Bombay High Court Allows Writ Petition and Remands Labour Court Award for Lack of Findings on Continuous Service and Abandonment. Award Quashed Due to Absence of Discussion on 240 Days Service and Abandonment, Matter Remitted for Fresh Adjudication.

High Court: Bombay High Court Bench: NAGPUR
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Case Note & Summary

The petitioner, an employee, challenged the award dated 17.07.2008 passed by the Labour Court in Reference IDA No. 23 of 1998. The High Court found that the award contained absolutely no discussion on the aspect of continuous service of 240 days preceding the date of alleged retrenchment, nor any findings on the question of abandonment of service. The evidence produced on record had not been considered. Consequently, the counsels for both parties agreed that the matter should be remanded back to the Labour Court. The High Court allowed the writ petition, quashed the award, and remitted the matter to the Labour Court for fresh adjudication in accordance with law, permitting the parties to lead evidence. No order as to costs.

Headnote

A) Labour Law - Retrenchment - Continuous Service of 240 Days - Labour Court must record findings on the aspect of continuous service of 240 days preceding the date of alleged retrenchment - In the absence of such discussion, the award is liable to be set aside and matter remanded (Paras 2-3).

B) Labour Law - Abandonment of Service - Labour Court must record findings on the question of abandonment of service - Failure to do so renders the award unsustainable (Paras 2-3).

C) Labour Law - Remand - When the Labour Court fails to consider evidence and record findings on relevant aspects, the appropriate remedy is to set aside the award and remand the matter for fresh adjudication with liberty to parties to lead evidence (Paras 2-3).

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Issue of Consideration

Whether the Labour Court's award is sustainable when it lacks discussion on the aspect of continuous service of 240 days preceding retrenchment and on the question of abandonment of service.

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Final Decision

The writ petition is allowed. The award dated 17.07.2008 passed in Reference I.D.A Case No. 23 of 1998 by the Reference Court is quashed and set aside. The matter is remitted back to the Labour Court to decide the reference in accordance with law. The parties shall be permitted to lead evidence in support of their rival claims. R & P be sent back immediately. No orders as to cost.

Law Points

  • Labour Court must record findings on continuous service of 240 days preceding retrenchment
  • Labour Court must record findings on abandonment of service
  • Remand appropriate when award lacks discussion on relevant aspects
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Case Details

2017 LawText (BOM) (04) 99

WRIT PETITION NO. 3805 OF 2009

2017-04-06

R. K. Deshpande

Shri D.M.Kakani for Petitioner, Shri S.S.Ghate for Respondent

Arshila Fulchand Manwatkar

M/s. Anand Gas Services & Domestic Appliances, through its Director

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Nature of Litigation

Writ petition challenging the award of the Labour Court in a reference under the Industrial Disputes Act.

Remedy Sought

Petitioner sought to quash the award dated 17.07.2008 passed by the Labour Court in Reference IDA No. 23 of 1998.

Filing Reason

The Labour Court's award lacked discussion on the aspect of continuous service of 240 days preceding retrenchment and on abandonment of service, and evidence was not considered.

Previous Decisions

The Labour Court passed an award dated 17.07.2008 in Reference IDA No. 23 of 1998.

Issues

Whether the Labour Court's award is sustainable when it lacks discussion on the aspect of continuous service of 240 days preceding retrenchment? Whether the Labour Court's award is sustainable when it lacks findings on the question of abandonment of service?

Submissions/Arguments

Both counsels submitted that the matter needs to be remanded back to the Reference Court by setting aside the award dated 17.07.2008.

Ratio Decidendi

A Labour Court must record findings on the aspect of continuous service of 240 days preceding retrenchment and on the question of abandonment of service. Failure to do so renders the award unsustainable and warrants remand for fresh adjudication.

Judgment Excerpts

After going through the award passed by the labour Court in Reference IDA No. 23 of 1998, it is found that there is absolutely no discussion on the aspect of continuous service of 240 days preceding the date of alleged retrenchment, recorded by the Reference Court. On the question of abandonment of service also, no findings are recorded. In the absence of findings on the relevant aspects of the matter, the learned counsels appearing for the parties submit that the matter need to be remanded back to the Reference Court by setting aside the award dated 17.07.2008.

Procedural History

The Labour Court passed an award dated 17.07.2008 in Reference IDA No. 23 of 1998. The petitioner filed Writ Petition No. 3805 of 2009 before the Bombay High Court challenging the award. The High Court heard the matter and passed the judgment on 06.04.2017.

Acts & Sections

  • Industrial Disputes Act, 1947:
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High Court Bombay High Court Allows Writ Petition and Remands Labour Court Award for Lack of Findings on Continuous Service and Abandonment. Award Quashed Due to Absence of Discussion on 240 Days Service and Abandonment, Matter Remitted for Fresh Adjudication.
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