Case Note & Summary
The dispute arose from the removal of the respondent, who was employed as a Cleaner by the Andhra Pradesh State Road Transport Corporation since 1979. In 1991, the respondent was absent without authorization, prompting the Corporation to issue a charge sheet. The respondent submitted a sickness certificate to justify his absence, but the Corporation found the explanation unsatisfactory and removed him from service on April 24, 1991. The respondent contested this decision, leading to an industrial dispute that was adjudicated by the Labour Court in Hyderabad. The Labour Court ruled on March 12, 1997, that the removal was harsh and disproportionate, thus ordering reinstatement but withholding 25% of back wages. The Corporation challenged this award in the High Court, which affirmed the Labour Court's decision but also directed that 25% of back wages should not be paid. The Corporation's Special Leave Petition (SLP) was subsequently filed, and upon hearing, the Supreme Court decided to modify the Labour Court's award. The Court ruled that while the respondent should be reinstated, he was not entitled to any back wages. The Court emphasized that the reinstatement should occur within two months of the order's issuance, and there would be no costs awarded in this case.
Headnote
A) Employment Law - Disciplinary Action - Harshness of Removal - Industrial Disputes Act, 1947 - The Labour Court found the removal of the respondent from service to be harsh and disproportionate, leading to reinstatement but with a modification regarding back wages. The Supreme Court upheld the Labour Court's decision but ruled that the respondent was not entitled to any back wages due to the circumstances of the case. Held that reinstatement was necessary, but back wages were not warranted (Paras 1-2).
Issue of Consideration
Whether the respondent is entitled to back wages after being reinstated.
Final Decision
The Supreme Court modified the Labour Court's award, ruling that the respondent was not entitled to any back wages but should be reinstated within two months of the order.
Law Points
- Employment law
- Industrial disputes
- Disciplinary action
- Back wages
- Reinstatement



