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[Cites 21, Cited by 0]

Gujarat High Court

The Maharaja Salt Works Co. Pvt. Ltd. vs Hira Jeram on 26 April, 2018

Author: K.M.Thaker

Bench: K.M.Thaker

        C/SCA/18589/2016                               ORDER




         IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

          R/SPECIAL CIVIL APPLICATION NO. 18589 of 2016
                              With
          R/SPECIAL CIVIL APPLICATION NO. 18514 of 2016
                              With
          R/SPECIAL CIVIL APPLICATION NO. 18588 of 2016
                              With
          R/SPECIAL CIVIL APPLICATION NO. 18590 of 2016
                              With
          R/SPECIAL CIVIL APPLICATION NO. 18592 of 2016
                              With
          R/SPECIAL CIVIL APPLICATION NO. 18593 of 2016
                              With
          R/SPECIAL CIVIL APPLICATION NO. 18595 of 2016
                              With
          R/SPECIAL CIVIL APPLICATION NO. 18695 of 2016
                              With
          R/SPECIAL CIVIL APPLICATION NO. 18696 of 2016
                              With
          R/SPECIAL CIVIL APPLICATION NO. 18697 of 2016
                              With
          R/SPECIAL CIVIL APPLICATION NO. 18704 of 2016
==========================================================
              THE MAHARAJA SALT WORKS CO. PVT. LTD.
                             Versus
                          HIRA JERAM
==========================================================
Appearance:
MR MUKESH A PATEL(636) for the PETITIONER(s) No. 1
DS AFF.NOT FILED (N)(11) for the RESPONDENT(s) No. 2
NIYANT R BHIMANI(8000) for the RESPONDENT(s) No. 1
NOTICE SERVED BY DS(5) for the RESPONDENT(s) No. 2
==========================================================

 CORAM: HONOURABLE MR.JUSTICE K.M.THAKER

                           Date : 26/04/2018
                            ORAL ORDER

1. Heard   Mr.   Patel,   learned   advocate   for  petitioner and learned advocate for respondents. Page 1 of 57 C/SCA/18589/2016 ORDER

2. In this group of 11 petitions, the petitioner  company   has   challenged   common   award   dated  11.7.2016   passed   by   learned   Labour   Court   Rajkot  in   11   Reference   Cases   i.e.   Reference   (LCR)   No.  194/2002   to   198/2002,   203/2002   and   204/2002   and  269/2002 to 272/2002 and 273/2002 whereby learned  Labour   Court   declared   that   the   service   of   the  claimants   were   terminated   illegally.   Upon   such  declaration the learned Labour Court awarded lump  sum   compensation   in   lieu   of   reinstatement   and  backwages.   The   petitioner   is   aggrieved   by   the  said direction. Hence captioned petitions.

3. it   is   declared   by   learned   advocate   for   the  petitioner   that   in   all   petitions   (captioned  above),   the   petitioner   company   has   prayed   for  almost   similar   relief,   except   with   variation   in  respect of the relevant reference number.  3.1 Therefore,   illustratively   the   relief   prayed  for in SCA No. 18589/2016 is quoted below:  Page 2 of 57 C/SCA/18589/2016 ORDER

"15(A) This   Hon'ble   Court   may   kindly   be   pleased   to   allow   the   present   petition   and   be   pleased   to   quash   and   set   aside   the   common   award   and   order   dated   11.07.2016   passed by the Ld. Presiding Officer, Labour Court No.3,  Rajkot   in   Ref   (L.C.R)   No.196   of   2002   along   with   other   Ref. LCR, further declaring that neither the application   of the respondent no.1 is maintainable nor relief prayed   therein   is   grantable   to   the   respondent   no.1,   in   the   interest of the justice."

4. As   mentioned   above   the   award   placed   under  challenge   by   means   of   captioned   petitions   is  common   award   in   respect   of   11   reference   cases.  The   party   aggrieved   by   the   award   i.e.   present  petitioner   company,   is   common   in   all   petitions.  Almost similar contentions against impugned award  are raised in all petitions, of course with some  minor   variations   (which   are   dealt   in   present  order,   separately).   The   sum   and   substance   of  which is that the award should be set aside. The  respondents   in   all   petitions   are   represented   by  same   learned   advocate.   The   learned   advocate   for  petitioner   and   learned   advocate   for   respondents  have urged similar submissions on behalf of their  respective   clients   in   respect   of   all   petitions.  Since similar and common contentions are raised,  Page 3 of 57 C/SCA/18589/2016 ORDER all   petitions   are   decided   by   this   common  decision. 

5. It   would   not   be   out   of   place   to   take   into  account   the   final   direction   passed   by   learned  Labour   Court   which   are   challenged   in   present  petitions.   As   mentioned   above,   after   having  declared   that the  termination  of  service  of the  claimants   is   illegal   the   learned   Labour   Court  awarded below mentioned lump sum compensation to  each claimants.

Name   of   the Reference                    Amount
Workman         Number
Jasmat                    194/2002           Rs.45,000/­
Mohanbhai
Sidik                     195/2002           Rs.48,000/­
Husseinbhai 
Hira Jerambhai            196/2002           Rs.70,000/­
Ravjibhai                 197/2002           Rs.47,000/­
Mohanbhai
Bhupat                    198/2002           Rs.67,000/­
Samantbhai
Magan Sambhu              203/2002           Rs.65,000/­
Shaileshbhai   B. 204/2002                   Rs.50,000/­
Angola
Adambhai                  269/2002           Rs.45,000/­
Sidikbhai
Bhikhubhai                270/2002           Rs.46,000/­
Mohanbhai


                              Page 4 of 57
        C/SCA/18589/2016                            ORDER



Gulmahmad                 271/2002           Rs.75,000/­
Arabbhai
Sambhubhai       273/2002                    Rs.85,000/­
Motibhai   Varso 
Kunvarben 
Sambhubhai   and 
Bababhai 
Sambhubhai


6. So far as factual background is concerned, it  has   emerged   from   the   award   and   from   rival  submissions that concerned 11 workmen (employees  of present petitioner) raised industrial dispute  with   the   allegation   that   the   opponent   employer  (present petitioner company) illegally terminated  their   service   on   30.11.2000.   Appropriate  government   referred   the   dispute,   vide   order   of  reference   dated   15.7.2002,   for   adjudication   to  learned   Labour   Court   at   Rajkot.   Learned   Labour  Court   registered   the   said   dispute   as   separate  reference   cases   (i.e.   reference   number   194/2002  to   198/2002,   203/2002   and   204/2002   and   269/2002  to 272/2002 and 273/2002.

Page 5 of 57 C/SCA/18589/2016 ORDER

7. In their respective statements of claim, the  claimants alleged that they were employees of the  opponent   company  and  were employed  as Pump  man,  Security   man,   Driver,   Mistry,   Chemist   and  Labourer.   The   claimants   also   alleged   that   they  were employed by the opponent company since many  years   and   they   were   regular   and   permanent  employees.   The   claimants   also   alleged   that   the  company was not paying salary regularly and their  unpaid wages had accumulated for almost 8 months.  The     claimants   also   alleged   that   to   demand   the  unpaid wages they had issued a notice. According  to   the   claimants   their   demand   infuriated   the  Company   and   therefore   the   company   abruptly  terminated   their   service   on   30.11.2000   by   oral  order and without following procedure prescribed  by law and in violation of principle of natural  justice.   The   claimants   also   alleged   that   after  terminating   their   service   the   company   engaged  other   persons.   According   to   the   claimants   the  Company committed breach of statutory provision.  With   such   allegations,   the   claimants   demanded  Page 6 of 57 C/SCA/18589/2016 ORDER reinstatement   in   service   with   consequential  benefits. It is pertinent that the claimants also  placed   before   learned   Labour   Court   the   details  with  regard  to total  length  of  service  rendered  by them and the salary paid to them at the time  when   the   company   terminated   their   service.   The  said details are recapitulated and summarised by  learned   Labour   Court   in   Para­2   of   the   award,  which reads thus: 

