Citation : 2011 Latest Caselaw 3363 Del
Judgement Date : 15 July, 2011
*IN THE HIGH COURT OF DELHI AT NEW DELHI
Date of decision: 15th July, 2011
+ W.P.(C) 8129/2008.
EXECUTIVE ENGINEER, CPWD ..... Petitioner
Through: Mr. R. V. Sinha & Mr. A.S. Singh,
Adv.
Versus
GURUCHARAN ..... Respondent
Through: Mr. Varun Prasad, Adv.
CORAM :-
HON'BLE MR. JUSTICE RAJIV SAHAI ENDLAW
1. Whether reporters of Local papers may Yes
be allowed to see the judgment?
2. To be referred to the reporter or not? Yes
3. Whether the judgment should be reported Yes
in the Digest?
RAJIV SAHAI ENDLAW, J.
1. The petition impugns the award dated 2nd May, 2008 of the
Industrial Adjudicator on the following reference:-
"Whether the action of the management of Executive Engineer "S" Division in terminating the services of Sh. Gurucharan, w.e.f. 19.02.1996 and not regularizing his services in the pay scale of ` 950-1500 is just, fair and legal? If not, what relief the workman is entitled to."
and holding the action of the petitioner employer of terminating the
services of the respondent workman to be neither just nor fair nor legal and
directing the petitioner employer to reinstate the respondent workman with
25% back wages.
2. Notice of the petition was issued and vide order dated 18th
November, 2008 which continues to be in force, the operation of the award
stayed. Counter affidavit has been filed by the respondent workman. The
record of the Industrial Adjudicator has been requisitioned. The counsels
for the parties have been heard.
3. The case of the respondent workman was that he was engaged w.e.f.
1st February,1988 initially for the work of sewerman as a daily rated
worker on Work Order basis and worked continuously up to 18th February,
1996 when his services were terminated.
4. The case of the petitioner employer was that the respondent
workman was never engaged as a sewerman; that he worked as a
contractor and executed the work himself of cleaning and sewer drainage
etc. and thus there was no question of his being in the employment or the
employment being terminated.
5. The Industrial Adjudicator vide award dated 17th October, 2006 held
that as per the judgment dated 19th October, 2005 of this Court in
W.P.(C)7032/2005 titled PWD v. Satya Pal, persons engaged on work
order basis and who had worked for 240 days had been treated as daily
rated workers; that termination of such daily rated workman requires
compliance of Section 25F of the Industrial Disputes Act, 1947. It was thus
held that the respondent workman having admittedly worked from 1st
February, 1988 to 19th February, 1996, his termination was illegal. It was
however held that in view of the judgment of the Apex Court in Secretary,
State of Karnataka v. Umadevi (2006) 4 SCC 1, the respondent workman
was not entitled to regularization. It was further observed that since the
respondent workman in his pleadings had not insisted upon compliance of
Section 25F and further since the respondent workman had averred in his
claim statement that he was paid one month's salary at the time of his
termination and not pleaded violation of Section 25F, the termination was
in order. Accordingly the respondent workman was held not entitled to any
relief.
6. The respondent workman instead of challenging the award dated 17 th
October, 2006 filed an application before the Industrial Adjudicator for
review. Reliance in the said application was placed on Rule 28 of
Industrial Disputes (Central) Rules, 1957. It was pleaded that in the
statement of claim of the respondent workman filed before the Industrial
Adjudicator it was mistakenly typed in para 4 that his services were
terminated "with compensation, gratuity, one month's pay". It was pleaded
in the said application that what was intended to be pleaded in the claim
petition before the Industrial Adjudicator was that the services had been
terminated without compensation, gratuity, one month's pay etc. as
provided under the Industrial Disputes Act, 1947. Attention was also
invited to para 17 of the claim petition where the petitioner employer was
pleaded to have violated Section 25F of the Act. It was thus contended that
on the basis of such typographical mistake in the claim petition of the
respondent workman the Industrial Adjudicator in the award dated 17 th
October, 2006 held that there was no grievance of Section 25F having not
been complied with. Attention was also invited to the reply of the
petitioner employer to the claim petition and to the evidence led before the
Industrial Adjudicator from which also it was sought to establish that in
fact Section 25F had not been complied with. The respondent workman
thus by such an application for review sought correction of the "error
arising from an accidental slip and omission in the award" and sought
issuance of a corrigendum of the award.
7. The petitioner employer filed a reply to the aforesaid application
denying the contents thereof.
8. The Industrial Adjudicator (the Presiding Officer being different
from the Presiding Officer who had made the award dated 17 th October,
2006) has now in pursuance to the aforesaid application announced the
award dated 2nd May, 2008 impugned in this petition holding that since
Section 25F had not been complied with while terminating the employment
of the respondent workman, the termination was illegal and directing the
petitioner employer to as aforesaid, reinstate the respondent workman with
25% of the back wages.
9. The counsel for the petitioner employer has urged that the Industrial
Adjudicator has no power of review and could not have changed the award
as has been done.
10. Per contra, the counsel for the respondent workman has besides
referring to Rule 28 aforesaid, also referred to Grindlays Bank Ltd. v.
Central Government Industrial Tribunal 1980(Supp) SCC 420 holding
that the Act is a piece of legislation calculated to ensure social justice to
both employers and employees and the Industrial Adjudicator has power to
pass orders in the interest of justice. It was further held that a Tribunal or
Body should be considered to be endowed with such ancillary or incidental
powers as are necessary to discharge its functions effectively for the
purpose of doing justice between the parties; that the Tribunal should be
considered as invested with such incidental or ancillary powers unless
there is any indication in the statute to the contrary.
