Friday, November 12, 2010

IF NOBODY ON THE ACCIDENT SITE IS EXAMINED, THE ACCIDENT CAN NOT BE ATTRIBUTABLE TO THE DRIVER

IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED:09.11.2010
CORAM:
THE HON BLE MR.JUSTICE P.JYOTHIMANI
WRIT PETITION NO.47086 OF 2002
..
The Management
Pallavan Transport Corporation
Now renamed as Metropolitan
Transport Corporation
(Chennai Division I) Ltd.,
Pallavan Salai
Chennai 2. .. Petitioner

Vs.

1.Moorthy

2.The Presiding Officer
Ist Additional Labour Court
Chennai. .. Respondents

Writ Petition filed under Article 226 of the Constitution of India praying for issuance of Writ of Certiorari as stated therein.
For petitioner : Mr.G.Muniratnam
For respondents: Mr.V.Ajoy Khose for R.1
..
ORDER

The writ petition is filed by the management of Pallavan Transport Corporation, which is now termed as Metropolitan Transport Corporation, Chennai Division , challenging the award of the Labour Court dated 15.4.2002 made in I.D.No.574 of 1997, by which the Labour Court in the dispute raised by the first respondent, by concluding that the Enquiry Officer s report is perverse, directed the reinstatement of the first respondent in the petitioner Corporation with continuity of service and benefit of backwages and also all other service benefits.

2. According to the first respondent, he was appointed as a Driver in the petitioner Corporation on 14.4.1990 and when he was driving a bus belonging to the petitioner Corporation in the route No.54A from Saidapet to Thirunindravur, the bus involved in the accident with a car coming from the opposite direction, in which three persons travelling in the car died.
a) According to the first respondent, he was moving the vehicle on the left side when the ambassador car came on the opposite side rashly, of course, on its left side and on seeing the said car, the first respondent turned the bus towards left side further, but the car turning to its right side, dashed the bus on the right side and due to the accident, the bus without turning to left side, went to right side due to right pulling, causing the fatal accident.
b) However, on the ground that it was due to the rash and negligent driving of the first respondent the accident took place, the petitioner management issued a charge memo on 2.5.1990, for which the first respondent submitted his explanation. The petitioner directed for a domestic enquiry and the Enquiry Officer submitted his report finding the petitioner as guilty, based on which a second show-cause notice was issued on 8.9.1990 to the first respondent and after considering the explanation submitted by the first respondent, the petitioner terminated the service of the first respondent in the order dated 26.10.1990.
c) Since there were certain other disputes pending, the petitioner filed an approval petition under section 33(2)(b) of the Industrial Disputes Act,1948 in A.P.No.129 of 1990 and approval was granted on 22.8.1991 and thereafter, the first respondent raised industrial dispute in 1997, contending inter alia that the domestic enquiry was not properly conducted and the Enquiry Officer s report was perverse.
d) The said industrial dispute was contested by the petitioner by filing counter stating that the domestic enquiry was conducted by giving sufficient opportunity to the first respondent and all documents relied upon were furnished to the first respondent beforehand and opportunity was given to cross-examine the witnesses produced on the side of the management and therefore, the domestic enquiry was done in accordance with the principles of natural justice and based on the enquiry, the Enquiry Officer found that the charge framed against the first respondent came to be proved and it was thereafter, the second show-cause notice dated 8.9.1990 was given, for which the first respondent gave his explanation on 30.9.1990 and since the explanation was not satisfactory, the first respondent was terminated on 26.10.1990 and approval petition was also ordered and in the approval petition when notice was given to the first respondent/workman, he did not appear.
e) It was also the case of the petitioner management before the Labour Court that even though the approval was granted on 22.8.1991, the first respondent has chose to raise industrial dispute after six years. It was also denied that the bus driven by the first respondent was not having road worthiness and on the other hand, the bus was 100% fit to ply. It was stated that even during the domestic enquiry the first respondent did not raise the issue that the bus was not road worthy. It was also stated by the petitioner management that the accident itself proved the seriousness of it and therefore, on the basis of Res ipsa loquitur, the industrial dispute must be dismissed.

3. Before the Labour Court, on behalf of the workman, the first respondent/workman was examined as witness while the petitioner management did not examine any witness and on behalf of the first respondent workman, 15 documents were marked as Exs.W1 to W15 and on behalf of the petitioner management, 19 documents were marked as Exs.M1 to M19 and the counter filed in MCOP.No.520 of 1991 before Sub Court, Chengalpattu by the petitioner also marked as Court document, Ex.C1.

4. Having found that the first respondent/driver denied the charge and the explanation submitted by him was not satisfactory, the petitioner employer directed for domestic enquiry. The proceedings in the domestic enquiry were marked as Ex.W4 and Ex.M12 and the Enquiry Officer s report submitted to the petitioner management was marked as Ex.W5 and Ex.M13. The order of termination dated 26.10.1990 was marked as Ex.W8 and Ex.M16 and the order passed by the appellate authority against the termination order was marked as Ex.M19. The accident report filed by the Transport Inspector was marked as Ex.M1 and according to the petitioner management, the report says clearly that the petitioner, while driving the bus, went to the right side beyond the centre line and that itself is sufficient to prove the negligence. The Motor Vehicles Inspector in his report marked as Ex.M4 dated 14.4.1990, stated that the accident was not due to the mechanical failure. The Labour Court found that the first respondent driver, during the domestic enquiry requested the Branch Manager of the petitioner management on 12.5.1990 (Ex.M7) to furnish certain documents. Even though it was the case of the petitioner management that such documents were furnished, the Labour Court found that there is no evidence to show that those documents were furnished to the first respondent.

5. In the claim petition filed by the driver of the ambassador car for compensation in MCOP No.520 of 1991, the petitioner in the counter affidavit filed before the Motor Accidents Claims Tribunal marked as Ex.C1, has stated that the accident did not take place due to the negligence of the first respondent driver and that the first respondent driver followed the rules, while the driver of ambassador car ought to have avoided the accident. It was also denied therein that the driver of car was having any licence. Therefore, the Labour Court found that the petitioner management having taken a stand before the Tribunal that the first respondent driver was not negligent in driving, attempted to take a different stand in the disciplinary proceedings to the effect that the first respondent was negligent, rejected the case of the petitioner.

6. It was also found that in the domestic enquiry one Section Officer, Thiru Govindarajan was examined as witness on behalf of the employer, who was not an eye witness for the accident and further, no public or passenger was examined as witnesses in the domestic enquiry or no statement was obtained from such persons except a statement obtained from the accident section Inspector. The Labour Court accepted the contention raised on behalf of the first respondent driver that he was not responsible for the accident, especially when the claim of the first respondent has not been disproved by any eye witness and also taking note of the fact that the complaint given by the accident section Inspector along with his report and sketch and also his oral evidence are all not legally acceptable and his evidence was only based on his own assumptions and presumptions.

7. The Labour Court held that the evidence of the said management witness before the Enquiry Officer in the domestic enquiry can only be taken for the purpose of deciding that there was an accident and the same cannot be used to decide as to whether the first respondent driver was negligent. The Labour Court has also found that in the domestic enquiry the first respondent driver examined one of the passengers of the bus who has stated that in spite of the brake applied by the first respondent driver, the bus was pulled on the right side. The said passenger has also stated that even though the ambassador car on the other side was coming on its left side with great speed, it turned to its right side while reaching near the bus and caused the accident and the Labour Court therefore found that the driver of the car was only responsible for causing the accident.

8. The Labour Court has also found that in the domestic enquiry, the first respondent driver was not cross-examined and therefore, it should be taken that his evidence is uncontroverted evidence and in spite of these, the Enquiry Officer found that the first respondent was responsible for the accident which was found to be perverse. The Labour Court has also found that even though the charge against the first respondent driver itself was not that he was driving with rash speed, when the charge states that the first respondent has violated the Motor Vehicles Rules, there is no specific conduct imputed on him. However, the Enquiry Officer has raised an issue by himself as to whether the first respondent driver has driven the bus with great speed and found that he has driven the bus with great speed, which is also found to be a perverse by the Labour Court.

9. The Labour Court has further found that as per the judgment of criminal Court marked as Ex.W10, the first respondent driver was acquitted on the basis that the charge framed against him was not proved and if really the petitioner management found that there are sufficient evidence to show that the first respondent driver committed the offence, it should have taken appropriate steps to prove the same, but, the criminal Court found that there was no evidence against the first respondent and inasmuch as the version of the first respondent driver remained uncontroverted, since he was not cross-examined by the petitioner management, the evidence of the first respondent has to be taken as such and on that basis, the Labour Court found that there can be no other option but to say that the report of the Enquiry Officer is perverse.

10. The Labour Court has further found that even in the order of removal passed by the petitioner management marked as Ex.W8 dated 26.10.1990, the management admitted that the first respondent had never involved in any accident previously. However, the petitioner management chose to state in the counter filed before the Labour Court that the first respondent had involved in many accidents and he was punished, without filing any proof or particulars. It was, considering the entire situation as stated above, the Labour Court found that there was no basis for the Enquiry Officer s report and the same was found to be perverse and the order of termination passed by the petitioner management based on such report of the Enquiry Officer was set aside and award passed, as stated above.

11. Mr.G.Muniratnam, learned counsel appearing for the petitioner management would vehemently contend that when the Motor Vehicles Inspector s report along with the sketch marked as Ex.M5 was before the Labour Court and the contents of the same also show that the first respondent, while driving the bus, drove the bus on the right side of the road beyond yellow line which is against the Rules and therefore, on the principle of res ipsa loquitur, the contents are to be taken as such and therefore, according to him, the management had no further obligation to provide any other document. He would rely upon the judgments in Anna Transport Corporation Ltd., Salem vs. The Presiding Officer, Labour Court, Coimbatore and another [2000 (1) MLJ 664] and Tamil Nadu State Transport Corporation (Coimbatore Division I) Ltd., 37, Mettupalayam Road, Coimbatore vs. V.K.Murugan and another [2010 (1) MLJ 749], apart from two unreported judgments to substantiate his contention in this regard.

a) He would also submit that the Labour Court has not discussed anything about the documents filed in the domestic enquiry in the proper manner, especially when it exceeded its jurisdiction by holding that the Enquiry Officer s findings are perverse. He would rely upon the judgment in Lalla Ram vs. Management of D.C.M. Chemical Works Ltd., [1978 (1) LLJ 507]. It is his further submission that when prima facie it was found against the first respondent in the approval petition filed before the Labour Court under section 33(2)(b) by the petitioner management and that has become final, having not been challenged by the first respondent driver, the same is binding on the first respondent. He would rely upon the judgment in Cholan Roadway Ltd., vs. G.Thirugnanasambandam [2005 (1) LLJ 569].
b) It is his submission that what was given by the first respondent driver before the Enquiry Officer was only a statement and that cannot be treated as evidence and therefore, it is not proper for the Labour Court to comment that the statement of the first respondent driver is uncontroverted holding that the finding of the Enquiry Officer is perverse. He would rely upon the judgment in Neeta Kaplish vs. Presiding Officer, Labour Court and another [1991 (1) LLJ 275 (SC)].
c) His submission is that in the absence of any finding by the Labour Court regarding the fairness of enquiry, it is improper on the part of the Labour Court to set aside the enquiry report based on the documents filed by the workman. It is his further submission that by setting aside the order of termination, there can be no automatic reinstatement and the Labour Court should have given a finding as to why the first respondent driver kept quiet for a period of six years for raising the industrial dispute.