Reference  Total  Salary Designation No. Length   of  Service 194/2002 4 years Rs.1200/­ Pump Man 195/2002 5 years Rs.1400/­ Security  Man 196/2002 8 years Rs.2100/­ Driver 197/2002 5 years Rs.1300/­ Pump Man 198/2002  7 years Rs.2000/­ Mistry 203/2002 7 years Rs.1958/­ Driver 204/2002 4 years Rs.2000/­ Chemist 269/2002 4 years Rs.1200/­ Labourer 270/2002 5 years Rs.1200/­ Pump Man 271/2002 12 years Rs.2100/­ Driver 273/2002 30 years Rs.2160/­ Pump Man Page 7 of 57 C/SCA/18589/2016 ORDER

8. In response to the Notice issued by learned  Labour   Court,   the   opponent   Company   appeared  before learned Labour Court and filed its Reply.  The   gist   of   the   reply   filed   by   the   Company   is  summarised  by learned  Labour  Court  in Para­3  of  the   award,   which   gives   out   that   the   Company  claimed that:

(a) the   Company   was   facing   and   passing   through  serious   financial   crises   so   much   so   that   the  company had difficulty in payment of wages to the  workmen.
(b) it   had   not   terminated   service   of   the  claimants; 
(c) certain claimants had abandoned the service;
(d) whereas 4 claimants had voluntarily resigned  and   collected   the   wages   and   had   issued   receipt  acknowledging the payment;
(e) Since  the  workmen  had  abandoned  the  service  or   submitted   resignation,   question   of   issuing  notice   and   /   or   notifying   senior   list   and/   or  payment of compensation did not arise;
Page 8 of 57 C/SCA/18589/2016 ORDER

9. Thus,   in   substance,   the   Company   emphasised  that   it   had   not   terminated   service   of   the  claimants and that there was no overt act on its  part and the claimants had abandoned the service,  except   the   4   claimants   who   had   (allegedly)  submitted resignation. 

10. After the parties completed their pleadings,  the   claimants   and   the   Company   placed   on   record  documents. The details of the documents placed on  record by the petitioner Company is described by  the learned Labour Court in Paras­6 and 7 of the  award whereas the details of the documents placed  on record by the claimants are mentioned in Para­ 4 of the award.

11. Before proceeding further, it is relevant to  mention at this stage that in Para­5 of the award  the learned  Labour  Court  has  recorded  that  both  sides   had   jointly   and   voluntarily   requested   to  consolidate all reference cases for all purposes  including evidence. Accordingly the claimants as  Page 9 of 57 C/SCA/18589/2016 ORDER well   as   the   Company   led   oral   evidence   only   in  respect  of  one reference  case  and requested  the  learned  Labour   Court  to treat  the said  evidence  as   evidence   for   all   reference   cases.   For   an   on  behalf   of   the   claimants   deposition   of   one  Sambhubhai   Motibhai   was   recorded   and   some  claimants   had   filed   affidavit   in   lieu   of  examination­in­chief.   On   behalf   of   Company,  evidence of one Mr. S.P. Puriyana was recorded.

12. After   the   contesting   parties   closed   oral  documentary evidence, learned Labour Court heard  rival   submissions   by   contesting   parties.   Upon  conclusion of the submission learned Labour Court  considered   the   material   available   on   record   and  the   rival   submissions.   On   consideration   of  material available on record, relevant provisions  and   rival   submissions,   learned   Labour   Court  reached to the findings of fact that the workmen  proved   that   the   Company   illegally   terminated  their   service   and   that   the   company   failed   to  establish   that   the   claimants   had   abandoned   the  Page 10 of 57 C/SCA/18589/2016 ORDER service and/ or that some of them had submitted  resignation.   Having   reached   said   conclusion,  learned   Labour   Court   considered   the   issue   about  appropriate relief. Learned Labour Court reached  to   the   decision   that   in   light   of   facts   of   the  case,   though   termination   of   service   is   found  illegal, final relief deserves to be moulded i.e.  instead   of   granting   reinstatement   and   backwages  lump   sum   compensation   should   be   granted.  Therefore, the learned Labour Court passed above  mentioned directions. 

13. The workmen seems to have accepted the award  inasmuch   as   until   now   the   claimants   have   not  challenged   the   learned   Labour   Court's   decision  refusing   the   relief   in   form   of   reinstatement  and / or against denial of backwages. The workmen  have   not   challenged   the   decision   granting   lump  sum compensation  and  have also  not  raised  claim  for enhancement of the compensation.  Page 11 of 57 C/SCA/18589/2016 ORDER

14. From the award it has emerged that one of the  claimants   died   during   pendency   of   the  proceedings.   His   heirs/   legal   representatives  were impleaded in the pending proceedings.

15. Mr.  Patel,   learned   advocate  for  the  Company  assailed the award. He submitted that the learned  Labour   Court   failed   to   appreciate   that   the  claimants,   except   the   4   claimants   who   tendered  resignation,   had   abandoned   their   services.   He  also submitted that in case of the 4 claimants,  who,   according   to   the   Company,   tendered  resignation,   learned   Labour   Court   failed   to  appreciate   the   said   submission   and   the   Court  committed  error  in holding   that the  Company  had  terminated   their   service.   According   to   learned  advocate   for   the   petitioner   the   conclusion   by  learned Labour Court that it is the Company who  had terminated   service  of the  claimants  as well  as   conclusion   that   the   Company   committed   breach  of   statutory   provision,   is   incorrect,   arbitrary  and   unjustified.   According   to   the   learned  Page 12 of 57 C/SCA/18589/2016 ORDER advocate   for   the   petitioner   the   learned   Labour  Court   failed   to   appreciate   that   the   claimants  failed   to   place   any   evidence   on   record   to  establish   that   they   had   worked   for   240   days.  According to learned advocate for petitioner the  learned   Labour   Court   committed   error   in   drawing  adverse inference against the Company with regard  to   attendance   of   the   claimants   and   in   assuming  that the claimants had worked for 240 days. The  learned   advocate   for   the   petitioner   submitted  that the claimants raised dispute about 18 months  after   the   date   of   termination   and   that   the  claimants   did   not   place   any   evidence   on   record  with   regard   to   their   appointment   and/   or   with  regard to termination of their services. 

16. I have   considered  rival  submissions.  I  have  also considered material available on record and  common award passed by learned Labour Court. 

17. In   all   11   claimants   had   raised   industrial  dispute   and   their   disputes   were   referred   to  Page 13 of 57 C/SCA/18589/2016 ORDER learned Labour Court at Rajkot, for adjudication.  The   said   claim   and   dispute   by   11   claimants  culminated   into   above   mentioned   11   separate  reference cases before the learned Labour Court. 

18. After   adjudication   of   said   reference   cases,  the   learned   Labour   Court,   for   the   reasons  recorded   in   common   award,   reached   to   the  conclusion   that   the   opponent   employer   (the  company) terminated service of said 11 claimants  and   that   the   Company   terminated   service   of   the  said   11   claimants   without   following   procedure  prescribed.   Having   reached   such   conclusion,  learned   Labour   Court   deemed   it   proper   to   award  lump   sum   compensation   in   lieu   of   reinstatement  and   another   consequential   benefits.   Learned  Labour Court, after taking into account period of  service   rendered   by   each   claimant   and   the  claimant's   status   after   termination   of   service  i.e. whether he was gainfully employed elsewhere  or not, determined the amount of compensation.The  Page 14 of 57 C/SCA/18589/2016 ORDER details  are  mentioned  in foregoing  part  of this  order. 

19. So   far   as   11th  claimant   i.e.   Sambhubhai   is  concerned,   he   died   during   proceedings.   Learned  Labour Court awarded Rs.85,000/­towards lump sum  compensation for the said 11th claimant Sambhubhai  and   directed   the   respondent   to   pay   the   said  amount   to   the   heirs   /   legal   representatives   of  the said claimants.

20. The Company is aggrieved by the common award.  

21. Mr.  Patel,   learned   advocate  for  the  Company  made   an   attempt   to   segregate   the   cases   of   the  said   11   cases   in   3   categories/   groups   on   the  premise  that  the  company  had  opposed  the  claims  by   the   claimants   on   said   3   broad   categories  namely:

(a)   4   claimants   (Mr.  Hira   Jerambhai,   Mr.   Magan  Sambhu,   Mr.Shaileshbhai   B.   Angola   and  Mr.Gulmahmad   Arabbhai)   had   settled     their   claim  Page 15 of 57 C/SCA/18589/2016 ORDER with the Company; 
(b)   2   claimants   (Mr.   Bhikhubhai   Mohanbhai   and  Mr.Sambhu) had voluntarily abandoned the service  and   voluntarily   stopped   reporting   for   duty,  though   the   Company   had   not   terminated   their  service; and 
(c)   Names   of   5   claimants   (namely   Ravjibhai  Mohanbhai,   Mr.   Sidik   Husseinbhai,   Mr.   Jasmat  Mohanbhai, Mr. Bhupat Samantbhai and Mr. Adambhai  Sidikbhai)   did   not   exist   on   the   rolls   of   the  Company   and   that   therefore   their   claim   against  the company was unjustified and untenable.  

