Gujarat High Court Upholds Labour Court Award of Reinstatement with Full Back Wages in Industrial Dispute Case. Termination of Workman Found Illegal as Enquiry Was Not Properly Conducted and No Opportunity of Hearing Was Given.

High Court: Gujarat High Court In Favour of Accused
  • 96
Judgement Image
Font size:
Print

Case Note & Summary

The petitioner, Baburao Koli, was employed as a Driller with the respondent company, J.P. Extrusiontech Ltd., since 01.02.1996, with a last drawn salary of Rs. 16,804/-. He was terminated from service after an enquiry was initiated against him. Aggrieved, he raised an industrial dispute before the Assistant Labour Commissioner, who made a reference under Section 10(1)(c) of the Industrial Disputes Act, 1947 to the Labour Court. The Labour Court, by award dated 18.04.2019 in Reference (LCB) No.81 of 2018, set aside the termination and ordered reinstatement with full back wages. The employer challenged this award before the Gujarat High Court under Articles 226 and 227 of the Constitution. The High Court examined the facts and found that the Labour Court had correctly concluded that the enquiry was not properly conducted and that the workman was not given a fair opportunity of hearing. The High Court noted that the Labour Court's findings were based on evidence and were not perverse. The court also considered that the workman had been out of service for a long time and that the employer had not paid any subsistence allowance during the enquiry. The High Court held that the Labour Court's order of reinstatement with full back wages was justified and did not warrant interference. The petition was dismissed, and the award of the Labour Court was upheld.

Headnote

A) Industrial Law - Termination of Service - Enquiry - Natural Justice - Industrial Disputes Act, 1947, Section 10(1)(c) and Section 11A - The workman was terminated after an enquiry, but the Labour Court found that the enquiry was not properly conducted and no opportunity of hearing was given to the workman. The Labour Court set aside the termination and ordered reinstatement with full back wages. The High Court upheld the award, holding that the Labour Court's findings were based on evidence and no interference was warranted. (Paras 1-7)

B) Industrial Law - Reinstatement - Full Back Wages - Industrial Disputes Act, 1947, Section 11A - The Labour Court has discretion to award full back wages upon setting aside illegal termination. The High Court held that the Labour Court's order of reinstatement with full back wages was justified as the termination was illegal and the workman had been out of service for a long period. (Paras 5-7)

Subscribe to unlock Headnote Subscribe Now

Issue of Consideration

Whether the Labour Court was justified in ordering reinstatement with full back wages after setting aside the termination order, and whether the High Court should interfere with such award under Articles 226 and 227 of the Constitution of India.

Subscribe to unlock Issue of Consideration Subscribe Now

Final Decision

The High Court dismissed the petition and upheld the Labour Court award dated 18.04.2019 ordering reinstatement of the workman with full back wages.

Law Points

  • Industrial Disputes Act
  • 1947
  • Section 10(1)(c)
  • Section 11A
  • Reinstatement
  • Full Back Wages
  • Enquiry
  • Natural Justice
Subscribe to unlock Law Points Subscribe Now

Case Details

2026 LawText (GUJ) (02) 292

R/SPECIAL CIVIL APPLICATION NO. 4138 of 2020

2026-02-25

Hemant M. Prachchhak

Yogen N Pandya for Petitioner, Krutarth K Desai for Respondent

Baburao Koli

Manager Shri, J.P. Extrusiontech Ltd.

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

Nature of Litigation

Writ petition under Articles 226 and 227 of the Constitution of India challenging the award of the Labour Court ordering reinstatement with full back wages.

Remedy Sought

Petitioner (employer) sought quashing of the Labour Court award and stay of its implementation.

Filing Reason

The employer challenged the Labour Court award which set aside the termination of the workman and ordered reinstatement with full back wages.

Previous Decisions

Labour Court, Bharuch, in Reference (LCB) No.81 of 2018 dated 18.04.2019, set aside termination and ordered reinstatement with full back wages.

Issues

Whether the Labour Court was justified in ordering reinstatement with full back wages? Whether the High Court should interfere with the Labour Court award under Articles 226 and 227?

Submissions/Arguments

Petitioner argued that the Labour Court erred in ordering reinstatement with full back wages as the enquiry was properly conducted. Respondent argued that the Labour Court correctly found the termination illegal and awarded appropriate relief.

Ratio Decidendi

The Labour Court's findings that the enquiry was not properly conducted and no opportunity of hearing was given to the workman were based on evidence and not perverse. The order of reinstatement with full back wages was justified as the termination was illegal and the workman had been out of service for a long period. No interference under Articles 226 and 227 is warranted.

Judgment Excerpts

The Labour Court has rightly held that the enquiry was not properly conducted and no opportunity of hearing was given to the workman. The order of reinstatement with full back wages is justified as the termination was illegal.

Procedural History

The workman was terminated after an enquiry. He raised an industrial dispute, which was referred to the Labour Court. The Labour Court passed an award on 18.04.2019 ordering reinstatement with full back wages. The employer filed a writ petition before the High Court challenging the award. The High Court dismissed the petition on 25.02.2026.

Acts & Sections

  • Industrial Disputes Act, 1947: 10(1)(c), 11A
  • Constitution of India: 226, 227
Subscribe to unlock full Legal Analysis Subscribe Now
Related Judgement
High Court Bombay High Court Quashes Detention Order Under MPDA Act for Lack of Public Order Impact — Single Offence and In-Camera Statements Insufficient to Justify Preventive Detention
Related Judgement
High Court Bombay High Court Allows Anticipatory Bail in PMLA Case Due to Non-Application of Mind in Arrest Order. Arrest Under Section 19 PMLA Requires Independent Satisfaction; Verbatim Reproduction of CBI Remand Application Renders Arrest Illegal.