Bombay High Court Dismisses Employee's Petition Seeking Full Backwages in Reinstatement Case. Labour Court's Order of 50% Backwages Upheld as Employer Violated Natural Justice by Dismissing Without Waiting for Reply Period.

High Court: Bombay High Court Bench: AURANGABAD
  • 127
Judgement Image
Font size:
Print

Case Note & Summary

The petitioner, Sunil Shamrao Thokal, was employed as a Store Keeper with the respondent, The Salvation Army Evangeline Booth Hospital, since 1989. On 19.12.1992, 12.5.1993, and 18.1.1994, the respondent issued charge sheets-cum-show cause notices alleging negligence, improper maintenance, and misappropriation. After a domestic enquiry, a second show cause notice dated 13.3.1995 was issued, which the petitioner received on 25.3.1995. The petitioner applied for a 15-day extension to submit his reply, but the respondent dismissed him on 31.3.1995 without waiting for the seven-day period provided in the notice. The petitioner filed Complaint (ULP) No.20 of 1995 before the Labour Court at Ahmednagar, alleging violation of natural justice. The Labour Court, by order dated 8.10.2001, set aside the enquiry as vitiated. The respondent's revision against this order was dismissed by the Industrial Court on 15.6.2004, and not challenged further. A de novo enquiry was conducted, and the Labour Court, by judgment dated 20.8.2008, partly allowed the complaint, directing reinstatement with continuity and 50% backwages. The petitioner challenged the denial of full backwages in the present writ petition. The High Court held that the Labour Court's order was not perverse and dismissed the petition, noting that the petitioner did not challenge the enquiry findings and the employer did not challenge the violation of natural justice. The court found no error in the Labour Court's discretion regarding backwages.

Headnote

A) Service Law - Dismissal - Violation of Natural Justice - Principles of Natural Justice - Industrial Disputes Act, 1947 - The petitioner was dismissed without waiting for the seven-day period to submit a reply to the second show cause notice, and his application for extension of time was not considered. The Labour Court set aside the enquiry and ordered reinstatement with 50% backwages. The High Court upheld the order, holding that the employer's action violated natural justice. (Paras 3-6)

B) Service Law - Reinstatement - Backwages - Industrial Disputes Act, 1947 - The Labour Court granted reinstatement with continuity and 50% backwages. The High Court found no perversity in the order and dismissed the petition, noting that the employer did not challenge the Labour Court's findings on the violation of natural justice. (Paras 6-7)

Subscribe to unlock Headnote Subscribe Now

Issue of Consideration

Whether the dismissal of the petitioner was in violation of principles of natural justice as the employer did not wait for the seven-day period provided to submit a reply to the second show cause notice, and whether the Labour Court's order of reinstatement with 50% backwages was justified.

Subscribe to unlock Issue of Consideration Subscribe Now

Final Decision

The High Court dismissed the writ petition, upholding the Labour Court's order of reinstatement with continuity and 50% backwages.

Law Points

  • Principles of natural justice
  • opportunity of hearing
  • show cause notice
  • dismissal without waiting for reply period
  • reinstatement with backwages
  • Industrial Disputes Act
  • 1947
Subscribe to unlock Law Points Subscribe Now

Case Details

2013 LawText (BOM) (11) 1

WRIT PETITION NO.1652 OF 2012

2013-11-29

RAVINDRA V. GHUGE, J.

Shri Parag V. Barde for the petitioners; S/Shri V.N.Upadhye and D.V.Chengede for the respondents

Sunil Shamrao Thokal

The Salvation Army Evangeline Booth Hospital

Subscribe to unlock Case Details (Citation, Judge, Date & more) Subscribe Now

Nature of Litigation

Writ petition challenging the Labour Court's order granting reinstatement with 50% backwages instead of full backwages.

Remedy Sought

The petitioner sought full backwages from the date of dismissal to reinstatement.

Filing Reason

The petitioner was dismissed from service without being given adequate opportunity to respond to a show cause notice, violating principles of natural justice.

Previous Decisions

Labour Court set aside enquiry on 8.10.2001; Industrial Court dismissed revision on 15.6.2004; Labour Court ordered reinstatement with 50% backwages on 20.8.2008.

Issues

Whether the dismissal of the petitioner was in violation of principles of natural justice? Whether the Labour Court's order granting 50% backwages was justified?

Submissions/Arguments

Petitioner argued that the respondent did not wait for the seven-day period to submit a reply to the second show cause notice and did not consider his application for extension of time, violating natural justice. Respondent contended that the enquiry was properly conducted and the dismissal was justified.

Ratio Decidendi

The employer's failure to wait for the seven-day period provided in the show cause notice and to consider the employee's request for extension of time before dismissing him constitutes a violation of principles of natural justice. The Labour Court's discretion in awarding 50% backwages was not perverse and did not warrant interference.

Judgment Excerpts

It is an admitted position that the dismissal order was dated 31.3.1995. It is contended that the principles of natural justice were not adhered to by the respondent while issuing the impugned dismissal order. The Labour Court by it's order dated 8.10.2001 set aside the enquiry for being vitiated.

Procedural History

The petitioner was dismissed on 31.3.1995. He filed Complaint (ULP) No.20 of 1995 before the Labour Court, which set aside the enquiry on 8.10.2001. The respondent's Revision (ULP) No.18 of 2002 was dismissed by the Industrial Court on 15.6.2004. A de novo enquiry was conducted, and the Labour Court partly allowed the complaint on 20.8.2008, ordering reinstatement with 50% backwages. The petitioner filed the present writ petition on 23.2.2012.

Acts & Sections

  • Industrial Disputes Act, 1947:
Subscribe to unlock full Legal Analysis Subscribe Now
Related Judgement
High Court Bombay High Court Dismisses Employee's Petition Seeking Full Backwages in Reinstatement Case. Labour Court's Order of 50% Backwages Upheld as Employer Violated Natural Justice by Dismissing Without Waiting for Reply Period.
Related Judgement
High Court Bombay High Court Acquits Accused in Food Adulteration Case Due to Non-Compliance with Mandatory Rules. Conviction for selling adulterated 'Rava' set aside as Food Inspector failed to follow Rules 14, 16, and 22 of the Prevention of Food Adulteration...