1509 GI/2026
(1323)
रजिस्ट्री सं. डी.एल. (एन) 04/0007/2003—05
REGD. NO. D. L. (N) 04/0007/2003—05
xxxGIDHxxx
xxxGIDExxx
प्राजधकार से प्रकाजित
PUBLISHED BY AUTHORITY
साप् ताजहक
WEEKLY
सं. 9]
नई ददल् ली, मार्च 8—मार्च 14, 2026, िजनवार/फाल् गुन 17—फाल् गुन 23, 1947
No. 9]
NEW DELHI, MARCH 8—MARCH 14, 2026, SATURDAY/PHALGUNA 17––PHALGUNA 23, 1947
इस भाग में जभन् न ृृ् सं् या दी िाती हज जिससे दक यह ृृथक संकलन के प ृ में रखा िा सके
Separate Paging is given to this Part in order that it may be filed as a separate compilation
भाग II—खण् ड 3—उृ-खण् ड (ii)
PART II—Section 3—Sub-section (ii)
भारत सरकार के मंत्रालयों (रक्षा मंत्रालय को छोड़कर) द्वारा िारी दकए गए सांजवजधक आदेि और अजधसूर्नाएं
Statutory Orders and Notifications Issued by the Ministries of the Government of India
(Other than the Ministry of Defence)
जवत् त मंत्रालय
(व् यय जवभाग)
नई ददल्ली, 5 मार्च, 2026
का.आ. 287.—रािभाषा जनयम, 1976 (संघ के िासकीय प्रयोिनों के जलए प्रयोग) के जनयम 10 के उृ जनयम
(4) द्वारा प्रदत्त िजियों का प्रयोग करते हुए केंद्र सरकार, एतद् द्वारा भारतीय लेखाृरीक्षा और लेखा जवभाग के अंतगचत
प्रधान महालेखाकार का कायाचलय (लेखाृरीक्षा-II), कनाचटक, बेंगलूरु, जिसके 80 प्रजतित कार्ममकों ने हहदी का कायचसाधक
ज्ञान प्राप्त कर जलया हज, को अजधसूजर्त करती हज।
[फा. सं. ए-12034/02/2026-ईिी]
रामेश् वर कुमार, अवर सजर्व
सी.जी.-डी.एल.-सा.-11042026-271687
CG-DL-W-11042026-271687
1324
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
MINISTRY OF FINANCE
(Department of Expenditure)
New Delhi, the 5th March, 2026
S.O. 287.—In exercise of the powers conferred by sub-rule (4) of rule 10 of the Official Languages (Use for
Official Purposes of the Union) Rules, 1976, the Central Government hereby notifies the office of the Principal
Accountant General (Audit-II), Karnataka, Bengaluru under the Indian Audit and Accounts Department, whereof
eighty per cent. of the staff have acquired working knowledge of Hindi.
[F. No. A-12034/02/2026-EG]
RAMESHWAR KUMAR, Under Secy.
जवदेि मन्त्रालय
(सी.ृी.वी. प्रभाग)
नई ददल्ली, 3 मार्च, 2026
का.आ. 288.—रािनजयक और कोंसुलीय अजधकारी (िृथ एवं फीस) के अजधजनयम, 1948 की धारा 2 के खंड
(क) के अनुसरण में वजधाजनक आदेि।
एतद् द्वारा, केंद्र सरकार,मार्च 3, 2025 से कांसुलर सेवाएं के जनवचहन करने के जलए भारतीय दूतावास, ररयाद में
सहायक कांसुलर अजधकाररयों के प ृ में इस मंत्रालय के जनम्नजलजखत अजधकाररयों की जनयुजि करता हज:
क्रम सं. अजधकारी का नाम और ृद
जमिन
/
ृोस्ट्ट जिसमें
सहायक कांसुलर अजधकारी के
प ृ में जनयुि दकया गया हज
1
श्री िसबीर हसह, कजनष्ठ सजर्वालय सहायक
भारतीय दूतावास, ररयाद
2
श्री सजर्न, कजनष्ठ सजर्वालय सहायक
3
श्री रहवदर, कजनष्ठ सजर्वालय सहायक
[फा. सं. टी. 4330/01/2026(04)]
तरुण कुमार, अवर सजर्व [सीृीवी-II]
MINISTRY OF EXTERNAL AFFAIRS
(CPV Division)
New Delhi, the 3rd March, 2026
S.O. 288.—Statutory Order in pursuance of clause (a) of the Section 2 of the Diplomatic and Consular
Officers (Oaths and fees) Act, 1948 (41 of 1048), the Central Government hereby appoints the below mentioned
officials of this Ministry, as Assistant Consular Officers in Embassy of India, Riyadh, to perform Consular services
with effect from March 3, 2026:
S.
No
Name & Rank of the Officer
Mission/Post wherein appointed as Assistant
Consular Officer
1
Mr. Jasbir Singh, Junior Secretariat Assistant
Embassy of India, Riyadh
2
Mr. Sachin, Junior Secretariat Assistant
3
Mr. Ravinder, Junior Secretariat Assistant
[F. No. T.4330/01/2026 (04)]
TARUN KUMAR, Under Secy. (CPV-II)
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1325
ृरमाणु ऊिाच जवभाग
मुंबई , 24 फरवरी, 2026
का.आ. 289.—सावचिजनक ृररसर (अनाजधकृत अजधभोजगयों की बेदखली) अजधजनयम, 1971 (1971 का 40) की
धारा 3 द्वारा प्रदत्त िजियों का प्रयोग करते हुए और इस जवभाग के ददनांक 25.06.1998 की अजधसूर्ना सं. 5/1(2)/95-
SUS/447 के अजधक्रमण में, केंद्र सरकार एतद् द्वारा जनम् नजलजखत ताजलका के कललम (1) में उजल्लजखत अजधकारी को, िो
सरकार का रािृजत्रत अजधकारी हज, उि अजधजनयम के प्रयोिन के जलए संृदा अजधकारी जनयुि करती हज, िो उि ताजलका के
कललम (2) में संगत प्रजवजियों में जनर्ददि सावचिजनक ृररसरों के संबंध में उि अजधजनयम द्वारा या उसके अधीन प्रदत्त िजियों
का प्रयोग करेगा और संृदा अजधकारी के कतचव्यों का ृालन करेगा।
अजधकारी का ृदनाम
(1)
सावचिजनक ृररसर की श्रेजणयााँ और अजधकार क्षेत्र की
स्ट्थानीय सीमाएाँ
(2)
जनदेिक (कार्ममक एवं प्रिासन) अथवा
मु्य प्रिासजनक अजधकारी,
जनमाचण, सेवा एवं संृदा प्रबंध जनदेिालय,
जवक्रम साराभाई भवन,
अणुिजि नगर,
मुंबई-400 094
बृहन् मुंबई और नई ददल्ली में ृरमाणु ऊिाच जवभाग के
स्ट्वाजमत्व वाले या उसके प्रिासजनक जनयंत्रण के अधीन
ृररसर।
[फा. सं. 5/1(1)/2026-SUS/2386]
जबजृन कुप ृ, अवर सजर्व [सीृीवी-II]
DEPARTMENT OF ATOMIC ENERGY
Mumbai, the 24th February, 2026
S.O. 289.—In exercise of the powers conferred by Section-3 of the Public Premises (Eviction of
Unauthorized Occupants) Act, 1971 (40 of 1971) and in supercession of this Department‘s Notification No.5/1(2)/95-
SUS/447 dated 25.06.1998, the Central Government hereby appoints the officers mentioned in column (1) of the
Table below being Gazetted Officers of the Government, to be the Estate Officer for the purposes of the said Act who
shall exercise the powers conferred and perform the duties imposed on Estate Officer, by or under the said Act, in
respect of Public Premises specified in the corresponding entries in column (2) of the said Table.
Designation of the Officer
(1)
Categories of Public Premises and local limits of
Jurisdiction
(2)
Director (P&A) or
Chief Administrative Officer,
Directorate of Construction, Services & Estate
Management,
Vikram Sarabhai Bhavan,
Anushakti Nagar,
Mumbai-400 094
Premises belonging or under the administrative control of
the Department of Atomic Energy in Greater Mumbai &
New Delhi.
[F. No. 5/1(1)/2026-SUS/2386]
BIPIN KURUP, Under Secy. (CPV-II)
1326
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
ृेरोजलयम एवं प्राकृजतक गजस मंत्रालय
नई ददल्ली, 20 फरवरी, 2026
का.आ. 290.—तेल उद्योग (जवकास) अजधजनयम, 1974 (1974 का 47) की धारा 3 की उृ-धारा (4) द्वारा
प्रदत्त िजियों के तहत, केंद्र सरकार एतद् द्वारा ृेरोजलयम एवं प्राकृजतक गजस मंत्रालय के सजर्व डल. नीरि जमत्तल को 13
फरवरी, 2026 से अगले आदेि तक तेल उद्योग जवकास बोडच का अध्यक्ष जनयुि करती हज|
[फा. सं. िी-38011/41/2016-दफन.आई (ई-33886)]
रघुराम कृ्णा, अवर सजर्व
MINISTRY OF PETROLEUM AND NATURAL GAS
New Delhi, the 20th February, 2026
S.O. 290.—In exercise of the Powers conferred by Sub-Section (4) of Section 3 of the Oil Industry
(Development) Act, 1974 (47 of 1974), the Central Government hereby appoints Dr. Neeraj Mittal, Secretary,
Ministry of Petroleum and Natural Gas as Chairman of the Oil Industry Development Board w.e.f. 13. 02.2026, until
further orders.
[F. No. G-38011/41/2016-Fin.I (E-33886)]
REGHURAM KRISHNA, Under Secy.
नई ददल्ली, 20 फरवरी, 2026
का.आ. 291.—तेल उद्योग (जवकास) अजधजनयम, 1974 (1974 का 47) की धारा 3 की उृ-धारा (3)(a) द्वारा
प्रदत्त िजियों के तहत, केंद्र सरकार एतद् द्वारा श्री श्रीकांत नागुलृल्ली, महाजनदेिक, हाइड्रोकाबचन महाजनदेिालय को 13
फरवरी, 2026 से 12 फरवरी, 2028 तक या अगले आदेि तक, िो भी ृहले हो, तेल उद्योग जवकास बोडच का सदस्ट्य
जनयुि करती हज।
[फा. सं. िी-38011/41/2016-दफन.आई (ई-33886)]
रघुराम कृ्णा, अवर सजर्व
New Delhi, the 20th February, 2026
S.O. 291.—In exercise of the Powers conferred by Sub-Section (3)(a) of Section 3 of the Oil Industry
(Development) Act, 1974 (47 of 1974), the Central Government hereby appoints Shri Srikant Nagulapalli, Directorate
General, Directorate General of Hydrocarbon as Members of the Oil Industry Development Board w.e.f. 13.02.2026
to 12.02.2028 or until further orders, whichever is earlier.
[F. No. G-38011/41/2016-Fin.I (E-33886)]
REGHURAM KRISHNA, Under Secy.
नई ददल्ली, 20 फरवरी, 2026
का.आ. 292.—तेल उद्योग (जवकास) अजधजनयम, 1974 (1974 का 47) की धारा 3 की उृ-धारा (3)(b) द्वारा
प्रदत्त िजियों के तहत, केंद्र सरकार एतद् द्वारा श्री वेदवीर आयच, अजतररि सजर्व एवं जवत्तीय सलाहकार, ृेरोजलयम एवं
प्राकृजतक गजस मंत्रालय को 13 फरवरी, 2026 से 12 फरवरी, 2028 तक या अगले आदेि तक, िो भी ृहले हो, तेल
उद्योग जवकास बोडच का सदस्ट्य जनयुि करती हज।
[फा. सं. िी-38011/41/2016-दफन.आई (ई-33886)]
रघुराम कृ्णा, अवर सजर्व
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1327
New Delhi, the 20th February, 2026
S.O. 292.—In exercise of the Powers conferred by Sub-Section (3) (b) of Section 3 of the Oil Industry
(Development) Act, 1974 (47 of 1974), the Central Government hereby appoints Shri Vedveer Arya, Additional
Secretary & Financial Advisor, Ministry of Petroleum and Natural Gas as Members of the Oil Industry Development
Board w.e.f. 13.02.2026 to 12.02.2028 or until further orders, whichever is earlier.
[F. No. G-38011/41/2016-Fin.I) (E-33886)]
REGHURAM KRISHNA, Under Secy.
नई ददल्ली, 25 फरवरी, 2026
का.आ. 293.—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj
बैंक ds izca/kr=] lac) fu;kstdksa vkSj muds deZdkjksa ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh; ljdkj
औद्योजगक vf/kdj.k@Je U;k;ky; psUubZ ds iapkV (a26/2015) izdkf'kr djrh gSA
[सं. एल-39025/01/2026-आई आर(बी- II)-21]
सलोनी, उृ जनदेिक
MINISTRY OF LABOUR AND EMPLOYMENT
New Delhi, the 25th February, 2026
S.O. 293.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Ref. 26/2025) of the Cent.Govt.Indus.Tribunal-cum-Labour Court
Chennai as shown in the Annexure, in the industrial dispute between the management of Canara Bank and
their workmen.
[No. L-39025/01/2026– IR(B-II)-21]
SALONI, Dy. Director
ANNEXURE
BEFORE THE CENTRAL GOVERNMENT INDUSTRIAL
TRIBUNAL- CUM - LABOUR COURT
CHENNAI
ID No. 26/2025
Present: SUSHIL KUMAR-II, PRESIDING OFFICER
Date: 05-02-2026
Sh. V. Suresh,
S/o, Veerappan,
No.26, Kannaagi Street,
Indira Gandhi Nagar,
Puducherry-605 001
:
1st Party/Petitioner
AND
1.
The General Manager,
Carana Bank, Disciplinary Action Cell,
Chennai Circle Office,
New No.524, (Old No.563/1), Annai Salai,
Teynampet, Chennai-600 018.
: 2nd party/1st Respondent
1328
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
2.
The Assistant General Manager,
Carana Bank, No.45, NSC Bose Road,
(Old Gingy Salai), Puducherry- 605 001
: 2nd Party /2nd Respondent
Appearance:
For the 1st Party/Petitioner
: None
For the 2nd Party/ 1st and 2nd Respondents
: M/s. R. Rajesh, Adv
Award
The
Central
Government,
Ministry
of
Labour&
Employment
vide
its
Order
No.7/8/2021/PDY/300037066/ADJ/A1, dated 30.01.2025 referred the following Industrial Dispute to this Tribunal for
adjudication.
The schedule mentioned in that order is:
1. Whether the action of Canara Bank Management in imposing the punishment of ―Dismissal‖
to Shri. V. Suresh vide its proceedings dated 26.04.2005 is fair, legal and justified? and
2. Whether Shri. V. Suresh is entitled to receive Pension / EPF benefits under Employees
Contributory Provident Fund? If not, to what relief Shri. V. Suresh is entitled to?
2.
On receipt of the above reference dated 30.01.2025 from the appropriate Government, the dispute was
registered as ID No. 26/2025 and due notices were issued to both the parties for their appearance fixing the case to
26.05.2025. Neither the Petitioner nor any Counsel / Authorized Representative turned up resulting further
adjournments to 17.072025, 03.09.2025, 29.10.2025, 29.12.2025. The Petitioner did not turn up whereas the
Respondent filed Vakalat Nama. It reveals from the body of reference that while the appropriate Govt. sent the
reference dated 30.01.2025 to this Tribunal for adjudication, copies of the reference were sent to the Petitioner and all
the opposite parties. It is therefore well presumed that both parties must have received the reference. Even then, in
the interest of justice, the Petitioner was once again directed to appear and to file claim statement fixing the case to
05.02.2026. The Petitioner did not turn up nor was any authorized representative of the counsel on his behalf present.
The claim statement was not furnished in any manner by the Petitioner. It reveals the Petitioner, despite of sufficient
opportunity choose not to appear or to file claim statement and documents.
3.
In the circumstance it deems proper not to re-list the case for the same purpose to any other date which would
be wastage of the valuable time of this Tribunal.
4.
In view of the discussion held supra, it is crystal clear that the petitioner has got no interest to proceed with
the case. Thus, the Tribunal is not in a position to adjudicate the dispute as referred by the Appropriate Government,
as there exists no Industrial Dispute for adjudication as per the reference.
5. In the result the reference is answered against the petitioner.
An Award is passed accordingly.
SUSHIL KUMAR-II, Presiding Officer
नई ददल्ली, 26 फरवरी, 2026
का.आ. 294.—vkS|ksfxd fookn vf/kfu;e] 1947 (1947 dk 14) dh /kkjk 17 ds vuqlj.k esa] dsUnzh;
ljdkj डब्लू सी एल d
izca/kra= ds lac) fu;kstdksa vkSj muds deZdkjksa ds chp] vuqca/k esa fufnZ’V vkS|ksfxd fookn esa
-
सह
-
] नागृुर ds iapkV (
10/2019) dks
izdkf'kr djrh gS] tks dsUnzh; ljdkj dks
dks izkIr gqvk FkkA
[सं. एल-22012/38/2019-आई आर(सी.एम-II)]
सलोनी, उृ जनदेिक/संृकच अजधकारी
New Delhi, the 26th February, 2026
S.O. 294.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Ref. No. 10/2019) of the Central Government Industrial Tribunal-cum-
Labour Court, Nagpur as shown in the Annexure, in the industrial dispute between the Management of M/s. WCL
and their workmen received by the Central Government on 25/02/2026.
[No. L-22012/38/2019– IR (CM-II)]
SALONI, Dy. Director/Link Officer
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1329
ANNEXURE
BEFORE SHRI SHIV SHANKER PRASAD, PRESIDING OFFICER,
CGIT-CUM-LABOURT COURT, NAGPUR
Case No.CGIT/NGP/10/2019
Date: 03.02.2026.
Party No.1
:
The Area General Manager,
Western Coalfields Ltd.,
Ballarpur Area Post. Sasti, Tah. Rajura,
Distt. Chandrapur (MS)-442905.
:
The Superintendent of Mines,
Western Coalfields Ltd., Ballarpur colliery,
3 & 4 Pits, Ballarpur, Distt. Chandrapur-442701.
Versus
Party No.2
:
Shri Mallesh Chandraish
R/o. Mines’s Quarter No. 4/3, BC,
WCL Colony, Ballarpur Distt. Chandrapur-442701,
AWARD
(Dated: 3rd February, 2026)
In exercise of the powers conferred by clause (d) of sub-section (1) and sub-section 2(A)
of section 10 of Industrial Disputes Act, 1947 (14 of 1947) (“the Act” in short), the Central
Government has referred the industrial dispute between the employers, in relation to the
management of Western Coalfields Limited and one other and their workman Shri Mallesh
Chandraish for adjudication, as per letter No.L-22012/38/2019 (IR(CM-II) dated 09.05.2019,
with the following schedule:-
“Whether the action of the management of WCL through the Superintendent of
Mines, Ballarpur Distt. Chandrapur in termination of service of the applicant Shri Mallesh
Chandraiah, Ex. Senior Clerk Ballarpur Colliery, 3 & 4 Pits, Ballarpur Dist. Chandrapur and
request to quash and set aside the order of Discharge dated 15.02.2018 and reinstate in
service with all consequential benefits, is just, fair and legal? If not, to what relief the
concerned workman is entitled to?”
2.
On receipt of the reference, notices were issued to the parties i.e. the petitioner Shri
Mallesh Chandraiah and the management of Western Coalfields Limited (“party no.1” in short).
The petitioner filed statement of claim and the respondent also filed written statement. On
09.12.2025 the learned counsel for the petitioner filed a pursis mentioning that the petitioner
died on 21.09.2025 due to illness. A copy of death certificate is also enclosed with the pursis.
On 07.01.2026 Shri Srinivas Mallesh Yengulwar son of late Mallesh Chandraiah filed pursis that
he doesn’t want to proceed with the matter anymore.
Hence, the reference is closed and an award is passed against the petitioner.
It is ordered:-
1330
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
ORDER
“The action of the management of WCL through the Superintendent of Mines,
Ballarpur Distt. Chandrapur in termination of service of the applicant Shri Mallesh
Chandraiah, Ex. Senior Clerk Ballarpur Colliery, 3 & 4 Pits, Ballarpur Dist. Chandrapur is
just, fair and legal. The workman Late Mallesh Chandraiah is not entitled to any relief.
Justice (retd.) SHIV SHANKER PRASAD, Presiding Officer
(जहन्दी अनुभाग)
नई ददल्ली, 2 मार्च, 2026
का.आ. 295.—केंद्र सरकार, रािभाषा (संघ के िासकीय प्रयोिनों के जलए प्रयोग) जनयम, 1976 (यथा
संिोजधत, 1987) के जनयम 10 के उृ-जनयम (4) के अनुसरण में, श्रम एवं रोिगार मंत्रालय के प्रिासकीय जनयंत्रणाधीन
जनम्नजलजखत कायाचलयों को, जिनके 80 प्रजतित से अजधक कमचर्ाररयों ने जहन्दी का कायचसाधक ज्ञान प्राप्त कर जलया हज,
एतद्द्वारा अजधसूजर्त करती हज:
1. कमचर्ारी राज्य बीमा जनगम अस्ट्ृताल, साजहबाबाद, गाजियाबाद (उत्तर प्रदेि)
2. कमचर्ारी राज्य बीमा जनगम जर्दकत्सा महाजवद्यालय एवं अस्ट्ृताल, िोका, (ृजिम बंगाल)
3. कमचर्ारी राज्य बीमा जनगम अस्ट्ृताल, बीकानेर (रािस्ट्थान)
4. कमचर्ारी राज्य बीमा जनगम अस्ट्ृताल, जबबवेवाड़ी, ृुणे
5. कमचर्ारी राज्य बीमा जनगम जर्दकत्सा महाजवद्यालय एवं अस्ट्ृताल, नरोड़ा, अहमदाबाद
[सं. ई-11016/1/2022-रा.भा.नी]
अतनु कुमार र्ौधुरी, उृमहाजनदेिक
(Hindi Section)
New Delhi, the 2nd March, 2026
S.O. 295.—In pursuance of Sub-Rule (4) of Rule 10 of the Official Language (Use for official purposes of
the Union) Rules, 1976 (as amended, 1987) the Central Government hereby notifies the following offices under the
administrative control of the Ministry of Labour & Employment, more than 80% Staff whereof have acquired working
knowledge of Hindi:-
1. Employees' State Insurance Corporation Hospital, Sahibabad, Ghaziabad (Uttar Pradesh)
2. Employees' State Insurance Corporation Medical College and Hospital, Joka (West Bengal)
3. Employees' State Insurance Corporation Hospital, Bikaner (Rajasthan)
4. Employees' State Insurance Corporation Hospital, Bibvewadi, Pune
5. Employees' State Insurance Corporation Medical College and Hospital, Naroda, Ahmedabad
[No. E-11016/1/2022-RBN]
ATANU KUMAR CHOWDHURY, Dy. Director General
नई ददल्ली, 2 मार्च, 2026
का.आ. 296.—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj
ds izca/kr=] lac) fu;kstdksa vkSj muds deZdkjksa ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh;
ljdkj औद्योजगक vf/kdj.k@Je U;k;ky;
ds iapkV (a105/2002) izdkf'kr djrh gSA
[सं. एल-12012/186/2000-आई आर(बी-I)]
सलोनी, उृ जनदेिक
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1331
New Delhi, the 2nd March, 2026
S.O. 296.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Ref. 105/2002) of the Cent.Govt.Indus.Tribunal-cum-Labour Court
Hyderabad as shown in the Annexure, in the industrial dispute between the management of State Bank of India
and their workmen.
[No. L-12012/186/2000– IR (B-I)]
SALONI, Dy. Director
ANNEXURE
IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT
HYDERABAD
Present: Sri IRFAN QAMAR
Presiding Officer
Dated the 5th day of February, 2026
INDUSTRIAL DISPUTE No. 105/2002
[Old ID No.126/2000 of Industrial Tribunal No.I, Hyderabad]
Between:
Sri Teetala Deva Prasad,
S/o T. Jakaraiah,
R/o 14/49, Sainath Puram,
C.S.I Church,
Mydukuru Post & Mandal,
Cuddapah Dist. A.P.
… Petitioner
And
The Dy. General Manager,
State Bank of India,
Zonal Office,
Renigunta Road,
Tirupathi.
…..Respondent
Appearances:
For the Petitioner :
Sri Macherla Rangaiah, Advocate
For the Respondent:
Sri A. Ratang Phani Reddy, Advocate
AWARD
The Government of India, Ministry of Labour by its order No. L-12012/186/2000-IR(B.I) dated 19.09.2000
referred the following dispute under section 10(1)(d) of the I.D. Act, 1947 to Industrial Tribunal No.I, Hyderabad for
adjudication and later the same has been transferred to this Tribunal bearing ID No.126/2000, as per orders of
Central Government vide Lr.No.H-11026/1/2001-IR(C.II) dated 18.10.2001, requiring this forum to decide the
question:
SCHEDULE
―Whether the action of the management of State Bank of India, Mydukur Branch justified in terminating
Sri Teetala Deva Prasad, Messenger, from the services of the Bank? If not, what relief he is entitled?‖
After receipt of the reference, it was numbered as ID No. 105/2002 and notices were issued to both the Workman and
the management.
2.
Before unfolding the factual matrix of the instant industrial dispute it would be apposite to have a bird eye
view of a chequered history of the instant industrial dispute. Earlier instant industrial dispute along with the batch
1332
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
cases was decided by this Tribunal vide common award dated 17.5.2005 and the reference was answered in favour of
the Respondent and against the Workman. That said common award dated 17.5.2005 was challenged by the
aggrieved Workmen in various Writ petition No.6470/2014 along with batch of writ petitions before the Hon‘ble High
Court of Andhra Pradesh and Hon‘ble High Court vide its‘ judgement dated 23.6.2014 allowed all batch of writ
petitions and set aside the common award dated 17.5.2005 passed in ID No.222 of 2001 and other batch of ID cases
by Central Government Industrial Tribunal cum Labour Court, Hyderabad and the Respondent management of State
Bank of India was directed to reengage the Writ Petitioners in position, which they have been occupying prior to their
termination and further directed to consider their cases for regularization as and when the substantive vacancy arises.
This judgement dated 23.6.2014 of Hon‘ble High Court of AP, passed in WP No.6470/2014 and batch petitions was
challenged by Respondent management before the Hon‘ble High Court in Writ Appeal No. 1268 of 2014. The
aforesaid Writ Appeals No.1268/2014 and other Writ Appeals were decided by Division Bench of High Court of
Andhra Pradesh by a common judgement dated 20.3.2019. Hon‘ble High Court in aforesaid Writ Appeal was
pleased to pass the order which is extracted as below:-
“ 7. Hearing the learned senior counsel for the SBI and the learned senior counsel for the contesting unofficial
Respondents, we see that while the learned single Judge was justified in setting aside the award af the Tribunal, the
proper course to be adopted was to remit all the cases to the Tribunal. This we say for reasons more than one. Firstly,
in such matters, claims have to be decided on individual basis, as different persons have different claims as to the
length of officiation or discharge of duties and functions; quality of engagement, drawings, accounting of the post for
each one of them, who have worked etc. AIl these issues will not be the same in all the cases. Therefore, each case
ought to have been directed to be decided by the Tribunal afresh on individual basis. The second and most important
aspect is the learned single Judge has in one go ordered re-employment of all the workmen. This is not a relief that
could have been granted without answering the individual issues; each issue relating to each case could not have
been decided by the writ Court within the format of its adjudication procedures and scope. The adjudicating body,
which has to do that activity, is the Industrial Tribunal. Therefore, we are of the view that while we would sustain the
order of the learned singe Judge insofar as it interfered and sets aside the award of the Tribunal, the further findings
and directions, issued through the impugned order have to go and the individual cases have to be sent back for
consideration of the Tribunal. Such further procedure before the Tribunal will have to be carried forward with the
materials already on record and also by affording an opportunity to the persons, who have claims as well as the
management to place their rival contentions and further material before the Tribunal. The learned counsel appearing
for the workmen are justified in pointing out that enormous delay has already happened and further action by the
Tribunal in this line may be expedited.
9. In the result, these writ appeals are ordered;
(1) affirming the impugned common order of the learned single Judge to the extent it sets aside the common award
dated 17.05.2005 of the Industrial Tribuna!;
(2) the further findings and directions issued through the impugned common order are vacated:
(3) all the matters shall be remitted to the Industrial Tribunal with a direction to dispose of them within an outer limit
of five (5) months from the date of receipt of a copy of this order; and,
(4) the parties to make appearance before the Tribunal on the given date.”
Thus, in view of the above direction of Hon‘ble High Court of Andhra Pradesh in W.A.No.1268 of 2014 and batch
cases. This Tribunal has taken up the matter of industrial dispute for hearing and deciding it afresh in view of the
aforesaid guidelines laid down by the Hon‘ble High Court in Writ Appeal No.1268/2014 vide judgement dated
20.3.019.
3.
The factual matrix of instant industrial dispute as narrated by the Workman in his claim statement are that,
the Workman joined in the service of the management institution as Messenger from 1990 to 1991, and has rendered
unblemished service spreading over a period of about 2 years. The Respondent has terminated services of Workman
by oral orders with effect from 1.4.1997. Further, it is submitted that the management of Respondent bank decided
to give a chance to temporarily employed personnel ―found suitable for permanent appointment‖ by wait- listing them
by offering permanent appointment or waitlisting till such opportunity arises.
4.
That on 17.11.1987 a settlement was reached between All India State Bank of India Staff Federation and the
Management of State Bank of India - settlement one, under this settlement three categories of employees were
listed. That is, A) those who have completed 240 days in 12 months or less after 1.7.1975. B) those who have
completed 270 days in any continuous block of 36 calendar months after 1.7.1975. C) (i) those who have completed
minimum of 30 days aggregate temporary service in any calendar year after 1.7.1975 or (ii) 70 days aggregate
temporary service in continuous block of 36 months after 1.7.1975.
5.
The persons who satisfied in all the above 4 categories were to be interviewed by a selection committee and
the said selection committee would determine the suitability of the said candidate for permanent appointment.
Therefore, the bank prescribed certain qualifications and from among the candidates satisfying the qualifications the
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1333
suitable candidates were enlisted by a selection committee. The Clause 7 of the said agreement provided with the
selected candidate would be wait listed in order of their respective categorization and the selected panel would be
valid upto December, 1991. Clause 10 of the settlement specifically provided that henceforth. ―there will be no
temporary appointments in the subordinate cadre‖, except on a restrictive basis in the specified category, ―from
amongst empanelled candidates as per existing guidelines of the bank‖. The Workman further submits that
consequent upon the said agreement and the draft, a notification was issued in the newspapers. The last date for
responding to the advertisement was 30.8.1988. A written examination followed by viva-voce in May, 1989 was
held. A selected panel was prepared, as per Clause 7 of the agreement, ie. Settlement No.1, the selected panel was to
be valid upto December, 1991, the Workman submits that circular was issued on 26.4.91 by the said letter it is
mentioned that the terms of the agreement dated 17.11.87 was modified vide second agreement dated 16.7.88 was
entered into between the parties. In terms of the said agreement a chance was to be given, ―to all eligible temporary
employees for permanent appointments. The appointments were against the vacancies likely to arise during the
years 1995-96, circular made it clear that in view of the enormity of the problem an extension of the currency of the
panel, eligible temporary employees who have been empanelled could not appear in the earlier interviews and have
been pursuing their cases thereafter, ―will be given another chance to appear for interview‖.
6.
Workman submits that there were total five settlements. The settlement dated 17.11.87 is the 1st
settlement (Ex M1), settlement dated 16.7.88 is 2nd settlement (Ex M2), settlement dated 27.10.88 is the 3rd
settlement (Ex M3), then settlement dated 9.1.91 is 4th settlement and settlement dated 30.7.96 is 5th settlement
(Ex M6). In between there is minutes of conciliation proceedings dated 9.6.95 marked as Ex M5. That due to all
these settlements which were extended by subsequent settlements thereby created reasonable expectations in the
list of the selected candidates arose with that it‘s a question of time their appointments or services would be
regularized in the services of the bank. The Workman was working with the bank on temporary basis was under the
bonafide hope that sooner his services will be regularized with the bank. He is thereby closed all his options
elsewhere. It is needless to point out that employing person to whom hope of employment in substantial terms was
made is a facet of Article 21 of the Constitution of India.
7.
Further Workman submits that the Government of India issued Circular No. F-3/3/104/87-IR, dated
16.8.1990. Under said circular the chief Executives of all public sector banks including the Management herein were
specifically instructed that until the problem of existing temporary employees is fully resolved, no bank is permitted to
make any permanent appointments. That some of the persons similarly situated like this Workman aggrieved by the
inaction on the part of the management of the bank is not regularizing their services from out of the selected panel
and not clearly focusing the vacancy position, filed W.P. No. 4194/97 before Hon‘ble High court of A.P.. It is
specifically averred in the said writ petition that the Management of the bank had failed to implement the settlement
and that it violates the various fundamental rights guaranteed under the constitution of India. The Hon‘ble High
court of A.P .. by order dated 5.3.97 directed the bank to implement the settlement as amended from time to time. It
also directed the bank to carry out the terms of settlement before the expiry of March, 1997. The Hon‘ble High
Court also recorded finding that the Bank cannot escape its liability of enforcement of the Settlement. In view of the
directions given by the High Court all candidates whose names appeared in the select panels prepared on the basis of
the agreement entered into on 17.11.87 under which the panel was valid upto December, 1991, and on the basis of a
settlement dated 27.10.1988 whereby the panels were made alive upto 31.3.1997 under which the panel was valid upto
December, 1999. The other agreement dated 16.7.1988 under which the panel was valid upto 1992 and on the basis
of the settlement dated 27.10.1998 whereby the panels were made alive upto 31.3.1997 were under the bonafide
impression that their cases will be considered for regularization and were living on the basis of the said reasonable
expectation. Unfortunately, contrary to the aforesaid directions given by the High Court and contrary to the
settlements entered into between the parties, the bank issued proceedings dated 25.3.1997, dated 27.3.1997 and
31.3.1997 instructing the various authorities of the Management not to continue the temporary employees those who
are in services of the bank from 1.4.97. The said order was followed by the Management. Aggrieved by the said
action the Workman herein and similarly situated candidates have filed a writ petition before the Hon'ble High Court
and by way of Writ Petition No.9206/97 seeking a declaration that the proceedings issued by the Deputy General
Manager and the Assistant General Manager (Respondents 3,4 and 5 therein) on 25.3.97, 27.3.97 and 31.3.97 as
illegal and also non-continuance of the Workmen therein in service by absorbing them in the services of the bank as
violative of Section 2(p) and 18(1) read with Rule 58 of Central Rules and sought for specific direction to the bank to
absorb them in service.
8.
Further, Workman submits that in the counter affidavit filed in Writ Petition No.9206/97, the bank has
submitted that it has about 805 branches in Andhra Pradesh alone. It has stated that due to exigencies of
circumstances and on account of the urgent need in its banks, it employed temporary employees in subordinate cadre.
It is pertinent to mention that it does not state the urgent or need or the nature of temporary employees that it had
engaged. Enquiry into the same would reveal that the stand taken by the bank either on the ground of urgent need or of
temporary employees is a façade to perpetuate unfair labour practice. It is designed to on the one hand, keep the
employed in the erroneous zone of hope and on the other to ensure that benefits that a model employer will extend
under various statutes to its employees is not required to be borne out by the bank. A reading of the counter affidavit
would show that the bank would opines that being just fair and reasonable are which obviously is reprehensible and is
1334
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
a facet of unfair labour practice.
9.
The Workman submits that the bank had referred in its counter affidavit to three settlements dated 17.11.87,
16.7.88 and 27.10.88. The bank in the guise of extending the benefits of the circular of Government dated 16.8.90
stated in its counter affidavit that as follows:
"Government of India, vide its letter dated 16.8.1990, issued guidelines to all the public sector banks with regard to
recruitment and absorption of temporary employees in public sector banks. The said guidelines were issued to
implement on the lines of the approach paper on the issue provided by a committee constituted in this regard. The
Government of India guidelines made it clear that all the public sector banks may follow the provisions laid down in
the approach paper.
The approach paper specified that the cases of temporary employees who had put in not less than 240 days of
temporary service in 12 consecutive Months and who are entitled to benefit of Section 25-F may be decided by
entering into a settlement with the representative union. In respect of temporary employees who had put in less than
240 days of service in 12 consecutive months or less, a settlement could be avoided and however if the Management
so desired, they could enter into a conciliation settlement with the representative union. Para 6(h), it is mentioned
that only those temporary employees who had put in temporary service of 90 or more days after 1.1 1982 would be
eligible for considering under the scheme. Although the Government guidelines envisaged for a settlement in respect
of employees who had put in temporary service of 90 or more days, the bank by way of further concession entered
into settlements Even in respect of those who had put in less than 90 days. As such, it could be Seen that the
settlements are more beneficial to the temporary employees concerned. The approach paper also specify at para 6(c)
that the banks would provide one time opportunity to all the temporary employees and for that purpose temporary
employees worked in the bank on or after 1.1.1982 could be considered for re-employment in terms of the scheme.
The Respondents have gone further wherein even persons working after 1975 were also considered.
As could be seen from the above, there was a genuine effort on the part of the Respondent bank to provide
permanent employment for as many as possible subject to availability of the vacancies.
It is further submitted that at para 6(k) of the approach paper, it was made clear that this would be one time
exercise in full and final settlement of all the aims and disputes for the past period in respect of temporary workmen
covered by the settlement. This would mean that the Government of India guidelines would cover only those persons
who were temporarily employed for the period specified therein and not otherwise. As such, it is submitted that the
Respondents have not only followed the Government of India guidelines but in fact covered cases of the employees
who had worked for less than 90 days. As such, question of violation does not arise and in any case those were only
broad guidelines and not directives".
10.
The Workman submits that the bank also referred a subsequent settlement dated 9.1.1991 wherein there is a
clause to the effect- that the panel of temporary employees and the panel of daily wage employees will be operated to
a particular period. Therefore, their cases will not be considered. The Management herein relying upon this settlement
in their impugned action. It is submitted that even the settlement dated 9.1.1991 will not empower the management
to terminate the services of the temporary employees who are working in the bank services like the Workman herein
as it does not specify the termination of the employees. In fact there are so many vacancies wherein the Management
has engaged several new persons as temporary messengers/ attendars/ sweepers etc., even after the judgment of
Hon‘ble High Court without considering the cases of the similarly situated candidates like the Workman herein. It is
submitted inspite of engaging fresh candidates as is now being done by the Management they would have continued
the similarly situated candidates like the Workman herein in the services of the bank and consider their cases for
absorption in view of the circulars issued by Central Government as well as the directions of this Hon'ble Court in
Writ Petition No.4194/97, dated 5.3.97. In view of the circulars issued by the Central Government, the Management
should not have relied upon the settlement dated 9.1.1991. Hence, the impugned action of the Management is illegal,
unjust, violative of fundamental rights such as Articles 14,16 and 21 of the Constitution of India.
11.
The Workman submits that in W.P. No.4194/97 filed by the union of temporary employees where in they
have complained about the non- implementation of the settlements arrived between the parties and sought for
absorption. Such employees in the bank services on permanent basis before the date fixed for carrying out the terms
of settlement, the Court held that the members of the union had been empanelled in the list, they were not regularized
and the time was going to run out to the near future and the Respondent bank and its officers cannot escape from the
liability of enforcing the settlement which has been reached and therefore directed that the bank and the officers shall
implement the settlement dated 17.11.87 as amended from time to time before the expiry of 31.3.97.
12.
Further, it is submitted that in the clause of Settlement it is specifically mentioned that the workmen to be
absorbed/appointed in the bank prohibiting any temporary appointments subsequent to the date of settlement even the
authorities want to make temporary appointments that should be made only from among the empanelled can be
appointed either for temporary vacancy or permanent vacancy except from among the empanelled candidates like the
Workman and that should be continued till they are absorbed. The management committed unfair labour practices
and terminated the services of the candidates with effect from 1.4.1997 which is arbitrary, discriminatory, contrary to
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1335
their own guidelines and violative of the constitutional provisions which are guaranteed in Chapter-III of the
Constitution of India.
13.
The Workman submits that it is strange as to how the panels were allowed to lapse by a so-called
Memorandum of Understanding dated 25.2.1997, that the action of terminating such employees like the
Workman by virtue of an impugned oral proceedings without implementing the settlement would be illegal and unfair
labour practice which cannot be allowed to be perpetuated. That the discontinuance of the Workman after 31.3.97
who had served in the bank in any capacity amounts to retrenchment. It could not have been done without any notice
and it violates Sec.25FF of the Industrial Disputes Act, 1947 and the said action is violative of principles of natural
justice guaranteed under Chapter III of the Constitution of India. This amounts to retrenchment without one month's
notice and taken in view of such notice. Thus, the main proceedings issued by the Respondent is without jurisdiction
and is arbitrary, illegal and therefore liable to be quashed. That the alleged Memorandum of Understanding dated
27.2.97, Ex.M5 does not own any legal entity, as the said Memorandum of Understanding is not published anywhere
to brought to the notice of the Workman whose rights are being affected. It is submitted that Management did not
adhere to the procedure envisaged by the Central Government in its' instructions dated 16.8.90 in the year 1995. The
same was not followed in the year 1997 despite there being vacancies.
The management has followed the
procedure of calling candidates through Employment exchange instead of giving chance to the empanelled candidates
like the Workman here. It is pertinent to mention here that the Respondent Management sent letters to the all
similarly situated candidates like the Workman in the month of June, 1997, subsequent to the passing of impugned
termination orders. After knowing the facts that the candidates are litigating, the Management refused to engage these
candidates. It is once again reiterated that the panels are meant for absorption but not for termination. It was the duty
of the Management to engage the empanelled candidates like the Workman even in temporary vacancies till they are
absorbed permanently in regular vacancies. Hence, the action of the Respondent Management terminating the
services of the Workman by oral order dated 31.3.97 is unjust, illegal, violative of principles of natural justice and
hence, the Management be directed to reinstate and absorb the Workman and to grant all incidental and consequential
benefits.
14.
Per contra, Respondent had filed counter and made a contentions that the reference is not tenable and
contrary to the provisions of I.D. Act, 1947. Respondent submitted that to tide over severe sub-ordinate staff
constraints which arose out of leave vacancies, exigencies, etc., and also owning to the restrictions imposed by the
Government of India/Reserve Bank of India on intake of staff, the Respondent bank used to engage sub-ordinate staff
like messengers, sweepers, sweeper cum water boys, etc., depending on the availability of work on purely temporary
basis for the smooth and uninterrupted functioning of the branches. It is submitted that the All India State Bank of
India Staff Federation which represents majority of the employees in the State Bank of India comprising about 98% of
the work force as its' members espoused the cause of temporary employees who have put in less than 240 days of
temporary service in 12 calendar months in the bank and who were ineligible for any protection under Industrial
Disputes Act, 1947 to give a chance for being considered for absorption and permanent appointments.
15.
Discussions were held and on 17.11.1987 an agreement was signed between the federation and the
Management bank under Sec. 2(p) read with Sec 18(1) of the Industrial Disputes Act, 1947 read with Rule 58 of
Industrial Disputes (Central) Rules 1957. A copy of the said settlement dated 17.11.87 which may be herein after
referred as first settlement is filed and 4 categories were made as it has already been mentioned in the claim statement
above, it need not be repeated here. In the first settlement, it was agreed that the temporary employees as categorized
would be given a chance for being considered for permanent appointment in the bank's service against the vacancies
which are likely to arise during the period 1987 to 1991. On 16.7.88 second settlement was arrived between the
Federation and the Bank whereby it was agreed to substitute the period of consideration of vacancies as 1987 to 1992
in place of 1987 to 1991 as contemplated under the first settlement dated 17.11.1987. This is the second settlement.
A 3rd settlement was entered into on 27.10.88 and it was agreed that the bank's service against the vacancies likely to
arise from 1988 to 1992 was to be considered. Government of India vide its letter dated 16.8.90 issued guidelines to
all the public sector banks with regard to recruitment and absorption of temporary employees in public sector banks.
The said guidelines were issued to implement on the lines of approach paper on the issue provided by a committee
constituted in this regard. Government of India guidelines made it clear that all the public sector banks may follow
the provisions laid down in the approach paper. The approach paper specified that the cases of temporary service in
12 consecutive months and who are entitled to benefit of Sec.25F of the Industrial Disputes Act, 1947 may be decided
by entering into a settlement with the representative union. In respect of temporary employees who had put in less
than 240 days of service in 12 consecutive months or less, a settlement could be avoided and however if the
Management so desired they could enter into a conciliation settlement with the representative union. In para. 6(h) it
is mentioned that only those temporary employees who had put in temporary service of 90 days or more days after
1.1.82 would be eligible for considering under the scheme. Although the Government guidelines envisaged for a
settlement in respect of employees who had put in temporary service of 90 days or more days, the bank by way of a
further concession entered into settlements. Even in respect of those who had put in less than 90 days and also the
bank went a step further and said those persons who are working after 1975 were also considered. Hence, there was a
genuine effort on the part of the Respondent bank to provide as many as possible jobs subject to the availability of the
vacancies. However, para 6 (k) of the approach paper made it clear that it is a one time, exercise in full and final,
1336
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
settlement of all the claims and disputes for the past period, in respect of temporary workmen covered by the
settlement. Another settlement was entered on 9.1.91 herein after referred as 4th settlement and the time limit was
extended upto 1994 and separate panel was prepared for temporary employees, casual/daily wagers. It was agreed that
while vacancies arising between 1988 to 1994 in respect of temporary employees and in respect of casual/daily
wagers, they can be considered for the vacancies arising between 1995-96 only.
16.
It is submitted that the administrative set up of the Hyderabad Local Head Office comprises of four Zonal
Offices (Zones) at Hyderabad, Vijayawada, Visakhapatnam and Tirupathi covering all the Districts of Andhra
Pradesh. In terms of the settlement the Management after following the procedure laid down therein prepared the
panels of qualified candidates of temporary employees denoted as 1989 panel and also panel of casual/daily wagers
denoted as 1992 panel for giving a chance for being considered for permanent absorption. These panels were
prepared zone-wise separately for messengers and non-messengers in the descending order of temporary service put in
by the candidates during the stipulated period i.e., 1.7.1975 to 31.7.1988. That the Federation approached the
Regional Labour Commissioner(C) for implementation of bi-partite settlement in respect of absorption of temporary
employees. The Regional Labour Commissioner(C) conducted conciliation proceedings and an agreement was
arrived between the Federation and the bank. It was agreed that it would be kept alive upto March, 1997. A copy of
the conciliation proceedings dated 9.2.1995 signed by the parties is filed as material paper. A settlement was arrived
at and an agreement was signed between the Federation and the Management bank on 30.7.1996 under Sec.2 (p) read
with Sec.18(1) of the Industrial Disputes (Central) Rules, 1957, which is hereinafter called as 5th settlement. That on
27.2.1997 a Memorandum of understanding was also signed by the federation‘s affiliate and the bank Management
recording the fact that the exercise of identifying the messengerial vacancies as on 31.12.1994 has since been
completed by Central Office and thereby 403 messengerial vacancies were sanctioned . It was agreed that these
vacancies may be filled from 1989 panel of temporary employees after effecting conversion from full time non-
messengerial staff in the usual manner and the agreement was reached accordingly. It was agreed between the
Federation's affiliate and the Management bank that in terms of the settlement dated 30.7.1996 both the panels of
temporary employees and daily wagers/casual employees would lapse on 31.3.1997. That as agreed upon vacancies
were filled from the panels. The Workman who has put in an aggregate temporary service of less than 240 days in a
continuous block of 12 months period during 1.7.1975 to 31.7.1988 has no right to seek a direction to consider his
candidature for absorption in the Management bank under any rule/law except under the settlement entered into
thereon.
17.
Respondent contended that, in fact, the case of the Workman can be considered under all the five settlements
having got his case considered under provisions of these settlements. All the other provisions and terms of the
settlements are also binding on him/her. The Management bank has not violated any of the provisions of the terms of
the said settlement. That the very preparation and maintenance of panel is in compliance of the terms agreed under
these settlements. These settlements were time bound and they ceased to exist on 31.3.1997. That the bank has never
promised that all the candidates in the panel will be absorbed. In the advertisement itself it was made clear that
candidates will be considered for absorption in the vacancies that may arise upto 1992. Keeping alive the panels after
31.3.1997 is contrary to the settlements arrived between the State Bank of India Staff Federation and the Management
bank. That the settlements are binding on the parties. The Workman is also bound under the terms of the said
settlement. The settlement does not suffer from any ambiguity as their language is very clear. The right under the
settlements is to give them a chance to be considered for future appointment in the bank's services against the
vacancies likely to arise. The settlements were effected to balance the expectations of the temporary employees to be
absorbed in permanent service as against the constitutional rights for all eligible persons to be considered for
employment every time a vacancy arises. That the alleged dispute including the demand for reinstatement has to be
decided in this context. It is submitted that the period of panel list got expired on 31.3.97 and it is an integral term of
the settlement and cannot be modified in any proceedings under the law. These temporary employees who
unfortunately could not be accommodated for want of vacancies have no further rights to be considered for
regularization. That the Hon'ble High Court in WP No.12964/94, held as follows, "It is needless to state that the
settlement arrived at between the All India State Bank of India Staff Federation which, is the majority union and the
bank Management is binding on the Workmen also. It is not at all the case of the Workman that any of the terms of
the settlement has been violated by the bank's Management. If the Workman had worked in the bank on part-time
basis before 31.5.94, that itself would not vest in him a right to claim that his services should be regularized on
permanent basis against a full time cadre post. The claim put forth by the Workman in the present petition is therefore
misconceived and not tenable. However, it is open to the Workman to claim any right which flows from the
settlement between the union and the bank Management. As already pointed out that it is not the grievance of the
Workman that some right which has flown from the settlement in favour of the Workman has been denied by the bank
Management. Therefore, I do not find any ground, let alone substantial ground, to grant the kind of relief sought for
by the Workman. Writ Petition fails and is accordingly dismissed. No costs."
18.
Further, it is contended that if the panels were not lapsed at the end of designated period and allowed to be
continued it would result in making the contracts of temporary employment indirectly permanent through back door
entry, which would not only be contrary to the settlements but also to Articles 14 and 16 of Constitution of India and
deprive the chances of original claimants who would Come through proper recruitment procedure. As their rights
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1337
have been crystallized by operation of the settlements. Hence, there is no question of any Legitimate expectation
being violated.
19.
Similarly placed ex-employees filed WP No.9206/1995 and the batch before the Hon'ble High Court of A.P.
and the learned Single Judge allowed the Writ Petitions. Aggrieved by the same WA No.86/98 and the batch was
filed and the Division Bench set aside the order of the Single Judge. Thereafter the ex-temporary employees filed
Special Leave Petition No.11886-11888 of 1998 before the Hon'ble Supreme Court of India. The Hon'ble Supreme
Court of India also dismissed the SLP. Therefore, reference to the Judgement of the Learned Single Judge in WP
No.9206/97 is of no consequences as the same has already been set aside. The observations made in the Judgements
cannot be relied upon for any purpose what so ever. The question of operation of Sec.25F would not come into play.
Further the issue is covered by various Judgements of Hon'ble Supreme Court of India and various Hon'ble High
Courts. Hence, the reference may be ordered that the Workman is not entitled for any relief.
20.
In order to fortify his claim Workman has examined himself as WW1 and also filed documents in evidence
which has been exhibited as Ex.W1 to W3. Further, the Workman has filed photocopies of documents in support of
his claim which are discussed as under:-
Ex.W1 is the letter for interview. Further Ex.W2 is the panel list. Ex.W3 is the Service certificate.
21.
On the other hand, Respondent has examined witness MW1 Sri K. Bala Kotaiah and this witness has
exhibited 12 documents, marked as Ex.M1 to M12. The details of these documents are as follows:-
Ex.M.1 is the Settlement dated 17.11.1987. Ex.M2 is the Settlement dated 16.7.1988. Ex.M3 is the Settlement
dated 27.10.1988. Ex.M4 is the Settlement dated 9.1.1991. Ex.M5 is the Minutes of the conciliation proceedings
dated 9.6.1995. Ex.M6 is the Settlement dated 30.7.1996. Ex.M7 is the Memorandum of Understanding dt.
27.2.1997. Ex.M8 is the Particulars of 1989 Messengerial Panel. Ex.M9 is the Particulars of 1989 Non-
Messengerial Panel. Ex.M10 is the Particulars of 1992 General Attendant Panel. Ex.M11 is the Judgment of
Hon‘ble High Court of A.P. in Writ Appeal No.86/98 dt.1.5.1998. Ex.M12 is the Judgment of Hon‘ble Supreme
Court of India in SLP No. 11886-11888 of 1998 dt.10.8.1998.
22.
Apart from afore mentioned documents, Learned Counsel for Workman has also filed a long list of various
judgements of Hon‘ble Supreme Court as well as Hon‘ble High Court, which we will discuss at appropriate place in
this Award.
23.
Heard the argument of Learned Counsel for Workman as well as for Respondent.
24.
On the basis of rival pleadings of both the parties and submissions made by the Learned Counsel for both
the parties, following points arise for determination in the industrial dispute :-
I.
Whether the 1st settlement dated 17.11.1987, 2nd settlement dated 16.7.1988, 3rd settlement dated
27.10.1988, 4th settlement dated 9.1.1991 and 5th settlement dated 30.7.1996 entered into between
State Bank of India and All India State Bank of India Staff Federation and also Memorandum of
Understanding are binding upon both the parties?
II.
Whether the action of State Bank of India, Mydukur branch in terminating the services of Workman
Sri Teetala Deva Prasad, a Messenger with effect from 31.3.1997 is justified?
III.
Whether the Workman is entitled for absorption on permanent post in the Branch of Respondent
management as per averments made by him in the claim statement?
IV.
To what relief if any the Workman is entitled for?
Findings:-
25.
Point No.I:-
Undisputedly settlements dated 17.11.1987, 16.7.1988, 27.10.1988, 9.1.1991 and
30.7.1996, minutes of conciliation proceedings and memorandum of understanding dated 27.2.1997 were executed
between the State Bank of India and All India State Bank of India Staff Federation under section 2(p) and 18 (1) of
I.D. Act, 1947 read with Rule 58 of Industrial Disputes (Central Rules), 1957.
Section 2(p) of the Industrial Disputes Act, 1947 as follows:-
(p) "settlement" means a settlement arrived at in the course of conciliation proceeding and includes a written
agreement between the employer and workmen arrived at otherwise than in the course of conciliation proceeding
where such agreement has been signed by the parties thereto in such manner as may be prescribed and a copy thereof
has been sent to an officer authorised in this behalf by the appropriate Government and the conciliation officer;
Section 18(1) provides as follows:-
18. Persons on whom settlements and awards are binding.
- [(1) A settlement arrived at by agreement between the employer and Workman otherwise than in the course of
conciliation proceeding shall be binding on the parties to the agreement.
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THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Therefore, in view of the provision contained u/s.18 (1) I.D. Act, 1947, terms and conditions enumerated in the
aforesaid settlements are binding on the parties to the agreement. The Learned Counsel for Workman has argued that
the Workman after going through the selection procedure has successfully been listed in the panel for appointment on
the permanent basis in the Respondent management and the empanelled list has to be valid till last person in the
empanelled list is appointed on permanent basis. But the impugned order dated 25.3.97, 27.3.97 and 31.3.97, has been
issued by Respondent management thereby the services of the Workman has been terminated and the said order is not
in consonance of the terms of the agreement entered into between the parties. Further, Workman submits that the
Respondent in the 5th settlement has mentioned the date i.e., 31.3.1997 for lapse of empanel list which is illegal and
that is not binding upon the Workman. The condition of lapse of empanelment list on 31.3.97 incorporated in the
aforesaid 5th settlement, is arbitrary and illegal.
26.
The perusal of the impugned order dated 25.3.1997 goes to reveal that the Chief/Branch Manager, SBI Zonal
Office has issued the letter to all the branches with regard to the subject not to make any temporary appointments in
the Branch in messengerial category from 1.4.1997. The extract of the said letter is given below:-
―We have been advised by the Deputy General Manager, Zonal Office, Hyderabad that as both the panels of
temporary employees of 1989 and daily wagers/casual labours of 1992 will lapse by 31.3.1997, it has been decided
by Central Office not to make any temporary appointments in messengerial category from 1.4.1997.‖
Thus, from the contents of the aforesaid letter, it manifest that Head Office of State Bank of India vide letter dated
25.3.1997 has issued direction to all its branches not to make any temporary appointments in messengerial category
from 1.4.1997 due to reason of lapse of both panels i.e., 1989 & 1992 on 31.3.1997 as per terms of settlements
entered into by both parties. Further, the contents of the subsequent letter dated 27.3.1997 issued by Respondent
Management is also direction to Branch Manager, State Bank of India not to make any temporary messengerial
category appointment with effect from 1.4.1997 and it has also been communicated to all concerned that the panels of
temporary employees and daily wagers maintained by Zonal offices stand lapsed from 31.1.1997. Further, office
order dated 31.3.1997 has been issued by Respondent management that goes to reveal that the said office order has
been issued to this effect that, ―Consequent on absorption of temporary employees in permanent cadre, it has been
decided by the competent authority that no one onwards, no further daily labour or temporary
employees/appointments should be resorted to/engaged/employed.‖ Therefore, it reflects from the contents of the
aforesaid orders that the temporary appointment in messengerial category and daily labour has been stopped by the
Respondent management with effect from 1.4.1997 because of the lapsed of panel of temporary workers and daily
wagers by 31.3.1997. The agreement for lapse of both the panels on 31.3.1997 is contained in the 5th settlement
which has been arrived at between the parties on dated 30.7.1996 with the consensus of both the parties. Therefore,
Workman can not challenge the terms and conditions contained in settlement dated 30.7.1996 regarding lapse of
panel on 31.3.1997 as agreed between State Bank of India and State Bank of India Staff Federation. As per provision
contained u/s.18(1) of I.D. Act, 1947 the said Agreement dated 30.7.1996 is binding on both the parties.
In the case of Allied Sales Corporation Secunderabad vs.The Authority Under Andhra Pradesh..... 1990 II LLJ
510 AP para 414, Hon‘ble Court have held:-
―4. There was a settlement between the Management and the workmen under Section 18(1) of the Industrial Disputes
Act on 25th April 1983 under which the age of superannuation of the workmen was fixed at 55 years. The settlement
was to be in force upto 30th June 1986 and the next settlement, incorporating practically the same terms, was again
entered into on 4th February 1987 under Section 18(1) of the Industrial Disputes Act. There is no dispute that these
settlements are under Section 18(1).
14. Now the Authority constituted under Section 41(1) of the Act is an authority with very limited jurisdiction. It can
only decide in the first appeal whether a termination by the management is valid or not and is within the parameters
of Section 40 of the Act. The said Authority, in our view, has absolutely no jurisdiction to decide whether a settlement
entered into under Section 18(1) of the Industrial Disputes Act between the representatives of the Workmen and of the
Management, is vitiated by undue influence or misrepresentation or coercion on the part of the Management. The
Authority, namely, the Assistant Commissioner of Labour, was never intended by the A.P. Legislature to have
jurisdiction to go into the question of the validity of a settlement arrived at under Section 18 of the Industrial Disputes
Act by an Industrial Court. That Parliament has, in fact, constituted Industrial Courts under the Industrial Disputes
Act, with extensive powers cannot be disputed. What we mean to say is that the Authority under Section 41(1) of the
A.P. Act has no jurisdiction what-so-ever either to question or to decide about the validity of any such settlements. If
parties to a settlement have a grievance about the validity of a settlement, it is for them to agitate the matter before the
appropriate forum and they cannot ask an Authority constituted under Section 41(1) of the A.P. Shops and
Establishments Act, 1966 with limited jurisdiction, to go into any such question and, that too, incidentally while
deciding whether retirement as per the contract of employment, is legal or not.”
It is not the case of Workman that aforesaid settlements are vitiated by undue influence or misrepresentation or
coercion on the part of the management. If the Workman feeling aggrieved by any terms of settlement/ agreement on
the aforementioned grounds then he can challenge of settlement before a competent authority under the Act, 1947.
But here in the instant matter it is not a case of Workman that aforementioned settlement has been entered into
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1339
between the parties on the ground of undue influence or misrepresentation or coercion. Therefore, Workman is barred
to raise any objection in respect of fixing the date of lapse of both panels on 31.3.1997 as agreed between both the
parties and Workman can not challenge any terms of said Agreement.
Further in the case of Herbertsons Limited Vs. Workmen of Herbertsons Limited and Ors, 1977 AIR 322,
Hon‘ble Supreme Court have held:-
The Tribunal thought that the question of the quantum of membership of the 2nd Respondent did not call for a finding
at all in view of 1his Court's order. As observed above that was not a correct assumption. On the other hand, we feel
that this view of the Tribunal has led it to approach the matter in an entirely erroneous manner. The Tribunal is,
rightly enough, conscious that under section 18 (1) of the Industrial Disputes Act the settlement was binding on the
company and the members of the 3rd Respondent union. Even so, the Tribunal devoted nearly half of its order in
scanning the evidence given by the company and Respondent No. 3 to find out whether the terms of the settlement had
been explained by the President of the union to the workmen or not and whether the workers voluntarily accepted the
settlement knowing all the "consequences". This to our mind is again an entirely wrong approach.
“When a recognised union negotiates with an employer the workers as individuals do not come into the picture. It is
not necessary that each individual worker should know the implications of the settlement since a recognised union,
which is expected to protect the legitimate interests of labour, enters into a settlement in the best interests of labour.
This would be the normal rule. We cannot altogether rule out exceptional cases where there may be allegations of
mala fides, fraud or even corruption or other induce- ments. Nothing of that kind has been suggested against the
President of the 3rd Respondent in this case. That being the position, prima facie, this is a settlement in the course of
collective bargaining and, therefore, is entitled to due weight and consideration.
It is not possible to scan the settlement in bits and pieces and hold some parts good and acceptable and others bad.
Unless it can be demonstrated that the objectionable portion is such that it completely outweighs all the other
advantages gained the Court will be slow to hold a settle- ment as unfair and unjust. The settlement has to be
accepted or rejected as a whole and we are unable to reject it as a whole as unfair or unjust. Even before this Court
the 3rd Respondent representing admittedly the large majority of the workmen has stood by this settlement and that is
a strong factor which it is difficult to ignore. As stated elsewhere in the judgment, we cannot also be oblivious of the
fact that all workmen of the company have accepted the settlement. Besides, the period of settlement has since expired
and we are informed that the employer and the 3rd Respondent are negotiating another settlement with further
improvements. These factors, apart from what has been stated above, and the need for industrial peace and harmony
when a union backed by a large majority of workmen has accepted a settlement in the course of collective bargaining
have impelled us not to interfere with this settlement. That being the position, we unhold the settlement as fair and just
and order that the award of the Tribunal shall be substituted by the settlement dated October 18, 1973. The said
settlement shall be the substituted award. The appeal is disposed of accordingly. There will be no order as to costs.”
Therefore, in view of the law laid down by the Hon‘ble Apex Court as discussed above, the contention of the
Workman that the date fixed for lapse of empanelled list on 31.3.1997 for appointment to the permanent post vide 5th
Settlement dated 30.7.1996 is arbitrary, illegal is not untenable. The recognized union of Workmen has negotiated
with the Respondent Bank Management representing large number of Workmen and the Workman as individual do
not come into picture. Workman in the instant case has work as temporary Workmen in the Respondent Branch and
in response of Notification he had applied for inclusion of his name in the panel and he was selected for inclusion
his name in the panel list to be utilized for absorption of such Workman to permanent post in order of their seniority
in the list. The Settlement dated 30.7.1996 between State Bank of India and All India State Bank of India Staff
Federation under Sec.2(p) and Sec.18(1) of I.D. Act, 1947 has clearly provided as regard non-messengerial position
and it is agreed that all such posts sanctioned fallen vacant upto 31.3.1997 shall be filled before empanel list is
allowed to lapse. Thus, in view of law laid down by the Hon‘ble Apex Court, in the instant case, Agreement dated
30.7.1996 was entered into between both the parties in respect of lapsing of the both the panels on 31.3.1997 and
absorption of the Workmen from panel list was subject to availability of vacancy of post likely to arise upto
31.3.1997, have a binding force on Workman as well as management of State Bank of India in view of provision
contained under section 18 (1) of I.D. Act, 1947.
Thus, Point No.I is answered against the Workman and in favour of the Respondent.
27.
Point No.II:- Firstly, it is submitted on behalf of the Workman that the Respondent has terminated his
services by oral order on 31.3.1997 without issuing any notice or paying any salary or compensation in lieu thereof.
Therefore, the termination order of the Workman from service is in violation of provision contained Under Section 25
F of I.D. Act, 1947. Therefore, the order is liable to be set aside.
28.
On the other hand, Respondent counsel contended that Workman has not worked for 240 days in any
preceding calendar year. Therefore, reference of the industrial dispute is not relevant. In this context, the Workman
has examined himself as WW1 who has reiterated that Workman has been terminated from service by Respondent on
31.3.1997 without notice of salary or compensation in lieu thereof. Before examining the claim of the Workman on
merit it would be apposite to reproduce the provision contained under section 25 F:-
1340
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Section 25F provides:-
Conditions precedent to retrenchment of workmen.- No Workman employed in any industry who has been in
continuous service for not less than one year under an employer shall be retrenched by that employer until—
(a) the Workman has been given one month' s notice in writing indicating the reasons for retrenchment and the period
of notice has expired, or the Workman has been paid in lieu of such notice, wages for the period of the notice:
(b) the Workman has been paid, at the time of retrenchment, compensation which shall be equivalent to fifteen days'
average pay for every completed year of continuous service] or any part thereof in excess of six months; and
(c) notice in the prescribed manner is served on the appropriate Government or such authority as may be specified by
the appropriate Government by notification in the Official Gazette].
Compensation to workmen in case of transfer of undertakings.
Section 25B defines the term continuous service which provides
Definition of continuous service.- For the purposes of this Chapter,--
(1) a Workman shall be said to be in continuous service for a period if he is, for that period, in uninterrupted service,
including service which may be interrupted on account of sickness or authorized leave or an accident or a strike
which is not illegal, or a lock- out or a cessation of work which is not due to any fault on the part of the Workman;
(2) where a Workman is not in continuous service within the meaning of clause (1) for a period of one year or six
months, he shall be deemed to be in continuous service under an employer--
(a) for a period of one year, if the Workman, during a period of twelve calendar months preceding the date with
reference to which calculation is to be made, has actually worked under the employer for not less than--
(i) one hundred and ninety days in the case of a Workman employed below ground in a mine; and
(ii) two hundred and forty days, in any other case;
In order to prove the fact of 240 days of service within 12 months of a calendar year just preceding from the date of
termination, the initial burden of proof lies upon the Workman and the Workman has to prove this factum by
adducing his oral as well as documentary evidence in support of his claim.
Further, how to calculate 240 days of service by the Workman in a calendar year. In this context the reference of
decisions of Hon‘ble Supreme Court is relevant and the same are discussed below:-
In Rajasthan State Ganganagar S. Mills Ltd. v. State of Rajasthan and Anr. (2004) Apex Court held:
"It was the case of the Workman that he had worked for more than 240 days in the year concerned. This claim was
denied by the appellant. It was for the claimant to lead evidence to show that he had worked for 240 days in the year
preceding the date of his termination. He has filed an affidavit. It is statement which is in his favor and that cannot be
regarded as sufficient evidence for any Court or Tribunal to come to the conclusion that in fact the claimant had
worked for 240 days in a year These aspects were highlighted in Range Forest Officer v. S.T. Hadimani (2002 (3)
SCC 25. No proof of receipt of salary or wages for 240 days or order or record in that regard was produced. Mere
non-production of the muster roll for a particular period was not sufficient for the Labour Court held that the
Workman had worked for 240 days as claimed."
In Municipal Corporation, Faridabad v. Siri Niwas (2004 (8) SCC 195), held "the burden was on the Workman to
show that he was working for more than 240 days in the preceding one year prior to his alleged retrenchment." In
M.P. Electricity Board v. Hariram (2004 (8) SCC 246) the position was again reiterated in paragraph 11 as follows:
"The above burden having not been discharged and the Labour Court having held so, in our opinion, the Industrial
Court and the High Court erred in basing an order of reinstatement solely on an adverse inference drawn erroneously
..‖
In the case of Manager, RBI, Bangalore vs. S Mani (2005) SCC Page 100, the 3 Judges Bench of the Apex Court
held that "the initial burden of proof was on the Workman to show that he had completed 240 days of service."
Hon'ble Apex Court in the case of Mohan Lal vs Management BEL 1981 SCC page 225 has laid down the
principle that how to count 240 days of service within one year it is held: "Clause (2)(a) provides for a fiction
to treat a Workman in continuous service for a period of one year despite the fact that he has not rendered
uninterrupted service for a period of one year but he has rendered period of 240 days during the period of 12
calendar service for months counting backwards and just preceding the relevant date being the date of retrenchment.
In other words, in order to invoke the fiction enacted in clause (2)(a) it is necessary to determine first the relevant
date, ie the date of termination of service which is complained of as retrenchment. After that date is ascertained. move
backward to a period of 12 months just preceding the date of retrenchment and then ascertain whether within the
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1341
period of 12 months, the Workman has rendered service for a period of 240 days. If these three facts are affirmatively
answered in favor of the Workman pursuant to the deeming fiction enacted in clause (2)(a) it will have to be assumed
that the Workman is in continuous service for a period of one year and he will satisfy the eligibility qualification
enacted in Section 25-F"
“14. We have already extracted section 25B since its amendment and the change in language is the legislative
exposition of which note must be taken. In fact, we need not further dilate upon this aspect because in Surendra
Kumar Verma and Ors. v. Central Government Industrial-cum-Labour Court, New Delhi and Anr., Chinnappa
Reddy. J., after noticing the amendment and referring to the decision in Sur Enamel and Stamping Works (P)
Ltd case, held as under:
"These changes brought about by Act 36 of 1964 appear to be clearly designed to provide that a Workman who has
actually worked under the employer for not less than 240 days during a period of twelve months shall be deemed to
have been in continuous service for a period of one year whether or not he has in fact been in such continuous service
for a period of one year. It is enough that he has worked for 240 days in a period of 12 months, it is not necessary that
he should have been in the service of the employer for one whole year."
In a concurring judgment Pathak J. agreed with this interpretation of section 25B(2). Therefore, both on principle and
on precedent it must be held that section 25B(2) comprehends a situation where a Workman is not in employment for
a period of 12 calendar months, but has rendered service for a period of 240 days within the period of 12 calendar
months commencing and counting backwards from the relevant date, i.e. the date of retrenchment. If he has, he would
be deemed to be in continuous service for a period of one year for the purpose of section 25B and
Chapter VA.”
Thus, in view of the law laid down by the Hon‘ble Apex Court as discussed above the initial burden of proof lies
upon the Workman to show that he has completed 240 days of the service with the Respondent just preceding from
the date of his termination. Further, in respect of the employment of calculating the 240 days service in view of the
contents of Section 25-F read with Section 25-B of the I.D. Act, 1947.
29.
Now, in view of the provision contained under Section 25 F and law laid down by the Hon‘ble Apex Court,
we have to examine whether the Workman has discharged his initial burden of proof in respect of his claim of 240
days continuous service in a calendar year just preceding from the date of his termination i.e., 31.3.1997.
In this context, WW1 in his cross examination has stated that,
“I was not sponsored by any employment exchange. I did not undergo regular process of selection required for
appointment in the branch..”
“I did not work for 240 days in any year in my entire service in the bank.”
Thus, it is clear from the testimony of WW1 that the Workman had not worked for 240 days continuously in any 12
months of a calendar year just preceding from the date of his termination in the Respondent bank. Therefore,
Workman failed to establish his plea by his oral and documentary evidence that he had worked for 240 days
continuously in calendar year just preceding from the date of his termination i.e., 31.3.1997. Thus, the claim of the
Workman that he has been terminated by oral order without issuing notice or payment in lieu after termination, in
contravention of Section 25 F of Industrial Disputes Act, 1947 is not tenable. However the documents filed by the
Workman in support of his claim, number of days worked with the Respondent goes to reveal that the Workman had
worked intermittently as daily wager depending upon availability of work in branch. Workman did not file any
document of appointment letter or salary slips in support of his claim for appointment as a non-messenger in the
Respondent branch on temporary basis.
30.
Per contra, the Learned Counsel for Respondent has submitted the allegation of Workman that he was
terminated from services is not correct. As the vacancies were filled up on regular basis in order of their respective
seniority the non-engagement of the Workman does not amount to termination. Further, Respondent contended that
no law provide that even though there is no work temporary employee should be continued in the bank work as the
very engagement of Workman was subject to availability of work. Therefore, the allegation that the bank has
indulged in unfair labour practice is incorrect.
31.
Thus, in view of the fore gone discussion and contentions made by the Respondent, I find the force in the
argument advanced by the Respondent that in the instant matter, Workman was not terminated from service by order
dated 31.3.1997 rather he was disengaged in view of the non-availability of the work in the branch. Further, there
was direction issued by the Head Office of the Respondent authority not to engage any daily wager Workman/
temporary Worker w.e.f. 1.4.1997. Thus, such disengagement of Workman does not amount to termination.
Moreover, the Workman failed to prove his claim that he was terminated in contravention of provision of Sec.25F of
the I.D. Act, 1947 as he failed to establish his plea by any oral or documentary evidence that he had worked for 240
days continuously in a twelve months of calendar year just preceding from date of termination i.e., 31.3.1997.
32.
Further, perusal of the order dated 25.3.1997 goes to reveal that the Chief Branch Manager, State Bank of
India has issued the letter to Zonal Office with direction to all its branches to this effect that they have been advised
by the DGM, Zonal Office, Hyderabad that as both the panel of temporary employees of 1989 and daily wagers/casual
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[PART II—SEC. 3(ii)]
labour of 1992 will lapse on 31.3.1997 it has been decided by central office not to make any temporary appointments
in messengerial cadre from 1.4.1997, therefore it was directed to issue suitable instructions not to make temporary
appointments from 1.4.1997. There is no mention in this order that the Workman herein has been terminated from
service by this order.
33.
Further, the circular dated 27.3.1997 was issued by DGM, SBI to all branches in commercial network in
respect of the non-appointment of temporary employees in subordinate cadre and it has directed not to make any
temporary employment in the subordinate cadre with effect from 1.4.97 and further, it has directed to ensure that no
temporary/casual/daily basis appointment of the petty cash. Further, it is directed to all Branch Managers that any
deviation in this regard will be viewed seriously. Thus, these circulars do not reflect that the Workman has been
terminated from service by this order.
34.
Similarly, office order dated 31.3.1997 is simply a direction to all branches of the Respondent bank by DGM
that no further daily labour should be engaged or employed. Therefore, the plea of the Workman that he has been
terminated by the aforesaid order dated 25.3.1997, 27.3.1997 and 31.3.1997 from the service by the Respondent is not
acceptable. The evidence adduced by the Workman clearly goes to reveal that he had worked as a daily wager for
which he has been paid wages according to number of working days. As there was an order for prohibition for
engaging temporary workmen, in the bank, therefore, Workman could not be engaged by the Respondent for work
from 1.4.1997 and there after. It is settled law that the daily wagers are engaged by the employer depending upon
the availability of work and as the work was not available the Workman was not engaged further by the Respondent
management. Therefore, the Workman on the ground of number of days he had worked in the Respondent bank
cannot claim any right to reinstate him into the employment. As the Workman failed to prove the mandatory
condition of 240 days of continuous service as required under Sec.25F of I.D. Act, 1947. Therefore, the
disengagement of Workman from work can not be termed in contravention of provision contained under Sec.25F and
25 B of the I.D. Act, 1947.
Thus, this point is answered against the Workman and in favour of Respondent.
35.
Point No.III:- In this context, the Workman has contended that the management failed to implement the
selected panels during its valid tenure. The management adopted the back door methods contrary to the settlements
and filled up the vacancies. The same is evident from the proceedings dated 18.11.1993 a copy of the same is filed in
the material papers and the same may be read as part of the claim statement. Further, it is submitted that management
has to adhere the procedure issued by the Central Government, the instructions dated 16.8.1990 in the year 1995, but
same was not followed in the year 1997 despite there being vacancies. The management has followed the procedure of
calling candidates through employment exchange instead of giving chance to the empanelled candidates like the
Workman herein. The management sent call letters to the similarly situated candidates like the Workman in the month
of June 1997 subsequent to issuance of impugned termination orders. After knowing the fact that they are litigating
the issue by way of dispute, the management has refused to engage those candidates, the copies of call letters issued
are filed herein along with claim petition. The Workman herein reiterates that the panels are meant for absorption but
not for termination. In view of the same a duty is cast upon the Respondent management to engage the empanelled
candidates like the Workman herein even in temporary vacancies till they are absorbed permanently in regular
vacancies.
36.
On the other hand, Respondent has contended that the Federation approached Regional Labour
Commissioner (Central) for implementation of bipartite settlement in respect of the absorption of temporary
employees. The Regional Labour Commissioner (Central) conducted conciliation proceedings and agreement was
arrived at between the Federation and the Management bank. It is submitted that it was agreed between the
Federation and the Management that both the panels of temporary employees and daily wagers /casual labour would
be kept alive upto March, 1997 and the vacancies as agreed to under the afore set out settlements will be filled from
both the lists concurrently. A copy of the conciliation proceedings dated 9.6.1995 signed by the parties to the dispute
is filed as a material paper. Further, it is submitted that the settlement was arrived at and an agreement was signed
between the Federation and the Management bank on 30.7.1996 under Section 2(p) read with Section 18(1) of the
Industrial Disputes (Central) Rules 1957 which is binding on the parties. A copy of this agreement which hereinafter
may be referred to as 5th settlement for brevity, is also filed as a material paper. The 5th settlement dated 30.7.1996
whereunder the earlier four settlements dated 17.11.1987, 16.7.1988, 27.10.1988 and 9.1.1991 were also referred, it
was agreed to, by the Federation and the Management bank that both the panels of temporary employees and daily
wagers/casual employees will be kept alive upto March, 1997 for filling the vacancies existing/arrived at as on
31.12.1994 as per the norms agreed to between the bank and Federation and that thereafter the said panels would
lapse. It was also agreed that within the framework of the above settlements the modalities about drawing names from
either the panel of temporary employees or the panel of daily wagers and casual labour would be decided
administratively on circle to circle basis depending upon the local requirements in consultation with the Federation‘s
affiliate by the Circle management. It was further agreed that all messenger real vacancies/positions in the subordinate
cadre including part-time attendants specifically provided as leave reserve will be filled by the end of 31.3.1997.
Further, Respondent contended that on 27.2.1997 a memorandum of understanding was also signed between the
Federation‘s affiliate and the bank management regarding the fact that the exercise of identifying the messengerial
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1343
vacancies as on 31.12.1994 has since been completed by central office and thereby 403 messengerial vacancies were
sanctioned to the circle of the Management bank and it was agreed that these vacancies may be filled from 1989 panel
of temporary employees after effecting conversion from full time non-messengerial staff in the usual manner and the
agreement was reached upon. Further, it was agreed between the Federations affiliate and the management bank
that in terms of the settlement dated 30.7.1996 both the panels of temporary employees and daily wagers /casual
employees would lapse on 31.3.1997.
37.
The Workman has contended that the empanelled list prepared by the Respondent management for
appointment of temporary and daily wage Workers to the permanent post cannot lapse unless until it is exhausted by
appointing all the empanelled persons and it should continue even after 31.3.1997, i.e., the date fixed for the lapse of
panel. It is undisputed that the date of lapse of empanelled list of Workmen has been fixed to 31.3.1997 as
mentioned in the settlement dated 30.7.1996, and agreed between the parties. It is settled law that and once the life
of panel list lapses on the date as agreed between the parties it cannot be extended beyond that date. In the instant
case the panel list of the workmen was valid upto 31.3.1997 in view of the terms and conditions enumerated in the 5th
Settlement entered into between the parties. As the lapse of panel i.e., 31.3.1997 has been agreed by State Bank of
India and State Bank of India Staff Federation through 5th Settlement, the Workman is not competent to challenge the
same.
In this context I would like to take reference of the decision of the apex court in the case of Syndicate Bank and Ors
vs. Shankar Paul and Ors , AIR 1997 SC 3091, therein the Hon‘ble Apex Court have held:-
“Till 1982, the branches of the appellant Bank in Calcutta region were recruiting persons locally to work as
temporary attenders in leave vacancies. In view of the revised procedure prescribed by the Government of India
in respect of such temporary appointments, the Calcutta regional office of the appellant Bank issued a circular
to all of its branches on 14.8.1982, instructing all the branches under it to discontinue the old practice from
1.6.1982 and appoint only empanelled candidates. The regional office was to prepare a panel of eligible
candidates, after calling names from the local/district employment exchange, and split it up branch-wise.
Following that new procedure yearly panels were prepared thereafter. Names of the Respondents were for the
first time included in the panel prepared for the period 7.2.1987 to 6.2.1988. By its letter dated 7.2.1987 the
Bank had informed the Respondents that the panel was valid for one year only and that inclusion of their names
in the panel was not to confer on them any right to seek permanent appointment in the service of the bank.
Considering the object with which the panel was prepared and the fact that it was an yearly panel expiring on
6.2.1988, we are of the opinion that the Respondents did not get any right, because of inclusion of their names
in the said panel, for permanent absorption in the service of the Bank. Whatever conditional right they had
came to an end with the expiry of the panel. The claim of the Respondents, as contained in the writ petition was
thus misconceived and therefore the learned single Judge and the Division Bench, when it first decided the
appeal, were right in dismissing the writ petition and the appeal respectively.”
Thus, in view of the above law laid down by the Hon‘ble Apex Court and in view of the terms and conditions of the
5th Settlement the contention of the Workman that empanelled list should continue even after 31.3.1997 till the last
Workman in the panel is absorbed is not tenable. The contention of the Workman is baseless in view of recital in
the settlement. Therefore, in view of the fore gone discussion and finding given at Point No. I regarding binding
nature of Settlements and terms and conditions enumerated therein, in view of the provision contained u/s.18(1) of the
I.D. Act, 1947, I am of the considered view that life of panels lapsed on 31.3.1997 in view of terms of settlement
dated 30.7.1996 and plea of Workman that the panel shall continue even after 31.3.1997 till last man absorbed has
no legal force and same is untenable.
38.
Undisputedly, settlement agreement dated 30.7.1996 was executed between the State Bank of India and
State Bank of India Staff Federation and in that settlement it was agreed that both the panels of temporary employees
and daily wagers/ casual employees will be used for filling vacancies existing as on 31.12.1994 as per the norms
agreed between the bank and the Federation. These empanelled workmen were to be given a chance for permanent
appointment in the bank against vacancies arising up to December 1994 whereas the daily wagers/ casual employees
were to be considered against the vacancies arise from January 1995 to December 1996, whereby the said panel
would lapse. It was agreed that the vacancies falls upto 31.3.1997 shall be filled before the empanelled list is
allowed to lapse. Thus, the claim of the Workman to the post of permanent non-messenger in the Respondent
management was subject to the availability of the sanctioned post and vacancies arising upto 31.3.1997. The
workmen given chance to the permanent post were seniors in number of working days in panel list and Workman
herein was junior to those workmen. Therefore, Workman could not be given absorption to permanent post being
junior to other workmen in the panel list.
39.
In this context the Workman witness WW1 was cross examined by the Respondent counsel and in the cross
examination the witness WW1 states:-
“I applied in response to the notification issued by the bank in terms of the settlements entered between the bank
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[PART II—SEC. 3(ii)]
and the union…. Further, witness states, Some person who were included in the panel were given regular
employment in the bank.…. Further witness states, I am not having any papers or particulars to show that any
person who had worked for less number of days than me was given appointment in the bank.”
Thus, from the above statement of the Workman witness WW1 it is clear that the panel was prepared in terms of
various settlements entered into between Staff Federation of State Bank of India and State Bank of India and it was
prepared on the basis of number of days of work put in by the temporary employees. Further, the Workman himself
admitted that some of the temporary employees whose names were included in the panel were given regular
appointment in the bank in order of their seniority in the panel and he is not having any document to show that any
person who worked for less number of days than the Workman was given appointment in the bank. Therefore, the
allegation of the Workman that the regular appointment has been made by the bank from the panel list in breach of the
terms of the settlement and violation of seniority of panel list is not proved by this evidence of WW1. Thus, there is
no evidence on record that bank has given the appointment to the temporary employees as well as daily wagers from
the panel list 1989 and 1992 in breach of seniority of the temporary employees in the list. There is no evidence of
jumbling in the panel list to make appointment of any permanent Workman in breach of the seniority. Therefore, I
am constrained to hold that the Respondent Management has appointed the workmen from panel list in order of
seniority and there is no jumbling of workmen in the panel list before it got lapsed on 31.3.1997.
40.
However, Workman has taken the plea that the panels of Workmen for absorption in the employment of the
Respondent banks (panels of temporary employees and daily wagers) has been lapsed on 31.3.1997 in contravention
of terms of settlement as the object of preparing the entire empanelment of temporary and daily wagers was to provide
them permanent employment and till the both the panel lists exhausted the panel list cannot be lapsed on 31.3.1997
and the date of lapsing of the panel on 31.3.1997 has been fixed by the Respondent arbitrarily without any authority.
41.
In this context, the perusal of Settlement dated 30.7.1996 reveals that the 5th Settlement dated 30.7.1996 was
entered under Section 2(p) and 18(1) of I.D. Act, 1947 read with Rule 58 of Industrial Dispute (Central) Rules 1957.
This settlement has been entered into by the competent parties and in this settlement parties thereto agreed that both
the panels of temporary employees and daily wagers/casual employees will lapse on 31.3.1997. Thus the date of
lapse of panel was fixed by both the parties with consensus under the settlement dated 30.7.1996 and same is
binding upon the Workman under the provision of Section 18(1) of I.D. Act, 1947. Moreover, this issue of binding
force of the settlement dated 17.11.1987, 16.7.1988, 27.10.1988 and 9.1.1991 has already been discussed, decided at
finding in Point No.I of this award. However, the legality and validity of the aforementioned settlement has not been
challenged by the Workman before any competent forum. Thus, claim of Workman that the date of lapse of panel i.e.,
31.3.1997 has been fixed arbitrarily by the Respondent bank is untenable. As regard the claim of Workman for his
absorption to the permanent post it is settled law that the Workman can not claim his regularization to permanent
post merely on the basis of number of working days.
42.
In this context the reference of the decision of Hon‘ble Supreme Court in the case of Oil and Natural Gas
Corporation vs Krishan Gopal 2020(3) SCALE 272, date of decision 7.2.2020 is relevant therein Hon‘ble
Supreme Court have has laid down principle regarding regularization of the Workman on permanent posts. Hon‘ble
Supreme Court have laid down the prepositions of regularization of the workmen to permanent post is as under:-
―(i) Wide as they are, the powers of the Labour Court and the Industrial Court cannot extend to a direction to order
regularisation, where such a direction would in the context of public employment offend the provisions contained
in Article 14 of the Constitution;
(ii) The statutory power of the Labour Court or Industrial Court to grant relief to workmen including the status of
permanency continues to exist in circumstances where the employer has indulged in an unfair labour practice by not
filling up permanent posts even though such posts are available and by continuing to employ workmen as temporary
or daily wage employees despite their performing the same work as regular workmen on lower wages;
(iii) The power to create permanent or sanctioned posts lies outside the judicial domain and where no posts are
available, a direction to grant regularisation would be impermissible merely on the basis of the number of years of
service;
(iv) Where an employer has regularised similarly situated workmen either in a scheme or otherwise, it would be open
to workmen who have been deprived of the same benefit at par with the workmen who have been regularised to make
a complaint before the Labour or Industrial Court, since the deprivation of the benefit would amount to a violation of
Article 14; and
(v) In order to constitute an unfair labour practice under Section 2(ra) read with Item 10 of the Vth Schedule of the ID
Act, the employer should be engaging workmen as badlis, temporaries or casuals, and continuing them for years, with
the object of depriving them of the benefits payable to permanent workmen.
Thus, in view of the principles laid down by the Hon‘ble Supreme Court as discussed above, in the instant matter the
Workman utterly failed to prove his claim by adducing any documentary or oral evidence that the employer has
indulged in unfair labour practice by not filling the permanent posts even though such posts are available and by
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1345
continuing to employ workmen as temporary or daily wage employees despite their performance was the same work,
as regular workmen on lower wages.
43.
Respondent has contended that all the vacancies exist and arise upto 31.3.1997 has been filled up from the
panel list in order of seniority and no vacancy exists or arises as on 31.3.1997 remained unfilled. Further, it is
contended that as per terms of settlement the life of panel lists has been lapsed on 31.3.1997, hence, there is no
occasion to extend the life of panel lists beyond 31.3.1997. However, the workman failed to prove contrary by any
evidence to the aforesaid contention of the Respondent that the vacancies were existing as on 31.3.1997 and the
workman was not given absorption to the permanent post in order of his seniority. It is settled law that the power to
create permanent or sanctioned post lies outside the judicial domain and where no posts are available, a direction to
grant regularization would be impermissible merely on the basis of the number of years of service. Therefore, the
claim of the workman on this ground also not acceptable.
44.
Further, as per the of settlement, panel was prepared for absorption of the workmen on the permanent posts
has already been lapsed on 31.3.1997 and the vacancies existing and arising upto 31.12.1994 and upto 31.3.1997 as
settlement dated 30.7.1996 has been filled up from the panel by appointing the workmen as per seniority in the panel
list. Workman witness WW1 in his cross examination has himself admitted this fact that, some of the temporary
employees whose names were included in the panel were given regular appointment in the bank in order of their
seniority in the panel. The Workman failed to show that there was any breach of terms of settlement has been
committed by the Respondent in appointment to permanent post from aforesaid panel list.
45.
As discussed in preceding paragraph of this Award, the life of the panel has not been extended beyond
31.3.1997, by any further settlement hence, the panel list in which name of the Workman was included got expired
on 31.3.1997. It is not the case of the Workman that Respondent has regularized similarly situated workmen either in
the scheme or otherwise and the Workman has been deprived of same benefit on par with those workmen or the
vacancies remained unfilled on the date of lapse of panels i.e., 31.3.1997, Industrial Tribunal has no jurisdiction to
extend the date of lapse of panel i.e., 31.3.1997. This Tribunal can not order for regularization of workmen to the
permanent post in contravention of the provision of Article 14 of the Constitution of India.
In the case of Mahboob Deepak vs. Nagar Panchayat Gajraula & Anr, Civil Appeal No.5875/2007 date of
judgement 13.12.2007, Hon‘ble Supreme Court have held:-
“8. Respondent is a Local Authority. The terms and conditions of employment of the employees are governed by a
statute and statutory rules. No appointment can be made by a Local Authority without following the provisions of the
recruitment rules. Any appointment made in violation of the said rules as also the constitutional scheme of equality as
contained in Articles 14 and 16 of the Constitution of India would be a nullity.
9. Due to some exigency of work, although recruitment on daily wages or on an ad hoc basis was permissible, but by
reason thereof an employee cannot claim any right to be permanently absorbed in service or made permanent in
absence of any statute or statutory rules. Merely because an employee has completed 240 days of work in a year
preceding the date of retrenchment, the same would not mean that his services were liable to be regularized.”
Therefore, in view of the law laid down by the Hon‘ble Apex Court, the claim of the Workman for absorption merely
on the basis of number of day of work in the Respondent bank Branch is not acceptable. As regard plea of the
Workman that the Workman should have been given employment even after 31.3.1997 as temporary Workman, it is
the discretion of Respondent to engage the Workman depending upon availability of work and this Tribunal can not
direct the Respondent to engage the Workman in the absent of such rule/scheme.
46.
In view of principle laid down by Hon‘ble Apex Court as discussed above, in the instant matter Workman
utterly failed to establish the fact of rendering continuous service for a period of 240 days of service within a period
of 12 calendar months commencing and coming backward from relevant date i.e., the date of retrenchment, if has he
would be denied to be in continuous service for a period of one year. Therefore, the provision contained under
Sec.25F of retrenchment is not applicable to Workman.
Counsel for Workman has relied upon number of decisions of Hon‘ble High Court and Hon'ble Supreme Court and
few of them are discussed herein:-
In the case of F.C.I., vs. Kamdhenu Cattle Feed Industries 1993 (1) SCC 71, therein Hon‘ble Supreme Court have
held:-
“7. In contractual sphere as in all other State actions, the State and all its instrumentalities have to conform to Article
14 of the Constitution of which non-arbitrariness is a significant facet. There is no unfettered discretion in public law:
A public authority possesses powers only to use them for public good. This impose the duty to act fairly and to adopt a
procedure which is `fairplay in action'. Due observance of this obligation as a part of good administration raises a
reasonable or legitimate expectation in every citizen to be treated fairly in his interaction with the State and its
instrumentalities, with this element forming a necessary component of the decision making process in all State
actions. To satisfy this requirement of non- arbitrariness in a State action, it is, therefore, necessary to consider and
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THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
give due weight to the reasonable or legitimate expectations of the persons likely lo be affected by the decision or else
that unfairness in the exercise of the power may amount to an abuse or excess of power apart from affecting the bona
fides of the decision in a given case. The decision so made would be exposed to challenge on the ground of
arbitrariness. Rule of law does not completely eliminate discretion in the exercise of power, as it is unrealistic, but
providers for control of its exercise by judicial review.”
In the case of State Bank of India, R.O., Vijayawada vs. Industrial Tribunal, Hyderabad WP No.193/1997,
therein Hon‘ble High Court have held,
―Sri Krovvidi Narasimham, the learned counsel for the 2nd respondent contends, supporting the award that it was a
permanent vacancy and even though the 2nd respondent was appointed on temporary basis, his services were not
liable to be terminated and he was to be regularised into service on permanent basis. Shastry award warrants that no
temporary appointment can be made to a permanent post. But the matter is now covered by two division bench
judgements dated 28.11.1986 in W.A. No.791 of 1986 and 25.8.1987 in W.A. No.270 of 1982. The ratio decided in the
two judgements is to the effect that there cannot be any mandate to appoint employees on permanent basis when the
requirement was for appointment on temporary basis. But it is held in the said judgements that when a temporary
appointee is ousted from service and not for misconduct and, if again temporary appointment is to be made, then, the
case of such temporary appointee who was ousted, has got to be considered in accordance with Sec. 25-H of
the Act.”
In the case of State of Haryana and others vs. Piara Singh and others. 1992 (4) SCC 118, therein Hon‘ble
Supreme Court have held:-
“ 49. If for any reason an adhoc or temporary employee is continued for a fairly long spell, the authorities must
consider his case for regularization provided he is eligible and qualified according to the rules and his service record
is satisfactory and his appointment does not run counter to the reservation policy of the state.”
In the above cited judgements by the Workman the facts of the case are different hence do not apply to instant case
of Workman.
47.
On the other hand, in support of his contention Respondent has examined witness MW1 and MW1 in chief
examination states that, Settlements i.e., on 17.11.1987, 16.7.1988, 27.10.1988, 9.1.1991 were entered into between
the SBI and SBI Staff Federation for filling up of the vacancies that arise up to 1994 for those temporary employees
who has worked on scale wages. Further, MW1 states that two different panels for messengers and non-messengers
as per the eligibility criteria prescribed by the bank. There are four modules in Andhra Pradesh and they are
Hyderabad, Tirupathi, Vijayawada and Visakhapatnam. MW1 states that the temporary employees so empanelled
were given permanent absorption depending upon the vacancies so arise strictly in terms of the settlement. MW1
states that on 9.6.1995 conciliation proceeding was held before the RLC(C), Hyderabad and in said proceedings it
was decided that the panels will be kept live up to 31.3.1997 and vacancies will be filled from both the lists
concurrently. A copy of the said minutes of proceedings is Ex.M5. Further, MW1 states that on 30.7.1996 another
settlement was entered between the SBI and All India SBI Staff Federation providing for filling up of the vacancies
arising up to December 1994 in respect of subordinate cadre and daily wage /casual wage employees out of panel so
prepared were to be considered against vacancies arising from January 1995 to December 1996, thereafter the said
panels lapse. MW1 states that it was also agreed that all the non- messenger positions in subordinate cadre including
part time attendants specially provided as leave reserve will be filled before 31.3.1997 and as regards to non-
messengerial positions it is agreed that all such posts sanctioned and fallen vacant up to 31.3.1997 shall be filled
before the empanelled list is allowed to lapse. Thus in both the cases empanelled list were lapsed on 1.4.1997.
Ex.M6 is the copy of the settlement dated 30.7.1996. Further, witness states that on 27.2.1997 a memorandum of
understanding was reached between the SBI and SBI Staff Federation providing that both the panels above mentioned
will lapse on 31.3.1997. Ex.M7 is the copy of the memorandum of understanding and Ex.M8 is the copy of the
statements giving the particulars of 1989 non-messenger panel, Ex.M9 is the copy of the statement of 1989 non-
messenger panel, Ex.M10 is the copy of statement of 1992 panel. Further, witness states that petitioner was included
in the 1989 panel. As the existing vacancies at that time were exhausted and his turn did not come he could not be
given permanent employment in the bank as per the agreements. All the appointments were made strictly in
accordance with the settlements reached from time to time between SBI and SBI staff federation and as per seniority,
number of days of temporary service put in by them in the bank in the given period. Further, MW1 states petitioner
was not sponsored by any employment exchange he did not undergo the regular process of selection required for
appointment as a regular non-messenger the petitioner has not worked for 240 days in any year in his entire temporary
service in the bank. The petitioner and other temporary employees were terminated from service by the bank.
Further, MW1 states that the vacancies were filled up on regular basis with the temporary employees from the panels
and these panels were expired in terms of the settlements so reached and there were no vacancies to absorb such
employees. Thus, witness MW1 has proved the documents Ex.M1 to Ex.M12 and also contentions made in the
counter. However, MW1 was cross examined by the Petitioner Counsel. But nothing has been elicited in his cross
examination so as to discredit the testimony of the witness MW1 as regards the date of lapse of both the panels on
31.3.1997 and reasons assigned for non-absorption of the Petitioner from the panel list to the permanent post.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1347
Moreover the witness MW1 was re-examined by the Respondent and the witness MW1 states that panels were expired
in terms of the settlement send absorptions to the extent of the available vacancies were made. There was no
termination of any temporary messenger as such but their services were not utilized after the cut off date as the
available vacancies were already filled up and most of these Petitioners were not in the service of the bank as on the
date of the expiry date of the panels. Therefore, in view of the aforesaid testimony of the MW1 in re-examination in
the absence of cross examination remained uncontroverted, the claim of the Workman that he was entitled for
absorption in permanent post in the branch of Respondent Management on the basis of panel list is found not
established.
This point is answered against the Workman.
48.
Point No.IV:- In view of the discussion and finding given at Point Nos. I, II and III, the Workman is not
entitled for any relief and claim statement of Workman sans merit and liable to be dismissed.
This Point is answered accordingly.
ORDER
In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the
services of Sri Teetala Deva Prasad, Ex. Messenger by way of oral orders w.e.f. 31.3.1997 is justified. Hence, the
Petitioner is not entitled for any relief as prayed for. The claim statement filed by Workman sans merit, hence,
dismissed. Reference is answered accordingly.
Award is passed accordingly. Transmit.
Typed to my dictation by Smt. K. Phani Gowri, Personal Assistant, transcribed by her, corrected and signed
by me on this the 5th day of February, 2026.
IRFAN QAMAR, Presiding Officer
Appendix of evidence
Witnesses examined for the
Witnesses examined for the
Petitioner
Respondent
WW1: Sri Teetala Deva Prasad
MW1: Sri K. Bala Kotaiah
Documents marked for the Petitioner
Ex.W1: Photocopy of letter for interview
Ex.W2: Photocopy of panel list
Ex.W3: Photocopy of Service certificate
Documents marked for the Respondent
Ex.M1:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.17.11.87
Ex.M2:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.16.7.88
Ex.M3:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.27.10.1988
Ex.M4:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.9.1.1991
Ex.M5:
Photocopy of conciliation proceedings before the Regional Labour Commissioner(C) dt.9.6.1995
Ex.M6:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.30.7.1996
Ex.M7:
Photocopy of Memorandum of understanding dt. 27.1.1997
Ex.M8:
Photocopy of statements giving the particulars of 1989 messenger panel.
Ex.M9:
Photocopy of statement of 1989 Non-messenger panel
Ex.M10:
Photocopy of statement of 1992 panel
Ex.M11:
Photocopy of order of Hon‘ble High Court in WA No.86/98 dt. 1.5.98
Ex.M12:
Photocopy of order in SLP No.11886-11888 of 1998 dated 10.8.98
1348
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
नई ददल्ली, 2 मार्च, 2026
का.आ. 297.—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj
ds izca/kr=] lac) fu;kstdksa vkSj muds deZdkjkas ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh;
ljdkj औद्योजगक vf/kdj.k@Je U;k;ky;
ds iapkV (a198/2002) izdkf'kr djrh gSA
[सं. एल-12012/46/2000-आई आर(बी-I)]
सलोनी, उृ जनदेिक
New Delhi, the 2nd March, 2026
S.O. 297.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Ref. 198/2002) of the Cent.Govt.Indus.Tribunal-cum-Labour Court
Hyderabad as shown in the Annexure, in the industrial dispute between the management of State Bank of
India and their workmen.
[No. L-12012/46/2000– IR (B-I)]
SALONI, Dy. Director
ANNEXURE
IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT
HYDERABAD
Present: Sri IRFAN QAMAR
Presiding Officer
Dated the 4th day of February, 2026
INDUSTRIAL DISPUTE No. 198/2002
[Old ID No.34/2000 of Industrial Tribunal No.I, Hyderabad]
Between:
Sri Voore Seenaiah,
Madgul(P.O.) & Vill.
Mandal Madgul,
Mahaboobnagar.
Distt. Mahaboobnagar.
… Petitioner
And
The General Manager,
State Bank of India,
Local Head Office,
Bank Street, Hyderabad .
…..Respondent
Appearances:
For the Petitioner :
Sri Macheral Rangaiah, Advocate
For the Respondent:
Sri A. Ratang Phani Reddy, Advocate
AWARD
The Government of India, Ministry of Labour by its order No. L-12012/46/2000-IR(B.I) dated 11.7.2000
referred the following dispute under section 10(1)(d) of the I.D. Act, 1947 to Industrial Tribunal No.I, Hyderabad for
adjudication and later the same has been transferred to this Tribunal bearing ID No.34/2000, as per orders of Central
Government vide Lr.No.H-11026/1/2001-IR(C.II) dated 18.10.2001, requiring this forum to decide the question:
SCHEDULE
―Whether the action of the management of State Bank of India, Hyderabad main branch in terminating the
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1349
services of Sri Voore Seenaiah, Messenger, from the services of the Bank by way of oral orders w.e.f.
31.3.1997 is justified? If not, what relief he is entitled?‖
After receipt of the reference, it was numbered as ID No. 198/2002 and notices were issued to both the Workman and
the management.
2.
Before unfolding the factual matrix of the instant industrial dispute it would be apposite to have a bird eye
view of a chequered history of the instant industrial dispute. Earlier instant industrial dispute along with the batch
cases was decided by this Tribunal vide common award dated 17.5.2005 and the reference was answered in favour of
the Respondent and against the Workman. That said common award dated 17.5.2005 was challenged by the
aggrieved Workmen in various Writ petition No.6470/2014 along with batch of writ petitions before the Hon‘ble High
Court of Andhra Pradesh and Hon‘ble High Court vide its‘ judgement dated 23.6.2014 allowed all batch of writ
petitions and set aside the common award dated 17.5.2005 passed in ID No.222 of 2001 and other batch of ID cases
by Central Government Industrial Tribunal cum Labour Court, Hyderabad and the Respondent management of State
Bank of India was directed to reengage the Writ Petitioners in position, which they have been occupying prior to their
termination and further directed to consider their cases for regularization as and when the substantive vacancy arises.
This judgement dated 23.6.2014 of Hon‘ble High Court of AP, passed in WP No.6470/2014 and batch petitions was
challenged by Respondent management before the Hon‘ble High Court in Writ Appeal No. 1268 of 2014. The
aforesaid Writ Appeals No.1268/2014 and other Writ Appeals were decided by Division Bench of High Court of
Andhra Pradesh by a common judgement dated 20.3.2019. Hon‘ble High Court in aforesaid Writ Appeal was
pleased to pass the order which is extracted as below:-
“ 7. Hearing the learned senior counsel for the SBI and the learned senior counsel for the contesting unofficial
Respondents, we see that while the learned single Judge was justified in setting aside the award af the Tribunal, the
proper course to be adopted was to remit all the cases to the Tribunal. This we say for reasons more than one. Firstly,
in such matters, claims have to be decided on individual basis, as different persons have different claims as to the
length of officiation or discharge of duties and functions; quality of engagement, drawings, accounting of the post for
each one of them, who have worked etc. AIl these issues will not be the same in all the cases. Therefore, each case
ought to have been directed to be decided by the Tribunal afresh on individual basis. The second and most important
aspect is the learned single Judge has in one go ordered re-employment of all the workmen. This is not a relief that
could have been granted without answering the individual issues; each issue relating to each case could not have
been decided by the writ Court within the format of its adjudication procedures and scope. The adjudicating body,
which has to do that activity, is the Industrial Tribunal. Therefore, we are of the view that while we would sustain the
order of the learned singe Judge insofar as it interfered and sets aside the award of the Tribunal, the further findings
and directions, issued through the impugned order have to go and the individual cases have to be sent back for
consideration of the Tribunal. Such further procedure before the Tribunal will have to be carried forward with the
materials already on record and also by affording an opportunity to the persons, who have claims as well as the
management to place their rival contentions and further material before the Tribunal. The learned counsel appearing
for the workmen are justified in pointing out that enormous delay has already happened and further action by the
Tribunal in this line may be expedited.
9. In the result, these writ appeals are ordered;
(1) affirming the impugned common order of the learned single Judge to the extent it sets aside the common award
dated 17.05.2005 of the Industrial Tribuna!;
(2) the further findings and directions issued through the impugned common order are vacated:
(3) all the matters shall be remitted to the Industrial Tribunal with a direction to dispose of them within an outer limit
of five (5) months from the date of receipt of a copy of this order; and,
(4) the parties to make appearance before the Tribunal on the given date.”
Thus, in view of the above direction of Hon‘ble High Court of Andhra Pradesh in W.A.No.1268 of 2014 and batch
cases. This Tribunal has taken up the matter of industrial dispute for hearing and deciding it afresh in view of the
aforesaid guidelines laid down by the Hon‘ble High Court in Writ Appeal No.1268/2014 vide judgement
dated 20.3.019.
3.
The factual matrix of instant industrial dispute as narrated by the Workman in his claim statement are that,
the Workman joined in the service of the management institution as Messenger from 1990 to 1997, and has rendered
unblemished service spreading over a period of about 7 years. The Respondent has terminated services of Workman
by oral orders with effect from 1.4.1997. Further, it is submitted that the management of Respondent bank decided
to give a chance to temporarily employed personnel ―found suitable for permanent appointment‖ by wait- listing them
by offering permanent appointment or waitlisting till such opportunity arises.
4.
That on 17.11.1987 a settlement was reached between All India State Bank of India Staff Federation and the
Management of State Bank of India - settlement one, under this settlement three categories of employees were
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THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
listed. That is, A) those who have completed 240 days in 12 months or less after 1.7.1975. B) those who have
completed 270 days in any continuous block of 36 calendar months after 1.7.1975. C) (i) those who have completed
minimum of 30 days aggregate temporary service in any calendar year after 1.7.1975 or (ii) 70 days aggregate
temporary service in continuous block of 36 months after 1.7.1975.
5.
The persons who satisfied in all the above 4 categories were to be interviewed by a selection committee and
the said selection committee would determine the suitability of the said candidate for permanent appointment.
Therefore, the bank prescribed certain qualifications and from among the candidates satisfying the qualifications the
suitable candidates were enlisted by a selection committee. The Clause 7 of the said agreement provided with the
selected candidate would be wait listed in order of their respective categorization and the selected panel would be
valid upto December, 1991. Clause 10 of the settlement specifically provided that henceforth. ―there will be no
temporary appointments in the subordinate cadre‖, except on a restrictive basis in the specified category, ―from
amongst empanelled candidates as per existing guidelines of the bank‖. The Workman further submits that
consequent upon the said agreement and the draft, a notification was issued in the newspapers. The last date for
responding to the advertisement was 30.8.1988. A written examination followed by viva-voce in May, 1989 was
held. A selected panel was prepared, as per Clause 7 of the agreement, ie. Settlement No.1, the selected panel was to
be valid upto December, 1991, the Workman submits that circular was issued on 26.4.91 by the said letter it is
mentioned that the terms of the agreement dated 17.11.87 was modified vide second agreement dated 16.7.88 was
entered into between the parties. In terms of the said agreement a chance was to be given, ―to all eligible temporary
employees for permanent appointments. The appointments were against the vacancies likely to arise during the
years 1995-96, circular made it clear that in view of the enormity of the problem an extension of the currency of the
panel, eligible temporary employees who have been empanelled could not appear in the earlier interviews and have
been pursuing their cases thereafter, ―will be given another chance to appear for interview‖.
6.
Workman submits that there were total five settlements. The settlement dated 17.11.87 is the
1st settlement (Ex M1), settlement dated 16.7.88 is 2nd settlement (Ex M2), settlement dated 27.10.88 is the
3rd settlement (Ex M3), then settlement dated 9.1.91 is 4th settlement and settlement dated 30.7.96 is 5th
settlement (Ex M6). In between there is minutes of conciliation proceedings dated 9.6.95 marked as Ex M5.
That due to all these settlements which were extended by subsequent settlements thereby created reasonable
expectations in the list of the selected candidates arose with that it‘s a question of time their appointments or services
would be regularized in the services of the bank. The Workman was working with the bank on temporary basis was
under the bonafide hope that sooner his services will be regularized with the bank. He is thereby closed all his
options elsewhere. It is needless to point out that employing person to whom hope of employment in substantial
terms was made is a facet of Article 21 of the Constitution of India.
7.
Further Workman submits that the Government of India issued Circular No. F-3/3/104/87-IR, dated
16.8.1990. Under said circular the chief Executives of all public sector banks including the Management herein were
specifically instructed that until the problem of existing temporary employees is fully resolved, no bank is permitted to
make any permanent appointments. That some of the persons similarly situated like this Workman aggrieved by the
inaction on the part of the management of the bank is not regularizing their services from out of the selected panel
and not clearly focusing the vacancy position, filed W.P. No. 4194/97 before Hon‘ble High court of A.P.. It is
specifically averred in the said writ petition that the Management of the bank had failed to implement the settlement
and that it violates the various fundamental rights guaranteed under the constitution of India. The Hon‘ble High
court of A.P .. by order dated 5.3.97 directed the bank to implement the settlement as amended from time to time. It
also directed the bank to carry out the terms of settlement before the expiry of March, 1997. The Hon‘ble High
Court also recorded finding that the Bank cannot escape its liability of enforcement of the Settlement. In view of the
directions given by the High Court all candidates whose names appeared in the select panels prepared on the basis of
the agreement entered into on 17.11.87 under which the panel was valid upto December, 1991, and on the basis of a
settlement dated 27.10.1988 whereby the panels were made alive upto 31.3.1997 under which the panel was valid upto
December, 1999. The other agreement dated 16.7.1988 under which the panel was valid upto 1992 and on the basis
of the settlement dated 27.10.1998 whereby the panels were made alive upto 31.3.1997 were under the bonafide
impression that their cases will be considered for regularization and were living on the basis of the said reasonable
expectation. Unfortunately, contrary to the aforesaid directions given by the High Court and contrary to the
settlements entered into between the parties, the bank issued proceedings dated 25.3.1997, dated 27.3.1997 and
31.3.1997 instructing the various authorities of the Management not to continue the temporary employees those who
are in services of the bank from 1.4.97. The said order was followed by the Management. Aggrieved by the said
action the Workman herein and similarly situated candidates have filed a writ petition before the Hon'ble High Court
and by way of Writ Petition No.9206/97 seeking a declaration that the proceedings issued by the Deputy General
Manager and the Assistant General Manager (Respondents 3,4 and 5 therein) on 25.3.97, 27.3.97 and 31.3.97 as
illegal and also non-continuance of the Workmen therein in service by absorbing them in the services of the bank as
violative of Section 2(p) and 18(1) read with Rule 58 of Central Rules and sought for specific direction to the bank to
absorb them in service.
8.
Further, Workman submits that in the counter affidavit filed in Writ Petition No.9206/97, the bank has
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1351
submitted that it has about 805 branches in Andhra Pradesh alone. It has stated that due to exigencies of
circumstances and on account of the urgent need in its banks, it employed temporary employees in subordinate cadre.
It is pertinent to mention that it does not state the urgent or need or the nature of temporary employees that it had
engaged. Enquiry into the same would reveal that the stand taken by the bank either on the ground of urgent need or of
temporary employees is a façade to perpetuate unfair labour practice. It is designed to on the one hand, keep the
employed in the erroneous zone of hope and on the other to ensure that benefits that a model employer will extend
under various statutes to its employees is not required to be borne out by the bank. A reading of the counter affidavit
would show that the bank would opines that being just fair and reasonable are which obviously is reprehensible and is
a facet of unfair labour practice.
9.
The Workman submits that the bank had referred in its counter affidavit to three settlements dated 17.11.87,
16.7.88 and 27.10.88. The bank in the guise of extending the benefits of the circular of Government dated 16.8.90
stated in its counter affidavit that as follows:
"Government of India, vide its letter dated 16.8.1990, issued guidelines to all the public sector banks with regard to
recruitment and absorption of temporary employees in public sector banks. The said guidelines were issued to
implement on the lines of the approach paper on the issue provided by a committee constituted in this regard. The
Government of India guidelines made it clear that all the public sector banks may follow the provisions laid down in
the approach paper.
The approach paper specified that the cases of temporary employees who had put in not less than 240 days of
temporary service in 12 consecutive Months and who are entitled to benefit of Section 25-F may be decided by
entering into a settlement with the representative union. In respect of temporary employees who had put in less than
240 days of service in 12 consecutive months or less, a settlement could be avoided and however if the Management
so desired, they could enter into a conciliation settlement with the representative union. Para 6(h), it is mentioned
that only those temporary employees who had put in temporary service of 90 or more days after 1.1 1982 would be
eligible for considering under the scheme. Although the Government guidelines envisaged for a settlement in respect
of employees who had put in temporary service of 90 or more days, the bank by way of further concession entered
into settlements Even in respect of those who had put in less than 90 days. As such, it could be Seen that the
settlements are more beneficial to the temporary employees concerned. The approach paper also specify at para 6(c)
that the banks would provide one time opportunity to all the temporary employees and for that purpose temporary
employees worked in the bank on or after 1.1.1982 could be considered for re-employment in terms of the scheme.
The Respondents have gone further wherein even persons working after 1975 were also considered.
As could be seen from the above, there was a genuine effort on the part of the Respondent bank to provide
permanent employment for as many as possible subject to availability of the vacancies.
It is further submitted that at para 6(k) of the approach paper, it was made clear that this would be one time
exercise in full and final settlement of all the aims and disputes for the past period in respect of temporary workmen
covered by the settlement. This would mean that the Government of India guidelines would cover only those persons
who were temporarily employed for the period specified therein and not otherwise. As such, it is submitted that the
Respondents have not only followed the Government of India guidelines but in fact covered cases of the employees
who had worked for less than 90 days. As such, question of violation does not arise and in any case those were only
broad guidelines and not directives".
10.
The Workman submits that the bank also referred a subsequent settlement dated 9.1.1991 wherein there is a
clause to the effect- that the panel of temporary employees and the panel of daily wage employees will be operated to
a particular period. Therefore, their cases will not be considered. The Management herein relying upon this settlement
in their impugned action. It is submitted that even the settlement dated 9.1.1991 will not empower the management
to terminate the services of the temporary employees who are working in the bank services like the Workman herein
as it does not specify the termination of the employees. In fact there are so many vacancies wherein the Management
has engaged several new persons as temporary messengers/ attendars/ sweepers etc., even after the judgment of
Hon‘ble High Court without considering the cases of the similarly situated candidates like the Workman herein. It is
submitted inspite of engaging fresh candidates as is now being done by the Management they would have continued
the similarly situated candidates like the Workman herein in the services of the bank and consider their cases for
absorption in view of the circulars issued by Central Government as well as the directions of this Hon'ble Court in
Writ Petition No.4194/97, dated 5.3.97. In view of the circulars issued by the Central Government, the Management
should not have relied upon the settlement dated 9.1.1991. Hence, the impugned action of the Management is illegal,
unjust, violative of fundamental rights such as Articles 14,16 and 21 of the Constitution of India.
11.
The Workman submits that in W.P. No.4194/97 filed by the union of temporary employees where in they
have complained about the non- implementation of the settlements arrived between the parties and sought for
absorption. Such employees in the bank services on permanent basis before the date fixed for carrying out the terms
of settlement, the Court held that the members of the union had been empanelled in the list, they were not regularized
1352
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
and the time was going to run out to the near future and the Respondent bank and its officers cannot escape from the
liability of enforcing the settlement which has been reached and therefore directed that the bank and the officers shall
implement the settlement dated 17.11.87 as amended from time to time before the expiry of 31.3.97.
12.
Further, it is submitted that in the clause of Settlement it is specifically mentioned that the workmen to be
absorbed/appointed in the bank prohibiting any temporary appointments subsequent to the date of settlement even the
authorities want to make temporary appointments that should be made only from among the empanelled can be
appointed either for temporary vacancy or permanent vacancy except from among the empanelled candidates like the
Workman and that should be continued till they are absorbed. The management committed unfair labour practices
and terminated the services of the candidates with effect from 1.4.1997 which is arbitrary, discriminatory, contrary to
their own guidelines and violative of the constitutional provisions which are guaranteed in Chapter-III of the
Constitution of India.
13.
The Workman submits that it is strange as to how the panels were allowed to lapse by a so-called
Memorandum of Understanding dated 25.2.1997, that the action of terminating such employees like the
Workman by virtue of an impugned oral proceedings without implementing the settlement would be illegal and unfair
labour practice which cannot be allowed to be perpetuated. That the discontinuance of the Workman after 31.3.97
who had served in the bank in any capacity amounts to retrenchment. It could not have been done without any notice
and it violates Sec.25FF of the Industrial Disputes Act, 1947 and the said action is violative of principles of natural
justice guaranteed under Chapter III of the Constitution of India. This amounts to retrenchment without one month's
notice and taken in view of such notice. Thus, the main proceedings issued by the Respondent is without jurisdiction
and is arbitrary, illegal and therefore liable to be quashed. That the alleged Memorandum of Understanding dated
27.2.97, Ex.M5 does not own any legal entity, as the said Memorandum of Understanding is not published anywhere
to brought to the notice of the Workman whose rights are being affected. It is submitted that Management did not
adhere to the procedure envisaged by the Central Government in its' instructions dated 16.8.90 in the year 1995. The
same was not followed in the year 1997 despite there being vacancies.The management has followed the
procedure of calling candidates through Employment exchange instead of giving chance to the empanelled candidates
like the Workman here. It is pertinent to mention here that the Respondent Management sent letters to the all
similarly situated candidates like the Workman in the month of June, 1997, subsequent to the passing of impugned
termination orders. After knowing the facts that the candidates are litigating, the Management refused to engage these
candidates. It is once again reiterated that the panels are meant for absorption but not for termination. It was the duty
of the Management to engage the empanelled candidates like the Workman even in temporary vacancies till they are
absorbed permanently in regular vacancies. Hence, the action of the Respondent Management terminating the
services of the Workman by oral order dated 31.3.97 is unjust, illegal, violative of principles of natural justice and
hence, the Management be directed to reinstate and absorb the Workman and to grant all incidental and consequential
benefits.
14.
Per contra, Respondent had filed counter and made a contentions that the reference is not tenable and
contrary to the provisions of I.D. Act, 1947. Respondent submitted that to tide over severe sub-ordinate staff
constraints which arose out of leave vacancies, exigencies, etc., and also owning to the restrictions imposed by the
Government of India/Reserve Bank of India on intake of staff, the Respondent bank used to engage sub-ordinate staff
like messengers, sweepers, sweeper cum water boys, etc., depending on the availability of work on purely temporary
basis for the smooth and uninterrupted functioning of the branches. It is submitted that the All India State Bank of
India Staff Federation which represents majority of the employees in the State Bank of India comprising about 98% of
the work force as its' members espoused the cause of temporary employees who have put in less than 240 days of
temporary service in 12 calendar months in the bank and who were ineligible for any protection under Industrial
Disputes Act, 1947 to give a chance for being considered for absorption and permanent appointments.
15.
Discussions were held and on 17.11.1987 an agreement was signed between the federation and the
Management bank under Sec. 2(p) read with Sec 18(1) of the Industrial Disputes Act, 1947 read with Rule 58 of
Industrial Disputes (Central) Rules 1957. A copy of the said settlement dated 17.11.87 which may be herein after
referred as first settlement is filed and 4 categories were made as it has already been mentioned in the claim statement
above, it need not be repeated here. In the first settlement, it was agreed that the temporary employees as categorized
would be given a chance for being considered for permanent appointment in the bank's service against the vacancies
which are likely to arise during the period 1987 to 1991. On 16.7.88 second settlement was arrived between the
Federation and the Bank whereby it was agreed to substitute the period of consideration of vacancies as 1987 to 1992
in place of 1987 to 1991 as contemplated under the first settlement dated 17.11.1987. This is the second settlement.
A 3rd settlement was entered into on 27.10.88 and it was agreed that the bank's service against the vacancies likely to
arise from 1988 to 1992 was to be considered. Government of India vide its letter dated 16.8.90 issued guidelines to
all the public sector banks with regard to recruitment and absorption of temporary employees in public sector banks.
The said guidelines were issued to implement on the lines of approach paper on the issue provided by a committee
constituted in this regard. Government of India guidelines made it clear that all the public sector banks may follow
the provisions laid down in the approach paper. The approach paper specified that the cases of temporary service in
12 consecutive months and who are entitled to benefit of Sec.25F of the Industrial Disputes Act, 1947 may be decided
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1353
by entering into a settlement with the representative union. In respect of temporary employees who had put in less
than 240 days of service in 12 consecutive months or less, a settlement could be avoided and however if the
Management so desired they could enter into a conciliation settlement with the representative union. In para. 6(h) it
is mentioned that only those temporary employees who had put in temporary service of 90 days or more days after
1.1.82 would be eligible for considering under the scheme. Although the Government guidelines envisaged for a
settlement in respect of employees who had put in temporary service of 90 days or more days, the bank by way of a
further concession entered into settlements. Even in respect of those who had put in less than 90 days and also the
bank went a step further and said those persons who are working after 1975 were also considered. Hence, there was a
genuine effort on the part of the Respondent bank to provide as many as possible jobs subject to the availability of the
vacancies. However, para 6 (k) of the approach paper made it clear that it is a one time, exercise in full and final,
settlement of all the claims and disputes for the past period, in respect of temporary workmen covered by the
settlement. Another settlement was entered on 9.1.91 herein after referred as 4th settlement and the time limit was
extended upto 1994 and separate panel was prepared for temporary employees, casual/daily wagers. It was agreed that
while vacancies arising between 1988 to 1994 in respect of temporary employees and in respect of casual/daily
wagers, they can be considered for the vacancies arising between 1995-96 only.
16.
It is submitted that the administrative set up of the Hyderabad Local Head Office comprises of four Zonal
Offices (Zones) at Hyderabad, Vijayawada, Visakhapatnam and Tirupathi covering all the Districts of Andhra
Pradesh. In terms of the settlement the Management after following the procedure laid down therein prepared the
panels of qualified candidates of temporary employees denoted as 1989 panel and also panel of casual/daily wagers
denoted as 1992 panel for giving a chance for being considered for permanent absorption. These panels were
prepared zone-wise separately for messengers and non-messengers in the descending order of temporary service put in
by the candidates during the stipulated period i.e., 1.7.1975 to 31.7.1988. That the Federation approached the
Regional Labour Commissioner(C) for implementation of bi-partite settlement in respect of absorption of temporary
employees. The Regional Labour Commissioner(C) conducted conciliation proceedings and an agreement was
arrived between the Federation and the bank. It was agreed that it would be kept alive upto March, 1997. A copy of
the conciliation proceedings dated 9.2.1995 signed by the parties is filed as material paper. A settlement was arrived
at and an agreement was signed between the Federation and the Management bank on 30.7.1996 under Sec.2 (p) read
with Sec.18(1) of the Industrial Disputes (Central) Rules, 1957, which is hereinafter called as 5th settlement. That on
27.2.1997 a Memorandum of understanding was also signed by the federation‘s affiliate and the bank Management
recording the fact that the exercise of identifying the messengerial vacancies as on 31.12.1994 has since been
completed by Central Office and thereby 403 messengerial vacancies were sanctioned . It was agreed that these
vacancies may be filled from 1989 panel of temporary employees after effecting conversion from full time non-
messengerial staff in the usual manner and the agreement was reached accordingly. It was agreed between the
Federation's affiliate and the Management bank that in terms of the settlement dated 30.7.1996 both the panels of
temporary employees and daily wagers/casual employees would lapse on 31.3.1997. That as agreed upon vacancies
were filled from the panels. The Workman who has put in an aggregate temporary service of less than 240 days in a
continuous block of 12 months period during 1.7.1975 to 31.7.1988 has no right to seek a direction to consider his
candidature for absorption in the Management bank under any rule/law except under the settlement entered into
thereon.
17.
Respondent contended that, in fact, the case of the Workman can be considered under all the five settlements
having got his case considered under provisions of these settlements. All the other provisions and terms of the
settlements are also binding on him/her. The Management bank has not violated any of the provisions of the terms of
the said settlement. That the very preparation and maintenance of panel is in compliance of the terms agreed under
these settlements. These settlements were time bound and they ceased to exist on 31.3.1997. That the bank has never
promised that all the candidates in the panel will be absorbed. In the advertisement itself it was made clear that
candidates will be considered for absorption in the vacancies that may arise upto 1992. Keeping alive the panels after
31.3.1997 is contrary to the settlements arrived between the State Bank of India Staff Federation and the Management
bank. That the settlements are binding on the parties. The Workman is also bound under the terms of the said
settlement. The settlement does not suffer from any ambiguity as their language is very clear. The right under the
settlements is to give them a chance to be considered for future appointment in the bank's services against the
vacancies likely to arise. The settlements were effected to balance the expectations of the temporary employees to be
absorbed in permanent service as against the constitutional rights for all eligible persons to be considered for
employment every time a vacancy arises. That the alleged dispute including the demand for reinstatement has to be
decided in this context. It is submitted that the period of panel list got expired on 31.3.97 and it is an integral term of
the settlement and cannot be modified in any proceedings under the law. These temporary employees who
unfortunately could not be accommodated for want of vacancies have no further rights to be considered for
regularization. That the Hon'ble High Court in WP No.12964/94, held as follows, "It is needless to state that the
settlement arrived at between the All India State Bank of India Staff Federation which, is the majority union and the
bank Management is binding on the Workmen also. It is not at all the case of the Workman that any of the terms of
the settlement has been violated by the bank's Management. If the Workman had worked in the bank on part-time
basis before 31.5.94, that itself would not vest in him a right to claim that his services should be regularized on
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[PART II—SEC. 3(ii)]
permanent basis against a full time cadre post. The claim put forth by the Workman in the present petition is therefore
misconceived and not tenable. However, it is open to the Workman to claim any right which flows from the
settlement between the union and the bank Management. As already pointed out that it is not the grievance of the
Workman that some right which has flown from the settlement in favour of the Workman has been denied by the bank
Management. Therefore, I do not find any ground, let alone substantial ground, to grant the kind of relief sought for
by the Workman. Writ Petition fails and is accordingly dismissed. No costs."
18.
Further, it is contended that if the panels were not lapsed at the end of designated period and allowed to be
continued it would result in making the contracts of temporary employment indirectly permanent through back door
entry, which would not only be contrary to the settlements but also to Articles 14 and 16 of Constitution of India and
deprive the chances of original claimants who would Come through proper recruitment procedure. As their rights
have been crystallized by operation of the settlements. Hence, there is no question of any Legitimate expectation
being violated.
19.
Similarly placed ex-employees filed WP No.9206/1995 and the batch before the Hon'ble High Court of A.P.
and the learned Single Judge allowed the Writ Petitions. Aggrieved by the same WA No.86/98 and the batch was
filed and the Division Bench set aside the order of the Single Judge. Thereafter the ex-temporary employees filed
Special Leave Petition No.11886-11888 of 1998 before the Hon'ble Supreme Court of India. The Hon'ble Supreme
Court of India also dismissed the SLP. Therefore, reference to the Judgement of the Learned Single Judge in WP
No.9206/97 is of no consequences as the same has already been set aside. The observations made in the Judgements
cannot be relied upon for any purpose what so ever. The question of operation of Sec.25F would not come into play.
Further the issue is covered by various Judgements of Hon'ble Supreme Court of India and various Hon'ble High
Courts. Hence, the reference may be ordered that the Workman is not entitled for any relief.
20.
