752 and 753 of 1981}
PUNJAB LAND DEVELOPMENT AND RECLAMATION CORPORATION LTD., CHANDIGARH
Versus
PRESIDING OFFICER, LABOUR COURT, CHANDIGARH AND OTHERS
And
Civil Appeal No. 686(NL) of 1982
DIVISIONAL CONTROLLER, MAHARASHTRA STATE ROAD TRANSPORT CORPORATION, AMRAVATI
Versus
CHANDRASHEKHAR MARIBHAU DESHMUKH AND ANOTHER
And
Civil Appeal No. 1817 of 1982
REGIONAL MANAGER (WEST ZONE) NOW KNOWN AS KANPUR REGION, BANK OF BARODA, REGIONAL OFFICE, LUCKNOW
Versus
SECRETARY, U.P. BANK EMPLOYEES UNION, C/O BANK OF BARODA, LATOUCHE ROAD, KANPUR
And
Civil Appeal No. 1898 of 1982
MANAGEMENT OF BIHAR UDYOG
Versus
LABOUR COURT, RANCHI AND OTHERS
And
Civil Appeal No. 3261 of 1982
MAHARASHTRA STATE ROAD TRANSPORT CORPORATION
Versus
NAMDEO AND OTHERS
And
Civil Appeal No. 3025 of 1990
DELHI TRANSPORT CORPORATION, NEW DELHI
Versus
SECRETARY (LABOUR), DELHI ADMINISTRATION, DELHI AND OTHERS
And
Civil Appeal No. 885 of 1980
WORKMEN EMPLOYED BY M/S LARSEN AND TOUBRO LTD., AND OTHERS
Versus
LARSEN AND TOUBRO LTD.
And
Civil Appeal No. 1866 of 1982
MANAGEMENT OF N.G.E.F. LTD.
Versus
PRESIDING OFFICER AND ANOTHER
With
Civil Appeal No. 1868 of 1982
GENERAL MANAGER, GOVERNMENT ELECTRIC FACTORY (NOW KARNATAKA VIDYUT KARKHANA LTD.) MYSORE ROAD, BANGALORE
Versus
MOHAMED ISSAQ
And
Civil Appeal No. 8456 of 1983
MAHARASHTRA STATE ROAD TRANSPORT CORPORATION, THROUGH ITS DIVISIONAL CONTROLLER, NANDED DIVISION, NANDED, MAHARASHTRA
Versus
TULSIRAM NARSINGHRAO MEHATRA, UDGIR, DISTRICT USMANBAD
And
Civil Appeal No. 10828 of 1983
MANAGEMENT OF RUNGTA COLLIERY
Versus
KESHARDEO RUNGTA AND ANOTHER
Civil Appeal Nos. 885 of 1980, 3241-48 of 1981, 686(NL), 1817, 1898, 3261, 1866 and 1868 of 1982, 8456 and 10828 of 1983 and 3025 of 1990, decided on May 4, 1990
Advocates appeared :
B.N. Singhvi, V.A. Bobde, M.K. Ramamurthy, N.B. Shetye, K.K. Venugopal, Dr Anand Prakash, S.S. Javali, Senior Advocates (H.S. Gill, Brij Bhushan, M.G. Ramachandran, M.C. Dhingra, A.K. Sanghi, U.A. Rana, B.R. Agarwala, R.C. Pathak, Naresh Mathur, S.K. Sajwan, Baby Lal, Praveen Kumar, B.B. Singh, Vineet Kumar, B.D. Ahmed, R.S. Hegde, Parijat Singh, Ms Jayshree Wad, S. Balakrishanan, Janani, Ms Urmila Kapoor, T.T. Kunhikannan, H.K. Puri, S. Srinivasan, Ms M. Karanjawala, Vijay Kumar Verma, Ashok Grover, V.N. Ganpule, M.A. Gagrat, Ms P.S. Shorff, Anil Gupta, R.A. Gupta, A.K. Ghosh, S. Mandal, Ranjit Kumar, M. Veerappa, Girish Chandra, Dr Meerea Aggarwal, A.K. Srivastava, K.R. Nambiar, A.G. Ratnaparkhi, R. Satish, P.H. Parekh, S.A. Shorff and K.V. Sree Kumar, Advocates, with them) for the appearing parties.

Advocates:
A.G.Ratnaparkhi, A.K.GHOSH, A.K.Sanghi, A.K.SRIVASTAVA, ANAND PARKASH, ANIL GUPTA, ASHOK GROVER, B.B.Singh, B.D.AHMED, B.N.SINGHVI, B.R.AGRAWAL, BABY LAL, BRIJ BHUSHAN SHARMA, GIRISH CHANDRA, H.K.PURI, H.S.GILL, JANANI, JAYSHRI VAD, K.K.VENUGOPAL, K.R.NAMBIAR, K.V.SRI KUMAR, M.A.GAGRAT, M.C.DHINGRA, M.G.RAMA CHANDRA RAO, M.K.RAMAMURTHY, M.KARANJAVALA, M.VIRAPPA, MIRA AGRAWAL, N.B.SHETYE, NARESH MATHUR, P.H.Parekh, P.S.SHROFF, PARIJAT SINHA, PRAVIN KUMAR, R.A.GUPTA, R.C.PATHAK, R.S.HEGDE, R.SATISH, RANJIT GHOSAL, S.A.SHROFF, S.BALAKRISHNAN, S.K.SAJVAN, S.MANDAL, S.S.JAVALI, S.SRINIVASA VARMA, T.T.KUNHIKANNAN, U.A.RAMA, URMILA KAPUR, V.A.BOBDE, V.N.GANPULE, VIJAY VERMA, VINIT KUMAR

