High CourtDivision BenchAppeal allowed.

G.M., B.S.N.L. & ORS. v. MAHESH CHAND

Case / Petition Number:Civil Appeal No. 19 of 2007
Neutral Citation:[2008] 2 S.C.R. 950

Case Details & Bench

Court
High Court
Hon'ble Judges
  • Dr. ARIJIT PASAYAT
  • P. SATHASIVAM, JJ.
Judgment Date
2008-02-15
Court Decision / Holding
Appeal allowed. The award of reinstatement with continuity but without back wages is set aside. The onus to prove 240 days rests on the workman, with cogent evidence required. No back wages shall be payable; the proceedings under s.25-F are to be understood in light of the weight of evidence and prior judgments. The decision disallows the reliance on merely a negative inference from non-production of evidence and emphasizes correct burden shifting to the claimant.
Final Disposition
Appeal allowed.

Parties to the Case

Appellants / Petitioners

  • G.M., B.S.N.L. & ORS.

Respondents

  • Mahesh Chand

Legal Representation & Advocates

Counsels for Petitioners

  • • Anupam Lal Das

Counsels for Respondents

  • • K. Vijayan
  • • Debasis Misra

Case Synopsis & Summary

Mahesh Chand, a workman in the Telecommunications Department of BSNL, claimed illegal termination in 1998 and pressed that he had continuously served from 1987 to 1998 and had worked 240 days in a calendar year, triggering protection under Section 25-F of the Industrial Disputes Act, 1947. The Central Government Industrial Tribunal found his termination illegal, ordering reinstatement with continuity of service but without back wages. The Rajasthan High Court and a Single Judge upheld that award. The appellants argued that the respondent was engaged purely on a temporary basis and that there was no sanctioned post for a Safaiwala; they asserted the 240-day requirement is not satisfied and that the onus to prove this rests with the employee, not the employer. The Supreme Court held that both the Tribunal and High Court erred by placing the onus on the employer to prove the negative; the burden to prove 240 days rests with the workman, and mere affidavits or self-serving statements are insufficient without cogent documentary evidence (e.g., muster rolls, attendance/appointment records). The Court emphasized inconsistent statements and absence of a sanctioned post, and concluded the award was unsustainable. The appeal is allowed, the award set aside, and there is no order as to costs. This decision aligns with a line of precedents clarifying the evidentiary burden in 240-day claims under IDA s.25-F.

Provisions of Law Cited

Industrial Disputes Act, 1947 - Section 25-FIndustrial Disputes Act, 1947 - Section 10High Court Ordinance Act, 1949 - Section 18Indian Evidence Act (general reference)

Legal Doctrines & Maxims

  • Burden of proof lies on the claimant/workman to prove he had worked for 240 days in a year; mere affidavits are not sufficient without cogent evidence.
  • Adverse inference for non-production of evidence is optional and not obligatory; evidence must be weighed in the background of facts.

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellants contended that the respondent was engaged on a purely temporary basis, for 2–3 hours a day on certain days, with no sanctioned post of Safaiwala. There was no consistent, verifiable evidence of 240 days worked in a calendar year; the Tribunal’s reliance on the worker’s affidavit and alleged 5-hour daily engagement was misplaced. They argued that the onus to prove 240 days rests on the workman, not on the employer, and that absence of a muster roll, appointment orders, or other documentary proof invalidates the conclusion of continuous service. The award and its affirmation by the High Court were therefore unsustainable and wrong in law.

Contentions of Respondents

The respondent-workman claimed continuous service from 1987 to 1998 and that he had worked 240 days in a year, earning about five to eight hours daily. He argued that termination without compliance with s.25-F violated the Act. The petition highlighted that the management’s inconsistent position and lack of a sanctioned post undermined the legitimacy of the termination and the award of reinstatement with continuity and no back wages.

Cited Precedents (11)