In order to fortify his claim Workman has examined himself as WW1 and also filed documents in evidence
which has been exhibited as Ex.W1 to W10. Further, the Workman has filed photocopies of documents in support
of his claim which are discussed as under:-
Ex.W1 is the service certificate. Further Ex.W2 is the notification. Ex.W3 is the interview call letter. Ex.W4 to
Ex.W8 are the service certificates. Ex.W9 is the circular in the year 1999 and Ex.W10 is the audit report & circular
21.
On the other hand, Respondent has examined witness MW1 Sri Aluru Rama Rao and this witness has
exhibited 12 documents, marked as Ex.M1 to M12. The details of these documents are as follows:-
Ex.M.1 is the Settlement dated 17.11.1987. Ex.M2 is the Settlement dated 16.7.1988. Ex.M3 is the Settlement
dated 27.10.1988. Ex.M4 is the Settlement dated 9.1.1991. Ex.M5 is the Minutes of the conciliation proceedings
dated 9.6.1995. Ex.M6 is the Settlement dated 30.7.1996. Ex.M7 is the Memorandum of Understanding dt.
27.2.1997. Ex.M8 is the Particulars of 1989 Messengerial Panel. Ex.M9 is the Particulars of 1989 Non-
Messengerial Panel. Ex.M10 is the Particulars of 1992 General Attendant Panel. Ex.M11 is the Judgment of
Hon‘ble High Court of A.P. in Writ Appeal No.86/98 dt.1.5.1998. Ex.M12 is the Judgment of Hon‘ble Supreme
Court of India in SLP No. 11886-11888 of 1998 dt.10.8.1998.
22.
Apart from afore mentioned documents, Learned Counsel for Workman has also filed a long list of various
judgements of Hon‘ble Supreme Court as well as Hon‘ble High Court, which we will discuss at appropriate place in
this Award.
23.
Heard the argument of Learned Counsel for Workman as well as for Respondent.
24.
On the basis of rival pleadings of both the parties and submissions made by the Learned Counsel for both
the parties, following points arise for determination in the industrial dispute :-
I.
Whether the 1st settlement dated 17.11.1987, 2nd settlement dated 16.7.1988, 3rd settlement dated
27.10.1988, 4th settlement dated 9.1.1991 and 5th settlement dated 30.7.1996 entered into between
State Bank of India and All India State Bank of India Staff Federation and also Memorandum of
Understanding are binding upon both the parties?
II.
Whether the action of State Bank of India, Hyderabad main branch in terminating the services of
Workman Sri Voore Seenaiah, a Messenger with effect from 31.3.1997 is justified?
III.
Whether the Workman is entitled for absorption on permanent post in the Branch of Respondent
management as per averments made by him in the claim statement?
IV.
To what relief if any the Workman is entitled for?
Findings:-
25.
Point No.I:-
Undisputedly settlements dated 17.11.1987, 16.7.1988, 27.10.1988, 9.1.1991 and
30.7.1996, minutes of conciliation proceedings and memorandum of understanding dated 27.2.1997 were executed
between the State Bank of India and All India State Bank of India Staff Federation under section 2(p) and 18 (1) of
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1355
I.D. Act, 1947 read with Rule 58 of Industrial Disputes (Central Rules), 1957.
Section 2(p) of the Industrial Disputes Act, 1947 as follows:-
(p) "settlement" means a settlement arrived at in the course of conciliation proceeding and includes a written
agreement between the employer and workmen arrived at otherwise than in the course of conciliation proceeding
where such agreement has been signed by the parties thereto in such manner as may be prescribed and a copy thereof
has been sent to an officer authorised in this behalf by the appropriate Government and the conciliation officer;
Section 18(1) provides as follows:-
18. Persons on whom settlements and awards are binding.
- [(1) A settlement arrived at by agreement between the employer and Workman otherwise than in the course of
conciliation proceeding shall be binding on the parties to the agreement.
Therefore, in view of the provision contained u/s.18 (1) I.D. Act, 1947, terms and conditions enumerated in the
aforesaid settlements are binding on the parties to the agreement. The Learned Counsel for Workman has argued that
the Workman after going through the selection procedure has successfully been listed in the panel for appointment on
the permanent basis in the Respondent management and the empanelled list has to be valid till last person in the
empanelled list is appointed on permanent basis. But the impugned order dated 25.3.97, 27.3.97 and 31.3.97, has been
issued by Respondent management thereby the services of the Workman has been terminated and the said order is not
in consonance of the terms of the agreement entered into between the parties. Further, Workman submits that the
Respondent in the 5th settlement has mentioned the date i.e., 31.3.1997 for lapse of empanel list which is illegal and
that is not binding upon the Workman. The condition of lapse of empanelment list on 31.3.97 incorporated in the
aforesaid 5th settlement, is arbitrary and illegal.
26.
The perusal of the impugned order dated 25.3.1997 goes to reveal that the Chief/Branch Manager, SBI Zonal
Office has issued the letter to all the branches with regard to the subject not to make any temporary appointments in
the Branch in messengerial category from 1.4.1997. The extract of the said letter is given below:-
―We have been advised by the Deputy General Manager, Zonal Office, Hyderabad that as both the panels of
temporary employees of 1989 and daily wagers/casual labours of 1992 will lapse by 31.3.1997, it has been decided
by Central Office not to make any temporary appointments in messengerial category from 1.4.1997.‖
Thus, from the contents of the aforesaid letter, it manifest that Head Office of State Bank of India vide letter dated
25.3.1997 has issued direction to all its branches not to make any temporary appointments in messengerial category
from 1.4.1997 due to reason of lapse of both panels i.e., 1989 & 1992 on 31.3.1997 as per terms of settlements
entered into by both parties. Further, the contents of the subsequent letter dated 27.3.1997 issued by Respondent
Management is also direction to Branch Manager, State Bank of India not to make any temporary messengerial
category appointment with effect from 1.4.1997 and it has also been communicated to all concerned that the panels of
temporary employees and daily wagers maintained by Zonal offices stand lapsed from 31.1.1997. Further, office
order dated 31.3.1997 has been issued by Respondent management that goes to reveal that the said office order has
been issued to this effect that, ―Consequent on absorption of temporary employees in permanent cadre, it has been
decided by the competent authority that no one onwards, no further daily labour or temporary
employees/appointments should be resorted to/engaged/employed.‖ Therefore, it reflects from the contents of the
aforesaid orders that the temporary appointment in messengerial category and daily labour has been stopped by the
Respondent management with effect from 1.4.1997 because of the lapsed of panel of temporary workers and daily
wagers by 31.3.1997. The agreement for lapse of both the panels on 31.3.1997 is contained in the 5th settlement
which has been arrived at between the parties on dated 30.7.1996 with the consensus of both the parties. Therefore,
Workman can not challenge the terms and conditions contained in settlement dated 30.7.1996 regarding lapse of
panel on 31.3.1997 as agreed between State Bank of India and State Bank of India Staff Federation. As per provision
contained u/s.18(1) of I.D. Act, 1947 the said Agreement dated 30.7.1996 is binding on both the parties.
In the case of Allied Sales Corporation Secunderabad vs.The Authority Under Andhra Pradesh..... 1990 II LLJ
510 AP para 414, Hon‘ble Court have held:-
―4. There was a settlement between the Management and the workmen under Section 18(1) of the Industrial Disputes
Act on 25th April 1983 under which the age of superannuation of the workmen was fixed at 55 years. The settlement
was to be in force upto 30th June 1986 and the next settlement, incorporating practically the same terms, was again
entered into on 4th February 1987 under Section 18(1) of the Industrial Disputes Act. There is no dispute that these
settlements are under Section 18(1).
14. Now the Authority constituted under Section 41(1) of the Act is an authority with very limited jurisdiction. It can
only decide in the first appeal whether a termination by the management is valid or not and is within the parameters
of Section 40 of the Act. The said Authority, in our view, has absolutely no jurisdiction to decide whether a settlement
entered into under Section 18(1) of the Industrial Disputes Act between the representatives of the Workmen and of the
Management, is vitiated by undue influence or misrepresentation or coercion on the part of the Management. The
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[PART II—SEC. 3(ii)]
Authority, namely, the Assistant Commissioner of Labour, was never intended by the A.P. Legislature to have
jurisdiction to go into the question of the validity of a settlement arrived at under Section 18 of the Industrial Disputes
Act by an Industrial Court. That Parliament has, in fact, constituted Industrial Courts under the Industrial Disputes
Act, with extensive powers cannot be disputed. What we mean to say is that the Authority under Section 41(1) of the
A.P. Act has no jurisdiction what-so-ever either to question or to decide about the validity of any such settlements. If
parties to a settlement have a grievance about the validity of a settlement, it is for them to agitate the matter before the
appropriate forum and they cannot ask an Authority constituted under Section 41(1) of the A.P. Shops and
Establishments Act, 1966 with limited jurisdiction, to go into any such question and, that too, incidentally while
deciding whether retirement as per the contract of employment, is legal or not.”
It is not the case of Workman that aforesaid settlements are vitiated by undue influence or misrepresentation or
coercion on the part of the management. If the Workman feeling aggrieved by any terms of settlement/ agreement on
the aforementioned grounds then he can challenge of settlement before a competent authority under the Act, 1947.
But here in the instant matter it is not a case of Workman that aforementioned settlement has been entered into
between the parties on the ground of undue influence or misrepresentation or coercion. Therefore, Workman is barred
to raise any objection in respect of fixing the date of lapse of both panels on 31.3.1997 as agreed between both the
parties and Workman can not challenge any terms of said Agreement.
Further in the case of Herbertsons Limited Vs. Workmen of Herbertsons Limited and Ors, 1977 AIR 322,
Hon‘ble Supreme Court have held:-
The Tribunal thought that the question of the quantum of membership of the 2nd Respondent did not call for a finding
at all in view of 1his Court's order. As observed above that was not a correct assumption. On the other hand, we feel
that this view of the Tribunal has led it to approach the matter in an entirely erroneous manner. The Tribunal is,
rightly enough, conscious that under section 18 (1) of the Industrial Disputes Act the settlement was binding on the
company and the members of the 3rd Respondent union. Even so, the Tribunal devoted nearly half of its order in
scanning the evidence given by the company and Respondent No. 3 to find out whether the terms of the settlement had
been explained by the President of the union to the workmen or not and whether the workers voluntarily accepted the
settlement knowing all the "consequences". This to our mind is again an entirely wrong approach.
“When a recognised union negotiates with an employer the workers as individuals do not come into the picture. It is
not necessary that each individual worker should know the implications of the settlement since a recognised union,
which is expected to protect the legitimate interests of labour, enters into a settlement in the best interests of labour.
This would be the normal rule. We cannot altogether rule out exceptional cases where there may be allegations of
mala fides, fraud or even corruption or other induce- ments. Nothing of that kind has been suggested against the
President of the 3rd Respondent in this case. That being the position, prima facie, this is a settlement in the course of
collective bargaining and, therefore, is entitled to due weight and consideration.
It is not possible to scan the settlement in bits and pieces and hold some parts good and acceptable and others bad.
Unless it can be demonstrated that the objectionable portion is such that it completely outweighs all the other
advantages gained the Court will be slow to hold a settle- ment as unfair and unjust. The settlement has to be
accepted or rejected as a whole and we are unable to reject it as a whole as unfair or unjust. Even before this Court
the 3rd Respondent representing admittedly the large majority of the workmen has stood by this settlement and that is
a strong factor which it is difficult to ignore. As stated elsewhere in the judgment, we cannot also be oblivious of the
fact that all workmen of the company have accepted the settlement. Besides, the period of settlement has since expired
and we are informed that the employer and the 3rd Respondent are negotiating another settlement with further
improvements. These factors, apart from what has been stated above, and the need for industrial peace and harmony
when a union backed by a large majority of workmen has accepted a settlement in the course of collective bargaining
have impelled us not to interfere with this settlement. That being the position, we unhold the settlement as fair and just
and order that the award of the Tribunal shall be substituted by the settlement dated October 18, 1973. The said
settlement shall be the substituted award. The appeal is disposed of accordingly. There will be no order as to costs.”
Therefore, in view of the law laid down by the Hon‘ble Apex Court as discussed above, the contention of the
Workman that the date fixed for lapse of empanelled list on 31.3.1997 for appointment to the permanent post vide 5th
Settlement dated 30.7.1996 is arbitrary, illegal is not untenable. The recognized union of Workmen has negotiated
with the Respondent Bank Management representing large number of Workmen and the Workman as individual do
not come into picture. Workman in the instant case has work as temporary Workmen in the Respondent Branch and
in response of Notification he had applied for inclusion of his name in the panel and he was selected for inclusion
his name in the panel list to be utilized for absorption of such Workman to permanent post in order of their seniority
in the list. The Settlement dated 30.7.1996 between State Bank of India and All India State Bank of India Staff
Federation under Sec.2(p) and Sec.18(1) of I.D. Act, 1947 has clearly provided as regard non-messengerial position
and it is agreed that all such posts sanctioned fallen vacant upto 31.3.1997 shall be filled before empanel list is
allowed to lapse. Thus, in view of law laid down by the Hon‘ble Apex Court, in the instant case, Agreement dated
30.7.1996 was entered into between both the parties in respect of lapsing of the both the panels on 31.3.1997 and
absorption of the Workmen from panel list was subject to availability of vacancy of post likely to arise upto
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1357
31.3.1997, have a binding force on Workman as well as management of State Bank of India in view of provision
contained under section 18 (1) of I.D. Act, 1947.
Thus, Point No.I is answered against the Workman and in favour of the Respondent.
27.
Point No.II:- Firstly, it is submitted on behalf of the Workman that the Respondent has terminated his
services by oral order on 31.3.1997 without issuing any notice or paying any salary or compensation in lieu thereof.
Therefore, the termination order of the Workman from service is in violation of provision contained Under Section 25
F of I.D. Act, 1947. Therefore, the order is liable to be set aside.
28.
On the other hand, Respondent counsel contended that Workman has not worked for 240 days in any
preceding calendar year. Therefore, reference of the industrial dispute is not relevant. In this context, the Workman
has examined himself as WW1 who has reiterated that Workman has been terminated from service by Respondent on
31.3.1997 without notice of salary or compensation in lieu thereof. Before examining the claim of the Workman on
merit it would be apposite to reproduce the provision contained under section 25 F:-
Section 25F provides:-
Conditions precedent to retrenchment of workmen.- No Workman employed in any industry who has been in
continuous service for not less than one year under an employer shall be retrenched by that employer until—
(a) the Workman has been given one month' s notice in writing indicating the reasons for retrenchment and the period
of notice has expired, or the Workman has been paid in lieu of such notice, wages for the period of the notice:
(b) the Workman has been paid, at the time of retrenchment, compensation which shall be equivalent to fifteen days'
average pay for every completed year of continuous service] or any part thereof in excess of six months; and
(c) notice in the prescribed manner is served on the appropriate Government or such authority as may be specified by
the appropriate Government by notification in the Official Gazette].
Compensation to workmen in case of transfer of undertakings.
Section 25B defines the term continuous service which provides
Definition of continuous service.- For the purposes of this Chapter,--
(1) a Workman shall be said to be in continuous service for a period if he is, for that period, in uninterrupted service,
including service which may be interrupted on account of sickness or authorized leave or an accident or a strike
which is not illegal, or a lock- out or a cessation of work which is not due to any fault on the part of the Workman;
(2) where a Workman is not in continuous service within the meaning of clause (1) for a period of one year or six
months, he shall be deemed to be in continuous service under an employer--
(a) for a period of one year, if the Workman, during a period of twelve calendar months preceding the date with
reference to which calculation is to be made, has actually worked under the employer for not less than--
(i) one hundred and ninety days in the case of a Workman employed below ground in a mine; and
(ii) two hundred and forty days, in any other case;
In order to prove the fact of 240 days of service within 12 months of a calendar year just preceding from the date of
termination, the initial burden of proof lies upon the Workman and the Workman has to prove this factum by
adducing his oral as well as documentary evidence in support of his claim.
Further, how to calculate 240 days of service by the Workman in a calendar year. In this context the reference of
decisions of Hon‘ble Supreme Court is relevant and the same are discussed below:-
In Rajasthan State Ganganagar S. Mills Ltd. v. State of Rajasthan and Anr. (2004) Apex Court held:
"It was the case of the Workman that he had worked for more than 240 days in the year concerned. This claim was
denied by the appellant. It was for the claimant to lead evidence to show that he had worked for 240 days in the year
preceding the date of his termination. He has filed an affidavit. It is statement which is in his favor and that cannot be
regarded as sufficient evidence for any Court or Tribunal to come to the conclusion that in fact the claimant had
worked for 240 days in a year These aspects were highlighted in Range Forest Officer v. S.T. Hadimani (2002 (3)
SCC 25. No proof of receipt of salary or wages for 240 days or order or record in that regard was produced. Mere
non-production of the muster roll for a particular period was not sufficient for the Labour Court held that the
Workman had worked for 240 days as claimed."
In Municipal Corporation, Faridabad v. Siri Niwas (2004 (8) SCC 195), held "the burden was on the Workman to
show that he was working for more than 240 days in the preceding one year prior to his alleged retrenchment." In
M.P. Electricity Board v. Hariram (2004 (8) SCC 246) the position was again reiterated in paragraph 11 as follows:
"The above burden having not been discharged and the Labour Court having held so, in our opinion, the Industrial
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[PART II—SEC. 3(ii)]
Court and the High Court erred in basing an order of reinstatement solely on an adverse inference drawn erroneously
..‖
In the case of Manager, RBI, Bangalore vs. S Mani (2005) SCC Page 100, the 3 Judges Bench of the Apex Court
held that "the initial burden of proof was on the Workman to show that he had completed 240 days of service."
Hon'ble Apex Court in the case of Mohan Lal vs Management BEL 1981 SCC page 225 has laid down the
principle that how to count 240 days of service within one year it is held: "Clause (2)(a) provides for a fiction
to treat a Workman in continuous service for a period of one year despite the fact that he has not rendered
uninterrupted service for a period of one year but he has rendered period of 240 days during the period of 12
calendar service for months counting backwards and just preceding the relevant date being the date of retrenchment.
In other words, in order to invoke the fiction enacted in clause (2)(a) it is necessary to determine first the relevant
date, ie the date of termination of service which is complained of as retrenchment. After that date is ascertained. move
backward to a period of 12 months just preceding the date of retrenchment and then ascertain whether within the
period of 12 months, the Workman has rendered service for a period of 240 days. If these three facts are affirmatively
answered in favor of the Workman pursuant to the deeming fiction enacted in clause (2)(a) it will have to be assumed
that the Workman is in continuous service for a period of one year and he will satisfy the eligibility qualification
enacted in Section 25-F"
“14. We have already extracted section 25B since its amendment and the change in language is the legislative
exposition of which note must be taken. In fact, we need not further dilate upon this aspect because in Surendra
Kumar Verma and Ors. v. Central Government Industrial-cum-Labour Court, New Delhi and Anr., Chinnappa
Reddy. J., after noticing the amendment and referring to the decision in Sur Enamel and Stamping Works (P)
Ltd case, held as under:
"These changes brought about by Act 36 of 1964 appear to be clearly designed to provide that a Workman who has
actually worked under the employer for not less than 240 days during a period of twelve months shall be deemed to
have been in continuous service for a period of one year whether or not he has in fact been in such continuous service
for a period of one year. It is enough that he has worked for 240 days in a period of 12 months, it is not necessary that
he should have been in the service of the employer for one whole year."
In a concurring judgment Pathak J. agreed with this interpretation of section 25B(2). Therefore, both on principle and
on precedent it must be held that section 25B(2) comprehends a situation where a Workman is not in employment for
a period of 12 calendar months, but has rendered service for a period of 240 days within the period of 12 calendar
months commencing and counting backwards from the relevant date, i.e. the date of retrenchment. If he has, he would
be deemed to be in continuous service for a period of one year for the purpose of section 25B and
Chapter VA.”
Thus, in view of the law laid down by the Hon‘ble Apex Court as discussed above the initial burden of proof lies
upon the Workman to show that he has completed 240 days of the service with the Respondent just preceding from
the date of his termination. Further, in respect of the employment of calculating the 240 days service in view of the
contents of Section 25-F read with Section 25-B of the I.D. Act, 1947.
29.
Now, in view of the provision contained under Section 25 F and law laid down by the Hon‘ble Apex Court,
we have to examine whether the Workman has discharged his initial burden of proof in respect of his claim of 240
days continuous service in a calendar year just preceding from the date of his termination i.e., 31.3.1997.
In this context, WW1 in his cross examination has stated that,
“I was not sponsored by any employment exchange, did not undergo the regular process of selection before my
engagement as temporary messenger in the branch..”
“It is true that I did not work for 240 days in any year in my entire service in the bank in any branch.”
Thus, it is clear from the testimony of WW1 that the Workman had not worked for 240 days continuously in any 12
months of a calendar year just preceding from the date of his termination in the Respondent bank. Therefore,
Workman failed to establish his plea by his oral and documentary evidence that he had worked for 240 days
continuously in calendar year just preceding from the date of his termination i.e., 31.3.1997. Thus, the claim of the
Workman that he has been terminated by oral order without issuing notice or payment in lieu after termination, in
contravention of Section 25 F of Industrial Disputes Act, 1947 is not tenable. However the documents filed by the
Workman in support of his claim, number of days worked with the Respondent goes to reveal that the Workman had
worked intermittently as daily wager depending upon availability of work in branch. Workman did not file any
document of appointment letter or salary slips in support of his claim for appointment as a non-messenger in the
Respondent branch on temporary basis.
30.
Per contra, the Learned Counsel for Respondent has submitted the allegation of Workman that he was
terminated from services is not correct. As the vacancies were filled up on regular basis in order of their respective
seniority the non-engagement of the Workman does not amount to termination. Further, Respondent contended that
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1359
no law provide that even though there is no work temporary employee should be continued in the bank work as the
very engagement of Workman was subject to availability of work. Therefore, the allegation that the bank has
indulged in unfair labour practice is incorrect.
31.
Thus, in view of the fore gone discussion and contentions made by the Respondent, I find the force in the
argument advanced by the Respondent that in the instant matter, Workman was not terminated from service by order
dated 31.3.1997 rather he was disengaged in view of the non-availability of the work in the branch. Further, there
was direction issued by the Head Office of the Respondent authority not to engage any daily wager Workman/
temporary Worker w.e.f. 1.4.1997. Thus, such disengagement of Workman does not amount to termination.
Moreover, the Workman failed to prove his claim that he was terminated in contravention of provision of Sec.25F of
the I.D. Act, 1947 as he failed to establish his plea by any oral or documentary evidence that he had worked for 240
days continuously in a twelve months of calendar year just preceding from date of termination i.e., 31.3.1997.
32.
Further, perusal of the order dated 25.3.1997 goes to reveal that the Chief Branch Manager, State Bank of
India has issued the letter to Zonal Office with direction to all its branches to this effect that they have been advised
by the DGM, Zonal Office, Hyderabad that as both the panel of temporary employees of 1989 and daily wagers/casual
labour of 1992 will lapse on 31.3.1997 it has been decided by central office not to make any temporary appointments
in messengerial cadre from 1.4.1997, therefore it was directed to issue suitable instructions not to make temporary
appointments from 1.4.1997. There is no mention in this order that the Workman herein has been terminated from
service by this order.
33.
Further, the circular dated 27.3.1997 was issued by DGM, SBI to all branches in commercial network in
respect of the non-appointment of temporary employees in subordinate cadre and it has directed not to make any
temporary employment in the subordinate cadre with effect from 1.4.97 and further, it has directed to ensure that no
temporary/casual/daily basis appointment of the petty cash. Further, it is directed to all Branch Managers that any
deviation in this regard will be viewed seriously. Thus, these circulars do not reflect that the Workman has been
terminated from service by this order.
34.
Similarly, office order dated 31.3.1997 is simply a direction to all branches of the Respondent bank by DGM
that no further daily labour should be engaged or employed. Therefore, the plea of the Workman that he has been
terminated by the aforesaid order dated 25.3.1997, 27.3.1997 and 31.3.1997 from the service by the Respondent is not
acceptable. The evidence adduced by the Workman clearly goes to reveal that he had worked as a daily wager for
which he has been paid wages according to number of working days. As there was an order for prohibition for
engaging temporary workmen, in the bank, therefore, Workman could not be engaged by the Respondent for work
from 1.4.1997 and there after. It is settled law that the daily wagers are engaged by the employer depending upon
the availability of work and as the work was not available the Workman was not engaged further by the Respondent
management. Therefore, the Workman on the ground of number of days he had worked in the Respondent bank
cannot claim any right to reinstate him into the employment. As the Workman failed to prove the mandatory
condition of 240 days of continuous service as required under Sec.25F of I.D. Act, 1947. Therefore, the
disengagement of Workman from work can not be termed in contravention of provision contained under Sec.25F and
25 B of the I.D. Act, 1947.
Thus, this point is answered against the Workman and in favour of Respondent.
35.
Point No.III:- In this context, the Workman has contended that the management failed to implement the
selected panels during its valid tenure. The management adopted the back door methods contrary to the settlements
and filled up the vacancies. The same is evident from the proceedings dated 18.11.1993 a copy of the same is filed in
the material papers and the same may be read as part of the claim statement. Further, it is submitted that management
has to adhere the procedure issued by the Central Government, the instructions dated 16.8.1990 in the year 1995, but
same was not followed in the year 1997 despite there being vacancies. The management has followed the procedure of
calling candidates through employment exchange instead of giving chance to the empanelled candidates like the
Workman herein. The management sent call letters to the similarly situated candidates like the Workman in the month
of June 1997 subsequent to issuance of impugned termination orders. After knowing the fact that they are litigating
the issue by way of dispute, the management has refused to engage those candidates, the copies of call letters issued
are filed herein along with claim petition. The Workman herein reiterates that the panels are meant for absorption but
not for termination. In view of the same a duty is cast upon the Respondent management to engage the empanelled
candidates like the Workman herein even in temporary vacancies till they are absorbed permanently in regular
vacancies.
36.
On the other hand, Respondent has contended that the Federation approached Regional Labour
Commissioner (Central) for implementation of bipartite settlement in respect of the absorption of temporary
employees. The Regional Labour Commissioner (Central) conducted conciliation proceedings and agreement was
arrived at between the Federation and the Management bank. It is submitted that it was agreed between the
Federation and the Management that both the panels of temporary employees and daily wagers /casual labour would
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[PART II—SEC. 3(ii)]
be kept alive upto March, 1997 and the vacancies as agreed to under the afore set out settlements will be filled from
both the lists concurrently. A copy of the conciliation proceedings dated 9.6.1995 signed by the parties to the dispute
is filed as a material paper. Further, it is submitted that the settlement was arrived at and an agreement was signed
between the Federation and the Management bank on 30.7.1996 under Section 2(p) read with Section 18(1) of the
Industrial Disputes (Central) Rules 1957 which is binding on the parties. A copy of this agreement which hereinafter
may be referred to as 5th settlement for brevity, is also filed as a material paper. The 5th settlement dated 30.7.1996
whereunder the earlier four settlements dated 17.11.1987, 16.7.1988, 27.10.1988 and 9.1.1991 were also referred, it
was agreed to, by the Federation and the Management bank that both the panels of temporary employees and daily
wagers/casual employees will be kept alive upto March, 1997 for filling the vacancies existing/arrived at as on
31.12.1994 as per the norms agreed to between the bank and Federation and that thereafter the said panels would
lapse. It was also agreed that within the framework of the above settlements the modalities about drawing names from
either the panel of temporary employees or the panel of daily wagers and casual labour would be decided
administratively on circle to circle basis depending upon the local requirements in consultation with the Federation‘s
affiliate by the Circle management. It was further agreed that all messenger real vacancies/positions in the subordinate
cadre including part-time attendants specifically provided as leave reserve will be filled by the end of 31.3.1997.
Further, Respondent contended that on 27.2.1997 a memorandum of understanding was also signed between the
Federation‘s affiliate and the bank management regarding the fact that the exercise of identifying the messengerial
vacancies as on 31.12.1994 has since been completed by central office and thereby 403 messengerial vacancies were
sanctioned to the circle of the Management bank and it was agreed that these vacancies may be filled from 1989 panel
of temporary employees after effecting conversion from full time non-messengerial staff in the usual manner and the
agreement was reached upon. Further, it was agreed between the Federations affiliate and the management bank
that in terms of the settlement dated 30.7.1996 both the panels of temporary employees and daily wagers /casual
employees would lapse on 31.3.1997.
37.
The Workman has contended that the empanelled list prepared by the Respondent management for
appointment of temporary and daily wage Workers to the permanent post cannot lapse unless until it is exhausted by
appointing all the empanelled persons and it should continue even after 31.3.1997, i.e., the date fixed for the lapse of
panel. It is undisputed that the date of lapse of empanelled list of Workmen has been fixed to 31.3.1997 as
mentioned in the settlement dated 30.7.1996, and agreed between the parties. It is settled law that and once the life
of panel list lapses on the date as agreed between the parties it cannot be extended beyond that date. In the instant
case the panel list of the workmen was valid upto 31.3.1997 in view of the terms and conditions enumerated in the 5th
Settlement entered into between the parties. As the lapse of panel i.e., 31.3.1997 has been agreed by State Bank of
India and State Bank of India Staff Federation through 5th Settlement, the Workman is not competent to challenge the
same.
In this context I would like to take reference of the decision of the apex court in the case of Syndicate Bank and Ors
vs. Shankar Paul and Ors , AIR 1997 SC 3091, therein the Hon‘ble Apex Court have held:-
“Till 1982, the branches of the appellant Bank in Calcutta region were recruiting persons locally to work as
temporary attenders in leave vacancies. In view of the revised procedure prescribed by the Government of India in
respect of such temporary appointments, the Calcutta regional office of the appellant Bank issued a circular to all of
its branches on 14.8.1982, instructing all the branches under it to discontinue the old practice from 1.6.1982 and
appoint only empanelled candidates. The regional office was to prepare a panel of eligible candidates, after calling
names from the local/district employment exchange, and split it up branch-wise. Following that new procedure yearly
panels were prepared thereafter. Names of the Respondents were for the first time included in the panel prepared for
the period 7.2.1987 to 6.2.1988. By its letter dated 7.2.1987 the Bank had informed the Respondents that the panel
was valid for one year only and that inclusion of their names in the panel was not to confer on them any right to seek
permanent appointment in the service of the bank. Considering the object with which the panel was prepared and the
fact that it was an yearly panel expiring on 6.2.1988, we are of the opinion that the Respondents did not get any right,
because of inclusion of their names in the said panel, for permanent absorption in the service of the Bank. Whatever
conditional right they had came to an end with the expiry of the panel. The claim of the Respondents, as contained in
the writ petition was thus misconceived and therefore the learned single Judge and the Division Bench, when it first
decided the appeal, were right in dismissing the writ petition and the appeal respectively.”
Thus, in view of the above law laid down by the Hon‘ble Apex Court and in view of the terms and conditions of the
5th Settlement the contention of the Workman that empanelled list should continue even after 31.3.1997 till the last
Workman in the panel is absorbed is not tenable. The contention of the Workman is baseless in view of recital in
the settlement. Therefore, in view of the fore gone discussion and finding given at Point No. I regarding binding
nature of Settlements and terms and conditions enumerated therein, in view of the provision contained u/s.18(1) of the
I.D. Act, 1947, I am of the considered view that life of panels lapsed on 31.3.1997 in view of terms of settlement
dated 30.7.1996 and plea of Workman that the panel shall continue even after 31.3.1997 till last man absorbed has
no legal force and same is untenable.
38.
Undisputedly, settlement agreement dated 30.7.1996 was executed between the State Bank of India and
State Bank of India Staff Federation and in that settlement it was agreed that both the panels of temporary employees
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1361
and daily wagers/ casual employees will be used for filling vacancies existing as on 31.12.1994 as per the norms
agreed between the bank and the Federation. These empanelled workmen were to be given a chance for permanent
appointment in the bank against vacancies arising up to December 1994 whereas the daily wagers/ casual employees
were to be considered against the vacancies arise from January 1995 to December 1996, whereby the said panel
would lapse. It was agreed that the vacancies falls upto 31.3.1997 shall be filled before the empanelled list is
allowed to lapse. Thus, the claim of the Workman to the post of permanent non-messenger in the Respondent
management was subject to the availability of the sanctioned post and vacancies arising upto 31.3.1997. The
workmen given chance to the permanent post were seniors in number of working days in panel list and Workman
herein was junior to those workmen. Therefore, Workman could not be given absorption to permanent post being
junior to other workmen in the panel list.
39.
In this context the Workman witness WW1 was cross examined by the Respondent counsel and in the cross
examination the witness WW1 states:-
“I applied for appointment as Messenger, in response to the advertisement issued by the bank and the union in the
year 1991…. Further, witness states, The panel was prepared basing upon the number of days of service put in by the
temporary employees. Some of the temporary employees whose names were included in the panel were given regular
appointment in the in the order of their seniority in the panel…. Further witness states, I am not having any
documents to show that any of my juniors are continuing in service in the bank.”
Thus, from the above statement of the Workman witness WW1 it is clear that the panel was prepared in terms of
various settlements entered into between Staff Federation of State Bank of India and State Bank of India and it was
prepared on the basis of number of days of work put in by the temporary employees. Further, the Workman himself
admitted that some of the temporary employees whose names were included in the panel were given regular
appointment in the bank in order of their seniority in the panel and he is not having any document to show that any
person who worked for less number of days than the Workman was given appointment in the bank. Therefore, the
allegation of the Workman that the regular appointment has been made by the bank from the panel list in breach of the
terms of the settlement and violation of seniority of panel list is not proved by this evidence of WW1. Thus, there is
no evidence on record that bank has given the appointment to the temporary employees as well as daily wagers from
the panel list 1989 and 1992 in breach of seniority of the temporary employees in the list. There is no evidence of
jumbling in the panel list to make appointment of any permanent Workman in breach of the seniority. Therefore, I
am constrained to hold that the Respondent Management has appointed the workmen from panel list in order of
seniority and there is no jumbling of workmen in the panel list before it got lapsed on 31.3.1997.
40.
However, Workman has taken the plea that the panels of Workmen for absorption in the employment of the
Respondent banks (panels of temporary employees and daily wagers) has been lapsed on 31.3.1997 in contravention
of terms of settlement as the object of preparing the entire empanelment of temporary and daily wagers was to provide
them permanent employment and till the both the panel lists exhausted the panel list cannot be lapsed on 31.3.1997
and the date of lapsing of the panel on 31.3.1997 has been fixed by the Respondent arbitrarily without any authority.
41.
In this context, the perusal of Settlement dated 30.7.1996 reveals that the 5th Settlement dated 30.7.1996 was
entered under Section 2(p) and 18(1) of I.D. Act, 1947 read with Rule 58 of Industrial Dispute (Central) Rules 1957.
This settlement has been entered into by the competent parties and in this settlement parties thereto agreed that both
the panels of temporary employees and daily wagers/casual employees will lapse on 31.3.1997. Thus the date of
lapse of panel was fixed by both the parties with consensus under the settlement dated 30.7.1996 and same is
binding upon the Workman under the provision of Section 18(1) of I.D. Act, 1947. Moreover, this issue of binding
force of the settlement dated 17.11.1987, 16.7.1988, 27.10.1988 and 9.1.1991 has already been discussed, decided at
finding in Point No.I of this award. However, the legality and validity of the aforementioned settlement has not been
challenged by the Workman before any competent forum. Thus, claim of Workman that the date of lapse of panel i.e.,
31.3.1997 has been fixed arbitrarily by the Respondent bank is untenable. As regard the claim of Workman for his
absorption to the permanent post it is settled law that the Workman can not claim his regularization to permanent
post merely on the basis of number of working days.
42.
In this context the reference of the decision of Hon‘ble Supreme Court in the case of Oil and Natural Gas
Corporation vs Krishan Gopal 2020(3) SCALE 272, date of decision 7.2.2020 is relevant therein Hon‘ble
Supreme Court have has laid down principle regarding regularization of the Workman on permanent posts. Hon‘ble
Supreme Court have laid down the prepositions of regularization of the workmen to permanent post is as under:-
―(i) Wide as they are, the powers of the Labour Court and the Industrial Court cannot extend to a direction to order
regularisation, where such a direction would in the context of public employment offend the provisions contained
in Article 14 of the Constitution;
(ii) The statutory power of the Labour Court or Industrial Court to grant relief to workmen including the status of
permanency continues to exist in circumstances where the employer has indulged in an unfair labour practice by not
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[PART II—SEC. 3(ii)]
filling up permanent posts even though such posts are available and by continuing to employ workmen as temporary
or daily wage employees despite their performing the same work as regular workmen on lower wages;
(iii) The power to create permanent or sanctioned posts lies outside the judicial domain and where no posts are
available, a direction to grant regularisation would be impermissible merely on the basis of the number of years of
service;
(iv) Where an employer has regularised similarly situated workmen either in a scheme or otherwise, it would be open
to workmen who have been deprived of the same benefit at par with the workmen who have been regularised to make
a complaint before the Labour or Industrial Court, since the deprivation of the benefit would amount to a violation of
Article 14; and
(v) In order to constitute an unfair labour practice under Section 2(ra) read with Item 10 of the Vth Schedule of the ID
Act, the employer should be engaging workmen as badlis, temporaries or casuals, and continuing them for years, with
the object of depriving them of the benefits payable to permanent workmen.
Thus, in view of the principles laid down by the Hon‘ble Supreme Court as discussed above, in the instant matter the
Workman utterly failed to prove his claim by adducing any documentary or oral evidence that the employer has
indulged in unfair labour practice by not filling the permanent posts even though such posts are available and by
continuing to employ workmen as temporary or daily wage employees despite their performance was the same work,
as regular workmen on lower wages.
43.
Respondent has contended that all the vacancies exist and arise upto 31.3.1997 has been filled up from the
panel list in order of seniority and no vacancy exists or arises as on 31.3.1997 remained unfilled. Further, it is
contended that as per terms of settlement the life of panel lists has been lapsed on 31.3.1997, hence, there is no
occasion to extend the life of panel lists beyond 31.3.1997. However, the workman failed to prove contrary by any
evidence to the aforesaid contention of the Respondent that the vacancies were existing as on 31.3.1997 and the
workman was not given absorption to the permanent post in order of his seniority. It is settled law that the power to
create permanent or sanctioned post lies outside the judicial domain and where no posts are available, a direction to
grant regularization would be impermissible merely on the basis of the number of years of service. Therefore, the
claim of the workman on this ground also not acceptable.
44.
Further, as per the of settlement, panel was prepared for absorption of the workmen on the permanent posts
has already been lapsed on 31.3.1997 and the vacancies existing and arising upto 31.12.1994 and upto 31.3.1997 as
settlement dated 30.7.1996 has been filled up from the panel by appointing the workmen as per seniority in the panel
list. Workman witness WW1 in his cross examination has himself admitted this fact that, some of the temporary
employees whose names were included in the panel were given regular appointment in the bank in order of their
seniority in the panel. The Workman failed to show that there was any breach of terms of settlement has been
committed by the Respondent in appointment to permanent post from aforesaid panel list.
45.
As discussed in preceding paragraph of this Award, the life of the panel has not been extended beyond
31.3.1997, by any further settlement hence, the panel list in which name of the Workman was included got expired
on 31.3.1997. It is not the case of the Workman that Respondent has regularized similarly situated workmen either in
the scheme or otherwise and the Workman has been deprived of same benefit on par with those workmen or the
vacancies remained unfilled on the date of lapse of panels i.e., 31.3.1997, Industrial Tribunal has no jurisdiction to
extend the date of lapse of panel i.e., 31.3.1997. This Tribunal can not order for regularization of workmen to the
permanent post in contravention of the provision of Article 14 of the Constitution of India.
In the case of Mahboob Deepak vs. Nagar Panchayat Gajraula & Anr, Civil Appeal No.5875/2007 date of
judgement 13.12.2007, Hon‘ble Supreme Court have held:-
“8. Respondent is a Local Authority. The terms and conditions of employment of the employees are governed by a
statute and statutory rules. No appointment can be made by a Local Authority without following the provisions of the
recruitment rules. Any appointment made in violation of the said rules as also the constitutional scheme of equality as
contained in Articles 14 and 16 of the Constitution of India would be a nullity.
9. Due to some exigency of work, although recruitment on daily wages or on an ad hoc basis was permissible, but by
reason thereof an employee cannot claim any right to be permanently absorbed in service or made permanent in
absence of any statute or statutory rules. Merely because an employee has completed 240 days of work in a year
preceding the date of retrenchment, the same would not mean that his services were liable to be regularized.”
Therefore, in view of the law laid down by the Hon‘ble Apex Court, the claim of the Workman for absorption merely
on the basis of number of day of work in the Respondent bank Branch is not acceptable. As regard plea of the
Workman that the Workman should have been given employment even after 31.3.1997 as temporary Workman, it is
the discretion of Respondent to engage the Workman depending upon availability of work and this Tribunal can not
direct the Respondent to engage the Workman in the absent of such rule/scheme.
46.
In view of principle laid down by Hon‘ble Apex Court as discussed above, in the instant matter Workman
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1363
utterly failed to establish the fact of rendering continuous service for a period of 240 days of service within a period
of 12 calendar months commencing and coming backward from relevant date i.e., the date of retrenchment, if has he
would be denied to be in continuous service for a period of one year. Therefore, the provision contained under
Sec.25F of retrenchment is not applicable to Workman.
Counsel for Workman has relied upon number of decisions of Hon‘ble High Court and Hon'ble Supreme Court and
few of them are discussed herein:-
In the case of F.C.I., vs. Kamdhenu Cattle Feed Industries 1993 (1) SCC 71, therein Hon‘ble Supreme Court have
held:-
“7. In contractual sphere as in all other State actions, the State and all its instrumentalities have to conform to Article
14 of the Constitution of which non-arbitrariness is a significant facet. There is no unfettered discretion in public law:
A public authority possesses powers only to use them for public good. This impose the duty to act fairly and to adopt a
procedure which is `fairplay in action'. Due observance of this obligation as a part of good administration raises a
reasonable or legitimate expectation in every citizen to be treated fairly in his interaction with the State and its
instrumentalities, with this element forming a necessary component of the decision making process in all State
actions. To satisfy this requirement of non- arbitrariness in a State action, it is, therefore, necessary to consider and
give due weight to the reasonable or legitimate expectations of the persons likely lo be affected by the decision or else
that unfairness in the exercise of the power may amount to an abuse or excess of power apart from affecting the bona
fides of the decision in a given case. The decision so made would be exposed to challenge on the ground of
arbitrariness. Rule of law does not completely eliminate discretion in the exercise of power, as it is unrealistic, but
providers for control of its exercise by judicial review.”
In the case of State Bank of India, R.O., Vijayawada vs. Industrial Tribunal, Hyderabad WP No.193/1997,
therein Hon‘ble High Court have held,
―Sri Krovvidi Narasimham, the learned counsel for the 2nd respondent contends, supporting the award that it was a
permanent vacancy and even though the 2nd respondent was appointed on temporary basis, his services were not
liable to be terminated and he was to be regularised into service on permanent basis. Shastry award warrants that no
temporary appointment can be made to a permanent post. But the matter is now covered by two division bench
judgements dated 28.11.1986 in W.A. No.791 of 1986 and 25.8.1987 in W.A. No.270 of 1982. The ratio decided in the
two judgements is to the effect that there cannot be any mandate to appoint employees on permanent basis when the
requirement was for appointment on temporary basis. But it is held in the said judgements that when a temporary
appointee is ousted from service and not for misconduct and, if again temporary appointment is to be made, then, the
case of such temporary appointee who was ousted, has got to be considered in accordance with Sec. 25-H of
the Act.”
In the case of State of Haryana and others vs. Piara Singh and others. 1992 (4) SCC 118, therein Hon‘ble
Supreme Court have held:-
“ 49. If for any reason an adhoc or temporary employee is continued for a fairly long spell, the authorities must
consider his case for regularization provided he is eligible and qualified according to the rules and his service record
is satisfactory and his appointment does not run counter to the reservation policy of the state.”
In the above cited judgements by the Workman the facts of the case are different hence do not apply to instant case
of Workman.
47.
On the other hand, in support of his contention Respondent has examined witness MW1 and MW1 in chief
examination states that, Settlements i.e., on 17.11.1987, 16.7.1988, 27.10.1988, 9.1.1991 were entered into between
the SBI and SBI Staff Federation for filling up of the vacancies that arise up to 1994 for those temporary employees
who has worked on scale wages. Further, MW1 states that two different panels for messengers and non-messengers
as per the eligibility criteria prescribed by the bank. There are four modules in Andhra Pradesh and they are
Hyderabad, Tirupathi, Vijayawada and Visakhapatnam. MW1 states that the temporary employees so empanelled
were given permanent absorption depending upon the vacancies so arise strictly in terms of the settlement. MW1
states that on 9.6.1995 conciliation proceeding was held before the RLC(C), Hyderabad and in said proceedings it
was decided that the panels will be kept live up to 31.3.1997 and vacancies will be filled from both the lists
concurrently. A copy of the said minutes of proceedings is Ex.M5. Further, MW1 states that on 30.7.1996 another
settlement was entered between the SBI and All India SBI Staff Federation providing for filling up of the vacancies
arising up to December 1994 in respect of subordinate cadre and daily wage /casual wage employees out of panel so
prepared were to be considered against vacancies arising from January 1995 to December 1996, thereafter the said
panels lapse. MW1 states that it was also agreed that all the non- messenger positions in subordinate cadre including
part time attendants specially provided as leave reserve will be filled before 31.3.1997 and as regards to non-
messengerial positions it is agreed that all such posts sanctioned and fallen vacant up to 31.3.1997 shall be filled
before the empanelled list is allowed to lapse. Thus in both the cases empanelled list were lapsed on 1.4.1997.
Ex.M6 is the copy of the settlement dated 30.7.1996. Further, witness states that on 27.2.1997 a memorandum of
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[PART II—SEC. 3(ii)]
understanding was reached between the SBI and SBI Staff Federation providing that both the panels above mentioned
will lapse on 31.3.1997. Ex.M7 is the copy of the memorandum of understanding and Ex.M8 is the copy of the
statements giving the particulars of 1989 non-messenger panel, Ex.M9 is the copy of the statement of 1989 non-
messenger panel, Ex.M10 is the copy of statement of 1992 panel. Further, witness states that petitioner was included
in the 1989 panel. As the existing vacancies at that time were exhausted and his turn did not come he could not be
given permanent employment in the bank as per the agreements. All the appointments were made strictly in
accordance with the settlements reached from time to time between SBI and SBI staff federation and as per seniority,
number of days of temporary service put in by them in the bank in the given period. Further, MW1 states petitioner
was not sponsored by any employment exchange he did not undergo the regular process of selection required for
appointment as a regular non-messenger the petitioner has not worked for 240 days in any year in his entire temporary
service in the bank. The petitioner and other temporary employees were terminated from service by the bank.
Further, MW1 states that the vacancies were filled up on regular basis with the temporary employees from the panels
and these panels were expired in terms of the settlements so reached and there were no vacancies to absorb such
employees. Thus, witness MW1 has proved the documents Ex.M1 to Ex.M12 and also contentions made in the
counter. However, MW1 was cross examined by the Petitioner Counsel. But nothing has been elicited in his cross
examination so as to discredit the testimony of the witness MW1 as regards the date of lapse of both the panels on
31.3.1997 and reasons assigned for non-absorption of the Petitioner from the panel list to the permanent post.
Moreover the witness MW1 was re-examined by the Respondent and the witness MW1 states that panels were expired
in terms of the settlement send absorptions to the extent of the available vacancies were made. There was no
termination of any temporary messenger as such but their services were not utilized after the cut off date as the
available vacancies were already filled up and most of these Petitioners were not in the service of the bank as on the
date of the expiry date of the panels. Therefore, in view of the aforesaid testimony of the MW1 in re-examination in
the absence of cross examination remained uncontraverted, the claim of the Workman that he was entitled for
absorption in permanent post in the branch of Respondent Management on the basis of panel list is found not
established.
This point is answered against the Workman.
48.
Point No.IV:- In view of the discussion and finding given at Point Nos. I, II and III, the Workman is not
entitled for any relief and claim statement of Workman sans merit and liable to be dismissed.
This Point is answered accordingly.
ORDER
In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the
services of Sri Voore Seenaiah, Ex. Messenger by way of oral orders w.e.f. 31.3.1997 is justified. Hence, the
Petitioner is not entitled for any relief as prayed for. The claim statement filed by Workman sans merit, hence,
dismissed. Reference is answered accordingly.
Award is passed accordingly. Transmit.
Dictated to Smt. P. Phani Gowri, Personal Assistant, transcribed by her, corrected and signed by me on this
the 4th day of February, 2026.
IRFAN QAMAR, Presiding Officer
Appendix of evidence
Witnesses examined for the
Witnesses examined for the
Petitioner
Respondent
WW1: Sri Voore Seenaiah
MW1: Sri Aluru Rama Rao
Documents marked for the Petitioner
Ex.W1: Photocopy of service certificate
Ex.W2: Photocopy of News paper advertisement/ notification
Ex.W3: Photocopy of interview call letter
Ex.W4: Photocopy of service certificate
Ex.W5: Photocopy of Service certificate
Ex.W6: Photocopy of service certificate
Ex.W7: Photocopy of Service certificate
Ex.W8: Photocopy of service certificate
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1365
Ex.W9: Photocopy of circular in the year 1999
Ex.W10: Photocopy of audit report & circular
Documents marked for the Respondent
Ex.M1: Photocopy of settlement between Respondent and All India State Bank of India Staff Federation dt.17.11.87
Ex.M2: Photocopy of settlement between Respondent and All India State Bank of India Staff Federation dt.16.7.88
Ex.M3: Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.27.10.1988
Ex.M4: Photocopy of settlement between Respondent and All India State Bank of India Staff Federation dt.9.1.1991
Ex.M5: Photocopy of conciliation proceedings before the Regional Labour Commissioner(C) dt.9.6.1995
Ex.M6: Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.30.7.1996
Ex.M7:
Photocopy of Memorandum of understanding dt. 27.1.1997
Ex.M8:
Photocopy of statements giving the particulars of 1989 messenger panel.
Ex.M9:
Photocopy of statement of 1989 Non-messenger panel
Ex.M10:
Photocopy of statement of 1992 panel
Ex.M11:
Photocopy of order of Hon‘ble High Court in WA No.86/98 dt. 1.5.98
Ex.M12:
Photocopy of order in SLP No.11886-11888 of 1998 dated 10.8.98
नई ददल्ली, 2 मार्च, 2026
का.आ. 298.—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj
ds izca/kr=] lac) fu;kstdksa vkSj muds deZdkjksa ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh;
ljdkj औद्योजगक vf/kdj.k@Je U;k;ky;
ds iapkV (a133/2002) izdkf'kr djrh gSA
[सं. एल-12012/173/2000-आई आर(बी-I)]
सलोनी, उृ जनदेिक
New Delhi, the 2nd March, 2026
S.O. 298.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Ref. 133/2002) of the Cent.Govt.Indus.Tribunal-cum-Labour Court
Hyderabad as shown in the Annexure, in the industrial dispute between the management of State Bank of India
and their workmen.
[No. L-12012/173/2000– IR (B-I)]
SALONI, Dy. Director
ANNEXURE
IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT
HYDERABAD
Present: Sri IRFAN QAMAR
Presiding Officer
Dated the 4th day of February, 2026
INDUSTRIAL DISPUTE No. 133/2002
(Old ID No.117/2000 transferred from Industrial Tribunal -I, Hyderabad)
Between:
Sri Pasala Pushpa Raju,
S/o P. Subbaiah,
Gaddamalarvada palem(V),
1366
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Mydukur (M & P),
Cuddapah (A.P).
… Petitioner
And
The Dy. General Manager,
State Bank of India,
Zonal Office,
Renigunta Road,
Tirupathi - 517501.
…..Respondent
Appearances:
For the Petitioner :
Sri Macherla Rangaiah, Advocate
For the Respondent:
Sri A. Ratang Phani Reddy, Advocate
AWARD
The Government of India, Ministry of Labour by its order No. L-12012/173/2000-IR(B.I) dated
19.09.2000 referred the following dispute under section 10(1)(d) of the I.D. Act, 1947 to Industrial Tribunal No.I,
Hyderabad for adjudication and later the same has been transferred to this Tribunal bearing ID No.117/2000, as per
orders of Central Government vide Lr.No.H-11026/1/2001-IR(C.II) dated 18.10.2001, requiring this forum to decide
the question:
SCHEDULE
―Whether the action of the management of State Bank of India, Mydukur branch justified in terminating of
Sri Pasala Pushpa Raju, Messenger, from the services of the Bank? If not, what relief he is entitled to?‖
After receipt of the reference, it was numbered as ID No. 133/2002 and notices were issued to both the Workman and
the management.
2.
Before unfolding the factual matrix of the instant industrial dispute it would be apposite to have a bird eye
view of a chequered history of the instant industrial dispute. Earlier instant industrial dispute along with the batch
cases was decided by this Tribunal vide common award dated 17.5.2005 and the reference was answered in favour of
the Respondent and against the Workman. That said common award dated 17.5.2005 was challenged by the
aggrieved Workmen in various Writ petition No.6470/2014 along with batch of writ petitions before the Hon‘ble High
Court of Andhra Pradesh and Hon‘ble High Court vide its‘ judgement dated 23.6.2014 allowed all batch of writ
petitions and set aside the common award dated 17.5.2005 passed in ID No.222 of 2001 and other batch of ID cases
by Central Government Industrial Tribunal cum Labour Court, Hyderabad and the Respondent management of State
Bank of India was directed to reengage the Writ Petitioners in position, which they have been occupying prior to their
termination and further directed to consider their cases for regularization as and when the substantive vacancy arises.
This judgement dated 23.6.2014 of Hon‘ble High Court of AP, passed in WP No.6470/2014 and batch petitions was
challenged by Respondent management before the Hon‘ble High Court in Writ Appeal No. 1268 of 2014. The
aforesaid Writ Appeals No.1268/2014 and other Writ Appeals were decided by Division Bench of High Court of
Andhra Pradesh by a common judgement dated 20.3.2019. Hon‘ble High Court in aforesaid Writ Appeal was
pleased to pass the order which is extracted as below:-
“ 7. Hearing the learned senior counsel for the SBI and the learned senior counsel for the contesting unofficial
Respondents, we see that while the learned single Judge was justified in setting aside the award af the Tribunal, the
proper course to be adopted was to remit all the cases to the Tribunal. This we say for reasons more than one. Firstly,
in such matters, claims have to be decided on individual basis, as different persons have different claims as to the
length of officiation or discharge of duties and functions; quality of engagement, drawings, accounting of the post for
each one of them, who have worked etc. AIl these issues will not be the same in all the cases. Therefore, each case
ought to have been directed to be decided by the Tribunal afresh on individual basis. The second and most important
aspect is the learned single Judge has in one go ordered re-employment of all the workmen. This is not a relief that
could have been granted without answering the individual issues; each issue relating to each case could not have
been decided by the writ Court within the format of its adjudication procedures and scope. The adjudicating body,
which has to do that activity, is the Industrial Tribunal. Therefore, we are of the view that while we would sustain the
order of the learned singe Judge insofar as it interfered and sets aside the award of the Tribunal, the further findings
and directions, issued through the impugned order have to go and the individual cases have to be sent back for
consideration of the Tribunal. Such further procedure before the Tribunal will have to be carried forward with the
materials already on record and also by affording an opportunity to the persons, who have claims as well as the
management to place their rival contentions and further material before the Tribunal. The learned counsel appearing
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1367
for the workmen are justified in pointing out that enormous delay has already happened and further action by the
Tribunal in this line may be expedited.
9. In the result, these writ appeals are ordered;
(1) affirming the impugned common order of the learned single Judge to the extent it sets aside the common award
dated 17.05.2005 of the Industrial Tribuna!;
(2) the further findings and directions issued through the impugned common order are vacated:
(3) all the matters shall be remitted to the Industrial Tribunal with a direction to dispose of them within an outer limit
of five (5) months from the date of receipt of a copy of this order; and,
(4) the parties to make appearance before the Tribunal on the given date.”
Thus, in view of the above direction of Hon‘ble High Court of Andhra Pradesh in W.A.No.1268 of 2014 and batch
cases. This Tribunal has taken up the matter of industrial dispute for hearing and deciding it afresh in view of the
aforesaid guidelines laid down by the Hon‘ble High Court in Writ Appeal No.1268/2014 vide judgement dated
20.3.019.
3.
The factual matrix of instant industrial dispute as narrated by the Workman in his claim statement are that,
the Workman joined in the service of the management institution as Messenger from 1987 to 1995, and has rendered
unblemished service spreading over a period of about 9 years. The Respondent has terminated services of Workman
by oral orders with effect from 1.4.1997. Further, it is submitted that the management of Respondent bank decided
to give a chance to temporarily employed personnel ―found suitable for permanent appointment‖ by wait- listing them
by offering permanent appointment or waitlisting till such opportunity arises.
4.
That on 17.11.1987 a settlement was reached between All India State Bank of India Staff Federation and the
Management of State Bank of India - settlement one, under this settlement three categories of employees were
listed. That is, A) those who have completed 240 days in 12 months or less after 1.7.1975. B) those who have
completed 270 days in any continuous block of 36 calendar months after 1.7.1975. C) (i) those who have completed
minimum of 30 days aggregate temporary service in any calendar year after 1.7.1975 or (ii) 70 days aggregate
temporary service in continuous block of 36 months after 1.7.1975.
5.
The persons who satisfied in all the above 4 categories were to be interviewed by a selection committee and
the said selection committee would determine the suitability of the said candidate for permanent appointment.
Therefore, the bank prescribed certain qualifications and from among the candidates satisfying the qualifications the
suitable candidates were enlisted by a selection committee. The Clause 7 of the said agreement provided with the
selected candidate would be wait listed in order of their respective categorization and the selected panel would be
valid upto December, 1991. Clause 10 of the settlement specifically provided that henceforth. ―there will be no
temporary appointments in the subordinate cadre‖, except on a restrictive basis in the specified category, ―from
amongst empanelled candidates as per existing guidelines of the bank‖. The Workman further submits that
consequent upon the said agreement and the draft, a notification was issued in the newspapers. The last date for
responding to the advertisement was 30.8.1988. A written examination followed by viva-voce in May, 1989 was
held. A selected panel was prepared, as per Clause 7 of the agreement, ie. Settlement No.1, the selected panel was to
be valid upto December, 1991, the Workman submits that circular was issued on 26.4.91 by the said letter it is
mentioned that the terms of the agreement dated 17.11.87 was modified vide second agreement dated 16.7.88 was
entered into between the parties. In terms of the said agreement a chance was to be given, ―to all eligible temporary
employees for permanent appointments. The appointments were against the vacancies likely to arise during the
years 1995-96, circular made it clear that in view of the enormity of the problem an extension of the currency of the
panel, eligible temporary employees who have been empanelled could not appear in the earlier interviews and have
been pursuing their cases thereafter, ―will be given another chance to appear for interview‖.
6.
Workman submits that there were total five settlements. The settlement dated 17.11.87 is the 1st
settlement (Ex M1), settlement dated 16.7.88 is 2nd settlement (Ex M2), settlement dated 27.10.88 is the 3rd
settlement (Ex M3), then settlement dated 9.1.91 is 4th settlement and settlement dated 30.7.96 is 5th settlement
(Ex M6). In between there is minutes of conciliation proceedings dated 9.6.95 marked as Ex M5. That due to all
these settlements which were extended by subsequent settlements thereby created reasonable expectations in the
list of the selected candidates arose with that it‘s a question of time their appointments or services would be
regularized in the services of the bank. The Workman was working with the bank on temporary basis was under the
bonafide hope that sooner his services will be regularized with the bank. He is thereby closed all his options
elsewhere. It is needless to point out that employing person to whom hope of employment in substantial terms was
made is a facet of Article 21 of the Constitution of India.
7.
Further Workman submits that the Government of India issued Circular No. F-3/3/104/87-IR, dated
16.8.1990. Under said circular the chief Executives of all public sector banks including the Management herein were
specifically instructed that until the problem of existing temporary employees is fully resolved, no bank is permitted to
1368
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
make any permanent appointments. That some of the persons similarly situated like this Workman aggrieved by the
inaction on the part of the management of the bank is not regularizing their services from out of the selected panel
and not clearly focusing the vacancy position, filed W.P. No. 4194/97 before Hon‘ble High court of A.P.. It is
specifically averred in the said writ petition that the Management of the bank had failed to implement the settlement
and that it violates the various fundamental rights guaranteed under the constitution of India. The Hon‘ble High
court of A.P .. by order dated 5.3.97 directed the bank to implement the settlement as amended from time to time. It
also directed the bank to carry out the terms of settlement before the expiry of March, 1997. The Hon‘ble High
Court also recorded finding that the Bank cannot escape its liability of enforcement of the Settlement. In view of the
directions given by the High Court all candidates whose names appeared in the select panels prepared on the basis of
the agreement entered into on 17.11.87 under which the panel was valid upto December, 1991, and on the basis of a
settlement dated 27.10.1988 whereby the panels were made alive upto 31.3.1997 under which the panel was valid upto
December, 1999. The other agreement dated 16.7.1988 under which the panel was valid upto 1992 and on the basis
of the settlement dated 27.10.1998 whereby the panels were made alive upto 31.3.1997 were under the bonafide
impression that their cases will be considered for regularization and were living on the basis of the said reasonable
expectation. Unfortunately, contrary to the aforesaid directions given by the High Court and contrary to the
settlements entered into between the parties, the bank issued proceedings dated 25.3.1997, dated 27.3.1997 and
31.3.1997 instructing the various authorities of the Management not to continue the temporary employees those who
are in services of the bank from 1.4.97. The said order was followed by the Management. Aggrieved by the said
action the Workman herein and similarly situated candidates have filed a writ petition before the Hon'ble High Court
and by way of Writ Petition No.9206/97 seeking a declaration that the proceedings issued by the Deputy General
Manager and the Assistant General Manager (Respondents 3,4 and 5 therein) on 25.3.97, 27.3.97 and 31.3.97 as
illegal and also non-continuance of the Workmen therein in service by absorbing them in the services of the bank as
violative of Section 2(p) and 18(1) read with Rule 58 of Central Rules and sought for specific direction to the bank to
absorb them in service.
8.
Further, Workman submits that in the counter affidavit filed in Writ Petition No.9206/97, the bank has
submitted that it has about 805 branches in Andhra Pradesh alone. It has stated that due to exigencies of
circumstances and on account of the urgent need in its banks, it employed temporary employees in subordinate cadre.
It is pertinent to mention that it does not state the urgent or need or the nature of temporary employees that it had
engaged. Enquiry into the same would reveal that the stand taken by the bank either on the ground of urgent need or of
temporary employees is a façade to perpetuate unfair labour practice. It is designed to on the one hand, keep the
employed in the erroneous zone of hope and on the other to ensure that benefits that a model employer will extend
under various statutes to its employees is not required to be borne out by the bank. A reading of the counter affidavit
would show that the bank would opines that being just fair and reasonable are which obviously is reprehensible and is
a facet of unfair labour practice.
9.
The Workman submits that the bank had referred in its counter affidavit to three settlements dated 17.11.87,
16.7.88 and 27.10.88. The bank in the guise of extending the benefits of the circular of Government dated 16.8.90
stated in its counter affidavit that as follows:
"Government of India, vide its letter dated 16.8.1990, issued guidelines to all the public sector banks with regard to
recruitment and absorption of temporary employees in public sector banks. The said guidelines were issued to
implement on the lines of the approach paper on the issue provided by a committee constituted in this regard. The
Government of India guidelines made it clear that all the public sector banks may follow the provisions laid down in
the approach paper.
The approach paper specified that the cases of temporary employees who had put in not less than 240 days of
temporary service in 12 consecutive Months and who are entitled to benefit of Section 25-F may be decided by
entering into a settlement with the representative union. In respect of temporary employees who had put in less than
240 days of service in 12 consecutive months or less, a settlement could be avoided and however if the Management
so desired, they could enter into a conciliation settlement with the representative union. Para 6(h), it is mentioned
that only those temporary employees who had put in temporary service of 90 or more days after 1.1 1982 would be
eligible for considering under the scheme. Although the Government guidelines envisaged for a settlement in respect
of employees who had put in temporary service of 90 or more days, the bank by way of further concession entered
into settlements Even in respect of those who had put in less than 90 days. As such, it could be Seen that the
settlements are more beneficial to the temporary employees concerned. The approach paper also specify at para 6(c)
that the banks would provide one time opportunity to all the temporary employees and for that purpose temporary
employees worked in the bank on or after 1.1.1982 could be considered for re-employment in terms of the scheme.
The Respondents have gone further wherein even persons working after 1975 were also considered.
As could be seen from the above, there was a genuine effort on the part of the Respondent bank to provide
permanent employment for as many as possible subject to availability of the vacancies.
It is further submitted that at para 6(k) of the approach paper, it was made clear that this would be one time
exercise in full and final settlement of all the aims and disputes for the past period in respect of temporary workmen
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1369
covered by the settlement. This would mean that the Government of India guidelines would cover only those persons
who were temporarily employed for the period specified therein and not otherwise. As such, it is submitted that the
Respondents have not only followed the Government of India guidelines but in fact covered cases of the employees
who had worked for less than 90 days. As such, question of violation does not arise and in any case those were only
broad guidelines and not directives".
10.
The Workman submits that the bank also referred a subsequent settlement dated 9.1.1991 wherein there is a
clause to the effect- that the panel of temporary employees and the panel of daily wage employees will be operated to
a particular period. Therefore, their cases will not be considered. The Management herein relying upon this settlement
in their impugned action. It is submitted that even the settlement dated 9.1.1991 will not empower the management
to terminate the services of the temporary employees who are working in the bank services like the Workman herein
as it does not specify the termination of the employees. In fact there are so many vacancies wherein the Management
has engaged several new persons as temporary messengers/ attendars/ sweepers etc., even after the judgment of
Hon‘ble High Court without considering the cases of the similarly situated candidates like the Workman herein. It is
submitted inspite of engaging fresh candidates as is now being done by the Management they would have continued
the similarly situated candidates like the Workman herein in the services of the bank and consider their cases for
absorption in view of the circulars issued by Central Government as well as the directions of this Hon'ble Court in
Writ Petition No.4194/97, dated 5.3.97. In view of the circulars issued by the Central Government, the Management
should not have relied upon the settlement dated 9.1.1991. Hence, the impugned action of the Management is illegal,
unjust, violative of fundamental rights such as Articles 14,16 and 21 of the Constitution of India.
11.
The Workman submits that in W.P. No.4194/97 filed by the union of temporary employees where in they
have complained about the non- implementation of the settlements arrived between the parties and sought for
absorption. Such employees in the bank services on permanent basis before the date fixed for carrying out the terms
of settlement, the Court held that the members of the union had been empanelled in the list, they were not regularized
and the time was going to run out to the near future and the Respondent bank and its officers cannot escape from the
liability of enforcing the settlement which has been reached and therefore directed that the bank and the officers shall
implement the settlement dated 17.11.87 as amended from time to time before the expiry of 31.3.97.
12.
Further, it is submitted that in the clause of Settlement it is specifically mentioned that the workmen to be
absorbed/appointed in the bank prohibiting any temporary appointments subsequent to the date of settlement even the
authorities want to make temporary appointments that should be made only from among the empanelled can be
appointed either for temporary vacancy or permanent vacancy except from among the empanelled candidates like the
Workman and that should be continued till they are absorbed. The management committed unfair labour practices
and terminated the services of the candidates with effect from 1.4.1997 which is arbitrary, discriminatory, contrary to
their own guidelines and violative of the constitutional provisions which are guaranteed in Chapter-III of the
Constitution of India.
13.
The Workman submits that it is strange as to how the panels were allowed to lapse by a so-called
Memorandum of Understanding dated 25.2.1997, that the action of terminating such employees like the
Workman by virtue of an impugned oral proceedings without implementing the settlement would be illegal and unfair
labour practice which cannot be allowed to be perpetuated. That the discontinuance of the Workman after 31.3.97
who had served in the bank in any capacity amounts to retrenchment. It could not have been done without any notice
and it violates Sec.25FF of the Industrial Disputes Act, 1947 and the said action is violative of principles of natural
justice guaranteed under Chapter III of the Constitution of India. This amounts to retrenchment without one month's
notice and taken in view of such notice. Thus, the main proceedings issued by the Respondent is without jurisdiction
and is arbitrary, illegal and therefore liable to be quashed. That the alleged Memorandum of Understanding dated
27.2.97, Ex.M5 does not own any legal entity, as the said Memorandum of Understanding is not published anywhere
to brought to the notice of the Workman whose rights are being affected. It is submitted that Management did not
adhere to the procedure envisaged by the Central Government in its' instructions dated 16.8.90 in the year 1995. The
same was not followed in the year 1997 despite there being vacancies.The management has followed the
procedure of calling candidates through Employment exchange instead of giving chance to the empanelled candidates
like the Workman here. It is pertinent to mention here that the Respondent Management sent letters to the all
similarly situated candidates like the Workman in the month of June, 1997, subsequent to the passing of impugned
termination orders. After knowing the facts that the candidates are litigating, the Management refused to engage these
candidates. It is once again reiterated that the panels are meant for absorption but not for termination. It was the duty
of the Management to engage the empanelled candidates like the Workman even in temporary vacancies till they are
absorbed permanently in regular vacancies. Hence, the action of the Respondent Management terminating the services
of the Workman by oral order dated 31.3.97 is unjust, illegal, violative of principles of natural justice and hence, the
Management be directed to reinstate and absorb the Workman and to grant all incidental and consequential benefits.
14.
Per contra, Respondent had filed counter and made a contentions that the reference is not tenable and
contrary to the provisions of I.D. Act, 1947. Respondent submitted that to tide over severe sub-ordinate staff
constraints which arose out of leave vacancies, exigencies, etc., and also owning to the restrictions imposed by the
1370
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Government of India/Reserve Bank of India on intake of staff, the Respondent bank used to engage sub-ordinate staff
like messengers, sweepers, sweeper cum water boys, etc., depending on the availability of work on purely temporary
basis for the smooth and uninterrupted functioning of the branches. It is submitted that the All India State Bank of
India Staff Federation which represents majority of the employees in the State Bank of India comprising about 98% of
the work force as its' members espoused the cause of temporary employees who have put in less than 240 days of
temporary service in 12 calendar months in the bank and who were ineligible for any protection under Industrial
Disputes Act, 1947 to give a chance for being considered for absorption and permanent appointments.
15.
Discussions were held and on 17.11.1987 an agreement was signed between the federation and the
Management bank under Sec. 2(p) read with Sec 18(1) of the Industrial Disputes Act, 1947 read with Rule 58 of
Industrial Disputes (Central) Rules 1957. A copy of the said settlement dated 17.11.87 which may be herein after
referred as first settlement is filed and 4 categories were made as it has already been mentioned in the claim statement
above, it need not be repeated here. In the first settlement, it was agreed that the temporary employees as categorized
would be given a chance for being considered for permanent appointment in the bank's service against the vacancies
which are likely to arise during the period 1987 to 1991. On 16.7.88 second settlement was arrived between the
Federation and the Bank whereby it was agreed to substitute the period of consideration of vacancies as 1987 to 1992
in place of 1987 to 1991 as contemplated under the first settlement dated 17.11.1987. This is the second settlement.
A 3rd settlement was entered into on 27.10.88 and it was agreed that the bank's service against the vacancies likely to
arise from 1988 to 1992 was to be considered. Government of India vide its letter dated 16.8.90 issued guidelines to
all the public sector banks with regard to recruitment and absorption of temporary employees in public sector banks.
The said guidelines were issued to implement on the lines of approach paper on the issue provided by a committee
constituted in this regard. Government of India guidelines made it clear that all the public sector banks may follow
the provisions laid down in the approach paper. The approach paper specified that the cases of temporary service in
12 consecutive months and who are entitled to benefit of Sec.25F of the Industrial Disputes Act, 1947 may be decided
by entering into a settlement with the representative union. In respect of temporary employees who had put in less
than 240 days of service in 12 consecutive months or less, a settlement could be avoided and however if the
Management so desired they could enter into a conciliation settlement with the representative union. In para. 6(h) it
is mentioned that only those temporary employees who had put in temporary service of 90 days or more days after
1.1.82 would be eligible for considering under the scheme. Although the Government guidelines envisaged for a
settlement in respect of employees who had put in temporary service of 90 days or more days, the bank by way of a
further concession entered into settlements. Even in respect of those who had put in less than 90 days and also the
bank went a step further and said those persons who are working after 1975 were also considered. Hence, there was a
genuine effort on the part of the Respondent bank to provide as many as possible jobs subject to the availability of the
vacancies. However, para 6 (k) of the approach paper made it clear that it is a one time, exercise in full and final,
settlement of all the claims and disputes for the past period, in respect of temporary workmen covered by the
settlement. Another settlement was entered on 9.1.91 herein after referred as 4th settlement and the time limit was
extended upto 1994 and separate panel was prepared for temporary employees, casual/daily wagers. It was agreed that
while vacancies arising between 1988 to 1994 in respect of temporary employees and in respect of casual/daily
wagers, they can be considered for the vacancies arising between 1995-96 only.
16.
It is submitted that the administrative set up of the Hyderabad Local Head Office comprises of four Zonal
Offices (Zones) at Hyderabad, Vijayawada, Visakhapatnam and Tirupathi covering all the Districts of Andhra
Pradesh. In terms of the settlement the Management after following the procedure laid down therein prepared the
panels of qualified candidates of temporary employees denoted as 1989 panel and also panel of casual/daily wagers
denoted as 1992 panel for giving a chance for being considered for permanent absorption. These panels were
prepared zone-wise separately for messengers and non-messengers in the descending order of temporary service put in
by the candidates during the stipulated period i.e., 1.7.1975 to 31.7.1988. That the Federation approached the
Regional Labour Commissioner(C) for implementation of bi-partite settlement in respect of absorption of temporary
employees. The Regional Labour Commissioner(C) conducted conciliation proceedings and an agreement was
arrived between the Federation and the bank. It was agreed that it would be kept alive upto March, 1997. A copy of
the conciliation proceedings dated 9.2.1995 signed by the parties is filed as material paper. A settlement was arrived
at and an agreement was signed between the Federation and the Management bank on 30.7.1996 under Sec.2 (p) read
with Sec.18(1) of the Industrial Disputes (Central) Rules, 1957, which is hereinafter called as 5th settlement. That on
27.2.1997 a Memorandum of understanding was also signed by the federation‘s affiliate and the bank Management
recording the fact that the exercise of identifying the messengerial vacancies as on 31.12.1994 has since been
completed by Central Office and thereby 403 messengerial vacancies were sanctioned . It was agreed that these
vacancies may be filled from 1989 panel of temporary employees after effecting conversion from full time non-
messengerial staff in the usual manner and the agreement was reached accordingly. It was agreed between the
Federation's affiliate and the Management bank that in terms of the settlement dated 30.7.1996 both the panels of
temporary employees and daily wagers/casual employees would lapse on 31.3.1997. That as agreed upon vacancies
were filled from the panels. The Workman who has put in an aggregate temporary service of less than 240 days in a
continuous block of 12 months period during 1.7.1975 to 31.7.1988 has no right to seek a direction to consider his
candidature for absorption in the Management bank under any rule/law except under the settlement entered into
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1371
thereon.
17.
Respondent contended that, in fact, the case of the Workman can be considered under all the five settlements
having got his case considered under provisions of these settlements. All the other provisions and terms of the
settlements are also binding on him/her. The Management bank has not violated any of the provisions of the terms of
the said settlement. That the very preparation and maintenance of panel is in compliance of the terms agreed under
these settlements. These settlements were time bound and they ceased to exist on 31.3.1997. That the bank has never
promised that all the candidates in the panel will be absorbed. In the advertisement itself it was made clear that
candidates will be considered for absorption in the vacancies that may arise upto 1992. Keeping alive the panels after
31.3.1997 is contrary to the settlements arrived between the State Bank of India Staff Federation and the Management
bank. That the settlements are binding on the parties. The Workman is also bound under the terms of the said
settlement. The settlement does not suffer from any ambiguity as their language is very clear. The right under the
settlements is to give them a chance to be considered for future appointment in the bank's services against the
vacancies likely to arise. The settlements were effected to balance the expectations of the temporary employees to be
absorbed in permanent service as against the constitutional rights for all eligible persons to be considered for
employment every time a vacancy arises. That the alleged dispute including the demand for reinstatement has to be
decided in this context. It is submitted that the period of panel list got expired on 31.3.97 and it is an integral term of
the settlement and cannot be modified in any proceedings under the law. These temporary employees who
unfortunately could not be accommodated for want of vacancies have no further rights to be considered for
regularization. That the Hon'ble High Court in WP No.12964/94, held as follows, "It is needless to state that the
settlement arrived at between the All India State Bank of India Staff Federation which, is the majority union and the
bank Management is binding on the Workmen also. It is not at all the case of the Workman that any of the terms of
the settlement has been violated by the bank's Management. If the Workman had worked in the bank on part-time
basis before 31.5.94, that itself would not vest in him a right to claim that his services should be regularized on
permanent basis against a full time cadre post. The claim put forth by the Workman in the present petition is therefore
misconceived and not tenable. However, it is open to the Workman to claim any right which flows from the
settlement between the union and the bank Management. As already pointed out that it is not the grievance of the
Workman that some right which has flown from the settlement in favour of the Workman has been denied by the bank
Management. Therefore, I do not find any ground, let alone substantial ground, to grant the kind of relief sought for
by the Workman. Writ Petition fails and is accordingly dismissed. No costs."
18.
Further, it is contended that if the panels were not lapsed at the end of designated period and allowed to be
continued it would result in making the contracts of temporary employment indirectly permanent through back door
entry, which would not only be contrary to the settlements but also to Articles 14 and 16 of Constitution of India and
deprive the chances of original claimants who would Come through proper recruitment procedure. As their rights
have been crystallized by operation of the settlements. Hence, there is no question of any Legitimate expectation
being violated.
19.
Similarly placed ex-employees filed WP No.9206/1995 and the batch before the Hon'ble High Court of A.P.
and the learned Single Judge allowed the Writ Petitions. Aggrieved by the same WA No.86/98 and the batch was
filed and the Division Bench set aside the order of the Single Judge. Thereafter the ex-temporary employees filed
Special Leave Petition No.11886-11888 of 1998 before the Hon'ble Supreme Court of India. The Hon'ble Supreme
Court of India also dismissed the SLP. Therefore, reference to the Judgement of the Learned Single Judge in WP
No.9206/97 is of no consequences as the same has already been set aside. The observations made in the Judgements
cannot be relied upon for any purpose what so ever. The question of operation of Sec.25F would not come into play.
Further the issue is covered by various Judgements of Hon'ble Supreme Court of India and various Hon'ble High
Courts. Hence, the reference may be ordered that the Workman is not entitled for any relief.
20.
In order to fortify his claim Workman has examined himself as WW1 and also filed documents in evidence
which has been exhibited as Ex.W1 to W7. Further, the Workman has filed photocopies of documents in support of
his claim which are discussed as under:-
Ex.W1 is the notification. Further Ex.W2 is the interview call letter. Ex.W3 is the panel list. Ex.W4 is the service
certificate. Ex.W5 is the service certificate. Ex.W6 is the notification issued by bank. Ex. W7 is the circular
dated 14.07.199.
21.
On the other hand, Respondent has examined witness MW1 Sri K. Bala Kotaiah and this witness has
exhibited 12 documents, marked as Ex.M1 to M12. The details of these documents are as follows:-
Ex.M.1 is the Settlement dated 17.11.1987. Ex.M2 is the Settlement dated 16.7.1988. Ex.M3 is the Settlement
dated 27.10.1988. Ex.M4 is the Settlement dated 9.1.1991. Ex.M5 is the Minutes of the conciliation proceedings
dated 9.6.1995. Ex.M6 is the Settlement dated 30.7.1996. Ex.M7 is the Memorandum of Understanding dt.
27.2.1997. Ex.M8 is the Particulars of 1989 Messengerial Panel. Ex.M9 is the Particulars of 1989 Non-
Messengerial Panel. Ex.M10 is the Particulars of 1992 General Attendant Panel. Ex.M11 is the Judgment of
Hon‘ble High Court of A.P. in Writ Appeal No.86/98 dt.1.5.1998. Ex.M12 is the Judgment of Hon‘ble Supreme
Court of India in SLP No. 11886-11888 of 1998 dt.10.8.1998.
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[PART II—SEC. 3(ii)]
22.
Apart from afore mentioned documents, Learned Counsel for Workman has also filed a long list of various
judgements of Hon‘ble Supreme Court as well as Hon‘ble High Court, which we will discuss at appropriate place in
this Award.
23.
Heard the argument of Learned Counsel for Workman as well as for Respondent.
24.
On the basis of rival pleadings of both the parties and submissions made by the Learned Counsel for both
the parties, following points arise for determination in the industrial dispute :-
I.
Whether the 1st settlement dated 17.11.1987, 2nd settlement dated 16.7.1988, 3rd settlement dated
27.10.1988, 4th settlement dated 9.1.1991 and 5th settlement dated 30.7.1996 entered into between
State Bank of India and All India State Bank of India Staff Federation and also Memorandum of
Understanding are binding upon both the parties?
II.
Whether the action of State Bank of India, Mydukur branch in terminating the services of Workman
Sri Pasala Pushpa Raju, a Messenger with effect from 31.3.1997 is justified?
III.
Whether the Workman is entitled for absorption on permanent post in the Branch of Respondent
management as per averments made by him in the claim statement?
IV.
To what relief if any the Workman is entitled for?
Findings:-
25.
Point No.I:-
Undisputedly settlements dated 17.11.1987, 16.7.1988, 27.10.1988, 9.1.1991 and
30.7.1996, minutes of conciliation proceedings and memorandum of understanding dated 27.2.1997 were executed
between the State Bank of India and All India State Bank of India Staff Federation under section 2(p) and 18 (1) of
I.D. Act, 1947 read with Rule 58 of Industrial Disputes (Central Rules), 1957.
Section 2(p) of the Industrial Disputes Act, 1947 as follows:-
(p) "settlement" means a settlement arrived at in the course of conciliation proceeding and includes a written
agreement between the employer and workmen arrived at otherwise than in the course of conciliation proceeding
where such agreement has been signed by the parties thereto in such manner as may be prescribed and a copy thereof
has been sent to an officer authorised in this behalf by the appropriate Government and the conciliation officer;
Section 18(1) provides as follows:-
18. Persons on whom settlements and awards are binding.
- [(1) A settlement arrived at by agreement between the employer and Workman otherwise than in the course of
conciliation proceeding shall be binding on the parties to the agreement.
Therefore, in view of the provision contained u/s.18 (1) I.D. Act, 1947, terms and conditions enumerated in the
aforesaid settlements are binding on the parties to the agreement. The Learned Counsel for Workman has argued that
the Workman after going through the selection procedure has successfully been listed in the panel for appointment on
the permanent basis in the Respondent management and the empanelled list has to be valid till last person in the
empanelled list is appointed on permanent basis. But the impugned order dated 25.3.97, 27.3.97 and 31.3.97, has been
issued by Respondent management thereby the services of the Workman has been terminated and the said order is not
in consonance of the terms of the agreement entered into between the parties. Further, Workman submits that the
Respondent in the 5th settlement has mentioned the date i.e., 31.3.1997 for lapse of empanel list which is illegal and
that is not binding upon the Workman. The condition of lapse of empanelment list on 31.3.97 incorporated in the
aforesaid 5th settlement, is arbitrary and illegal.
26.
The perusal of the impugned order dated 25.3.1997 goes to reveal that the Chief/Branch Manager, SBI Zonal
Office has issued the letter to all the branches with regard to the subject not to make any temporary appointments in
the Branch in messengerial category from 1.4.1997. The extract of the said letter is given below:-
―We have been advised by the Deputy General Manager, Zonal Office, Hyderabad that as both the panels of
temporary employees of 1989 and daily wagers/casual labours of 1992 will lapse by 31.3.1997, it has been decided
by Central Office not to make any temporary appointments in messengerial category from 1.4.1997.‖
Thus, from the contents of the aforesaid letter, it manifest that Head Office of State Bank of India vide letter dated
25.3.1997 has issued direction to all its branches not to make any temporary appointments in messengerial category
from 1.4.1997 due to reason of lapse of both panels i.e., 1989 & 1992 on 31.3.1997 as per terms of settlements
entered into by both parties. Further, the contents of the subsequent letter dated 27.3.1997 issued by Respondent
Management is also direction to Branch Manager, State Bank of India not to make any temporary messengerial
category appointment with effect from 1.4.1997 and it has also been communicated to all concerned that the panels of
temporary employees and daily wagers maintained by Zonal offices stand lapsed from 31.1.1997. Further, office
order dated 31.3.1997 has been issued by Respondent management that goes to reveal that the said office order has
been issued to this effect that, ―Consequent on absorption of temporary employees in permanent cadre, it has been
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1373
decided by the competent authority that no one onwards, no further daily labour or temporary
employees/appointments should be resorted to/engaged/employed.‖ Therefore, it reflects from the contents of the
aforesaid orders that the temporary appointment in messengerial category and daily labour has been stopped by the
Respondent management with effect from 1.4.1997 because of the lapsed of panel of temporary workers and daily
wagers by 31.3.1997. The agreement for lapse of both the panels on 31.3.1997 is contained in the 5th settlement
which has been arrived at between the parties on dated 30.7.1996 with the consensus of both the parties. Therefore,
Workman can not challenge the terms and conditions contained in settlement dated 30.7.1996 regarding lapse of
panel on 31.3.1997 as agreed between State Bank of India and State Bank of India Staff Federation. As per provision
contained u/s.18(1) of I.D. Act, 1947 the said Agreement dated 30.7.1996 is binding on both the parties.
In the case of Allied Sales Corporation Secunderabad vs.The Authority Under Andhra Pradesh..... 1990 II LLJ
510 AP para 414, Hon‘ble Court have held:-
―4. There was a settlement between the Management and the workmen under Section 18(1) of the Industrial Disputes
Act on 25th April 1983 under which the age of superannuation of the workmen was fixed at 55 years. The settlement
was to be in force upto 30th June 1986 and the next settlement, incorporating practically the same terms, was again
entered into on 4th February 1987 under Section 18(1) of the Industrial Disputes Act. There is no dispute that these
settlements are under Section 18(1).
14. Now the Authority constituted under Section 41(1) of the Act is an authority with very limited jurisdiction. It can
only decide in the first appeal whether a termination by the management is valid or not and is within the parameters
of Section 40 of the Act. The said Authority, in our view, has absolutely no jurisdiction to decide whether a settlement
entered into under Section 18(1) of the Industrial Disputes Act between the representatives of the Workmen and of the
Management, is vitiated by undue influence or misrepresentation or coercion on the part of the Management. The
Authority, namely, the Assistant Commissioner of Labour, was never intended by the A.P. Legislature to have
jurisdiction to go into the question of the validity of a settlement arrived at under Section 18 of the Industrial Disputes
Act by an Industrial Court. That Parliament has, in fact, constituted Industrial Courts under the Industrial Disputes
Act, with extensive powers cannot be disputed. What we mean to say is that the Authority under Section 41(1) of the
A.P. Act has no jurisdiction what-so-ever either to question or to decide about the validity of any such settlements. If
parties to a settlement have a grievance about the validity of a settlement, it is for them to agitate the matter before the
appropriate forum and they cannot ask an Authority constituted under Section 41(1) of the A.P. Shops and
Establishments Act, 1966 with limited jurisdiction, to go into any such question and, that too, incidentally while
deciding whether retirement as per the contract of employment, is legal or not.”
It is not the case of Workman that aforesaid settlements are vitiated by undue influence or misrepresentation or
coercion on the part of the management. If the Workman feeling aggrieved by any terms of settlement/ agreement on
the aforementioned grounds then he can challenge of settlement before a competent authority under the Act, 1947.
But here in the instant matter it is not a case of Workman that aforementioned settlement has been entered into
between the parties on the ground of undue influence or misrepresentation or coercion. Therefore, Workman is barred
to raise any objection in respect of fixing the date of lapse of both panels on 31.3.1997 as agreed between both the
parties and Workman can not challenge any terms of said Agreement.
Further in the case of Herbertsons Limited Vs. Workmen of Herbertsons Limited and Ors, 1977 AIR 322,
Hon‘ble Supreme Court have held:-
The Tribunal thought that the question of the quantum of membership of the 2nd Respondent did not call for a finding
at all in view of 1his Court's order. As observed above that was not a correct assumption. On the other hand, we feel
that this view of the Tribunal has led it to approach the matter in an entirely erroneous manner. The Tribunal is,
rightly enough, conscious that under section 18 (1) of the Industrial Disputes Act the settlement was binding on the
company and the members of the 3rd Respondent union. Even so, the Tribunal devoted nearly half of its order in
scanning the evidence given by the company and Respondent No. 3 to find out whether the terms of the settlement had
been explained by the President of the union to the workmen or not and whether the workers voluntarily accepted the
settlement knowing all the "consequences". This to our mind is again an entirely wrong approach.
“When a recognised union negotiates with an employer the workers as individuals do not come into the picture. It is
not necessary that each individual worker should know the implications of the settlement since a recognised union,
which is expected to protect the legitimate interests of labour, enters into a settlement in the best interests of labour.
This would be the normal rule. We cannot altogether rule out exceptional cases where there may be allegations of
mala fides, fraud or even corruption or other induce- ments. Nothing of that kind has been suggested against the
President of the 3rd Respondent in this case. That being the position, prima facie, this is a settlement in the course of
collective bargaining and, therefore, is entitled to due weight and consideration.
It is not possible to scan the settlement in bits and pieces and hold some parts good and acceptable and others bad.
Unless it can be demonstrated that the objectionable portion is such that it completely outweighs all the other
advantages gained the Court will be slow to hold a settle- ment as unfair and unjust. The settlement has to be
accepted or rejected as a whole and we are unable to reject it as a whole as unfair or unjust. Even before this Court
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[PART II—SEC. 3(ii)]
the 3rd Respondent representing admittedly the large majority of the workmen has stood by this settlement and that is
a strong factor which it is difficult to ignore. As stated elsewhere in the judgment, we cannot also be oblivious of the
fact that all workmen of the company have accepted the settlement. Besides, the period of settlement has since expired
and we are informed that the employer and the 3rd Respondent are negotiating another settlement with further
improvements. These factors, apart from what has been stated above, and the need for industrial peace and harmony
when a union backed by a large majority of workmen has accepted a settlement in the course of collective bargaining
have impelled us not to interfere with this settlement. That being the position, we unhold the settlement as fair and just
and order that the award of the Tribunal shall be substituted by the settlement dated October 18, 1973. The said
settlement shall be the substituted award. The appeal is disposed of accordingly. There will be no order as to costs.”
Therefore, in view of the law laid down by the Hon‘ble Apex Court as discussed above, the contention of the
Workman that the date fixed for lapse of empanelled list on 31.3.1997 for appointment to the permanent post vide 5th
Settlement dated 30.7.1996 is arbitrary, illegal is not untenable. The recognized union of Workmen has negotiated
with the Respondent Bank Management representing large number of Workmen and the Workman as individual do
not come into picture. Workman in the instant case has work as temporary Workmen in the Respondent Branch and
in response of Notification he had applied for inclusion of his name in the panel and he was selected for inclusion
his name in the panel list to be utilized for absorption of such Workman to permanent post in order of their seniority
in the list. The Settlement dated 30.7.1996 between State Bank of India and All India State Bank of India Staff
Federation under Sec.2(p) and Sec.18(1) of I.D. Act, 1947 has clearly provided as regard non-messengerial position
and it is agreed that all such posts sanctioned fallen vacant upto 31.3.1997 shall be filled before empanel list is
allowed to lapse. Thus, in view of law laid down by the Hon‘ble Apex Court, in the instant case, Agreement dated
30.7.1996 was entered into between both the parties in respect of lapsing of the both the panels on 31.3.1997 and
absorption of the Workmen from panel list was subject to availability of vacancy of post likely to arise upto
31.3.1997, have a binding force on Workman as well as management of State Bank of India in view of provision
contained under section 18 (1) of I.D. Act, 1947.
Thus, Point No.I is answered against the Workman and in favour of the Respondent.
27.
Point No.II:- Firstly, it is submitted on behalf of the Workman that the Respondent has terminated his
services by oral order on 31.3.1997 without issuing any notice or paying any salary or compensation in lieu thereof.
Therefore, the termination order of the Workman from service is in violation of provision contained Under Section 25
F of I.D. Act, 1947. Therefore, the order is liable to be set aside.
28.
On the other hand, Respondent counsel contended that Workman has not worked for 240 days in any
preceding calendar year. Therefore, reference of the industrial dispute is not relevant. In this context, the Workman
has examined himself as WW1 who has reiterated that Workman has been terminated from service by Respondent on
31.3.1997 without notice of salary or compensation in lieu thereof. Before examining the claim of the Workman on
merit it would be apposite to reproduce the provision contained under section 25 F:-
Section 25F provides:-
Conditions precedent to retrenchment of workmen.- No Workman employed in any industry who has been in
continuous service for not less than one year under an employer shall be retrenched by that employer until—
(a) the Workman has been given one month' s notice in writing indicating the reasons for retrenchment and the period
of notice has expired, or the Workman has been paid in lieu of such notice, wages for the period of the notice:
(b) the Workman has been paid, at the time of retrenchment, compensation which shall be equivalent to fifteen days'
average pay for every completed year of continuous service] or any part thereof in excess of six months; and
(c) notice in the prescribed manner is served on the appropriate Government or such authority as may be specified by
the appropriate Government by notification in the Official Gazette].
Compensation to workmen in case of transfer of undertakings.
Section 25B defines the term continuous service which provides
Definition of continuous service.- For the purposes of this Chapter,--
(1) a Workman shall be said to be in continuous service for a period if he is, for that period, in uninterrupted service,
including service which may be interrupted on account of sickness or authorized leave or an accident or a strike
which is not illegal, or a lock- out or a cessation of work which is not due to any fault on the part of the Workman;
(2) where a Workman is not in continuous service within the meaning of clause (1) for a period of one year or six
months, he shall be deemed to be in continuous service under an employer--
(a) for a period of one year, if the Workman, during a period of twelve calendar months preceding the date with
reference to which calculation is to be made, has actually worked under the employer for not less than--
(i) one hundred and ninety days in the case of a Workman employed below ground in a mine; and
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1375
(ii) two hundred and forty days, in any other case;
In order to prove the fact of 240 days of service within 12 months of a calendar year just preceding from the date of
termination, the initial burden of proof lies upon the Workman and the Workman has to prove this factum by
adducing his oral as well as documentary evidence in support of his claim.
Further, how to calculate 240 days of service by the Workman in a calendar year. In this context the reference of
decisions of Hon‘ble Supreme Court is relevant and the same are discussed below:-
In Rajasthan State Ganganagar S. Mills Ltd. v. State of Rajasthan and Anr. (2004) Apex Court held:
"It was the case of the Workman that he had worked for more than 240 days in the year concerned. This claim was
denied by the appellant. It was for the claimant to lead evidence to show that he had worked for 240 days in the year
preceding the date of his termination. He has filed an affidavit. It is statement which is in his favor and that cannot be
regarded as sufficient evidence for any Court or Tribunal to come to the conclusion that in fact the claimant had
worked for 240 days in a year These aspects were highlighted in Range Forest Officer v. S.T. Hadimani (2002 (3)
SCC 25. No proof of receipt of salary or wages for 240 days or order or record in that regard was produced. Mere
non-production of the muster roll for a particular period was not sufficient for the Labour Court held that the
Workman had worked for 240 days as claimed."
In Municipal Corporation, Faridabad v. Siri Niwas (2004 (8) SCC 195), held "the burden was on the Workman to
show that he was working for more than 240 days in the preceding one year prior to his alleged retrenchment." In
M.P. Electricity Board v. Hariram (2004 (8) SCC 246) the position was again reiterated in paragraph 11 as follows:
"The above burden having not been discharged and the Labour Court having held so, in our opinion, the Industrial
Court and the High Court erred in basing an order of reinstatement solely on an adverse inference drawn erroneously
..‖
In the case of Manager, RBI, Bangalore vs. S Mani (2005) SCC Page 100, the 3 Judges Bench of the Apex Court
held that "the initial burden of proof was on the Workman to show that he had completed 240 days of service."
Hon'ble Apex Court in the case of Mohan Lal vs Management BEL 1981 SCC page 225 has laid down the
principle that how to count 240 days of service within one year it is held: "Clause (2)(a) provides for a fiction
to treat a Workman in continuous service for a period of one year despite the fact that he has not rendered
uninterrupted service for a period of one year but he has rendered period of 240 days during the period of 12
calendar service for months counting backwards and just preceding the relevant date being the date of retrenchment.
In other words, in order to invoke the fiction enacted in clause (2)(a) it is necessary to determine first the relevant
date, ie the date of termination of service which is complained of as retrenchment. After that date is ascertained. move
backward to a period of 12 months just preceding the date of retrenchment and then ascertain whether within the
period of 12 months, the Workman has rendered service for a period of 240 days. If these three facts are affirmatively
answered in favor of the Workman pursuant to the deeming fiction enacted in clause (2)(a) it will have to be assumed
that the Workman is in continuous service for a period of one year and he will satisfy the eligibility qualification
enacted in Section 25-F"
“14. We have already extracted section 25B since its amendment and the change in language is the legislative
exposition of which note must be taken. In fact, we need not further dilate upon this aspect because in Surendra
Kumar Verma and Ors. v. Central Government Industrial-cum-Labour Court, New Delhi and Anr., Chinnappa
Reddy. J., after noticing the amendment and referring to the decision in Sur Enamel and Stamping Works (P)
Ltd case, held as under:
"These changes brought about by Act 36 of 1964 appear to be clearly designed to provide that a Workman who has
actually worked under the employer for not less than 240 days during a period of twelve months shall be deemed to
have been in continuous service for a period of one year whether or not he has in fact been in such continuous service
for a period of one year. It is enough that he has worked for 240 days in a period of 12 months, it is not necessary that
he should have been in the service of the employer for one whole year."
In a concurring judgment Pathak J. agreed with this interpretation of section 25B(2). Therefore, both on principle and
on precedent it must be held that section 25B(2) comprehends a situation where a Workman is not in employment for
a period of 12 calendar months, but has rendered service for a period of 240 days within the period of 12 calendar
months commencing and counting backwards from the relevant date, i.e. the date of retrenchment. If he has, he would
be deemed to be in continuous service for a period of one year for the purpose of section 25B and
Chapter VA.”
Thus, in view of the law laid down by the Hon‘ble Apex Court as discussed above the initial burden of proof lies
upon the Workman to show that he has completed 240 days of the service with the Respondent just preceding from
the date of his termination. Further, in respect of the employment of calculating the 240 days service in view of the
contents of Section 25-F read with Section 25-B of the I.D. Act, 1947.
29.
Now, in view of the provision contained under Section 25 F and law laid down by the Hon‘ble Apex Court,
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[PART II—SEC. 3(ii)]
we have to examine whether the Workman has discharged his initial burden of proof in respect of his claim of 240
days continuous service in a calendar year just preceding from the date of his termination i.e., 31.3.1997.
In this context, WW1 in his cross examination has stated that,
“I was not sponsored by any employment exchange. I did not undergo regular selection process required for
appointment as a temporary messenger..”
“I did not work for 240 days in any year in my entire service I worked in the bank.”
Thus, it is clear from the testimony of WW1 that the Workman had not worked for 240 days continuously in any 12
months of a calendar year just preceding from the date of his termination in the Respondent bank. Therefore,
Workman failed to establish his plea by his oral and documentary evidence that he had worked for 240 days
continuously in calendar year just preceding from the date of his termination i.e., 31.3.1997. Thus, the claim of the
Workman that he has been terminated by oral order without issuing notice or payment in lieu after termination, in
contravention of Section 25 F of Industrial Disputes Act, 1947 is not tenable. However the documents filed by the
Workman in support of his claim, number of days worked with the Respondent goes to reveal that the Workman had
worked intermittently as daily wager depending upon availability of work in branch. Workman did not file any
document of appointment letter or salary slips in support of his claim for appointment as a non-messenger in the
Respondent branch on temporary basis.
30.
Per contra, the Learned Counsel for Respondent has submitted the allegation of Workman that he was
terminated from services is not correct. As the vacancies were filled up on regular basis in order of their respective
seniority the non-engagement of the Workman does not amount to termination. Further, Respondent contended that
no law provide that even though there is no work temporary employee should be continued in the bank work as the
very engagement of Workman was subject to availability of work. Therefore, the allegation that the bank has
indulged in unfair labour practice is incorrect.
31.
Thus, in view of the fore gone discussion and contentions made by the Respondent, I find the force in the
argument advanced by the Respondent that in the instant matter, Workman was not terminated from service by order
dated 31.3.1997 rather he was disengaged in view of the non-availability of the work in the branch. Further, there
was direction issued by the Head Office of the Respondent authority not to engage any daily wager Workman/
temporary Worker w.e.f. 1.4.1997. Thus, such disengagement of Workman does not amount to termination.
Moreover, the Workman failed to prove his claim that he was terminated in contravention of provision of Sec.25F of
the I.D. Act, 1947 as he failed to establish his plea by any oral or documentary evidence that he had worked for 240
days continuously in a twelve months of calendar year just preceding from date of termination i.e., 31.3.1997.
32.
Further, perusal of the order dated 25.3.1997 goes to reveal that the Chief Branch Manager, State Bank of
India has issued the letter to Zonal Office with direction to all its branches to this effect that they have been advised
by the DGM, Zonal Office, Hyderabad that as both the panel of temporary employees of 1989 and daily wagers/casual
labour of 1992 will lapse on 31.3.1997 it has been decided by central office not to make any temporary appointments
in messengerial cadre from 1.4.1997, therefore it was directed to issue suitable instructions not to make temporary
appointments from 1.4.1997. There is no mention in this order that the Workman herein has been terminated from
service by this order.
33.
Further, the circular dated 27.3.1997 was issued by DGM, SBI to all branches in commercial network in
respect of the non-appointment of temporary employees in subordinate cadre and it has directed not to make any
temporary employment in the subordinate cadre with effect from 1.4.97 and further, it has directed to ensure that no
temporary/casual/daily basis appointment of the petty cash. Further, it is directed to all Branch Managers that any
deviation in this regard will be viewed seriously. Thus, these circulars do not reflect that the Workman has been
terminated from service by this order.
34.
Similarly, office order dated 31.3.1997 is simply a direction to all branches of the Respondent bank by DGM
that no further daily labour should be engaged or employed. Therefore, the plea of the Workman that he has been
terminated by the aforesaid order dated 25.3.1997, 27.3.1997 and 31.3.1997 from the service by the Respondent is not
acceptable. The evidence adduced by the Workman clearly goes to reveal that he had worked as a daily wager for
which he has been paid wages according to number of working days. As there was an order for prohibition for
engaging temporary workmen, in the bank, therefore, Workman could not be engaged by the Respondent for work
from 1.4.1997 and there after. It is settled law that the daily wagers are engaged by the employer depending upon
the availability of work and as the work was not available the Workman was not engaged further by the Respondent
management. Therefore, the Workman on the ground of number of days he had worked in the Respondent bank
cannot claim any right to reinstate him into the employment. As the Workman failed to prove the mandatory
condition of 240 days of continuous service as required under Sec.25F of I.D. Act, 1947. Therefore, the
disengagement of Workman from work can not be termed in contravention of provision contained under Sec.25F and
25 B of the I.D. Act, 1947.
Thus, this point is answered against the Workman and in favour of Respondent.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1377
35.
Point No.III:- In this context, the Workman has contended that the management failed to implement the
selected panels during its valid tenure. The management adopted the back door methods contrary to the settlements
and filled up the vacancies. The same is evident from the proceedings dated 18.11.1993 a copy of the same is filed in
the material papers and the same may be read as part of the claim statement. Further, it is submitted that management
has to adhere the procedure issued by the Central Government, the instructions dated 16.8.1990 in the year 1995, but
same was not followed in the year 1997 despite there being vacancies. The management has followed the procedure of
calling candidates through employment exchange instead of giving chance to the empanelled candidates like the
Workman herein. The management sent call letters to the similarly situated candidates like the Workman in the month
of June 1997 subsequent to issuance of impugned termination orders. After knowing the fact that they are litigating
the issue by way of dispute, the management has refused to engage those candidates, the copies of call letters issued
are filed herein along with claim petition. The Workman herein reiterates that the panels are meant for absorption but
not for termination. In view of the same a duty is cast upon the Respondent management to engage the empanelled
candidates like the Workman herein even in temporary vacancies till they are absorbed permanently in regular
vacancies.
36.
On the other hand, Respondent has contended that the Federation approached Regional Labour
Commissioner (Central) for implementation of bipartite settlement in respect of the absorption of temporary
employees. The Regional Labour Commissioner (Central) conducted conciliation proceedings and agreement was
arrived at between the Federation and the Management bank. It is submitted that it was agreed between the
Federation and the Management that both the panels of temporary employees and daily wagers /casual labour would
be kept alive upto March, 1997 and the vacancies as agreed to under the afore set out settlements will be filled from
both the lists concurrently. A copy of the conciliation proceedings dated 9.6.1995 signed by the parties to the dispute
is filed as a material paper. Further, it is submitted that the settlement was arrived at and an agreement was signed
between the Federation and the Management bank on 30.7.1996 under Section 2(p) read with Section 18(1) of the
Industrial Disputes (Central) Rules 1957 which is binding on the parties. A copy of this agreement which hereinafter
may be referred to as 5th settlement for brevity, is also filed as a material paper. The 5th settlement dated 30.7.1996
whereunder the earlier four settlements dated 17.11.1987, 16.7.1988, 27.10.1988 and 9.1.1991 were also referred, it
was agreed to, by the Federation and the Management bank that both the panels of temporary employees and daily
wagers/casual employees will be kept alive upto March, 1997 for filling the vacancies existing/arrived at as on
31.12.1994 as per the norms agreed to between the bank and Federation and that thereafter the said panels would
lapse. It was also agreed that within the framework of the above settlements the modalities about drawing names from
either the panel of temporary employees or the panel of daily wagers and casual labour would be decided
administratively on circle to circle basis depending upon the local requirements in consultation with the Federation‘s
affiliate by the Circle management. It was further agreed that all messenger real vacancies/positions in the subordinate
cadre including part-time attendants specifically provided as leave reserve will be filled by the end of 31.3.1997.
Further, Respondent contended that on 27.2.1997 a memorandum of understanding was also signed between the
Federation‘s affiliate and the bank management regarding the fact that the exercise of identifying the messengerial
vacancies as on 31.12.1994 has since been completed by central office and thereby 403 messengerial vacancies were
sanctioned to the circle of the Management bank and it was agreed that these vacancies may be filled from 1989 panel
of temporary employees after effecting conversion from full time non-messengerial staff in the usual manner and the
agreement was reached upon. Further, it was agreed between the Federations affiliate and the management bank
that in terms of the settlement dated 30.7.1996 both the panels of temporary employees and daily wagers /casual
employees would lapse on 31.3.1997.
37.
The Workman has contended that the empanelled list prepared by the Respondent management for
appointment of temporary and daily wage Workers to the permanent post cannot lapse unless until it is exhausted by
appointing all the empanelled persons and it should continue even after 31.3.1997, i.e., the date fixed for the lapse of
panel. It is undisputed that the date of lapse of empanelled list of Workmen has been fixed to 31.3.1997 as
mentioned in the settlement dated 30.7.1996, and agreed between the parties. It is settled law that and once the life
of panel list lapses on the date as agreed between the parties it cannot be extended beyond that date. In the instant
case the panel list of the workmen was valid upto 31.3.1997 in view of the terms and conditions enumerated in the 5th
Settlement entered into between the parties. As the lapse of panel i.e., 31.3.1997 has been agreed by State Bank of
India and State Bank of India Staff Federation through 5th Settlement, the Workman is not competent to challenge the
same.
In this context I would like to take reference of the decision of the apex court in the case of Syndicate Bank and Ors
vs. Shankar Paul and Ors , AIR 1997 SC 3091, therein the Hon‘ble Apex Court have held:-
“Till 1982, the branches of the appellant Bank in Calcutta region were recruiting persons locally to work as
temporary attenders in leave vacancies. In view of the revised procedure prescribed by the Government of India in
respect of such temporary appointments, the Calcutta regional office of the appellant Bank issued a circular to all of
its branches on 14.8.1982, instructing all the branches under it to discontinue the old practice from 1.6.1982 and
appoint only empanelled candidates. The regional office was to prepare a panel of eligible candidates, after calling
names from the local/district employment exchange, and split it up branch-wise. Following that new procedure yearly
1378
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
panels were prepared thereafter. Names of the Respondents were for the first time included in the panel prepared for
the period 7.2.1987 to 6.2.1988. By its letter dated 7.2.1987 the Bank had informed the Respondents that the panel
was valid for one year only and that inclusion of their names in the panel was not to confer on them any right to seek
permanent appointment in the service of the bank. Considering the object with which the panel was prepared and the
fact that it was an yearly panel expiring on 6.2.1988, we are of the opinion that the Respondents did not get any right,
because of inclusion of their names in the said panel, for permanent absorption in the service of the Bank. Whatever
conditional right they had came to an end with the expiry of the panel. The claim of the Respondents, as contained in
the writ petition was thus misconceived and therefore the learned single Judge and the Division Bench, when it first
decided the appeal, were right in dismissing the writ petition and the appeal respectively.”
Thus, in view of the above law laid down by the Hon‘ble Apex Court and in view of the terms and conditions of the
5th Settlement the contention of the Workman that empanelled list should continue even after 31.3.1997 till the last
Workman in the panel is absorbed is not tenable. The contention of the Workman is baseless in view of recital in
the settlement. Therefore, in view of the fore gone discussion and finding given at Point No. I regarding binding
nature of Settlements and terms and conditions enumerated therein, in view of the provision contained u/s.18(1) of the
I.D. Act, 1947, I am of the considered view that life of panels lapsed on 31.3.1997 in view of terms of settlement
dated 30.7.1996 and plea of Workman that the panel shall continue even after 31.3.1997 till last man absorbed has
no legal force and same is untenable.
38.
Undisputedly, settlement agreement dated 30.7.1996 was executed between the State Bank of India and
State Bank of India Staff Federation and in that settlement it was agreed that both the panels of temporary employees
and daily wagers/ casual employees will be used for filling vacancies existing as on 31.12.1994 as per the norms
agreed between the bank and the Federation. These empanelled workmen were to be given a chance for permanent
appointment in the bank against vacancies arising up to December 1994 whereas the daily wagers/ casual employees
were to be considered against the vacancies arise from January 1995 to December 1996, whereby the said panel
would lapse. It was agreed that the vacancies falls upto 31.3.1997 shall be filled before the empanelled list is
allowed to lapse. Thus, the claim of the Workman to the post of permanent non-messenger in the Respondent
management was subject to the availability of the sanctioned post and vacancies arising upto 31.3.1997. The
workmen given chance to the permanent post were seniors in number of working days in panel list and Workman
herein was junior to those workmen. Therefore, Workman could not be given absorption to permanent post being
junior to other workmen in the panel list.
39.
In this context the Workman witness WW1 was cross examined by the Respondent counsel and in the cross
examination the witness WW1 states:-
“I applied in response to an advertisement issued by the bank as per the settlements entered between the bank and
the union…. Further, witness states, it is true that the panel was prepared basing upon the number of days of service
put in by the temporary employees …...further witness adds, It is true that some of the employees whose names are
kept in the panel were given regular appointment in the bank in order of their seniority …. Further witness states, I
am not having any document to show that any person who had worked for less no. of days than me was given
appointment in the bank.”
Thus, from the above statement of the Workman witness WW1 it is clear that the panel was prepared in terms of
various settlements entered into between Staff Federation of State Bank of India and State Bank of India and it was
prepared on the basis of number of days of work put in by the temporary employees. Further, the Workman himself
admitted that some of the temporary employees whose names were included in the panel were given regular
appointment in the bank in order of their seniority in the panel and he is not having any document to show that any
person who worked for less number of days than the Workman was given appointment in the bank. Therefore, the
allegation of the Workman that the regular appointment has been made by the bank from the panel list in breach of the
terms of the settlement and violation of seniority of panel list is not proved by this evidence of WW1. Thus, there is
no evidence on record that bank has given the appointment to the temporary employees as well as daily wagers from
the panel list 1989 and 1992 in breach of seniority of the temporary employees in the list. There is no evidence of
jumbling in the panel list to make appointment of any permanent Workman in breach of the seniority. Therefore, I
am constrained to hold that the Respondent Management has appointed the workmen from panel list in order of
seniority and there is no jumbling of workmen in the panel list before it got lapsed on 31.3.1997.
40.
However, Workman has taken the plea that the panels of Workmen for absorption in the employment of the
Respondent banks (panels of temporary employees and daily wagers) has been lapsed on 31.3.1997 in contravention
of terms of settlement as the object of preparing the entire empanelment of temporary and daily wagers was to provide
them permanent employment and till the both the panel lists exhausted the panel list cannot be lapsed on 31.3.1997
and the date of lapsing of the panel on 31.3.1997 has been fixed by the Respondent arbitrarily without any authority.
41.
In this context, the perusal of Settlement dated 30.7.1996 reveals that the 5th Settlement dated 30.7.1996 was
entered under Section 2(p) and 18(1) of I.D. Act, 1947 read with Rule 58 of Industrial Dispute (Central) Rules 1957.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1379
This settlement has been entered into by the competent parties and in this settlement parties thereto agreed that both
the panels of temporary employees and daily wagers/casual employees will lapse on 31.3.1997. Thus the date of
lapse of panel was fixed by both the parties with consensus under the settlement dated 30.7.1996 and same is
binding upon the Workman under the provision of Section 18(1) of I.D. Act, 1947. Moreover, this issue of binding
force of the settlement dated 17.11.1987, 16.7.1988, 27.10.1988 and 9.1.1991 has already been discussed, decided at
finding in Point No.I of this award. However, the legality and validity of the aforementioned settlement has not been
challenged by the Workman before any competent forum. Thus, claim of Workman that the date of lapse of panel i.e.,
31.3.1997 has been fixed arbitrarily by the Respondent bank is untenable. As regard the claim of Workman for his
absorption to the permanent post it is settled law that the Workman can not claim his regularization to permanent
post merely on the basis of number of working days.
42.
In this context the reference of the decision of Hon‘ble Supreme Court in the case of Oil and Natural Gas
Corporation vs Krishan Gopal 2020(3) SCALE 272, date of decision 7.2.2020 is relevant therein Hon‘ble
Supreme Court have has laid down principle regarding regularization of the Workman on permanent posts. Hon‘ble
Supreme Court have laid down the prepositions of regularization of the workmen to permanent post is as under:-
―(i) Wide as they are, the powers of the Labour Court and the Industrial Court cannot extend to a direction to order
regularisation, where such a direction would in the context of public employment offend the provisions contained
in Article 14 of the Constitution;
(ii) The statutory power of the Labour Court or Industrial Court to grant relief to workmen including the status of
permanency continues to exist in circumstances where the employer has indulged in an unfair labour practice by not
filling up permanent posts even though such posts are available and by continuing to employ workmen as temporary
or daily wage employees despite their performing the same work as regular workmen on lower wages;
(iii) The power to create permanent or sanctioned posts lies outside the judicial domain and where no posts are
available, a direction to grant regularisation would be impermissible merely on the basis of the number of years of
service;
(iv) Where an employer has regularised similarly situated workmen either in a scheme or otherwise, it would be open
to workmen who have been deprived of the same benefit at par with the workmen who have been regularised to make
a complaint before the Labour or Industrial Court, since the deprivation of the benefit would amount to a violation of
Article 14; and
(v) In order to constitute an unfair labour practice under Section 2(ra) read with Item 10 of the Vth Schedule of the ID
Act, the employer should be engaging workmen as badlis, temporaries or casuals, and continuing them for years, with
the object of depriving them of the benefits payable to permanent workmen.
Thus, in view of the principles laid down by the Hon‘ble Supreme Court as discussed above, in the instant matter the
Workman utterly failed to prove his claim by adducing any documentary or oral evidence that the employer has
indulged in unfair labour practice by not filling the permanent posts even though such posts are available and by
continuing to employ workmen as temporary or daily wage employees despite their performance was the same work,
as regular workmen on lower wages.
43.
Respondent has contended that all the vacancies exist and arise upto 31.3.1997 has been filled up from the
panel list in order of seniority and no vacancy exists or arises as on 31.3.1997 remained unfilled. Further, it is
contended that as per terms of settlement the life of panel lists has been lapsed on 31.3.1997, hence, there is no
occasion to extend the life of panel lists beyond 31.3.1997. However, the workman failed to prove contrary by any
evidence to the aforesaid contention of the Respondent that the vacancies were existing as on 31.3.1997 and the
workman was not given absorption to the permanent post in order of his seniority. It is settled law that the power to
create permanent or sanctioned post lies outside the judicial domain and where no posts are available, a direction to
grant regularization would be impermissible merely on the basis of the number of years of service. Therefore, the
claim of the workman on this ground also not acceptable.
44.
Further, as per the of settlement, panel was prepared for absorption of the workmen on the permanent posts
has already been lapsed on 31.3.1997 and the vacancies existing and arising upto 31.12.1994 and upto 31.3.1997 as
settlement dated 30.7.1996 has been filled up from the panel by appointing the workmen as per seniority in the panel
list. Workman witness WW1 in his cross examination has himself admitted this fact that, some of the temporary
employees whose names were included in the panel were given regular appointment in the bank in order of their
seniority in the panel. The Workman failed to show that there was any breach of terms of settlement has been
committed by the Respondent in appointment to permanent post from aforesaid panel list.
45.
As discussed in preceding paragraph of this Award, the life of the panel has not been extended beyond
31.3.1997, by any further settlement hence, the panel list in which name of the Workman was included got expired
on 31.3.1997. It is not the case of the Workman that Respondent has regularized similarly situated workmen either in
the scheme or otherwise and the Workman has been deprived of same benefit on par with those workmen or the
vacancies remained unfilled on the date of lapse of panels i.e., 31.3.1997, Industrial Tribunal has no jurisdiction to
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THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
extend the date of lapse of panel i.e., 31.3.1997. This Tribunal can not order for regularization of workmen to the
permanent post in contravention of the provision of Article 14 of the Constitution of India.
In the case of Mahboob Deepak vs. Nagar Panchayat Gajraula & Anr, Civil Appeal No.5875/2007 date of
judgement 13.12.2007, Hon‘ble Supreme Court have held:-
“8. Respondent is a Local Authority. The terms and conditions of employment of the employees are governed by a
statute and statutory rules. No appointment can be made by a Local Authority without following the provisions of the
recruitment rules. Any appointment made in violation of the said rules as also the constitutional scheme of equality as
contained in Articles 14 and 16 of the Constitution of India would be a nullity.
9. Due to some exigency of work, although recruitment on daily wages or on an ad hoc basis was permissible, but by
reason thereof an employee cannot claim any right to be permanently absorbed in service or made permanent in
absence of any statute or statutory rules. Merely because an employee has completed 240 days of work in a year
preceding the date of retrenchment, the same would not mean that his services were liable to be regularized.”
Therefore, in view of the law laid down by the Hon‘ble Apex Court, the claim of the Workman for absorption merely
on the basis of number of day of work in the Respondent bank Branch is not acceptable. As regard plea of the
Workman that the Workman should have been given employment even after 31.3.1997 as temporary Workman, it is
the discretion of Respondent to engage the Workman depending upon availability of work and this Tribunal can not
direct the Respondent to engage the Workman in the absent of such rule/scheme.
46.
In view of principle laid down by Hon‘ble Apex Court as discussed above, in the instant matter Workman
utterly failed to establish the fact of rendering continuous service for a period of 240 days of service within a period
of 12 calendar months commencing and coming backward from relevant date i.e., the date of retrenchment, if has he
would be denied to be in continuous service for a period of one year. Therefore, the provision contained under
Sec.25F of retrenchment is not applicable to Workman.
Counsel for Workman has relied upon number of decisions of Hon‘ble High Court and Hon'ble Supreme Court and
few of them are discussed herein:-
In the case of F.C.I., vs. Kamdhenu Cattle Feed Industries 1993 (1) SCC 71, therein Hon‘ble Supreme Court have
held:-
“7. In contractual sphere as in all other State actions, the State and all its instrumentalities have to conform to Article
14 of the Constitution of which non-arbitrariness is a significant facet. There is no unfettered discretion in public law:
A public authority possesses powers only to use them for public good. This impose the duty to act fairly and to adopt a
procedure which is `fairplay in action'. Due observance of this obligation as a part of good administration raises a
reasonable or legitimate expectation in every citizen to be treated fairly in his interaction with the State and its
instrumentalities, with this element forming a necessary component of the decision making process in all State
actions. To satisfy this requirement of non- arbitrariness in a State action, it is, therefore, necessary to consider and
give due weight to the reasonable or legitimate expectations of the persons likely lo be affected by the decision or else
that unfairness in the exercise of the power may amount to an abuse or excess of power apart from affecting the bona
fides of the decision in a given case. The decision so made would be exposed to challenge on the ground of
arbitrariness. Rule of law does not completely eliminate discretion in the exercise of power, as it is unrealistic, but
providers for control of its exercise by judicial review.”
In the case of State Bank of India, R.O., Vijayawada vs. Industrial Tribunal, Hyderabad WP No.193/1997,
therein Hon‘ble High Court have held,
―Sri Krovvidi Narasimham, the learned counsel for the 2nd respondent contends, supporting the award that it was a
permanent vacancy and even though the 2nd respondent was appointed on temporary basis, his services were not
liable to be terminated and he was to be regularised into service on permanent basis. Shastry award warrants that no
temporary appointment can be made to a permanent post. But the matter is now covered by two division bench
judgements dated 28.11.1986 in W.A. No.791 of 1986 and 25.8.1987 in W.A. No.270 of 1982. The ratio decided in the
two judgements is to the effect that there cannot be any mandate to appoint employees on permanent basis when the
requirement was for appointment on temporary basis. But it is held in the said judgements that when a temporary
appointee is ousted from service and not for misconduct and, if again temporary appointment is to be made, then, the
case of such temporary appointee who was ousted, has got to be considered in accordance with Sec. 25-H of
the Act.”
In the case of State of Haryana and others vs. Piara Singh and others. 1992 (4) SCC 118, therein Hon‘ble
Supreme Court have held:-
“ 49. If for any reason an adhoc or temporary employee is continued for a fairly long spell, the authorities must
consider his case for regularization provided he is eligible and qualified according to the rules and his service record
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1381
is satisfactory and his appointment does not run counter to the reservation policy of the state.”
In the above cited judgements by the Workman the facts of the case are different hence do not apply to instant case
of Workman.
47.
On the other hand, in support of his contention Respondent has examined witness MW1 and MW1 in chief
examination states that, Settlements i.e., on 17.11.1987, 16.7.1988, 27.10.1988, 9.1.1991 were entered into between
the SBI and SBI Staff Federation for filling up of the vacancies that arise up to 1994 for those temporary employees
who has worked on scale wages. Further, MW1 states that two different panels for messengers and non-messengers
as per the eligibility criteria prescribed by the bank. There are four modules in Andhra Pradesh and they are
Hyderabad, Tirupathi, Vijayawada and Visakhapatnam. MW1 states that the temporary employees so empanelled
were given permanent absorption depending upon the vacancies so arise strictly in terms of the settlement. MW1
states that on 9.6.1995 conciliation proceeding was held before the RLC(C), Hyderabad and in said proceedings it
was decided that the panels will be kept live up to 31.3.1997 and vacancies will be filled from both the lists
concurrently. A copy of the said minutes of proceedings is Ex.M5. Further, MW1 states that on 30.7.1996 another
settlement was entered between the SBI and All India SBI Staff Federation providing for filling up of the vacancies
arising up to December 1994 in respect of subordinate cadre and daily wage /casual wage employees out of panel so
prepared were to be considered against vacancies arising from January 1995 to December 1996, thereafter the said
panels lapse. MW1 states that it was also agreed that all the non- messenger positions in subordinate cadre including
part time attendants specially provided as leave reserve will be filled before 31.3.1997 and as regards to non-
messengerial positions it is agreed that all such posts sanctioned and fallen vacant up to 31.3.1997 shall be filled
before the empanelled list is allowed to lapse. Thus in both the cases empanelled list were lapsed on 1.4.1997.
Ex.M6 is the copy of the settlement dated 30.7.1996. Further, witness states that on 27.2.1997 a memorandum of
understanding was reached between the SBI and SBI Staff Federation providing that both the panels above mentioned
will lapse on 31.3.1997. Ex.M7 is the copy of the memorandum of understanding and Ex.M8 is the copy of the
statements giving the particulars of 1989 non-messenger panel, Ex.M9 is the copy of the statement of 1989 non-
messenger panel, Ex.M10 is the copy of statement of 1992 panel. Further, witness states that petitioner was included
in the 1989 panel. As the existing vacancies at that time were exhausted and his turn did not come he could not be
given permanent employment in the bank as per the agreements. All the appointments were made strictly in
accordance with the settlements reached from time to time between SBI and SBI staff federation and as per seniority,
number of days of temporary service put in by them in the bank in the given period. Further, MW1 states petitioner
was not sponsored by any employment exchange he did not undergo the regular process of selection required for
appointment as a regular non-messenger the petitioner has not worked for 240 days in any year in his entire temporary
service in the bank. The petitioner and other temporary employees were terminated from service by the bank.
Further, MW1 states that the vacancies were filled up on regular basis with the temporary employees from the panels
and these panels were expired in terms of the settlements so reached and there were no vacancies to absorb such
employees. Thus, witness MW1 has proved the documents Ex.M1 to Ex.M12 and also contentions made in the
counter. However, MW1 was cross examined by the Petitioner Counsel. But nothing has been elicited in his cross
examination so as to discredit the testimony of the witness MW1 as regards the date of lapse of both the panels on
31.3.1997 and reasons assigned for non-absorption of the Petitioner from the panel list to the permanent post.
Moreover the witness MW1 was re-examined by the Respondent and the witness MW1 states that panels were expired
in terms of the settlement send absorptions to the extent of the available vacancies were made. There was no
termination of any temporary messenger as such but their services were not utilized after the cut off date as the
available vacancies were already filled up and most of these Petitioners were not in the service of the bank as on the
date of the expiry date of the panels. Therefore, in view of the aforesaid testimony of the MW1 in re-examination in
the absence of cross examination remained uncontraverted, the claim of the Workman that he was entitled for
absorption in permanent post in the branch of Respondent Management on the basis of panel list is found not
established.
This point is answered against the Workman.
48.
Point No.IV:- In view of the discussion and finding given at Point Nos. I, II and III, the Workman is not
entitled for any relief and claim statement of Workman sans merit and liable to be dismissed.
This Point is answered accordingly.
ORDER
In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the
services of Sri Pasala Pushpa Raju, Ex. Messenger by way of oral orders w.e.f. 31.3.1997 is justified. Hence, the
Petitioner is not entitled for any relief as prayed for. The claim statement filed by Workman sans merit, hence,
dismissed. Reference is answered accordingly.
Award is passed accordingly. Transmit.
Typed to my dictation by Smt. P. Phani Gowri, Personal Assistant, transcribed by her, corrected and signed
by me on this the 4th day of February, 2026.
IRFAN QAMAR, Presiding Officer
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[PART II—SEC. 3(ii)]
Appendix of evidence
Witnesses examined for the
Witnesses examined for the
Petitioner
Respondent
WW1: Sri Pasala Pushpa Raju
MW1: Sri K. Bala Kotaiah
Documents marked for the Petitioner
Ex.W1: Photocopy of notification
Ex.W2: Photocopy of interview call letter
Ex.W3: Photocopy of Panel list
Ex.W4: Photocopy of service certificate
Ex.W5: Photocopy of Service certificate
Ex.W6:Photocopy of notification
Ex. W7:Photocopy of Circular dated 14.07.1999
Documents marked for the Respondent
Ex.M1:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.17.11.87
Ex.M2:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.16.7.88
Ex.M3:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.27.10.1988
Ex.M4:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.9.1.1991
Ex.M5:
Photocopy of conciliation proceedings before the Regional Labour Commissioner(C) dt.9.6.1995
Ex.M6:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.30.7.1996
Ex.M7:
Photocopy of Memorandum of understanding dt. 27.1.1997
Ex.M8:
Photocopy of statements giving the particulars of 1989 messenger panel.
Ex.M9:
Photocopy of statement of 1989 Non-messenger panel
Ex.M10:
Photocopy of statement of 1992 panel
Ex.M11:
Photocopy of order of Hon‘ble High Court in WA No.86/98 dt. 1.5.98
Ex.M12:
Photocopy of order in SLP No.11886-11888 of 1998 dated 10.8.98
नई ददल्ली, 2 मार्च, 2026
का.आ. 299.—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj
ds izca/kr=] lac) fu;kstdkas vkSj muds deZdkjksa ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh;
ljdkj औद्योजगक vf/kdj.k@Je U;k;ky;
ds iapkV (a99/2002) izdkf'kr djrh gSA
[सं. एल-12012/177/2000-आई आर(बी-I)]
सलोनी, उृ जनदेिक
New Delhi, the 2nd March, 2026
S.O. 299.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Ref. 99/2002) of the Cent.Govt.Indus.Tribunal-cum-Labour Court
Hyderabad as shown in the Annexure, in the industrial dispute between the management of State Bank of
India and their workmen.