22. I   have   considered   rival   submissions   and  material   available   on   record.   I   have   also  considered impugned award. 

23. At the outset it is relevant to deal with the  petitioner's contention that the petitioner is a  seasonal   establishment.   There   is   nothing   on  record   even   to   indicate   that   the   petitioner  undertaking   is   and   can   be   considered   "Seasonal  Page 16 of 57 C/SCA/18589/2016 ORDER Establishment/ Industry". In this context, it is  relevant   and   necessary   to   take   into   account  provision   under   Section   25(A)(2)   which   reads  thus:

"25(A) Application of Section 25C to 25E­(1)Sections 25C  to   25E   inclusive   shall   not   apply   to   Industrial  Establishments to which Chapter VB applies,
(a) to   industrial   establishments   in   which   less   than   fifty   workmen   on   an   average   per   working   day   have   been   employed in the preceding calendar month; or
(b) to   industrial   establishments   which   are   of   a   seasonal   character   or   in     which  work   is  performed   only   intermittently.
(2) If   a   question   arises   whether   an   industrial   establishment is of a seasonal character or whether work   is   performed  therein only intermittently, the decision   of the appropriate Government thereon shall be final."

24. The petitioner did not pelad/ did not prove  such  claim  before  the learned  Labour  Court.  Any  document   (Certificate)   issued   by   appropriate  government declaring the petitioner establishment  as Seasonal undertaking was not placed on record  before learned Labour Court. 

25. When   learned   advocate   for   petitioner   was  confronted with the said lacuna and also with the  findings   of   facts   recorded   by   learned   Labour  Court   in   impugned   award   on   this   count,   learned  Page 17 of 57 C/SCA/18589/2016 ORDER advocate   for the  petitioner  tried  to change  the  stance   of   claim   and   submitted   that   what   the  petitioner   actually   claims   is   not   that   it   is   a  seasonal   establishment   but   its   that   activities  are of seasonal character. 

26. On   this   count   also   it   is   pertinent   to   note  that   the   Petitioner,   as   recorded   by   learned  Labour   Court,   failed   to   place   any   evidence   on  record   to   establish   that   (i)   its   primary   and  fundamental   or   main   activities   are   of   seasonal  character   and/   or   the   activities   are   performed  intermittently;   and   (ii)   the   concerned   workmen  were   exclusively   employed­engaged   only   for  activity   for   seasonal   character   or   activity  performed intermittently. 

27. Any   evidence   worth   its   name   which   would  establish above mentioned two basic criteria and  requirement   was   not   placed   before   the   learned  Labour Court. 

Page 18 of 57 C/SCA/18589/2016 ORDER

28. Even as of now such evidence is not available  on record of this group of petitions. 

29. Besides this, there is conspicuous absence of  cogent   evidence   to   establish   that   every   year  during   alleged   and   so   called   "off­season"   the  claimants were regularly and officially relieved  and   they   were,   subsequently   i.e.   upon  commencement of new season, again called for work  and/   or   during   such   period   retaining   allowance  was paid to the claimants. 

30. In   absence   of   any   evidence   which   would  establish   above   mentioned   2   basic   criteria   to  determine as to whether the industry is seasonal  industry and / or whether the main and principal  activities   of   the   industry/   establishment   are  seasonal   and   are   carried   on   intermittently   and  whether the claimants were engaged only for such  seasonal   activities   or   the   activities   which   are  undertaken   intermittently,   such   bold   and  unsubstantial   claim   and   contention   cannot   be  Page 19 of 57 C/SCA/18589/2016 ORDER entertained  and  accepted   at this  stage,  more  so  when   there   is   no   evidence­   material   on   record  which   would   support   and   substantiate   and   prove  said statement and submission.

31. It is pertinent that even in purely seasonal  industry   there   are   several   jobs   which   are  undertaken   through   out   the   year   irrespective   of  the fact that the main activity of the industry  gets   suspended   during   off­season   (e.g.   work   of  sweeper/   cleaner   and   work   related   repairs   and  maintenance/   work   administrative   and   accounts  department   as   well   as   other   post   manufacturing  activities, etc.)

32. In this view of the matter and in absence of  any evidence such bare, bold and unsubstantiated  defence   that   the   concerned   establishment   is  seasonal industry or it is engaged in activities  which   are   seasonal   and   are   undertaken  intermittently,   cannot   be   accepted   and   that  therefore  it cannot  be  said that  learned   Labour  Page 20 of 57 C/SCA/18589/2016 ORDER Court   committed   any   error   in   the   award/   its  decision. 

33. In this context it is also relevant to note  that   on   one   hand   the   petitioner   tried   to   claim  that  it is a seasonal  industry   and subsequently  the petitioner tried to change the stance before  this Court and claimed that its activities are of  seasonal   character   and   undertaken   intermittent.  Having   raised   such   two   distinct   contention,   the  petitioner   also   tried   to   contend   that   the  claimants   had   not   worked   for   240   days   which   is  minimum   requirement   for   invoking   protection  available   under   Section   25F   of   the   Act.   In   the  said   process   i.e.   while   raising   the   said   2nd  contention the petitioner lost sight of the fact  that   according   to   the   provisions   under   Section  25(B)   of   the   Act   the   requirement   of   240   days  would   not   be   relevant   in   case   of   "seasonal  industry"   or   intermittent   activities   where  workmen are not engaged during off­season.  Page 21 of 57 C/SCA/18589/2016 ORDER

34. Under   the   circumstances,   the   petitioner's  contention   raised   on   the   ground   of   seasonal  industry   or   intermittent   activities   cannot   be  sustained.   The   submissions   and   contentions   on  said premise deserve to be rejected and they are  hereby, accordingly, rejected. It cannot be said  that learned Labour Court committed any error on  this count.

35. As   mentioned   above,   in   respect   of   certain  group of claimants/ workmen (more particularly in  respect of claimant Mr. Bhikhubhai Mohanbahi and  claimant Mr. Sambhubhai Motibhai) the petitioner  claimed   and   alleged   that   the   said   claimants  voluntarily abandoned the work. 

36. In this context, it is necessary to take into  account   the   undisputed   fact   that   the   petitioner  failed  to point  out  any provision  from  standing  orders   (either   the   petitioner's   own   settled/  certified   standing   order   or   Model   standing  orders) that there is a provision/ Rule under the  Page 22 of 57 C/SCA/18589/2016 ORDER standing   orders   which   provide   that   continuous  absence   for   more   than   specified   number   of   days  would result into lost of lien. 

37. In absence of such provisions there could not  be any presumption about voluntary abandonment of  work. 

38. Even   if   it   is   assumed   that   the   claimants  remained   unauthorisedly   absence   for   more   number  of   days   then   at   the   most   it   can   be   treated   as  misconduct.   When   unauthorised   absence   of   the  concerned workmen is considered misconduct, then  appropriate   disciplinary   proceedings   in  accordance with provisions under standing orders  should   be   carried   out   and   the   employer   should  comply principles of natural justice. In present  case such proceedings should have been conducted.  It is an undisputed fact that in present case the  petitioner   did   not   conduct   domestic   inquiry   in  accordance   with   provision   under   standing   orders  and did  not grant  opportunity  of hearing   before  Page 23 of 57 C/SCA/18589/2016 ORDER deleting   the   names   of   the   claimants   from   the  register   and   before   assuming   that   the   claimants  voluntarily abandoned their services. 

