High Court of Karnataka Allows Management's Appeal in Part in Industrial Dispute Case — Remand for Back Wages Calculation. Single Judge's Order to Remit Back Wages Issue to Labour Court Upheld, but Direction to Deduct Interim Relief and Section 17B Wages Set Aside as Unwarranted.

High Court: Karnataka High Court Bench: BENGALURU
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Case Note & Summary

The case involves a writ appeal filed by the Management of Indian Institute of Management, Bengaluru, under Section 4 of the Karnataka High Courts Act, 1961, against an order dated 24.06.2025 passed by a learned Single Judge in W.P.No.19969/2016 (L-ID). The respondent, Sri D. Manikya, was appointed as a plumber on 21.10.1974 on a temporary basis and regularised on 25.09.1975. Allegations of misconduct were made against him for incidents on 04.02.1991, 05.02.1991, and 29.08.1991, leading to his dismissal from service on 29.09.2005. The Labour Court, by order dated 05.05.1995, had granted interim relief, and the respondent also received wages under Section 17B of the Industrial Disputes Act, 1947, per order dated 08.11.2006. The Single Judge, in the impugned order, remitted the matter back to the Labour Court for fresh adjudication on the entitlement of back wages from 29.09.2005 to 13.01.2011, directing deduction of the amount paid as interim relief and the wages paid under Section 17B. The appellant Management challenged this direction, arguing that the Labour Court had already considered these deductions. The Division Bench, after hearing both sides, held that the direction to deduct interim relief and Section 17B wages was unwarranted as the Labour Court had already taken these into account. The appeal was partly allowed, setting aside the direction to deduct, but upholding the remand for back wages calculation. The court did not interfere with the rest of the Single Judge's order.

Headnote

A) Industrial Law - Back Wages - Remand - The Single Judge remitted the matter to the Labour Court for fresh adjudication on back wages from 29.09.2005 to 13.01.2011, directing deduction of interim relief and Section 17B wages - The Division Bench held that the direction to deduct interim relief and Section 17B wages was unwarranted as the Labour Court had already considered these aspects - The appeal was partly allowed, setting aside the direction to deduct, but upholding the remand for back wages calculation (Paras 1-5).

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Issue of Consideration

Whether the learned Single Judge was justified in remitting the matter back to the Labour Court for fresh adjudication relating to entitlement of back wages from 29.09.2005 to 13.01.2011 after deducting the amount paid as interim relief and the wages paid under Section 17B.

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Final Decision

The writ appeal is partly allowed. The direction to deduct the amount paid as interim relief and wages under Section 17B from back wages is set aside. The rest of the Single Judge's order is upheld.

Law Points

  • Industrial Dispute
  • Back Wages
  • Remand
  • Deduction of Interim Relief
  • Section 17B Wages
  • Karnataka High Court Act Section 4
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Case Details

2025 LawText (KAR) (12) 29

WA No. 1711 of 2025 (L-ID)

2025-12-01

D K Singh, Umesh M Adiga

Sri. Pradeep S. Sawkar (for appellant), Sri. Samarth Murthy (for respondent)

The Management of Indian Institute of Management, Bengaluru, represented by its Dean (Admin) Dr. Jayadev M.

Sri D. Manikya

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Nature of Litigation

Writ appeal against order of Single Judge in industrial dispute matter regarding back wages.

Remedy Sought

Appellant sought to set aside the direction to deduct interim relief and Section 17B wages from back wages.

Filing Reason

Appellant challenged the Single Judge's order remitting back wages calculation with direction to deduct interim relief and Section 17B wages.

Previous Decisions

Labour Court order dated 05.05.1995 granting interim relief; order dated 08.11.2006 for wages under Section 17B; Single Judge order dated 24.06.2025 in WP No.19969/2016.

Issues

Whether the Single Judge was justified in directing deduction of interim relief and Section 17B wages from back wages.

Submissions/Arguments

Appellant argued that the Labour Court had already considered the interim relief and Section 17B wages, and the direction to deduct was unwarranted. Respondent supported the Single Judge's order.

Ratio Decidendi

The direction to deduct interim relief and Section 17B wages from back wages was unwarranted as the Labour Court had already considered these aspects. The remand for back wages calculation is upheld.

Judgment Excerpts

This Writ appeal is filed under Section 4 of the Karnataka High Courts Act, 1961 directed against order dated 24.06.2025 passed by learned single Judge in W.P.No.19969/2016 (L-ID). The brief facts of the case are that respondent was appointed as a plumber on 21.10.1974 on temporary basis, and thereafter, he was regularised on 25.09.1975. The appeal is partly allowed. The direction to deduct the amount paid as interim relief and the wages paid under Section 17B as per order of Labour Court dated 05.05.1995 and the order dated 08.11.2006 is set aside.

Procedural History

The respondent was dismissed from service on 29.09.2005. The Labour Court granted interim relief on 05.05.1995 and wages under Section 17B on 08.11.2006. The Single Judge in WP No.19969/2016 on 24.06.2025 remitted the matter for back wages calculation with deduction directions. The appellant filed this writ appeal on 01.12.2025.

Acts & Sections

  • Karnataka High Courts Act, 1961: Section 4
  • Industrial Disputes Act, 1947: Section 17B
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