Gujarat High Court
Gujarat Guardian Ltd. vs Govindram Baburam Meghwal on 10 March, 2021
Bench: Sonia Gokani, Gita Gopi
C/LPA/839/2019 ORDER
IN THEHIGHCOURTOF GUJARATAT AHMEDABAD
R/LETTERSPATENTAPPEALNO. 839 of 2019
In
R/SPECIALCIVILAPPLICATIONNO. 831 of 2019
With
R/LETTERSPATENTAPPEALNO. 840 of 2019
In
SPECIALCIVILAPPLICATIONNO. 830 of 2019
With
CIVILAPPLICATION(FORDIRECTION) NO. 1 of 2020
In
R/LETTERSPATENTAPPEALNO. 840 of 2019
In
SPECIALCIVILAPPLICATIONNO. 830 of 2019
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GUJARATGUARDIANLTD.
Versus
GOVINDRAMBABURAMMEGHWAL
==========================================================
Appearance:
MRK M PATELSR. ADV.WITH MR.VARUNK.PATEL(3802)for the Appellant(s)No. 1
MRP C CHAUDHARI(5770)for the Respondent(s)No. 1
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CORAM: HONOURABLE MS. JUSTICE SONIA GOKANI
and
HONOURABLE MS. JUSTICE GITA GOPI
Date: 10/03/2021
COMMONORALORDER
(PER: HONOURABLEMS. JUSTICESONIAGOKANI)
1. The appellants are the original petitioners,
who had challenged the award passed by the Labour
Court, Bharuch in Reference (LCB) No.327 of 2016,
Reference (LCB) No.328 of 2016 and Reference
(LCB) No.329 of 2016 respectively by preferring
C/LPA/839/2019 ORDER
Special Civil Application Nos.786, 830 and 831 of
2019. This Court, on 25.01.2019 by a common oral
order, disposed of the said petitions. Two of the
appeals are preferred being Letters Patent Appeal
Nos.839 and 840 of 2019 arising from Special
Civil Application Nos.831 and 830 of 2019,
wherein the reference being Reference (LCB)
No.327 of 2016, Reference (LCB) No.328 of 2016
were challenged.
2. This Court on 12.06.2019 issued notice in the
present appeals. On 02.08.2019, the Court in its
order recorded the statement of senior advocate
Mr.K.M.Patel, who had volunteered to deposit the
amount of backwages, as ordered by the Labour
Court. The said amount was directed to be
accepted after calculation and the Registry
accordingly received the amount of Rs.4,38,543/
in Letters Patent Appeal No.840 of 2019 and
Rs.4,38,543/ in Letters Patent Appeal No.839 of
2019.
3. It appears that the Memorandum of Settlement
C/LPA/839/2019 ORDER
under Section 2(P) of the Industrial Disputes
Act, 1947 has been executed on 03.11.2020 by and
between the parties. The recital with terms and
conditions of the settlement which have come on
record, are reproduced hereunder for ready
reference:
Short Recital of Case:
"Second party workman had joined first party company on
19.04.2013 as an Operator. The second party was then
dismissed from the services of the first party company for
committing gross and serious misconduct vide dismissal
order dated 13.10.2016. The second party had thereafter
raised an industrial dispute against the first party for his
reinstatement with full backwages which had culminated
into a reference being Reference (LCB) No.328 of 2016
before the Labour Court, Bharuch. The Labour Court,
Bharuch had passed the award dated 01.10.2018 in said
Reference (LCB) No.328 of 2016 directing the first party to
reinstate the second party with continuity of service, 100%
backwages and all other attendant benefits. First party
company being aggrieved by the said award of Labour
Court dated 01.10.2018 had preferred the writ petition
being Special Civil Application No.830 of 2019 before the
Hon'ble High Court of Gujarat. The Hon'ble High Court by
order dated 25.01.2019 had dismissed the said Special Civil
Application No.831 of 2019 filed by the first party. Being
aggrieved by the said order dated 25.01.2019, the first
party company has preferred Letters Patent Appeal No.840
C/LPA/839/2019 ORDER
of 2019 before the Division Bench of the Hon'ble High
Court. The Division Bench of the Hon'ble High Court by
order dated 21.08.2019 has admitted Letters Patent Appeal
No.840 of 2019 and granted the stay of the order impugned
therein. The said Letters Patent Appeal No.840 of 2019 filed
by the first party is pending as on today.
In the meantime, the second party had filed Recovery
Application No.177 of 2018 u/s. 33C(2) of the I.D.Act, 1947,
No.75/2019 U/S 33C, (2) and Recovery Application
No.44/2019 filed U?S33C(1) of the Industrial Dispute Act
before the Labour Court, Bharuch claiming benefits of
backwages, bonus, leave encashment etc., pursuant to the
said award dated 01.10.2018. The Labour Court, Bharuch
by order dated 27.03.2019 had allowed the said Recovery
Application No.176 of 2018. The first party company has
thereafter challenged the said order dated 27.03.2019
before the Hon'ble High Court of Gujarat by filing Special
Civil Application No.11473 of 2019. the Hon'ble High Court
by order dated 26.08.2019 has admitted the said petition
(Special Civil Application No.11472 of 2019) by issuing
Rule and has also granted the stay against the said order
dated 27.03.2019 passed in Recovery Application NO.177 of
2018. The said writ petition i.e. Special Civil Application
NO.11473 of 2019 is pending as on date.
Recently, the second party workman had approached the
first party company for full and final settlement of his
claims/disputes with the first party company. Considering
the request of the second party, the first party has
negotiated with the second party and both the parties have
C/LPA/839/2019 ORDER
mutually arrived at the present full and final settlement
on the following terms and conditions:
Terms and conditions of the Settlement.
