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The Tamil Nadu Co-Operative Textile vs C.A.Rathinavel
2025 Latest Caselaw 3108 Mad

Citation : 2025 Latest Caselaw 3108 Mad
Judgement Date : 21 February, 2025

Madras High Court

The Tamil Nadu Co-Operative Textile vs C.A.Rathinavel on 21 February, 2025

                                                                         W.P.No.19418 of 2020

                         IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                     Reserved on :             07/ 02/2025
                                    Pronounced on :            21/02/2025

                                                CORAM

                        THE HONOURABLE DR.JUSTICE A.D.MARIA CLETE

                                     Writ Petition No. 19418 of 2020
                                                   and
                                       W.M.P.No.24005 of 2020

                     The Tamil Nadu Co-operative Textile
                     Processing Mills Limited,
                     Rep. by its Managing Director M.Selvaraj,
                     No.CH:22, 428, Bhavani Main Road,
                     Veerappanchatram,
                     Erode – 638 004.                                         …Petitioner

                                                      Vs.

                     1. C.A.Rathinavel,
                        1/207, Jagajeevanram Street,
                        Chemmencherry,
                        Chennai – 600 119.


                     2. Coimbatore District Textile Workers Union (HMS),
                        Regn. No. 111/MDS, Rep. by its Secretary,
                        2212, Trichy Road,
                        Singanallur P.O.,
                        Coimbatore – 641 005.                        …Respondents

                     Prayer in W.P. No.19418 of 2020: To issue a writ in the nature
                     of Writ of Certiorari, calling for the records relating to the
                     impugned award passed by the Learned Labour Court, Salem in
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                                                     1 of 14
                                                                           W.P.No.19418 of 2020

                     I.D.No.161/2010 dated 23.01.2017 and quash the same, or pass as
                     such other orders.

                     Prayer in W.M.P.No.24005 of 2020: This Writ Miscellaneous
                     petition is filed to stay the impugned award passed by the Learned
                     Labour Court, Salem in I.D.No.161/2010 dated 23.01.2017,
                     pending disposal of the writ petition.


                     Appearance of Parties:

                                  For Petitioner : M/s. V.L.Akshai Sajin Kumar,
                                                   K.Siddharth and T.Adith Narayan,
                                                   Advocates
                                  For Respondent : Mr.V.Stalin, Advocate
                                                   For M/s. Row and Reddy, Advocates


                                                    JUDGMENT

Heard.

2. The writ petitioner is a cooperative textile processing mill

located in Erode. Through this writ petition, the management

challenges the award dated 23.01.2017 passed by the Labour

Court, Salem, in I.D. No. 161 of 2010. By this award, the Labour

Court held that the demotion of the concerned workman,

C.A. Rathinavel, to the position of Supervisor was invalid, and his

transfer to the dyeing factory in Trichy was also illegal.

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Consequently, the Labour Court directed that the workman be

reinstated to the post of Assistant Dyeing Master from the date of

his demotion, with continuity of service, back wages, and all other

attendant benefits.

3. In the writ petition, a notice of motion was ordered on

21.12.2020, with permission granted for private notice as well.

Upon receipt of the notice, the Respondent Trade Union entered

an appearance through its counsel. No orders were passed in the

Miscellaneous Petition. However, when the matter was taken up

on 06.02.2025, the Respondent stated that the workman had

retired from service.

4. The workman in question, C.A. Rathinavel, was

employed as an Assistant Dyeing Master at the Petitioner Mills.

He was dismissed from service by an order dated 04.02.2006

issued by the Managing Director of the Petitioner Mill, based on

proven charges. Challenging this dismissal, he filed a Revision

Petition before the Commissioner of Handlooms and Textiles

under Section 153 of the Tamil Nadu Co-operative Societies Act.

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Accordingly, C.A. Rathinavel submitted his Revision Petition on

19.04.2006. As the proceedings were being delayed, he

approached this Court by filing W.P. No. 25013 of 2006, seeking

a direction to the Commissioner to consider and decide his

Revision Petition. The writ petition was disposed of on

09.08.2006, directing the Commissioner to dispose of the

Revision Petition (marked as Ex.R23).

5. Even earlier, C.A. Rathinavel had been transferred from

Erode to Trichy by an order dated 29.09.2005. He challenged this

transfer through W.P. No. 32064 of 2005. However, the writ

petition was dismissed on 07.03.2012, with the Court holding that

the transfer order issued by the management could not be

interfered with (Ex.M2). Subsequently, his demotion and transfer

were taken up by his trade union, the Coimbatore District Textile

Workers Union (HMS), under Section 2(k) of the Industrial

Disputes Act before the Government Labour Officer, Erode.

