Case Note & Summary
The petitioner, Bhimraj Yashwantrao Shelke, was a workman employed by the State Bank of Indore (respondent No.1) for cleaning and miscellaneous work. His services were terminated along with another workman, Damodar Agare. The Central Government Industrial Tribunal (CGIT), Nagpur, in Reference Case No. CGIT/NGP/07/2001, held that the petitioner had not completed 240 days of continuous service in the preceding year and therefore was not entitled to reinstatement, but awarded him Rs.10,000/- as compensation. The petitioner challenged this award by way of a writ petition under Article 226 of the Constitution of India. The High Court noted that in a similar case of Damodar Agare, the Bombay High Court had dismissed the bank's writ petition and upheld reinstatement with full back wages, and the bank had reinstated Damodar. The petitioner argued that he was similarly situated and should be granted reinstatement. However, the High Court found that the CGIT had correctly concluded that the petitioner had not proved 240 days of continuous service, as the evidence showed he was paid through a Safai Agency and his employment was intermittent. The Court held that the compensation of Rs.10,000/- was inadequate and enhanced it to Rs.50,000/-, considering the parity with Damodar Agare and the fact that the bank had reinstated Damodar. The writ petition was partly allowed, and the award was modified accordingly.
Headnote
A) Industrial Law - Termination - Compensation in lieu of Reinstatement - Section 25F, Industrial Disputes Act, 1947 - Workman failed to prove 240 days of continuous service - Tribunal awarded Rs.10,000/- as compensation - High Court enhanced compensation to Rs.50,000/- considering parity with co-worker who was reinstated, but upheld denial of reinstatement due to lack of continuous service (Paras 1-6).
Issue of Consideration
Whether the workman was entitled to reinstatement with full back wages or only compensation, given the finding that he had not completed 240 days of continuous service in the preceding year.
Final Decision
The High Court partly allowed the writ petition. It upheld the Tribunal's finding that the petitioner had not completed 240 days of continuous service and was not entitled to reinstatement. However, it enhanced the compensation from Rs.10,000/- to Rs.50,000/-, considering the parity with Damodar Agare and the fact that the bank had reinstated Damodar. The award was modified accordingly.
Law Points
- Industrial Disputes Act
- 1947
- Section 25F
- Section 2(oo)
- Section 25B
- compensation in lieu of reinstatement
- burden of proof for continuous service
- parity with co-worker
Case Details
2010 LawText (BOM) (01) 278
Writ Petition No. 624 of 2006
Shri R.N. Sen for petitioner; Mrs. Radhika D. Raskar for respondent No.1
Bhimraj Yashwantrao Shelke
State Bank of Indore, Gandhibagh Branch, Nagpur through its Manager; The Presiding Officer, Central Government Industrial Tribunal-cum-Labour Court, Nagpur
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Nature of Litigation
Writ petition under Article 226 of Constitution of India challenging the award of the Central Government Industrial Tribunal, Nagpur, which granted compensation of Rs.10,000/- instead of reinstatement for termination of services.
Remedy Sought
Petitioner sought reinstatement with full back wages or higher compensation.
Filing Reason
Petitioner was terminated from service and the Tribunal awarded only Rs.10,000/- compensation, which he considered inadequate.
Previous Decisions
The Central Government Industrial Tribunal, Nagpur, in Reference Case No. CGIT/NGP/07/2001, awarded Rs.10,000/- compensation and disposed of the reference. In a similar case of Damodar Agare, the Bombay High Court dismissed the bank's writ petition and upheld reinstatement with full back wages.
Issues
Whether the petitioner had completed 240 days of continuous service in the preceding year to be entitled to reinstatement under Section 25F of the Industrial Disputes Act, 1947.
Whether the compensation of Rs.10,000/- awarded by the Tribunal was adequate.
Submissions/Arguments
Petitioner argued that he was similarly situated to Damodar Agare, who was reinstated with full back wages, and therefore he should also be reinstated.
Respondent Bank argued that the petitioner had not completed 240 days of continuous service and was paid through a Safai Agency, indicating no direct employer-employee relationship.
Ratio Decidendi
A workman who fails to prove 240 days of continuous service in the preceding year is not entitled to reinstatement under Section 25F of the Industrial Disputes Act, 1947, but may be awarded compensation. The quantum of compensation can be enhanced by the court considering parity with similarly situated co-workers who were reinstated.
Judgment Excerpts
By this petition filed under Article 226 of Constitution of India, the petitioner challenges the award dated 26.04.2005 delivered by the Presiding Officer, Central Government Industrial Tribunal, Nagpur, in Reference Case No. CGIT/NGP/07/2001 granting him an amount of Rs.10,000/- as compensation and disposing of the reference in relation to his termination, accordingly.
The learned Single Judge of this Court on 12.06.2003 dismissed that writ petition after noticing that various documents being pressed into service by bank to show absence of relationship, were not decisive at all.
In this situation, he invites attention to the conclusions reached by CGIT to show continuous service...
Procedural History
The petitioner's termination was referred to the Central Government Industrial Tribunal, Nagpur, which passed an award on 26.04.2005 granting Rs.10,000/- compensation. The petitioner filed Writ Petition No. 624 of 2006 under Article 226 of the Constitution of India before the Bombay High Court, Nagpur Bench, challenging the award. The High Court heard the matter and delivered judgment on 04.01.2010.
Acts & Sections
- Constitution of India: Article 226
- Industrial Disputes Act, 1947: Section 25F, Section 25B