11. Per contra, the counsel for the petitioner employer has referred to
Kapra Mazdoor Ekta Union v. Management of M/s Birla Cotton
Spinning and Weaving Mills Ltd. AIR 2005 SC 1782 laying down that in
the absence of provision conferring power of review on the Industrial
Adjudicator, either expressly or by necessary implication, the Industrial
Adjudicator has no power to re-call or review its earlier award on merits. It
was however clarified that the procedural review belongs to a different
category.
12. The counsel for the respondent workman has also referred to-
(i) Judgment of the Division Bench dismissing the appeal against
Satya Pal reported as 2006 VIII AD (Delhi) 810;
(ii) Order dated 10th November, 2009 of the Apex Court
dismissing the SLP against the above;
(iii) Order dated 20th May 2010 of the Division Bench of this
Court in LPA 300/2007 titled D.G. (Works) C.P.W.D. v.
Baldev Singh;
(iv) Judgment dated 20th February, 2007 of the Single Judge in
Baldev Singh (supra)
13. It is settled position in law (See CTO v. Makkad Plastic Agencies
(2011) 4 SCC 750 CIT, Vadodara v. Steelco Gujarat Ltd. (2003) 12 SCC
731) that a Court or a Tribunal in which power of review is not expressly
vested, has no such power. There is admittedly no provision in the
Industrial Disputes Act vesting power of review in the Industrial
Adjudicator. What needs to be thus adjudicated is whether the application
moved by the respondent workman before the Industrial Adjudicator in the
present case could be said to fall within Rule 28 (supra). The said Rule is
as under:-
"28. Correction of errors. The Labour Court, Tribunal, National Tribunal or Arbitrator may correct any clerical mistake or error arising from an accidental slip or omission in any award it/he issues."
14. A bare reading of the application moved by the respondent workman
shows that the typographical mistake which was averred, was not in the
award but in the statement of claim of the respondent workman filed
before Industrial Adjudicator. It was in fact the case of the respondent
workman that the said typographical mistake in para 4 of the claim petition
was not fatal in as much as from reading of other parts of the claim petition
and the evidence in other material on record it was abundantly established
that it was the admitted position that the provisions of Section 25F had not
been complied with. It was thus a case of the Industrial Adjudicator having
failed to read the pleadings and the evidence as a whole and effectively and
a case of mis-appreciation of evidence. The same could not, by any stretch
of imagination fall within the definition of a "clerical mistake or error
arising from an accidental slip or omission" within the meaning of Rule 28
(supra). I have therefore no doubt whatsoever in my mind that the
Industrial Adjudicator in the present case had no right to virtually re-write
the award as has been done in the present case or to convert the award
from that of „no relief‟ to the respondent workman to that of "relief of
reinstatement with 25% of the back wages" to the respondent workman.
Even if the Industrial Adjudicator had in the award dated 17 th October,
2006 committed a mistake in holding that the respondent workman had not
pleaded violation of Section 25F, the remedy of the respondent workman
was before this Court by way of a petition under Article 226 of the
Constitution and not before the Industrial Adjudicator. Grindlays Bank
Ltd. is a case of setting aside of an ex parte award. The observations
therein are thus of no avail. I may however notice that the Supreme Court
in M/s Sangham Tape Co. v. Hansraj AIR 2004 SC 4776 has deferred
from the view in Grindlays Bank Ltd. and held that an Industrial
Adjudicator has no power to set aside ex parte, after 30 days of publication
of award.
15. The subsequent award dated 2nd May, 2008 is thus to be set
aside/quashed.
16. However the aforesaid would not be the end of the matter. The
Industrial Adjudicator having entertained the application of the respondent
workman and having allowed the same, upon such action of the Industrial
Adjudicator being quashed, the respondent workman would now become
entitled to impugn the award dated 17th October, 2006 before this Court by
filing a writ petition. The same would multiply the litigation. It is the duty
of this Court, to in exercise of powers under Article 226, make an attempt
to bring the litigation to an end. There is no doubt whatsoever that the
action of the petitioner employer of termination of services of the
respondent workman as per the judgment of this Court in Satya Pal (supra)
was illegal. It is thus felt that rather than relegating the respondent
workman to pursue another round of litigation, and having regard to
entirety of the facts relief should be granted at this stage.
17. The claim of the respondent workman for regularization has not
been upheld; even if the respondent workman is to be reinstated, his
services can again be terminated by complying with Section 25F.
Considering the long time which has elapsed, it is deemed expedient to
grant the relief of compensation in lieu of reinstatement to the respondent
workman. In the light of all the aforesaid factors, compensation of Rs.1 lac
is deemed to be expedient. However, payment of such compensation is
made conditional upon the respondent workman accepting the same in full
and final settlement of all his claims whatsoever against the petitioner
employer.
18. The petition is thus disposed of with direction to the petitioner
employer to within eight weeks of today pay/tender a sum of Rs.1 lac to
the respondent workman in terms of above. If the amount is not so paid
within eight weeks, the same shall incur interest at 18% per annum; upon
acceptance of such amount by respondent workman, he shall be left with
no claims whatsoever against the petitioner.
No order as to costs.
RAJIV SAHAI ENDLAW (JUDGE) JULY 15, 2011 pp(corrected and released on 3rd August, 2011).
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