39. In   absence   of   disciplinary   action   and   when  the   conduct   of   alleged   unauthorised   absence   is  not   treated   as   misconduct   but   treated­   on  assumption­ as abandonment of service, the action  of treating workman's services having come to an  end   would   amount   to   retrenchment.   In   this  context, reference can be had to the decision in  case of D.K.Yadav v. JMA Industries Ltd. [(1993)  3   SCC   259]   wherein   the   Hon'ble   Apex   Court  observed and held, inter alia, that: 

"4. In   Punjab   Land   Development   and   Reclamation   Corporation Ltd., Chandigarh v. Presiding Officer, Labour   Court,   Chandigarh,   (1990)   3   SCC   682,   the   Constitution   Bench   considered   the   scope   of   the   word   'retrenchment'   defined by Section 2(oo) and held in para 71 at page 716   that "analysing the definition of retrenchment in Section   2(oo)   we   find   that   termination   by   the   employer   of   the   service of a workman would not otherwise have covered the   cases excluded in clauses (a) and (b) namely, voluntary   retirement and retirement on reaching the stipulated age   of retirement or on the grounds of continued ill health.   There   would   be   no   violational   element   of   the   employer.   Their   express   exclusion   implies   that   those   would   otherwise have been included. In para 77 at page 719 it   was   further   held   that   "right   of   the   employer   and   the  contract of employment has been effected by introducing   Section   2(oo)".   The   contention   of   the   management   to   terminate the service of an employee under the certified   Standing Orders and under the contracts of employment was   Page 24 of 57 C/SCA/18589/2016 ORDER negatived   holding   that   the   right   of   the   management   has   been   effected   by   introduction   of   Section   2(oo)   and   Section   25F   of   the   Act.   The   second   view   was   that   the   right as such has not been affected  or taken away, but  only an additional social obligation has been imposed on   the employer to abide  by the mandate  of Section  25F of  the   Act   to   tide   over   the   financial   difficulty   which   subserves   the   social   policy.   This   Court   relied   on   the   maxim ­ Stat pro ratione  valuntas  populi  : the will of  the people stands in place of a reason. In paragraph 82   at page 722 this Court concluded that the definition in   Section   2(oo)   of   the   Act   of   retrenchment   means   "the   termination by the employer of the service of a workman   for any reason whatsoever except those expressly excluded   in the section". Same view was taken by three benches of   three Judges of this Court in State Bank of India v. N.  Sundara   Mani,   (1976)   3   SCR   160   :   (AIR   1976   SC   1111);   Delhi   Cloth   &   General   Mills   Ltd.   v.   Shambhu   Nath   Mukherjee,   (1978)   1   SCR   591   :   (AIR   1978   SC   8)   and   Hindustan Steel Ltd. v. Presiding Officer, Labour Court,   (1977) 1 SCR 586 : (AIR 1977 SC 31) and two benches of   two   judges   in   Robert   D'Souza   v.   Executive   Engineer   Southern  Railway,  (1982)  1 SCC 645 : (AIR 1982 SC 854)   and H. D. Singh v. Reserve Bank of India, (1985) 4 SCC   201: (AIR 1986 SC 132) took the same view. Therefore, we   find   force   in   the   contention   of   Sri   R.   K.   Jain,   the   learned   Senior   counsel   for   the   appellant   that   the   definition   'retrenchment'   in   Section   2(oo)   is   a   comprehensive   one   intended   to   cover   any   action   of   the   management to put an end to the employment of an employee   for any reason whatsoever. We need not, however, rest our   conclusion   on   this   point   as   in   our   considered   view   it   could   be  decided   on  the  other  contention   raised   by  Sri   Jain   that   the   order   is   violative   of   the   principles   of   natural   justice.   We   are   impressed   with   that   argument.   Before   dealing   with   it,   it   is   necessary   to   dispose   of   inter­related contentions raised by Dr. Anand Prakash.

5.   The   Contention   of   Dr.   Anand   Prakash   that   since   the   appeal   was   deleted   from   the   constitution   bench   to   be   dealt   with   separately,   the   finding   of   the   constitution   bench   deprived   the   respondent   of   putting   forth   the   contention based on clause (13) of the certified standing   order   to   support   impugned   action   and   the   respondent   is   entitled to canvass afresh the correctness of the view of   the Constitution Bench is devoid of force. It is settled   law that an authoritative law laid after considering all   the relevant provisions and the previous precedents, it   is   no   longer   open   to   be   recanvassed   the   same   on   new   grounds or reasons that may be put forth in its support   unless the Court deemed appropriate to refer to a larger   bench in the larger public interest to advance the cause   of justice. The constitution bench in fact went into the   self same question vis­a­vis the right of the employer to   fall   back   upon   the   relevant   provision   of   the   certified   Page 25 of 57 C/SCA/18589/2016 ORDER Standing   Orders   to   terminate   the   service   of   the   workman/employee. By operation of Section 2(oo) the right   of the employer under Clause 13(2)(iv), and the contract   of   employment   has   been   effected.   More   over   in   Ambika   Prasad Mishra v. State of U.P., (1980) 3 SCC 719 at 722­ 23   paras   5   and   6   :   (AIR   1980   SC   1762   at   Pp.   1764­65,   paras 5 and 6) a Constitution Bench held that every new   discovery or argumentative novelty cannot undo or compel   reconsideration   of   binding   precedent.   It   does   not   lose   its   authority   'merely'   because   it   was   badly   argued,   inadequately   considered   and   fallaciously   reasoned.   In   that case the ratio of this Court on Article 31A decided   by   13   Judges   bench   in   Keshwanand   Bharti   v.   Union   of   India,   1973   was   sought   to   be   reopened   but   this   Court   negatived the same.

6. His contention that expiry of eight days' absence from   duty   brings   automatic   loss   of   lien   on   the   post   and   nothing  more need be done by the management to pass an  order terminating the service and per force termination   is automatic, bears no substance. The constitution bench   specifically   held   that   the   right   of   the   employer   given   under   the   standing   Orders   gets   effected   by   statutory   operation. In Robert D'Souza's case in para 7, this Court   rejected   the   contention   that   on   expiry   of   leave   the   termination of service is automatic and nothing further   could be done. It was further held that striking off the   name   from   the   rolls   for   unauthorised   absence   from   duty   amounted to termination of service and absence from duty   for   8   consecutive   days   amounts   to   mis   conduct   and   termination of service on such grounds without complying   with minimum principles of natural justice would not be   justified.   In  Shambhunath's   case   three­Judge   bench   held   that striking off the name of the workman for absence of   leave itself amounted to retrenchment. In H. D. Singh v.   Reserve Bank of India, this Court held that striking off   the name from the rolls amounts to an arbitrary action.   In State Bank of India v. Workmen a two­Judge bench of  this   Court   to   which   one   of   us,   K.Ramaswamy,J.   was   a   member   was   to   consider   the   effect   of   discharge   on   one   month's notice or pay in lieu thereof. It was held that   it   was   not   a   discharge   simpliciter   or   a   simple   termination   of   service   but   one   camouflaged   for   serious   misconduct. This Court lifted the veil and looked beyond   the apparent tenor of the order and its effect.  It was  held that the action was not valid in law.

7. The principle question is whether the impugned action   is violative of principles of natural justice. In A. K.   Kriapak  v.   Union   of  India   a  constitution   bench   of  this   Court   held   that   the   distinction   between   quasi   judicial   and administrative order has gradually become thin. Now   it  is  totally   eclipsed   and  obliterated.   The  aim   of  the   rule of natural justice is to secure justice or to put it   negatively to prevent miscarriage of justice. These rules   operative in the area not covered by law validly made or   Page 26 of 57 C/SCA/18589/2016 ORDER expressly excluded as held in Union of India v. N. Singh.   It   is   settled   law   that   certified   standing   orders   have   statutory   force   which   do   not   expressly   exclude   the   application   of   the   principles   of   natural   justice.   Conversely the Act made exceptions for the application of   principles   of   natural   justice   by   necessary   implication   from   specific   provisions   in   the   Act   like   Sections   25F,   25FF,   25FFF   etc.,   the  need   for   temporary   hands   to  cope   with   sudden   and   temporary   spurt   of   work   demands   appointment   temporarily   to   a   service   of   such   temporary   workmen to meet such exigencies and as soon as the work   or services are completed, the need to dispense with the   services may arise. In that situation, on compliance of   the   provisions   of   Section   25F   resort   could   be   had   to  retrench the employees in conformity therewith particular   statute   or   statutory   rules   or   orders   having   statutory   flavour   may   also   exclude   the   application   of   the   principles of natural justice expressly or by necessary   implication. In other respects the principles of natural   justice   would   apply   unless   the   employer   should   justify   its   exclusion   on   given   special   and   exceptional   exigencies.

