High CourtDivision BenchAppeal allowed; remanded to the High Court for ...

Director, Horticulture Punjab & Ors. v. Jagjivan Parshad

Case / Petition Number:Civil Appeal No. 2256 of 2008
Neutral Citation:[2008] 5 S.C.R. 851

Case Details & Bench

Court
High Court
Hon'ble Judges
  • Dr. Arijit Pasayat
  • P. Sathasivam
  • Aftab Alam
Judgment Date
2008-03-31
Court Decision / Holding
Appeal allowed; remitted to the High Court for fresh consideration with directions to pass a speaking order recording reasons for conclusions in accordance with law.
Final Disposition
Appeal allowed; remanded to the High Court for fresh consideration with directions to pass a speaking order recording reasons for conclusions in accordance with law.

Parties to the Case

Appellants / Petitioners

  • Director, Horticulture Punjab & Ors.

Respondents

  • Jagjivan Parshad

Legal Representation & Advocates

Counsels for Petitioners

  • • Arun K. Sinha
  • • Ajay Pal
  • • Nikhil Jain

Counsels for Respondents

  • • Ashok Kumar Sharma

Case Synopsis & Summary

This Supreme Court appeal arises from a Labour Court award in which termination of the respondent gardener was held to be illegal. The Labour Court awarded reinstatement with 50% back wages, continuity of service, and other service benefits, after treating the termination as unjust and ensuring the workman had worked for more than 240 days (including Sundays and holidays) in the relevant twelve-month period. The Punjab and Haryana High Court, in a Civil Writ Petition, dismissed challenge to the Labour Court award, merely noting paragraph 8 of the Award without articulating independent reasons. The appellants challenged the High Court’s decision, contending that it was non-reasoned and failed to address crucial issues such as the factual determination of 240 days and whether the respondent could be treated as an industry. The Court held that reasons are essential to a speaking order and that a judicial decision cannot rest on a cryptic reference to the award. It emphasized that reasoned orders enable meaningful appellate review and judicial scrutiny. Accordingly, the impugned High Court order was set aside, and the matter remitted to the High Court for fresh, speaking consideration in accordance with law, with directions to record reasons for its conclusions.

Provisions of Law Cited

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

Legal Doctrines & Maxims

  • Reasons introduce clarity in an order and substitute subjectivity with objectivity.
  • Right to reason is an indispensable part of a sound judicial system.
  • The inscrutable face of the sphinx is incongruous with judicial performace; decisions must be explained by a speaking order.
  • Necessity of a speaking order to permit appellate review and scrutiny.

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellants contended that the High Court’s dismissal of the writ petition was non‑reasoned, failing to reflect independent consideration beyond citing paragraph 8 of the Award. They urged that critical issues, including whether the employee worked more than 240 days in the relevant year and the factual burden of proving such days, were not adequately addressed. They relied on the record (Exh. M2) to show periods with far fewer than 240 working days and argued that these questions should have been resolved by a reasoned judicial review, with the tribunal’s conclusions supported by explicit reasoning. The appellants sought remand for a speaking order that explicitly applies law and evaluates evidence. Respondents:The respondent supported the High Court’s order, contending that the Labour Court’s findings and the High Court’s dismissal were appropriate given the evidence. They argued that the presence of findings on continuities and 240 days satisfied the statutory requirements and that the writ petition was rightly decided given the material before the High Court.

Contentions of Respondents

The respondent supported the High Court’s decision, maintaining that the Labour Court’s conclusions, including the finding that the 240-days requirement was met when Sundays and holidays were considered, were sound. The respondent argued that the onus to prove 240 days rested with the employee and that the High Court properly evaluated the record and dismissed the writ petition.

Cited Precedents (3)

Case NameCitationTreatmentExplanation
Chairman and Managing Director, United Commercial Bank v. PC. Kakkar2003 (4) SCC 364PositiveCited to support the necessity of recording reasons and the principle of a speaking order; used as authority for the need to apply mind and provide a reasoned decision.
Breen v. Amalgamated Engg. Union1971 (1) All ER 1148Mentioned OnlyCited in a footnote; referenced as part of background authorities but not treated as a binding or directly applicable ratio in the decision.
Alexander Machinery (Dudley) Ltd. v. Crabtree1974 - (1) CR 120Mentioned OnlyCited in a footnote; used as a general authority without direct application of its ratio in the present case.

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Extracted Judgment Text

Exact text extracted from official judgment records.

