Erroneous Reinstatement of Employee Unsustainable in Law: Karnataka High

In a significant legal development, the Karnataka High Court, in a judgment rendered by The Hon’ble Ms. Justice Jyoti Mulimani, has quashed an award issued by the Labour Court. The case involved a dispute regarding the termination and subsequent regularization of service of the respondent.

The High Court’s decision, delivered on November 29, 2023, hinged on the crucial legal point that the Industrial Tribunal had previously rejected the reference, stating that the respondent was not a workman, and the Executive Engineer, Zilla Panchayat, did not qualify as an industry. The Labour Court, however, failed to consider this rejection and issued an erroneous reinstatement order.

Justice Jyoti Mulimani, in the court’s observations, emphasized the unsustainability of the Labour Court’s decision in law, stating, “The award of the Labour Court is contrary to the law laid down by this Court. Furthermore, the Labour Court, exercising power under Section 11A of the Industrial Disputes Act, cannot grant relief of reinstatement that amounts to regularization and appointment to the non-existing post, which is otherwise not permitted in law.”

The Writ of Certiorari was ordered by the High Court, leading to the quashing of the award dated July 11, 2011, passed by the Labour Court in Industrial Disputes No. 125/2003.

This decision by the Karnataka High Court reaffirms the importance of adhering to established legal principles and ensuring that labor disputes are adjudicated in accordance with the law. The judgment serves as a reminder of the significance of correctly interpreting statutory definitions and following precedent in legal proceedings.

Date of Decision: November 29, 2023

EXECUTIVE ENGINEER, PANCHAYATRAJ ENGINEERING DIVISION VS D.BASAVARAJ