Case NameCitationTreatmentExplanation
Range Forest Officer v. S. T. Hadimani2002 (3) SCC 25OverruledThe present Court held that the Tribunal erred in placing the onus on the management to prove the negative; the burden to prove 240 days rests with the workman.
Essen Deinki v. Rajiv Kumar2002 (8) SCC 400OverruledFollowed Range in some aspects, but the present decision aligns with the burden on the workman, effectively negating the Range/Deinki approach.
Rajasthan State Ganganagar Mills Ltd. v. State of Rajasthan and Anr.2004 (8) SCC 161PositiveCited to support that the claimant must lead evidence to show 240 days; the burden lies with the workman.
Municipal Corporation, Faridabad v. Siri Niwas2004 (8) SCC 195PositiveUsed to illustrate that adverse inference for non-production is optional, not mandatory.
M.P Electricity Board v. Hariram2004 (8) SCC 246PositiveReiterates that the burden is on the workman and adverse inferences must be weighed with facts.
Manager, Reserve Bank of India, Bangalore v. S. Mani and Ors.2005(5) SCC 1PositiveAffirms the initial burden on the workman to prove 240 days.
Batala Cooperative Sugar Mills Ltd. v. Sowaran Singh2005 (7) Supreme 165PositiveAffirms the workman’s burden regarding 240 days as per prior decisions.
Surendranagar District Panchayat v. Dehyabhai Amarsingh2005 (7) Supreme 307PositiveReiterates the position consistent with Range and MP Electricity Board cases.
R.M. Yellatti v. The Asst. Executive EngineerJT 2005 (9) SC 340PositiveStates the workman must prove 240 days with cogent evidence; affidavits alone are insufficient.
ONGC Ltd. and Anr. v. Shyamal Chandra Bhowmik2006 (1) SCC 337PositiveCited for consistent principle that onus remains on the workman to prove 240 days.
State of Gujarat v. Pratamsingh Narsinh Parmar2001 (9) SCC 713Mentioned OnlyReferenced in context of industry status; not central to the onus issue in this case.

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Extracted Judgment Text

Exact text extracted from official judgment records.

