Bombay High Court Quashes Industrial Court Remand Order in MRTU & PULP Act Case — Maintainability of Complaint Must Be Decided on Merits Without Remand. Relationship of Employer-Employee Must Be Admitted or Undisputed for Complaint Under Section 28 of MRTU & PULP Act to Be Maintainable.

High Court: Bombay High Court Bench: NAGPUR In Favour of Accused
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Case Note & Summary

The petitioners, employees of the Forest Department, filed Complaint (ULP) 13/2010 before the Labour Court, Yavatmal, alleging unfair labour practices. The Labour Court allowed the complaint on 30-09-2014, directing reinstatement with 50% backwages. The employer challenged this order in Revision (ULP) 12/2014, along with related revisions 13/2014 and 14/2014, before the Industrial Court, Yavatmal. The Industrial Court, by common judgment dated 22-04-2016, partly allowed the revisions, set aside the Labour Court's judgment, and remanded the complaints to the Labour Court for adjudication of maintainability. The Industrial Court relied on the Supreme Court decision in Vividh Kamgar Sabha v. Kalyani Steels Ltd. (2001 I CLR 532 SC) to hold that unless the employer-employee relationship is admitted or undisputed, a complaint under Section 28 of the MRTU & PULP Act is not maintainable. The Industrial Court observed that the Labour Court had not considered this settled law and had decided the disputed relationship. The petitioners challenged the remand order before the Bombay High Court. The High Court, after hearing both sides, held that the Industrial Court's order was unsustainable. The High Court noted that the Industrial Court, while exercising revisional jurisdiction, ought to have decided the issue of maintainability itself instead of remanding the matter. The High Court quashed the Industrial Court's order and restored the Labour Court's order dated 30-09-2014. The High Court directed the respondents to comply with the Labour Court's order within four weeks.

Headnote

A) Industrial Law - Maintainability of Complaint - Section 28 of Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971 (MRTU & PULP Act) - The Industrial Court set aside the Labour Court's order and remanded the complaints for adjudication of maintainability, holding that the Labour Court had not considered the settled law that the employer-employee relationship must be admitted or undisputed. The High Court quashed the remand order, holding that the Industrial Court ought to have decided the issue itself instead of remanding. (Paras 3-7)

B) Industrial Law - Remand - Powers of Industrial Court - The Industrial Court, while exercising revisional jurisdiction, cannot remand the matter for a fresh decision on maintainability without itself determining the issue. The High Court held that the Industrial Court's order was unsustainable and restored the Labour Court's order. (Paras 5-7)

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Issue of Consideration

Whether the Industrial Court was justified in remanding the complaints to the Labour Court for adjudication of maintainability, without itself deciding the issue of employer-employee relationship.

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Final Decision

The High Court allowed the writ petition, quashed the Industrial Court's order dated 22-04-2016, and restored the Labour Court's order dated 30-09-2014. The respondents were directed to comply with the Labour Court's order within four weeks.

Law Points

  • Maintainability of complaint under Section 28 of MRTU & PULP Act requires admitted or undisputed employer-employee relationship
  • Industrial Court cannot remand for adjudication of maintainability without deciding itself
  • Labour Court's finding on relationship cannot be set aside without proper reasoning
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Case Details

2018 LawText (BOM) (10) 163

Writ Petition No.2671 of 2017

2018-10-19

Rohit B. Deo

Shri D. Chambhare for petitioners, Shri N.H. Joshi for respondents

Shailesh s/o Murlidhar Tiwari and others

Chief Conservator of Forest (T), Yavatmal and others

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Nature of Litigation

Writ petition challenging the order of the Industrial Court remanding the complaints to the Labour Court for adjudication of maintainability.

Remedy Sought

Petitioners sought quashing of the Industrial Court's remand order and restoration of the Labour Court's order directing reinstatement with 50% backwages.

Filing Reason

The Industrial Court set aside the Labour Court's order and remanded the matter for deciding maintainability, which the petitioners challenged as unsustainable.

Previous Decisions

Labour Court allowed Complaint (ULP) 13/2010 on 30-09-2014 directing reinstatement with 50% backwages. Industrial Court partly allowed revisions and remanded the complaints on 22-04-2016.

Issues

Whether the Industrial Court was justified in remanding the complaints to the Labour Court for adjudication of maintainability without itself deciding the issue. Whether the Labour Court's finding on employer-employee relationship was erroneous.

Submissions/Arguments

Petitioners argued that the Industrial Court ought to have decided the issue of maintainability itself instead of remanding. Respondents supported the Industrial Court's order, submitting that the Labour Court had not considered the settled law.

Ratio Decidendi

The Industrial Court, while exercising revisional jurisdiction, cannot remand the matter for adjudication of maintainability without itself deciding the issue. The Labour Court's order, which had decided the employer-employee relationship, was restored.

Judgment Excerpts

The Industrial Court partly allowed the revisions, set aside the judgments of the Labour Court and remanded the complaints to the Labour Court with a direction that the maintainability of the complaints be adjudicated. The Industrial Court referred to the decision of the Apex Court in Vividh Kamgar Sabha v. Kalyani Steels Ltd. reported in 2001 I CLR 532 (SC) and observed thus: ... The impugned order is unsustainable and is quashed and set aside. The order of the Labour Court dated 30-09-2014 is restored.

Procedural History

Complaint (ULP) 13/2010 filed by petitioners before Labour Court, Yavatmal, allowed on 30-09-2014. Employer filed Revision (ULP) 12/2014 along with 13/2014 and 14/2014 before Industrial Court, Yavatmal, which partly allowed revisions and remanded on 22-04-2016. Petitioners filed Writ Petition No.2671 of 2017 before Bombay High Court, Nagpur Bench, which was allowed on 19-10-2018.

Acts & Sections

  • Maharashtra Recognition of Trade Unions and Prevention of Unfair Labour Practices Act, 1971 (MRTU & PULP Act): Section 28
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High Court Bombay High Court Quashes Industrial Court Remand Order in MRTU & PULP Act Case — Maintainability of Complaint Must Be Decided on Merits Without Remand. Relationship of Employer-Employee Must Be Admitted or Undisputed for Complaint Under Section 28...