[2008] 5 S.C.R. 851 ,,,J A 8 ## DIRECTOR, HORTICULTURE PUNJAB & ORS. _v._ ## JAGJIVAN PARSHAD (Civil Appeal No. 2256 of 2008) MARCH 31, 2008 _-1_ [DR. ARIJIT PASAYAT, P. SATHASIVAM AND AFTAB ALAM, JJ.) - - - _Judgment/Order Reasoned order Requirement of Dismissal of writ petition by High Court by just referring to part_ c - _of the award passed by Labour Court Held: Not sustainable_ - _Order shows that basic requirement of indicating reasons not kept in view and there was non-application of mind_ - _Hence, matter remitted to High Court for fresh consideration._ . }- ~ " • ---.!, The respondent-gardner was terminated from[D ] service. The Labour Court passed an award that the termination was illegal since respondent had worked for more than 240 days and workman was entitled to reinstatement with 50% back wages, continuity of service and other service benefits. High Court dismissed the writ E petition holding that for reasons given in the part of the award, there was no merit in the writ petition. Hence the present appeal. Allowing the appeal and remitting the matter, the Court F HELD: 1. Reasons introduce clarity in an order. It substitutes subjectivity by objectivity. The emphasis on recording reasons is that if the decision reveals the 'inscrutable face of the sphinx', it can by its silence, render G it virtually impossible for the courts to perform their appellate function or exercise the power of judicial review in adjudging the validity of the decision. Right to reason is an indispensable part of sound judicial system. Another H 851 [2008] 5 S.C.R. SUPREME COURT REPORTS 852 G A[rationale is that the affected party can know ] why[the ] decision has gone against him. One of the salutary requirements of natural justice is spelling out reasons for the order made, in other words, a speaking out. The 'inscrutable face of the sphinx' is ordinarily incongruous B[with a ][judicial ][or ][quasi-judicial performance. [Para ][8) ] [855-C-E] _Chairman and Managing Director, United Commercial Bank_ v. _PC. Kakkar_ 2003 (4) SCC 364 - relied on. c 2.1 The High Court's order goes to show that no reason was indicated except making reference to paragraph 8 of the Award. The conclusions in the said paragraph were assailed in the writ petition. The manner of disposal of the writ petition by the High Court leaves D[much to ][be ][desired. Various contentious questions were ] raised which were not considered by the High Court. On plainest consideration of justice, the High Court ought to have set forth its reasons, howsoever brief, in its order indicative of an application of its mind, all the more when E[its order is amenable to further avenue ][of ][challenge. ][The ] manner in which the High Court disposed of the writ petition shows that the basic requirement of indicating reasons was not kept in view and is a classic case of nonapplication of mind. The absence of reasons rendered the High Court's judgment not sustainable. Thus, the F impugned order of the High Court is set aside and the matter is remitted back to it for fresh consideration in accordance with law. The High Court would pass a speaking order recording reasons in support of its conclusions. [Paras 4, 5, and 9) [854-D-F; 855-F-G] ## c 'T _[..:-]_ It- ~ ~ .., _Breen_ v. _Amalgamated Engg. Union_ 1971 (1) All ER 1148; _Alexander Machinery (Dudley) Ltd._ v. _Crabtree_ 1974 - (1) CR 120 referred to. CIVIL APPELLATE JURISDICTION : CIVIL APPEAL No. H[2256 ][of 2008. ] DIRECTOR, HORTICULTURE PUNJAB & ORS. _v._ JAGJIVAN PARSHAD [DR. ARIJIT PASAYAT, J.] 853 ,,.- From the final Judgment and Order dated 29.04.2005 of the High Court of Punjab and Haryana at Chandigarh in C.W.P. No. 6622 of 2005. A Arun K. Sinha, Ajay Pal and Nikhil Jain for the Appellants. · Ashok Kumar Sharma for the Respondent. B The Judgment of the Court was delivered by DR. ARIJIT PASAYAT, J. 1. Leave granted. 2. Challenge in this appeal is to the judgment passed by a c Division Bench of the Punjab and Haryana High Court dismissing the Civil Writ Petition No. 6622 of 2005. Challenge in the writ petition was to the Award dated 13.1.2005 passed by the labour Court, Jalandhar. 3. Background facts in a nutshell are as follows: D Respondent was appointed primarily as a Gardner on 2.2.1989. The order was revoked by the District Welfare Officer since the appointment was found contrary to the instructions of the Government. Accordingly the services were terminated on 25.1.1997. On a complaint being made by the respondent on E 11.5.1999. the Labour Commissioner, Punjab, Chandigarh Bench referred the matter for adjudication to the Labour Court under Section 10(1 )(C) of the Industrial Disputes Act, 1947 (in short the 'Act'). The Labour Court by Award dated 13.1.2005 held that the termination was illegal and that the workman was F entitled to reinstatement with 50% back wages, continuity of service and other service benefits. A writ petition was filed challenging the Award. The Labour Court found that though the claim was that the respondent had not worked for 240 days in any twelve calendar[G ] months preceding the date of termination, yet finding was recorded that the absence from service on Sundays and holidays have to be taken into account. Accordingly the Labour Court held that the respondent had worked for more than 240 days. The High Court dismissed the writ petition holding as follows: H SUPREME COURT REPORTS 854 [2008] 5 S.C.R. A "For the reasons given in the paragraph No. 8 of the Award, we find no merit in the writ petition. Dismissed." Stand of learned counsel for the appellant is that the High Court's order is non-reasoned and the conclusions in paragraph 8 to which reference has been made in the High Court's B impugned order do not reflect the factual position clearly. Reference is made to Exh. M2 series to show that during the period from February 1996 to January, 1997 and February 1995 to January 1996 the respondent had worked much less than 240 days, It is submitted that the onus is on the respondent to C prove that he had worked for 240 days in a calendar year preceding the termination. Learned counsel for the respondent on the other supported the impugned order of the High Court. . D 4. As the quoted portion of the High Court's order goes to show that no reason was indicated except making reference to paragraph 8 of the Award. The conclusions in the said paragraph were assailed in the writ petition. The manner of disposal of the writ petition by the High Court leaves much to be desired. Various E contentious questions were raised including one relating to whether the appellant could be treated as an industry. These aspects were not considered by the High Court. 5. Reasons introduce clarity In an order. On plainest consideration of justice, the High Court ought to have set forth F its reasons, howsoever brief, in its order indicative of an application of its mind, all the more when its order is amenable to further avenue of challenge. The absence of reasons has rendered the High Court's judgment not sustainable. G 6. We find that the writ petition involved disputed issues regarding eligibility. The manner in which the High Court has disposed of the writ petition shows that the basic requirement of indicating reasons was not kept in view and is a classic case of non-application of mind. This Court in several cases has H indicated the necessity for recording reasons. DIRECTOR, HORTICULTURE PUNJAB & ORS. JAGJIVAN PARSHAD [DR. ARIJIT PASAYAT, J.] 855