High CourtDivision BenchAppeal disposed of

AJNALA COOP. SUGAR MILLS LTD. v. SUKHRAJ SINGH

Case / Petition Number:Civil Appeal No. 2831 of 2007
Neutral Citation:2007 SCR 7

Case Details & Bench

Court
High Court
Hon'ble Judges
  • Dr. Arijit Pasayat
  • D.K. Jain
Judgment Date
2007-05-23
Court Decision / Holding
High Court’s order is set aside; the matter is remitted to the Labour Court for fresh consideration. The Labour Court is directed to decide within three months from the date of receipt of this order after due notice to the parties. The appeal is disposed of with no order as to costs.
Final Disposition
Appeal disposed of

Parties to the Case

Appellants / Petitioners

  • AJNALA COOP. SUGAR MILLS LTD.

Respondents

  • Sukhraj Singh

Legal Representation & Advocates

Counsels for Petitioners

  • • M.C. Dhingra

Counsels for Respondents

  • • Diriesh Kumar Garg
  • • Dr. Bheem Pratap Singh
  • • Manoj Kumar Ahmad C

Case Synopsis & Summary

The case concerns the termination of services of a daily-wage worker by Ajnala Co-operative Sugar Mills Ltd. The Labour Court held the termination illegal for non-compliance with Section 25-F of the Industrial Disputes Act, 1947, directing reinstatement with continuity of service and back wages. The Punjab and Haryana High Court dismissed the employer’s writ petition, noting the management failed to produce muster rolls supporting that the worker had not completed 240 days in the relevant year. The appellant contends that the worker did not work for more than 240 days in the preceding 12 months and that the engagement was seasonal; after the season ends there is no ongoing employment. The Supreme Court held that it is for the workman to prove that he worked for more than 240 days, and criticized the High Court for not properly addressing whether the Labour Court had specifically considered the employer’s stand that the worker was a seasonal daily wager with no post-season engagement. Consequently, the High Court’s order is set aside and the matter remitted to the Labour Court for fresh consideration, with directions to decide within three months after notice to the parties. The judgment cites several precedents on the 240-day requirement and seasonal employment.

Provisions of Law Cited

Industrial Disputes Act, 1947, Section 25-FIndustrial Disputes Act, 1947, Section 2(oo)(bb)

Legal Doctrines & Maxims

  • Workman has to prove that he has worked for more than 240 days
  • Seasonal workers are not retrenchment; cessation after season does not amount to retrenchment under Section 2(oo)(bb)

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellant submits that the respondent-workman did not complete 240 days in the 12 months preceding termination. It contends the worker was engaged as a seasonal daily wager and, after the crushing season, there was no obligation to continue employment. The Labour Court did not address the employer’s stand regarding seasonal engagement and the muster rolls were not adequately produced to prove non-fulfillment of 240 days. The matter, therefore, requires fresh consideration to determine if Section 25-F applied to a seasonal daily wager and to assess evidence of engagement during the relevant period.

Contentions of Respondents

The respondent-workman contends that he worked for more than 240 days during the relevant year, and that the Labour Court and High Court correctly found a violation of Section 25-F, warranting reinstatement with continuity and back wages. It relies on established precedents recognizing the 240-day rule and maintains that seasonal cessation does not negate eligibility under the Act where evidence shows substantial service in the year prior to termination.

Cited Precedents (4)

Case NameCitationTreatmentExplanation
Range Forest Officer v. S. T. Hadimani2002 (3) SCC 25PositiveCited to support that the workman has to prove that he has worked for more than 240 days in the relevant period.
Essen Deinki v. Rajiv Kumar2002 (8) SCC 400PositiveAffirms the requirement that a workman must prove 240 days of service.
Batala Coop. Sugar Mills Ltd. v. Sowaran Singh2005 (8) SCC 481PositiveDiscusses seasonal employment and retrenchment principles relevant to the 240-day rule.
Marinda Coop. Sugar Mills Ltd. v. Ram Kishan and Ors.1995 (5) SCC 653PositiveCited to illustrate that cessation after a season is not retrenchment for seasonal workers under the Act.

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Extracted Judgment Text

Exact text extracted from official judgment records.

