Case Note & Summary
The petitioner, Spentex Industries Ltd., challenged the judgment of the Industrial Court dated 26/03/2018 which maintained the Labour Court's order setting aside the dismissal of the respondent, Dilip Charandas Pantawane, and directing his reinstatement with continuity of service and 50% backwages from the date of dismissal. The respondent was appointed as a Motor Winder on 13/11/1998. On 01/12/1999, while working as Assistant Motor Winder, he was asked to attend a machine breakdown. He mistakenly supplied two-phase electric current instead of single-phase, causing an internal short circuit and burning the machine. After a notice and reply, a departmental enquiry was held, and the respondent was dismissed from service on 12/04/2012. The respondent challenged the dismissal by filing a complaint. The Labour Court held the enquiry fair and the findings proper, but found the punishment of dismissal shockingly disproportionate. By judgment dated 25/05/2017, the Labour Court set aside the dismissal and ordered reinstatement with continuity of service and 50% backwages. The Industrial Court dismissed the employer's revision application. The employer filed a writ petition. The High Court considered the submissions of the petitioner's counsel, who argued that the Labour Court erred in interfering with the quantum of punishment as the misconduct was grave and proved. The petitioner relied on decisions including Janatha Bazar, Mahindra and Mahindra, and Maharashtra State Road Transport Corporation cases. The High Court held that the Labour Court had the power to interfere with the punishment if it was shockingly disproportionate, and the Industrial Court's revisional order did not suffer from any jurisdictional error. The writ petition was dismissed, upholding the orders of the Labour Court and Industrial Court.
Headnote
A) Industrial Law - Quantum of Punishment - Shockingly Disproportionate - Industrial Disputes Act, 1947 - Labour Court's power to interfere with punishment - The respondent employee was dismissed for causing a machine to burn due to supply of two-phase current instead of single-phase. The Labour Court, while upholding the enquiry and findings, held the punishment of dismissal shockingly disproportionate and ordered reinstatement with 50% backwages. The Industrial Court in revision concurred. The High Court upheld the orders, finding no perversity or error of jurisdiction. (Paras 2-4) B) Industrial Law - Revisional Jurisdiction - Industrial Court - Industrial Disputes Act, 1947 - Scope of interference - The Industrial Court, in exercise of revisional jurisdiction, concurred with the Labour Court's findings. The High Court held that the Industrial Court's order did not suffer from any jurisdictional error warranting interference under Article 227 of the Constitution. (Para 4)
Issue of Consideration
Whether the Labour Court and Industrial Court erred in interfering with the quantum of punishment of dismissal imposed by the employer for proved misconduct of causing damage to a machine.
Final Decision
The High Court dismissed the writ petition, upholding the orders of the Labour Court and Industrial Court. The respondent's reinstatement with continuity of service and 50% backwages was confirmed.
Law Points
- Labour Court can interfere with punishment if shockingly disproportionate
- Industrial Court's revisional jurisdiction limited
- Reinstatement with 50% backwages appropriate for misconduct causing financial loss



