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Morbi Municipality Through Chief ... vs Kantibhai Chakubhai
2021 Latest Caselaw 18570 Guj

Citation : 2021 Latest Caselaw 18570 Guj
Judgement Date : 20 December, 2021

Gujarat High Court
Morbi Municipality Through Chief ... vs Kantibhai Chakubhai on 20 December, 2021
Bench: A.S. Supehia
C/SCA/2225/2021                                ORDER DATED: 20/12/2021



            IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

              R/SPECIAL CIVIL APPLICATION NO. 2225 of 2021
                                        With
                  R/SPECIAL CIVIL APPLICATION NO. 2226 of 2021
                                        With
                  R/SPECIAL CIVIL APPLICATION NO. 2518 of 2021
                                        With
                  R/SPECIAL CIVIL APPLICATION NO. 4129 of 2021
                                        With
                  R/SPECIAL CIVIL APPLICATION NO. 6868 of 2021
                                        With
                  R/SPECIAL CIVIL APPLICATION NO. 2449 of 2021
                                        With
                  R/SPECIAL CIVIL APPLICATION NO. 2550 of 2021
                                        With
                  R/SPECIAL CIVIL APPLICATION NO. 2569 of 2021
                                        With
                  R/SPECIAL CIVIL APPLICATION NO. 2602 of 2021
                                        With
                  R/SPECIAL CIVIL APPLICATION NO. 2601 of 2021
                                        With
                  R/SPECIAL CIVIL APPLICATION NO. 2600 of 2021
                                        With
                  R/SPECIAL CIVIL APPLICATION NO. 2553 of 2021
                                        With
                  R/SPECIAL CIVIL APPLICATION NO. 2552 of 2021
                                        With
              R/SPECIAL CIVIL APPLICATION NO. 13724 of 2021
                                        With
                  R/SPECIAL CIVIL APPLICATION NO. 6364 of 2021
                                        With
                  R/SPECIAL CIVIL APPLICATION NO. 2548 of 2021
                                        With



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   C/SCA/2225/2021                                         ORDER DATED: 20/12/2021



                    R/SPECIAL CIVIL APPLICATION NO. 4103 of 2021
                                            With
                    R/SPECIAL CIVIL APPLICATION NO. 3388 of 2021
                                            With
                    R/SPECIAL CIVIL APPLICATION NO. 3387 of 2021
==========================================================
                MORBI MUNICIPALITY THROUGH CHIEF OFFICER
                                  Versus
                          KANTIBHAI CHAKUBHAI
==========================================================
Appearance:
MR DEEPAK P SANCHELA(2696) for the Petitioner(s) No. 1
HCLS COMMITTEE(4998) for the Respondent(s) No. 1
MR KRUNAL D PANDYA(3283) for the Respondent(s) No. 1
NOTICE SERVED BY DS(5) for the Respondent(s) No. 2,3
==========================================================
       CORAM:HONOURABLE MR. JUSTICE A.S. SUPEHIA

                                    Date : 20/12/2021

                                  COMMON ORAL ORDER

1. RULE. Learned advocates appear and waive service of notice of Rule on behalf of the respective respondents.

2. Since the issues involved in this group of petitions are identical, the same are heard together and decided analogously by a common order.

3. Learned advocate Mr.Sanchela appearing for the petitioner Municipality has submitted that the Controlling Authority has fell in error by awarding the amount of gratuity for the entire service of the workmen i.e. from the date of initial appointments as daily wagers, till their retirement dates. He has further submitted that the services rendered by the workmen as daily wagers and till, they were made permanent or regularized, the same can only be calculated and paid under the Payment of Gratuity Act, whereas the services after

C/SCA/2225/2021 ORDER DATED: 20/12/2021

regularisation till retirement, are to be considered as per the Gujarat Civil Services Rules, 2002 for paying the gratuity. He has submitted that accordingly the Municipality, had paid to all the respondent-workmen as per the Pension Rules, however the Controlling Authority has also calculated the initial period rendered by the respondent-workmen as daily wagers. He has placed reliance on the judgment of Division Bench in the case of State of Gujarat Vs. Kiritsinh Dhirubha Jadeja rendered in Letters Patent Appeal No.156 of 2017 and allied matters dated 28.12.2017. It is submitted that this petition may be allowed in terms of the aforesaid judgement.

