Case Note & Summary
The dispute arose from a civil appeal concerning the appellant's claim for reinstatement and back-wages following an Award in his favor. The appellant had been awarded reinstatement and a lumpsum amount of Rs.5000/- towards back-wages. However, the respondent contended that the appellant was allowed to join but was not given work or paid salary due to the company's reference to the BIFR for winding up, which was later reversed by the AAIFR. The Supreme Court, after hearing the parties, chose not to delve into the controversy regarding the appellant's reinstatement or entitlement to back-wages. Instead, the court directed the respondent-corporation to pay the appellant Rs.1,50,000/- as a full and final settlement of his claims, to be paid within one month. The appeal was disposed of without any order as to costs.
Headnote
A) Labour Law - Reinstatement and Back-wages - Settlement in lieu of reinstatement - Industrial Disputes Act, 1947 - The court directed the respondent-corporation to pay a sum of Rs.1,50,000/- to the appellant in full and final settlement of his claims instead of reinstatement, considering the prolonged litigation and the circumstances surrounding the case. Held that the monetary settlement was appropriate given the situation (Paras Not mentioned).
Issue of Consideration
Whether the appellant was entitled to reinstatement and back-wages as per the Award.
Final Decision
The Supreme Court directed the respondent-corporation to pay the appellant Rs.1,50,000/- in full and final settlement of his claims, within one month, and disposed of the appeal without costs.
Law Points
- Reinstatement
- Back-wages
- Settlement of Claims


