Bombay High Court Dismisses MSRTC Appeal in Promotion Dispute — Employee's Transfer on Request Does Not Bar Promotion Based on Prior Examination Success. Transfer on request does not extinguish right to promotion earned by passing departmental examination under Industrial Disputes Act, 1947.

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

The respondent, Noor Mohd. Karimtulla Baxi, joined the Maharashtra State Road Transport Corporation (MSRTC) as a conductor in 1972 in the Nagpur Division, which then included Chandrapur as a sub-division. In 1974, Chandrapur became a separate division, and the respondent continued working there. In 1978, he appeared for a departmental examination for promotion to traffic controller and passed, but his result was withheld. In 1979, he requested a transfer to Nagpur Division, which was granted. After the Industrial Court directed the Corporation to declare his result, it was declared on 12 May 1982. Despite passing, he was not promoted. He filed Complaint (ULPN) No.1070/1990 before the Industrial Court alleging unfair labour practice, but the complaint was dismissed. He then filed a writ petition (W.P. No.2479/1992) before the Bombay High Court, which was allowed by a Single Judge on 7 December 1995, setting aside the Industrial Court's order and directing the Corporation to grant promotion with effect from 12 May 1982 with all benefits. The Corporation appealed by way of Letters Patent Appeal No.68/1996. The Division Bench considered the sole issue: whether the respondent's transfer on request from Chandrapur to Nagpur Division extinguished his right to promotion based on the examination he passed while in Chandrapur. The appellant argued that the transfer was on request and that the respondent was not eligible for promotion in Nagpur Division. The respondent contended that the examination was conducted by the Corporation centrally and the result was declared after transfer, so he should be promoted. The Court held that the transfer on request does not take away the right to promotion earned by passing the examination. The Corporation's action in denying promotion was an unfair labour practice. The Division Bench dismissed the appeal, affirming the Single Judge's order directing promotion with effect from 12 May 1982 and all consequential benefits.

Headnote

A) Service Law - Promotion - Transfer on Request - Right to Promotion - Industrial Disputes Act, 1947 - The respondent employee passed a departmental examination for promotion to traffic controller in 1978 while in Chandrapur Division, but his result was withheld. After transfer to Nagpur Division on his own request, the result was declared in 1982. The Corporation denied promotion claiming he was not eligible in Nagpur Division. The Court held that the transfer on request does not extinguish the right to promotion based on the examination already passed, and the Corporation's action amounted to unfair labour practice. (Paras 1-6)

B) Industrial Law - Unfair Labour Practice - Denial of Promotion - Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971 - The Industrial Court dismissed the complaint, but the Single Judge allowed the writ petition. The Division Bench affirmed, holding that the Corporation's failure to promote despite the employee passing the examination was an unfair labour practice. (Paras 4-6)

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Issue of Consideration

Whether an employee who passed a departmental examination for promotion while in one division, but later transferred on request to another division, is entitled to promotion based on that examination result.

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Final Decision

The Division Bench dismissed the appeal, upholding the Single Judge's order directing the appellant MSRTC to grant promotion to the respondent as traffic controller with effect from 12.5.1982 along with all promotional benefits including monetary benefits.

Law Points

  • Promotion rights
  • transfer on request
  • departmental examination
  • unfair labour practice
  • Industrial Disputes Act
  • 1947
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Case Details

2006 LawText (BOM) (12) 93

LETTERS PATENT APPEAL NO.68/1996

2006-12-20

V.C. Daga, A.B. Chaudhari

Shri V.G. Wankhede (for appellant), Shri B.M. Khan (for respondent)

The Divisional Controller, Maharashtra State Road Transport Corporation, Division Office, Nagpur

Noor Mohd. Karimtulla Baxi

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Nature of Litigation

Letters Patent Appeal against judgment of Single Judge in writ petition challenging Industrial Court order dismissing complaint of unfair labour practice.

Remedy Sought

Appellant MSRTC sought to set aside the Single Judge's order directing promotion of respondent with effect from 12.5.1982 and all benefits.

Filing Reason

Appellant challenged the Single Judge's order allowing the writ petition and directing promotion.

Previous Decisions

Industrial Court dismissed Complaint (ULPN) No.1070/1990 on 30.9.1992. Single Judge allowed W.P. No.2479/1992 on 7.12.1995, setting aside Industrial Court order and directing promotion.

Issues

Whether the respondent's transfer on request from Chandrapur to Nagpur Division extinguished his right to promotion based on the departmental examination he passed while in Chandrapur Division.

Submissions/Arguments

Appellant argued that the respondent sought transfer on request, and therefore, in accordance with rules, he was not eligible for promotion in Nagpur Division based on examination passed in Chandrapur Division. Respondent argued that the examination was conducted by the Corporation centrally, and his result was declared after transfer, so he was entitled to promotion.

Ratio Decidendi

Transfer on request does not extinguish the right to promotion earned by passing a departmental examination. The Corporation's denial of promotion in such circumstances amounts to unfair labour practice.

Judgment Excerpts

By the present appeal, the appellant M.S.R.T.C. has challenged the judgment dated 7.12.1995 in W.P. No.2479/1992, passed by the learned Single Judge of this Court, whereby writ petition was allowed and the order of the Industrial Court dated 30.9.1992 in Complaint (ULPN) No.1070/1990 was set aside with further direction to the appellant M.S.R.T.C. to grant promotion to the respondent sole as traffic controller w.e.f. 12.5.1982 along with all promotional benefits including monetary benefits. The respondent had filed complaint before the Industrial Court at Nagpur, which was registered as Complaint U.L.P. No.210/1983. The Industrial Court, however, dismissed the complaint, against which he filed the writ petition in this Court, which was decided by the learned Single Judge of this Court. Shri V.G. Wankhede, learned Counsel for the appellant urged before us that admittedly the respondent had sought transfer on request from Chandrapur to Nagpur, and therefore, in accordance with the rules, he was not entitled to promotion. We have heard the learned Counsel for the rival parties. In our opinion, the transfer on request does not extinguish the right of the respondent to get promotion on the basis of the examination which he had passed. We, therefore, find no merit in this appeal. The appeal is dismissed. No order as to costs.

Procedural History

Respondent filed Complaint (ULPN) No.1070/1990 before Industrial Court, Nagpur, which was dismissed on 30.9.1992. Respondent filed W.P. No.2479/1992 before Bombay High Court, which was allowed by Single Judge on 7.12.1995. Appellant filed Letters Patent Appeal No.68/1996 before Division Bench, which was dismissed on 20.12.2006.

Acts & Sections

  • Industrial Disputes Act, 1947:
  • Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971:
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