4. In response to the aforesaid submissions, learned advocate Mr.Acharya, appearing for the respondent-workmen has submitted that the writ petition itself is not maintainable, as the same is moved under Article 226 of the Constitution of India, however it should have been moved under Article 227 of the Constitution of India, since the petition pertains to challenge of order of the Controlling Authority and the confirmation thereof by the Appellate Authority. He has further submitted that with regard to the appointment of the respondent-workmen as daily wagers and their regularization, no data was produced before the Controlling Authority and the same is produced directly before this Court. It is further submitted that the calculations which are made, are also not provided to the Controlling Authority and hence, the impugned order may not be disturbed.

5. I have heard the learned advocates appearing for the respective parties. The details with regard to the details of 19 workmen are incorporated as under.

C/SCA/2225/2021 ORDER DATED: 20/12/2021

Morbi Nagarpalika- Morbi (Details of Gratuity Cases) Sr Employee Date of Birth Date of Date of Retirement Years of Paid Last No of years Amount payable Amount Amount . for which as per Payment actually N s Name appointme appointmen date service gratuity drawn gratuity is of Gratuity Act, claimed payable as o nt as daily t as regular as per amount wages payable as 1972 (as per by per per Payment earlier calculation wager employee GCSR as per as daily of Gratuity of municipality) employee Payment of Gratuity Act, GCSR wager Act, 1972 1972 1 Shri Kanti 19/09/1953 05/09/1971 01/10/1978 30/09/2013 35 || 17.5 2,96,235/- 765/- 7 2,677.5/- 1,60,418/- 3,089.5/-

Chaku 2 Lila raji 11/07/1968 1979 01/10/1984 Expired on 33 || 16.5 5,05,940/- 1,365/- 5 3,412.5/- 1,25,723/- 3,937.5-

     (Legal heir                   (08/08/1981                  09/05/2018
     of Ramji                      )
     Kaku)
3    Shri Vikrma   29/05/1957      08/03/1978    01/10/1984     31/05/2017     33 || 16.5   3,61,201/-      1,365/-   6             4,095/-               1,02,807/-   4,725/-
     Babu
4    Shri Lavu     05/11/1957      1980          01/07/1989     30/11/2017     28 || 14     3,56,788/-      1,845/-   9             8,302.5/-             1,34,180/-   9,580/-
     Kheda
5    Prabhaben     13/06/1968      1979          01/07/1989     30/10/2017     28 || 14     3,78,998/-      1,845/-   10            9,225/-               1,32,014/-   10,644/-
     Hakabhai
     (Legal heir
     of Haka
     Sidhi)
6    Shri Laxmi    13/05/1954      1981          01/10/1984     31/05/2014     30 || 15     3,51,692/-      1,365/-   3             2,047.5/-             35,170       2,362.5/-
     Chagan
7    Shri          12/04/1955      1976          01/10/1984     30/04/2015     31 || 15.5   3,87,040/-      1,365/-   8             5,460/-               99,883/-     6,300/-
     Hansaben
     Chaturbhai
8    Shri Kishor   27/05/1957      01/07/1976    01/10/1984     31/05/2017     33 || 16.5   4,76,342/-      1,365/-   8             5,460/-               1,15,477/-   6,300/-
     Chunilal
9    Shri Bachu    22/08/1956      05/09/1971    01/10/1978     31/08/2016     33 || 16.5   4,90,907/-      765/-     7             2,677.5/-             99,964/-     3,089.5/-
     Jiva
1    Shri          02/06/1957      1982          01/07/1989     30/06/2017     28 || 14     3,86,368/-      1,845/-   7             6,457.5/-             96,592/-     7,451/-
0    Champa
     kara
1    Shri Maiyya   08/03/1955      05/09/1971    01/10/1978     31/03/2015     33 || 16.5   4,25,205/-      165/-     7             2,677.5/-             68,627/-     3,089.5/-
1    Mohan
1    Shri Hema     05/04/1955      1984          01/07/1989     30/04/2015     26 || 13     3,19,814/-      1,845/-   5             4,612.5/-             61,509/-     5,348/-
2    Hari
1    Moti Kaku     19/07/1961      1978          01/07/1989     02/09/2017     28 || 14     3,97,998/-      165/-     11            10,147.5/-            1,56,357/-   11,708/-
3    (Legal heir
     of Manju
     Deva)
1    Shri Lachu    23/08/1963      1979          01/07/1989     31/05/2014     25 || 12.5   2,75,480/-      1,845/-   10            9,225/-               1,33,980/-   10,644/-
4    Vashram
1    Shri Jivu     25/10/1954      1969          01/07/1975     31/10/2014     39 || 16.5   4,25,224/-      765/-     6             2,295/-               1,18,410/-   2,648/-
5    Pitambar
1    Shri Savita   20/08/1955      1982          01/07/1989     31/08/2015     26 || 13     3,29,729/-      1,845/-   7             6,457.5/-             88,787/-     7,451/-
6    Shamji
1    Shri          29/12/1956      03/11/1974    01/10/1984     31/12/2016     32 || 16     4,50,262/-      1,365/-   10            6,825/-               1,42,269/-   7,875/-
7    Ramesh
     Ravji
1    Shri          30/01/1956      1979          01/10/1984     31/01/2016     31 || 15.5   4,16,747/-      1,365/-   5             3,412.5/-             80,961/-     3,937.5/-
8    Labhuben
     Punjabhai
1    Shri Kalu     15/07/1957      1980          01/07/1989     31/07/2017     38 || 14     3,92,998/-      1,845/-   9             8,302.5/-             1,27,928/-   9,580/-
9    Mana




