Case Note & Summary
The dispute arose from the termination of the appellant's services as a conductor with Haryana Roadways, following allegations of misappropriation and unauthorized absence. The appellant was initially charged under Section 409 of the Indian Penal Code in 1993, leading to his arrest and subsequent termination in 1994. After being acquitted in 2002, he sought reinstatement, but the respondent maintained that his services were terminated lawfully under Article 311(2)(b) of the Constitution. The appellant raised an industrial dispute, which was referred to the Labour Court, where the termination was declared illegal, but this award was later set aside by the High Court on grounds of limitation. The Supreme Court analyzed whether the delay in raising the dispute barred the reference and found that the Labour Court had erred in not adjudicating the merits of the case. The court emphasized that the principles of natural justice were not followed, as no inquiry was conducted before termination. The court also noted that the delay in raising the dispute did not preclude the appellant from seeking relief, especially given the circumstances surrounding his absence. Ultimately, the Supreme Court set aside the High Court's order and the Labour Court's award, directing that the dispute be adjudicated on its merits.
Headnote
A) Employment Law - Termination of Services - Justification of Termination - Industrial Disputes Act, 1947, Section 10(1) - The court held that the termination of the appellant's services was illegal as no inquiry was conducted to substantiate the alleged misconduct of unauthorized absence, violating principles of natural justice. The Labour Court's failure to adjudicate on merits and reliance on limitation was erroneous (Paras 11-33).
Issue of Consideration
Whether the termination of the appellant's services was justified and whether the delay in raising the industrial dispute barred the reference to the Labour Court.
Final Decision
The Supreme Court set aside the High Court's order and the Labour Court's award, directing that the dispute be adjudicated on its merits, emphasizing the need for adherence to principles of natural justice and proper inquiry.
Law Points
- natural justice
- industrial disputes
- termination of services
- Article 311
- statutory powers
- limitation in industrial disputes