8.   The   cardinal   point   that   has   to   be   born   in   mind,   in   every case, is whether the person concerned should have a   reasonable   opportunity   of   presenting   his   case   and   the   authority   should   act   fairly,   justly,   reasonably   and   impartially. It is not so much to act judicially but is   to   act   fairly,   namely,   the   procedure   adopted   must   be   just,   fair   and   reason   able   in   the   particular   circumstances of the case. In other words application of   the principles of natural justice that no man should be   condemned unheard intends to prevent the authority to act   arbitrarily effecting the rights of the concerned person.

9. It is a fundamental rule of law that no decision must   be   taken   which   will   affect   the   right   of   any   person   without first being informed of the case and be given him   her   an   opportunity   of   putting   forward   his/her   case.   An   order   involving   civil   consequences   must   be   made   consistently   with   the   rules   of   natural   justice.   In   Mohinder Singh Gill v. Chief Election Commissioner, the   Constitution   Bench   held   that   'civil   consequence'   covers   infraction of not merely property or personal right but   of   civil   liberties   material   deprivations   and   non­ pecuniary damages. In its comprehensive connotation every   thing that affects a citizen in his civil life inflicts a   civil  consequence.   Black's   Law   Dictionary,   4th   Edition,   page   1487   defined   civil   rights   are   such   as   belong   to  every   citizen   of   the   state   or   country....   they   include   ...... rights capable of being enforced or redressed in a   civil   action   ........In   State   of   Orissa   v.   Dr.   (Miss)   Binapani Dej, this Court held that even an administrative   order   which   involves   civil   consequences   must   be   made   consistently   with   the   rules   of   natural   justice.   The   person   concerned   must   be   informed   of   the   case,   the   Page 27 of 57 C/SCA/18589/2016 ORDER evidence in support thereof supplied and must be given a   fair   opportunity   to   meet   the   case   before   an   adverse   decision is taken. Since no such opportunity was given it   was   held   that   superannuation   was   in   violation   of   principles of natural justice.

10.   In   state   of   West   Bengal   v.   Anwar   Ali   Sarkar,   per   majority,   a   seven   Judge   bench   held   that   the   rule   of   procedure   laid   down   by   law   comes   as   much   within   the   purview of Article 14 of the Constitution as any rule of   substantive   law.   In   Maneka   Gandhi   v.   Union   of   India,   another bench of seven judges held that the substantive   and procedural laws and action taken under them will have   to pass the test under Article 14. The test of reason and   justice cannot be abstract. They cannot be divorced from   the needs of the nation. The tests have to be pragmatic   otherwise   they   would   cease   to   be   reasonable.   The   procedure   prescribed   must   be   just,   fair   and   reasonable   even though there is no specific provision in a statute   or rules made thereunder for showing cause against action   proposed to be taken against an individual, which affects   the right of that individual. The duty to give reasonable   opportunity to be heard will be implied from the nature   of  the   function  to   be  performed   by  the   authority   which   has the power to take punitive or damaging action. Even   executive   authorities   which   take   administrative   action   involving any deprivation of or restriction on inherent   fundamental   rights   of   citizens,   must   care   to   see   that   justice   is   not   only   done   but   manifestly   appears   to   be   done. They have a duty to proceed in a way which is free   from   even   the   appearance   of   arbitrariness,   unreasonableness   or   unfairness.   They   have   to   act   in   a   manner   which   is   patently   impartial   and   meets   the   requirements of natural justice.

11.   The   law   must   therefore   be   now   taken   to   be   well   settled that procedure prescribed for depriving a person   of livelihood must meet the challenge of Article 14 and   such   law   would   be   liable   to   be   tested   on   the   anvil   of   Article 14 and the procedure prescribed by a statute or   statutory   rule   or   rules   or   orders   effecting   the   civil   rights   or   result   in   civil   consequences   would   have   to   answer   the   requirement   of   Article   14.   So   it   must   be   right,   just   and   fair   and   not   arbitrary   fanciful   or   oppressive. There can be no distinction between a quasi­ judicial function and an administrative function for the   purpose of principles of natural justice. The aim of both   administrative   inquiry   as   well   as   the   quasi­judicial   enquiry is to arrive at a just decision and if a rule of   natural justice is calculated to secure justice or to put   it   negatively   to   prevent   miscarriage   of   justice,   it   is   difficult   to   see   why   it   should   be   applicable   only   to  quasi­judicial enquiry and not to administrative enquiry.   It must logically apply to both.

15. In this case admittedly no opportunity was given to   the   appellant   and   no   enquiry   was   held.   The   appellant's   Page 28 of 57 C/SCA/18589/2016 ORDER plea   put   forth   at   the   earliest   was   that   despite   his   reporting   to   duty   on   December   3,   1980   and   on   all   subsequent   days   and   readiness   to   join   duty   he   was   prevented to report to duty, nor he be permitted to sign   the attendance register. The Tribunal did not record any   conclusive finding in this behalf. It concluded that the   management had power under Clause (13) of the certified   Standing   Order   to   terminate   with   the   service   of   the   appellant.   Therefore,   we   hold   that   the   principles   of   natural justice must be read into the Standing Order No.   13(2)(iv).   Otherwise   it   would   become   arbitrary,   unjust   and   unfair   violating   Article   14.   When   so   read   the   impugned action is violative of the principles of natural   justice. 

16. This conclusion leads us to the question as to what   relief the appellant is entitled to. The management did   not conduct any domestic enquiry nor given the appellant   any   opportunity   to   put   forth   his   case.   Equally   the   appellant   is   to   blame   himself   for   the   impugned   action.   Under those circumstances 50 per cent of the back wages   would meet the ends of justice. The appeal is accordingly   allowed. The award of the Labour Court is set aside and   the   letter   dated   December   12,   1980   of   the   management   quashed. There shall be a direction to the respondent to   reinstate the appellant forthwith and pay him back wages   within   a   period   of   three   months   from   the   date   of   the   receipt of this order. The appeal is allowed accordingly.   The parties would bear their own costs." 39.1  On   this   count,   profitable  reference   can  also   be   had   to   decision   in   case   of   Punjab   Land  Development   and   Reclamation   Corporation   Ltd.   v.  Presiding   Officer,   Labour   Court.   [(1990)   3   SCC  682]

40. On   one   hand,   it   is   established   that   the  petitioner  did  not treat  the  alleged  conduct   of  the workmen as misconduct and the petitioner did  not conduct any disciplinary proceedings against  Page 29 of 57 C/SCA/18589/2016 ORDER the   said   workmen   for   alleged   absence.   On   the  other   hand,   the   employer   did   not   comply   the  condition prescribed under Section 25F. Thus its  decision   and   action   of   treating   the   alleged  conduct   of   the   workmen   as   voluntary   abandonment  of service and its conduct of canceling workmen's  name   from   the   register   would   amount   to  retrenchment   as   held   by   Hon'ble   Apex   Court   in  above mentioned decision. 

41. Thus, from both perspective the petitioner's  action   against   the   said   workmen   should   fail   it  being   illegal   and   contrary   to   the   provisions  under the Act/ Standing Orders.

42. Besides   above   mentioned   two   perspectives  which   emerged   from   petitioner's   allegation   that  the   said   workmen   voluntarily   abandoned   their  service,   a   more   important   and   relevant   aspect  which   also   emerges   from   the   record   is   that  actually the petitioner failed to establish that  the said workmen were not reporting for duty and/  Page 30 of 57 C/SCA/18589/2016 ORDER or   they   remained   absent   from   duty   and   their  services were not terminated by the company. 