# AJNALA COOP. SUGAR MILLS LTD. _v._ # SUKHRAJ SINGH MAY 23, 2007 [DR. ARIJIT PASA Y AT AND D.K. JAIN, JJ.] ## _Labour Laws :_ ## _Industrial Disputes Act, 1947 :_ c · _s. 25-F-Seasonal daily wager-Termination of Services-Held, it was for the workman to establish that he worked, during the relevant year, for more than 240 days-Since the Labour Court did not deal with the stand of the employer that workman had not completed 240 days as required and he was working as a seasonal daily wager, matter remitted to it for_ D _consideration afresh._ Services of the respondent, a daily wager, were terminated. The Labour . Court held the termination as illegal for want of compliance of Section 25:.. F of the Industrial Disputes Act, 1947, and directed his reinstatement. The High Court dismissed the writ petition of the empoyer holding that the E Management was required to maintain the muster rolls and it failed to produce the records to support its contention that during the relevant period the workman, a seasonal daily wager, had not completed the requisite period of 240 days. Aggrieved, the employer filed the instant appeal. ## Disposing of the appeal, the Court F HELD : It was for the workman to establish that he had worked for more t~~m 240 days. The High Court did not examine the issues in proper perspective as to whether the Labour Court did not specifically deal with the stand of the appellant that the workman had not completed more than 240 days and he was working as a seasonal daily wager and after the season was G over there was no engagement. In the circumstances, the order ofthe High Court is set aside and the matter is remitted to the Labour Court for fresh consideration. (Paras 7 and 8) (782-A, Bl H 779 780 SUPREME COURT REPORTS [2007) 7 S.C.R. A _Range Forest Officer_ v. _S. T. Hadimani,_ 1200213 SCC 25, _Essen Deinki_ v. _Rajiv Kumar,_ 120021 8_ SCC 400 and _Batala Coop. Sugar Mills Ltd._ v. _Sowaran Singh,_ (200518 SCC 481, relied on. CIVIL APPELLATE JURISDICTION : Civil Appeal No. 2831 of 2007. B From the Final Judgment and Order ~ated 11.12.2003 of the High Court of Punjab & Haryana at Changigarh in Civil Writ Petition No. 19172 of2003. ## M.C. Dhingra for the Appellant. · DirieshKumar Garg, Dr. Bheem Pratap Singh and Manoj Kumar Ahmad C for the Respondent. . · The Judgment of the Court was delivered by ## DR. ARIJIT PASA Y AT, J. Leave granted. D I. Challenge in this appeal is to the order passed by Division Bench of the Punjab and Haryana High Court dismissing the writ petition filed by the appellant. In the writ petition challenge wast~ the award of the Labour Court, Amritsar (in short 'Labour Court')dated 27.112002, whereby alleged termination of services of the respondent was held to be illegal for want of compliance with the requirements of Section 25-F of the Industrial Disputes Act, 1947 (in E short the 'Aet'). The respondent was directed ~o be reinstated with continuity of service_ with back wages .. The appeUant's stand was that the workman had not completed 240 days in 12 months preceding the date of termination of the service and, therefore, the management was not required to comply with the provisions of Section 25~F of the Act. High Court noted that the workman F had joined the servic::e in 199 L The services were dispensed with in the year 1993. It was noted that the management which was required to maintain the muster rolls failed to produce the records to support its contention that during this period the workman had not completed the requisite period of240 days. Accordingly, the award passed by the Labour Court was found to be in order and writ petition was d_ismissed. G 2. Learned counsel for the appellant submitted that the workman had not worked for more than 240 days in thepreceding 12 months. Except bare assertion no material . was produced. On the contrary the appellant has categorically stated that the respondent had not worked for more than. 240 days. ## II 781 AJNALACOOP.SUGARMILLSLTD .... SUKHRAJSINGH[PASAYAT,J:) 1111111!•-- ~ _>_ •/ 3. In this connection reference was made to the assertion made before the Labour Court that the workman was engaged on daily wager basis and his services were only seasonal. It was specifically asserted that after th~ season was over the respondent workman did not tum up and he had not completed 240 days of service. He was not permanent employee of the appellant and, therefore, reference was not maintainable. Since the workman was employed only for seasonal work, his services were not to be continued after the season was over. 4. Learned counsel for the respondent on the other hand submitted that the Labour Court as well as the High Court referred to the material on record and categorically held that the appellant had been working for more than 240 days. Certain documents in this regard were referred to. 5. This Court in several cases has held that the workman has to prove that the he has worked for more than 240 days. (See: _Range Forest Officer_ v. _S. T. Hadimani,_ [2002) 3 SCC 25; _Essen Deinki_ v. _Rajiv Kumar,_ [2002) 8 SCC 400 and _Batala Coop. Sugar Mills Ltd ._ . v. _Sowaran Singh,_ [2005) 8 SCC 48 I). D _..,_ 6. In _Batala Coop. Sugar Mills_ (supra) it was observed as under: "We find that the High Court's judgment is unsustainable on more than one count. In _Marinda Coop. Sugar Mills Ltd_ v. _Ram Kishan and Ors.,_ [1995) 5 SCC 653 it was observed as follows: E "4. It would thus be clear that the respondents were not working throughout the season. They worked during crushing seasons only. The respondents wei:e taken into work for the season and consequent to closure of the season, they ceased to work. ·' ' l 5. The question is whether such a cessation would amount to[F ] retrenchment. Since it is only a seasonal work, the respondents cannot be said to have been retrenched in view of what is stated in clause (bb) of Section 2(oo) of the Act. Under these circumstances, we are of the opinion that the view taken by the Labour Court and the High Court is illegal. However, the appellant G is directed to maintain a register for all workmen engaged during the seasons enumerated hereinbefore and when the new season starts the appellant should make a publication in neighbouring places in which the respondents normally live and if they would report for duty, the appellant would engage them in accordance with seniority and exigency of work. H 782 (2007) 7 S.C.R. ## SUPREME COURT REPORTS A A 7. Learned ~ounsel for the appellant is correct that it was for the workman to establish that he had worked for more than 240 days. LeamCd counsel for the respondent has referred to certain materials which have been filed as additional doc~tnents in this case. These were not part of the records before the Labour Court or the High Court. It appears that the High Court did not examine the issues in the proper perspective as to whether Labour Court B did not specifically deal with the stand of the appellant that the workman had not completed more than 240 days as he was working as a seasonal daily wager and after the season was over there was no engagement. _'v_ 8. In the circumstances we set aside the order of the High Court and C remit the matter to the Labour Court for fresh consideration. 9. Considering the fact that the matter is pending since long, we request the Labour Court to dispose of the matter within three months from the date of receipt of this order after due notice to the parties. D RP. I 0. The appeal is disposed of accordingly with no order as to costs. Appeal disposed of. _(_