[No. L-12012/177/2000– IR (B-I)]
SALONI, Dy. Director
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1383
ANNEXURE
IN THE CENTRAL GOVERNAMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT
HYDERABAD
Present: Sri IRFAN QAMAR
Presiding Officer
Dated the 3rd day of February, 2026
INDUSTRIAL DISPUTE No. 99/2002
[Old ID No.121/2000 of Industrial Tribunal No.I, Hyderabad]
Between:
Sri C. Srinivasa babu,
S/o C. Krishna Murthy,
R/o 20/775, Co-op colony,
R.K. Nagar,
Cuddapah Dist.-516001
… Petitioner
And
The Deputy General Manager,
State Bank of India, Zonal Office,
Renigunta Road, Tirupathi-517501.
…..Respondent
Appearances:
For the Petitioner :
Sri Macherla Rangaiah, Advocate
For the Respondent:
Sri Y. Ranjeeth Reddy, Advocate
AWARD
The Government of India, Ministry of Labour by its order No. L-12012/177/2000-IR(B.I) dated 19.09.2000
referred the following dispute under section 10(1)(d) of the I.D. Act, 1947 to Industrial Tribunal No.I, Hyderabad for
adjudication and later the same has been transferred to this Tribunal bearing ID No.121/2000, as per orders of Central
Government vide Lr.No.H-11026/1/2001-IR(C.II) dated 18.10.2001, requiring this forum to decide the question:
SCHEDULE
―Whether the action of the management of State Bank of India, Cuddapah Main Branch justified in
terminating Sri C. Srinivasababu, Messanger, from the services of the Bank? If not, what relief he is entitled
to?‖
After receipt of the reference, it was numbered as ID No. 99/2002 and notices were issued to both the Workman and
the management.
2.
Before unfolding the factual matrix of the instant industrial dispute it would be apposite to have a bird eye
view of a chequered history of the instant industrial dispute. Earlier instant industrial dispute along with the batch
cases was decided by this Tribunal vide common award dated 17.5.2005 and the reference was answered in favour of
the Respondent and against the Workman. That said common award dated 17.5.2005 was challenged by the
aggrieved Workmen in various Writ petition No.6470/2014 along with batch of writ petitions before the Hon‘ble High
Court of Andhra Pradesh and Hon‘ble High Court vide its‘ judgement dated 23.6.2014 allowed all batch of writ
petitions and set aside the common award dated 17.5.2005 passed in ID No.222 of 2001 and other batch of ID cases
by Central Government Industrial Tribunal cum Labour Court, Hyderabad and the Respondent management of State
Bank of India was directed to reengage the Writ Petitioners in position, which they have been occupying prior to their
termination and further directed to consider their cases for regularization as and when the substantive vacancy arises.
This judgement dated 23.6.2014 of Hon‘ble High Court of AP, passed in WP No.6470/2014 and batch petitions was
challenged by Respondent management before the Hon‘ble High Court in Writ Appeal No. 1268 of 2014. The
aforesaid Writ Appeals No.1268/2014 and other Writ Appeals were decided by Division Bench of High Court of
Andhra Pradesh by a common judgement dated 20.3.2019. Hon‘ble High Court in aforesaid Writ Appeal was
pleased to pass the order which is extracted as below:-
“ 7. Hearing the learned senior counsel for the SBI and the learned senior counsel for the contesting unofficial
Respondents, we see that while the learned single Judge was justified in setting aside the award of the Tribunal, the
1384
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
proper course to be adopted was to remit all the cases to the Tribunal. This we say for reasons more than one. Firstly,
in such matters, claims have to be decided on individual basis, as different persons have different claims as to the
length of officiation or discharge of duties and functions; quality of engagement, drawings, accounting of the post for
each one of them, who have worked etc. AIl these issues will not be the same in all the cases. Therefore, each case
ought to have been directed to be decided by the Tribunal afresh on individual basis. The second and most important
aspect is the learned single Judge has in one go ordered re-employment of all the workmen. This is not a relief that
could have been granted without answering the individual issues; each issue relating to each case could not have
been decided by the writ Court within the format of its adjudication procedures and scope. The adjudicating body,
which has to do that activity, is the Industrial Tribunal. Therefore, we are of the view that while we would sustain the
order of the learned singe Judge insofar as it interfered and sets aside the award of the Tribunal, the further findings
and directions, issued through the impugned order have to go and the individual cases have to be sent back for
consideration of the Tribunal. Such further procedure before the Tribunal will have to be carried forward with the
materials already on record and also by affording an opportunity to the persons, who have claims as well as the
management to place their rival contentions and further material before the Tribunal. The learned counsel appearing
for the workmen are justified in pointing out that enormous delay has already happened and further action by the
Tribunal in this line may be expedited.
9. In the result, these writ appeals are ordered;
(1) affirming the impugned common order of the learned single Judge to the extent it sets aside the common award
dated 17.05.2005 of the Industrial Tribuna!;
(2) the further findings and directions issued through the impugned common order are vacated:
(3) all the matters shall be remitted to the Industrial Tribunal with a direction to dispose of them within an outer limit
of five (5) months from the date of receipt of a copy of this order; and,
(4) the parties to make appearance before the Tribunal on the given date.”
Thus, in view of the above direction of Hon‘ble High Court of Andhra Pradesh in W.A.No.1268 of 2014 and batch
cases. This Tribunal has taken up the matter of industrial dispute for hearing and deciding it afresh in view of the
aforesaid guidelines laid down by the Hon‘ble High Court in Writ Appeal No.1268/2014 vide judgement dated
20.3.019.
3.
The factual matrix of instant industrial dispute as narrated by the Workman in his claim statement are that,
the Workman joined in the service of the management institution as Messenger from 1987 to 1997, and has rendered
unblemished service spreading over a period of about 11 years. The Respondent has terminated services of
Workman by oral orders with effect from 1.4.1997. Further, it is submitted that the management of Respondent
bank decided to give a chance to temporarily employed personnel ―found suitable for permanent appointment‖ by
wait- listing them by offering permanent appointment or waitlisting till such opportunity arises.
4.
That on 17.11.1987 a settlement was reached between All India State Bank of India Staff Federation and the
Management of State Bank of India - settlement one, under this settlement three categories of employees were
listed. That is, A) those who have completed 240 days in 12 months or less after 1.7.1975. B) those who have
completed 270 days in any continuous block of 36 calendar months after 1.7.1975. C) (i) those who have completed
minimum of 30 days aggregate temporary service in any calendar year after 1.7.1975 or (ii) 70 days aggregate
temporary service in continuous block of 36 months after 1.7.1975.
5.
The persons who satisfied in all the above 4 categories were to be interviewed by a selection committee and
the said selection committee would determine the suitability of the said candidate for permanent appointment.
Therefore, the bank prescribed certain qualifications and from among the candidates satisfying the qualifications the
suitable candidates were enlisted by a selection committee. The Clause 7 of the said agreement provided with the
selected candidate would be wait listed in order of their respective categorization and the selected panel would be
valid upto December, 1991. Clause 10 of the settlement specifically provided that henceforth. ―there will be no
temporary appointments in the subordinate cadre‖, except on a restrictive basis in the specified category, ―from
amongst empanelled candidates as per existing guidelines of the bank‖. The Workman further submits that
consequent upon the said agreement and the draft, a notification was issued in the newspapers. The last date for
responding to the advertisement was 30.8.1988. A written examination followed by viva-voce in May, 1989 was
held. A selected panel was prepared, as per Clause 7 of the agreement, ie. Settlement No.1, the selected panel was to
be valid upto December, 1991, the Workman submits that circular was issued on 26.4.91 by the said letter it is
mentioned that the terms of the agreement dated 17.11.87 was modified vide second agreement dated 16.7.88 was
entered into between the parties. In terms of the said agreement a chance was to be given, ―to all eligible temporary
employees for permanent appointments. The appointments were against the vacancies likely to arise during the
years 1995-96, circular made it clear that in view of the enormity of the problem an extension of the currency of the
panel, eligible temporary employees who have been empanelled could not appear in the earlier interviews and have
been pursuing their cases thereafter, ―will be given another chance to appear for interview‖.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1385
6.
Workman submits that there were total five settlements. The settlement dated 17.11.87 is the 1st
settlement (Ex M1), settlement dated 16.7.88 is 2nd settlement (Ex M2), settlement dated 27.10.88 is the 3rd
settlement (Ex M3), then settlement dated 9.1.91 is 4th settlement and settlement dated 30.7.96 is 5th settlement
(Ex M6). In between there is minutes of conciliation proceedings dated 9.6.95 marked as Ex M5. That due to all
these settlements which were extended by subsequent settlements thereby created reasonable expectations in the
list of the selected candidates arose with that it‘s a question of time their appointments or services would be
regularized in the services of the bank. The Workman was working with the bank on temporary basis was under the
bonafide hope that sooner his services will be regularized with the bank. He is thereby closed all his options
elsewhere. It is needless to point out that employing person to whom hope of employment in substantial terms was
made is a facet of Article 21 of the Constitution of India.
7.
Further Workman submits that the Government of India issued Circular No. F-3/3/104/87-IR, dated
16.8.1990. Under said circular the chief Executives of all public sector banks including the Management herein were
specifically instructed that until the problem of existing temporary employees is fully resolved, no bank is permitted to
make any permanent appointments. That some of the persons similarly situated like this Workman aggrieved by the
inaction on the part of the management of the bank is not regularizing their services from out of the selected panel
and not clearly focusing the vacancy position, filed W.P. No. 4194/97 before Hon‘ble High court of A.P.. It is
specifically averred in the said writ petition that the Management of the bank had failed to implement the settlement
and that it violates the various fundamental rights guaranteed under the constitution of India. The Hon‘ble High
court of A.P .. by order dated 5.3.97 directed the bank to implement the settlement as amended from time to time. It
also directed the bank to carry out the terms of settlement before the expiry of March, 1997. The Hon‘ble High
Court also recorded finding that the Bank cannot escape its liability of enforcement of the Settlement. In view of the
directions given by the High Court all candidates whose names appeared in the select panels prepared on the basis of
the agreement entered into on 17.11.87 under which the panel was valid upto December, 1991, and on the basis of a
settlement dated 27.10.1988 whereby the panels were made alive upto 31.3.1997 under which the panel was valid upto
December, 1999. The other agreement dated 16.7.1988 under which the panel was valid upto 1992 and on the basis
of the settlement dated 27.10.1998 whereby the panels were made alive upto 31.3.1997 were under the bonafide
impression that their cases will be considered for regularization and were living on the basis of the said reasonable
expectation. Unfortunately, contrary to the aforesaid directions given by the High Court and contrary to the
settlements entered into between the parties, the bank issued proceedings dated 25.3.1997, dated 27.3.1997 and
31.3.1997 instructing the various authorities of the Management not to continue the temporary employees those who
are in services of the bank from 1.4.97. The said order was followed by the Management. Aggrieved by the said
action the Workman herein and similarly situated candidates have filed a writ petition before the Hon'ble High Court
and by way of Writ Petition No.9206/97 seeking a declaration that the proceedings issued by the Deputy General
Manager and the Assistant General Manager (Respondents 3,4 and 5 therein) on 25.3.97, 27.3.97 and 31.3.97 as
illegal and also non-continuance of the Workmen therein in service by absorbing them in the services of the bank as
violative of Section 2(p) and 18(1) read with Rule 58 of Central Rules and sought for specific direction to the bank to
absorb them in service.
8.
Further, Workman submits that in the counter affidavit filed in Writ Petition No.9206/97, the bank has
submitted that it has about 805 branches in Andhra Pradesh alone. It has stated that due to exigencies of
circumstances and on account of the urgent need in its banks, it employed temporary employees in subordinate cadre.
It is pertinent to mention that it does not state the urgent or need or the nature of temporary employees that it had
engaged. Enquiry into the same would reveal that the stand taken by the bank either on the ground of urgent need or of
temporary employees is a façade to perpetuate unfair labour practice. It is designed to on the one hand, keep the
employed in the erroneous zone of hope and on the other to ensure that benefits that a model employer will extend
under various statutes to its employees is not required to be borne out by the bank. A reading of the counter affidavit
would show that the bank would opines that being just fair and reasonable are which obviously is reprehensible and is
a facet of unfair labour practice.
9.
The Workman submits that the bank had referred in its counter affidavit to three settlements dated 17.11.87,
16.7.88 and 27.10.88. The bank in the guise of extending the benefits of the circular of Government dated 16.8.90
stated in its counter affidavit that as follows:
"Government of India, vide its letter dated 16.8.1990, issued guidelines to all the public sector banks with regard to
recruitment and absorption of temporary employees in public sector banks. The said guidelines were issued to
implement on the lines of the approach paper on the issue provided by a committee constituted in this regard. The
Government of India guidelines made it clear that all the public sector banks may follow the provisions laid down in
the approach paper.
The approach paper specified that the cases of temporary employees who had put in not less than 240 days of
temporary service in 12 consecutive Months and who are entitled to benefit of Section 25-F may be decided by
entering into a settlement with the representative union. In respect of temporary employees who had put in less than
240 days of service in 12 consecutive months or less, a settlement could be avoided and however if the Management
1386
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
so desired, they could enter into a conciliation settlement with the representative union. Para 6(h), it is mentioned
that only those temporary employees who had put in temporary service of 90 or more days after 1.1 1982 would be
eligible for considering under the scheme. Although the Government guidelines envisaged for a settlement in respect
of employees who had put in temporary service of 90 or more days, the bank by way of further concession entered
into settlements Even in respect of those who had put in less than 90 days. As such, it could be Seen that the
settlements are more beneficial to the temporary employees concerned. The approach paper also specify at para 6(c)
that the banks would provide one time opportunity to all the temporary employees and for that purpose temporary
employees worked in the bank on or after 1.1.1982 could be considered for re-employment in terms of the scheme.
The Respondents have gone further wherein even persons working after 1975 were also considered.
As could be seen from the above, there was a genuine effort on the part of the Respondent bank to provide
permanent employment for as many as possible subject to availability of the vacancies.
It is further submitted that at para 6(k) of the approach paper, it was made clear that this would be one time
exercise in full and final settlement of all the aims and disputes for the past period in respect of temporary workmen
covered by the settlement. This would mean that the Government of India guidelines would cover only those persons
who were temporarily employed for the period specified therein and not otherwise. As such, it is submitted that the
Respondents have not only followed the Government of India guidelines but in fact covered cases of the employees
who had worked for less than 90 days. As such, question of violation does not arise and in any case those were only
broad guidelines and not directives".
10.
The Workman submits that the bank also referred a subsequent settlement dated 9.1.1991 wherein there is a
clause to the effect- that the panel of temporary employees and the panel of daily wage employees will be operated to
a particular period. Therefore, their cases will not be considered. The Management herein relying upon this settlement
in their impugned action. It is submitted that even the settlement dated 9.1.1991 will not empower the management
to terminate the services of the temporary employees who are working in the bank services like the Workman herein
as it does not specify the termination of the employees. In fact there are so many vacancies wherein the Management
has engaged several new persons as temporary messengers/ attendars/ sweepers etc., even after the judgment of
Hon‘ble High Court without considering the cases of the similarly situated candidates like the Workman herein. It is
submitted inspite of engaging fresh candidates as is now being done by the Management they would have continued
the similarly situated candidates like the Workman herein in the services of the bank and consider their cases for
absorption in view of the circulars issued by Central Government as well as the directions of this Hon'ble Court in
Writ Petition No.4194/97, dated 5.3.97. In view of the circulars issued by the Central Government, the Management
should not have relied upon the settlement dated 9.1.1991. Hence, the impugned action of the Management is illegal,
unjust, violative of fundamental rights such as Articles 14,16 and 21 of the Constitution of India.
11.
The Workman submits that in W.P. No.4194/97 filed by the union of temporary employees where in they
have complained about the non- implementation of the settlements arrived between the parties and sought for
absorption. Such employees in the bank services on permanent basis before the date fixed for carrying out the terms
of settlement, the Court held that the members of the union had been empanelled in the list, they were not regularized
and the time was going to run out to the near future and the Respondent bank and its officers cannot escape from the
liability of enforcing the settlement which has been reached and therefore directed that the bank and the officers shall
implement the settlement dated 17.11.87 as amended from time to time before the expiry of 31.3.97.
12.
Further, it is submitted that in the clause of Settlement it is specifically mentioned that the workmen to be
absorbed/appointed in the bank prohibiting any temporary appointments subsequent to the date of settlement even the
authorities want to make temporary appointments that should be made only from among the empanelled can be
appointed either for temporary vacancy or permanent vacancy except from among the empanelled candidates like the
Workman and that should be continued till they are absorbed. The management committed unfair labour practices
and terminated the services of the candidates with effect from 1.4.1997 which is arbitrary, discriminatory, contrary to
their own guidelines and violative of the constitutional provisions which are guaranteed in Chapter-III of the
Constitution of India.
13.
The Workman submits that it is strange as to how the panels were allowed to lapse by a so-called
Memorandum of Understanding dated 25.2.1997, that the action of terminating such employees like the
Workman by virtue of an impugned oral proceedings without implementing the settlement would be illegal and unfair
labour practice which cannot be allowed to be perpetuated. That the discontinuance of the Workman after 31.3.97
who had served in the bank in any capacity amounts to retrenchment. It could not have been done without any notice
and it violates Sec.25FF of the Industrial Disputes Act, 1947 and the said action is violative of principles of natural
justice guaranteed under Chapter III of the Constitution of India. This amounts to retrenchment without one month's
notice and taken in view of such notice. Thus, the main proceedings issued by the Respondent is without jurisdiction
and is arbitrary, illegal and therefore liable to be quashed. That the alleged Memorandum of Understanding dated
27.2.97, Ex.M5 does not own any legal entity, as the said Memorandum of Understanding is not published anywhere
to brought to the notice of the Workman whose rights are being affected. It is submitted that Management did not
adhere to the procedure envisaged by the Central Government in its' instructions dated 16.8.90 in the year 1995. The
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1387
same was not followed in the year 1997 despite there being vacancies.
The management has followed the
procedure of calling candidates through Employment exchange instead of giving chance to the empanelled candidates
like the Workman here. It is pertinent to mention here that the Respondent Management sent letters to the all
similarly situated candidates like the Workman in the month of June, 1997, subsequent to the passing of impugned
termination orders. After knowing the facts that the candidates are litigating, the Management refused to engage these
candidates. It is once again reiterated that the panels are meant for absorption but not for termination. It was the duty
of the Management to engage the empanelled candidates like the Workman even in temporary vacancies till they are
absorbed permanently in regular vacancies. Hence, the action of the Respondent Management terminating the
services of the Workman by oral order dated 31.3.97 is unjust, illegal, violative of principles of natural justice and
hence, the Management be directed to reinstate and absorb the Workman and to grant all incidental and consequential
benefits.
14.
Per contra, Respondent had filed counter and made a contentions that the reference is not tenable and
contrary to the provisions of I.D. Act, 1947. Respondent submitted that to tide over severe sub-ordinate staff
constraints which arose out of leave vacancies, exigencies, etc., and also owning to the restrictions imposed by the
Government of India/Reserve Bank of India on intake of staff, the Respondent bank used to engage sub-ordinate staff
like messengers, sweepers, sweeper cum water boys, etc., depending on the availability of work on purely temporary
basis for the smooth and uninterrupted functioning of the branches. It is submitted that the All India State Bank of
India Staff Federation which represents majority of the employees in the State Bank of India comprising about 98% of
the work force as its' members espoused the cause of temporary employees who have put in less than 240 days of
temporary service in 12 calendar months in the bank and who were ineligible for any protection under Industrial
Disputes Act, 1947 to give a chance for being considered for absorption and permanent appointments.
15.
Discussions were held and on 17.11.1987 an agreement was signed between the federation and the
Management bank under Sec. 2(p) read with Sec 18(1) of the Industrial Disputes Act, 1947 read with Rule 58 of
Industrial Disputes (Central) Rules 1957. A copy of the said settlement dated 17.11.87 which may be herein after
referred as first settlement is filed and 4 categories were made as it has already been mentioned in the claim statement
above, it need not be repeated here. In the first settlement, it was agreed that the temporary employees as categorized
would be given a chance for being considered for permanent appointment in the bank's service against the vacancies
which are likely to arise during the period 1987 to 1991. On 16.7.88 second settlement was arrived between the
Federation and the Bank whereby it was agreed to substitute the period of consideration of vacancies as 1987 to 1992
in place of 1987 to 1991 as contemplated under the first settlement dated 17.11.1987. This is the second settlement.
A 3rd settlement was entered into on 27.10.88 and it was agreed that the bank's service against the vacancies likely to
arise from 1988 to 1992 was to be considered. Government of India vide its letter dated 16.8.90 issued guidelines to
all the public sector banks with regard to recruitment and absorption of temporary employees in public sector banks.
The said guidelines were issued to implement on the lines of approach paper on the issue provided by a committee
constituted in this regard. Government of India guidelines made it clear that all the public sector banks may follow
the provisions laid down in the approach paper. The approach paper specified that the cases of temporary service in
12 consecutive months and who are entitled to benefit of Sec.25F of the Industrial Disputes Act, 1947 may be decided
by entering into a settlement with the representative union. In respect of temporary employees who had put in less
than 240 days of service in 12 consecutive months or less, a settlement could be avoided and however if the
Management so desired they could enter into a conciliation settlement with the representative union. In para. 6(h) it
is mentioned that only those temporary employees who had put in temporary service of 90 days or more days after
1.1.82 would be eligible for considering under the scheme. Although the Government guidelines envisaged for a
settlement in respect of employees who had put in temporary service of 90 days or more days, the bank by way of a
further concession entered into settlements. Even in respect of those who had put in less than 90 days and also the
bank went a step further and said those persons who are working after 1975 were also considered. Hence, there was a
genuine effort on the part of the Respondent bank to provide as many as possible jobs subject to the availability of the
vacancies. However, para 6 (k) of the approach paper made it clear that it is a one time, exercise in full and final,
settlement of all the claims and disputes for the past period, in respect of temporary workmen covered by the
settlement. Another settlement was entered on 9.1.91 herein after referred as 4th settlement and the time limit was
extended upto 1994 and separate panel was prepared for temporary employees, casual/daily wagers. It was agreed that
while vacancies arising between 1988 to 1994 in respect of temporary employees and in respect of casual/daily
wagers, they can be considered for the vacancies arising between 1995-96 only.
16.
It is submitted that the administrative set up of the Hyderabad Local Head Office comprises of four Zonal
Offices (Zones) at Hyderabad, Vijayawada, Visakhapatnam and Tirupathi covering all the Districts of Andhra
Pradesh. In terms of the settlement the Management after following the procedure laid down therein prepared the
panels of qualified candidates of temporary employees denoted as 1989 panel and also panel of casual/daily wagers
denoted as 1992 panel for giving a chance for being considered for permanent absorption. These panels were
prepared zone-wise separately for messengers and non-messengers in the descending order of temporary service put in
by the candidates during the stipulated period i.e., 1.7.1975 to 31.7.1988. That the Federation approached the
Regional Labour Commissioner(C) for implementation of bi-partite settlement in respect of absorption of temporary
employees. The Regional Labour Commissioner(C) conducted conciliation proceedings and an agreement was
1388
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
arrived between the Federation and the bank. It was agreed that it would be kept alive upto March, 1997. A copy of
the conciliation proceedings dated 9.2.1995 signed by the parties is filed as material paper. A settlement was arrived
at and an agreement was signed between the Federation and the Management bank on 30.7.1996 under Sec.2 (p) read
with Sec.18(1) of the Industrial Disputes (Central) Rules, 1957, which is hereinafter called as 5th settlement. That on
27.2.1997 a Memorandum of understanding was also signed by the federation‘s affiliate and the bank Management
recording the fact that the exercise of identifying the messengerial vacancies as on 31.12.1994 has since been
completed by Central Office and thereby 403 messengerial vacancies were sanctioned . It was agreed that these
vacancies may be filled from 1989 panel of temporary employees after effecting conversion from full time non-
messengerial staff in the usual manner and the agreement was reached accordingly. It was agreed between the
Federation's affiliate and the Management bank that in terms of the settlement dated 30.7.1996 both the panels of
temporary employees and daily wagers/casual employees would lapse on 31.3.1997. That as agreed upon vacancies
were filled from the panels. The Workman who has put in an aggregate temporary service of less than 240 days in a
continuous block of 12 months period during 1.7.1975 to 31.7.1988 has no right to seek a direction to consider his
candidature for absorption in the Management bank under any rule/law except under the settlement entered into
thereon.
17.
Respondent contended that, in fact, the case of the Workman can be considered under all the five settlements
having got his case considered under provisions of these settlements. All the other provisions and terms of the
settlements are also binding on him/her. The Management bank has not violated any of the provisions of the terms of
the said settlement. That the very preparation and maintenance of panel is in compliance of the terms agreed under
these settlements. These settlements were time bound and they ceased to exist on 31.3.1997. That the bank has never
promised that all the candidates in the panel will be absorbed. In the advertisement itself it was made clear that
candidates will be considered for absorption in the vacancies that may arise upto 1992. Keeping alive the panels after
31.3.1997 is contrary to the settlements arrived between the State Bank of India Staff Federation and the Management
bank. That the settlements are binding on the parties. The Workman is also bound under the terms of the said
settlement. The settlement does not suffer from any ambiguity as their language is very clear. The right under the
settlements is to give them a chance to be considered for future appointment in the bank's services against the
vacancies likely to arise. The settlements were effected to balance the expectations of the temporary employees to be
absorbed in permanent service as against the constitutional rights for all eligible persons to be considered for
employment every time a vacancy arises. That the alleged dispute including the demand for reinstatement has to be
decided in this context. It is submitted that the period of panel list got expired on 31.3.97 and it is an integral term of
the settlement and cannot be modified in any proceedings under the law. These temporary employees who
unfortunately could not be accommodated for want of vacancies have no further rights to be considered for
regularization. That the Hon'ble High Court in WP No.12964/94, held as follows, "It is needless to state that the
settlement arrived at between the All India State Bank of India Staff Federation which, is the majority union and the
bank Management is binding on the Workmen also. It is not at all the case of the Workman that any of the terms of
the settlement has been violated by the bank's Management. If the Workman had worked in the bank on part-time
basis before 31.5.94, that itself would not vest in him a right to claim that his services should be regularized on
permanent basis against a full time cadre post. The claim put forth by the Workman in the present petition is therefore
misconceived and not tenable. However, it is open to the Workman to claim any right which flows from the
settlement between the union and the bank Management. As already pointed out that it is not the grievance of the
Workman that some right which has flown from the settlement in favour of the Workman has been denied by the bank
Management. Therefore, I do not find any ground, let alone substantial ground, to grant the kind of relief sought for
by the Workman. Writ Petition fails and is accordingly dismissed. No costs."
18.
Further, it is contended that if the panels were not lapsed at the end of designated period and allowed to be
continued it would result in making the contracts of temporary employment indirectly permanent through back door
entry, which would not only be contrary to the settlements but also to Articles 14 and 16 of Constitution of India and
deprive the chances of original claimants who would Come through proper recruitment procedure. As their rights
have been crystallized by operation of the settlements. Hence, there is no question of any Legitimate expectation
being violated.
19.
Similarly placed ex-employees filed WP No.9206/1995 and the batch before the Hon'ble High Court of A.P.
and the learned Single Judge allowed the Writ Petitions. Aggrieved by the same WA No.86/98 and the batch was
filed and the Division Bench set aside the order of the Single Judge. Thereafter the ex-temporary employees filed
Special Leave Petition No.11886-11888 of 1998 before the Hon'ble Supreme Court of India. The Hon'ble Supreme
Court of India also dismissed the SLP. Therefore, reference to the Judgement of the Learned Single Judge in WP
No.9206/97 is of no consequences as the same has already been set aside. The observations made in the Judgements
cannot be relied upon for any purpose what so ever. The question of operation of Sec.25F would not come into play.
Further the issue is covered by various Judgements of Hon'ble Supreme Court of India and various Hon'ble High
Courts. Hence, the reference may be ordered that the Workman is not entitled for any relief.
20.
In order to fortify his claim Workman has examined himself as WW1 and also filed documents in evidence
[भाग II—खण् ड 3(ii)]
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1389
which has been exhibited as Ex.W1 to W7. Further, the Workman has filed photocopies of documents in support of
his claim which are discussed as under:-
Ex.W1 is the service certificate Ex. W2 is the interview letter Ex. W3 is the issuing order Ex. W4 is the panel list
Ex. W5 is the Caste Certificate Ex. W6 is the Memorandum of marks Ex. W7 is the Transfer Certificate Ex.W8 is the
service certificate.
21.
On the other hand, Respondent has examined witness MW1 Sri K. Bala Kotaiah and this witness has
exhibited 12 documents, marked as Ex.M1 to M12. The details of these documents are as follows:-
Ex.M.1 is the Settlement dated 17.11.1987. Ex.M2 is the Settlement dated 16.7.1988. Ex.M3 is the Settlement
dated 27.10.1988. Ex.M4 is the Settlement dated 9.1.1991. Ex.M5 is the Minutes of the conciliation proceedings
dated 9.6.1995. Ex.M6 is the Settlement dated 30.7.1996. Ex.M7 is the Memorandum of Understanding dt.
27.2.1997. Ex.M8 is the Particulars of 1989 Non Messenger Panel. Ex.M9 is the Particulars of 1989 Non-
Messengerial Panel. Ex.M10 is the Particulars of 1992 Panel. Ex.M11 is the Judgment of Hon‘ble High Court of
A.P. in Writ Appeal No.86/98 dt.1.5.1998. Ex.M12 is the Judgment of Hon‘ble Supreme Court of India in SLP No.
11886-11888 of 1998 dt.10.8.1998.
22.
Apart from afore mentioned documents, Learned Counsel for Workman has also filed a long list of various
judgements of Hon‘ble Supreme Court as well as Hon‘ble High Court, which we will discuss at appropriate place in
this Award.
23.
Heard the argument of Learned Counsel for Workman as well as for Respondent.
24.
On the basis of rival pleadings of both the parties and submissions made by the Learned Counsel for both
the parties, following points arise for determination in the industrial dispute :-
I.
Whether the 1st settlement dated 17.11.1987, 2nd settlement dated 16.7.1988, 3rd settlement dated
27.10.1988, 4th settlement dated 9.1.1991 and 5th settlement dated 30.7.1996 entered into between
State Bank of India and All India State Bank of India Staff Federation and also Memorandum of
Understanding are binding upon both the parties?
II.
Whether the action of State Bank of India, Cuddapah main branch in terminating the services of
Workman Sri C. Srinivasa Babu a Messenger with effect from 31.3.1997 is justified?
III.
Whether the Workman is entitled for absorption on permanent post in the Branch of Respondent
management as per averments made by him in the claim statement?
IV.
To what relief if any the Workman is entitled for?
Findings:-
25.
Point No.I:-
Undisputedly settlements dated 17.11.1987, 16.7.1988, 27.10.1988, 9.1.1991 and
30.7.1996, minutes of conciliation proceedings and memorandum of understanding dated 27.2.1997 were executed
between the State Bank of India and All India State Bank of India Staff Federation under section 2(p) and 18 (1) of
I.D. Act, 1947 read with Rule 58 of Industrial Disputes (Central Rules), 1957.
Section 2(p) of the Industrial Disputes Act, 1947 as follows:-
(p) "settlement" means a settlement arrived at in the course of conciliation proceeding and includes a written
agreement between the employer and workmen arrived at otherwise than in the course of conciliation proceeding
where such agreement has been signed by the parties thereto in such manner as may be prescribed and a copy thereof
has been sent to an officer authorised in this behalf by the appropriate Government and the conciliation officer;
Section 18(1) provides as follows:-
18. Persons on whom settlements and awards are binding.
- [(1) A settlement arrived at by agreement between the employer and Workman otherwise than in the course of
conciliation proceeding shall be binding on the parties to the agreement.
Therefore, in view of the provision contained u/s.18 (1) I.D. Act, 1947, terms and conditions enumerated in the
aforesaid settlements are binding on the parties to the agreement. The Learned Counsel for Workman has argued that
the Workman after going through the selection procedure has successfully been listed in the panel for appointment on
the permanent basis in the Respondent management and the empanelled list has to be valid till last person in the
empanelled list is appointed on permanent basis. But the impugned order dated 25.3.97, 27.3.97 and 31.3.97, has been
issued by Respondent management thereby the services of the Workman has been terminated and the said order is not
in consonance of the terms of the agreement entered into between the parties. Further, Workman submits that the
Respondent in the 5th settlement has mentioned the date i.e., 31.3.1997 for lapse of empanel list which is illegal and
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[PART II—SEC. 3(ii)]
that is not binding upon the Workman. The condition of lapse of empanelment list on 31.3.97 incorporated in the
aforesaid 5th settlement, is arbitrary and illegal.
26.
The perusal of the impugned order dated 25.3.1997 goes to reveal that the Chief/Branch Manager, SBI Zonal
Office has issued the letter to all the branches with regard to the subject not to make any temporary appointments in
the Branch in messengerial category from 1.4.1997. The extract of the said letter is given below:-
―We have been advised by the Deputy General Manager, Zonal Office, Hyderabad that as both the panels of
temporary employees of 1989 and daily wagers/casual labours of 1992 will lapse by 31.3.1997, it has been decided
by Central Office not to make any temporary appointments in messengerial category from 1.4.1997.‖
Thus, from the contents of the aforesaid letter, it manifest that Head Office of State Bank of India vide letter dated
25.3.1997 has issued direction to all its branches not to make any temporary appointments in messengerial category
from 1.4.1997 due to reason of lapse of both panels i.e., 1989 & 1992 on 31.3.1997 as per terms of settlements
entered into by both parties. Further, the contents of the subsequent letter dated 27.3.1997 issued by Respondent
Management is also direction to Branch Manager, State Bank of India not to make any temporary messengerial
category appointment with effect from 1.4.1997 and it has also been communicated to all concerned that the panels of
temporary employees and daily wagers maintained by Zonal offices stand lapsed from 31.1.1997. Further, office
order dated 31.3.1997 has been issued by Respondent management that goes to reveal that the said office order has
been issued to this effect that, ―Consequent on absorption of temporary employees in permanent cadre, it has been
decided by the competent authority that no one onwards, no further daily labour or temporary
employees/appointments should be resorted to/engaged/employed.‖ Therefore, it reflects from the contents of the
aforesaid orders that the temporary appointment in messengerial category and daily labour has been stopped by the
Respondent management with effect from 1.4.1997 because of the lapsed of panel of temporary workers and daily
wagers by 31.3.1997. The agreement for lapse of both the panels on 31.3.1997 is contained in the 5th settlement
which has been arrived at between the parties on dated 30.7.1996 with the consensus of both the parties. Therefore,
Workman can not challenge the terms and conditions contained in settlement dated 30.7.1996 regarding lapse of
panel on 31.3.1997 as agreed between State Bank of India and State Bank of India Staff Federation. As per provision
contained u/s.18(1) of I.D. Act, 1947 the said Agreement dated 30.7.1996 is binding on both the parties.
In the case of Allied Sales Corporation Secunderabad vs.The Authority Under Andhra Pradesh..... 1990 II LLJ
510 AP para 414, Hon‘ble Court have held:-
―4. There was a settlement between the Management and the workmen under Section 18(1) of the Industrial Disputes
Act on 25th April 1983 under which the age of superannuation of the workmen was fixed at 55 years. The settlement
was to be in force upto 30th June 1986 and the next settlement, incorporating practically the same terms, was again
entered into on 4th February 1987 under Section 18(1) of the Industrial Disputes Act. There is no dispute that these
settlements are under Section 18(1).
14. Now the Authority constituted under Section 41(1) of the Act is an authority with very limited jurisdiction. It can
only decide in the first appeal whether a termination by the management is valid or not and is within the parameters
of Section 40 of the Act. The said Authority, in our view, has absolutely no jurisdiction to decide whether a settlement
entered into under Section 18(1) of the Industrial Disputes Act between the representatives of the Workmen and of the
Management, is vitiated by undue influence or misrepresentation or coercion on the part of the Management. The
Authority, namely, the Assistant Commissioner of Labour, was never intended by the A.P. Legislature to have
jurisdiction to go into the question of the validity of a settlement arrived at under Section 18 of the Industrial Disputes
Act by an Industrial Court. That Parliament has, in fact, constituted Industrial Courts under the Industrial Disputes
Act, with extensive powers cannot be disputed. What we mean to say is that the Authority under Section 41(1) of the
A.P. Act has no jurisdiction what-so-ever either to question or to decide about the validity of any such settlements. If
parties to a settlement have a grievance about the validity of a settlement, it is for them to agitate the matter before the
appropriate forum and they cannot ask an Authority constituted under Section 41(1) of the A.P. Shops and
Establishments Act, 1966 with limited jurisdiction, to go into any such question and, that too, incidentally while
deciding whether retirement as per the contract of employment, is legal or not.”
It is not the case of Workman that aforesaid settlements are vitiated by undue influence or misrepresentation or
coercion on the part of the management. If the Workman feeling aggrieved by any terms of settlement/ agreement on
the aforementioned grounds then he can challenge of settlement before a competent authority under the Act, 1947.
But here in the instant matter it is not a case of Workman that aforementioned settlement has been entered into
between the parties on the ground of undue influence or misrepresentation or coercion. Therefore, Workman is barred
to raise any objection in respect of fixing the date of lapse of both panels on 31.3.1997 as agreed between both the
parties and Workman can not challenge any terms of said Agreement.
Further in the case of Herbertsons Limited Vs. Workmen of Herbertsons Limited and Ors, 1977 AIR 322,
Hon‘ble Supreme Court have held:-
The Tribunal thought that the question of the quantum of membership of the 2nd Respondent did not call for a finding
at all in view of 1his Court's order. As observed above that was not a correct assumption. On the other hand, we feel
[भाग II—खण् ड 3(ii)]
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1391
that this view of the Tribunal has led it to approach the matter in an entirely erroneous manner. The Tribunal is,
rightly enough, conscious that under section 18 (1) of the Industrial Disputes Act the settlement was binding on the
company and the members of the 3rd Respondent union. Even so, the Tribunal devoted nearly half of its order in
scanning the evidence given by the company and Respondent No. 3 to find out whether the terms of the settlement had
been explained by the President of the union to the workmen or not and whether the workers voluntarily accepted the
settlement knowing all the "consequences". This to our mind is again an entirely wrong approach.
“When a recognised union negotiates with an employer the workers as individuals do not come into the picture. It is
not necessary that each individual worker should know the implications of the settlement since a recognised union,
which is expected to protect the legitimate interests of labour, enters into a settlement in the best interests of labour.
This would be the normal rule. We cannot altogether rule out exceptional cases where there may be allegations of
mala fides, fraud or even corruption or other induce- ments. Nothing of that kind has been suggested against the
President of the 3rd Respondent in this case. That being the position, prima facie, this is a settlement in the course of
collective bargaining and, therefore, is entitled to due weight and consideration.
It is not possible to scan the settlement in bits and pieces and hold some parts good and acceptable and others bad.
Unless it can be demonstrated that the objectionable portion is such that it completely outweighs all the other
advantages gained the Court will be slow to hold a settle- ment as unfair and unjust. The settlement has to be
accepted or rejected as a whole and we are unable to reject it as a whole as unfair or unjust. Even before this Court
the 3rd Respondent representing admittedly the large majority of the workmen has stood by this settlement and that is
a strong factor which it is difficult to ignore. As stated elsewhere in the judgment, we cannot also be oblivious of the
fact that all workmen of the company have accepted the settlement. Besides, the period of settlement has since expired
and we are informed that the employer and the 3rd Respondent are negotiating another settlement with further
improvements. These factors, apart from what has been stated above, and the need for industrial peace and harmony
when a union backed by a large majority of workmen has accepted a settlement in the course of collective bargaining
have impelled us not to interfere with this settlement. That being the position, we unhold the settlement as fair and just
and order that the award of the Tribunal shall be substituted by the settlement dated October 18, 1973. The said
settlement shall be the substituted award. The appeal is disposed of accordingly. There will be no order as to costs.”
Therefore, in view of the law laid down by the Hon‘ble Apex Court as discussed above, the contention of the
Workman that the date fixed for lapse of empanelled list on 31.3.1997 for appointment to the permanent post vide 5th
Settlement dated 30.7.1996 is arbitrary, illegal is not untenable. The recognized union of Workmen has negotiated
with the Respondent Bank Management representing large number of Workmen and the Workman as individual do
not come into picture. Workman in the instant case has work as temporary Workmen in the Respondent Branch and
in response of Notification he had applied for inclusion of his name in the panel and he was selected for inclusion
his name in the panel list to be utilized for absorption of such Workman to permanent post in order of their seniority
in the list. The Settlement dated 30.7.1996 between State Bank of India and All India State Bank of India Staff
Federation under Sec.2(p) and Sec.18(1) of I.D. Act, 1947 has clearly provided as regard non-messengerial position
and it is agreed that all such posts sanctioned fallen vacant upto 31.3.1997 shall be filled before empanel list is
allowed to lapse. Thus, in view of law laid down by the Hon‘ble Apex Court, in the instant case, Agreement dated
30.7.1996 was entered into between both the parties in respect of lapsing of the both the panels on 31.3.1997 and
absorption of the Workmen from panel list was subject to availability of vacancy of post likely to arise upto
31.3.1997, have a binding force on Workman as well as management of State Bank of India in view of provision
contained under section 18 (1) of I.D. Act, 1947.
Thus, Point No.I is answered against the Workman and in favour of the Respondent.
27.
Point No.II:- Firstly, it is submitted on behalf of the Workman that the Respondent has terminated his
services by oral order on 31.3.1997 without issuing any notice or paying any salary or compensation in lieu thereof.
Therefore, the termination order of the Workman from service is in violation of provision contained Under Section 25
F of I.D. Act, 1947. Therefore, the order is liable to be set aside.
28.
On the other hand, Respondent counsel contended that Workman has not worked for 240 days in any
preceding calendar year. Therefore, reference of the industrial dispute is not relevant. In this context, the Workman
has examined himself as WW1 who has reiterated that Workman has been terminated from service by Respondent on
31.3.1997 without notice of salary or compensation in lieu thereof. Before examining the claim of the Workman on
merit it would be apposite to reproduce the provision contained under section 25 F:-
Section 25F provides:-
Conditions precedent to retrenchment of workmen.- No Workman employed in any industry who has been in
continuous service for not less than one year under an employer shall be retrenched by that employer until—
(a) the Workman has been given one month' s notice in writing indicating the reasons for retrenchment and the period
of notice has expired, or the Workman has been paid in lieu of such notice, wages for the period of the notice:
(b) the Workman has been paid, at the time of retrenchment, compensation which shall be equivalent to fifteen days'
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[PART II—SEC. 3(ii)]
average pay for every completed year of continuous service] or any part thereof in excess of six months; and
(c) notice in the prescribed manner is served on the appropriate Government or such authority as may be specified by
the appropriate Government by notification in the Official Gazette].
Compensation to workmen in case of transfer of undertakings.
Section 25B defines the term continuous service which provides
Definition of continuous service.- For the purposes of this Chapter,--
(1) a Workman shall be said to be in continuous service for a period if he is, for that period, in uninterrupted service,
including service which may be interrupted on account of sickness or authorized leave or an accident or a strike
which is not illegal, or a lock- out or a cessation of work which is not due to any fault on the part of the Workman;
(2) where a Workman is not in continuous service within the meaning of clause (1) for a period of one year or six
months, he shall be deemed to be in continuous service under an employer--
(a) for a period of one year, if the Workman, during a period of twelve calendar months preceding the date with
reference to which calculation is to be made, has actually worked under the employer for not less than--
(i) one hundred and ninety days in the case of a Workman employed below ground in a mine; and
(ii) two hundred and forty days, in any other case;
In order to prove the fact of 240 days of service within 12 months of a calendar year just preceding from the date of
termination, the initial burden of proof lies upon the Workman and the Workman has to prove this factum by
adducing his oral as well as documentary evidence in support of his claim.
Further, how to calculate 240 days of service by the Workman in a calendar year. In this context the reference of
decisions of Hon‘ble Supreme Court is relevant and the same are discussed below:-
In Rajasthan State Ganganagar S. Mills Ltd. v. State of Rajasthan and Anr. (2004) Apex Court held:
"It was the case of the Workman that he had worked for more than 240 days in the year concerned. This claim was
denied by the appellant. It was for the claimant to lead evidence to show that he had worked for 240 days in the year
preceding the date of his termination. He has filed an affidavit. It is statement which is in his favor and that cannot be
regarded as sufficient evidence for any Court or Tribunal to come to the conclusion that in fact the claimant had
worked for 240 days in a year These aspects were highlighted in Range Forest Officer v. S.T. Hadimani (2002 (3)
SCC 25. No proof of receipt of salary or wages for 240 days or order or record in that regard was produced. Mere
non-production of the muster roll for a particular period was not sufficient for the Labour Court held that the
Workman had worked for 240 days as claimed."
In Municipal Corporation, Faridabad v. Siri Niwas (2004 (8) SCC 195), held "the burden was on the Workman to
show that he was working for more than 240 days in the preceding one year prior to his alleged retrenchment." In
M.P. Electricity Board v. Hariram (2004 (8) SCC 246) the position was again reiterated in paragraph 11 as follows:
"The above burden having not been discharged and the Labour Court having held so, in our opinion, the Industrial
Court and the High Court erred in basing an order of reinstatement solely on an adverse inference drawn erroneously
..‖
In the case of Manager, RBI, Bangalore vs. S Mani (2005) SCC Page 100, the 3 Judges Bench of the Apex Court
held that "the initial burden of proof was on the Workman to show that he had completed 240 days of service."
Hon'ble Apex Court in the case of Mohan Lal vs Management BEL 1981 SCC page 225 has laid down the
principle that how to count 240 days of service within one year it is held: "Clause (2)(a) provides for a fiction
to treat a Workman in continuous service for a period of one year despite the fact that he has not rendered
uninterrupted service for a period of one year but he has rendered period of 240 days during the period of 12
calendar service for months counting backwards and just preceding the relevant date being the date of retrenchment.
In other words, in order to invoke the fiction enacted in clause (2)(a) it is necessary to determine first the relevant
date, ie the date of termination of service which is complained of as retrenchment. After that date is ascertained. move
backward to a period of 12 months just preceding the date of retrenchment and then ascertain whether within the
period of 12 months, the Workman has rendered service for a period of 240 days. If these three facts are affirmatively
answered in favor of the Workman pursuant to the deeming fiction enacted in clause (2)(a) it will have to be assumed
that the Workman is in continuous service for a period of one year and he will satisfy the eligibility qualification
enacted in Section 25-F"
“14. We have already extracted section 25B since its amendment and the change in language is the legislative
exposition of which note must be taken. In fact, we need not further dilate upon this aspect because in Surendra
Kumar Verma and Ors. v. Central Government Industrial-cum-Labour Court, New Delhi and Anr., Chinnappa
Reddy. J., after noticing the amendment and referring to the decision in Sur Enamel and Stamping Works (P)
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1393
Ltd case, held as under:
"These changes brought about by Act 36 of 1964 appear to be clearly designed to provide that a Workman who has
actually worked under the employer for not less than 240 days during a period of twelve months shall be deemed to
have been in continuous service for a period of one year whether or not he has in fact been in such continuous service
for a period of one year. It is enough that he has worked for 240 days in a period of 12 months, it is not necessary that
he should have been in the service of the employer for one whole year."
In a concurring judgment Pathak J. agreed with this interpretation of section 25B(2). Therefore, both on principle and
on precedent it must be held that section 25B(2) comprehends a situation where a Workman is not in employment for
a period of 12 calendar months, but has rendered service for a period of 240 days within the period of 12 calendar
months commencing and counting backwards from the relevant date, i.e. the date of retrenchment. If he has, he would
be deemed to be in continuous service for a period of one year for the purpose of section 25B and
Chapter VA.”
Thus, in view of the law laid down by the Hon‘ble Apex Court as discussed above the initial burden of proof lies
upon the Workman to show that he has completed 240 days of the service with the Respondent just preceding from
the date of his termination. Further, in respect of the employment of calculating the 240 days service in view of the
contents of Section 25-F read with Section 25-B of the I.D. Act, 1947.
29.
Now, in view of the provision contained under Section 25 F and law laid down by the Hon‘ble Apex Court,
we have to examine whether the Workman has discharged his initial burden of proof in respect of his claim of 240
days continuous service in a calendar year just preceding from the date of his termination i.e., 31.3.1997.
In this context, WW1 in his cross examination has stated that,
“I am not sponsored by any employment exchange. I did not undergo the regular selection process required for
appointment as a Messenger in the bank.”….
“It is true that I did not work for 240 days in any year in my entire life service.”
Thus, it is clear from the testimony of WW1 that the Workman had not worked for 240 days continuously in any 12
months of a calendar year just preceding from the date of his termination in the Respondent bank. Therefore,
Workman failed to establish his plea by his oral and documentary evidence that he had worked for 240 days
continuously in calendar year just preceding from the date of his termination i.e., 31.3.1997. Thus, the claim of the
Workman that he has been terminated by oral order without issuing notice or payment in lieu after termination, in
contravention of Section 25 F of Industrial Disputes Act, 1947 is not tenable. However the documents filed by the
Workman in support of his claim, number of days worked with the Respondent goes to reveal that the Workman had
worked intermittently as daily wager depending upon availability of work in branch. Workman did not file any
document of appointment letter or salary slips in support of his claim for appointment as a non-messenger in the
Respondent branch on temporary basis.
30.
Per contra, the Learned Counsel for Respondent has submitted the allegation of Workman that he was
terminated from services is not correct. As the vacancies were filled up on regular basis in order of their respective
seniority the non-engagement of the Workman does not amount to termination. Further, Respondent contended that
no law provide that even though there is no work temporary employee should be continued in the bank work as the
very engagement of Workman was subject to availability of work. Therefore, the allegation that the bank has
indulged in unfair labour practice is incorrect.
31.
Thus, in view of the fore gone discussion and contentions made by the Respondent, I find the force in the
argument advanced by the Respondent that in the instant matter, Workman was not terminated from service by order
dated 31.3.1997 rather he was disengaged in view of the non-availability of the work in the branch. Further, there
was direction issued by the Head Office of the Respondent authority not to engage any daily wager Workman/
temporary Worker w.e.f. 1.4.1997. Thus, such disengagement of Workman does not amount to termination.
Moreover, the Workman failed to prove his claim that he was terminated in contravention of provision of Sec.25F of
the I.D. Act, 1947 as he failed to establish his plea by any oral or documentary evidence that he had worked for 240
days continuously in a twelve months of calendar year just preceding from date of termination i.e., 31.3.1997.
32.
Further, perusal of the order dated 25.3.1997 goes to reveal that the Chief Branch Manager, State Bank of
India has issued the letter to Zonal Office with direction to all its branches to this effect that they have been advised
by the DGM, Zonal Office, Hyderabad that as both the panel of temporary employees of 1989 and daily wagers/casual
labour of 1992 will lapse on 31.3.1997 it has been decided by central office not to make any temporary appointments
in messengerial cadre from 1.4.1997, therefore it was directed to issue suitable instructions not to make temporary
appointments from 1.4.1997. There is no mention in this order that the Workman herein has been terminated from
service by this order.
33.
Further, the circular dated 27.3.1997 was issued by DGM, SBI to all branches in commercial network in
respect of the non-appointment of temporary employees in subordinate cadre and it has directed not to make any
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[PART II—SEC. 3(ii)]
temporary employment in the subordinate cadre with effect from 1.4.97 and further, it has directed to ensure that no
temporary/casual/daily basis appointment of the petty cash. Further, it is directed to all Branch Managers that any
deviation in this regard will be viewed seriously. Thus, these circulars do not reflect that the Workman has been
terminated from service by this order.
34.
Similarly, office order dated 31.3.1997 is simply a direction to all branches of the Respondent bank by DGM
that no further daily labour should be engaged or employed. Therefore, the plea of the Workman that he has been
terminated by the aforesaid order dated 25.3.1997, 27.3.1997 and 31.3.1997 from the service by the Respondent is not
acceptable. The evidence adduced by the Workman clearly goes to reveal that he had worked as a daily wager for
which he has been paid wages according to number of working days. As there was an order for prohibition for
engaging temporary workmen, in the bank, therefore, Workman could not be engaged by the Respondent for work
from 1.4.1997 and there after. It is settled law that the daily wagers are engaged by the employer depending upon
the availability of work and as the work was not available the Workman was not engaged further by the Respondent
management. Therefore, the Workman on the ground of number of days he had worked in the Respondent bank
cannot claim any right to reinstate him into the employment. As the Workman failed to prove the mandatory
condition of 240 days of continuous service as required under Sec.25F of I.D. Act, 1947. Therefore, the
disengagement of Workman from work can not be termed in contravention of provision contained under Sec.25F and
25 B of the I.D. Act, 1947.
Thus, this point is answered against the Workman and in favour of Respondent.
Point No.III:- In this context, the Workman has contended that the management failed to implement the
selected panels during its valid tenure. The management adopted the back door methods contrary to the settlements
and filled up the vacancies. The same is evident from the proceedings dated 18.11.1993 a copy of the same is filed in
the material papers and the same may be read as part of the claim statement. Further, it is submitted that management
has to adhere the procedure issued by the Central Government, the instructions dated 16.8.1990 in the year 1995, but
same was not followed in the year 1997 despite there being vacancies. The management has followed the procedure of
calling candidates through employment exchange instead of giving chance to the empanelled candidates like the
Workman herein. The management sent call letters to the similarly situated candidates like the Workman in the month
of June 1997 subsequent to issuance of impugned termination orders. After knowing the fact that they are litigating
the issue by way of dispute, the management has refused to engage those candidates, the copies of call letters issued
are filed herein along with claim petition. The Workman herein reiterates that the panels are meant for absorption but
not for termination. In view of the same a duty is cast upon the Respondent management to engage the empanelled
candidates like the Workman herein even in temporary vacancies till they are absorbed permanently in regular
vacancies.
36.
On the other hand, Respondent has contended that the Federation approached Regional Labour
Commissioner (Central) for implementation of bipartite settlement in respect of the absorption of temporary
employees. The Regional Labour Commissioner (Central) conducted conciliation proceedings and agreement was
arrived at between the Federation and the Management bank. It is submitted that it was agreed between the
Federation and the Management that both the panels of temporary employees and daily wagers /casual labour would
be kept alive upto March, 1997 and the vacancies as agreed to under the afore set out settlements will be filled from
both the lists concurrently. A copy of the conciliation proceedings dated 9.6.1995 signed by the parties to the dispute
is filed as a material paper. Further, it is submitted that the settlement was arrived at and an agreement was signed
between the Federation and the Management bank on 30.7.1996 under Section 2(p) read with Section 18(1) of the
Industrial Disputes (Central) Rules 1957 which is binding on the parties. A copy of this agreement which hereinafter
may be referred to as 5th settlement for brevity, is also filed as a material paper. The 5th settlement dated 30.7.1996
whereunder the earlier four settlements dated 17.11.1987, 16.7.1988, 27.10.1988 and 9.1.1991 were also referred, it
was agreed to, by the Federation and the Management bank that both the panels of temporary employees and daily
wagers/casual employees will be kept alive upto March, 1997 for filling the vacancies existing/arrived at as on
31.12.1994 as per the norms agreed to between the bank and Federation and that thereafter the said panels would
lapse. It was also agreed that within the framework of the above settlements the modalities about drawing names from
either the panel of temporary employees or the panel of daily wagers and casual labour would be decided
administratively on circle to circle basis depending upon the local requirements in consultation with the Federation‘s
affiliate by the Circle management. It was further agreed that all messenger real vacancies/positions in the subordinate
cadre including part-time attendants specifically provided as leave reserve will be filled by the end of 31.3.1997.
Further, Respondent contended that on 27.2.1997 a memorandum of understanding was also signed between the
Federation‘s affiliate and the bank management regarding the fact that the exercise of identifying the messengerial
vacancies as on 31.12.1994 has since been completed by central office and thereby 403 messengerial vacancies were
sanctioned to the circle of the Management bank and it was agreed that these vacancies may be filled from 1989 panel
of temporary employees after effecting conversion from full time non-messengerial staff in the usual manner and the
agreement was reached upon. Further, it was agreed between the Federations affiliate and the management bank
that in terms of the settlement dated 30.7.1996 both the panels of temporary employees and daily wagers /casual
employees would lapse on 31.3.1997.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1395
37.
The Workman has contended that the empanelled list prepared by the Respondent management for
appointment of temporary and daily wage Workers to the permanent post cannot lapse unless until it is exhausted by
appointing all the empanelled persons and it should continue even after 31.3.1997, i.e., the date fixed for the lapse of
panel. It is undisputed that the date of lapse of empanelled list of Workmen has been fixed to 31.3.1997 as
mentioned in the settlement dated 30.7.1996, and agreed between the parties. It is settled law that and once the life
of panel list lapses on the date as agreed between the parties it cannot be extended beyond that date. In the instant
case the panel list of the workmen was valid upto 31.3.1997 in view of the terms and conditions enumerated in the 5th
Settlement entered into between the parties. As the lapse of panel i.e., 31.3.1997 has been agreed by State Bank of
India and State Bank of India Staff Federation through 5th Settlement, the Workman is not competent to challenge the
same.
In this context I would like to take reference of the decision of the apex court in the case of Syndicate Bank and Ors
vs. Shankar Paul and Ors , AIR 1997 SC 3091, therein the Hon‘ble Apex Court have held:-
“Till 1982, the branches of the appellant Bank in Calcutta region were recruiting persons locally to work as
temporary attenders in leave vacancies. In view of the revised procedure prescribed by the Government of India in
respect of such temporary appointments, the Calcutta regional office of the appellant Bank issued a circular to all of
its branches on 14.8.1982, instructing all the branches under it to discontinue the old practice from 1.6.1982 and
appoint only empanelled candidates. The regional office was to prepare a panel of eligible candidates, after calling
names from the local/district employment exchange, and split it up branch-wise. Following that new procedure yearly
panels were prepared thereafter. Names of the Respondents were for the first time included in the panel prepared for
the period 7.2.1987 to 6.2.1988. By its letter dated 7.2.1987 the Bank had informed the Respondents that the panel
was valid for one year only and that inclusion of their names in the panel was not to confer on them any right to seek
permanent appointment in the service of the bank. Considering the object with which the panel was prepared and the
fact that it was an yearly panel expiring on 6.2.1988, we are of the opinion that the Respondents did not get any right,
because of inclusion of their names in the said panel, for permanent absorption in the service of the Bank. Whatever
conditional right they had came to an end with the expiry of the panel. The claim of the Respondents, as contained in
the writ petition was thus misconceived and therefore the learned single Judge and the Division Bench, when it first
decided the appeal, were right in dismissing the writ petition and the appeal respectively.”
Thus, in view of the above law laid down by the Hon‘ble Apex Court and in view of the terms and conditions of the
5th Settlement the contention of the Workman that empanelled list should continue even after 31.3.1997 till the last
Workman in the panel is absorbed is not tenable. The contention of the Workman is baseless in view of recital in
the settlement. Therefore, in view of the fore gone discussion and finding given at Point No. I regarding binding
nature of Settlements and terms and conditions enumerated therein, in view of the provision contained u/s.18(1) of the
I.D. Act, 1947, I am of the considered view that life of panels lapsed on 31.3.1997 in view of terms of settlement
dated 30.7.1996 and plea of Workman that the panel shall continue even after 31.3.1997 till last man absorbed has
no legal force and same is untenable.
38.
Undisputedly, settlement agreement dated 30.7.1996 was executed between the State Bank of India and
State Bank of India Staff Federation and in that settlement it was agreed that both the panels of temporary employees
and daily wagers/ casual employees will be used for filling vacancies existing as on 31.12.1994 as per the norms
agreed between the bank and the Federation. These empanelled workmen were to be given a chance for permanent
appointment in the bank against vacancies arising up to December 1994 whereas the daily wagers/ casual employees
were to be considered against the vacancies arise from January 1995 to December 1996, whereby the said panel
would lapse. It was agreed that the vacancies falls upto 31.3.1997 shall be filled before the empanelled list is
allowed to lapse. Thus, the claim of the Workman to the post of permanent non-messenger in the Respondent
management was subject to the availability of the sanctioned post and vacancies arising upto 31.3.1997. The
workmen given chance to the permanent post were seniors in number of working days in panel list and Workman
herein was junior to those workmen. Therefore, Workman could not be given absorption to permanent post being
junior to other workmen in the panel list.
39.
In this context the Workman witness WW1 was cross examined by the Respondent counsel and in the cross
examination the witness WW1 states:-
“I applied in response to the notification issued by the bank as per the settlements entered into by the union with the
bank.…….Further, witness states, it is true that the bank had filled up the vacancies of messengers with the temporary
employees in order of their seniority depending upon the no. of days they worked..…. Further witness states, I am
not having any document to show that the persons who had worked lesson. Of days of service than me were given
regular employment in the bank.”
Thus, from the above statement of the Workman witness WW1 it is clear that the panel was prepared in terms of
various settlements entered into between Staff Federation of State Bank of India and State Bank of India and it was
prepared on the basis of number of days of work put in by the temporary employees. Further, the Workman himself
admitted that some of the temporary employees whose names were included in the panel were given regular
1396
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
appointment in the bank in order of their seniority in the panel and he is not having any document to show that any
person who worked for less number of days than the Workman was given appointment in the bank. Therefore, the
allegation of the Workman that the regular appointment has been made by the bank from the panel list in breach of the
terms of the settlement and violation of seniority of panel list is not proved by this evidence of WW1. Thus, there is
no evidence on record that bank has given the appointment to the temporary employees as well as daily wagers from
the panel list 1989 and 1992 in breach of seniority of the temporary employees in the list. There is no evidence of
jumbling in the panel list to make appointment of any permanent Workman in breach of the seniority. Therefore, I
am constrained to hold that the Respondent Management has appointed the workmen from panel list in order of
seniority and there is no jumbling of workmen in the panel list before it got lapsed on 31.3.1997.
40.
However, Workman has taken the plea that the panels of Workmen for absorption in the employment of the
Respondent banks (panels of temporary employees and daily wagers) has been lapsed on 31.3.1997 in contravention
of terms of settlement as the object of preparing the entire empanelment of temporary and daily wagers was to provide
them permanent employment and till the both the panel lists exhausted the panel list cannot be lapsed on 31.3.1997
and the date of lapsing of the panel on 31.3.1997 has been fixed by the Respondent arbitrarily without any authority.
41.
In this context, the perusal of Settlement dated 30.7.1996 reveals that the 5th Settlement dated 30.7.1996 was
entered under Section 2(p) and 18(1) of I.D. Act, 1947 read with Rule 58 of Industrial Dispute (Central) Rules 1957.
This settlement has been entered into by the competent parties and in this settlement parties thereto agreed that both
the panels of temporary employees and daily wagers/casual employees will lapse on 31.3.1997. Thus the date of
lapse of panel was fixed by both the parties with consensus under the settlement dated 30.7.1996 and same is
binding upon the Workman under the provision of Section 18(1) of I.D. Act, 1947. Moreover, this issue of binding
force of the settlement dated 17.11.1987, 16.7.1988, 27.10.1988 and 9.1.1991 has already been discussed, decided at
finding in Point No.I of this award. However, the legality and validity of the aforementioned settlement has not been
challenged by the Workman before any competent forum. Thus, claim of Workman that the date of lapse of panel i.e.,
31.3.1997 has been fixed arbitrarily by the Respondent bank is untenable. As regard the claim of Workman for his
absorption to the permanent post it is settled law that the Workman can not claim his regularization to permanent
post merely on the basis of number of working days.
42.
In this context the reference of the decision of Hon‘ble Supreme Court in the case of Oil and Natural Gas
Corporation vs Krishan Gopal 2020(3) SCALE 272, date of decision 7.2.2020 is relevant therein Hon‘ble
Supreme Court have has laid down principle regarding regularization of the Workman on permanent posts. Hon‘ble
Supreme Court have laid down the prepositions of regularization of the workmen to permanent post is as under:-
―(i) Wide as they are, the powers of the Labour Court and the Industrial Court cannot extend to a direction to order
regularisation, where such a direction would in the context of public employment offend the provisions contained
in Article 14 of the Constitution;
(ii) The statutory power of the Labour Court or Industrial Court to grant relief to workmen including the status of
permanency continues to exist in circumstances where the employer has indulged in an unfair labour practice by not
filling up permanent posts even though such posts are available and by continuing to employ workmen as temporary
or daily wage employees despite their performing the same work as regular workmen on lower wages;
(iii) The power to create permanent or sanctioned posts lies outside the judicial domain and where no posts are
available, a direction to grant regularisation would be impermissible merely on the basis of the number of years of
service;
(iv) Where an employer has regularised similarly situated workmen either in a scheme or otherwise, it would be open
to workmen who have been deprived of the same benefit at par with the workmen who have been regularised to make
a complaint before the Labour or Industrial Court, since the deprivation of the benefit would amount to a violation of
Article 14; and
(v) In order to constitute an unfair labour practice under Section 2(ra) read with Item 10 of the Vth Schedule of the ID
Act, the employer should be engaging workmen as badlis, temporaries or casuals, and continuing them for years, with
the object of depriving them of the benefits payable to permanent workmen.
Thus, in view of the principles laid down by the Hon‘ble Supreme Court as discussed above, in the instant matter the
Workman utterly failed to prove his claim by adducing any documentary or oral evidence that the employer has
indulged in unfair labour practice by not filling the permanent posts even though such posts are available and by
continuing to employ workmen as temporary or daily wage employees despite their performance was the same work,
as regular workmen on lower wages.
43.
Respondent has contended that all the vacancies exist and arise upto 31.3.1997 has been filled up from the
panel list in order of seniority and no vacancy exists or arises as on 31.3.1997 remained unfilled. Further, it is
contended that as per terms of settlement the life of panel lists has been lapsed on 31.3.1997, hence, there is no
occasion to extend the life of panel lists beyond 31.3.1997. However, the workman failed to prove contrary by any
evidence to the aforesaid contention of the Respondent that the vacancies were existing as on 31.3.1997 and the
workman was not given absorption to the permanent post in order of his seniority. It is settled law that the power to
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1397
create permanent or sanctioned post lies outside the judicial domain and where no posts are available, a direction to
grant regularization would be impermissible merely on the basis of the number of years of service. Therefore, the
claim of the workman on this ground also not acceptable.
44.
Further, as per the of settlement, panel was prepared for absorption of the workmen on the permanent posts
has already been lapsed on 31.3.1997 and the vacancies existing and arising upto 31.12.1994 and upto 31.3.1997 as
settlement dated 30.7.1996 has been filled up from the panel by appointing the workmen as per seniority in the panel
list. Workman witness WW1 in his cross examination has himself admitted this fact that, some of the temporary
employees whose names were included in the panel were given regular appointment in the bank in order of their
seniority in the panel. The Workman failed to show that there was any breach of terms of settlement has been
committed by the Respondent in appointment to permanent post from aforesaid panel list.
45.
As discussed in preceding paragraph of this Award, the life of the panel has not been extended beyond
31.3.1997, by any further settlement hence, the panel list in which name of the Workman was included got expired
on 31.3.1997. It is not the case of the Workman that Respondent has regularized similarly situated workmen either in
the scheme or otherwise and the Workman has been deprived of same benefit on par with those workmen or the
vacancies remained unfilled on the date of lapse of panels i.e., 31.3.1997, Industrial Tribunal has no jurisdiction to
extend the date of lapse of panel i.e., 31.3.1997. This Tribunal can not order for regularization of workmen to the
permanent post in contravention of the provision of Article 14 of the Constitution of India.
In the case of Mahboob Deepak vs. Nagar Panchayat Gajraula & Anr, Civil Appeal No.5875/2007 date of
judgement 13.12.2007, Hon‘ble Supreme Court have held:-
“8. Respondent is a Local Authority. The terms and conditions of employment of the employees are governed by a
statute and statutory rules. No appointment can be made by a Local Authority without following the provisions of the
recruitment rules. Any appointment made in violation of the said rules as also the constitutional scheme of equality as
contained in Articles 14 and 16 of the Constitution of India would be a nullity.
9. Due to some exigency of work, although recruitment on daily wages or on an ad hoc basis was permissible, but by
reason thereof an employee cannot claim any right to be permanently absorbed in service or made permanent in
absence of any statute or statutory rules. Merely because an employee has completed 240 days of work in a year
preceding the date of retrenchment, the same would not mean that his services were liable to be regularized.”
Therefore, in view of the law laid down by the Hon‘ble Apex Court, the claim of the Workman for absorption merely
on the basis of number of day of work in the Respondent bank Branch is not acceptable. As regard plea of the
Workman that the Workman should have been given employment even after 31.3.1997 as temporary Workman, it is
the discretion of Respondent to engage the Workman depending upon availability of work and this Tribunal can not
direct the Respondent to engage the Workman in the absent of such rule/scheme.
46.
In view of principle laid down by Hon‘ble Apex Court as discussed above, in the instant matter Workman
utterly failed to establish the fact of rendering continuous service for a period of 240 days of service within a period
of 12 calendar months commencing and coming backward from relevant date i.e., the date of retrenchment, if has he
would be denied to be in continuous service for a period of one year. Therefore, the provision contained under
Sec.25F of retrenchment is not applicable to Workman.
Counsel for Workman has relied upon number of decisions of Hon‘ble High Court and Hon'ble Supreme Court and
few of them are discussed herein:-
In the case of F.C.I., vs. Kamdhenu Cattle Feed Industries 1993 (1) SCC 71, therein Hon‘ble Supreme Court have
held:-
“7. In contractual sphere as in all other State actions, the State and all its instrumentalities have to conform to Article
14 of the Constitution of which non-arbitrariness is a significant facet. There is no unfettered discretion in public law:
A public authority possesses powers only to use them for public good. This impose the duty to act fairly and to adopt a
procedure which is `fairplay in action'. Due observance of this obligation as a part of good administration raises a
reasonable or legitimate expectation in every citizen to be treated fairly in his interaction with the State and its
instrumentalities, with this element forming a necessary component of the decision making process in all State
actions. To satisfy this requirement of non- arbitrariness in a State action, it is, therefore, necessary to consider and
give due weight to the reasonable or legitimate expectations of the persons likely lo be affected by the decision or else
that unfairness in the exercise of the power may amount to an abuse or excess of power apart from affecting the bona
fides of the decision in a given case. The decision so made would be exposed to challenge on the ground of
arbitrariness. Rule of law does not completely eliminate discretion in the exercise of power, as it is unrealistic, but
providers for control of its exercise by judicial review.”
In the case of State Bank of India, R.O., Vijayawada vs. Industrial Tribunal, Hyderabad WP No.193/1997,
therein Hon‘ble High Court have held,
―Sri Krovvidi Narasimham, the learned counsel for the 2nd respondent contends, supporting the award that it was a
1398
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
permanent vacancy and even though the 2nd respondent was appointed on temporary basis, his services were not
liable to be terminated and he was to be regularised into service on permanent basis. Shastry award warrants that no
temporary appointment can be made to a permanent post. But the matter is now covered by two division bench
judgements dated 28.11.1986 in W.A. No.791 of 1986 and 25.8.1987 in W.A. No.270 of 1982. The ratio decided in the
two judgements is to the effect that there cannot be any mandate to appoint employees on permanent basis when the
requirement was for appointment on temporary basis. But it is held in the said judgements that when a temporary
appointee is ousted from service and not for misconduct and, if again temporary appointment is to be made, then, the
case of such temporary appointee who was ousted, has got to be considered in accordance with Sec. 25-H of
the Act.”
In the case of State of Haryana and others vs. Piara Singh and others. 1992 (4) SCC 118, therein Hon‘ble
Supreme Court have held:-
“ 49. If for any reason an adhoc or temporary employee is continued for a fairly long spell, the authorities must
consider his case for regularization provided he is eligible and qualified according to the rules and his service record
is satisfactory and his appointment does not run counter to the reservation policy of the state.”
In the above cited judgements by the Workman the facts of the case are different hence do not apply to instant case
of Workman.
47.
On the other hand, in support of his contention Respondent has examined witness MW1 and MW1 in chief
examination states that, Settlements i.e., on 17.11.1987, 16.7.1988, 27.10.1988, 9.1.1991 were entered into between
the SBI and SBI Staff Federation for filling up of the vacancies that arise up to 1994 for those temporary employees
who has worked on scale wages. Further, MW1 states that two different panels for messengers and non-messengers
as per the eligibility criteria prescribed by the bank. There are four modules in Andhra Pradesh and they are
Hyderabad, Tirupathi, Vijayawada and Visakhapatnam. MW1 states that the temporary employees so empanelled
were given permanent absorption depending upon the vacancies so arise strictly in terms of the settlement. MW1
states that on 9.6.1995 conciliation proceeding was held before the RLC(C), Hyderabad and in said proceedings it
was decided that the panels will be kept live up to 31.3.1997 and vacancies will be filled from both the lists
concurrently. A copy of the said minutes of proceedings is Ex.M5. Further, MW1 states that on 30.7.1996 another
settlement was entered between the SBI and All India SBI Staff Federation providing for filling up of the vacancies
arising up to December 1994 in respect of subordinate cadre and daily wage /casual wage employees out of panel so
prepared were to be considered against vacancies arising from January 1995 to December 1996, thereafter the said
panels lapse. MW1 states that it was also agreed that all the non- messenger positions in subordinate cadre including
part time attendants specially provided as leave reserve will be filled before 31.3.1997 and as regards to non-
messengerial positions it is agreed that all such posts sanctioned and fallen vacant up to 31.3.1997 shall be filled
before the empanelled list is allowed to lapse. Thus in both the cases empanelled list were lapsed on 1.4.1997.
Ex.M6 is the copy of the settlement dated 30.7.1996. Further, witness states that on 27.2.1997 a memorandum of
understanding was reached between the SBI and SBI Staff Federation providing that both the panels above mentioned
will lapse on 31.3.1997. Ex.M7 is the copy of the memorandum of understanding and Ex.M8 is the copy of the
statements giving the particulars of 1989 non-messenger panel, Ex.M9 is the copy of the statement of 1989 non-
messenger panel, Ex.M10 is the copy of statement of 1992 panel. Further, witness states that petitioner was included
in the 1989 panel. As the existing vacancies at that time were exhausted and his turn did not come he could not be
given permanent employment in the bank as per the agreements. All the appointments were made strictly in
accordance with the settlements reached from time to time between SBI and SBI staff federation and as per seniority,
number of days of temporary service put in by them in the bank in the given period. Further, MW1 states petitioner
was not sponsored by any employment exchange he did not undergo the regular process of selection required for
appointment as a regular non-messenger the petitioner has not worked for 240 days in any year in his entire temporary
service in the bank. The petitioner and other temporary employees were terminated from service by the bank.
Further, MW1 states that the vacancies were filled up on regular basis with the temporary employees from the panels
and these panels were expired in terms of the settlements so reached and there were no vacancies to absorb such
employees. Thus, witness MW1 has proved the documents Ex.M1 to Ex.M12 and also contentions made in the
counter. However, MW1 was cross examined by the Petitioner Counsel. But nothing has been elicited in his cross
examination so as to discredit the testimony of the witness MW1 as regards the date of lapse of both the panels on
31.3.1997 and reasons assigned for non-absorption of the Petitioner from the panel list to the permanent post.
Moreover the witness MW1 was re-examined by the Respondent and the witness MW1 states that panels were expired
in terms of the settlement send absorptions to the extent of the available vacancies were made. There was no
termination of any temporary messenger as such but their services were not utilized after the cut off date as the
available vacancies were already filled up and most of these Petitioners were not in the service of the bank as on the
date of the expiry date of the panels. Therefore, in view of the aforesaid testimony of the MW1 in re-examination in
the absence of cross examination remained uncontraverted, the claim of the Workman that he was entitled for
absorption in permanent post in the branch of Respondent Management on the basis of panel list is found not
established.
This point is answered against the Workman.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1399
48.
Point No.IV:- In view of the discussion and finding given at Point Nos. I, II and III, the Workman is not
entitled for any relief and claim statement of Workman sans merit and liable to be dismissed.
This Point is answered accordingly.
ORDER
In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the
services of Sri C. Srinivasa Babu, Ex. Messenger by way of oral orders w.e.f. 31.3.1997 is justified. Hence, the
Petitioner is not entitled for any relief as prayed for. The claim statement filed by Workman sans merit, hence,
dismissed. Reference is answered accordingly.
Award is passed accordingly. Transmit.
Typed to my dictation by Shri Vinay Panghal, LDC transcribed by him, corrected and signed by me on this
the 3rd day of February, 2026.
IRFAN QAMAR, Presiding Officer
Appendix of evidence
Witnesses examined for the
Witnesses examined for the
Petitioner
Respondent
WW1: Sri C. Srinivasa Babu
MW1: Sri K. Bala Kotaiah
Documents marked for the Petitioner
Ex.W1: Photocopy of is the service certificate
Ex.W2: Photocopy of interview letter
Ex. W3: Photocopy of order about listing of panel
Ex. W4: Photocopy of panel list
EX. W5: Photocopy of Caste certificate
EX. W6:Photocopy of Memorandum of marks
Ex. W7:Photocopy of transfer certificate
Ex.W8:Photocopy of service certificate
Documents marked for the Respondent
Ex.M1:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.17.11.87
Ex.M2:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.16.7.88
Ex.M3:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.27.10.1988
Ex.M4:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.9.1.1991
Ex.M5:
Photocopy of conciliation proceedings before the Regional Labour Commissioner(C) dt.9.6.1995
Ex.M6:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.30.7.1996
Ex.M7:
Photocopy of Memorandum of understanding dt. 27.1.1997
Ex.M8:
Photocopy of statements giving the particulars of 1989 messenger panel.
Ex.M9:
Photocopy of statement of 1989 Non-messenger panel
Ex.M10:
Photocopy of statement of 1992 panel
Ex.M11:
Photocopy of order of Hon‘ble High Court in WA No.86/98 dt. 1.5.98
Ex.M12:
Photocopy of order in SLP No.11886-11888 of 1998 dated 10.8.98
1400
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
नई ददल्ली, 2 मार्च, 2026
का.आ. 300.—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj
ds izca/kr=] lac) fu;kstdksa vkSj muds deZdkjksa ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh;
ljdkj औद्योजगक vf/kdj.k @Je U;k;ky;
ds iapkV(156/2001) izdkf'kr djrh gSA
[सं. एल-12012/428/2000-आई आर(बी- I)]
सलोनी, उृ जनदेिक
New Delhi, the 2nd March, 2026
S.O. 300.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Ref. 156/2001) of the Cent.Govt.Indus.Tribunal-cum-Labour Court
Hyderabad as shown in the Annexure, in the industrial dispute between the management of State Bank of India
and their workmen.
[No. L-12012/428/2000- IR(B-I)]
SALONI, Dy. Director
ANNEXURE
IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT
HYDERABAD
Present: Sri IRFAN QAMAR
Presiding Officer
Dated the 5th day of February, 2026
INDUSTRIAL DISPUTE No. 156/2001
Between:
Sri Y. Venkatadri,
R/o H.No. 19-4-41/6,
S.T.VNagar,
Tirupathi, Chittor District-517501.
… Petitioner
And
The Asst. General Manager,
State Bank of India,
Zonal Office Region II,
…..Respondent
Appearances:
For the Petitioner :
Sri Macherla Rangaiah, Advocate
For the Respondent:
Sri A.Ratang Phani Reddy, Advocate
AWARD
The Government of India, Ministry of Labour by its order No. L-12012/428/2000-IR(B.I) dated 22.5.2001
referred the following dispute under section 10(1)(d) of the I.D. Act, 1947 to requiring this forum to decide the
question:
SCHEDULE
―Whether the action of the management of State Bank of India, Vijayawada Zone in dismissing the services
of Sri Y. Venkatadri, Ex-Messenger, is justified? If not, what relief the workman is entitled?‖
After receipt of the reference, it was numbered as ID No. 156/2001 and notices were issued to both the Workman and
the management.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1401
2.
Before unfolding the factual matrix of the instant industrial dispute it would be apposite to have a bird eye
view of a chequered history of the instant industrial dispute. Earlier instant industrial dispute along with the batch
cases was decided by this Tribunal vide common award dated 17.5.2005 and the reference was answered in favour of
the Respondent and against the Workman. That said common award dated 17.5.2005 was challenged by the
aggrieved Workmen in various Writ petition No.6470/2014 along with batch of writ petitions before the Hon‘ble High
Court of Andhra Pradesh and Hon‘ble High Court vide its‘ judgement dated 23.6.2014 allowed all batch of writ
petitions and set aside the common award dated 17.5.2005 passed in ID No.222 of 2001 and other batch of ID cases
by Central Government Industrial Tribunal cum Labour Court, Hyderabad and the Respondent management of State
Bank of India was directed to reengage the Writ Petitioners in position, which they have been occupying prior to their
termination and further directed to consider their cases for regularization as and when the substantive vacancy arises.
This judgement dated 23.6.2014 of Hon‘ble High Court of AP, passed in WP No.6470/2014 and batch petitions was
challenged by Respondent management before the Hon‘ble High Court in Writ Appeal No. 1268 of 2014. The
aforesaid Writ Appeals No.1268/2014 and other Writ Appeals were decided by Division Bench of High Court of
Andhra Pradesh by a common judgement dated 20.3.2019. Hon‘ble High Court in aforesaid Writ Appeal was
pleased to pass the order which is extracted as below:-
“ 7. Hearing the learned senior counsel for the SBI and the learned senior counsel for the contesting unofficial
Respondents, we see that while the learned single Judge was justified in setting aside the award af the Tribunal, the
proper course to be adopted was to remit all the cases to the Tribunal. This we say for reasons more than one. Firstly,
in such matters, claims have to be decided on individual basis, as different persons have different claims as to the
length of officiation or discharge of duties and functions; quality of engagement, drawings, accounting of the post for
each one of them, who have worked etc. AIl these issues will not be the same in all the cases. Therefore, each case
ought to have been directed to be decided by the Tribunal afresh on individual basis. The second and most important
aspect is the learned single Judge has in one go ordered re-employment of all the workmen. This is not a relief that
could have been granted without answering the individual issues; each issue relating to each case could not have
been decided by the writ Court within the format of its adjudication procedures and scope. The adjudicating body,
which has to do that activity, is the Industrial Tribunal. Therefore, we are of the view that while we would sustain the
order of the learned singe Judge insofar as it interfered and sets aside the award of the Tribunal, the further findings
and directions, issued through the impugned order have to go and the individual cases have to be sent back for
consideration of the Tribunal. Such further procedure before the Tribunal will have to be carried forward with the
materials already on record and also by affording an opportunity to the persons, who have claims as well as the
management to place their rival contentions and further material before the Tribunal. The learned counsel appearing
for the workmen are justified in pointing out that enormous delay has already happened and further action by the
Tribunal in this line may be expedited.
9. In the result, these writ appeals are ordered;
(1) affirming the impugned common order of the learned single Judge to the extent it sets aside the common award
dated 17.05.2005 of the Industrial Tribuna!;
(2) the further findings and directions issued through the impugned common order are vacated:
(3) all the matters shall be remitted to the Industrial Tribunal with a direction to dispose of them within an outer limit
of five (5) months from the date of receipt of a copy of this order; and,
(4) the parties to make appearance before the Tribunal on the given date.”
Thus, in view of the above direction of Hon‘ble High Court of Andhra Pradesh in W.A.No.1268 of 2014 and batch
cases. This Tribunal has taken up the matter of industrial dispute for hearing and deciding it afresh in view of the
aforesaid guidelines laid down by the Hon‘ble High Court in Writ Appeal No.1268/2014 vide judgement dated
20.3.019.
3.
The factual matrix of instant industrial dispute as narrated by the Workman in his claim statement are that,
the Workman joined in the service of the management institution as Messenger from 1985 to 1997, and has rendered
unblemished service spreading over a period of about 6 years. The Respondent has terminated services of Workman
by oral orders with effect from 1.4.1997. Further, it is submitted that the management of Respondent bank decided
to give a chance to temporarily employed personnel ―found suitable for permanent appointment‖ by wait- listing them
by offering permanent appointment or waitlisting till such opportunity arises.
4.
That on 17.11.1987 a settlement was reached between All India State Bank of India Staff Federation and the
Management of State Bank of India - settlement one, under this settlement three categories of employees were
listed. That is, A) those who have completed 240 days in 12 months or less after 1.7.1975. B) those who have
completed 270 days in any continuous block of 36 calendar months after 1.7.1975. C) (i) those who have completed
minimum of 30 days aggregate temporary service in any calendar year after 1.7.1975 or (ii) 70 days aggregate
temporary service in continuous block of 36 months after 1.7.1975.
5.
The persons who satisfied in all the above 4 categories were to be interviewed by a selection committee and
the said selection committee would determine the suitability of the said candidate for permanent appointment.
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[PART II—SEC. 3(ii)]
Therefore, the bank prescribed certain qualifications and from among the candidates satisfying the qualifications the
suitable candidates were enlisted by a selection committee. The Clause 7 of the said agreement provided with the
selected candidate would be wait listed in order of their respective categorization and the selected panel would be
valid upto December, 1991. Clause 10 of the settlement specifically provided that henceforth. ―there will be no
temporary appointments in the subordinate cadre‖, except on a restrictive basis in the specified category, ―from
amongst empanelled candidates as per existing guidelines of the bank‖. The Workman further submits that
consequent upon the said agreement and the draft, a notification was issued in the newspapers. The last date for
responding to the advertisement was 30.8.1988. A written examination followed by viva-voce in May, 1989 was
held. A selected panel was prepared, as per Clause 7 of the agreement, ie. Settlement No.1, the selected panel was to
be valid upto December, 1991, the Workman submits that circular was issued on 26.4.91 by the said letter it is
mentioned that the terms of the agreement dated 17.11.87 was modified vide second agreement dated 16.7.88 was
entered into between the parties. In terms of the said agreement a chance was to be given, ―to all eligible temporary
employees for permanent appointments. The appointments were against the vacancies likely to arise during the
years 1995-96, circular made it clear that in view of the enormity of the problem an extension of the currency of the
panel, eligible temporary employees who have been empanelled could not appear in the earlier interviews and have
been pursuing their cases thereafter, ―will be given another chance to appear for interview‖.
6.
Workman submits that there were total five settlements. The settlement dated 17.11.87 is the 1st
settlement (Ex M1), settlement dated 16.7.88 is 2nd settlement (Ex M2), settlement dated 27.10.88 is the 3rd
settlement (Ex M3), then settlement dated 9.1.91 is 4th settlement and settlement dated 30.7.96 is 5th settlement
(Ex M6). In between there is minutes of conciliation proceedings dated 9.6.95 marked as Ex M5. That due to all
these settlements which were extended by subsequent settlements thereby created reasonable expectations in the
list of the selected candidates arose with that it‘s a question of time their appointments or services would be
regularized in the services of the bank. The Workman was working with the bank on temporary basis was under the
bonafide hope that sooner his services will be regularized with the bank. He is thereby closed all his options
elsewhere. It is needless to point out that employing person to whom hope of employment in substantial terms was
made is a facet of Article 21 of the Constitution of India.
7.
Further Workman submits that the Government of India issued Circular No. F-3/3/104/87-IR, dated
16.8.1990. Under said circular the chief Executives of all public sector banks including the Management herein were
specifically instructed that until the problem of existing temporary employees is fully resolved, no bank is permitted to
make any permanent appointments. That some of the persons similarly situated like this Workman aggrieved by the
inaction on the part of the management of the bank is not regularizing their services from out of the selected panel
and not clearly focusing the vacancy position, filed W.P. No. 4194/97 before Hon‘ble High court of A.P.. It is
specifically averred in the said writ petition that the Management of the bank had failed to implement the settlement
and that it violates the various fundamental rights guaranteed under the constitution of India. The Hon‘ble High
court of A.P .. by order dated 5.3.97 directed the bank to implement the settlement as amended from time to time. It
also directed the bank to carry out the terms of settlement before the expiry of March, 1997. The Hon‘ble High
Court also recorded finding that the Bank cannot escape its liability of enforcement of the Settlement. In view of the
directions given by the High Court all candidates whose names appeared in the select panels prepared on the basis of
the agreement entered into on 17.11.87 under which the panel was valid upto December, 1991, and on the basis of a
settlement dated 27.10.1988 whereby the panels were made alive upto 31.3.1997 under which the panel was valid upto
December, 1999. The other agreement dated 16.7.1988 under which the panel was valid upto 1992 and on the basis
of the settlement dated 27.10.1998 whereby the panels were made alive upto 31.3.1997 were under the bonafide
impression that their cases will be considered for regularization and were living on the basis of the said reasonable
expectation. Unfortunately, contrary to the aforesaid directions given by the High Court and contrary to the
settlements entered into between the parties, the bank issued proceedings dated 25.3.1997, dated 27.3.1997 and
31.3.1997 instructing the various authorities of the Management not to continue the temporary employees those who
are in services of the bank from 1.4.97. The said order was followed by the Management. Aggrieved by the said
action the Workman herein and similarly situated candidates have filed a writ petition before the Hon'ble High Court
and by way of Writ Petition No.9206/97 seeking a declaration that the proceedings issued by the Deputy General
Manager and the Assistant General Manager (Respondents 3,4 and 5 therein) on 25.3.97, 27.3.97 and 31.3.97 as
illegal and also non-continuance of the Workmen therein in service by absorbing them in the services of the bank as
violative of Section 2(p) and 18(1) read with Rule 58 of Central Rules and sought for specific direction to the bank to
absorb them in service.
8.
Further, Workman submits that in the counter affidavit filed in Writ Petition No.9206/97, the bank has
submitted that it has about 805 branches in Andhra Pradesh alone. It has stated that due to exigencies of
circumstances and on account of the urgent need in its banks, it employed temporary employees in subordinate cadre.
It is pertinent to mention that it does not state the urgent or need or the nature of temporary employees that it had
engaged. Enquiry into the same would reveal that the stand taken by the bank either on the ground of urgent need or of
temporary employees is a façade to perpetuate unfair labour practice. It is designed to on the one hand, keep the
employed in the erroneous zone of hope and on the other to ensure that benefits that a model employer will extend
under various statutes to its employees is not required to be borne out by the bank. A reading of the counter affidavit
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1403
would show that the bank would opines that being just fair and reasonable are which obviously is reprehensible and is
a facet of unfair labour practice.
9.
The Workman submits that the bank had referred in its counter affidavit to three settlements dated 17.11.87,
16.7.88 and 27.10.88. The bank in the guise of extending the benefits of the circular of Government dated 16.8.90
stated in its counter affidavit that as follows:
"Government of India, vide its letter dated 16.8.1990, issued guidelines to all the public sector banks with regard to
recruitment and absorption of temporary employees in public sector banks. The said guidelines were issued to
implement on the lines of the approach paper on the issue provided by a committee constituted in this regard. The
Government of India guidelines made it clear that all the public sector banks may follow the provisions laid down in
the approach paper.
The approach paper specified that the cases of temporary employees who had put in not less than 240 days of
temporary service in 12 consecutive Months and who are entitled to benefit of Section 25-F may be decided by
entering into a settlement with the representative union. In respect of temporary employees who had put in less than
240 days of service in 12 consecutive months or less, a settlement could be avoided and however if the Management
so desired, they could enter into a conciliation settlement with the representative union. Para 6(h), it is mentioned
that only those temporary employees who had put in temporary service of 90 or more days after 1.1 1982 would be
eligible for considering under the scheme. Although the Government guidelines envisaged for a settlement in respect
of employees who had put in temporary service of 90 or more days, the bank by way of further concession entered
into settlements Even in respect of those who had put in less than 90 days. As such, it could be Seen that the
settlements are more beneficial to the temporary employees concerned. The approach paper also specify at para 6(c)
that the banks would provide one time opportunity to all the temporary employees and for that purpose temporary
employees worked in the bank on or after 1.1.1982 could be considered for re-employment in terms of the scheme.
The Respondents have gone further wherein even persons working after 1975 were also considered.
As could be seen from the above, there was a genuine effort on the part of the Respondent bank to provide
permanent employment for as many as possible subject to availability of the vacancies.
It is further submitted that at para 6(k) of the approach paper, it was made clear that this would be one time
exercise in full and final settlement of all the aims and disputes for the past period in respect of temporary workmen
covered by the settlement. This would mean that the Government of India guidelines would cover only those persons
who were temporarily employed for the period specified therein and not otherwise. As such, it is submitted that the
Respondents have not only followed the Government of India guidelines but in fact covered cases of the employees
who had worked for less than 90 days. As such, question of violation does not arise and in any case those were only
broad guidelines and not directives".
10.
The Workman submits that the bank also referred a subsequent settlement dated 9.1.1991 wherein there is a
clause to the effect- that the panel of temporary employees and the panel of daily wage employees will be operated to
a particular period. Therefore, their cases will not be considered. The Management herein relying upon this settlement
in their impugned action. It is submitted that even the settlement dated 9.1.1991 will not empower the management
to terminate the services of the temporary employees who are working in the bank services like the Workman herein
as it does not specify the termination of the employees. In fact there are so many vacancies wherein the Management
has engaged several new persons as temporary messengers/ attendars/ sweepers etc., even after the judgment of
Hon‘ble High Court without considering the cases of the similarly situated candidates like the Workman herein. It is
submitted inspite of engaging fresh candidates as is now being done by the Management they would have continued
the similarly situated candidates like the Workman herein in the services of the bank and consider their cases for
absorption in view of the circulars issued by Central Government as well as the directions of this Hon'ble Court in
Writ Petition No.4194/97, dated 5.3.97. In view of the circulars issued by the Central Government, the Management
should not have relied upon the settlement dated 9.1.1991. Hence, the impugned action of the Management is illegal,
unjust, violative of fundamental rights such as Articles 14,16 and 21 of the Constitution of India.
11.
The Workman submits that in W.P. No.4194/97 filed by the union of temporary employees where in they
have complained about the non- implementation of the settlements arrived between the parties and sought for
absorption. Such employees in the bank services on permanent basis before the date fixed for carrying out the terms
of settlement, the Court held that the members of the union had been empanelled in the list, they were not regularized
and the time was going to run out to the near future and the Respondent bank and its officers cannot escape from the
liability of enforcing the settlement which has been reached and therefore directed that the bank and the officers shall
implement the settlement dated 17.11.87 as amended from time to time before the expiry of 31.3.97.
12.
Further, it is submitted that in the clause of Settlement it is specifically mentioned that the workmen to be
absorbed/appointed in the bank prohibiting any temporary appointments subsequent to the date of settlement even the
authorities want to make temporary appointments that should be made only from among the empanelled can be
appointed either for temporary vacancy or permanent vacancy except from among the empanelled candidates like the
Workman and that should be continued till they are absorbed. The management committed unfair labour practices
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THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
and terminated the services of the candidates with effect from 1.4.1997 which is arbitrary, discriminatory, contrary to
their own guidelines and violative of the constitutional provisions which are guaranteed in Chapter-III of the
Constitution of India.
13.
The Workman submits that it is strange as to how the panels were allowed to lapse by a so-called
Memorandum of Understanding dated 25.2.1997, that the action of terminating such employees like the
Workman by virtue of an impugned oral proceedings without implementing the settlement would be illegal and unfair
labour practice which cannot be allowed to be perpetuated. That the discontinuance of the Workman after 31.3.97
who had served in the bank in any capacity amounts to retrenchment. It could not have been done without any notice
and it violates Sec.25FF of the Industrial Disputes Act, 1947 and the said action is violative of principles of natural
justice guaranteed under Chapter III of the Constitution of India. This amounts to retrenchment without one month's
notice and taken in view of such notice. Thus, the main proceedings issued by the Respondent is without jurisdiction
and is arbitrary, illegal and therefore liable to be quashed. That the alleged Memorandum of Understanding dated
27.2.97, Ex.M5 does not own any legal entity, as the said Memorandum of Understanding is not published anywhere
to brought to the notice of the Workman whose rights are being affected. It is submitted that Management did not
adhere to the procedure envisaged by the Central Government in its' instructions dated 16.8.90 in the year 1995. The
same was not followed in the year 1997 despite there being vacancies.
The management has followed the
procedure of calling candidates through Employment exchange instead of giving chance to the empanelled candidates
like the Workman here. It is pertinent to mention here that the Respondent Management sent letters to the all
similarly situated candidates like the Workman in the month of June, 1997, subsequent to the passing of impugned
termination orders. After knowing the facts that the candidates are litigating, the Management refused to engage these
candidates. It is once again reiterated that the panels are meant for absorption but not for termination. It was the duty
of the Management to engage the empanelled candidates like the Workman even in temporary vacancies till they are
absorbed permanently in regular vacancies. Hence, the action of the Respondent Management terminating the
services of the Workman by oral order dated 31.3.97 is unjust, illegal, violative of principles of natural justice and
hence, the Management be directed to reinstate and absorb the Workman and to grant all incidental and consequential
benefits.
14.
Per contra, Respondent had filed counter and made a contentions that the reference is not tenable and
contrary to the provisions of I.D. Act, 1947. Respondent submitted that to tide over severe sub-ordinate staff
constraints which arose out of leave vacancies, exigencies, etc., and also owning to the restrictions imposed by the
Government of India/Reserve Bank of India on intake of staff, the Respondent bank used to engage sub-ordinate staff
like messengers, sweepers, sweeper cum water boys, etc., depending on the availability of work on purely temporary
basis for the smooth and uninterrupted functioning of the branches. It is submitted that the All India State Bank of
India Staff Federation which represents majority of the employees in the State Bank of India comprising about 98% of
the work force as its' members espoused the cause of temporary employees who have put in less than 240 days of
temporary service in 12 calendar months in the bank and who were ineligible for any protection under Industrial
Disputes Act, 1947 to give a chance for being considered for absorption and permanent appointments.
15.
Discussions were held and on 17.11.1987 an agreement was signed between the federation and the
Management bank under Sec. 2(p) read with Sec 18(1) of the Industrial Disputes Act, 1947 read with Rule 58 of
Industrial Disputes (Central) Rules 1957. A copy of the said settlement dated 17.11.87 which may be herein after
referred as first settlement is filed and 4 categories were made as it has already been mentioned in the claim statement
above, it need not be repeated here. In the first settlement, it was agreed that the temporary employees as categorized
would be given a chance for being considered for permanent appointment in the bank's service against the vacancies
which are likely to arise during the period 1987 to 1991. On 16.7.88 second settlement was arrived between the
Federation and the Bank whereby it was agreed to substitute the period of consideration of vacancies as 1987 to 1992
in place of 1987 to 1991 as contemplated under the first settlement dated 17.11.1987. This is the second settlement.
A 3rd settlement was entered into on 27.10.88 and it was agreed that the bank's service against the vacancies likely to
arise from 1988 to 1992 was to be considered. Government of India vide its letter dated 16.8.90 issued guidelines to
all the public sector banks with regard to recruitment and absorption of temporary employees in public sector banks.
The said guidelines were issued to implement on the lines of approach paper on the issue provided by a committee
constituted in this regard. Government of India guidelines made it clear that all the public sector banks may follow
the provisions laid down in the approach paper. The approach paper specified that the cases of temporary service in
12 consecutive months and who are entitled to benefit of Sec.25F of the Industrial Disputes Act, 1947 may be decided
by entering into a settlement with the representative union. In respect of temporary employees who had put in less
than 240 days of service in 12 consecutive months or less, a settlement could be avoided and however if the
Management so desired they could enter into a conciliation settlement with the representative union. In para. 6(h) it
is mentioned that only those temporary employees who had put in temporary service of 90 days or more days after
1.1.82 would be eligible for considering under the scheme. Although the Government guidelines envisaged for a
settlement in respect of employees who had put in temporary service of 90 days or more days, the bank by way of a
further concession entered into settlements. Even in respect of those who had put in less than 90 days and also the
bank went a step further and said those persons who are working after 1975 were also considered. Hence, there was a
genuine effort on the part of the Respondent bank to provide as many as possible jobs subject to the availability of the
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1405
vacancies. However, para 6 (k) of the approach paper made it clear that it is a one time, exercise in full and final,
settlement of all the claims and disputes for the past period, in respect of temporary workmen covered by the
settlement. Another settlement was entered on 9.1.91 herein after referred as 4th settlement and the time limit was
extended upto 1994 and separate panel was prepared for temporary employees, casual/daily wagers. It was agreed that
while vacancies arising between 1988 to 1994 in respect of temporary employees and in respect of casual/daily
wagers, they can be considered for the vacancies arising between 1995-96 only.
16.
It is submitted that the administrative set up of the Hyderabad Local Head Office comprises of four Zonal
Offices (Zones) at Hyderabad, Vijayawada, Visakhapatnam and Tirupathi covering all the Districts of Andhra
Pradesh. In terms of the settlement the Management after following the procedure laid down therein prepared the
panels of qualified candidates of temporary employees denoted as 1989 panel and also panel of casual/daily wagers
denoted as 1992 panel for giving a chance for being considered for permanent absorption. These panels were
prepared zone-wise separately for messengers and non-messengers in the descending order of temporary service put in
by the candidates during the stipulated period i.e., 1.7.1975 to 31.7.1988. That the Federation approached the
Regional Labour Commissioner(C) for implementation of bi-partite settlement in respect of absorption of temporary
employees. The Regional Labour Commissioner(C) conducted conciliation proceedings and an agreement was
arrived between the Federation and the bank. It was agreed that it would be kept alive upto March, 1997. A copy of
the conciliation proceedings dated 9.2.1995 signed by the parties is filed as material paper. A settlement was arrived
at and an agreement was signed between the Federation and the Management bank on 30.7.1996 under Sec.2 (p) read
with Sec.18(1) of the Industrial Disputes (Central) Rules, 1957, which is hereinafter called as 5th settlement. That on
27.2.1997 a Memorandum of understanding was also signed by the federation‘s affiliate and the bank Management
recording the fact that the exercise of identifying the messengerial vacancies as on 31.12.1994 has since been
completed by Central Office and thereby 403 messengerial vacancies were sanctioned . It was agreed that these
vacancies may be filled from 1989 panel of temporary employees after effecting conversion from full time non-
messengerial staff in the usual manner and the agreement was reached accordingly. It was agreed between the
Federation's affiliate and the Management bank that in terms of the settlement dated 30.7.1996 both the panels of
temporary employees and daily wagers/casual employees would lapse on 31.3.1997. That as agreed upon vacancies
were filled from the panels. The Workman who has put in an aggregate temporary service of less than 240 days in a
continuous block of 12 months period during 1.7.1975 to 31.7.1988 has no right to seek a direction to consider his
candidature for absorption in the Management bank under any rule/law except under the settlement entered into
thereon.
17.
Respondent contended that, in fact, the case of the Workman can be considered under all the five settlements
having got his case considered under provisions of these settlements. All the other provisions and terms of the
settlements are also binding on him/her. The Management bank has not violated any of the provisions of the terms of
the said settlement. That the very preparation and maintenance of panel is in compliance of the terms agreed under
these settlements. These settlements were time bound and they ceased to exist on 31.3.1997. That the bank has never
promised that all the candidates in the panel will be absorbed. In the advertisement itself it was made clear that
candidates will be considered for absorption in the vacancies that may arise upto 1992. Keeping alive the panels after
31.3.1997 is contrary to the settlements arrived between the State Bank of India Staff Federation and the Management
bank. That the settlements are binding on the parties. The Workman is also bound under the terms of the said
settlement. The settlement does not suffer from any ambiguity as their language is very clear. The right under the
settlements is to give them a chance to be considered for future appointment in the bank's services against the
vacancies likely to arise. The settlements were effected to balance the expectations of the temporary employees to be
absorbed in permanent service as against the constitutional rights for all eligible persons to be considered for
employment every time a vacancy arises. That the alleged dispute including the demand for reinstatement has to be
decided in this context. It is submitted that the period of panel list got expired on 31.3.97 and it is an integral term of
the settlement and cannot be modified in any proceedings under the law. These temporary employees who
unfortunately could not be accommodated for want of vacancies have no further rights to be considered for
regularization. That the Hon'ble High Court in WP No.12964/94, held as follows, "It is needless to state that the
settlement arrived at between the All India State Bank of India Staff Federation which, is the majority union and the
bank Management is binding on the Workmen also. It is not at all the case of the Workman that any of the terms of
the settlement has been violated by the bank's Management. If the Workman had worked in the bank on part-time
basis before 31.5.94, that itself would not vest in him a right to claim that his services should be regularized on
permanent basis against a full time cadre post. The claim put forth by the Workman in the present petition is therefore
misconceived and not tenable. However, it is open to the Workman to claim any right which flows from the
settlement between the union and the bank Management. As already pointed out that it is not the grievance of the
Workman that some right which has flown from the settlement in favour of the Workman has been denied by the bank
Management. Therefore, I do not find any ground, let alone substantial ground, to grant the kind of relief sought for
by the Workman. Writ Petition fails and is accordingly dismissed. No costs."
18.
Further, it is contended that if the panels were not lapsed at the end of designated period and allowed to be
continued it would result in making the contracts of temporary employment indirectly permanent through back door
entry, which would not only be contrary to the settlements but also to Articles 14 and 16 of Constitution of India and
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[PART II—SEC. 3(ii)]
deprive the chances of original claimants who would Come through proper recruitment procedure. As their rights
have been crystallized by operation of the settlements. Hence, there is no question of any Legitimate expectation
being violated.
19.
Similarly placed ex-employees filed WP No.9206/1995 and the batch before the Hon'ble High Court of A.P.
and the learned Single Judge allowed the Writ Petitions. Aggrieved by the same WA No.86/98 and the batch was
filed and the Division Bench set aside the order of the Single Judge. Thereafter the ex-temporary employees filed
Special Leave Petition No.11886-11888 of 1998 before the Hon'ble Supreme Court of India. The Hon'ble Supreme
Court of India also dismissed the SLP. Therefore, reference to the Judgement of the Learned Single Judge in WP
No.9206/97 is of no consequences as the same has already been set aside. The observations made in the Judgements
cannot be relied upon for any purpose what so ever. The question of operation of Sec.25F would not come into play.
Further the issue is covered by various Judgements of Hon'ble Supreme Court of India and various Hon'ble High
Courts. Hence, the reference may be ordered that the Workman is not entitled for any relief.
20.
In order to fortify his claim Workman has examined himself as WW1 and also filed documents in evidence
which has been exhibited as Ex.W1 to W12. Further, the Workman has filed photocopies of documents in support
of his claim which are discussed as under:-
Ex.W1 is the notification. Further Ex.W2 is the interview call letter. Ex.W3 is the Service Certificates. Ex.W4 is the
service certificate. Ex.W5 is the service certificate. Ex.W6 is the service certificate. Ex. W7 is the Service
Certificates Ex. W8 is the Service Certificates Ex. W9 is the Service Certificates Ex. W10 is the Service Certificates
Ex. W11 is the Service Certificates Ex. W12 is the Service Particulars.
21.
On the other hand, Respondent has examined witness MW1 Sri K. Bala Kotaiah and this witness has
exhibited 12 documents, marked as Ex.M1 to M12. The details of these documents are as follows:-
Ex.M.1 is the Settlement dated 17.11.1987. Ex.M2 is the Settlement dated 16.7.1988. Ex.M3 is the Settlement
dated 27.10.1988. Ex.M4 is the Settlement dated 9.1.1991. Ex.M5 is the Minutes of the conciliation proceedings
dated 9.6.1995. Ex.M6 is the Settlement dated 30.7.1996. Ex.M7 is the Memorandum of Understanding dt.
27.2.1997. Ex.M8 is the Particulars of 1989 Messengerial Panel. Ex.M9 is the Particulars of 1989 Non-
Messengerial Panel. Ex.M10 is the Particulars of 1992 General Attendant Panel. Ex.M11 is the Judgment of
Hon‘ble High Court of A.P. in Writ Appeal No.86/98 dt.1.5.1998. Ex.M12 is the Judgment of Hon‘ble Supreme
Court of India in SLP No. 11886-11888 of 1998 dt.10.8.1998.
22.
Apart from afore mentioned documents, Learned Counsel for Workman has also filed a long list of various
judgements of Hon‘ble Supreme Court as well as Hon‘ble High Court, which we will discuss at appropriate place in
this Award.
23.
Heard the argument of Learned Counsel for Workman as well as for Respondent.
24.
On the basis of rival pleadings of both the parties and submissions made by the Learned Counsel for both
the parties, following points arise for determination in the industrial dispute :-
I.
Whether the 1st settlement dated 17.11.1987, 2nd settlement dated 16.7.1988, 3rd settlement dated
27.10.1988, 4th settlement dated 9.1.1991 and 5th settlement dated 30.7.1996 entered into between
State Bank of India and All India State Bank of India Staff Federation and also Memorandum of
Understanding are binding upon both the parties?
II.
Whether the action of State Bank of India, in dismissing the services of Workman Sri Y. Venkatadri,
a Messenger with effect from 31.3.1997 is justified?
III.
Whether the Workman is entitled for absorption on permanent post in the Branch of Respondent
management as per averments made by him in the claim statement?
IV.
To what relief if any the Workman is entitled for?
Findings:-
25.
Point No.I:-
Undisputedly settlements dated 17.11.1987, 16.7.1988, 27.10.1988, 9.1.1991 and
30.7.1996, minutes of conciliation proceedings and memorandum of understanding dated 27.2.1997 were executed
between the State Bank of India and All India State Bank of India Staff Federation under section 2(p) and 18 (1) of
I.D. Act, 1947 read with Rule 58 of Industrial Disputes (Central Rules), 1957.
Section 2(p) of the Industrial Disputes Act, 1947 as follows:-
(p) "settlement" means a settlement arrived at in the course of conciliation proceeding and includes a written
agreement between the employer and workmen arrived at otherwise than in the course of conciliation proceeding
where such agreement has been signed by the parties thereto in such manner as may be prescribed and a copy thereof
has been sent to an officer authorised in this behalf by the appropriate Government and the conciliation officer;
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1407
Section 18(1) provides as follows:-
18. Persons on whom settlements and awards are binding.
- [(1) A settlement arrived at by agreement between the employer and Workman otherwise than in the course of
conciliation proceeding shall be binding on the parties to the agreement.
Therefore, in view of the provision contained u/s.18 (1) I.D. Act, 1947, terms and conditions enumerated in the
aforesaid settlements are binding on the parties to the agreement. The Learned Counsel for Workman has argued that
the Workman after going through the selection procedure has successfully been listed in the panel for appointment on
the permanent basis in the Respondent management and the empanelled list has to be valid till last person in the
empanelled list is appointed on permanent basis. But the impugned order dated 25.3.97, 27.3.97 and 31.3.97, has been
issued by Respondent management thereby the services of the Workman has been terminated and the said order is not
in consonance of the terms of the agreement entered into between the parties. Further, Workman submits that the
Respondent in the 5th settlement has mentioned the date i.e., 31.3.1997 for lapse of empanel list which is illegal and
that is not binding upon the Workman. The condition of lapse of empanelment list on 31.3.97 incorporated in the
aforesaid 5th settlement, is arbitrary and illegal.
26.
The perusal of the impugned order dated 25.3.1997 goes to reveal that the Chief/Branch Manager, SBI Zonal
Office has issued the letter to all the branches with regard to the subject not to make any temporary appointments in
the Branch in messengerial category from 1.4.1997. The extract of the said letter is given below:-
―We have been advised by the Deputy General Manager, Zonal Office, Hyderabad that as both the panels of
temporary employees of 1989 and daily wagers/casual labours of 1992 will lapse by 31.3.1997, it has been decided
by Central Office not to make any temporary appointments in messengerial category from 1.4.1997.‖
Thus, from the contents of the aforesaid letter, it manifest that Head Office of State Bank of India vide letter dated
25.3.1997 has issued direction to all its branches not to make any temporary appointments in messengerial category
from 1.4.1997 due to reason of lapse of both panels i.e., 1989 & 1992 on 31.3.1997 as per terms of settlements
entered into by both parties. Further, the contents of the subsequent letter dated 27.3.1997 issued by Respondent
Management is also direction to Branch Manager, State Bank of India not to make any temporary messengerial
category appointment with effect from 1.4.1997 and it has also been communicated to all concerned that the panels of
temporary employees and daily wagers maintained by Zonal offices stand lapsed from 31.1.1997. Further, office
order dated 31.3.1997 has been issued by Respondent management that goes to reveal that the said office order has
been issued to this effect that, ―Consequent on absorption of temporary employees in permanent cadre, it has been
decided by the competent authority that no one onwards, no further daily labour or temporary
employees/appointments should be resorted to/engaged/employed.‖ Therefore, it reflects from the contents of the
aforesaid orders that the temporary appointment in messengerial category and daily labour has been stopped by the
Respondent management with effect from 1.4.1997 because of the lapsed of panel of temporary workers and daily
wagers by 31.3.1997. The agreement for lapse of both the panels on 31.3.1997 is contained in the 5th settlement
which has been arrived at between the parties on dated 30.7.1996 with the consensus of both the parties. Therefore,
Workman can not challenge the terms and conditions contained in settlement dated 30.7.1996 regarding lapse of
panel on 31.3.1997 as agreed between State Bank of India and State Bank of India Staff Federation. As per provision
contained u/s.18(1) of I.D. Act, 1947 the said Agreement dated 30.7.1996 is binding on both the parties.
In the case of Allied Sales Corporation Secunderabad vs.The Authority Under Andhra Pradesh..... 1990 II LLJ
510 AP para 414, Hon‘ble Court have held:-
―4. There was a settlement between the Management and the workmen under Section 18(1) of the Industrial Disputes
Act on 25th April 1983 under which the age of superannuation of the workmen was fixed at 55 years. The settlement
was to be in force upto 30th June 1986 and the next settlement, incorporating practically the same terms, was again
entered into on 4th February 1987 under Section 18(1) of the Industrial Disputes Act. There is no dispute that these
settlements are under Section 18(1).
14. Now the Authority constituted under Section 41(1) of the Act is an authority with very limited jurisdiction. It can
only decide in the first appeal whether a termination by the management is valid or not and is within the parameters
of Section 40 of the Act. The said Authority, in our view, has absolutely no jurisdiction to decide whether a settlement
entered into under Section 18(1) of the Industrial Disputes Act between the representatives of the Workmen and of the
Management, is vitiated by undue influence or misrepresentation or coercion on the part of the Management. The
Authority, namely, the Assistant Commissioner of Labour, was never intended by the A.P. Legislature to have
jurisdiction to go into the question of the validity of a settlement arrived at under Section 18 of the Industrial Disputes
Act by an Industrial Court. That Parliament has, in fact, constituted Industrial Courts under the Industrial Disputes
Act, with extensive powers cannot be disputed. What we mean to say is that the Authority under Section 41(1) of the
A.P. Act has no jurisdiction what-so-ever either to question or to decide about the validity of any such settlements. If
parties to a settlement have a grievance about the validity of a settlement, it is for them to agitate the matter before the
appropriate forum and they cannot ask an Authority constituted under Section 41(1) of the A.P. Shops and
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[PART II—SEC. 3(ii)]
Establishments Act, 1966 with limited jurisdiction, to go into any such question and, that too, incidentally while
deciding whether retirement as per the contract of employment, is legal or not.”
It is not the case of Workman that aforesaid settlements are vitiated by undue influence or misrepresentation or
coercion on the part of the management. If the Workman feeling aggrieved by any terms of settlement/ agreement on
the aforementioned grounds then he can challenge of settlement before a competent authority under the Act, 1947.
But here in the instant matter it is not a case of Workman that aforementioned settlement has been entered into
between the parties on the ground of undue influence or misrepresentation or coercion. Therefore, Workman is barred
to raise any objection in respect of fixing the date of lapse of both panels on 31.3.1997 as agreed between both the
parties and Workman can not challenge any terms of said Agreement.
Further in the case of Herbertsons Limited Vs. Workmen of Herbertsons Limited and Ors, 1977 AIR 322,
Hon‘ble Supreme Court have held:-
The Tribunal thought that the question of the quantum of membership of the 2nd Respondent did not call for a finding
at all in view of 1his Court's order. As observed above that was not a correct assumption. On the other hand, we feel
that this view of the Tribunal has led it to approach the matter in an entirely erroneous manner. The Tribunal is,
rightly enough, conscious that under section 18 (1) of the Industrial Disputes Act the settlement was binding on the
company and the members of the 3rd Respondent union. Even so, the Tribunal devoted nearly half of its order in
scanning the evidence given by the company and Respondent No. 3 to find out whether the terms of the settlement had
been explained by the President of the union to the workmen or not and whether the workers voluntarily accepted the
settlement knowing all the "consequences". This to our mind is again an entirely wrong approach.
“When a recognised union negotiates with an employer the workers as individuals do not come into the picture. It is
not necessary that each individual worker should know the implications of the settlement since a recognised union,
which is expected to protect the legitimate interests of labour, enters into a settlement in the best interests of labour.
This would be the normal rule. We cannot altogether rule out exceptional cases where there may be allegations of
mala fides, fraud or even corruption or other induce- ments. Nothing of that kind has been suggested against the
President of the 3rd Respondent in this case. That being the position, prima facie, this is a settlement in the course of
collective bargaining and, therefore, is entitled to due weight and consideration.
It is not possible to scan the settlement in bits and pieces and hold some parts good and acceptable and others bad.
Unless it can be demonstrated that the objectionable portion is such that it completely outweighs all the other
advantages gained the Court will be slow to hold a settle- ment as unfair and unjust. The settlement has to be
accepted or rejected as a whole and we are unable to reject it as a whole as unfair or unjust. Even before this Court
the 3rd Respondent representing admittedly the large majority of the workmen has stood by this settlement and that is
a strong factor which it is difficult to ignore. As stated elsewhere in the judgment, we cannot also be oblivious of the
fact that all workmen of the company have accepted the settlement. Besides, the period of settlement has since expired
and we are informed that the employer and the 3rd Respondent are negotiating another settlement with further
improvements. These factors, apart from what has been stated above, and the need for industrial peace and harmony
when a union backed by a large majority of workmen has accepted a settlement in the course of collective bargaining
have impelled us not to interfere with this settlement. That being the position, we unhold the settlement as fair and just
and order that the award of the Tribunal shall be substituted by the settlement dated October 18, 1973. The said
settlement shall be the substituted award. The appeal is disposed of accordingly. There will be no order as to costs.”
Therefore, in view of the law laid down by the Hon‘ble Apex Court as discussed above, the contention of the
Workman that the date fixed for lapse of empanelled list on 31.3.1997 for appointment to the permanent post vide 5th
Settlement dated 30.7.1996 is arbitrary, illegal is not untenable. The recognized union of Workmen has negotiated
with the Respondent Bank Management representing large number of Workmen and the Workman as individual do
not come into picture. Workman in the instant case has work as temporary Workmen in the Respondent Branch and
in response of Notification he had applied for inclusion of his name in the panel and he was selected for inclusion
his name in the panel list to be utilized for absorption of such Workman to permanent post in order of their seniority
in the list. The Settlement dated 30.7.1996 between State Bank of India and All India State Bank of India Staff
Federation under Sec.2(p) and Sec.18(1) of I.D. Act, 1947 has clearly provided as regard non-messengerial position
and it is agreed that all such posts sanctioned fallen vacant upto 31.3.1997 shall be filled before empanel list is
allowed to lapse. Thus, in view of law laid down by the Hon‘ble Apex Court, in the instant case, Agreement dated
30.7.1996 was entered into between both the parties in respect of lapsing of the both the panels on 31.3.1997 and
absorption of the Workmen from panel list was subject to availability of vacancy of post likely to arise upto
31.3.1997, have a binding force on Workman as well as management of State Bank of India in view of provision
contained under section 18 (1) of I.D. Act, 1947.
Thus, Point No.I is answered against the Workman and in favour of the Respondent.
27.
Point No.II:- Firstly, it is submitted on behalf of the Workman that the Respondent has terminated his
services by oral order on 31.3.1997 without issuing any notice or paying any salary or compensation in lieu thereof.
Therefore, the termination order of the Workman from service is in violation of provision contained Under Section 25
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1409
F of I.D. Act, 1947. Therefore, the order is liable to be set aside.
28.
On the other hand, Respondent counsel contended that Workman has not worked for 240 days in any
preceding calendar year. Therefore, reference of the industrial dispute is not relevant. In this context, the Workman
has examined himself as WW1 who has reiterated that Workman has been terminated from service by Respondent on
31.3.1997 without notice of salary or compensation in lieu thereof. Before examining the claim of the Workman on
merit it would be apposite to reproduce the provision contained under section 25 F:-
Section 25F provides:-
Conditions precedent to retrenchment of workmen.- No Workman employed in any industry who has been in
continuous service for not less than one year under an employer shall be retrenched by that employer until—
(a) the Workman has been given one month' s notice in writing indicating the reasons for retrenchment and the period
of notice has expired, or the Workman has been paid in lieu of such notice, wages for the period of the notice:
(b) the Workman has been paid, at the time of retrenchment, compensation which shall be equivalent to fifteen days'
average pay for every completed year of continuous service] or any part thereof in excess of six months; and
(c) notice in the prescribed manner is served on the appropriate Government or such authority as may be specified by
the appropriate Government by notification in the Official Gazette].
Compensation to workmen in case of transfer of undertakings.
Section 25B defines the term continuous service which provides
Definition of continuous service.- For the purposes of this Chapter,--
(1) a Workman shall be said to be in continuous service for a period if he is, for that period, in uninterrupted service,
including service which may be interrupted on account of sickness or authorized leave or an accident or a strike
which is not illegal, or a lock- out or a cessation of work which is not due to any fault on the part of the Workman;
(2) where a Workman is not in continuous service within the meaning of clause (1) for a period of one year or six
months, he shall be deemed to be in continuous service under an employer--
(a) for a period of one year, if the Workman, during a period of twelve calendar months preceding the date with
reference to which calculation is to be made, has actually worked under the employer for not less than--
(i) one hundred and ninety days in the case of a Workman employed below ground in a mine; and
(ii) two hundred and forty days, in any other case;
In order to prove the fact of 240 days of service within 12 months of a calendar year just preceding from the date of
termination, the initial burden of proof lies upon the Workman and the Workman has to prove this factum by
adducing his oral as well as documentary evidence in support of his claim.
Further, how to calculate 240 days of service by the Workman in a calendar year. In this context the reference of
decisions of Hon‘ble Supreme Court is relevant and the same are discussed below:-
In Rajasthan State Ganganagar S. Mills Ltd. v. State of Rajasthan and Anr. (2004) Apex Court held:
"It was the case of the Workman that he had worked for more than 240 days in the year concerned. This claim was
denied by the appellant. It was for the claimant to lead evidence to show that he had worked for 240 days in the year
preceding the date of his termination. He has filed an affidavit. It is statement which is in his favor and that cannot be
regarded as sufficient evidence for any Court or Tribunal to come to the conclusion that in fact the claimant had
worked for 240 days in a year These aspects were highlighted in Range Forest Officer v. S.T. Hadimani (2002 (3)
SCC 25. No proof of receipt of salary or wages for 240 days or order or record in that regard was produced. Mere
non-production of the muster roll for a particular period was not sufficient for the Labour Court held that the
Workman had worked for 240 days as claimed."
In Municipal Corporation, Faridabad v. Siri Niwas (2004 (8) SCC 195), held "the burden was on the Workman to
show that he was working for more than 240 days in the preceding one year prior to his alleged retrenchment." In
M.P. Electricity Board v. Hariram (2004 (8) SCC 246) the position was again reiterated in paragraph 11 as follows:
"The above burden having not been discharged and the Labour Court having held so, in our opinion, the Industrial
Court and the High Court erred in basing an order of reinstatement solely on an adverse inference drawn erroneously
..‖
In the case of Manager, RBI, Bangalore vs. S Mani (2005) SCC Page 100, the 3 Judges Bench of the Apex Court
held that "the initial burden of proof was on the Workman to show that he had completed 240 days of service."
Hon'ble Apex Court in the case of Mohan Lal vs Management BEL 1981 SCC page 225 has laid down the
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THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
principle that how to count 240 days of service within one year it is held: "Clause (2)(a) provides for a fiction
to treat a Workman in continuous service for a period of one year despite the fact that he has not rendered
uninterrupted service for a period of one year but he has rendered period of 240 days during the period of 12
calendar service for months counting backwards and just preceding the relevant date being the date of retrenchment.
In other words, in order to invoke the fiction enacted in clause (2)(a) it is necessary to determine first the relevant
date, ie the date of termination of service which is complained of as retrenchment. After that date is ascertained. move
backward to a period of 12 months just preceding the date of retrenchment and then ascertain whether within the
period of 12 months, the Workman has rendered service for a period of 240 days. If these three facts are affirmatively
answered in favor of the Workman pursuant to the deeming fiction enacted in clause (2)(a) it will have to be assumed
that the Workman is in continuous service for a period of one year and he will satisfy the eligibility qualification
enacted in Section 25-F"
“14. We have already extracted section 25B since its amendment and the change in language is the legislative
exposition of which note must be taken. In fact, we need not further dilate upon this aspect because in Surendra
Kumar Verma and Ors. v. Central Government Industrial-cum-Labour Court, New Delhi and Anr., Chinnappa
Reddy. J., after noticing the amendment and referring to the decision in Sur Enamel and Stamping Works (P)
Ltd case, held as under:
"These changes brought about by Act 36 of 1964 appear to be clearly designed to provide that a Workman who has
actually worked under the employer for not less than 240 days during a period of twelve months shall be deemed to
have been in continuous service for a period of one year whether or not he has in fact been in such continuous service
for a period of one year. It is enough that he has worked for 240 days in a period of 12 months, it is not necessary that
he should have been in the service of the employer for one whole year."
In a concurring judgment Pathak J. agreed with this interpretation of section 25B(2). Therefore, both on principle and
on precedent it must be held that section 25B(2) comprehends a situation where a Workman is not in employment for
a period of 12 calendar months, but has rendered service for a period of 240 days within the period of 12 calendar
months commencing and counting backwards from the relevant date, i.e. the date of retrenchment. If he has, he would
be deemed to be in continuous service for a period of one year for the purpose of section 25B and
Chapter VA.”
Thus, in view of the law laid down by the Hon‘ble Apex Court as discussed above the initial burden of proof lies
upon the Workman to show that he has completed 240 days of the service with the Respondent just preceding from
the date of his termination. Further, in respect of the employment of calculating the 240 days service in view of the
contents of Section 25-F read with Section 25-B of the I.D. Act, 1947.
29.
Now, in view of the provision contained under Section 25 F and law laid down by the Hon‘ble Apex Court,
we have to examine whether the Workman has discharged his initial burden of proof in respect of his claim of 240
days continuous service in a calendar year just preceding from the date of his termination i.e., 31.3.1997.
In this context, WW1 in his cross examination has stated that,
“I was not sponsored by any employment exchange. I did not undergo regular process of selection before my
appointment in the branch..”
“It is true that I did not work for 240 days in any year in my entire service in the bank.”
Thus, it is clear from the testimony of WW1 that the Workman had not worked for 240 days continuously in any 12
months of a calendar year just preceding from the date of his termination in the Respondent bank. Therefore,
Workman failed to establish his plea by his oral and documentary evidence that he had worked for 240 days
continuously in calendar year just preceding from the date of his termination i.e., 31.3.1997. Thus, the claim of the
Workman that he has been terminated by oral order without issuing notice or payment in lieu after termination, in
contravention of Section 25 F of Industrial Disputes Act, 1947 is not tenable. However the documents filed by the
Workman in support of his claim, number of days worked with the Respondent goes to reveal that the Workman had
worked intermittently as daily wager depending upon availability of work in branch. Workman did not file any
document of appointment letter or salary slips in support of his claim for appointment as a non-messenger in the
Respondent branch on temporary basis.
30.
Per contra, the Learned Counsel for Respondent has submitted the allegation of Workman that he was
terminated from services is not correct. As the vacancies were filled up on regular basis in order of their respective
seniority the non-engagement of the Workman does not amount to termination. Further, Respondent contended that
no law provide that even though there is no work temporary employee should be continued in the bank work as the
very engagement of Workman was subject to availability of work. Therefore, the allegation that the bank has
indulged in unfair labour practice is incorrect.
31.
Thus, in view of the fore gone discussion and contentions made by the Respondent, I find the force in the
argument advanced by the Respondent that in the instant matter, Workman was not terminated from service by order
dated 31.3.1997 rather he was disengaged in view of the non-availability of the work in the branch. Further, there
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1411
was direction issued by the Head Office of the Respondent authority not to engage any daily wager Workman/
temporary Worker w.e.f. 1.4.1997. Thus, such disengagement of Workman does not amount to termination.
Moreover, the Workman failed to prove his claim that he was terminated in contravention of provision of Sec.25F of
the I.D. Act, 1947 as he failed to establish his plea by any oral or documentary evidence that he had worked for 240
days continuously in a twelve months of calendar year just preceding from date of termination i.e., 31.3.1997.
32.
Further, perusal of the order dated 25.3.1997 goes to reveal that the Chief Branch Manager, State Bank of
India has issued the letter to Zonal Office with direction to all its branches to this effect that they have been advised
by the DGM, Zonal Office, Hyderabad that as both the panel of temporary employees of 1989 and daily wagers/casual
labour of 1992 will lapse on 31.3.1997 it has been decided by central office not to make any temporary appointments
in messengerial cadre from 1.4.1997, therefore it was directed to issue suitable instructions not to make temporary
appointments from 1.4.1997. There is no mention in this order that the Workman herein has been terminated from
service by this order.