12. On the other hand, it is the contention of Mr.V.Ajoy Khose, learned counsel appearing for the first respondent driver that it is not correct to state that the approval granted under section 33(2)(b) of the I.D.Act has not been challenged and the workman has got a right to challenge the same in the Industrial Dispute raised by him and in fact, he has challenged the same.
a) As far as the delay of six years is concerned, the learned counsel would submit that originally the approval petition under section 33(2)(b) was decided ex parte on 27.1.1992 and thereafter, the application was restored and decided on merit on 27.1.1997 and immediately in February, 1997, the first respondent raised the industrial dispute and there was absolutely no delay.
b) It is his submission that the principle of res ipso loquitur would apply only in cases where a party relying upon a document pleads and proves the same and on the facts of the present case, the petitioner management never pleaded or proved the correctness of the Motor Vehicles Inspector s report and sketch.
d) It is his submission that inasmuch as it is the duty of the employer to prove the case against the first respondent driver in the disciplinary proceedings and the same has not been proved, it is not merely the prima facie case which is the requirement under section 33(2)(b) of the Industrial Disputes Act.
e) It is his submission that whatever documents the first respondent workman called for were the documents of the employer. It is his submission that when eye witnesses were examined in the domestic enquiry, they were not considered by the Enquiry Officer and therefore, the Labour Court held that the finding of the Enquiry Officer as perverse. On the other hand, the management witness M.W.1 was not an eye-witness who has been relied upon by the Enquiry Officer in the domestic enquiry for concluding against the first respondent driver and therefore, according to the learned counsel for the workman, the finding of the Labour Court that the Enquiry Officer s finding is perverse is within its jurisdiction. The Labour Court has passed the award only based on the domestic enquiry and the Labour Court has not traversed beyond that.
f) It is his submission that when the charge framed by the employer against the workman itself is negligence, the Enquiry Officer s finding of rashness against the first respondent driver is beyond the charge memo and that is why, the Labour Court found that the said finding is perverse. In the absence of eye-witness in the domestic enquiry, there was absolutely no reason for the Enquiry Officer to give the finding of rashness, especially when that was not the charge framed by the employer and therefore, according to the learned counsel, the Enquiry Officer has given unwarranted finding of rashness only to bring the issue within the folder of res ipsa loquitur.
g) It is his submission that the evidence given by the first respondent before the Enquiry Officer cannot be stated as a mere statement as if it was given outside and such statement having been made before the Enquiry Officer, if the same remains uncontroverted by cross-examination, the statement is a relevant one to be considered. Therefore, according to him, the Labour Court has correctly found that the evidence of workman before the Enquiry Officer remains uncontroverted and that has to be taken as an acceptable evidence.
h) It is also his submission that the approval granted under section 33(2)(b) of the I.D.Act is on different footing, where permission is granted on prima facie case and the nature of proof being prima facie which is required in such case under section 33(2)(b) cannot be equated with the nature of proof required in the disciplinary proceedings resulting in major punishment. He would rely upon the judgments in Tamil Nadu State Transport Corporation (Kumbakonam Division II) Ltd., rep. By its Managing Director, Tiruchirappalli and another vs. P.Karuppusamy [2008 (1) LLN 922 (DB)], Jaipur Zila Sahakari Bhoomi Vikas Bank Ltd., vs. Ram Gopal Sharma and others [(2002) 2 SCC 244] and Cholan Roadway Ltd., vs. G.Thirugnanasambandam [2005 (1) LLJ 569].
i) It is his submission that the first respondent has attained the age of superannuation on 24.11.2002 and by virtue of the order of termination of the year 1990, which stood set aside by the Labour Court, the first respondent suffered without employment for nearly 12 years and therefore, the award of the Labour Court directing reinstatement with backwages is perfectly in order.

13. I have heard the learned counsel for the petitioner as well as the first respondent and given my anxious thought to the issues involved in this case.

14. A reference to the petition filed by the first respondent driver raising industrial dispute, no doubt, shows that the employee has taken a stand that the domestic enquiry was not conducted in a fair and proper manner. In fact, he has also taken the stand that some of the documents have not been furnished and the principles of natural justice have not been complied with. In the counter filed by the petitioner management before the Labour Court, the petitioner has taken a categorical stand that the enquiry was conducted by giving adequate opportunity to the parties by complying with the principles of natural justice, however, the petitioner has, no doubt, raised a point that the petitioner may be allowed to substantiate the action taken against the first respondent by adducing fresh evidence in the event of Labour Court holding that the Enquiry Officer has not conducted the enquiry in a fair and proper manner.

15. Section 11A of the Industrial Disputes Act, which is as follows:
" 11A. Powers of Labour Courts, Tribunals and National Tribunals to give appropriate relief in case of discharge or dismissal of workmen.-
Where an industrial dispute relating to the discharge or dismissal of a workman has been referred to a Labour Court, Tribunal or National Tribunal for adjudication and, in the course of the adjudication proceedings, the Labour Court, Tribunal or National Tribunal, as the case may be, is satisfied that the order of discharge or dismissal was not justified, it may, by its award, set aside the order of discharge or dismissal and direct reinstatement of the workman on such terms and conditions, if any, as it thinks fit, or give such other relief to the workman including the award of any lesser punishment in lieu of discharge or dismissal as the circumstances of the case may require:
Provided that in any proceeding under this section the Labour Court, Tribunal or National Tribunal, as the case may be, shall rely only on the materials on record and shall not take any fresh evidence in relation to the matter.]"

enables the Labour Court to give relief to the workman like, reinstatement, modification of punishment, etc., however, as per the proviso, the Labour Court shall only rely on the materials available on record which means the enquiry report and not any other fresh evidence.

16. It is the settled law that, in cases where the Labour Court or the Industrial Tribunal relies upon the Enquiry Officer s report exclusively for the purpose of giving relief to the workman as per the proviso, there is no question of reliance on any other fresh evidence. It is only on specific finding by the Labour Court that the domestic enquiry was not conducted in a fair and proper manner and there has been a violation of the principles of natural justice, then the Labour Court has to ignore the Enquiry Officer s report in which event it is certainly the duty of the Labour Court to call upon the employer to prove that the enquiry has been conducted in a proper manner by adducing fresh evidence.

17. Therefore, section 11A of the I.D.Act, which has made a great inroad into the concept of Labour legislation which was originally the domain of the employer to decide the punishment in the enquiry, by shifting the same to the Court to decide otherwise regarding the punishment even while accepting the Enquiry Officer s report. Therefore, it is an extension of the beneficial legislation given in favour of the workmen by transferring the power to the judicial authority for giving relief to workmen, of course, based on the Enquiry Officer s report. In such event, as it is stated in the proviso, no fresh evidence shall be adduced. But, on the other hand, if the Labour Court comes to a conclusion that the Enquiry Officer s report is not fair and proper in the sense that opportunity has not been given, etc., the Labour Court gives one more opportunity to the employer to prove that the enquiry was conducted in a proper manner and thereafter, decides the matter. In those circumstances, fresh evidence is adduced. This has been an established law throughout in India, as the Courts have held as above, while deciding about the term, material on record found in section 11A of the Industrial Disputes Act. That was the view expressed by the Hon ble Apex Court in Neeta Kaplish vs. Presiding Officer, Labour Court and another [1999 (1) LLJ 275], where it was held as under:
" 27. The record pertaining to the domestic enquiry would not constitute fresh evidence as those proceedings have already been found by the Labour Court to be defective. Such record would also not constitute material on record , as contended by the counsel for the respondent, within the meaning of Section 11-A as the enquiry proceedings on being found to be bad, have to be ignored altogether. The proceedings of the domestic enquiry could be, and were in fact, relied upon by the Management for the limited purpose of showing at the preliminary stage that the action taken against the appellant was just and proper and that a full opportunity of hearing was given to her in consonance with the principles of natural justice. This contention has not been accepted by the Labour Court and the enquiry has been held to be bad. In view of the nature of objections raised by the appellant, the record of enquiry held by the Management ceased to be material on record within the meaning of Section 11-A of the Act and the only course open to the Management was to justify its action by leading fresh evidence as required by the Labour Court. If such evidence has not been led, the Management has to suffer the consequences.
28. Having regard to the findings recorded by the Labour Court that the domestic enquiry was not properly and fairly held and an effective opportunity of hearing was not given to the appellant, the Labour Court was right in calling upon the Management to lead fresh evidence. Since the Management did not lead any fresh evidence on merits, the appellant was well within her right to say that she too would not lead any fresh evidence. But for that reason, her claim could not be rejected. Rather, she was entitled to be granted relief then and there. However, having regard to the entire circumstances of the case particularly when the Labour Court had itself found that the enquiry was not fairly and properly held, we allow the appeal, set aside the judgment of the High Court and that of the Labour Court and remand the case back to the Labour Court to decide the case afresh after requiring the parties to lead fresh evidence on merits in pursuance of its order dated 21-11-1995. Having regard to the fact that the appellant was removed from service on 4-4-1987, we direct that the Labour Court shall dispose of the whole matter within three months from the date on which the certified copy of this judgment is produced before it. There will be no order as to costs.


18. By applying the above said established concept, if we refer to the order of the Labour Court, it is seen that throughout the order, the Labour Court has no where given a finding that the enquiry conducted by the Enquiry Officer was either unfair or improper. But, on the other hand, the Labour Court has relied exclusively on the Enquiry Officer s report except, of course, three documents which were called for on the side of the first respondent workman which are all documents relating to the petitioner management itself, viz., counter statement filed by the petitioner management dated 21.5.1997 in the petition filed by the first respondent under section 2A of the I.D. Act before the Conciliation Officer marked as Ex.W12, conciliation failure report dated 16.6.1997 marked as Ex.W13 and certificates of appreciation given to the first respondent workmen by the petitioner management, marked as Exs.W14 and W15 to come to the conclusion that the finding of the Enquiry Officer on available evidence is perverse. In fact, the Labour Court has found that the available evidence of the first respondent workman before the Enquiry Officer which was not cross-examined by the petitioner management was not taken note of by the Enquiry Officer in his report and therefore, found that the Enquiry Officer s report is perverse. The finding of the Labour Court that the Enquiry Officer s report was perverse cannot be said to be either illegal or impermissible.

19. Further, the Labour Court found that the charge against the first respondent employee itself was general in nature that he was negligent and the charge was not to the effect that there was rash driving on his part and in the absence of any evidence before the Enquiry Officer, the Enquiry Officer has given a finding that the first respondent was driving the bus in a rash manner. The Labour Court has further found that the witness examined in the domestic enquiry on the side of the management was not an eye-witness for the incident and in the absence of any eye-witness examined either from the passengers of the bus or outsiders, on the evidence available, the Labour Court held that no decision can be arrived at to the effect that the first respondent was negligent. Therefore, when the Labour Court has given its decision only based on the materials available before the Enquiry Officer in the domestic enquiry, merely because the Labour Court found that the finding of the Enquiry Officer is perverse on various relevant aspects, it does not mean that the Labour Court has come to such a conclusion that the enquiry was not conducted in a fair and proper manner so as to request the management to adduce fresh evidence. In fact, the learned counsel for the petitioner would also admit that the Labour Court has not given a finding that the enquiry was not conducted in a fair and proper manner, but his grievance is that in the absence of such finding, it has allowed the workman to file three documents as stated above and therefore, according to him, the decision of the Labour Court has to be held against section 11A of the I.D.Act. The said submission is totally unacceptable. It is not as if by filing the above said documents, new and fresh evidence has been let in on behalf of the workman. They were all documents of the petitioner employer, about which the petitioner cannot have any objection at all.

