Case Note & Summary
The appellant, S P Satyanarayana, was employed as a gardener with Kirloskar Electric Company Ltd. He was dismissed from service on 2/2/1995 following a domestic enquiry where charges against him were held proved. The dismissal was challenged before the Karnataka Industrial Tribunal in KID 20/1995 and KID 21/1995, which were disposed of by a common award dated 19/4/2007 setting aside the dismissal. However, since the appellant had attained the age of superannuation (57 years) by then, reinstatement was not possible. The Management challenged the award before the High Court in W.P.No.17464/2007. The learned Single Judge, by order dated 14/2/2013, upheld the setting aside of dismissal but awarded only 10% back wages from the date of termination till the date of superannuation. The appellant filed this intra-court appeal under Section 4 of the Karnataka High Court Act seeking higher back wages. The Division Bench noted that the appellant was not gainfully employed during the period and the Management did not lead any evidence to show that he was employed elsewhere. The court held that the award of back wages is not automatic but depends on the facts of each case. Considering that the appellant was out of employment for about 12 years and the Management failed to prove gainful employment, the court found 10% back wages to be inadequate. The court enhanced the back wages to 50% of the wages from the date of termination (2/2/1995) till the date of superannuation (57 years). The appeal was allowed in part, modifying the order of the learned Single Judge.
Headnote
A) Service Law - Back Wages - Quantum of Back Wages - Industrial Disputes Act, 1947 - The workman was dismissed from service after a domestic enquiry, but the Industrial Tribunal set aside the dismissal. The learned Single Judge awarded only 10% back wages. On appeal, the Division Bench held that the workman was not gainfully employed during the period and that the Management did not prove otherwise. Considering the totality of circumstances, the court enhanced back wages to 50% from the date of termination till the date of superannuation. (Paras 1-10) B) Service Law - Reinstatement - Back Wages - Industrial Disputes Act, 1947 - The court held that the award of back wages is not automatic upon setting aside of dismissal; it depends on the facts of each case. However, where the workman is not gainfully employed and the Management fails to show that the workman was employed elsewhere, a reasonable percentage of back wages should be awarded. (Paras 5-10)
Issue of Consideration
Whether the learned Single Judge was justified in awarding only 10% back wages to the workman whose dismissal was set aside, and whether the workman is entitled to full back wages or a higher percentage.
Final Decision
The appeal is allowed in part. The order of the learned Single Judge is modified. The appellant is entitled to 50% back wages from the date of termination (2/2/1995) till the date of superannuation (57 years). The respondent is directed to pay the same within three months.
Law Points
- Back wages
- Proportionality of punishment
- Industrial dispute
- Reinstatement
- Discretion of court
