Case Note & Summary
The appeal arose from a decision of the Gujarat High Court which dismissed a Letters Patent Appeal challenging the dismissal of a writ petition by the appellant, Ranip Nagar Palika. The respondents claimed their services were terminated without following the procedure under Section 25-F of the Industrial Disputes Act, 1947, asserting they had worked continuously since 1991 until their termination on 16.5.1994. The appellant contended that the respondents were daily rated helpers and had not completed the requisite 240 days of service. The Labour Court ordered reinstatement with back wages, which was upheld by the High Court. The appellant argued that the respondents failed to prove their claim of continuous service and that the Labour Court had not established that they had completed 240 days of service. The respondents maintained that the Labour Court's findings were correct. The Supreme Court analyzed the burden of proof in such cases, referencing several precedents that established the workman must prove their claim of service duration. The court found that the Labour Court and High Court had not properly considered the evidence presented, leading to an erroneous conclusion. Consequently, the Supreme Court set aside the previous orders and remitted the matter to the Labour Court for fresh consideration, emphasizing the need for a factual adjudication regarding the respondents' claims and the applicability of Section 25-F. The appeal was allowed with no order as to costs.
Headnote
A) Industrial Law - Termination of Service - Burden of Proof - Industrial Disputes Act, 1947, Section 25-F - The court held that the burden of proof lies on the workman to establish that he had worked for 240 days in the year preceding termination. The Labour Court and High Court erred in placing the onus on the employer without sufficient evidence from the workman regarding his claim of continuous service (Paras 7-17).
Issue of Consideration
Whether the respondents had completed 240 days of service prior to termination and the implications under Section 25-F of the Industrial Disputes Act, 1947.
Final Decision
The Supreme Court set aside the orders of the Labour Court and High Court, remitting the matter for fresh consideration regarding the respondents' claims of service and the applicability of Section 25-F of the Industrial Disputes Act.
Law Points
- burden of proof
- termination of service
- continuous service
- retrenchment compensation
- procedural compliance


