Madras High Court
The Management Of vs D. Hari on 20 June, 2023
W.A.No.1224 of 2023
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED: 20.06.2023
CORAM:
THE HONOURABLE MR.JUSTICE S.VAIDYANATHAN
AND
THE HONOURABLE MR.JUSTICE K.RAJASEKAR
W.A.No.1224 of 2023 and C.M.P.No.12387 of 2023
The Management of
Metropolitan Transport Corporation Ltd.
Anna Salai
Chennai 600 002 Appellant
v
D. Hari Respondent
Writ Appeal filed under Clause 15 of the Letters Patent to set aside the order
dated 01.10.2020 made in W.P.No.22039 of 2018.
For appellant Mr. C. Gauthamaraj
Standing Counsel
JUDGMENT
This writ appeal is directed against the order 01.10.2020 passed by a Single
Bench in W.P.No.22039 of 2018, in and by which, the order dated 13.04.2018 passed
by the Labour Inspector-II, Nandanam, Chennai, in Case No.4224 of 2013 has been
confirmed.
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W.A.No.1224 of 2023
2 For the sake of better understanding, the appellant and the respondent will
be referred to as the Management and workman, respectively.
3 The workman who was sponsored through employment exchange, was
engaged as Driver by the Management from 29.01.2011 onwards and he was given
appointment as daily wage employee on 21.10.2013. In furtherance to a settlement
dated 31.08.2005 entered into between the Management and its trade union representing
its employees, under Section 12 (3) of the Industrial Disputes Act, 1947 (in short "the
I.D.Act"), the Management confirmed the services of the workman with effect from
01.08.2014 for having completed 240 days of employment.
4 While so, the workman made an application under Section 3(1) of the
Tamil Nadu Industrial Establishment (Conferment of Permanent Status to Workmen)
Act, 1981 (in short "the Permanent Status Act") before the Labour Inspector -II,
Nanadanam, Chennai, claiming benefit of conferment of permanent status on having
completed continuous service for a period of 480 days in 24 calendar months. The said
authority, vide order dated 13.04.2018, granted permanent status to the workman with
effect from 23.09.2012. Aggrieved, the Management filed a writ petition in
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W.A.No.1224 of 2023
W.P.No.22039 of 2018. The learned Single Judge, vide order dated 01.10.2020,
dismissed the said writ petition, by confirming the order dated 13.04.2018 passed by the
authority. The said order is under assail in this writ appeal.
5 Mr.C.Gauthamaraj, learned Standing Counsel for the appellant
Management submitted that there was a settlement entered into under Section 12(3) of
the I.D.Act, between the employees and the union on 31.08.2005. He further submitted
that though the services of the workman were confirmed on 01.08.2014, after he
having completed 240 days of continuous service, as the said settlement is of the year
2005, the same would be applicable only to those employees who had joined services
prior to the date of settlement.
6 In the case on hand, the workman joined the services of the appellant
Corporation on 29.01.2011. Though, normally, a settlement entered into between the
parties will bind all the persons, be it present or past, depending upon the clause
contained in the settlement, the settlement which is of the year 2005 mentioned supra
restricts confirmation of permanent status to the employees who have completed 240 of
days service and those who have joined the service prior to the date of settlement.
Hence, the benefits of the said settlement are not applicable to the case of the workman
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W.A.No.1224 of 2023
who had joined the appellant much after the settlement date. At this juncture, it is worth
pointing out that no settlement or Government Order can run counter to the provisions
of the Permanent Status Act. The authority, taking note of the provisions of the
Permanent Status Act, has conferred permanent status on the workman, however, has
granted monetary relief only from the date of filing of the application.
7 The workman has not filed any writ petition challenging the portion of the
order of the authority depriving monetary benefits prior to the date of filing of the
application. Merely because, no writ petition has been filed by the workman, it will not
deprive him of claiming monetary benefits ordered by this Court in the writ petition filed
by the Management.
8 We are of the view that no settlement can be entered into depriving a
workman of the benefits of the Permanent Status Act. In the case on hand, as there is
no settlement applicable to the workman as mentioned supra, the benefit of the
settlement dated 31.08.2005 is applicable only to those employees who were appointed
prior to the date of the settlement.
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W.A.No.1224 of 2023
9 As the Management has to settle the amount towards Provident Fund, we
direct that the Provident Fund amount due to the employer and employee have to be
deposited by the Management to the Provident Fund Trust within a period of four
months from the date of receipt of a copy of this judgment, however, sans interest, as
wages are going to be paid pursuant to the orders of this Court.
10 It is made clear that the employee's contribution can be deducted from the
share of the employee's arrears and the contribution towards his share can be paid from
that amount. It is further made clear that after the order of the authority conferring
permanent status, if any employee enters into a settlement under the I.D. Act giving up
certain or all benefits, then, the settlement will prevail.
With the above observation and direction, this writ appeal stands disposed of,
sans costs. Connected Miscellaneous Petition is closed.
[S.V.N., J.,] [K.R.S., J]
20.06.2023
cad
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W.A.No.1224 of 2023
S. VAIDYANATHAN,J.
and
K.RAJASEKAR, J.
cad
W.A. No.1224 of 2023
20.06.2023
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