1-·" [2008] 2 S.C.R. 950 A ## G.M., B.S.N.L. & ORS. ~ •" _v._ B MAHESH CHAND (Civil Appeal No. 19 of 2007) FEBRUARY 15, 2008 [DR. ARIJIT PASAYAT AND P. SATHASIVAM, JJ.] ,.._ ... _Industrial Disputes Act, 1947_ - _s. 25-F_ - _Termination of service_ - _Workman claiming continuous work for 240 days in_ c[a ] _[calendar ][year ]_[-] _[Employer's stand that engagement was on ] temporary basis and that there was no sanctioned post as claimed by the workman_ - _Tribunal and High Court directed reinstatement putting the onus to prove 240 days continuous work on the employer- On appeal, held: Award is liable to be[Courts below wrongly placed the onus ][to ][prove the ]_ D _[set aside ]_[-] _continuous 240 days work on the employer_ - _In the facts of the case also, the award unsustainable_ - _Evidence_ - _Onus of proof_ Respondent-workman made a grievance that his E services were illegally terminated, without compliance of s. 25-F of Industrial disputes Act, 1947, as he had continuously been in service from 1987 to 1998; and that he worked for 240 days in a calendar year. Stand of appellant-employer was that the respondent was F[engaged on ][purely ][temporary ][basis. ][He ][was ][engaged ] only for 2 to 3 hours a day on some days; that no post of 'Safaiwala' was ever created. Industrial Disputes Tribunal held his termination illegal holding that he had worked for five hours a day. The award was passed directing his G[re-instatement ][with ][continuity ][of ][service. Single ][Judge ][as ] well as Division Bench of High Court upheld the award. Hence the present appeal. _>-- -f_ ~\.. '· [Y j I Allowing the appeal, the Court H 950 ·-'. 951 G.M., B.S.N.L. & ORS. _v._ MAHESH CHAND ~ ...._ ~· _..l_ _J:T_ ## • HELD: 1.1 On the question whether the respondent A had ·worked continuously for 240 days in a calendar year, the Tribunal and the High Court have wrongly placed the onus on the employer to prove the negative. [Para 4] [953-G] _Range Forest Officer v._ S. _T. Hadiri1ani_ 2002 (3) SCC 25;[B ] _Essen Deinki v. Rajiv Kumar_ 2002 (8) SCC 400; _Rajasthan State Ganganagar_ S. _Mills Ltd. v. State of Rajasthan and Anr._ 2004 (8) SCC 161; _Municipal Corporation, Faridabad v. Siri Niwas_ 2004 (8) SCC 195; _M.P Electricity Board v. Hariram_ 2004 (8) SCC 246; _Manager, Reserve Bank of India,_ c _Bangalore v._ S. _Mani and Ors._ 2005(5) SCC 1 O~; _Batala Cooperative Sugar Mills Ltd. v. Sowaran Singh_ 2005 (7) Supreme 165; _Surendranagar District Panchayat v. Dehyabhai Amarsingh_ 2005 (7) Supreme 307; _R.M. Yellatti v; The Asst. Executive Engineer_ JT 2005 (9) SC 340; _ONGC_ D _Ltd. and Anr. v. Shyamal Chandra Bhowmik_ 2006 (1) SCC - 337 relied on. > 1.2 The specific stand of the appellants in the proceedings before the Tribunal and the High Court was E that there is no sanctioned post of Safaiwala. There is no finding recorded by the Tribunal or the High Court that this stand is incorrect. Further, the respondent is also not consistent as to the period for which he worked. At one place he said he was working for five hours each day and F other places he had stated that he was working for 8 hours. On the contrary, the appellant with reference to the > nature of work done categorically stated that on a part · time basis depending on the need and requirement the respondent was engaged for 2 to 3 hours periodically. The work that was being done by the respondent was also G being done by his wife and his mother. Sometimes, no order of appointment was admittedly issued to the respondent. This fact is mis-conceived. In view of the > factual scenario of the instant case, the award made by > the Tribunal as affirmed by Single Judge and the Division H ~)..-\ > 952 SUPREME COURT REPORTS [2008) 2 S.C.R. > A Bench of High Court cannot be sustained and is set aside. [Para 11] [958-D, E, F, G] ~ CIVIL APPELLATE JURISDICTION : Civil Appeal No. 19 of 2007. B From the Judgment and Order dated 31.08.2005 of the High Court of Judicature for Rajasthan, Jaipur Bench, Jaipur in D.S. Civil Special Appeal No. 789 of 2005. ~· t- Anupam Lal Das for the Appellants. c K. Vijayan and Debasis Misra for the Respondent. I The Judgment of the Court was delivered by Dr. ARIJIT PASAYAT, J. 1. Challenge in this appeal is to the judgment of a Division Bench of the Raj~sthan High Court, D[Jaipur Bench, dismissing the Special Appeal filed under Section ] 18 of the High Court Ordinance Act, 1949 (in short the 'High Court Act'). In the Special Appeal challenge was to the order passed by a learned Single Judge in SB Civil Writ Petition No. 3514 of 2005. The learned Single Judge had upheld the award E[made by the Central Government Industrial Tribunal, Jaipur (in ] short the 'Tribunal'). ;...- .. ·, ~ Background facts in a nutshell are as follows: Respondent made grievance that his services were illegally terminated with effect from 13.10.1998. His case was that he F had worked continuously from 1987 till 1998. He worked for 240 days in a calendar year. Therefore, his seniices could not have been terminated without complying with the requirements of Section 25-F of the Industrial Disputes Act, 1947 (in short the 'Act'). ~ G Appellants took the stand that the respondent was engaged on a purely temporary basis and was engaged for • ~. doing part time work on some days. The question of his having worked for more than 240 days is not therefore relevant. He H[was actually engaged for 2 to 3 hours a day ][on ][some days. It ] _I_ ~- 953 ## G.M., 8.S.N.L. & ORS. _v._ MAHESH CHAND [PASAYAT, J.] was pointed out that there was no such post of Safaiwala ever created and, therefore, the claim was thoroughly mis-conceived. A The following reference was made to the Tribunal: _.