Case Note & Summary
The petitioner, Abdulla R. Khan, was employed as a Turner with Construction & Engineering Equipments (Respondent No.1) since 2003. On 7th November 2008, he was verbally terminated. He raised an industrial dispute, which was referred to the Labour Court, Mumbai as Reference (IDA) No. 443 of 2010. An award was passed on 27th March 2015. The petitioner then filed Complaint (ULP) No. 421 of 2015 before the Industrial Court under the Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971 (MRTU & PULP Act), alleging that the respondent had not implemented the award, constituting an unfair labour practice under Item 9 of Schedule IV. The Industrial Court, by judgment dated 11th September 2019, declared that the respondent indulged in unfair labour practice and directed payment of back-wages from the date of illegal termination (7th November 2008) till the alleged closure of the company on 6th December 2012, and closure compensation. The petitioner challenged this order by way of a writ petition under Article 226 of the Constitution of India. The High Court observed that the complaint was specifically for non-implementation of the award, not for illegal termination or closure. The Industrial Court had no jurisdiction to award back-wages and closure compensation in such a complaint. The High Court set aside those directions but upheld the declaration of unfair labour practice. The petition was partly allowed.
Headnote
A) Industrial Law - Unfair Labour Practice - Non-Implementation of Award - Jurisdiction - The Industrial Court, while making a declaration that the employer indulged in unfair labour practice under Item 9 of Schedule IV of the Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971, directed payment of back-wages from the date of illegal termination till the alleged closure of the company and closure compensation. The High Court held that the Industrial Court exceeded its jurisdiction as the complaint was only for non-implementation of the award dated 27th March 2015 passed in Reference (IDA) No. 443 of 2010, and not for illegal termination or closure. The award of back-wages and closure compensation was set aside. (Paras 2-4)
Issue of Consideration
Whether the Industrial Court could award back-wages and closure compensation in a complaint under the MRTU & PULP Act, 1971, when the complaint was only for non-implementation of an award under the Industrial Disputes Act, 1947.
Final Decision
The High Court partly allowed the writ petition. The directions of the Industrial Court regarding payment of back-wages and closure compensation were set aside. The declaration of unfair labour practice was upheld.
Law Points
- Unfair labour practice
- Non-implementation of award
- Back-wages
- Closure compensation
- Jurisdiction of Industrial Court
- MRTU & PULP Act
- 1971
- Schedule IV Item 9
- Industrial Disputes Act
- 1947
Case Details
2023 LawText (BOM) (06) 35
WRIT PETITION NO.2932 OF 2021
Mahesh Shukla i/by Niraj Prajapati for Petitioner, Jayesh K. Desai i/by M/s Desai & Desai for Respondents
Construction & Engineering Equipments & Ors.
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Nature of Litigation
Writ petition under Article 226 of Constitution of India challenging order of Industrial Court in complaint under MRTU & PULP Act, 1971.
Remedy Sought
Petitioner sought to challenge the Industrial Court's order awarding back-wages and closure compensation, and sought appropriate relief.
Filing Reason
Petitioner alleged that the Industrial Court exceeded its jurisdiction by awarding back-wages and closure compensation when the complaint was only for non-implementation of an award.
Previous Decisions
Industrial Court passed judgment and order dated 11th September 2019 in Complaint (ULP) No. 421 of 2015, declaring unfair labour practice and directing payment of back-wages and closure compensation.
Issues
Whether the Industrial Court could award back-wages and closure compensation in a complaint under the MRTU & PULP Act, 1971, when the complaint was only for non-implementation of an award under the Industrial Disputes Act, 1947.
Submissions/Arguments
Petitioner argued that the Industrial Court exceeded its jurisdiction by awarding back-wages and closure compensation.
Respondents argued in support of the Industrial Court's order.
Ratio Decidendi
The Industrial Court, in a complaint under the MRTU & PULP Act, 1971, for non-implementation of an award, cannot award back-wages and closure compensation as those matters were not part of the complaint and were beyond its jurisdiction.
Judgment Excerpts
By this Petition under Article 226 of the Constitution of India, the Petitioner takes exception to a judgment and order dated 11th September 2019 passed by learned Member, Industrial Court at Mumbai in Complaint (ULP) No. 421 of 2015 whereby while making a declaration that the Respondent-employer indulged in unfair labour practice under Item 9 of Schedule IV of the Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971, the learned Member directed payment of back-wages from the date of illegal termination till the alleged closure of the Company on 6th December 2012 and closure compensation, when the Petitioner had alleged unfair labour practice in not implementing the award dated 27th March 2015 passed in Reference (IDA) No. 443 of 2010.
Procedural History
The petitioner was terminated on 7th November 2008. He raised an industrial dispute, which was referred to the Labour Court as Reference (IDA) No. 443 of 2010. An award was passed on 27th March 2015. The petitioner then filed Complaint (ULP) No. 421 of 2015 before the Industrial Court for non-implementation of the award. The Industrial Court passed the impugned order on 11th September 2019. The petitioner filed the present writ petition on an unspecified date, which was heard and decided on 5th June 2023.
Acts & Sections
- Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971: Schedule IV, Item 9
- Industrial Disputes Act, 1947: Section 10(1), Section 12(5)
- Constitution of India: Article 226