6. From the order of the Controlling Authority, it is revealed that the Controlling Authority has considered the entire period from the date of appointment of the workmen as daily wagers, till their retirement as continuous for the purpose of fixation and payment of gratuity without bifurcating their service as daily wagers and permanent employees.

7. The aforesaid chart reveals that all the workmen had initially worked as daily wagers and after rendering particular number of years service (seven years or ten years), they were regularised and made permanent. It is not in dispute that the

C/SCA/2225/2021 ORDER DATED: 20/12/2021

petitioner-Municipality has paid gratuity as per the provisions of the Gujarat Civil Services Rules, 2002 for the period for which they have rendered their services as a regular employees. Thus, the date from the workmen till they had retired, the Municipality had paid gratuity amount as per the provisions of Gujarat Civil Services Rules, 2002. The same is not denied. However, the dispute pertains to awarding of gratuity to the workmen prior to they have been regularised in service and for the service on which they are engaged as daily wagers. At this stage, it would be apposite to refer to the observations made by the Division Bench in the judgment dated 28.12.2017 in Letters Patent Appeal No.156 of 2017. The Division Bench, after considering the decision of another Division Bench dated 16.11.2017 passed in Letters Patent Appeal No.1195 of 2017, has observed thus,

"8. Taking into consideration the facts in all these aforesaid appeals the sole and the common question of law that arises before us is whether an employee is entitled to the benefit of his past service rendered as a daily wager, for the purposes of being granted the benefits of gratuity under the Payment Of Gratuity Act, 1972. This question should not hold us any longer in view of the fact that we have considered this question of law in similar circumstances in Letters Patent Appeal No. 1195 of 2017 decided on 16.11.2017 wherein we have held as under:

"4.0. At the outset, it is required to be noted that the only question which calls for the consideration of this Court is whether the continuous of service rendered by concerned employee as a daily wager is required to be counted for the purpose of calculation of amount of gratuity under the provision of the Payment of Gratuity Act or not and / or whether the concerned employee is entitled to gratuity under the Payment of Gratuity Act for the period during which he worked as a daily wager or not.

4.1. That the concerned employees were not paid the gratuity under the Payment of Gratuity Act, 1972 for the period, they worked as a daily wager. They were also not paid the gratuity under the Gujarat Civil Services (Pension) Rules, 2002

C/SCA/2225/2021 ORDER DATED: 20/12/2021

for the aforesaid period, during which, they worked as a daily wager. Therefore, the concerned employee approached the Controlling Authority under the provisions of the Payment of Gratuity Act claiming the gratuity under the Payment of Gratuity Act for the period they worked as a daily wager i.e. in the case of Special Civil Application No. 214 of 2016 for the period from 24.06.1983 to 22.06.1997 and in the case of Special Civil Application No.213 of 2016 for the period between 16.07.1985 to 14.07.1997. The Controlling Authority rejected the claim. The Appellate Authority confirmed the same. That after considering the provisions of the Payment of Gratuity Act, 1972 and also provisions of Gujarat Civil Service (Pension) Rules, 2002, under which, the concerned employees were not paid the amount of gratuity during the period for which they worked as a daily wager and after considering the decision of the Hon'ble Supreme Court in the case of Ahmedabad Pvt. Primary Teachers Association vs. Administrative Officer reported in AIR 2004 SC 1426, decision of the Himachal Pradesh High Court in the case of State of H.P. vs. Lashkari Ram reported in 2008 I LLJ 137 and relying upon the other decisions of this Court referred to in para 13.1 to 13.2 of the impugned order, the learned Single Judge by impugned judgment and order has held that the concerned employees shall be entitled to gratuity under the Payment of Gratuity Act also for the period they worked as a daily wager, the period for which they were not paid the gratuity either under the Payment of Gratuity Act or under the provisions of the Gujarat Civil Service (Pension) Rules, 2002.