__ - I •• -4. "Whether the action of management of Telecommunication Department in terminating the services of workman Sh. B Mahesh Chand w.e.f. 13.10.98 was legal and justified? If not, what relief the workman is entitled and from what date?" By its award dated 29.9.2004 the Tribunal came to hold that the claim of the respondent was that he had worked for five hours a day and therefore wa~ entitled to be regularized as a regular Safaiwala. Accordingly, it was held that termination of the respondent from service is illegal and he is entitled to be reinstated with continuity in service but without back wages .. c D Learned Single Judge of the High Court as noted above dismissed the writ petition filed. 2. Learned counsel for the appellants submitted that the casual and part time nature of the engagement is evident from the fact that some times the mother and some times the wife of the respondent was engaged. The Tribunal noted the claim of the respondent that respondent was being paid Rs.8/- per day. Even according to his own, the respondent, which has also not been accepted by the present appellants, was working for five hours a day. E F 3. Learned counsel for the respondent on the other hand has submitted that he was working for nearly 8 hours every day and, therefore, the orders of the Tribunal and the High Court cannot be faulted. G 4. On the question of whether the respondent had worked continuously for 240 days in a calendar year the Tribunal and the High Court have wrongly placed the onus on the employer to prove the negative. This is clearly contrary to the decision of this Court. H [2008] 2 S.C.R. SUPREME COURT REPORTS 954 A 8 c D E F G H 5. In a large number of cases the position of law relating to the onus to be discharged has been delineated. In _Range Forest Officer v._ S. _T Hadimani_ (2002 (3) SCC 25), it was held as follows: "2. In the instant case, dispute was referred to the Labour Court that the respondent had worked for 240 days and his service had been terminated without paying him any retrenchment compensation. The appellant herein did not accept this and contended that the respondent had not worked for 240 days. The Tribunal vide its award dated 10.8.1998 came to the conclusion that the service had been terminated without giving retrenchment compensation. In arriving at the conclusion that the respondent had worked for ·240 days the Tribunal stated that the burden was on the management to show that there was justification in termination of the service and that the affidavit of the workman was sufficient to prove that he had worked for 240 days in a year. 3. For the view we are taking, it is not necessary to go into . the question as to whether the appellant is an "industry" or not, though reliance is placed on the decision of this Court in _State of Gujarat v. Pratamsingh Narsinh Parmar_ (2001) 9 SCC 713. In our opinion the Tribunal was not right in, placing the onus on the management without first determining on the basis of cogent evidence that the respondent had worked for more than 240 days in the year preceding his termination. It was the case of the claimant that he had so worked but this claim was denied by the appellant. It was then for the claimant to lead evidence to show that he had in fact worked for 240 days in the year preceding his termination. Filing of an affidavit is only his own statement in his favour and that cannot be regarded as sufficient evidence for any court or tribunal to come to the conclusion that a workman had, in fact, worked for 240 days in a year. No proof of Teceipt of salary or wages for 240 days or order or record of appointment or '-~~ G.M., B.S.N.L. & ORS. _v._ MAHESH CHAND [PASAYAT, J.] 955 c "Ji.. ..._ > engagement for this period was produced by the workman. A On this ground alone, the award is liable to be set aside. However, Mr. Hegde appearing for the Department states that the State is really interested in getting the law settled and the respondent will be given an employment on > compassionate grounds on the same terms as he was 8 allegedly engaged prior to his termination, within two months from today." The said decision was followed in _Essen Deinki v. Rajiv Kumar_ (2002 (8) SCC 400). 6. In _Rajasthan State Ganganagar_ S. _Mills Ltd. v. State of Rajasthan and Anr._ (2004 (8) sec 161) I the position was again reiterated in paragraph 6 as follows: _r_ ·-..( - i ,.."'-,.. f "It was the case of the workman that he had worked for more than 240 days in the year concerned. This claim D was denied by the appellant. It was for the claimant to lead evidence to show that he had in fact worked up to 240 days in the year preceding his termination. He has filed an affidavit. It is only his own statement which is in his favour and that cannot be regarded as sufficient evidence for E any Court or Tribunal to come to the conclusion that in fact the claimant had worked for 240 days in a year. These aspects were highlighted in _Range Forest Officer v._ S. _T. Hadimani_ (2002 (3) sec 25). No proof of receipt of salary or wages for 240 days or order or record in that regard F was produced. Mere non-production of the muster roll for a particular period was not sufficient for the Labour Court to hold that the workman had worked for 240 days as claimed." 