Case Note & Summary
The petitioner, I.T.M. Vocational University, challenged the judgment and award dated 01.08.2023 passed by the Labour Court, Vadodara, in Reference (LCV) No. 554 of 2017. The respondent-workman, Naginbhai Jethabhai Parmar, joined the petitioner University in June 2012 as an Operator (Non-Teaching Staff). His services were terminated by an oral order on 01.07.2016. Aggrieved, the workman filed a claim form before the Labour Court seeking a declaration that the termination was illegal. The petitioner filed a written statement on 23.09.2019. After hearing the parties and examining evidence, the Labour Court partly allowed the reference and directed reinstatement with continuity of service and 50% backwages. The High Court, under Articles 226 and 227 of the Constitution read with the Industrial Disputes Act, 1947, examined the legality of the award. The court noted that the termination was by oral order without any domestic inquiry or compliance with Section 25F of the Act. The Labour Court had found that the workman had worked for more than 240 days in the preceding year and that the employer failed to prove any misconduct or that the termination was for a valid reason. The High Court held that the Labour Court's findings were based on evidence and not perverse. The court also considered the principle that backwages are not automatic but must be granted based on facts. In this case, the workman had remained unemployed and the employer did not lead evidence to show gainful employment. The High Court found no reason to interfere with the award of 50% backwages. The petition was dismissed, and the Labour Court's award was upheld.
Headnote
A) Industrial Law - Termination - Oral Termination - Illegal Termination - Industrial Disputes Act, 1947 - Sections 25F, 25G, 25H - The respondent-workman was terminated by oral order without any notice or inquiry. The Labour Court held the termination illegal and ordered reinstatement with 50% backwages. The High Court upheld the award, finding no perversity in the Labour Court's findings. (Paras 1-7) B) Industrial Law - Reinstatement - Backwages - Quantum - Industrial Disputes Act, 1947 - Section 11A - The Labour Court granted 50% backwages considering the workman's unemployment and the employer's failure to prove misconduct. The High Court affirmed this as proportionate and not warranting interference. (Paras 2-7)
Issue of Consideration
Whether the termination of the respondent-workman by oral order was legal and justified, and whether the Labour Court's award of reinstatement with 50% backwages was proper.
Final Decision
The High Court dismissed the petition and upheld the Labour Court's award dated 01.08.2023 directing reinstatement of the respondent-workman with continuity of service and 50% backwages.
Law Points
- Termination by oral order is illegal
- Reinstatement with continuity of service
- 50% backwages
- No domestic inquiry required for oral termination
- Burden of proof on employer





