The Allahabad High Court while allowing the petition observed that once the Labour Court holds that the termination of workman was illegal and the workman is reinstated in service, it is bound to award back wages.
A Single Bench of Justice Piyush Agrawal passed this order while hearing a petition filed by Smt Vidya Rawat.
The petition has been filed challenging the award dated 25.06.2006 passed by the Labour Court, Ghaziabad in Adjudication Case so far as it has not awarded back wages to the petitioner and grant full back wages from the date of termination till the actual reinstatement.
Counsel for the petitioner submitted that the petitioner was appointed as Assembly Girl by the respondent no 3 on 19.11.1985. On 14.08.1993, she was terminated from service without any opportunity of hearing or paying retrenchment compensation to her.
Thereafter, a reference was made. After exchange of pleadings and evidence, the Labour Court, vide impugned award dated 25.06.2006, has held that the order terminating the services of the petitioner is illegal and directed for reinstatement of the petitioner in service, but did not award any back wages to the petitioner without assigning any reason.
He further submitted that the said award has not been challenged by the respondent no 3 and she is discharging her duties without there being any complaint.
He also submitted that the Labour Court has not properly and legally considered the question of back wages while passing the award.
The Court observed that,
In the award, the order of termination was found illegal and therefore, the petitioner was reinstated. The Labour Court has recorded the argument of both the side and pleadings of the petitioner have been recorded, in which prayer of the petitioner for reinstatement along with back wages has also been recorded. The award was passed holding the termination order as bad and directed for reinstatement of the petitioner. Further, the respondent no 3 has never challenged the award. If a termination order is set aside as being illegal, the consequence would be that the order of termination was never passed and therefore, reinstatement in service with full back wages is the natural consequence of setting aside the order of termination.
It is clear that once the award is passed treating the termination as illegal, the Labour Court ought to have granted back wages. The petitioner has brought on record the written statement filed before the Labour Court, it has specifically been prayed for back wages from the date of termination till the date of reinstatement, but the Labour Court, while passing the award, has only directed for reinstatement of the petitioner without assigning any reason for not granting back wages to the petitioner.
“In view of the aforesaid facts & circumstances of the case as well as the law laid down by the Apex Court in Charan Singh (supra), the award dated 25.06.2006 passed by the Labour Court, Ghaziabad in Adjudication Case is modified to the extent that the petitioner shall be entitled to back wages from the date of her termination till the date of reinstatement”, the Court further observed while allowing the petition.
“The petitioner is at liberty to move an appropriate application under section 6-H(1) of the Industrial Dispute Act for calculating the amount of back wages within a period of three weeks from today and thereafter, the court concerned shall conclude the proceedings within a period of three months from the date of application after hearing all stakeholders”, the order reads.