1. The first party agrees to reinstate the second party
without any backwages, continue of service and/or or other
attendant/consequential benefits with effect from
17.11.2020 with monthly gross salary of Rs.28,000 (inclusive
of Fix Pay, Retirement benefits, Statutory Bonus.
2. The second party in lieu of his reinstatement and
aforesaid lumpsum compensation agrees to forgo all his
disputes and claims against the first party company
pursuant to the said award dated 01.10.2018 such as
backwages, wages, bonus, increments, leave encachment,
et. The second party further agrees not to claim any
regular wages or wages contemplated under Section 17 B
of the ID Act for the period after the said award till the
date of his reinstatement.
3. The second party also agrees not to claim any benefits
of the Wage Settlements for the period 1 July 2016 to 31
October 2021. However, if second party demonstrates good
behavior and discipline after his reinstatement, the first
party agrees to pay the second party 3rd year settlement
benefits effective from 1st November 2021 as per the current
wage settlement dated 18/10/2019. The first party will also
consider including the past service period of 26.02.2013 to
13.10.2016 for the limited purpose of payment of gratuity at
the time of retirement or leaving the services of the
C/LPA/839/2019 ORDER
company.
4. The second party also agrees to abide by his
commitment of good behavior in future as per his
undertaking dated 3/11/2020 given to the first party.
5. In view of present full and final settlement, the second
party agrees to withdraw all his claims, disputes and cases
against the first party including Recovery Applications
No.75/2019 u/s.33(C)(2) of the ID Act & Recovery
Application No.44/2019 u/s 33(C)(1) of the ID Act pending
before the Labour Court, Bharuch and Civil Application
No.1 of 2020 in Letters Patent Appeal No.839 of 2019
pending before the Hon'ble High Court of Gujarat. The
second party further agrees that he has not taken out any
other proceedings against the first party and if taken the
same will be unconditionally withdrawn in view of the
present settlement. The second party further undertakes
not to make any claim or demand in future against the
first party in view of the present settlement. Both the
parties agreed to withdrawing unconditionally all
proceedings related to the issue before all forums, as
applicable.
6. The second party agrees that present settlement is full
and final Settlement of all his disputes and claims against
the first party company and he will not raise any demand
or claim against the first party in view of the present
settlement.
7. The second party agrees that the first party is entitled
C/LPA/839/2019 ORDER
to get the refund/withdrawal of the amount of Rs.4,38,543/
deposited by first party before the Registry of the Hon'ble
High Court of Gujarat pursuant to the order dated
02.08.2019 passed in Letters Patent Appeal No.839 of 2019.
8. It is agreed by both the parties that either of them will
produce this settlement and request the Hon'ble High
Court of Gujarat to dispose of pending litigations between
them (being Letters Patent Appeal No.839 of 2019 and
Special Civil Application No.11472 of 2019) in terms of the
present full and final settlement."
3.1 After this settlement had been arrived,
parties are still attempting further compromise,
so far as the period from 13.10.2016 to
17.11.2020 is concerned, for the purpose of
gratuity.
4. Today, senior advocate Mr.Patel, has
submitted to this Court that over and above the
settlement under Section 2(P) of the Industrial
Disputes Act, the appellant has agreed to treat this
period as continuous service for the purpose of
gratuity and the reinstatement also has taken place
along with the payment which has been agreed upon by
the respondent in the settlement dated 03.11.2020.
C/LPA/839/2019 ORDER
5. On a representation made by the respondent,
the authority has considered to treat the entire
period for the purpose of continuity of service,
so far as gratuity is concerned. This brings to
an end all the disputes between the parties and
therefore, both the Letters Patent Appeals are
being disposed of in terms of the settlement
dated 03.11.2020 with following directions:
(i) The amount of Rs.4,38,543/ deposited before
the Registry of this Court pursuant to the order
dated 02.08.2019 passed in the present Letters
Patent Appeal No.839 of 2019 and the amount of
Rs.4,38,543/ in the present Letters Patent
Appeal No.840 of 2019, shall be refunded to the
appellant by transferring the amount to the Bank
Account of the appellant, which shall be shared
by the learned advocate for the appellant with
the Registry within a period of three days. This
entire process of transferring the amount shall
be completed through R.T.G.S. / N.E.F.T. on or
C/LPA/839/2019 ORDER
before 20.03.2021. Interest, if any, accrued on
the said amount, shall also, along with this
disbursement, be disbursed in favour of the
appellant.
(ii) The period of 13.10.2016 to 17.11.2020,
is to be treated as continuous service for the
purpose of gratuity. The same shall be given
effect to, eventually at the time of calculating
the gratuity as and when time comes of
retirement/payment of gratuity.
6. As we notice a common oral order passed by
this Court in all the three Special Civil
Applications and three Letters Patent Appeals had
been preferred and Letters Patent No.838 of 2019
is still pending, which arises from Special Civil
Application No.786 of 2019. This modification
would need to be construed in the common award
passed in Reference (LCB) No.327 of 2016,
Reference (LCB) No.328 of 2016 as well as in the
common judgment and order passed in Special Civil
Application Nos.830 and 831 of 2019.
C/LPA/839/2019 ORDER
7. In view of the above observations and
directions and as no issue remains, these appeals
are disposed of in terms of the settlement. The
awards shall be modified accordingly.
8. As the main appeals are disposed of, the
connected Civil Application stands disposed of
accordingly.
9. Learned advocate Mr. P.C.Chaudhary, appearing
for the respondents, ensures that all proceedings
arising from these matters which includes the
second Recovery Application No.176 of 2018, shall
be withdrawn.
Sd/-
(SONIAGOKANI, J.)
Sd/-
(GITAGOPI, J.)
M.M.MIRZA
