Case Note & Summary
The case involved an employment dispute between the management of Addisons Paints and Chemicals Ltd. and its employee Nagarajan, represented by the union. Nagarajan was initially appointed as a Trainee Chemist in 1962 and later became a Junior Management Assistant. In 1986, a dispute arose regarding the classification of Junior Management Assistants as workmen under the Industrial Disputes Act, which was resolved in their favor. However, when Nagarajan was transferred to a Sales Representative position in 1988, he refused to accept the transfer, leading to further disputes. The Industrial Tribunal rejected his challenge to the transfer in 1992, and a subsequent Writ Petition was dismissed in 1994. An appeal against this dismissal resulted in the management undertaking to treat Nagarajan as technical staff and grant him workman benefits. The Appellate Court awarded him 25% back wages contingent upon his joining duty. The Supreme Court, upon reviewing the case, found no errors in the previous judgments and dismissed both appeals, affirming the decision to award back wages while emphasizing that Nagarajan had no grounds to refuse the transfer. The court granted the management eight weeks to pay the awarded back wages and stated there would be no order as to costs.
Headnote
A) Employment Law - Transfer of Employees - Employee's Right to Refuse Transfer - Industrial Disputes Act, 1947 - The court held that the employee Nagarajan had no justification for refusing to report for duty after his transfer and could have raised disputes post-joining. The court found no infirmity in the previous judgments and upheld the award of 25% back wages despite the employee not having worked (Paras 1-2).
Issue of Consideration
Whether the employee was entitled to refuse the transfer and the appropriateness of the back wages awarded.
Final Decision
The Supreme Court dismissed both appeals, affirming the previous judgments and the award of 25% back wages, granting the management eight weeks to comply.
Law Points
- Industrial Disputes
- Employment Law
- Transfer of Employees
- Back Wages
- Judicial Discretion