5.0. Having heard the learned advocates for the respective parties and considering the provisions of Payment of Gratuity Act, under which there is no distinction between the regular employee and daily wager and there is no specific provision that daily wagers are not entitled to payment of gratuity and on the contrary considering the provisions of the Payment of Gratuity Act, more particularly, Section 3 to 5 of the Act, any employee who has worked for not less than 5 years shall be entitled to the amount of gratuity and considering the proviso to Section 4 of the Payment of Gratuity Act, daily rated worker and even seasonal workers are entitled to gratuity under the Payment of Gratuity Act, it cannot be said that the learned Single Judge has committed any error in holding that the concerned

C/SCA/2225/2021 ORDER DATED: 20/12/2021

employees are entitled to the gratuity under the Payment of Gratuity Act for the period, for which, they worked as daily wager. At this stage, it is required to be noted that it is not the case on behalf of the State that for the aforesaid period, during which they worked as daily wagers, the concerned employees were paid the gratuity under the provisions of the Gujarat Civil Service (Pension) Rules, 2002. "

9. Having considered the judgement rendered in Letters Patent Appeal No. 1195 of 2017, relevant portion of which is reproduced hereinabove, we are of the opinion that the view taken by the Controlling Authority and confirmed by the Appellate Authority as well as the learned Single Judge do not require interference. The provisions of the Payment Of Gratuity Act make no distinction between a regular employee and a daily wager. There is no specific provision that daily wagers are not entitled to the payment of gratuity. Considering the provisions of the Payment Of Gratuity Act, 1972 particularly Sections 3 to 5 and 14, it can very well be seen that the provisions of the Act shall have effect notwithstanding anything in consistent with any other enactments. The submission therefore made by learned counsel for the respective appellants that once having earned the gratuity under the relevant provisions of Gujarat Civil Service (Pension) Rules, 2002, the period rendered prior to such regularization and claimed under such rules would disentitle such employee from claiming gratuity under the Gratuity Act as a daily wager cannot be sustained."

8. The Division Bench has confirmed the judgment and order passed by the Single Judge Bench and clarified that the employees are entitled to gratuity under the Payment of Gratuity Act, also for the period they worked as daily wagers till they are made permanent, and thereafter they would be entitled for the gratuity under the provisions of the Gujarat Civil Service (Pension) Rules, 2002 after they have made permanent. Since the facts or data with regard to the appointments of the respondent-workmen and the date of their regularization was not placed before the Controlling Authority, it would be appropriate that these matters are remanded back to the Controlling Authority for deciding

C/SCA/2225/2021 ORDER DATED: 20/12/2021

afresh, in the light of the observations made by this Court.

9. The impugned order passed by the Controlling Authority as well as the order passed by the Appellate Authority are hereby quashed and set aside. The matters are remanded back to the Controlling Authority to decide afresh. It will be open for either of the parties to provide the details with regard to the appointment of the respondent-workmen as daily wagers and their respective dates of absorption or confirmation. The Controlling Authority shall pass appropriate orders with regard to their entitlement as per the provisions of the Payment of Gratuity Act from the dates of their engagement as daily wagers till the date of their regularization. Such order shall be passed within a period of three months from the date of receipt of this order.

10. With regard to the contention raised by learned advocate Mr.Acharya as the writ petition being not maintainable, the same does not merit acceptance since the orders which are passed by the Controlling Authority and confirmed by the Appellate Authority, are quasi-judicial in nature and this Court, while exercising its power conferred under Article 226 of the Constitution of Indian, can always examine the validity and legality such orders.

11. The writ petitions are allowed accordingly. Rule is made absolute in above terms.

(A. S. SUPEHIA, J) MAHESH BHATI/55

 
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