33.
Further, the circular dated 27.3.1997 was issued by DGM, SBI to all branches in commercial network in
respect of the non-appointment of temporary employees in subordinate cadre and it has directed not to make any
temporary employment in the subordinate cadre with effect from 1.4.97 and further, it has directed to ensure that no
temporary/casual/daily basis appointment of the petty cash. Further, it is directed to all Branch Managers that any
deviation in this regard will be viewed seriously. Thus, these circulars do not reflect that the Workman has been
terminated from service by this order.
34.
Similarly, office order dated 31.3.1997 is simply a direction to all branches of the Respondent bank by DGM
that no further daily labour should be engaged or employed. Therefore, the plea of the Workman that he has been
terminated by the aforesaid order dated 25.3.1997, 27.3.1997 and 31.3.1997 from the service by the Respondent is not
acceptable. The evidence adduced by the Workman clearly goes to reveal that he had worked as a daily wager for
which he has been paid wages according to number of working days. As there was an order for prohibition for
engaging temporary workmen, in the bank, therefore, Workman could not be engaged by the Respondent for work
from 1.4.1997 and there after. It is settled law that the daily wagers are engaged by the employer depending upon
the availability of work and as the work was not available the Workman was not engaged further by the Respondent
management. Therefore, the Workman on the ground of number of days he had worked in the Respondent bank
cannot claim any right to reinstate him into the employment. As the Workman failed to prove the mandatory
condition of 240 days of continuous service as required under Sec.25F of I.D. Act, 1947. Therefore, the
disengagement of Workman from work can not be termed in contravention of provision contained under Sec.25F and
25 B of the I.D. Act, 1947.
Thus, this point is answered against the Workman and in favour of Respondent.
35.
Point No.III:- In this context, the Workman has contended that the management failed to implement the
selected panels during its valid tenure. The management adopted the back door methods contrary to the settlements
and filled up the vacancies. The same is evident from the proceedings dated 18.11.1993 a copy of the same is filed in
the material papers and the same may be read as part of the claim statement. Further, it is submitted that management
has to adhere the procedure issued by the Central Government, the instructions dated 16.8.1990 in the year 1995, but
same was not followed in the year 1997 despite there being vacancies. The management has followed the procedure of
calling candidates through employment exchange instead of giving chance to the empanelled candidates like the
Workman herein. The management sent call letters to the similarly situated candidates like the Workman in the month
of June 1997 subsequent to issuance of impugned termination orders. After knowing the fact that they are litigating
the issue by way of dispute, the management has refused to engage those candidates, the copies of call letters issued
are filed herein along with claim petition. The Workman herein reiterates that the panels are meant for absorption but
not for termination. In view of the same a duty is cast upon the Respondent management to engage the empanelled
candidates like the Workman herein even in temporary vacancies till they are absorbed permanently in regular
vacancies.
36.
On the other hand, Respondent has contended that the Federation approached Regional Labour
Commissioner (Central) for implementation of bipartite settlement in respect of the absorption of temporary
employees. The Regional Labour Commissioner (Central) conducted conciliation proceedings and agreement was
arrived at between the Federation and the Management bank. It is submitted that it was agreed between the
Federation and the Management that both the panels of temporary employees and daily wagers /casual labour would
be kept alive upto March, 1997 and the vacancies as agreed to under the afore set out settlements will be filled from
both the lists concurrently. A copy of the conciliation proceedings dated 9.6.1995 signed by the parties to the dispute
is filed as a material paper. Further, it is submitted that the settlement was arrived at and an agreement was signed
between the Federation and the Management bank on 30.7.1996 under Section 2(p) read with Section 18(1) of the
Industrial Disputes (Central) Rules 1957 which is binding on the parties. A copy of this agreement which hereinafter
may be referred to as 5th settlement for brevity, is also filed as a material paper. The 5th settlement dated 30.7.1996
1412
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
whereunder the earlier four settlements dated 17.11.1987, 16.7.1988, 27.10.1988 and 9.1.1991 were also referred, it
was agreed to, by the Federation and the Management bank that both the panels of temporary employees and daily
wagers/casual employees will be kept alive upto March, 1997 for filling the vacancies existing/arrived at as on
31.12.1994 as per the norms agreed to between the bank and Federation and that thereafter the said panels would
lapse. It was also agreed that within the framework of the above settlements the modalities about drawing names from
either the panel of temporary employees or the panel of daily wagers and casual labour would be decided
administratively on circle to circle basis depending upon the local requirements in consultation with the Federation‘s
affiliate by the Circle management. It was further agreed that all messenger real vacancies/positions in the subordinate
cadre including part-time attendants specifically provided as leave reserve will be filled by the end of 31.3.1997.
Further, Respondent contended that on 27.2.1997 a memorandum of understanding was also signed between the
Federation‘s affiliate and the bank management regarding the fact that the exercise of identifying the messengerial
vacancies as on 31.12.1994 has since been completed by central office and thereby 403 messengerial vacancies were
sanctioned to the circle of the Management bank and it was agreed that these vacancies may be filled from 1989 panel
of temporary employees after effecting conversion from full time non-messengerial staff in the usual manner and the
agreement was reached upon. Further, it was agreed between the Federations affiliate and the management bank
that in terms of the settlement dated 30.7.1996 both the panels of temporary employees and daily wagers /casual
employees would lapse on 31.3.1997.
37.
The Workman has contended that the empanelled list prepared by the Respondent management for
appointment of temporary and daily wage Workers to the permanent post cannot lapse unless until it is exhausted by
appointing all the empanelled persons and it should continue even after 31.3.1997, i.e., the date fixed for the lapse of
panel. It is undisputed that the date of lapse of empanelled list of Workmen has been fixed to 31.3.1997 as
mentioned in the settlement dated 30.7.1996, and agreed between the parties. It is settled law that and once the life
of panel list lapses on the date as agreed between the parties it cannot be extended beyond that date. In the instant
case the panel list of the workmen was valid upto 31.3.1997 in view of the terms and conditions enumerated in the 5th
Settlement entered into between the parties. As the lapse of panel i.e., 31.3.1997 has been agreed by State Bank of
India and State Bank of India Staff Federation through 5th Settlement, the Workman is not competent to challenge the
same.
In this context I would like to take reference of the decision of the apex court in the case of Syndicate Bank and Ors
vs. Shankar Paul and Ors , AIR 1997 SC 3091, therein the Hon‘ble Apex Court have held:-
“Till 1982, the branches of the appellant Bank in Calcutta region were recruiting persons locally to work as
temporary attenders in leave vacancies. In view of the revised procedure prescribed by the Government of India in
respect of such temporary appointments, the Calcutta regional office of the appellant Bank issued a circular to all of
its branches on 14.8.1982, instructing all the branches under it to discontinue the old practice from 1.6.1982 and
appoint only empanelled candidates. The regional office was to prepare a panel of eligible candidates, after calling
names from the local/district employment exchange, and split it up branch-wise. Following that new procedure yearly
panels were prepared thereafter. Names of the Respondents were for the first time included in the panel prepared for
the period 7.2.1987 to 6.2.1988. By its letter dated 7.2.1987 the Bank had informed the Respondents that the panel
was valid for one year only and that inclusion of their names in the panel was not to confer on them any right to seek
permanent appointment in the service of the bank. Considering the object with which the panel was prepared and the
fact that it was an yearly panel expiring on 6.2.1988, we are of the opinion that the Respondents did not get any right,
because of inclusion of their names in the said panel, for permanent absorption in the service of the Bank. Whatever
conditional right they had came to an end with the expiry of the panel. The claim of the Respondents, as contained in
the writ petition was thus misconceived and therefore the learned single Judge and the Division Bench, when it first
decided the appeal, were right in dismissing the writ petition and the appeal respectively.”
Thus, in view of the above law laid down by the Hon‘ble Apex Court and in view of the terms and conditions of the
5th Settlement the contention of the Workman that empanelled list should continue even after 31.3.1997 till the last
Workman in the panel is absorbed is not tenable. The contention of the Workman is baseless in view of recital in
the settlement. Therefore, in view of the fore gone discussion and finding given at Point No. I regarding binding
nature of Settlements and terms and conditions enumerated therein, in view of the provision contained u/s.18(1) of the
I.D. Act, 1947, I am of the considered view that life of panels lapsed on 31.3.1997 in view of terms of settlement
dated 30.7.1996 and plea of Workman that the panel shall continue even after 31.3.1997 till last man absorbed has
no legal force and same is untenable.
38.
Undisputedly, settlement agreement dated 30.7.1996 was executed between the State Bank of India and
State Bank of India Staff Federation and in that settlement it was agreed that both the panels of temporary employees
and daily wagers/ casual employees will be used for filling vacancies existing as on 31.12.1994 as per the norms
agreed between the bank and the Federation. These empanelled workmen were to be given a chance for permanent
appointment in the bank against vacancies arising up to December 1994 whereas the daily wagers/ casual employees
were to be considered against the vacancies arise from January 1995 to December 1996, whereby the said panel
would lapse. It was agreed that the vacancies falls upto 31.3.1997 shall be filled before the empanelled list is
allowed to lapse. Thus, the claim of the Workman to the post of permanent non-messenger in the Respondent
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1413
management was subject to the availability of the sanctioned post and vacancies arising upto 31.3.1997. The
workmen given chance to the permanent post were seniors in number of working days in panel list and Workman
herein was junior to those workmen. Therefore, Workman could not be given absorption to permanent post being
junior to other workmen in the panel list.
39.
In this context the Workman witness WW1 was cross examined by the Respondent counsel and in the cross
examination the witness WW1 states:-
“I applied in response to the notification given by the bank as per the settlements between the bank and the union….
Further, witness states, The panel was prepared basing on the number of days of service put in by the temporary
employees . Some of them whose names were included in the panel were given regular appointment on regular basis
as per settlements…. Further witness states, I am not having any document to show that any person who had worked
for less no. of days than me was given appointment on regular basis in the bank.”
Thus, from the above statement of the Workman witness WW1 it is clear that the panel was prepared in terms of
various settlements entered into between Staff Federation of State Bank of India and State Bank of India and it was
prepared on the basis of number of days of work put in by the temporary employees. Further, the Workman himself
admitted that some of the temporary employees whose names were included in the panel were given regular
appointment in the bank in order of their seniority in the panel and he is not having any document to show that any
person who worked for less number of days than the Workman was given appointment in the bank. Therefore, the
allegation of the Workman that the regular appointment has been made by the bank from the panel list in breach of the
terms of the settlement and violation of seniority of panel list is not proved by this evidence of WW1. Thus, there is
no evidence on record that bank has given the appointment to the temporary employees as well as daily wagers from
the panel list 1989 and 1992 in breach of seniority of the temporary employees in the list. There is no evidence of
jumbling in the panel list to make appointment of any permanent Workman in breach of the seniority. Therefore, I
am constrained to hold that the Respondent Management has appointed the workmen from panel list in order of
seniority and there is no jumbling of workmen in the panel list before it got lapsed on 31.3.1997.
40.
However, Workman has taken the plea that the panels of Workmen for absorption in the employment of the
Respondent banks (panels of temporary employees and daily wagers) has been lapsed on 31.3.1997 in contravention
of terms of settlement as the object of preparing the entire empanelment of temporary and daily wagers was to provide
them permanent employment and till the both the panel lists exhausted the panel list cannot be lapsed on 31.3.1997
and the date of lapsing of the panel on 31.3.1997 has been fixed by the Respondent arbitrarily without any authority.
41.
In this context, the perusal of Settlement dated 30.7.1996 reveals that the 5th Settlement dated 30.7.1996 was
entered under Section 2(p) and 18(1) of I.D. Act, 1947 read with Rule 58 of Industrial Dispute (Central) Rules 1957.
This settlement has been entered into by the competent parties and in this settlement parties thereto agreed that both
the panels of temporary employees and daily wagers/casual employees will lapse on 31.3.1997. Thus the date of
lapse of panel was fixed by both the parties with consensus under the settlement dated 30.7.1996 and same is
binding upon the Workman under the provision of Section 18(1) of I.D. Act, 1947. Moreover, this issue of binding
force of the settlement dated 17.11.1987, 16.7.1988, 27.10.1988 and 9.1.1991 has already been discussed, decided at
finding in Point No.I of this award. However, the legality and validity of the aforementioned settlement has not been
challenged by the Workman before any competent forum. Thus, claim of Workman that the date of lapse of panel i.e.,
31.3.1997 has been fixed arbitrarily by the Respondent bank is untenable. As regard the claim of Workman for his
absorption to the permanent post it is settled law that the Workman can not claim his regularization to permanent
post merely on the basis of number of working days.
42.
In this context the reference of the decision of Hon‘ble Supreme Court in the case of Oil and Natural Gas
Corporation vs Krishan Gopal 2020(3) SCALE 272, date of decision 7.2.2020 is relevant therein Hon‘ble
Supreme Court have has laid down principle regarding regularization of the Workman on permanent posts. Hon‘ble
Supreme Court have laid down the prepositions of regularization of the workmen to permanent post is as under:-
―(i) Wide as they are, the powers of the Labour Court and the Industrial Court cannot extend to a direction to order
regularisation, where such a direction would in the context of public employment offend the provisions contained
in Article 14 of the Constitution;
(ii) The statutory power of the Labour Court or Industrial Court to grant relief to workmen including the status of
permanency continues to exist in circumstances where the employer has indulged in an unfair labour practice by not
filling up permanent posts even though such posts are available and by continuing to employ workmen as temporary
or daily wage employees despite their performing the same work as regular workmen on lower wages;
(iii) The power to create permanent or sanctioned posts lies outside the judicial domain and where no posts are
available, a direction to grant regularisation would be impermissible merely on the basis of the number of years of
service;
(iv) Where an employer has regularised similarly situated workmen either in a scheme or otherwise, it would be open
to workmen who have been deprived of the same benefit at par with the workmen who have been regularised to make
1414
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
a complaint before the Labour or Industrial Court, since the deprivation of the benefit would amount to a violation of
Article 14; and
(v) In order to constitute an unfair labour practice under Section 2(ra) read with Item 10 of the Vth Schedule of the ID
Act, the employer should be engaging workmen as badlis, temporaries or casuals, and continuing them for years, with
the object of depriving them of the benefits payable to permanent workmen.
Thus, in view of the principles laid down by the Hon‘ble Supreme Court as discussed above, in the instant matter the
Workman utterly failed to prove his claim by adducing any documentary or oral evidence that the employer has
indulged in unfair labour practice by not filling the permanent posts even though such posts are available and by
continuing to employ workmen as temporary or daily wage employees despite their performance was the same work,
as regular workmen on lower wages.
43.
Respondent has contended that all the vacancies exist and arise upto 31.3.1997 has been filled up from the
panel list in order of seniority and no vacancy exists or arises as on 31.3.1997 remained unfilled. Further, it is
contended that as per terms of settlement the life of panel lists has been lapsed on 31.3.1997, hence, there is no
occasion to extend the life of panel lists beyond 31.3.1997. However, the workman failed to prove contrary by any
evidence to the aforesaid contention of the Respondent that the vacancies were existing as on 31.3.1997 and the
workman was not given absorption to the permanent post in order of his seniority. It is settled law that the power to
create permanent or sanctioned post lies outside the judicial domain and where no posts are available, a direction to
grant regularization would be impermissible merely on the basis of the number of years of service. Therefore, the
claim of the workman on this ground also not acceptable.
44.
Further, as per the of settlement, panel was prepared for absorption of the workmen on the permanent posts
has already been lapsed on 31.3.1997 and the vacancies existing and arising upto 31.12.1994 and upto 31.3.1997 as
settlement dated 30.7.1996 has been filled up from the panel by appointing the workmen as per seniority in the panel
list. Workman witness WW1 in his cross examination has himself admitted this fact that, some of the temporary
employees whose names were included in the panel were given regular appointment in the bank in order of their
seniority in the panel. The Workman failed to show that there was any breach of terms of settlement has been
committed by the Respondent in appointment to permanent post from aforesaid panel list.
45.
As discussed in preceding paragraph of this Award, the life of the panel has not been extended beyond
31.3.1997, by any further settlement hence, the panel list in which name of the Workman was included got expired
on 31.3.1997. It is not the case of the Workman that Respondent has regularized similarly situated workmen either in
the scheme or otherwise and the Workman has been deprived of same benefit on par with those workmen or the
vacancies remained unfilled on the date of lapse of panels i.e., 31.3.1997, Industrial Tribunal has no jurisdiction to
extend the date of lapse of panel i.e., 31.3.1997. This Tribunal can not order for regularization of workmen to the
permanent post in contravention of the provision of Article 14 of the Constitution of India.
In the case of Mahboob Deepak vs. Nagar Panchayat Gajraula & Anr, Civil Appeal No.5875/2007 date of
judgement 13.12.2007, Hon‘ble Supreme Court have held:-
“8. Respondent is a Local Authority. The terms and conditions of employment of the employees are governed by a
statute and statutory rules. No appointment can be made by a Local Authority without following the provisions of the
recruitment rules. Any appointment made in violation of the said rules as also the constitutional scheme of equality as
contained in Articles 14 and 16 of the Constitution of India would be a nullity.
9. Due to some exigency of work, although recruitment on daily wages or on an ad hoc basis was permissible, but by
reason thereof an employee cannot claim any right to be permanently absorbed in service or made permanent in
absence of any statute or statutory rules. Merely because an employee has completed 240 days of work in a year
preceding the date of retrenchment, the same would not mean that his services were liable to be regularized.”
Therefore, in view of the law laid down by the Hon‘ble Apex Court, the claim of the Workman for absorption merely
on the basis of number of day of work in the Respondent bank Branch is not acceptable. As regard plea of the
Workman that the Workman should have been given employment even after 31.3.1997 as temporary Workman, it is
the discretion of Respondent to engage the Workman depending upon availability of work and this Tribunal can not
direct the Respondent to engage the Workman in the absent of such rule/scheme.
46.
In view of principle laid down by Hon‘ble Apex Court as discussed above, in the instant matter Workman
utterly failed to establish the fact of rendering continuous service for a period of 240 days of service within a period
of 12 calendar months commencing and coming backward from relevant date i.e., the date of retrenchment, if has he
would be denied to be in continuous service for a period of one year. Therefore, the provision contained under
Sec.25F of retrenchment is not applicable to Workman.
Counsel for Workman has relied upon number of decisions of Hon‘ble High Court and Hon'ble Supreme Court and
few of them are discussed herein:-
In the case of F.C.I., vs. Kamdhenu Cattle Feed Industries 1993 (1) SCC 71, therein Hon‘ble Supreme Court have
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1415
held:-
“7. In contractual sphere as in all other State actions, the State and all its instrumentalities have to conform to Article
14 of the Constitution of which non-arbitrariness is a significant facet. There is no unfettered discretion in public law:
A public authority possesses powers only to use them for public good. This impose the duty to act fairly and to adopt a
procedure which is `fairplay in action'. Due observance of this obligation as a part of good administration raises a
reasonable or legitimate expectation in every citizen to be treated fairly in his interaction with the State and its
instrumentalities, with this element forming a necessary component of the decision making process in all State
actions. To satisfy this requirement of non- arbitrariness in a State action, it is, therefore, necessary to consider and
give due weight to the reasonable or legitimate expectations of the persons likely lo be affected by the decision or else
that unfairness in the exercise of the power may amount to an abuse or excess of power apart from affecting the bona
fides of the decision in a given case. The decision so made would be exposed to challenge on the ground of
arbitrariness. Rule of law does not completely eliminate discretion in the exercise of power, as it is unrealistic, but
providers for control of its exercise by judicial review.”
In the case of State Bank of India, R.O., Vijayawada vs. Industrial Tribunal, Hyderabad WP No.193/1997,
therein Hon‘ble High Court have held,
―Sri Krovvidi Narasimham, the learned counsel for the 2nd respondent contends, supporting the award that it was a
permanent vacancy and even though the 2nd respondent was appointed on temporary basis, his services were not
liable to be terminated and he was to be regularised into service on permanent basis. Shastry award warrants that no
temporary appointment can be made to a permanent post. But the matter is now covered by two division bench
judgements dated 28.11.1986 in W.A. No.791 of 1986 and 25.8.1987 in W.A. No.270 of 1982. The ratio decided in the
two judgements is to the effect that there cannot be any mandate to appoint employees on permanent basis when the
requirement was for appointment on temporary basis. But it is held in the said judgements that when a temporary
appointee is ousted from service and not for misconduct and, if again temporary appointment is to be made, then, the
case of such temporary appointee who was ousted, has got to be considered in accordance with Sec. 25-H of
the Act.”
In the case of State of Haryana and others vs. Piara Singh and others. 1992 (4) SCC 118, therein Hon‘ble
Supreme Court have held:-
“ 49. If for any reason an adhoc or temporary employee is continued for a fairly long spell, the authorities must
consider his case for regularization provided he is eligible and qualified according to the rules and his service record
is satisfactory and his appointment does not run counter to the reservation policy of the state.”
In the above cited judgements by the Workman the facts of the case are different hence do not apply to instant case
of Workman.
47.
On the other hand, in support of his contention Respondent has examined witness MW1 and MW1 in chief
examination states that, Settlements i.e., on 17.11.1987, 16.7.1988, 27.10.1988, 9.1.1991 were entered into between
the SBI and SBI Staff Federation for filling up of the vacancies that arise up to 1994 for those temporary employees
who has worked on scale wages. Further, MW1 states that two different panels for messengers and non-messengers
as per the eligibility criteria prescribed by the bank. There are four modules in Andhra Pradesh and they are
Hyderabad, Tirupathi, Vijayawada and Visakhapatnam. MW1 states that the temporary employees so empanelled
were given permanent absorption depending upon the vacancies so arise strictly in terms of the settlement. MW1
states that on 9.6.1995 conciliation proceeding was held before the RLC(C), Hyderabad and in said proceedings it
was decided that the panels will be kept live up to 31.3.1997 and vacancies will be filled from both the lists
concurrently. A copy of the said minutes of proceedings is Ex.M5. Further, MW1 states that on 30.7.1996 another
settlement was entered between the SBI and All India SBI Staff Federation providing for filling up of the vacancies
arising up to December 1994 in respect of subordinate cadre and daily wage /casual wage employees out of panel so
prepared were to be considered against vacancies arising from January 1995 to December 1996, thereafter the said
panels lapse. MW1 states that it was also agreed that all the non- messenger positions in subordinate cadre including
part time attendants specially provided as leave reserve will be filled before 31.3.1997 and as regards to non-
messengerial positions it is agreed that all such posts sanctioned and fallen vacant up to 31.3.1997 shall be filled
before the empanelled list is allowed to lapse. Thus in both the cases empanelled list were lapsed on 1.4.1997.
Ex.M6 is the copy of the settlement dated 30.7.1996. Further, witness states that on 27.2.1997 a memorandum of
understanding was reached between the SBI and SBI Staff Federation providing that both the panels above mentioned
will lapse on 31.3.1997. Ex.M7 is the copy of the memorandum of understanding and Ex.M8 is the copy of the
statements giving the particulars of 1989 non-messenger panel, Ex.M9 is the copy of the statement of 1989 non-
messenger panel, Ex.M10 is the copy of statement of 1992 panel. Further, witness states that petitioner was included
in the 1989 panel. As the existing vacancies at that time were exhausted and his turn did not come he could not be
given permanent employment in the bank as per the agreements. All the appointments were made strictly in
accordance with the settlements reached from time to time between SBI and SBI staff federation and as per seniority,
number of days of temporary service put in by them in the bank in the given period. Further, MW1 states petitioner
1416
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
was not sponsored by any employment exchange he did not undergo the regular process of selection required for
appointment as a regular non-messenger the petitioner has not worked for 240 days in any year in his entire temporary
service in the bank. The petitioner and other temporary employees were terminated from service by the bank.
Further, MW1 states that the vacancies were filled up on regular basis with the temporary employees from the panels
and these panels were expired in terms of the settlements so reached and there were no vacancies to absorb such
employees. Thus, witness MW1 has proved the documents Ex.M1 to Ex.M12 and also contentions made in the
counter. However, MW1 was cross examined by the Petitioner Counsel. But nothing has been elicited in his cross
examination so as to discredit the testimony of the witness MW1 as regards the date of lapse of both the panels on
31.3.1997 and reasons assigned for non-absorption of the Petitioner from the panel list to the permanent post.
Moreover the witness MW1 was re-examined by the Respondent and the witness MW1 states that panels were expired
in terms of the settlement send absorptions to the extent of the available vacancies were made. There was no
termination of any temporary messenger as such but their services were not utilized after the cut off date as the
available vacancies were already filled up and most of these Petitioners were not in the service of the bank as on the
date of the expiry date of the panels. Therefore, in view of the aforesaid testimony of the MW1 in re-examination in
the absence of cross examination remained uncontraverted, the claim of the Workman that he was entitled for
absorption in permanent post in the branch of Respondent Management on the basis of panel list is found not
established.
This point is answered against the Workman.
48.
Point No.IV:- In view of the discussion and finding given at Point Nos. I, II and III, the Workman is not
entitled for any relief and claim statement of Workman sans merit and liable to be dismissed.
This Point is answered accordingly.
ORDER
In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the
services of Sri Y. Venkatadri, Ex. Messenger by way of oral orders w.e.f. 31.3.1997 is justified. Hence, the
Petitioner is not entitled for any relief as prayed for. The claim statement filed by Workman sans merit, hence,
dismissed. Reference is answered accordingly.
Award is passed accordingly. Transmit.
Typed to my dictation by Smt. K. Phani Gowri, Personal Assistant, transcribed by her, corrected and signed
by me on this the 5th day of February, 2026.
IRFAN QAMAR, Presiding Officer
Appendix of evidence
Witnesses examined for the
Witnesses examined for the
Petitioner
Respondent
WW1: Sri Y. Venkatadri
MW1: Sri Bala Kotaiah
Documents marked for the Petitioner
Ex.W1: Photocopy of News paper advertisement/ notification
Ex.W2: Photocopy of interview call letter
Ex.W3: Photocopy of Service certificate
Ex.W4: Photocopy of service certificate
Ex.W5: Photocopy of Service certificate
Ex.W6:Photocopy of service certificate
Ex.W7:Photocopy of service certificate
Ex.W8:Photocopy of service certificate
Ex.W9:Photocopy of service certificate
Ex.W10:Photocopy of service certificate
Ex.W11:Photocopy of service certificate
Ex.W12:Photocopy of service certificate
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1417
Documents marked for the Respondent
Ex.M1:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.17.11.87
Ex.M2:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.16.7.88
Ex.M3:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.27.10.1988
Ex.M4:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.9.1.1991
Ex.M5:
Photocopy of conciliation proceedings before the Regional Labour Commissioner(C) dt.9.6.1995
Ex.M6:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.30.7.1996
Ex.M7:
Photocopy of Memorandum of understanding dt. 27.1.1997
Ex.M8:
Photocopy of statements giving the particulars of 1989 messenger panel.
Ex.M9:
Photocopy of statement of 1989 Non-messenger panel
Ex.M10:
Photocopy of statement of 1992 panel
Ex.M11:
Photocopy of order of Hon‘ble High Court in WA No.86/98 dt. 1.5.98
Ex.M12:
Photocopy of order in SLP No.11886-11888 of 1998 dated 10.8.98
नई ददल्ली, 2 मार्च, 2026
का.आ. 301.—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj
ds izca/kr=] lac) fu;kstdksa vkSj muds deZdkjksa ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh;
ljdkj औद्योजगक vf/kdj.k @Je U;k;ky;
ds iapkV (233/2002) izdkf'kr djrh gSA
[सं. एल-12012/441/2001-आई आर(बी- I)]
सलोनी, उृ जनदेिक
New Delhi, the 2nd March, 2026
S.O. 301.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Ref. 233/2002) of the Cent.Govt.Indus.Tribunal-cum-Labour Court
Hyderabad as shown in the Annexure, in the industrial dispute between the management of State Bank of India
and their workmen.
[No. L-12012/441/2001- IR(B-I)]
SALONI, Dy. Director
ANNEXURE
IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT
HYDERABAD
Present: Sri IRFAN QAMAR
Presiding Officer
Dated the 4th day of February, 2026
INDUSTRIAL DISPUTE No. 233/2002
Between:
Sri G. Nagamalleswara Rao,
S/o Balakotaiah,
Koduru (P.O.),
1418
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Koduru(M),
Krishna Distt.
… Petitioner
And
The Asst. General Manager,
State Bank of India,
Zonal Office,
Vijayawada-520001.
…..Respondent
Appearances:
For the Petitioner :
Sri Macharla Rangaiah, Advocate
For the Respondent: Sri Y. Ranjeeth Reddy, Advocate
AWARD
The Government of India, Ministry of Labour by its order No. L-12012/441/2001-IR(B.I) dated 4.4.2002
referred the following dispute under section 10(1)(d) of the I.D. Act, 1947 requiring this forum to decide the question:
SCHEDULE
―Whether the action of the management of State Bank of India, Tirupathi Zone in dismissing services of
Shri G. Nagamalleswara Rao, Ex.Messenger, is justified? If not, what relief the workman is entitled?‖
After receipt of the reference, it was numbered as ID No.233/2002 and notices were issued to both the workman and
the management.
2.
Petitioner has filed his claim statement and as per his claim he has worked continuously in the Respondent
organization during the period from 1984 to 1997 but, his services has been terminated without any reasonable
ground or following any principle and in violation of provision of ID Act and prayed to reinstate him with all
benefits from the date of his actual termination.
3.
Respondent has filed the counter wherein he has denied the allegations made in claim statement by the
petitioner and contended that Petitioner had not worked for 240 days in 12 months of any calendar year just preceding
from date of termination. Therefore, the provision of Sec.25F of I.D. Act, 1947 is not applicable to the Petitioner
case and his claim statement is liable to be dismissed.
4.
Perused the record. As per provision contained u/s.25F of the Act, the workman has to put in 240 days
continuous service just preceding from the date of his termination in a 12 month of a calendar year. But, despite
sufficient opportunity petitioner failed to adduce any oral or documentary evidence in support of his claim of 240
days of the service in a calendar year just preceding from the date of his termination. Therefore, the claim of the
Petitioner is not substantiated by any oral or documentary evidence. Therefore, ‗No Claim‘ award is passed.
Transmit.
Award is passed. Transmit.
Typed to my dictation by Smt. P. Phani Gowri, Personal Assistant and corrected by me on this the 4th day of
February, 2026.
IRFAN QAMAR, Presiding Officer
Appendix of evidence
Witnesses examined for the
Witnesses examined for the
Petitioner
Respondent
NIL
NIL
Documents marked for the Petitioner
NIL
Documents marked for the Respondent
NIL
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1419
नई ददल्ली, 2 मार्च, 2026
का.आ. 302.—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj
ds izca/kr=] lac) fu;kstdksa vkSj muds deZdkjksa ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh;
ljdkj औद्योजगक vf/kdj.k @Je U;k;ky;
ds iapkV (275/2002 ) izdkf'kr djrh gSA
[सं. एल-12012/13/2002-आई आर(बी- I)]
सलोनी, उृ जनदेिक
New Delhi, the 2nd March, 2026
S.O. 302.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Ref. 275/2002) of the Cent.Govt.Indus.Tribunal-cum-Labour Court
Hyderabad as shown in the Annexure, in the industrial dispute between the management of State Bank of India
and their workmen.
[No. L-12012/13/2002- IR(B-I)]
SALONI, Dy. Director
ANNEXURE
IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT
HYDERABAD
Present: - Sri IRFAN QAMAR
Presiding Officer
Dated the 2nd day of February, 2026
INDUSTRIAL DISPUTE No. 275/2002
Between:
Sri Sirra Sabhash Raju,
C/o Sri China Vedulu,
Ourangabad (Village),
Kovvur (Taluka),
Kovvur (Post)
West Godavari Dist.
……Petitioner/Union
AND
1.
The Chief General manager,
State Bank of India,
Local Head Office,
Bank Street, Hyderabad 500 007.
2.
The Dy. General Manager,
State Bank of India,
Zonal Office,
Vijayawada – 520 004.
……Respondents
Appearances:
For the Petitioner :
Sri Yogender Singh, Advocate
For the Respondent: Sri Y. Ranjeeth Reddy, Advocate
1420
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
AWARD
The Government of India, Ministry of Labour by its order No.L-12012/13/2002- IR(B.I) dated 19.6.2002
referred the following dispute under section 10(1)(d) of the I.D. Act, 1947 for adjudication to this Tribunal between
the management of State Bank of India and their workman. The reference is,
SCHEDULE
―Whether the action of the Management of State Bank of India in terminating the services of Sri Sirra
Sabhash Raju, Ex-Messenger with effect from 31.3.1997 arbitrarily is justified? If not, what relief the
concerned workman is entitled?‖
The reference is numbered in this Tribunal as I.D. No. 275/2002 and notices were issued to the parties concerned.
2.
Petitioner has filed his claim statement and as per his claim he has worked for more than 240 days in the
Respondent organization during the period from 3.7.1987 to 31.8.1996 but, his services has been terminated without
any reasonable ground or following any principle and in violation of provision of ID Act of law and prayed to
reinstate him with all benefits from the date of his actual termination.
3.
Respondent has filed the counter wherein he has denied the allegations made in claim statement by the
petitioner and contended that Petitioner had not worked for 240 days in 12 months of any calendar year just preceding
from date of termination. Therefore, the provision of Sec.25F of I.D. Act, 1947 is not applicable to the Petitioner
case and his claim statement is liable to be dismissed.
4.
Perused the record. As per provision contained u/s.25F of the Act, the workman has to put in 240 days
continuous service just preceding from the date of his termination in a 12 month of a calendar year. But, despite
sufficient opportunity petitioner failed to adduce any oral or documentary evidence in support of his claim of 240
days of the service in a calendar year just preceding from the date of his termination. Therefore, the claim of the
Petitioner is not substantiated by any oral or documentary evidence. Therefore, ‗No Claim‘ award is passed.
Transmit.
Typed to my dictation by Smt. P. Phani Gowri, Personal Assistant and corrected by me on this the 2nd day of
February, 2026.
IRFAN QAMAR, Presiding Officer
Appendix of evidence
Witnesses examined for the
Witnesses examined for the
Petitioner
Respondent
NIL
NIL
Documents marked for the Petitioner
NIL
Documents marked for the Respondent
NIL
नई ददल्ली, 2 मार्च, 2026
का.आ. 303.—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj
ds izca/kr=] lac) fu;kstdksa vkSj muds deZdkjksa ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh;
ljdkj औद्योजगक vf/kdj.k @Je U;k;ky;
ds iapkV (253/2002) izdkf'kr djrh gSA
[सं. एल-12012/392/2001-आई आर(बी- I)]
सलोनी, उृ जनदेिक
New Delhi, the 2nd March, 2026
S.O. 303.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Ref. 253/2002) of the Cent.Govt.Indus.Tribunal-cum-Labour Court
Hyderabad as shown in the Annexure, in the industrial dispute between the management of State Bank of India
and their workmen.
[No. L-12012/392/2001- IR(B-I)]
SALONI, Dy. Director
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1421
ANNEXURE
IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT
HYDERABAD
Present: - Sri IRFAN QAMAR
Presiding Officer
Dated the 2nd day of February, 2026
INDUSTRIAL DISPUTE No. 253/2002
Between:
Sri M. Vijaya Raju,
S/o Sri M. Vijaya Dathu,
Woddpet, D.No.36-1-4, Labbipet, P.O.,
Vijayawada Dist.-10.
……Petitioner
AND
The Asst. General manager,
State Bank of India,
Zonal Office,
Vijayawada -520004.
…. Respondent
Appearances:
For the Petitioner :
Sri Vikas, Advocate
For the Respondent: Sri Y. Ranjeeth Reddy, Advocate
AWARD
The Government of India, Ministry of Labour by its order No.L-12012/392/2001- IR(B.I) dated 9.5.2002
referred the following dispute under section 10(1)(d) of the I.D. Act, 1947 for adjudication to this Tribunal between
the management of State Bank of India and their workman. The reference is,
SCHEDULE
―Whether the action of the Management of State Bank of India, Vijayawada Zone in dismissing services of
Sri M. Vijaya Raju, Ex-Messenger is justified? If not, what relief the workman is entitled?‖
The reference is numbered in this Tribunal as I.D. No. 253/2002 and notices were issued to the parties concerned.
2.
Petitioner has filed his claim statement and as per his claim he has worked for more than 240 days in the
Respondent organization during the period from 1983 to 1997 but, his services has been terminated without any
reasonable ground or following any principle and in violation of provision of ID Act of law and prayed to reinstate
him with all benefits from the date of his actual termination.
3.
Respondent has filed the counter wherein he has denied the allegations made in claim statement by the
petitioner and contended that Petitioner had not worked for 240 days in 12 months of any calendar year just preceding
from date of termination. Therefore, the provision of Sec.25F of I.D. Act, 1947 is not applicable to the Petitioner
case and his claim statement is liable to be dismissed.
4.
Perused the record. As per provision contained u/s.25F of the Act, the workman has to put in 240 days
continuous service just preceding from the date of his termination in a 12 month of a calendar year. But, despite
sufficient opportunity petitioner failed to adduce any oral or documentary evidence in support of his claim of 240
days of the service in a calendar year just preceding from the date of his termination. Therefore, the claim of the
Petitioner is not substantiated by any oral or documentary evidence. Therefore, ‗No Claim‘ award is passed.
Transmit.
1422
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Typed to my dictation by Smt. P. Phani Gowri, Personal Assistant and corrected by me on this the 2nd day of
February, 2026.
IRFAN QAMAR, Presiding Officer
Appendix of evidence
Witnesses examined for the
Witnesses examined for the
Petitioner
Respondent
NIL
NIL
Documents marked for the Petitioner
NIL
Documents marked for the Respondent
NIL
नई ददल्ली, 2 मार्च, 2026
का.आ. 304—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj
ds izca/kr=] lac) fu;kstdksa vkSj muds deZdkjksa ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh;
ljdkj औद्योजगक vf/kdj.k @Je U;k;ky;
ds iapkV (254/2002) izdkf'kr djrh gSA
[सं. एल-12012/444/2001-आई आर(बी- I)]
सलोनी, उृ जनदेिक
New Delhi, the 2nd March, 2026
S.O. 304.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Ref. 254/2002) of the Cent.Govt.Indus.Tribunal-cum-Labour Court
Hyderabad as shown in the Annexure, in the industrial dispute between the management of State Bank of India
and their workmen.
[No. L-12012/444/2001- IR(B-I)]
SALONI, Dy. Director
ANNEXURE
IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT
HYDERABAD
Present: - Sri IRFAN QAMAR
Presiding Officer
Dated the 3rd day of February, 2026
INDUSTRIAL DISPUTE No. 254/2002
Between:
Sri V. Naga Babu,
Keduru, Pamidimukkala.
Krishna Dist.-521185.
……Petitioner/Union
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1423
AND
The Asst.General Manager,
State Bank of India,
Zonal Office, RG-II,
Vijayawada – 520 004.
…. Respondent
Appearances:
For the Petitioner :
Sri K. Lakshman, Advocate
For the Respondent: Sri Y. Ranjeeth Reddy, Advocate
AWARD
The Government of India, Ministry of Labour by its order No.L-12012/444/2001- IR(B.I) dated 9.5.2002
referred the following dispute under section 10(1)(d) of the I.D. Act, 1947 for adjudication to this Tribunal between
the management of State Bank of India and their workman. The reference is,
SCHEDULE
―Whether the action of the Management of State Bank of India, Tirupathi Zone in dismissing services of Sri
V. Naga Babu, Ex-Messenger is justified? If not, what relief the workman is entitled?‖
The reference is numbered in this Tribunal as I.D. No. 254/2002 and notices were issued to the parties concerned.
2.
Petitioner has filed his claim statement and as per his claim he has worked continuously in the Respondent
organization during the period from 1978 to 1.1.1996 but, his services has been terminated without any reasonable
ground or following any principle and in violation of provision of ID Act and prayed to reinstate him with all
benefits from the date of his actual termination.
3.
Respondent has filed the counter wherein he has denied the allegations made in claim statement by the
petitioner and contended that Petitioner had not worked for 240 days in 12 months of any calendar year just preceding
from date of termination. Therefore, the provision of Sec.25F of I.D. Act, 1947 is not applicable to the Petitioner
case and his claim statement is liable to be dismissed.
4. On the basis of pleadings either parties following issue raise for determination in this case:-
I.
Whether the action of Respondent in terminating services of the Petitioner Sri V. Naga Babu Ex-Messenger
is justified?
II.
To what relief the workman entitled?
Findings:-
5.
Issue No. I:-
In support of claim Petitioner has examined himself as WW1 and in his chief examination affidavit Petitioner witness
WW1 has reiterated the averment made in the claim statement and states that Respondent has terminated his services
without payment of notice pay of one month and retrenchment compensation. Therefore, terminated by the
Respondent has terminated his service in gross violation of section 25-F of the I.D Act. Whereas this witness WW1
was cross examined by the Respondent and in his cross-examination, witness has admitted that ―it is true that I did not
work for 240 days in any year in my entire service in the Bank in any branch‖. Thus, in view of the statement of
Petitioner witness it is established that Petitioner had not worked for 240 days continuously in any calendar year just
preceding from the date of his termination. Thus, claim of the Petitioner is not found substantiated by the any oral or
documentary evidence. Therefore, in view of the oral and documentary evidence produce by the Petitioner, the claim
of the Petitioner that his services have been terminated by the Respondent orally with effect from 01.11.1996 in
violation of provision contained under section 25-F of the I.D Act, is not proved and established. Therefore, in view of
above the action of Respondent in terminating the services of the Petitioner is held justified.
Issue is decided against the Petitioner accordingly.
6.
Issue No. II: -
In view of the finding given of at Issue No. I, the claim of Petitioner is not found proved by any evidence, hence
Petitioner is not entitled for any relief. Claim statement of the Petitioner is liable to be dismissed.
AWARD
The claim statement of the Petitioner is dismissed. The action of Respondent Management in terminating the
services of the Petitioner from service is held justified. Reference is answered accordingly.
Award is passed. Transmit
1424
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Typed to my dictation by Smt. P. Phani Gowri, Personal Assistant and corrected by me on this the 3rd day of
February, 2026.
IRFAN QAMAR, Presiding Officer
Appendix of evidence
Witnesses examined for the
Witnesses examined for the
Petitioner
Respondent
NIL
NIL
Documents marked for the Petitioner
NIL
Documents marked for the Respondent
NIL
नई ददल्ली, 2 मार्च, 2026
का.आ. 305.—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj
ds izca/kr=] lac) fu;kstdkas vkSj muds deZdkjksa ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh;
ljdkj औद्योजगक vf/kdj.k @Je U;k;ky;
ds iapkV (284/2002) izdkf'kr djrh gSA
[सं. एल-12012/77/2002-आई आर(बी- I)]
सलोनी, उृ जनदेिक
New Delhi, the 2nd March, 2026
S.O. 305.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Ref. 284/2002) of the Cent.Govt.Indus.Tribunal-cum-Labour Court
Hyderabad as shown in the Annexure, in the industrial dispute between the management of State Bank of India
and their workmen.
[No. L-12012/77/2002- IR(B-I)]
SALONI, Dy. Director
ANNEXURE
IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT
HYDERABAD
Present: - Sri IRFAN QAMAR
Presiding Officer
Dated the 3rd day of February, 2026
INDUSTRIAL DISPUTE No. 284/2002
Between:
Sri I. NagamalleswaraRao,
C/o I. Suryanarayana Rao,
Malakapatnam, D.No.30/288,
Machuilipatnam.
AND
The Asst.General Manager,
State Bank of India,
Zonal Office, RG-II,
Vijayawada – 520 004.
…. Respondent
Appearances:
For the Petitioner :
Sri Vikas, Advocate
For the Respondent:
Sri Y. Ranjeeth Reddy, Advocate
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1425
AWARD
The Government of India, Ministry of Labour by its order No.L-12012/77/2002- IR(B.I) dated 27.8.2002
referred the following dispute under section 10(1)(d) of the I.D. Act, 1947 for adjudication to this Tribunal between
the management of State Bank of India and their workman. The reference is,
SCHEDULE
―Whether the action of the Management of State Bank of India, Vijayawada Zone in dismissing services of
Sri I. NagamalleswaraRao, Ex-Messenger is justified? If not, what relief the workman is entitled?‖
The reference is numbered in this Tribunal as I.D. No. 284/2002 and notices were issued to the parties concerned.
2.
Petitioner has filed his claim statement and as per his claim he has worked continuously in the Respondent
organization during the period from 1981 to 1996 but, his services has been terminated without any reasonable
ground or following any principle and in violation of provision of ID Act and prayed to reinstate him with all
benefits from the date of his actual termination.
3.
Respondent has filed the counter wherein he has denied the allegations made in claim statement by the
petitioner and contended that Petitioner had not worked for 240 days in 12 months of any calendar year just preceding
from date of termination. Therefore, the provision of Sec.25F of I.D. Act, 1947 is not applicable to the Petitioner
case and his claim statement is liable to be dismissed.
4.
Perused the record. As per provision contained u/s.25F of the Act, the workman has to put in 240 days
continuous service just preceding from the date of his termination in a 12 month of a calendar year. But, despite
sufficient opportunity petitioner failed to adduce any oral or documentary evidence in support of his claim of 240
days of the service in a calendar year just preceding from the date of his termination. Therefore, the claim of the
Petitioner is not substantiated by any oral or documentary evidence. Therefore, ‗No Claim‘ award is passed.
Transmit.
Typed to my dictation by Smt. P. Phani Gowri, Personal Assistant and corrected by me on this the 3rd day of
February, 2026.
IRFAN QAMAR, Presiding Officer
Appendix of evidence
Witnesses examined for the
Witnesses examined for the
Petitioner
Respondent
NIL
NIL
Documents marked for the Petitioner
NIL
Documents marked for the Respondent
NIL
नई ददल्ली, 2 मार्च, 2026
का.आ. 306.—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj
ds izca/kr=] lac) fu;kstdksa vkSj muds deZdkjksa ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh;
ljdkj औद्योजगक vf/kdj.k @Je U;k;ky;
ds iapkV (220/2001) izdkf'kr djrh gSA
[सं. एल-12012/124/2001-आई आर(बी- I)]
सलोनी, उृ जनदेिक
New Delhi, the 2nd March, 2026
S.O. 306.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Ref. 220/2001) of the Cent.Govt.Indus.Tribunal-cum-Labour Court
Hyderabad as shown in the Annexure, in the industrial dispute between the management of State Bank of India
and their workmen.
[No. L-12012/124/2001- IR(B-I)]
SALONI, Dy. Director
ANNEXURE
IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT
HYDERABAD
Present: - Sri IRFAN QAMAR
Presiding Officer
1426
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Dated the 2nd day of February, 2026
INDUSTRIAL DISPUTE No. 220/2001
Between:
Smt. B. Savitri,
W/o Lalsigngh,
H.No.7-1-632/106, Bapunagar,
S.R. Nagar, Hyderabad -500 385.
……Petitioner
AND
The Asst. General Manager (Personnel & HRD Deptt.)
State Bank of India, Local Head Office,
Bank Street, Koti, Hyderabad -500 095.
…. Respondent
Appearances:
For the Petitioner :
Sri Vikas, Advocate
For the Respondent: Sri Y. Ranjeeth Reddy, Advocate
AWARD
The Government of India, Ministry of Labour by its order No.L-12012/124/2001- IR(B.I) dated 18.9.2001
referred the following dispute under section 10(1)(d) of the I.D. Act, 1947 for adjudication to this Tribunal between
the management of State Bank of India and their workman. The reference is,
SCHEDULE
―Whether the action of the Management of State Bank of India, Local Head Office, Hyderabad in terminating
the services of B. Savitri, Temporary/Non-Messenger, SBI with effect from 31.3.1997 is justified or not? If
not, what relief the applicant is entitled?‖
The reference is numbered in this Tribunal as I.D. No. 220/2001 and notices were issued to the parties concerned.
2.
Despite of service of notice and sufficient opportunity Petitioner did not file any claim statement. It seems
she do not want to prosecute her case. Therefore, in the absence of claim statement, ‗No Claim‘ award is passed.
Reference is answered accordingly. Transmit.
Typed to my dictation by Smt. P. Phani Gowri, Personal Assistant and corrected by me on this the 2nd day of
February, 2026.
IRFAN QAMAR, Presiding Officer
Appendix of evidence
Witnesses examined for the
Witnesses examined for the
Petitioner
Respondent
NIL
NIL
Documents marked for the Petitioner
NIL
Documents marked for the Respondent
NIL
नई ददल्ली, 5 मार्च, 2026
का.आ. 307.—vkS|ksfxd fookn vf/kfu;e] 1947 (1947 dk 14) dh /kkjk 17 ds vuqlj.k esa] dsUnzh;
ljdkj भारतीय खाद्य जनगम ds izca/kra= ds lac) fu;kstdksa vkSj muds deZdkjksa ds chp] vuqca/k esa fufnZ’V vkS|ksfxd
fookn esa
–
सह
–
नं. I] नई ददल्ली ds iapkV (आई डी
नम्बर
/
) dks izdkf'kr djrh gS] tks dsUnzh; ljdkj dks
dks izkIr gqvk FkkA
[सं. एल-20013/01/2026 -आई आर(सीएम- I)]
सलोनी, उृ जनदेिक/संबद्ध अजधकारी
New Delhi, the 5th March, 2026
S.O. 307.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (ID No. 278/2018) of the Central Government Industrial Tribunal-cum-
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1427
Labour Court N0.I, New Delhi as shown in the Annexure, in the industrial dispute between the Management of
Food Corporation of India and their workmen, received by the Central Government on 03/03/2026
[No. L-20013/01/2026 – IR (CM-I)]
SALONI, Dy. Director/Link office
ANNEURE
THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT DELHI NO.1 NEW
DELHI.
DID No. 278/2018
Sh. Prem Pal S/o Sh. Mahar Chand,
R/o H.No.437, Ajad Nagar, Ward No.-1, Near Ravi Das Mandir, Ballabhgarh, Faridabad, Haryana-121004.
…..Workman
Versus
1. M/s Chairman & Managing Director, Food Corporation of India, 16-20 Barakhambha Lane, New Delhi-
110001.
2. M/s Chauhan Association, Add-BE-4 Shashi Garden, Mayur Vihar, Phase-1, Delhi-110009.
…….Management
AWARD
1.
This is an application Under Section 2A of the I.D. Act whereby, the applicant made prayer that his
termination from the service on 03.10.2017 by the management which be declare illegal and unjustified and he be
reinstated with full back wages, it is the case of the applicant/workman that he has been working with the
management. He has not been provided any legal facilities. He was illegally terminated from his service on
03.10.2017 without any rhyme or reason and without conducted any domestic enquiry by the management. He has
initiated the conciliation proceeding but, no result. Hence, he had filed the present claim petition.
2.
Management No.2 did not file written statement. Hence, it was proceeded ex-parte. However, Management
no.1 appeared and filed the rebuttal written statement. Thereafter, issues were framed. After that, the claimant as well
as her AR stopped appearing in the tribunal to substantiate his claim.
3.
Hence, in these circumstances when the claimant seems uninterested in pursuing the case and not been
appearing for so long, this Tribunal has no option except to pass the no dispute award. No dispute award is passed
accordingly. File is consigned to the record room. A copy of this award is hereby sent to the appropriate Government
for notification under section 17 of the I.D. Act, 1947.
Date: 31.10.2025
ATUL KUMAR GARG, Presiding Officer
नई ददल्ली, 5 मार्च, 2026
का.आ. 308.—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj
ds izca/kr=] lac) fu;kstdksa vkSj muds deZdkjksa ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh;
ljdkj औद्योजगक vf/kdj.k@Je U;k;ky;
ds iapkV (23/2001) izdkf'kr djrh gSA
[सं. एल-20012/326/2000 -आई आर(बी- I)]
सलोनी, उृ जनदेिक
New Delhi, the 5th March, 2026
S.O. 308.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Ref. 23/2001) of the Cent.Govt.Indus.Tribunal-cum-Labour Court
1428
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Hyderabad as shown in the Annexure, in the industrial dispute between the management of State Bank of India
and their workmen.
[No. L-20012/326/2000 – IR (B-I)]
SALONI, Dy. Director
ANNEXURE
IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT
HYDERABAD
Present: Sri IRFAN QAMAR
Presiding Officer
Dated the 4th day of February, 2026
INDUSTRIAL DISPUTE No. 23/2001
Between:
Sri M. Rajesh
S/o M. Komaraiah,
H.No. 2-120/120/1/64,Zooper,
Xapar, Banjara Hills, Road No. 10,
Hyderabad.- 34.
… Petitioner
And
The Assistant General Manager,
(Personnel & HDR Deptt.)
State Bank of India,
Local Head Office, Bank Street, Koti,
Hyderabad.
…..Respondent
Appearances:
For the Petitioner :
Sri K.R. Prabhakar, Advocate
For the Respondent:
Sri Y. Ranjeeth Reddy, Advocate
AWARD
The Government of India, Ministry of Labour by its order No. L-12012/326/2000-IR(B.I) dated
19.04.2001 referred the following dispute under section 10(1)(d) of the I.D. Act, 1947 to requiring this forum to
decide the question:
SCHEDULE
―Whether the action of the management of State Bank of India, Local Head office Hyderabad in terminating
the services of Sri M. Rajaiah Temporary/Non- Messenger, by way of oral orders w.e.f. 31.3.1997 is
justified? If not, what relief the applicant is entitled?‖
After receipt of the reference, it was numbered as ID No. 23/2001 and notices were issued to both the Workman and
the management.
2.
Before unfolding the factual matrix of the instant industrial dispute it would be apposite to have a bird eye
view of a chequered history of the instant industrial dispute. Earlier instant industrial dispute along with the batch
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1429
cases was decided by this Tribunal vide common award dated 17.5.2005 and the reference was answered in favor of
the Respondent and against the Workman. That said common award dated 17.5.2005 was challenged by the
aggrieved Workmen in various Writ petition No.6470/2014 along with batch of writ petitions before the Hon‘ble High
Court of Andhra Pradesh and Hon‘ble High Court vide its‘ judgement dated 23.6.2014 allowed all batch of writ
petitions and set aside the common award dated 17.5.2005 passed in ID No.222 of 2001 and other batch of ID cases
by Central Government Industrial Tribunal cum Labour Court, Hyderabad and the Respondent management of State
Bank of India was directed to reengage the Writ Petitioners in position, which they have been occupying prior to their
termination and further directed to consider their cases for regularization as and when the substantive vacancy arises.
This judgement dated 23.6.2014 of Hon‘ble High Court of AP, passed in WP No.6470/2014 and batch petitions was
challenged by Respondent management before the Hon‘ble High Court in Writ Appeal No. 1268 of 2014. The
aforesaid Writ Appeals No.1268/2014 and other Writ Appeals were decided by Division Bench of High Court of
Andhra Pradesh by a common judgement dated 20.3.2019. Hon‘ble High Court in aforesaid Writ Appeal was
pleased to pass the order which is extracted as below:-
“ 7. Hearing the learned senior counsel for the SBI and the learned senior counsel for the contesting unofficial
Respondents, we see that while the learned single Judge was justified in setting aside the award af the Tribunal, the
proper course to be adopted was to remit all the cases to the Tribunal. This we say for reasons more than one. Firstly,
in such matters, claims have to be decided on individual basis, as different persons have different claims as to the
length of officiation or discharge of duties and functions; quality of engagement, drawings, accounting of the post for
each one of them, who have worked etc. AIl these issues will not be the same in all the cases. Therefore, each case
ought to have been directed to be decided by the Tribunal afresh on individual basis. The second and most important
aspect is the learned single Judge has in one go ordered re-employment of all the workmen. This is not a relief that
could have been granted without answering the individual issues; each issue relating to each case could not have
been decided by the writ Court within the format of its adjudication procedures and scope. The adjudicating body,
which has to do that activity, is the Industrial Tribunal. Therefore, we are of the view that while we would sustain the
order of the learned singe Judge insofar as it interfered and sets aside the award of the Tribunal, the further findings
and directions, issued through the impugned order have to go and the individual cases have to be sent back for
consideration of the Tribunal. Such further procedure before the Tribunal will have to be carried forward with the
materials already on record and also by affording an opportunity to the persons, who have claims as well as the
management to place their rival contentions and further material before the Tribunal. The learned counsel appearing
for the workmen are justified in pointing out that enormous delay has already happened and further action by the
Tribunal in this line may be expedited.
9. In the result, these writ appeals are ordered;
(1) affirming the impugned common order of the learned single Judge to the extent it sets aside the common award
dated 17.05.2005 of the Industrial Tribuna!;
(2) the further findings and directions issued through the impugned common order are vacated:
(3) all the matters shall be remitted to the Industrial Tribunal with a direction to dispose of them within an outer limit
of five (5) months from the date of receipt of a copy of this order; and,
(4) the parties to make appearance before the Tribunal on the given date.”
Thus, in view of the above direction of Hon‘ble High Court of Andhra Pradesh in W.A.No.1268 of 2014 and batch
cases. This Tribunal has taken up the matter of industrial dispute for hearing and deciding it afresh in view of the
aforesaid guidelines laid down by the Hon‘ble High Court in Writ Appeal No.1268/2014 vide judgement dated
20.3.019.
3.
The factual matrix of instant industrial dispute as narrated by the Workman in his claim statement are that the
Workman joined in the service of the management institution as Messenger from 1979 to 1997 and has rendered
unblemished service spreading over a period of about 18 years. The Respondent has terminated services of Workman
by oral orders with effect from 1.4.1997. Further, it is submitted that the management of Respondent bank decided
to give a chance to temporarily employed personnel ―found suitable for permanent appointment‖ by wait- listing them
by offering permanent appointment or waitlisting till such opportunity arises.
4.
That on 17.11.1987 a settlement was reached between All India State Bank of India Staff Federation and the
Management of State Bank of India - settlement one, under this settlement three categories of employees were listed.
That is, A) those who have completed 240 days in 12 months or less after 1.7.1975. B) those who have completed
270 days in any continuous block of 36 calendar months after 1.7.1975. C) (i) those who have completed minimum of
30 days aggregate temporary service in any calendar year after 1.7.1975 or (ii) 70 days aggregate temporary service
in continuous block of 36 months after 1.7.1975.
5.
The persons who satisfied in all the above 4 categories were to be interviewed by a selection committee and
the said selection committee would determine the suitability of the said candidate for permanent appointment.
1430
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Therefore, the bank prescribed certain qualifications and from among the candidates satisfying the qualifications the
suitable candidates were enlisted by a selection committee. The Clause 7 of the said agreement provided with the
selected candidate would be wait listed in order of their respective categorization and the selected panel would be
valid up to December 1991. Clause 10 of the settlement specifically provided that henceforth. ―there will be no
temporary appointments in the subordinate cadre‖, except on a restrictive basis in the specified category, ―from
amongst empanelled candidates as per existing guidelines of the bank‖. The Workman further submits that
consequent upon the said agreement and the draft, a notification was issued in the newspapers. The last date for
responding to the advertisement was 30.8.1988. A written examination followed by viva-voce in May 1989 was held.
A selected panel was prepared, as per Clause 7 of the agreement, ie. Settlement No.1, the selected panel was to be
valid upto December, 1991, the Workman submits that circular was issued on 26.4.91 by the said letter it is
mentioned that the terms of the agreement dated 17.11.87 was modified vide second agreement dated 16.7.88 was
entered into between the parties. In terms of the said agreement a chance was to be given, ―to all eligible temporary
employees for permanent appointments. The appointments were against the vacancies likely to arise during the years
1995-96, circular made it clear that in view of the enormity of the problem an extension of the currency of the panel,
eligible temporary employees who have been empanelled could not appear in the earlier interviews and have been
pursuing their cases thereafter, ―will be given another chance to appear for interview‖.
6.
Workman submits that there were total five settlements. The settlement dated 17.11.87 is the 1st settlement
(Ex M1), settlement dated 16.7.88 is 2nd settlement (Ex M2), settlement dated 27.10.88 is the 3rd settlement (Ex
M3), then settlement dated 9.1.91 is 4th settlement and settlement dated 30.7.96 is 5th settlement (Ex M6). In
between there are minutes of conciliation proceedings dated 9.6.95 marked as Ex M5. That due to all these
settlements which were extended by subsequent settlements thereby created reasonable expectations in the list of the
selected candidates arose with that it‘s a question of time their appointments or services would be regularized in the
services of the bank. The Workman was working with the bank on temporary basis was under the bonafide hope that
sooner his services will be regularized with the bank. He is thereby closed all his options elsewhere. It is needless to
point out that employing person to whom hope of employment in substantial terms was made is a facet of Article 21
of the Constitution of India.
7.
Further Workman submits that the Government of India issued Circular No. F-3/3/104/87-IR, dated
16.8.1990. Under said circular the chief Executives of all public sector banks including the Management herein were
specifically instructed that until the problem of existing temporary employees is fully resolved, no bank is permitted to
make any permanent appointments. That some of the persons similarly situated like this Workman aggrieved by the
inaction on the part of the management of the bank is not regularizing their services from out of the selected panel and
not clearly focusing the vacancy position, filed W.P. No. 4194/97 before Hon‘ble High court of A.P. It is
specifically averred in the said writ petition that the Management of the bank had failed to implement the settlement
and that it violates the various fundamental rights guaranteed under the constitution of India. The Hon‘ble High
court of A.P .. by order dated 5.3.97 directed the bank to implement the settlement as amended from time to time. It
also directed the bank to carry out the terms of settlement before the expiry of March, 1997. The Hon‘ble High
Court also recorded finding that the Bank cannot escape its liability of enforcement of the Settlement. In view of the
directions given by the High Court all candidates whose names appeared in the select panels prepared on the basis of
the agreement entered into on 17.11.87 under which the panel was valid upto December, 1991, and on the basis of a
settlement dated 27.10.1988 whereby the panels were made alive upto 31.3.1997 under which the panel was valid upto
December, 1999. The other agreement dated 16.7.1988 under which the panel was valid upto 1992 and on the basis
of the settlement dated 27.10.1998 whereby the panels were made alive upto 31.3.1997 were under the bonafide
impression that their cases will be considered for regularization and were living on the basis of the said reasonable
expectation. Unfortunately, contrary to the aforesaid directions given by the High Court and contrary to the
settlements entered into between the parties, the bank issued proceedings dated 25.3.1997, dated 27.3.1997 and
31.3.1997 instructing the various authorities of the Management not to continue the temporary employees those who
are in services of the bank from 1.4.97. The said order was followed by the Management. Aggrieved by the said
action the Workman herein and similarly situated candidates have filed a writ petition before the Hon'ble High Court
and by way of Writ Petition No.9206/97 seeking a declaration that the proceedings issued by the Deputy General
Manager and the Assistant General Manager (Respondents 3,4 and 5 therein) on 25.3.97, 27.3.97 and 31.3.97 as
illegal and also non-continuance of the Workmen therein in service by absorbing them in the services of the bank as
violative of Section 2(p) and 18(1) read with Rule 58 of Central Rules and sought for specific direction to the bank to
absorb them in service.
8.
Further, Workman submits that in the counter affidavit filed in Writ Petition No.9206/97, the bank has
submitted that it has about 805 branches in Andhra Pradesh alone. It has stated that due to exigencies of
circumstances and on account of the urgent need in its banks, it employed temporary employees in subordinate cadre.
It is pertinent to mention that it does not state the urgent or need or the nature of temporary employees that it had
engaged. Enquiry into the same would reveal that the stand taken by the bank either on the ground of urgent need or of
temporary employees is a façade to perpetuate unfair labour practice. It is designed to on the one hand, keep the
employed in the erroneous zone of hope and on the other to ensure that benefits that a model employer will extend
under various statutes to its employees is not required to be borne out by the bank. A reading of the counter affidavit
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1431
would show that the bank would opines that being just fair and reasonable are which obviously is reprehensible and is
a facet of unfair labour practice.
9.
The Workman submits that the bank had referred in its counter affidavit to three settlements dated 17.11.87,
16.7.88 and 27.10.88. The bank in the guise of extending the benefits of the circular of Government dated 16.8.90
stated in its counter affidavit that as follows:
"Government of India, vide its letter dated 16.8.1990, issued guidelines to all the public sector banks with regard to
recruitment and absorption of temporary employees in public sector banks. The said guidelines were issued to
implement on the lines of the approach paper on the issue provided by a committee constituted in this regard. The
Government of India guidelines made it clear that all the public sector banks may follow the provisions laid down in
the approach paper.
The approach paper specified that the cases of temporary employees who had put in not less than 240 days of
temporary service in 12 consecutive Months and who are entitled to benefit of Section 25-F may be decided by
entering into a settlement with the representative union. In respect of temporary employees who had put in less than
240 days of service in 12 consecutive months or less, a settlement could be avoided and however if the Management
so desired, they could enter into a conciliation settlement with the representative union. Para 6(h), it is mentioned
that only those temporary employees who had put in temporary service of 90 or more days after 1.1 1982 would be
eligible for considering under the scheme. Although the Government guidelines envisaged for a settlement in respect
of employees who had put in temporary service of 90 or more days, the bank by way of further concession entered
into settlements Even in respect of those who had put in less than 90 days. As such, it could be Seen that the
settlements are more beneficial to the temporary employees concerned. The approach paper also specify at para 6(c)
that the banks would provide one time opportunity to all the temporary employees and for that purpose temporary
employees worked in the bank on or after 1.1.1982 could be considered for re-employment in terms of the scheme.
The Respondents have gone further wherein even persons working after 1975 were also considered.
As could be seen from the above, there was a genuine effort on the part of the Respondent bank to provide
permanent employment for as many as possible subject to availability of the vacancies.
It is further submitted that at para 6(k) of the approach paper, it was made clear that this would be one time
exercise in full and final settlement of all the aims and disputes for the past period in respect of temporary workmen
covered by the settlement. This would mean that the Government of India guidelines would cover only those persons
who were temporarily employed for the period specified therein and not otherwise. As such, it is submitted that the
Respondents have not only followed the Government of India guidelines but in fact covered cases of the employees
who had worked for less than 90 days. As such, question of violation does not arise and in any case those were only
broad guidelines and not directives".
10.
The Workman submits that the bank also referred a subsequent settlement dated 9.1.1991 wherein there is a
clause to the effect- that the panel of temporary employees and the panel of daily wage employees will be operated to
a particular period. Therefore, their cases will not be considered. The Management herein relying upon this settlement
in their impugned action. It is submitted that even the settlement dated 9.1.1991 will not empower the management
to terminate the services of the temporary employees who are working in the bank services like the Workman herein
as it does not specify the termination of the employees. In fact there are so many vacancies wherein the Management
has engaged several new persons as temporary messengers/ attendars/ sweepers etc., even after the judgment of
Hon‘ble High Court without considering the cases of the similarly situated candidates like the Workman herein. It is
submitted inspite of engaging fresh candidates as is now being done by the Management they would have continued
the similarly situated candidates like the Workman herein in the services of the bank and consider their cases for
absorption in view of the circulars issued by Central Government as well as the directions of this Hon'ble Court in
Writ Petition No.4194/97, dated 5.3.97. In view of the circulars issued by the Central Government, the Management
should not have relied upon the settlement dated 9.1.1991. Hence, the impugned action of the Management is illegal,
unjust, violative of fundamental rights such as Articles 14,16 and 21 of the Constitution of India.
11.
The Workman submits that in W.P. No.4194/97 filed by the union of temporary employees where in they
have complained about the non- implementation of the settlements arrived between the parties and sought for
absorption. Such employees in the bank services on permanent basis before the date fixed for carrying out the terms
of settlement, the Court held that the members of the union had been empanelled in the list, they were not regularized
and the time was going to run out to the near future and the Respondent bank and its officers cannot escape from the
liability of enforcing the settlement which has been reached and therefore directed that the bank and the officers shall
implement the settlement dated 17.11.87 as amended from time to time before the expiry of 31.3.97.
12.
Further, it is submitted that in the clause of Settlement it is specifically mentioned that the workmen to be
absorbed/appointed in the bank prohibiting any temporary appointments subsequent to the date of settlement even the
authorities want to make temporary appointments that should be made only from among the empanelled can be
appointed either for temporary vacancy or permanent vacancy except from among the empanelled candidates like the
1432
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Workman and that should be continued till they are absorbed. The management committed unfair labour practices
and terminated the services of the candidates with effect from 1.4.1997 which is arbitrary, discriminatory, contrary to
their own guidelines and violative of the constitutional provisions which are guaranteed in Chapter-III of the
Constitution of India.
13.
The Workman submits that it is strange as to how the panels were allowed to lapse by a so-called
Memorandum of Understanding dated 25.2.1997, that the action of terminating such employees like the
Workman by virtue of an impugned oral proceedings without implementing the settlement would be illegal and unfair
labour practice which cannot be allowed to be perpetuated. That the discontinuance of the Workman after 31.3.97
who had served in the bank in any capacity amounts to retrenchment. It could not have been done without any notice
and it violates Sec.25FF of the Industrial Disputes Act, 1947 and the said action is violative of principles of natural
justice guaranteed under Chapter III of the Constitution of India. This amounts to retrenchment without one month's
notice and taken in view of such notice. Thus, the main proceedings issued by the Respondent is without jurisdiction
and is arbitrary, illegal and therefore liable to be quashed. That the alleged Memorandum of Understanding dated
27.2.97, Ex.M5 does not own any legal entity, as the said Memorandum of Understanding is not published anywhere
to brought to the notice of the Workman whose rights are being affected. It is submitted that Management did not
adhere to the procedure envisaged by the Central Government in its' instructions dated 16.8.90 in the year 1995. The
same was not followed in the year 1997 despite there being vacancies.
The management has followed the
procedure of calling candidates through Employment exchange instead of giving chance to the empanelled candidates
like the Workman here. It is pertinent to mention here that the Respondent Management sent letters to the all
similarly situated candidates like the Workman in the month of June, 1997, subsequent to the passing of impugned
termination orders. After knowing the facts that the candidates are litigating, the Management refused to engage these
candidates. It is once again reiterated that the panels are meant for absorption but not for termination. It was the duty
of the Management to engage the empanelled candidates like the Workman even in temporary vacancies till they are
absorbed permanently in regular vacancies. Hence, the action of the Respondent Management terminating the
services of the Workman by oral order dated 31.3.97 is unjust, illegal, violative of principles of natural justice and
hence, the Management be directed to reinstate and absorb the Workman and to grant all incidental and consequential
benefits.
14.
Per contra, Respondent had filed counter and made a contentions that the reference is not tenable and
contrary to the provisions of I.D. Act, 1947. Respondent submitted that to tide over severe sub-ordinate staff
constraints which arose out of leave vacancies, exigencies, etc., and also owning to the restrictions imposed by the
Government of India/Reserve Bank of India on intake of staff, the Respondent bank used to engage sub-ordinate staff
like messengers, sweepers, sweeper cum water boys, etc., depending on the availability of work on purely temporary
basis for the smooth and uninterrupted functioning of the branches. It is submitted that the All India State Bank of
India Staff Federation which represents majority of the employees in the State Bank of India comprising about 98% of
the work force as its' members espoused the cause of temporary employees who have put in less than 240 days of
temporary service in 12 calendar months in the bank and who were ineligible for any protection under Industrial
Disputes Act, 1947 to give a chance for being considered for absorption and permanent appointments.
15.
Discussions were held and on 17.11.1987 an agreement was signed between the federation and the
Management bank under Sec. 2(p) read with Sec 18(1) of the Industrial Disputes Act, 1947 read with Rule 58 of
Industrial Disputes (Central) Rules 1957. A copy of the said settlement dated 17.11.87 which may be herein after
referred as first settlement is filed and 4 categories were made as it has already been mentioned in the claim statement
above, it need not be repeated here. In the first settlement, it was agreed that the temporary employees as categorized
would be given a chance for being considered for permanent appointment in the bank's service against the vacancies
which are likely to arise during the period 1987 to 1991. On 16.7.88 second settlement was arrived between the
Federation and the Bank whereby it was agreed to substitute the period of consideration of vacancies as 1987 to 1992
in place of 1987 to 1991 as contemplated under the first settlement dated 17.11.1987. This is the second settlement.
A 3rd settlement was entered into on 27.10.88 and it was agreed that the bank's service against the vacancies likely to
arise from 1988 to 1992 was to be considered. Government of India vide its letter dated 16.8.90 issued guidelines to
all the public sector banks with regard to recruitment and absorption of temporary employees in public sector banks.
The said guidelines were issued to implement on the lines of approach paper on the issue provided by a committee
constituted in this regard. Government of India guidelines made it clear that all the public sector banks may follow
the provisions laid down in the approach paper. The approach paper specified that the cases of temporary service in
12 consecutive months and who are entitled to benefit of Sec.25F of the Industrial Disputes Act, 1947 may be decided
by entering into a settlement with the representative union. In respect of temporary employees who had put in less
than 240 days of service in 12 consecutive months or less, a settlement could be avoided and however if the
Management so desired they could enter into a conciliation settlement with the representative union. In para. 6(h) it
is mentioned that only those temporary employees who had put in temporary service of 90 days or more days after
1.1.82 would be eligible for considering under the scheme. Although the Government guidelines envisaged for a
settlement in respect of employees who had put in temporary service of 90 days or more days, the bank by way of a
further concession entered into settlements. Even in respect of those who had put in less than 90 days and also the
bank went a step further and said those persons who are working after 1975 were also considered. Hence, there was a
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1433
genuine effort on the part of the Respondent bank to provide as many as possible jobs subject to the availability of the
vacancies. However, para 6 (k) of the approach paper made it clear that it is a one time, exercise in full and final,
settlement of all the claims and disputes for the past period, in respect of temporary workmen covered by the
settlement. Another settlement was entered on 9.1.91 herein after referred as 4th settlement and the time limit was
extended upto 1994 and separate panel was prepared for temporary employees, casual/daily wagers. It was agreed that
while vacancies arising between 1988 to 1994 in respect of temporary employees and in respect of casual/daily
wagers, they can be considered for the vacancies arising between 1995-96 only.
16.
It is submitted that the administrative set up of the Hyderabad Local Head Office comprises of four Zonal
Offices (Zones) at Hyderabad, Vijayawada, Visakhapatnam and Tirupathi covering all the Districts of Andhra
Pradesh. In terms of the settlement the Management after following the procedure laid down therein prepared the
panels of qualified candidates of temporary employees denoted as 1989 panel and also panel of casual/daily wagers
denoted as 1992 panel for giving a chance for being considered for permanent absorption. These panels were
prepared zone-wise separately for messengers and non-messengers in the descending order of temporary service put in
by the candidates during the stipulated period i.e., 1.7.1975 to 31.7.1988. That the Federation approached the
Regional Labour Commissioner(C) for implementation of bi-partite settlement in respect of absorption of temporary
employees. The Regional Labour Commissioner(C) conducted conciliation proceedings and an agreement was
arrived between the Federation and the bank. It was agreed that it would be kept alive upto March, 1997. A copy of
the conciliation proceedings dated 9.2.1995 signed by the parties is filed as material paper. A settlement was arrived
at and an agreement was signed between the Federation and the Management bank on 30.7.1996 under Sec.2 (p) read
with Sec.18(1) of the Industrial Disputes (Central) Rules, 1957, which is hereinafter called as 5th settlement. That on
27.2.1997 a Memorandum of understanding was also signed by the federation‘s affiliate and the bank Management
recording the fact that the exercise of identifying the messengerial vacancies as on 31.12.1994 has since been
completed by Central Office and thereby 403 messengerial vacancies were sanctioned . It was agreed that these
vacancies may be filled from 1989 panel of temporary employees after effecting conversion from full time non-
messengerial staff in the usual manner and the agreement was reached accordingly. It was agreed between the
Federation's affiliate and the Management bank that in terms of the settlement dated 30.7.1996 both the panels of
temporary employees and daily wagers/casual employees would lapse on 31.3.1997. That as agreed upon vacancies
were filled from the panels. The Workman who has put in an aggregate temporary service of less than 240 days in a
continuous block of 12 months period during 1.7.1975 to 31.7.1988 has no right to seek a direction to consider his
candidature for absorption in the Management bank under any rule/law except under the settlement entered into
thereon.
17.
Respondent contended that, in fact, the case of the Workman can be considered under all the five settlements
having got his case considered under provisions of these settlements. All the other provisions and terms of the
settlements are also binding on him/her. The Management bank has not violated any of the provisions of the terms of
the said settlement. That the very preparation and maintenance of panel is in compliance of the terms agreed under
these settlements. These settlements were time bound and they ceased to exist on 31.3.1997. That the bank has never
promised that all the candidates in the panel will be absorbed. In the advertisement itself it was made clear that
candidates will be considered for absorption in the vacancies that may arise upto 1992. Keeping alive the panels after
31.3.1997 is contrary to the settlements arrived between the State Bank of India Staff Federation and the Management
bank. That the settlements are binding on the parties. The Workman is also bound under the terms of the said
settlement. The settlement does not suffer from any ambiguity as their language is very clear. The right under the
settlements is to give them a chance to be considered for future appointment in the bank's services against the
vacancies likely to arise. The settlements were effected to balance the expectations of the temporary employees to be
absorbed in permanent service as against the constitutional rights for all eligible persons to be considered for
employment every time a vacancy arises. That the alleged dispute including the demand for reinstatement has to be
decided in this context. It is submitted that the period of panel list got expired on 31.3.97 and it is an integral term of
the settlement and cannot be modified in any proceedings under the law. These temporary employees who
unfortunately could not be accommodated for want of vacancies have no further rights to be considered for
regularization. That the Hon'ble High Court in WP No.12964/94, held as follows, "It is needless to state that the
settlement arrived at between the All India State Bank of India Staff Federation which, is the majority union and the
bank Management is binding on the Workmen also. It is not at all the case of the Workman that any of the terms of
the settlement has been violated by the bank's Management. If the Workman had worked in the bank on part-time
basis before 31.5.94, that itself would not vest in him a right to claim that his services should be regularized on
permanent basis against a full time cadre post. The claim put forth by the Workman in the present petition is therefore
misconceived and not tenable. However, it is open to the Workman to claim any right which flows from the
settlement between the union and the bank Management. As already pointed out that it is not the grievance of the
Workman that some right which has flown from the settlement in favour of the Workman has been denied by the bank
Management. Therefore, I do not find any ground, let alone substantial ground, to grant the kind of relief sought for
by the Workman. Writ Petition fails and is accordingly dismissed. No costs."
18.
Further, it is contended that if the panels were not lapsed at the end of designated period and allowed to be
continued it would result in making the contracts of temporary employment indirectly permanent through back door
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[PART II—SEC. 3(ii)]
entry, which would not only be contrary to the settlements but also to Articles 14 and 16 of Constitution of India and
deprive the chances of original claimants who would Come through proper recruitment procedure. As their rights
have been crystallized by operation of the settlements. Hence, there is no question of any Legitimate expectation
being violated.
19.
Similarly placed ex-employees filed WP No.9206/1995 and the batch before the Hon'ble High Court of A.P.
and the learned Single Judge allowed the Writ Petitions. Aggrieved by the same WA No.86/98 and the batch was
filed and the Division Bench set aside the order of the Single Judge. Thereafter the ex-temporary employees filed
Special Leave Petition No.11886-11888 of 1998 before the Hon'ble Supreme Court of India. The Hon'ble Supreme
Court of India also dismissed the SLP. Therefore, reference to the Judgement of the Learned Single Judge in WP
No.9206/97 is of no consequences as the same has already been set aside. The observations made in the Judgements
cannot be relied upon for any purpose what so ever. The question of operation of Sec.25F would not come into play.
Further the issue is covered by various Judgements of Hon'ble Supreme Court of India and various Hon'ble High
Courts. Hence, the reference may be ordered that the Workman is not entitled for any relief.
20.
In order to fortify his claim Workman has examined himself as WW1 and also filed documents in evidence
which has been exhibited as Ex.W1 to W32. Further, the Workman has filed photocopies of documents in support of
his claim which are discussed as under:-
Ex.W1 to Ex. W9 are the School certificates. Further Ex.W10 is the Caste Certificate of the Petitioner. Ex.W11 is
the employment card. Ex.W12 to Ex. W18 are the wage receipts. Ex.W19 is the Petitioner Appointment. Ex.W20
is the Appointment order. Ex. W21 is the Service Certificate. Ex. W22 is the letter from Respondent to Petitioner. Ex.
W23 is the Service Certificate. Ex. W24 is the appear in the interview on 04.07.1989Ex. W25 is the Original
certificates Ex. W26 is the Service certificate Ex. W27 is the Service certificate Ex. W28 is the Service Certificates.
Ex. W29 is the is the Service Certificates Ex. W30 is the is the Service certificate. Ex. W31 is the Service Certificates.
Ex. W32 is the Service Certificate. Ex.W33 and W34 are the instructions to employ persons issued by Respondent
bank.
21.
On the other hand, Respondent has examined witness MW1 Sri Aluru Rama Rao and this witness has
exhibited 12 documents, marked as Ex.M1 to M12. The details of these documents are as follows:-
Ex.M.1 is the Settlement dated 17.11.1987. Ex.M2 is the Settlement dated 16.7.1988. Ex.M3 is the Settlement
dated 27.10.1988. Ex.M4 is the Settlement dated 9.1.1991. Ex.M5 is the Minutes of the conciliation proceedings
dated 9.6.1995. Ex.M6 is the Settlement dated 30.7.1996. Ex.M7 is the Memorandum of Understanding dt.
27.2.1997. Ex.M8 is the Particulars of 1989 Messengerial Panel. Ex.M9 is the Particulars of 1989 Non-
Messengerial Panel. Ex.M10 is the Particulars of 1992 General Attendant Panel. Ex.M11 is the Judgment of
Hon‘ble High Court of A.P. in Writ Appeal No.86/98 dt.1.5.1998. Ex.M12 is the Judgment of Hon‘ble Supreme
Court of India in SLP No. 11886-11888 of 1998 dt.10.8.1998.
22.
Apart from afore mentioned documents, Learned Counsel for Workman has also filed a long list of various
judgements of Hon‘ble Supreme Court as well as Hon‘ble High Court, which we will discuss at appropriate place in
this Award.
23.
Heard the argument of Learned Counsel for Workman as well as for Respondent.
24.
On the basis of rival pleadings of both the parties and submissions made by the Learned Counsel for both
the parties, following points arise for determination in the industrial dispute :-
I.
Whether the 1st settlement dated 17.11.1987, 2nd settlement dated 16.7.1988, 3rd settlement dated
27.10.1988, 4th settlement dated 9.1.1991 and 5th settlement dated 30.7.1996 entered into between
State Bank of India and All India State Bank of India Staff Federation and also Memorandum of
Understanding are binding upon both the parties?
II.
Whether the action of State Bank of India, Local Head Office Hyderabad in terminating the services
of Workman Sri M. Rajesh a Messenger with effect from 31.3.1997 is justified?
III.
Whether the Workman is entitled for absorption on permanent post in the Branch of Respondent
management as per averments made by him in the claim statement?
IV.
To what relief if any the Workman is entitled for?
Findings:-
25.
Point No.I:-
Undisputedly settlements dated 17.11.1987, 16.7.1988, 27.10.1988, 9.1.1991 and
30.7.1996, minutes of conciliation proceedings and memorandum of understanding dated 27.2.1997 were executed
between the State Bank of India and All India State Bank of India Staff Federation under section 2(p) and 18 (1) of
I.D. Act, 1947 read with Rule 58 of Industrial Disputes (Central Rules), 1957.
Section 2(p) of the Industrial Disputes Act, 1947 as follows:-
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1435
(p) "settlement" means a settlement arrived at in the course of conciliation proceeding and includes a written
agreement between the employer and workmen arrived at otherwise than in the course of conciliation proceeding
where such agreement has been signed by the parties thereto in such manner as may be prescribed and a copy thereof
has been sent to an officer authorised in this behalf by the appropriate Government and the conciliation officer;
Section 18(1) provides as follows:-
18. Persons on whom settlements and awards are binding.
- [(1) A settlement arrived at by agreement between the employer and Workman otherwise than in the course of
conciliation proceeding shall be binding on the parties to the agreement.
Therefore, in view of the provision contained u/s.18 (1) I.D. Act, 1947, terms and conditions enumerated in the
aforesaid settlements are binding on the parties to the agreement. The Learned Counsel for Workman has argued that
the Workman after going through the selection procedure has successfully been listed in the panel for appointment on
the permanent basis in the Respondent management and the empanelled list has to be valid till last person in the
empanelled list is appointed on permanent basis. But the impugned order dated 25.3.97, 27.3.97 and 31.3.97, has been
issued by Respondent management thereby the services of the Workman has been terminated and the said order is not
in consonance of the terms of the agreement entered into between the parties. Further, Workman submits that the
Respondent in the 5th settlement has mentioned the date i.e., 31.3.1997 for lapse of empanel list which is illegal and
that is not binding upon the Workman. The condition of lapse of empanelment list on 31.3.97 incorporated in the
aforesaid 5th settlement, is arbitrary and illegal.
26.
The perusal of the impugned order dated 25.3.1997 goes to reveal that the Chief/Branch Manager, SBI Zonal
Office has issued the letter to all the branches with regard to the subject not to make any temporary appointments in
the Branch in messengerial category from 1.4.1997. The extract of the said letter is given below:-
―We have been advised by the Deputy General Manager, Zonal Office, Hyderabad that as both the panels of
temporary employees of 1989 and daily wagers/casual labours of 1992 will lapse by 31.3.1997, it has been decided
by Central Office not to make any temporary appointments in messengerial category from 1.4.1997.‖
Thus, from the contents of the aforesaid letter, it manifest that Head Office of State Bank of India vide letter dated
25.3.1997 has issued direction to all its branches not to make any temporary appointments in messengerial category
from 1.4.1997 due to reason of lapse of both panels i.e., 1989 & 1992 on 31.3.1997 as per terms of settlements
entered into by both parties. Further, the contents of the subsequent letter dated 27.3.1997 issued by Respondent
Management is also direction to Branch Manager, State Bank of India not to make any temporary messengerial
category appointment with effect from 1.4.1997 and it has also been communicated to all concerned that the panels of
temporary employees and daily wagers maintained by Zonal offices stand lapsed from 31.1.1997. Further, office
order dated 31.3.1997 has been issued by Respondent management that goes to reveal that the said office order has
been issued to this effect that, ―Consequent on absorption of temporary employees in permanent cadre, it has been
decided by the competent authority that no one onwards, no further daily labour or temporary
employees/appointments should be resorted to/engaged/employed.‖ Therefore, it reflects from the contents of the
aforesaid orders that the temporary appointment in messengerial category and daily labour has been stopped by the
Respondent management with effect from 1.4.1997 because of the lapsed of panel of temporary workers and daily
wagers by 31.3.1997. The agreement for lapse of both the panels on 31.3.1997 is contained in the 5th settlement
which has been arrived at between the parties on dated 30.7.1996 with the consensus of both the parties. Therefore,
Workman can not challenge the terms and conditions contained in settlement dated 30.7.1996 regarding lapse of
panel on 31.3.1997 as agreed between State Bank of India and State Bank of India Staff Federation. As per provision
contained u/s.18(1) of I.D. Act, 1947 the said Agreement dated 30.7.1996 is binding on both the parties.
In the case of Allied Sales Corporation Secunderabad vs.The Authority Under Andhra Pradesh..... 1990 II LLJ
510 AP para 414, Hon‘ble Court have held:-
―4. There was a settlement between the Management and the workmen under Section 18(1) of the Industrial Disputes
Act on 25th April 1983 under which the age of superannuation of the workmen was fixed at 55 years. The settlement
was to be in force upto 30th June 1986 and the next settlement, incorporating practically the same terms, was again
entered into on 4th February 1987 under Section 18(1) of the Industrial Disputes Act. There is no dispute that these
settlements are under Section 18(1).
14. Now the Authority constituted under Section 41(1) of the Act is an authority with very limited jurisdiction. It can
only decide in the first appeal whether a termination by the management is valid or not and is within the parameters
of Section 40 of the Act. The said Authority, in our view, has absolutely no jurisdiction to decide whether a settlement
entered into under Section 18(1) of the Industrial Disputes Act between the representatives of the Workmen and of the
Management, is vitiated by undue influence or misrepresentation or coercion on the part of the Management. The
Authority, namely, the Assistant Commissioner of Labour, was never intended by the A.P. Legislature to have
jurisdiction to go into the question of the validity of a settlement arrived at under Section 18 of the Industrial Disputes
Act by an Industrial Court. That Parliament has, in fact, constituted Industrial Courts under the Industrial Disputes
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[PART II—SEC. 3(ii)]
Act, with extensive powers cannot be disputed. What we mean to say is that the Authority under Section 41(1) of the
A.P. Act has no jurisdiction what-so-ever either to question or to decide about the validity of any such settlements. If
parties to a settlement have a grievance about the validity of a settlement, it is for them to agitate the matter before the
appropriate forum and they cannot ask an Authority constituted under Section 41(1) of the A.P. Shops and
Establishments Act, 1966 with limited jurisdiction, to go into any such question and, that too, incidentally while
deciding whether retirement as per the contract of employment, is legal or not.”
It is not the case of Workman that aforesaid settlements are vitiated by undue influence or misrepresentation or
coercion on the part of the management. If the Workman feeling aggrieved by any terms of settlement/ agreement on
the aforementioned grounds then he can challenge of settlement before a competent authority under the Act, 1947.
But here in the instant matter it is not a case of Workman that aforementioned settlement has been entered into
between the parties on the ground of undue influence or misrepresentation or coercion. Therefore, Workman is barred
to raise any objection in respect of fixing the date of lapse of both panels on 31.3.1997 as agreed between both the
parties and Workman can not challenge any terms of said Agreement.
Further in the case of Herbertsons Limited Vs. Workmen of Herbertsons Limited and Ors, 1977 AIR 322,
Hon‘ble Supreme Court have held:-
The Tribunal thought that the question of the quantum of membership of the 2nd Respondent did not call for a finding
at all in view of 1his Court's order. As observed above that was not a correct assumption. On the other hand, we feel
that this view of the Tribunal has led it to approach the matter in an entirely erroneous manner. The Tribunal is,
rightly enough, conscious that under section 18 (1) of the Industrial Disputes Act the settlement was binding on the
company and the members of the 3rd Respondent union. Even so, the Tribunal devoted nearly half of its order in
scanning the evidence given by the company and Respondent No. 3 to find out whether the terms of the settlement had
been explained by the President of the union to the workmen or not and whether the workers voluntarily accepted the
settlement knowing all the "consequences". This to our mind is again an entirely wrong approach.
“When a recognised union negotiates with an employer the workers as individuals do not come into the picture. It is
not necessary that each individual worker should know the implications of the settlement since a recognised union,
which is expected to protect the legitimate interests of labour, enters into a settlement in the best interests of labour.
This would be the normal rule. We cannot altogether rule out exceptional cases where there may be allegations of
mala fides, fraud or even corruption or other induce- ments. Nothing of that kind has been suggested against the
President of the 3rd Respondent in this case. That being the position, prima facie, this is a settlement in the course of
collective bargaining and, therefore, is entitled to due weight and consideration.
It is not possible to scan the settlement in bits and pieces and hold some parts good and acceptable and others bad.
Unless it can be demonstrated that the objectionable portion is such that it completely outweighs all the other
advantages gained the Court will be slow to hold a settle- ment as unfair and unjust. The settlement has to be
accepted or rejected as a whole and we are unable to reject it as a whole as unfair or unjust. Even before this Court
the 3rd Respondent representing admittedly the large majority of the workmen has stood by this settlement and that is
a strong factor which it is difficult to ignore. As stated elsewhere in the judgment, we cannot also be oblivious of the
fact that all workmen of the company have accepted the settlement. Besides, the period of settlement has since expired
and we are informed that the employer and the 3rd Respondent are negotiating another settlement with further
improvements. These factors, apart from what has been stated above, and the need for industrial peace and harmony
when a union backed by a large majority of workmen has accepted a settlement in the course of collective bargaining
have impelled us not to interfere with this settlement. That being the position, we unhold the settlement as fair and just
and order that the award of the Tribunal shall be substituted by the settlement dated October 18, 1973. The said
settlement shall be the substituted award. The appeal is disposed of accordingly. There will be no order as to costs.”
Therefore, in view of the law laid down by the Hon‘ble Apex Court as discussed above, the contention of the
Workman that the date fixed for lapse of empanelled list on 31.3.1997 for appointment to the permanent post vide 5th
Settlement dated 30.7.1996 is arbitrary, illegal is not untenable. The recognized union of Workmen has negotiated
with the Respondent Bank Management representing large number of Workmen and the Workman as individual do
not come into picture. Workman in the instant case has work as temporary Workmen in the Respondent Branch and
in response of Notification he had applied for inclusion of his name in the panel and he was selected for inclusion
his name in the panel list to be utilized for absorption of such Workman to permanent post in order of their seniority
in the list. The Settlement dated 30.7.1996 between State Bank of India and All India State Bank of India Staff
Federation under Sec.2(p) and Sec.18(1) of I.D. Act, 1947 has clearly provided as regard non-messengerial position
and it is agreed that all such posts sanctioned fallen vacant upto 31.3.1997 shall be filled before empanel list is
allowed to lapse. Thus, in view of law laid down by the Hon‘ble Apex Court, in the instant case, Agreement dated
30.7.1996 was entered into between both the parties in respect of lapsing of the both the panels on 31.3.1997 and
absorption of the Workmen from panel list was subject to availability of vacancy of post likely to arise upto
31.3.1997, have a binding force on Workman as well as management of State Bank of India in view of provision
contained under section 18 (1) of I.D. Act, 1947.
Thus, Point No.I is answered against the Workman and in favour of the Respondent.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1437
27.
Point No.II:- Firstly, it is submitted on behalf of the Workman that the Respondent has terminated his
services by oral order on 31.3.1997 without issuing any notice or paying any salary or compensation in lieu thereof.
Therefore, the termination order of the Workman from service is in violation of provision contained Under Section 25
F of I.D. Act, 1947. Therefore, the order is liable to be set aside.
28.
On the other hand, Respondent counsel contended that Workman has not worked for 240 days in any
preceding calendar year. Therefore, reference of the industrial dispute is not relevant. In this context, the Workman
has examined himself as WW1 who has reiterated that Workman has been terminated from service by Respondent on
31.3.1997 without notice of salary or compensation in lieu thereof. Before examining the claim of the Workman on
merit it would be apposite to reproduce the provision contained under section 25 F:-
Section 25F provides:-
Conditions precedent to retrenchment of workmen.- No Workman employed in any industry who has been in
continuous service for not less than one year under an employer shall be retrenched by that employer until—
(a) the Workman has been given one month' s notice in writing indicating the reasons for retrenchment and the period
of notice has expired, or the Workman has been paid in lieu of such notice, wages for the period of the notice:
(b) the Workman has been paid, at the time of retrenchment, compensation which shall be equivalent to fifteen days'
average pay for every completed year of continuous service] or any part thereof in excess of six months; and
(c) notice in the prescribed manner is served on the appropriate Government or such authority as may be specified by
the appropriate Government by notification in the Official Gazette].
Compensation to workmen in case of transfer of undertakings.
Section 25B defines the term continuous service which provides
Definition of continuous service.- For the purposes of this Chapter,--
(1) a Workman shall be said to be in continuous service for a period if he is, for that period, in uninterrupted service,
including service which may be interrupted on account of sickness or authorized leave or an accident or a strike
which is not illegal, or a lock- out or a cessation of work which is not due to any fault on the part of the Workman;
(2) where a Workman is not in continuous service within the meaning of clause (1) for a period of one year or six
months, he shall be deemed to be in continuous service under an employer--
(a) for a period of one year, if the Workman, during a period of twelve calendar months preceding the date with
reference to which calculation is to be made, has actually worked under the employer for not less than--
(i) one hundred and ninety days in the case of a Workman employed below ground in a mine; and
(ii) two hundred and forty days, in any other case;
In order to prove the fact of 240 days of service within 12 months of a calendar year just preceding from the date of
termination, the initial burden of proof lies upon the Workman and the Workman has to prove this factum by
adducing his oral as well as documentary evidence in support of his claim.
Further, how to calculate 240 days of service by the Workman in a calendar year. In this context the reference of
decisions of Hon‘ble Supreme Court is relevant and the same are discussed below:-
In Rajasthan State Ganganagar S. Mills Ltd. v. State of Rajasthan and Anr. (2004) Apex Court held:
"It was the case of the Workman that he had worked for more than 240 days in the year concerned. This claim was
denied by the appellant. It was for the claimant to lead evidence to show that he had worked for 240 days in the year
preceding the date of his termination. He has filed an affidavit. It is statement which is in his favor and that cannot be
regarded as sufficient evidence for any Court or Tribunal to come to the conclusion that in fact the claimant had
worked for 240 days in a year These aspects were highlighted in Range Forest Officer v. S.T. Hadimani (2002 (3)
SCC 25. No proof of receipt of salary or wages for 240 days or order or record in that regard was produced. Mere
non-production of the muster roll for a particular period was not sufficient for the Labour Court held that the
Workman had worked for 240 days as claimed."
In Municipal Corporation, Faridabad v. Siri Niwas (2004 (8) SCC 195), held "the burden was on the Workman to
show that he was working for more than 240 days in the preceding one year prior to his alleged retrenchment." In
M.P. Electricity Board v. Hariram (2004 (8) SCC 246) the position was again reiterated in paragraph 11 as follows:
"The above burden having not been discharged and the Labour Court having held so, in our opinion, the Industrial
Court and the High Court erred in basing an order of reinstatement solely on an adverse inference drawn erroneously
..‖
In the case of Manager, RBI, Bangalore vs. S Mani (2005) SCC Page 100, the 3 Judges Bench of the Apex Court
held that "the initial burden of proof was on the Workman to show that he had completed 240 days of service."
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THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Hon'ble Apex Court in the case of Mohan Lal vs Management BEL 1981 SCC page 225 has laid down the
principle that how to count 240 days of service within one year it is held: "Clause (2)(a) provides for a fiction
to treat a Workman in continuous service for a period of one year despite the fact that he has not rendered
uninterrupted service for a period of one year but he has rendered period of 240 days during the period of 12
calendar service for months counting backwards and just preceding the relevant date being the date of retrenchment.
In other words, in order to invoke the fiction enacted in clause (2)(a) it is necessary to determine first the relevant
date, ie the date of termination of service which is complained of as retrenchment. After that date is ascertained. move
backward to a period of 12 months just preceding the date of retrenchment and then ascertain whether within the
period of 12 months, the Workman has rendered service for a period of 240 days. If these three facts are affirmatively
answered in favor of the Workman pursuant to the deeming fiction enacted in clause (2)(a) it will have to be assumed
that the Workman is in continuous service for a period of one year and he will satisfy the eligibility qualification
enacted in Section 25-F"
“14. We have already extracted section 25B since its amendment and the change in language is the legislative
exposition of which note must be taken. In fact, we need not further dilate upon this aspect because in Surendra
Kumar Verma and Ors. v. Central Government Industrial-cum-Labour Court, New Delhi and Anr., Chinnappa
Reddy. J., after noticing the amendment and referring to the decision in Sur Enamel and Stamping Works (P)
Ltd case, held as under:
"These changes brought about by Act 36 of 1964 appear to be clearly designed to provide that a Workman who has
actually worked under the employer for not less than 240 days during a period of twelve months shall be deemed to
have been in continuous service for a period of one year whether or not he has in fact been in such continuous service
for a period of one year. It is enough that he has worked for 240 days in a period of 12 months, it is not necessary that
he should have been in the service of the employer for one whole year."
In a concurring judgment Pathak J. agreed with this interpretation of section 25B(2). Therefore, both on principle and
on precedent it must be held that section 25B(2) comprehends a situation where a Workman is not in employment for
a period of 12 calendar months, but has rendered service for a period of 240 days within the period of 12 calendar
months commencing and counting backwards from the relevant date, i.e. the date of retrenchment. If he has, he would
be deemed to be in continuous service for a period of one year for the purpose of section 25B and
Chapter VA.”
Thus, in view of the law laid down by the Hon‘ble Apex Court as discussed above the initial burden of proof lies
upon the Workman to show that he has completed 240 days of the service with the Respondent just preceding from
the date of his termination. Further, in respect of the employment of calculating the 240 days service in view of the
contents of Section 25-F read with Section 25-B of the I.D. Act, 1947.
29.
Now, in view of the provision contained under Section 25 F and law laid down by the Hon‘ble Apex Court,
we have to examine whether the Workman has discharged his initial burden of proof in respect of his claim of 240
days continuous service in a calendar year just preceding from the date of his termination i.e., 31.3.1997.
In this context, WW1 in his cross examination has stated that,
“I was not sponsored by any employment exchange. I did not undergo process of selection before my appointment
as Sweeper..”
“It is not true to say that I never worked for 240 days …..”
Thus, it is clear from the testimony of WW1 that the Workman had worked for 240 days continuously in various
branches but Workman had not worked for 240 days continuously in any 12 months of a calendar year just preceding
from the date of his termination in the Respondent bank. Therefore, Workman failed to establish his plea by his oral
and documentary evidence that he had worked for 240 days continuously in calendar year just preceding from the date
of his termination i.e., 31.3.1997. Thus, the claim of the Workman that he has been terminated by oral order without
issuing notice or payment in lieu after termination, in contravention of Section 25 F of Industrial Disputes Act, 1947
is not tenable. However the documents filed by the Workman in support of his claim, number of days worked with
the Respondent goes to reveal that the Workman had worked intermittently as daily wager depending upon
availability of work in branch. Workman did not file any document of appointment letter or salary slips in support of
his claim for appointment as a non-messenger in the Respondent branch on temporary basis.
30.
Per contra, the Learned Counsel for Respondent has submitted the allegation of Workman that he was
terminated from services is not correct. As the vacancies were filled up on regular basis in order of their respective
seniority the non-engagement of the Workman does not amount to termination. Further, Respondent contended that
no law provide that even though there is no work temporary employee should be continued in the bank work as the
very engagement of Workman was subject to availability of work. Therefore, the allegation that the bank has
indulged in unfair labour practice is incorrect.
31.
Thus, in view of the fore gone discussion and contentions made by the Respondent, I find the force in the
argument advanced by the Respondent that in the instant matter, Workman was not terminated from service by order
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1439
dated 31.3.1997 rather he was disengaged in view of the non-availability of the work in the branch. Further, there
was direction issued by the Head Office of the Respondent authority not to engage any daily wager Workman/
temporary Worker w.e.f. 1.4.1997. Thus, such disengagement of Workman does not amount to termination.
Moreover, the Workman failed to prove his claim that he was terminated in contravention of provision of Sec.25F of
the I.D. Act, 1947 as he failed to establish his plea by any oral or documentary evidence that he had worked for 240
days continuously in a twelve months of calendar year just preceding from date of termination i.e., 31.3.1997.
32.
Further, perusal of the order dated 25.3.1997 goes to reveal that the Chief Branch Manager, State Bank of
India has issued the letter to Zonal Office with direction to all its branches to this effect that they have been advised
by the DGM, Zonal Office, Hyderabad that as both the panel of temporary employees of 1989 and daily wagers/casual
labour of 1992 will lapse on 31.3.1997 it has been decided by central office not to make any temporary appointments
in messengerial cadre from 1.4.1997, therefore it was directed to issue suitable instructions not to make temporary
appointments from 1.4.1997. There is no mention in this order that the Workman herein has been terminated from
service by this order.
33.
Further, the circular dated 27.3.1997 was issued by DGM, SBI to all branches in commercial network in
respect of the non-appointment of temporary employees in subordinate cadre and it has directed not to make any
temporary employment in the subordinate cadre with effect from 1.4.97 and further, it has directed to ensure that no
temporary/casual/daily basis appointment of the petty cash. Further, it is directed to all Branch Managers that any
deviation in this regard will be viewed seriously. Thus, these circulars do not reflect that the Workman has been
terminated from service by this order.
34.
Similarly, office order dated 31.3.1997 is simply a direction to all branches of the Respondent bank by DGM
that no further daily labour should be engaged or employed. Therefore, the plea of the Workman that he has been
terminated by the aforesaid order dated 25.3.1997, 27.3.1997 and 31.3.1997 from the service by the Respondent is not
acceptable. The evidence adduced by the Workman clearly goes to reveal that he had worked as a daily wager for
which he has been paid wages according to number of working days. As there was an order for prohibition for
engaging temporary workmen, in the bank, therefore, Workman could not be engaged by the Respondent for work
from 1.4.1997 and there after. It is settled law that the daily wagers are engaged by the employer depending upon
the availability of work and as the work was not available the Workman was not engaged further by the Respondent
management. Therefore, the Workman on the ground of number of days he had worked in the Respondent bank
cannot claim any right to reinstate him into the employment. As the Workman failed to prove the mandatory
condition of 240 days of continuous service as required under Sec.25F of I.D. Act, 1947. Therefore, the
disengagement of Workman from work can not be termed in contravention of provision contained under Sec.25F and
25 B of the I.D. Act, 1947.
Thus, this point is answered against the Workman and in favour of Respondent.
35.
Point No.III:- In this context, the Workman has contended that the management failed to implement the
selected panels during its valid tenure. The management adopted the back door methods contrary to the settlements
and filled up the vacancies. The same is evident from the proceedings dated 18.11.1993 a copy of the same is filed in
the material papers and the same may be read as part of the claim statement. Further, it is submitted that management
has to adhere the procedure issued by the Central Government, the instructions dated 16.8.1990 in the year 1995, but
same was not followed in the year 1997 despite there being vacancies. The management has followed the procedure of
calling candidates through employment exchange instead of giving chance to the empanelled candidates like the
Workman herein. The management sent call letters to the similarly situated candidates like the Workman in the month
of June 1997 subsequent to issuance of impugned termination orders. After knowing the fact that they are litigating
the issue by way of dispute, the management has refused to engage those candidates, the copies of call letters issued
are filed herein along with claim petition. The Workman herein reiterates that the panels are meant for absorption but
not for termination. In view of the same a duty is cast upon the Respondent management to engage the empanelled
candidates like the Workman herein even in temporary vacancies till they are absorbed permanently in regular
vacancies.
36.
On the other hand, Respondent has contended that the Federation approached Regional Labour
Commissioner (Central) for implementation of bipartite settlement in respect of the absorption of temporary
employees. The Regional Labour Commissioner (Central) conducted conciliation proceedings and agreement was
arrived at between the Federation and the Management bank. It is submitted that it was agreed between the
Federation and the Management that both the panels of temporary employees and daily wagers /casual labour would
be kept alive upto March, 1997 and the vacancies as agreed to under the afore set out settlements will be filled from
both the lists concurrently. A copy of the conciliation proceedings dated 9.6.1995 signed by the parties to the dispute
is filed as a material paper. Further, it is submitted that the settlement was arrived at and an agreement was signed
between the Federation and the Management bank on 30.7.1996 under Section 2(p) read with Section 18(1) of the
Industrial Disputes (Central) Rules 1957 which is binding on the parties. A copy of this agreement which hereinafter
may be referred to as 5th settlement for brevity, is also filed as a material paper. The 5th settlement dated 30.7.1996
whereunder the earlier four settlements dated 17.11.1987, 16.7.1988, 27.10.1988 and 9.1.1991 were also referred, it
1440
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
was agreed to, by the Federation and the Management bank that both the panels of temporary employees and daily
wagers/casual employees will be kept alive upto March, 1997 for filling the vacancies existing/arrived at as on
31.12.1994 as per the norms agreed to between the bank and Federation and that thereafter the said panels would
lapse. It was also agreed that within the framework of the above settlements the modalities about drawing names from
either the panel of temporary employees or the panel of daily wagers and casual labour would be decided
administratively on circle to circle basis depending upon the local requirements in consultation with the Federation‘s
affiliate by the Circle management. It was further agreed that all messenger real vacancies/positions in the subordinate
cadre including part-time attendants specifically provided as leave reserve will be filled by the end of 31.3.1997.
Further, Respondent contended that on 27.2.1997 a memorandum of understanding was also signed between the
Federation‘s affiliate and the bank management regarding the fact that the exercise of identifying the messengerial
vacancies as on 31.12.1994 has since been completed by central office and thereby 403 messengerial vacancies were
sanctioned to the circle of the Management bank and it was agreed that these vacancies may be filled from 1989 panel
of temporary employees after effecting conversion from full time non-messengerial staff in the usual manner and the
agreement was reached upon. Further, it was agreed between the Federations affiliate and the management bank
that in terms of the settlement dated 30.7.1996 both the panels of temporary employees and daily wagers /casual
employees would lapse on 31.3.1997.
37.
The Workman has contended that the empanelled list prepared by the Respondent management for
appointment of temporary and daily wage Workers to the permanent post cannot lapse unless until it is exhausted by
appointing all the empanelled persons and it should continue even after 31.3.1997, i.e., the date fixed for the lapse of
panel. It is undisputed that the date of lapse of empanelled list of Workmen has been fixed to 31.3.1997 as
mentioned in the settlement dated 30.7.1996, and agreed between the parties. It is settled law that and once the life
of panel list lapses on the date as agreed between the parties it cannot be extended beyond that date. In the instant
case the panel list of the workmen was valid upto 31.3.1997 in view of the terms and conditions enumerated in the 5th
Settlement entered into between the parties. As the lapse of panel i.e., 31.3.1997 has been agreed by State Bank of
India and State Bank of India Staff Federation through 5th Settlement, the Workman is not competent to challenge the
same.
In this context I would like to take reference of the decision of the apex court in the case of Syndicate Bank and Ors
vs. Shankar Paul and Ors , AIR 1997 SC 3091, therein the Hon‘ble Apex Court have held:-
“Till 1982, the branches of the appellant Bank in Calcutta region were recruiting persons locally to work as
temporary attenders in leave vacancies. In view of the revised procedure prescribed by the Government of India in
respect of such temporary appointments, the Calcutta regional office of the appellant Bank issued a circular to all of
its branches on 14.8.1982, instructing all the branches under it to discontinue the old practice from 1.6.1982 and
appoint only empanelled candidates. The regional office was to prepare a panel of eligible candidates, after calling
names from the local/district employment exchange, and split it up branch-wise. Following that new procedure yearly
panels were prepared thereafter. Names of the Respondents were for the first time included in the panel prepared for
the period 7.2.1987 to 6.2.1988. By its letter dated 7.2.1987 the Bank had informed the Respondents that the panel
was valid for one year only and that inclusion of their names in the panel was not to confer on them any right to seek
permanent appointment in the service of the bank. Considering the object with which the panel was prepared and the
fact that it was an yearly panel expiring on 6.2.1988, we are of the opinion that the Respondents did not get any right,
because of inclusion of their names in the said panel, for permanent absorption in the service of the Bank. Whatever
conditional right they had came to an end with the expiry of the panel. The claim of the Respondents, as contained in
the writ petition was thus misconceived and therefore the learned single Judge and the Division Bench, when it first
decided the appeal, were right in dismissing the writ petition and the appeal respectively.”
Thus, in view of the above law laid down by the Hon‘ble Apex Court and in view of the terms and conditions of the
5th Settlement the contention of the Workman that empanelled list should continue even after 31.3.1997 till the last
Workman in the panel is absorbed is not tenable. The contention of the Workman is baseless in view of recital in
the settlement. Therefore, in view of the fore gone discussion and finding given at Point No. I regarding binding
nature of Settlements and terms and conditions enumerated therein, in view of the provision contained u/s.18(1) of the
I.D. Act, 1947, I am of the considered view that life of panels lapsed on 31.3.1997 in view of terms of settlement
dated 30.7.1996 and plea of Workman that the panel shall continue even after 31.3.1997 till last man absorbed has
no legal force and same is untenable.
38.
Undisputedly, settlement agreement dated 30.7.1996 was executed between the State Bank of India and
State Bank of India Staff Federation and in that settlement it was agreed that both the panels of temporary employees
and daily wagers/ casual employees will be used for filling vacancies existing as on 31.12.1994 as per the norms
agreed between the bank and the Federation. These empanelled workmen were to be given a chance for permanent
appointment in the bank against vacancies arising up to December 1994 whereas the daily wagers/ casual employees
were to be considered against the vacancies arise from January 1995 to December 1996, whereby the said panel
would lapse. It was agreed that the vacancies falls upto 31.3.1997 shall be filled before the empanelled list is
allowed to lapse. Thus, the claim of the Workman to the post of permanent non-messenger in the Respondent
management was subject to the availability of the sanctioned post and vacancies arising upto 31.3.1997. The
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1441
workmen given chance to the permanent post were seniors in number of working days in panel list and Workman
herein was junior to those workmen. Therefore, Workman could not be given absorption to permanent post being
junior to other workmen in the panel list.
39.
In this context the Workman witness WW1 was cross examined by the Respondent counsel and in the cross
examination the witness WW1 states:-
“it is not true to say that I all the persons who were given regular appointment by the bank were seniors to me and
they had worked for more no. of days than me…..
I am not having any documents to show that any of my juniors are continuing in the service.”
Thus, from the above statement of the Workman witness WW1 it is clear that the panel was prepared in terms of
various settlements entered into between Staff Federation of State Bank of India and State Bank of India and it was
prepared on the basis of number of days of work put in by the temporary employees. Further, the Workman himself
admitted that some of the temporary employees whose names were included in the panel were given regular
appointment in the bank in order of their seniority in the panel and he is not having any document to show that any
person who worked for less number of days than the Workman was given appointment in the bank. Therefore, the
allegation of the Workman that the regular appointment has been made by the bank from the panel list in breach of the
terms of the settlement and violation of seniority of panel list is not proved by this evidence of WW1. Thus, there is
no evidence on record that bank has given the appointment to the temporary employees as well as daily wagers from
the panel list 1989 and 1992 in breach of seniority of the temporary employees in the list. There is no evidence of
jumbling in the panel list to make appointment of any permanent Workman in breach of the seniority. Therefore, I
am constrained to hold that the Respondent Management has appointed the workmen from panel list in order of
seniority and there is no jumbling of workmen in the panel list before it got lapsed on 31.3.1997.
40.
However, Workman has taken the plea that the panels of Workmen for absorption in the employment of the
Respondent banks (panels of temporary employees and daily wagers) has been lapsed on 31.3.1997 in contravention
of terms of settlement as the object of preparing the entire empanelment of temporary and daily wagers was to provide
them permanent employment and till the both the panel lists exhausted the panel list cannot be lapsed on 31.3.1997
and the date of lapsing of the panel on 31.3.1997 has been fixed by the Respondent arbitrarily without any authority.
41.
In this context, the perusal of Settlement dated 30.7.1996 reveals that the 5th Settlement dated 30.7.1996 was
entered under Section 2(p) and 18(1) of I.D. Act, 1947 read with Rule 58 of Industrial Dispute (Central) Rules 1957.
This settlement has been entered into by the competent parties and in this settlement parties thereto agreed that both
the panels of temporary employees and daily wagers/casual employees will lapse on 31.3.1997. Thus the date of
lapse of panel was fixed by both the parties with consensus under the settlement dated 30.7.1996 and same is
binding upon the Workman under the provision of Section 18(1) of I.D. Act, 1947. Moreover, this issue of binding
force of the settlement dated 17.11.1987, 16.7.1988, 27.10.1988 and 9.1.1991 has already been discussed, decided at
finding in Point No.I of this award. However, the legality and validity of the aforementioned settlement has not been
challenged by the Workman before any competent forum. Thus, claim of Workman that the date of lapse of panel i.e.,
31.3.1997 has been fixed arbitrarily by the Respondent bank is untenable. As regard the claim of Workman for his
absorption to the permanent post it is settled law that the Workman can not claim his regularization to permanent
post merely on the basis of number of working days.
42.
In this context the reference of the decision of Hon‘ble Supreme Court in the case of Oil and Natural Gas
Corporation vs Krishan Gopal 2020(3) SCALE 272, date of decision 7.2.2020 is relevant therein Hon‘ble
Supreme Court have has laid down principle regarding regularization of the Workman on permanent posts. Hon‘ble
Supreme Court have laid down the prepositions of regularization of the workmen to permanent post is as under:-
―(i) Wide as they are, the powers of the Labour Court and the Industrial Court cannot extend to a direction to order
regularisation, where such a direction would in the context of public employment offend the provisions contained
in Article 14 of the Constitution;
(ii) The statutory power of the Labour Court or Industrial Court to grant relief to workmen including the status of
permanency continues to exist in circumstances where the employer has indulged in an unfair labour practice by not
filling up permanent posts even though such posts are available and by continuing to employ workmen as temporary
or daily wage employees despite their performing the same work as regular workmen on lower wages;
(iii) The power to create permanent or sanctioned posts lies outside the judicial domain and where no posts are
available, a direction to grant regularisation would be impermissible merely on the basis of the number of years of
service;
(iv) Where an employer has regularised similarly situated workmen either in a scheme or otherwise, it would be open
to workmen who have been deprived of the same benefit at par with the workmen who have been regularised to make
a complaint before the Labour or Industrial Court, since the deprivation of the benefit would amount to a violation of
Article 14; and
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THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
(v) In order to constitute an unfair labour practice under Section 2(ra) read with Item 10 of the Vth Schedule of the ID
Act, the employer should be engaging workmen as badlis, temporaries or casuals, and continuing them for years, with
the object of depriving them of the benefits payable to permanent workmen.
Thus, in view of the principles laid down by the Hon‘ble Supreme Court as discussed above, in the instant matter the
Workman utterly failed to prove his claim by adducing any documentary or oral evidence that the employer has
indulged in unfair labour practice by not filling the permanent posts even though such posts are available and by
continuing to employ workmen as temporary or daily wage employees despite their performance was the same work,
as regular workmen on lower wages.
43.
Respondent has contended that all the vacancies exist and arise upto 31.3.1997 has been filled up from the
panel list in order of seniority and no vacancy exists or arises as on 31.3.1997 remained unfilled. Further, it is
contended that as per terms of settlement the life of panel lists has been lapsed on 31.3.1997, hence, there is no
occasion to extend the life of panel lists beyond 31.3.1997. However, the workman failed to prove contrary by any
evidence to the aforesaid contention of the Respondent that the vacancies were existing as on 31.3.1997 and the
workman was not given absorption to the permanent post in order of his seniority. It is settled law that the power to
create permanent or sanctioned post lies outside the judicial domain and where no posts are available, a direction to
grant regularization would be impermissible merely on the basis of the number of years of service. Therefore, the
claim of the workman on this ground also not acceptable.
44.
Further, as per the of settlement, panel was prepared for absorption of the workmen on the permanent posts
has already been lapsed on 31.3.1997 and the vacancies existing and arising upto 31.12.1994 and upto 31.3.1997 as
settlement dated 30.7.1996 has been filled up from the panel by appointing the workmen as per seniority in the panel
list. Workman witness WW1 in his cross examination has himself admitted this fact that, some of the temporary
employees whose names were included in the panel were given regular appointment in the bank in order of their
seniority in the panel. The Workman failed to show that there was any breach of terms of settlement has been
committed by the Respondent in appointment to permanent post from aforesaid panel list.
45.
As discussed in preceding paragraph of this Award, the life of the panel has not been extended beyond
31.3.1997, by any further settlement hence, the panel list in which name of the Workman was included got expired
on 31.3.1997. It is not the case of the Workman that Respondent has regularized similarly situated workmen either in
the scheme or otherwise and the Workman has been deprived of same benefit on par with those workmen or the
vacancies remained unfilled on the date of lapse of panels i.e., 31.3.1997, Industrial Tribunal has no jurisdiction to
extend the date of lapse of panel i.e., 31.3.1997. This Tribunal can not order for regularization of workmen to the
permanent post in contravention of the provision of Article 14 of the Constitution of India.
In the case of Mahboob Deepak vs. Nagar Panchayat Gajraula & Anr, Civil Appeal No.5875/2007 date of
judgement 13.12.2007, Hon‘ble Supreme Court have held:-
“8. Respondent is a Local Authority. The terms and conditions of employment of the employees are governed by a
statute and statutory rules. No appointment can be made by a Local Authority without following the provisions of the
recruitment rules. Any appointment made in violation of the said rules as also the constitutional scheme of equality as
contained in Articles 14 and 16 of the Constitution of India would be a nullity.
9. Due to some exigency of work, although recruitment on daily wages or on an ad hoc basis was permissible, but by
reason thereof an employee cannot claim any right to be permanently absorbed in service or made permanent in
absence of any statute or statutory rules. Merely because an employee has completed 240 days of work in a year
preceding the date of retrenchment, the same would not mean that his services were liable to be regularized.”
Therefore, in view of the law laid down by the Hon‘ble Apex Court, the claim of the Workman for absorption merely
on the basis of number of day of work in the Respondent bank Branch is not acceptable. As regard plea of the
Workman that the Workman should have been given employment even after 31.3.1997 as temporary Workman, it is
the discretion of Respondent to engage the Workman depending upon availability of work and this Tribunal can not
direct the Respondent to engage the Workman in the absent of such rule/scheme.
46.
In view of principle laid down by Hon‘ble Apex Court as discussed above, in the instant matter Workman
utterly failed to establish the fact of rendering continuous service for a period of 240 days of service within a period
of 12 calendar months commencing and coming backward from relevant date i.e., the date of retrenchment, if has he
would be denied to be in continuous service for a period of one year. Therefore, the provision contained under
Sec.25F of retrenchment is not applicable to Workman.
Counsel for Workman has relied upon number of decisions of Hon‘ble High Court and Hon'ble Supreme Court and
few of them are discussed herein:-
In the case of F.C.I., vs. Kamdhenu Cattle Feed Industries 1993 (1) SCC 71, therein Hon‘ble Supreme Court have
held:-
“7. In contractual sphere as in all other State actions, the State and all its instrumentalities have to conform to Article
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1443
14 of the Constitution of which non-arbitrariness is a significant facet. There is no unfettered discretion in public law:
A public authority possesses powers only to use them for public good. This impose the duty to act fairly and to adopt a
procedure which is `fairplay in action'. Due observance of this obligation as a part of good administration raises a
reasonable or legitimate expectation in every citizen to be treated fairly in his interaction with the State and its
instrumentalities, with this element forming a necessary component of the decision making process in all State
actions. To satisfy this requirement of non- arbitrariness in a State action, it is, therefore, necessary to consider and
give due weight to the reasonable or legitimate expectations of the persons likely lo be affected by the decision or else
that unfairness in the exercise of the power may amount to an abuse or excess of power apart from affecting the bona
fides of the decision in a given case. The decision so made would be exposed to challenge on the ground of
arbitrariness. Rule of law does not completely eliminate discretion in the exercise of power, as it is unrealistic, but
providers for control of its exercise by judicial review.”
In the case of State Bank of India, R.O., Vijayawada vs. Industrial Tribunal, Hyderabad WP No.193/1997,
therein Hon‘ble High Court have held,
―Sri Krovvidi Narasimham, the learned counsel for the 2nd respondent contends, supporting the award that it was a
permanent vacancy and even though the 2nd respondent was appointed on temporary basis, his services were not
liable to be terminated and he was to be regularised into service on permanent basis. Shastry award warrants that no
temporary appointment can be made to a permanent post. But the matter is now covered by two division bench
judgements dated 28.11.1986 in W.A. No.791 of 1986 and 25.8.1987 in W.A. No.270 of 1982. The ratio decided in the
two judgements is to the effect that there cannot be any mandate to appoint employees on permanent basis when the
requirement was for appointment on temporary basis. But it is held in the said judgements that when a temporary
appointee is ousted from service and not for misconduct and, if again temporary appointment is to be made, then, the
case of such temporary appointee who was ousted, has got to be considered in accordance with Sec. 25-H of
the Act.”
In the case of State of Haryana and others vs. Piara Singh and others. 1992 (4) SCC 118, therein Hon‘ble
Supreme Court have held:-
“ 49. If for any reason an adhoc or temporary employee is continued for a fairly long spell, the authorities must
consider his case for regularization provided he is eligible and qualified according to the rules and his service record
is satisfactory and his appointment does not run counter to the reservation policy of the state.”
In the above cited judgements by the Workman the facts of the case are different hence do not apply to instant case
of Workman.
47.
On the other hand, in support of his contention Respondent has examined witness MW1 and MW1 in chief
examination states that, Settlements i.e., on 17.11.1987, 16.7.1988, 27.10.1988, 9.1.1991 were entered into between
the SBI and SBI Staff Federation for filling up of the vacancies that arise up to 1994 for those temporary employees
who has worked on scale wages. Further, MW1 states that two different panels for messengers and non-messengers
as per the eligibility criteria prescribed by the bank. There are four modules in Andhra Pradesh and they are
Hyderabad, Tirupathi, Vijayawada and Visakhapatnam. MW1 states that the temporary employees so empanelled
were given permanent absorption depending upon the vacancies so arise strictly in terms of the settlement. MW1
states that on 9.6.1995 conciliation proceeding was held before the RLC(C), Hyderabad and in said proceedings it
was decided that the panels will be kept live up to 31.3.1997 and vacancies will be filled from both the lists
concurrently. A copy of the said minutes of proceedings is Ex.M5. Further, MW1 states that on 30.7.1996 another
settlement was entered between the SBI and All India SBI Staff Federation providing for filling up of the vacancies
arising up to December 1994 in respect of subordinate cadre and daily wage /casual wage employees out of panel so
prepared were to be considered against vacancies arising from January 1995 to December 1996, thereafter the said
panels lapse. MW1 states that it was also agreed that all the non- messenger positions in subordinate cadre including
part time attendants specially provided as leave reserve will be filled before 31.3.1997 and as regards to non-
messengerial positions it is agreed that all such posts sanctioned and fallen vacant up to 31.3.1997 shall be filled
before the empanelled list is allowed to lapse. Thus in both the cases empanelled list were lapsed on 1.4.1997.
Ex.M6 is the copy of the settlement dated 30.7.1996. Further, witness states that on 27.2.1997 a memorandum of
understanding was reached between the SBI and SBI Staff Federation providing that both the panels above mentioned
will lapse on 31.3.1997. Ex.M7 is the copy of the memorandum of understanding and Ex.M8 is the copy of the
statements giving the particulars of 1989 non-messenger panel, Ex.M9 is the copy of the statement of 1989 non-
messenger panel, Ex.M10 is the copy of statement of 1992 panel. Further, witness states that petitioner was included
in the 1989 panel. As the existing vacancies at that time were exhausted and his turn did not come he could not be
given permanent employment in the bank as per the agreements. All the appointments were made strictly in
accordance with the settlements reached from time to time between SBI and SBI staff federation and as per seniority,
number of days of temporary service put in by them in the bank in the given period. Further, MW1 states petitioner
was not sponsored by any employment exchange he did not undergo the regular process of selection required for
appointment as a regular non-messenger the petitioner has not worked for 240 days in any year in his entire temporary
service in the bank. The petitioner and other temporary employees were terminated from service by the bank.
1444
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Further, MW1 states that the vacancies were filled up on regular basis with the temporary employees from the panels
and these panels were expired in terms of the settlements so reached and there were no vacancies to absorb such
employees. Thus, witness MW1 has proved the documents Ex.M1 to Ex.M12 and also contentions made in the
counter. However, MW1 was cross examined by the Petitioner Counsel. But nothing has been elicited in his cross
examination so as to discredit the testimony of the witness MW1 as regards the date of lapse of both the panels on
31.3.1997 and reasons assigned for non-absorption of the Petitioner from the panel list to the permanent post.
Moreover the witness MW1 was re-examined by the Respondent and the witness MW1 states that panels were expired
in terms of the settlement send absorptions to the extent of the available vacancies were made. There was no
termination of any temporary messenger as such but their services were not utilized after the cut off date as the
available vacancies were already filled up and most of these Petitioners were not in the service of the bank as on the
date of the expiry date of the panels. Therefore, in view of the aforesaid testimony of the MW1 in re-examination in
the absence of cross examination remained uncontraverted, the claim of the Workman that he was entitled for
absorption in permanent post in the branch of Respondent Management on the basis of panel list is found not
established.
This point is answered against the Workman.
48.
Point No.IV:- In view of the discussion and finding given at Point Nos. I, II and III, the Workman is not
entitled for any relief and claim statement of Workman sans merit and liable to be dismissed.
This Point is answered accordingly.
ORDER
In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the
services of Sri M. Rajesh Ex. Temporary/ Non- Messenger by way of oral orders w.e.f. 31.3.1997 is justified.
Hence, the Petitioner is not entitled for any relief as prayed for. The claim statement filed by Workman sans merit,
hence, dismissed. Reference is answered accordingly.
Award is passed accordingly. Transmit.
Typed to my dictation by Smt. P. Phani Gowri, Personal Assistant, transcribed by her, corrected and signed
by me on this the 4th day of February, 2026.
IRFAN QAMAR, Presiding Officer
Appendix of evidence
Witnesses examined for the
Witnesses examined for the
Petitioner
Respondent
WW1: Sri M. Rajesh
MW1: Sri Aluru Rama Rao
Documents marked for the Petitioner
Ex.W1 to Ex W9: Photocopy of are the School Certificate of the Petitioner
Ex.W10: Photocopy of Caste Certificate of the Petitioner
Ex.W11: Photocopy of Petitioner Appointment.
Ex.W12 to Ex. W18:
Photocopies of the wage receipts.
