Citation : 2026 Latest Caselaw 3679 Bom
Judgement Date : 10 April, 2026
2026:BHC-AS:17142
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Shabnoor
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
CIVIL APPELLATE JURISDICTION
WRIT PETITION NO.6042 OF 2019
Managing Director,
Pune Mahanagar Parivahan
Mahamandal Ltd.,
A Company Formed under Companies
Act, having its office at:-
PMT Building,
Swargate, Pune - 411 037. ... Petitioner
SHABNOOR
AYUB
PATHAN V/s.
Digitally signed
by SHABNOOR
AYUB PATHAN
Date: 2026.04.10 Dinesh Gangaram Mud (Phad)
12:31:52 +0530
Age - Adult, Occ: Service
C/o - Umesh Gawale, 300,
Narayan Peth, Pune - 30. ... Respondent
Ms, Madhavi M. Tavanandi, for the Petitioner.
Ms. Poonam Pal i/b Mr. Sachin Hande, for the
Respondent.
CORAM : AMIT BORKAR, J.
RESERVED ON : APRIL 9, 2026
PRONOUNCED ON : APRIL 10, 2026
JUDGMENT:
1. By the present Petition, the Petitioner has assailed the order dated 1 August 2017 passed in Reference (IDA) No. 487 of 2010 by the Learned Presiding Officer, Labour Court at Pune, whereby the termination of the Respondent has been held to be illegal, and
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consequential directions have been issued to the Petitioner to reinstate the Respondent in service with continuity, along with payment of 25% back wages.
2. The facts, in brief, giving rise to the present proceedings are that the Respondent came to be engaged with the Petitioner as a Badli Driver in or about the year 1994. It is the specific case of the Petitioner that throughout the tenure of his engagement, the Respondent remained habitually absent and demonstrated a pattern of indiscipline. On several occasions, disciplinary proceedings were initiated against him for acts of misconduct. It is further contended that the Respondent was repeatedly cautioned and warned regarding his unauthorized absence, however, such warnings did not yield any improvement in his conduct.
3. It is the case of the Petitioner that the Respondent remained absent from duty during the period from 8 March 1999 to 12 April 1999 without assigning any satisfactory reason. The service record placed on record indicates that the Respondent had a history of prolonged absenteeism, including absence without pay for a period of 162 days and further absence of 113 days during his service tenure. In view of such continued absence, the Petitioner issued a notice dated 26 April 1999 calling upon the Respondent to report for duty and to furnish an explanation for his absence, with a clear stipulation that failure to comply would entail removal of his name from the muster roll. Despite receipt of the said notice, the Respondent failed to resume his duties until 9 June 1999. In these circumstances, the Petitioner proceeded to terminate the services of the Respondent with effect from 10 June 1999.
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4. Per contra, it is the case of the Respondent that the Petitioner had conferred permanency upon certain workmen who were junior to him and had extended to them all attendant benefits. The Respondent asserts that he had, on multiple occasions, raised a demand for grant of similar benefits, which was not acceded to by the Petitioner. According to the Respondent, his services were abruptly terminated on 10 June 1999 without issuance of any notice or payment in lieu thereof and without compliance with the mandatory provisions of Section 25-F of the Industrial Disputes Act, 1947. It is further alleged that the Petitioner failed to publish a seniority list as required under law. The Respondent thereafter raised an industrial dispute by filing a Statement of Claim in the year 2010, that is, after a delay of approximately eleven years from the date of termination, without offering any satisfactory explanation for such delay. The Petitioner opposed the said proceedings by filing its Written Statement, denying the allegations and justifying the action of termination.
5. Upon consideration of the pleadings and the evidence adduced on record, the Learned Presiding Officer, Labour Court, Pune, by the impugned order dated 1 August 2017, came to the conclusion that the termination of the Respondent was illegal and accordingly directed reinstatement with continuity of service and payment of 25% back wages. Being aggrieved by and dissatisfied with the said findings and directions, the Petitioner has preferred the present Petition.