Headnote:

Industrial Disputes Act, 1947 - Section 2(oo) and 25-F - State Transport Employees Service Regulations of Corporation - Regulation 44(b) – Employment and Service matter – Workmen - Terminate for service - Without payment of retrenchment compensation – Award - Challenging award of Labour Court holding that respondents were entitled to reinstatement with back wages except who was to get wages with benefits of continuity of service - Respondents were workmen under the management of the Corporation and their services were terminated on ground that Chairman had no power to appoint them - Labour Court in its award held that their services were terminated illegally without payment of retrenchment compensation under Act, 1947, and that they were entitled to reinstatement - Whether on a proper construction of definition of "retrenchment" in Section 2(oo) of Act, it means termination by employer of service of a workman as surplus labour for any reason whatsoever, or it means termination by employer of service of a workman for any reason whatsoever, otherwise than as a punishment inflicted by way of disciplinary action, and those expressly excluded by the definition – Held, Definition in Section 2(oo) of Act, we hold that "retrenchment" means the termination by employer of service of a workman for any reason whatsoever except those expressly excluded in section - Legal act applying a legal norm may be performed in such a way that it conforms (a) with the one or other of different meanings of legal norm, (b) with will of the norm creating authority that is to be determined somehow, (c) with expression which the norm-creating authority has chosen, (d) with one or other of contradictory norms; or (e) the concrete case to which the two contradictory norms refer may be decided under the assumption that the two contradictory norms annul each other - Direction that two workmen involved in this appeal be paid compensation of Rs 1,25,000 (Rupees one lakh twenty-five thousand) each in full and final settlement of all claims including that of reinstatement – Appeal disposed of

Judgment

K.N. SAIKIA, J.- This analogous cluster of seventeen appeals by special leave, and a special leave petition involves a common question of law though they arise out of the following respective facts:

CA. Nos. 3241-3248 of 1981

These eight appeals by the Land Development and Reclamation Corporation, Chandigarh are from the judgment and order of the Punjab and Haryana High Court dismissing its writ petitions challenging the award dated August 2, 1980 of the Labour Court, Chandigarh holding that the respondents were entitled to reinstatement with back wages except Yaspal (C.A No. 3242 of 1981) who was to get wages up to October 10, 1978, with benefits of continuity of service. The respondents were workmen under the management of the Corporation and their services were terminated on the ground that the Chairman had no power to appoint them. The Labour Court in its award held that their services were terminated illegally without payment of retrenchment compensation under the Industrial Disputes Act, 1947, hereinafter referred to as the Act, and that they were entitled to reinstatement.

CA. No. 686(NL) of 1982

2. This appeal is from the judgment dated November 9, 1981 of the High Court of Bombay (Nagpur Bench). The first respondent was an employee of the appellants corporation since 1972. He was taken on probation in 1975 for one year which was extended from time to time, lastly from September 1, 1977 to October 31, 1977, whereafter his services being not found satisfactory were terminated with effect from November 1, 1977 under Regulation 44(b) of the State Transport Employees Service Regulations of the Corporation. The Labour Court took the view that it amounted to retrenchment and the provisions of Section 25-F of the Act having not been complied with the termination was illegal. The appellants writ petition therefrom was dismissed.

C.A. No. 1817 of 1982

3. The respondent workman was employed by the appellant Bank on October 3, 1962 as a clerk and he was put on probation for six months. As allegedly there was total lack of confidence of the bank in the employee it terminated his service on July 27, 1974 on payment of three months salary. The Industrial Tribunal by its award dated December 3, 1981 directed reinstatement of the workman with full back wages on the ground of non-compliance with the provisions of Section 25-F of the Industrial Disputes Act. The employer Bank now appeals from that award.

C.A. No. 1898 of 1982

4. Respondents 2-6 were employed on probation by the appellant a partnership firm on June 12, 1975. Respondents 2-5 assaulted a supervisor and being afraid of police remained absent from March 29, 1976 and abandoned their jobs and their services were terminated. Respondent 6 stopped attending duties from August 9, 1975 and he left the service of his own accord. The Labour Court by its award dated September 16, 1980 held that their termination amounted to retrenchment and was illegal for non-compliance with the provisions of Section 25-F of the Act and they were entitled to reinstatement with full back wages. The managements writ petition challenging the award having been unsuccessful, it has appealed.

C.A. No. 3261 of 1982

5. Respondent Namdeo was a clerk under the appellant Maharashtra State Road Transport Corporation. Pursuant to a disciplinary proceeding his service was terminated with effect from April 23, 1963 by giving him one months salary in lieu of notice. Moved by the respondent, the Assistant Commissioner under Section 16 of the C.P. and Berar Industrial Disputes Settlement Act, 1947 held the inquiry proceeding to be an empty paper formality and the termination amounted to dismissal and accordingly he set aside the order and directed the corporation to reinstate and pay him his back wages amounting to Rs 15,971.66 within one month. The Corporation having moved the State Industrial Court at Nagpur under Section 16(5) of the Settlement Act, that court by its order dated September 29, 1973 allowed the applic



























































































































































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