Ex.W19:
Photocopy of Appointment of Petitioner
Ex.W20:
Photocopy of letter to appear in the interview on 04.07.1989
Ex.W21:
Photocopy of Service certificates
Ex.W22:
Photocopy of is the letter from Respondent to Petitioner
Ex.W23:
Photocopy of Service Certificates
Ex.W24:
Photocopy of appear in the interview on 04.07.1989
Ex.W25:
Photocopy of Original certificates
Ex.W26:
Photocopy of Service Certificates
Ex.W27:
Photocopy of Service Certificates
Ex.W28:
Photocopy of Service Certificates
Ex.W29:
Photocopy of Service Certificates
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1445
Ex.W30:
Photocopy of Service Certificates
Ex.W31:
Photocopy of Service Certificates
Ex.W32:
Photocopy of Service Certificates
Ex.W33 & 34:
Photocopies of notifications issued by Respondent bank
Documents marked for the Respondent
Ex.M1:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.17.11.87
Ex.M2:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.16.7.88
Ex.M3:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.27.10.1988
Ex.M4:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.9.1.1991
Ex.M5:
Photocopy of conciliation proceedings before the Regional Labour Commissioner(C) dt.9.6.1995
Ex.M6:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.30.7.1996
Ex.M7:
Photocopy of Memorandum of understanding dt. 27.1.1997
Ex.M8:
Photocopy of statements giving the particulars of 1989 messenger panel.
Ex.M9:
Photocopy of statement of 1989 Non-messenger panel
Ex.M10:
Photocopy of statement of 1992 panel
Ex.M11:
Photocopy of order of Hon‘ble High Court in WA No.86/98 dt. 1.5.98
Ex.M12:
Photocopy of order in SLP No.11886-11888 of 1998 dated 10.8.98
नई ददल्ली, 5 मार्च, 2026
का.आ. 309.—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj
ds izca/kr=] lac) fu;kstdksa vkSj muds deZdkjksa ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh;
ljdkj औद्योजगक vf/kdj.k@Je U;k;ky;
ds iapkV (12/2001) izdkf'kr djrh gSA
[सं. एल-12012/287/2000-आई आर(बी- I)]
सलोनी, उृ जनदेिक
New Delhi, the 5th March, 2026
S.O. 309.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Ref. 12/2001) of the Cent.Govt.Indus.Tribunal-cum-Labour Court
Hyderabad as shown in the Annexure, in the industrial dispute between the management of State Bank of India
and their workmen.
[No. L-12012/287/2000- IR(B-I)]
SALONI, Dy. Director
ANNEXURE
IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT
HYDERABAD
Present: Sri IRFAN QAMAR
Presiding Officer
Dated the 5th day of February, 2026
1446
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
INDUSTRIAL DISPUTE No. 12/2001
Between:
Smt. G. Koteswaramma,
W/o Madhava Rao,
Setya Lanka, 1 ward,
Avanigadda (M) Krishna Dist..
… Petitioner
And
The Asst. General Manager,
State Bank of India,
Zonal Office,
RG-II, Labbipet,
Vijayawada – 520 004.
…..Respondent
Appearances:
For the Petitioner :
Sri Macherla Rangaiah, Advocate
For the Respondent:
Sri Y. Ranjeeth Reddy, Advocate
AWARD
The Government of India, Ministry of Labour by its order No. L-12012/287/2000-IR(B.I) dated 19.4.2001
referred the following dispute under section 10(1)(d) of the I.D. Act, 1947 to requiring this forum to decide the
question:
SCHEDULE
―Whether the action of the management of State Bank of India, Vijayawada Zone in dismissing services of
Smt. G. Koteswaramma, Ex-Messenger, by way of oral orders w.e.f. 31.3.1997 is justified? If not, what
relief the workman is entitled?‖
After receipt of the reference, it was numbered as ID No. 12/2001 and notices were issued to both the Workman and
the management.
2.
Before unfolding the factual matrix of the instant industrial dispute it would be apposite to have a bird eye
view of a chequered history of the instant industrial dispute. Earlier instant industrial dispute along with the batch
cases was decided by this Tribunal vide common award dated 17.5.2005 and the reference was answered in favour of
the Respondent and against the Workman. That said common award dated 17.5.2005 was challenged by the
aggrieved Workmen in various Writ petition No.6470/2014 along with batch of writ petitions before the Hon‘ble High
Court of Andhra Pradesh and Hon‘ble High Court vide its‘ judgement dated 23.6.2014 allowed all batch of writ
petitions and set aside the common award dated 17.5.2005 passed in ID No.222 of 2001 and other batch of ID cases
by Central Government Industrial Tribunal cum Labour Court, Hyderabad and the Respondent management of State
Bank of India was directed to reengage the Writ Petitioners in position, which they have been occupying prior to their
termination and further directed to consider their cases for regularization as and when the substantive vacancy arises.
This judgement dated 23.6.2014 of Hon‘ble High Court of AP, passed in WP No.6470/2014 and batch petitions was
challenged by Respondent management before the Hon‘ble High Court in Writ Appeal No. 1268 of 2014. The
aforesaid Writ Appeals No.1268/2014 and other Writ Appeals were decided by Division Bench of High Court of
Andhra Pradesh by a common judgement dated 20.3.2019. Hon‘ble High Court in aforesaid Writ Appeal was
pleased to pass the order which is extracted as below:-
“ 7. Hearing the learned senior counsel for the SBI and the learned senior counsel for the contesting unofficial
Respondents, we see that while the learned single Judge was justified in setting aside the award af the Tribunal, the
proper course to be adopted was to remit all the cases to the Tribunal. This we say for reasons more than one. Firstly,
in such matters, claims have to be decided on individual basis, as different persons have different claims as to the
length of officiation or discharge of duties and functions; quality of engagement, drawings, accounting of the post for
each one of them, who have worked etc. AIl these issues will not be the same in all the cases. Therefore, each case
ought to have been directed to be decided by the Tribunal afresh on individual basis. The second and most important
aspect is the learned single Judge has in one go ordered re-employment of all the workmen. This is not a relief that
could have been granted without answering the individual issues; each issue relating to each case could not have
been decided by the writ Court within the format of its adjudication procedures and scope. The adjudicating body,
which has to do that activity, is the Industrial Tribunal. Therefore, we are of the view that while we would sustain the
order of the learned singe Judge insofar as it interfered and sets aside the award of the Tribunal, the further findings
and directions, issued through the impugned order have to go and the individual cases have to be sent back for
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1447
consideration of the Tribunal. Such further procedure before the Tribunal will have to be carried forward with the
materials already on record and also by affording an opportunity to the persons, who have claims as well as the
management to place their rival contentions and further material before the Tribunal. The learned counsel appearing
for the workmen are justified in pointing out that enormous delay has already happened and further action by the
Tribunal in this line may be expedited.
9. In the result, these writ appeals are ordered;
(1) affirming the impugned common order of the learned single Judge to the extent it sets aside the common award
dated 17.05.2005 of the Industrial Tribuna!;
(2) the further findings and directions issued through the impugned common order are vacated:
(3) all the matters shall be remitted to the Industrial Tribunal with a direction to dispose of them within an outer limit
of five (5) months from the date of receipt of a copy of this order; and,
(4) the parties to make appearance before the Tribunal on the given date.”
Thus, in view of the above direction of Hon‘ble High Court of Andhra Pradesh in W.A.No.1268 of 2014 and batch
cases. This Tribunal has taken up the matter of industrial dispute for hearing and deciding it afresh in view of the
aforesaid guidelines laid down by the Hon‘ble High Court in Writ Appeal No.1268/2014 vide judgement
dated 20.3.019.
3.
The factual matrix of instant industrial dispute as narrated by the Workman in her claim statement are that,
the Workman joined in the service of the management institution as Messenger from 1987 to 1997, and has rendered
unblemished service spreading over a period of about 10 years. The Respondent has terminated services of
Workman by oral orders with effect from 1.4.1997. Further, it is submitted that the management of Respondent
bank decided to give a chance to temporarily employed personnel ―found suitable for permanent appointment‖ by
wait- listing them by offering permanent appointment or waitlisting till such opportunity arises.
4.
That on 17.11.1987 a settlement was reached between All India State Bank of India Staff Federation and the
Management of State Bank of India - settlement one, under this settlement three categories of employees were
listed. That is, A) those who have completed 240 days in 12 months or less after 1.7.1975. B) those who have
completed 270 days in any continuous block of 36 calendar months after 1.7.1975. C) (i) those who have completed
minimum of 30 days aggregate temporary service in any calendar year after 1.7.1975 or (ii) 70 days aggregate
temporary service in continuous block of 36 months after 1.7.1975.
5.
The persons who satisfied in all the above 4 categories were to be interviewed by a selection committee and
the said selection committee would determine the suitability of the said candidate for permanent appointment.
Therefore, the bank prescribed certain qualifications and from among the candidates satisfying the qualifications the
suitable candidates were enlisted by a selection committee. The Clause 7 of the said agreement provided with the
selected candidate would be wait listed in order of their respective categorization and the selected panel would be
valid upto December, 1991. Clause 10 of the settlement specifically provided that henceforth. ―there will be no
temporary appointments in the subordinate cadre‖, except on a restrictive basis in the specified category, ―from
amongst empanelled candidates as per existing guidelines of the bank‖. The Workman further submits that
consequent upon the said agreement and the draft, a notification was issued in the newspapers. The last date for
responding to the advertisement was 30.8.1988. A written examination followed by viva-voce in May, 1989 was
held. A selected panel was prepared, as per Clause 7 of the agreement, ie. Settlement No.1, the selected panel was to
be valid upto December, 1991, the Workman submits that circular was issued on 26.4.91 by the said letter it is
mentioned that the terms of the agreement dated 17.11.87 was modified vide second agreement dated 16.7.88 was
entered into between the parties. In terms of the said agreement a chance was to be given, ―to all eligible temporary
employees for permanent appointments. The appointments were against the vacancies likely to arise during the
years 1995-96, circular made it clear that in view of the enormity of the problem an extension of the currency of the
panel, eligible temporary employees who have been empanelled could not appear in the earlier interviews and have
been pursuing their cases thereafter, ―will be given another chance to appear for interview‖.
6.
Workman submits that there were total five settlements. The settlement dated 17.11.87 is the 1st
settlement (Ex M1), settlement dated 16.7.88 is 2nd settlement (Ex M2), settlement dated 27.10.88 is the 3rd
settlement (Ex M3), then settlement dated 9.1.91 is 4th settlement and settlement dated 30.7.96 is 5th settlement
(Ex M6). In between there is minutes of conciliation proceedings dated 9.6.95 marked as Ex M5. That due to all
these settlements which were extended by subsequent settlements thereby created reasonable expectations in the
list of the selected candidates arose with that it‘s a question of time their appointments or services would be
regularized in the services of the bank. The Workman was working with the bank on temporary basis was under the
bonafide hope that sooner his services will be regularized with the bank. He is thereby closed all his options
elsewhere. It is needless to point out that employing person to whom hope of employment in substantial terms was
made is a facet of Article 21 of the Constitution of India.
1448
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
7.
Further Workman submits that the Government of India issued Circular No. F-3/3/104/87-IR, dated
16.8.1990. Under said circular the chief Executives of all public sector banks including the Management herein were
specifically instructed that until the problem of existing temporary employees is fully resolved, no bank is permitted to
make any permanent appointments. That some of the persons similarly situated like this Workman aggrieved by the
inaction on the part of the management of the bank is not regularizing their services from out of the selected panel
and not clearly focusing the vacancy position, filed W.P. No. 4194/97 before Hon‘ble High court of A.P.. It is
specifically averred in the said writ petition that the Management of the bank had failed to implement the settlement
and that it violates the various fundamental rights guaranteed under the constitution of India. The Hon‘ble High
court of A.P .. by order dated 5.3.97 directed the bank to implement the settlement as amended from time to time. It
also directed the bank to carry out the terms of settlement before the expiry of March, 1997. The Hon‘ble High
Court also recorded finding that the Bank cannot escape its liability of enforcement of the Settlement. In view of the
directions given by the High Court all candidates whose names appeared in the select panels prepared on the basis of
the agreement entered into on 17.11.87 under which the panel was valid upto December, 1991, and on the basis of a
settlement dated 27.10.1988 whereby the panels were made alive upto 31.3.1997 under which the panel was valid upto
December, 1999. The other agreement dated 16.7.1988 under which the panel was valid upto 1992 and on the basis
of the settlement dated 27.10.1998 whereby the panels were made alive upto 31.3.1997 were under the bonafide
impression that their cases will be considered for regularization and were living on the basis of the said reasonable
expectation. Unfortunately, contrary to the aforesaid directions given by the High Court and contrary to the
settlements entered into between the parties, the bank issued proceedings dated 25.3.1997, dated 27.3.1997 and
31.3.1997 instructing the various authorities of the Management not to continue the temporary employees those who
are in services of the bank from 1.4.97. The said order was followed by the Management. Aggrieved by the said
action the Workman herein and similarly situated candidates have filed a writ petition before the Hon'ble High Court
and by way of Writ Petition No.9206/97 seeking a declaration that the proceedings issued by the Deputy General
Manager and the Assistant General Manager (Respondents 3,4 and 5 therein) on 25.3.97, 27.3.97 and 31.3.97 as
illegal and also non-continuance of the Workmen therein in service by absorbing them in the services of the bank as
violative of Section 2(p) and 18(1) read with Rule 58 of Central Rules and sought for specific direction to the bank to
absorb them in service.
8.
Further, Workman submits that in the counter affidavit filed in Writ Petition No.9206/97, the bank has
submitted that it has about 805 branches in Andhra Pradesh alone. It has stated that due to exigencies of
circumstances and on account of the urgent need in its banks, it employed temporary employees in subordinate cadre.
It is pertinent to mention that it does not state the urgent or need or the nature of temporary employees that it had
engaged. Enquiry into the same would reveal that the stand taken by the bank either on the ground of urgent need or of
temporary employees is a façade to perpetuate unfair labour practice. It is designed to on the one hand, keep the
employed in the erroneous zone of hope and on the other to ensure that benefits that a model employer will extend
under various statutes to its employees is not required to be borne out by the bank. A reading of the counter affidavit
would show that the bank would opines that being just fair and reasonable are which obviously is reprehensible and is
a facet of unfair labour practice.
9.
The Workman submits that the bank had referred in its counter affidavit to three settlements dated 17.11.87,
16.7.88 and 27.10.88. The bank in the guise of extending the benefits of the circular of Government dated 16.8.90
stated in its counter affidavit that as follows:
"Government of India, vide its letter dated 16.8.1990, issued guidelines to all the public sector banks with regard to
recruitment and absorption of temporary employees in public sector banks. The said guidelines were issued to
implement on the lines of the approach paper on the issue provided by a committee constituted in this regard. The
Government of India guidelines made it clear that all the public sector banks may follow the provisions laid down in
the approach paper.
The approach paper specified that the cases of temporary employees who had put in not less than 240 days of
temporary service in 12 consecutive Months and who are entitled to benefit of Section 25-F may be decided by
entering into a settlement with the representative union. In respect of temporary employees who had put in less than
240 days of service in 12 consecutive months or less, a settlement could be avoided and however if the Management
so desired, they could enter into a conciliation settlement with the representative union. Para 6(h), it is mentioned
that only those temporary employees who had put in temporary service of 90 or more days after 1.1 1982 would be
eligible for considering under the scheme. Although the Government guidelines envisaged for a settlement in respect
of employees who had put in temporary service of 90 or more days, the bank by way of further concession entered
into settlements Even in respect of those who had put in less than 90 days. As such, it could be Seen that the
settlements are more beneficial to the temporary employees concerned. The approach paper also specify at para 6(c)
that the banks would provide one time opportunity to all the temporary employees and for that purpose temporary
employees worked in the bank on or after 1.1.1982 could be considered for re-employment in terms of the scheme.
The Respondents have gone further wherein even persons working after 1975 were also considered.
As could be seen from the above, there was a genuine effort on the part of the Respondent bank to provide
permanent employment for as many as possible subject to availability of the vacancies.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1449
It is further submitted that at para 6(k) of the approach paper, it was made clear that this would be one time
exercise in full and final settlement of all the aims and disputes for the past period in respect of temporary workmen
covered by the settlement. This would mean that the Government of India guidelines would cover only those persons
who were temporarily employed for the period specified therein and not otherwise. As such, it is submitted that the
Respondents have not only followed the Government of India guidelines but in fact covered cases of the employees
who had worked for less than 90 days. As such, question of violation does not arise and in any case those were only
broad guidelines and not directives".
10.
The Workman submits that the bank also referred a subsequent settlement dated 9.1.1991 wherein there is a
clause to the effect- that the panel of temporary employees and the panel of daily wage employees will be operated to
a particular period. Therefore, their cases will not be considered. The Management herein relying upon this settlement
in their impugned action. It is submitted that even the settlement dated 9.1.1991 will not empower the management
to terminate the services of the temporary employees who are working in the bank services like the Workman herein
as it does not specify the termination of the employees. In fact there are so many vacancies wherein the Management
has engaged several new persons as temporary messengers/ attendars/ sweepers etc., even after the judgment of
Hon‘ble High Court without considering the cases of the similarly situated candidates like the Workman herein. It is
submitted inspite of engaging fresh candidates as is now being done by the Management they would have continued
the similarly situated candidates like the Workman herein in the services of the bank and consider their cases for
absorption in view of the circulars issued by Central Government as well as the directions of this Hon'ble Court in
Writ Petition No.4194/97, dated 5.3.97. In view of the circulars issued by the Central Government, the Management
should not have relied upon the settlement dated 9.1.1991. Hence, the impugned action of the Management is illegal,
unjust, violative of fundamental rights such as Articles 14,16 and 21 of the Constitution of India.
11.
The Workman submits that in W.P. No.4194/97 filed by the union of temporary employees where in they
have complained about the non- implementation of the settlements arrived between the parties and sought for
absorption. Such employees in the bank services on permanent basis before the date fixed for carrying out the terms
of settlement, the Court held that the members of the union had been empanelled in the list, they were not regularized
and the time was going to run out to the near future and the Respondent bank and its officers cannot escape from the
liability of enforcing the settlement which has been reached and therefore directed that the bank and the officers shall
implement the settlement dated 17.11.87 as amended from time to time before the expiry of 31.3.97.
12.
Further, it is submitted that in the clause of Settlement it is specifically mentioned that the workmen to be
absorbed/appointed in the bank prohibiting any temporary appointments subsequent to the date of settlement even the
authorities want to make temporary appointments that should be made only from among the empanelled can be
appointed either for temporary vacancy or permanent vacancy except from among the empanelled candidates like the
Workman and that should be continued till they are absorbed. The management committed unfair labour practices
and terminated the services of the candidates with effect from 1.4.1997 which is arbitrary, discriminatory, contrary to
their own guidelines and violative of the constitutional provisions which are guaranteed in Chapter-III of the
Constitution of India.
13.
The Workman submits that it is strange as to how the panels were allowed to lapse by a so-called
Memorandum of Understanding dated 25.2.1997, that the action of terminating such employees like the
Workman by virtue of an impugned oral proceedings without implementing the settlement would be illegal and unfair
labour practice which cannot be allowed to be perpetuated. That the discontinuance of the Workman after 31.3.97
who had served in the bank in any capacity amounts to retrenchment. It could not have been done without any notice
and it violates Sec.25FF of the Industrial Disputes Act, 1947 and the said action is violative of principles of natural
justice guaranteed under Chapter III of the Constitution of India. This amounts to retrenchment without one month's
notice and taken in view of such notice. Thus, the main proceedings issued by the Respondent is without jurisdiction
and is arbitrary, illegal and therefore liable to be quashed. That the alleged Memorandum of Understanding dated
27.2.97, Ex.M5 does not own any legal entity, as the said Memorandum of Understanding is not published anywhere
to brought to the notice of the Workman whose rights are being affected. It is submitted that Management did not
adhere to the procedure envisaged by the Central Government in its' instructions dated 16.8.90 in the year 1995. The
same was not followed in the year 1997 despite there being vacancies.
The management has followed the
procedure of calling candidates through Employment exchange instead of giving chance to the empanelled candidates
like the Workman here. It is pertinent to mention here that the Respondent Management sent letters to the all
similarly situated candidates like the Workman in the month of June, 1997, subsequent to the passing of impugned
termination orders. After knowing the facts that the candidates are litigating, the Management refused to engage these
candidates. It is once again reiterated that the panels are meant for absorption but not for termination. It was the duty
of the Management to engage the empanelled candidates like the Workman even in temporary vacancies till they are
absorbed permanently in regular vacancies. Hence, the action of the Respondent Management terminating the
services of the Workman by oral order dated 31.3.97 is unjust, illegal, violative of principles of natural justice and
hence, the Management be directed to reinstate and absorb the Workman and to grant all incidental and consequential
benefits.
1450
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
14.
Per contra, Respondent had filed counter and made a contentions that the reference is not tenable and
contrary to the provisions of I.D. Act, 1947. Respondent submitted that to tide over severe sub-ordinate staff
constraints which arose out of leave vacancies, exigencies, etc., and also owning to the restrictions imposed by the
Government of India/Reserve Bank of India on intake of staff, the Respondent bank used to engage sub-ordinate staff
like messengers, sweepers, sweeper cum water boys, etc., depending on the availability of work on purely temporary
basis for the smooth and uninterrupted functioning of the branches. It is submitted that the All India State Bank of
India Staff Federation which represents majority of the employees in the State Bank of India comprising about 98% of
the work force as its' members espoused the cause of temporary employees who have put in less than 240 days of
temporary service in 12 calendar months in the bank and who were ineligible for any protection under Industrial
Disputes Act, 1947 to give a chance for being considered for absorption and permanent appointments.
15.
Discussions were held and on 17.11.1987 an agreement was signed between the federation and the
Management bank under Sec. 2(p) read with Sec 18(1) of the Industrial Disputes Act, 1947 read with Rule 58 of
Industrial Disputes (Central) Rules 1957. A copy of the said settlement dated 17.11.87 which may be herein after
referred as first settlement is filed and 4 categories were made as it has already been mentioned in the claim statement
above, it need not be repeated here. In the first settlement, it was agreed that the temporary employees as categorized
would be given a chance for being considered for permanent appointment in the bank's service against the vacancies
which are likely to arise during the period 1987 to 1991. On 16.7.88 second settlement was arrived between the
Federation and the Bank whereby it was agreed to substitute the period of consideration of vacancies as 1987 to 1992
in place of 1987 to 1991 as contemplated under the first settlement dated 17.11.1987. This is the second settlement.
A 3rd settlement was entered into on 27.10.88 and it was agreed that the bank's service against the vacancies likely to
arise from 1988 to 1992 was to be considered. Government of India vide its letter dated 16.8.90 issued guidelines to
all the public sector banks with regard to recruitment and absorption of temporary employees in public sector banks.
The said guidelines were issued to implement on the lines of approach paper on the issue provided by a committee
constituted in this regard. Government of India guidelines made it clear that all the public sector banks may follow
the provisions laid down in the approach paper. The approach paper specified that the cases of temporary service in
12 consecutive months and who are entitled to benefit of Sec.25F of the Industrial Disputes Act, 1947 may be decided
by entering into a settlement with the representative union. In respect of temporary employees who had put in less
than 240 days of service in 12 consecutive months or less, a settlement could be avoided and however if the
Management so desired they could enter into a conciliation settlement with the representative union. In para. 6(h) it
is mentioned that only those temporary employees who had put in temporary service of 90 days or more days after
1.1.82 would be eligible for considering under the scheme. Although the Government guidelines envisaged for a
settlement in respect of employees who had put in temporary service of 90 days or more days, the bank by way of a
further concession entered into settlements. Even in respect of those who had put in less than 90 days and also the
bank went a step further and said those persons who are working after 1975 were also considered. Hence, there was a
genuine effort on the part of the Respondent bank to provide as many as possible jobs subject to the availability of the
vacancies. However, para 6 (k) of the approach paper made it clear that it is a one time, exercise in full and final,
settlement of all the claims and disputes for the past period, in respect of temporary workmen covered by the
settlement. Another settlement was entered on 9.1.91 herein after referred as 4th settlement and the time limit was
extended upto 1994 and separate panel was prepared for temporary employees, casual/daily wagers. It was agreed that
while vacancies arising between 1988 to 1994 in respect of temporary employees and in respect of casual/daily
wagers, they can be considered for the vacancies arising between 1995-96 only.
16.
It is submitted that the administrative set up of the Hyderabad Local Head Office comprises of four Zonal
Offices (Zones) at Hyderabad, Vijayawada, Visakhapatnam and Tirupathi covering all the Districts of Andhra
Pradesh. In terms of the settlement the Management after following the procedure laid down therein prepared the
panels of qualified candidates of temporary employees denoted as 1989 panel and also panel of casual/daily wagers
denoted as 1992 panel for giving a chance for being considered for permanent absorption. These panels were
prepared zone-wise separately for messengers and non-messengers in the descending order of temporary service put in
by the candidates during the stipulated period i.e., 1.7.1975 to 31.7.1988. That the Federation approached the
Regional Labour Commissioner(C) for implementation of bi-partite settlement in respect of absorption of temporary
employees. The Regional Labour Commissioner(C) conducted conciliation proceedings and an agreement was
arrived between the Federation and the bank. It was agreed that it would be kept alive upto March, 1997. A copy of
the conciliation proceedings dated 9.2.1995 signed by the parties is filed as material paper. A settlement was arrived
at and an agreement was signed between the Federation and the Management bank on 30.7.1996 under Sec.2 (p) read
with Sec.18(1) of the Industrial Disputes (Central) Rules, 1957, which is hereinafter called as 5th settlement. That on
27.2.1997 a Memorandum of understanding was also signed by the federation‘s affiliate and the bank Management
recording the fact that the exercise of identifying the messengerial vacancies as on 31.12.1994 has since been
completed by Central Office and thereby 403 messengerial vacancies were sanctioned . It was agreed that these
vacancies may be filled from 1989 panel of temporary employees after effecting conversion from full time non-
messengerial staff in the usual manner and the agreement was reached accordingly. It was agreed between the
Federation's affiliate and the Management bank that in terms of the settlement dated 30.7.1996 both the panels of
temporary employees and daily wagers/casual employees would lapse on 31.3.1997. That as agreed upon vacancies
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1451
were filled from the panels. The Workman who has put in an aggregate temporary service of less than 240 days in a
continuous block of 12 months period during 1.7.1975 to 31.7.1988 has no right to seek a direction to consider his
candidature for absorption in the Management bank under any rule/law except under the settlement entered into
thereon.
17.
Respondent contended that, in fact, the case of the Workman can be considered under all the five settlements
having got his case considered under provisions of these settlements. All the other provisions and terms of the
settlements are also binding on him/her. The Management bank has not violated any of the provisions of the terms of
the said settlement. That the very preparation and maintenance of panel is in compliance of the terms agreed under
these settlements. These settlements were time bound and they ceased to exist on 31.3.1997. That the bank has never
promised that all the candidates in the panel will be absorbed. In the advertisement itself it was made clear that
candidates will be considered for absorption in the vacancies that may arise upto 1992. Keeping alive the panels after
31.3.1997 is contrary to the settlements arrived between the State Bank of India Staff Federation and the Management
bank. That the settlements are binding on the parties. The Workman is also bound under the terms of the said
settlement. The settlement does not suffer from any ambiguity as their language is very clear. The right under the
settlements is to give them a chance to be considered for future appointment in the bank's services against the
vacancies likely to arise. The settlements were effected to balance the expectations of the temporary employees to be
absorbed in permanent service as against the constitutional rights for all eligible persons to be considered for
employment every time a vacancy arises. That the alleged dispute including the demand for reinstatement has to be
decided in this context. It is submitted that the period of panel list got expired on 31.3.97 and it is an integral term of
the settlement and cannot be modified in any proceedings under the law. These temporary employees who
unfortunately could not be accommodated for want of vacancies have no further rights to be considered for
regularization. That the Hon'ble High Court in WP No.12964/94, held as follows, "It is needless to state that the
settlement arrived at between the All India State Bank of India Staff Federation which, is the majority union and the
bank Management is binding on the Workmen also. It is not at all the case of the Workman that any of the terms of
the settlement has been violated by the bank's Management. If the Workman had worked in the bank on part-time
basis before 31.5.94, that itself would not vest in him a right to claim that his services should be regularized on
permanent basis against a full time cadre post. The claim put forth by the Workman in the present petition is therefore
misconceived and not tenable. However, it is open to the Workman to claim any right which flows from the
settlement between the union and the bank Management. As already pointed out that it is not the grievance of the
Workman that some right which has flown from the settlement in favour of the Workman has been denied by the bank
Management. Therefore, I do not find any ground, let alone substantial ground, to grant the kind of relief sought for
by the Workman. Writ Petition fails and is accordingly dismissed. No costs."
18.
Further, it is contended that if the panels were not lapsed at the end of designated period and allowed to be
continued it would result in making the contracts of temporary employment indirectly permanent through back door
entry, which would not only be contrary to the settlements but also to Articles 14 and 16 of Constitution of India and
deprive the chances of original claimants who would Come through proper recruitment procedure. As their rights
have been crystallized by operation of the settlements. Hence, there is no question of any Legitimate expectation
being violated.
19.
Similarly placed ex-employees filed WP No.9206/1995 and the batch before the Hon'ble High Court of A.P.
and the learned Single Judge allowed the Writ Petitions. Aggrieved by the same WA No.86/98 and the batch was
filed and the Division Bench set aside the order of the Single Judge. Thereafter the ex-temporary employees filed
Special Leave Petition No.11886-11888 of 1998 before the Hon'ble Supreme Court of India. The Hon'ble Supreme
Court of India also dismissed the SLP. Therefore, reference to the Judgement of the Learned Single Judge in WP
No.9206/97 is of no consequences as the same has already been set aside. The observations made in the Judgements
cannot be relied upon for any purpose what so ever. The question of operation of Sec.25F would not come into play.
Further the issue is covered by various Judgements of Hon'ble Supreme Court of India and various Hon'ble High
Courts. Hence, the reference may be ordered that the Workman is not entitled for any relief.
20.
In order to fortify his claim Workman has examined himself as WW1 and also filed documents in evidence
which has been exhibited as Ex.W1 to W6. Further, the Workman has filed photocopies of documents in support of
his claim which are discussed as under:-
Ex.W1 is the notification. Further Ex.W2 is the interview call letter. Ex.W3 and Ex.W4 are service certificates.
Ex.W5 is the circular. Ex.W6 is the another circular.
21.
On the other hand, Respondent has examined witness MW1 Sri Rupakula Prakash Babu and this witness has
exhibited 12 documents, marked as Ex.M1 to M12. The details of these documents are as follows:-
Ex.M.1 is the Settlement dated 17.11.1987. Ex.M2 is the Settlement dated 16.7.1988. Ex.M3 is the Settlement
dated 27.10.1988. Ex.M4 is the Settlement dated 9.1.1991. Ex.M5 is the Minutes of the conciliation proceedings
dated 9.6.1995. Ex.M6 is the Settlement dated 30.7.1996. Ex.M7 is the Memorandum of Understanding dt.
27.2.1997. Ex.M8 is the Particulars of 1989 Messengerial Panel. Ex.M9 is the Particulars of 1989 Non-
Messengerial Panel. Ex.M10 is the Particulars of 1992 General Attendant Panel. Ex.M11 is the Judgment of
1452
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[PART II—SEC. 3(ii)]
Hon‘ble High Court of A.P. in Writ Appeal No.86/98 dt.1.5.1998. Ex.M12 is the Judgment of Hon‘ble Supreme
Court of India in SLP No. 11886-11888 of 1998 dt.10.8.1998.
22.
Apart from afore mentioned documents, Learned Counsel for Workman has also filed a long list of various
judgements of Hon‘ble Supreme Court as well as Hon‘ble High Court, which we will discuss at appropriate place in
this Award.
23.
Heard the argument of Learned Counsel for Workman as well as for Respondent.
24.
On the basis of rival pleadings of both the parties and submissions made by the Learned Counsel for both
the parties, following points arise for determination in the industrial dispute :-
I.
Whether the 1st settlement dated 17.11.1987, 2nd settlement dated 16.7.1988, 3rd settlement dated
27.10.1988, 4th settlement dated 9.1.1991 and 5th settlement dated 30.7.1996 entered into between
State Bank of India and All India State Bank of India Staff Federation and also Memorandum of
Understanding are binding upon both the parties?
II.
Whether the action of State Bank of India, ADB Anantapur branch in terminating the services of
Workman Sri P. Narayanaswamy, a Messenger with effect from 31.3.1997 is justified?
III.
Whether the Workman is entitled for absorption on permanent post in the Branch of Respondent
management as per averments made by him in the claim statement?
IV.
To what relief if any the Workman is entitled for?
Findings:-
25.
Point No.I:-
Undisputedly settlements dated 17.11.1987, 16.7.1988, 27.10.1988, 9.1.1991 and
30.7.1996, minutes of conciliation proceedings and memorandum of understanding dated 27.2.1997 were executed
between the State Bank of India and All India State Bank of India Staff Federation under section 2(p) and 18 (1) of
I.D. Act, 1947 read with Rule 58 of Industrial Disputes (Central Rules), 1957.
Section 2(p) of the Industrial Disputes Act, 1947 as follows:-
(p) "settlement" means a settlement arrived at in the course of conciliation proceeding and includes a written
agreement between the employer and workmen arrived at otherwise than in the course of conciliation proceeding
where such agreement has been signed by the parties thereto in such manner as may be prescribed and a copy thereof
has been sent to an officer authorised in this behalf by the appropriate Government and the conciliation officer;
Section 18(1) provides as follows:-
18. Persons on whom settlements and awards are binding.
- [(1) A settlement arrived at by agreement between the employer and Workman otherwise than in the course of
conciliation proceeding shall be binding on the parties to the agreement.
Therefore, in view of the provision contained u/s.18 (1) I.D. Act, 1947, terms and conditions enumerated in the
aforesaid settlements are binding on the parties to the agreement. The Learned Counsel for Workman has argued that
the Workman after going through the selection procedure has successfully been listed in the panel for appointment on
the permanent basis in the Respondent management and the empanelled list has to be valid till last person in the
empanelled list is appointed on permanent basis. But the impugned order dated 25.3.97, 27.3.97 and 31.3.97, has been
issued by Respondent management thereby the services of the Workman has been terminated and the said order is not
in consonance of the terms of the agreement entered into between the parties. Further, Workman submits that the
Respondent in the 5th settlement has mentioned the date i.e., 31.3.1997 for lapse of empanel list which is illegal and
that is not binding upon the Workman. The condition of lapse of empanelment list on 31.3.97 incorporated in the
aforesaid 5th settlement, is arbitrary and illegal.
26.
The perusal of the impugned order dated 25.3.1997 goes to reveal that the Chief/Branch Manager, SBI Zonal
Office has issued the letter to all the branches with regard to the subject not to make any temporary appointments in
the Branch in messengerial category from 1.4.1997. The extract of the said letter is given below:-
―We have been advised by the Deputy General Manager, Zonal Office, Hyderabad that as both the panels of
temporary employees of 1989 and daily wagers/casual labours of 1992 will lapse by 31.3.1997, it has been decided
by Central Office not to make any temporary appointments in messengerial category from 1.4.1997.‖
Thus, from the contents of the aforesaid letter, it manifest that Head Office of State Bank of India vide letter dated
25.3.1997 has issued direction to all its branches not to make any temporary appointments in messengerial category
from 1.4.1997 due to reason of lapse of both panels i.e., 1989 & 1992 on 31.3.1997 as per terms of settlements
entered into by both parties. Further, the contents of the subsequent letter dated 27.3.1997 issued by Respondent
Management is also direction to Branch Manager, State Bank of India not to make any temporary messengerial
category appointment with effect from 1.4.1997 and it has also been communicated to all concerned that the panels of
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1453
temporary employees and daily wagers maintained by Zonal offices stand lapsed from 31.1.1997. Further, office
order dated 31.3.1997 has been issued by Respondent management that goes to reveal that the said office order has
been issued to this effect that, ―Consequent on absorption of temporary employees in permanent cadre, it has been
decided by the competent authority that no one onwards, no further daily labour or temporary
employees/appointments should be resorted to/engaged/employed.‖ Therefore, it reflects from the contents of the
aforesaid orders that the temporary appointment in messengerial category and daily labour has been stopped by the
Respondent management with effect from 1.4.1997 because of the lapsed of panel of temporary workers and daily
wagers by 31.3.1997. The agreement for lapse of both the panels on 31.3.1997 is contained in the 5th settlement
which has been arrived at between the parties on dated 30.7.1996 with the consensus of both the parties. Therefore,
Workman can not challenge the terms and conditions contained in settlement dated 30.7.1996 regarding lapse of
panel on 31.3.1997 as agreed between State Bank of India and State Bank of India Staff Federation. As per provision
contained u/s.18(1) of I.D. Act, 1947 the said Agreement dated 30.7.1996 is binding on both the parties.
In the case of Allied Sales Corporation Secunderabad vs.The Authority Under Andhra Pradesh..... 1990 II LLJ
510 AP para 414, Hon‘ble Court have held:-
―4. There was a settlement between the Management and the workmen under Section 18(1) of the Industrial Disputes
Act on 25th April 1983 under which the age of superannuation of the workmen was fixed at 55 years. The settlement
was to be in force upto 30th June 1986 and the next settlement, incorporating practically the same terms, was again
entered into on 4th February 1987 under Section 18(1) of the Industrial Disputes Act. There is no dispute that these
settlements are under Section 18(1).
14. Now the Authority constituted under Section 41(1) of the Act is an authority with very limited jurisdiction. It can
only decide in the first appeal whether a termination by the management is valid or not and is within the parameters
of Section 40 of the Act. The said Authority, in our view, has absolutely no jurisdiction to decide whether a settlement
entered into under Section 18(1) of the Industrial Disputes Act between the representatives of the Workmen and of the
Management, is vitiated by undue influence or misrepresentation or coercion on the part of the Management. The
Authority, namely, the Assistant Commissioner of Labour, was never intended by the A.P. Legislature to have
jurisdiction to go into the question of the validity of a settlement arrived at under Section 18 of the Industrial Disputes
Act by an Industrial Court. That Parliament has, in fact, constituted Industrial Courts under the Industrial Disputes
Act, with extensive powers cannot be disputed. What we mean to say is that the Authority under Section 41(1) of the
A.P. Act has no jurisdiction what-so-ever either to question or to decide about the validity of any such settlements. If
parties to a settlement have a grievance about the validity of a settlement, it is for them to agitate the matter before the
appropriate forum and they cannot ask an Authority constituted under Section 41(1) of the A.P. Shops and
Establishments Act, 1966 with limited jurisdiction, to go into any such question and, that too, incidentally while
deciding whether retirement as per the contract of employment, is legal or not.”
It is not the case of Workman that aforesaid settlements are vitiated by undue influence or misrepresentation or
coercion on the part of the management. If the Workman feeling aggrieved by any terms of settlement/ agreement on
the aforementioned grounds then he can challenge of settlement before a competent authority under the Act, 1947.
But here in the instant matter it is not a case of Workman that aforementioned settlement has been entered into
between the parties on the ground of undue influence or misrepresentation or coercion. Therefore, Workman is barred
to raise any objection in respect of fixing the date of lapse of both panels on 31.3.1997 as agreed between both the
parties and Workman can not challenge any terms of said Agreement.
Further in the case of Herbertsons Limited Vs. Workmen of Herbertsons Limited and Ors, 1977 AIR 322,
Hon‘ble Supreme Court have held:-
The Tribunal thought that the question of the quantum of membership of the 2nd Respondent did not call for a finding
at all in view of 1his Court's order. As observed above that was not a correct assumption. On the other hand, we feel
that this view of the Tribunal has led it to approach the matter in an entirely erroneous manner. The Tribunal is,
rightly enough, conscious that under section 18 (1) of the Industrial Disputes Act the settlement was binding on the
company and the members of the 3rd Respondent union. Even so, the Tribunal devoted nearly half of its order in
scanning the evidence given by the company and Respondent No. 3 to find out whether the terms of the settlement had
been explained by the President of the union to the workmen or not and whether the workers voluntarily accepted the
settlement knowing all the "consequences". This to our mind is again an entirely wrong approach.
“When a recognised union negotiates with an employer the workers as individuals do not come into the picture. It is
not necessary that each individual worker should know the implications of the settlement since a recognised union,
which is expected to protect the legitimate interests of labour, enters into a settlement in the best interests of labour.
This would be the normal rule. We cannot altogether rule out exceptional cases where there may be allegations of
mala fides, fraud or even corruption or other induce- ments. Nothing of that kind has been suggested against the
President of the 3rd Respondent in this case. That being the position, prima facie, this is a settlement in the course of
collective bargaining and, therefore, is entitled to due weight and consideration.
It is not possible to scan the settlement in bits and pieces and hold some parts good and acceptable and others bad.
1454
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Unless it can be demonstrated that the objectionable portion is such that it completely outweighs all the other
advantages gained the Court will be slow to hold a settle- ment as unfair and unjust. The settlement has to be
accepted or rejected as a whole and we are unable to reject it as a whole as unfair or unjust. Even before this Court
the 3rd Respondent representing admittedly the large majority of the workmen has stood by this settlement and that is
a strong factor which it is difficult to ignore. As stated elsewhere in the judgment, we cannot also be oblivious of the
fact that all workmen of the company have accepted the settlement. Besides, the period of settlement has since expired
and we are informed that the employer and the 3rd Respondent are negotiating another settlement with further
improvements. These factors, apart from what has been stated above, and the need for industrial peace and harmony
when a union backed by a large majority of workmen has accepted a settlement in the course of collective bargaining
have impelled us not to interfere with this settlement. That being the position, we unhold the settlement as fair and just
and order that the award of the Tribunal shall be substituted by the settlement dated October 18, 1973. The said
settlement shall be the substituted award. The appeal is disposed of accordingly. There will be no order as to costs.”
Therefore, in view of the law laid down by the Hon‘ble Apex Court as discussed above, the contention of the
Workman that the date fixed for lapse of empanelled list on 31.3.1997 for appointment to the permanent post vide 5th
Settlement dated 30.7.1996 is arbitrary, illegal is not untenable. The recognized union of Workmen has negotiated
with the Respondent Bank Management representing large number of Workmen and the Workman as individual do
not come into picture. Workman in the instant case has work as temporary Workmen in the Respondent Branch and
in response of Notification he had applied for inclusion of his name in the panel and he was selected for inclusion
his name in the panel list to be utilized for absorption of such Workman to permanent post in order of their seniority
in the list. The Settlement dated 30.7.1996 between State Bank of India and All India State Bank of India Staff
Federation under Sec.2(p) and Sec.18(1) of I.D. Act, 1947 has clearly provided as regard non-messengerial position
and it is agreed that all such posts sanctioned fallen vacant upto 31.3.1997 shall be filled before empanel list is
allowed to lapse. Thus, in view of law laid down by the Hon‘ble Apex Court, in the instant case, Agreement dated
30.7.1996 was entered into between both the parties in respect of lapsing of the both the panels on 31.3.1997 and
absorption of the Workmen from panel list was subject to availability of vacancy of post likely to arise upto
31.3.1997, have a binding force on Workman as well as management of State Bank of India in view of provision
contained under section 18 (1) of I.D. Act, 1947.
Thus, Point No.I is answered against the Workman and in favour of the Respondent.
27.
Point No.II:- Firstly, it is submitted on behalf of the Workman that the Respondent has terminated his
services by oral order on 31.3.1997 without issuing any notice or paying any salary or compensation in lieu thereof.
Therefore, the termination order of the Workman from service is in violation of provision contained Under Section 25
F of I.D. Act, 1947. Therefore, the order is liable to be set aside.
28.
On the other hand, Respondent counsel contended that Workman has not worked for 240 days in any
preceding calendar year. Therefore, reference of the industrial dispute is not relevant. In this context, the Workman
has examined himself as WW1 who has reiterated that Workman has been terminated from service by Respondent on
31.3.1997 without notice of salary or compensation in lieu thereof. Before examining the claim of the Workman on
merit it would be apposite to reproduce the provision contained under section 25 F:-
Section 25F provides:-
Conditions precedent to retrenchment of workmen.- No Workman employed in any industry who has been in
continuous service for not less than one year under an employer shall be retrenched by that employer until—
(a) the Workman has been given one month' s notice in writing indicating the reasons for retrenchment and the period
of notice has expired, or the Workman has been paid in lieu of such notice, wages for the period of the notice:
(b) the Workman has been paid, at the time of retrenchment, compensation which shall be equivalent to fifteen days'
average pay for every completed year of continuous service] or any part thereof in excess of six months; and
(c) notice in the prescribed manner is served on the appropriate Government or such authority as may be specified by
the appropriate Government by notification in the Official Gazette].
Compensation to workmen in case of transfer of undertakings.
Section 25B defines the term continuous service which provides
Definition of continuous service.- For the purposes of this Chapter,--
(1) a Workman shall be said to be in continuous service for a period if he is, for that period, in uninterrupted service,
including service which may be interrupted on account of sickness or authorized leave or an accident or a strike
which is not illegal, or a lock- out or a cessation of work which is not due to any fault on the part of the Workman;
(2) where a Workman is not in continuous service within the meaning of clause (1) for a period of one year or six
months, he shall be deemed to be in continuous service under an employer--
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1455
(a) for a period of one year, if the Workman, during a period of twelve calendar months preceding the date with
reference to which calculation is to be made, has actually worked under the employer for not less than--
(i) one hundred and ninety days in the case of a Workman employed below ground in a mine; and
(ii) two hundred and forty days, in any other case;
In order to prove the fact of 240 days of service within 12 months of a calendar year just preceding from the date of
termination, the initial burden of proof lies upon the Workman and the Workman has to prove this factum by
adducing his oral as well as documentary evidence in support of his claim.
Further, how to calculate 240 days of service by the Workman in a calendar year. In this context the reference of
decisions of Hon‘ble Supreme Court is relevant and the same are discussed below:-
In Rajasthan State Ganganagar S. Mills Ltd. v. State of Rajasthan and Anr. (2004) Apex Court held:
"It was the case of the Workman that he had worked for more than 240 days in the year concerned. This claim was
denied by the appellant. It was for the claimant to lead evidence to show that he had worked for 240 days in the year
preceding the date of his termination. He has filed an affidavit. It is statement which is in his favor and that cannot be
regarded as sufficient evidence for any Court or Tribunal to come to the conclusion that in fact the claimant had
worked for 240 days in a year These aspects were highlighted in Range Forest Officer v. S.T. Hadimani (2002 (3)
SCC 25. No proof of receipt of salary or wages for 240 days or order or record in that regard was produced. Mere
non-production of the muster roll for a particular period was not sufficient for the Labour Court held that the
Workman had worked for 240 days as claimed."
In Municipal Corporation, Faridabad v. Siri Niwas (2004 (8) SCC 195), held "the burden was on the Workman to
show that he was working for more than 240 days in the preceding one year prior to his alleged retrenchment." In
M.P. Electricity Board v. Hariram (2004 (8) SCC 246) the position was again reiterated in paragraph 11 as follows:
"The above burden having not been discharged and the Labour Court having held so, in our opinion, the Industrial
Court and the High Court erred in basing an order of reinstatement solely on an adverse inference drawn erroneously
..‖
In the case of Manager, RBI, Bangalore vs. S Mani (2005) SCC Page 100, the 3 Judges Bench of the Apex Court
held that "the initial burden of proof was on the Workman to show that he had completed 240 days of service."
Hon'ble Apex Court in the case of Mohan Lal vs Management BEL 1981 SCC page 225 has laid down the
principle that how to count 240 days of service within one year it is held: "Clause (2)(a) provides for a fiction
to treat a Workman in continuous service for a period of one year despite the fact that he has not rendered
uninterrupted service for a period of one year but he has rendered period of 240 days during the period of 12
calendar service for months counting backwards and just preceding the relevant date being the date of retrenchment.
In other words, in order to invoke the fiction enacted in clause (2)(a) it is necessary to determine first the relevant
date, ie the date of termination of service which is complained of as retrenchment. After that date is ascertained. move
backward to a period of 12 months just preceding the date of retrenchment and then ascertain whether within the
period of 12 months, the Workman has rendered service for a period of 240 days. If these three facts are affirmatively
answered in favor of the Workman pursuant to the deeming fiction enacted in clause (2)(a) it will have to be assumed
that the Workman is in continuous service for a period of one year and he will satisfy the eligibility qualification
enacted in Section 25-F"
“14. We have already extracted section 25B since its amendment and the change in language is the legislative
exposition of which note must be taken. In fact, we need not further dilate upon this aspect because in Surendra
Kumar Verma and Ors. v. Central Government Industrial-cum-Labour Court, New Delhi and Anr., Chinnappa
Reddy. J., after noticing the amendment and referring to the decision in Sur Enamel and Stamping Works (P)
Ltd case, held as under:
"These changes brought about by Act 36 of 1964 appear to be clearly designed to provide that a Workman who has
actually worked under the employer for not less than 240 days during a period of twelve months shall be deemed to
have been in continuous service for a period of one year whether or not he has in fact been in such continuous service
for a period of one year. It is enough that he has worked for 240 days in a period of 12 months, it is not necessary that
he should have been in the service of the employer for one whole year."
In a concurring judgment Pathak J. agreed with this interpretation of section 25B(2). Therefore, both on principle and
on precedent it must be held that section 25B(2) comprehends a situation where a Workman is not in employment for
a period of 12 calendar months, but has rendered service for a period of 240 days within the period of 12 calendar
months commencing and counting backwards from the relevant date, i.e. the date of retrenchment. If he has, he would
be deemed to be in continuous service for a period of one year for the purpose of section 25B and
Chapter VA.”
Thus, in view of the law laid down by the Hon‘ble Apex Court as discussed above the initial burden of proof lies
1456
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
upon the Workman to show that he has completed 240 days of the service with the Respondent just preceding from
the date of his termination. Further, in respect of the employment of calculating the 240 days service in view of the
contents of Section 25-F read with Section 25-B of the I.D. Act, 1947.
29.
Now, in view of the provision contained under Section 25 F and law laid down by the Hon‘ble Apex Court,
we have to examine whether the Workman has discharged his initial burden of proof in respect of his claim of 240
days continuous service in a calendar year just preceding from the date of his termination i.e., 31.3.1997.
In this context, WW1 in her cross examination has stated that,
“I was not sponsored by any employment exchange. I did not undergo any regular selection process before my
appointment as a temporary employee.”
“I did not work for 240 days in any year in my entire service in the bank.”
Thus, it is clear from the testimony of WW1 that the Workman had not worked for 240 days continuously in any 12
months of a calendar year just preceding from the date of his termination in the Respondent bank. Therefore,
Workman failed to establish her plea by his oral and documentary evidence that she had worked for 240 days
continuously in calendar year just preceding from the date of his termination i.e., 31.3.1997. Thus, the claim of the
Workman that she has been terminated by oral order without issuing notice or payment in lieu after termination, in
contravention of Section 25 F of Industrial Disputes Act, 1947 is not tenable. However the documents filed by the
Workman in support of her claim, number of days worked with the Respondent goes to reveal that the Workman had
worked intermittently as daily wager depending upon availability of work in branch. Workman did not file any
document of appointment letter or salary slips in support of her claim for appointment as a non-messenger in the
Respondent branch on temporary basis.
30.
Per contra, the Learned Counsel for Respondent has submitted the allegation of Workman that he was
terminated from services is not correct. As the vacancies were filled up on regular basis in order of their respective
seniority the non-engagement of the Workman does not amount to termination. Further, Respondent contended that
no law provide that even though there is no work temporary employee should be continued in the bank work as the
very engagement of Workman was subject to availability of work. Therefore, the allegation that the bank has
indulged in unfair labour practice is incorrect.
31.
Thus, in view of the fore gone discussion and contentions made by the Respondent, I find the force in the
argument advanced by the Respondent that in the instant matter, Workman was not terminated from service by order
dated 31.3.1997 rather he was disengaged in view of the non-availability of the work in the branch. Further, there
was direction issued by the Head Office of the Respondent authority not to engage any daily wager Workman/
temporary Worker w.e.f. 1.4.1997. Thus, such disengagement of Workman does not amount to termination.
Moreover, the Workman failed to prove his claim that he was terminated in contravention of provision of Sec.25F of
the I.D. Act, 1947 as he failed to establish his plea by any oral or documentary evidence that he had worked for 240
days continuously in a twelve months of calendar year just preceding from date of termination i.e., 31.3.1997.
32.
Further, perusal of the order dated 25.3.1997 goes to reveal that the Chief Branch Manager, State Bank of
India has issued the letter to Zonal Office with direction to all its branches to this effect that they have been advised
by the DGM, Zonal Office, Hyderabad that as both the panel of temporary employees of 1989 and daily wagers/casual
labour of 1992 will lapse on 31.3.1997 it has been decided by central office not to make any temporary appointments
in messengerial cadre from 1.4.1997, therefore it was directed to issue suitable instructions not to make temporary
appointments from 1.4.1997. There is no mention in this order that the Workman herein has been terminated from
service by this order.
33.
Further, the circular dated 27.3.1997 was issued by DGM, SBI to all branches in commercial network in
respect of the non-appointment of temporary employees in subordinate cadre and it has directed not to make any
temporary employment in the subordinate cadre with effect from 1.4.97 and further, it has directed to ensure that no
temporary/casual/daily basis appointment of the petty cash. Further, it is directed to all Branch Managers that any
deviation in this regard will be viewed seriously. Thus, these circulars do not reflect that the Workman has been
terminated from service by this order.
34.
Similarly, office order dated 31.3.1997 is simply a direction to all branches of the Respondent bank by DGM
that no further daily labour should be engaged or employed. Therefore, the plea of the Workman that he has been
terminated by the aforesaid order dated 25.3.1997, 27.3.1997 and 31.3.1997 from the service by the Respondent is not
acceptable. The evidence adduced by the Workman clearly goes to reveal that he had worked as a daily wager for
which he has been paid wages according to number of working days. As there was an order for prohibition for
engaging temporary workmen, in the bank, therefore, Workman could not be engaged by the Respondent for work
from 1.4.1997 and there after. It is settled law that the daily wagers are engaged by the employer depending upon
the availability of work and as the work was not available the Workman was not engaged further by the Respondent
management. Therefore, the Workman on the ground of number of days he had worked in the Respondent bank
cannot claim any right to reinstate him into the employment. As the Workman failed to prove the mandatory
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1457
condition of 240 days of continuous service as required under Sec.25F of I.D. Act, 1947. Therefore, the
disengagement of Workman from work can not be termed in contravention of provision contained under Sec.25F and
25 B of the I.D. Act, 1947.
Thus, this point is answered against the Workman and in favour of Respondent.
35.
Point No.III:- In this context, the Workman has contended that the management failed to implement the
selected panels during its valid tenure. The management adopted the back door methods contrary to the settlements
and filled up the vacancies. The same is evident from the proceedings dated 18.11.1993 a copy of the same is filed in
the material papers and the same may be read as part of the claim statement. Further, it is submitted that management
has to adhere the procedure issued by the Central Government, the instructions dated 16.8.1990 in the year 1995, but
same was not followed in the year 1997 despite there being vacancies. The management has followed the procedure of
calling candidates through employment exchange instead of giving chance to the empanelled candidates like the
Workman herein. The management sent call letters to the similarly situated candidates like the Workman in the month
of June 1997 subsequent to issuance of impugned termination orders. After knowing the fact that they are litigating
the issue by way of dispute, the management has refused to engage those candidates, the copies of call letters issued
are filed herein along with claim petition. The Workman herein reiterates that the panels are meant for absorption but
not for termination. In view of the same a duty is cast upon the Respondent management to engage the empanelled
candidates like the Workman herein even in temporary vacancies till they are absorbed permanently in regular
vacancies.
36.
On the other hand, Respondent has contended that the Federation approached Regional Labour
Commissioner (Central) for implementation of bipartite settlement in respect of the absorption of temporary
employees. The Regional Labour Commissioner (Central) conducted conciliation proceedings and agreement was
arrived at between the Federation and the Management bank. It is submitted that it was agreed between the
Federation and the Management that both the panels of temporary employees and daily wagers /casual labour would
be kept alive upto March, 1997 and the vacancies as agreed to under the afore set out settlements will be filled from
both the lists concurrently. A copy of the conciliation proceedings dated 9.6.1995 signed by the parties to the dispute
is filed as a material paper. Further, it is submitted that the settlement was arrived at and an agreement was signed
between the Federation and the Management bank on 30.7.1996 under Section 2(p) read with Section 18(1) of the
Industrial Disputes (Central) Rules 1957 which is binding on the parties. A copy of this agreement which hereinafter
may be referred to as 5th settlement for brevity, is also filed as a material paper. The 5th settlement dated 30.7.1996
whereunder the earlier four settlements dated 17.11.1987, 16.7.1988, 27.10.1988 and 9.1.1991 were also referred, it
was agreed to, by the Federation and the Management bank that both the panels of temporary employees and daily
wagers/casual employees will be kept alive upto March, 1997 for filling the vacancies existing/arrived at as on
31.12.1994 as per the norms agreed to between the bank and Federation and that thereafter the said panels would
lapse. It was also agreed that within the framework of the above settlements the modalities about drawing names from
either the panel of temporary employees or the panel of daily wagers and casual labour would be decided
administratively on circle to circle basis depending upon the local requirements in consultation with the Federation‘s
affiliate by the Circle management. It was further agreed that all messenger real vacancies/positions in the subordinate
cadre including part-time attendants specifically provided as leave reserve will be filled by the end of 31.3.1997.
Further, Respondent contended that on 27.2.1997 a memorandum of understanding was also signed between the
Federation‘s affiliate and the bank management regarding the fact that the exercise of identifying the messengerial
vacancies as on 31.12.1994 has since been completed by central office and thereby 403 messengerial vacancies were
sanctioned to the circle of the Management bank and it was agreed that these vacancies may be filled from 1989 panel
of temporary employees after effecting conversion from full time non-messengerial staff in the usual manner and the
agreement was reached upon. Further, it was agreed between the Federations affiliate and the management bank
that in terms of the settlement dated 30.7.1996 both the panels of temporary employees and daily wagers /casual
employees would lapse on 31.3.1997.
37.
The Workman has contended that the empanelled list prepared by the Respondent management for
appointment of temporary and daily wage Workers to the permanent post cannot lapse unless until it is exhausted by
appointing all the empanelled persons and it should continue even after 31.3.1997, i.e., the date fixed for the lapse of
panel. It is undisputed that the date of lapse of empanelled list of Workmen has been fixed to 31.3.1997 as
mentioned in the settlement dated 30.7.1996, and agreed between the parties. It is settled law that and once the life
of panel list lapses on the date as agreed between the parties it cannot be extended beyond that date. In the instant
case the panel list of the workmen was valid upto 31.3.1997 in view of the terms and conditions enumerated in the 5th
Settlement entered into between the parties. As the lapse of panel i.e., 31.3.1997 has been agreed by State Bank of
India and State Bank of India Staff Federation through 5th Settlement, the Workman is not competent to challenge the
same.
In this context I would like to take reference of the decision of the apex court in the case of Syndicate Bank and Ors
vs. Shankar Paul and Ors, AIR 1997 SC 3091, therein the Hon‘ble Apex Court have held:-
“Till 1982, the branches of the appellant Bank in Calcutta region were recruiting persons locally to work as
temporary attenders in leave vacancies. In view of the revised procedure prescribed by the Government of India in
1458
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
respect of such temporary appointments, the Calcutta regional office of the appellant Bank issued a circular to all of
its branches on 14.8.1982, instructing all the branches under it to discontinue the old practice from 1.6.1982 and
appoint only empanelled candidates. The regional office was to prepare a panel of eligible candidates, after calling
names from the local/district employment exchange, and split it up branch-wise. Following that new procedure yearly
panels were prepared thereafter. Names of the Respondents were for the first time included in the panel prepared for
the period 7.2.1987 to 6.2.1988. By its letter dated 7.2.1987 the Bank had informed the Respondents that the panel
was valid for one year only and that inclusion of their names in the panel was not to confer on them any right to seek
permanent appointment in the service of the bank. Considering the object with which the panel was prepared and the
fact that it was an yearly panel expiring on 6.2.1988, we are of the opinion that the Respondents did not get any right,
because of inclusion of their names in the said panel, for permanent absorption in the service of the Bank. Whatever
conditional right they had came to an end with the expiry of the panel. The claim of the Respondents, as contained in
the writ petition was thus misconceived and therefore the learned single Judge and the Division Bench, when it first
decided the appeal, were right in dismissing the writ petition and the appeal respectively.”
Thus, in view of the above law laid down by the Hon‘ble Apex Court and in view of the terms and conditions of the
5th Settlement the contention of the Workman that empanelled list should continue even after 31.3.1997 till the last
Workman in the panel is absorbed is not tenable. The contention of the Workman is baseless in view of recital in
the settlement. Therefore, in view of the fore gone discussion and finding given at Point No. I regarding binding
nature of Settlements and terms and conditions enumerated therein, in view of the provision contained u/s.18(1) of the
I.D. Act, 1947, I am of the considered view that life of panels lapsed on 31.3.1997 in view of terms of settlement
dated 30.7.1996 and plea of Workman that the panel shall continue even after 31.3.1997 till last man absorbed has
no legal force and same is untenable.
38.
Undisputedly, settlement agreement dated 30.7.1996 was executed between the State Bank of India and
State Bank of India Staff Federation and in that settlement it was agreed that both the panels of temporary employees
and daily wagers/ casual employees will be used for filling vacancies existing as on 31.12.1994 as per the norms
agreed between the bank and the Federation. These empanelled workmen were to be given a chance for permanent
appointment in the bank against vacancies arising up to December 1994 whereas the daily wagers/ casual employees
were to be considered against the vacancies arise from January 1995 to December 1996, whereby the said panel
would lapse. It was agreed that the vacancies falls upto 31.3.1997 shall be filled before the empanelled list is
allowed to lapse. Thus, the claim of the Workman to the post of permanent non-messenger in the Respondent
management was subject to the availability of the sanctioned post and vacancies arising upto 31.3.1997. The
workmen given chance to the permanent post were seniors in number of working days in panel list and Workman
herein was junior to those workmen. Therefore, Workman could not be given absorption to permanent post being
junior to other workmen in the panel list.
39.
In this context the Workman witness WW1 was cross examined by the Respondent counsel and in the cross
examination the witness WW1 states:-
“I applied for appointment as Non-Messenger, in response to the advertisement issued by the bank as per the
settlement entered between the bank and the union. …. Further, witness states, The panel was prepared basing upon
the number of days of service put in by the temporary employees. Some of the temporary employees whose names
were included in the panel were given regular appointment in the bank in order of their seniority in the panel….
Further witness states, I am not having any document to show that any person who had worked for less no. of days
than me was given regular appointment in the bank.”
Thus, from the above statement of the Workman witness WW1 it is clear that the panel was prepared in terms of
various settlements entered into between Staff Federation of State Bank of India and State Bank of India and it was
prepared on the basis of number of days of work put in by the temporary employees. Further, the Workman himself
admitted that some of the temporary employees whose names were included in the panel were given regular
appointment in the bank in order of their seniority in the panel and he is not having any document to show that any
person who worked for less number of days than the Workman was given appointment in the bank. Therefore, the
allegation of the Workman that the regular appointment has been made by the bank from the panel list in breach of the
terms of the settlement and violation of seniority of panel list is not proved by this evidence of WW1. Thus, there is
no evidence on record that bank has given the appointment to the temporary employees as well as daily wagers from
the panel list 1989 and 1992 in breach of seniority of the temporary employees in the list. There is no evidence of
jumbling in the panel list to make appointment of any permanent Workman in breach of the seniority. Therefore, I
am constrained to hold that the Respondent Management has appointed the workmen from panel list in order of
seniority and there is no jumbling of workmen in the panel list before it got lapsed on 31.3.1997.
40.
However, Workman has taken the plea that the panels of Workmen for absorption in the employment of the
Respondent banks (panels of temporary employees and daily wagers) has been lapsed on 31.3.1997 in contravention
of terms of settlement as the object of preparing the entire empanelment of temporary and daily wagers was to provide
them permanent employment and till the both the panel lists exhausted the panel list cannot be lapsed on 31.3.1997
and the date of lapsing of the panel on 31.3.1997 has been fixed by the Respondent arbitrarily without any authority.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1459
41.
In this context, the perusal of Settlement dated 30.7.1996 reveals that the 5th Settlement dated 30.7.1996 was
entered under Section 2(p) and 18(1) of I.D. Act, 1947 read with Rule 58 of Industrial Dispute (Central) Rules 1957.
This settlement has been entered into by the competent parties and in this settlement parties thereto agreed that both
the panels of temporary employees and daily wagers/casual employees will lapse on 31.3.1997. Thus the date of
lapse of panel was fixed by both the parties with consensus under the settlement dated 30.7.1996 and same is
binding upon the Workman under the provision of Section 18(1) of I.D. Act, 1947. Moreover, this issue of binding
force of the settlement dated 17.11.1987, 16.7.1988, 27.10.1988 and 9.1.1991 has already been discussed, decided at
finding in Point No.I of this award. However, the legality and validity of the aforementioned settlement has not been
challenged by the Workman before any competent forum. Thus, claim of Workman that the date of lapse of panel i.e.,
31.3.1997 has been fixed arbitrarily by the Respondent bank is untenable. As regard the claim of Workman for his
absorption to the permanent post it is settled law that the Workman can not claim his regularization to permanent
post merely on the basis of number of working days.
42.
In this context the reference of the decision of Hon‘ble Supreme Court in the case of Oil and Natural Gas
Corporation vs Krishan Gopal 2020(3) SCALE 272, date of decision 7.2.2020 is relevant therein Hon‘ble
Supreme Court have has laid down principle regarding regularization of the Workman on permanent posts. Hon‘ble
Supreme Court have laid down the prepositions of regularization of the workmen to permanent post is as under:-
―(i) Wide as they are, the powers of the Labour Court and the Industrial Court cannot extend to a direction to order
regularisation, where such a direction would in the context of public employment offend the provisions contained
in Article 14 of the Constitution;
(ii) The statutory power of the Labour Court or Industrial Court to grant relief to workmen including the status of
permanency continues to exist in circumstances where the employer has indulged in an unfair labour practice by not
filling up permanent posts even though such posts are available and by continuing to employ workmen as temporary
or daily wage employees despite their performing the same work as regular workmen on lower wages;
(iii) The power to create permanent or sanctioned posts lies outside the judicial domain and where no posts are
available, a direction to grant regularisation would be impermissible merely on the basis of the number of years of
service;
(iv) Where an employer has regularised similarly situated workmen either in a scheme or otherwise, it would be open
to workmen who have been deprived of the same benefit at par with the workmen who have been regularised to make
a complaint before the Labour or Industrial Court, since the deprivation of the benefit would amount to a violation of
Article 14; and
(v) In order to constitute an unfair labour practice under Section 2(ra) read with Item 10 of the Vth Schedule of the ID
Act, the employer should be engaging workmen as badlis, temporaries or casuals, and continuing them for years, with
the object of depriving them of the benefits payable to permanent workmen.
Thus, in view of the principles laid down by the Hon‘ble Supreme Court as discussed above, in the instant matter the
Workman utterly failed to prove his claim by adducing any documentary or oral evidence that the employer has
indulged in unfair labour practice by not filling the permanent posts even though such posts are available and by
continuing to employ workmen as temporary or daily wage employees despite their performance was the same work,
as regular workmen on lower wages.
43.
Respondent has contended that all the vacancies exist and arise upto 31.3.1997 has been filled up from the
panel list in order of seniority and no vacancy exists or arises as on 31.3.1997 remained unfilled. Further, it is
contended that as per terms of settlement the life of panel lists has been lapsed on 31.3.1997, hence, there is no
occasion to extend the life of panel lists beyond 31.3.1997. However, the workman failed to prove contrary by any
evidence to the aforesaid contention of the Respondent that the vacancies were existing as on 31.3.1997 and the
workman was not given absorption to the permanent post in order of his seniority. It is settled law that the power to
create permanent or sanctioned post lies outside the judicial domain and where no posts are available, a direction to
grant regularization would be impermissible merely on the basis of the number of years of service. Therefore, the
claim of the workman on this ground also not acceptable.
44.
Further, as per the of settlement, panel was prepared for absorption of the workmen on the permanent posts
has already been lapsed on 31.3.1997 and the vacancies existing and arising upto 31.12.1994 and upto 31.3.1997 as
settlement dated 30.7.1996 has been filled up from the panel by appointing the workmen as per seniority in the panel
list. Workman witness WW1 in his cross examination has himself admitted this fact that, some of the temporary
employees whose names were included in the panel were given regular appointment in the bank in order of their
seniority in the panel. The Workman failed to show that there was any breach of terms of settlement has been
committed by the Respondent in appointment to permanent post from aforesaid panel list.
45.
As discussed in preceding paragraph of this Award, the life of the panel has not been extended beyond
31.3.1997, by any further settlement hence, the panel list in which name of the Workman was included got expired
on 31.3.1997. It is not the case of the Workman that Respondent has regularized similarly situated workmen either in
1460
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
the scheme or otherwise and the Workman has been deprived of same benefit on par with those workmen or the
vacancies remained unfilled on the date of lapse of panels i.e., 31.3.1997, Industrial Tribunal has no jurisdiction to
extend the date of lapse of panel i.e., 31.3.1997. This Tribunal can not order for regularization of workmen to the
permanent post in contravention of the provision of Article 14 of the Constitution of India.
In the case of Mahboob Deepak vs. Nagar Panchayat Gajraula & Anr, Civil Appeal No.5875/2007 date of
judgement 13.12.2007, Hon‘ble Supreme Court have held:-
“8. Respondent is a Local Authority. The terms and conditions of employment of the employees are governed by a
statute and statutory rules. No appointment can be made by a Local Authority without following the provisions of the
recruitment rules. Any appointment made in violation of the said rules as also the constitutional scheme of equality as
contained in Articles 14 and 16 of the Constitution of India would be a nullity.
9. Due to some exigency of work, although recruitment on daily wages or on an ad hoc basis was permissible, but by
reason thereof an employee cannot claim any right to be permanently absorbed in service or made permanent in
absence of any statute or statutory rules. Merely because an employee has completed 240 days of work in a year
preceding the date of retrenchment, the same would not mean that his services were liable to be regularized.”
Therefore, in view of the law laid down by the Hon‘ble Apex Court, the claim of the Workman for absorption merely
on the basis of number of day of work in the Respondent bank Branch is not acceptable. As regard plea of the
Workman that the Workman should have been given employment even after 31.3.1997 as temporary Workman, it is
the discretion of Respondent to engage the Workman depending upon availability of work and this Tribunal can not
direct the Respondent to engage the Workman in the absent of such rule/scheme.
46.
In view of principle laid down by Hon‘ble Apex Court as discussed above, in the instant matter Workman
utterly failed to establish the fact of rendering continuous service for a period of 240 days of service within a period
of 12 calendar months commencing and coming backward from relevant date i.e., the date of retrenchment, if has he
would be denied to be in continuous service for a period of one year. Therefore, the provision contained under
Sec.25F of retrenchment is not applicable to Workman.
Counsel for Workman has relied upon number of decisions of Hon‘ble High Court and Hon'ble Supreme Court and
few of them are discussed herein:-
In the case of F.C.I., vs. Kamdhenu Cattle Feed Industries 1993 (1) SCC 71, therein Hon‘ble Supreme Court have
held:-
“7. In contractual sphere as in all other State actions, the State and all its instrumentalities have to conform to Article
14 of the Constitution of which non-arbitrariness is a significant facet. There is no unfettered discretion in public law:
A public authority possesses powers only to use them for public good. This impose the duty to act fairly and to adopt a
procedure which is `fairplay in action'. Due observance of this obligation as a part of good administration raises a
reasonable or legitimate expectation in every citizen to be treated fairly in his interaction with the State and its
instrumentalities, with this element forming a necessary component of the decision making process in all State
actions. To satisfy this requirement of non- arbitrariness in a State action, it is, therefore, necessary to consider and
give due weight to the reasonable or legitimate expectations of the persons likely lo be affected by the decision or else
that unfairness in the exercise of the power may amount to an abuse or excess of power apart from affecting the bona
fides of the decision in a given case. The decision so made would be exposed to challenge on the ground of
arbitrariness. Rule of law does not completely eliminate discretion in the exercise of power, as it is unrealistic, but
providers for control of its exercise by judicial review.”
In the case of State Bank of India, R.O., Vijayawada vs. Industrial Tribunal, Hyderabad WP No.193/1997,
therein Hon‘ble High Court have held,
―Sri Krovvidi Narasimham, the learned counsel for the 2nd respondent contends, supporting the award that it was a
permanent vacancy and even though the 2nd respondent was appointed on temporary basis, his services were not
liable to be terminated and he was to be regularised into service on permanent basis. Shastry award warrants that no
temporary appointment can be made to a permanent post. But the matter is now covered by two division bench
judgements dated 28.11.1986 in W.A. No.791 of 1986 and 25.8.1987 in W.A. No.270 of 1982. The ratio decided in the
two judgements is to the effect that there cannot be any mandate to appoint employees on permanent basis when the
requirement was for appointment on temporary basis. But it is held in the said judgements that when a temporary
appointee is ousted from service and not for misconduct and, if again temporary appointment is to be made, then, the
case of such temporary appointee who was ousted, has got to be considered in accordance with Sec. 25-H of
the Act.”
In the case of State of Haryana and others vs. Piara Singh and others. 1992 (4) SCC 118, therein Hon‘ble
Supreme Court have held:-
“ 49. If for any reason an adhoc or temporary employee is continued for a fairly long spell, the authorities must
consider his case for regularization provided he is eligible and qualified according to the rules and his service record
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1461
is satisfactory and his appointment does not run counter to the reservation policy of the state.”
In the above cited judgements by the Workman the facts of the case are different hence do not apply to instant case
of Workman.
47.
On the other hand, in support of his contention Respondent has examined witness MW1 and MW1 in chief
examination states that, Settlements i.e., on 17.11.1987, 16.7.1988, 27.10.1988, 9.1.1991 were entered into between
the SBI and SBI Staff Federation for filling up of the vacancies that arise up to 1994 for those temporary employees
who has worked on scale wages. Further, MW1 states that two different panels for messengers and non-messengers
as per the eligibility criteria prescribed by the bank. There are four modules in Andhra Pradesh and they are
Hyderabad, Tirupathi, Vijayawada and Visakhapatnam. MW1 states that the temporary employees so empanelled
were given permanent absorption depending upon the vacancies so arise strictly in terms of the settlement. MW1
states that on 9.6.1995 conciliation proceeding was held before the RLC(C), Hyderabad and in said proceedings it
was decided that the panels will be kept live up to 31.3.1997 and vacancies will be filled from both the lists
concurrently. A copy of the said minutes of proceedings is Ex.M5. Further, MW1 states that on 30.7.1996 another
settlement was entered between the SBI and All India SBI Staff Federation providing for filling up of the vacancies
arising up to December 1994 in respect of subordinate cadre and daily wage /casual wage employees out of panel so
prepared were to be considered against vacancies arising from January 1995 to December 1996, thereafter the said
panels lapse. MW1 states that it was also agreed that all the non- messenger positions in subordinate cadre including
part time attendants specially provided as leave reserve will be filled before 31.3.1997 and as regards to non-
messengerial positions it is agreed that all such posts sanctioned and fallen vacant up to 31.3.1997 shall be filled
before the empanelled list is allowed to lapse. Thus in both the cases empanelled list were lapsed on 1.4.1997.
Ex.M6 is the copy of the settlement dated 30.7.1996. Further, witness states that on 27.2.1997 a memorandum of
understanding was reached between the SBI and SBI Staff Federation providing that both the panels above mentioned
will lapse on 31.3.1997. Ex.M7 is the copy of the memorandum of understanding and Ex.M8 is the copy of the
statements giving the particulars of 1989 non-messenger panel, Ex.M9 is the copy of the statement of 1989 non-
messenger panel, Ex.M10 is the copy of statement of 1992 panel. Further, witness states that petitioner was included
in the 1989 panel. As the existing vacancies at that time were exhausted and his turn did not come he could not be
given permanent employment in the bank as per the agreements. All the appointments were made strictly in
accordance with the settlements reached from time to time between SBI and SBI staff federation and as per seniority,
number of days of temporary service put in by them in the bank in the given period. Further, MW1 states petitioner
was not sponsored by any employment exchange he did not undergo the regular process of selection required for
appointment as a regular non-messenger the petitioner has not worked for 240 days in any year in his entire temporary
service in the bank. The petitioner and other temporary employees were terminated from service by the bank.
Further, MW1 states that the vacancies were filled up on regular basis with the temporary employees from the panels
and these panels were expired in terms of the settlements so reached and there were no vacancies to absorb such
employees. Thus, witness MW1 has proved the documents Ex.M1 to Ex.M12 and also contentions made in the
counter. However, MW1 was cross examined by the Petitioner Counsel. But nothing has been elicited in his cross
examination so as to discredit the testimony of the witness MW1 as regards the date of lapse of both the panels on
31.3.1997 and reasons assigned for non-absorption of the Petitioner from the panel list to the permanent post.
Moreover the witness MW1 was re-examined by the Respondent and the witness MW1 states that panels were expired
in terms of the settlement send absorptions to the extent of the available vacancies were made. There was no
termination of any temporary messenger as such but their services were not utilized after the cut off date as the
available vacancies were already filled up and most of these Petitioners were not in the service of the bank as on the
date of the expiry date of the panels. Therefore, in view of the aforesaid testimony of the MW1 in re-examination in
the absence of cross examination remained uncontraverted, the claim of the Workman that he was entitled for
absorption in permanent post in the branch of Respondent Management on the basis of panel list is found not
established.
This point is answered against the Workman.
48.
Point No.IV:- In view of the discussion and finding given at Point Nos. I, II and III, the Workman is not
entitled for any relief and claim statement of Workman sans merit and liable to be dismissed.
This Point is answered accordingly.
ORDER
In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the
services of Smt. G. Koteswaramma, Ex. Non-Messenger by way of oral orders w.e.f. 31.3.1997 is justified. Hence,
the Petitioner is not entitled for any relief as prayed for. The claim statement filed by Workman sans merit, hence,
dismissed. Reference is answered accordingly.
Award is passed accordingly. Transmit.
1462
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Typed to my dictation by Smt. K. Phani Gowri, Personal Assistant, transcribed by her, corrected and signed
by me on this the 5th day of February,2026.
IRFAN QAMAR, Presiding Officer
Appendix of evidence
Witnesses examined for the
Witnesses examined for the
Petitioner
Respondent
WW1: Smt. G. Koteswaramma
MW1: Sri Rupakula Prakash Babu
Documents marked for the Petitioner
Ex.W1: Photocopy of notification
Ex.W2: Photocopy of interview call letter
Ex.W3: Photocopy of service certificate
Ex.W4: Photocopy of service certificate
Ex.W5: Photocopy of circular
Ex.W6: Photocopy of another circular
Documents marked for the Respondent
Ex.M1:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.17.11.87
Ex.M2:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.16.7.88
Ex.M3:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.27.10.1988
Ex.M4:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.9.1.1991
Ex.M5:
Photocopy of conciliation proceedings before the Regional Labour Commissioner(C) dt.9.6.1995
Ex.M6:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.30.7.1996
Ex.M7:
Photocopy of Memorandum of understanding dt. 27.1.1997
Ex.M8:
Photocopy of statements giving the particulars of 1989 messenger panel.
Ex.M9:
Photocopy of statement of 1989 Non-messenger panel
Ex.M10:
Photocopy of statement of 1992 panel
Ex.M11:
Photocopy of order of Hon‘ble High Court in WA No.86/98 dt. 1.5.98
Ex.M12:
Photocopy of order in SLP No.11886-11888 of 1998 dated 10.8.98
नई ददल्ली, 5 मार्च, 2026
का.आ. 310.—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj
ds izca/kr=] lac) fu;kstdksa vkSj muds deZdkjksa ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh;
ljdkj औद्योजगक vf/kdj.k@Je U;k;ky;
ds iapkV (44/2002) izdkf'kr djrh gSA
[सं. एल-12012/234/2000-आई आर(बी- I)]
सलोनी, उृ जनदेिक
New Delhi, the 5th March, 2026
S.O. 310.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Ref. 44/2002) of the Cent.Govt.Indus.Tribunal-cum-Labour Court
Hyderabad as shown in the Annexure, in the industrial dispute between the management of State Bank of India
and their workmen.
[No. L-12012/234/2000- IR(B-I)]
SALONI, Dy. Director
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1463
ANNEXURE
In The Central Government Industrial Tribunal Cum Labour Court At Hyderabad
Present: Sri IRFAN QAMAR
Presiding Officer
Dated the 3rd day of February, 2026
INDUSTRIAL DISPUTE No. 44/2002
[Old ID No.135/2000 of Industrial Tribunal No.I, Hyderabad]
Between:
Sri S. Aslam Basha,
R/o 21/249-A, Old Town,
Anantapur.
Ananthapur Dist. A.P.
… Petitioner
And
The Deputy General Manager,
State Bank of India, Zonal Office,
Renigunta Road, Tirupati A.P-517501.
…..Respondent
Appearances:
For the Petitioner :
Sri Macherla Rangaiah, Advocate
For the Respondent:
Sri Y. Ranjeeth Reddy, Advocate
AWARD
The Government of India, Ministry of Labour by its order No. L-12012/234/2000-IR(B.I) dated 29.09.2000
referred the following dispute under section 10(1)(d) of the I.D. Act, 1947 to Industrial Tribunal No.I, Hyderabad for
adjudication and later the same has been transferred to this Tribunal bearing ID No.135/2000, as per orders of
Central Government vide Lr.No.H-11026/1/2001-IR(C.II) dated 18.10.2001, requiring this forum to decide the
question:
SCHEDULE
―Whether the action of the management of State Bank of India, Main Branch, Anantapur is justified in
terminating Sri S. Aslam Basha, Messenger, from the services of the Bank? If not, what relief the workman is
entitled?‖
After receipt of the reference, it was numbered as ID No. 44/2002 and notices were issued to both the Workman and
the management.
2.
Before unfolding the factual matrix of the instant industrial dispute it would be apposite to have a bird eye
view of a chequered history of the instant industrial dispute. Earlier instant industrial dispute along with the batch
cases was decided by this Tribunal vide common award dated 17.5.2005 and the reference was answered in favour of
the Respondent and against the Workman. That said common award dated 17.5.2005 was challenged by the
aggrieved Workmen in various Writ petition No.6470/2014 along with batch of writ petitions before the Hon‘ble High
Court of Andhra Pradesh and Hon‘ble High Court vide its‘ judgement dated 23.6.2014 allowed all batch of writ
petitions and set aside the common award dated 17.5.2005 passed in ID No.222 of 2001 and other batch of ID cases
by Central Government Industrial Tribunal cum Labour Court, Hyderabad and the Respondent management of State
Bank of India was directed to reengage the Writ Petitioners in position, which they have been occupying prior to their
termination and further directed to consider their cases for regularization as and when the substantive vacancy arises.
This judgement dated 23.6.2014 of Hon‘ble High Court of AP, passed in WP No.6470/2014 and batch petitions was
challenged by Respondent management before the Hon‘ble High Court in Writ Appeal No. 1268 of 2014. The
aforesaid Writ Appeals No.1268/2014 and other Writ Appeals were decided by Division Bench of High Court of
Andhra Pradesh by a common judgement dated 20.3.2019. Hon‘ble High Court in aforesaid Writ Appeal was
pleased to pass the order which is extracted as below:-
“ 7. Hearing the learned senior counsel for the SBI and the learned senior counsel for the contesting unofficial
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[PART II—SEC. 3(ii)]
Respondents, we see that while the learned single Judge was justified in setting aside the award af the Tribunal, the
proper course to be adopted was to remit all the cases to the Tribunal. This we say for reasons more than one. Firstly,
in such matters, claims have to be decided on individual basis, as different persons have different claims as to the
length of officiation or discharge of duties and functions; quality of engagement, drawings, accounting of the post for
each one of them, who have worked etc. AIl these issues will not be the same in all the cases. Therefore, each case
ought to have been directed to be decided by the Tribunal afresh on individual basis. The second and most important
aspect is the learned single Judge has in one go ordered re-employment of all the workmen. This is not a relief that
could have been granted without answering the individual issues; each issue relating to each case could not have
been decided by the writ Court within the format of its adjudication procedures and scope. The adjudicating body,
which has to do that activity, is the Industrial Tribunal. Therefore, we are of the view that while we would sustain the
order of the learned singe Judge insofar as it interfered and sets aside the award of the Tribunal, the further findings
and directions, issued through the impugned order have to go and the individual cases have to be sent back for
consideration of the Tribunal. Such further procedure before the Tribunal will have to be carried forward with the
materials already on record and also by affording an opportunity to the persons, who have claims as well as the
management to place their rival contentions and further material before the Tribunal. The learned counsel appearing
for the workmen are justified in pointing out that enormous delay has already happened and further action by the
Tribunal in this line may be expedited.
9. In the result, these writ appeals are ordered;
(1) affirming the impugned common order of the learned single Judge to the extent it sets aside the common award
dated 17.05.2005 of the Industrial Tribuna!;
(2) the further findings and directions issued through the impugned common order are vacated:
(3) all the matters shall be remitted to the Industrial Tribunal with a direction to dispose of them within an outer limit
of five (5) months from the date of receipt of a copy of this order; and,
(4) the parties to make appearance before the Tribunal on the given date.”
Thus, in view of the above direction of Hon‘ble High Court of Andhra Pradesh in W.A.No.1268 of 2014 and batch
cases. This Tribunal has taken up the matter of industrial dispute for hearing and deciding it afresh in view of the
aforesaid guidelines laid down by the Hon‘ble High Court in Writ Appeal No.1268/2014 vide judgement dated
20.3.019.
3.
The factual matrix of instant industrial dispute as narrated by the Workman in his claim statement are that,
the Workman joined in the service of the management institution as Non Messenger from 1988 to 1997, and has
rendered unblemished service spreading over a period of about 10 years. The Respondent has terminated services of
Workman by oral orders with effect from 1.4.1997. Further, it is submitted that the management of Respondent
bank decided to give a chance to temporarily employed personnel ―found suitable for permanent appointment‖ by
wait- listing them by offering permanent appointment or waitlisting till such opportunity arises.
4.
That on 17.11.1987 a settlement was reached between All India State Bank of India Staff Federation and the
Management of State Bank of India - settlement one, under this settlement three categories of employees were
listed. That is, A) those who have completed 240 days in 12 months or less after 1.7.1975. B) those who have
completed 270 days in any continuous block of 36 calendar months after 1.7.1975. C) (i) those who have completed
minimum of 30 days aggregate temporary service in any calendar year after 1.7.1975 or (ii) 70 days aggregate
temporary service in continuous block of 36 months after 1.7.1975.
5.
The persons who satisfied in all the above 4 categories were to be interviewed by a selection committee and
the said selection committee would determine the suitability of the said candidate for permanent appointment.
Therefore, the bank prescribed certain qualifications and from among the candidates satisfying the qualifications the
suitable candidates were enlisted by a selection committee. The Clause 7 of the said agreement provided with the
selected candidate would be wait listed in order of their respective categorization and the selected panel would be
valid upto December, 1991. Clause 10 of the settlement specifically provided that henceforth. ―there will be no
temporary appointments in the subordinate cadre‖, except on a restrictive basis in the specified category, ―from
amongst empanelled candidates as per existing guidelines of the bank‖. The Workman further submits that
consequent upon the said agreement and the draft, a notification was issued in the newspapers. The last date for
responding to the advertisement was 30.8.1988. A written examination followed by viva-voce in May, 1989 was
held. A selected panel was prepared, as per Clause 7 of the agreement, ie. Settlement No.1, the selected panel was to
be valid upto December, 1991, the Workman submits that circular was issued on 26.4.91 by the said letter it is
mentioned that the terms of the agreement dated 17.11.87 was modified vide second agreement dated 16.7.88 was
entered into between the parties. In terms of the said agreement a chance was to be given, ―to all eligible temporary
employees for permanent appointments. The appointments were against the vacancies likely to arise during the
years 1995-96, circular made it clear that in view of the enormity of the problem an extension of the currency of the
panel, eligible temporary employees who have been empanelled could not appear in the earlier interviews and have
been pursuing their cases thereafter, ―will be given another chance to appear for interview‖.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1465
6.
Workman submits that there were total five settlements. The settlement dated 17.11.87 is the 1st
settlement (Ex M1), settlement dated 16.7.88 is 2nd settlement (Ex M2), settlement dated 27.10.88 is the 3rd
settlement (Ex M3), then settlement dated 9.1.91 is 4th settlement and settlement dated 30.7.96 is 5th settlement
(Ex M6). In between there is minutes of conciliation proceedings dated 9.6.95 marked as Ex M5. That due to all
these settlements which were extended by subsequent settlements thereby created reasonable expectations in the
list of the selected candidates arose with that it‘s a question of time their appointments or services would be
regularized in the services of the bank. The Workman was working with the bank on temporary basis was under the
bonafide hope that sooner his services will be regularized with the bank. He is thereby closed all his options
elsewhere. It is needless to point out that employing person to whom hope of employment in substantial terms was
made is a facet of Article 21 of the Constitution of India.
7.
Further Workman submits that the Government of India issued Circular No. F-3/3/104/87-IR, dated
16.8.1990. Under said circular the chief Executives of all public sector banks including the Management herein were
specifically instructed that until the problem of existing temporary employees is fully resolved, no bank is permitted to
make any permanent appointments. That some of the persons similarly situated like this Workman aggrieved by the
inaction on the part of the management of the bank is not regularizing their services from out of the selected panel
and not clearly focusing the vacancy position, filed W.P. No. 4194/97 before Hon‘ble High court of A.P.. It is
specifically averred in the said writ petition that the Management of the bank had failed to implement the settlement
and that it violates the various fundamental rights guaranteed under the constitution of India. The Hon‘ble High
court of A.P .. by order dated 5.3.97 directed the bank to implement the settlement as amended from time to time. It
also directed the bank to carry out the terms of settlement before the expiry of March, 1997. The Hon‘ble High
Court also recorded finding that the Bank cannot escape its liability of enforcement of the Settlement. In view of the
directions given by the High Court all candidates whose names appeared in the select panels prepared on the basis of
the agreement entered into on 17.11.87 under which the panel was valid upto December, 1991, and on the basis of a
settlement dated 27.10.1988 whereby the panels were made alive upto 31.3.1997 under which the panel was valid upto
December, 1999. The other agreement dated 16.7.1988 under which the panel was valid upto 1992 and on the basis
of the settlement dated 27.10.1998 whereby the panels were made alive upto 31.3.1997 were under the bonafide
impression that their cases will be considered for regularization and were living on the basis of the said reasonable
expectation. Unfortunately, contrary to the aforesaid directions given by the High Court and contrary to the
settlements entered into between the parties, the bank issued proceedings dated 25.3.1997, dated 27.3.1997 and
31.3.1997 instructing the various authorities of the Management not to continue the temporary employees those who
are in services of the bank from 1.4.97. The said order was followed by the Management. Aggrieved by the said
action the Workman herein and similarly situated candidates have filed a writ petition before the Hon'ble High Court
and by way of Writ Petition No.9206/97 seeking a declaration that the proceedings issued by the Deputy General
Manager and the Assistant General Manager (Respondents 3,4 and 5 therein) on 25.3.97, 27.3.97 and 31.3.97 as
illegal and also non-continuance of the Workmen therein in service by absorbing them in the services of the bank as
violative of Section 2(p) and 18(1) read with Rule 58 of Central Rules and sought for specific direction to the bank to
absorb them in service.
8.
Further, Workman submits that in the counter affidavit filed in Writ Petition No.9206/97, the bank has
submitted that it has about 805 branches in Andhra Pradesh alone. It has stated that due to exigencies of
circumstances and on account of the urgent need in its banks, it employed temporary employees in subordinate cadre.
It is pertinent to mention that it does not state the urgent or need or the nature of temporary employees that it had
engaged. Enquiry into the same would reveal that the stand taken by the bank either on the ground of urgent need or of
temporary employees is a façade to perpetuate unfair labour practice. It is designed to on the one hand, keep the
employed in the erroneous zone of hope and on the other to ensure that benefits that a model employer will extend
under various statutes to its employees is not required to be borne out by the bank. A reading of the counter affidavit
would show that the bank would opines that being just fair and reasonable are which obviously is reprehensible and is
a facet of unfair labour practice.
9.
The Workman submits that the bank had referred in its counter affidavit to three settlements dated 17.11.87,
16.7.88 and 27.10.88. The bank in the guise of extending the benefits of the circular of Government dated 16.8.90
stated in its counter affidavit that as follows:
"Government of India, vide its letter dated 16.8.1990, issued guidelines to all the public sector banks with regard to
recruitment and absorption of temporary employees in public sector banks. The said guidelines were issued to
implement on the lines of the approach paper on the issue provided by a committee constituted in this regard. The
Government of India guidelines made it clear that all the public sector banks may follow the provisions laid down in
the approach paper.
The approach paper specified that the cases of temporary employees who had put in not less than 240 days of
temporary service in 12 consecutive Months and who are entitled to benefit of Section 25-F may be decided by
entering into a settlement with the representative union. In respect of temporary employees who had put in less than
240 days of service in 12 consecutive months or less, a settlement could be avoided and however if the Management
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THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
so desired, they could enter into a conciliation settlement with the representative union. Para 6(h), it is mentioned
that only those temporary employees who had put in temporary service of 90 or more days after 1.1 1982 would be
eligible for considering under the scheme. Although the Government guidelines envisaged for a settlement in respect
of employees who had put in temporary service of 90 or more days, the bank by way of further concession entered
into settlements Even in respect of those who had put in less than 90 days. As such, it could be Seen that the
settlements are more beneficial to the temporary employees concerned. The approach paper also specify at para 6(c)
that the banks would provide one time opportunity to all the temporary employees and for that purpose temporary
employees worked in the bank on or after 1.1.1982 could be considered for re-employment in terms of the scheme.
The Respondents have gone further wherein even persons working after 1975 were also considered.
As could be seen from the above, there was a genuine effort on the part of the Respondent bank to provide
permanent employment for as many as possible subject to availability of the vacancies.
It is further submitted that at para 6(k) of the approach paper, it was made clear that this would be one time
exercise in full and final settlement of all the aims and disputes for the past period in respect of temporary workmen
covered by the settlement. This would mean that the Government of India guidelines would cover only those persons
who were temporarily employed for the period specified therein and not otherwise. As such, it is submitted that the
Respondents have not only followed the Government of India guidelines but in fact covered cases of the employees
who had worked for less than 90 days. As such, question of violation does not arise and in any case those were only
broad guidelines and not directives".
10.
The Workman submits that the bank also referred a subsequent settlement dated 9.1.1991 wherein there is a
clause to the effect- that the panel of temporary employees and the panel of daily wage employees will be operated to
a particular period. Therefore, their cases will not be considered. The Management herein relying upon this settlement
in their impugned action. It is submitted that even the settlement dated 9.1.1991 will not empower the management
to terminate the services of the temporary employees who are working in the bank services like the Workman herein
as it does not specify the termination of the employees. In fact there are so many vacancies wherein the Management
has engaged several new persons as temporary messengers/ attendars/ sweepers etc., even after the judgment of
Hon‘ble High Court without considering the cases of the similarly situated candidates like the Workman herein. It is
submitted inspite of engaging fresh candidates as is now being done by the Management they would have continued
the similarly situated candidates like the Workman herein in the services of the bank and consider their cases for
absorption in view of the circulars issued by Central Government as well as the directions of this Hon'ble Court in
Writ Petition No.4194/97, dated 5.3.97. In view of the circulars issued by the Central Government, the Management
should not have relied upon the settlement dated 9.1.1991. Hence, the impugned action of the Management is illegal,
unjust, violative of fundamental rights such as Articles 14,16 and 21 of the Constitution of India.
11.
The Workman submits that in W.P. No.4194/97 filed by the union of temporary employees where in they
have complained about the non- implementation of the settlements arrived between the parties and sought for
absorption. Such employees in the bank services on permanent basis before the date fixed for carrying out the terms
of settlement, the Court held that the members of the union had been empanelled in the list, they were not regularized
and the time was going to run out to the near future and the Respondent bank and its officers cannot escape from the
liability of enforcing the settlement which has been reached and therefore directed that the bank and the officers shall
implement the settlement dated 17.11.87 as amended from time to time before the expiry of 31.3.97.
12.
Further, it is submitted that in the clause of Settlement it is specifically mentioned that the workmen to be
absorbed/appointed in the bank prohibiting any temporary appointments subsequent to the date of settlement even the
authorities want to make temporary appointments that should be made only from among the empanelled can be
appointed either for temporary vacancy or permanent vacancy except from among the empanelled candidates like the
Workman and that should be continued till they are absorbed. The management committed unfair labour practices
and terminated the services of the candidates with effect from 1.4.1997 which is arbitrary, discriminatory, contrary to
their own guidelines and violative of the constitutional provisions which are guaranteed in Chapter-III of the
Constitution of India.
13.
The Workman submits that it is strange as to how the panels were allowed to lapse by a so-called
Memorandum of Understanding dated 25.2.1997, that the action of terminating such employees like the
Workman by virtue of an impugned oral proceedings without implementing the settlement would be illegal and unfair
labour practice which cannot be allowed to be perpetuated. That the discontinuance of the Workman after 31.3.97
who had served in the bank in any capacity amounts to retrenchment. It could not have been done without any notice
and it violates Sec.25FF of the Industrial Disputes Act, 1947 and the said action is violative of principles of natural
justice guaranteed under Chapter III of the Constitution of India. This amounts to retrenchment without one month's
notice and taken in view of such notice. Thus, the main proceedings issued by the Respondent is without jurisdiction
and is arbitrary, illegal and therefore liable to be quashed. That the alleged Memorandum of Understanding dated
27.2.97, Ex.M5 does not own any legal entity, as the said Memorandum of Understanding is not published anywhere
to brought to the notice of the Workman whose rights are being affected. It is submitted that Management did not
adhere to the procedure envisaged by the Central Government in its' instructions dated 16.8.90 in the year 1995. The
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1467
same was not followed in the year 1997 despite there being vacancies.
The management has followed the
procedure of calling candidates through Employment exchange instead of giving chance to the empanelled candidates
like the Workman here. It is pertinent to mention here that the Respondent Management sent letters to the all
similarly situated candidates like the Workman in the month of June, 1997, subsequent to the passing of impugned
termination orders. After knowing the facts that the candidates are litigating, the Management refused to engage these
candidates. It is once again reiterated that the panels are meant for absorption but not for termination. It was the duty
of the Management to engage the empanelled candidates like the Workman even in temporary vacancies till they are
absorbed permanently in regular vacancies. Hence, the action of the Respondent Management terminating the
services of the Workman by oral order dated 31.3.97 is unjust, illegal, violative of principles of natural justice and
hence, the Management be directed to reinstate and absorb the Workman and to grant all incidental and consequential
benefits.
14.
Per contra, Respondent had filed counter and made a contentions that the reference is not tenable and
contrary to the provisions of I.D. Act, 1947. Respondent submitted that to tide over severe sub-ordinate staff
constraints which arose out of leave vacancies, exigencies, etc., and also owning to the restrictions imposed by the
Government of India/Reserve Bank of India on intake of staff, the Respondent bank used to engage sub-ordinate staff
like messengers, sweepers, sweeper cum water boys, etc., depending on the availability of work on purely temporary
basis for the smooth and uninterrupted functioning of the branches. It is submitted that the All India State Bank of
India Staff Federation which represents majority of the employees in the State Bank of India comprising about 98% of
the work force as its' members espoused the cause of temporary employees who have put in less than 240 days of
temporary service in 12 calendar months in the bank and who were ineligible for any protection under Industrial
Disputes Act, 1947 to give a chance for being considered for absorption and permanent appointments.
15.
Discussions were held and on 17.11.1987 an agreement was signed between the federation and the
Management bank under Sec. 2(p) read with Sec 18(1) of the Industrial Disputes Act, 1947 read with Rule 58 of
Industrial Disputes (Central) Rules 1957. A copy of the said settlement dated 17.11.87 which may be herein after
referred as first settlement is filed and 4 categories were made as it has already been mentioned in the claim statement
above, it need not be repeated here. In the first settlement, it was agreed that the temporary employees as categorized
would be given a chance for being considered for permanent appointment in the bank's service against the vacancies
which are likely to arise during the period 1987 to 1991. On 16.7.88 second settlement was arrived between the
Federation and the Bank whereby it was agreed to substitute the period of consideration of vacancies as 1987 to 1992
in place of 1987 to 1991 as contemplated under the first settlement dated 17.11.1987. This is the second settlement.
A 3rd settlement was entered into on 27.10.88 and it was agreed that the bank's service against the vacancies likely to
arise from 1988 to 1992 was to be considered. Government of India vide its letter dated 16.8.90 issued guidelines to
all the public sector banks with regard to recruitment and absorption of temporary employees in public sector banks.
The said guidelines were issued to implement on the lines of approach paper on the issue provided by a committee
constituted in this regard. Government of India guidelines made it clear that all the public sector banks may follow
the provisions laid down in the approach paper. The approach paper specified that the cases of temporary service in
12 consecutive months and who are entitled to benefit of Sec.25F of the Industrial Disputes Act, 1947 may be decided
by entering into a settlement with the representative union. In respect of temporary employees who had put in less
than 240 days of service in 12 consecutive months or less, a settlement could be avoided and however if the
Management so desired they could enter into a conciliation settlement with the representative union. In para. 6(h) it
is mentioned that only those temporary employees who had put in temporary service of 90 days or more days after
1.1.82 would be eligible for considering under the scheme. Although the Government guidelines envisaged for a
settlement in respect of employees who had put in temporary service of 90 days or more days, the bank by way of a
further concession entered into settlements. Even in respect of those who had put in less than 90 days and also the
bank went a step further and said those persons who are working after 1975 were also considered. Hence, there was a
genuine effort on the part of the Respondent bank to provide as many as possible jobs subject to the availability of the
vacancies. However, para 6 (k) of the approach paper made it clear that it is a one time, exercise in full and final,
settlement of all the claims and disputes for the past period, in respect of temporary workmen covered by the
settlement. Another settlement was entered on 9.1.91 herein after referred as 4th settlement and the time limit was
extended upto 1994 and separate panel was prepared for temporary employees, casual/daily wagers. It was agreed that
while vacancies arising between 1988 to 1994 in respect of temporary employees and in respect of casual/daily
wagers, they can be considered for the vacancies arising between 1995-96 only.
16.
It is submitted that the administrative set up of the Hyderabad Local Head Office comprises of four Zonal
Offices (Zones) at Hyderabad, Vijayawada, Visakhapatnam and Tirupathi covering all the Districts of Andhra
Pradesh. In terms of the settlement the Management after following the procedure laid down therein prepared the
panels of qualified candidates of temporary employees denoted as 1989 panel and also panel of casual/daily wagers
denoted as 1992 panel for giving a chance for being considered for permanent absorption. These panels were
prepared zone-wise separately for messengers and non-messengers in the descending order of temporary service put in
by the candidates during the stipulated period i.e., 1.7.1975 to 31.7.1988. That the Federation approached the
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[PART II—SEC. 3(ii)]
Regional Labour Commissioner(C) for implementation of bi-partite settlement in respect of absorption of temporary
employees. The Regional Labour Commissioner(C) conducted conciliation proceedings and an agreement was
arrived between the Federation and the bank. It was agreed that it would be kept alive upto March, 1997. A copy of
the conciliation proceedings dated 9.2.1995 signed by the parties is filed as material paper. A settlement was arrived
at and an agreement was signed between the Federation and the Management bank on 30.7.1996 under Sec.2 (p) read
with Sec.18(1) of the Industrial Disputes (Central) Rules, 1957, which is hereinafter called as 5th settlement. That on
27.2.1997 a Memorandum of understanding was also signed by the federation‘s affiliate and the bank Management
recording the fact that the exercise of identifying the messengerial vacancies as on 31.12.1994 has since been
completed by Central Office and thereby 403 messengerial vacancies were sanctioned . It was agreed that these
vacancies may be filled from 1989 panel of temporary employees after effecting conversion from full time non-
messengerial staff in the usual manner and the agreement was reached accordingly. It was agreed between the
Federation's affiliate and the Management bank that in terms of the settlement dated 30.7.1996 both the panels of
temporary employees and daily wagers/casual employees would lapse on 31.3.1997. That as agreed upon vacancies
were filled from the panels. The Workman who has put in an aggregate temporary service of less than 240 days in a
continuous block of 12 months period during 1.7.1975 to 31.7.1988 has no right to seek a direction to consider his
candidature for absorption in the Management bank under any rule/law except under the settlement entered into
thereon.
17.
Respondent contended that, in fact, the case of the Workman can be considered under all the five settlements
having got his case considered under provisions of these settlements. All the other provisions and terms of the
settlements are also binding on him/her. The Management bank has not violated any of the provisions of the terms of
the said settlement. That the very preparation and maintenance of panel is in compliance of the terms agreed under
these settlements. These settlements were time bound and they ceased to exist on 31.3.1997. That the bank has never
promised that all the candidates in the panel will be absorbed. In the advertisement itself it was made clear that
candidates will be considered for absorption in the vacancies that may arise upto 1992. Keeping alive the panels after
31.3.1997 is contrary to the settlements arrived between the State Bank of India Staff Federation and the Management
bank. That the settlements are binding on the parties. The Workman is also bound under the terms of the said
settlement. The settlement does not suffer from any ambiguity as their language is very clear. The right under the
settlements is to give them a chance to be considered for future appointment in the bank's services against the
vacancies likely to arise. The settlements were effected to balance the expectations of the temporary employees to be
absorbed in permanent service as against the constitutional rights for all eligible persons to be considered for
employment every time a vacancy arises. That the alleged dispute including the demand for reinstatement has to be
decided in this context. It is submitted that the period of panel list got expired on 31.3.97 and it is an integral term of
the settlement and cannot be modified in any proceedings under the law. These temporary employees who
unfortunately could not be accommodated for want of vacancies have no further rights to be considered for
regularization. That the Hon'ble High Court in WP No.12964/94, held as follows, "It is needless to state that the
settlement arrived at between the All India State Bank of India Staff Federation which, is the majority union and the
bank Management is binding on the Workmen also. It is not at all the case of the Workman that any of the terms of
the settlement has been violated by the bank's Management. If the Workman had worked in the bank on part-time
basis before 31.5.94, that itself would not vest in him a right to claim that his services should be regularized on
permanent basis against a full time cadre post. The claim put forth by the Workman in the present petition is therefore
misconceived and not tenable. However, it is open to the Workman to claim any right which flows from the
settlement between the union and the bank Management. As already pointed out that it is not the grievance of the
Workman that some right which has flown from the settlement in favour of the Workman has been denied by the bank
Management. Therefore, I do not find any ground, let alone substantial ground, to grant the kind of relief sought for
by the Workman. Writ Petition fails and is accordingly dismissed. No costs."
18.
Further, it is contended that if the panels were not lapsed at the end of designated period and allowed to be
continued it would result in making the contracts of temporary employment indirectly permanent through back door
entry, which would not only be contrary to the settlements but also to Articles 14 and 16 of Constitution of India and
deprive the chances of original claimants who would Come through proper recruitment procedure. As their rights
have been crystallized by operation of the settlements. Hence, there is no question of any Legitimate expectation
being violated.
19.
Similarly placed ex-employees filed WP No.9206/1995 and the batch before the Hon'ble High Court of A.P.
and the learned Single Judge allowed the Writ Petitions. Aggrieved by the same WA No.86/98 and the batch was
filed and the Division Bench set aside the order of the Single Judge. Thereafter the ex-temporary employees filed
Special Leave Petition No.11886-11888 of 1998 before the Hon'ble Supreme Court of India. The Hon'ble Supreme
Court of India also dismissed the SLP. Therefore, reference to the Judgement of the Learned Single Judge in WP
No.9206/97 is of no consequences as the same has already been set aside. The observations made in the Judgements
cannot be relied upon for any purpose what so ever. The question of operation of Sec.25F would not come into play.
Further the issue is covered by various Judgements of Hon'ble Supreme Court of India and various Hon'ble High
Courts. Hence, the reference may be ordered that the Workman is not entitled for any relief.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1469
20.
In order to fortify his claim Workman has examined himself as WW1 and also filed documents in evidence
which has been exhibited as Ex.W1 to W5. Further, the Workman has filed photocopies of documents in support of
his claim which are discussed as under:-
Ex.W1 is the service certificate. Ex.W2 is the interview letter. Ex.W3 is the empanel list. Ex.W4 and Ex.W5 are the
service certificates.
21.
On the other hand, Respondent has examined witness MW1 Sri K. Bala Kotaiah and this witness has
exhibited 12 documents, marked as Ex.M1 to M12. The details of these documents are as follows:-
Ex.M.1 is the Settlement dated 17.11.1987. Ex.M2 is the Settlement dated 16.7.1988. Ex.M3 is the Settlement
dated 27.10.1988. Ex.M4 is the Settlement dated 9.1.1991. Ex.M5 is the Minutes of the conciliation proceedings
dated 9.6.1995. Ex.M6 is the Settlement dated 30.7.1996. Ex.M7 is the Memorandum of Understanding dt.
27.2.1997. Ex.M8 is the Particulars of 1989 Non Messenger Panel. Ex.M9 is the Particulars of 1989 Non-
Messengerial Panel. Ex.M10 is the Particulars of 1992 Panel. Ex.M11 is the Judgment of Hon‘ble High Court of
A.P. in Writ Appeal No.86/98 dt.1.5.1998. Ex.M12 is the Judgment of Hon‘ble Supreme Court of India in SLP No.
11886-11888 of 1998 dt.10.8.1998.
22.
Apart from afore mentioned documents, Learned Counsel for Workman has also filed a long list of various
judgements of Hon‘ble Supreme Court as well as Hon‘ble High Court, which we will discuss at appropriate place in
this Award.
23.
Heard the argument of Learned Counsel for Workman as well as for Respondent.
24.
On the basis of rival pleadings of both the parties and submissions made by the Learned Counsel for both
the parties, following points arise for determination in the industrial dispute :-
I.
Whether the 1st settlement dated 17.11.1987, 2nd settlement dated 16.7.1988, 3rd settlement dated
27.10.1988, 4th settlement dated 9.1.1991 and 5th settlement dated 30.7.1996 entered into between
State Bank of India and All India State Bank of India Staff Federation and also Memorandum of
Understanding are binding upon both the parties?
II.
Whether the action of State Bank of India, Kallur branch in terminating the services of Workman Sri
S. Aslam Basha, a Messenger with effect from 31.3.1997 is justified?
III.
Whether the Workman is entitled for absorption on permanent post in the Branch of Respondent
management as per averments made by him in the claim statement?
IV.
To what relief if any the Workman is entitled for?
Findings:-
25.
Point No.I:-
Undisputedly settlements dated 17.11.1987, 16.7.1988, 27.10.1988, 9.1.1991 and
30.7.1996, minutes of conciliation proceedings and memorandum of understanding dated 27.2.1997 were executed
between the State Bank of India and All India State Bank of India Staff Federation under section 2(p) and 18 (1) of
I.D. Act, 1947 read with Rule 58 of Industrial Disputes (Central Rules), 1957.
Section 2(p) of the Industrial Disputes Act, 1947 as follows:-
(p) "settlement" means a settlement arrived at in the course of conciliation proceeding and includes a written
agreement between the employer and workmen arrived at otherwise than in the course of conciliation proceeding
where such agreement has been signed by the parties thereto in such manner as may be prescribed and a copy thereof
has been sent to an officer authorised in this behalf by the appropriate Government and the conciliation officer;
Section 18(1) provides as follows:-
18. Persons on whom settlements and awards are binding.
- [(1) A settlement arrived at by agreement between the employer and Workman otherwise than in the course of
conciliation proceeding shall be binding on the parties to the agreement.
Therefore, in view of the provision contained u/s.18 (1) I.D. Act, 1947, terms and conditions enumerated in the
aforesaid settlements are binding on the parties to the agreement. The Learned Counsel for Workman has argued that
the Workman after going through the selection procedure has successfully been listed in the panel for appointment on
the permanent basis in the Respondent management and the empanelled list has to be valid till last person in the
empanelled list is appointed on permanent basis. But the impugned order dated 25.3.97, 27.3.97 and 31.3.97, has been
issued by Respondent management thereby the services of the Workman has been terminated and the said order is not
in consonance of the terms of the agreement entered into between the parties. Further, Workman submits that the
Respondent in the 5th settlement has mentioned the date i.e., 31.3.1997 for lapse of empanel list which is illegal and
that is not binding upon the Workman. The condition of lapse of empanelment list on 31.3.97 incorporated in the
aforesaid 5th settlement, is arbitrary and illegal.
1470
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
26.
The perusal of the impugned order dated 25.3.1997 goes to reveal that the Chief/Branch Manager, SBI Zonal
Office has issued the letter to all the branches with regard to the subject not to make any temporary appointments in
the Branch in messengerial category from 1.4.1997. The extract of the said letter is given below:-
―We have been advised by the Deputy General Manager, Zonal Office, Hyderabad that as both the panels of
temporary employees of 1989 and daily wagers/casual labours of 1992 will lapse by 31.3.1997, it has been decided
by Central Office not to make any temporary appointments in messengerial category from 1.4.1997.‖
Thus, from the contents of the aforesaid letter, it manifest that Head Office of State Bank of India vide letter dated
25.3.1997 has issued direction to all its branches not to make any temporary appointments in messengerial category
from 1.4.1997 due to reason of lapse of both panels i.e., 1989 & 1992 on 31.3.1997 as per terms of settlements
entered into by both parties. Further, the contents of the subsequent letter dated 27.3.1997 issued by Respondent
Management is also direction to Branch Manager, State Bank of India not to make any temporary messengerial
category appointment with effect from 1.4.1997 and it has also been communicated to all concerned that the panels of
temporary employees and daily wagers maintained by Zonal offices stand lapsed from 31.1.1997. Further, office
order dated 31.3.1997 has been issued by Respondent management that goes to reveal that the said office order has
been issued to this effect that, ―Consequent on absorption of temporary employees in permanent cadre, it has been
decided by the competent authority that no one onwards, no further daily labour or temporary
employees/appointments should be resorted to/engaged/employed.‖ Therefore, it reflects from the contents of the
aforesaid orders that the temporary appointment in messengerial category and daily labour has been stopped by the
Respondent management with effect from 1.4.1997 because of the lapsed of panel of temporary workers and daily
wagers by 31.3.1997. The agreement for lapse of both the panels on 31.3.1997 is contained in the 5th settlement
which has been arrived at between the parties on dated 30.7.1996 with the consensus of both the parties. Therefore,
Workman can not challenge the terms and conditions contained in settlement dated 30.7.1996 regarding lapse of
panel on 31.3.1997 as agreed between State Bank of India and State Bank of India Staff Federation. As per provision
contained u/s.18(1) of I.D. Act, 1947 the said Agreement dated 30.7.1996 is binding on both the parties.
In the case of Allied Sales Corporation Secunderabad vs.The Authority Under Andhra Pradesh..... 1990 II LLJ
510 AP para 414, Hon‘ble Court have held:-
―4. There was a settlement between the Management and the workmen under Section 18(1) of the Industrial Disputes
Act on 25th April 1983 under which the age of superannuation of the workmen was fixed at 55 years. The settlement
was to be in force upto 30th June 1986 and the next settlement, incorporating practically the same terms, was again
entered into on 4th February 1987 under Section 18(1) of the Industrial Disputes Act. There is no dispute that these
settlements are under Section 18(1).
14. Now the Authority constituted under Section 41(1) of the Act is an authority with very limited jurisdiction. It can
only decide in the first appeal whether a termination by the management is valid or not and is within the parameters
of Section 40 of the Act. The said Authority, in our view, has absolutely no jurisdiction to decide whether a settlement
entered into under Section 18(1) of the Industrial Disputes Act between the representatives of the Workmen and of the
Management, is vitiated by undue influence or misrepresentation or coercion on the part of the Management. The
Authority, namely, the Assistant Commissioner of Labour, was never intended by the A.P. Legislature to have
jurisdiction to go into the question of the validity of a settlement arrived at under Section 18 of the Industrial Disputes
Act by an Industrial Court. That Parliament has, in fact, constituted Industrial Courts under the Industrial Disputes
Act, with extensive powers cannot be disputed. What we mean to say is that the Authority under Section 41(1) of the
A.P. Act has no jurisdiction what-so-ever either to question or to decide about the validity of any such settlements. If
parties to a settlement have a grievance about the validity of a settlement, it is for them to agitate the matter before the
appropriate forum and they cannot ask an Authority constituted under Section 41(1) of the A.P. Shops and
Establishments Act, 1966 with limited jurisdiction, to go into any such question and, that too, incidentally while
deciding whether retirement as per the contract of employment, is legal or not.”
It is not the case of Workman that aforesaid settlements are vitiated by undue influence or misrepresentation or
coercion on the part of the management. If the Workman feeling aggrieved by any terms of settlement/ agreement on
the aforementioned grounds then he can challenge of settlement before a competent authority under the Act, 1947.
But here in the instant matter it is not a case of Workman that aforementioned settlement has been entered into
between the parties on the ground of undue influence or misrepresentation or coercion. Therefore, Workman is barred
to raise any objection in respect of fixing the date of lapse of both panels on 31.3.1997 as agreed between both the
parties and Workman can not challenge any terms of said Agreement.
Further in the case of Herbertsons Limited Vs. Workmen of Herbertsons Limited and Ors, 1977 AIR 322,
Hon‘ble Supreme Court have held:-
The Tribunal thought that the question of the quantum of membership of the 2nd Respondent did not call for a finding
at all in view of 1his Court's order. As observed above that was not a correct assumption. On the other hand, we feel
that this view of the Tribunal has led it to approach the matter in an entirely erroneous manner. The Tribunal is,
rightly enough, conscious that under section 18 (1) of the Industrial Disputes Act the settlement was binding on the
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1471
company and the members of the 3rd Respondent union. Even so, the Tribunal devoted nearly half of its order in
scanning the evidence given by the company and Respondent No. 3 to find out whether the terms of the settlement had
been explained by the President of the union to the workmen or not and whether the workers voluntarily accepted the
settlement knowing all the "consequences". This to our mind is again an entirely wrong approach.
“When a recognised union negotiates with an employer the workers as individuals do not come into the picture. It is
not necessary that each individual worker should know the implications of the settlement since a recognised union,
which is expected to protect the legitimate interests of labour, enters into a settlement in the best interests of labour.
This would be the normal rule. We cannot altogether rule out exceptional cases where there may be allegations of
mala fides, fraud or even corruption or other induce- ments. Nothing of that kind has been suggested against the
President of the 3rd Respondent in this case. That being the position, prima facie, this is a settlement in the course of
collective bargaining and, therefore, is entitled to due weight and consideration.
It is not possible to scan the settlement in bits and pieces and hold some parts good and acceptable and others bad.
Unless it can be demonstrated that the objectionable portion is such that it completely outweighs all the other
advantages gained the Court will be slow to hold a settle- ment as unfair and unjust. The settlement has to be
accepted or rejected as a whole and we are unable to reject it as a whole as unfair or unjust. Even before this Court
the 3rd Respondent representing admittedly the large majority of the workmen has stood by this settlement and that is
a strong factor which it is difficult to ignore. As stated elsewhere in the judgment, we cannot also be oblivious of the
fact that all workmen of the company have accepted the settlement. Besides, the period of settlement has since expired
and we are informed that the employer and the 3rd Respondent are negotiating another settlement with further
improvements. These factors, apart from what has been stated above, and the need for industrial peace and harmony
when a union backed by a large majority of workmen has accepted a settlement in the course of collective bargaining
have impelled us not to interfere with this settlement. That being the position, we unhold the settlement as fair and just
and order that the award of the Tribunal shall be substituted by the settlement dated October 18, 1973. The said
settlement shall be the substituted award. The appeal is disposed of accordingly. There will be no order as to costs.”
Therefore, in view of the law laid down by the Hon‘ble Apex Court as discussed above, the contention of the
Workman that the date fixed for lapse of empanelled list on 31.3.1997 for appointment to the permanent post vide 5th
Settlement dated 30.7.1996 is arbitrary, illegal is not untenable. The recognized union of Workmen has negotiated
with the Respondent Bank Management representing large number of Workmen and the Workman as individual do
not come into picture. Workman in the instant case has work as temporary Workmen in the Respondent Branch and
in response of Notification he had applied for inclusion of his name in the panel and he was selected for inclusion
his name in the panel list to be utilized for absorption of such Workman to permanent post in order of their seniority
in the list. The Settlement dated 30.7.1996 between State Bank of India and All India State Bank of India Staff
Federation under Sec.2(p) and Sec.18(1) of I.D. Act, 1947 has clearly provided as regard non-messengerial position
and it is agreed that all such posts sanctioned fallen vacant upto 31.3.1997 shall be filled before empanel list is
allowed to lapse. Thus, in view of law laid down by the Hon‘ble Apex Court, in the instant case, Agreement dated
30.7.1996 was entered into between both the parties in respect of lapsing of the both the panels on 31.3.1997 and
absorption of the Workmen from panel list was subject to availability of vacancy of post likely to arise upto
31.3.1997, have a binding force on Workman as well as management of State Bank of India in view of provision
contained under section 18 (1) of I.D. Act, 1947.
Thus, Point No.I is answered against the Workman and in favour of the Respondent.
27.
Point No.II:- Firstly, it is submitted on behalf of the Workman that the Respondent has terminated his
services by oral order on 31.3.1997 without issuing any notice or paying any salary or compensation in lieu thereof.
Therefore, the termination order of the Workman from service is in violation of provision contained Under Section 25
F of I.D. Act, 1947. Therefore, the order is liable to be set aside.
28.
On the other hand, Respondent counsel contended that Workman has not worked for 240 days in any
preceding calendar year. Therefore, reference of the industrial dispute is not relevant. In this context, the Workman
has examined himself as WW1 who has reiterated that Workman has been terminated from service by Respondent on
31.3.1997 without notice of salary or compensation in lieu thereof. Before examining the claim of the Workman on
merit it would be apposite to reproduce the provision contained under section 25 F:-
Section 25F provides:-
Conditions precedent to retrenchment of workmen.- No Workman employed in any industry who has been in
continuous service for not less than one year under an employer shall be retrenched by that employer until—
(a) the Workman has been given one month' s notice in writing indicating the reasons for retrenchment and the period
of notice has expired, or the Workman has been paid in lieu of such notice, wages for the period of the notice:
(b) the Workman has been paid, at the time of retrenchment, compensation which shall be equivalent to fifteen days'
average pay for every completed year of continuous service] or any part thereof in excess of six months; and
1472
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
(c) notice in the prescribed manner is served on the appropriate Government or such authority as may be specified by
the appropriate Government by notification in the Official Gazette].
Compensation to workmen in case of transfer of undertakings.
Section 25B defines the term continuous service which provides
Definition of continuous service.- For the purposes of this Chapter,--
(1) a Workman shall be said to be in continuous service for a period if he is, for that period, in uninterrupted service,
including service which may be interrupted on account of sickness or authorized leave or an accident or a strike
which is not illegal, or a lock- out or a cessation of work which is not due to any fault on the part of the Workman;
(2) where a Workman is not in continuous service within the meaning of clause (1) for a period of one year or six
months, he shall be deemed to be in continuous service under an employer--
(a) for a period of one year, if the Workman, during a period of twelve calendar months preceding the date with
reference to which calculation is to be made, has actually worked under the employer for not less than--
(i) one hundred and ninety days in the case of a Workman employed below ground in a mine; and
(ii) two hundred and forty days, in any other case;
In order to prove the fact of 240 days of service within 12 months of a calendar year just preceding from the date of
termination, the initial burden of proof lies upon the Workman and the Workman has to prove this factum by
adducing his oral as well as documentary evidence in support of his claim.
Further, how to calculate 240 days of service by the Workman in a calendar year. In this context the reference of
decisions of Hon‘ble Supreme Court is relevant and the same are discussed below:-
In Rajasthan State Ganganagar S. Mills Ltd. v. State of Rajasthan and Anr. (2004) Apex Court held:
"It was the case of the Workman that he had worked for more than 240 days in the year concerned. This claim was
denied by the appellant. It was for the claimant to lead evidence to show that he had worked for 240 days in the year
preceding the date of his termination. He has filed an affidavit. It is statement which is in his favor and that cannot be
regarded as sufficient evidence for any Court or Tribunal to come to the conclusion that in fact the claimant had
worked for 240 days in a year These aspects were highlighted in Range Forest Officer v. S.T. Hadimani (2002 (3)
SCC 25. No proof of receipt of salary or wages for 240 days or order or record in that regard was produced. Mere
non-production of the muster roll for a particular period was not sufficient for the Labour Court held that the
Workman had worked for 240 days as claimed."
In Municipal Corporation, Faridabad v. Siri Niwas (2004 (8) SCC 195), held "the burden was on the Workman to
show that he was working for more than 240 days in the preceding one year prior to his alleged retrenchment." In
M.P. Electricity Board v. Hariram (2004 (8) SCC 246) the position was again reiterated in paragraph 11 as follows:
"The above burden having not been discharged and the Labour Court having held so, in our opinion, the Industrial
Court and the High Court erred in basing an order of reinstatement solely on an adverse inference drawn erroneously
..‖
In the case of Manager, RBI, Bangalore vs. S Mani (2005) SCC Page 100, the 3 Judges Bench of the Apex Court
held that "the initial burden of proof was on the Workman to show that he had completed 240 days of service."
Hon'ble Apex Court in the case of Mohan Lal vs Management BEL 1981 SCC page 225 has laid down the
principle that how to count 240 days of service within one year it is held: "Clause (2)(a) provides for a fiction
to treat a Workman in continuous service for a period of one year despite the fact that he has not rendered
uninterrupted service for a period of one year but he has rendered period of 240 days during the period of 12
calendar service for months counting backwards and just preceding the relevant date being the date of retrenchment.
In other words, in order to invoke the fiction enacted in clause (2)(a) it is necessary to determine first the relevant
date, ie the date of termination of service which is complained of as retrenchment. After that date is ascertained. move
backward to a period of 12 months just preceding the date of retrenchment and then ascertain whether within the
period of 12 months, the Workman has rendered service for a period of 240 days. If these three facts are affirmatively
answered in favor of the Workman pursuant to the deeming fiction enacted in clause (2)(a) it will have to be assumed
that the Workman is in continuous service for a period of one year and he will satisfy the eligibility qualification
enacted in Section 25-F"
“14. We have already extracted section 25B since its amendment and the change in language is the legislative
exposition of which note must be taken. In fact, we need not further dilate upon this aspect because in Surendra
Kumar Verma and Ors. v. Central Government Industrial-cum-Labour Court, New Delhi and Anr., Chinnappa
Reddy. J., after noticing the amendment and referring to the decision in Sur Enamel and Stamping Works (P)
Ltd case, held as under:
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1473
"These changes brought about by Act 36 of 1964 appear to be clearly designed to provide that a Workman who has
actually worked under the employer for not less than 240 days during a period of twelve months shall be deemed to
have been in continuous service for a period of one year whether or not he has in fact been in such continuous service
for a period of one year. It is enough that he has worked for 240 days in a period of 12 months, it is not necessary that
he should have been in the service of the employer for one whole year."
In a concurring judgment Pathak J. agreed with this interpretation of section 25B(2). Therefore, both on principle and
on precedent it must be held that section 25B(2) comprehends a situation where a Workman is not in employment for
a period of 12 calendar months, but has rendered service for a period of 240 days within the period of 12 calendar
months commencing and counting backwards from the relevant date, i.e. the date of retrenchment. If he has, he would
be deemed to be in continuous service for a period of one year for the purpose of section 25B and
Chapter VA.”
Thus, in view of the law laid down by the Hon‘ble Apex Court as discussed above the initial burden of proof lies
upon the Workman to show that he has completed 240 days of the service with the Respondent just preceding from
the date of his termination. Further, in respect of the employment of calculating the 240 days service in view of the
contents of Section 25-F read with Section 25-B of the I.D. Act, 1947.
29.
Now, in view of the provision contained under Section 25 F and law laid down by the Hon‘ble Apex Court,
we have to examine whether the Workman has discharged his initial burden of proof in respect of his claim of 240
days continuous service in a calendar year just preceding from the date of his termination i.e., 31.3.1997.
In this context, WW1 in his cross examination has stated that,
“I am not sponsored by any employment exchange. I did not undergo regular selection process required for regular
appointment in the bank .”
Thus, it is clear from the testimony of WW1 that the Workman had not worked for 240 days continuously in any 12
months of a calendar year just preceding from the date of his termination in the Respondent bank. Therefore,
Workman failed to establish his plea by his oral and documentary evidence that he had worked for 240 days
continuously in calendar year just preceding from the date of his termination i.e., 31.3.1997. Thus, the claim of the
Workman that he has been terminated by oral order without issuing notice or payment in lieu after termination, in
contravention of Section 25 F of Industrial Disputes Act, 1947 is not tenable. However the documents filed by the
Workman in support of his claim, number of days worked with the Respondent goes to reveal that the Workman had
worked intermittently as daily wager depending upon availability of work in branch. Workman did not file any
document of appointment letter or salary slips in support of his claim for appointment as a non-messenger in the
Respondent branch on temporary basis.
30.
Per contra, the Learned Counsel for Respondent has submitted the allegation of Workman that he was
terminated from services is not correct. As the vacancies were filled up on regular basis in order of their respective
seniority the non-engagement of the Workman does not amount to termination. Further, Respondent contended that
no law provide that even though there is no work temporary employee should be continued in the bank work as the
very engagement of Workman was subject to availability of work. Therefore, the allegation that the bank has
indulged in unfair labour practice is incorrect.