20. The Labour Court, by construing the Enquiry Officer s report, has found that no eye-witness was examined on the side of management to prove the charge of negligence against the first respondent workman and on the other hand, it has considered the contents of Enquiry Officer s report and proceedings and found that the first respondent employee has in fact given a statement by way of evidence before the Enquiry Officer on 8.3.1990 which is as follows:

" (vk;/o/K:h;j;jp. Xl;Leh;. 3413) Fw;wk; rhl;lg;gl;l CHpahpd; thf;FK:yk;:-
ehd; fle;j 23/3/96 Kjy; Rkhh; 24 tUl';fshf Xl;Ldh; gzp bra;J tUfpnwd;/ 24 Mz;Lfshf vt;tpj rpW tpgj;Jk; ele;jjpy;iy/ tpo 100 vd;w ngUe;J vdf;F vd;W xJf;fg;gl;l ngUe;J ,y;iy/ tpo 100 ngUe;J jlj;jpy; XLk; jFjpia ,He;J (fz;lk;) bra;ag;gl;l ngUe;jhFk;/
nghf;Ftuj;J Ma;thsh; mth;fs; vdJ tpgj;jpw;fhf rhpahd Kiwapy; Ma;t[ bra;atpy;iy/ tpgj;Jf;Fs;shd ngUe;J vz;/tpo 100I !;jyj;jpnyna 14/4/90 md;W gpnuf; bl!;l; bra;atpy;iy/ 16/4/90 md;W jhd; gpnuf; bl!;l; bra;jhh;fs; vd;gija[k; j';fspd; nkyhd ftdj;jpw;F bfhz;L tUfpnwd;/
nkYk; vdJ tpgj;J rk;ge;jkhd nghf;Ftuj;J Ma;thsh; mth;fs; 09/45 kzpf;F ele;j tpgj;ij gw;wp 10/25 kzpf;F elj;Jdh; K:yk; jfty; mwpe;J Rkhh; 11/30 kzpf;Fj;jhd; !;jyj;jpw;F te;jhh;/ mth; Ma;t[ bra;jJ rhpahd Ma;t[ vdpy; tpgj;J ele;j ,lj;jpy; bghJ kf;fs; ahhplKk; tprhuiza[k; bra;atpy;iy/ rhl;rpaKk; bgwtpy;iy vd;gija[k; j';fs; ftdj;jpw;F bfhz;L tUfpnwd;/
jh';fs; jat[ bra;J tpo 100 tz;oapd; tz;og;gjpntL (yhf;rPl;) Fiwe;j gl;rk; 30 ehSf;FhpaJ tutiHj;J ghprPypf;Fk;go nfl;Lf; bfhs;fpnwd;/
nkYk; vdJ tpgj;J rk;ge;jkhd tHf;F g{e;jky;yp Kjy; nfhh;l;oy; cs;sJ/ me;j tHf;fpy; ehd; epuguhjp vd jPh;g;g[ fpilf;Fk;/ mjd; efiy j';fSf;F rk;h;g;gpf;fpnwd;/ ehd; Fw;wkw;wtd; vd jPh;g;g[ tH';Fk;go ,Ufuk; Tg;gp rpuk; jhH;j;jp nfl;Lf; bfhs;fpnwd;/
FWf;F tprhuiz: ,y;iy
,j;Jld; tprhuiz Kotile;jJ/"

and this evidence of the first respondent workman has admittedly not been cross-examined and therefore, the Labour Court has come to the conclusion that the same should be taken as uncontroverted evidence and that aspect has not been considered by the Enquiry Officer.

21. The Enquiry Officer s report also contains the evidence of a passenger by name, Thiru K.Sundaramurhty, who was examined in the domestic enquiry, who has, in the chief examination, clearly stated that in spite of the efforts taken by the driver to control the bus, the bus has pulled itself to the right side and the statement reads as follows:
" ngUe;jpd; Xl;Leh; vt;tst[ fd;l;nuhy; bra;Jk; ngUe;J tyJg[wk; ,Gj;Jr; brd;wJ/"
The said witness was cross-examined in the domestic enquiry on behalf of the petitioner management wherein the witness has clearly reiterated that the accident was due to the negligence of the driver of the ambassador car as it is seen in his evidence, which is as follows:

"FWf;F tprhuiz:
nf: mk;gh!plh; fhh; neuhf te;jjh my;yJ gf;fkhf jpUk;gKad;wjh?
g : mk;gh!plh; fhh; rhiyapy; jdJ ,lJgf;fj;jpy;jhd; ntfkhf te;jJ/ ngUe;jpy; mUfhikapy; te;jgpwJ jhd; mjw;F tyg;gf;fkhf jpUk;gp ngUe;jpy; nkhjptpl;lJ/
nf: mk;gh!plh; Xl;Lehpd; jtW jhd; tpgj;Jf;F fhuzk; vd;W TwfpwPh;fsh?
g: epr;rakhf fhh; Xl;Lehpd; jtW jhd;/"

In spite of such clinching evidence by the said passenger of the bus, the Enquiry Officer has come to the conclusion that the first respondent has driven the vehicle in a rash manner and the same has been found to be perverse by the Labour Court.

22. The appreciation of evidence available in the domestic enquiry by the Labour Court cannot be said to be extraneous. In fact, the Labour Court or Industrial Tribunal is bound to reappreciate the evidence given in the domestic enquiry for arriving at a proper conclusion as it was held by the First Bench of this Court in Workmen employed in Engine Valves Limited vs. Engine Valves Limited [1983 (2) LLJ 232]. The relevant portion of the judgment is as follows:
" 32. These decisions can be of no assistance to management, because an Industrial Tribunal is duty bound to reappraise the evidence on record, and find out the correctness of the finding of misconduct. It cannot in a general manner touch upon the evidence without fully comprehending the evidence on record. No doubt a contention was raised resting upon the decision in Girija Nandini vs. Bijendra Narain (AIR 1967 SC 1124), that it is not the duty of the appellate court, when it agrees with the view of the Trial Court on the evidence, either to restate the effect of the evidence or to reiterate the reasons given by the Trial Court, and that expression of general agreement with reasons given in the decision which is under appeal, would ordinarily suffice. Such an approach is no longer available to a Tribunal constituted under the Industrial Disputes Act, subsequent to 15th December, 1971. A reappraisal of evidence contemplates an elaborate and meticulous consideration of the evidence on record and reasons to be given for upholding the findings rendered in the domestic enquiry. It is to remove the menace of arbitrariness, unreasonable attitude in holding the enquiry, unfair approach made in the conduct of proceedings etc. Labour Courts, are now enjoined to scrunitnise carefully and find out whether the misconduct alleged is established or not. It is to safeguard the vital interests of the weaker section of the society, District Judges and Senior Judicial Officers are posted to function as Presiding Officers of Labour Courts, and they cannot in a haphazard or cursory manner touch upon the evidence on record in a general way and uphold the findings of the enquiry officer. This would be an unsatisfactory manner of discharging duties cast upon such officers. Having been assigned, to dispose of only cases pertaining to Industrial Disputes, they are duty bound to meticulously consider the evidence on record and devote their utmost attention and care in finding out whether the misconduct alleged had been made out on the materials adduced in the enquiry. If only there had been a reappraisal of the evidence on record, then the Tribunal would have given a valid reason, as to why the sole testimony of M.W.1 alone should be acted upon in the instant matter, as against Ambalavanan."
23. One other submission made by the learned counsel for the petitioner that the order passed in the approval petition filed by the petitioner under section 33(2)(b) of the Industrial Disputes Act remains unchallenged by the first respondent workman and the said order prima facie shows that the first respondent was negligent, has also to be rejected. The approval obtained from the authority under section 33(2)(b) of the Industrial Disputes Act which is as follows:

33. Conditions of service, etc., to remain unchanged under certain circumstances during pendency of proceedings.
(1) ***
(2) During the pendency of any such proceeding in respect of an industrial dispute, the employer may, in accordance with the standing orders applicable to a workman concerned in such dispute or, where there are no such standing orders, in accordance with the terms of the contract, whether express or implied, between him and the workman,
(a) ***
(b) for any misconduct not connected with the dispute, discharge or punish, whether by dismissal or otherwise, that workman:
Provided that no such workman shall be discharged or dismissed, unless he has been paid wages for one month and an application has been made by the employer to the authority before which the proceeding is pending for approval of the action taken by the employer.


relates to the misconduct not connected with the dispute pending before the authority and the approval was on prima facie ground.

24. The Supreme Court in Cholan Roadways Ltd., vs. G.Thirugnanasambandam [2005 (1) LLJ 569] held that while exercising the powers under section 33(2)(b) of the Act what is required is preponderance of probabilities which is sufficient and not the proof beyond all reasonable doubts and only prima facie case has to be considered. The relevant portion of the judgment is as follows:

" 17.. The jurisdiction of the Tribunal while considering an application for grant of approval has succinctly been stated by this Court in Martin Burn Ltd. v. R.N. Banerjee6. While exercising jurisdiction under Section 33(2)(b) of the Act, the Industrial Tribunal is required to see as to whether a prima facie case has been made out as regards the validity or otherwise of the domestic enquiry held against the delinquent, keeping in view the fact that if the permission or approval is granted, the order of discharge or dismissal which may be passed against the delinquent employee would be liable to be challenged in an appropriate proceeding before the Industrial Tribunal in terms of the provision of the Industrial Disputes Act. In Martin Burn case6 this Court stated: (AIR p.85, para 27)
A prima facie case does not mean a case proved to the hilt but a case which can be said to be established if the evidence which is led in support of the same were believed. While determining whether a prima facie case had been made out the relevant consideration is whether on the evidence led it was possible to arrive at the conclusion in question and not whether that was the only conclusion which could be arrived at on that evidence. It may be that the Tribunal considering this question may itself have arrived at a different conclusion. It has, however, not to substitute its own judgment for the judgment in question. It has only got to consider whether the view taken is a possible view on the evidence on the record. (See Buckingham & Carnatic Co. Ltd. v. Workers of the Company 1951 II LLJ 314)


25. Further, the jurisdiction of the authority exercising powers under section 33(2)(b) for granting approval is very limited as it was confirmed by the Hon ble Apex Court in Lalla Ram vs. Management of D.C.M. Chemical Works Ltd., and another [1978 (1) LLJ 507].