6. The learned Advocate appearing on behalf of the Petitioner submits that the averments contained in paragraph 6 of the
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Statement of Claim are factually incorrect and do not represent the true and correct position. It is contended that the Respondent remained absent from duty during the period from 8 March 1999 to 12 April 1999, for which medical certificates were submitted. However, it is further submitted that for the period subsequent to 12 April 1999, the Respondent was under an obligation to furnish medical certificates explaining his continued absence, which he failed to produce. It is further submitted that the Senior Time Keeper, by his report dated 25 April 1999, apprised the Depot Manager of the continued absence of the Respondent and forwarded therewith the attendance record of Shri Phad. The said record indicated that during the period from 1 June 1998 to 31 March 1999, the Respondent had remained absent without pay for 162 days and had further remained unauthorizedly absent for an additional period of 113 days. On the basis of the said material, the Depot Manager issued a notice dated 26 April 1999 bearing No. PMT/DM/NTW/435 to the Respondent, which was dispatched by Registered Post Acknowledgement Due at the address furnished by the Respondent to the Management.
7. The said notice expressly stipulated that in the event the Respondent failed to furnish a satisfactory explanation for his absence and to resume duties, his name would be liable to be removed from the muster roll in accordance with the applicable Standing Orders governing the establishment. It is further contended that in view of the provisions contained in Standing Order 14(4), the holding of a formal domestic enquiry was not mandatory in the facts of the present case. Reliance is placed on
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Standing Order 14(4), which provides that an employee who remains absent beyond the period of leave originally sanctioned or subsequently extended shall be liable to forfeit his lien on appointment unless he reports back within the stipulated period and satisfactorily explains his inability to resume duty. It further provides that failure to report within fifteen days from the expiry of leave shall result in the employee being treated as having voluntarily left service from the date he was required to resume duty. In the aforesaid circumstances, it is submitted on behalf of the Petitioner that the impugned order dated 1 August 2017 suffers from serious infirmities and is unsustainable in law, and therefore deserves to be quashed and set aside.
8. Per contra, the learned Advocate appearing for the Respondent submits, on the aspect of delay in seeking reference, that the Apex Court in the case of Mahavirsingh v. U.P. State Electricity Board and Others, reported in 1999 (2) CLR 7, has held that a reference cannot be rejected solely on the ground of delay. It is further submitted that the said judgment also takes note of Clause 29(5) of the PMT Standing Orders. For ready reference, Clause 29(5) provides that an employee other than a permanent employee may leave or be discharged from service upon 24 hours' notice or payment in lieu thereof; however, the services of a temporary employee cannot be terminated by way of punishment unless he is afforded an opportunity to explain the charges of misconduct in the manner prescribed under Standing Order 26.
9. The learned Advocate for the Respondent submits that the termination order dated 9 June 1999 clearly discloses that the
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services of the Respondent were brought to an end on account of misconduct, namely absenteeism. It is therefore contended that the termination is punitive and stigmatic in nature and cannot be treated as a termination simplicitor. It is further submitted that in view of the mandate contained in Standing Orders 26 and 29(5), it was incumbent upon the Petitioner to afford the Respondent a reasonable opportunity to explain the alleged misconduct. Though it is the case of the Petitioner that a notice dated 26 April 1999 was issued by Registered Post Acknowledgement Due, the acknowledgment was returned with the postal endorsement "not known, return to sender." During the course of cross-examination, the Respondent denied having received the said notice and stated that he had seen the same only upon its production by the Petitioner in the proceedings. In such circumstances, it is contended that the burden lay upon the Petitioner to establish valid service of the said notice at the correct address. Even assuming that service could be presumed, it was still incumbent upon the Petitioner to comply with the mandatory procedure prescribed under Standing Orders 26 and 29(5). The failure to adhere to such procedure vitiates the action of termination and renders it illegal.