31.
Thus, in view of the fore gone discussion and contentions made by the Respondent, I find the force in the
argument advanced by the Respondent that in the instant matter, Workman was not terminated from service by order
dated 31.3.1997 rather he was disengaged in view of the non-availability of the work in the branch. Further, there
was direction issued by the Head Office of the Respondent authority not to engage any daily wager Workman/
temporary Worker w.e.f. 1.4.1997. Thus, such disengagement of Workman does not amount to termination.
Moreover, the Workman failed to prove his claim that he was terminated in contravention of provision of Sec.25F of
the I.D. Act, 1947 as he failed to establish his plea by any oral or documentary evidence that he had worked for 240
days continuously in a twelve months of calendar year just preceding from date of termination i.e., 31.3.1997.
32.
Further, perusal of the order dated 25.3.1997 goes to reveal that the Chief Branch Manager, State Bank of
India has issued the letter to Zonal Office with direction to all its branches to this effect that they have been advised
by the DGM, Zonal Office, Hyderabad that as both the panel of temporary employees of 1989 and daily wagers/casual
labour of 1992 will lapse on 31.3.1997 it has been decided by central office not to make any temporary appointments
in messengerial cadre from 1.4.1997, therefore it was directed to issue suitable instructions not to make temporary
appointments from 1.4.1997. There is no mention in this order that the Workman herein has been terminated from
service by this order.
33.
Further, the circular dated 27.3.1997 was issued by DGM, SBI to all branches in commercial network in
respect of the non-appointment of temporary employees in subordinate cadre and it has directed not to make any
temporary employment in the subordinate cadre with effect from 1.4.97 and further, it has directed to ensure that no
temporary/casual/daily basis appointment of the petty cash. Further, it is directed to all Branch Managers that any
deviation in this regard will be viewed seriously. Thus, these circulars do not reflect that the Workman has been
1474
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
terminated from service by this order.
34.
Similarly, office order dated 31.3.1997 is simply a direction to all branches of the Respondent bank by DGM
that no further daily labour should be engaged or employed. Therefore, the plea of the Workman that he has been
terminated by the aforesaid order dated 25.3.1997, 27.3.1997 and 31.3.1997 from the service by the Respondent is not
acceptable. The evidence adduced by the Workman clearly goes to reveal that he had worked as a daily wager for
which he has been paid wages according to number of working days. As there was an order for prohibition for
engaging temporary workmen, in the bank, therefore, Workman could not be engaged by the Respondent for work
from 1.4.1997 and there after. It is settled law that the daily wagers are engaged by the employer depending upon
the availability of work and as the work was not available the Workman was not engaged further by the Respondent
management. Therefore, the Workman on the ground of number of days he had worked in the Respondent bank
cannot claim any right to reinstate him into the employment. As the Workman failed to prove the mandatory
condition of 240 days of continuous service as required under Sec.25F of I.D. Act, 1947. Therefore, the
disengagement of Workman from work can not be termed in contravention of provision contained under Sec.25F and
25 B of the I.D. Act, 1947.
Thus, this point is answered against the Workman and in favour of Respondent.
35.
Point No.III:- In this context, the Workman has contended that the management failed to implement the
selected panels during its valid tenure. The management adopted the back door methods contrary to the settlements
and filled up the vacancies. The same is evident from the proceedings dated 18.11.1993 a copy of the same is filed in
the material papers and the same may be read as part of the claim statement. Further, it is submitted that management
has to adhere the procedure issued by the Central Government, the instructions dated 16.8.1990 in the year 1995, but
same was not followed in the year 1997 despite there being vacancies. The management has followed the procedure of
calling candidates through employment exchange instead of giving chance to the empanelled candidates like the
Workman herein. The management sent call letters to the similarly situated candidates like the Workman in the month
of June 1997 subsequent to issuance of impugned termination orders. After knowing the fact that they are litigating
the issue by way of dispute, the management has refused to engage those candidates, the copies of call letters issued
are filed herein along with claim petition. The Workman herein reiterates that the panels are meant for absorption but
not for termination. In view of the same a duty is cast upon the Respondent management to engage the empanelled
candidates like the Workman herein even in temporary vacancies till they are absorbed permanently in regular
vacancies.
36.
On the other hand, Respondent has contended that the Federation approached Regional Labour
Commissioner (Central) for implementation of bipartite settlement in respect of the absorption of temporary
employees. The Regional Labour Commissioner (Central) conducted conciliation proceedings and agreement was
arrived at between the Federation and the Management bank. It is submitted that it was agreed between the
Federation and the Management that both the panels of temporary employees and daily wagers /casual labour would
be kept alive upto March, 1997 and the vacancies as agreed to under the afore set out settlements will be filled from
both the lists concurrently. A copy of the conciliation proceedings dated 9.6.1995 signed by the parties to the dispute
is filed as a material paper. Further, it is submitted that the settlement was arrived at and an agreement was signed
between the Federation and the Management bank on 30.7.1996 under Section 2(p) read with Section 18(1) of the
Industrial Disputes (Central) Rules 1957 which is binding on the parties. A copy of this agreement which hereinafter
may be referred to as 5th settlement for brevity, is also filed as a material paper. The 5th settlement dated 30.7.1996
whereunder the earlier four settlements dated 17.11.1987, 16.7.1988, 27.10.1988 and 9.1.1991 were also referred, it
was agreed to, by the Federation and the Management bank that both the panels of temporary employees and daily
wagers/casual employees will be kept alive upto March, 1997 for filling the vacancies existing/arrived at as on
31.12.1994 as per the norms agreed to between the bank and Federation and that thereafter the said panels would
lapse. It was also agreed that within the framework of the above settlements the modalities about drawing names from
either the panel of temporary employees or the panel of daily wagers and casual labour would be decided
administratively on circle to circle basis depending upon the local requirements in consultation with the Federation‘s
affiliate by the Circle management. It was further agreed that all messenger real vacancies/positions in the subordinate
cadre including part-time attendants specifically provided as leave reserve will be filled by the end of 31.3.1997.
Further, Respondent contended that on 27.2.1997 a memorandum of understanding was also signed between the
Federation‘s affiliate and the bank management regarding the fact that the exercise of identifying the messengerial
vacancies as on 31.12.1994 has since been completed by central office and thereby 403 messengerial vacancies were
sanctioned to the circle of the Management bank and it was agreed that these vacancies may be filled from 1989 panel
of temporary employees after effecting conversion from full time non-messengerial staff in the usual manner and the
agreement was reached upon. Further, it was agreed between the Federations affiliate and the management bank
that in terms of the settlement dated 30.7.1996 both the panels of temporary employees and daily wagers /casual
employees would lapse on 31.3.1997.
37.
The Workman has contended that the empanelled list prepared by the Respondent management for
appointment of temporary and daily wage Workers to the permanent post cannot lapse unless until it is exhausted by
appointing all the empanelled persons and it should continue even after 31.3.1997, i.e., the date fixed for the lapse of
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1475
panel. It is undisputed that the date of lapse of empanelled list of Workmen has been fixed to 31.3.1997 as
mentioned in the settlement dated 30.7.1996, and agreed between the parties. It is settled law that and once the life
of panel list lapses on the date as agreed between the parties it cannot be extended beyond that date. In the instant
case the panel list of the workmen was valid upto 31.3.1997 in view of the terms and conditions enumerated in the 5th
Settlement entered into between the parties. As the lapse of panel i.e., 31.3.1997 has been agreed by State Bank of
India and State Bank of India Staff Federation through 5th Settlement, the Workman is not competent to challenge the
same.
In this context I would like to take reference of the decision of the apex court in the case of Syndicate Bank and Ors
vs. Shankar Paul and Ors , AIR 1997 SC 3091, therein the Hon‘ble Apex Court have held:-
“Till 1982, the branches of the appellant Bank in Calcutta region were recruiting persons locally to work as
temporary attenders in leave vacancies. In view of the revised procedure prescribed by the Government of India in
respect of such temporary appointments, the Calcutta regional office of the appellant Bank issued a circular to all of
its branches on 14.8.1982, instructing all the branches under it to discontinue the old practice from 1.6.1982 and
appoint only empanelled candidates. The regional office was to prepare a panel of eligible candidates, after calling
names from the local/district employment exchange, and split it up branch-wise. Following that new procedure yearly
panels were prepared thereafter. Names of the Respondents were for the first time included in the panel prepared for
the period 7.2.1987 to 6.2.1988. By its letter dated 7.2.1987 the Bank had informed the Respondents that the panel
was valid for one year only and that inclusion of their names in the panel was not to confer on them any right to seek
permanent appointment in the service of the bank. Considering the object with which the panel was prepared and the
fact that it was an yearly panel expiring on 6.2.1988, we are of the opinion that the Respondents did not get any right,
because of inclusion of their names in the said panel, for permanent absorption in the service of the Bank. Whatever
conditional right they had came to an end with the expiry of the panel. The claim of the Respondents, as contained in
the writ petition was thus misconceived and therefore the learned single Judge and the Division Bench, when it first
decided the appeal, were right in dismissing the writ petition and the appeal respectively.”
Thus, in view of the above law laid down by the Hon‘ble Apex Court and in view of the terms and conditions of the
5th Settlement the contention of the Workman that empanelled list should continue even after 31.3.1997 till the last
Workman in the panel is absorbed is not tenable. The contention of the Workman is baseless in view of recital in
the settlement. Therefore, in view of the fore gone discussion and finding given at Point No. I regarding binding
nature of Settlements and terms and conditions enumerated therein, in view of the provision contained u/s.18(1) of the
I.D. Act, 1947, I am of the considered view that life of panels lapsed on 31.3.1997 in view of terms of settlement
dated 30.7.1996 and plea of Workman that the panel shall continue even after 31.3.1997 till last man absorbed has
no legal force and same is untenable.
38.
Undisputedly, settlement agreement dated 30.7.1996 was executed between the State Bank of India and
State Bank of India Staff Federation and in that settlement it was agreed that both the panels of temporary employees
and daily wagers/ casual employees will be used for filling vacancies existing as on 31.12.1994 as per the norms
agreed between the bank and the Federation. These empanelled workmen were to be given a chance for permanent
appointment in the bank against vacancies arising up to December 1994 whereas the daily wagers/ casual employees
were to be considered against the vacancies arise from January 1995 to December 1996, whereby the said panel
would lapse. It was agreed that the vacancies falls upto 31.3.1997 shall be filled before the empanelled list is
allowed to lapse. Thus, the claim of the Workman to the post of permanent non-messenger in the Respondent
management was subject to the availability of the sanctioned post and vacancies arising upto 31.3.1997. The
workmen given chance to the permanent post were seniors in number of working days in panel list and Workman
herein was junior to those workmen. Therefore, Workman could not be given absorption to permanent post being
junior to other workmen in the panel list.
39.
In this context the Workman witness WW1 was cross examined by the Respondent counsel and in the cross
examination the witness WW1 states:-
“I applied in response to the notification issued by the bank in response to the notification issued by the bank as per
the settlement. …. Further witness states, I do not know that the temporary employees who were included in the panel
were given regular appointment in the bank as per the settlements in order their seniority in number of days.”
Thus, from the above statement of the Workman witness WW1 it is clear that the panel was prepared in terms of
various settlements entered into between Staff Federation of State Bank of India and State Bank of India and it was
prepared on the basis of number of days of work put in by the temporary employees. Further, the Workman himself
admitted that some of the temporary employees whose names were included in the panel were given regular
appointment in the bank in order of their seniority in the panel and he is not having any document to show that any
person who worked for less number of days than the Workman was given appointment in the bank. Therefore, the
allegation of the Workman that the regular appointment has been made by the bank from the panel list in breach of the
terms of the settlement and violation of seniority of panel list is not proved by this evidence of WW1. Thus, there is
no evidence on record that bank has given the appointment to the temporary employees as well as daily wagers from
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[PART II—SEC. 3(ii)]
the panel list 1989 and 1992 in breach of seniority of the temporary employees in the list. There is no evidence of
jumbling in the panel list to make appointment of any permanent Workman in breach of the seniority. Therefore, I
am constrained to hold that the Respondent Management has appointed the workmen from panel list in order of
seniority and there is no jumbling of workmen in the panel list before it got lapsed on 31.3.1997.
40.
However, Workman has taken the plea that the panels of Workmen for absorption in the employment of the
Respondent banks (panels of temporary employees and daily wagers) has been lapsed on 31.3.1997 in contravention
of terms of settlement as the object of preparing the entire empanelment of temporary and daily wagers was to provide
them permanent employment and till the both the panel lists exhausted the panel list cannot be lapsed on 31.3.1997
and the date of lapsing of the panel on 31.3.1997 has been fixed by the Respondent arbitrarily without any authority.
41.
In this context, the perusal of Settlement dated 30.7.1996 reveals that the 5th Settlement dated 30.7.1996 was
entered under Section 2(p) and 18(1) of I.D. Act, 1947 read with Rule 58 of Industrial Dispute (Central) Rules 1957.
This settlement has been entered into by the competent parties and in this settlement parties thereto agreed that both
the panels of temporary employees and daily wagers/casual employees will lapse on 31.3.1997. Thus the date of
lapse of panel was fixed by both the parties with consensus under the settlement dated 30.7.1996 and same is
binding upon the Workman under the provision of Section 18(1) of I.D. Act, 1947. Moreover, this issue of binding
force of the settlement dated 17.11.1987, 16.7.1988, 27.10.1988 and 9.1.1991 has already been discussed, decided at
finding in Point No.I of this award. However, the legality and validity of the aforementioned settlement has not been
challenged by the Workman before any competent forum. Thus, claim of Workman that the date of lapse of panel i.e.,
31.3.1997 has been fixed arbitrarily by the Respondent bank is untenable. As regard the claim of Workman for his
absorption to the permanent post it is settled law that the Workman can not claim his regularization to permanent
post merely on the basis of number of working days.
42.
In this context the reference of the decision of Hon‘ble Supreme Court in the case of Oil and Natural Gas
Corporation vs Krishan Gopal 2020(3) SCALE 272, date of decision 7.2.2020 is relevant therein Hon‘ble
Supreme Court have has laid down principle regarding regularization of the Workman on permanent posts. Hon‘ble
Supreme Court have laid down the prepositions of regularization of the workmen to permanent post is as under:-
―(i) Wide as they are, the powers of the Labour Court and the Industrial Court cannot extend to a direction to order
regularisation, where such a direction would in the context of public employment offend the provisions contained
in Article 14 of the Constitution;
(ii) The statutory power of the Labour Court or Industrial Court to grant relief to workmen including the status of
permanency continues to exist in circumstances where the employer has indulged in an unfair labour practice by not
filling up permanent posts even though such posts are available and by continuing to employ workmen as temporary
or daily wage employees despite their performing the same work as regular workmen on lower wages;
(iii) The power to create permanent or sanctioned posts lies outside the judicial domain and where no posts are
available, a direction to grant regularisation would be impermissible merely on the basis of the number of years of
service;
(iv) Where an employer has regularised similarly situated workmen either in a scheme or otherwise, it would be open
to workmen who have been deprived of the same benefit at par with the workmen who have been regularised to make
a complaint before the Labour or Industrial Court, since the deprivation of the benefit would amount to a violation of
Article 14; and
(v) In order to constitute an unfair labour practice under Section 2(ra) read with Item 10 of the Vth Schedule of the ID
Act, the employer should be engaging workmen as badlis, temporaries or casuals, and continuing them for years, with
the object of depriving them of the benefits payable to permanent workmen.
Thus, in view of the principles laid down by the Hon‘ble Supreme Court as discussed above, in the instant matter the
Workman utterly failed to prove his claim by adducing any documentary or oral evidence that the employer has
indulged in unfair labour practice by not filling the permanent posts even though such posts are available and by
continuing to employ workmen as temporary or daily wage employees despite their performance was the same work,
as regular workmen on lower wages.
43.
Respondent has contended that all the vacancies exist and arise upto 31.3.1997 has been filled up from the
panel list in order of seniority and no vacancy exists or arises as on 31.3.1997 remained unfilled. Further, it is
contended that as per terms of settlement the life of panel lists has been lapsed on 31.3.1997, hence, there is no
occasion to extend the life of panel lists beyond 31.3.1997. However, the workman failed to prove contrary by any
evidence to the aforesaid contention of the Respondent that the vacancies were existing as on 31.3.1997 and the
workman was not given absorption to the permanent post in order of his seniority. It is settled law that the power to
create permanent or sanctioned post lies outside the judicial domain and where no posts are available, a direction to
grant regularization would be impermissible merely on the basis of the number of years of service. Therefore, the
claim of the workman on this ground also not acceptable.
44.
Further, as per the of settlement, panel was prepared for absorption of the workmen on the permanent posts
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1477
has already been lapsed on 31.3.1997 and the vacancies existing and arising upto 31.12.1994 and upto 31.3.1997 as
settlement dated 30.7.1996 has been filled up from the panel by appointing the workmen as per seniority in the panel
list. Workman witness WW1 in his cross examination has himself admitted this fact that, some of the temporary
employees whose names were included in the panel were given regular appointment in the bank in order of their
seniority in the panel. The Workman failed to show that there was any breach of terms of settlement has been
committed by the Respondent in appointment to permanent post from aforesaid panel list.
45.
As discussed in preceding paragraph of this Award, the life of the panel has not been extended beyond
31.3.1997, by any further settlement hence, the panel list in which name of the Workman was included got expired
on 31.3.1997. It is not the case of the Workman that Respondent has regularized similarly situated workmen either in
the scheme or otherwise and the Workman has been deprived of same benefit on par with those workmen or the
vacancies remained unfilled on the date of lapse of panels i.e., 31.3.1997, Industrial Tribunal has no jurisdiction to
extend the date of lapse of panel i.e., 31.3.1997. This Tribunal can not order for regularization of workmen to the
permanent post in contravention of the provision of Article 14 of the Constitution of India.
In the case of Mahboob Deepak vs. Nagar Panchayat Gajraula & Anr, Civil Appeal No.5875/2007 date of
judgement 13.12.2007, Hon‘ble Supreme Court have held:-
“8. Respondent is a Local Authority. The terms and conditions of employment of the employees are governed by a
statute and statutory rules. No appointment can be made by a Local Authority without following the provisions of the
recruitment rules. Any appointment made in violation of the said rules as also the constitutional scheme of equality as
contained in Articles 14 and 16 of the Constitution of India would be a nullity.
9. Due to some exigency of work, although recruitment on daily wages or on an ad hoc basis was permissible, but by
reason thereof an employee cannot claim any right to be permanently absorbed in service or made permanent in
absence of any statute or statutory rules. Merely because an employee has completed 240 days of work in a year
preceding the date of retrenchment, the same would not mean that his services were liable to be regularized.”
Therefore, in view of the law laid down by the Hon‘ble Apex Court, the claim of the Workman for absorption merely
on the basis of number of day of work in the Respondent bank Branch is not acceptable. As regard plea of the
Workman that the Workman should have been given employment even after 31.3.1997 as temporary Workman, it is
the discretion of Respondent to engage the Workman depending upon availability of work and this Tribunal can not
direct the Respondent to engage the Workman in the absent of such rule/scheme.
46.
In view of principle laid down by Hon‘ble Apex Court as discussed above, in the instant matter Workman
utterly failed to establish the fact of rendering continuous service for a period of 240 days of service within a period
of 12 calendar months commencing and coming backward from relevant date i.e., the date of retrenchment, if has he
would be denied to be in continuous service for a period of one year. Therefore, the provision contained under
Sec.25F of retrenchment is not applicable to Workman.
Counsel for Workman has relied upon number of decisions of Hon‘ble High Court and Hon'ble Supreme Court and
few of them are discussed herein:-
In the case of F.C.I., vs. Kamdhenu Cattle Feed Industries 1993 (1) SCC 71, therein Hon‘ble Supreme Court have
held:-
“7. In contractual sphere as in all other State actions, the State and all its instrumentalities have to conform to Article
14 of the Constitution of which non-arbitrariness is a significant facet. There is no unfettered discretion in public law:
A public authority possesses powers only to use them for public good. This impose the duty to act fairly and to adopt a
procedure which is `fairplay in action'. Due observance of this obligation as a part of good administration raises a
reasonable or legitimate expectation in every citizen to be treated fairly in his interaction with the State and its
instrumentalities, with this element forming a necessary component of the decision making process in all State
actions. To satisfy this requirement of non- arbitrariness in a State action, it is, therefore, necessary to consider and
give due weight to the reasonable or legitimate expectations of the persons likely lo be affected by the decision or else
that unfairness in the exercise of the power may amount to an abuse or excess of power apart from affecting the bona
fides of the decision in a given case. The decision so made would be exposed to challenge on the ground of
arbitrariness. Rule of law does not completely eliminate discretion in the exercise of power, as it is unrealistic, but
providers for control of its exercise by judicial review.”
In the case of State Bank of India, R.O., Vijayawada vs. Industrial Tribunal, Hyderabad WP No.193/1997,
therein Hon‘ble High Court have held,
―Sri Krovvidi Narasimham, the learned counsel for the 2nd respondent contends, supporting the award that it was a
permanent vacancy and even though the 2nd respondent was appointed on temporary basis, his services were not
liable to be terminated and he was to be regularised into service on permanent basis. Shastry award warrants that no
temporary appointment can be made to a permanent post. But the matter is now covered by two division bench
judgements dated 28.11.1986 in W.A. No.791 of 1986 and 25.8.1987 in W.A. No.270 of 1982. The ratio decided in the
two judgements is to the effect that there cannot be any mandate to appoint employees on permanent basis when the
1478
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
requirement was for appointment on temporary basis. But it is held in the said judgements that when a temporary
appointee is ousted from service and not for misconduct and, if again temporary appointment is to be made, then, the
case of such temporary appointee who was ousted, has got to be considered in accordance with Sec. 25-H of the
Act.”
In the case of State of Haryana and others vs. Piara Singh and others. 1992 (4) SCC 118, therein Hon‘ble
Supreme Court have held:-
“ 49. If for any reason an adhoc or temporary employee is continued for a fairly long spell, the authorities must
consider his case for regularization provided he is eligible and qualified according to the rules and his service record
is satisfactory and his appointment does not run counter to the reservation policy of the state.”
In the above cited judgements by the Workman the facts of the case are different hence do not apply to instant case
of Workman.
47.
On the other hand, in support of his contention Respondent has examined witness MW1 and MW1 in chief
examination states that, Settlements i.e., on 17.11.1987, 16.7.1988, 27.10.1988, 9.1.1991 were entered into between
the SBI and SBI Staff Federation for filling up of the vacancies that arise up to 1994 for those temporary employees
who has worked on scale wages. Further, MW1 states that two different panels for messengers and non-messengers
as per the eligibility criteria prescribed by the bank. There are four modules in Andhra Pradesh and they are
Hyderabad, Tirupathi, Vijayawada and Visakhapatnam. MW1 states that the temporary employees so empanelled
were given permanent absorption depending upon the vacancies so arise strictly in terms of the settlement. MW1
states that on 9.6.1995 conciliation proceeding was held before the RLC(C), Hyderabad and in said proceedings it
was decided that the panels will be kept live up to 31.3.1997 and vacancies will be filled from both the lists
concurrently. A copy of the said minutes of proceedings is Ex.M5. Further, MW1 states that on 30.7.1996 another
settlement was entered between the SBI and All India SBI Staff Federation providing for filling up of the vacancies
arising up to December 1994 in respect of subordinate cadre and daily wage /casual wage employees out of panel so
prepared were to be considered against vacancies arising from January 1995 to December 1996, thereafter the said
panels lapse. MW1 states that it was also agreed that all the non- messenger positions in subordinate cadre including
part time attendants specially provided as leave reserve will be filled before 31.3.1997 and as regards to non-
messengerial positions it is agreed that all such posts sanctioned and fallen vacant up to 31.3.1997 shall be filled
before the empanelled list is allowed to lapse. Thus in both the cases empanelled list were lapsed on 1.4.1997.
Ex.M6 is the copy of the settlement dated 30.7.1996. Further, witness states that on 27.2.1997 a memorandum of
understanding was reached between the SBI and SBI Staff Federation providing that both the panels above mentioned
will lapse on 31.3.1997. Ex.M7 is the copy of the memorandum of understanding and Ex.M8 is the copy of the
statements giving the particulars of 1989 non-messenger panel, Ex.M9 is the copy of the statement of 1989 non-
messenger panel, Ex.M10 is the copy of statement of 1992 panel. Further, witness states that petitioner was included
in the 1989 panel. As the existing vacancies at that time were exhausted and his turn did not come he could not be
given permanent employment in the bank as per the agreements. All the appointments were made strictly in
accordance with the settlements reached from time to time between SBI and SBI staff federation and as per seniority,
number of days of temporary service put in by them in the bank in the given period. Further, MW1 states petitioner
was not sponsored by any employment exchange he did not undergo the regular process of selection required for
appointment as a regular non-messenger the petitioner has not worked for 240 days in any year in his entire temporary
service in the bank. The petitioner and other temporary employees were terminated from service by the bank.
Further, MW1 states that the vacancies were filled up on regular basis with the temporary employees from the panels
and these panels were expired in terms of the settlements so reached and there were no vacancies to absorb such
employees. Thus, witness MW1 has proved the documents Ex.M1 to Ex.M12 and also contentions made in the
counter. However, MW1 was cross examined by the Petitioner Counsel. But nothing has been elicited in his cross
examination so as to discredit the testimony of the witness MW1 as regards the date of lapse of both the panels on
31.3.1997 and reasons assigned for non-absorption of the Petitioner from the panel list to the permanent post.
Moreover the witness MW1 was re-examined by the Respondent and the witness MW1 states that panels were expired
in terms of the settlement send absorptions to the extent of the available vacancies were made. There was no
termination of any temporary messenger as such but their services were not utilized after the cut off date as the
available vacancies were already filled up and most of these Petitioners were not in the service of the bank as on the
date of the expiry date of the panels. Therefore, in view of the aforesaid testimony of the MW1 in re-examination in
the absence of cross examination remained uncontraverted, the claim of the Workman that he was entitled for
absorption in permanent post in the branch of Respondent Management on the basis of panel list is found not
established.
This point is answered against the Workman.
48.
Point No.IV:- In view of the discussion and finding given at Point Nos. I, II and III, the Workman is not
entitled for any relief and claim statement of Workman sans merit and liable to be dismissed.
This Point is answered accordingly.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1479
ORDER
In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the
services of Sri S. Aslam Basha, Ex. Messenger by way of oral orders w.e.f. 31.3.1997 is justified. Hence, the
Petitioner is not entitled for any relief as prayed for. The claim statement filed by Workman sans merit, hence,
dismissed. Reference is answered accordingly.
Award is passed accordingly. Transmit.
Typed to my dictation by Smt. K. Phani Gowri, P.A., transcribed by her, corrected and signed by me on this
the 3rd day of February, 2026.
IRFAN QAMAR, Presiding Officer
Appendix of evidence
Witnesses examined for the
Witnesses examined for the
Petitioner
Respondent
WW1: Sri S. Aslam Basha
MW1: Sri K. Bala Kotaiah
Documents marked for the Petitioner
Ex.W1: Photocopy of Service certificate
Ex.W2: Photocopy of interview letter
Ex. W3: Photocopy of empanelled list
Ex. W4: Photocopy of Service certificate
Ex. W5: Photocopy of Service certificate
Documents marked for the Respondent
Ex.M1:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.17.11.87
Ex.M2:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.16.7.88
Ex.M3:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.27.10.1988
Ex.M4:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.9.1.1991
Ex.M5:
Photocopy of conciliation proceedings before the Regional Labour Commissioner(C) dt.9.6.1995
Ex.M6:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.30.7.1996
Ex.M7:
Photocopy of Memorandum of understanding dt. 27.1.1997
Ex.M8:
Photocopy of statements giving the particulars of 1989 messenger panel.
Ex.M9:
Photocopy of statement of 1989 Non-messenger panel
Ex.M10:
Photocopy of statement of 1992 panel
Ex.M11:
Photocopy of order of Hon‘ble High Court in WA No.86/98 dt. 1.5.98
Ex.M12:
Photocopy of order in SLP No.11886-11888 of 1998 dated 10.8.98
नई ददल्ली, 5 मार्च, 2026
का.आ. 311.—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj
ds izca/kr=] lac) fu;kstdksa vkSj muds deZdkjksa ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh;
ljdkj औद्योजगक vf/kdj.k@Je U;k;ky;
ds iapkV (29/2003) izdkf'kr djrh gSA
[सं. एल-12025/01/2026-आई आर(बी- I)-60]
सलोनी, उृ जनदेिक
New Delhi, the 5th March, 2026
S.O. 311.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Ref. 29/2003) of the Cent.Govt.Indus.Tribunal-cum-Labour Court
Hyderabad as shown in the Annexure, in the industrial dispute between the management of State Bank of India
and their workmen.
[No. L-12025/01/2026- IR(B-I)-60]
SALONI, Dy. Director
1480
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
ANNEXURE
IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT
HYDERABAD
Present: - Sri Irfan Qamar
Presiding Officer
Dated the 3rd day of February, 2026
INDUSTRIAL DISPUTE L.C.No.29/2003
[Old ID No.271/1999 of Industrial Tribunal cum Labour Court, Guntur]
Between:
Sri Munnangi Yohoshuva,
S/o Ramaswamy,
Kattakinda Palem,
Addanki.
… Petitioner
And
1.
The Chairman,
The State Bank of India,
Central Office,
Mumbai.
2.
The Chief General Manager(Personnel),
State Bank of India, Head Office,
Hyderabad.
3.
The Branch Manager,
State Bank of India A.D.B.,
Addanki Branch.
4.
Regional Manager,
State Bank of India, Zonal office,
Tirupathi.
…..Respondents
Appearances:
For the Petitioner :
Sri Macherla Rangaiah, Advocate
For the Respondent:
Sri Y. Ranjeeth Reddy, Advocate
AWARD
Sri Munnangi Yohoshuva who worked as Messenger (who will be referred to as the workman) has filed this
petition under Sec. 2A(2) of the Industrial Disputes Act, 1947 against the Respondents State Bank of India seeking for
reinstatement into service as Messenger/Sweeper duly granting all the consequential benefits such as continuity of
service, back wages and all other attendant benefits etc., and such other reliefs as this court may deem fit. Earlier
Petitioner has filed this dispute before the Industrial Tribunal cum Labour Court, Guntur] for adjudication and later
the same has been transferred to this Tribunal bearing ID No.271/99, as per orders of Central Government vide
Lr.No.H-11026/1/2001-IR(C.II) dated 18.10.2001 and registered, numbered in this Tribunal as LC No.29/2003.
2.
Earlier this industrial dispute was answered by this Tribunal by a common award dated 17.5.2005, along with
other batch cases, and the claim of the workman was dismissed. Workman challenged said award before the Hon‘ble
High Court vide WP No. 6470/2006 & batch wherein Hon‘ble High Court of A.P., vide decision dated 23.6.2014 set
aside the common award dated 17.5.2005 passed by Central Government Industrial Tribunal cum Labour Court,
Hyderabad and directed the Respondent bank to reengage the workmen in the positions which they had been
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1481
occupying prior to termination. Being aggrieved by the said order in WP No. 6470/2006 & batch, Respondent bank
preferred appeal WA Nos.1268/2014 and batch cases wherein Division Bench of Hon‘ble High Court held:-
“(1)
affirming the impugned common order of the learned single Judge to the “extent it sets aside the common
award dated 17.5.2005 of the Industrial Tribunal;
(2)
The further findings and directions issued through the impugned common order are vacated;
(3)
all the matters shall be remitted to the Industrial Tribunal with a direction to dispose of them within an outer
limit of five(5) months from the date of receipt of a copy of this order; and,
(4)
the parties to make appearance before the Tribunal on the given date.”
Hon‘ble High Court of Andhra Pradesh in WA No.1268/2014 and other batch, held that, ― Hearing the learned
senior counsel for the SBI and the Learned Senior Counsel for the contesting unofficial respondents, we see that while
the learned single Judge was justified in setting aside the award of the Tribunal. This we say for reasons more than
one. Firstly, in such matters, claims have to be decided on individual basis, as different persons have different claims
as to the length of officiation or discharge of duties and functions; quality of engagement, drawings, accounting of the
post for each one of them, who have worked etc. All these issues will not be the same in all the cases. Therefore, each
case ought to have been directed to be decided by the Tribunal afresh on individual basis. The second and the most
important aspect is the learned single Judge has in one go ordered re-employment of all the workmen. This is not a
relief that could have been granted without answering the individual issues; each issue relating to each case could not
have been decided by the writ Court within the format of its adjudication procedures and scope. The adjudicating
body, which has to do that activity, is the Industrial Tribunal. Therefore, we are of the view that while we would
sustain the order of the learned singe Judge insofar as it interfered and sets aside the award of the Tribunal, the
further findings and directions, issued through the impugned order have to go and the individual cases HCJ&ARR,J
WA No. 1268 of 2014 & Batch 6 have to be sent back for consideration of the Tribunal. Such further procedure before
the Tribunal will have to be carried forward with the materials already on record and also by affording an
opportunity to the persons, who have claims as well as the management to place their rival contentions and further
material before the Tribunal//The learned counsel appearing for the workmen are justified in pointing out that
enormous delay has already happened and further action by the Tribunal in this line may be expedited.”
Therefore, in compliance with order dated 20.3.2019 of Hon‘ble High Court of A.P., Hyderabad passed in WA
No.1268/2014, this Industrial Tribunal conducted hearing proceedings in this reference on an individual basis and
both parties have been provided ample hearing opportunity during the proceeding.
3.
The factual matrix of instant industrial dispute as narrated by the Workman in his claim statement are that,
the Workman joined in the service of the management institution as Messenger and has rendered unblemished service.
The Respondent has terminated services of Workman by oral orders with effect from 31.7.98. Further, it is submitted
that the management of Respondent bank decided to give a chance to temporarily employed personnel ―found
suitable for permanent appointment‖ by wait- listing them by offering permanent appointment or waitlisting till such
opportunity arises.
4.
That on 17.11.1987 a settlement was reached between All India State Bank of India Staff Federation and the
Management of State Bank of India - settlement one, under this settlement three categories of employees were
listed. That is, A) those who have completed 240 days in 12 months or less after 1.7.1975. B) those who have
completed 270 days in any continuous block of 36 calendar months after 1.7.1975. C) (i) those who have completed
minimum of 30 days aggregate temporary service in any calendar year after 1.7.1975 or (ii) 70 days aggregate
temporary service in continuous block of 36 months after 1.7.1975.
5.
The persons who satisfied in all the above 4 categories were to be interviewed by a selection committee and
the said selection committee would determine the suitability of the said candidate for permanent appointment.
Therefore, the bank prescribed certain qualifications and from among the candidates satisfying the qualifications the
suitable candidates were enlisted by a selection committee. The Clause 7 of the said agreement provided with the
selected candidate would be wait listed in order of their respective categorization and the selected panel would be
valid upto December, 1991. Clause 10 of the settlement specifically provided that henceforth. ―there will be no
temporary appointments in the subordinate cadre‖, except on a restrictive basis in the specified category, ―from
amongst empanelled candidates as per existing guidelines of the bank‖. The Workman further submits that
consequent upon the said agreement and the draft, a notification was issued in the newspapers. The last date for
responding to the advertisement was 30.8.1988. A written examination followed by viva-voce in May, 1989 was
held. A selected panel was prepared, as per Clause 7 of the agreement, ie. Settlement No.1, the selected panel was to
be valid upto December, 1991, the Workman submits that circular was issued on 26.4.91 by the said letter it is
mentioned that the terms of the agreement dated 17.11.87 was modified vide second agreement dated 16.7.88 was
entered into between the parties. In terms of the said agreement a chance was to be given, ―to all eligible temporary
employees for permanent appointments. The appointments were against the vacancies likely to arise during the
years 1995-96, circular made it clear that in view of the enormity of the problem an extension of the currency of the
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[PART II—SEC. 3(ii)]
panel, eligible temporary employees who have been empanelled could not appear in the earlier interviews and have
been pursuing their cases thereafter, ―will be given another chance to appear for interview‖.
6.
Workman submits that there were total five settlements. The settlement dated 17.11.87 is the 1st
settlement (Ex M1), settlement dated 16.7.88 is 2nd settlement (Ex M2), settlement dated 27.10.88 is the 3rd
settlement (Ex M3), then settlement dated 9.1.91 is 4th settlement and settlement dated 30.7.96 is 5th settlement
(Ex M6). In between there is minutes of conciliation proceedings dated 9.6.95 marked as Ex M5. That due to all
these settlements which were extended by subsequent settlements thereby created reasonable expectations in the
list of the selected candidates arose with that it‘s a question of time their appointments or services would be
regularized in the services of the bank. The Workman was working with the bank on temporary basis was under the
bonafide hope that sooner his services will be regularized with the bank. He is thereby closed all his options
elsewhere. It is needless to point out that employing person to whom hope of employment in substantial terms was
made is a facet of Article 21 of the Constitution of India.
7.
Further Workman submits that the Government of India issued Circular No. F-3/3/104/87-IR, dated
16.8.1990. Under said circular the chief Executives of all public sector banks including the Management herein were
specifically instructed that until the problem of existing temporary employees is fully resolved, no bank is permitted to
make any permanent appointments. That some of the persons similarly situated like this Workman aggrieved by the
inaction on the part of the management of the bank is not regularizing their services from out of the selected panel
and not clearly focusing the vacancy position, filed W.P. No. 4194/97 before Hon‘ble High court of A.P.. It is
specifically averred in the said writ petition that the Management of the bank had failed to implement the settlement
and that it violates the various fundamental rights guaranteed under the constitution of India. The Hon‘ble High
court of A.P .. by order dated 5.3.97 directed the bank to implement the settlement as amended from time to time. It
also directed the bank to carry out the terms of settlement before the expiry of March, 1997. The Hon‘ble High
Court also recorded finding that the Bank cannot escape its liability of enforcement of the Settlement. In view of the
directions given by the High Court all candidates whose names appeared in the select panels prepared on the basis of
the agreement entered into on 17.11.87 under which the panel was valid upto December, 1991, and on the basis of a
settlement dated 27.10.1988 whereby the panels were made alive upto 31.3.1997 under which the panel was valid upto
December, 1999. The other agreement dated 16.7.1988 under which the panel was valid upto 1992 and on the basis
of the settlement dated 27.10.1998 whereby the panels were made alive upto 31.3.1997 were under the bonafide
impression that their cases will be considered for regularization and were living on the basis of the said reasonable
expectation. Unfortunately, contrary to the aforesaid directions given by the High Court and contrary to the
settlements entered into between the parties, the bank issued proceedings dated 25.3.1997, dated 27.3.1997 and
31.3.1997 instructing the various authorities of the Management not to continue the temporary employees those who
are in services of the bank from 1.4.97. The said order was followed by the Management. Aggrieved by the said
action the Workman herein and similarly situated candidates have filed a writ petition before the Hon'ble High Court
and by way of Writ Petition No.9206/97 seeking a declaration that the proceedings issued by the Deputy General
Manager and the Assistant General Manager (Respondents 3,4 and 5 therein) on 25.3.97, 27.3.97 and 31.3.97 as
illegal and also non-continuance of the Workmen therein in service by absorbing them in the services of the bank as
violative of Section 2(p) and 18(1) read with Rule 58 of Central Rules and sought for specific direction to the bank to
absorb them in service.
8.
Further, Workman submits that in the counter affidavit filed in Writ Petition No.9206/97, the bank has
submitted that it has about 805 branches in Andhra Pradesh alone. It has stated that due to exigencies of
circumstances and on account of the urgent need in its banks, it employed temporary employees in subordinate cadre.
It is pertinent to mention that it does not state the urgent or need or the nature of temporary employees that it had
engaged. Enquiry into the same would reveal that the stand taken by the bank either on the ground of urgent need or of
temporary employees is a façade to perpetuate unfair labour practice. It is designed to on the one hand, keep the
employed in the erroneous zone of hope and on the other to ensure that benefits that a model employer will extend
under various statutes to its employees is not required to be borne out by the bank. A reading of the counter affidavit
would show that the bank would opines that being just fair and reasonable are which obviously is reprehensible and is
a facet of unfair labour practice.
9.
The Workman submits that the bank had referred in its counter affidavit to three settlements dated 17.11.87,
16.7.88 and 27.10.88. The bank in the guise of extending the benefits of the circular of Government dated 16.8.90
stated in its counter affidavit that as follows:
"Government of India, vide its letter dated 16.8.1990, issued guidelines to all the public sector banks with regard to
recruitment and absorption of temporary employees in public sector banks. The said guidelines were issued to
implement on the lines of the approach paper on the issue provided by a committee constituted in this regard. The
Government of India guidelines made it clear that all the public sector banks may follow the provisions laid down in
the approach paper.
The approach paper specified that the cases of temporary employees who had put in not less than 240 days of
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1483
temporary service in 12 consecutive Months and who are entitled to benefit of Section 25-F may be decided by
entering into a settlement with the representative union. In respect of temporary employees who had put in less than
240 days of service in 12 consecutive months or less, a settlement could be avoided and however if the Management
so desired, they could enter into a conciliation settlement with the representative union. Para 6(h), it is mentioned
that only those temporary employees who had put in temporary service of 90 or more days after 1.1 1982 would be
eligible for considering under the scheme. Although the Government guidelines envisaged for a settlement in respect
of employees who had put in temporary service of 90 or more days, the bank by way of further concession entered
into settlements Even in respect of those who had put in less than 90 days. As such, it could be Seen that the
settlements are more beneficial to the temporary employees concerned. The approach paper also specify at para 6(c)
that the banks would provide one time opportunity to all the temporary employees and for that purpose temporary
employees worked in the bank on or after 1.1.1982 could be considered for re-employment in terms of the scheme.
The Respondents have gone further wherein even persons working after 1975 were also considered.
As could be seen from the above, there was a genuine effort on the part of the Respondent bank to provide
permanent employment for as many as possible subject to availability of the vacancies.
It is further submitted that at para 6(k) of the approach paper, it was made clear that this would be one time
exercise in full and final settlement of all the aims and disputes for the past period in respect of temporary workmen
covered by the settlement. This would mean that the Government of India guidelines would cover only those persons
who were temporarily employed for the period specified therein and not otherwise. As such, it is submitted that the
Respondents have not only followed the Government of India guidelines but in fact covered cases of the employees
who had worked for less than 90 days. As such, question of violation does not arise and in any case those were only
broad guidelines and not directives".
10.
The Workman submits that the bank also referred a subsequent settlement dated 9.1.1991 wherein there is a
clause to the effect- that the panel of temporary employees and the panel of daily wage employees will be operated to
a particular period. Therefore, their cases will not be considered. The Management herein relying upon this settlement
in their impugned action. It is submitted that even the settlement dated 9.1.1991 will not empower the management
to terminate the services of the temporary employees who are working in the bank services like the Workman herein
as it does not specify the termination of the employees. In fact there are so many vacancies wherein the Management
has engaged several new persons as temporary messengers/ attendars/ sweepers etc., even after the judgment of
Hon‘ble High Court without considering the cases of the similarly situated candidates like the Workman herein. It is
submitted inspite of engaging fresh candidates as is now being done by the Management they would have continued
the similarly situated candidates like the Workman herein in the services of the bank and consider their cases for
absorption in view of the circulars issued by Central Government as well as the directions of this Hon'ble Court in
Writ Petition No.4194/97, dated 5.3.97. In view of the circulars issued by the Central Government, the Management
should not have relied upon the settlement dated 9.1.1991. Hence, the impugned action of the Management is illegal,
unjust, violative of fundamental rights such as Articles 14,16 and 21 of the Constitution of India.
11.
The Workman submits that in W.P. No.4194/97 filed by the union of temporary employees where in they
have complained about the non- implementation of the settlements arrived between the parties and sought for
absorption. Such employees in the bank services on permanent basis before the date fixed for carrying out the terms
of settlement, the Court held that the members of the union had been empanelled in the list, they were not regularized
and the time was going to run out to the near future and the Respondent bank and its officers cannot escape from the
liability of enforcing the settlement which has been reached and therefore directed that the bank and the officers shall
implement the settlement dated 17.11.87 as amended from time to time before the expiry of 31.3.97.
12.
Further, it is submitted that in the clause of Settlement it is specifically mentioned that the workmen to be
absorbed/appointed in the bank prohibiting any temporary appointments subsequent to the date of settlement even the
authorities want to make temporary appointments that should be made only from among the empanelled can be
appointed either for temporary vacancy or permanent vacancy except from among the empanelled candidates like the
Workman and that should be continued till they are absorbed. The management committed unfair labour practices
and terminated the services of the candidates with effect from 1.4.1997 which is arbitrary, discriminatory, contrary to
their own guidelines and violative of the constitutional provisions which are guaranteed in Chapter-III of the
Constitution of India.
13.
The Workman submits that it is strange as to how the panels were allowed to lapse by a so-called
Memorandum of Understanding dated 25.2.1997, that the action of terminating such employees like the
Workman by virtue of an impugned oral proceedings without implementing the settlement would be illegal and unfair
labour practice which cannot be allowed to be perpetuated. That the discontinuance of the Workman after 31.3.97
who had served in the bank in any capacity amounts to retrenchment. It could not have been done without any notice
and it violates Sec.25FF of the Industrial Disputes Act, 1947 and the said action is violative of principles of natural
justice guaranteed under Chapter III of the Constitution of India. This amounts to retrenchment without one month's
notice and taken in view of such notice. Thus, the main proceedings issued by the Respondent is without jurisdiction
and is arbitrary, illegal and therefore liable to be quashed. That the alleged Memorandum of Understanding dated
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THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
27.2.97, Ex.M5 does not own any legal entity, as the said Memorandum of Understanding is not published anywhere
to brought to the notice of the Workman whose rights are being affected. It is submitted that Management did not
adhere to the procedure envisaged by the Central Government in its' instructions dated 16.8.90 in the year 1995. The
same was not followed in the year 1997 despite there being vacancies. The management has followed the
procedure of calling candidates through Employment exchange instead of giving chance to the empanelled candidates
like the Workman here. It is pertinent to mention here that the Respondent Management sent letters to the all
similarly situated candidates like the Workman in the month of June, 1997, subsequent to the passing of impugned
termination orders. After knowing the facts that the candidates are litigating, the Management refused to engage these
candidates. It is once again reiterated that the panels are meant for absorption but not for termination. It was the duty
of the Management to engage the empanelled candidates like the Workman even in temporary vacancies till they are
absorbed permanently in regular vacancies. Hence, the action of the Respondent Management terminating the
services of the Workman by oral order dated 31.3.97 is unjust, illegal, violative of principles of natural justice and
hence, the Management be directed to reinstate and absorb the Workman and to grant all incidental and consequential
benefits.
14.
Per contra, Respondent had filed counter and made a contentions that the reference is not tenable and
contrary to the provisions of I.D. Act, 1947. Respondent submitted that to tide over severe sub-ordinate staff
constraints which arose out of leave vacancies, exigencies, etc., and also owning to the restrictions imposed by the
Government of India/Reserve Bank of India on intake of staff, the Respondent bank used to engage sub-ordinate staff
like messengers, sweepers, sweeper cum water boys, etc., depending on the availability of work on purely temporary
basis for the smooth and uninterrupted functioning of the branches. It is submitted that the All India State Bank of
India Staff Federation which represents majority of the employees in the State Bank of India comprising about 98% of
the work force as its' members espoused the cause of temporary employees who have put in less than 240 days of
temporary service in 12 calendar months in the bank and who were ineligible for any protection under Industrial
Disputes Act, 1947 to give a chance for being considered for absorption and permanent appointments.
15.
Discussions were held and on 17.11.1987 an agreement was signed between the federation and the
Management bank under Sec. 2(p) read with Sec 18(1) of the Industrial Disputes Act, 1947 read with Rule 58 of
Industrial Disputes (Central) Rules 1957. A copy of the said settlement dated 17.11.87 which may be herein after
referred as first settlement is filed and 4 categories were made as it has already been mentioned in the claim statement
above, it need not be repeated here. In the first settlement, it was agreed that the temporary employees as categorized
would be given a chance for being considered for permanent appointment in the bank's service against the vacancies
which are likely to arise during the period 1987 to 1991. On 16.7.88 second settlement was arrived between the
Federation and the Bank whereby it was agreed to substitute the period of consideration of vacancies as 1987 to 1992
in place of 1987 to 1991 as contemplated under the first settlement dated 17.11.1987. This is the second settlement.
A 3rd settlement was entered into on 27.10.88 and it was agreed that the bank's service against the vacancies likely to
arise from 1988 to 1992 was to be considered. Government of India vide its letter dated 16.8.90 issued guidelines to
all the public sector banks with regard to recruitment and absorption of temporary employees in public sector banks.
The said guidelines were issued to implement on the lines of approach paper on the issue provided by a committee
constituted in this regard. Government of India guidelines made it clear that all the public sector banks may follow
the provisions laid down in the approach paper. The approach paper specified that the cases of temporary service in
12 consecutive months and who are entitled to benefit of Sec.25F of the Industrial Disputes Act, 1947 may be decided
by entering into a settlement with the representative union. In respect of temporary employees who had put in less
than 240 days of service in 12 consecutive months or less, a settlement could be avoided and however if the
Management so desired they could enter into a conciliation settlement with the representative union. In para. 6(h) it
is mentioned that only those temporary employees who had put in temporary service of 90 days or more days after
1.1.82 would be eligible for considering under the scheme. Although the Government guidelines envisaged for a
settlement in respect of employees who had put in temporary service of 90 days or more days, the bank by way of a
further concession entered into settlements. Even in respect of those who had put in less than 90 days and also the
bank went a step further and said those persons who are working after 1975 were also considered. Hence, there was a
genuine effort on the part of the Respondent bank to provide as many as possible jobs subject to the availability of the
vacancies. However, para 6 (k) of the approach paper made it clear that it is a one time, exercise in full and final,
settlement of all the claims and disputes for the past period, in respect of temporary workmen covered by the
settlement. Another settlement was entered on 9.1.91 herein after referred as 4th settlement and the time limit was
extended upto 1994 and separate panel was prepared for temporary employees, casual/daily wagers. It was agreed that
while vacancies arising between 1988 to 1994 in respect of temporary employees and in respect of casual/daily
wagers, they can be considered for the vacancies arising between 1995-96 only.
16.
It is submitted that the administrative set up of the Hyderabad Local Head Office comprises of four Zonal
Offices (Zones) at Hyderabad, Vijayawada, Visakhapatnam and Tirupathi covering all the Districts of Andhra
Pradesh. In terms of the settlement the Management after following the procedure laid down therein prepared the
panels of qualified candidates of temporary employees denoted as 1989 panel and also panel of casual/daily wagers
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1485
denoted as 1992 panel for giving a chance for being considered for permanent absorption. These panels were
prepared zone-wise separately for messengers and non-messengers in the descending order of temporary service put in
by the candidates during the stipulated period i.e., 1.7.1975 to 31.7.1988. That the Federation approached the
Regional Labour Commissioner(C) for implementation of bi-partite settlement in respect of absorption of temporary
employees. The Regional Labour Commissioner(C) conducted conciliation proceedings and an agreement was
arrived between the Federation and the bank. It was agreed that it would be kept alive upto March, 1997. A copy of
the conciliation proceedings dated 9.2.1995 signed by the parties is filed as material paper. A settlement was arrived
at and an agreement was signed between the Federation and the Management bank on 30.7.1996 under Sec.2 (p) read
with Sec.18(1) of the Industrial Disputes (Central) Rules, 1957, which is hereinafter called as 5th settlement. That on
27.2.1997 a Memorandum of understanding was also signed by the federation‘s affiliate and the bank Management
recording the fact that the exercise of identifying the messengerial vacancies as on 31.12.1994 has since been
completed by Central Office and thereby 403 messengerial vacancies were sanctioned. It was agreed that these
vacancies may be filled from 1989 panel of temporary employees after effecting conversion from full time non-
messengerial staff in the usual manner and the agreement was reached accordingly. It was agreed between the
Federation's affiliate and the Management bank that in terms of the settlement dated 30.7.1996 both the panels of
temporary employees and daily wagers/casual employees would lapse on 31.3.1997. That as agreed upon vacancies
were filled from the panels. The Workman who has put in an aggregate temporary service of less than 240 days in a
continuous block of 12 months period during 1.7.1975 to 31.7.1988 has no right to seek a direction to consider his
candidature for absorption in the Management bank under any rule/law except under the settlement entered into
thereon.
17.
Respondent contended that, in fact, the case of the Workman can be considered under all the five settlements
having got his case considered under provisions of these settlements. All the other provisions and terms of the
settlements are also binding on him/her. The Management bank has not violated any of the provisions of the terms of
the said settlement. That the very preparation and maintenance of panel is in compliance of the terms agreed under
these settlements. These settlements were time bound and they ceased to exist on 31.3.1997. That the bank has never
promised that all the candidates in the panel will be absorbed. In the advertisement itself it was made clear that
candidates will be considered for absorption in the vacancies that may arise upto 1992. Keeping alive the panels after
31.3.1997 is contrary to the settlements arrived between the State Bank of India Staff Federation and the Management
bank. That the settlements are binding on the parties. The Workman is also bound under the terms of the said
settlement. The settlement does not suffer from any ambiguity as their language is very clear. The right under the
settlements is to give them a chance to be considered for future appointment in the bank's services against the
vacancies likely to arise. The settlements were effected to balance the expectations of the temporary employees to be
absorbed in permanent service as against the constitutional rights for all eligible persons to be considered for
employment every time a vacancy arises. That the alleged dispute including the demand for reinstatement has to be
decided in this context. It is submitted that the period of panel list got expired on 31.3.97 and it is an integral term of
the settlement and cannot be modified in any proceedings under the law. These temporary employees who
unfortunately could not be accommodated for want of vacancies have no further rights to be considered for
regularization. That the Hon'ble High Court in WP No.12964/94, held as follows, "It is needless to state that the
settlement arrived at between the All India State Bank of India Staff Federation which, is the majority union and the
bank Management is binding on the Workmen also. It is not at all the case of the Workman that any of the terms of
the settlement has been violated by the bank's Management. If the Workman had worked in the bank on part-time
basis before 31.5.94, that itself would not vest in him a right to claim that his services should be regularized on
permanent basis against a full time cadre post. The claim put forth by the Workman in the present petition is therefore
misconceived and not tenable. However, it is open to the Workman to claim any right which flows from the
settlement between the union and the bank Management. As already pointed out that it is not the grievance of the
Workman that some right which has flown from the settlement in favour of the Workman has been denied by the bank
Management. Therefore, I do not find any ground, let alone substantial ground, to grant the kind of relief sought for
by the Workman. Writ Petition fails and is accordingly dismissed. No costs."
18.
Further, it is contended that if the panels were not lapsed at the end of designated period and allowed to be
continued it would result in making the contracts of temporary employment indirectly permanent through back door
entry, which would not only be contrary to the settlements but also to Articles 14 and 16 of Constitution of India and
deprive the chances of original claimants who would Come through proper recruitment procedure. As their rights
have been crystallized by operation of the settlements. Hence, there is no question of any Legitimate expectation
being violated.
19.
Similarly placed ex-employees filed WP No.9206/1995 and the batch before the Hon'ble High Court of A.P.
and the learned Single Judge allowed the Writ Petitions. Aggrieved by the same WA No.86/98 and the batch was
filed and the Division Bench set aside the order of the Single Judge. Thereafter the ex-temporary employees filed
Special Leave Petition No.11886-11888 of 1998 before the Hon'ble Supreme Court of India. The Hon'ble Supreme
Court of India also dismissed the SLP. Therefore, reference to the Judgement of the Learned Single Judge in WP
No.9206/97 is of no consequences as the same has already been set aside. The observations made in the Judgements
1486
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
cannot be relied upon for any purpose what so ever. The question of operation of Sec.25F would not come into play.
Further the issue is covered by various Judgements of Hon'ble Supreme Court of India and various Hon'ble High
Courts. Hence, the reference may be ordered that the Workman is not entitled for any relief.
20.
In order to fortify his claim Workman has examined himself as WW1 and also filed documents in evidence
which has been exhibited as Ex.W1 to W4. Further, the Workman has filed photocopies of documents in support of
his claim which are discussed as under:-
Ex.W1 is the interview call letter. Further Ex.W2 is the caste certificate. Ex.W3 is the service certificate. Ex.W4 is
the transfer certificate.
21.
On the other hand, Respondent has examined witness MW1 Sri I.S. Appa Rao and this witness has exhibited
12 documents, marked as Ex.M1 to M12. The details of these documents are as follows:-
Ex.M.1 is the Settlement dated 17.11.1987. Ex.M2 is the Settlement dated 16.7.1988. Ex.M3 is the Settlement
dated 27.10.1988. Ex.M4 is the Settlement dated 9.1.1991. Ex.M5 is the Minutes of the conciliation proceedings
dated 9.6.1995. Ex.M6 is the Settlement dated 30.7.1996. Ex.M7 is the Memorandum of Understanding dt.
27.2.1997. Ex.M8 is the Particulars of 1989 Messengerial Panel. Ex.M9 is the Particulars of 1989 Non-
Messengerial Panel. Ex.M10 is the Particulars of 1992 General Attendant Panel. Ex.M11 is the Judgment of
Hon‘ble High Court of A.P. in Writ Appeal No.86/98 dt.1.5.1998. Ex.M12 is the Judgment of Hon‘ble Supreme
Court of India in SLP No. 11886-11888 of 1998 dt.10.8.1998.
22.
Apart from afore mentioned documents, Learned Counsel for Workman has also filed a long list of various
judgements of Hon‘ble Supreme Court as well as Hon‘ble High Court, which we will discuss at appropriate place in
this Award.
23.
Heard the argument of Learned Counsel for Workman as well as for Respondent.
24.
On the basis of rival pleadings of both the parties and submissions made by the Learned Counsel for both
the parties, following points arise for determination in the industrial dispute :-
I.
Whether the 1st settlement dated 17.11.1987, 2nd settlement dated 16.7.1988, 3rd settlement dated
27.10.1988, 4th settlement dated 9.1.1991 and 5th settlement dated 30.7.1996 entered into between
State Bank of India and All India State Bank of India Staff Federation and also Memorandum of
Understanding are binding upon both the parties?
II.
Whether the action of State Bank of India, Addanki ADB branch in terminating the services of
Workman Sri M. Yohoshuva, a Messenger is justified?
III.
Whether the Workman is entitled for absorption on permanent post in the Branch of Respondent
management as per averments made by him in the claim statement?
IV.
To what relief if any the Workman is entitled for?
Findings:-
25.
Point No.I:-
Undisputedly settlements dated 17.11.1987, 16.7.1988, 27.10.1988, 9.1.1991 and
30.7.1996, minutes of conciliation proceedings and memorandum of understanding dated 27.2.1997 were executed
between the State Bank of India and All India State Bank of India Staff Federation under section 2(p) and 18 (1) of
I.D. Act, 1947 read with Rule 58 of Industrial Disputes (Central Rules), 1957.
Section 2(p) of the Industrial Disputes Act, 1947 as follows:-
(p) "settlement" means a settlement arrived at in the course of conciliation proceeding and includes a written
agreement between the employer and workmen arrived at otherwise than in the course of conciliation proceeding
where such agreement has been signed by the parties thereto in such manner as may be prescribed and a copy thereof
has been sent to an officer authorised in this behalf by the appropriate Government and the conciliation officer;
Section 18(1) provides as follows:-
18. Persons on whom settlements and awards are binding.
- [(1) A settlement arrived at by agreement between the employer and Workman otherwise than in the course of
conciliation proceeding shall be binding on the parties to the agreement.
Therefore, in view of the provision contained u/s.18 (1) I.D. Act, 1947, terms and conditions enumerated in the
aforesaid settlements are binding on the parties to the agreement. The Learned Counsel for Workman has argued that
the Workman after going through the selection procedure has successfully been listed in the panel for appointment on
the permanent basis in the Respondent management and the empanelled list has to be valid till last person in the
empanelled list is appointed on permanent basis. But the impugned order dated 25.3.97, 27.3.97 and 31.3.97, has been
[भाग II—खण् ड 3(ii)]
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1487
issued by Respondent management thereby the services of the Workman has been terminated and the said order is not
in consonance of the terms of the agreement entered into between the parties. Further, Workman submits that the
Respondent in the 5th settlement has mentioned the date i.e., 31.3.1997 for lapse of empanel list which is illegal and
that is not binding upon the Workman. The condition of lapse of empanelment list on 31.3.97 incorporated in the
aforesaid 5th settlement, is arbitrary and illegal.
26.
The perusal of the impugned order dated 25.3.1997 goes to reveal that the Chief/Branch Manager, SBI Zonal
Office has issued the letter to all the branches with regard to the subject not to make any temporary appointments in
the Branch in messengerial category from 1.4.1997. The extract of the said letter is given below:-
―We have been advised by the Deputy General Manager, Zonal Office, Hyderabad that as both the panels of
temporary employees of 1989 and daily wagers/casual labours of 1992 will lapse by 31.3.1997, it has been decided
by Central Office not to make any temporary appointments in messengerial category from 1.4.1997.‖
Thus, from the contents of the aforesaid letter, it manifest that Head Office of State Bank of India vide letter dated
25.3.1997 has issued direction to all its branches not to make any temporary appointments in messengerial category
from 1.4.1997 due to reason of lapse of both panels i.e., 1989 & 1992 on 31.3.1997 as per terms of settlements
entered into by both parties. Further, the contents of the subsequent letter dated 27.3.1997 issued by Respondent
Management is also direction to Branch Manager, State Bank of India not to make any temporary messengerial
category appointment with effect from 1.4.1997 and it has also been communicated to all concerned that the panels of
temporary employees and daily wagers maintained by Zonal offices stand lapsed from 31.1.1997. Further, office
order dated 31.3.1997 has been issued by Respondent management that goes to reveal that the said office order has
been issued to this effect that, ―Consequent on absorption of temporary employees in permanent cadre, it has been
decided by the competent authority that no one onwards, no further daily labour or temporary
employees/appointments should be resorted to/engaged/employed.‖ Therefore, it reflects from the contents of the
aforesaid orders that the temporary appointment in messengerial category and daily labour has been stopped by the
Respondent management with effect from 1.4.1997 because of the lapsed of panel of temporary workers and daily
wagers by 31.3.1997. The agreement for lapse of both the panels on 31.3.1997 is contained in the 5th settlement
which has been arrived at between the parties on dated 30.7.1996 with the consensus of both the parties. Therefore,
Workman can not challenge the terms and conditions contained in settlement dated 30.7.1996 regarding lapse of
panel on 31.3.1997 as agreed between State Bank of India and State Bank of India Staff Federation. As per provision
contained u/s.18(1) of I.D. Act, 1947 the said Agreement dated 30.7.1996 is binding on both the parties.
In the case of Allied Sales Corporation Secunderabad vs.The Authority Under Andhra Pradesh..... 1990 II LLJ
510 AP para 414, Hon‘ble Court have held:-
―4. There was a settlement between the Management and the workmen under Section 18(1) of the Industrial Disputes
Act on 25th April 1983 under which the age of superannuation of the workmen was fixed at 55 years. The settlement
was to be in force upto 30th June 1986 and the next settlement, incorporating practically the same terms, was again
entered into on 4th February 1987 under Section 18(1) of the Industrial Disputes Act. There is no dispute that these
settlements are under Section 18(1).
14. Now the Authority constituted under Section 41(1) of the Act is an authority with very limited jurisdiction. It can
only decide in the first appeal whether a termination by the management is valid or not and is within the parameters
of Section 40 of the Act. The said Authority, in our view, has absolutely no jurisdiction to decide whether a settlement
entered into under Section 18(1) of the Industrial Disputes Act between the representatives of the Workmen and of the
Management, is vitiated by undue influence or misrepresentation or coercion on the part of the Management. The
Authority, namely, the Assistant Commissioner of Labour, was never intended by the A.P. Legislature to have
jurisdiction to go into the question of the validity of a settlement arrived at under Section 18 of the Industrial Disputes
Act by an Industrial Court. That Parliament has, in fact, constituted Industrial Courts under the Industrial Disputes
Act, with extensive powers cannot be disputed. What we mean to say is that the Authority under Section 41(1) of the
A.P. Act has no jurisdiction what-so-ever either to question or to decide about the validity of any such settlements. If
parties to a settlement have a grievance about the validity of a settlement, it is for them to agitate the matter before the
appropriate forum and they cannot ask an Authority constituted under Section 41(1) of the A.P. Shops and
Establishments Act, 1966 with limited jurisdiction, to go into any such question and, that too, incidentally while
deciding whether retirement as per the contract of employment, is legal or not.”
It is not the case of Workman that aforesaid settlements are vitiated by undue influence or misrepresentation or
coercion on the part of the management. If the Workman feeling aggrieved by any terms of settlement/ agreement on
the aforementioned grounds then he can challenge of settlement before a competent authority under the Act, 1947.
But here in the instant matter it is not a case of Workman that aforementioned settlement has been entered into
between the parties on the ground of undue influence or misrepresentation or coercion. Therefore, Workman is barred
to raise any objection in respect of fixing the date of lapse of both panels on 31.3.1997 as agreed between both the
parties and Workman can not challenge any terms of said Agreement.
Further in the case of Herbertsons Limited Vs. Workmen of Herbertsons Limited and Ors, 1977 AIR 322,
Hon‘ble Supreme Court have held:-
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[PART II—SEC. 3(ii)]
The Tribunal thought that the question of the quantum of membership of the 2nd Respondent did not call for a finding
at all in view of 1his Court's order. As observed above that was not a correct assumption. On the other hand, we feel
that this view of the Tribunal has led it to approach the matter in an entirely erroneous manner. The Tribunal is,
rightly enough, conscious that under section 18 (1) of the Industrial Disputes Act the settlement was binding on the
company and the members of the 3rd Respondent union. Even so, the Tribunal devoted nearly half of its order in
scanning the evidence given by the company and Respondent No. 3 to find out whether the terms of the settlement had
been explained by the President of the union to the workmen or not and whether the workers voluntarily accepted the
settlement knowing all the "consequences". This to our mind is again an entirely wrong approach.
“When a recognised union negotiates with an employer the workers as individuals do not come into the picture. It is
not necessary that each individual worker should know the implications of the settlement since a recognised union,
which is expected to protect the legitimate interests of labour, enters into a settlement in the best interests of labour.
This would be the normal rule. We cannot altogether rule out exceptional cases where there may be allegations of
mala fides, fraud or even corruption or other induce- ments. Nothing of that kind has been suggested against the
President of the 3rd Respondent in this case. That being the position, prima facie, this is a settlement in the course of
collective bargaining and, therefore, is entitled to due weight and consideration.
It is not possible to scan the settlement in bits and pieces and hold some parts good and acceptable and others bad.
Unless it can be demonstrated that the objectionable portion is such that it completely outweighs all the other
advantages gained the Court will be slow to hold a settle- ment as unfair and unjust. The settlement has to be
accepted or rejected as a whole and we are unable to reject it as a whole as unfair or unjust. Even before this Court
the 3rd Respondent representing admittedly the large majority of the workmen has stood by this settlement and that is
a strong factor which it is difficult to ignore. As stated elsewhere in the judgment, we cannot also be oblivious of the
fact that all workmen of the company have accepted the settlement. Besides, the period of settlement has since expired
and we are informed that the employer and the 3rd Respondent are negotiating another settlement with further
improvements. These factors, apart from what has been stated above, and the need for industrial peace and harmony
when a union backed by a large majority of workmen has accepted a settlement in the course of collective bargaining
have impelled us not to interfere with this settlement. That being the position, we unhold the settlement as fair and just
and order that the award of the Tribunal shall be substituted by the settlement dated October 18, 1973. The said
settlement shall be the substituted award. The appeal is disposed of accordingly. There will be no order as to costs.”
Therefore, in view of the law laid down by the Hon‘ble Apex Court as discussed above, the contention of the
Workman that the date fixed for lapse of empanelled list on 31.3.1997 for appointment to the permanent post vide 5th
Settlement dated 30.7.1996 is arbitrary, illegal is not untenable. The recognized union of Workmen has negotiated
with the Respondent Bank Management representing large number of Workmen and the Workman as individual do
not come into picture. Workman in the instant case has work as temporary Workmen in the Respondent Branch and
in response of Notification he had applied for inclusion of his name in the panel and he was selected for inclusion
his name in the panel list to be utilized for absorption of such Workman to permanent post in order of their seniority
in the list. The Settlement dated 30.7.1996 between State Bank of India and All India State Bank of India Staff
Federation under Sec.2(p) and Sec.18(1) of I.D. Act, 1947 has clearly provided as regard non-messengerial position
and it is agreed that all such posts sanctioned fallen vacant upto 31.3.1997 shall be filled before empanel list is
allowed to lapse. Thus, in view of law laid down by the Hon‘ble Apex Court, in the instant case, Agreement dated
30.7.1996 was entered into between both the parties in respect of lapsing of the both the panels on 31.3.1997 and
absorption of the Workmen from panel list was subject to availability of vacancy of post likely to arise upto
31.3.1997, have a binding force on Workman as well as management of State Bank of India in view of provision
contained under section 18 (1) of I.D. Act, 1947.
Thus, Point No.I is answered against the Workman and in favour of the Respondent.
27.
Point No.II:- Firstly, it is submitted on behalf of the Workman that the Respondent has terminated his
services by oral order on 31.3.1997 without issuing any notice or paying any salary or compensation in lieu thereof.
Therefore, the termination order of the Workman from service is in violation of provision contained Under Section 25
F of I.D. Act, 1947. Therefore, the order is liable to be set aside.
28.
On the other hand, Respondent counsel contended that Workman has not worked for 240 days in any
preceding calendar year. Therefore, reference of the industrial dispute is not relevant. In this context, the Workman
has examined himself as WW1 who has reiterated that Workman has been terminated from service by Respondent on
31.3.1997 without notice of salary or compensation in lieu thereof. Before examining the claim of the Workman on
merit it would be apposite to reproduce the provision contained under section 25 F:-
Section 25F provides:-
Conditions precedent to retrenchment of workmen.- No Workman employed in any industry who has been in
continuous service for not less than one year under an employer shall be retrenched by that employer until—
[भाग II—खण् ड 3(ii)]
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1489
(a) the Workman has been given one month' s notice in writing indicating the reasons for retrenchment and the period
of notice has expired, or the Workman has been paid in lieu of such notice, wages for the period of the notice:
(b) the Workman has been paid, at the time of retrenchment, compensation which shall be equivalent to fifteen days'
average pay for every completed year of continuous service] or any part thereof in excess of six months; and
(c) notice in the prescribed manner is served on the appropriate Government or such authority as may be specified by
the appropriate Government by notification in the Official Gazette].
Compensation to workmen in case of transfer of undertakings.
Section 25B defines the term continuous service which provides
Definition of continuous service.- For the purposes of this Chapter,--
(1) a Workman shall be said to be in continuous service for a period if he is, for that period, in uninterrupted service,
including service which may be interrupted on account of sickness or authorized leave or an accident or a strike
which is not illegal, or a lock- out or a cessation of work which is not due to any fault on the part of the Workman;
(2) where a Workman is not in continuous service within the meaning of clause (1) for a period of one year or six
months, he shall be deemed to be in continuous service under an employer--
(a) for a period of one year, if the Workman, during a period of twelve calendar months preceding the date with
reference to which calculation is to be made, has actually worked under the employer for not less than--
(i) one hundred and ninety days in the case of a Workman employed below ground in a mine; and
(ii) two hundred and forty days, in any other case;
In order to prove the fact of 240 days of service within 12 months of a calendar year just preceding from the date of
termination, the initial burden of proof lies upon the Workman and the Workman has to prove this factum by
adducing his oral as well as documentary evidence in support of his claim.
Further, how to calculate 240 days of service by the Workman in a calendar year. In this context the reference of
decisions of Hon‘ble Supreme Court is relevant and the same are discussed below:-
In Rajasthan State Ganganagar S. Mills Ltd. v. State of Rajasthan and Anr. (2004) Apex Court held:
"It was the case of the Workman that he had worked for more than 240 days in the year concerned. This claim was
denied by the appellant. It was for the claimant to lead evidence to show that he had worked for 240 days in the year
preceding the date of his termination. He has filed an affidavit. It is statement which is in his favor and that cannot be
regarded as sufficient evidence for any Court or Tribunal to come to the conclusion that in fact the claimant had
worked for 240 days in a year These aspects were highlighted in Range Forest Officer v. S.T. Hadimani (2002 (3)
SCC 25. No proof of receipt of salary or wages for 240 days or order or record in that regard was produced. Mere
non-production of the muster roll for a particular period was not sufficient for the Labour Court held that the
Workman had worked for 240 days as claimed."
In Municipal Corporation, Faridabad v. Siri Niwas (2004 (8) SCC 195), held "the burden was on the Workman to
show that he was working for more than 240 days in the preceding one year prior to his alleged retrenchment." In
M.P. Electricity Board v. Hariram (2004 (8) SCC 246) the position was again reiterated in paragraph 11 as follows:
"The above burden having not been discharged and the Labour Court having held so, in our opinion, the Industrial
Court and the High Court erred in basing an order of reinstatement solely on an adverse inference drawn erroneously
..‖
In the case of Manager, RBI, Bangalore vs. S Mani (2005) SCC Page 100, the 3 Judges Bench of the Apex Court
held that "the initial burden of proof was on the Workman to show that he had completed 240 days of service."
Hon'ble Apex Court in the case of Mohan Lal vs Management BEL 1981 SCC page 225 has laid down the
principle that how to count 240 days of service within one year it is held: "Clause (2)(a) provides for a fiction
to treat a Workman in continuous service for a period of one year despite the fact that he has not rendered
uninterrupted service for a period of one year but he has rendered period of 240 days during the period of 12
calendar service for months counting backwards and just preceding the relevant date being the date of retrenchment.
In other words, in order to invoke the fiction enacted in clause (2)(a) it is necessary to determine first the relevant
date, ie the date of termination of service which is complained of as retrenchment. After that date is ascertained. move
backward to a period of 12 months just preceding the date of retrenchment and then ascertain whether within the
period of 12 months, the Workman has rendered service for a period of 240 days. If these three facts are affirmatively
answered in favor of the Workman pursuant to the deeming fiction enacted in clause (2)(a) it will have to be assumed
that the Workman is in continuous service for a period of one year and he will satisfy the eligibility qualification
enacted in Section 25-F"
“14. We have already extracted section 25B since its amendment and the change in language is the legislative
exposition of which note must be taken. In fact, we need not further dilate upon this aspect because in Surendra
1490
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Kumar Verma and Ors. v. Central Government Industrial-cum-Labour Court, New Delhi and Anr., Chinnappa
Reddy. J., after noticing the amendment and referring to the decision in Sur Enamel and Stamping Works (P)
Ltd case, held as under:
"These changes brought about by Act 36 of 1964 appear to be clearly designed to provide that a Workman who has
actually worked under the employer for not less than 240 days during a period of twelve months shall be deemed to
have been in continuous service for a period of one year whether or not he has in fact been in such continuous service
for a period of one year. It is enough that he has worked for 240 days in a period of 12 months, it is not necessary that
he should have been in the service of the employer for one whole year."
In a concurring judgment Pathak J. agreed with this interpretation of section 25B(2). Therefore, both on principle and
on precedent it must be held that section 25B(2) comprehends a situation where a Workman is not in employment for
a period of 12 calendar months, but has rendered service for a period of 240 days within the period of 12 calendar
months commencing and counting backwards from the relevant date, i.e. the date of retrenchment. If he has, he would
be deemed to be in continuous service for a period of one year for the purpose of section 25B and
Chapter VA.”
Thus, in view of the law laid down by the Hon‘ble Apex Court as discussed above the initial burden of proof lies
upon the Workman to show that he has completed 240 days of the service with the Respondent just preceding from
the date of his termination. Further, in respect of the employment of calculating the 240 days service in view of the
contents of Section 25-F read with Section 25-B of the I.D. Act, 1947.
29.
Now, in view of the provision contained under Section 25 F and law laid down by the Hon‘ble Apex Court,
we have to examine whether the Workman has discharged his initial burden of proof in respect of his claim of 240
days continuous service in a calendar year just preceding from the date of his termination i.e., 31.3.1997.
In this context, WW1 in his cross examination has stated that,
“I was not sponsored by any employment exchange. ……
“It is not true to suggest that I never worked for 240 days in a year continuously and I was casual worker I am not
entitled for any relief.”
Thus, it is clear from the testimony of WW1 that the Workman had not worked for 240 days continuously in any 12
months of a calendar year just preceding from the date of his termination in the Respondent bank. Therefore,
Workman failed to establish his plea by his oral and documentary evidence that he had worked for 240 days
continuously in calendar year just preceding from the date of his termination i.e., 31.3.1997. Thus, the claim of the
Workman that he has been terminated by oral order without issuing notice or payment in lieu after termination, in
contravention of Section 25 F of Industrial Disputes Act, 1947 is not tenable. However the documents filed by the
Workman in support of his claim, number of days worked with the Respondent goes to reveal that the Workman had
worked intermittently as daily wager depending upon availability of work in branch. Workman did not file any
document of appointment letter or salary slips in support of his claim for appointment as a non-messenger in the
Respondent branch on temporary basis.
30.
Per contra, the Learned Counsel for Respondent has submitted the allegation of Workman that he was
terminated from services is not correct. As the vacancies were filled up on regular basis in order of their respective
seniority the non-engagement of the Workman does not amount to termination. Further, Respondent contended that
no law provide that even though there is no work temporary employee should be continued in the bank work as the
very engagement of Workman was subject to availability of work. Therefore, the allegation that the bank has
indulged in unfair labour practice is incorrect.
31.
Thus, in view of the fore gone discussion and contentions made by the Respondent, I find the force in the
argument advanced by the Respondent that in the instant matter, Workman was not terminated from service by order
dated 31.3.1997 rather he was disengaged in view of the non-availability of the work in the branch. Further, there
was direction issued by the Head Office of the Respondent authority not to engage any daily wager Workman/
temporary Worker w.e.f. 1.4.1997. Thus, such disengagement of Workman does not amount to termination.
Moreover, the Workman failed to prove his claim that he was terminated in contravention of provision of Sec.25F of
the I.D. Act, 1947 as he failed to establish his plea by any oral or documentary evidence that he had worked for 240
days continuously in a twelve months of calendar year just preceding from date of termination i.e., 31.3.1997.
32.
Further, perusal of the order dated 25.3.1997 goes to reveal that the Chief Branch Manager, State Bank of
India has issued the letter to Zonal Office with direction to all its branches to this effect that they have been advised
by the DGM, Zonal Office, Hyderabad that as both the panel of temporary employees of 1989 and daily wagers/casual
labour of 1992 will lapse on 31.3.1997 it has been decided by central office not to make any temporary appointments
in messengerial cadre from 1.4.1997, therefore it was directed to issue suitable instructions not to make temporary
appointments from 1.4.1997. There is no mention in this order that the Workman herein has been terminated from
service by this order.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1491
33.
Further, the circular dated 27.3.1997 was issued by DGM, SBI to all branches in commercial network in
respect of the non-appointment of temporary employees in subordinate cadre and it has directed not to make any
temporary employment in the subordinate cadre with effect from 1.4.97 and further, it has directed to ensure that no
temporary/casual/daily basis appointment of the petty cash. Further, it is directed to all Branch Managers that any
deviation in this regard will be viewed seriously. Thus, these circulars do not reflect that the Workman has been
terminated from service by this order.
34.
Similarly, office order dated 31.3.1997 is simply a direction to all branches of the Respondent bank by DGM
that no further daily labour should be engaged or employed. Therefore, the plea of the Workman that he has been
terminated by the aforesaid order dated 25.3.1997, 27.3.1997 and 31.3.1997 from the service by the Respondent is not
acceptable. The evidence adduced by the Workman clearly goes to reveal that he had worked as a daily wager for
which he has been paid wages according to number of working days. As there was an order for prohibition for
engaging temporary workmen, in the bank, therefore, Workman could not be engaged by the Respondent for work
from 1.4.1997 and there after. It is settled law that the daily wagers are engaged by the employer depending upon
the availability of work and as the work was not available the Workman was not engaged further by the Respondent
management. Therefore, the Workman on the ground of number of days he had worked in the Respondent bank
cannot claim any right to reinstate him into the employment. As the Workman failed to prove the mandatory
condition of 240 days of continuous service as required under Sec.25F of I.D. Act, 1947. Therefore, the
disengagement of Workman from work can not be termed in contravention of provision contained under Sec.25F and
25 B of the I.D. Act, 1947.
Thus, this point is answered against the Workman and in favour of Respondent.
35.
Point No.III:- In this context, the Workman has contended that the management failed to implement the
selected panels during its valid tenure. The management adopted the back door methods contrary to the settlements
and filled up the vacancies. The same is evident from the proceedings dated 18.11.1993 a copy of the same is filed in
the material papers and the same may be read as part of the claim statement. Further, it is submitted that management
has to adhere the procedure issued by the Central Government, the instructions dated 16.8.1990 in the year 1995, but
same was not followed in the year 1997 despite there being vacancies. The management has followed the procedure of
calling candidates through employment exchange instead of giving chance to the empanelled candidates like the
Workman herein. The management sent call letters to the similarly situated candidates like the Workman in the month
of June 1997 subsequent to issuance of impugned termination orders. After knowing the fact that they are litigating
the issue by way of dispute, the management has refused to engage those candidates, the copies of call letters issued
are filed herein along with claim petition. The Workman herein reiterates that the panels are meant for absorption but
not for termination. In view of the same a duty is cast upon the Respondent management to engage the empanelled
candidates like the Workman herein even in temporary vacancies till they are absorbed permanently in regular
vacancies.
36.
On the other hand, Respondent has contended that the Federation approached Regional Labour
Commissioner (Central) for implementation of bipartite settlement in respect of the absorption of temporary
employees. The Regional Labour Commissioner (Central) conducted conciliation proceedings and agreement was
arrived at between the Federation and the Management bank. It is submitted that it was agreed between the
Federation and the Management that both the panels of temporary employees and daily wagers /casual labour would
be kept alive upto March, 1997 and the vacancies as agreed to under the afore set out settlements will be filled from
both the lists concurrently. A copy of the conciliation proceedings dated 9.6.1995 signed by the parties to the dispute
is filed as a material paper. Further, it is submitted that the settlement was arrived at and an agreement was signed
between the Federation and the Management bank on 30.7.1996 under Section 2(p) read with Section 18(1) of the
Industrial Disputes (Central) Rules 1957 which is binding on the parties. A copy of this agreement which hereinafter
may be referred to as 5th settlement for brevity, is also filed as a material paper. The 5th settlement dated 30.7.1996
whereunder the earlier four settlements dated 17.11.1987, 16.7.1988, 27.10.1988 and 9.1.1991 were also referred, it
was agreed to, by the Federation and the Management bank that both the panels of temporary employees and daily
wagers/casual employees will be kept alive upto March, 1997 for filling the vacancies existing/arrived at as on
31.12.1994 as per the norms agreed to between the bank and Federation and that thereafter the said panels would
lapse. It was also agreed that within the framework of the above settlements the modalities about drawing names from
either the panel of temporary employees or the panel of daily wagers and casual labour would be decided
administratively on circle to circle basis depending upon the local requirements in consultation with the Federation‘s
affiliate by the Circle management. It was further agreed that all messenger real vacancies/positions in the subordinate
cadre including part-time attendants specifically provided as leave reserve will be filled by the end of 31.3.1997.
Further, Respondent contended that on 27.2.1997 a memorandum of understanding was also signed between the
Federation‘s affiliate and the bank management regarding the fact that the exercise of identifying the messengerial
vacancies as on 31.12.1994 has since been completed by central office and thereby 403 messengerial vacancies were
sanctioned to the circle of the Management bank and it was agreed that these vacancies may be filled from 1989 panel
of temporary employees after effecting conversion from full time non-messengerial staff in the usual manner and the
agreement was reached upon. Further, it was agreed between the Federations affiliate and the management bank
1492
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[PART II—SEC. 3(ii)]
that in terms of the settlement dated 30.7.1996 both the panels of temporary employees and daily wagers /casual
employees would lapse on 31.3.1997.
37.
The Workman has contended that the empanelled list prepared by the Respondent management for
appointment of temporary and daily wage Workers to the permanent post cannot lapse unless until it is exhausted by
appointing all the empanelled persons and it should continue even after 31.3.1997, i.e., the date fixed for the lapse of
panel. It is undisputed that the date of lapse of empanelled list of Workmen has been fixed to 31.3.1997 as
mentioned in the settlement dated 30.7.1996, and agreed between the parties. It is settled law that and once the life
of panel list lapses on the date as agreed between the parties it cannot be extended beyond that date. In the instant
case the panel list of the workmen was valid upto 31.3.1997 in view of the terms and conditions enumerated in the 5th
Settlement entered into between the parties. As the lapse of panel i.e., 31.3.1997 has been agreed by State Bank of
India and State Bank of India Staff Federation through 5th Settlement, the Workman is not competent to challenge the
same.
In this context I would like to take reference of the decision of the apex court in the case of Syndicate Bank and Ors
vs. Shankar Paul and Ors , AIR 1997 SC 3091, therein the Hon‘ble Apex Court have held:-
“Till 1982, the branches of the appellant Bank in Calcutta region were recruiting persons locally to work as
temporary attenders in leave vacancies. In view of the revised procedure prescribed by the Government of India in
respect of such temporary appointments, the Calcutta regional office of the appellant Bank issued a circular to all of
its branches on 14.8.1982, instructing all the branches under it to discontinue the old practice from 1.6.1982 and
appoint only empanelled candidates. The regional office was to prepare a panel of eligible candidates, after calling
names from the local/district employment exchange, and split it up branch-wise. Following that new procedure yearly
panels were prepared thereafter. Names of the Respondents were for the first time included in the panel prepared for
the period 7.2.1987 to 6.2.1988. By its letter dated 7.2.1987 the Bank had informed the Respondents that the panel
was valid for one year only and that inclusion of their names in the panel was not to confer on them any right to seek
permanent appointment in the service of the bank. Considering the object with which the panel was prepared and the
fact that it was an yearly panel expiring on 6.2.1988, we are of the opinion that the Respondents did not get any right,
because of inclusion of their names in the said panel, for permanent absorption in the service of the Bank. Whatever
conditional right they had came to an end with the expiry of the panel. The claim of the Respondents, as contained in
the writ petition was thus misconceived and therefore the learned single Judge and the Division Bench, when it first
decided the appeal, were right in dismissing the writ petition and the appeal respectively.”
Thus, in view of the above law laid down by the Hon‘ble Apex Court and in view of the terms and conditions of the
5th Settlement the contention of the Workman that empanelled list should continue even after 31.3.1997 till the last
Workman in the panel is absorbed is not tenable. The contention of the Workman is baseless in view of recital in
the settlement. Therefore, in view of the fore gone discussion and finding given at Point No. I regarding binding
nature of Settlements and terms and conditions enumerated therein, in view of the provision contained u/s.18(1) of the
I.D. Act, 1947, I am of the considered view that life of panels lapsed on 31.3.1997 in view of terms of settlement
dated 30.7.1996 and plea of Workman that the panel shall continue even after 31.3.1997 till last man absorbed has
no legal force and same is untenable.
38.
Undisputedly, settlement agreement dated 30.7.1996 was executed between the State Bank of India and
State Bank of India Staff Federation and in that settlement it was agreed that both the panels of temporary employees
and daily wagers/ casual employees will be used for filling vacancies existing as on 31.12.1994 as per the norms
agreed between the bank and the Federation. These empanelled workmen were to be given a chance for permanent
appointment in the bank against vacancies arising up to December 1994 whereas the daily wagers/ casual employees
were to be considered against the vacancies arise from January 1995 to December 1996, whereby the said panel
would lapse. It was agreed that the vacancies falls upto 31.3.1997 shall be filled before the empanelled list is
allowed to lapse. Thus, the claim of the Workman to the post of permanent non-messenger in the Respondent
management was subject to the availability of the sanctioned post and vacancies arising upto 31.3.1997. The
workmen given chance to the permanent post were seniors in number of working days in panel list and Workman
herein was junior to those workmen. Therefore, Workman could not be given absorption to permanent post being
junior to other workmen in the panel list.
39.
In this context the Workman witness WW1 was cross examined by the Respondent counsel and in the cross
examination the witness WW1 states:-
“I made an application in response to the advertisement issued by the bank as per the settlement…. Further, witness
states, The panels were prepared basing upon the number of days of service of the temporary employees. The
temporary employees from the panel were given regular appointment in order of their seniority…. Further witness
states, I am not having any evidence to show that any of my juniors are continuing in the service.”
Thus, from the above statement of the Workman witness WW1 it is clear that the panel was prepared in terms of
various settlements entered into between Staff Federation of State Bank of India and State Bank of India and it was
prepared on the basis of number of days of work put in by the temporary employees. Further, the Workman himself
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1493
admitted that some of the temporary employees whose names were included in the panel were given regular
appointment in the bank in order of their seniority in the panel and he is not having any document to show that any
person who worked for less number of days than the Workman was given appointment in the bank. Therefore, the
allegation of the Workman that the regular appointment has been made by the bank from the panel list in breach of the
terms of the settlement and violation of seniority of panel list is not proved by this evidence of WW1. Thus, there is
no evidence on record that bank has given the appointment to the temporary employees as well as daily wagers from
the panel list 1989 and 1992 in breach of seniority of the temporary employees in the list. There is no evidence of
jumbling in the panel list to make appointment of any permanent Workman in breach of the seniority. Therefore, I
am constrained to hold that the Respondent Management has appointed the workmen from panel list in order of
seniority and there is no jumbling of workmen in the panel list before it got lapsed on 31.3.1997.
40.
However, Workman has taken the plea that the panels of Workmen for absorption in the employment of the
Respondent banks (panels of temporary employees and daily wagers) has been lapsed on 31.3.1997 in contravention
of terms of settlement as the object of preparing the entire empanelment of temporary and daily wagers was to provide
them permanent employment and till the both the panel lists exhausted the panel list cannot be lapsed on 31.3.1997
and the date of lapsing of the panel on 31.3.1997 has been fixed by the Respondent arbitrarily without any authority.
41.
In this context, the perusal of Settlement dated 30.7.1996 reveals that the 5th Settlement dated 30.7.1996 was
entered under Section 2(p) and 18(1) of I.D. Act, 1947 read with Rule 58 of Industrial Dispute (Central) Rules 1957.
This settlement has been entered into by the competent parties and in this settlement parties thereto agreed that both
the panels of temporary employees and daily wagers/casual employees will lapse on 31.3.1997. Thus the date of
lapse of panel was fixed by both the parties with consensus under the settlement dated 30.7.1996 and same is
binding upon the Workman under the provision of Section 18(1) of I.D. Act, 1947. Moreover, this issue of binding
force of the settlement dated 17.11.1987, 16.7.1988, 27.10.1988 and 9.1.1991 has already been discussed, decided at
finding in Point No.I of this award. However, the legality and validity of the aforementioned settlement has not been
challenged by the Workman before any competent forum. Thus, claim of Workman that the date of lapse of panel i.e.,
31.3.1997 has been fixed arbitrarily by the Respondent bank is untenable. As regard the claim of Workman for his
absorption to the permanent post it is settled law that the Workman can not claim his regularization to permanent
post merely on the basis of number of working days.
42.
In this context the reference of the decision of Hon‘ble Supreme Court in the case of Oil and Natural Gas
Corporation vs Krishan Gopal 2020(3) SCALE 272, date of decision 7.2.2020 is relevant therein Hon‘ble
Supreme Court have has laid down principle regarding regularization of the Workman on permanent posts. Hon‘ble
Supreme Court have laid down the prepositions of regularization of the workmen to permanent post is as under:-
―(i) Wide as they are, the powers of the Labour Court and the Industrial Court cannot extend to a direction to order
regularisation, where such a direction would in the context of public employment offend the provisions contained
in Article 14 of the Constitution;
(ii) The statutory power of the Labour Court or Industrial Court to grant relief to workmen including the status of
permanency continues to exist in circumstances where the employer has indulged in an unfair labour practice by not
filling up permanent posts even though such posts are available and by continuing to employ workmen as temporary
or daily wage employees despite their performing the same work as regular workmen on lower wages;
(iii) The power to create permanent or sanctioned posts lies outside the judicial domain and where no posts are
available, a direction to grant regularisation would be impermissible merely on the basis of the number of years of
service;
(iv) Where an employer has regularised similarly situated workmen either in a scheme or otherwise, it would be open
to workmen who have been deprived of the same benefit at par with the workmen who have been regularised to make
a complaint before the Labour or Industrial Court, since the deprivation of the benefit would amount to a violation of
Article 14; and
(v) In order to constitute an unfair labour practice under Section 2(ra) read with Item 10 of the Vth Schedule of the ID
Act, the employer should be engaging workmen as badlis, temporaries or casuals, and continuing them for years, with
the object of depriving them of the benefits payable to permanent workmen.
Thus, in view of the principles laid down by the Hon‘ble Supreme Court as discussed above, in the instant matter the
Workman utterly failed to prove his claim by adducing any documentary or oral evidence that the employer has
indulged in unfair labour practice by not filling the permanent posts even though such posts are available and by
continuing to employ workmen as temporary or daily wage employees despite their performance was the same work,
as regular workmen on lower wages.
43.
Respondent has contended that all the vacancies exist and arise upto 31.3.1997 has been filled up from the
panel list in order of seniority and no vacancy exists or arises as on 31.3.1997 remained unfilled. Further, it is
contended that as per terms of settlement the life of panel lists has been lapsed on 31.3.1997, hence, there is no
occasion to extend the life of panel lists beyond 31.3.1997. However, the workman failed to prove contrary by any
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THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
evidence to the aforesaid contention of the Respondent that the vacancies were existing as on 31.3.1997 and the
workman was not given absorption to the permanent post in order of his seniority. It is settled law that the power to
create permanent or sanctioned post lies outside the judicial domain and where no posts are available, a direction to
grant regularization would be impermissible merely on the basis of the number of years of service. Therefore, the
claim of the workman on this ground also not acceptable.
44.
Further, as per the of settlement, panel was prepared for absorption of the workmen on the permanent posts
has already been lapsed on 31.3.1997 and the vacancies existing and arising upto 31.12.1994 and upto 31.3.1997 as
settlement dated 30.7.1996 has been filled up from the panel by appointing the workmen as per seniority in the panel
list. Workman witness WW1 in his cross examination has himself admitted this fact that, some of the temporary
employees whose names were included in the panel were given regular appointment in the bank in order of their
seniority in the panel. The Workman failed to show that there was any breach of terms of settlement has been
committed by the Respondent in appointment to permanent post from aforesaid panel list.
45.
As discussed in preceding paragraph of this Award, the life of the panel has not been extended beyond
31.3.1997, by any further settlement hence, the panel list in which name of the Workman was included got expired
on 31.3.1997. It is not the case of the Workman that Respondent has regularized similarly situated workmen either in
the scheme or otherwise and the Workman has been deprived of same benefit on par with those workmen or the
vacancies remained unfilled on the date of lapse of panels i.e., 31.3.1997, Industrial Tribunal has no jurisdiction to
extend the date of lapse of panel i.e., 31.3.1997. This Tribunal can not order for regularization of workmen to the
permanent post in contravention of the provision of Article 14 of the Constitution of India.
In the case of Mahboob Deepak vs. Nagar Panchayat Gajraula & Anr, Civil Appeal No.5875/2007 date of
judgement 13.12.2007, Hon‘ble Supreme Court have held:-
“8. Respondent is a Local Authority. The terms and conditions of employment of the employees are governed by a
statute and statutory rules. No appointment can be made by a Local Authority without following the provisions of the
recruitment rules. Any appointment made in violation of the said rules as also the constitutional scheme of equality as
contained in Articles 14 and 16 of the Constitution of India would be a nullity.
9. Due to some exigency of work, although recruitment on daily wages or on an ad hoc basis was permissible, but by
reason thereof an employee cannot claim any right to be permanently absorbed in service or made permanent in
absence of any statute or statutory rules. Merely because an employee has completed 240 days of work in a year
preceding the date of retrenchment, the same would not mean that his services were liable to be regularized.”
Therefore, in view of the law laid down by the Hon‘ble Apex Court, the claim of the Workman for absorption merely
on the basis of number of day of work in the Respondent bank Branch is not acceptable. As regard plea of the
Workman that the Workman should have been given employment even after 31.3.1997 as temporary Workman, it is
the discretion of Respondent to engage the Workman depending upon availability of work and this Tribunal can not
direct the Respondent to engage the Workman in the absent of such rule/scheme.
46.
In view of principle laid down by Hon‘ble Apex Court as discussed above, in the instant matter Workman
utterly failed to establish the fact of rendering continuous service for a period of 240 days of service within a period
of 12 calendar months commencing and coming backward from relevant date i.e., the date of retrenchment, if has he
would be denied to be in continuous service for a period of one year. Therefore, the provision contained under
Sec.25F of retrenchment is not applicable to Workman.
Counsel for Workman has relied upon number of decisions of Hon‘ble High Court and Hon'ble Supreme Court and
few of them are discussed herein:-
In the case of F.C.I., vs. Kamdhenu Cattle Feed Industries 1993 (1) SCC 71, therein Hon‘ble Supreme Court have
held:-
“7. In contractual sphere as in all other State actions, the State and all its instrumentalities have to conform to Article
14 of the Constitution of which non-arbitrariness is a significant facet. There is no unfettered discretion in public law:
A public authority possesses powers only to use them for public good. This impose the duty to act fairly and to adopt a
procedure which is `fairplay in action'. Due observance of this obligation as a part of good administration raises a
reasonable or legitimate expectation in every citizen to be treated fairly in his interaction with the State and its
instrumentalities, with this element forming a necessary component of the decision making process in all State
actions. To satisfy this requirement of non- arbitrariness in a State action, it is, therefore, necessary to consider and
give due weight to the reasonable or legitimate expectations of the persons likely lo be affected by the decision or else
that unfairness in the exercise of the power may amount to an abuse or excess of power apart from affecting the bona
fides of the decision in a given case. The decision so made would be exposed to challenge on the ground of
arbitrariness. Rule of law does not completely eliminate discretion in the exercise of power, as it is unrealistic, but
providers for control of its exercise by judicial review.”
In the case of State Bank of India, R.O., Vijayawada vs. Industrial Tribunal, Hyderabad WP No.193/1997,
therein Hon‘ble High Court have held,
―Sri Krovvidi Narasimham, the learned counsel for the 2nd respondent contends, supporting the award that it was a
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1495
permanent vacancy and even though the 2nd respondent was appointed on temporary basis, his services were not
liable to be terminated and he was to be regularised into service on permanent basis. Shastry award warrants that no
temporary appointment can be made to a permanent post. But the matter is now covered by two division bench
judgements dated 28.11.1986 in W.A. No.791 of 1986 and 25.8.1987 in W.A. No.270 of 1982. The ratio decided in the
two judgements is to the effect that there cannot be any mandate to appoint employees on permanent basis when the
requirement was for appointment on temporary basis. But it is held in the said judgements that when a temporary
appointee is ousted from service and not for misconduct and, if again temporary appointment is to be made, then, the
case of such temporary appointee who was ousted, has got to be considered in accordance with Sec. 25-H of the
Act.”
In the case of State of Haryana and others vs. Piara Singh and others. 1992 (4) SCC 118, therein Hon‘ble
Supreme Court have held:-
“ 49. If for any reason an adhoc or temporary employee is continued for a fairly long spell, the authorities must
consider his case for regularization provided he is eligible and qualified according to the rules and his service record
is satisfactory and his appointment does not run counter to the reservation policy of the state.”
In the above cited judgements by the Workman the facts of the case are different hence do not apply to instant case
of Workman.
47.
On the other hand, in support of his contention Respondent has examined witness MW1 and MW1 in chief
examination states that, Settlements i.e., on 17.11.1987, 16.7.1988, 27.10.1988, 9.1.1991 were entered into between
the SBI and SBI Staff Federation for filling up of the vacancies that arise up to 1994 for those temporary employees
who has worked on scale wages. Further, MW1 states that two different panels for messengers and non-messengers
as per the eligibility criteria prescribed by the bank. There are four modules in Andhra Pradesh and they are
Hyderabad, Tirupathi, Vijayawada and Visakhapatnam. MW1 states that the temporary employees so empanelled
were given permanent absorption depending upon the vacancies so arise strictly in terms of the settlement. MW1
states that on 9.6.1995 conciliation proceeding was held before the RLC(C), Hyderabad and in said proceedings it
was decided that the panels will be kept live up to 31.3.1997 and vacancies will be filled from both the lists
concurrently. A copy of the said minutes of proceedings is Ex.M5. Further, MW1 states that on 30.7.1996 another
settlement was entered between the SBI and All India SBI Staff Federation providing for filling up of the vacancies
arising up to December 1994 in respect of subordinate cadre and daily wage /casual wage employees out of panel so
prepared were to be considered against vacancies arising from January 1995 to December 1996, thereafter the said
panels lapse. MW1 states that it was also agreed that all the non- messenger positions in subordinate cadre including
part time attendants specially provided as leave reserve will be filled before 31.3.1997 and as regards to non-
messengerial positions it is agreed that all such posts sanctioned and fallen vacant up to 31.3.1997 shall be filled
before the empanelled list is allowed to lapse. Thus in both the cases empanelled list were lapsed on 1.4.1997.
Ex.M6 is the copy of the settlement dated 30.7.1996. Further, witness states that on 27.2.1997 a memorandum of
understanding was reached between the SBI and SBI Staff Federation providing that both the panels above mentioned
will lapse on 31.3.1997. Ex.M7 is the copy of the memorandum of understanding and Ex.M8 is the copy of the
statements giving the particulars of 1989 non-messenger panel, Ex.M9 is the copy of the statement of 1989 non-
messenger panel, Ex.M10 is the copy of statement of 1992 panel. Further, witness states that petitioner was included
in the 1989 panel. As the existing vacancies at that time were exhausted and his turn did not come he could not be
given permanent employment in the bank as per the agreements. All the appointments were made strictly in
accordance with the settlements reached from time to time between SBI and SBI staff federation and as per seniority,
number of days of temporary service put in by them in the bank in the given period. Further, MW1 states petitioner
was not sponsored by any employment exchange he did not undergo the regular process of selection required for
appointment as a regular non-messenger the petitioner has not worked for 240 days in any year in his entire temporary
service in the bank. The petitioner and other temporary employees were terminated from service by the bank.
Further, MW1 states that the vacancies were filled up on regular basis with the temporary employees from the panels
and these panels were expired in terms of the settlements so reached and there were no vacancies to absorb such
employees. Thus, witness MW1 has proved the documents Ex.M1 to Ex.M12 and also contentions made in the
counter. However, MW1 was cross examined by the Petitioner Counsel. But nothing has been elicited in his cross
examination so as to discredit the testimony of the witness MW1 as regards the date of lapse of both the panels on
31.3.1997 and reasons assigned for non-absorption of the Petitioner from the panel list to the permanent post.
Moreover the witness MW1 was re-examined by the Respondent and the witness MW1 states that panels were expired
in terms of the settlement send absorptions to the extent of the available vacancies were made. There was no
termination of any temporary messenger as such but their services were not utilized after the cut off date as the
available vacancies were already filled up and most of these Petitioners were not in the service of the bank as on the
date of the expiry date of the panels. Therefore, in view of the aforesaid testimony of the MW1 in re-examination in
the absence of cross examination remained uncontraverted, the claim of the Workman that he was entitled for
absorption in permanent post in the branch of Respondent Management on the basis of panel list is found not
established.
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THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
This point is answered against the Workman.
48.
Point No.IV:- In view of the discussion and finding given at Point Nos. I, II and III, the Workman is not
entitled for any relief and claim statement of Workman sans merit and liable to be dismissed.
This Point is answered accordingly.
ORDER
In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the
services of Sri Munnnangi Yohoshuva, Ex. Messenger by way of oral orders w.e.f. 31.12.1986 is justified. Hence,
the Petitioner is not entitled for any relief as prayed for. The claim statement filed by Workman sans merit, hence,
dismissed.
Award is passed accordingly. Transmit.
Typed to my dictation by Smt. P. Phani Gowri, Personal Assistant, transcribed by her, corrected and signed
by me on this the 3rd day of February, 2026.
IRFAN QAMAR, Presiding Officer
Appendix of evidence
Witnesses examined for the
Witnesses examined for the
Petitioner
Respondent
WW1: Sri Munnangi Yohoshuva
MW1: Sri I.S. Appa Rao
Documents marked for the Petitioner
Ex.W1:
Photocopy of interview call letter News paper advertisement/ notification
Ex.W2:
Photocopy of caste certificate
Ex.W3:
Photocopy of Service certificate
Ex.W4:
Photocopy of transfer certificate
Documents marked for the Respondent
Ex.M1:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.17.11.87
Ex.M2:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.16.7.88
Ex.M3:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.27.10.1988
Ex.M4:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.9.1.1991
Ex.M5:
Photocopy of conciliation proceedings before the Regional Labour Commissioner(C) dt.9.6.1995
Ex.M6:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.30.7.1996
Ex.M7:
Photocopy of Memorandum of understanding dt. 27.1.1997
Ex.M8:
Photocopy of statements giving the particulars of 1989 messenger panel.
Ex.M9:
Photocopy of statement of 1989 Non-messenger panel
Ex.M10:
Photocopy of statement of 1992 panel
Ex.M11:
Photocopy of order of Hon‘ble High Court in WA No.86/98 dt. 1.5.98
Ex.M12:
Photocopy of order in SLP No.11886-11888 of 1998 dated 10.8.98
नई ददल्ली, 5 मार्च, 2026
का.आ. 312.—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj
ds izca/kr=] lac) fu;kstdksa vkSj muds deZdkjksa ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh;
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1497
ljdkj औद्योजगक vf/kdj.k@Je U;k;ky;
ds iapkV (a63/2001) izdkf'kr djrh gSA
[सं. एल-12012/499/2000-आई आर(बी- I)]
सलोनी, उृ जनदेिक
New Delhi, the 5th March, 2026
S.O. 312.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Ref. 63/2001) of the Cent.Govt.Indus.Tribunal-cum-Labour Court
Hyderabad as shown in the Annexure, in the industrial dispute between the management of State Bank of India
and their workmen.
[No. L-12012/499/2000- IR(B-I)]
SALONI, Dy. Director
ANNEXURE
IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT
HYDERABAD
Present: Sri IRFAN QAMAR
Presiding Officer
Dated the 2nd day of February, 2026
INDUSTRIAL DISPUTE No. 63/2001
Between:
Sri Kona Yesu,
S/o Govindu,
Koduru Mandal,
Krishna Dist – 521124.
… Petitioner
And
The Dy. General Manager,
State Bank of India,
Zonal Office,
Renigunta Road,
Tirupathi.
…..Respondent
Appearances:
For the Petitioner :
Sri B. Suman, Advocate
For the Respondent:
Sri Y. Ranjeeth Reddy, Advocate
AWARD
The Government of India, Ministry of Labour by its order No. L-12012/499/2000-IR(B.I) dated 26.6.2001
referred the following dispute under section 10(1)(d) of the I.D. Act, 1947 requiring this forum to decide the question:
SCHEDULE
―Whether the action of the management of State Bank of India,Vijayawada zone in dismissing the services
of Sri Kona Yesu, Ex.Messenger, is justified? If not, what relief the workman is entitled?‖
After receipt of the reference, it was numbered as ID No. 63/2001 and notices were issued to both the Workman and
1498
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
the management.
2.
Before unfolding the factual matrix of the instant industrial dispute it would be apposite to have a bird eye
view of a chequered history of the instant industrial dispute. Earlier instant industrial dispute along with the batch
cases was decided by this Tribunal vide common award dated 17.5.2005 and the reference was answered in favour of
the Respondent and against the Workman. That said common award dated 17.5.2005 was challenged by the
aggrieved Workmen in various Writ petition No.6470/2014 along with batch of writ petitions before the Hon‘ble High
Court of Andhra Pradesh and Hon‘ble High Court vide its‘ judgement dated 23.6.2014 allowed all batch of writ
petitions and set aside the common award dated 17.5.2005 passed in ID No.222 of 2001 and other batch of ID cases
by Central Government Industrial Tribunal cum Labour Court, Hyderabad and the Respondent management of State
Bank of India was directed to reengage the Writ Petitioners in position, which they have been occupying prior to their
termination and further directed to consider their cases for regularization as and when the substantive vacancy arises.
This judgement dated 23.6.2014 of Hon‘ble High Court of AP, passed in WP No.6470/2014 and batch petitions was
challenged by Respondent management before the Hon‘ble High Court in Writ Appeal No. 1268 of 2014. The
aforesaid Writ Appeals No.1268/2014 and other Writ Appeals were decided by Division Bench of High Court of
Andhra Pradesh by a common judgement dated 20.3.2019. Hon‘ble High Court in aforesaid Writ Appeal was
pleased to pass the order which is extracted as below:-
“ 7. Hearing the learned senior counsel for the SBI and the learned senior counsel for the contesting unofficial
Respondents, we see that while the learned single Judge was justified in setting aside the award af the Tribunal, the
proper course to be adopted was to remit all the cases to the Tribunal. This we say for reasons more than one. Firstly,
in such matters, claims have to be decided on individual basis, as different persons have different claims as to the
length of officiation or discharge of duties and functions; quality of engagement, drawings, accounting of the post for
each one of them, who have worked etc. AIl these issues will not be the same in all the cases. Therefore, each case
ought to have been directed to be decided by the Tribunal afresh on individual basis. The second and most important
aspect is the learned single Judge has in one go ordered re-employment of all the workmen. This is not a relief that
could have been granted without answering the individual issues; each issue relating to each case could not have
been decided by the writ Court within the format of its adjudication procedures and scope. The adjudicating body,
which has to do that activity, is the Industrial Tribunal. Therefore, we are of the view that while we would sustain the
order of the learned singe Judge insofar as it interfered and sets aside the award of the Tribunal, the further findings
and directions, issued through the impugned order have to go and the individual cases have to be sent back for
consideration of the Tribunal. Such further procedure before the Tribunal will have to be carried forward with the
materials already on record and also by affording an opportunity to the persons, who have claims as well as the
management to place their rival contentions and further material before the Tribunal. The learned counsel appearing
for the workmen are justified in pointing out that enormous delay has already happened and further action by the
Tribunal in this line may be expedited.
9. In the result, these writ appeals are ordered;
(1) affirming the impugned common order of the learned single Judge to the extent it sets aside the common award
dated 17.05.2005 of the Industrial Tribuna!;
(2) the further findings and directions issued through the impugned common order are vacated:
(3) all the matters shall be remitted to the Industrial Tribunal with a direction to dispose of them within an outer limit
of five (5) months from the date of receipt of a copy of this order; and,
(4) the parties to make appearance before the Tribunal on the given date.”
Thus, in view of the above direction of Hon‘ble High Court of Andhra Pradesh in W.A.No.1268 of 2014 and batch
cases. This Tribunal has taken up the matter of industrial dispute for hearing and deciding it afresh in view of the
aforesaid guidelines laid down by the Hon‘ble High Court in Writ Appeal No.1268/2014 vide judgement dated
20.3.019.
3.
The factual matrix of instant industrial dispute as narrated by the Workman in his claim statement are that,
the Workman joined in the service of the management institution as Messenger from 1987 to 1996, and has rendered
unblemished service spreading over a period of about 9 years. The Respondent has terminated services of Workman
by oral orders with effect from 1.4.1997. Further, it is submitted that the management of Respondent bank decided
to give a chance to temporarily employed personnel ―found suitable for permanent appointment‖ by wait- listing them
by offering permanent appointment or waitlisting till such opportunity arises.
4.
That on 17.11.1987 a settlement was reached between All India State Bank of India Staff Federation and the
Management of State Bank of India - settlement one, under this settlement three categories of employees were
listed. That is, A) those who have completed 240 days in 12 months or less after 1.7.1975. B) those who have
completed 270 days in any continuous block of 36 calendar months after 1.7.1975. C) (i) those who have completed
minimum of 30 days aggregate temporary service in any calendar year after 1.7.1975 or (ii) 70 days aggregate
temporary service in continuous block of 36 months after 1.7.1975.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1499
5.
The persons who satisfied in all the above 4 categories were to be interviewed by a selection committee and
the said selection committee would determine the suitability of the said candidate for permanent appointment.
Therefore, the bank prescribed certain qualifications and from among the candidates satisfying the qualifications the
suitable candidates were enlisted by a selection committee. The Clause 7 of the said agreement provided with the
selected candidate would be wait listed in order of their respective categorization and the selected panel would be
valid upto December, 1991. Clause 10 of the settlement specifically provided that henceforth. ―there will be no
temporary appointments in the subordinate cadre‖, except on a restrictive basis in the specified category, ―from
amongst empanelled candidates as per existing guidelines of the bank‖. The Workman further submits that
consequent upon the said agreement and the draft, a notification was issued in the newspapers. The last date for
responding to the advertisement was 30.8.1988. A written examination followed by viva-voce in May, 1989 was
held. A selected panel was prepared, as per Clause 7 of the agreement, ie. Settlement No.1, the selected panel was to
be valid upto December, 1991, the Workman submits that circular was issued on 26.4.91 by the said letter it is
mentioned that the terms of the agreement dated 17.11.87 was modified vide second agreement dated 16.7.88 was
entered into between the parties. In terms of the said agreement a chance was to be given, ―to all eligible temporary
employees for permanent appointments. The appointments were against the vacancies likely to arise during the
years 1995-96, circular made it clear that in view of the enormity of the problem an extension of the currency of the
panel, eligible temporary employees who have been empanelled could not appear in the earlier interviews and have
been pursuing their cases thereafter, ―will be given another chance to appear for interview‖.
6.
Workman submits that there were total five settlements. The settlement dated 17.11.87 is the
1st settlement (Ex M1), settlement dated 16.7.88 is 2nd settlement (Ex M2), settlement dated 27.10.88 is the
3rd settlement (Ex M3), then settlement dated 9.1.91 is 4th settlement and settlement dated 30.7.96 is 5th
settlement (Ex M6). In between there is minutes of conciliation proceedings dated 9.6.95 marked as Ex M5.
That due to all these settlements which were extended by subsequent settlements thereby created reasonable
expectations in the list of the selected candidates arose with that it‘s a question of time their appointments or services
would be regularized in the services of the bank. The Workman was working with the bank on temporary basis was
under the bonafide hope that sooner his services will be regularized with the bank. He is thereby closed all his
options elsewhere. It is needless to point out that employing person to whom hope of employment in substantial
terms was made is a facet of Article 21 of the Constitution of India.
7.
Further Workman submits that the Government of India issued Circular No. F-3/3/104/87-IR, dated
16.8.1990. Under said circular the chief Executives of all public sector banks including the Management herein were
specifically instructed that until the problem of existing temporary employees is fully resolved, no bank is permitted to
make any permanent appointments. That some of the persons similarly situated like this Workman aggrieved by the
inaction on the part of the management of the bank is not regularizing their services from out of the selected panel
and not clearly focusing the vacancy position, filed W.P. No. 4194/97 before Hon‘ble High court of A.P.. It is
specifically averred in the said writ petition that the Management of the bank had failed to implement the settlement
and that it violates the various fundamental rights guaranteed under the constitution of India. The Hon‘ble High
court of A.P .. by order dated 5.3.97 directed the bank to implement the settlement as amended from time to time. It
also directed the bank to carry out the terms of settlement before the expiry of March, 1997. The Hon‘ble High
Court also recorded finding that the Bank cannot escape its liability of enforcement of the Settlement. In view of the
directions given by the High Court all candidates whose names appeared in the select panels prepared on the basis of
the agreement entered into on 17.11.87 under which the panel was valid upto December, 1991, and on the basis of a
settlement dated 27.10.1988 whereby the panels were made alive upto 31.3.1997 under which the panel was valid upto
December, 1999. The other agreement dated 16.7.1988 under which the panel was valid upto 1992 and on the basis
of the settlement dated 27.10.1998 whereby the panels were made alive upto 31.3.1997 were under the bonafide
impression that their cases will be considered for regularization and were living on the basis of the said reasonable
expectation. Unfortunately, contrary to the aforesaid directions given by the High Court and contrary to the
settlements entered into between the parties, the bank issued proceedings dated 25.3.1997, dated 27.3.1997 and
31.3.1997 instructing the various authorities of the Management not to continue the temporary employees those who
are in services of the bank from 1.4.97. The said order was followed by the Management. Aggrieved by the said
action the Workman herein and similarly situated candidates have filed a writ petition before the Hon'ble High Court
and by way of Writ Petition No.9206/97 seeking a declaration that the proceedings issued by the Deputy General
Manager and the Assistant General Manager (Respondents 3,4 and 5 therein) on 25.3.97, 27.3.97 and 31.3.97 as
illegal and also non-continuance of the Workmen therein in service by absorbing them in the services of the bank as
violative of Section 2(p) and 18(1) read with Rule 58 of Central Rules and sought for specific direction to the bank to
absorb them in service.
8.
Further, Workman submits that in the counter affidavit filed in Writ Petition No.9206/97, the bank has
submitted that it has about 805 branches in Andhra Pradesh alone. It has stated that due to exigencies of
circumstances and on account of the urgent need in its banks, it employed temporary employees in subordinate cadre.
It is pertinent to mention that it does not state the urgent or need or the nature of temporary employees that it had
engaged. Enquiry into the same would reveal that the stand taken by the bank either on the ground of urgent need or of
temporary employees is a façade to perpetuate unfair labour practice. It is designed to on the one hand, keep the
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[PART II—SEC. 3(ii)]
employed in the erroneous zone of hope and on the other to ensure that benefits that a model employer will extend
under various statutes to its employees is not required to be borne out by the bank. A reading of the counter affidavit
would show that the bank would opines that being just fair and reasonable are which obviously is reprehensible and is
a facet of unfair labour practice.
9.
The Workman submits that the bank had referred in its counter affidavit to three settlements dated 17.11.87,
16.7.88 and 27.10.88. The bank in the guise of extending the benefits of the circular of Government dated 16.8.90
stated in its counter affidavit that as follows:
"Government of India, vide its letter dated 16.8.1990, issued guidelines to all the public sector banks with regard to
recruitment and absorption of temporary employees in public sector banks. The said guidelines were issued to
implement on the lines of the approach paper on the issue provided by a committee constituted in this regard. The
Government of India guidelines made it clear that all the public sector banks may follow the provisions laid down in
the approach paper.
The approach paper specified that the cases of temporary employees who had put in not less than 240 days of
temporary service in 12 consecutive Months and who are entitled to benefit of Section 25-F may be decided by
entering into a settlement with the representative union. In respect of temporary employees who had put in less than
240 days of service in 12 consecutive months or less, a settlement could be avoided and however if the Management
so desired, they could enter into a conciliation settlement with the representative union. Para 6(h), it is mentioned
that only those temporary employees who had put in temporary service of 90 or more days after 1.1 1982 would be
eligible for considering under the scheme. Although the Government guidelines envisaged for a settlement in respect
of employees who had put in temporary service of 90 or more days, the bank by way of further concession entered
into settlements Even in respect of those who had put in less than 90 days. As such, it could be Seen that the
settlements are more beneficial to the temporary employees concerned. The approach paper also specify at para 6(c)
that the banks would provide one time opportunity to all the temporary employees and for that purpose temporary
employees worked in the bank on or after 1.1.1982 could be considered for re-employment in terms of the scheme.
The Respondents have gone further wherein even persons working after 1975 were also considered.
As could be seen from the above, there was a genuine effort on the part of the Respondent bank to provide
permanent employment for as many as possible subject to availability of the vacancies.
It is further submitted that at para 6(k) of the approach paper, it was made clear that this would be one time
exercise in full and final settlement of all the aims and disputes for the past period in respect of temporary workmen
covered by the settlement. This would mean that the Government of India guidelines would cover only those persons
who were temporarily employed for the period specified therein and not otherwise. As such, it is submitted that the
Respondents have not only followed the Government of India guidelines but in fact covered cases of the employees
who had worked for less than 90 days. As such, question of violation does not arise and in any case those were only
broad guidelines and not directives".
10.
The Workman submits that the bank also referred a subsequent settlement dated 9.1.1991 wherein there is a
clause to the effect- that the panel of temporary employees and the panel of daily wage employees will be operated to
a particular period. Therefore, their cases will not be considered. The Management herein relying upon this settlement
in their impugned action. It is submitted that even the settlement dated 9.1.1991 will not empower the management
to terminate the services of the temporary employees who are working in the bank services like the Workman herein
as it does not specify the termination of the employees. In fact there are so many vacancies wherein the Management
has engaged several new persons as temporary messengers/ attendars/ sweepers etc., even after the judgment of
Hon‘ble High Court without considering the cases of the similarly situated candidates like the Workman herein. It is
submitted inspite of engaging fresh candidates as is now being done by the Management they would have continued
the similarly situated candidates like the Workman herein in the services of the bank and consider their cases for
absorption in view of the circulars issued by Central Government as well as the directions of this Hon'ble Court in
Writ Petition No.4194/97, dated 5.3.97. In view of the circulars issued by the Central Government, the Management
should not have relied upon the settlement dated 9.1.1991. Hence, the impugned action of the Management is illegal,
unjust, violative of fundamental rights such as Articles 14,16 and 21 of the Constitution of India.
11.
The Workman submits that in W.P. No.4194/97 filed by the union of temporary employees where in they
have complained about the non- implementation of the settlements arrived between the parties and sought for
absorption. Such employees in the bank services on permanent basis before the date fixed for carrying out the terms
of settlement, the Court held that the members of the union had been empanelled in the list, they were not regularized
and the time was going to run out to the near future and the Respondent bank and its officers cannot escape from the
liability of enforcing the settlement which has been reached and therefore directed that the bank and the officers shall
implement the settlement dated 17.11.87 as amended from time to time before the expiry of 31.3.97.
12.
Further, it is submitted that in the clause of Settlement it is specifically mentioned that the workmen to be
absorbed/appointed in the bank prohibiting any temporary appointments subsequent to the date of settlement even the
authorities want to make temporary appointments that should be made only from among the empanelled can be
appointed either for temporary vacancy or permanent vacancy except from among the empanelled candidates like the
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1501
Workman and that should be continued till they are absorbed. The management committed unfair labour practices
and terminated the services of the candidates with effect from 1.4.1997 which is arbitrary, discriminatory, contrary to
their own guidelines and violative of the constitutional provisions which are guaranteed in Chapter-III of the
Constitution of India.
13.
The Workman submits that it is strange as to how the panels were allowed to lapse by a so-called
Memorandum of Understanding dated 25.2.1997, that the action of terminating such employees like the
Workman by virtue of an impugned oral proceedings without implementing the settlement would be illegal and unfair
labour practice which cannot be allowed to be perpetuated. That the discontinuance of the Workman after 31.3.97
who had served in the bank in any capacity amounts to retrenchment. It could not have been done without any notice
and it violates Sec.25FF of the Industrial Disputes Act, 1947 and the said action is violative of principles of natural
justice guaranteed under Chapter III of the Constitution of India. This amounts to retrenchment without one month's
notice and taken in view of such notice. Thus, the main proceedings issued by the Respondent is without jurisdiction
and is arbitrary, illegal and therefore liable to be quashed. That the alleged Memorandum of Understanding dated
27.2.97, Ex.M5 does not own any legal entity, as the said Memorandum of Understanding is not published anywhere
to brought to the notice of the Workman whose rights are being affected. It is submitted that Management did not
adhere to the procedure envisaged by the Central Government in its' instructions dated 16.8.90 in the year 1995. The
same was not followed in the year 1997 despite there being vacancies.
The management has followed the
procedure of calling candidates through Employment exchange instead of giving chance to the empanelled candidates
like the Workman here. It is pertinent to mention here that the Respondent Management sent letters to the all
similarly situated candidates like the Workman in the month of June, 1997, subsequent to the passing of impugned
termination orders. After knowing the facts that the candidates are litigating, the Management refused to engage these
candidates. It is once again reiterated that the panels are meant for absorption but not for termination. It was the duty
of the Management to engage the empanelled candidates like the Workman even in temporary vacancies till they are
absorbed permanently in regular vacancies. Hence, the action of the Respondent Management terminating the
services of the Workman by oral order dated 31.3.97 is unjust, illegal, violative of principles of natural justice and
hence, the Management be directed to reinstate and absorb the Workman and to grant all incidental and consequential
benefits.
14.
Per contra, Respondent had filed counter and made a contentions that the reference is not tenable and
contrary to the provisions of I.D. Act, 1947. Respondent submitted that to tide over severe sub-ordinate staff
constraints which arose out of leave vacancies, exigencies, etc., and also owning to the restrictions imposed by the
Government of India/Reserve Bank of India on intake of staff, the Respondent bank used to engage sub-ordinate staff
like messengers, sweepers, sweeper cum water boys, etc., depending on the availability of work on purely temporary
basis for the smooth and uninterrupted functioning of the branches. It is submitted that the All India State Bank of
India Staff Federation which represents majority of the employees in the State Bank of India comprising about 98% of
the work force as its' members espoused the cause of temporary employees who have put in less than 240 days of
temporary service in 12 calendar months in the bank and who were ineligible for any protection under Industrial
Disputes Act, 1947 to give a chance for being considered for absorption and permanent appointments.
15.
Discussions were held and on 17.11.1987 an agreement was signed between the federation and the
Management bank under Sec. 2(p) read with Sec 18(1) of the Industrial Disputes Act, 1947 read with Rule 58 of
Industrial Disputes (Central) Rules 1957. A copy of the said settlement dated 17.11.87 which may be herein after
referred as first settlement is filed and 4 categories were made as it has already been mentioned in the claim statement
above, it need not be repeated here. In the first settlement, it was agreed that the temporary employees as categorized
would be given a chance for being considered for permanent appointment in the bank's service against the vacancies
which are likely to arise during the period 1987 to 1991. On 16.7.88 second settlement was arrived between the
Federation and the Bank whereby it was agreed to substitute the period of consideration of vacancies as 1987 to 1992
in place of 1987 to 1991 as contemplated under the first settlement dated 17.11.1987. This is the second settlement.
A 3rd settlement was entered into on 27.10.88 and it was agreed that the bank's service against the vacancies likely to
arise from 1988 to 1992 was to be considered. Government of India vide its letter dated 16.8.90 issued guidelines to
all the public sector banks with regard to recruitment and absorption of temporary employees in public sector banks.
The said guidelines were issued to implement on the lines of approach paper on the issue provided by a committee
constituted in this regard. Government of India guidelines made it clear that all the public sector banks may follow
the provisions laid down in the approach paper. The approach paper specified that the cases of temporary service in
12 consecutive months and who are entitled to benefit of Sec.25F of the Industrial Disputes Act, 1947 may be decided
by entering into a settlement with the representative union. In respect of temporary employees who had put in less
than 240 days of service in 12 consecutive months or less, a settlement could be avoided and however if the
Management so desired they could enter into a conciliation settlement with the representative union. In para. 6(h) it
is mentioned that only those temporary employees who had put in temporary service of 90 days or more days after
1.1.82 would be eligible for considering under the scheme. Although the Government guidelines envisaged for a
settlement in respect of employees who had put in temporary service of 90 days or more days, the bank by way of a
further concession entered into settlements. Even in respect of those who had put in less than 90 days and also the
bank went a step further and said those persons who are working after 1975 were also considered. Hence, there was a
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[PART II—SEC. 3(ii)]
genuine effort on the part of the Respondent bank to provide as many as possible jobs subject to the availability of the
vacancies. However, para 6 (k) of the approach paper made it clear that it is a one time, exercise in full and final,
settlement of all the claims and disputes for the past period, in respect of temporary workmen covered by the
settlement. Another settlement was entered on 9.1.91 herein after referred as 4th settlement and the time limit was
extended upto 1994 and separate panel was prepared for temporary employees, casual/daily wagers. It was agreed that
while vacancies arising between 1988 to 1994 in respect of temporary employees and in respect of casual/daily
wagers, they can be considered for the vacancies arising between 1995-96 only.
16.
It is submitted that the administrative set up of the Hyderabad Local Head Office comprises of four Zonal
Offices (Zones) at Hyderabad, Vijayawada, Visakhapatnam and Tirupathi covering all the Districts of Andhra
Pradesh. In terms of the settlement the Management after following the procedure laid down therein prepared the
panels of qualified candidates of temporary employees denoted as 1989 panel and also panel of casual/daily wagers
denoted as 1992 panel for giving a chance for being considered for permanent absorption. These panels were
prepared zone-wise separately for messengers and non-messengers in the descending order of temporary service put in
by the candidates during the stipulated period i.e., 1.7.1975 to 31.7.1988. That the Federation approached the
Regional Labour Commissioner(C) for implementation of bi-partite settlement in respect of absorption of temporary
employees. The Regional Labour Commissioner(C) conducted conciliation proceedings and an agreement was
arrived between the Federation and the bank. It was agreed that it would be kept alive upto March, 1997. A copy of
the conciliation proceedings dated 9.2.1995 signed by the parties is filed as material paper. A settlement was arrived
at and an agreement was signed between the Federation and the Management bank on 30.7.1996 under Sec.2 (p) read
with Sec.18(1) of the Industrial Disputes (Central) Rules, 1957, which is hereinafter called as 5th settlement. That on
27.2.1997 a Memorandum of understanding was also signed by the federation‘s affiliate and the bank Management
recording the fact that the exercise of identifying the messengerial vacancies as on 31.12.1994 has since been
completed by Central Office and thereby 403 messengerial vacancies were sanctioned . It was agreed that these
vacancies may be filled from 1989 panel of temporary employees after effecting conversion from full time non-
messengerial staff in the usual manner and the agreement was reached accordingly. It was agreed between the
Federation's affiliate and the Management bank that in terms of the settlement dated 30.7.1996 both the panels of
temporary employees and daily wagers/casual employees would lapse on 31.3.1997. That as agreed upon vacancies
were filled from the panels. The Workman who has put in an aggregate temporary service of less than 240 days in a
continuous block of 12 months period during 1.7.1975 to 31.7.1988 has no right to seek a direction to consider his
candidature for absorption in the Management bank under any rule/law except under the settlement entered into
thereon.