26. Turning to the next contention raised by the petitioner relating to res ipsa loquitur, it is relevant to refer to the charge framed against the first respondent which is as follows:
"Fw;wr;rhl;Lfs;:
1/ 14/4/90 md;W ng/vz;/tpo 100 jlk; vz;/54V. gp rh;tP!;y; gzp bra;a[k;nghJ. ngUe;ij ftdf;Fiwthft[k;. m$hf;fpuijahft[k; ,af;fp. rhiyapd; bgUk;gFjpapid Mf;fpukpj;J ikag;gFjpia fle;J brd;W nghf;Ftuj;J tpjpfis kPwp vjph; jpirapy; te;Jf; bfhz;oUe;j mk;ghrplh; fhh; xd;wpd; kPJ nkhjp K:th; kuzk; milat[k;. Ith; fhakilat[k; goa[k; bra;Js;shh;/ rh/ep/M/vz;/25 (XXVII )d;go Fw;wkhFk;/"
Therefore, the charge is only relating to negligence while as stated above, the Enquiry Officer has concluded as if the first respondent was driving the bus rashly causing the accident. Learned counsel for the petitioner would rely upon Ex.M5, which is the report of the Motor Vehicles Inspector along with sketch to show that the bus driven by the first respondent driver went to the right side which is on the face of it against the Rules and that in the accident three persons travelling in the ambassador car coming on the opposite direction were killed and few others were seriously injured and therefore, applying the principle of res ipsa loquitur, the Labour Court should have concurred with the Enquiry Officer s report. One must appreciate that the nature of proof required at the time of approval under section 33(2)(b) of the Industrial Disputes Act in which a different dispute which was not connected with the disciplinary proceeding was pending, is based on prima facie evidence and at that stage, it is not necessary to analyse the proof and it is to decide about the prima facie evidence under section 33(2)(b) for granting approval and hence, the concept of res ipsa loquitur is applied.

27. But, when it comes to final decision in disciplinary proceedings, certainly the principle of res ipsa loquitur must be proved on facts. On the facts of the present case, an independent evidence has been let in before the domestic enquiry on behalf of the workman who happened to be an eye witness saying that the ambassador car on the opposite direction was coming very fast on its right side and it approached the bus coming on the opposite direction and on seeing that, the first respondent driver attempted to proceed towards left side to avoid an accident and in the meantime, the car dashed on the right side of the bus with the result the bus took a right turn. When that is the evidence available, certainly it is not correct to state that the principle res ipsa loquitur has to be applied. Unless there is a strong evidence on the side of the management to show that the first respondent driver went towards right side because of his negligence, which requires the evidence of eye-witness, the said principle cannot be pressed into service. It is not as if there were no other passengers in the bus or public were not available to disentitle the petitioner management from letting in evidence before the Enquiry Officer. Even though the petitioner in the counter statement before the Labour Court has raised a point relating to res ipsa loquitur, no steps have been taken to substantiate the concept before the Labour Court by letting in proper evidence, in the context of explanation given by the first respondent and the eye-witness examined on the side of the first respondent workman.

28. The principle of res ipsa loquitur which means situation speaks for itself was described by Morris,LJ in Roe vs. Minister of Health [1954 (2) QB 66] at page 87 as the maxim merely as a convenient formula possessing no magical qualities and it actually does not represent any principle of law and it is a matter of convenience. The English Court held that even if the definition does not offer any evidence, it does not necessarily mean that the maxim would automatically apply. Further, the principle can be applied only in cases where there are no satisfactory explanation as to what happened and when rebuttal evidence is adduced, the allegation of negligence can be disproved. The basic principle of the said maxim was explained by Erle CJ in Scott vs. London and St.Katherine Docks Co. (1865 (3) H&C 596 at 601), which is as follows:
"There must be reasonable evidence of negligence. But where the thing is shown to be under the management of the defendant or his servants, and the accident is such as in the ordinary course of things does not happen if those who have the management use proper care, it affords reasonable evidence, in the absence of explanation by the defendants, that the accident arose from want of care."

It was further held in Easson v. London and North Eastern Railway Co. [1944 Kings Bench 421] that if the accident has happened at the time when the defendant was not in sole control of the situation, res ipsa loquitur does not apply. The Privy Council in Ng Chun Pui vs. Lee Chuen Tat [1988 RTR 298] has ruled that by merely pleading res ipsa loquitur the burden did not shift from the claimant to the defendant. The effect of the maxim res ipsa loquitur' has been aptly explained to be a mere presumption and a guide to arrive at a final conclusion on factual evidence by Brooke L.J. in Ratcliffe vs. Plymouth and Torbay Health Authority (1998 (1) Lloyd's Rep Med 162 at 172, in the following words:
" Res ipsa loquitur is not a principle of law; it does not relate to or raise any presumption. It is merely a guide to help to identify when a prima facie case is being made out. When expert or factual evidence has been called on both sides at a trial its usefulness will normally have long since been exhausted."

29. It is, based on the said established concept of res ipsa loquitur, which is a matter of convenience and presumption, the judicial precedence in India in the labour legislation is that the same is applicable to arrive at prima facie conclusion based on preponderance of evidence in respect of an approval petition under section 33(2)(b) of the Industrial Disputes Act. On the facts of the present case, especially when the first respondent has taken a definite stand by way of evidence which is uncontroverted and the evidence of eye-witness examined on the side of workman as elicited above, it is clear that there is no negligence on the part of the first respondent and therefore, the presumption raised by the employer to apply the principle, res ipsa loquitur stands controverted and in such circumstances, definitely the onus of proof for applying the said principle lies on the petitioner management and in the absence of any evidence of eye-witness to establish the said presumption, there is absolutely nothing to come to the conclusion that the Labour Court should have applied the concept, res ipsa loquitur for concurring with the Enquiry Officer s report.

30. There is one other glaring instance in this case. Admittedly, before the Motor Accidents Claims Tribunal, in the claim petition filed against the petitioner Corporation, on behalf of the persons injured who had traveled in the ambassador car, the petitioner Corporation took a specific stand that the first respondent driver was not negligent and the same was marked as Ex.C1. Having taken such a stand before a judicial forum, the petitioner has chosen to frame the charge of negligence against the first respondent, which is a total contradiction in the stand of the petitioner management. In such circumstances, the presumption under res ipsa loquitur cannot have any application at all.

31. In fact, a Division Bench of this Court in Tamil Nadu State Transport Corporation, (Kumbakonam Division II) Ltd., rep. By its Managing Director, Tiruchirappalli and another vs. P.Karuppusamy [2008 (1) LLN 922], under similar circumstances, held that the Transport Corporation having taken a stand of no negligence against the driver in one forum, cannot proceed with the departmental enquiry on the allegation of negligence and the relevant portion of the judgment is as follows:
" 24. The principles laid down in the aforestated rulings are squarely applicable to the facts of the present case. The appellant Corporation, having taken a plea that the driver of the bus was not responsible for the accident, could not turn around to say that he was responsible for the accident. As such, it is very much bound by the pleadings raised by it before the Tribunals and this Court. The law is well settled as to the aspect that the standard of proof in both the proceedings before the criminal Court and the domestic enquiry officer are entirely different. However, since the Corporation has consciously raised the contention in favour of the bus driver before the judicial fora, it is precluded from proceeding against him in departmental proceedings. Though the extent of proof is sufficient to the commission of delinquency in the matter of departmental proceedings, the management could not lay its hands on the workman, detrimental to his interest, after defending him before various judicial fora and accepting the findings of the Motor Accident Claims Tribunal, Karur. Further, in the dismissal order, dated 9th December, 1998, it is mentioned that even though a scrutiny of the service records would show that the respondent was not at all penalised at any point of time, since he caused a fatal accident, it was proposed to dismiss him from service, which shows that the past records of the respondent were also clean."

32. In addition to that, the judgment of the criminal Court dated 20.8.1996 had already been marked as Ex.W10, in which the first respondent driver was acquitted.

33. It is also relevant to consider at this stage that the petitioner management itself had given appreciation certificate to the first respondent driver. It is stated by learned counsel for the first respondent that in spite of the fact that the first respondent driver attained the age of superannuation on 24.11.2002, the Labour Court having passed the award as early as on 15.4.2002, the first respondent has not been paid any terminal benefits for the service rendered by him for a period of 12 years. In similar circumstances, in Cheran Transport Corporation Ltd., vs. Presiding Officer, Industrial Tribunal, Madras [2002 (1) LLN 388], when punishment of dismissal was awarded only on the basis of one witness who has not seen the accident and no eye-witness has been examined in the domestic enquiry, it was held that the Enquiry Officer s finding is perverse and cannot be sustained. In such circumstances, it was also held that there is no justification to give opportunity to the management to impose any minor punishment. The relevance of eye-witness which is a basic requirement for the purpose of deciding rash and negligent driving of the driver was narrated in the said judgment by P.D.Dinakaran,J. (as His Lordship then was) by referring to various judgments and held as follows:
" 16.1. In Jeeva Transport Corporation Ltd., vs. Industrial Tribunal, Madras reported in 1993 (1) L.L.N. 870, M.Srinivasan,J., as he then was, held in Para.6 at page 871 that,
".. the Tribunal is entitled to consider whether the findings of the domestic enquiry officer is perverse or not. While doing so, the obligation on the part of the Tribunal is not to weigh or reappreciate the evidence for itself, but to examine the findings of the enquiry officer on the evidence of the domestic enquiry as it is, in order to find out whether there is a prima facie case; or if the findings are perverse, which renders essential to see whether the eye-witnesses, who alone could speak about the rash and negligent act of the employee, were examined or not."
16.2. R.R.Jain,J., in Cholan Roadways Corporation Ltd., v. Industrial Tribunal, Madras and another by order dated 14 August 1997, made in Writ Petition No.12383 of 1986, held that in a case where the workman is charged for a rash and negligent act, the persons present on the side of accident alone can speak about the occurrence and as the management failed to examine any such eye-witness, the findings of the enquiry officer cannot be sustained.
16.3. Similarly, in Cheran Transport Corporation Ltd., Coimbatore, vs. K.S.Palanisamy and another by order dated 23 February 1998, in Writ Petition No.1554 of 1989, V.S.Sirpurkar,J., held that where the management failed to examine anybody who had seen the accident, the findings of the enquiry officer cannot sustain.
16.4. In the light of the decision referred to above, as it is not in dispute that the petitioner-management had not examined any eye-witness before the enquiry officer, the finding arrived at by the enquiry officer itself is not sustainable in law, for want of legal evidence."

The reasonings of the said judgment would apply in toto to the facts of the present case.

34. In such view of the matter, the writ petition is liable to be dismissed on the ground that there is no reason to interfere with the findings of the Tribunal, that the Enquiry Officer s report was affected by perversity and that there is no merit in the writ petition. Accordingly, the writ petition fails and the same is dismissed. The petitioner shall compute the terminal benefits due to the first respondent workman by treating him in employment and grant all monetary benefits due to him within a period of eight weeks from the date of receipt of copy of the order. No costs.
35. It is stated by the learned counsel for the petitioner that there is an amount, which has been deposited, lying in the Ist Addl. Labour Court, Chennai to an extent of Rs.1,50,000/- (Rupees One Lakh and Fifty Thousand only). It is open to the first respondent to receive the same.

Index:Yes/No
Internet:Yes/NO
Kh 09.11.2010
To
The Presiding Officer
Ist Additional Labour Court
Chennai.
P.JYOTHIMANI,J.







P.D.ORDER IN
W.P.NO.47086 OF 2002

COMPASSIONATE APPOINTMENT-3 YEARS FORMULA-SUFFICE IF APPLIED WITHIN 3 YEARS

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED: 19.10.2010

CORAM

THE HON'BLE MR. JUSTICE N.PAUL VASANTHAKUMAR

W.P.No.21888 of 2010

and

M.P.Nos.1 and 2 of 2010

G.Mallika ..Petitioner

Vs.