43. In   absence   of   any   evidence   on   this   count,  more   particularly   the   evidence   to   support   the  allegations that the workmen voluntarily remained  absent from duty and that intimation/ instruction  to report for and resume duties were issued above  mentioned 2 situations, would, actually not arise  in   present   case.   Nonetheless,   even   if   it   is  assumed   that   there   was   substance   in   the  petitioner   company's   claim   then   also   above  mentioned   2   aspects   make   out   clear   that   the  termination of the service of the said claimants  was not in accordance with law and that therefore  the   findings   and   conclusion   by   learned   Labour  Court   holding   that   the   said   persons   were  illegally terminated cannot be faulted. In light  of the decision by Hon'ble Apex Court in case of  Punjab   Land   Development   and   Reclamation  Corporation Ltd (Supra) and the decision in case  of D.K.Yadav  v. JMA  Industries  Ltd.  (Supra)  and  Page 31 of 57 C/SCA/18589/2016 ORDER decision by Hon'ble Apex Court in case of SBI v.  N. Sudara Money [(1976) 1 SCC 822), the position  which emerges is to the effect that in absence of  any provision under Standing Order which entails  termination of service on ground of loss of lien  in case where the employee abstains from service  for   long   period   the   employer   has   option   of  treating   prolong   absence   of   an   employee   as  misconduct.   In   such   case   the   employer   would   be  obliged   to   comply   principles   of   natural   justice  and take disciplinary action for such misconduct,  in accordance with law and principles of natural  justice   if   the   said   cause   of   action   is   not  followed   and   the   employer   invokes   the   right   to  assume   that   employee   has   abandoned   the   service  and   accordingly   the   service   of   the   employee   is  deemed  to have  been  abandoned,  then  such  action  of   the   employer   would   amount   to   retrenchment  which   would   entail   obligation   to   comply   the  conditions   prescribed   under   Section   25F   of   the  Industrial  Disputes  Act.  In present  case  it has  emerged   from   the   foregoing   discussion   that   the  Page 32 of 57 C/SCA/18589/2016 ORDER employer   failed   on   both   counts   inasmuch   as   the  petitioner neither treated the alleged absence of  the concerned employees as misconduct and did not  take   disciplinary   action   in   accordance   with   law  and   principles   of   natural   justice.   The   said  failure   branded   the   employer's   decision   namely  treating the alleged absence of the employees as  abandonment of service, as retrenchment (Section  2(oo)   read   with   Section   25F   of   Industrial  Disputes   Act).   However   the   petitioner   did   not  comply   the   condition   under   Section   25F.  Therefore,   learned   Court   is   right   and   justified  in holding the petitioner's action as illegal and  in   breach   of   statutory   provisions.   The   said  decision by learned Court cannot be faulted, more  particularly in light of undisputed fact that the  petitioner   did   not   comply   the   condition   under  Section   25F   and   the   petitioner   neither   took  disciplinary   action   in   accordance   with   law   and  principles of natural justice. 

Page 33 of 57 C/SCA/18589/2016 ORDER

44. In   respect   of   about   5   workmen­claimants  namely   Mr.   Ravjibhai   Mohanbhai,   Mr.   Sidik  Husseinbhai,   Mr.   Jasmat   Mohanbhai,   Mr.   Bhupat  Samantbhai   and   Mr.   Adambhai   Sidikbhai,   learned  advocate   for   the   petitioner   company   tried   to  contend that their names were not on the register  of   the   Company   on   the   date   of   dispute   and   that  therefore there was no justification to consider  them workmen of the company and it could not have  been assumed that the said claimants were workmen  of the petitioner company. 

45. In this context it is pertinent to note that  the petitioner, undisputedly, has installation at  2   sites   namely   Varsha   Medhi   and   Lavanpur.   The  learned   Labour   Court,   after   examining   the  records,   detected   that   the   Company   maintained  separate   record/  registers  for  the said  2 sites  and it conveniently changed the names of workmen  from  one register  to another   i.e. from  register  pertaining to Varsha Medhi to register pertaining  to   Lavanpur   and   vice­a­versa.   Learned   Labour  Page 34 of 57 C/SCA/18589/2016 ORDER Court  also  detected  that  the  Company  had  placed  on record,   the documents  pertaining  to  one site  for   certain   period   and   for   other   period   the  Company placed on record the registers pertaining  to   other   site.   Differently   put   the   Company,   as  observed by the learned Court, did not place on  record all documents/ register of both sites for  entire   period   in   question.   The   learned   Labour  Court   has   recorded   findings   of   fact   that   by  placing on record the documents of one site for  certain   period   and   documents   related   to   other  site for other period the Company kept back the  details and record related to concerned 5 persons  so as to create an impression that names of the  said persons are not on its record. Despite such  attempt  by  the Company   the learned   Labour  Court  could   trace   names   of   some   of   the   concerned  persons   in   some   of   the   registers   placed   on  record.   These   aspects   are   elaborately   mentioned  and considered   by learned  Labour   Court  in Para­ 13(E) of the award. 

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46. There   is   nothing   on   record,   neither   any  material   nor   justification   in   any   other   form,  which   can   convince   this   Court   to   hold   that   the  findings of fact recorded by learned Labour Court  are perverse.

47. The  said  allegation  is  considered  and  dealt  with,   in   considerable   detail,   by   the   learned  Labour Court and relevant discussion is found in  Para­13(E) of the award. 

48. On   reading   the   award   and   more   particularly  the discussion in Para­13, it becomes clear that  learned   Labour   Court   has   recorded   findings   of  facts   which   are   supported   by   sufficient  discussion and sufficient as well as satisfactory  reasons   which,   in   turn,   supported   by   cogent  evidence available on record. 

49. By   any   stretch   of   imagination   it   cannot   be  said   that   the   findings   of   fact   recorded   by  learned   Labour   Court   in   Para­13,   more  Page 36 of 57 C/SCA/18589/2016 ORDER particularly   in   Para­13(E),   so   far   as   above  mentioned   defence   and   allegations   of   the  petitioner   Company   are   concerned,   are   not  supported by evidence on record and/ or that the  said facts are contrary to the evidence on record  and / or said findings of facts are perverse. 

50. The   petitioner   has   failed   to   point   out   any  material   from   record   which   would   convince   this  Court to hold that the findings of fact recorded  by   learned   Labour   Court   in   Para­13   more  particularly   in   Para­13(E)   so   far   as   this  particular   contention   is   concerned,   are   not  sustainable. 

51. In this view of the matter, the said findings  of fact  recorded   by learned  Labour   Court  cannot  be faulted and there is no basis or justification  to   interfere   with   the   said   finding   of   fact   in  exercise   of   writ   jurisdiction/   supervisory  jurisdiction.   Therefore,   the   said   contention  should also fail.

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52. In  respect   of claimants  Mr.  Hira  Jerambhai,  Mr. Magan Sambhu, Mr. Shaileshbhai B. Angola and  Mr.   Gulmahmad   Arabbhai,   learned   advocate   for  petitioner   tried   to   contend   that   the   said  claimants had settled their final account and had  voluntarily   left   the   service   after   accepting/  settling   their   account   finally   and   after  accepting of dues payable to them. 

53. This   aspect   is   elaborately   and   exhaustively  adjudicated and dealt with by the learned Labour  Court in the award, more particularly by findings  of fact  recorded   in Para­13 [Para­13(D)]  of the  award.   Even   the   said   findings   of   fact   are  supported   by   sufficient   discussion   and  satisfactory   reasons   which,   in   turn,   are  supported by cogent evidence available on record. 

54. By   any   stretch   of   imagination   it   cannot   be  said   that   the   findings   of   fact   recorded   by  learned   Labour   Court   in   Para­13,   more  particularly   in   Para­13(D),   so   far   as   above  Page 38 of 57 C/SCA/18589/2016 ORDER mentioned   defence   and   allegations   of   the  petitioner   Company   are   concerned,   are   not  supported by evidence on record and/ or that the  said facts are contrary to the evidence on record  and / or said findings of facts are perverse. The  petitioner  has  failed  to point  out  any material  from   record   of   present   petition   which   would  convince this Court to hold that the finding of  fact recorded by learned Labour Court in Para­13  more   particularly   in   Para­13(D)   so   far   as   this  particular   contention   is   concerned,   are   not  sustainable. 

55. In this view of the matter, the said findings  of fact  recorded   by learned  Labour   Court  cannot  be faulted and there is no basis or justification  to   interfere   with   the   said   finding   of   fact   in  exercise   of   writ   jurisdiction/   supervisory  jurisdiction.   Therefore,   the   said   contention  should also fail.

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56. The document on which the petitioner company  placed   reliance   before   learned   Labour   Court   and  so   also   before   this   Court   to   substantiate   the  said   defence/   submission   with   regard   to   above  mentioned workmen viz. so called resignations is  placed   on   record.   On   reading   the   said   document  i.e.  so called  resignation   and/ or  statement   of  Account,   in   any   manner   do   not   reflect   that   the  claimants settled their account while leaving the  service   or   that   the   said   claimants   tendered  resignation and settled their account finally. 