17.
Respondent contended that, in fact, the case of the Workman can be considered under all the five settlements
having got his case considered under provisions of these settlements. All the other provisions and terms of the
settlements are also binding on him/her. The Management bank has not violated any of the provisions of the terms of
the said settlement. That the very preparation and maintenance of panel is in compliance of the terms agreed under
these settlements. These settlements were time bound and they ceased to exist on 31.3.1997. That the bank has never
promised that all the candidates in the panel will be absorbed. In the advertisement itself it was made clear that
candidates will be considered for absorption in the vacancies that may arise upto 1992. Keeping alive the panels after
31.3.1997 is contrary to the settlements arrived between the State Bank of India Staff Federation and the Management
bank. That the settlements are binding on the parties. The Workman is also bound under the terms of the said
settlement. The settlement does not suffer from any ambiguity as their language is very clear. The right under the
settlements is to give them a chance to be considered for future appointment in the bank's services against the
vacancies likely to arise. The settlements were effected to balance the expectations of the temporary employees to be
absorbed in permanent service as against the constitutional rights for all eligible persons to be considered for
employment every time a vacancy arises. That the alleged dispute including the demand for reinstatement has to be
decided in this context. It is submitted that the period of panel list got expired on 31.3.97 and it is an integral term of
the settlement and cannot be modified in any proceedings under the law. These temporary employees who
unfortunately could not be accommodated for want of vacancies have no further rights to be considered for
regularization. That the Hon'ble High Court in WP No.12964/94, held as follows, "It is needless to state that the
settlement arrived at between the All India State Bank of India Staff Federation which, is the majority union and the
bank Management is binding on the Workmen also. It is not at all the case of the Workman that any of the terms of
the settlement has been violated by the bank's Management. If the Workman had worked in the bank on part-time
basis before 31.5.94, that itself would not vest in him a right to claim that his services should be regularized on
permanent basis against a full time cadre post. The claim put forth by the Workman in the present petition is therefore
misconceived and not tenable. However, it is open to the Workman to claim any right which flows from the
settlement between the union and the bank Management. As already pointed out that it is not the grievance of the
Workman that some right which has flown from the settlement in favour of the Workman has been denied by the bank
Management. Therefore, I do not find any ground, let alone substantial ground, to grant the kind of relief sought for
by the Workman. Writ Petition fails and is accordingly dismissed. No costs."
18.
Further, it is contended that if the panels were not lapsed at the end of designated period and allowed to be
continued it would result in making the contracts of temporary employment indirectly permanent through back door
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1503
entry, which would not only be contrary to the settlements but also to Articles 14 and 16 of Constitution of India and
deprive the chances of original claimants who would Come through proper recruitment procedure. As their rights
have been crystallized by operation of the settlements. Hence, there is no question of any Legitimate expectation
being violated.
19.
Similarly placed ex-employees filed WP No.9206/1995 and the batch before the Hon'ble High Court of A.P.
and the learned Single Judge allowed the Writ Petitions. Aggrieved by the same WA No.86/98 and the batch was
filed and the Division Bench set aside the order of the Single Judge. Thereafter the ex-temporary employees filed
Special Leave Petition No.11886-11888 of 1998 before the Hon'ble Supreme Court of India. The Hon'ble Supreme
Court of India also dismissed the SLP. Therefore, reference to the Judgement of the Learned Single Judge in WP
No.9206/97 is of no consequences as the same has already been set aside. The observations made in the Judgements
cannot be relied upon for any purpose what so ever. The question of operation of Sec.25F would not come into play.
Further the issue is covered by various Judgements of Hon'ble Supreme Court of India and various Hon'ble High
Courts. Hence, the reference may be ordered that the Workman is not entitled for any relief.
20.
In order to fortify his claim Workman has examined himself as WW1 and also filed documents in evidence
which has been exhibited as Ex.W1 to W6. Further, the Workman has filed photocopies of documents in support of
his claim which are discussed as under:-
Ex.W1 is the notification. Further Ex.W2 is the panel list. Ex.W3 and W4 are the service certificates. Ex.W5 is
the circular dt.8.4.1999. Ex.W6 is the circular dt.14.7.99.
21.
On the other hand, Respondent has examined witness MW1 Sri Rupakula Prakash Babu and this witness has
exhibited 12 documents, marked as Ex.M1 to M12. The details of these documents are as follows:-
Ex.M.1 is the Settlement dated 17.11.1987. Ex.M2 is the Settlement dated 16.7.1988. Ex.M3 is the Settlement
dated 27.10.1988. Ex.M4 is the Settlement dated 9.1.1991. Ex.M5 is the Minutes of the conciliation proceedings
dated 9.6.1995. Ex.M6 is the Settlement dated 30.7.1996. Ex.M7 is the Memorandum of Understanding dt.
27.2.1997. Ex.M8 is the Particulars of 1989 Messengerial Panel. Ex.M9 is the Particulars of 1989 Non-
Messengerial Panel. Ex.M10 is the Particulars of 1992 General Attendant Panel. Ex.M11 is the Judgment of
Hon‘ble High Court of A.P. in Writ Appeal No.86/98 dt.1.5.1998. Ex.M12 is the Judgment of Hon‘ble Supreme
Court of India in SLP No. 11886-11888 of 1998 dt.10.8.1998.
22.
Apart from afore mentioned documents, Learned Counsel for Workman has also filed a long list of various
judgements of Hon‘ble Supreme Court as well as Hon‘ble High Court, which we will discuss at appropriate place in
this Award.
23.
Heard the argument of Learned Counsel for Workman as well as for Respondent.
24.
On the basis of rival pleadings of both the parties and submissions made by the Learned Counsel for both
the parties, following points arise for determination in the industrial dispute :-
I.
Whether the 1st settlement dated 17.11.1987, 2nd settlement dated 16.7.1988, 3rd settlement dated
27.10.1988, 4th settlement dated 9.1.1991 and 5th settlement dated 30.7.1996 entered into between
State Bank of India and All India State Bank of India Staff Federation and also Memorandum of
Understanding are binding upon both the parties?
II.
Whether the action of State Bank of India, Vijayawada zone in terminating the services of
Workman Sri Kona Yesu, a Messenger with effect from 31.3.1997 is justified?
III.
Whether the Workman is entitled for absorption on permanent post in the Branch of Respondent
management as per averments made by him in the claim statement?
IV.
To what relief if any the Workman is entitled for?
Findings:-
25.
Point No.I:-Undisputedly settlements dated 17.11.1987, 16.7.1988, 27.10.1988, 9.1.1991 and 30.7.1996,
minutes of conciliation proceedings and memorandum of understanding dated 27.2.1997 were executed between the
State Bank of India and All India State Bank of India Staff Federation under section 2(p) and 18 (1) of I.D. Act, 1947
read with Rule 58 of Industrial Disputes (Central Rules), 1957.
Section 2(p) of the Industrial Disputes Act, 1947 as follows:-
(p) "settlement" means a settlement arrived at in the course of conciliation proceeding and includes a written
agreement between the employer and workmen arrived at otherwise than in the course of conciliation proceeding
where such agreement has been signed by the parties thereto in such manner as may be prescribed and a copy thereof
has been sent to an officer authorised in this behalf by the appropriate Government and the conciliation officer;
Section 18(1) provides as follows:-
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[PART II—SEC. 3(ii)]
18. Persons on whom settlements and awards are binding.
- [(1) A settlement arrived at by agreement between the employer and Workman otherwise than in the course of
conciliation proceeding shall be binding on the parties to the agreement.
Therefore, in view of the provision contained u/s.18 (1) I.D. Act, 1947, terms and conditions enumerated in the
aforesaid settlements are binding on the parties to the agreement. The Learned Counsel for Workman has argued that
the Workman after going through the selection procedure has successfully been listed in the panel for appointment on
the permanent basis in the Respondent management and the empanelled list has to be valid till last person in the
empanelled list is appointed on permanent basis. But the impugned order dated 25.3.97, 27.3.97 and 31.3.97, has been
issued by Respondent management thereby the services of the Workman has been terminated and the said order is not
in consonance of the terms of the agreement entered into between the parties. Further, Workman submits that the
Respondent in the 5th settlement has mentioned the date i.e., 31.3.1997 for lapse of empanel list which is illegal and
that is not binding upon the Workman. The condition of lapse of empanelment list on 31.3.97 incorporated in the
aforesaid 5th settlement, is arbitrary and illegal.
26.
The perusal of the impugned order dated 25.3.1997 goes to reveal that the Chief/Branch Manager, SBI Zonal
Office has issued the letter to all the branches with regard to the subject not to make any temporary appointments in
the Branch in messengerial category from 1.4.1997. The extract of the said letter is given below:-
―We have been advised by the Deputy General Manager, Zonal Office, Hyderabad that as both the panels of
temporary employees of 1989 and daily wagers/casual labours of 1992 will lapse by 31.3.1997, it has been decided
by Central Office not to make any temporary appointments in messengerial category from 1.4.1997.‖
Thus, from the contents of the aforesaid letter, it manifest that Head Office of State Bank of India vide letter dated
25.3.1997 has issued direction to all its branches not to make any temporary appointments in messengerial category
from 1.4.1997 due to reason of lapse of both panels i.e., 1989 & 1992 on 31.3.1997 as per terms of settlements
entered into by both parties. Further, the contents of the subsequent letter dated 27.3.1997 issued by Respondent
Management is also direction to Branch Manager, State Bank of India not to make any temporary messengerial
category appointment with effect from 1.4.1997 and it has also been communicated to all concerned that the panels of
temporary employees and daily wagers maintained by Zonal offices stand lapsed from 31.1.1997. Further, office
order dated 31.3.1997 has been issued by Respondent management that goes to reveal that the said office order has
been issued to this effect that, ―Consequent on absorption of temporary employees in permanent cadre, it has been
decided by the competent authority that no one onwards, no further daily labour or temporary
employees/appointments should be resorted to/engaged/employed.‖ Therefore, it reflects from the contents of the
aforesaid orders that the temporary appointment in messengerial category and daily labour has been stopped by the
Respondent management with effect from 1.4.1997 because of the lapsed of panel of temporary workers and daily
wagers by 31.3.1997. The agreement for lapse of both the panels on 31.3.1997 is contained in the 5th settlement
which has been arrived at between the parties on dated 30.7.1996 with the consensus of both the parties. Therefore,
Workman can not challenge the terms and conditions contained in settlement dated 30.7.1996 regarding lapse of
panel on 31.3.1997 as agreed between State Bank of India and State Bank of India Staff Federation. As per provision
contained u/s.18(1) of I.D. Act, 1947 the said Agreement dated 30.7.1996 is binding on both the parties.
In the case of Allied Sales Corporation Secunderabad vs.The Authority Under Andhra Pradesh..... 1990 II LLJ
510 AP para 414, Hon‘ble Court have held:-
―4. There was a settlement between the Management and the workmen under Section 18(1) of the Industrial Disputes
Act on 25th April 1983 under which the age of superannuation of the workmen was fixed at 55 years. The settlement
was to be in force upto 30th June 1986 and the next settlement, incorporating practically the same terms, was again
entered into on 4th February 1987 under Section 18(1) of the Industrial Disputes Act. There is no dispute that these
settlements are under Section 18(1).
14. Now the Authority constituted under Section 41(1) of the Act is an authority with very limited jurisdiction. It can
only decide in the first appeal whether a termination by the management is valid or not and is within the parameters
of Section 40 of the Act. The said Authority, in our view, has absolutely no jurisdiction to decide whether a settlement
entered into under Section 18(1) of the Industrial Disputes Act between the representatives of the Workmen and of the
Management, is vitiated by undue influence or misrepresentation or coercion on the part of the Management. The
Authority, namely, the Assistant Commissioner of Labour, was never intended by the A.P. Legislature to have
jurisdiction to go into the question of the validity of a settlement arrived at under Section 18 of the Industrial Disputes
Act by an Industrial Court. That Parliament has, in fact, constituted Industrial Courts under the Industrial Disputes
Act, with extensive powers cannot be disputed. What we mean to say is that the Authority under Section 41(1) of the
A.P. Act has no jurisdiction what-so-ever either to question or to decide about the validity of any such settlements. If
parties to a settlement have a grievance about the validity of a settlement, it is for them to agitate the matter before the
appropriate forum and they cannot ask an Authority constituted under Section 41(1) of the A.P. Shops and
Establishments Act, 1966 with limited jurisdiction, to go into any such question and, that too, incidentally while
[भाग II—खण् ड 3(ii)]
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1505
deciding whether retirement as per the contract of employment, is legal or not.”
It is not the case of Workman that aforesaid settlements are vitiated by undue influence or misrepresentation or
coercion on the part of the management. If the Workman feeling aggrieved by any terms of settlement/ agreement on
the aforementioned grounds then he can challenge of settlement before a competent authority under the Act, 1947.
But here in the instant matter it is not a case of Workman that aforementioned settlement has been entered into
between the parties on the ground of undue influence or misrepresentation or coercion. Therefore, Workman is barred
to raise any objection in respect of fixing the date of lapse of both panels on 31.3.1997 as agreed between both the
parties and Workman can not challenge any terms of said Agreement.
Further in the case of Herbertsons Limited Vs. Workmen of Herbertsons Limited and Ors, 1977 AIR 322,
Hon‘ble Supreme Court have held:-
The Tribunal thought that the question of the quantum of membership of the 2nd Respondent did not call for a finding
at all in view of 1his Court's order. As observed above that was not a correct assumption. On the other hand, we feel
that this view of the Tribunal has led it to approach the matter in an entirely erroneous manner. The Tribunal is,
rightly enough, conscious that under section 18 (1) of the Industrial Disputes Act the settlement was binding on the
company and the members of the 3rd Respondent union. Even so, the Tribunal devoted nearly half of its order in
scanning the evidence given by the company and Respondent No. 3 to find out whether the terms of the settlement had
been explained by the President of the union to the workmen or not and whether the workers voluntarily accepted the
settlement knowing all the "consequences". This to our mind is again an entirely wrong approach.
“When a recognised union negotiates with an employer the workers as individuals do not come into the picture. It is
not necessary that each individual worker should know the implications of the settlement since a recognised union,
which is expected to protect the legitimate interests of labour, enters into a settlement in the best interests of labour.
This would be the normal rule. We cannot altogether rule out exceptional cases where there may be allegations of
mala fides, fraud or even corruption or other induce- ments. Nothing of that kind has been suggested against the
President of the 3rd Respondent in this case. That being the position, prima facie, this is a settlement in the course of
collective bargaining and, therefore, is entitled to due weight and consideration.
It is not possible to scan the settlement in bits and pieces and hold some parts good and acceptable and others bad.
Unless it can be demonstrated that the objectionable portion is such that it completely outweighs all the other
advantages gained the Court will be slow to hold a settle- ment as unfair and unjust. The settlement has to be
accepted or rejected as a whole and we are unable to reject it as a whole as unfair or unjust. Even before this Court
the 3rd Respondent representing admittedly the large majority of the workmen has stood by this settlement and that is
a strong factor which it is difficult to ignore. As stated elsewhere in the judgment, we cannot also be oblivious of the
fact that all workmen of the company have accepted the settlement. Besides, the period of settlement has since expired
and we are informed that the employer and the 3rd Respondent are negotiating another settlement with further
improvements. These factors, apart from what has been stated above, and the need for industrial peace and harmony
when a union backed by a large majority of workmen has accepted a settlement in the course of collective bargaining
have impelled us not to interfere with this settlement. That being the position, we unhold the settlement as fair and just
and order that the award of the Tribunal shall be substituted by the settlement dated October 18, 1973. The said
settlement shall be the substituted award. The appeal is disposed of accordingly. There will be no order as to costs.”
Therefore, in view of the law laid down by the Hon‘ble Apex Court as discussed above, the contention of the
Workman that the date fixed for lapse of empanelled list on 31.3.1997 for appointment to the permanent post vide 5th
Settlement dated 30.7.1996 is arbitrary, illegal is not untenable. The recognized union of Workmen has negotiated
with the Respondent Bank Management representing large number of Workmen and the Workman as individual do
not come into picture. Workman in the instant case has work as temporary Workmen in the Respondent Branch and
in response of Notification he had applied for inclusion of his name in the panel and he was selected for inclusion
his name in the panel list to be utilized for absorption of such Workman to permanent post in order of their seniority
in the list. The Settlement dated 30.7.1996 between State Bank of India and All India State Bank of India Staff
Federation under Sec.2(p) and Sec.18(1) of I.D. Act, 1947 has clearly provided as regard non-messengerial position
and it is agreed that all such posts sanctioned fallen vacant upto 31.3.1997 shall be filled before empanel list is
allowed to lapse. Thus, in view of law laid down by the Hon‘ble Apex Court, in the instant case, Agreement dated
30.7.1996 was entered into between both the parties in respect of lapsing of the both the panels on 31.3.1997 and
absorption of the Workmen from panel list was subject to availability of vacancy of post likely to arise upto
31.3.1997, have a binding force on Workman as well as management of State Bank of India in view of provision
contained under section 18 (1) of I.D. Act, 1947.
Thus, Point No.I is answered against the Workman and in favour of the Respondent.
27.
Point No.II:- Firstly, it is submitted on behalf of the Workman that the Respondent has terminated his
services by oral order on 31.3.1997 without issuing any notice or paying any salary or compensation in lieu thereof.
Therefore, the termination order of the Workman from service is in violation of provision contained Under Section 25
F of I.D. Act, 1947. Therefore, the order is liable to be set aside.
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[PART II—SEC. 3(ii)]
28.
On the other hand, Respondent counsel contended that Workman has not worked for 240 days in any
preceding calendar year. Therefore, reference of the industrial dispute is not relevant. In this context, the Workman
has examined himself as WW1 who has reiterated that Workman has been terminated from service by Respondent on
31.3.1997 without notice of salary or compensation in lieu thereof. Before examining the claim of the Workman on
merit it would be apposite to reproduce the provision contained under section 25 F:-
Section 25F provides:-
Conditions precedent to retrenchment of workmen.- No Workman employed in any industry who has been in
continuous service for not less than one year under an employer shall be retrenched by that employer until—
(a) the Workman has been given one month' s notice in writing indicating the reasons for retrenchment and the period
of notice has expired, or the Workman has been paid in lieu of such notice, wages for the period of the notice:
(b) the Workman has been paid, at the time of retrenchment, compensation which shall be equivalent to fifteen days'
average pay for every completed year of continuous service] or any part thereof in excess of six months; and
(c) notice in the prescribed manner is served on the appropriate Government or such authority as may be specified by
the appropriate Government by notification in the Official Gazette].
Compensation to workmen in case of transfer of undertakings.
Section 25B defines the term continuous service which provides
Definition of continuous service.- For the purposes of this Chapter,--
(1) a Workman shall be said to be in continuous service for a period if he is, for that period, in uninterrupted service,
including service which may be interrupted on account of sickness or authorized leave or an accident or a strike
which is not illegal, or a lock- out or a cessation of work which is not due to any fault on the part of the Workman;
(2) where a Workman is not in continuous service within the meaning of clause (1) for a period of one year or six
months, he shall be deemed to be in continuous service under an employer--
(a) for a period of one year, if the Workman, during a period of twelve calendar months preceding the date with
reference to which calculation is to be made, has actually worked under the employer for not less than--
(i) one hundred and ninety days in the case of a Workman employed below ground in a mine; and
(ii) two hundred and forty days, in any other case;
In order to prove the fact of 240 days of service within 12 months of a calendar year just preceding from the date of
termination, the initial burden of proof lies upon the Workman and the Workman has to prove this factum by
adducing his oral as well as documentary evidence in support of his claim.
Further, how to calculate 240 days of service by the Workman in a calendar year. In this context the reference of
decisions of Hon‘ble Supreme Court is relevant and the same are discussed below:-
In Rajasthan State Ganganagar S. Mills Ltd. v. State of Rajasthan and Anr. (2004) Apex Court held:
"It was the case of the Workman that he had worked for more than 240 days in the year concerned. This claim was
denied by the appellant. It was for the claimant to lead evidence to show that he had worked for 240 days in the year
preceding the date of his termination. He has filed an affidavit. It is statement which is in his favor and that cannot be
regarded as sufficient evidence for any Court or Tribunal to come to the conclusion that in fact the claimant had
worked for 240 days in a year These aspects were highlighted in Range Forest Officer v. S.T. Hadimani (2002 (3)
SCC 25. No proof of receipt of salary or wages for 240 days or order or record in that regard was produced. Mere
non-production of the muster roll for a particular period was not sufficient for the Labour Court held that the
Workman had worked for 240 days as claimed."
In Municipal Corporation, Faridabad v. Siri Niwas (2004 (8) SCC 195), held "the burden was on the Workman to
show that he was working for more than 240 days in the preceding one year prior to his alleged retrenchment." In
M.P. Electricity Board v. Hariram (2004 (8) SCC 246) the position was again reiterated in paragraph 11 as follows:
"The above burden having not been discharged and the Labour Court having held so, in our opinion, the Industrial
Court and the High Court erred in basing an order of reinstatement solely on an adverse inference drawn erroneously
..‖
In the case of Manager, RBI, Bangalore vs. S Mani (2005) SCC Page 100, the 3 Judges Bench of the Apex Court
held that "the initial burden of proof was on the Workman to show that he had completed 240 days of service."
Hon'ble Apex Court in the case of Mohan Lal vs Management BEL 1981 SCC page 225 has laid down the
principle that how to count 240 days of service within one year it is held: "Clause (2)(a) provides for a fiction
[भाग II—खण् ड 3(ii)]
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1507
to treat a Workman in continuous service for a period of one year despite the fact that he has not rendered
uninterrupted service for a period of one year but he has rendered period of 240 days during the period of 12
calendar service for months counting backwards and just preceding the relevant date being the date of retrenchment.
In other words, in order to invoke the fiction enacted in clause (2)(a) it is necessary to determine first the relevant
date, ie the date of termination of service which is complained of as retrenchment. After that date is ascertained. move
backward to a period of 12 months just preceding the date of retrenchment and then ascertain whether within the
period of 12 months, the Workman has rendered service for a period of 240 days. If these three facts are affirmatively
answered in favor of the Workman pursuant to the deeming fiction enacted in clause (2)(a) it will have to be assumed
that the Workman is in continuous service for a period of one year and he will satisfy the eligibility qualification
enacted in Section 25-F"
“14. We have already extracted section 25B since its amendment and the change in language is the legislative
exposition of which note must be taken. In fact, we need not further dilate upon this aspect because in Surendra
Kumar Verma and Ors. v. Central Government Industrial-cum-Labour Court, New Delhi and Anr., Chinnappa
Reddy. J., after noticing the amendment and referring to the decision in Sur Enamel and Stamping Works (P)
Ltd case, held as under:
"These changes brought about by Act 36 of 1964 appear to be clearly designed to provide that a Workman who has
actually worked under the employer for not less than 240 days during a period of twelve months shall be deemed to
have been in continuous service for a period of one year whether or not he has in fact been in such continuous service
for a period of one year. It is enough that he has worked for 240 days in a period of 12 months, it is not necessary that
he should have been in the service of the employer for one whole year."
In a concurring judgment Pathak J. agreed with this interpretation of section 25B(2). Therefore, both on principle and
on precedent it must be held that section 25B(2) comprehends a situation where a Workman is not in employment for
a period of 12 calendar months, but has rendered service for a period of 240 days within the period of 12 calendar
months commencing and counting backwards from the relevant date, i.e. the date of retrenchment. If he has, he would
be deemed to be in continuous service for a period of one year for the purpose of section 25B and
Chapter VA.”
Thus, in view of the law laid down by the Hon‘ble Apex Court as discussed above the initial burden of proof lies
upon the Workman to show that he has completed 240 days of the service with the Respondent just preceding from
the date of his termination. Further, in respect of the employment of calculating the 240 days service in view of the
contents of Section 25-F read with Section 25-B of the I.D. Act, 1947.
29.
Now, in view of the provision contained under Section 25 F and law laid down by the Hon‘ble Apex Court,
we have to examine whether the Workman has discharged his initial burden of proof in respect of his claim of 240
days continuous service in a calendar year just preceding from the date of his termination i.e., 31.3.1997.
In this context, WW1 in his cross examination has stated that,
“I was not sponsored by any employment exchange. I did not undergo regular process of selection before my
appointment in the branch..”
“t I did not work for 240 days in any year in my entire service in the bank.”
Thus, it is clear from the testimony of WW1 that the Workman had not worked for 240 days continuously in any 12
months of a calendar year just preceding from the date of his termination in the Respondent bank. Therefore,
Workman failed to establish his plea by his oral and documentary evidence that he had worked for 240 days
continuously in calendar year just preceding from the date of his termination i.e., 31.3.1997. Thus, the claim of the
Workman that he has been terminated by oral order without issuing notice or payment in lieu after termination, in
contravention of Section 25 F of Industrial Disputes Act, 1947 is not tenable. However the documents filed by the
Workman in support of his claim, number of days worked with the Respondent goes to reveal that the Workman had
worked intermittently as daily wager depending upon availability of work in branch. Workman did not file any
document of appointment letter or salary slips in support of his claim for appointment as a non-messenger in the
Respondent branch on temporary basis.
30.
Per contra, the Learned Counsel for Respondent has submitted the allegation of Workman that he was
terminated from services is not correct. As the vacancies were filled up on regular basis in order of their respective
seniority the non-engagement of the Workman does not amount to termination. Further, Respondent contended that
no law provide that even though there is no work temporary employee should be continued in the bank work as the
very engagement of Workman was subject to availability of work. Therefore, the allegation that the bank has
indulged in unfair labour practice is incorrect.
31.
Thus, in view of the fore gone discussion and contentions made by the Respondent, I find the force in the
argument advanced by the Respondent that in the instant matter, Workman was not terminated from service by order
dated 31.3.1997 rather he was disengaged in view of the non-availability of the work in the branch. Further, there
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[PART II—SEC. 3(ii)]
was direction issued by the Head Office of the Respondent authority not to engage any daily wager Workman/
temporary Worker w.e.f. 1.4.1997. Thus, such disengagement of Workman does not amount to termination.
Moreover, the Workman failed to prove his claim that he was terminated in contravention of provision of Sec.25F of
the I.D. Act, 1947 as he failed to establish his plea by any oral or documentary evidence that he had worked for 240
days continuously in a twelve months of calendar year just preceding from date of termination i.e., 31.3.1997.
32.
Further, perusal of the order dated 25.3.1997 goes to reveal that the Chief Branch Manager, State Bank of
India has issued the letter to Zonal Office with direction to all its branches to this effect that they have been advised
by the DGM, Zonal Office, Hyderabad that as both the panel of temporary employees of 1989 and daily wagers/casual
labour of 1992 will lapse on 31.3.1997 it has been decided by central office not to make any temporary appointments
in messengerial cadre from 1.4.1997, therefore it was directed to issue suitable instructions not to make temporary
appointments from 1.4.1997. There is no mention in this order that the Workman herein has been terminated from
service by this order.
33.
Further, the circular dated 27.3.1997 was issued by DGM, SBI to all branches in commercial network in
respect of the non-appointment of temporary employees in subordinate cadre and it has directed not to make any
temporary employment in the subordinate cadre with effect from 1.4.97 and further, it has directed to ensure that no
temporary/casual/daily basis appointment of the petty cash. Further, it is directed to all Branch Managers that any
deviation in this regard will be viewed seriously. Thus, these circulars do not reflect that the Workman has been
terminated from service by this order.
34.
Similarly, office order dated 31.3.1997 is simply a direction to all branches of the Respondent bank by DGM
that no further daily labour should be engaged or employed. Therefore, the plea of the Workman that he has been
terminated by the aforesaid order dated 25.3.1997, 27.3.1997 and 31.3.1997 from the service by the Respondent is not
acceptable. The evidence adduced by the Workman clearly goes to reveal that he had worked as a daily wager for
which he has been paid wages according to number of working days. As there was an order for prohibition for
engaging temporary workmen, in the bank, therefore, Workman could not be engaged by the Respondent for work
from 1.4.1997 and there after. It is settled law that the daily wagers are engaged by the employer depending upon
the availability of work and as the work was not available the Workman was not engaged further by the Respondent
management. Therefore, the Workman on the ground of number of days he had worked in the Respondent bank
cannot claim any right to reinstate him into the employment. As the Workman failed to prove the mandatory
condition of 240 days of continuous service as required under Sec.25F of I.D. Act, 1947. Therefore, the
disengagement of Workman from work can not be termed in contravention of provision contained under Sec.25F and
25 B of the I.D. Act, 1947.
Thus, this point is answered against the Workman and in favour of Respondent.
35.
Point No.III:- In this context, the Workman has contended that the management failed to implement the
selected panels during its valid tenure. The management adopted the back door methods contrary to the settlements
and filled up the vacancies. The same is evident from the proceedings dated 18.11.1993 a copy of the same is filed in
the material papers and the same may be read as part of the claim statement. Further, it is submitted that management
has to adhere the procedure issued by the Central Government, the instructions dated 16.8.1990 in the year 1995, but
same was not followed in the year 1997 despite there being vacancies. The management has followed the procedure of
calling candidates through employment exchange instead of giving chance to the empanelled candidates like the
Workman herein. The management sent call letters to the similarly situated candidates like the Workman in the month
of June 1997 subsequent to issuance of impugned termination orders. After knowing the fact that they are litigating
the issue by way of dispute, the management has refused to engage those candidates, the copies of call letters issued
are filed herein along with claim petition. The Workman herein reiterates that the panels are meant for absorption but
not for termination. In view of the same a duty is cast upon the Respondent management to engage the empanelled
candidates like the Workman herein even in temporary vacancies till they are absorbed permanently in regular
vacancies.
36.
On the other hand, Respondent has contended that the Federation approached Regional Labour
Commissioner (Central) for implementation of bipartite settlement in respect of the absorption of temporary
employees. The Regional Labour Commissioner (Central) conducted conciliation proceedings and agreement was
arrived at between the Federation and the Management bank. It is submitted that it was agreed between the
Federation and the Management that both the panels of temporary employees and daily wagers /casual labour would
be kept alive upto March, 1997 and the vacancies as agreed to under the afore set out settlements will be filled from
both the lists concurrently. A copy of the conciliation proceedings dated 9.6.1995 signed by the parties to the dispute
is filed as a material paper. Further, it is submitted that the settlement was arrived at and an agreement was signed
between the Federation and the Management bank on 30.7.1996 under Section 2(p) read with Section 18(1) of the
Industrial Disputes (Central) Rules 1957 which is binding on the parties. A copy of this agreement which hereinafter
may be referred to as 5th settlement for brevity, is also filed as a material paper. The 5th settlement dated 30.7.1996
whereunder the earlier four settlements dated 17.11.1987, 16.7.1988, 27.10.1988 and 9.1.1991 were also referred, it
was agreed to, by the Federation and the Management bank that both the panels of temporary employees and daily
[भाग II—खण् ड 3(ii)]
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1509
wagers/casual employees will be kept alive upto March, 1997 for filling the vacancies existing/arrived at as on
31.12.1994 as per the norms agreed to between the bank and Federation and that thereafter the said panels would
lapse. It was also agreed that within the framework of the above settlements the modalities about drawing names from
either the panel of temporary employees or the panel of daily wagers and casual labour would be decided
administratively on circle to circle basis depending upon the local requirements in consultation with the Federation‘s
affiliate by the Circle management. It was further agreed that all messenger real vacancies/positions in the subordinate
cadre including part-time attendants specifically provided as leave reserve will be filled by the end of 31.3.1997.
Further, Respondent contended that on 27.2.1997 a memorandum of understanding was also signed between the
Federation‘s affiliate and the bank management regarding the fact that the exercise of identifying the messengerial
vacancies as on 31.12.1994 has since been completed by central office and thereby 403 messengerial vacancies were
sanctioned to the circle of the Management bank and it was agreed that these vacancies may be filled from 1989 panel
of temporary employees after effecting conversion from full time non-messengerial staff in the usual manner and the
agreement was reached upon. Further, it was agreed between the Federations affiliate and the management bank
that in terms of the settlement dated 30.7.1996 both the panels of temporary employees and daily wagers /casual
employees would lapse on 31.3.1997.
37.
The Workman has contended that the empanelled list prepared by the Respondent management for
appointment of temporary and daily wage Workers to the permanent post cannot lapse unless until it is exhausted by
appointing all the empanelled persons and it should continue even after 31.3.1997, i.e., the date fixed for the lapse of
panel. It is undisputed that the date of lapse of empanelled list of Workmen has been fixed to 31.3.1997 as
mentioned in the settlement dated 30.7.1996, and agreed between the parties. It is settled law that and once the life
of panel list lapses on the date as agreed between the parties it cannot be extended beyond that date. In the instant
case the panel list of the workmen was valid upto 31.3.1997 in view of the terms and conditions enumerated in the 5th
Settlement entered into between the parties. As the lapse of panel i.e., 31.3.1997 has been agreed by State Bank of
India and State Bank of India Staff Federation through 5th Settlement, the Workman is not competent to challenge the
same.
In this context I would like to take reference of the decision of the apex court in the case of Syndicate Bank and Ors
vs. Shankar Paul and Ors , AIR 1997 SC 3091, therein the Hon‘ble Apex Court have held:-
“Till 1982, the branches of the appellant Bank in Calcutta region were recruiting persons locally to work as
temporary attenders in leave vacancies. In view of the revised procedure prescribed by the Government of India in
respect of such temporary appointments, the Calcutta regional office of the appellant Bank issued a circular to all of
its branches on 14.8.1982, instructing all the branches under it to discontinue the old practice from 1.6.1982 and
appoint only empanelled candidates. The regional office was to prepare a panel of eligible candidates, after calling
names from the local/district employment exchange, and split it up branch-wise. Following that new procedure yearly
panels were prepared thereafter. Names of the Respondents were for the first time included in the panel prepared for
the period 7.2.1987 to 6.2.1988. By its letter dated 7.2.1987 the Bank had informed the Respondents that the panel
was valid for one year only and that inclusion of their names in the panel was not to confer on them any right to seek
permanent appointment in the service of the bank. Considering the object with which the panel was prepared and the
fact that it was an yearly panel expiring on 6.2.1988, we are of the opinion that the Respondents did not get any right,
because of inclusion of their names in the said panel, for permanent absorption in the service of the Bank. Whatever
conditional right they had came to an end with the expiry of the panel. The claim of the Respondents, as contained in
the writ petition was thus misconceived and therefore the learned single Judge and the Division Bench, when it first
decided the appeal, were right in dismissing the writ petition and the appeal respectively.”
Thus, in view of the above law laid down by the Hon‘ble Apex Court and in view of the terms and conditions of the
5th Settlement the contention of the Workman that empanelled list should continue even after 31.3.1997 till the last
Workman in the panel is absorbed is not tenable. The contention of the Workman is baseless in view of recital in
the settlement. Therefore, in view of the fore gone discussion and finding given at Point No. I regarding binding
nature of Settlements and terms and conditions enumerated therein, in view of the provision contained u/s.18(1) of the
I.D. Act, 1947, I am of the considered view that life of panels lapsed on 31.3.1997 in view of terms of settlement
dated 30.7.1996 and plea of Workman that the panel shall continue even after 31.3.1997 till last man absorbed has
no legal force and same is untenable.
38.
Undisputedly, settlement agreement dated 30.7.1996 was executed between the State Bank of India and
State Bank of India Staff Federation and in that settlement it was agreed that both the panels of temporary employees
and daily wagers/ casual employees will be used for filling vacancies existing as on 31.12.1994 as per the norms
agreed between the bank and the Federation. These empanelled workmen were to be given a chance for permanent
appointment in the bank against vacancies arising up to December 1994 whereas the daily wagers/ casual employees
were to be considered against the vacancies arise from January 1995 to December 1996, whereby the said panel
would lapse. It was agreed that the vacancies falls upto 31.3.1997 shall be filled before the empanelled list is
allowed to lapse. Thus, the claim of the Workman to the post of permanent non-messenger in the Respondent
management was subject to the availability of the sanctioned post and vacancies arising upto 31.3.1997. The
1510
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
workmen given chance to the permanent post were seniors in number of working days in panel list and Workman
herein was junior to those workmen. Therefore, Workman could not be given absorption to permanent post being
junior to other workmen in the panel list.
39.
In this context the Workman witness WW1 was cross examined by the Respondent counsel and in the cross
examination the witness WW1 states:-
“I applied in response to the advertisement issued by the bank as per the settlement…. Further, witness states, The
panels were prepared basing upon the number of days of service put in by the temporary employees Some of the
temporary employees whose names were included in the panel were given regular appointment in the in the order of
their seniority in the panel…. Further witness states, I am not having any document to show that any of my juniors
are continuing in service.”
Thus, from the above statement of the Workman witness WW1 it is clear that the panel was prepared in terms of
various settlements entered into between Staff Federation of State Bank of India and State Bank of India and it was
prepared on the basis of number of days of work put in by the temporary employees. Further, the Workman himself
admitted that some of the temporary employees whose names were included in the panel were given regular
appointment in the bank in order of their seniority in the panel and he is not having any document to show that any
person who worked for less number of days than the Workman was given appointment in the bank. Therefore, the
allegation of the Workman that the regular appointment has been made by the bank from the panel list in breach of the
terms of the settlement and violation of seniority of panel list is not proved by this evidence of WW1. Thus, there is
no evidence on record that bank has given the appointment to the temporary employees as well as daily wagers from
the panel list 1989 and 1992 in breach of seniority of the temporary employees in the list. There is no evidence of
jumbling in the panel list to make appointment of any permanent Workman in breach of the seniority. Therefore, I
am constrained to hold that the Respondent Management has appointed the workmen from panel list in order of
seniority and there is no jumbling of workmen in the panel list before it got lapsed on 31.3.1997.
40.
However, Workman has taken the plea that the panels of Workmen for absorption in the employment of the
Respondent banks (panels of temporary employees and daily wagers) has been lapsed on 31.3.1997 in contravention
of terms of settlement as the object of preparing the entire empanelment of temporary and daily wagers was to provide
them permanent employment and till the both the panel lists exhausted the panel list cannot be lapsed on 31.3.1997
and the date of lapsing of the panel on 31.3.1997 has been fixed by the Respondent arbitrarily without any authority.
41.
In this context, the perusal of Settlement dated 30.7.1996 reveals that the 5th Settlement dated 30.7.1996 was
entered under Section 2(p) and 18(1) of I.D. Act, 1947 read with Rule 58 of Industrial Dispute (Central) Rules 1957.
This settlement has been entered into by the competent parties and in this settlement parties thereto agreed that both
the panels of temporary employees and daily wagers/casual employees will lapse on 31.3.1997. Thus the date of
lapse of panel was fixed by both the parties with consensus under the settlement dated 30.7.1996 and same is
binding upon the Workman under the provision of Section 18(1) of I.D. Act, 1947. Moreover, this issue of binding
force of the settlement dated 17.11.1987, 16.7.1988, 27.10.1988 and 9.1.1991 has already been discussed, decided at
finding in Point No.I of this award. However, the legality and validity of the aforementioned settlement has not been
challenged by the Workman before any competent forum. Thus, claim of Workman that the date of lapse of panel i.e.,
31.3.1997 has been fixed arbitrarily by the Respondent bank is untenable. As regard the claim of Workman for his
absorption to the permanent post it is settled law that the Workman can not claim his regularization to permanent
post merely on the basis of number of working days.
42.
In this context the reference of the decision of Hon‘ble Supreme Court in the case of Oil and Natural Gas
Corporation vs Krishan Gopal 2020(3) SCALE 272, date of decision 7.2.2020 is relevant therein Hon‘ble
Supreme Court have has laid down principle regarding regularization of the Workman on permanent posts. Hon‘ble
Supreme Court have laid down the prepositions of regularization of the workmen to permanent post is as under:-
―(i) Wide as they are, the powers of the Labour Court and the Industrial Court cannot extend to a direction to order
regularisation, where such a direction would in the context of public employment offend the provisions contained
in Article 14 of the Constitution;
(ii) The statutory power of the Labour Court or Industrial Court to grant relief to workmen including the status of
permanency continues to exist in circumstances where the employer has indulged in an unfair labour practice by not
filling up permanent posts even though such posts are available and by continuing to employ workmen as temporary
or daily wage employees despite their performing the same work as regular workmen on lower wages;
(iii) The power to create permanent or sanctioned posts lies outside the judicial domain and where no posts are
available, a direction to grant regularisation would be impermissible merely on the basis of the number of years of
service;
(iv) Where an employer has regularised similarly situated workmen either in a scheme or otherwise, it would be open
to workmen who have been deprived of the same benefit at par with the workmen who have been regularised to make
a complaint before the Labour or Industrial Court, since the deprivation of the benefit would amount to a violation of
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1511
Article 14; and
(v) In order to constitute an unfair labour practice under Section 2(ra) read with Item 10 of the Vth Schedule of the ID
Act, the employer should be engaging workmen as badlis, temporaries or casuals, and continuing them for years, with
the object of depriving them of the benefits payable to permanent workmen.
Thus, in view of the principles laid down by the Hon‘ble Supreme Court as discussed above, in the instant matter the
Workman utterly failed to prove his claim by adducing any documentary or oral evidence that the employer has
indulged in unfair labour practice by not filling the permanent posts even though such posts are available and by
continuing to employ workmen as temporary or daily wage employees despite their performance was the same work,
as regular workmen on lower wages.
43.
Respondent has contended that all the vacancies exist and arise upto 31.3.1997 has been filled up from the
panel list in order of seniority and no vacancy exists or arises as on 31.3.1997 remained unfilled. Further, it is
contended that as per terms of settlement the life of panel lists has been lapsed on 31.3.1997, hence, there is no
occasion to extend the life of panel lists beyond 31.3.1997. However, the workman failed to prove contrary by any
evidence to the aforesaid contention of the Respondent that the vacancies were existing as on 31.3.1997 and the
workman was not given absorption to the permanent post in order of his seniority. It is settled law that the power to
create permanent or sanctioned post lies outside the judicial domain and where no posts are available, a direction to
grant regularization would be impermissible merely on the basis of the number of years of service. Therefore, the
claim of the workman on this ground also not acceptable.
44.
Further, as per the of settlement, panel was prepared for absorption of the workmen on the permanent posts
has already been lapsed on 31.3.1997 and the vacancies existing and arising upto 31.12.1994 and upto 31.3.1997 as
settlement dated 30.7.1996 has been filled up from the panel by appointing the workmen as per seniority in the panel
list. Workman witness WW1 in his cross examination has himself admitted this fact that, some of the temporary
employees whose names were included in the panel were given regular appointment in the bank in order of their
seniority in the panel. The Workman failed to show that there was any breach of terms of settlement has been
committed by the Respondent in appointment to permanent post from aforesaid panel list.
45.
As discussed in preceding paragraph of this Award, the life of the panel has not been extended beyond
31.3.1997, by any further settlement hence, the panel list in which name of the Workman was included got expired
on 31.3.1997. It is not the case of the Workman that Respondent has regularized similarly situated workmen either in
the scheme or otherwise and the Workman has been deprived of same benefit on par with those workmen or the
vacancies remained unfilled on the date of lapse of panels i.e., 31.3.1997, Industrial Tribunal has no jurisdiction to
extend the date of lapse of panel i.e., 31.3.1997. This Tribunal can not order for regularization of workmen to the
permanent post in contravention of the provision of Article 14 of the Constitution of India.
In the case of Mahboob Deepak vs. Nagar Panchayat Gajraula & Anr, Civil Appeal No.5875/2007 date of
judgement 13.12.2007, Hon‘ble Supreme Court have held:-
“8. Respondent is a Local Authority. The terms and conditions of employment of the employees are governed by a
statute and statutory rules. No appointment can be made by a Local Authority without following the provisions of the
recruitment rules. Any appointment made in violation of the said rules as also the constitutional scheme of equality as
contained in Articles 14 and 16 of the Constitution of India would be a nullity.
9. Due to some exigency of work, although recruitment on daily wages or on an ad hoc basis was permissible, but by
reason thereof an employee cannot claim any right to be permanently absorbed in service or made permanent in
absence of any statute or statutory rules. Merely because an employee has completed 240 days of work in a year
preceding the date of retrenchment, the same would not mean that his services were liable to be regularized.”
Therefore, in view of the law laid down by the Hon‘ble Apex Court, the claim of the Workman for absorption merely
on the basis of number of day of work in the Respondent bank Branch is not acceptable. As regard plea of the
Workman that the Workman should have been given employment even after 31.3.1997 as temporary Workman, it is
the discretion of Respondent to engage the Workman depending upon availability of work and this Tribunal can not
direct the Respondent to engage the Workman in the absent of such rule/scheme.
46.
In view of principle laid down by Hon‘ble Apex Court as discussed above, in the instant matter Workman
utterly failed to establish the fact of rendering continuous service for a period of 240 days of service within a period
of 12 calendar months commencing and coming backward from relevant date i.e., the date of retrenchment, if has he
would be denied to be in continuous service for a period of one year. Therefore, the provision contained under
Sec.25F of retrenchment is not applicable to Workman.
Counsel for Workman has relied upon number of decisions of Hon‘ble High Court and Hon'ble Supreme Court and
few of them are discussed herein:-
In the case of F.C.I., vs. Kamdhenu Cattle Feed Industries 1993 (1) SCC 71, therein Hon‘ble Supreme Court have
held:-
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THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
“7. In contractual sphere as in all other State actions, the State and all its instrumentalities have to conform to Article
14 of the Constitution of which non-arbitrariness is a significant facet. There is no unfettered discretion in public law:
A public authority possesses powers only to use them for public good. This impose the duty to act fairly and to adopt a
procedure which is `fairplay in action'. Due observance of this obligation as a part of good administration raises a
reasonable or legitimate expectation in every citizen to be treated fairly in his interaction with the State and its
instrumentalities, with this element forming a necessary component of the decision making process in all State
actions. To satisfy this requirement of non- arbitrariness in a State action, it is, therefore, necessary to consider and
give due weight to the reasonable or legitimate expectations of the persons likely lo be affected by the decision or else
that unfairness in the exercise of the power may amount to an abuse or excess of power apart from affecting the bona
fides of the decision in a given case. The decision so made would be exposed to challenge on the ground of
arbitrariness. Rule of law does not completely eliminate discretion in the exercise of power, as it is unrealistic, but
providers for control of its exercise by judicial review.”
In the case of State Bank of India, R.O., Vijayawada vs. Industrial Tribunal, Hyderabad WP No.193/1997,
therein Hon‘ble High Court have held,
―Sri Krovvidi Narasimham, the learned counsel for the 2nd respondent contends, supporting the award that it was a
permanent vacancy and even though the 2nd respondent was appointed on temporary basis, his services were not
liable to be terminated and he was to be regularised into service on permanent basis. Shastry award warrants that no
temporary appointment can be made to a permanent post. But the matter is now covered by two division bench
judgements dated 28.11.1986 in W.A. No.791 of 1986 and 25.8.1987 in W.A. No.270 of 1982. The ratio decided in the
two judgements is to the effect that there cannot be any mandate to appoint employees on permanent basis when the
requirement was for appointment on temporary basis. But it is held in the said judgements that when a temporary
appointee is ousted from service and not for misconduct and, if again temporary appointment is to be made, then, the
case of such temporary appointee who was ousted, has got to be considered in accordance with Sec. 25-H of
the Act.”
In the case of State of Haryana and others vs. Piara Singh and others. 1992 (4) SCC 118, therein Hon‘ble
Supreme Court have held:-
“ 49. If for any reason an adhoc or temporary employee is continued for a fairly long spell, the authorities must
consider his case for regularization provided he is eligible and qualified according to the rules and his service record
is satisfactory and his appointment does not run counter to the reservation policy of the state.”
In the above cited judgements by the Workman the facts of the case are different hence do not apply to instant case
of Workman.
47.
On the other hand, in support of his contention Respondent has examined witness MW1 and MW1 in chief
examination states that, Settlements i.e., on 17.11.1987, 16.7.1988, 27.10.1988, 9.1.1991 were entered into between
the SBI and SBI Staff Federation for filling up of the vacancies that arise up to 1994 for those temporary employees
who has worked on scale wages. Further, MW1 states that two different panels for messengers and non-messengers
as per the eligibility criteria prescribed by the bank. There are four modules in Andhra Pradesh and they are
Hyderabad, Tirupathi, Vijayawada and Visakhapatnam. MW1 states that the temporary employees so empanelled
were given permanent absorption depending upon the vacancies so arise strictly in terms of the settlement. MW1
states that on 9.6.1995 conciliation proceeding was held before the RLC(C), Hyderabad and in said proceedings it
was decided that the panels will be kept live up to 31.3.1997 and vacancies will be filled from both the lists
concurrently. A copy of the said minutes of proceedings is Ex.M5. Further, MW1 states that on 30.7.1996 another
settlement was entered between the SBI and All India SBI Staff Federation providing for filling up of the vacancies
arising up to December 1994 in respect of subordinate cadre and daily wage /casual wage employees out of panel so
prepared were to be considered against vacancies arising from January 1995 to December 1996, thereafter the said
panels lapse. MW1 states that it was also agreed that all the non- messenger positions in subordinate cadre including
part time attendants specially provided as leave reserve will be filled before 31.3.1997 and as regards to non-
messengerial positions it is agreed that all such posts sanctioned and fallen vacant up to 31.3.1997 shall be filled
before the empanelled list is allowed to lapse. Thus in both the cases empanelled list were lapsed on 1.4.1997.
Ex.M6 is the copy of the settlement dated 30.7.1996. Further, witness states that on 27.2.1997 a memorandum of
understanding was reached between the SBI and SBI Staff Federation providing that both the panels above mentioned
will lapse on 31.3.1997. Ex.M7 is the copy of the memorandum of understanding and Ex.M8 is the copy of the
statements giving the particulars of 1989 non-messenger panel, Ex.M9 is the copy of the statement of 1989 non-
messenger panel, Ex.M10 is the copy of statement of 1992 panel. Further, witness states that petitioner was included
in the 1989 panel. As the existing vacancies at that time were exhausted and his turn did not come he could not be
given permanent employment in the bank as per the agreements. All the appointments were made strictly in
accordance with the settlements reached from time to time between SBI and SBI staff federation and as per seniority,
number of days of temporary service put in by them in the bank in the given period. Further, MW1 states petitioner
was not sponsored by any employment exchange he did not undergo the regular process of selection required for
appointment as a regular non-messenger the petitioner has not worked for 240 days in any year in his entire temporary
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1513
service in the bank. The petitioner and other temporary employees were terminated from service by the bank.
Further, MW1 states that the vacancies were filled up on regular basis with the temporary employees from the panels
and these panels were expired in terms of the settlements so reached and there were no vacancies to absorb such
employees. Thus, witness MW1 has proved the documents Ex.M1 to Ex.M12 and also contentions made in the
counter. However, MW1 was cross examined by the Petitioner Counsel. But nothing has been elicited in his cross
examination so as to discredit the testimony of the witness MW1 as regards the date of lapse of both the panels on
31.3.1997 and reasons assigned for non-absorption of the Petitioner from the panel list to the permanent post.
Moreover the witness MW1 was re-examined by the Respondent and the witness MW1 states that panels were expired
in terms of the settlement send absorptions to the extent of the available vacancies were made. There was no
termination of any temporary messenger as such but their services were not utilized after the cut off date as the
available vacancies were already filled up and most of these Petitioners were not in the service of the bank as on the
date of the expiry date of the panels. Therefore, in view of the aforesaid testimony of the MW1 in re-examination in
the absence of cross examination remained uncontraverted, the claim of the Workman that he was entitled for
absorption in permanent post in the branch of Respondent Management on the basis of panel list is found not
established.
This point is answered against the Workman.
48.
Point No.IV:- In view of the discussion and finding given at Point Nos. I, II and III, the Workman is not
entitled for any relief and claim statement of Workman sans merit and liable to be dismissed.
This Point is answered accordingly.
ORDER
In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the
services of Sri Kona Yesu, Ex. Messenger by way of oral orders w.e.f. 31.3.1997 is justified. Hence, the Petitioner is
not entitled for any relief as prayed for. The claim statement filed by Workman sans merit, hence, dismissed.
Reference is answered accordingly.
Award is passed accordingly. Transmit.
Typed to my dictation by Smt.K. Phani Gowri, Personal Assistant, transcribed by her, corrected and signed
by me on this the 5th day of February, 2026.
IRFAN QAMAR, Presiding Officer
Appendix of evidence
Witnesses examined for the
Witnesses examined for the
Petitioner
Respondent
WW1: Sri Kona Yesu
MW1: Sri Rupakula Prakash Babu
Documents marked for the Petitioner
Ex.W1: Photocopy of News paper advertisement/ notification
Ex.W2: Photocopy of Panel list
Ex.W3: Photocopy of service certificate
Ex.W4: Photocopy of service certificate
Ex.W5: Photocopy of circular dt.8.4.1999
Ex.W6:
Photocopy of circular dt.14.7.99
Documents marked for the Respondent
Ex.M1:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.17.11.87
Ex.M2:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.16.7.88
Ex.M3:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.27.10.1988
Ex.M4:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.9.1.1991
1514
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Ex.M5:
Photocopy of conciliation proceedings before the Regional Labour Commissioner(C) dt.9.6.1995
Ex.M6:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.30.7.1996
Ex.M7:
Photocopy of Memorandum of understanding dt. 27.1.1997
Ex.M8:
Photocopy of statements giving the particulars of 1989 messenger panel.
Ex.M9:
Photocopy of statement of 1989 Non-messenger panel
Ex.M10:
Photocopy of statement of 1992 panel
Ex.M11:
Photocopy of order of Hon‘ble High Court in WA No.86/98 dt. 1.5.98
Ex.M12:
Photocopy of order in SLP No.11886-11888 of 1998 dated 10.8.98
नई ददल्ली, 5 मार्च, 2026
का.आ. 313.—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj
ds izca/kr=] lac) fu;kstdksa vkSj muds deZdkjksa ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh;
ljdkj औद्योजगक vf/kdj.k@Je U;k;ky;
ds iapkV (201/2001) izdkf'kr djrh gSA
[सं. एल-12012/37/2001-आई आर(बी- I)]
सलोनी, उृ जनदेिक
New Delhi, the 5th March, 2026
S.O. 313.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Ref. 201/2001) of the Cent.Govt.Indus.Tribunal-cum-Labour Court
Hyderabad as shown in the Annexure, in the industrial dispute between the management of State Bank of India
and their workmen.
[No. L-12012/37/2001- IR(B-I)]
SALONI, Dy. Director
ANNEXURE
IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT
HYDERABAD
Present: Sri IRFAN QAMAR
Presiding Officer
Dated the 3rd day of February 2026
INDUSTRIAL DISPUTE No. 201/2001
Between:
Sri N. Pushpa,
S/o N. Sree Ramulu,
R/o. H. No. 5-1-166/3,
Jambagh, Poosalabasti,
Hyderabad-500 004.
… Petitioner
And
The Assistant General Manager,
(Personnel & HDR Deptt.)
State Bank of India,
Local Head Office, Bank Street, Koti,
Hyderabad.
…..Respondent
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1515
Appearances:
For the Petitioner :
M/s. V. Mallik, K. Shankar Rao, M. Madhusudhan & Galaiah Velugu, Advocates
For the Respondent:
Sri Ratang Phani Reddy, Advocate
AWARD
The Government of India, Ministry of Labour by its order No. L-12012/37/2001-IR (B.I) dated 6.09.2001
referred the following dispute under section 10(1)(d) of the I.D. Act, 1947 to requiring this forum to decide the
question:
SCHEDULE
―Whether the action of the management of State Bank of India, Local Head office Hyderabad in terminating
the services of Smt N. Pushpa Temporary Non-Messenger, SBI, w.e.f. 31.3.1997 is justified? If not, what
relief the applicant is entitled?‖
After receipt of the reference, it was numbered as ID No. 201/2001 and notices were issued to both the Workman and
the management.
2.
Before unfolding the factual matrix of the instant industrial dispute it would be apposite to have a bird eye
view of a chequered history of the instant industrial dispute. Earlier instant industrial dispute along with the batch
cases was decided by this Tribunal vide common award dated 17.5.2005 and the reference was answered in favor of
the Respondent and against the Workman. That said common award dated 17.5.2005 was challenged by the
aggrieved Workmen in various Writ petition No.6470/2014 along with batch of writ petitions before the Hon‘ble High
Court of Andhra Pradesh and Hon‘ble High Court vide its‘ judgement dated 23.6.2014 allowed all batch of writ
petitions and set aside the common award dated 17.5.2005 passed in ID No.222 of 2001 and other batch of I.D cases
by Central Government Industrial Tribunal cum Labour Court, Hyderabad and the Respondent management of State
Bank of India was directed to reengage the Writ Petitioners in position, which they have been occupying prior to their
termination and further directed to consider their cases for regularization as and when the substantive vacancy arises.
This judgement dated 23.6.2014 of Hon‘ble High Court of AP, passed in WP No.6470/2014 and batch petitions was
challenged by Respondent management before the Hon‘ble High Court in Writ Appeal No. 1268 of 2014. The
aforesaid Writ Appeals No.1268/2014 and other Writ Appeals were decided by Division Bench of High Court of
Andhra Pradesh by a common judgement dated 20.3.2019. Hon‘ble High Court in aforesaid Writ Appeal was
pleased to pass the order which is extracted as below: -
“7. Hearing the learned senior counsel for the SBI and the learned senior counsel for the contesting unofficial
Respondents, we see that while the learned single Judge was justified in setting aside the award af the Tribunal, the
proper course to be adopted was to remit all the cases to the Tribunal. This we say for reasons more than one. Firstly,
in such matters, claims have to be decided on individual basis, as different persons have different claims as to the
length of officiation or discharge of duties and functions; quality of engagement, drawings, accounting of the post for
each one of them, who have worked etc. AIl these issues will not be the same in all the cases. Therefore, each case
ought to have been directed to be decided by the Tribunal afresh on individual basis. The second and most important
aspect is the learned single Judge has in one go ordered re-employment of all the workmen. This is not a relief that
could have been granted without answering the individual issues; each issue relating to each case could not have
been decided by the writ Court within the format of its adjudication procedures and scope. The adjudicating body,
which has to do that activity, is the Industrial Tribunal. Therefore, we are of the view that while we would sustain the
order of the learned singe Judge insofar as it interfered and sets aside the award of the Tribunal, the further findings
and directions, issued through the impugned order have to go and the individual cases have to be sent back for
consideration of the Tribunal. Such further procedure before the Tribunal will have to be carried forward with the
materials already on record and also by affording an opportunity to the persons, who have claims as well as the
management to place their rival contentions and further material before the Tribunal. The learned counsel appearing
for the workmen are justified in pointing out that enormous delay has already happened and further action by the
Tribunal in this line may be expedited.
9. In the result, these writ appeals are ordered;
(1) affirming the impugned common order of the learned single Judge to the extent it sets aside the common award
dated 17.05.2005 of the Industrial Tribuna!;
(2) the further findings and directions issued through the impugned common order are vacated:
(3) all the matters shall be remitted to the Industrial Tribunal with a direction to dispose of them within an outer limit
of five (5) months from the date of receipt of a copy of this order; and,
(4) the parties to make appearance before the Tribunal on the given date.”
Thus, in view of the above direction of Hon‘ble High Court of Andhra Pradesh in W.A.No.1268 of 2014 and batch
cases. This Tribunal has taken up the matter of industrial dispute for hearing and deciding it afresh in view of the
aforesaid guidelines laid down by the Hon‘ble High Court in Writ Appeal No.1268/2014 vide judgement dated
1516
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
20.3.019.
3.
The factual matrix of instant industrial dispute as narrated by the Workman in his claim statement are that the
Workman joined in the service of the management institution as Sweeper from 1985 to 1997 and has rendered
unblemished service spreading over a period of about 12 years. The Respondent has terminated services of Workman
by oral orders with effect from 1.4.1997. Further, it is submitted that the management of Respondent bank decided to
give a chance to temporarily employed personnel ―found suitable for permanent appointment‖ by wait- listing them by
offering permanent appointment or waitlisting till such opportunity arises.
4.
That on 17.11.1987 a settlement was reached between All India State Bank of India Staff Federation and the
Management of State Bank of India - settlement one, under this settlement three categories of employees were listed.
That is, A) those who have completed 240 days in 12 months or less after 1.7.1975. B) those who have completed
270 days in any continuous block of 36 calendar months after 1.7.1975. C) (i) those who have completed minimum of
30 days aggregate temporary service in any calendar year after 1.7.1975 or (ii) 70 days aggregate temporary service in
continuous block of 36 months after 1.7.1975.
5.
The persons who satisfied in all the above 4 categories were to be interviewed by a selection committee and
the said selection committee would determine the suitability of the said candidate for permanent appointment.
Therefore, the bank prescribed certain qualifications and from among the candidates satisfying the qualifications the
suitable candidates were enlisted by a selection committee. The Clause 7 of the said agreement provided with the
selected candidate would be wait listed in order of their respective categorization and the selected panel would be
valid up to December 1991. Clause 10 of the settlement specifically provided that henceforth. ―There will be no
temporary appointments in the subordinate cadre‖, except on a restrictive basis in the specified category, ―from
amongst empanelled candidates as per existing guidelines of the bank‖. The Workman further submits that
consequent upon the said agreement and the draft, a notification was issued in the newspapers. The last date for
responding to the advertisement was 30.8.1988. A written examination followed by viva-voce in May 1989 was held.
A selected panel was prepared, as per Clause 7 of the agreement, i.e. Settlement No.1, the selected panel was to be
valid up to December 1991, the Workman submits that circular was issued on 26.4.91 by the said letter it is mentioned
that the terms of the agreement dated 17.11.87 was modified vide second agreement dated 16.7.88 was entered into
between the parties. In terms of the said agreement a chance was to be given, ―to all eligible temporary employees for
permanent appointments. The appointments were against the vacancies likely to arise during the years 1995-96,
circular made it clear that in view of the enormity of the problem an extension of the currency of the panel, eligible
temporary employees who have been empanelled could not appear in the earlier interviews and have been pursuing
their cases thereafter, ―will be given another chance to appear for interview‖.
6.
Workman submits that there was total five settlements. The settlement dated 17.11.87 is the 1st settlement
(Ex M1), settlement dated 16.7.88 is 2nd settlement (Ex M2), settlement dated 27.10.88 is the 3rd settlement (Ex
M3), then settlement dated 9.1.91 is 4th settlement and settlement dated 30.7.96 is 5th settlement (Ex M6). In
between there are minutes of conciliation proceedings dated 9.6.95 marked as Ex M5. That due to all these
settlements which were extended by subsequent settlements thereby created reasonable expectations in the list of the
selected candidates arose with that it‘s a question of time their appointments or services would be regularized in the
services of the bank. The Workman was working with the bank on temporary basis was under the bonafide hope that
sooner his services will be regularized with the bank. He is thereby closed all his options elsewhere. It is needless to
point out that employing person to whom hope of employment in substantial terms was made is a facet of Article 21
of the Constitution of India.
7.
Further Workman submits that the Government of India issued Circular No. F-3/3/104/87-IR, dated
16.8.1990. Under said circular the chief Executives of all public sector banks including the Management herein were
specifically instructed that until the problem of existing temporary employees is fully resolved, no bank is permitted to
make any permanent appointments. That some of the persons similarly situated like this Workman aggrieved by the
inaction on the part of the management of the bank is not regularizing their services from out of the selected panel and
not clearly focusing the vacancy position, filed W.P. No. 4194/97 before Hon‘ble High court of A.P. It is
specifically averred in the said writ petition that the Management of the bank had failed to implement the settlement
and that it violates the various fundamental rights guaranteed under the constitution of India. The Hon‘ble High
court of A.P. by order dated 5.3.97 directed the bank to implement the settlement as amended from time to time. It
also directed the bank to carry out the terms of settlement before the expiry of March 1997. The Hon‘ble High Court
also recorded finding that the Bank cannot escape its liability of enforcement of the Settlement. In view of the
directions given by the High Court all candidates whose names appeared in the select panels prepared on the basis of
the agreement entered into on 17.11.87 under which the panel was valid up to December 1991, and on the basis of a
settlement dated 27.10.1988 whereby the panels were made alive up to 31.3.1997 under which the panel was valid up
to December, 1999. The other agreement dated 16.7.1988 under which the panel was valid up to 1992 and on the
basis of the settlement dated 27.10.1998 whereby the panels were made alive up to 31.3.1997 were under the bonafide
impression that their cases will be considered for regularization and were living on the basis of the said reasonable
expectation. Unfortunately, contrary to the aforesaid directions given by the High Court and contrary to the
settlements entered into between the parties, the bank issued proceedings dated 25.3.1997, dated 27.3.1997 and
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1517
31.3.1997 instructing the various authorities of the Management not to continue the temporary employees those who
are in services of the bank from 1.4.97. The said order was followed by the Management. Aggrieved by the said
action the Workman herein and similarly situated candidates have filed a writ petition before the Hon'ble High Court
and by way of Writ Petition No.9206/97 seeking a declaration that the proceedings issued by the Deputy General
Manager and the Assistant General Manager (Respondents 3,4 and 5 therein) on 25.3.97, 27.3.97 and 31.3.97 as
illegal and also non-continuance of the Workmen therein in service by absorbing them in the services of the bank as
violative of Section 2(p) and 18(1) read with Rule 58 of Central Rules and sought for specific direction to the bank to
absorb them in service.
8.
Further, Workman submits that in the counter affidavit filed in Writ Petition No.9206/97, the bank has
submitted that it has about 805 branches in Andhra Pradesh alone. It has stated that due to exigencies of
circumstances and on account of the urgent need in its banks, it employed temporary employees in subordinate cadre.
It is pertinent to mention that it does not state the urgent or need or the nature of temporary employees that it had
engaged. Enquiry into the same would reveal that the stand taken by the bank either on the ground of urgent need or of
temporary employees is a façade to perpetuate unfair labour practice. It is designed to on the one hand, keep the
employed in the erroneous zone of hope and on the other to ensure that benefits that a model employer will extend
under various statutes to its employees is not required to be borne out by the bank. A reading of the counter affidavit
would show that the bank would opines that being just fair and reasonable are which obviously is reprehensible and is
a facet of unfair labour practice.
9.
The Workman submits that the bank had referred in its counter affidavit to three settlements dated 17.11.87,
16.7.88 and 27.10.88. The bank in the guise of extending the benefits of the circular of Government dated 16.8.90
stated in its counter affidavit that as follows:
"Government of India, vide its letter dated 16.8.1990, issued guidelines to all the public sector banks with regard to
recruitment and absorption of temporary employees in public sector banks. The said guidelines were issued to
implement on the lines of the approach paper on the issue provided by a committee constituted in this regard. The
Government of India guidelines made it clear that all the public sector banks may follow the provisions laid down in
the approach paper.
The approach paper specified that the cases of temporary employees who had put in not less than 240 days of
temporary service in 12 consecutive Months and who are entitled to benefit of Section 25-F may be decided by
entering into a settlement with the representative union. In respect of temporary employees who had put in less than
240 days of service in 12 consecutive months or less, a settlement could be avoided and however if the Management
so desired, they could enter into a conciliation settlement with the representative union. Para 6(h), it is mentioned
that only those temporary employees who had put in temporary service of 90 or more days after 1.1 1982 would be
eligible for considering under the scheme. Although the Government guidelines envisaged for a settlement in respect
of employees who had put in temporary service of 90 or more days, the bank by way of further concession entered
into settlements Even in respect of those who had put in less than 90 days. As such, it could be Seen that the
settlements are more beneficial to the temporary employees concerned. The approach paper also specify at para 6(c)
that the banks would provide one time opportunity to all the temporary employees and for that purpose temporary
employees worked in the bank on or after 1.1.1982 could be considered for re-employment in terms of the scheme.
The Respondents have gone further wherein even persons working after 1975 were also considered.
As could be seen from the above, there was a genuine effort on the part of the Respondent bank to provide
permanent employment for as many as possible subject to availability of the vacancies.
It is further submitted that at para 6(k) of the approach paper, it was made clear that this would be one time
exercise in full and final settlement of all the aims and disputes for the past period in respect of temporary workmen
covered by the settlement. This would mean that the Government of India guidelines would cover only those persons
who were temporarily employed for the period specified therein and not otherwise. As such, it is submitted that the
Respondents have not only followed the Government of India guidelines but in fact covered cases of the employees
who had worked for less than 90 days. As such, question of violation does not arise and in any case those were only
broad guidelines and not directives".
10.
The Workman submits that the bank also referred a subsequent settlement dated 9.1.1991 wherein there is a
clause to the effect- that the panel of temporary employees and the panel of daily wage employees will be operated to
a particular period. Therefore, their cases will not be considered. The Management herein relying upon this settlement
in their impugned action. It is submitted that even the settlement dated 9.1.1991 will not empower the management
to terminate the services of the temporary employees who are working in the bank services like the Workman herein
as it does not specify the termination of the employees. In fact, there are so many vacancies wherein the Management
has engaged several new persons as temporary messengers/ attenders/ sweepers etc., even after the judgment of
Hon‘ble High Court without considering the cases of the similarly situated candidates like the Workman herein. It is
submitted in spite of engaging fresh candidates as is now being done by the Management they would have continued
the similarly situated candidates like the Workman herein in the services of the bank and consider their cases for
1518
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
absorption in view of the circulars issued by Central Government as well as the directions of this Hon'ble Court in
Writ Petition No.4194/97, dated 5.3.97. In view of the circulars issued by the Central Government, the Management
should not have relied upon the settlement dated 9.1.1991. Hence, the impugned action of the Management is illegal,
unjust, violative of fundamental rights such as Articles 14,16 and 21 of the Constitution of India.
11.
The Workman submits that in W.P. No.4194/97 filed by the union of temporary employees wherein they
have complained about the non- implementation of the settlements arrived between the parties and sought for
absorption. Such employees in the bank services on permanent basis before the date fixed for carrying out the terms
of settlement, the Court held that the members of the union had been empanelled in the list, they were not regularized
and the time was going to run out to the near future and the Respondent bank and its officers cannot escape from the
liability of enforcing the settlement which has been reached and therefore directed that the bank and the officers shall
implement the settlement dated 17.11.87 as amended from time to time before the expiry of 31.3.97.
12.
Further, it is submitted that in the clause of Settlement it is specifically mentioned that the workmen to be
absorbed/appointed in the bank prohibiting any temporary appointments subsequent to the date of settlement even the
authorities want to make temporary appointments that should be made only from among the empanelled can be
appointed either for temporary vacancy or permanent vacancy except from among the empanelled candidates like the
Workman and that should be continued till they are absorbed. The management committed unfair labour practices
and terminated the services of the candidates with effect from 1.4.1997 which is arbitrary, discriminatory, contrary to
their own guidelines and violative of the constitutional provisions which are guaranteed in Chapter-III of the
Constitution of India.
13.
The Workman submits that it is strange as to how the panels were allowed to lapse by a so-called
Memorandum of Understanding dated 25.2.1997, that the action of terminating such employees like the
Workman by virtue of an impugned oral proceedings without implementing the settlement would be illegal and unfair
labour practice which cannot be allowed to be perpetuated. That the discontinuance of the Workman after 31.3.97
who had served in the bank in any capacity amounts to retrenchment. It could not have been done without any notice
and it violates Sec.25FF of the Industrial Disputes Act, 1947 and the said action is violative of principles of natural
justice guaranteed under Chapter III of the Constitution of India. This amounts to retrenchment without one month's
notice and taken in view of such notice. Thus, the main proceedings issued by the Respondent is without jurisdiction
and is arbitrary, illegal and therefore liable to be quashed. That the alleged Memorandum of Understanding dated
27.2.97, Ex.M5 does not own any legal entity, as the said Memorandum of Understanding is not published anywhere
to brought to the notice of the Workman whose rights are being affected. It is submitted that Management did not
adhere to the procedure envisaged by the Central Government in its' instructions dated 16.8.90 in the year 1995. The
same was not followed in the year 1997 despite there being vacancies.
The management has followed the
procedure of calling candidates through Employment exchange instead of giving chance to the empanelled candidates
like the Workman here. It is pertinent to mention here that the Respondent Management sent letters to all similarly
situated candidates like the Workman in the month of June 1997, subsequent to the passing of impugned termination
orders. After knowing the facts that the candidates are litigating, the Management refused to engage these candidates.
It is once again reiterated that the panels are meant for absorption but not for termination. It was the duty of the
Management to engage the empanelled candidates like the Workman even in temporary vacancies till they are
absorbed permanently in regular vacancies. Hence, the action of the Respondent Management terminating the
services of the Workman by oral order dated 31.3.97 is unjust, illegal, violative of principles of natural justice and
hence, the Management be directed to reinstate and absorb the Workman and to grant all incidental and consequential
benefits.
14.
Per contra, Respondent had filed counter and made a contention that the reference is not tenable and contrary
to the provisions of I.D. Act, 1947. Respondent submitted that to tide over severe sub-ordinate staff constraints
which arose out of leave vacancies, exigencies, etc., and also owning to the restrictions imposed by the Government of
India/Reserve Bank of India on intake of staff, the Respondent bank used to engage sub-ordinate staff like
messengers, sweepers, sweeper cum water boys, etc., depending on the availability of work on purely temporary basis
for the smooth and uninterrupted functioning of the branches. It is submitted that the All India State Bank of India
Staff Federation which represents majority of the employees in the State Bank of India comprising about 98% of the
work force as its' members espoused the cause of temporary employees who have put in less than 240 days of
temporary service in 12 calendar months in the bank and who were ineligible for any protection under Industrial
Disputes Act, 1947 to give a chance for being considered for absorption and permanent appointments.
15.
Discussions were held and on 17.11.1987 an agreement was signed between the federation and the
Management bank under Sec. 2(p) read with Sec 18(1) of the Industrial Disputes Act, 1947 read with Rule 58 of
Industrial Disputes (Central) Rules 1957. A copy of the said settlement dated 17.11.87 which may be herein after
referred as first settlement is filed and 4 categories were made as it has already been mentioned in the claim statement
above, it need not be repeated here. In the first settlement, it was agreed that the temporary employees as categorized
would be given a chance for being considered for permanent appointment in the bank's service against the vacancies
which are likely to arise during the period 1987 to 1991. On 16.7.88 second settlement was arrived between the
Federation and the Bank whereby it was agreed to substitute the period of consideration of vacancies as 1987 to 1992
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1519
in place of 1987 to 1991 as contemplated under the first settlement dated 17.11.1987. This is the second settlement.
A 3rd settlement was entered into on 27.10.88 and it was agreed that the bank's service against the vacancies likely to
arise from 1988 to 1992 was to be considered. Government of India vide its letter dated 16.8.90 issued guidelines to
all the public sector banks with regard to recruitment and absorption of temporary employees in public sector banks.
The said guidelines were issued to implement on the lines of approach paper on the issue provided by a committee
constituted in this regard. Government of India guidelines made it clear that all the public sector banks may follow
the provisions laid down in the approach paper. The approach paper specified that the cases of temporary service in
12 consecutive months and who are entitled to benefit of Sec.25F of the Industrial Disputes Act, 1947 may be decided
by entering into a settlement with the representative union. In respect of temporary employees who had put in less
than 240 days of service in 12 consecutive months or less, a settlement could be avoided and however if the
Management so desired they could enter into a conciliation settlement with the representative union. In para. 6(h) it
is mentioned that only those temporary employees who had put in temporary service of 90 days or more days after
1.1.82 would be eligible for considering under the scheme. Although the Government guidelines envisaged for a
settlement in respect of employees who had put in temporary service of 90 days or more days, the bank by way of a
further concession entered into settlements. Even in respect of those who had put in less than 90 days and also the
bank went a step further and said those persons who are working after 1975 were also considered. Hence, there was a
genuine effort on the part of the Respondent bank to provide as many as possible jobs subject to the availability of the
vacancies. However, para 6 (k) of the approach paper made it clear that it is a one time, exercise in full and final,
settlement of all the claims and disputes for the past period, in respect of temporary workmen covered by the
settlement. Another settlement was entered on 9.1.91 herein after referred as 4th settlement and the time limit was
extended up to 1994 and separate panel was prepared for temporary employees, casual/daily wagers. It was agreed
that while vacancies arising between 1988 to 1994 in respect of temporary employees and in respect of casual/daily
wagers, they can be considered for the vacancies arising between 1995-96 only.
16.
It is submitted that the administrative set up of the Hyderabad Local Head Office comprises of four Zonal
Offices (Zones) at Hyderabad, Vijayawada, Visakhapatnam and Tirupathi covering all the Districts of Andhra
Pradesh. In terms of the settlement the Management after following the procedure laid down therein prepared the
panels of qualified candidates of temporary employees denoted as 1989 panel and also panel of casual/daily wagers
denoted as 1992 panel for giving a chance for being considered for permanent absorption. These panels were
prepared zone-wise separately for messengers and non-messengers in the descending order of temporary service put in
by the candidates during the stipulated period i.e., 1.7.1975 to 31.7.1988. That the Federation approached the
Regional Labour Commissioner(C) for implementation of bi-partite settlement in respect of absorption of temporary
employees. The Regional Labour Commissioner(C) conducted conciliation proceedings and an agreement was
arrived between the Federation and the bank. It was agreed that it would be kept alive up to March, 1997. A copy of
the conciliation proceedings dated 9.2.1995 signed by the parties is filed as material paper. A settlement was arrived
at, and an agreement was signed between the Federation and the Management bank on 30.7.1996 under Sec.2 (p) read
with Sec.18(1) of the Industrial Disputes (Central) Rules, 1957, which is hereinafter called as 5th settlement. That on
27.2.1997 a Memorandum of understanding was also signed by the federation‘s affiliate and the bank Management
recording the fact that the exercise of identifying the messengerial vacancies as on 31.12.1994 has since been
completed by Central Office and thereby 403 messengerial vacancies were sanctioned. It was agreed that these
vacancies may be filled from 1989 panel of temporary employees after effecting conversion from full time non-
messengerial staff in the usual manner and the agreement was reached accordingly. It was agreed between the
Federation's affiliate and the Management bank that in terms of the settlement dated 30.7.1996 both the panels of
temporary employees and daily wagers/casual employees would lapse on 31.3.1997. That as agreed upon vacancies
were filled from the panels. The Workman who has put in an aggregate temporary service of less than 240 days in a
continuous block of 12 months period during 1.7.1975 to 31.7.1988 has no right to seek a direction to consider his
candidature for absorption in the Management bank under any rule/law except under the settlement entered into
thereon.
17.
Respondent contended that, in fact, the case of the Workman can be considered under all the five settlements
having got his case considered under provisions of these settlements. All the other provisions and terms of the
settlements are also binding on him/her. The Management bank has not violated any of the provisions of the terms of
the said settlement. That the very preparation and maintenance of panel is in compliance of the terms agreed under
these settlements. These settlements were time bound, and they ceased to exist on 31.3.1997. That the bank has never
promised that all the candidates in the panel will be absorbed. In the advertisement itself it was made clear that
candidates will be considered for absorption in the vacancies that may arise up to 1992. Keeping alive the panels after
31.3.1997 is contrary to the settlements arrived between the State Bank of India Staff Federation and the Management
bank. That the settlements are binding on the parties. The Workman is also bound under the terms of the said
settlement. The settlement does not suffer from any ambiguity as their language is very clear. The right under the
settlements is to give them a chance to be considered for future appointment in the bank's services against the
vacancies likely to arise. The settlements were affected to balance the expectations of the temporary employees to be
absorbed in permanent service as against the constitutional rights for all eligible persons to be considered for
employment every time a vacancy arises. That the alleged dispute including the demand for reinstatement has to be
1520
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
decided in this context. It is submitted that the period of panel list got expired on 31.3.97 and it is an integral term of
the settlement and cannot be modified in any proceedings under the law. These temporary employees who
unfortunately could not be accommodated for want of vacancies have no further rights to be considered for
regularization. That the Hon'ble High Court in WP No.12964/94, held as follows, "It is needless to state that the
settlement arrived at between the All-India State Bank of India Staff Federation which, is the majority union and the
bank Management is binding on the Workmen also. It is not at all the case of the Workman that any of the terms of
the settlement has been violated by the bank's Management. If the Workman had worked in the bank on part-time
basis before 31.5.94, that itself would not vest in him a right to claim that his services should be regularized on
permanent basis against a full-time cadre post. The claim put forth by the Workman in the present petition is therefore
misconceived and not tenable. However, it is open to the Workman to claim any right which flows from the
settlement between the union and the bank Management. As already pointed out that it is not the grievance of the
Workman that some right which has flown from the settlement in favor of the Workman has been denied by the bank
Management. Therefore, I do not find any ground, let alone substantial ground, to grant the kind of relief sought for
by the Workman. Writ Petition fails and is accordingly dismissed. No costs."
18.
Further, it is contended that if the panels were not lapsed at the end of designated period and allowed to be
continued it would result in making the contracts of temporary employment indirectly permanent through back door
entry, which would not only be contrary to the settlements but also to Articles 14 and 16 of Constitution of India and
deprive the chances of original claimants who would Come through proper recruitment procedure. As their rights
have been crystallized by operation of the settlements. Hence, there is no question of any Legitimate expectation
being violated.
19.
Similarly placed ex-employees filed WP No.9206/1995 and the batch before the Hon'ble High Court of A.P.
and the learned Single Judge allowed the Writ Petitions. Aggrieved by the same WA No.86/98 and the batch was
filed and the Division Bench set aside the order of the Single Judge. Thereafter the ex-temporary employees filed
Special Leave Petition No.11886-11888 of 1998 before the Hon'ble Supreme Court of India. The Hon'ble Supreme
Court of India also dismissed the SLP. Therefore, reference to the Judgement of the Learned Single Judge in WP
No.9206/97 is of no consequences as the same has already been set aside. The observations made in the Judgements
cannot be relied upon for any purpose what so ever. The question of operation of Sec.25F would not come into play.
Further the issue is covered by various Judgements of Hon'ble Supreme Court of India and various Hon'ble High
Courts. Hence, the reference may be ordered that the Workman is not entitled for any relief.
20.
In order to fortify his claim Workman has examined himself as WW1 and also filed documents in evidence
which has been exhibited as Ex. W1 to W11. Further, the Workman has filed photocopies of documents in support of
his claim which are discussed as under: -
Ex. W1 is the service certificate. Further Ex. W2 is the notification. Ex. W3 is the interview call letter. Ex. W4 is the
panel list. Ex.W5 to W9 are the Service Certificates. Ex.W10 is the notification of vacancies issued by Respondent
bank. Ex.W11 is the circular issued by bank.
21.
On the other hand, Respondent has examined witness MW1 Sri Aluru Rama Rao and this witness has
exhibited 12 documents, marked as Ex.M1 to M12. The details of these documents are as follows:-
Ex.M.1 is the Settlement dated 17.11.1987. Ex.M2 is the Settlement dated 16.7.1988. Ex.M3 is the Settlement
dated 27.10.1988. Ex.M4 is the Settlement dated 9.1.1991. Ex.M5 is the Minutes of the conciliation proceedings
dated 9.6.1995. Ex.M6 is the Settlement dated 30.7.1996. Ex.M7 is the Memorandum of Understanding dt.
27.2.1997. Ex.M8 is the Particulars of 1989 Messengerial Panel. Ex.M9 is the Particulars of 1989 Non-
Messengerial Panel. Ex.M10 is the Particulars of 1992 General Attendant Panel. Ex.M11 is the Judgment of
Hon‘ble High Court of A.P. in Writ Appeal No.86/98 dt.1.5.1998. Ex.M12 is the Judgment of Hon‘ble Supreme
Court of India in SLP No. 11886-11888 of 1998 dt.10.8.1998.
22.
Apart from afore mentioned documents, Learned Counsel for Workman has also filed a long list of various
judgements of Hon‘ble Supreme Court as well as Hon‘ble High Court, which we will discuss at appropriate place in
this Award.
23.
Heard the argument of Learned Counsel for Workman as well as for Respondent.
24.
On the basis of rival pleadings of both the parties and submissions made by the Learned Counsel for both
the parties, following points arise for determination in the industrial dispute :-
I.
Whether the 1st settlement dated 17.11.1987, 2nd settlement dated 16.7.1988, 3rd settlement dated
27.10.1988, 4th settlement dated 9.1.1991 and 5th settlement dated 30.7.1996 entered into between
State Bank of India and All India State Bank of India Staff Federation and also Memorandum of
Understanding are binding upon both the parties?
II.
Whether the action of State Bank of India, Basheerbagh branch in Hyderabad terminating the
services of Workman Smt. N. Pushpaa Messenger with effect from 31.3.1997 is justified?
III.
Whether the Workman is entitled for absorption on permanent post in the Branch of Respondent
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1521
management as per averments made by him in the claim statement?
IV.
To what relief if any the Workman is entitled for?
Findings:-
25.
Point No.I:-Undisputedly settlements dated 17.11.1987, 16.7.1988, 27.10.1988, 9.1.1991 and 30.7.1996,
minutes of conciliation proceedings and memorandum of understanding dated 27.2.1997 were executed between the
State Bank of India and All India State Bank of India Staff Federation under section 2(p) and 18 (1) of I.D. Act, 1947
read with Rule 58 of Industrial Disputes (Central Rules), 1957.
Section 2(p) of the Industrial Disputes Act, 1947 as follows:-
(p) "settlement" means a settlement arrived at in the course of conciliation proceeding and includes a written
agreement between the employer and workmen arrived at otherwise than in the course of conciliation proceeding
where such agreement has been signed by the parties thereto in such manner as may be prescribed and a copy thereof
has been sent to an officer authorised in this behalf by the appropriate Government and the conciliation officer;
Section 18(1) provides as follows:-
18. Persons on whom settlements and awards are binding.
- [(1) A settlement arrived at by agreement between the employer and Workman otherwise than in the course of
conciliation proceeding shall be binding on the parties to the agreement.
Therefore, in view of the provision contained u/s.18 (1) I.D. Act, 1947, terms and conditions enumerated in the
aforesaid settlements are binding on the parties to the agreement. The Learned Counsel for Workman has argued that
the Workman after going through the selection procedure has successfully been listed in the panel for appointment on
the permanent basis in the Respondent management and the empanelled list has to be valid till last person in the
empanelled list is appointed on permanent basis. But the impugned order dated 25.3.97, 27.3.97 and 31.3.97, has been
issued by Respondent management thereby the services of the Workman has been terminated and the said order is not
in consonance of the terms of the agreement entered into between the parties. Further, Workman submits that the
Respondent in the 5th settlement has mentioned the date i.e., 31.3.1997 for lapse of empanel list which is illegal and
that is not binding upon the Workman. The condition of lapse of empanelment list on 31.3.97 incorporated in the
aforesaid 5th settlement, is arbitrary and illegal.
26.
The perusal of the impugned order dated 25.3.1997 goes to reveal that the Chief/Branch Manager, SBI Zonal
Office has issued the letter to all the branches with regard to the subject not to make any temporary appointments in
the Branch in messengerial category from 1.4.1997. The extract of the said letter is given below:-
―We have been advised by the Deputy General Manager, Zonal Office, Hyderabad that as both the panels of
temporary employees of 1989 and daily wagers/casual labours of 1992 will lapse by 31.3.1997, it has been decided
by Central Office not to make any temporary appointments in messengerial category from 1.4.1997.‖
Thus, from the contents of the aforesaid letter, it manifest that Head Office of State Bank of India vide letter dated
25.3.1997 has issued direction to all its branches not to make any temporary appointments in messengerial category
from 1.4.1997 due to reason of lapse of both panels i.e., 1989 & 1992 on 31.3.1997 as per terms of settlements
entered into by both parties. Further, the contents of the subsequent letter dated 27.3.1997 issued by Respondent
Management is also direction to Branch Manager, State Bank of India not to make any temporary messengerial
category appointment with effect from 1.4.1997 and it has also been communicated to all concerned that the panels of
temporary employees and daily wagers maintained by Zonal offices stand lapsed from 31.1.1997. Further, office
order dated 31.3.1997 has been issued by Respondent management that goes to reveal that the said office order has
been issued to this effect that, ―Consequent on absorption of temporary employees in permanent cadre, it has been
decided by the competent authority that no one onwards, no further daily labour or temporary
employees/appointments should be resorted to/engaged/employed.‖ Therefore, it reflects from the contents of the
aforesaid orders that the temporary appointment in messengerial category and daily labour has been stopped by the
Respondent management with effect from 1.4.1997 because of the lapsed of panel of temporary workers and daily
wagers by 31.3.1997. The agreement for lapse of both the panels on 31.3.1997 is contained in the 5th settlement
which has been arrived at between the parties on dated 30.7.1996 with the consensus of both the parties. Therefore,
Workman can not challenge the terms and conditions contained in settlement dated 30.7.1996 regarding lapse of
panel on 31.3.1997 as agreed between State Bank of India and State Bank of India Staff Federation. As per provision
contained u/s.18(1) of I.D. Act, 1947 the said Agreement dated 30.7.1996 is binding on both the parties.
In the case of Allied Sales Corporation Secunderabad vs.The Authority Under Andhra Pradesh..... 1990 II LLJ
510 AP para 414, Hon‘ble Court have held:-
―4. There was a settlement between the Management and the workmen under Section 18(1) of the Industrial Disputes
Act on 25th April 1983 under which the age of superannuation of the workmen was fixed at 55 years. The settlement
was to be in force upto 30th June 1986 and the next settlement, incorporating practically the same terms, was again
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[PART II—SEC. 3(ii)]
entered into on 4th February 1987 under Section 18(1) of the Industrial Disputes Act. There is no dispute that these
settlements are under Section 18(1).
14. Now the Authority constituted under Section 41(1) of the Act is an authority with very limited jurisdiction. It can
only decide in the first appeal whether a termination by the management is valid or not and is within the parameters
of Section 40 of the Act. The said Authority, in our view, has absolutely no jurisdiction to decide whether a settlement
entered into under Section 18(1) of the Industrial Disputes Act between the representatives of the Workmen and of the
Management, is vitiated by undue influence or misrepresentation or coercion on the part of the Management. The
Authority, namely, the Assistant Commissioner of Labour, was never intended by the A.P. Legislature to have
jurisdiction to go into the question of the validity of a settlement arrived at under Section 18 of the Industrial Disputes
Act by an Industrial Court. That Parliament has, in fact, constituted Industrial Courts under the Industrial Disputes
Act, with extensive powers cannot be disputed. What we mean to say is that the Authority under Section 41(1) of the
A.P. Act has no jurisdiction what-so-ever either to question or to decide about the validity of any such settlements. If
parties to a settlement have a grievance about the validity of a settlement, it is for them to agitate the matter before the
appropriate forum and they cannot ask an Authority constituted under Section 41(1) of the A.P. Shops and
Establishments Act, 1966 with limited jurisdiction, to go into any such question and, that too, incidentally while
deciding whether retirement as per the contract of employment, is legal or not.”
It is not the case of Workman that aforesaid settlements are vitiated by undue influence or misrepresentation or
coercion on the part of the management. If the Workman feeling aggrieved by any terms of settlement/ agreement on
the aforementioned grounds then he can challenge of settlement before a competent authority under the Act, 1947.
But here in the instant matter it is not a case of Workman that aforementioned settlement has been entered into
between the parties on the ground of undue influence or misrepresentation or coercion. Therefore, Workman is barred
to raise any objection in respect of fixing the date of lapse of both panels on 31.3.1997 as agreed between both the
parties and Workman can not challenge any terms of said Agreement.
Further in the case of Herbertsons Limited Vs. Workmen of Herbertsons Limited and Ors, 1977 AIR 322,
Hon‘ble Supreme Court have held:-
The Tribunal thought that the question of the quantum of membership of the 2nd Respondent did not call for a finding
at all in view of 1his Court's order. As observed above that was not a correct assumption. On the other hand, we feel
that this view of the Tribunal has led it to approach the matter in an entirely erroneous manner. The Tribunal is,
rightly enough, conscious that under section 18 (1) of the Industrial Disputes Act the settlement was binding on the
company and the members of the 3rd Respondent union. Even so, the Tribunal devoted nearly half of its order in
scanning the evidence given by the company and Respondent No. 3 to find out whether the terms of the settlement had
been explained by the President of the union to the workmen or not and whether the workers voluntarily accepted the
settlement knowing all the "consequences". This to our mind is again an entirely wrong approach.
“When a recognised union negotiates with an employer the workers as individuals do not come into the picture. It is
not necessary that each individual worker should know the implications of the settlement since a recognised union,
which is expected to protect the legitimate interests of labour, enters into a settlement in the best interests of labour.
This would be the normal rule. We cannot altogether rule out exceptional cases where there may be allegations of
mala fides, fraud or even corruption or other induce- ments. Nothing of that kind has been suggested against the
President of the 3rd Respondent in this case. That being the position, prima facie, this is a settlement in the course of
collective bargaining and, therefore, is entitled to due weight and consideration.
It is not possible to scan the settlement in bits and pieces and hold some parts good and acceptable and others bad.
Unless it can be demonstrated that the objectionable portion is such that it completely outweighs all the other
advantages gained the Court will be slow to hold a settle- ment as unfair and unjust. The settlement has to be
accepted or rejected as a whole and we are unable to reject it as a whole as unfair or unjust. Even before this Court
the 3rd Respondent representing admittedly the large majority of the workmen has stood by this settlement and that is
a strong factor which it is difficult to ignore. As stated elsewhere in the judgment, we cannot also be oblivious of the
fact that all workmen of the company have accepted the settlement. Besides, the period of settlement has since expired
and we are informed that the employer and the 3rd Respondent are negotiating another settlement with further
improvements. These factors, apart from what has been stated above, and the need for industrial peace and harmony
when a union backed by a large majority of workmen has accepted a settlement in the course of collective bargaining
have impelled us not to interfere with this settlement. That being the position, we unhold the settlement as fair and just
and order that the award of the Tribunal shall be substituted by the settlement dated October 18, 1973. The said
settlement shall be the substituted award. The appeal is disposed of accordingly. There will be no order as to costs.”
Therefore, in view of the law laid down by the Hon‘ble Apex Court as discussed above, the contention of the
Workman that the date fixed for lapse of empanelled list on 31.3.1997 for appointment to the permanent post vide 5th
Settlement dated 30.7.1996 is arbitrary, illegal is not untenable. The recognized union of Workmen has negotiated
with the Respondent Bank Management representing large number of Workmen and the Workman as individual do
not come into picture. Workman in the instant case has work as temporary Workmen in the Respondent Branch and
in response of Notification he had applied for inclusion of his name in the panel and he was selected for inclusion
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1523
his name in the panel list to be utilized for absorption of such Workman to permanent post in order of their seniority
in the list. The Settlement dated 30.7.1996 between State Bank of India and All India State Bank of India Staff
Federation under Sec.2(p) and Sec.18(1) of I.D. Act, 1947 has clearly provided as regard non-messengerial position
and it is agreed that all such posts sanctioned fallen vacant upto 31.3.1997 shall be filled before empanel list is
allowed to lapse. Thus, in view of law laid down by the Hon‘ble Apex Court, in the instant case, Agreement dated
30.7.1996 was entered into between both the parties in respect of lapsing of the both the panels on 31.3.1997 and
absorption of the Workmen from panel list was subject to availability of vacancy of post likely to arise upto
31.3.1997, have a binding force on Workman as well as management of State Bank of India in view of provision
contained under section 18 (1) of I.D. Act, 1947.
Thus, Point No.I is answered against the Workman and in favour of the Respondent.
27.
Point No.II:- Firstly, it is submitted on behalf of the Workman that the Respondent has terminated his
services by oral order on 31.3.1997 without issuing any notice or paying any salary or compensation in lieu thereof.
Therefore, the termination order of the Workman from service is in violation of provision contained Under Section 25
F of I.D. Act, 1947. Therefore, the order is liable to be set aside.
28.
On the other hand, Respondent counsel contended that Workman has not worked for 240 days in any
preceding calendar year. Therefore, reference of the industrial dispute is not relevant. In this context, the Workman
has examined himself as WW1 who has reiterated that Workman has been terminated from service by Respondent on
31.3.1997 without notice of salary or compensation in lieu thereof. Before examining the claim of the Workman on
merit it would be apposite to reproduce the provision contained under section 25 F:-
Section 25F provides:-
Conditions precedent to retrenchment of workmen.- No Workman employed in any industry who has been in
continuous service for not less than one year under an employer shall be retrenched by that employer until—
(a) the Workman has been given one month' s notice in writing indicating the reasons for retrenchment and the period
of notice has expired, or the Workman has been paid in lieu of such notice, wages for the period of the notice:
(b) the Workman has been paid, at the time of retrenchment, compensation which shall be equivalent to fifteen days'
average pay for every completed year of continuous service] or any part thereof in excess of six months; and
(c) notice in the prescribed manner is served on the appropriate Government or such authority as may be specified by
the appropriate Government by notification in the Official Gazette].
Compensation to workmen in case of transfer of undertakings.
Section 25B defines the term continuous service which provides
Definition of continuous service.- For the purposes of this Chapter,--
(1) a Workman shall be said to be in continuous service for a period if he is, for that period, in uninterrupted service,
including service which may be interrupted on account of sickness or authorized leave or an accident or a strike
which is not illegal, or a lock- out or a cessation of work which is not due to any fault on the part of the Workman;
(2) where a Workman is not in continuous service within the meaning of clause (1) for a period of one year or six
months, he shall be deemed to be in continuous service under an employer--
(a) for a period of one year, if the Workman, during a period of twelve calendar months preceding the date with
reference to which calculation is to be made, has actually worked under the employer for not less than--
(i) one hundred and ninety days in the case of a Workman employed below ground in a mine; and
(ii) two hundred and forty days, in any other case;
In order to prove the fact of 240 days of service within 12 months of a calendar year just preceding from the date of
termination, the initial burden of proof lies upon the Workman and the Workman has to prove this factum by
adducing his oral as well as documentary evidence in support of his claim.
Further, how to calculate 240 days of service by the Workman in a calendar year. In this context the reference of
decisions of Hon‘ble Supreme Court is relevant and the same are discussed below:-
In Rajasthan State Ganganagar S. Mills Ltd. v. State of Rajasthan and Anr. (2004) Apex Court held:
"It was the case of the Workman that he had worked for more than 240 days in the year concerned. This claim was
denied by the appellant. It was for the claimant to lead evidence to show that he had worked for 240 days in the year
preceding the date of his termination. He has filed an affidavit. It is statement which is in his favor and that cannot be
regarded as sufficient evidence for any Court or Tribunal to come to the conclusion that in fact the claimant had
worked for 240 days in a year These aspects were highlighted in Range Forest Officer v. S.T. Hadimani (2002 (3)
SCC 25. No proof of receipt of salary or wages for 240 days or order or record in that regard was produced. Mere
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[PART II—SEC. 3(ii)]
non-production of the muster roll for a particular period was not sufficient for the Labour Court held that the
Workman had worked for 240 days as claimed."
In Municipal Corporation, Faridabad v. Siri Niwas (2004 (8) SCC 195), held "the burden was on the Workman to
show that he was working for more than 240 days in the preceding one year prior to his alleged retrenchment." In
M.P. Electricity Board v. Hariram (2004 (8) SCC 246) the position was again reiterated in paragraph 11 as follows:
"The above burden having not been discharged and the Labour Court having held so, in our opinion, the Industrial
Court and the High Court erred in basing an order of reinstatement solely on an adverse inference drawn erroneously
..‖
In the case of Manager, RBI, Bangalore vs. S Mani (2005) SCC Page 100, the 3 Judges Bench of the Apex Court
held that "the initial burden of proof was on the Workman to show that he had completed 240 days of service."
Hon'ble Apex Court in the case of Mohan Lal vs Management BEL 1981 SCC page 225 has laid down the
principle that how to count 240 days of service within one year it is held: "Clause (2)(a) provides for a fiction
to treat a Workman in continuous service for a period of one year despite the fact that he has not rendered
uninterrupted service for a period of one year but he has rendered period of 240 days during the period of 12
calendar service for months counting backwards and just preceding the relevant date being the date of retrenchment.
In other words, in order to invoke the fiction enacted in clause (2)(a) it is necessary to determine first the relevant
date, ie the date of termination of service which is complained of as retrenchment. After that date is ascertained. move
backward to a period of 12 months just preceding the date of retrenchment and then ascertain whether within the
period of 12 months, the Workman has rendered service for a period of 240 days. If these three facts are affirmatively
answered in favor of the Workman pursuant to the deeming fiction enacted in clause (2)(a) it will have to be assumed
that the Workman is in continuous service for a period of one year and he will satisfy the eligibility qualification
enacted in Section 25-F"
“14. We have already extracted section 25B since its amendment and the change in language is the legislative
exposition of which note must be taken. In fact, we need not further dilate upon this aspect because in Surendra
Kumar Verma and Ors. v. Central Government Industrial-cum-Labour Court, New Delhi and Anr., Chinnappa
Reddy. J., after noticing the amendment and referring to the decision in Sur Enamel and Stamping Works (P)
Ltd case, held as under:
"These changes brought about by Act 36 of 1964 appear to be clearly designed to provide that a Workman who has
actually worked under the employer for not less than 240 days during a period of twelve months shall be deemed to
have been in continuous service for a period of one year whether or not he has in fact been in such continuous service
for a period of one year. It is enough that he has worked for 240 days in a period of 12 months, it is not necessary that
he should have been in the service of the employer for one whole year."
In a concurring judgment Pathak J. agreed with this interpretation of section 25B(2). Therefore, both on principle and
on precedent it must be held that section 25B(2) comprehends a situation where a Workman is not in employment for
a period of 12 calendar months, but has rendered service for a period of 240 days within the period of 12 calendar
months commencing and counting backwards from the relevant date, i.e. the date of retrenchment. If he has, he would
be deemed to be in continuous service for a period of one year for the purpose of section 25B and
Chapter VA.”
Thus, in view of the law laid down by the Hon‘ble Apex Court as discussed above the initial burden of proof lies
upon the Workman to show that he has completed 240 days of the service with the Respondent just preceding from
the date of his termination. Further, in respect of the employment of calculating the 240 days service in view of the
contents of Section 25-F read with Section 25-B of the I.D. Act, 1947.
29.
Now, in view of the provision contained under Section 25 F and law laid down by the Hon‘ble Apex Court,
we have to examine whether the Workman has discharged his initial burden of proof in respect of his claim of 240
days continuous service in a calendar year just preceding from the date of his termination i.e., 31.3.1997.
In this context, WW1 in his cross examination has stated that,
“I did not undergo regular process of selection before my appointment in the branch..”
“It is true that I did not work for 240 days in any year in my entire service in the bank in any branch.”
Thus, it is clear from the testimony of WW1 that the Workman had not worked for 240 days continuously in any 12
months of a calendar year just preceding from the date of his termination in the Respondent bank. Therefore,
Workman failed to establish his plea by his oral and documentary evidence that he had worked for 240 days
continuously in calendar year just preceding from the date of his termination i.e., 31.3.1997. Thus, the claim of the
Workman that he has been terminated by oral order without issuing notice or payment in lieu after termination, in
contravention of Section 25 F of Industrial Disputes Act, 1947 is not tenable. However the documents filed by the
Workman in support of his claim, number of days worked with the Respondent goes to reveal that the Workman had
worked intermittently as daily wager depending upon availability of work in branch. Workman did not file any
document of appointment letter or salary slips in support of his claim for appointment as a non-messenger in the
Respondent branch on temporary basis.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1525
30.
Per contra, the Learned Counsel for Respondent has submitted the allegation of Workman that he was
terminated from services is not correct. As the vacancies were filled up on regular basis in order of their respective
seniority the non-engagement of the Workman does not amount to termination. Further, Respondent contended that
no law provide that even though there is no work temporary employee should be continued in the bank work as the
very engagement of Workman was subject to availability of work. Therefore, the allegation that the bank has
indulged in unfair labour practice is incorrect.
31.
Thus, in view of the fore gone discussion and contentions made by the Respondent, I find the force in the
argument advanced by the Respondent that in the instant matter, Workman was not terminated from service by order
dated 31.3.1997 rather he was disengaged in view of the non-availability of the work in the branch. Further, there
was direction issued by the Head Office of the Respondent authority not to engage any daily wager Workman/
temporary Worker w.e.f. 1.4.1997. Thus, such disengagement of Workman does not amount to termination.
Moreover, the Workman failed to prove his claim that he was terminated in contravention of provision of Sec.25F of
the I.D. Act, 1947 as he failed to establish his plea by any oral or documentary evidence that he had worked for 240
days continuously in a twelve months of calendar year just preceding from date of termination i.e., 31.3.1997.
32.
Further, perusal of the order dated 25.3.1997 goes to reveal that the Chief Branch Manager, State Bank of
India has issued the letter to Zonal Office with direction to all its branches to this effect that they have been advised
by the DGM, Zonal Office, Hyderabad that as both the panel of temporary employees of 1989 and daily wagers/casual
labour of 1992 will lapse on 31.3.1997 it has been decided by central office not to make any temporary appointments
in messengerial cadre from 1.4.1997, therefore it was directed to issue suitable instructions not to make temporary
appointments from 1.4.1997. There is no mention in this order that the Workman herein has been terminated from
service by this order.
33.
Further, the circular dated 27.3.1997 was issued by DGM, SBI to all branches in commercial network in
respect of the non-appointment of temporary employees in subordinate cadre and it has directed not to make any
temporary employment in the subordinate cadre with effect from 1.4.97 and further, it has directed to ensure that no
temporary/casual/daily basis appointment of the petty cash. Further, it is directed to all Branch Managers that any
deviation in this regard will be viewed seriously. Thus, these circulars do not reflect that the Workman has been
terminated from service by this order.
34.
Similarly, office order dated 31.3.1997 is simply a direction to all branches of the Respondent bank by DGM
that no further daily labour should be engaged or employed. Therefore, the plea of the Workman that he has been
terminated by the aforesaid order dated 25.3.1997, 27.3.1997 and 31.3.1997 from the service by the Respondent is not
acceptable. The evidence adduced by the Workman clearly goes to reveal that he had worked as a daily wager for
which he has been paid wages according to number of working days. As there was an order for prohibition for
engaging temporary workmen, in the bank, therefore, Workman could not be engaged by the Respondent for work
from 1.4.1997 and there after. It is settled law that the daily wagers are engaged by the employer depending upon
the availability of work and as the work was not available the Workman was not engaged further by the Respondent
management. Therefore, the Workman on the ground of number of days he had worked in the Respondent bank
cannot claim any right to reinstate him into the employment. As the Workman failed to prove the mandatory
condition of 240 days of continuous service as required under Sec.25F of I.D. Act, 1947. Therefore, the
disengagement of Workman from work can not be termed in contravention of provision contained under Sec.25F and
25 B of the I.D. Act, 1947.
Thus, this point is answered against the Workman and in favour of Respondent.
35.
Point No.III:- In this context, the Workman has contended that the management failed to implement the
selected panels during its valid tenure. The management adopted the back door methods contrary to the settlements
and filled up the vacancies. The same is evident from the proceedings dated 18.11.1993 a copy of the same is filed in
the material papers and the same may be read as part of the claim statement. Further, it is submitted that management
has to adhere the procedure issued by the Central Government, the instructions dated 16.8.1990 in the year 1995, but
same was not followed in the year 1997 despite there being vacancies. The management has followed the procedure of
calling candidates through employment exchange instead of giving chance to the empanelled candidates like the
Workman herein. The management sent call letters to the similarly situated candidates like the Workman in the month
of June 1997 subsequent to issuance of impugned termination orders. After knowing the fact that they are litigating
the issue by way of dispute, the management has refused to engage those candidates, the copies of call letters issued
are filed herein along with claim petition. The Workman herein reiterates that the panels are meant for absorption but
not for termination. In view of the same a duty is cast upon the Respondent management to engage the empanelled
candidates like the Workman herein even in temporary vacancies till they are absorbed permanently in regular
vacancies.
36.
On the other hand, Respondent has contended that the Federation approached Regional Labour
Commissioner (Central) for implementation of bipartite settlement in respect of the absorption of temporary
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[PART II—SEC. 3(ii)]
employees. The Regional Labour Commissioner (Central) conducted conciliation proceedings and agreement was
arrived at between the Federation and the Management bank. It is submitted that it was agreed between the
Federation and the Management that both the panels of temporary employees and daily wagers /casual labour would
be kept alive upto March, 1997 and the vacancies as agreed to under the afore set out settlements will be filled from
both the lists concurrently. A copy of the conciliation proceedings dated 9.6.1995 signed by the parties to the dispute
is filed as a material paper. Further, it is submitted that the settlement was arrived at and an agreement was signed
between the Federation and the Management bank on 30.7.1996 under Section 2(p) read with Section 18(1) of the
Industrial Disputes (Central) Rules 1957 which is binding on the parties. A copy of this agreement which hereinafter
may be referred to as 5th settlement for brevity, is also filed as a material paper. The 5th settlement dated 30.7.1996
whereunder the earlier four settlements dated 17.11.1987, 16.7.1988, 27.10.1988 and 9.1.1991 were also referred, it
was agreed to, by the Federation and the Management bank that both the panels of temporary employees and daily
wagers/casual employees will be kept alive upto March, 1997 for filling the vacancies existing/arrived at as on
31.12.1994 as per the norms agreed to between the bank and Federation and that thereafter the said panels would
lapse. It was also agreed that within the framework of the above settlements the modalities about drawing names from
either the panel of temporary employees or the panel of daily wagers and casual labour would be decided
administratively on circle to circle basis depending upon the local requirements in consultation with the Federation‘s
affiliate by the Circle management. It was further agreed that all messenger real vacancies/positions in the subordinate
cadre including part-time attendants specifically provided as leave reserve will be filled by the end of 31.3.1997.
Further, Respondent contended that on 27.2.1997 a memorandum of understanding was also signed between the
Federation‘s affiliate and the bank management regarding the fact that the exercise of identifying the messengerial
vacancies as on 31.12.1994 has since been completed by central office and thereby 403 messengerial vacancies were
sanctioned to the circle of the Management bank and it was agreed that these vacancies may be filled from 1989 panel
of temporary employees after effecting conversion from full time non-messengerial staff in the usual manner and the
agreement was reached upon. Further, it was agreed between the Federations affiliate and the management bank
that in terms of the settlement dated 30.7.1996 both the panels of temporary employees and daily wagers /casual
employees would lapse on 31.3.1997.
37.
The Workman has contended that the empanelled list prepared by the Respondent management for
appointment of temporary and daily wage Workers to the permanent post cannot lapse unless until it is exhausted by
appointing all the empanelled persons and it should continue even after 31.3.1997, i.e., the date fixed for the lapse of
panel. It is undisputed that the date of lapse of empanelled list of Workmen has been fixed to 31.3.1997 as
mentioned in the settlement dated 30.7.1996, and agreed between the parties. It is settled law that and once the life
of panel list lapses on the date as agreed between the parties it cannot be extended beyond that date. In the instant
case the panel list of the workmen was valid upto 31.3.1997 in view of the terms and conditions enumerated in the 5th
Settlement entered into between the parties. As the lapse of panel i.e., 31.3.1997 has been agreed by State Bank of
India and State Bank of India Staff Federation through 5th Settlement, the Workman is not competent to challenge the
same.
In this context I would like to take reference of the decision of the apex court in the case of Syndicate Bank and Ors
vs. Shankar Paul and Ors , AIR 1997 SC 3091, therein the Hon‘ble Apex Court have held:-
“Till 1982, the branches of the appellant Bank in Calcutta region were recruiting persons locally to work as
temporary attenders in leave vacancies. In view of the revised procedure prescribed by the Government of India in
respect of such temporary appointments, the Calcutta regional office of the appellant Bank issued a circular to all of
its branches on 14.8.1982, instructing all the branches under it to discontinue the old practice from 1.6.1982 and
appoint only empanelled candidates. The regional office was to prepare a panel of eligible candidates, after calling
names from the local/district employment exchange, and split it up branch-wise. Following that new procedure yearly
panels were prepared thereafter. Names of the Respondents were for the first time included in the panel prepared for
the period 7.2.1987 to 6.2.1988. By its letter dated 7.2.1987 the Bank had informed the Respondents that the panel
was valid for one year only and that inclusion of their names in the panel was not to confer on them any right to seek
permanent appointment in the service of the bank. Considering the object with which the panel was prepared and the
fact that it was an yearly panel expiring on 6.2.1988, we are of the opinion that the Respondents did not get any right,
because of inclusion of their names in the said panel, for permanent absorption in the service of the Bank. Whatever
conditional right they had came to an end with the expiry of the panel. The claim of the Respondents, as contained in
the writ petition was thus misconceived and therefore the learned single Judge and the Division Bench, when it first
decided the appeal, were right in dismissing the writ petition and the appeal respectively.”
Thus, in view of the above law laid down by the Hon‘ble Apex Court and in view of the terms and conditions of the
5th Settlement the contention of the Workman that empanelled list should continue even after 31.3.1997 till the last
Workman in the panel is absorbed is not tenable. The contention of the Workman is baseless in view of recital in
the settlement. Therefore, in view of the fore gone discussion and finding given at Point No. I regarding binding
nature of Settlements and terms and conditions enumerated therein, in view of the provision contained u/s.18(1) of the
I.D. Act, 1947, I am of the considered view that life of panels lapsed on 31.3.1997 in view of terms of settlement
dated 30.7.1996 and plea of Workman that the panel shall continue even after 31.3.1997 till last man absorbed has
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1527
no legal force and same is untenable.
38.
Undisputedly, settlement agreement dated 30.7.1996 was executed between the State Bank of India and
State Bank of India Staff Federation and in that settlement it was agreed that both the panels of temporary employees
and daily wagers/ casual employees will be used for filling vacancies existing as on 31.12.1994 as per the norms
agreed between the bank and the Federation. These empanelled workmen were to be given a chance for permanent
appointment in the bank against vacancies arising up to December 1994 whereas the daily wagers/ casual employees
were to be considered against the vacancies arise from January 1995 to December 1996, whereby the said panel
would lapse. It was agreed that the vacancies falls upto 31.3.1997 shall be filled before the empanelled list is
allowed to lapse. Thus, the claim of the Workman to the post of permanent non-messenger in the Respondent
management was subject to the availability of the sanctioned post and vacancies arising upto 31.3.1997. The
workmen given chance to the permanent post were seniors in number of working days in panel list and Workman
herein was junior to those workmen. Therefore, Workman could not be given absorption to permanent post being
junior to other workmen in the panel list.
39.
In this context the Workman witness WW1 was cross examined by the Respondent counsel and in the cross
examination the witness WW1 states:-
“I applied for appointment as Non-Messenger, in response to the advertisement issued by the bank …. Further,
witness states, The panel was prepared basing upon the number of days of service put in by the temporary employees.
Some of the temporary employees whose names were included in the panel were given regular appointment in the
bank in order of their seniority in the panel…. Further witness states, It is true that I am not having any documents
to show that any of my juniors are continuing in the service of the bank.”
Thus, from the above statement of the Workman witness WW1 it is clear that the panel was prepared in terms of
various settlements entered into between Staff Federation of State Bank of India and State Bank of India and it was
prepared on the basis of number of days of work put in by the temporary employees. Further, the Workman himself
admitted that some of the temporary employees whose names were included in the panel were given regular
appointment in the bank in order of their seniority in the panel and he is not having any document to show that any
person who worked for less number of days than the Workman was given appointment in the bank. Therefore, the
allegation of the Workman that the regular appointment has been made by the bank from the panel list in breach of the
terms of the settlement and violation of seniority of panel list is not proved by this evidence of WW1. Thus, there is
no evidence on record that bank has given the appointment to the temporary employees as well as daily wagers from
the panel list 1989 and 1992 in breach of seniority of the temporary employees in the list. There is no evidence of
jumbling in the panel list to make appointment of any permanent Workman in breach of the seniority. Therefore, I
am constrained to hold that the Respondent Management has appointed the workmen from panel list in order of
seniority and there is no jumbling of workmen in the panel list before it got lapsed on 31.3.1997.
40.
However, Workman has taken the plea that the panels of Workmen for absorption in the employment of the
Respondent banks (panels of temporary employees and daily wagers) has been lapsed on 31.3.1997 in contravention
of terms of settlement as the object of preparing the entire empanelment of temporary and daily wagers was to provide
them permanent employment and till the both the panel lists exhausted the panel list cannot be lapsed on 31.3.1997
and the date of lapsing of the panel on 31.3.1997 has been fixed by the Respondent arbitrarily without any authority.
41.
In this context, the perusal of Settlement dated 30.7.1996 reveals that the 5th Settlement dated 30.7.1996 was
entered under Section 2(p) and 18(1) of I.D. Act, 1947 read with Rule 58 of Industrial Dispute (Central) Rules 1957.
This settlement has been entered into by the competent parties and in this settlement parties thereto agreed that both
the panels of temporary employees and daily wagers/casual employees will lapse on 31.3.1997. Thus the date of
lapse of panel was fixed by both the parties with consensus under the settlement dated 30.7.1996 and same is
binding upon the Workman under the provision of Section 18(1) of I.D. Act, 1947. Moreover, this issue of binding
force of the settlement dated 17.11.1987, 16.7.1988, 27.10.1988 and 9.1.1991 has already been discussed, decided at
finding in Point No.I of this award. However, the legality and validity of the aforementioned settlement has not been
challenged by the Workman before any competent forum. Thus, claim of Workman that the date of lapse of panel i.e.,
31.3.1997 has been fixed arbitrarily by the Respondent bank is untenable. As regard the claim of Workman for his
absorption to the permanent post it is settled law that the Workman can not claim his regularization to permanent
post merely on the basis of number of working days.
42.
In this context the reference of the decision of Hon‘ble Supreme Court in the case of Oil and Natural Gas
Corporation vs Krishan Gopal 2020(3) SCALE 272, date of decision 7.2.2020 is relevant therein Hon‘ble
Supreme Court have has laid down principle regarding regularization of the Workman on permanent posts. Hon‘ble
Supreme Court have laid down the prepositions of regularization of the workmen to permanent post is as under:-
―(i) Wide as they are, the powers of the Labour Court and the Industrial Court cannot extend to a direction to order
regularisation, where such a direction would in the context of public employment offend the provisions contained
in Article 14 of the Constitution;
1528
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
(ii) The statutory power of the Labour Court or Industrial Court to grant relief to workmen including the status of
permanency continues to exist in circumstances where the employer has indulged in an unfair labour practice by not
filling up permanent posts even though such posts are available and by continuing to employ workmen as temporary
or daily wage employees despite their performing the same work as regular workmen on lower wages;
(iii) The power to create permanent or sanctioned posts lies outside the judicial domain and where no posts are
available, a direction to grant regularisation would be impermissible merely on the basis of the number of years of
service;
(iv) Where an employer has regularised similarly situated workmen either in a scheme or otherwise, it would be open
to workmen who have been deprived of the same benefit at par with the workmen who have been regularised to make
a complaint before the Labour or Industrial Court, since the deprivation of the benefit would amount to a violation of
Article 14; and
(v) In order to constitute an unfair labour practice under Section 2(ra) read with Item 10 of the Vth Schedule of the ID
Act, the employer should be engaging workmen as badlis, temporaries or casuals, and continuing them for years, with
the object of depriving them of the benefits payable to permanent workmen.
Thus, in view of the principles laid down by the Hon‘ble Supreme Court as discussed above, in the instant matter the
Workman utterly failed to prove his claim by adducing any documentary or oral evidence that the employer has
indulged in unfair labour practice by not filling the permanent posts even though such posts are available and by
continuing to employ workmen as temporary or daily wage employees despite their performance was the same work,
as regular workmen on lower wages.
43.
Respondent has contended that all the vacancies exist and arise upto 31.3.1997 has been filled up from the
panel list in order of seniority and no vacancy exists or arises as on 31.3.1997 remained unfilled. Further, it is
contended that as per terms of settlement the life of panel lists has been lapsed on 31.3.1997, hence, there is no
occasion to extend the life of panel lists beyond 31.3.1997. However, the workman failed to prove contrary by any
evidence to the aforesaid contention of the Respondent that the vacancies were existing as on 31.3.1997 and the
workman was not given absorption to the permanent post in order of his seniority. It is settled law that the power to
create permanent or sanctioned post lies outside the judicial domain and where no posts are available, a direction to
grant regularization would be impermissible merely on the basis of the number of years of service. Therefore, the
claim of the workman on this ground also not acceptable.
44.
Further, as per the of settlement, panel was prepared for absorption of the workmen on the permanent posts
has already been lapsed on 31.3.1997 and the vacancies existing and arising upto 31.12.1994 and upto 31.3.1997 as
settlement dated 30.7.1996 has been filled up from the panel by appointing the workmen as per seniority in the panel
list. Workman witness WW1 in his cross examination has himself admitted this fact that, some of the temporary
employees whose names were included in the panel were given regular appointment in the bank in order of their
seniority in the panel. The Workman failed to show that there was any breach of terms of settlement has been
committed by the Respondent in appointment to permanent post from aforesaid panel list.
45.
As discussed in preceding paragraph of this Award, the life of the panel has not been extended beyond
31.3.1997, by any further settlement hence, the panel list in which name of the Workman was included got expired
on 31.3.1997. It is not the case of the Workman that Respondent has regularized similarly situated workmen either in
the scheme or otherwise and the Workman has been deprived of same benefit on par with those workmen or the
vacancies remained unfilled on the date of lapse of panels i.e., 31.3.1997, Industrial Tribunal has no jurisdiction to
extend the date of lapse of panel i.e., 31.3.1997. This Tribunal can not order for regularization of workmen to the
permanent post in contravention of the provision of Article 14 of the Constitution of India.
In the case of Mahboob Deepak vs. Nagar Panchayat Gajraula & Anr, Civil Appeal No.5875/2007 date of
judgement 13.12.2007, Hon‘ble Supreme Court have held:-
“8. Respondent is a Local Authority. The terms and conditions of employment of the employees are governed by a
statute and statutory rules. No appointment can be made by a Local Authority without following the provisions of the
recruitment rules. Any appointment made in violation of the said rules as also the constitutional scheme of equality as
contained in Articles 14 and 16 of the Constitution of India would be a nullity.
9. Due to some exigency of work, although recruitment on daily wages or on an ad hoc basis was permissible, but by
reason thereof an employee cannot claim any right to be permanently absorbed in service or made permanent in
absence of any statute or statutory rules. Merely because an employee has completed 240 days of work in a year
preceding the date of retrenchment, the same would not mean that his services were liable to be regularized.”
Therefore, in view of the law laid down by the Hon‘ble Apex Court, the claim of the Workman for absorption merely
on the basis of number of day of work in the Respondent bank Branch is not acceptable. As regard plea of the
Workman that the Workman should have been given employment even after 31.3.1997 as temporary Workman, it is
the discretion of Respondent to engage the Workman depending upon availability of work and this Tribunal can not
direct the Respondent to engage the Workman in the absent of such rule/scheme.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1529
46.
In view of principle laid down by Hon‘ble Apex Court as discussed above, in the instant matter Workman
utterly failed to establish the fact of rendering continuous service for a period of 240 days of service within a period
of 12 calendar months commencing and coming backward from relevant date i.e., the date of retrenchment, if has he
would be denied to be in continuous service for a period of one year. Therefore, the provision contained under
Sec.25F of retrenchment is not applicable to Workman.
Counsel for Workman has relied upon number of decisions of Hon‘ble High Court and Hon'ble Supreme Court and
few of them are discussed herein:-
In the case of F.C.I., vs. Kamdhenu Cattle Feed Industries 1993 (1) SCC 71, therein Hon‘ble Supreme Court have
held: -
“7. In contractual sphere as in all other State actions, the State and all its instrumentalities have to conform to Article
14 of the Constitution of which non-arbitrariness is a significant facet. There is no unfettered discretion in public law:
A public authority possesses powers only to use them for public good. This impose the duty to act fairly and to adopt a
procedure which is `fairplay in action'. Due observance of this obligation as a part of good administration raises a
reasonable or legitimate expectation in every citizen to be treated fairly in his interaction with the State and its
instrumentalities, with this element forming a necessary component of the decision-making process in all State
actions. To satisfy this requirement of non- arbitrariness in a State action, it is, therefore, necessary to consider and
give due weight to the reasonable or legitimate expectations of the persons likely lo be affected by the decision or else
that unfairness in the exercise of the power may amount to an abuse or excess of power apart from affecting the bona
fides of the decision in a given case. The decision so made would be exposed to challenge on the ground of
arbitrariness. Rule of law does not completely eliminate discretion in the exercise of power, as it is unrealistic, but
providers for control of its exercise by judicial review.”
In the case of State Bank of India, R.O., Vijayawada vs. Industrial Tribunal, Hyderabad WP No.193/1997,
therein Hon‘ble High Court have held,
―Sri Krovvidi Narasimham, the learned counsel for the 2nd respondent contends, supporting the award that it was a
permanent vacancy and even though the 2nd respondent was appointed on temporary basis, his services were not
liable to be terminated and he was to be regularised into service on permanent basis. Shastry award warrants that no
temporary appointment can be made to a permanent post. But the matter is now covered by two division bench
judgements dated 28.11.1986 in W.A. No.791 of 1986 and 25.8.1987 in W.A. No.270 of 1982. The ratio decided in the
two judgements is to the effect that there cannot be any mandate to appoint employees on permanent basis when the
requirement was for appointment on temporary basis. But it is held in the said judgements that when a temporary
appointee is ousted from service and not for misconduct and, if again temporary appointment is to be made, then, the
case of such temporary appointee who was ousted, has got to be considered in accordance with Sec. 25-H of
the Act.”
In the case of State of Haryana and others vs. Piara Singh and others. 1992 (4) SCC 118, therein Hon‘ble
Supreme Court have held: -
“49. If for any reason an adhoc or temporary employee is continued for a fairly long spell, the authorities must
consider his case for regularization provided he is eligible and qualified according to the rules and his service record
is satisfactory and his appointment does not run counter to the reservation policy of the state.”
In the above cited judgements by the Workman the facts of the case are different hence do not apply to instant case of
Workman.
47.
On the other hand, in support of his contention Respondent has examined witness MW1 and MW1 in chief
examination states that, Settlements i.e., on 17.11.1987, 16.7.1988, 27.10.1988, 9.1.1991 were entered into between
the SBI and SBI Staff Federation for filling up of the vacancies that arise up to 1994 for those temporary employees
who has worked on scale wages. Further, MW1 states that two different panels for messengers and non-messengers
as per the eligibility criteria prescribed by the bank. There are four modules in Andhra Pradesh, and they are
Hyderabad, Tirupathi, Vijayawada and Visakhapatnam. MW1 states that the temporary employees so empanelled
were given permanent absorption depending upon the vacancies so arise strictly in terms of the settlement. MW1
states that on 9.6.1995 conciliation proceeding was held before the RLC(C), Hyderabad and in said proceedings it was
decided that the panels will be kept live up to 31.3.1997 and vacancies will be filled from both the lists concurrently.
A copy of the said minutes of proceedings is Ex.M5. Further, MW1 states that on 30.7.1996 another settlement was
entered between the SBI and All India SBI Staff Federation providing for filling up of the vacancies arising up to
December 1994 in respect of subordinate cadre and daily wage /casual wage employees out of panel so prepared were
to be considered against vacancies arising from January 1995 to December 1996, thereafter the said panels lapse.
MW1 states that it was also agreed that all the non- messenger positions in subordinate cadre including part time
attendants specially provided as leave reserve will be filled before 31.3.1997 and as regards to non-messengerial
positions it is agreed that all such posts sanctioned and fallen vacant up to 31.3.1997 shall be filled before the
empanelled list is allowed to lapse. Thus, in both the cases empanelled list were lapsed on 1.4.1997. Ex.M6 is the
1530
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
copy of the settlement dated 30.7.1996. Further, witness states that on 27.2.1997 a memorandum of understanding
was reached between the SBI and SBI Staff Federation providing that both the panels above mentioned will lapse on
31.3.1997. Ex.M7 is the copy of the memorandum of understanding and Ex.M8 is the copy of the statements giving
the particulars of 1989 non-messenger panel, Ex.M9 is the copy of the statement of 1989 non- messenger panel,
Ex.M10 is the copy of statement of 1992 panel. Further, witness states that petitioner was included in the 1989 panel.
