The Delhi High Court Bench comprising Justice Pratibha M Singh called for a uniform practice to be followed by the Labour Courts in respect of deciding the inquiry related issue as a preliminary issue.

Background

These were six petitions filed by the Petitioner-Management challenging the order dated 22nd November 2021 passed by the Labour Court whereby an application which was filed by the Management for framing of an additional issue in the proceedings before the Labour Court, and for deciding the said issue as a preliminary issue was partly allowed.

In this matter, the Respondents-Workmen who were working with the Petitioner at various ATMs were terminated after a disciplinary inquiry was held by the Petitioner. The said termination was challenged by the Workmen before the Labour Court. In the said claims filed by the Workmen, the terms of reference were framed on 3rd October 2019. The matter proceeded before the Labour Court. On 1st October 2021.

Since the Workmen had been terminated after a proper internal inquiry which was held by the Management, an application was moved by the Management seeking framing of a preliminary issue in respect of the validity and legality of the inquiry. The case of the Management was that as per the settled legal position, the Labour Court ought to frame an issue in respect of the said inquiry and thereafter treat the same as a preliminary issue.

The Management relied upon various decisions of the Supreme Court in this regard and passed the order. Mr. Arun Mehta, learned Counsel appearing on behalf of the Management, submitted that the grievance of the Management is that if the inquiry related issue now framed as issue no.1A, is not decided as a preliminary issue and if the matter is adjudicated upon together finally by the Labour Court, the Management may lose an opportunity to lead evidence in the matter if, for any reason, the Labour Court held that the inquiry was not in accordance with the law. 

He submitted that as per the judgments of the Supreme Court in Cooper Engineering Limited v. Shri P.P. Munde, 1975 AIR 1900 and in M.L. Singhla v. Punjab National Bank, AIR 2018 SC 4668, the settled position was that the validity of the domestic inquiry has to be decided as a preliminary issue in the proceedings before the Labour Court. He, therefore, submitted that if the said issue was decided against the Management, the Management ought to be afforded the opportunity to lead independent evidence before the Labour Court to support their case.

Order of the Court

Court after hearing the counsels relied on the Cooper engineering case, ML Singhla CaseCase and Kurukshetra University v. Prithvi Singh, AIR 2018 SC 973, and considering the reply of workmen it was said that, 

"This Court is of the opinion that, in view of the settled legal position, the normal procedure that ought to be adopted by the Labour Courts is to first decide the validity of the domestic inquiry as a preliminary issue and if the said issue is decided against the Management, the Management is then to be afforded an opportunity to lead evidence supporting the termination of the Workmen, before the Labour Court."

It was further said that Under such circumstances, the Labour Court ought to have decided the issue of the validity of the domestic inquiry as a preliminary issue. It is accordingly directed that the said issue of Whether the inquiry conducted against the workman by the management was biased, unfair and not in consonance with the principles of natural justice? Shall now be adjudicated by the Labour Court in the first place and depending upon the outcome of the said issue, the matter would proceed further before the Labour Court, in accordance with the law.

The Court ordered the present judgment be circulated to all the Labour Courts by the worthy Registrar-General of this Court so that a uniform practise is followed by the Labour Courts in respect of deciding the inquiry related issue as a preliminary issue.

Accordingly, the Petition was disposed of. 

Case Details

Case Title:  Securitans India Pvt. Ltd. v. Shree Manoj Prasad

Bench: Justice Pratibha M Singh 

Read Order@LatestLaws.com

Picture Source :

 
Shruti Singh