10. It is further submitted that subsequent to his termination, the Respondent made efforts to secure alternative employment but was unable to obtain any permanent employment. It is pointed out that the Petitioner has not led any evidence to demonstrate that the Respondent was gainfully employed during the intervening period. At the same time, it is acknowledged that the Respondent
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must have engaged in some form of work to sustain his livelihood. The Respondent raised an industrial dispute before the Government Labour Officer on 3 May 2010, which was after a lapse of approximately eleven years from the date of termination. In view of such delay, it is submitted that the Respondent would not be entitled to back wages for the period prior to 3 May 2010. However, considering that the Petitioner is a public limited undertaking providing essential transport services, it would be just and proper to award 25% back wages from the date of raising the dispute, i.e., 3 May 2010, till reinstatement. Accordingly, Issue No. 2 is sought to be answered. Upon consideration of the entire material on record and the applicable provisions, it is submitted that the Respondent had rendered continuous service from 1 June 1994 to 9 June 1999, having worked for approximately 240 days in each year. His services came to be terminated with effect from 10 June 1999 on the ground of alleged misconduct, namely absenteeism, and such termination was purportedly effected under Clause 29(5) of the PMT Standing Orders, thereby rendering it stigmatic in nature.
11. It is further contended that the Petitioner was under an obligation to conduct a proper disciplinary enquiry in terms of Clause 26 of the Standing Orders, which was not undertaken. Additionally, it is submitted that the Petitioner failed to comply with the mandatory requirements of issuing notice or payment in lieu thereof, and did not pay legal dues or retrenchment compensation as contemplated under Section 25-F of the Industrial Disputes Act, 1947. In the aforesaid premises, it is
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submitted that the Petitioner has failed to establish that the termination of the Respondent was legal and justified. On the contrary, the Respondent has succeeded in demonstrating that his services were illegally terminated with effect from 10 June 1999. It is therefore prayed that the impugned order dated 1 August 2017 passed by the Learned Presiding Officer, Labour Court, Pune, be upheld, and that the Petitioner be directed to reinstate the Respondent with continuity of service and payment of 25% back wages from 3 May 2010 till the date of reinstatement.
REASONS AND ANALYSIS:
12. Having heard the learned Advocates for the parties and having gone through the material placed on record, this Court finds that the real question is not only about the manner in which the Respondent's service came to an end, but also whether such a stale dispute, raised after an inordinate lapse of about eleven years, could at all have been entertained for grant of reinstatement and back wages. The record shows that the Respondent was engaged as a Badli Driver in the year 1994. It is also seen that his service record was not clean. The Petitioner has placed on record instances of repeated absence and prior warnings. The Respondent does not seriously dispute that there was a period of absence from 8 March 1999 to 12 April 1999. His stand is that medical certificates were given for that period, but after 12 April 1999 he did not submit proper explanation or supporting medical papers. That itself shows that the absence did not stand properly explained before the Management.
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13. The evidence further shows that the Senior Time Keeper informed the Depot Manager by report dated 25 April 1999 that the Respondent had remained absent for long periods and that his attendance record disclosed 162 days of absence without pay and 113 days of additional unauthorized absence during the relevant period. Based on that record, the Depot Manager issued notice dated 26 April 1999 by Registered Post Acknowledgement Due at the address supplied by the Respondent himself. The notice called upon him to explain his absence and to resume duty, failing which his name would be removed from the muster roll. The notice was a clear intimation that continued absence would be treated seriously under the Standing Orders. The Respondent has denied receipt, but the postal endorsement was "not known, return to sender". Even if service is assumed to be not fully proved in the strictest sense, the material still shows that the Management took steps in the ordinary course at the address given by the workman. In industrial matters, the Court must see the substance also. The substance here is that the Respondent remained away and did not come back in time.
14. The argument of the Respondent is that the termination was punitive and stigmatic because it was based on misconduct of absenteeism, and therefore a disciplinary enquiry ought to have been held. There is some force in the broad statement that where punishment is imposed after alleging misconduct, the principles of natural justice cannot be ignored. But the present case has to be read with the standing conditions of service and the actual conduct of the Respondent. Standing Order 14(4) makes it clear that when
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an employee remains absent beyond the sanctioned leave and does not return within the stipulated period, he may lose lien on the appointment and may be treated as having left service. That is an important provision. It shows that in cases of prolonged unauthorized absence, the consequence is not always a regular disciplinary punishment after a full enquiry. The management can act on the admitted absence and non return, if the conditions in the Standing Order are fulfilled.
