High Court of KeralaSingle JudgeDisposed of by dismissal of writ petition; awar...

Chairman, Manappuram Group of Companies and Employer, Manappuram Printers, Valappad, Thrissur v. N.R. Chandran

Case / Petition Number:OP(LC) NO. 3811 OF 2012

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • Murali Purushothaman, J.
Judgment Date
2024-04-08
Court Decision / Holding
Writ petition dismissed; Ext.P1 award upheld; Tribunal’s findings and order directing compensation in lieu of reinstatement along with back wages and terminal benefits stand intact.
Final Disposition
Disposed of by dismissal of writ petition; award stands.

Parties to the Case

Appellants / Petitioners

  • Chairman, Manappuram Group of Companies and Employer, Manappuram Printers, Valappad, Thrissur

Respondents

  • N.R. Chandran, Naduvil House, Chittissery Post, Thrissur, Pin-680 301
  • The Secretary, Industrial Tribunal, Palakkad

Legal Representation & Advocates

Counsels for Petitioners

  • • Sri B.S. Suresh Kumar
  • • Sri Jinu Joseph
  • • Sri P.K. Mohamed Jameel

Counsels for Respondents

  • • M. Kabani Dinesh

Case Synopsis & Summary

This writ petition under Article 226 challenges Ext.P1, the Industrial Tribunal Palakkad’s award passed under Section 10(1)(d) of the Industrial Disputes Act, 1947, which held that the management denied employment to the 1st respondent, and directed compensation in lieu of reinstatement along with continuity of service for terminal benefits. The petitioner, a public limited company and NBFC, contends that there was no denial of employment; the employee was transferred to Chennai and, having been on medical leave, did not join duty, which the management characterises as abandonment. It argues that the tribunal’s remedy of back wages for two years in lieu of reinstatement is arbitrary and contrary to settled legal principles, relying on a decision (O.P. Bhandari v ITDC) cited by the management, which the tribunal is said to have wrongly applied. The tribunal examined WW1 and MW1, found the 1st respondent was a skilled permanent worker on ESI leave, and concluded that the transfer to Chennai and the failure to join amounted to denial of employment; it refused reinstatement on the basis that ongoing dissension between parties made harmonious functioning impracticable, and instead awarded back wages and terminal benefits as if in service. The High Court upheld the tribunal’s findings and dismissed the petition, refusing to interfere with the award.

Provisions of Law Cited

Section 10(1)(d) of the Industrial Disputes Act, 1947

Submissions & Arguments

Contentions of Appellants / Petitioners

The petitioners contend that there was no denial of employment; the workman abandoned his job by not joining after transfer to Chennai, and transfer is an incidence of service. They challenge the award of compensation in lieu of reinstatement as arbitrary and contrary to law, and argue that reliance on the decision in O.P. Bhandari v ITDC (1986 II-LLJ 509) was misplaced. They seek interference with the tribunal’s findings and restoration of reinstatement with back wages.

Contentions of Respondents

The respondents contend that the employee was denied employment by the management, as he did not join duty after being transferred to Chennai and remained on medical leave until non-joining. They rely on the tribunal’s factual finding of denial of employment and justification for compensation in lieu of reinstatement, supported by evidence of sustained failure to report for duty and the absence of harmonious conduct in the workplace.

Cited Precedents (1)

Case NameCitationTreatmentExplanation
O.P. Bhandari v ITDC1986 II-LLJ 509DistinguishedThe High Court noted that the tribunal went wrong in relying on this decision, indicating it is not applicable to the facts of the present case.

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Extracted Judgment Text

Exact text extracted from official judgment records.

# IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR.JUSTICE MURALI PURUSHOTHAMAN MONDAY, THE 8[TH] DAY OF APRIL 2024 / 19TH CHAITHRA, 1946 ## OP(LC) NO. 3811 OF 2012 AGAINST THE ORDER/JUDGMENT DATED 24.08.2012 IN ID NO.35 OF 2011 OF INDUSTRIAL TRIBUNAL, PALAKKAD ## PETITIONER: THE CHAIRMAN, MANAPPURAM GROUP OF COMPANIES AND EMPLOYER MANAPPURAM GROUP OF COMPANIES AND EMPLOYER, MANAPPURAM PRINTERS, VALAPPAD, THRISSUR. BY ADVS. SRI.B.S.SURESH KUMAR SRI.JINU JOSEPH SRI.P.K.MOHAMED JAMEEL ## RESPONDENTS: 1 N.R.CHANDRAN NADUVIL HOUSE, CHITTISSERY POST, THRISSUR, PIN-680 301. 2 THE SECRETARY INDUSTRIAL TRIBUNAL, PALAKKAD. BY ADV M.KABANI DINESH THIS OP (LABOUR COURT) HAVING COME UP FOR ADMISSION ON 08.04.2024, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: OP(LC) NO. 3811 OF 2012 : 2 : ## JUDGMENT The petitioner, a Public Ltd. Company and a NonBanking Financial Company, has filed this writ petition challenging Ext.P1 Award passed by the Industrial Tribunal, Palakkad pursuant to a reference under Section 10(1)(d) of the Industrial Disputes Act, 1947 by the Government. The Tribunal found that, there is denial of employment to the 1[st] respondent worker by the management and awarded compensation to the 1[st] respondent equivalent to two year’s salary including usual allowances on the basis of his last drawn pay and allowances, in lieu of reinstatement. It was also declared that the 1[st] respondent is entitled to receive all terminal benefits as if he has continued in service without any break. OP(LC) NO. 3811 OF 2012 : 3 : 2. The claim of the 1[st] respondent is that he was denied employment by the management. According to him, he was on medical leave from 04.12.2010 and he had undergone an operation on his right buttock. Though he submitted leave letter with medial records, he was not permitted to join duty. The denial of employment is illegal and unjustifiable and he is entitled to be reinstated with full back wages. 3. The reference under Section 10(1)d reads as ## follows:- “Whether there is denial of employment to Sri. N.R. Chandran, Naduvil House, Chittissery Post, Thrissur by his employer, i.e. the Chairman, Manapuram Group of Companies and Employer, Manappuram Printers, Valapad, Thrissur? 2. If yes, what relief he is entitled to get?” OP(LC) NO. 3811 OF 2012 : 4 : 4. The case of the management is that the workman was not denied employment, but, he abandoned the work without any valid reason. Even though he was transferred to Chennai, he did not join duty. Thus, there is abandonment of duty without valid reason. 5. The workman contended that he was transferred to Chennai as part of the victimisation. Accordingly, it is contended that there is denial of employment and he is entitled to be reinstated in service with continuity of service with full back wages. 6. Before the Tribunal, the 1[st] respondent was examined as WW1 and the Senior Production Manager was examined as MW1. On the basis of the evidence adduced, the Tribunal found that the 1[st] respondent was OP(LC) NO. 3811 OF 2012 : 5 : a skilled permanent worker with the management and was on ESI leave from 06.12.2010 to 31.12.2010. After the leave, he was not permitted to join duty. The management contended that the 1[st] respondent was transferred to Chennai and he did not report for duty at Chennai and has thus abandoned the job. The Tribunal found that the worker made several attempts to join duty but the management did not allow him to join duty and the management could not prove that the worker had abandoned the duty without valid reasons. The Tribunal observed that no disciplinary action was taken against the worker by the management for lapse of duty and there is no explanation forthcoming from the management on what basis they transferred the worker to Chennai, if he had already left the job voluntarily. OP(LC) NO. 3811 OF 2012 : 6 : The Tribunal also found that the transfer order was passed during the pendency of conciliation proceedings before the District Labour Officer. Accordingly, the Tribunal found that there is denial of employment by the management. However, as regards the claim for reinstatement, the Tribunal observed that the workman and the management are not on good terms and the workman, during cross-examination, has stated that he is not interested in continuing with the management establishment. Therefore, the Tribunal found that it is impracticable for the worker and the management to work as a team in future. Accordingly, the Tribunal found it just and reasonable to order reasonable compensation in lieu of reinstatement. Accordingly, the impugned award was passed directing the management OP(LC) NO. 3811 OF 2012 : 7 : to pay the worker full back wages including usual allowances from 03.01.2011 till the date of payment of compensation in lieu of reinstatement equivalent to two years' of salary including usual allowance on the basis of last drawn pay and the allowances drawn by the worker. The Tribunal also ordered that the worker is entitled to receive all terminal benefits as if he had continued in service without break. 5. The petitioner contends that Ext.P1 award has been passed without properly appreciating the facts and circumstances of the case. Transfer is an incidence of service and the 1[st] respondent was duty bound to join duty at Chennai pursuant to transfer and having not joined duty, he has abandoned the work. Therefore, it is contended that there is no denial of employment. It OP(LC) NO. 3811 OF 2012 : 8 : is also contended that award of compensation in lieu of reinstatement is arbitrary and is disproportionate and contrary to settled legal principles of law and that the Tribunal went wrong in relying on the decision in O.P. Bhandari v ITDC (1986 II-LLJ 509). The Tribunal has, on the basis of evidence, found that there is denial of employment by the management. This court finds no reason to interfere with the findings of fact by the Tribunal. The Tribunal found that the petitioner and the 1[st] respondent cannot function harmoniously as a team in the management establishment. The 1[st] respondent has also deposed that he is not interested in continuing with the establishment. The Tribunal took note of these factors while moulding the reliefs and ordered compensation in lieu of OP(LC) NO. 3811 OF 2012 : 9 : reinstatement. I do not find any reason to interfere with the said decision of the Tribunal in the facts and circumstances of the case. The writ petition lacks merit and is accordingly, dismissed. Sd/- MURALI PURUSHOTHAMAN JUDGE SRJ OP(LC) NO. 3811 OF 2012 : 10 : ## APPENDIX OF OP(LC) 3811 /2012 PETITIONER’S EXHIBITS EXHIBIT P1 TRUE COPY OF THE ORDER DATED 24.08.2012 PASSED BY THE INDUSTRIAL TRIBUNAL, PALAKKAD. EXHIBIT P2 TRUE COPY OF THE ORDER ISSUED BY THE GOVERNMENT OF KERALA DATED 3.10.2011. EXHIBIT P3 TRUE COPY OF THE COUNTER STATEMENT SUBMITTED BY THE PETITIONER COMPANY.