Bombay High Court Dismisses Petition by Cooperative Society Against Labour Court Order Reinstating Vendor with Back Wages. Chronic Absenteeism Not Proven as Employer Failed to Conduct Proper Inquiry Under Industrial Disputes Act.

High Court: Bombay High Court In Favour of Accused
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Case Note & Summary

The petitioner, Larsen and Toubro Grahak Sahakari Sanstha Maryadeet, a consumer cooperative society registered under the Maharashtra Cooperative Societies Act, 1960, providing services to employees of M/s Larsen & Toubro Limited, engaged the first respondent, Tanaji Kashinath Vishwe, as a vendor with effect from 17.7.1979. The respondent was a case of chronic absenteeism and remained absent without leave or intimation from 27.7.1988. Consequently, the petitioner terminated his services without holding any domestic inquiry. The respondent filed Complaint (ULP) No.5/1990 before the 9th Labour Court at Mumbai under the Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971 (the Act), alleging unfair labour practice. The Labour Court, by judgment dated 3.12.1994, allowed the complaint and directed reinstatement with full back wages. The petitioner filed Revision Application (ULP) No.1/1995 before the Industrial Court at Mumbai under Section 44 of the Act, which was dismissed on 5.8.1996. Aggrieved, the petitioner filed the present writ petition. The High Court considered whether the termination without inquiry constituted an unfair labour practice. The petitioner argued that the respondent was a chronic absentee and that the Labour Court erred in ordering reinstatement with back wages. The respondent contended that the termination was illegal as no inquiry was held. The High Court held that the employer failed to prove the alleged absenteeism through a proper domestic inquiry or by leading evidence before the Labour Court. The concurrent findings of the Labour Court and Industrial Court were not perverse and did not warrant interference under writ jurisdiction. The petition was dismissed, and the order of reinstatement with full back wages was upheld.

Headnote

A) Labour Law - Unfair Labour Practice - Termination Without Inquiry - Section 44 of Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971 - The petitioner, a consumer cooperative society, terminated the services of the respondent, a vendor, for chronic absenteeism without conducting a domestic inquiry. The Labour Court and Industrial Court held that the termination was illegal and amounted to an unfair labour practice. The High Court upheld the findings, noting that the employer failed to prove the alleged absenteeism through a proper inquiry or by leading evidence before the Labour Court. The petition was dismissed. (Paras 1-10)

B) Labour Law - Reinstatement with Back Wages - Chronic Absenteeism - Burden of Proof - The respondent remained absent from 27.7.1988 without leave or intimation. The employer did not hold any inquiry and merely issued a letter of termination. The Labour Court found that the employer failed to discharge the burden of proving that the absenteeism was willful or unauthorized. The Industrial Court confirmed the order of reinstatement with full back wages. The High Court found no perversity in the concurrent findings and dismissed the writ petition. (Paras 2-10)

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Issue of Consideration

Whether the termination of the respondent-vendor by the petitioner-society without holding a proper domestic inquiry constituted an unfair labour practice under the Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971, and whether the Labour Court and Industrial Court correctly ordered reinstatement with full back wages.

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Final Decision

The High Court dismissed the writ petition, upholding the orders of the Labour Court and Industrial Court directing reinstatement of the respondent with full back wages.

Law Points

  • Unfair labour practice
  • termination without inquiry
  • chronic absenteeism
  • burden of proof on employer
  • reinstatement with back wages
  • Section 44 of Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act
  • 1971
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Case Details

2005 LawText (BOM) (09) 13

Writ Petition No.5004 of 1996

2005-09-02

B.H. Marlapalle

Mr.J.P.Cama, senior counsel with Mr.Rajendra Sawant for the petitioner; Mr.J.M.D'silva for the respondent no.1

Larsen and Toubro Grahak Sahakari Sanstha Maryadeet

Tanaji Kashinath Vishwe, K.W.Thakre, G.S.Baj

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Nature of Litigation

Writ petition challenging the concurrent orders of the Labour Court and Industrial Court directing reinstatement with full back wages for alleged unfair labour practice.

Remedy Sought

The petitioner sought to quash the orders of the Labour Court and Industrial Court and uphold the termination of the respondent.

Filing Reason

The petitioner terminated the respondent's services for chronic absenteeism without holding a domestic inquiry, leading to a complaint of unfair labour practice.

Previous Decisions

The Labour Court allowed the complaint and ordered reinstatement with full back wages on 3.12.1994. The Industrial Court dismissed the revision application on 5.8.1996.

Issues

Whether the termination of the respondent without a domestic inquiry constituted an unfair labour practice under the Act. Whether the Labour Court and Industrial Court correctly ordered reinstatement with full back wages.

Submissions/Arguments

The petitioner argued that the respondent was a chronic absentee and the termination was justified. The respondent contended that the termination was illegal as no inquiry was held and the employer failed to prove absenteeism.

Ratio Decidendi

Termination of an employee without holding a proper domestic inquiry constitutes an unfair labour practice under the Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971. The employer bears the burden of proving the alleged misconduct, and failure to do so renders the termination illegal, warranting reinstatement with full back wages.

Judgment Excerpts

This petition arises from the judgment and order rendered by the learned Judge of the 9th Labour Court at Mumbai on 3.12.1994 in Complaint (ULP) No.5/1990 and which came to be confirmed by the learned Member of the Industrial Court at Mumbai vide his judgment and order dated 5.8.1996 thereby dismissing Revision Application (ULP) No.1/1995 filed by the present petitioner under Section 44 of the Maharashtra Recognition of Trade Unions & Prevention of Unfair Labour Practices Act, 1971.

Procedural History

The respondent filed Complaint (ULP) No.5/1990 before the 9th Labour Court, Mumbai, which was allowed on 3.12.1994 ordering reinstatement with full back wages. The petitioner filed Revision Application (ULP) No.1/1995 before the Industrial Court, Mumbai, which was dismissed on 5.8.1996. The petitioner then filed the present writ petition before the Bombay High Court, which was dismissed on 2.9.2005.

Acts & Sections

  • Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971: 44
  • Maharashtra Cooperative Societies Act, 1960:
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High Court Bombay High Court Dismisses Petition by Cooperative Society Against Labour Court Order Reinstating Vendor with Back Wages. Chronic Absenteeism Not Proven as Employer Failed to Conduct Proper Inquiry Under Industrial Disputes Act.
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