1.The Secretary to Government,

Agriculture Department,

Fort St. George, Chennai-9.

2.The Chief Engineer,

Agriculture Engineering Department,

No.487, Anna Salai,

Nandanam, Chennai-35.

3.The Assistant Executive Engineer,

Agriculture Engineering Department,

Vellore. ..Respondents

Petition filed under Article 226 of The Constitution of India praying to issue a writ of certiorarified mandamus to call for the records relating to the third respondent herein in Letter No.A1/2571/98 dated 03.09.2009 and the order of the second respondent herein in Letter No.Pension 2/42172/2006 dated 14.06.2010 and quash the same and consequently direct the respondents herein to confer the compassionate ground appointment to the petitioner's son A.Sakthivelu forthwith.

For Petitioner .. Mr.R.S.Anandan

For Respondents .. Mr.S.Sivashanmugam,

Govt. Advocate

ORDER

The prayer in the writ petition is to quash the order dated 14.06.2010 declining the request of the petitioner seeking compassionate appointment to the petitioner's son on the ground that the claim of compassionate appointment can be made only within three years from the date of death of the deceased person and on that date, the person seeking compassionate appointment should have completed 18 years of age.

2.The case of the petitioner is that the petitioner's husband was employed as an Assistant Foreman in the office of the second respondent and he died in harness on 04.10.1998, leaving the petitioner and her two children. The petitioner, being the widow of the deceased, applied for compassionate appointment in the year 2000 before the Assistant Executive Engineer, Vellore in the Agriculture Engineering Department. Her application was recommended and forwarded by the third respondent to the second respondent in Letter No.A1/5366/2000 dated 17.01.2001 and the second respondent through letter No.A/324/2001 dated 08.02.2001 to the first respondent. The said application was kept pending. The third respondent again called the petitioner to submit the copy of the typewriting certificate. The petitioner at that time requested that the petitioner's son may be given appointment on compassionate ground which was forwarded by the third respondent on 01.12.2006 to the second respondent who in turn forwarded the same to the first respondent on 26.12.2006. However, no order was passed till 2008. The petitioner was aged 56 years in the year 2008 and her son A.Sakthivel is eligible to get compassionate appointment as he has passed 10th standard and he has completed 18 years of age on 09.04.2005. The presumptive date of retirement of the petitioner's husband was 30.06.2005. Before the said date, son of the petitioner has completed 18 years of age and also passed S.S.L.C. The second respondent passed an order dated 20.08.2009 which was communicated through the third respondent on 03.09.2009 stating that if the petitioner is willing to get appointment, she can opt for appointment on compassionate grounds. On 26.10.2009, the first respondent replied that the claim of the petitioner's son viz., A.Sakthivel cannot be considered as he has not applied within three years and that he has not completed 18 years within three years from the date of the death of the petitioner's husband. Again a reply was given to the petitioner on 12.11.2009 stating that the petitioner shall give her option to retain her name in the list of seniority maintained for compassionate appointment and at that time the petitioner was above 57 years of age. Now the petitioner is aged 58 years. Therefore, no purpose would be served in considering the claim of the petitioner, seeking compassionate appointment, which the petitioner applied in the year 1999. In such circumstances, learned counsel for the petitioner cited judgment of the Supreme Court in Syed Khadim Hussain Vs. State of Bihar and Others ((2006) 9 SCC 195), wherein the Supreme Court gave directions to consider the claim of the son of the deceased person as the widow of the deceased was over aged, even after 11 years from the death of the deceased.

3.Relying upon the said judgment, learned counsel for the petitioner submitted that the impugned order may be set aside and the second respondent may be directed to reconsider the request of the petitioner seeking compassionate appointment to her son A.Sakthivel.

4.The learned Government Advocate relying on G.O.Ms.No.120 Labour and Employment Department dated 26.6.1995 and based on written instructions, argued the matter. He submitted that the impugned order has been passed in accordance with the Government Order and the same is sustainable.

5.I have considered the rival submissions. The petitioner's husband died on 4.10.1998 while in service. The petitioner applied for compassionate appointment on 21.9.1999. She submitted relevant records pursuant to the letter of the third respondent dated 2.10.2000. All the records were furnished by the petitioner and the second respondent forwarded the proposal to the first respondent on 16.2.2001. According to the respondents, Government issued ban order on 29.11.2001. Hence, the petitioner's application was not considered. On 1.12.2006, the petitioner requested that instead of giving her appointment, her son A.Sakthivel may be given compassionate appointment as he has passed S.S.L.C. and completed 18 years of age in the year 2005. The reason being the petitioner was aged 53 years by that time. The first respondent has not considered the claim of the petitioner for over nine years. The said request is rejected through the impugned order dated 3.9.2009 and 14.6.2010. The Government order relied on by the first respondent reads as follows:-

Copy of G.O.Ms.No.120, Labour and Employment Department, dated 26.6.95.

Abstract:- Public Services Scheme of compassionate ground Appointments modifications issued.

--

Read again:-

i.G.O.Ms.No.225, Labour and Employment dated 15.2.72.

ii.G.O.Ms.No.560, Labour and Employment dated 3.8.77.

iii.G.O.Ms.No.1579, Labour and Employment dated 21.7.81.

iv.Government Lr.No.2563/N1/82-2, Labour and Employment

dated 11.3.82.

v.Govt. Lr.No.43242/M1/61-9, Labour and Employment dated

1.6.82.

vi.Government Letter No.4810/91/95-3, Labour and

Employment dated 28.2.95.

----

ORDER:-

The Tamil Nadu Administrative Tribunal, Madras in its orders in O.A.No.6554/93 dated 15.10.93 and in O.A.No.5111/94 dated 17.10.94 had observed that the existing Government orders under the scheme of compassionate ground appointments may be reviewed and until such review, appointment on compassionate ground may be suspended. Accordingly, the Government in the letter sixth read above had issued instructions to all Heads of Departments to keep in abeyance all appointments and matter relating to compassionate ground appointments.

2.Simultaneously, the Government also reviewed the existing orders under the scheme. After careful review the Government issue the following modifications to the Scheme.

1. The application for appointment on compassionate grounds should be made within three years of the death of Government servant;

2. The maximum age limit for such appointment be raised to 50 in the case of widows of the deceased Government servants.

This order will take effect from the date of the issue of order.

(By order of the Governor)

Sd/-P.Shankar,

Secretary to Government

/ True copy /

Superintendent.

6.In the Government Order, it is not stated whether in deserving cases relaxation can be given or not. In the decision reported in (2006) 9 SCC 195 (cited supra) similar case was considered. In paras 4 to 6, it is held as follows:-

"4.We have heard the appellant's counsel and counsel for the respondent. Counsel for the appellant points out that after the death of the government servant his wife submitted an application and it was rejected without giving any reasons and the counsel for the State submits that the same must have been rejected as it was not in the prescribed format. If the applicant had not submitted the application in the prescribed format the State authorities should have asked the applicant to submit the application in the prescribed format giving out the details of the procedure. In the matters of compassionate appointments the authorities should extend the service in an effective manner so that the eligible candidate may avail the opportunity. Though the orders of rejection of the application of the appellant's mother was not challenged the appellant pursued the matter and submitted the application later. The contention of the counsel for the State is that the application filed after 5 years after the date of death of the government employee will not be considered and he further submitted that the application filed on 07.09.1995 was rightly rejected by the authorities.

5.we are unable to accept the contention of the counsel for the State. In the instant case, the widow had applied for appointment within the prescribed period and without assigning any reasons the same was rejected. When the appellant submitted the application he was 13 years old and the application was rejected after a period of six years and that too without giving any reason and the reason given by the authorities was incorrect as at the time of rejection of the application he must have crossed 18 years and he could have been very well considered for appointment. Of course, in the rules framed by the State there is no specific provision as to what should be done in case the dependents are minors and there would be any relaxation of age in case they did not attain majority within the prescribed period for submitting application.

6.As the widow had submitted the application in time the authorities should have considered her application. As eleven years have passed she would not be in a position to join the government service. In our opinion, this is a fit case where the appellant should have been considered in her place for appointment. Counsel for the State could not point out any other circumstance for which the appellant would be disentitled to be considered for appointment. In the peculiar facts and circumstances of this case, we direct the respondent authorities to consider the application of the appellant and give him appropriate appointment within a reasonable time at least within a period of three months. The appeal is disposed of in the above terms."

7.By applying the judgment of the Supreme Court and having regard to the fact that the petitioner has applied for compassionate appointment on 21.09.1999, which was processed only in the year 2008 for one reason or other and having regard to the age of the petitioner as on the date of the impugned order and as on today, the impugned order is set aside with a direction to the second respondent to consider the claim of the petitioner seeking appointment of the petitioner's son A.Sakthivel on compassionate grounds in the light of the judgment of the Supreme Court cited supra and pass fresh orders within a period of four weeks from the date of receipt of a copy of this order.

8.The writ petition is allowed on the above terms. No costs. Consequently, connected miscellaneous petitions are closed.

SUSPENSION PERIOD COUNTS FOR COMPUTING GRATUITY-JUSTICE K.CHANDRU

BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT

DATED: 04/10/2010

CORAM
THE HONOURABLE Mr.JUSTICE K.CHANDRU

W.P.(MD)No.8946 of 2006

The Management,
Kumbakonam Central Cooperative Bank Ltd.,
No.2, TSR Big Street6,
Kumbakonam 612 001.
... Petitioner

Vs

1.M.Velu

2.The Assistant Commissioner of Labour (Gratuity),
Office of the Deputy Commissioner of Laboutr,
Abdul Salem Street,
Kaja Nagar,
Tiruchirapalli-20.

3.The Joint Commissioner of Labour,
Appellate Authority under
The Payment of Gratuity,
Madurai-20.
... Respondents

Prayer

Petition filed under Article 226 of the Constitution of India praying
for the issuance of a Writ of Certiorari, calling for the entire records
relating to the order dated 04.01.2006 in P.G.Appeal No.34 of 2004 on the file
of the 3rd respondent and quash the same.

!For Petitioner ... Mr.K.Jayaraman
^For Respondents ... Mr.V.Ilanchezian for R1
Mr.S.C.Herold Singh,G.A.
For R2


:ORDER

The petitioner is a management of the Central Cooperative Bank,
Kumbakonam. Aggrieved by the order passed by the 3rd respondent, the Appellate
Authority under the Payment of Gratuity Act, 1972, the Writ petition came to be
filed.

2.The first respondent was working as an Assistant General Manager in the
petitioner Bank. He joined in the Bank originally as a Supervisor on 27.08.1956
and after putting in 38 years of service, he retired from service on 30.04.1984.
He was paid gratuity amount of Rs.1,97,198/- as per the byelaws of the Society
and the same was credited into the account of the first respondent on
27.10.1995. The first respondent was not satisfied with the quantum of gratuity
paid, because according to him, 3 years period of his service has been omitted
on some untenable grounds and the last drawn wages calculated by the Bank was
not proper. While the Bank calculated the last drawn salary at Rs.9,766/-, the
first respondent claimed the last drawn salary at Rs.9,916/-.