As the Conciliation Officer was unable to facilitate a settlement, a

failure report was submitted to the Government on 16.10.2017. In

response, the Government of Tamil Nadu, through G.O.(D1) No.

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355 of the Labour and Employment Department dated 17.06.2010,

referred the dispute to the Labour Court, Erode. The terms of

reference were as follows: (1) Whether the reduction in rank of

C.A. Rathinavel to the position of Supervisor was justified, and if

not, what relief he is entitled to. (2)Whether the order of transfer

of the workman to the dyeing factory at Trichy was justified, and

if not, what relief is available to the workman.

6. The Labour Court took up the dispute as I.D. No. 161 of

2010 and issued notices to the parties involved. The trade union

submitted a claim statement, asserting that Rathinavel was a

member of the union and a permanent worker of the Petitioner

Mills. He had been working as a Supervisor since 10.05.1979. The

claim statement further highlighted that an earlier dispute in the

Petitioner Mills concerning wages, grade, and uniforms for

Supervisors and Shift In-charges. This dispute was adjudicated in

I.D. No. 14 of 1995, resulting in an award dated 30.04.1998

(Ex.W2). In that award, the Labour Court concluded that

Supervisors and Shift In-charges were "workmen" within the

meaning of Section 2(s) of the Industrial Disputes Act, and held

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that their demands were justified.

7. The workman, C.A. Rathinavel, was issued a charge

memo on 13.01.2005 on certain grounds. Following a so – called

enquiry, he was dismissed from service by an order dated

04.02.2006. Challenging his dismissal, he filed a Revision Petition

before the Director of Handlooms. The Revision Petition was

allowed by an order dated 09.11.2006 (Ex.M4), setting aside the

dismissal order and directing that the workman be placed in a

lower post. Subsequently, by an order dated 11.02.2006,

Rathinavel was demoted from the post of Assistant Dyeing Master

to Supervisor. The order of transfer and the demotion were

unjustified. Even after the High Court's order dated 21.12.2010,

and the order of the Director of Handlooms dated 29.11.2011, the

workman has not given proper employment and the post of

supervisor is vacant of Erode.

8. The Management opposed the claim by asserting that

the Revision Petition challenging the dismissal order dated

04.02.2006 had been dismissed. Since the charges of misconduct

against the workman were proven, he was dismissed from service. https://www.mhc.tn.gov.in/judis

6 of 14

In the Revision Petition, the Director had merely ordered his

demotion. The workman's transfer was necessitated by operational

exigencies and his challenge to the transfer had already been

dismissed by this Court. He is also not a workman within the

definition of "workman" under Section 2(s) of the Industrial

Disputes Act, rendering the dispute itself not maintainable.

9. Before the Labour Court, the Respondent Union

examined the concerned workman, C.A. Rathinavel, as WW1 and

submitted 11 documents, which were marked as Ex.P1 to Ex.P11.

On behalf of the Management, M/s. Dakshinamurthi and

Mohanraj were examined as MW1 and MW2, respectively, and 24

documents were submitted, marked as Ex.R1 to Ex.R24. Upon

analyzing the evidence, the Labour Court concluded that the

workman’s transfer to the dyeing factory at Trichy was invalid.

Consequently, he be reinstated to service in the position of

Assistant Dyeing Master, effective from the date of his demotion,

with back wages and continuity of service.

10. The Labour Court held that the dispute was https://www.mhc.tn.gov.in/judis

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maintainable, noting that an earlier award had already established

that Supervisors and Shift In-charges qualified as "workmen"

under the Industrial Disputes Act. This position was also admitted

by the two witnesses presented by the Management. The Labour

Court further referred to a Division Bench judgment of this Court

in Management of Hindustan Motors Ltd. v. Lakshmiah & Anr.,

reported in 2002 (2) LLN 725. The relevant portion of the

judgment is as follows:

“12. …In our considered opinion, the management has failed to substantiate its contention that the first respondent was only performing the duties of supervisory/ managerial character. On the other hand, the evidence tendered on behalf of the appellant itself disclosed that the first respondent was only performing the duties of an ordinary skilled workman and nothing more.” …….

13. ….Therefore, when there was no evidence, much less, acceptable evidence, tendered on behalf of the appellant to prove their stand that the first respondent was not a "workman" as defined under Section 2(s) of the Industrial Disputes Act of 1947, the award impugned, in the writ petition rejecting the claim of the first respondent solely on that ground cannot be sustained.”

