Case Note & Summary
The petitioner, Range Forest Officer, challenged the judgment and award dated 03.12.2022 passed by the Labour Court, Valsad in Reference (LCV) No. 196 of 2016. The respondent-workman, Rajubhai Raghubhai Deshmukh, was employed as a Watchman with the Forest Department for three years and was drawing wages of Rs. 5,897/- per month. His services were orally terminated on 01.06.2015 without any notice or compliance with Section 25F of the Industrial Disputes Act, 1947. The legal heirs of the deceased workman filed a claim statement before the Labour Court. The petitioner opposed the reference by filing a written statement. After hearing the parties and examining the evidence, the Labour Court partly allowed the reference, granting 25% compensation in lieu of reinstatement and consequential benefits. The petitioner, being aggrieved, filed the present petition under Articles 226 and 227 of the Constitution of India. The High Court heard the learned Assistant Government Pleader for the petitioner and the learned counsel for the respondent. The court found that the Labour Court had correctly held the termination invalid due to non-compliance with Section 25F. Since the workman had died, reinstatement was not possible, and the Labour Court had exercised its discretion under Section 11A to award 25% compensation. The High Court held that the impugned award did not suffer from any perversity or illegality and dismissed the petition. The court also noted that the amount of compensation was just and proper in the circumstances.
Headnote
A) Industrial Law - Retrenchment - Section 25F of Industrial Disputes Act, 1947 - Oral Termination - The workman was employed as a Watchman for three years and his services were orally terminated on 01.06.2015 without following the mandatory procedure under Section 25F of the Act. The Labour Court held the termination invalid and granted 25% compensation in lieu of reinstatement to the legal heirs. The High Court upheld the award, finding no perversity or illegality. (Paras 2-7) B) Industrial Law - Compensation in Lieu of Reinstatement - Section 11A of Industrial Disputes Act, 1947 - Legal Heirs - The workman died during the pendency of the reference. The Labour Court, exercising discretion under Section 11A, awarded 25% of the back wages and compensation instead of reinstatement, considering the death of the workman. The High Court affirmed the award as just and proper. (Paras 6-7)
Issue of Consideration
Whether the Labour Court was justified in granting 25% compensation in lieu of reinstatement to the legal heirs of the deceased workman whose services were orally terminated without compliance with Section 25F of the Industrial Disputes Act, 1947.
Final Decision
The High Court dismissed the petition, upholding the Labour Court's award dated 03.12.2022 granting 25% compensation in lieu of reinstatement to the legal heirs of the deceased workman. Rule discharged. No order as to costs.
Law Points
- Industrial Disputes Act
- 1947
- Section 25F
- oral termination
- reinstatement
- compensation in lieu of reinstatement
- legal heirs
- workman
- watchman
- three years continuous service
- retrenchment compensation