3.Aggrieved by the reduced payment of gratuity, he filed an application
before the 2nd respondent, the Controlling Authority. The 2nd respondent took
up the case as P.G.No.32 of 1998 and issued notice to the petitioner Bank.
Before the 2nd respondent, the 1st respondent claimed the differential gratuity
and also interest as per law. The Writ petitioner filed a counter and disputed
the claim on three grounds. The first ground that under the provisions of the
Payment of Gratuity Act, there is a ceiling and therefore, he cannot claim more
than what is under the Act and whereas, the Bank has paid the amount in terms of
the byelaw. The second ground that the petitioner's entire service does not
satisfactory and he had suffered suspension on two occasions. That was during
1974, 1976 and 1977-1979 and for that suspension period, he is not eligible for
any gratuity. The third ground that the last drawn wages calculated was in
accordance with the records of the Bank.

4.The 2nd respondent by an order dated 22.06.1999 held that there was no
dispute regarding the last drawn wages at Rs.9,916/- as both sides have
succeeded and once 38 years of service was accepted in the absence of any
statutory disqualification, the first respondent is eligible to get gratuity and
since the amount of gratuity has already been paid, was less than the statutory,
he is eligible for getting the differential amount. It must be noted that
before the 2nd respondent only the 1st respondent adduced evidence and the
petitioner Bank did not adduce any evidence. However, aggrieved by the order
passed by the 2nd respondent dated 22.06.1999, an appeal under Section 7(7) of
the Payment of Gratuity Act has been filed before the 3rd respondent, the
Appellate Authority. As a condition precedent, the amount ordered by the
Authority has also been deposited. On receiving the appeal, the 2nd respondent
took up the appeal as P.G.A.No.10 of 2000 and ordered notice to the first
respondent. It is by an order dated 31.10.2000, the 2nd respondent dismissed
the appeal. He found that the defence relating to the statutory and the maximum
amount prescribed was not considered by the Controlling Authority. Therefore,
he remitted the matter for fresh disposal. On such remittance, the 2nd
respondent heard the matter and concluded that the workmen is entitled to claim
the differential gratuity and he has not passed on any full and final receipt.

5.Even though the statutory which was prescribed the maximum was
Rs.50,000/-, the bank itself has paid as per the guidelines and another Manager
by name Mr.Jayaraman was paid Rs.5,00,0000/- as gratuity and therefore, there
was no bar under the Act to claim a higher gratuity as per the contract between
the parties. Though he pointed out the example of the said Jayaraman, Manager,
the same is not acceptable, since the statutory payment has been made and hence
by an order dated 29.03.2004, he held against the first respondent. Thereafter,
the first respondent filed an appeal before the third respondent which was taken
on file as P.G.A.No.34 of 2004 and after notice to the petitioner Bank and also
a counter being filed dated NIL December 2004, the third respondent, the
Appellate Authority allowed the appeal by an order dated 04.01.2006 and he found
that the first respondent is eligible to get an additional payment of
Rs.22,529/- and also interest from the date of retirement till the date of
payment.

6.Attacking the same, the petitioner Bank has raised three contentions.
The first contention was that the period of suspension, which he is undergone in
1974, 1976 and 1979 cannot be taken as a continuous service. This argument
overlooks the definition of continuous service provided under Section 2(A).
Wherein even a discontinued service, he is treated as a continuous service. But
reading of section 2(A) does not show a suspension inflected by an employer can
be omitted, to be counted as a continuous service. Because while suspending an
employee, the contract of employment does not come to an end. But it continues.
By an order of suspension, the employer only prevent the workmen from reporting
to work and therefore, the said contention cannot be accepted.

7.With reference to the last drawn wages, it has been considered by the
Controlling Authority in the first round of litigation and the last drawn wages
was accepted. The other question that beyond the statutory payment, the
employer need not pay any amount also cannot be accepted. Since under Section
14, the Act only overrides other enactment, which are inconsistent and if under
the byelaw, if any amounts are paid over and above the statutory payment, then
the maximum pointed under the Act cannot be cited as an example. The last
question with reference to payment of interest. The act very clearly says that
the liability to pay gratuity arises under Section 4(1) and if any one of the
contingencies set out in 4(1) mentioned, then the payment of gratuity become an
imperative from that moment. Therefore, if any gratuity is not paid on the day
when it becomes payable, then Section 7(3)(A) provides for interest. Therefore,
the Appellate Authority has correctly held that the workmen is eligible for
interest for the reduced payment of gratuity.

8.In the light of the above, there is no case made out to entertain the
Writ petition. It must also be noted that it is not as if that the first
respondent worked only for a few years, but he had worked for 30 years
continuously in the Bank and for paltry sum of Rs.22,529/- it is unnecessary for
the Bank to file such a Writ petition.

9.In the light of the above, there is no case made out. Hence, the Writ
petition stands dismissed. No costs.

nbj

To

1.The Assistant Commissioner of Labour (Gratuity),
Office of the Deputy Commissioner of Laboutr,
Abdul Salem Street,
Kaja Nagar,
Tiruchirapalli-20.

2.The Joint Commissioner of Labour,
Appellate Authority under
The Payment of Gratuity,
Madurai-20.

TN PAYMENT OF SUBSISTENCE ALLOWANCE ACT BEING SPL ACT OVERRIDES BYE LAWS OF COOP SOCIETY-JUSTICE K.CHANDRU

BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT

DATED: 05/10/2010

CORAM

THE HONOURABLE MR.JUSTICE K.CHANDRU

W.P.(MD)No.13187 of 2009

and

M.P.(MD)No.1 of 2009

The Management,

Tamil Nadu Co-operative Marketing Federation Ltd.,

Rep. by its Secretary,

No.9, St.Mary's Road,

Chennai-600 018. ... Petitioner

vs.

1.The Appellate authority,

Payment of Subsistence Allowance Act, 1981,

The Deputy Commissioner of Labour, Madurai,

No.142-1, Sundaram Theatre Road,

K.K.Nagar,

Madurai-625 020.

2.The Authority,

Under Tamil Nadu Payment of Subsistence

Allowance Act, 1981,

Office of the Assistant Commissioner of Labour,

Madurai.

3.Thiru.V.Jayaraj ... Respondents

PRAYER

Writ Petition is filed under Article 226 of the Constitution of

India praying for the issuance of a Writ of Certiorari, to call for the records

pertaining to the impugned order of the first respondent dated 30.09.2009,

passed in PSA Act No.2/2009, confirming the order of the second respondent dated

23.05.2008 on common order passed in PSA Nos.13/2007, 15/2007 and 19/2007 and

quash the same.

!For Petitioner ... Mr.Veera Kathiravan

^For Respondent Nos.1 and 2 ... Mr.R.Janakiramulu

Special Government Pleader

for Respondent No.3 ... Mr.S.Arunachalam

******

:ORDER

*******

The petitioner is a Management of Tamil Nadu Co-operative Marketing

Federation Limited [TANCOFED]. Aggrieved by the order passed by the first

respondent appellate authority under the Tamil Nadu Payment of Subsistence

Allowance Act, 1981, dated 30.09.2009, confirming the order passed by the second

respondent, Assistant Commissioner of Labour, Madurai, dated 23.05.2008, the

present Writ Petition came to be filed.

2. The third respondent was working as a Junior Assistant in the

Sivagangai Region. He was posted to work at Pammanendhal Primary Agricultural

Co-operative Bank. Due to the irregularities in the purchase of Copra, a

criminal case was registered by the Director of Vigilance and Anti-Corruption,

Ramanathapuram in No.2/AC/2003, based on which, the third respondent was placed

under suspension on the day when he was about to retire from service. Since no

subsistence allowance was paid, the third respondent moved the authority

constituted under the Tamil Nadu Payment of Subsistence Allowance Act claiming

subsistence allowance. He also stated that after suspending him, no enquiry was

conducted and criminal case was also not in progress. Therefore, as per the

provisions of the Act, he is entitled for 75% of wages as subsistence allowance

from 90 days to 180 days and, thereafter, 100% of wages as subsistence

allowance. The subsistence allowance was claimed for different periods in three

different applications, viz., P.S.A.Nos.13/2007, 15/2007 and 19/2007.

3. The stand of the petitioner Corporation was that under the bye-

law 31(5), if there is any suspension on the day of retirement, the wages will

get frozen and the society had already paid 50% for the 23 months at the rate of

Rs.5,015/- p.m.. Since the third respondent had misappropriated Rs.7,26,300/-,

there is no further payment and that too, not at the rate of 100%. The authority

rejected the stand of the petitioner TANCOFED and computed the amount and

allowed the three applications. Aggrieved by the order passed by the authority,

the petitioner preferred an appeal under Rule 5(A) of the Tamil Nadu Payment of

Subsistence Allowance Rule, 1981, to the first respondent and the petitioner's

appeal was numbered as PSAA.No.2 of 2009. The appellate authority concurred with

the findings rendered by the second respondent and rejected the appeal filed by

the petitioner. It is as against the said order, the present Writ Petition came

to be filed.

4. The learned counsel for the petitioner contended that the order

passed by the authorities are erroneous. Since the third respondent reached the

age of superannuation, he is only entitled to be paid 50% as paid by the society

and he is claiming to seek 100%, which is not maintainable. It is also submitted

that criminal case get prolonged and further, the Society should not be made to

pay 100% of the wages as subsistence allowance.

5. Mr.S.Arunachalam, learned counsel for the third respondent

submitted that even the criminal case has ended in acquittal on 07.02.2010 in

C.C.No.2 of 2006, which was tried before the learned Chief Judicial Magistrate,

Ramanathapuram. Therefore, the third respondent cannot be indefinitely kept

under suspension.

6. The said issues need not be gone into at this stage, as this

Court is only confining its review only on the orders passed by the authorities

below. The argument placed upon the bye-law 31(5) is unsustainable, as the said

bye-law only enables the society to place a person under suspension, even after

reaching the age of superannuation, with a view to continue the disciplinary

proceedings. Therefore, having availed the said provision to retain the third

respondent in service, it has to be seen whether the third respondent is

entitled to invoke the provisions of the Act.

7. The term "suspension" is defined under Section 2(g) of the Tamil

Nadu Payment of Subsistence Allowance Act, 1981, which reads as follows:-

"(g) "Suspension" means an interim decision of an employer as a

result of which an employee is debarred temporarily from attending to his office

and performing his functions in the establishment on the ground that -

(1) an enquiry into grave charges against him is contemplated or is

pending or no final order after the completion of the enquiry has been passed;

or

(2) a complaint against him of any criminal offence is under

investigation or trial or the complaint has not been finally disposed of."

Therefore, if a person is kept under suspension, whether before reaching the age

of superannuation or after, that is immaterial for the purpose of this Act.

8. The ingredients found in Section 2(g) of the Tamil Nadu Payment

of Subsistence Allowance Act, 1981 [hereinafter referred to as "the Act"], is

squarely applicable to the case of the third respondent. It is also admitted

that the petitioner society did not proceed with any disciplinary action against

the third respondent, though there is no legal bar for conducting a departmental

enquiry simultaneously even when the criminal trial is on. Therefore, no blame

can be made on the third respondent. The authority, who is constituted under

Section 4 of the Act is empowered to go into the question as to whether an

employee is entitled to get enhanced subsistence allowance initially at the rate

of 75% and, thereafter, 100%.