11. Regarding the Management's objection that the https://www.mhc.tn.gov.in/judis

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collective dispute was not maintainable due to the Respondent

Trade Union's alleged lack of substantial support among the

workmen in the Petitioner establishment, the Labour Court found

otherwise. The Trade Union had produced its registration

certificate and Form-E returns, marked as Ex.P9 to Ex.P11. The

evidence revealed that the Trade Union was actively functioning

within the Petitioner Mills and had a membership strength of

1,455 workers. In the absence of any contrary evidence from the

Management, the Labour Court concluded that the union had the

legitimate right to represent the workman's cause.

12. Regarding the allegations of misconduct covered in the

charge memo dated 13.01.2005, the Labour Court found that the

Management had not submitted either the workman’s explanation

or the charge memo itself. Although a domestic enquiry had been

conducted concerning the charge memo, no supporting documents

were presented before the Court. The Labour Court emphasized

that it was the Management's duty to substantiate the charges with

credible evidence. While the Management claimed that material

sent to the central prison had been returned as unsatisfactory, no

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correspondence from the prison department was produced to

support this claim. The Management could not merely assert that

the charges were proven in the enquiry without presenting

convincing evidence to satisfy the Labour Court. Consequently,

the Labour Court concluded that the Management had failed to

prove the charges based on the charge memo dated 13.01.2005.

13. Similarly, during the enquiry related to the charge

memo dated 13.01.2005, another memo containing seven

additional charges was combined with the initial charges, and a

common order was passed instead of conducting two separate

enquiries. As a result, the Labour Court held that the dismissal

order was not valid. Since no relevant materials were produced

before the Labour Court, it cannot that there was a valid order of

dismissal or justify the consequential reduction in rank pursuant to

the Revision Order.

14. Regarding the issue of transfer, the Labour Court found

that it was tainted with malafides. During cross-examination, the

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witness MW2 admitted that no production work was taking place

at the Trichy factory. This admission cast doubt on the legitimacy

of the transfer to Trichy, suggesting suspicious circumstances. The

order of the Director of Handlooms, dated 29.11.2011, had also

stated that the transfer to Trichy was wrong and the workman

should be provided with due employment. This further indicated

that the transfer was motivated by ulterior reasons. Although the

Management, in its written arguments, claimed that Rathinavel

had been transferred back from Trichy to Erode, the initial transfer

order to Trichy itself was not valid. On this basis, the Labour

Court set aside both the reduction in rank and the transfer order.

15. The counsel for the Management relied on the judgment

of the Delhi High Court in W.P.(C) No. 3705 of 2000, M/s.

D.C.M. Shri Ram Consolidate Ltd. vs. B.K. Gupta & Ors., dated

10.02.2015, to argue that the burden of proving whether a person

is a "workman" lies on the workman himself, not on the

Management. However, this judgment does not assist the

Management's case. In the present matter, during the previous

round of litigation, it had already been determined that

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Supervisors and Shift In-charges qualified as "workmen" under

the Industrial Disputes Act. Therefore, the Management cannot

re-agitate this issue once again.

16. The counsel for the Respondent Union also relied on an

unreported judgment of this Court in Management of Oman Air by

its District Sales Manager vs. The Central Government Industrial

Tribunal-cum-Labour Court & Anr., in W.P. No. 31951 of 2014

and 3825 of 2015 dated 22.08.2024. In that case, a learned judge,

while upholding the award of the Central Government Industrial

Tribunal (CGIT), held that the power under Article 226 of the

Constitution should not be exercised merely because there is a

possibility of forming a different opinion on the matter. The

judgment also endorsed the grant of full back wages in cases of

wrongful termination.

17. In light of the foregoing, the writ petition,

W.P. No. 19418 of 2020, lacks merit and accordingly stand

dismissed. No costs. Although it was reported that the workman

has retired from service, and despite his earlier transfer back from https://www.mhc.tn.gov.in/judis

12 of 14

Trichy to Erode, it is made clear that any dues available under the

Award shall be recoverable by the Respondent Union from the

Management and give it to the workman. Consequently, the

connected Miscellaneous Petition, W.M.P. No. 24005 of 2020, is

also stand dismissed.

21.02.2025

NCC : Yes / No Index : Yes / No Internet : Yes / No av

Copy to:

1. The Presiding Officer, Labour Court, Salem.

2. The Secretary, Coimbatore District Textile Workers Union (HMS), Regn. No. 111/MDS, 2212, Trichy Road, Singanallur P.O., Coimbatore – 641 005.

DR. A.D.MARIA CLETE, J.

https://www.mhc.tn.gov.in/judis

13 of 14

av

Pre-delivery Judgment in Writ Petition No. 19418 of 2020 and

21.02.2025

https://www.mhc.tn.gov.in/judis

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