15. The Respondent's own case does not improve matters much. He says that junior employees were made permanent and that he was denied similar benefit. That grievance, even if accepted for a moment, does not answer the basic issue of his own repeated absence. The demand about permanency and seniority does not give licence to remain absent without proper intimation for long periods. The statement of claim was filed in the year 2010, almost eleven years after the alleged termination of 10 June 1999. This is not a small or technical delay. It is a very long delay. In such matters the Court cannot ignore the fact that industrial dispute law does not prescribe a fixed limitation, yet the dispute must still be raised within a reasonable time. The law declared in U.P. SRTC v. Babu Ram (2006) 5 SCC 433, Nedungadi Bank Ltd. v. K.P. Madhavankutty (2000) 2 SCC 455 , and S.M. Nilajkar v. Telecom District Manager (2003) 4 SCC 27 shows that there is no universal formula, but at the same time a stale and dead dispute cannot be revived as if it were live and fresh. The workman must show some reason for the delay. Here, no proper reason is shown. The Respondent slept over the matter for nearly eleven years. That
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itself creates a serious doubt about the fairness of the claim for reinstatement with back wages. It is also important that the Respondent did not place convincing material to show that he had approached the Conciliation machinery or the appropriate forum within any reasonable time after the alleged termination. The argument that delay by itself cannot defeat a reference is correct only in part. The real test is whether the dispute remained alive and whether the workman was diligent. In the present case, the record does not show any such diligence. There is also no material to show that relevant evidence was preserved or that the Respondent was kept away by any conduct of the employer. On the contrary, the delay is unexplained and long. Therefore, applying the settled principles, this Court finds that the dispute had become stale by the time it was raised. Once the dispute became stale, the Labour Court ought to have been slow in granting the extreme relief of reinstatement and back wages.
16. The award of 25% back wages from the date of dispute also cannot stand on the facts of the present case. Back wages are not to be given as a matter of course. They depend on the conduct of the workman, the length of delay, the nature of employment, and the manner in which the service came to an end. Here the Respondent remained absent for long periods. He did not return in time after notice. He also waited for about eleven years before raising the dispute. In such a factual setting, even if some relief were to be considered, full or partial back wages would still be difficult to justify. The Labour Court seems to have proceeded as if delay had no meaning. That approach is not correct. Once the
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claim itself was stale, the monetary relief also loses its foundation.
17. The plea that Section 25-F of the Industrial Disputes Act was violated also does not help the Respondent in the manner claimed. The Petitioner's case is not a simple retrenchment of a workman who was otherwise continuously available. The foundation of action is long and unauthorized absence, return to duty was not made, and the Standing Orders themselves provide for loss of lien and treatment as having left service. When the workman does not report back despite notice and the service record shows repeated absenteeism, the case cannot be read in the same way as a plain retrenchment without fault. In any case, the Respondent has not been able to cross the first and most basic hurdle of delay. So even if there were some arguable issue on the mode of termination, the stale nature of the dispute by itself goes against the relief granted by the Labour Court.
18. For these reasons, the impugned order dated 1 August 2017 passed by the Learned Presiding Officer, Labour Court, Pune, in Reference (IDA) No. 487 of 2010 cannot be sustained. The Labour Court did not give due weight to the unexplained delay of about eleven years. It also did not properly appreciate the effect of the Respondent's prolonged absenteeism, the notice issued by the Management, and the Standing Orders governing the service conditions. The findings on illegality of termination and grant of reinstatement with continuity and back wages are therefore liable to be interfered with.
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19. The following order is passed:
(i) The Writ Petition is allowed;
(ii) The impugned Judgment and Award dated 1 August
2017 passed by the Learned Presiding Officer, Labour Court, Pune in Reference (IDA) No. 487 of 2010 is quashed and set aside;
(iii) The Reference (IDA) No. 487 of 2010 stands dismissed;
(iv) Rule is made absolute in the aforesaid terms;
(v) There shall be no order as to costs.
20. Pending interlocutory application(s), if any, stands disposed of.
(AMIT BORKAR, J.)
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