57. On   the   contrary,   as   rightly   recorded   by  learned   Labour   Court,   it   emerges   from   plain  reading  of the said document/s that the workmen  issued   said   receipt/s   in   acknowledgment   of   the  payment towards unpaid salary for the period upto  2000   (which   was   paid   in   February,   2001).   The  said   document   is   merely   an   acknowledgment   of  payment   of   unpaid   salary   and   by   any   stretch   of  imagination   it   cannot   be   said   that   the   said  document   is   letter   of   resignation   or   that   by  Page 40 of 57 C/SCA/18589/2016 ORDER accepting   the   said   payment   the   claimants   had  settled their account finally with the petitioner  company so as to relinquish the service. 

58. On strength of the said document it cannot be  concluded, rather it cannot be even assumed that  the said claimant left the service on their own  volition   and   settled   their   Account   with   the  employer. 

59. Except   the   said   document/s   the   petitioner  failed to place/ show any material on record to  demonstrate that the said claimants had tendered  resignation and/ or they had voluntarily given up  the service and/ or that they had settled their  account by accepting full and final payment.

60. The   learned   Labour   Court   has,   as   mentioned  above,   elaborately   discussed   this   aspect   in   the  award   and   recorded   the   findings   which   are   duly  supported with cogent reason in Para­13(D) of the  award. 

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61. As   mentioned   above,   there   is   nothing   on  record   to   convince   this   Court   to   disagree   with  the said finding of fact or to disturb the said  findings   of   fact   or   to   hold   that   the   said  findings   are   perverse   therefore   said   contention  should also fail. 

62. Foregoing   discussion   has   brought   out   that  three principal line of defence urged by learned  advocate   for   the   petitioner   by   segregating   the  claimants   in   three   groups,   is   without   substance  and merits. There is no material on record which  would   support   and   justify   the   said   distinction  amongst   the   claimants   sought   to   be   made   by   the  petitioner   and/or   to   support   and   justify   the  contentions  against  the award  in  respect  of the  claimants segregated in the said three groups by  learned advocate for the petitioner. 

63. As   mentioned   earlier,   learned   advocate   for  the petitioner also submitted that the claimants  had   not   worked   for   240   days.     One   part   of   the  Page 42 of 57 C/SCA/18589/2016 ORDER said   contentions   is   dealt   with   in   foregoing  discussion viz. if the petitioner wants to claim  that   its   industry   is   seasonal   industry   or   that  the   claimants   were   engaged   exclusively   for   the  activities  which were  undertaken  intermittently,  then the requirement of minimum attendance of 240  days would not be applicable in case the workmen  who are not engaged during off season and/or who  are working  in seasonal  industry   and/or  who are  engaged   for   activities   which   are   essentially   on  intermittent nature.

64. On   the   other   hand,   it   is   pertinent   to   note  that   the   claimants   specifically   contended   that  they   had   worked   continuously   and   regularly  without   any   break   and   that   they   had   worked   for  more than 240 days. 

65. It was an undisputed fact before the learned  Labour Court that the petitioner company did not  issue wage slip and/or attendance card and that,  therefore, the claimants were unable to place any  Page 43 of 57 C/SCA/18589/2016 ORDER document   on   record.     The   said   documents,   i.e.  wage   register   /   attendance   register   were   in  exclusive   possession   of   the   company.   In   the  decision   by   Hon'ble   Apex   Court   in   case   of  R.M.Yellati v. Asstt. Executive Engineer[(2006) 1  SCC 106], it is explained that when the employer  does   not   issue   pay   receipt,   attendance   card,  identity card, etc and does not place on record  the   pay   and   wage   Registers   for   the   relevant  period   then   the   obligation   to   prove   that   the  workmen did not work for 240 days in preceding 12  months   shifts   to   the   employer.   In   present   case  the petitioner failed to place relevant material  on   record   and   to   demonstrate   that   none   of   the  claimants had worked for 240 days in preceding 12  months or in any year. 

66. At   this   stage,   it   is   relevant   to   note   that  such  segregation  of the  workmen  in  three  groups  and the contentions which are accordingly raised  by learned advocate for the petitioner are raised  and   put   forward   in   absence   of   any   pleading   to  Page 44 of 57 C/SCA/18589/2016 ORDER that effect.

67. During   hearing   of   this   group   of   petitions,  this Court specifically asked learned advocate to  clarify   as   to   whether   the   company   had   filed  separate written statement (reply) in respect of  each   reference   case   with   specific   and   different  contention   as   regards   each   claimant   or   common  reply / written statement was filed. In reply to  the query by the Court learned advocate for the  petitioners   declared   and   clarified   that   though  separate   written   statement   (reply)   were   filed,  however   all   replies   contained   identical   details  and contentions with reference to all claimants.

68. From   the   said   fact   with   regard   to   written  statement   and   fair   declaration   by   the   learned  advocate   for   the   petitioners,   it   becomes   clear  that the petitioners' attempt of segregating the  workmen in three groups which is urged by learned  advocate   for   the   petitioners   before   this   Court,  was never raised or submitted before the learned  Page 45 of 57 C/SCA/18589/2016 ORDER Labour   Court   and   the   written   statement   is  completely silent on this count. 

69. The written statement filed by the company is  found   on   the   record   of   the   petition.   From   the  said written statement, it comes out that any of  the   contentions   were   not   even   raised   in   the  written statement and were not even urged before  the Court during the submissions. 

70. Even   the   allegation/   contention   that   the  claimants   had   not   worked   for   240   days   was   not  even   raised   in   the   reply.   The   company   never  disputed the said factum. 

71. Under   the   circumstances,   actually,   for   the  workmen,   the question  to prove  that  they  worked  for 240 days, did not arise (since the said fact  was   not   even   disputed   by   the   petitioner   in   its  reply). 

72. The   only   contention   /   defence   which   the  Page 46 of 57 C/SCA/18589/2016 ORDER company raised in respect of all claimants in its  separate but identical written statement was that  all   claimants   had   voluntarily   left   service,   the  company did not terminate them but the claimants  stopped   reporting   for   work   and   that,   therefore,  question   of   preparing   and   publishing   seniority  list and/or payment of retrenchment compensation  did not arise.  

73. Of course, one defence besides the defence on  ground of voluntary abandonment viz. that certain  workmen   had   tendered   resignation   and   accepted  final   settlement   of   accounts   was   raised   by   the  company. 

74. However,   so   far   as   the   said   contention   is  concerned, foregoing discussion in present order  [as   well   as   discussion   by   the   learned   Labour  Court in paras 13(B) and 13(D)] has brought out  that   the   said   allegation   and   defence   of   the  company   is   without   merits   and   substance   and  contrary to the documents placed on record by the  Page 47 of 57 C/SCA/18589/2016 ORDER company. 

75. On   reading   the   award   it   comes   out   clearly  that it is after careful and detailed evaluation  and   appreciation   of   the   oral   as   well   as  documentary   evidence   available   on   record,   the  learned   Labour   Court   reached   to   and   recorded  specific findings of fact that 

(a)   the   company   failed   to   prove   that   the  claimants voluntarily abandoned the service;  

(b)   the   claimants   proved   that   the   Company  terminated   their   service   and   that   they   had   not  voluntarily abandoned the service and/ or had not  submitted   resignations,   as   alleged   by   the  Company;

(c) that   the   company   had,   undisputedly,   not  followed   the   procedure   prescribed   under   section  25F   of   the   Act   inasmuch   as   the   notice   as  contemplated   under   section   25F   was   not   issued  and/or   notice   pay   and   retrenchment   compensation  were not paid by the company;

(d) that   the   company   failed   to   comply   the  Page 48 of 57 C/SCA/18589/2016 ORDER requirement under Rule 81 of Industrial Disputes  (Gujarat)  Rules  inasmuch   as the company  did not  prepare and publish seniority list 7 days before  the   date   on   which   the   service   of   the   claimants  came to be discontinued;

(e)   the   company   failed   to   prove   its   allegation  and claim that some of the workmen had tendered  resignation   and   finally   settled   their   accounts; 

(f) the company committed violation of principles  of natural justice;  

(g) the company committed breach of section 25F

76. From the award, it clearly emerges that the  learned   Labour   Court   has   recorded   specific  detailed,   cogent   and   satisfactory   reasons   in  support of aforesaid conclusions and the findings  of fact recorded by the learned Labour Court and  that  the reasons   recorded  by  the learned   Labour  Court   are   supported   by   oral   as   well   as  documentary evidence on record.  