7. In _Municipal Corporation, Faridabad v. Siri Niwas_ G (2004 (8) sec 195), it was held that the burden was on the workman to show that he was working for more than 240 days in the preceding one year prior to his alleged retrenchment. In _M. P Electricity Board v. Hariram_ (2004 (8) SCC 246) the position was again reiterated in paragraph 11 as follows: H ~t· (2008] 2 S.C.R SUPREME COURT REPORTS 956 "The above burden having not been discharged and the . Labour Court having held so, in our opinion, the Industrial Court and the High Court erred in basing an order of reinstatement solely on an adverse inference drawn erroneously. At this stage it may be useful to refer to a judgment of this Court in the case of _Municipal Corporation, Fariqabad v. Siri Niwas_ JT 2004 F) SC 248 wherein this Court disagreed with the High Court'$ view of drawing an adverse inference in regard to the nonproduction of certain relevant documents. This is what this Court had to s'ay in that regard: A B c "A court of law even in a case where provisions of the Indian Evidence Act apply, may presume or may not presume that if a party despite possession of the best evidence had not produced the same, it would have gone against his contentions. The matter, however, would be different where despite direction · by a court the evidence is withheld. Presumption as to adverse inference for non-production of evidence is always optional and one of the factors which is required to be taken into consideration is the background of facts involved in the lis. The presumption, thus, is not obligatory because notwithstanding the intentional non-production, other circumstances may exist upon which such intentional non-production may be found to be justifiable on some reasonable grounds. In the instant case, the Industrial Tribunal did not draw any adverse inference against the appellant. It was within its jurisdiction to do so particularly having regard to the nature of the evidence adduced by the respondent." D .E F ., G · 8. In _Manager, Reserve Bank of India, Bangalore v._ S. _Mani and_ Ors. (2005(5) SCC 100) a three-Judge Bench of this Court again considered the matter and held that the initial burden of proof was on the workman to show that he had H[completed 240 days ][of ][service. Tribunal's view that the burden ] Jr _A_ ).~ )- **==> picture [18 x 7] intentionally omitted <==** **----- Start of picture text -----**<br> ,...<br>**----- End of picture text -----**<br> - <~ ~ 957 G.M., B.S.N.L. & ORS. _v._ MAHESH CHAND =" ## [PASAYAT, J.] ..,,, was on the employer was held to be erroneous. In _Batala_ A _Cooperative Sugar Mills Ltd. v. Sowaran Singh_ (2005 (7) Supreme 165) it was held as follows: "So far as the question of onus regarding working for more than 240 days is concerned, as observed by this Court in B _Range Forest Officer v._ S. _T Hadimani_ (2002 (3) SCC 25) the onus is on the workman." ..i._ 9. The position was examined in detail in _Surendranagar District Panchayat v. Dehyabhai Amarsingh_ (2005 (7) Supreme 307) and the view expressed in _Range Forest Officer, Siri_ c _Niwas, M.P Electricity Board_ cases (supra) was reiterated. 10. In _R.M. Yellatti v. The Asst. Executive Engineer_ (JT 2005 (9) SC 340), the decisions referred to above were noted and it was held as follows: i~ ~ ~ .. ;.-- "Analyzing the above decisions of this court, it is clear that[D ] the provisions of the Evidence Act in terms do not apply to .the proceedings under section 10 of the Industrial Disputes Act. However, applying general principles and on reading the aforestated judgments, we find that this E court has repeatedly taken the view that the burden of proof is on the claimant to show that 'he had worked for 240 days in a given year. This burden is discharged only upon the workman stepping in the witness box. This burden is discharged upon the workman adducing cogent F evidence, both oral and documentary. In cases of termination of services of daily waged earner, there will be no letter of appointment or termination. There will also be no receipt or proof of payment. Thus in most cases, the workman (claimant) can only call upon the employer to produce before the court the nominal muster roll for the G given period, the letter of appointment or termination, if any, the wage register, the attendance register etc. Drawing of adverse inference ultimately would depend thereafter on facts of each case. The above decisions however make it clear that mere affidavits or self-serving statements made H llf \ .....,.,,. ) SUPREME COURT REPORTS [2008] 2 S.C.R. 958 A B c by the claimant/workman will not suffice in the matter of discharge of the burden placed by law on the workman to prove that he had worked for 240 days in a given year. The above judgments further lay down that mere nonproduction of muster rolls per se without any plea of suppression by the claimant workman will not be the ground for the tribunal to draw an adverse inference against the management. Lastly, the above judgments lay down the basic principle, namely, that the High Court under Article 226 of the Constitution will not interfere with the concurrent findings of fact recorded by the labour court unless they are perverse. This exercise will depend upon facts of each case." ~ ..&. _(See ONGC Ltd. And Anr. v. Shyamal Chandra Bhowmik_ c2006 c1) sec 337). D 11. Additionally, the specific stand of the appellants in the proceedings before the Tribunal and the High Court was that there is no sanctioned post of Safaiwala. There is no finding recorded by the Tribunal or the High Court that this stand is incorrect. Further, the respondent is also not consistent as to E the period for which he worked. At one place he said he was working for five hours each day and other places he had stated that he was working for 8 hours. On the contrary, the· appellan-t with reference to the nature of work done categorically stated that on a part time basis depending on the need and requirement F the respondent was engaged for 2 to 3 hours periodically. Interestingly, the work that was being done by the respondent was also being done by his wife and his mother. Sometimes, no order of appointment was admittedly issued to the respondent. This fact is mis-conceived. In view of the aforesaid G factual scenario, the award made by the Tribunal as affirmed by learned Single Judge and the Division Bench cannot be sustained and is set aside. The appeal is allowed with no order as to costs. Appeal allowed. H[K.K.T. ] ).-~ **==> picture [17 x 5] intentionally omitted <==** **----- Start of picture text -----**<br> ....,-~<br>**----- End of picture text -----**<br> -.i;--..