9. As per Section 3(1) of the Act, if any delay is attributable to

such employee either on account of delay tactics adopted during departmental

enquiry or where a criminal proceeding is prolonged beyond the period of 90 days

for reasons directly attributable to the employee as found in the third proviso

to Section 3(1) of the Act, certainly it is open to the employer to plead before

the authority that he was not eligible to get enhanced compensation. Though

delay is attributed on the third respondent, no such defence was taken before

the authorities, viz., the second respondent and the appellate authority, viz.,

the first respondent. When the authorities are empowered to calculate

subsistence allowance as per the provisions of the Act, when there is a valuable

defence open to the petitioner society and that defence was not pleaded, it is

not open to the said society to plead before this Court that their bye-laws only

provides for 50% and no more. When a special enactment has been made by the

State, exclusively dealing with the issue of subsistence allowance, no reliance

can be placed upon the bye-laws. In fact, Section 5 of the Act protects better

terms provided by the employer and if the terms are less favourable, then the

provisions of the Act override such contract, bye-laws, or any term of

settlement.

10. In the light of the above, this Court does not find any legal

ground to impeach the orders passed by the authorities below, which are impugned

in the present Writ Petition. Hence, this Writ Petition is dismissed. In view of

the dismissal of the Writ Petition, it is open to the third respondent to

withdraw the amounts lying in deposit with the second respondent. Consequently,

the connected miscellaneous petition is closed. However, there will be no order

as to costs.

SML

To

1.The Appellate authority,

Payment of Subsistence Allowance Act, 1981,

The Deputy Commissioner of Labour, Madurai,

No.142-1, Sundaram Theatre Road,

K.K.Nagar,

Madurai-625 020.

2.The Authority,

Under Tamil Nadu Payment of Subsistence

Allowance Act, 1981,

Office of the Assistant Commissioner of Labour,

Madurai.

TRANSFER CONSTITUTES INDUSTRIAL DISPUTE

BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT

DATED: 01/11/2010

CORAM

THE HONOURABLE MR.JUSTICE K.CHANDRU

W.P.(MD)NO.7109 of 2009

and

W.P.(MD)NO.9607 and 9608 of 2010

and

M.P.(MD)No.1 of 2009 and 1 and 1 of 2010

Cement and Quarry Workers Union,

represented by its General Secretary

A.Vailkandan,

173F, Madurai Road,

Sankar Nagar,

Tirunelveli District. .. Petitioner in

all writ petitions

vs

1.The Secretary to Government,

Ministry of Labour,

Government of India,

New Delhi.

2.The Assistant Commissioner of Labour (Central),

Lady Doak College Road,

Chinna Chokkikulam,

Madurai-625 002.

3.The Management,

The India Cements Ltd.,

Sankar Nagar,

Tirunelveli District. .. Respondents in

all writ petitions

W.P.(MD)No.7109 of 2009 has been preferred under Article 226 of the Constitution

of India praying for the issue of a writ of certiorarified mandamus to call for

the records relating to the impugned order passed by the first respondent dated

30.01.2009, to quash the same and consequently, to direct the first respondent

to refer the matter to the labour court for adjudication as contemplated under

Industrial Disputes Act, 1947.

W.P.(MD)Nos.9607 and 9608 of 2010 have been preferred under Article 226 of the

Constitution of India praying for the issue of a writ of certiorarified mandamus

to call for the records relating to the impugned orders in No.L-29011/19/2009-

IR(M), L-29011/17/2009-IR(M) passed by the first respondent dated 9.3.2010 and

15.2.2010, to quash the same and consequently, to direct the first respondent to

refer the matter to the labour court for adjudication as contemplated under

Industrial Disputes Act, 1947.

!For Petitioner ... Mr.L.Shaji Chellan in WP(MD).7109 of 2009

Mr.S.M.Mohan Gandhi

in WP(MD)Nos.9607 and 9608 of 2010

^For Respondents ... Mr.S.Sukumaran, Senior Panel counsel

for RR1 and 2 in W.P.(MD)No.7109 of 2009

Mr.S.Jayaraman, SC for Mr.A.Veerasamy for R-3

in all writ petitions

Mr.K.K.Senthilvelan for RR1 and 2

in WP(MD)Nos.9607 and 9608 of 2010

- - - -

:COMMON ORDER

All the three writ petitions were filed by the petitioner union, seeking

to challenge the orders of the first respondent, dated 30.01.2009, 09.03.2010

and 15.2.2010.

2.In W.P.(MD)No.7109 of 2009, the petitioner union raised a dispute

against the transfer of one R.Rengasamy from Sankar Nagar at Tirunelveli to

Raasi Works in Andhra Pradesh before the Central Labour Commissioner. The

Conciliation Officer, i.e. Assistant Labour Commissioner (Central), Madurai sent

a failure report, dated 29.8.2008 to the Central Government. The Central

Government upon receipt of the said report, by an order, dated 30.1.2009,

declined to refer the dispute and gave the following reasons:

"Having accepted the terms and conditions of the appointment order, the Union

cannot take a plea of transfer as an unfair labour practice at this point of

time. Moreover, transfer is a prerogative of the management."

It is this order which is under challenge in this writ petition.

3.On notice from this court, the third respondent India Cements Ltd. has

filed a counter affidavit, dated 18.10.2010 together with supporting documents.

The principal contention raised by the management was that transfer was made on

31.1.2005. The petitioner had joined in the Raasi Works, Andhra Pradesh on

21.2.2005. Therefore, they are guilty of delay. Further, the terms of

appointment given to the petitioner shows that he can be transferred to any

other unit such as Factory, Mines, Head Office, Foundry Division, Chilamkur

(Factory/Mines), Sankari (Factory/Mines), Factory and Mines formed and acquired

by the same management. Therefore, there was no scope for adjudicating such

dispute. The first and second respondents have also filed a counter affidavit,

dated 08.04.2010.

4.Per Contra, Mr.L.Shajji Chellan, learned counsel for the petitioner

stated that the Standing Order applicable to the factory only provides for

transfer of workers from one shift to another shift in the interest of the

Company. There is no scope for transferring the workers from one factory to

another factory and that too the factory which was established long after the

petitioner joined the service and also to the far off place in an another State,

i.e. Andhra Pradesh.

5.In W.P.(MD)No.9607 of 2010, the petitioner union raised a dispute

relating to transfer of one Kulandai Jesu from Sankar Nagar, Tirunelveli to

Bhimavaram in Andhra Pradesh. The dispute was conciliated by the Assistant

Labour Commissioner, Madurai. As he could not bring about mediation, he sent a

failure report to the Government of India, dated 24.9.2009. The Government of

India upon receipt of the same, by the impugned order, dated 9.3.2010 declined

to refer the dispute and passed an order that "Transfer is a prerogative of the

management."

It is this order which is under challenge in this writ petition. The third

respondent has filed a counter affidavit, dated 18.10.2010 and had raised

similar contentions as in the case of workmen Rengasamy.

6.In W.P.(MD)No.9608 of 2010, the petitioner union raised a dispute

regarding transfer of its member N.Krishnan from Sankar Nagar, Tirunelveli to

Sankari Works, Salem. The dispute was conciliated by the Assistant Labour

Commissioner (Central), Madurai. As he could not bring about mediation, he sent

a failure report, dated 31.8.2009 to the Government of India. The Government of

India, by its order, dated 15.2.2010, exercising power under Section 10(1) of

the Industrial Disputes Act, declined to refer the dispute and gave the

following reasons:

"Transfer of workman is prerogative of the management and cannot constitute an

industrial dispute."

The petitioner Union has challenged the same in this writ petition. On notice

from this court, the third respondent management had raised identical

contentions in its counter affidavit, dated 18.10.2010 in this writ petition

also.

7.In view of the commonality among the three writ petitions, they were

grouped together and a common order is passed.

8.Heard the arguments of Mr.L.Shaji Chellan and Mr.S.M.Mohan Gandhi,

learned counsel appearing for petitioners and Mr.S.Sukumaran,

Mr.K.K.Senthilvelan and Mr.S.Jayaraman, learned Senior Counsel for

Mr.A.Veerasamy, learned counsel appearing for respondents.

9.The three orders of the Central Government referred to prerogative power

of the employer to transfer the employees. The learned senior counsel for the

third respondent Mr.S.Jayaraman contended that the orders should not be

interfered with on the ground of delay in approaching the court. The employer

had incorporated the said clause in the orders of appointment issued to the

petitioners. In a writ in the nature of certiorari, one cannot supply reasons

which are not found on the face of the order.

10.Even otherwise, the Supreme Court on the question of delay in raising

the dispute dealt with several judgments and has held that the delay cannot be

the sole reason for denying the relief. In this context, it is necessary to

refer to the judgment of the Supreme Court in Karan Singh v. Haryana State

Marketing Board reported in (2007) 14 SCC 291. The following passage found in

paragraph 15 from the said judgment may be usefully extracted below:

15. "10. So far as delay in seeking the reference is concerned, no formula of

universal application can be laid down. It would depend on the facts of each

individual case.

11. However, certain observations made by this Court need to be noted. In

Nedungadi Bank Ltd. v. K.P. Madhavankutty4 it was noted at para 6 as follows:

(SCC pp.459-60)

'6. Law does not prescribe any time-limit for the appropriate Government to

exercise its powers under Section 10 of the Act. It is not that this power can

be exercised at any point of time and to revive matters which had since been

settled. Power is to be exercised reasonably and in a rational manner. There

appears to us to be no rational basis on which the Central Government has

exercised powers in this case after a lapse of about seven years of the order

dismissing the respondent from service. At the time reference was made no

industrial dispute existed or could be even said to have been apprehended. A

dispute which is stale could not be the subject-matter of reference under

Section 10 of the Act. As to when a dispute can be said to be stale would depend

on the facts and circumstances of each case. When the matter has become final,

it appears to us to be rather incongruous that the reference be made under

Section 10 of the Act in the circumstances like the present one. In fact it

could be said that there was no dispute pending at the time when the reference

in question was made. The only ground advanced by the respondent was that two

other employees who were dismissed from service were reinstated. Under what

circumstances they were dismissed and subsequently reinstated is nowhere

mentioned. Demand raised by the respondent for raising an industrial dispute was

ex facie bad and incompetent.'

12. In S.M. Nilajkar v. Telecom District Manager5 the position was reiterated as

follows: (SCC pp.39-40, para 17)

'17. It was submitted on behalf of the respondent that on account of delay in

raising the dispute by the appellants the High Court was justified in denying

relief to the appellants. We cannot agree. It is true, as held in Shalimar Works

Ltd. v. Workmen6 that merely because the Industrial Disputes Act does not

provide for a limitation for raising the dispute, it does not mean that the

dispute can be raised at any time and without regard to the delay and reasons

therefor. There is no limitation prescribed for reference of disputes to an

Industrial Tribunal; even so it is only reasonable that the disputes should be

referred as soon as possible after they have arisen and after conciliation

proceedings have failed, particularly so when disputes relate to discharge of

workmen wholesale. A delay of 4 years in raising the dispute after even re-

employment of the most of the old workmen was held to be fatal in Shalimar Works

Ltd. v. Workmen6. In Nedungadi Bank Ltd. v. K.P. Madhavankutty4 a delay of 7

years was held to be fatal and disentitled the workmen to any relief. In Ratan

Chandra Sammanta v. Union of India7 it was held that a casual labourer

retrenched by the employer deprives himself of remedy available in law by delay

itself; lapse of time results in losing the remedy and the right as well. The

delay would certainly be fatal if it has resulted in material evidence relevant

to adjudication being lost and rendered not available. However, we do not think

that the delay in the case at hand has been so culpable as to disentitle the

appellants to any relief. Although the High Court has opined that there was a

delay of 7 to 9 years in raising the dispute before the Tribunal but we find the

High Court factually not correct. The employment of the appellants was

terminated sometime in 1985-1986 or 1986-1987. Pursuant to the judgment in Daily

Rated Casual Labour v. Union of India8 the Department was formulating a scheme

to accommodate casual labourers and the appellants were justified in awaiting

the outcome thereof. On 16-1-1990 they were refused to be accommodated in the

Scheme. On 28-12-1990 they initiated the proceedings under the Industrial

Disputes Act followed by conciliation proceedings and then the dispute was

referred to the Industrial Tribunal-cum-Labour Court. We do not think that the

appellants deserve to be non-suited on the ground of delay.' "

The above position was highlighted recently in Sudamdih Colliery of Bharat

Coking Coal Ltd. v. Workmen9, SCC pp.334-36, paras 10-12 and Chief Engineer,

Ranjit Sagar Dam v. Sham Lal10."