77. The findings of fact recorded by the learned  Page 49 of 57 C/SCA/18589/2016 ORDER Labour   Court   cannot   be   termed   perverse   or   even  contrary to evidence on record or without support  of any evidence. 

78. The   petitioner   has   failed   to   show   any  material   from   the   document   to   demonstrate   that  and   to   convince   this   Court   to   hold   that   the  findings   of fact  recorded  by  the learned   Labour  Court   are   perverse   or   that   they   warrant  interference by this Court.

 

79. It is also relevant to note that the company  claimed,   in   its   written   statement,   that   since  long time, the company had been facing financial  crises   and   its   financial   position   was   weak   and  the company did not have funds even to pay salary  to the  workmen.  The  said  submission  / statement  in   the   written   statement   clarifies   and   supports  the fact that the company had paid unpaid salary  (upto   October,   2000)   to   some   of   the   workmen   in  February 2001 which was due and payable. Page 50 of 57 C/SCA/18589/2016 ORDER

80. At this stage it would be appropriate to deal  with  the decision  on which  the  learned  advocate  for the petitioner placed reliance so as to claim  that   since   some   of   the   workmen   abstained   from  duty,   provision   of   retrenchment   will   not   be  applicable   and   learned   Labour   Court   committed  error in applying the provisions of retrenchment  in case of persons who abstained from duty. 

81. The   learned   advocate   placed   reliance   on  decision in case of Kshetriya Shri Gandhi Ashram,  Magahar   v.   Ram   Samujh   Maurya   and   another   (1990  LAB.  I.C. 1406).   In the facts  and  circumstances  of the case the said decision does not render any  assistance to the petitioners. In this context it  is   also   relevant   and   necessary   to   consider   the  observation  by  Hon'ble  Apex  Court  in Paras­4  to  11 and Paras. 15 and 16 of the decision in case  of D.K.Yadav v. JMA Industries Ltd. [(1993) 3 SCC  259]  as well as the observation by Hon'ble Apex  Court   in   case   of   Punjab   Land   Development   and  Reclamation   Corporation   Ltd.   v.   Presiding  Page 51 of 57 C/SCA/18589/2016 ORDER Officer,   Labour   Court   [(1990)   3   SCC   682].   In  light of the observation by Hon'ble Apex Court in  the said  decisions,  the  cited  decision   does not  help the petitioners. Besides this, when factual  aspects involved in the cited decision are taken  into   account   then   it   comes   out   clearly   that   on  that   ground   also   the   cited   decisions   does   not  help   the   petitioners   because   the   facts   involved  in present case are materially different. 

82. From the cited decision it emerges that the  concerned   workman   had   abstained   from   duty  continuously     for   more   than   2   years   and   that  inspite   of   large   number   of   letters,   which   were  forwarded by the Company to the concerned workman  instructing   him   to   report   for   duty   and   also  notifying  that  failure  to report   for duty  would  entail   consequences,   the   concerned   workman  continued to abstain from duty and did not resume  his   duty.   Besides   writing   several   letters   and  instruction to the concerned workman, the Company  had   even   issued   various   notices   asking   the  Page 52 of 57 C/SCA/18589/2016 ORDER workman to join duty and published the notice in  the   newspaper.   Despite   such   efforts   by   the  Company   the   workman   neither   cared   to   join   the  duty  nor contacted  the  company  and  continued   to  remain absent. 

83. In present case the petitioner has failed to  show   that   such   attempts   were   ever   made   by   the  petitioner in respect of the concerned persons. 

84. Besides   this,   the   petitioner   could   not  establish   before   the   learned   Labour   Court   that  the   concerned   workmen   had   remained   absent,   that  too for such long period. 

85. Under   the   circumstances,   even   on   factual  backdrop   the   decision   does   not   render   any  assistance to the petitioner. 

86. Likewise, in light of the decision by Hon'ble  Apex   Court   in   case   of   of   D.K.Yadav   v.   JMA  Industries Ltd. [(1993) 3 SCC 259]  as well as in  Page 53 of 57 C/SCA/18589/2016 ORDER case   of   Punjab   Land   Development   and   Reclamation  Corporation   Ltd.   v.   Presiding   Officer,   Labour  Court   [(1990)   3   SCC   682]   the   other   decision   on  which the learned advocate for petitioner placed  reliance   (i.e.  decision  by  Bombay  High  Court  in  case   of   Babusaheb   Devgonda   Patil   v.   Managing  Director,   Shri   Panchgonda   Sahakari   Sakhar  Kharkhana Ltd. and another) also does not render  assistance to present petitioner. 

87. Besides   this,   even   on   factual   backdrop   the  said  decision  does  not  render  any assistance   to  the   petitioner   because   in   the   said   2nd  decision  also   the   concerned   workman   had   abstained   from  duty for almost 3 years i.e. from July, 1979 to  June, 1982. It is also relevant to note that in  the   said   2nd  decision   on   which   learned   advocate  for   petitioner   placed   reliance,   the   Court   has  observed that :

"In   the   end   everything   ultimately   depends   on   the   established facts and circumstances of each case and it   is   not   possible   to   lay   down   a   rigid   proposition   of   universal application". 
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88. The Hon'ble Court also clarified that what is  held by the learned Single Judge must necessarily  be   restricted   strictly   and   only   to   the   facts  concurrently   found   therein   and   established   and  that   it   would   not   be   the   intention   of   learned  Single Judge to lay down any principle of law or  any legal  test  contrary  to or inconsistent  with  the   legal   position   laid   down   by   Apex   Court   in  case of L. Robert D'Souza v. Executive Engingeer,  Southern Railway and another. 

89. In light of said observation it would also be  relevant   to   take   into   account   observation   by  Hon'ble Apex Court in case of L. Robert D'Souza  v.   Executive   Engineer,   Southern   Railway   and  another  [(1982)  1 SCC 645]  (which  is  reproduced  by the Hon'ble Court in the cited decision). The  relevant   observation  in the  decision   in case  of  L. Robert D'Souza v. Executive Engineer, Southern  Railway and another reads thus:

"This   Court   has  consistently   held   in  The   State   Bank  of   India   Vs.   Shri   N.   Sundara   Money.,   Hindustan   Steel   Ltd.   Vs.   The   Presiding   Officer,   Labour   Court,   Orissa   and   Page 55 of 57 C/SCA/18589/2016 ORDER Others and Delhi Cloth and General Mills Ltd. Vs. Shambhu   Nath   Mukherji   and   Others,   that   the   expression   'termination   of   service   for   any   reason   whatsoever'   now   covers every kind of termination of service except those   not expressly included in Section 25­F or not expressly   provided   for   by   other   provisions   of   the   Act   such   as   Section 25­FF and 25­FFF." and further­ "Therefore, we adopt as binding the well­settled position   in   law   that   if   termination   of   service   of   a   workman   is   brought   about   for   any   reason   whatsoever,   it   would   be   retrenchment except if the case falls within any of the   excepted   categories   i.e.   (i)   termination   by   way   of   punishment   inflicted   pursuant   to   disciplinary   action;  
(ii)   voluntary   retirement   of   the   workman;   (iii)   retirement   of   the   workman   on   reaching   the   age   of   superannuation if the contract of employment between the   employer and the workman concerned contains a stipulation   in that behalf; (iv) or termination of the service on the   ground   of   continued   ill­health   (pages   333   and   334   respectively of the report)

90. In light of the said observation by Hon'ble  Apex   Court   in   case   of     L.   Robert   D'Souza   v.  Executive Engineer, Southern Railway and another,  the   cited   decisions   even   otherwise   does   not  render any assistance to the petitioner.

91. In light of foregoing discussion, it becomes  clear   that   the   award   impugned   in   present  petitions   is   neither   erroneous   nor   perverse   and  the award does not suffer from any error of law  or jurisdiction.

92. There  is  no  justification  to  interfere   with  Page 56 of 57 C/SCA/18589/2016 ORDER the impugned award and any case for interference  is not made out.

93. On overall consideration of rival contentions  and   material   available   on   record,   the   petitions  fail and do not deserve to be accepted. There is  no justification to hold that the learned Labour  Court has not committed any error and/or that the  award is defective. Therefore, the petitions are  not   accepted.   The   captioned   petitions   are  accordingly rejected. Notice in each petition is  discharged.

(K.M.THAKER, J) saj Page 57 of 57