11.The second argument that the orders of appointment had incorporated the

clause for transfer also does not stand to reason in the light of the judgment

of the Supreme Court in Western India Match Co. Ltd. v. Workmen reported in

(1974) 3 SCC 330. The Supreme Court has held that the terms of appointment

cannot be used to take away the clause in the certified Standing Order. The

relevant passage found in paragraph 10 of the said judgment may be reproduced

below:

"10.In the sunny days of the market economy theory people sincerely believed

that the economic law of demand and supply in the labour market would settle a

mutually beneficial bargain between the employer and the workman. Such a

bargain, they took it for granted, would secure fair terms and conditions of

employment to the workman. This law they venerated as natural law. They had an

abiding faith in the verity of this law. But the experience of the working of

this law over a long period has belied their faith. Later generations discovered

that the workman did not possess adequate bargaining strength to secure fair

terms and conditions of service. When the workmen also made this discovery, they

organised, themselves in trade unions and insisted on collective bargaining with

the employer. The advent of trade unions and collective bargaining created new

problems of maintaining industrial peace and production for the society. It was

therefore considered that the society has also an interest in the settlement of

the terms of employment of industrial labour. While formerly there were two

parties at the negotiating table - the employer and the workman, it is now

thought that there should also be present a third party, the State, as

representing the interest of the society. The Act gives effect to this new

thinking. By Section 4 the Officer certifying the Standing Order is directed to

adjudicate upon "the fairness or reasonableness" of the provisions of the

Standing Order. The Certifying Officer is the statutory representative of the

society. It seems to us that while adjudging the fairness or reasonableness of

any Standing Order, the Certifying Officer should consider and weigh the social

interest in the claims of the employer and the social interest in the demands of

the workmen. Section 10 provides the mode of modifying the Standing Orders The

employer or the workman may apply to the Certifying Officer in the prescribed

manner for the modification of the Standing Orders Section 13(2) provides that

an employer who does any act in contravention of the Standing Order shall be

punishable with fine which may extend to one hundred rupees. It also provides

for the imposition of a further fine in the case of a continuing offence. The

fine may extend to twenty-five rupees for every day after the first during which

the offence continues."

12.As correctly contended by the learned counsel for the petitioners in

the present cases, the Standing Order does not contemplate any such power for

transfer. It is also contended by the workmen that an action of the employer

amounts to an unfair labour practice listing out in V Schedule which is

prohibited by Section 25T of the Industrial Disputes Act. These are all matters

arising out of merits of the case and will have to be adjudicated by the

competent tribunal. Hence this court is not inclined to render any finding on

this score. It is suffice to state that the Government in the guise of

exercising its power under Section 10(1) of the ID Act cannot reach out a

conclusion on merits.

13.In this context, it is necessary to refer to the judgment of the

Supreme Court in Ram Avtar Sharma v. State of Haryana reported in (1985) 3 SCC

189. The following passage found in paragraph 7 of the said judgment may be

usefully extracted below:

"7.Now if the Government performs an administrative act while either making or

refusing to make a reference under Section 10(1), it cannot delve into the

merits of the dispute and take upon itself the determination of lis. That would

certainly be in excess of the power conferred by Section 10. Section 10 requires

the appropriate Government to be satisfied that an industrial dispute exists or

is apprehended. This may permit the appropriate Government to determine prima

facie whether an industrial dispute exists or the claim is frivolous or bogus or

put forth for extraneous and irrelevant reasons not for justice or industrial

peace and harmony. Every administrative determination must be based on grounds

relevant and germane to the exercise of power. If the administrative

determination is based on the irrelevant, extraneous or grounds not germane to

the exercise of power it is liable to be questioned in exercise of the power of

judicial review. In State of Bombay v.K.P. Krishnan4 it was held that a writ of

mandamus would lie against the Government if the order passed by it under

Section 10(1) is based or induced by reasons as given by the Government are

extraneous, irrelevant and not germane to the determination. In such a situation

the Court would be justified in issuing a writ of mandamus even in respect of an

administrative order. Maybe, the Court may not issue writ of mandamus, directing

the Government to make a reference but the Court can after examining the reasons

given by the appropriate Government for refusing to make a reference come to a

conclusion that they are irrelevant, extraneous or not germane to the

determination and then can direct the Government to reconsider the matter. This

legal position appears to be beyond the pale of controversy."

14.Therefore, the Government of India's refusing to refer the three cases

of the workmen for adjudication is clearly erroneous and liable to be interfered

with by this court. The petitioner union is entitled to succeed. Hence the

impugned orders stand set aside. A direction is issued to the first respondent

to refer the cases of the three workmen for adjudication by the Central

Government Industrial Tribunal at Chennai. This exercise shall be undertaken

within a period of two months from the date of receipt of copy of this order,

without fail.

15.Accordingly, all the three writ petitions will stand allowed. However,

there will be no order as to costs. Consequently, connected miscellaneous

petitions stand closed.

vvk

To

1.The Secretary to Government,

Ministry of Labour,

Government of India,

New Delhi.

2.The Assistant Commissioner of Labour (Central),

Lady Doak College Road,

Chinna Chokkikulam,

Madurai-625 002.

3.The Management,

The India Cements Ltd.,

Sankar Nagar,

Tirunelveli District.

Wednesday, November 10, 2010

Protection of Women against Sexual Harassment at Workplace Bill, 2010

Protection of Women against Sexual Harassment at Workplace Bill, 2010

The Union Cabinet today approved the introduction of the Protection of
Women against Sexual Harassment at Workplace Bill, 2010 in the
Parliament to ensure a safe environment for women at work places, both
in public and private sectors whether organised or unorganized. The
measure will help in achieving gender empowerment and equality.

The proposed Bill, if enacted, will ensure that women are protected
against sexual harassment at all the work places, be it in public or
private. This will contribute to realisation of their right to gender
equality, life and liberty and equality in working conditions
everywhere. The sense of security at the workplace will improve
women's participation in work, resulting in their economic empowerment
and inclusive growth.

Salient features of the Bill are as follows:

• The Bill proposes a definition of sexual harassment, which is as
laid down by the Hon'ble Supreme Court in Vishaka v. State of
Rajasthan (1997). Additionally it recognises the promise or threat to
a woman's employment prospects or creation of hostile work environment
as 'sexual harassment' at workplace and expressly seeks to prohibit
such acts.

• The Bill provides protection not only to women who are employed but
also to any woman who enters the workplace as a client, customer,
apprentice, and daily wageworker or in ad-hoc capacity. Students,
research scholars in colleges/university and patients in hospitals
have also been covered. Further, the Bill seeks to cover workplaces in
the unorganised sectors.

• The Bill provides for an effective complaints and redressal
mechanism. Under the proposed Bill, every employer is required to
constitute an Internal Complaints Committee. Since a large number of
the establishments (41.2 million out of 41.83 million as per Economic
Census, 2005) in our country have less than 10 workers for whom it may
not be feasible to set up an Internal Complaints Committee (ICC), the
Bill provides for setting up of Local Complaints Committee (LCC) to be
constituted by the designated District Officer at the district or sub-
district levels, depending upon the need. This twin mechanism would
ensure that women in any workplace, irrespective of its size or
nature, have access to a redressal mechanism. The LCCs will enquire
into the complaints of sexual harassment and recommend action to the
employer or District Officer.

• Employers who fail to comply with the provisions of the proposed
Bill will be punishable with a fine which may extend to ` 50,000.

• Since there is a possibility that during the pendency of the enquiry
the woman may be subject to threat and aggression, she has been given
the option to seek interim relief in the form of transfer either of
her own or the respondent or seek leave from work.

• The Complaint Committees are required to complete the enquiry within
90 days and a period of 60 days has been given to the employer/
District Officer for implementation of the recommendations of the
Committee.

• The Bill provides for safeguards in case of false or malicious
complaint of sexual harassment. However, mere inability to
substantiate the complaint or provide adequate proof would not make
the complainant liable for punishment.

Implementation of the Bill will be the responsibility of the Central
Government in case of its own undertakings/establishments and of the
State Governments in respect of every workplace established, owned,
controlled or wholly or substantially financed by it as well as of
private sector establishments falling within their territory. Besides,
the State and Central Governments will oversee implementation as the
proposed Bill casts a duty on the Employers to include a Report on the
number of cases filed and disposed of in their Annual Report.
Organizations, which do not prepare Annual Reports, would forward this
information to the District Officer.

Through this implementation mechanism, every employer has the primary
duty to implement the provisions of law within his/her establishment
while the State and Central Governments have been made responsible for
overseeing and ensuring overall implementation of the law. The
Governments will also be responsible for maintaining data on the
implementation of the Law. In this manner, the proposed Bill will
create an elaborate system of reporting and checks and balances, which
will result in effective implementation of the Law.


Sunday, October 31, 2010

Employers cannot withhold gratuity of retired employees: HC

Employers cannot withhold gratuity of retired employees: HC

Staff Reporter

MADURAI: Factories, mines, oilfields, plantations, ports, shops and other establishments with ten or more employees cannot withhold payment of gratuity to its retired employees by holding them responsible for financial loss, the Madras High Court has ruled.

Justice K. Chandru passed the ruling while dismissing two writ petitions filed in the Madurai Bench by the Chairman and Managing Director of Tamil Nadu Civil Supplies Corporation challenging orders passed by a Joint Commissioner of Labour to pay gratuity to two of its retired employees.

“Whatever may be the claim made by the petitioner management, it is not as if it has no machinery to recover the amount as there are other machineries either under service law or in civil law for recovering the amount. But on that score, the gratuity payable is not liable for attachment,” he said.

The judge pointed out that Section 13 of the Act stated that gratuity payable under the legislation was not liable to attachment in execution of any decree or order of any civil, revenue or criminal court. “Even Section 14 of the Act provides overriding effect over other laws,” he added.

Mr. Justice Chandru also said that Section 4 (6), the only provision which provides for forfeiture of gratuity amount to the extent of damage or loss caused to the employer, states that the money could be withheld only if the services of the employee had been terminated for wilful omission or negligence. Out of the two writ petitions before the court, one related to G. Packirisamy, a rice mill operator who was accused of short out turn of rice from the paddy given to him for hulling. He retired on July 31, 2001 but his gratuity was not paid.

The other case related to P. Dakshinamoorthy, a boiler operator who retired in 1995.