As the existing vacancies at that time were exhausted and his turn did not come, he could not be given permanent
employment in the bank as per the agreements. All the appointments were made strictly in accordance with the
settlements reached from time to time between SBI and SBI staff federation and as per seniority, number of days of
temporary service put in by them in the bank in the given period. Further, MW1 states petitioner was not sponsored
by any employment exchange he did not undergo the regular process of selection required for appointment as a
regular non-messenger the petitioner has not worked for 240 days in any year in his entire temporary service in the
bank. The petitioner and other temporary employees were terminated from service by the bank. Further, MW1 states
that the vacancies were filled up on regular basis with the temporary employees from the panels and these panels were
expired in terms of the settlements so reached and there were no vacancies to absorb such employees. Thus, witness
MW1 has proved the documents, Ex.M1 to Ex.M12 and also contentions made in the counter. However, MW1 was
cross examined by the Petitioner Counsel. But nothing has been elicited in his cross examination so as to discredit
the testimony of the witness MW1 as regards the date of lapse of both the panels on 31.3.1997 and reasons assigned
for non-absorption of the Petitioner from the panel list to the permanent post. Moreover, the witness MW1 was re-
examined by the Respondent and the witness MW1 states that panels were expired in terms of the settlement send
absorptions to the extent of the available vacancies were made. There was no termination of any temporary messenger
as such, but their services were not utilized after the cutoff date as the available vacancies were already filled up and
most of these Petitioners were not in the service of the bank as on the date of the expiry date of the panels. Therefore,
in view of the aforesaid testimony of the MW1 in re-examination in the absence of cross examination remained
uncontraverted, the claim of the Workman that he was entitled for absorption in permanent post in the branch of
Respondent Management on the basis of panel list is found not established.
This point is answered against the Workman.
48.
Point No. IV: -In view of the discussion and finding given at Point Nos. I, II and III, the Workman is not
entitled for any relief and claim statement of Workman sans merit and liable to be dismissed.
This Point is answered accordingly.
ORDER
In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the
services of Smt. N. Pushpa Ex. Messenger by way of oral orders w.e.f. 31.3.1997 is justified. Hence, the Petitioner is
not entitled for any relief as prayed for. The claim statement filed by Workman sans merit, hence, dismissed.
Reference is answered accordingly.
Award is passed accordingly. Transmit.
Typed to my dictation by Smt. K. Phani Gowri, Personal Assistant, transcribed by her, corrected and signed
by me on this the 3rd day of February, 2026.
IRFAN QAMAR, Presiding Officer
Appendix of evidence
Witnesses examined for the
Witnesses examined for the
Petitioner
Respondent
WW1: Smt N. Pushpa
MW1: Sri Aluru Rama Rao
Documents marked for the Petitioner
Ex.W1: Photocopy of service certificate
Ex.W2: Photocopy of notification
Ex.W3: Photocopy of interview call letter
Ex.W4: Photocopy of panel list
Ex.W5: Photocopy of service certificate
Ex.W6: Photocopy of service certificate
Ex.W7: Photocopy of service certificate
Ex.W8: Photocopy of service certificate
Ex.W9: Photocopy of service certificate
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1531
Ex.W10: Photocopy of notification of vacancies issued by Respondent bank
Ex.W11: Photocopy of the circular issued by bank
Documents marked for the Respondent
Ex.M1:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.17.11.87
Ex.M2:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.16.7.88
Ex.M3:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.27.10.1988
Ex.M4:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.9.1.1991
Ex.M5:
Photocopy of conciliation proceedings before the Regional Labour Commissioner(C) dt.9.6.1995
Ex.M6:
Photocopy of settlement between Respondent and All India State Bank of India Staff Federation
dt.30.7.1996
Ex.M7:
Photocopy of Memorandum of understanding dt. 27.1.1997
Ex.M8:
Photocopy of statements giving the particulars of 1989 messenger panel.
Ex.M9:
Photocopy of statement of 1989 Non-messenger panel
Ex.M10:
Photocopy of statement of 1992 panel
Ex.M11:
Photocopy of order of Hon‘ble High Court in WA No.86/98 dt. 1.5.98
Ex.M12:
Photocopy of order in SLP No.11886-11888 of 1998 dated 10.8.98.
नई ददल्ली, 6 मार्च, 2026
का.आ. 314.—vkS|ksfxd fookn vf/kfu;e] 1947 (1947 dk 14) dh /kkjk 17 ds vuqlj.k esa] dsUnzh;
ljdkj एस.सी.सी.एल.ds izca/kra= ds lac) fu;kstdksa vkSj muds deZdkjksa ds chp] vuqca/k esa fufnZ’V vkS|ksfxd fookn esa
औद्योजगक न्यायाजधकरण-सह-श्रम न्यायालय-सह- अजतररि। जिला. एवं सत्र न्यायालय, गोदावरीखानी ds iapkV
(ृहर्ान
. 57/2025) dks izdkf'kr djrh gS] tks dsUnzh; ljdkj dks 06
dks izkIr
gqvk FkkA
[सं. एल-22013/01/2026-आई आर(सीएम- II)]
सलोनी, उृ जनदेिक
New Delhi, the 6th March, 2026
S.O. 314.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (ID. No. 57 / 2025) of the INDUSTRIAL TRIBUNAL-CUM-LABOUR
COURT-CUM- ADDL. DIST. & SESSIONS COURT, GODAVARIKHANI as shown in the Annexure, in the
industrial dispute between the Management of S.C.C.L. and their workmen, received by the Central Government
on 06/03/2026
[No. L-22013/01/2026 – IR (CM-II)]
SALONI, Dy. Director/Link officer
ANNEXURE
BEFORE THE CHAIRMAN, INDUSTRIAL TRIBUNAL-CUM-LABOUR COURT-CUM- ADDL. DIST. &
SESSIONS COURT, GODAVARIKHANI.
1532
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
PRESENT:- SRI Dr.T.SRINIVASA RAO,
CHAIRMAN-CUM-PRESIDING OFFICER.
THURSDAY, ON THIS THE 12th DAY OF FEBRUARY, 2026.
I.D.No.57 of 2025
Between:-
Sattu Srinivas, S/o. Rayalingu, Age:39 Years, E.C.No.0991049, Ex-Badli Filler, R/o.H.No.7-1-269/1, Opp:Qr.No.T2-
247,G.M. Office Colony, Post: Godavarikhani, District Karimnagar-505 209 (TS).
…Petitioner/Workman
A N D
1.
The Superintendent of Mines, Godavarikhani No.2A-Incline, Singareni Collieries Company Limited,
Ramagundam Area-1, Post Godavarikhani, District Karimnagar-505 209, (TS).
2.
The General Manager, Godavarikhani No.2A-Incline, Singareni Collieries Company Limited, Ramagundam
Area-1, Post Godavarikhani, District Karimnagar-505 209, (TS).
3.
The Chairman & Managing Director, Singareni Collieries Company Limited, Post Kothagudem, Dist:
Khammam (TS).
...Respondents/Management
This case coming before me for final hearing in the presence of Sri D.Anjaiah, Advocate for the Petitioner
and of Sri T. Ravinder Singh, Advocate for the Respondents; and having been heard and having stood over for
consideration till this day, the Tribunal delivered the following:
-: AWARD :-
This is a petition filed U/Sec.2-A (2) of I.D. Act, 1947 praying to set aside the dismissal order
dt.24/26.04.1998 issued by Respondent No.2 and to direct the respondents‘-company to reinstate the petitioner into
service with continuity of service, all other consequential attendant benefits and full back wages.
2. The alpha and omega of the case of the petitioner is as follows:-
2(a).
The petitioner was appointed as Badli Filler in the respondents‘ company during the year 1996 under
dependant employment scheme and he discharged his duties to the utmost satisfaction of his superiors without any
kind of adverse remarks. While he was working under the control of the Respondent No.1, due to underground
atmosphere and coal dust, he suffered from severe Typhoid and ill-health and unable to attend to his duties regularly.
Further, he sustained injuries to his knees and was compelled to undergo prolonged treatment in the Govt. Hospital,
Karimnagar. But, the Respondent No.1 issued charge sheet dt.11.11.1997 to him alleging that the petitioner absented
to duties from January to September 1997:-
“25.25: Habitual late attendance or habitual absence from duty without sufficient cause from
January 1997 to September 1997”.
2(b). The petitioner submitted satisfactory explanation to the charge sheet and submitted Medical Certificate from
07.07.1997 to 20.01.1998 issued by the Govt. Hospital, Karimnagar and deposed the true facts before the Enquiry
Officer and requested him to exonerate him. But, the respondents have unjustly victimized the petitioner and there is
no deliberate absenteeism on his part and there is reasonable and sufficient cause for the alleged absence of the
petitioner during charge sheet period. Further, he submitted detailed representation dt.25.03.1998 on the enquiry
findings and requested the respondents to provide him an opportunity to serve the Company. But, the Respondent
No.2 unjustly dismissed him from service by Ref. dt.24/26.04.1998 with effect from 30.04.1998 straight away,
without issuing any prior Show Cause Notice proposing the said capital punishment of dismissal from service.
2(c).
Further, there is sufficient and reasonable cause for the petitioner for not attending to duties during the charge
sheet period. As such, it cannot be termed as serious misconduct warranting the extreme punishment of dismissal from
service. Imposing the capital punishment of dismissal from service without any prior show cause notice is against the
mandatory provisions and contrary to the principles of natural justice. Further, extremely harsh punishment of
dismissal from service is highly excessive and shockingly disproportionate and it amounts to economic death of the
petitioner, which is not at all warranted.
2(d). Ever since his unjust dismissal from service, the petitioner could not secure any other alternative job & remained
unemployed. He lost lively hood and incurred huge debts for his medical and domestic expenses. He is facing lot of
hard ship and misery to eke out lively hood for all his family members. The limitation of 3 years was brought into
force as per the Amendment Act 2010 and the petitioner was dismissed from service prior to the said Amendment Act.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1533
As such, the limitation period is not applicable to this case of 1998. Due to domestic and financial problems, the
petitioner could not approach this Hon‘ble Court earlier; and the delay if any in filing this case may please be
condoned by this Hon‘ble Court. This Court has got every jurisdiction to try the case U/Sec.2-(A) (2) of I.D. Act, as
per the settled law declared by the Hon‘ble High Court. Therefore, he prays to set aside the dismissal order issued by
the Respondent No.2 and to direct the Respondents‘-Company to reinstate him into service with continuity of service,
all consequential attendant benefits and full back wages.
3. On the other side the Respondents/Management filed counter by admitting the employment of the
Petitioner/Workman with the Respondents‘-Company, however, inter-alia contended that the at the outset the
Respondent No.1 to 3 denies all the material averments of the Petition, except those which are specifically admitted
herein. It is to further submit that in view of the settled Legal Position the present I.D is hopelessly barred by
Limitation. The petitioner was dismissed w.e.f., 30.04.1998 vide Lr.No. GDK- 2A/02-0/868, dt.29.04.1998 and he
ought to have filed the Industrial Dispute long back. But, he filed this I.D in the month of July, 2025 after a lapse of
(27) years from the date of dismissal Order U/Sec.2-(A)(2)(A.P.Amendment Act No 32 of 1987) of Industrial Dispute
Act,1947 trying to bring the I.D within the period of Limitation which otherwise is barred by Limitation.
3(a). The Respondent Company is a Government Company incorporated under the provisions of Companies Act, 1956
for carrying out the business of winning and selling the coal. Since the coal mining industry is a central subject,
Appropriate Government for this Respondent management is Central Government. As per Sec.7A (I) of Industrial
Disputes Act 1947, Central Government established an Industrial Tribunal-cum-Labour Court at Hyderabad from
29.12.2000 for adjudication of industrial disputes and the Petitioner ought to have approached the said tribunal for the
redressal of grievance, if any. But, he conveniently avoided filing his petition before the Tribunal established by the
Central Govt., for the reasons best known to him. The petition is not maintainable under law and the same may be
dismissed on this ground alone. The maintainability of the dispute raised by the petitioner before this Court may be
decided as preliminary issue before proceeding with the trial. The repealing and Amending Act No.23 of 2016 is not
helpful to the petitioner as the same was incorporated in to the parents Act. Hence this petition filed by the Petitioner
is not maintainable and liable to be dismissed.
3(b). Without prejudice to the preliminary objection raised as above, an underground employee is required to put in
minimum musters of (190) and surface employees is to put in (240) musters. The petitioner was initially appointed
into the services of the Respondent Company Badli Filler on 28.07.1996 under Dependent Employment of his father
Sri. Sattu Rayalingu and he worked as Badli Filler at GDK 2-A Incline, RG-I Area of the Respondent Company. He
failed to put in required (190) Musters of attendance in the year 1997; as such, the Respondent Company was
constrained to issue charge sheet dt.11.11.1997, for unauthorized absenteeism under Company Standing Order. The
relevant clause of Standing orders reads as under:
25.25: Habitual Late attendance or habitual absence from duty without sufficient cause.
A written enquiry was conducted, in which he fully participated in the enquiry proceedings dt.03.02.1998. He was
given full and fair opportunity to defend his case. The charges leveled against the petitioner were proved and he was
issued a show cause notice dt.19/20.03.1998 to submit his explanation within (07) days. He submitted explanation
dt.25.03.1998 against findings of enquiry officer; however it does not deserve any consideration he was dismissed
vide letter dt.24/26.04.1998.
3(c). Further, the Respondent Company is providing Medical facilities as In and Out-patients to its employees and
their dependants through its Hospitals and if required the patients will be referred to higher centers for further
treatment/diagnosis. But, the Petitioner has not reported sick in Company‘s Hospitals during the entire absenteeism
period. Even though if he was availing treatment elsewhere, it was his obligation to inform the employer. Moreover,
the respondent company has chain of hospitals and refers to super specialty hospitals for better treatment and
Company will bear all the expenditure. The Enquiry Officer has conducted enquiry proceeding duly following the
principles of natural justice and by affording full and fair opportunity to the petitioner to defend his case. Show cause
notice along with enquiry report and enquiry proceedings were sent vide letter dt.19/20.03.1998 to submit his
explanation within (07) days. As the petitioner‘s explanation against findings of enquiry officer does deserve any
consideration, he was dismissed vide letter dt.24/26.04.1998. He being habitual and chronic absentee, the Respondent
was constrained to dismiss him due to his misconduct. Further, as per Article-311 (1) of Constitution of India, issue
of show cause notice proposing punishment is not a requirement of principles of natural justice. Moreover, the
respondent company‘s standing orders which were approved as per the provisions of Industrial Employment (Standing
Orders) Act, 1946, do not speak about issue of show cause notice proposing the punishment to be imposed on the
delinquent employee. Hence, there is no victimization nor the punishment of dismissal is harsh. The Respondent
Company was very much correct in imposing the punishment of dismissal because of the misconduct and the reckless
attitude of the Petitioner.
3(d). Further, the Respondents‘-Company employs more than 43,600 persons and the production results will depend
upon the overall attendance and performance of every individual. If anyone remains absent without prior sanction of
leave or without any justified cause, the work to be performed gets effected. Such unauthorized absence creates
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[PART II—SEC. 3(ii)]
sudden void, which at times is very difficult to fill-up with substitute, and there will be no proper planning and already
planned schedules get suddenly disturbed without prior notice. For that reason every time the company inform its
workers to intimate prior to the unit in-charge so that they may arrange substitute and failing to inform will result in to
production and burden on other employees. The Respondent/ Management cannot be held responsible for the alleged
debts and unemployment and the other allegations of the petition are denied. Hence, the Respondents prayed to
dismiss the petition, without granting any relief to the petitioner.
4. In support of the claim of the Petitioner/Workman Ex.W-1 and Ex.W-2 were marked and on the other side for the
Respondents‘-Company Ex.M-1 to Ex.M-5 were marked, with consent.
5. Arguments of the learned counsel for Petitioner/workman as well as the learned standing counsel for the
Respondents/ Management heard. Perused the record produced before this Tribunal, their rival arguments and
citations.
6.
Now the points for consideration are:-
1.
Whether this Tribunal has jurisdiction to entertain this I.D; and whether the domestic enquiry
conducted by the respondents is held valid or not?
2.
Whether the charge leveled against the petitioner is proved basing on evidence or not?
3.
Whether the dismissal order dt.24/26.04.1998 is liable to be set aside, if so, the petitioner is entitled to
reinstatement with continuity of service with all attendant benefits and full back wages?
If not to what relief is the worker entitled to?”
7. From the pleadings of the Petitioner/Workman and Respondents‘ Company, these are the admitted facts that the
petitioner/ workman worked as Badli Filler in the Respondents‘-Company and he was dismissed from service. Now
coming to the documentary evidence on both sides, on behalf of Respondents‘/ Company, Ex.M-1 to Ex.M-5 were
marked, wherein, Ex.M-1 is attested copy of Enquiry proceedings and Ex.M-2 is attested copy of Enquiry Report.
Ex.M-3 is attested copy of Notice to the petitioner vide Lr.No. P.RG.I/32/1444. Ex.M-4 is attested copy of Dismissal
Order of the Petitioner vide Lr.No.P.RG.I/32/2025. Ex.M-5 is attested copy of Name Removal order of the petitioner
vide Lr.No.GDK.2A/ 02-0/868. On the other side, the petitioner got marked Ex.W-1 and Ex.W-2 on his behalf,
wherein, Ex.W-1 is Dismissal Order passed by the respondent No.2 and Ex.W-2 is O/c of demand letter with RP
receipt & postal acknowledgement. The above documents of both sides are not in much dispute by either side.
8. Here, the learned standing counsel for the respondents‘-company has strenuously argued and raised a Preliminary
Objection in the Counter that since the coal mining industry is a central subject the Appropriate Government for
Respondent/ Management is Central Government, which established Central Govt. Industrial Tribunal, at Hyderabad
for adjudication of Industrial Disputes and the petitioner ought to have approached the said Tribunal for the redressal
of grievance, if any. But, the Petitioner conveniently avoided filing his petition before the Tribunal established by the
Central Government and approached this Tribunal; hence it is not maintainable under law and the same may be
dismissed on this ground alone.
8(a). Further, the learned counsel for the respondents-company strenuously contended that the petitioner raised the
dispute after long lapse of more than 27-years. The Industrial Disputes (Amendment) Act 2010 was incorporated into
parents Act i.e., in Industrial Disputes Act 1947 by inserting Sec.2 (A) (2) and (3). Hence, the repealing and
Amending Act No.23 of 2016 is not helpful to the petitioner hence the petition filed by the Petitioner is not
maintainable and liable to be dismissed. Therefore, he prayed to dismiss the petition on the ground of maintainability
itself and not to grant any relief to the petitioner.
8(b). The learned standing counsel for the respondents‘-company without prejudice to the above preliminary
objection; has put forth and set forth that the petitioner was appointed as Badli Filler on 28.07.1996 and he being an
underground employee is expected to put minimum (190) Musters in a calendar year. But, he was not regular to his
duties and did not put-in (190) musters from the date of his appointing year to till his dismissal from the services.
During the year 1997 the petitioner has not put-in (190) musters for which he was issued with charge sheet. If he was
really suffering from ill-health, it becomes his primary responsibility to report sick in Colliery Hospital or he should
have informed to unit officers about his incapability to attend duties and he would have got leave or loss of pay leave
but he did not inform anything. The Respondent Company employs more than 43,600 persons and the production
results will depend upon the overall attendance and performance of every individual. If anyone remains absent without
prior sanction of leave or without any justified cause, the work to be performed gets effected. Such unauthorized
absence creates sudden void, which at times is very difficult to fill-up with substitute, and there will be no proper
planning and already planned schedules get suddenly disturbed without prior notice. For that reason every time the
company inform its workers to intimate prior to the unit in-charge so that they may arrange substitute and failing to
inform will result in to production and burden on the other employees.
8(c). The learned standing counsel for the respondents‘-company further argued that enquiry into the charges leveled
against the petitioner was conducted by the Enquiry Officer on 03.02.1998 in which the Petitioner has fully
participated in the enquiry proceedings. He was given full and fair opportunity to defend his case. In his deposition
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1535
before the Enquiry Officer, the petitioner admitted charges mentioned in the charge sheet. He accepted his mistake
that he remained absent during the dates mentioned in the charge sheet due to Jaundice and Typhoid. However, he did
not submit any other documentary evidence about the alleged ill-health which prevented him from remaining absent
from duties during entire absenteeism period. As the charges were proved against the petitioner, show cause notice
was issued to submit his explanation within 7-days on the findings of the E.O.
8(d). The learned standing counsel for the respondents‘-company further put forth and set forth that the petitioner was
given number of opportunities to correct himself. But, even after giving opportunities to improve his attendance, the
petitioner continued his absenteeism and there is no improvement in the attendance. The petitioner‘s misconduct has
compelled the Respondent/ Management to impose penalty of dismissal which cannot be termed as unjust. The
petitioner not utilized the opportunities given by the company and not improved his attendance. Hence, the
Respondent Company dismissed him from service vide order dt.24/26.04.1998, which is justified. Hence, he prayed to
dismiss the petition, without granting any relief to the petitioner/workman.
9. Per contra, on the point of jurisdiction and preliminary objection, the learned counsel for the Petitioner/workman
has strenuously put forth and set forth that as per the Division Bench Judgment of the Hon‘ble High Court reported in
1997(III) LLJ (Supp.)11, Between: U. Chinnappa Vs. Cotton Corporation of India, this Tribunal has jurisdiction over
Singareni Collieries Company Ltd., to entertain the Industrial Dispute raised by the petitioner/workman though the
appropriate Govt. is Central Govt., The petitioner need not raise the Industrial Dispute compulsorily before the Central
Govt. Industrial Tribunal, Hyderabad alone, as contended by the respondents‘ company. Hence, this I.D petition filed
by petitioner/ workman is well maintainable before this Tribunal for adjudication of the dispute on merits.
9(a). Further, regarding the above contention of learned counsel for the respondents‘/company that this I.D. is not
maintainable as barred by Limitation, the learned counsel for the petitioner/ workman strenuously contended that
though the petitioner was dismissed from service by order dt.24/26.04.1998 and he moved before the respondent for
7-years through union leaders. After moving from pillar to post, the petitioner having lost all his hopes approached
this Tribunal and filed the I.D. petition on 29.10.2015. But, it was returned on the Bench by docket order
dt.01.08.2019 and later on re-submission on 03.07.2025, this Tribunal registered the same on 14.07.2025. There is
continuation of cause of action, the delay of 7-years cannot be attributed to the petitioner and hence, the dispute is
alive. Apart from the above, he contended that I.D. (Amendment) Act, 2010 as whole was repealed by the Central
Government long back in the year 2016, vide the Gazette of India dated 09th May, 2016; and hence limitation period is
not applicable to the provisions of Industrial Disputes Act. Therefore, this petition is not barred by limitation and
deserved to be adjudicated by this Tribunal on merits of the case.
9(b). The learned counsel for the Petitioner/workman further strenuously put forth and set forth that the
Petitioner/Workman was appointed during the year 1996 as Badli Filler. He suffered from chronic ill-health, Jaundice
and Typhoid and was imparted prolonged medical treatment. But, due to underground work his health was not cured
completely. But, alleging absenteeism to duties during year 2017, the petitioner was dismissed from service vide Ref.
dt.24/26.04.1998. There is sufficient and reasonable cause for the petitioner for not attending to duties during the
above charge sheet period. But without considering the true facts, Respondent No.2 dismissed the petitioner from
service, illegally.
9(c). The learned counsel for the Petitioner/workman further strenuously put forth and set forth that the petitioner
participated in the enquiry, deposed the true facts of suffering from Jaundice and Typhoid. But, the enquiry officer did
not properly appreciate the facts and he gave his vague findings, which are quite biased and perverse. But, respondent
No.2 straight away dismissed him from service vide Ref. dt.24/26.04.1998. No prior Show Cause Notice was issued to
the petitioner proposing the capital punishment of dismissal from service and he was not afforded an opportunity
explain as to why the extreme punishment of dismissal shall not be imposed on him. The petitioner‘s health condition
was badly deteriorated and he suffered from serious ill-health, during the charge sheeted period and there is sufficient
and reasonable cause for not attending to duties during charge sheet period.
9(d).
The learned counsel for the Petitioner/workman further put forth and set forth that imposing the capital
punishment of dismissal from service without any prior show cause notice is against the principles of natural justice.
The extremely harsh punishment of dismissal is highly excessive and shockingly disproportionate, which amounts to
economic death of the petitioner. Ever since his dismissal from service, the petitioner is out of employment and could
not secure any other alternative job in spite of his best efforts. He hails from a very poor family and has no other
source of livelihood. Therefore, he prayed to set aside the dismissal order and to direct the Respondents‘-Company to
reinstate the petitioner/workman into service with continuity of service, all consequential attendant benefits and full
back wages.
POINT No.1:
10. Here, on the point of territorial jurisdiction of this Tribunal, it is settled Law that as per the Division Bench
Judgment of the Hon‘ble High Court reported in 1997(III)LLJ(Supp.)11, Between: U. Chinnappa Vs. Cotton
Corporation of India, this Tribunal has got every jurisdiction to entertain the Industrial Dispute raised by the
petitioner/workman who was an employee of Singareni Collieries Company Ltd., Even though, the Central Govt. is
appropriate Govt., for the respondents‘-Company, the petitioner need not compulsorily raise the Industrial Dispute
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[PART II—SEC. 3(ii)]
before the Central Govt. Industrial Tribunal, Hyderabad, as contended by the respondents‘ company; and he can file
this I.D. case before this Tribunal as well. Hence, the contentions of the respondents‘-company on the point of
jurisdiction of this Tribunal are not sustainable under Law.
10(a). Further, with regard to the contention of delay and barred by limitation, this Tribunal relied on a D.B. Judgment
of the Hon‘ble Supreme Court in Civil Appeal No.2157/1999, dt.08.04.1999 between Ajaib singh vs. Sirhind Co-op.
Marketing-cum-Processing Service Society Ltd., & another, wherein their lordships held that:-
“Article 137 of schedule of Limitation Act not applicable to the proceedings under I.D. Act. The object of Industria
give succor to weaker sections of the society. The emergence of the concept of Welfare State implies an end to exploitati
a corollary to that collective bargaining came into it own. The Legislature had intended to protect workmen against
exploitation by the employer and to ensure termination of Industrial Disputes in a peaceful manner
The object of the Act, therefore, is to give succor to weaker sections of the society which is a pre-requisite for Welf
industrial peace and pre-empt industrial tension, the Act further aims at enhancing the industrial production which is ac
blood of a developing society.
The Act provides a machinery for investigation and settlement of industrial dispute ignoring the legal technicalities
delays, by specially authorized Courts which are not supposed to deny the relief on account of the procedural
10(b). Further, relied on a decision of the Hon‘ble High Court reported in 2012 (1) ALD 220 (DB), wherein their
lordships held that:-
“The Industrial Disputes Act, 1947 is a social welfare legislation, which required to be interpreted keeping in view t
Preamble and Directive principles of State Policy in Part-IV of the Constitution. Merely because workman approached
delay, relief cannot be denied. No indication in the Act that delay extinguishes right conferred on the workmen under I
Labour Court is conferred with very wide discretion U/Sec.11-A from considering the delay on part of workmen in
Section 2-A (2) or Section 10(1) of the Act do not prescribe any period of limitation for raising industrial dispute.
Limitation Act, 1963 has no application (Ajaib Singh’s case supra). Merely because the workmen approached the Ind
delay, the relief cannot be denied. The Act nowhere gives an indication that the delay extinguishes the right conferred o
Industrial Law. The Industrial Court conferred with very wide discretion U/Sec.11-A of the Act, is not precluded from c
on the part of workman in granting relief”.
10(c). Further, the Hon‘ble Gujarath High Court following the Hon‘ble Supreme Court, in a judgment dt.15.02.2020
Between: Dharampur Nagarpalika Vs. Mahendrasinh Narsinh Padhiyar their Lordship have observed that:-
(a)
Law of limitation does not apply to the proceedings under the Industrial Disputes Act, 1947.
(b)
The words 'at any time' used in Section 10 would support that there is no period of limitation in making an
order of reference.
(c)
At the same time, the appropriate Government has to keep in mind as to whether the dispute is still existing
or live dispute and has not become a stale claim and if that is so, the reference can be refused.
(d)
Whether dispute is alive or it has become stale/non-existent at the time when the workman approaches the
appropriate Government is an aspect which would depend upon the facts and circumstances of each case
and there cannot be any hard and fast rule regarding the time for making the order of reference.
Their Lordships have further held that: This Court shall need to regard, of course, the later decision which
speaks of grant of back wages as if he was not illegally terminated. However, the period for which there is no
initiative taken by him from the year 1995 to 2001, the same will have to be treated as dias-non. It is also not
possible for a driver not to be working for all these years with his skill as a Driver and therefore, according
to this Court, C/SCA/2404/2017 JUDGMENT the back wages shall have to be reduced to 80% from the date
of filing of the reference as dias-non.
10(d). Apart from the above, their Lordships of the Division Bench of Hon‘ble Rajasthan High Court in a recent
decision Between: Heera Ram Vs. Assistant Engineer, Irrigation and others, dt.08.02.2023, wherein their lordships
held that:-
…Law can be summarized that there is no prescribed time limit for the appropriate Government to exercise
its powers under Section 10 of the Act. It is more so in view of the language used, namely, if any industrial
dispute exists or is apprehended, the appropriate government “at any time” refer the dispute to a Board or
Court for enquiry. The reference sought for by the workman cannot be said to be delayed or suffering from a
lapse when law does not prescribe any period of limitation for raising a dispute under Section 10 of the Act.
The real test for making a reference is whether at the time of the reference, dispute exists or not and when it is
made it is presumed that the State Government is satisfied with the ingredients of the provision, hence, the
Labour Court cannot go behind the reference. It is not open to the Government to go into the merit of the
dispute concerned and once it is found that an industrial dispute exists then it is incumbent on the part of the
Government to make reference. … we do not think that the delay in the case on hand has been so culpable as
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1537
to disentitle him any relief. We are also satisfied that in view of the details furnished and explanation offered,
the workman cannot be blamed for the delay and he was all along hoping that one day his grievance would be
considered by the Management or by the State Government.”
10(e). It is not in dispute that in the present case on hand, the petitioner was dismissed from service by the Respondent
No.2/ General Manager vide Ref. dt.24/26.04.1998. The learned counsel for the petitioner strenuously contended that
the petitioner moved before the respondents for 7-years through union leaders. After moving from pillar to post, he
lost all his hopes approached this Tribunal and filed the I.D. petition on 29.10.2015. But, it was returned on the Bench
by docket order dt.01.08.2019 and later on re-submission on 03.07.2025, this Tribunal registered the same on
14.07.2025. Thus, there is continuation of cause of action and the dispute is alive. For about 6-years from 1999 to
2015, the petitioner kept quiet and he raised the dispute before this Tribunal during 2015. Hence, there is no abnormal
delay on the part of the petitioner, the dispute cannot be said to be stale or non-existent and the dispute is alive and
deserves to be adjudicated by this Tribunal judiciously.
11. Therefore, in view of the above cited decisions and facts and circumstances of the present case on hand, I am of
the considered view that there is no force in the contention of the learned counsel for Respondents/Company with
regard to delay. Further, it is a fact the whole I.D. (Amendment) Act, 2010 was repealed by the Central Government
vide the Gazette of India dated 09th May 2016 and limitation period is not applicable to the provisions of Industrial
Disputes Act. But, this Tribunal has to mould the relief by considering the facts and circumstances of each case.
Hence, the doubts raised by the learned counsel for the respondents are like that of a “Doubting Thomas”,
which are not real and tangible doubts. Accordingly, it is answered in favour of the petitioner and against the
respondents‘ Singareni Collieries Company Limited.
12.
Further in this matter, initially the petitioner/workman denied the validity and legality of the enquiry report.
But on 20.01.2026, the learned counsel for petitioner filed Memo U/Sec.11-A of I.D Act by accepting the procedure
of domestic enquiry to be fair and valid. Hence, it can be said the Enquiry Officer has followed the principles of
natural justice. Now the next question is, whether the misconduct is proved in the facts of the case and the findings are
not perverse. So, this Tribunal is to re-appreciate the evidence and come to its own conclusion with regard to finding
guilty or not based on evidence. Accordingly, the Point No.1 is answered.
POINT No.2 & 3:
13. In view of the pleadings of the Petitioner/Workman as well as Respondents/corporation as well as in view of the
rival arguments of their respective counsel now this Court will go into the evidence on record. Admittedly, the
petitioner was dismissed from service by Ref. dt.24/26.04.1998 wherein it is alleged that the petitioner was absent
from duty without sanctioned leave or sufficient cause during the year 1997 i.e., for 9-months from January 1997 to
September 1997. From a perusal of the record, it shows that Charge Sheet dt.11.11.1997 was issued to the petitioner.
It is evident from the domestic enquiry proceedings dt.03.02.1998 and enquiry report 04.02.1998 under Ex.M-1 and
Ex.M-2 that the petitioner absented to duties for 9-months from January 1997 to September, 1997. Further, a perusal
of these documents under Ex.M-1 and Ex.M-2 would goes to show that the Petitioner participated in the domestic
enquiry and deposed that he remained absent on the dates as mentioned in the charge sheet and it was his mistake. He
admitted the charges framed against him and pleaded guilty and deposed that due to Jaundice and Typhoid, he could
not attend for his duties during the year 1997. He further admitted that he did not inform the Management in advance
about his absence.
13(a). From the Enquiry Report which is also under Ex.M-2, it is further evident that the petitioner absented to duty
without sanctioned leave and he accepted the charge made under Company‘s standing order 25.25 (Habitual late
attendance or habitual absence from duty without sufficient cause) mentioned in the charge sheet dt.11.11.1997 was
held proved. It appears that the petitioner submitted medical certificate from 07.07.1997 to 24.01.1998, which shows
that he did not attend to his duties from January 1997 to 24.01.1998. The charge sheet period is January to September
1997, but beyond that period, the petitioner remained absent till 24.01.1998. Further vide letter dt.19/20.03.1998, the
petitioner was given another opportunity to submit representation on the enquiry findings report within 7 days. The
dismissal order dt.24/26.04.1998 is marked as Ex.M-4 wherein it shows that considering the charge leveled and
proved against the petitioner being grave and serious, he was dismissed from services of Company w.e.f., 30.04.1998.
13(b). It is clear that the petitioner has not attended to duties during the charge sheet period and the charges were
amply proved against him. Therefore, it can be said that the respondents/ company has no axe to grind against the
petitioner. Hence, this Tribunal has no hesitation to hold that the charge leveled against the petitioner/ workman is
proved and misconduct of the workman is established basing on the evidence and the findings of enquiry officer are
not perverse.
14. Now the question is whether the punishment of removal from service is disproportionate or not?
14(a). It is settled law that the object of I.D.Act is to give succor to weaker sections of the society and it is a social
welfare legislation. Here, there is no “Plumbline Precision” for deciding the proportionality of punishment, which
depends upon the facts and circumstances of each case. The Industrial Tribunal/Labour Court is empowered to
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THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
exercise discretionary powers U/Sec.11-A of Industrial Disputes Act for judicious adjudication of the industrial
disputes. Several factors like nature of duty, past service past conduct, previous penalties if any and the discipline
required to maintain in the department, victimization and plea of the petitioner/workman and the punishment must be
commensurate with the gravity of charge against the petitioner/workman etc., by considering the relevant factors and
mitigating circumstances of each case are to be taken into consideration so as to mould the relief appropriately and
reduce the punishment imposed on the petitioner/workman.
15. Here, the learned counsel for the petitioner/workman submitted that the Petitioner was appointed in the year 2015
and rendered very short service of about 2-years. Wide powers are vested in Labour Court or Tribunal. Labour Court
can temper justice with mercy and give an opportunity to an erring workman to reform himself. The petitioner
remained unemployed from the date of dismissal, he hails from a very poor family, he has got no other livelihood and
facing untold financial problems, and prayed to consider the case U/Sec.11-A of I.D. Act., by granting another
opportunity to serve the Company.
16. Here, this Tribunal relied on a Division Bench Judgment of the Hon‘ble Supreme Court rendered in Civil Appeal
No.2157/1999, dt.08.04.1999 between Ajaib Singh vs. Sirhind Co-op. Marketing-cum-Processing Service Society
Ltd., & another, wherein their lordships held that:-
“The object of Industrial Disputes Act was to give succor to weaker sections of the society. The emergence of the
concept of Welfare State implies an end to exploitation of workman and as a corollary to that collective bargaining
came into it own. The Legislature had intended to protect workmen against victimization and exploitation by the
employer and to ensure termination of Industrial Disputes in a peaceful manner.
“The object of the Act, therefore, is to give succor to weaker sections of the society which is a pre-requisite for
Welfare State. To ensure industrial peace and pre-empt industrial tension, the Act further aims at enhancing the
industrial production which is acknowledged to be life-blood of a developing society. The Act provides a machinery
for investigation and settlement of industrial dispute ignoring the legal technicalities with a view to avoid delays, by
specially authorized Courts which are not supposed to deny the relief on account of the procedural wrangles”.
16(a). Further, in a decision of the Hon‘ble High Court reported in 2012 (1) ALD 220 (DB), wherein their lordships
observed that:-
“The Industrial Disputes Act, 1947 is a social welfare legislation, which required to be interpreted keeping
in view the goals set out in the Preamble and Directive principles of State Policy in Part-IV of the Constitution.
The Labour Court/Industrial Tribunal is conferred with very wide discretion U/Sec.11-A of the Act for granting
appropriate relief”.
17. Here, their Lordships of the Hon‘ble Gujarat High Court in a case rendered on 04.05.1994, Between: Management
of Glaxo India Ltd., Vs. State of Assam and 3 others categorically observed that ―a Labour Court is required to settle
a dispute according to the principles of natural justice, equity and good conscience and law without attaching
undue importance to legal technicalities”.
18. Further, it is well settled law that if the Industrial Tribunal/ Labour Court is satisfied that the punishment imposed
on the petitioner/workman is not justified, the Industrial Tribunal/ Labour Court is clothed with the power to
reappraise the evidence in the domestic enquiry and satisfy itself whether the said evidence relied on by the Enquiry
Officer or Respondents/ Management established the misconduct alleged against the workman. Further, Sec.11-A
comes into effect only at the time when the Industrial Tribunal/Labour Court considers about the punishment to be
imposed. While previously the Industrial Tribunal/Labour Court had no power to interfere with the punishment, it is
now clothed with such a power. Apart from the above, Industrial Tribunal/Labour Court should temper justice with
mercy and not flog the petitioner/ workman to asset our might. The power of ocean does not lie in its tumultuous tides
but in its meditative vastness”. My above view is fortified with the observation of their Lordships of Hon‘ble Madras
High Court in a case Between: High Court of Madras Vs. R.D.Santhana Krishnan dt.21st December, 2021.
19. Here, it is to be noted that the concept of Industrial Dispute is quite broad and with the passage of time its horizon
is being expanded. Further, the disputes are required to be resolved for the purpose of establishing peaceful and
cordial atmosphere in an industry. Peace and harmony are the quintessential aspects which are to be kept in view
while dealing with the “lis” or “controversy” relating to any industry. Apart from the above, whether the impugned
punishment is so disproportionate as to shock the conscience of the Court, has to be decided on the facts of each case,
having due regard to the gravity of misconduct & nature of duties discharged by the delinquent employee.
20. Here, it is pertinent to note that the term ―misconduct‖ is the intentional doing of something which the doer knows
to be wrong, or which he does recklessly, not caring what the result may be. It includes negligence or want of proper
care which an employee is to take. But, it is a fact that “to err is human” and “to forgive is divine”. Keeping the said
spirit into consideration and in the interest of cause of justice, every errant conduct of an employee of an organization
could not be treated as grave misconduct. Further, it is settled law that promoting empathy and understanding by
encouraging forgiveness, which is a divine quality transcending human limitation, should be preferred to anything else
in the given circumstances. My above view is fortified by observation of their Lordships of the Hon‘ble Supreme
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1539
Court in a judgment rendered Between: Ratilal Jhaverbhai Parmar Vs State Of Gujarat dt.21st October, 2024.
21. Further, the Hon‘ble Madras High Court observed in a case rendered in Management of Hyudai Motor India Ltd
Vs. T.Sudhakar ... on 31st January, 2022:
“When scales of justice stands balanced in a given case, the tilt to be exercised should be in favour
of the poor workmen rather than the mighty Managements.”
22. Here, I am of the opinion that for promoting ethical behavior and integrity for Public Servants, the Latin Maxim
(Memento Mori: remember that you must die”) acts as a check against selfish to selfless service. It serves as a
reminder that: ―when office is gone, only the legacy of their character remains”. So, the old Adam or old Man or old-
self of him or her must die. Otherwise, it will kill them. In summary, Memento Mori serves as a sobering, yet
empowering reminder that allows Public Servants to focus on leaving a positive, lasting impact rather than chasing,
selfish and temporary goals.
23. Therefore, by taking a holistic view of the matter, I am of the considered view that the extreme punishment of
dismissal from service imposed by the respondents/company against the petitioner/workman is harsh, disproportionate
and shocks to conscience of this Tribunal, hence, deserves to be modified since the disciplinary authority cannot be
permitted to act arbitrarily and work like a Roman Knight and it cannot be allowed a fight between David and Goliath
as in the present case on hand. Moreover, facts of this case attracts the proverbial saying “Every saint has a past and
every sinner has a future” and Biblical proverbs “Speak up for those who cannot speak for themselves, for the rights
of all who are destitute‖ and “Speak up and judge fairly; defend the rights of the poor and needy.” Further, “Heavens
would not have fallen if one more opportunity is given for the petitioner”.
24. This Tribunal has perused, analyzed and meditated upon the case at hand, the case laws and principles of law
referred above. In view of the above facts and circumstances and keeping in view of the principle “temper justice with
mercy” and to meet the ends of justice, this Tribunal is of the opinion that the punishment of removal from service
imposed on the petitioner is disproportionate and shocks the conscience of this Tribunal and hence, it deserves to be
modified appropriately. It appears from the record that the petitioner rendered very short service of less than 2-years in
the respondents‘ company and he is out of employment ever since his dismissal from service. Hence, this Tribunal is
of the considered view that that the petitioner/workman deserves to be reinstated into service as ―AFRESH BADLI
FILLER‖ only. The petitioner is not entitled to any back wages, continuity of service and any other attendant benefits.
Hence, the punishment of dismissal from service imposed by the Respondents‘ Company is hereby modified.
Accordingly, the Points 2 & 3 are answered.
25. IN THE RESULT, the petition is partly allowed. The dismissal order dt.24/26-04-1998 under Ex.M-4 issued by
the Respondent No.2 is hereby modified. The respondents‘ company is directed to reinstate the petitioner into service
as ―AFRESH BADLI FILLER‖ only. The petitioner is not entitled to any back wages, continuity of service and any
other attendant benefits. However, the petitioner is entitled to the salary only from the date of publication of the
Award. Copy of the Award be sent to the appropriate Government for publication. Both parties shall bear their own
costs.
Typed to my dictation, corrected and pronounced by me in the open Court, on this the 12th day of February,
2026.
Sri Dr. SRINIVASA RAO, Chairman-cum-Presiding Officer
APPENDIX OF EVIDENCE
WITNESSES EXAMINED
FOR WORKMAN:-
FOR MANAGEMENT:-
-Nil-
-Nil-
EXHIBITS MARKED
FOR WORKMAN:-
Ex.W-1
Dt.
24/26.04.1998
Dismissal Order passed by the respondent No.2
Ex.W-2
Dt.
15.09.2015
O/c of demand letter with RP receipt and postal ack.,.
1540
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
FOR MANAGEMENT:-
Ex.M-1
Dt.
03.02.1998
Attested Copy of Enquiry proceedings.
Ex.M-2
Dt.
04.02.1998
Attested Copy of Enquiry Report.
Ex.M-3
Dt.
19/20.03.1998
Attested Copy of Notice to the petitioner vide Lr.No.
P.RG.I/32/ 1444.
Ex.M-4
Dt.
24/26.04.1998
Attested copy of Dismissal Order of the Petitioner vide
Lr.No. P.RG.I/32/ 2025.
Ex.M-5
Dt.
29.04.1998
Attested copy of Name Removal order of the petitioner vide
Lr.No.GDK.2A/02-0/868.
नई ददल्ली, 6 मार्च, 2026
का.आ. 315.—vkS|ksfxd fookn vf/kfu;e] 1947 (1947 dk 14) dh /kkjk 17 ds vuqlj.k esa] dsUnzh;
ljdkj एस.सी.सी.एल.ds izca/kra= ds lac) fu;kstdksa vkSj muds deZdkjksa ds chp] vuqca/k esa fufnZ’V vkS|ksfxd fookn esa
औद्योजगक न्यायाजधकरण-सह-श्रम न्यायालय-सह- अजतररि जिला. एवं सत्र न्यायालय, गोदावरीखानी ds iapkV
(ृहर्ान
. 44/2025) dks izdkf'kr djrh gS] tks dsUnzh; ljdkj dks 06
dks izkIr
gqvk FkkA
[सं. एल-22013/01/2026-आई आर(सीएम- II)]
सलोनी, उृ जनदेिक
New Delhi, the 6th March, 2026
S.O. 315.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (ID. No. 44/2025) of the INDUSTRIAL TRIBUNAL-CUM-LABOUR
COURT-CUM- ADDL. DIST. & SESSIONS COURT, GODAVARIKHANI as shown in the Annexure, in the
industrial dispute between the Management of S.C.C.L. and their workmen, received by the Central Government
on 06/03/2026.
[No. L-22013/01/2026 – IR (CM-II)]
SALONI, Dy. Director/Link officer
ANNEXURE
BEFORE THE CHAIRMAN, INDUSTRIAL TRIBUNAL-CUM-LABOUR COURT-CUM- ADDL. DIST. &
SESSIONS COURT, GODAVARIKHANI.
PRESENT:- SRI Dr.T.SRINIVASA RAO,
CHAIRMAN-CUM-PRESIDING OFFICER.
MONDAY, ON THIS THE 09th DAY OF FEBRUARY, 2026.
I.D.No.44 of 2025
Between:-
Kanapaka Anvesh, S/o. Devdas, Age:35 Years, E.C.No.1602164, Ex.Badli Worker, ALP, APA, C/o. Javvaji Srinivas,
Advocate, Markandeya Colony, Godavarikhani – 505209, District Peddapalli, Telangana State.
…Petitioner/Workman
A N D
1.
The Colliery Manager, Singareni Collieries Company Ltd.,
Adriyala Longwall Project, Adriyala Project Area, RG-III,
Centenary Colony, Ramagiri Mandal, District: Peddapalli (T.S).
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1541
2.
The General Manager, Singareni Collieries Company Ltd.,
Adriyala Longwall Project, Adriyala Project Area, RG-III,
Centenary Colony, Ramagiri Mandal, District: Peddapalli (T.S).
3.
The Director, (PA & W), Singareni Collieries Company Ltd.,
Corporate Office, Kothagudem, District: Bhadradri Kothagudem (T.S).
...Respondents/Management
This case coming before me for final hearing in the presence of Sri Javvaji Srinivas, Advocate for the
Petitioner and of Sri T. Ravinder Singh, Advocate for the Respondents; and having been heard and having stood over
for consideration till this day, the Tribunal delivered the following:
-: AWARD :-
This is a petition filed U/Sec.2-A (2) of I.D. Act, 1947 praying to set aside the dismissal order dt.18.05.2019
issued by Respondent No.2 and to direct the respondents‘-company to reinstate the petitioner into service with
continuity of service, all other consequential attendant benefits and full back wages.
2. The alpha and omega of the case of the petitioner is as follows:-
2(a).
The petitioner was appointed in the respondents‘ company during the year 2015 as Badli Worker and he
discharged his duties to the utmost satisfaction of his superiors without any kind of adverse remarks. His mother
Kanapaka Kamala Bahi was suffering from chronic ill-health and he imparted prolonged treatment to her at MGM
Hospital, Regional Eye Hospital, Warangal and other hospitals. He is the only person to look after his mother and he
faced severe financial crisis in connection with amounts payable to his sisters. He suffered from mental distress and
ill-health, due to which he could not attend to his duties regularly and put-in (15) musters during the year 2016. As he
continued to work in the underground on one hand and was imparting treatment frequently to his ailing mother and for
himself on the other hand. But, the Respondent No.2 issued charge sheet dt.18.02.2017 to him alleging absentee
during the year 2016:-
“25.25: Habitual late attendance or habitual absence from duty without sufficient cause”.
“25.31: Absence from duty without sanctioned leave or sufficient cause or overstaying beyond sanctioned leave”.
2(b). The petitioner submitted satisfactory explanation and participated in the domestic enquiry conducted on
16.09.2017. There is no deliberate absenteeism on his part and there is reasonable and sufficient cause for not
attending to his duties during the charge sheet period of 2016. He improved his attendance during the years 2017 and
2018 and his performance during the above years is furnished here under:-
Sl.
No.
Particulars
Total Musters
1.
Musters of 2017
(71) musters
2.
Musters of 2018
(84) musters
The respondent No.1 served charge sheet and obtained written explanation from him, assuring that he will be allowed
to duty. He participated in the enquiry proceedings on 16.09.2017, deposed the true facts of ill-health of his mother,
himself and his family problems. But, the enquiry officer did not properly appreciate the documentary and oral
evidence, his findings are very cryptic and he gave his vague findings, which are quite biased and perverse. The
Respondent No.2 required him to make representation on the findings report of the Enquiry Officer by letter
dt.01.02.2018, to which he submitted his satisfactory explanation on 13.02.2018. But, the Respondent No.2 unjustly
dismissed him from service by Ref. dt.18.05.2019 with effect from 27.05.2019 straight away, without issuing any
prior Show Cause Notice proposing the said capital punishment of dismissal from service.
2(c).
The petitioner preferred Appeal and moved from pillar to post before the respondents. After more than (02)
years, Respondent No.3 rejected his appeal vide Ref. dt.16.07.2021. Having lost his hopes, the petitioner approached
this Court seeking justice. There is sufficient and reasonable cause for the petitioner for not attending to duties during
the charge sheet period. As such, it cannot be termed as serious misconduct warranting the extreme punishment of
dismissal from service. Imposing the capital punishment of dismissal from service without any prior show cause
notice is against the settled Law and contrary to the principles of natural justice. Further, extremely harsh punishment
of dismissal from service is highly excessive and shockingly disproportionate and it amounts to economic death of the
1542
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
petitioner.
2(d). Ever since his unjust dismissal from service, the petitioner could not secure any other alternative job & remained
unemployed. He lost lively hood and incurred huge debts for his medical and domestic expenses. He is facing lot of
hard ship and misery to eke out lively hood for all his family members. This Court has got every jurisdiction to try the
case U/Sec.2-(A) (2) of I.D. Act, as per the settled law declared by the Hon‘ble High Court. Due to domestic and
financial problems, the petitioner could not approach this Hon‘ble Court earlier; and the delay if any in filing this case
may please be condoned by this Hon‘ble Court. Therefore, he prays to set aside the dismissal order issued by the
Respondent No.2 and to direct the Respondents‘-Company to reinstate him into service with continuity of service, all
consequential attendant benefits and full back wages.
3. On the other side the Respondents/Management filed counter by admitting the employment of the
Petitioner/Workman with the Respondents‘-Company, however, inter-alia contended that the Respondent Company is
a Government Company incorporated under the provisions of Companies Act, 1956 for carrying out the business of
winning and selling the coal. Since the coal mining industry is a central subject, the Appropriate Government for this
Respondent/Management is Central Government. The Central Government established an Industrial Tribunal-cum-
Labour Court at Hyderabad from 29.12.2000 for adjudication of industrial disputes and the Petitioner ought to have
approached the said tribunal for the redressal of grievance, if any. But, he conveniently avoided filing his petition
before the Tribunal established by the Central Government for the reasons best known to him and the petition is not
maintainable under law and the same may be dismissed on this ground alone. The maintainability of the dispute before
this Court may be decided as preliminary issue before proceeding with the trial. The Industrial Disputes (Amendment)
Act 2010 was incorporated into parents Act i.e. in Industrial Disputes Act 1947 by inserting Sec.2 A (2) and (3) hence
the Repealing and Amending Act No.23 of 2016 is not helpful to the petitioner as the same was incorporated in to the
parents Act. Hence this petition is not maintainable and liable to be dismissed.
3(a). Further, without prejudice to its rights in respect of the preliminary objection raised as above, it is submitted that
according to section 52(2) of the Mines Act 1952 an underground employee is required to put in minimum musters of
190 and surface employees is to put in 240 musters. The petitioner was initially appointed into the services of the
Respondent Company Badli Worker on 19.05.2015 vide Office Order dt.10.02.2015 under Dependent Employment of
his father Sri. K.Devadas. The petitioner worked as Badli worker at Adriyala Longwall Project, APA Area of the
Respondent Company. He being an underground employee is expected to put in minimum of 190 Musters in a
calendar year. But he did not put forth 190 musters from the date of his appointing year to till his dismissal from
service. The following are the musters of the Petitioner and the action taken by the Respondent Company for his
chronic absenteeism:
Sl.
No.
Year
No. of Musters
Penalty/Punishment details.
1.
2015
41
--
2.
2016
15
--
3.
2017
71
Kept under observation for a period of (03) months to
improve attendance
4.
2018
84
Dismissed from the Company Services w.e.f., 27.05.2019.
3(b). During the period from January 2016 to December 2016, the Petitioner has put in 15 musters. As the above act
amounted to misconduct under Company Standing Orders No.25.25 & 25.31, Charge Sheet dt.18.02.2017 was issued
to him and the relevant clause of Standing orders reads as under:
25.25:
Habitual Late attendance or habitual absence from duty Without sufficient cause.
25.31:
Absence from duty without sanctioned leave or sufficient cause or overstaying beyond sanctioned
leave,"
A written enquiry was conducted in which the petitioner has fully participated in the enquiry proceedings on
16.09.2017. He was given full and fair opportunity to defend his case and the charges leveled against the petitioner
were proved. In his deposition before the Enquiry Officer, the petitioner admitted that he remained absent on the dates
mentioned in the charge sheet and admitted his mistake and added that he remained absent due to family problems.
However, he did not submit any documentary evidence about the alleged ill-health which prevented him from
remaining absent from duties during the entire absenteeism period. The enquiry officer gave him opportunity to
adduce evidence and to produce documentary evidence, witnesses in support of his claim, but he did not submit
documentary evidence. The copies of enquiry report, proceedings etc., were sent to the Petitioner's address vide Ref.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1543
dt.01.02.2018 to enable him to submit written representation against the findings contained in the enquiry report. He
submitted his representation dt.13.02.2018 which was not satisfactory.
3(c). The petitioner was provided with another opportunity to improve his attendance vide Ref: dt.16.04.2018,
disciplinary action on the charge sheet was kept in abeyance and he was kept under observation for a period of 3-
months with effect from 01.05.2018 to 31.7.2018. He was informed that it was final and last opportunity, wherein the
petitioner is required to put in 20 actual musters and above in every month during the observation period. But, he has
put in only 27 musters in 3-months observation period and the respondent Company taking into account his
misconduct which was being serious and grave in nature and the employee being chronic absentee was constrained to
dismiss the petitioner from service with effect from 27.05.2019 vide Ref. dt.18.05.2019. If the petitioner was really
suffering from ill-health, it becomes his primary responsibility to report sick in Colliery Hospital or should have
informed his incapability to attend duties to unit authorities and got sanctioned leave or loss of pay leave. But he did
not inform anything, without informing anything to his unit officers remained absent to the duties which amounts to
un-authorized absenteeism. As the petitioner neither reported sick in Colliery Hospital nor improved his attendance
inspite of giving many opportunities, the Respondent Company was constrained to dismiss him for his chronic
absenteeism. The penalty of dismissal from service w.e.f., 27.05.2019 was confirmed by Competent authority vide
Ref dt.16.06/07.2021.
3(d). As per Article-311 (1) of Constitution of India, issue of show cause notice proposing punishment is not a
requirement of the principles of natural justice. The respondent company‘s standing orders do not speak about of issue
of Show cause notice proposing the punishment to be imposed on the delinquent employee. There is no victimization
and the punishment of dismissal is not harsh and the he was given number of opportunities to correct himself and to be
regular to his duties by imposing minor penalties. But, he has failed to improve his attendance and resorted to
unauthorizedly absent for duty. The petitioner‘s misconduct compelled the Respondent/Management to impose the
penalty of dismissal which cannot be termed as unjust.
3(e). Further, the Respondents‘-Company employs more than 43,600 persons and the production results will depend
upon the overall attendance and performance of every individual. If anyone remains absent without prior sanction of
leave or without any justified cause, the work to be performed gets effected. Such unauthorized absence creates
sudden void, which at times is very difficult to fill-up with substitute, and there will be no proper planning and already
planned schedules get suddenly disturbed without prior notice. For that reason every time the company inform its
workers to intimate prior to the unit in-charge so that they may arrange substitute and failing to inform will result in to
production and burden on other employees. The Respondent/ Management cannot be held responsible for the alleged
debts and unemployment and the other allegations of the petition are denied and hence the Respondents prayed to
dismiss the petition, without granting any relief to the petitioner.
4. In support of the claim of the Petitioner/Workman Ex.W-1 to Ex.W-3 were marked; and on the other side for the
Respondents‘-Company Ex.M-1 to Ex.M-9 were marked, with consent.
5. Arguments of the learned counsel for Petitioner/workman as well as the learned standing counsel for the
Respondents/ Management heard. Perused the record produced before this Tribunal, their rival arguments and
citations.
6.
Now the points for consideration are:-
1.
Whether this Tribunal has jurisdiction to entertain this I.D; and whether the domestic enquiry
conducted by the respondents is held valid or not?
2.
Whether the charges leveled against the petitioner are proved basing on evidence or not?
3.
Whether the dismissal order dt.18.05.2019 is liable to be set aside, if so, the petitioner is entitled to
reinstatement with continuity of service with all attendant benefits and full back wages?
If not to what relief is the worker entitled to?”
7. From the pleadings of the Petitioner/Workman and Respondents‘ Company, these are the admitted facts that the
petitioner/ workman worked as Badli Worker in the Respondents‘-Company and he was dismissed from service. Now
coming to the documentary evidence on both sides, on behalf of Respondents‘/ Company, Ex.M-1 to Ex.M-9 were
marked, wherein, Ex.M-1 is dismissal order and Ex.M-2 is Name Removal letter of the petitioner. Ex.M-3 is Attested
Copy of Application submitted by the Petitioner for cancellation of Dismissal Order. Ex.M-4 is Attested Copy of
charge sheet for absence for duty without sanctioned leave issued to petitioner. Ex.M-5 is enquiry notice served and
duly signed by the petitioner and Ex.M-6 is Attested Copy of Disciplinary Action for Absenteeism to Petitioner.
Ex.M-7 is Attested Copy of charge sheet for absenteeism issued to petitioner and Ex.M-8 is copy of enquiry Report.
Ex.M-9 is Original/Attested copies of enquiry proceedings for the charge sheet dt.18.02.2017. On the other side, the
petitioner got marked Ex.W-1 to Ex.W-3 on his behalf, wherein, Ex.W-1 is dismissal order and Ex.W-2 is name
removal memo of the petitioner. Ex.W-3 is Demand Letter/Legal Notice with R.P receipts and postal ack., of
respondents. The above documents of both sides are not in much dispute by either side.
1544
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
8. Here, the learned standing counsel for the respondents‘-company has strenuously argued and raised a Preliminary
Objection in the Counter that since the coal mining industry is a central subject the Appropriate Government for
Respondent/ Management is Central Government, which established Central Govt. Industrial Tribunal, at Hyderabad
for adjudication of Industrial Disputes and the petitioner ought to have approached the said Tribunal for the redressal
of grievance, if any. But, the Petitioner conveniently avoided filing his petition before the Tribunal established by the
Central Government and approached this Tribunal; hence it is not maintainable under law and the same may be
dismissed on this ground alone.
8(a). Further, the learned counsel for the respondents-company strenuously contended that the petitioner raised the
dispute after long lapse of more than 6-years. The Industrial Disputes (Amendment) Act 2010 was incorporated into
parents Act i.e., in Industrial Disputes Act 1947 by inserting Sec.2 A (2) and (3). Hence the repealing and Amending
Act No.23 of 2016 is not helpful to the petitioner hence the petition filed by the Petitioner is not maintainable and
liable to be dismissed. Therefore, he prayed to dismiss the petition on the ground of maintainability itself and not to
grant any relief to the petitioner.
8(b). The learned standing counsel for the respondents‘-company without prejudice to the above preliminary
objection; has put forth and set forth that the petitioner was appointed as Badli Worker on 19.02.2015 and he being an
underground employee is expected to put minimum (190) Musters in a calendar year. But, he was not regular to his
duties and did not put-in (190) musters from the date of his appointing year to till his dismissal from the services.
During the year 2016 the petitioner has put-in only (15) musters for which he was issued with charge sheet
dt.18.02.2017. If he was really suffering from ill health, it becomes his primary responsibility to report sick in Colliery
Hospital or he should have informed to unit officers about his incapability to attend duties and he would have got
leave or loss of pay leave but he did not inform anything. The Respondent Company employs more than 43,600
persons and the production results will depend upon the overall attendance and performance of every individual. If
anyone remains absent without prior sanction of leave or without any justified cause, the work to be performed gets
effected. Such unauthorized absence creates sudden void, which at times is very difficult to fill-up with substitute,
and there will be no proper planning and already planned schedules get suddenly disturbed without prior notice. For
that reason every time the company inform its workers to intimate prior to the unit in-charge so that they may arrange
substitute and failing to inform will result in to production and burden on the other employees.
8(c). The learned standing counsel for the respondents‘-company further argued that enquiry into the charges leveled
against the petitioner was conducted by the Enquiry Officer on 16.09.2017 in which the Petitioner has fully
participated in the enquiry proceedings. He was given full and fair opportunity to defend his case. In his deposition
before the Enquiry Officer, the petitioner admitted charges mentioned in the charge sheet. He accepted his mistake
that he remained absent during the dates mentioned in the charge sheet due to his health problems. However, he did
not submit any other documentary evidence about the alleged ill-health which prevented him from remaining absent
from duties during entire absenteeism period. As the charges were proved against the petitioner, show cause notice
was issued to submit his explanation within 7-days on the findings of the E.O.
8(d). The learned standing counsel for the respondents‘-company further put forth and set forth that the petitioner was
given number of opportunities to correct himself and he was kept under 3-months observation period requiring him to
put-in 20 musters in every month. But, the Petitioner has failed to improve his attendance and put-in only 27 total
musters during the entire observation period of 3-months. Even after giving opportunities to improve his attendance,
the petitioner continued his absenteeism and there is no improvement in the attendance. The petitioner‘s misconduct
has compelled the Respondent/Management to impose penalty of dismissal which cannot be termed as unjust. The
petitioner not utilized the opportunities given by the company and not improved his attendance. Hence, the
Respondent Company dismissed him from service vide order dt.18.05.2019, which is justified. Hence, he prayed to
dismiss the petition, without granting any relief to the petitioner/workman.
9. Per contra, on the point of jurisdiction and preliminary objection, the learned counsel for the Petitioner/workman
has strenuously put forth and set forth that as per the Division Bench Judgment of the Hon‘ble High Court reported in
1997(III) LLJ (Supp.)11, Between: U.Chinnappa Vs. Cotton Corporation of India, this Tribunal has jurisdiction over
Singareni Collieries Company Ltd., to entertain the Industrial Dispute raised by the petitioner/workman though the
appropriate Govt. is Central Govt., The petitioner need not raise the Industrial Dispute compulsorily before the Central
Govt. Industrial Tribunal, Hyderabad alone, as contended by the respondents‘ company. Hence, this I.D petition filed
by petitioner/ workman is well maintainable before this Tribunal for adjudication of the dispute on merits.
9(a). Further, regarding the above contention of learned counsel for the respondents‘/company that this I.D. is not
maintainable as barred by Limitation, the learned counsel for the petitioner/ workman strenuously contended that
though the petitioner was dismissed from service by order dt.18.05.2019, his the appeal was dismissed after more than
2-years vide Ref dt.16.07.2021. There is continuation of cause of action, the delay of more than 6-years cannot be
attributed to the petitioner and hence, the dispute is alive. Apart from the above, he contended that I.D. (Amendment)
Act, 2010 as whole was repealed by the Central Government long back in the year 2016, vide the Gazette of India
dated 09th May, 2016; and hence limitation period is not applicable to the provisions of Industrial Disputes Act.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1545
Therefore, this petition is not barred by limitation and deserved to be adjudicated by this Tribunal on merits of the
case.
9(b). The learned counsel for the Petitioner/workman further strenuously put forth and set forth that the
Petitioner/Workman was appointed during the year 2015 as Badli Worker. He and his mother both have suffered from
chronic ill-health and were imparted prolonged medical treatment. But, due to underground work his health was not
cured completely. But, alleging absenteeism to duties during year 2016, the petitioner was dismissed from service vide
Ref. dt.18.05.2019. There is sufficient and reasonable cause for the petitioner for not attending to duties during the
above charge sheet period. But without considering the true facts, the respondent No.2 dismissed the petitioner from
service, illegally.
9(c). The learned counsel for the Petitioner/workman further strenuously put forth and set forth that the petitioner
participated in the enquiry, deposed the true facts of his own ill-health and of his mother. But, the enquiry officer did
not properly appreciate the facts and he gave his vague findings, which are quite biased and perverse. But, respondent
No.2 straight away dismissed him from service vide Ref. dt.18.05.2019. No prior Show Cause Notice was issued to
the petitioner proposing the capital punishment of dismissal from service and he was not afforded an opportunity
explain as to why the extreme punishment of dismissal shall not be imposed on him. The petitioner‘s health condition
was badly deteriorated and he suffered from serious ill-health, during the charge sheeted period and there is sufficient
and reasonable cause for not attending to duties during charge sheet period.
9(d).
The learned counsel for the Petitioner/workman further put forth and set forth that imposing the capital
punishment of dismissal from service without any prior show cause notice is against the principles of natural justice.
The extremely harsh punishment of dismissal is highly excessive and shockingly disproportionate, which amounts to
economic death of the petitioner. Ever since his dismissal from service, the petitioner is out of employment and could
not secure any other alternative job in spite of his best efforts. He hails from a very poor family and has no other
source of livelihood. Therefore, he prayed to set aside the dismissal order and to direct the Respondents‘-Company to
reinstate the petitioner/workman into service with continuity of service, all consequential attendant benefits and full
back wages.
POINT No.1:
10. Here, on the point of territorial jurisdiction of this Tribunal, it is settled Law that as per the Division Bench
Judgment of the Hon‘ble High Court reported in 1997 (III) LLJ (Supp.) 11, Between: U.Chinnappa Vs. Cotton
Corporation of India, this Tribunal has got every jurisdiction to entertain the Industrial Dispute raised by the
petitioner/workman who was an employee of Singareni Collieries Company Ltd., Even though, the Central Govt. is
appropriate Govt., for the respondents‘-Company, the petitioner need not compulsorily raise the Industrial Dispute
before the Central Govt. Industrial Tribunal, Hyderabad, as contended by the respondents‘ company; and he can file
this I.D. case before this Tribunal as well. Hence, the contentions of the respondents‘-company on the point of
jurisdiction of this Tribunal are not sustainable under Law.
10(a). Further, with regard to the contention of delay and barred by limitation, this Tribunal relied on a D.B. Judgment
of the Hon‘ble Supreme Court in Civil Appeal No.2157/1999, dt.08.04.1999 between Ajaib singh vs. Sirhind Co-op.
Marketing-cum-Processing Service Society Ltd., & another, wherein their lordships held that:-
“Article 137 of schedule of Limitation Act not applicable to the proceedings under I.D. Act. The object of
Industrial Disputes Act was to give succor to weaker sections of the society. The emergence of the concept of Welfare
State implies an end to exploitation of workman and as a corollary to that collective bargaining came into it own. The
Legislature had intended to protect workmen against victimization and exploitation by the employer and to ensure
termination of Industrial Disputes in a peaceful manner.
The object of the Act, therefore, is to give succor to weaker sections of the society which is a pre-requisite for
Welfare State. To ensure industrial peace and pre-empt industrial tension, the Act further aims at enhancing the
industrial production which is acknowledged to be life-blood of a developing society.
The Act provides a machinery for investigation and settlement of industrial dispute ignoring the legal technicalities
with a view to avoid delays, by specially authorized Courts which are not supposed to deny the relief on account of the
procedural wrangles”.
10(b). Further, relied on a decision of the Hon‘ble High Court reported in 2012 (1) ALD 220 (DB), wherein their
lordships held that:-
“The Industrial Disputes Act, 1947 is a social welfare legislation, which required to be interpreted keeping in
view the goals set out in the Preamble and Directive principles of State Policy in Part-IV of the Constitution. Merely
because workman approached to Labour Court with delay, relief cannot be denied. No indication in the Act that delay
extinguishes right conferred on the workmen under Industrial Law. The Labour Court is conferred with very wide
1546
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
discretion U/Sec.11-A from considering the delay on part of workmen in granting relief.
Section 2-A (2) or Section 10(1) of the Act do not prescribe any period of limitation for raising industrial
dispute. Articles 137 of the Limitation Act, 1963 has no application (Ajaib Singh’s case supra). Merely because the
workmen approached the Industrial Court with delay, the relief cannot be denied. The Act nowhere gives an
indication that the delay extinguishes the right conferred on workmen under the Industrial Law. The Industrial Court
conferred with very wide discretion U/Sec.11-A of the Act, is not precluded from considering the delay on the part of
workman in granting relief”.
10(c). Further, the Hon‘ble Gujarath High Court following the Hon‘ble Supreme Court, in a judgment dt.15.02.2020
Between: Dharampur Nagarpalika Vs. Mahendrasinh Narsinh Padhiyar their Lordship have observed that:-
(a)
Law of limitation does not apply to the proceedings under the Industrial Disputes Act, 1947.
(b)
The words 'at any time' used in Section 10 would support that there is no period of limitation in making an
order of reference
(c)
At the same time, the appropriate Government has to keep in mind as to whether the dispute is still existing
or live dispute and has not become a stale claim and if that is so, the reference can be refused.
(d)
Whether dispute is alive or it has become stale/non-existent at the time when the workman approaches the
appropriate Government is an aspect which would depend upon the facts and circumstances of each case
and there cannot be any hard and fast rule regarding the time for making the order of reference.
Their Lordships have further held that: This Court shall need to regard, of course, the later decision which
speaks of grant of back wages as if he was not illegally terminated. However, the period for which there is no
initiative taken by him from the year 1995 to 2001, the same will have to be treated as dias-non. It is also not
possible for a driver not to be working for all these years with his skill as a Driver and therefore, according
to this Court, C/SCA/2404/2017 JUDGMENT the back wages shall have to be reduced to 80% from the date
of filing of the reference as dias-non.
10(d). Apart from the above, their Lordships of the Division Bench of Hon‘ble Rajasthan High Court in a recent
decision Between: Heera Ram Vs. Assistant Engineer, Irrigation and others, dt.08.02.2023, wherein their lordships
held that:-
…Law can be summarized that there is no prescribed time limit for the appropriate Government to exercise
its powers under Section 10 of the Act. It is more so in view of the language used, namely, if any industrial
dispute exists or is apprehended, the appropriate government “at any time” refer the dispute to a Board or
Court for enquiry. The reference sought for by the workman cannot be said to be delayed or suffering from a
lapse when law does not prescribe any period of limitation for raising a dispute under Section 10 of the Act.
The real test for making a reference is whether at the time of the reference, dispute exists or not and when it is
made it is presumed that the State Government is satisfied with the ingredients of the provision, hence, the
Labour Court cannot go behind the reference. It is not open to the Government to go into the merit of the
dispute concerned and once it is found that an industrial dispute exists then it is incumbent on the part of the
Government to make reference. … we do not think that the delay in the case on hand has been so culpable as
to disentitle him any relief. We are also satisfied that in view of the details furnished and explanation offered,
the workman cannot be blamed for the delay and he was all along hoping that one day his grievance would be
considered by the Management or by the State Government.”
10(e). Here, it is not in dispute that in the present case on hand, the petitioner was dismissed from service by the
Respondent No.2/ General Manager vide Ref.dt.18.05.2019 and his appeal was rejected by the Respondent No.3 vide
Ref.dt.16.07.2021. Thus, there is continuation of cause of action and the dispute is alive. For about 3-years from 2021
to 2024, the petitioner kept quiet and he raised the dispute before this Tribunal during 2025. Hence, there is no
abnormal delay on the part of the petitioner, the dispute cannot be said to be stale or non-existent and the dispute is
alive and deserves to be adjudicated by this Tribunal judiciously.
11. Therefore, in view of the above cited decisions and facts and circumstances of the present case on hand, I am of
the considered view that there is no force in the contention of the learned counsel for Respondents/Company with
regard to delay. Further, it is a fact the whole I.D. (Amendment) Act, 2010 was repealed by the Central Government
vide the Gazette of India dated 09th May 2016 and limitation period is not applicable to the provisions of Industrial
Disputes Act. But, this Tribunal has to mould the relief by considering the facts and circumstances of each case.
Hence, the doubts raised by the learned counsel for the respondents are like that of a “Doubting Thomas”,
which are not real and tangible doubts. Accordingly, it is answered in favour of the petitioner and against the
respondents‘ Singareni Collieries Company Limited.
12.
Further in this matter, initially the petitioner/workman denied the validity and legality of the enquiry report.
But on 23.01.2026, the learned counsel for petitioner filed Memo U/Sec.11-A of I.D Act by accepting the procedure
of domestic enquiry to be fair and valid. Hence, it can be said the Enquiry Officer has followed the principles of
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1547
natural justice. Now the next question is, whether the misconduct is proved in the facts of the case and the findings are
not perverse. So, this Tribunal is to re-appreciate the evidence and come to its own conclusion with regard to finding
guilty or not based on evidence. Accordingly, the Point No.1 is answered.
POINT No.2 & 3:
13. In view of the pleadings of the Petitioner/Workman as well as Respondents/corporation as well as in view of the
rival arguments of their respective counsel now this Court will go into the evidence on record. Admittedly, the
petitioner was dismissed from service by Ref. dt.18.05.2019 wherein it is alleged that the petitioner was absent from
duty without sanctioned leave or sufficient cause during the year 2016. From a perusal of the record, it shows that
Charge Sheet dt.18.02.2017 was issued to the petitioner, which is marked as Ex.M-7. It is evident from the charge
sheet that the petitioner absented to duties for 340-days and put-in only 15 actual musters during the year 2016.
Domestic enquiry was conducted and the enquiry report and enquiry proceedings are marked as Ex.M-8 and Ex.M-9.
Further, a perusal of these documents under Ex.M-8 and Ex.M-9 would goes to show that the Petitioner participated in
the domestic enquiry and deposed that he remained absent on the dates as mentioned in the charge sheet and it was his
mistake. He admitted the charges framed against him and pleaded guilty and deposed that due to his family problems,
he could not attend for his duties from 2015 onwards. He further admitted that he did not inform the Management in
advance about his absence.
13(a). From the Enquiry Report which is also under Ex.M-8, it is evident that the petitioner absented to duty without
sanctioned leave and he accepted the charge made under Company‘s standing order 25.25 & 25.31 (Habitual late
attendance or habitual absence from duty without sufficient cause & Absence from duty without sanctioned leave or
sufficient cause or overstaying beyond sanctioned leave) mentioned in the charge sheet dt.18.02.2017 was held
proved. The petitioner has not submitted any documents regarding his family problems or health problems in the
enquiry to substantiate his claim. Further vide letter dt.16.04.2018, the petitioner was given another opportunity to
improve his attendance by keeping the dismissal order pending and he was kept under observation for 3-months
requiring him to put-in 20 actual musters and above in every month during observation period of 3-monhts. But, it
appears from the dismissal order that the petitioner had put-in total 27-musters only during 3-months period and failed
to improve his attendance. The dismissal order dt.18.05.2019 is marked as Ex.M-1 wherein it shows that considering
the charges leveled and proved against the petitioner being grave and serious, he was dismissed from services of
Company w.e.f., 27.05.2019.
13(b). It is clear that the petitioner has not attended to duties during the charge sheet period and the charges were
amply proved against him. Therefore, it can be said that the respondents/ company has no axe to grind against the
petitioner. Hence, this Tribunal has no hesitation to hold that the charge leveled against the petitioner/ workman is
proved and misconduct of the workman is established basing on the evidence and the findings of enquiry officer are
not perverse.
14. Now the question is whether the punishment of removal from service is disproportionate or not?
14(a). It is settled law that the object of I.D.Act is to give succor to weaker sections of the society and it is a social
welfare legislation. Here, there is no “Plumbline Precision” for deciding the proportionality of punishment, which
depends upon the facts and circumstances of each case. The Industrial Tribunal/Labour Court is empowered to
exercise discretionary powers U/Sec.11-A of Industrial Disputes Act for judicious adjudication of the industrial
disputes. Several factors like nature of duty, past service past conduct, previous penalties if any and the discipline
required to maintain in the department, victimization and plea of the petitioner/workman and the punishment must be
commensurate with the gravity of charges against the petitioner/ workman etc., by considering the relevant factors and
mitigating circumstances of each case are to be taken into consideration so as to mould the relief appropriately and
reduce the punishment imposed on the petitioner/workman.
15. Here, the learned counsel for the petitioner/workman submitted that the Petitioner was appointed in the year 2015
and rendered short service. Wide powers are vested in Labour Court or Tribunal. Labour Court can temper justice
with mercy and give an opportunity to an erring workman to reform himself. The petitioner remained unemployed
from the date of dismissal, he hails from a very poor family, he has got no other livelihood and facing untold financial
problems, and prayed to consider the case U/Sec.11-A of I.D. Act., by granting another opportunity to serve the
Company.
16. Here, this Tribunal relied on a Division Bench Judgment of the Hon‘ble Supreme Court rendered in Civil Appeal
No.2157/1999, dt.08.04.1999 between Ajaib Singh vs. Sirhind Co-op. Marketing-cum-Processing Service Society
Ltd., & another, wherein their lordships held that:-
“The object of Industrial Disputes Act was to give succor to weaker sections of the society. The emergence of the
concept of Welfare State implies an end to exploitation of workman and as a corollary to that collective bargaining
came into it own. The Legislature had intended to protect workmen against victimization and exploitation by the
employer and to ensure termination of Industrial Disputes in a peaceful manner.
“The object of the Act, therefore, is to give succor to weaker sections of the society which is a pre-requisite for
Welfare State. To ensure industrial peace and pre-empt industrial tension, the Act further aims at enhancing the
1548
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
industrial production which is acknowledged to be life-blood of a developing society. The Act provides a machinery
for investigation and settlement of industrial dispute ignoring the legal technicalities with a view to avoid delays, by
specially authorized Courts which are not supposed to deny the relief on account of the procedural wrangles”.
16(a). Further, in a decision of the Hon‘ble High Court reported in 2012 (1) ALD 220 (DB), wherein their lordships
observed that:-
“The Industrial Disputes Act, 1947 is a social welfare legislation, which required to be interpreted keeping
in view the goals set out in the Preamble and Directive principles of State Policy in Part-IV of the Constitution.
The Labour Court/Industrial Tribunal is conferred with very wide discretion U/Sec.11-A of the Act for granting
appropriate relief”.
17. Here, their Lordships of the Hon‘ble Gujarat High Court in a case rendered on 04.05.1994, Between: Management
of Glaxo India Ltd., Vs. State of Assam and 3 others categorically observed that ―a Labour Court is required to settle
a dispute according to the principles of natural justice, equity and good conscience and law without attaching
undue importance to legal technicalities”.
18. Further, it is well settled law that if the Industrial Tribunal/ Labour Court is satisfied that the punishment imposed
on the petitioner/workman is not justified, the Industrial Tribunal/ Labour Court is clothed with the power to
reappraise the evidence in the domestic enquiry and satisfy itself whether the said evidence relied on by the Enquiry
Officer or Respondents/ Management established the misconduct alleged against the workman. Further, Sec.11-A
comes into effect only at the time when the Industrial Tribunal/Labour Court consider about the punishment to be
imposed. While previously the Industrial Tribunal/Labour Court had no power to interfere with the punishment, it is
now clothed with such a power. Apart from the above, Industrial Tribunal/Labour Court should temper justice with
mercy and not flog the petitioner/workman to asset our might. The power of ocean does not lie in its tumultuous tides
but in its meditative vastness”. My above view is fortified with the observation of their Lordships of Hon‘ble Madras
High Court in a case Between: High Court of Madras Vs. R.D.Santhana Krishnan dt.21st December, 2021.
19. Here, it is to be noted that the concept of Industrial Dispute is quite broad and with the passage of time its horizon
is being expanded. Further, the disputes are required to be resolved for the purpose of establishing peaceful and
cordial atmosphere in an industry. Peace and harmony are the quintessential aspects which are to be kept in view
while dealing with the “lis” or “controversy” relating to any industry. Apart from the above, whether the impugned
punishment is so disproportionate as to shock the conscience of the Court, has to be decided on the facts of each case,
having due regard to the gravity of misconduct & nature of duties discharged by the delinquent employee.
20. Here, it is pertinent to note that the term ―misconduct‖ is the intentional doing of something which the doer knows
to be wrong, or which he does recklessly, not caring what the result may be. It includes negligence or want of proper
care which an employee is to take. But, it is a fact that “to err is human” and “to forgive is divine”. Keeping the said
spirit into consideration and in the interest of cause of justice, every errant conduct of an employee of an organization
could not be treated as grave misconduct. Further, it is settled law that promoting empathy and understanding by
encouraging forgiveness, which is a divine quality transcending human limitation, should be preferred to anything else
in the given circumstances. My above view is fortified by observation of their Lordships of the Hon‘ble Supreme
Court in a judgment rendered Between: Ratilal Jhaverbhai Parmar Vs State Of Gujarat dt.21st October, 2024.
21. Further, the Hon‘ble Madras High Court observed in a case rendered in Management of Hyudai Motor India Ltd
Vs. T.Sudhakar ... on 31st January, 2022:
“When scales of justice stands balanced in a given case, the tilt to be exercised should be in favour
of the poor workmen rather than the mighty Managements.”
22. Here, I am of the opinion that for promoting ethical behavior and integrity for Public Servants, the Latin Maxim
(Memento Mori: remember that you must die”) acts as a check against selfish to selfless service. It serves as a
reminder that: ―when office is gone, only the legacy of their character remains”. So, the old Adam or old Man or old-
self of him or her must die. Otherwise, it will kill them. In summary, Memento Mori serves as a Sobering, yet
empowering reminder that allows Public Servants to focus on leaving a positive, lasting impact rather than chasing,
selfish and temporary goals.
23. Therefore, by taking a holistic view of the matter, I am of the considered view that the extreme punishment of
removal imposed by the respondents/corporation against the petitioner/workman is harsh, disproportionate and shocks
to conscience of this Tribunal, hence, deserves to be modified since the disciplinary authority cannot be permitted to
act arbitrarily and work like a Roman Knight and it cannot be allowed a fight between David and Goliath as in the
present case on hand. Moreover, facts of this case attracts the proverbial saying “Every saint has a past and every
sinner has a future” and Biblical proverbs “Speak up for those who cannot speak for themselves, for the rights of all
who are destitute‖ and “Speak up and judge fairly; defend the rights of the poor and needy.” Further, “Heavens
would not have fallen if one more opportunity is given for the petitioner”.
24. This Tribunal has perused, analyzed and meditated upon the case at hand, the case laws and principles of law
referred above. In view of the above facts and circumstances and keeping in view of the principle “temper justice with
mercy” and to meet the ends of justice, this Tribunal is of the opinion that the punishment of dismissal from service
imposed on the petitioner/workman is disproportionate and shocks the conscience of this Tribunal and hence, it
deserves to be modified appropriately. It appears from the record that the petitioner rendered short service in the
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1549
respondents‘ company and he is out of employment ever since his dismissal from service in 2019. Hence, this
Tribunal is of the considered view that that the petitioner/workman deserves to be reinstated into service as ―AFRESH
BADLI WORKER‖ only. Consequently, he is not entitled to any back wages, any continuity of service and any other
attendant benefits. Hence, the punishment of dismissal from service imposed by the Respondents‘ Company is hereby
modified. Accordingly, the Points 2 & 3 are answered.
25. IN THE RESULT, the petition is partly allowed. The dismissal order dt.18.05.2019 under Ex.M-1/Ex.W-1
issued by the Respondent No.2 is hereby modified. The respondents‘ company is directed to reinstate the petitioner
into service as ―AFRESH BADLI WORKER‖ only and he is not entitled to any back wages, any continuity of service
and any other attendant benefits. However, the petitioner is entitled to salary only from the date of publication of the
Award. Copy of the Award be sent to the appropriate Government for publication. Both parties shall bear their own
costs.
Typed to my dictation, corrected and pronounced by me in the open Court, on this the 09th day of February,
2026.
Dr.T.SRINIVASA RAO, Chairman-cum-Presiding Officer,
APPENDIX OF EVIDENCE
WITNESSES EXAMINED
FOR WORKMAN:-
FOR MANAGEMENT:-
-Nil-
-Nil-
EXHIBITS MARKED
FOR WORKMAN:-
Ex.W-1
Dt.
18.05.2019
Dismissal order issued by R-2.
Ex.W-2
Dt.
27.05.2019
Name removal memo issued by R-1.
Ex.W-3
Dt.
20.10.2024
O/c Demand letter/Legal Notice with R.P receipts and postal Acks.,
FOR MANAGEMENT:
Ex.M-1
Dt.
18.05.2019
Original/Attested copy of dismissal order of petitioner vide Lr.No.
RG3/PER/IR/48/DA-848/1719.
Ex.M-2
Dt.
27.05.2019
Attested Copy of Name Removal letter of the petitioner vide
Lr.No. APA/ALP/P22/1421.
Ex.M-3
Dt.
14.06.2019
Attested Copy of Application submitted by the Petitioner Sri
K.Anvesh for cancellation of Dismissal Order.
Ex.M-4
Dt.
11.01.2018
Attested Copy of charge sheet for Absent for duty without
sanctioned leave issued to petitioner vide
Lr.No.APA/ALP/R07(2017)/174.
Ex.M-5
Dt.
01.02.2018
Original/Attested copy of enquiry notice served and duly signed by
the petitioner vide Lr.No. RG3/PER/IR/DA-848/397.
Ex.M-6
Dt.
16.04.2018
Attested Copy of Disciplinary Action for Absenteeism to the
Petitioner vide Lr.No.RG3/PER/IR/48/DA-848/ 1248.
Ex.M-7
Dt.
18.02.2017
Attested Copy of charge sheet for Absenteeism issued to petitioner
vide Lr.No.APA/ALP/R07(2016)/394
Ex.M-8
Dt.
16.09.2017
Original/Attested copies of enquiry Report.
Ex.M-9
Dt.
16.09.2017
Original/Attested copies of enquiry proceedings for the charge
sheet dt. 18.02.2017
1550
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
नई ददल्ली, 6 मार्च, 2026
का.आ. 316.—vkS|ksfxd fookn vf/kfu;e] 1947 (1947 dk 14) dh /kkjk 17 ds vuqlj.k esa] dsUnzh;
ljdkj एस.सी.सी.एल.ds izca/kra= ds lac) fu;kstdks vkSj muds deZdkjksa ds chp] vuqca/k esa fufnZ’V vkS|ksfxd fookn esa
औद्योजगक न्यायाजधकरण-सह-श्रम न्यायालय-सह- अजतररि जिला. एवं सत्र न्यायालय, गोदावरीखानी ds iapkV
(ृहर्ान
. 92/2025) dks izdkf'kr djrh gS] tks dsUnzh; ljdkj dks 06
dks izkIr
gqvk FkkA
[सं. एल-22013/01/2026-आई आर(सीएम- II)]
सलोनी, उृ जनदेिक
New Delhi, the 6th March, 2026
S.O. 316.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (ID. No. 92 / 2025) of the INDUSTRIAL TRIBUNAL-CUM-LABOUR
COURT-CUM- ADDL. DIST. & SESSIONS COURT, GODAVARIKHANI as shown in the Annexure, in the
industrial dispute between the Management of S.C.C.L. and their workmen, received by the Central Government on
06/03/2026.
[No. L-22013/01/2026 – IR (CM-II)]
SALONI, Dy. Director/Link officer
ANNEXURE
BEFORE THE CHAIRMAN, INDUSTRIAL TRIBUNAL-CUM-LABOUR COURT-CUM- ADDL. DIST. &
SESSIONS COURT, GODAVARIKHANI.
PRESENT:- SRI Dr.T.SRINIVASA RAO,
CHAIRMAN-CUM-PRESIDING OFFICER.
FRIDAY, ON THIS THE 06th DAY OF FEBRUARY, 2026.
I.D.No. 92 of 2025
Between:-
Gunti Sadanandam, S/o. Sammaiah, Age: 40 Years, Ex-Fitter, E.C-137475, GDK-11 Incline, C/o S. Sanjay Kumar,
Advocate, H. No. 19-1-103/4,Markandeya Colony, Godavarikhani - 505209, District: Peddapalli, (Telangana State).
…Petitioner/Workman
A N D
1. The Colliery Manager, Singareni Collieries Company Ltd.,
GDK No.11 Incline, RG-I Area,
Godavarikhani, District: Peddapalli (T.S).
2. The General Manager, Singareni Collieries Company Ltd.,
Ramagundam Area-I, Godavarikhani, District: Peddapalli (T.S).
3. The Chairman & Managing Director, Singareni Collieries
Company Ltd., P.O: Kothagudem, District: Khammam (T.S).
...Respondents/Management
This case coming before me for final hearing in the presence of Sri S.Sanjay Kumar, Advocate for the
Petitioner and of Sri T. Ravinder Singh, Advocate for the Respondents; and having been heard and having stood over
for consideration till this day, the Tribunal delivered the following:
-: AWARD :-
This is a petition filed U/Sec.2-A (2) of I.D. Act, 1947 praying to set aside the dismissal order dt.29.08.2025
issued by Respondent No.2 and to direct the respondents‘-company to reinstate the petitioner into service with
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1551
continuity of service, all other consequential attendant benefits and full back wages.
2. The alpha and omega of the case of the petitioner is as follows:-
2(a).
The petitioner was appointed was selected and appointed as Fitter in the respondents‘ company during the
year 2015. Ever since his appointment, he discharged his duties to the satisfaction of his superiors without any kind of
adverse remarks and put-in more than (100) required musters per year for initial two years. He suffered from chronic
ill-health, Heart problem and a case of “CAD with S/p CAG-Mild CAD with myocardial bridging with Moderate LV
dysfunction on medical management with follow up in Neuro Surgery OPD i/v/o Cervical Spondylosis with
degenerative disc disease and disc bulge”. He was imparted prolonged medical treatment in the respondents‘
Company Hospitals, Main Hospital, Kothagudem, NIMS hospital, Hyderabad and other referral hospitals. But, due to
underground work his health was not cured and he was imparted treatment in the SCCL Hospitals, NIMS, PMSSY
KMC & several other hospitals during the last (04) years and he was kept in the sick list. But, without considering the
above facts, the respondent No.2 issued charge sheet dt.18.01.2023 to the petitioner alleging absenteeism during the
year 2022:-
―25.25: Habitual late attendance or habitual absence from duty without sufficient cause‖.
―25.31: Absence from duty without sanctioned leave or sufficient cause or overstaying
beyond sanctioned leave‖.
2(b). There is no there is no deliberate absenteeism on his part; and there is reasonable and sufficient cause for his not
attending to duties regularly during the charge sheet period of 2022. The respondents‘ company imparted treatment to
the petitioner in the SCCL Area Hospital, Main Hospital and referred him to NIMS Hospital Hyderabad several times.
He took treatment in Vasavi Chest & Psychiatric Clinic, Sri Sai Cardiac Centre, Vinayaka Neuro Multi Specialty
Centre, Suman Gastro & Liver Centre, Purna Laxmi Nuero Centre, The Breath Clinic, Sahaja Chest & Surendra
Nehru Hospital, MEDICOVER Hospital, PMSSY KMC & several other hospitals. He was imparted prolonged
treatment from the years 2017 to 2025. Further, the Main Hospital, Kothagudem kept the petitioner under SICK LIST
and review after months together. When the petitioner was under SICK LIST and without considering the true facts,
the Respondent No.2 dismissed the petitioner from service vide Ref. dt.29.08.2025.
2(c). The petitioner suffered from severe ill-health, chronic ill-health, Heart problem and a case of “CAD with S/p
CAG-Mild CAD with myocardial bridging with Moderate LV dysfunction on medical management with follow up in
Neuro Surgery OPD i/v/o Cervical Spondylosis with degenerative disc disease and disc bulge”. He underwent
prolonged medical treatment in the respondents‘ Company Hospitals, NIMS hospital, Hyderabad and other referral
hospitals. Medical documents, prescriptions and reference letters are filed under list of documents for favour kind
consideration by this Court.The Respondent No.2 required the petitioner to make representation on the findings report
of the Enquiry Officer by letter dt.17.10.2023 and his house was locked since (02) years, as he was undergoing
prolonged treatment. As such, he could not submit any representation on the findings report of Enquiry Officer. But,
the respondent No.2 dismissed him from service vide Ref. dt.29.08.2025 straight away, without issuing any prior
Show Cause Notice proposing the said capital punishment of dismissal from service. The petitioner‘s health condition
badly deteriorated and he suffered from serious ill-health, during the charge sheeted period and there is sufficient and
reasonable cause for the petitioner for not attending to duties during charge sheet period and it cannot be termed as
misconduct.
2(d).
Further, imposing the capital punishment of dismissal from service on the petitioner without any prior show
cause notice proposing the said capital punishment is against the settled Law and contrary to the principles of natural
justice. The extremely harsh punishment of dismissal is highly excessive and shockingly disproportionate, which
amounts to his economic death. Ever since his dismissal from service, the petitioner is out of employment and could
not secure any other alternative job in spite of his best efforts. He hails from a very poor family and has no other
source of livelihood. Therefore, he prays to set aside the dismissal order issued by the Respondent No.2 and to direct
the Respondents‘-Company to reinstate him into service with continuity of service, all consequential attendant
benefits and full back wages.
3. On the other side the Respondents/Management filed counter by admitting the employment of the
Petitioner/Workman with the Respondents‘-Company, however, inter-alia contended that since the coal mining
industry is a central subject the Appropriate Government for Respondent/Management is Central Government, which
established an Industrial Tribunal-cum-Labour Court at Hyderabad from 29.12.2000 for adjudication of industrial
disputes and the Petitioner ought to have approached the said tribunal for the redressal of grievance, if any. But, the
Petitioner conveniently avoided filing his petition before the Tribunal established by the Central Government and
hence it is not maintainable under law and the same may be dismissed on this ground alone.
3(a). The Respondent Company without prejudice to its rights in respect of the objection raised as above submits that
the petitioner was appointed into the services of the Respondent Company on 18.12.2015 and worked as Fitter at RG-I
Area. He was dismissed from service on the ground of absenteeism with immediate effect vide letter dt.29.08.2025.
1552
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
The Petitioner being an underground employee, he is expected to put minimum of (190) Musters in a calendar year.
But, he did not put-in (190) musters from the date of his appointing year to till his dismissal from the service. The
following are the musters of the petitioner and action taken for his chronic absenteeism:-
Sl No.
Year
No. of Musters
Penalty/Punishment details
1.
2016
238
--
2.
2017
160
--
3.
2018
78
--
4.
2019
16
Stoppage of one increment without cumulative effect
5.
2020
0
Reversion to lower stage in a time scale by reducing two
increments
6.
2021
0
Reversion to lower stage in a time scale by reducing two
increments
7.
2022
02
Dismissed from service vide Lr. dt.29.08.2025.
8.
2023
06
--
9.
2024
0
--
10.
2025
0
--
3(b). In the year 2019, the petitioner has put-in only (16) musters and as such, he was issued charge sheet
dt.05.03.2020, a written enquiry was conducted on 05.09.2020 and charges were proved against the petitioner.
However, a lenient view was taken and he was imposed penalty of stoppage of one increment without cumulative
effect. Further during 2020, he has put-in ‗0‘ musters for which charge sheet dt.20.03.2021 was issued and he
submitted explanation on 08.11.2021 which was considered not satisfactory. Enquiry was conducted on 18.11.2021
and however, a lenient view was taken and he was imposed with a penalty of ―Reversion to lower stage in a time scale
by reducing two increments‖ was imposed. Again during 2021, he has put-in ‗0‘ musters for which charge sheet
dt.20.03.2021 was issued and he submitted explanation on 08.11.2021 which was considered not satisfactory. Enquiry
was conducted on 18.11.2021 and however, a lenient view was taken and he was imposed with a penalty of
―Reversion to lower stage in a time scale by reducing two increments‖ was imposed. Again during 2022, he has put-in
only 2-musters. Charge sheet dt.18.01.2023 was issued, he submitted explanation on 10.08.2023 and enquiry was
conducted on 01.09.2023 and show cause notice was issued. But, the petitioner failed to submit any explanation to the
show cause notice and as the charges were proved against the petitioner, the respondents‘ company was constrained to
dismiss the petitioner from service vide Ref. dt.29.08.2025.
3(c). The Respondent Company is providing Medical facilities (as in and out patients) to its employees and their
dependants through its Hospitals and if required the patients will be referred to higher centers for further
treatment/diagnosis. In the same manner, the petitioner was also extended medical facilities by this Respondent
Company for the ailments which he was suffering for. The petitioner has not reported sick in Company‘s Hospitals
during the entire absenteeism period till September, 2023. The petitioner being a habitual and chronic absentee, the
Respondents‘ Company was constrained to dismiss the Petitioner due to his misconduct. The petitioner was not kept
in sick list and was examined by the main hospital and found fit for duty. The averments made by the petitioner in his
petition are false and baseless. He was given full and fair opportunity and natural justice principles were followed
during the enquiry proceedings. He accepted the charges leveled against him and pleaded guilty during enquiry
proceedings. He did not submit any documentary evidence and not produced any witness and the charges were
proved.
3(d). Further, the Petitioner admitted in the enquiry Proceedings that he has not reported sick in any company‘s
Hospital during the absenteeism Period. The averments made at para 7 of the annexure to the Petition that the
respondent No.2 unjustly dismissed him from Service vide ref 29.08.2025 straight away without issuing any prior
show cause Notice are totally false hence denied. The dismissal of the petitioner was not done "straight away" or
without a show cause notice proposing dismissal. The letters dt.19/25.03.2021, 10/11.02.2022, 25.07.2022 explicitly
gave many opportunities to the petitioner. The petitioner's failure to attend (346) days of work during 2022 proved his
unwillingness to improve, leaving dismissal as the only course of action. He was given number of opportunities to
correct himself and to be regular to his duties by imposing minor penalties such as stoppage of one increment without
cumulative effect during 2019, Reversion to lower stage in a time scale by reducing two (02) increments 2020 and
2021. But, he failed to improve his attendance and resorted to unauthorizedly absent for duty during the calendar years
2022, and as there was no change in his attendance, the Respondent Company was constrained to dismiss the
Petitioner. The dismissal of petitioner/Gunti Sadanandam was justified and final disciplinary action following a long
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1553
history of habitual and unauthorized absenteeism. The management provided multiple opportunities to the petitioner
to improve, including counseling with the employee, warnings, suspensions, stoppage of increments and reversion to
lower grade by reducing (02) increments. Despite being found fit for duty by the company's medical staff, he failed to
attend work during this final review period, demonstrating a complete lack of interest in his job.
3(e). The company has adhered to all procedural norms, including conducting a fair inquiry and processing his
terminal benefits, such as his CMPF and gratuity payments. As the petitioner did not improve his attendance in spite
of giving many opportunities, the Respondent Company was constrained to dismiss the petitioner for his chronic
absenteeism. The respondent company‘s standing orders do not speak about of issue of Show cause notice proposing
the punishment to be imposed on the delinquent employee. There is no victimization and the punishment of dismissal
is not harsh and the petitioner was given number of opportunities to correct himself and to be regular to his duties by
imposing minor penalties. But, he has failed to improve his attendance and resorted to unauthorizedly absent for duty.
The petitioner‘s misconduct compelled the Respondent/Management to impose the penalty of dismissal which cannot
be termed as unjust.
3(f). Further, the Respondent Company employs more than 43,600 persons and the production results will depend
upon the overall attendance and performance of every individual. If anyone remain absent without prior sanction of
leave or without any justified cause, the work to be performed get effected. Such unauthorized absence creates
sudden void, which at times is very difficult to fill-up with substitute, and there will be no proper planning and already
planned schedules get suddenly disturbed without prior notice. For that reason every time the company inform its
workers to intimate prior to the unit in-charge so that they may arrange substitute and failing to inform will result in to
production and burden on other employees. The Respondent/Management cannot be held responsible for the alleged
debts and unemployment and the other allegations of the petition are denied and hence the Respondents prayed to
dismiss the petition, without granting any relief to the petitioner.
4. In support of the claim of the Petitioner/Workman Ex.W-1 to Ex.W-50 and on the other side for the Respondents‘-
Company Ex.M-1 to Ex.M-16 were marked, with consent.
5. Arguments of the learned counsel for Petitioner/workman as well as the learned standing counsel for the
Respondents/ Management heard. Perused the record produced before this Tribunal, their rival arguments and
citations.
6.
Now the points for consideration are:-
1.
Whether this Tribunal has jurisdiction to entertain this I.D; and whether the domestic enquiry
conducted by the respondents is held valid or not?
2.
Whether the charges leveled against the petitioner are proved basing on evidence or not?
3.
Whether the dismissal order dt.29.08.2025 is liable to be set aside, if so, the petitioner is entitled to
reinstatement with continuity of service with all attendant benefits and full back wages?
If not to what relief is the worker entitled to?”
7. From the pleadings of the Petitioner/Workman and Respondents‘ Company, these are the admitted facts that the
petitioner/ workman worked as Fitter in the Respondents‘-Company and he was dismissed from service. Now coming
to the documentary evidence on both sides, on behalf of Respondents‘/Company, Ex.M-1 to Ex.M-16 were marked,
wherein, Ex.M-1 is attested Copy of charge sheet issued to petitioner and Ex.M-2 is attested Copy of enquiry
proceedings. Ex.M-3 is attested copy of show cause notice and Ex.M-4 is attested Copy of stoppage of one increment
without cumulative effect. Ex.M-5 is attested Copy of charge sheet issued to the petitioner Ex.M-6 is attested Copy of
enquiry proceedings. Ex.M-7 is attested copy show cause notice. Ex.M-8 is attested Copy of penalty of reversion to
lower stage by reducing two increments. Ex.M-9 is attested copy of charge sheet issued to the petitioner and Ex.M-10
is attested copy Enquiry Proceedings. Ex.M-11 is attested copy of show cause notice and Ex.M-12 is attested copy of
penalty of reversion to lower stage by reducing two increments. Ex.M-13 is attested copy of charge sheet issued to
petitioner. Ex.M-14 is attested copy of enquiry proceedings and Ex.M-15 is attested copy show cause notice. Ex.M-16
is attested copy of dismissal from service order of petitioner.
7(a). On the other side, the petitioner got marked Ex.W-1 to W-50 on his behalf, wherein, Ex.W-1 is Provisional Offer
of appointment order as Fitter trainee (external). Ex.W-2 is Medical prescription of Sai Vasavi Chest & Psychiatric
clinic, Hanamkonda. Ex.W-3 is Medical prescription of Sai Vasavi Chest & Psychiatric clinic, Hanamkonda. Ex.W-4
is Medical prescription of Sai Vasavi Chest & Psychiatric clinic, Hanamkonda and Ex.W-5 is Medical prescription of
Sri Sai Cardiac Centre, Hanamkonda. Ex.W-6 to Ex.W-8 are Medical prescriptions of Sai Vasavi Chest & Psychiatric
clinic, Hanamkonda. Ex.W-9 is Medical prescription of Sri Sai Cardiac Centre, Hanamkonda. Ex.W-10 is Medical
prescription of Vinayaka Neuro Multi Specialty Centre, Hanamkonda. Ex.W-11 is Medical prescription of Suman
Gasto & Liver Centre, Karimnagar. Ex.W-12 is Medical prescription of Vinayaka Neuro Multi Specialty Centre,
Hanamkonda. Ex.W-13 is Medical prescription of Suman Gasto & Liver Centre, Karimnagar. Ex.W-14 is Medical
prescription of Vinayaka Neuro Multi Specialty Centre, Hanamkonda. Ex.W-15 is Medical prescription of Purna
1554
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Laxhsi Neuro Centre, Karimnagar. Ex.W-16 is Medical prescription of Suman Gasto & Liver Centre, Karimnagar.
Ex.W-17 is Medical prescription of The Breathe Clinic, Hanamkonda, Warangal. Ex.W-18 is Medical prescription of
Sahaja Chest Hospital, Godavarikhani. Ex.W-19 and Ex.W-20 are Medical prescriptions of Surendra Nehru Hospital,
Godavarikhani. Ex.W-21 is Medical prescription of Sri Sai Cardiac Centre, Hanamkonda and Ex.W-22 is Iskon
Diagnostics, Hanamkonda Laboratory Report of petitioner. Ex.W-23 is PMSSY-Super specialty Warangal, Coronary
Angiogram report of petitioner. Ex.W-24 is SCCL Reference letter of petitioner to NIMS Hospital, Hyderabad. Ex.W-
25 and Ex.W-26 are NIMS Hospital medical prescriptions of petitioner. Ex.W-27 is SCCL Reference letter of
petitioner to NIMS Hospital, Hyderabad. Ex.W-28 to Ex.W-30 are NIMS Hospital medical prescriptions of petitioner.
Ex.W-31 is SCCL Hospital DISCHARGE CARD of petitioner and Ex.W-32 is SCCL Area Hospital, Ramagundam
Reference letter to SCCL Main Hospital, Kothagudem. Ex.W-33 is SCCL Main Hospital Kothagudem Final
Diagnosis of petitioner showing CAD-S/P-CAG with Myocardial Briding with LV Dysfunction with C-Spandylosis
with Cad-Usa Discharge summary of petitioner. Ex.W-34 is Show cause notice & enquiry proceedings to petitioner to
make representation on the enquiry report. Ex.W-35 is SCCL Area Hospital, Ramagundam Reference letter to SCCL
Main Hospital, Kothagudem. Ex.W-36 is SCCL Main Hospital, Kothagudem to keep the petitioner in Sick List &
review after two months. Ex.W-37 is SCCL Area Hospital, Ramagundam Reference letter to SCCL Main Hospital,
Kothagudem. Ex.W-38 is SCCL Area Hospital Reference letter of petitioner to NIMS Hospital. Ex.W-39 and Ex.W-
40 are NIMS Hospital medical prescriptions of petitioner. Ex.W-41 and Ex.W-42 are SCCL Area Hospital,
Ramagundam Reference letters to SCCL Main Hospital, Kothagudem. Ex.W-43 is Medical prescription of Sri Sai
Cardiac Centre, Hanamkonda NEED for check CAG explained. Ex.W-44 and Ex.W-45 are Medical prescriptions of
Sri Sai Cardiac Centre, Hanamkonda. Ex.W-46 is SCCL Area Hospital UNFIT of petitioner from 14.10.2023. Ex.W-
47 is MEDICOVER Hospital, Cath Procedure of petitioner. Ex.W-48 is Dismissal Office Order of petitioner and
Ex.W-49 is Name removal of petitioner Office Memo. Ex.W-50 is O/c of Demand letter with RP Receipt. The above
documents of both sides are not in much dispute by either side.
8. Here, the learned standing counsel for the respondents‘-company has strenuously argued and raised a Preliminary
Objection in the Counter that since the coal mining industry is a central subject the Appropriate Government for
Respondent/ Management is Central Government, which established Central Govt. Industrial Tribunal, at Hyderabad
for adjudication of Industrial Disputes and the petitioner ought to have approached the said Tribunal for the redressal
of grievance, if any. But, the Petitioner conveniently avoided filing his petition before the Tribunal established by the
Central Government and approached this Tribunal; hence it is not maintainable under law and the same may be
dismissed on this ground alone.
8(a). The learned standing counsel for the respondents‘-company without prejudice to the above preliminary
objection; has put forth and set forth that the petitioner was appointed as Fitter on 18.12.2015 and he being an
underground employee is expected to put minimum (190) Musters in a calendar year. But, he was not regular to his
duties and did not-in (190) musters from the date of his appointing year to till his dismissal from the services. During
the year 2022 the petitioner has put-in only (02) musters for which he was issued with charge sheet dt.18.01.2023. If
he was really suffering from ill health, it becomes his primary responsibility to report sick in Colliery Hospital or he
should have informed to unit officers about his incapability to attend duties and he would have got leave or loss of pay
leave but he did not inform anything. The Respondent Company employs more than 43,600 persons and the
production results will depend upon the overall attendance and performance of every individual. If anyone remain
absent without prior sanction of leave or without any justified cause, the work to be performed get effected. Such
unauthorized absence creates sudden void, which at times is very difficult to fill-up with substitute, and there will be
no proper planning and already planned schedules get suddenly disturbed without prior notice. For that reason every
time the company inform its workers to intimate prior to the unit in-charge so that they may arrange substitute and
failing to inform will result in to production and burden on the other employees.
8(b). The learned standing counsel for the respondents‘-company further argued that during the year 2019 the
petitioner has put in 16 musters against (190) musters which is less that 10% of attendance, as such the Respondent
Company was constrained to take action on him by issuing charge sheet for an unauthorized absenteeism under
Company Standing Order. During the years 2020 and 2021, the Petitioner has put in (0) musters and he was charge-
sheeted vide Charge sheets dt.20.03.2021 and 25.07.2022. Further, during the period from January, 2022 to
December, 2022, the Petitioner has put in 02-musters only. As the above act amounted to misconduct under Company
Standing Orders, he was issued charge sheet dt.18.01.2023 for absenteeism for the year 2022. Enquiry into the charges
leveled against the petitioner was conducted by the Enquiry Officer on 01.09.2023 in which the Petitioner has fully
participated in the enquiry proceedings. He was given full and fair opportunity to defend his case. In his deposition
before the Enquiry Officer, the petitioner admitted charges mentioned in the charge sheet. He accepted his mistake
that he remained absent during the dates mentioned in the charge sheet due to his health problems. However, he did
not submit any other documentary evidence about the alleged ill-health which prevented him from remaining absent
from duties during entire absenteeism period. He further admitted that he was imposed punishment of stoppage of
increment for the year 2019; and reversion to lower stage in a time scale by reducing two increments for year 2020
and 2021. As the charges were proved against the petitioner, show cause notice was issued to submit his explanation
within 7-days on the findings of the E.O. But, he has not submitted any explanation against enquiry findings. Hence,
the respondents‘ company was constrained to impose capital punishment and dismissed from service vide office order
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1555
dt.29.08.2025.
8(c). The learned standing counsel for the respondents‘-company further put forth and set forth that the petitioner was
given number of opportunities to correct himself and to be regular to his duties by imposing minor penalties for 2019
to 2021. But, the Petitioner has failed to improve his attendance and resorted to unauthorizedly absent for duty during
the calendar year 2022 also. He failed improve his attendance during the years 2023 to 2025; and even after giving
opportunities to improve his attendance, the petitioner continued his absenteeism continuously and there is no
improvement in the attendance. The petitioner‘s misconduct has compelled the Respondent/Management to impose
penalty of dismissal which cannot be termed as unjust. The petitioner not utilized the opportunities given by the
company and not improved his attendance. Hence, the Respondent Company dismissed him from service vide order
dt.29.08.2025, which is justified. Hence, he prayed to dismiss the petition, without granting any relief to the
petitioner/workman.
9. Per contra, on the point of jurisdiction and preliminary objection, the learned counsel for the Petitioner/workman
has strenuously put forth and set forth that as per the Division Bench Judgment of the Hon‘ble High Court reported in
1997(III) LLJ (Supp.)11, Between: U. Chinnappa Vs. Cotton Corporation of India, this Tribunal has jurisdiction over
Singareni Collieries Company Ltd., to entertain the Industrial Dispute raised by the petitioner/workman though the
appropriate Govt. is Central Govt., The petitioner need not raise the Industrial Dispute compulsorily before the Central
Govt. Industrial Tribunal, Hyderabad alone, as contended by the respondents‘ company. Hence, this I.D petition filed
by petitioner/ workman is well maintainable before this Tribunal for adjudication of the dispute on merits.
9(a). The learned counsel for the Petitioner/workman further strenuously put forth and set forth that the
Petitioner/Workman was appointed on 18.12.2015 as Fitter. He suffered from chronic ill-health, Heart problem and he
was imparted prolonged medical treatment in the respondents‘ Company Hospitals, Main Hospital, Kothagudem,
NIMS hospital, Hyderabad and other referral hospitals. But, due to underground work his health was not cured
completely. He suffered from chronic ill-health, Heart problem and a case of “CAD with S/p CAG-Mild CAD with
myocardial bridging with Moderate LV dysfunction on medical management with follow up in Neuro Surgery OPD
i/v/o Cervical Spondylosis with degenerative disc disease and disc bulge”. He was imparted prolonged medical
treatment in the respondents‘ Company Hospitals, Main Hospital, Kothagudem, NIMS hospital, Hyderabad and other
referral hospitals. But, due to underground work his health was not cured completely. But, alleging absenteeism to
duties during year 2022, the petitioner was dismissed from service ante-date vide Ref. dt.29.08.2025. Thus, there is
sufficient and reasonable cause for the petitioner for not attending to duties during the above charge sheet period. But
without considering the true facts, the respondent No.2 dismissed the petitioner from service, illegally.
9(b). The learned counsel for the Petitioner/workman further strenuously put forth and set forth that the petitioner
participated in the enquiry, deposed the true facts of his ill-health. But, the enquiry officer did not properly appreciate
the facts and he gave his vague findings, which are quite biased and perverse. But, 2nd respondent straight away
dismissed him from service vide Ref. dt.29.08.2025. No prior Show Cause Notice was issued to the petitioner
proposing the capital punishment of dismissal from service and he was not afforded an opportunity explain as to why
the extreme punishment of dismissal shall not be imposed on him. The petitioner‘s health condition was badly
deteriorated and he suffered from serious ill health, during the charge sheeted period and there is sufficient and
reasonable cause for the petitioner for not attending to duties during charge sheet period.
9(c).
The learned counsel for the Petitioner/workman further put forth and set forth that imposing the capital
punishment of dismissal from service without any prior show cause notice is against the principles of natural justice.
The extremely harsh punishment of dismissal is highly excessive and shockingly disproportionate, which amounts to
economic death of the petitioner. Ever since his dismissal from service, the petitioner is out of employment and could
not secure any other alternative job in spite of his best efforts. He hails from a very poor family and has no other
source of livelihood. Therefore, he prayed to set aside the dismissal order and to direct the Respondents‘-Company to
reinstate the petitioner/workman into service with continuity of service, all consequential attendant benefits and full
back wages.
POINT No.1:
10. Here, on the point of territorial jurisdiction of this Tribunal, it is settled Law that as per the Division Bench
Judgment of the Hon‘ble High Court reported in 1997(III)LLJ(Supp.)11, Between: U. Chinnappa Vs. Cotton
Corporation of India, this Tribunal has got every jurisdiction to entertain the Industrial Dispute raised by the
petitioner/workman who was an employee of Singareni Collieries Company Ltd., Even though, the Central Govt. is
appropriate Govt., for the respondents‘-Company, the petitioner need not compulsorily raise the Industrial Dispute
before the Central Govt. Industrial Tribunal, Hyderabad, as contended by the respondents‘ company; and he can file
this I.D. case before this Tribunal as well. Hence, the contentions of the respondents‘-company on the point of
jurisdiction of this Tribunal are not sustainable under Law. Accordingly, it is answered in favour of the petitioner and
against the respondents‘ Singareni Collieries Company Limited.
11.
Further in this matter, initially the petitioner/workman denied the validity and legality of the enquiry report.
But on 20.01.2026, the learned counsel for petitioner filed Memo U/Sec.11-A of I.D Act by accepting the procedure
of domestic enquiry to be fair and valid. Hence, it can be said the Enquiry Officer has followed the principles of
1556
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
natural justice. Now the next question is, whether the misconduct is proved in the facts of the case and the findings are
not perverse. So, this Tribunal is to re-appreciate the evidence and come to its own conclusion with regard to finding
guilty or not based on evidence. Accordingly, the Point No.1 is answered.
POINT No.2 & 3:
12. In view of the pleadings of the Petitioner/Workman as well as Respondents/corporation as well as in view of the
rival arguments of their respective counsel now this Court will go into the evidence on record. Admittedly, the
petitioner was dismissed from service by Proc. dt.29.08.2025 wherein it is alleged that the petitioner was absent from
duty without sanctioned leave or sufficient cause during the year 2022. From a perusal of the record, it shows that
Charge Sheet dt.18.01.2023 was issued to the petitioner, which is marked as Ex.M-13. It is evident from the charge
sheet that the petitioner absented to duties for 346-days and put-in only 02 actual musters during the year 2022.
Domestic enquiry was conducted and the enquiry proceedings are marked as Ex.M-14. Further, a perusal of Ex.M-14
proceedings of enquiry and enquiry report would goes to show that the Petitioner participated in the domestic enquiry
and deposed that he remained absent on the dates as mentioned in the charge sheet and it was his mistake. He admitted
that charges and pleaded guilty and deposed that due to his own health problems, he did not attend to his duty. He
accepted his mistake for remaining absent during the charge sheet year of 2022 and requested to take a lenient view
for this time and excuse him. He assured that he will put up 20 musters per month and if not, to take action on him. He
further admitted that he was punished with penalty of stoppage of one increment without cumulative effect for the
year 2019; and reversion to a lower stage in a time scale by reducing two increments 2-times i.e., for the year 2020
and 2021.
12(a). From the Enquiry Report which is also under Ex.M-14, it is evident that the petitioner absented to duty without
sanctioned leave and he accepted the charge made under Company‘s standing order 25.25 & 25.31 (Habitual late
attendance or habitual absence from duty without sufficient cause & Absence from duty without sanctioned leave or
sufficient cause or overstaying beyond sanctioned leave) mentioned in the charge sheet dt.18.01.2023 was held
proved. The petitioner has not submitted any documents regarding his health problems in the enquiry to substantiate
his claim. Further, 7-days show cause notice dt.27.10.2023 was issued, which is marked as Ex.M-15 and it appears
that he failed submit any explanation/representation to the respondents. The dismissal order dt.29.08.2025 is marked
as Ex.M-16 wherein it shows that a show cause notice together with a copy of enquiry report and proceedings was
issued to petitioner, so as to make representation against the findings of enquiry. He acknowledged the same and not
submitted any representation to it. As the charges leveled and proved being grave and serious, the petitioner was
dismissed from services of the Company with effect from 01.09.2025.
13. Apart from the above, the petitioner/workman got marked as many as 50 documents as Ex.W-1 to Ex.W-50, which
include medical prescriptions, medical reports and treatment imparted to him. Most of the medical documents
submitted by the petitioner/ workman were issued by the SCCL Hospitals, Vasavi Chest & Psychiatric Clinic, Sri Sai
Cardiac Centre, Vinayaka Neuro Multi Specialty Centre, Suman Gastro & Liver Centre, Purna Laxmi Nuero Centre,
The Breath Clinic, Sahaja Chest & Surendra Nehru Hospital, MEDICOVER Hospital, PMSSY KMC & several other
hospitals, which prima-facie show that the petitioner/workman suffered from ill-health from 2017 to 2025. The
petitioner explained that due to his ill-health problems, he absented to duties during the charge sheeted year of 2022
and prayed to consider his case sympathetically. Thus, it is evident from the enquiry proceedings and enquiry report
under Ex.M-14 as well as the material on record that the petitioner had not put in minimum required musters of 190
during the year 2022. For which, he submitted that due to his ill-health, he was unable to perform duty regularly
during the charge sheet period and submitted several medical prescriptions and reports of SCCL and other referral
hospitals, which are marked as Ex.W-1 to Ex.W-50. Further, the above medical documents of the petitioner lend
support to his enquiry statement under Ex.M-14 showing the ill-health suffered by him. These documents clearly
show that the petitioner/ workman was imparted treatment during the charge sheet period. Hence, the defense put-
forth by the petitioner is plausible and amount to mitigating circumstances.
13(a). However, it is clear that the petitioner has not attended to duties during the charge sheet period and the charges
were amply proved against him. Therefore, it can be said that the respondents/ company has no axe to grind against
the petitioner. Hence, this Tribunal has no hesitation to hold that the charges leveled against the petitioner/workman
are proved and misconduct of the workman is established basing on the evidence and the findings of enquiry officer
are not perverse. But, at the same time much gravity cannot be attributed to the petitioner since his ill-health and
treatment imparted by SCCL and other referral hospitals is supported by the medical documents, which show
reasonable cause for the petitioner‘s absence during the charge sheet period.
14. Now the question is whether the punishment of removal from service is disproportionate or not?
14(a). It is settled law that the object of I.D.Act is to give succor to weaker sections of the society and it is a social
welfare legislation. Here, there is no “Plumbline Precision” for deciding the proportionality of punishment, which
depends upon the facts and circumstances of each case. The Industrial Tribunal/Labour Court is empowered to
exercise discretionary powers U/Sec.11-A of Industrial Disputes Act for judicious adjudication of the industrial
disputes. Several factors like nature of duty, past service past conduct, previous penalties if any and the discipline
required to maintain in the department, victimization and plea of the petitioner/workman and the punishment must be
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1557
commensurate with the gravity of charges against the petitioner/workman etc., by considering the relevant factors and
mitigating circumstances of each case are to be taken into consideration so as to mould the relief appropriately and
reduce the punishment imposed on the workman.
15. Here, the learned counsel for the petitioner/workman submitted that the Petitioner was appointed in the year 2015
as Fitter through notification. The petitioner submitted medical documents showing that respondents have referred the
petitioner to SCCL Hospitals, Vasavi Chest & Psychiatric Clinic, Sri Sai Cardiac Centre, Vinayaka Neuro Multi
Specialty Centre, Suman Gastro & Liver Centre, Purna Laxmi Nuero Centre, The Breath Clinic, Sahaja Chest &
Surendra Nehru Hospital, MEDICOVER Hospital, PMSSY KMC & several other hospitals,during the years 2019-
2025. It appears from the said medical documents submitted by the petitioner that he suffered from ill-health, Heart
problem and a case of “CAD with S/p CAG-Mild CAD with myocardial bridging with Moderate LV dysfunction on
medical management with follow up in Neuro Surgery OPD i/v/o Cervical Spondylosis with degenerative disc disease
and disc bulge”. Further, the petitioner hails from a very poor family, he has got no other livelihood and facing untold
financial problems, and prayed to consider the case U/Sec.11-A of I.D. Act. Here, the learned counsel for the
petitioner relied upon the following citations:-
1)
HON‘BLE SUPREME COURT JUDGMENT REPORTED IN AIR 1988 SC 303 – Between: Scooter India
Ltd, Labour Court, Lucknow & ors:
In this case, the Labour Court while holding that enquiry had conformed to statutory prescriptions and principles
of natural justice, yet held that order of termination was not justified and ordered for reinstating employee
with 75% back wages. Wide powers are vested in Labour Court or Tribunal. Labour Court can temper justice
with mercy and give an opportunity to an erring workman to reform himself. Order of Labour Court granting
relief of reinstatement with 75% back wages was upheld by Hon‘ble Supreme Court.
2)
HON‘BLE HIGH COURT JUDGMENT IN W.A. No.1101/2008 and W.P.No.7671 of 2000, dt.07.04.2009
D.B. Judgment:
In this case, the Labour Court granted reinstatement with continuity of service and half-of back wages. The
Hon‘ble High Court held that since the petitioner remained unemployed from the date of removal, modified
the award of Labour Court by granting full back wages.
3)
Judgment of Hon‘ble Supreme Court, dt.24-08-2009 in Civil Appeal No.5762 of 2009, Between: Coal India
Ltd. & Anr Vs. Mukul Kumar Choudari and others.
4)
Judgment of Hon‘ble Supreme Court dt.14-05-2009 Between: Jagadish Singh Vs. Punjab Engineering
College and others.
In the above Judgments of the Hon‘ble Supreme Court at Sl.No.3 & 4 reveals that the punishment should be in
commensurate with the gravity of the charges and it should not be shockingly disproportionate. Further, this
Tribunal is adhering to the ratio laid down by their Lordships as applicable to the facts of the present case on hand,
to the extent of reinstatement only.
16. Here, this Tribunal relied on a Division Bench Judgment of the Hon‘ble Supreme Court rendered in Civil Appeal
No.2157/1999, dt.08.04.1999 between Ajaib Singh vs. Sirhind Co-op. Marketing-cum-Processing Service Society
Ltd., & another, wherein their lordships held that:-
“The object of Industrial Disputes Act was to give succor to weaker sections of the society. The emergence of the
concept of Welfare State implies an end to exploitation of workman and as a corollary to that collective bargaining
came into it own. The Legislature had intended to protect workmen against victimization and exploitation by the
employer and to ensure termination of Industrial Disputes in a peaceful manner.
“The object of the Act, therefore, is to give succor to weaker sections of the society which is a pre-requisite for
Welfare State. To ensure industrial peace and pre-empt industrial tension, the Act further aims at enhancing the
industrial production which is acknowledged to be life-blood of a developing society. The Act provides a machinery
for investigation and settlement of industrial dispute ignoring the legal technicalities with a view to avoid delays, by
specially authorized Courts which are not supposed to deny the relief on account of the procedural wrangles”.
16(a). Further, in a decision of the Hon‘ble High Court reported in 2012 (1) ALD 220 (DB), wherein their lordships
observed that:-
“The Industrial Disputes Act, 1947 is a social welfare legislation, which required to be interpreted keeping
in view the goals set out in the Preamble and Directive principles of State Policy in Part-IV of the Constitution.
The Labour Court/Industrial Tribunal is conferred with very wide discretion U/Sec.11-A of the Act for granting
appropriate relief”.
17. Here, their Lordships of the Hon‘ble Gujarat High Court in a case rendered on 04.05.1994, Between: Management
of Glaxo India Ltd., Vs. State of Assam and 3 others categorically observed that ―a Labour Court is required to settle
a dispute according to the principles of natural justice, equity and good conscience and law without attaching
1558
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
undue importance to legal technicalities”.
18. Further, it is well settled law that if the Industrial Tribunal/ Labour Court is satisfied that the punishment imposed
on the petitioner/workman is not justified, the Industrial Tribunal/Labour Court is clothed with the power to
reappraise the evidence in the domestic enquiry and satisfy itself whether the said evidence relied on by the Enquiry
Officer or Respondents/ Management established the misconduct alleged against the workman. Further, Sec.11-A
comes into effect only at the time when the Industrial Tribunal/Labour Court consider about the punishment to be
imposed. While previously the Industrial Tribunal/Labour Court had no power to interfere with the punishment, it is
now clothed with such a power. Apart from the above, Industrial Tribunal/Labour Court should temper justice with
mercy and not flog the petitioner/workman to asset our might. The power of ocean does not lie in its tumultuous tides
but in its meditative vastness”. My above view is fortified with the observation of their Lordships of Hon‘ble Madras
High Court in a case Between: High Court of Madras Vs. R.D.Santhana Krishnan dt.21st December, 2021.
19. Here, it is to be noted that the concept of Industrial Dispute is quite broad and with the passage of time its horizon
is being expanded. Further, the disputes are required to be resolved for the purpose of establishing peaceful and
cordial atmosphere in an industry. Peace and harmony are the quintessential aspects which are to be kept in view
while dealing with the “lis” or “controversy” relating to any industry. Apart from the above, whether the impugned
punishment is so disproportionate as to shock the conscience of the Court, has to be decided on the facts of each case,
having due regard to the gravity of misconduct & nature of duties discharged by the delinquent employee.
20. Here, it is pertinent to note that the term ―misconduct‖ is the intentional doing of something which the doer knows
to be wrong, or which he does recklessly, not caring what the result may be. It includes negligence or want of proper
care which an employee is to take. But, it is a fact that “to err is human” and “to forgive is divine”. Keeping the said
spirit into consideration and in the interest of cause of justice, every errant conduct of an employee of an organization
could not be treated as grave misconduct. Further, it is settled law that promoting empathy and understanding by
encouraging forgiveness, which is a divine quality transcending human limitation, should be preferred to anything else
in the given circumstances. My above view is fortified by observation of their Lordships of the Hon‘ble Supreme
Court in a judgment rendered Between: Ratilal Jhaverbhai Parmar Vs State Of Gujarat dt.21st October, 2024.
21. Further, the Hon‘ble Madras High Court observed in a case rendered in Management of Hyudai Motor India Ltd
Vs. T.Sudhakar ... on 31st January, 2022:
“When scales of justice stands balanced in a given case, the tilt to be exercised should be in favour
of the poor workmen rather than the mighty Managements.”
22. Here, I am of the opinion that for promoting ethical behavior and integrity for Public Servants, the Latin Maxim
(Memento Mori: remember that you must die”) acts as a check against selfish to selfless service. It serves as a
reminder that: ―when office is gone, only the legacy of their character remains”. So, the old Adam or old Man or old-
self of him or her must die. Otherwise, it will kill them. In summary, Memento Mori serves as a Sobering, yet
empowering reminder that allows Public Servants to focus on leaving a positive, lasting impact rather than chasing,
selfish and temporary goals.
23. Therefore, by taking a holistic view of the matter, I am of the considered view that the extreme punishment of
removal imposed by the respondents/corporation against the petitioner/workman is harsh, disproportionate and shocks
to conscience of this Tribunal, hence, deserves to be modified since the disciplinary authority cannot be permitted to
act arbitrarily and work like a Roman Knight and it cannot be allowed a fight between David and Goliath as in the
present case on hand. Moreover, facts of this case attracts the proverbial saying “Every saint has a past and every
sinner has a future” and Biblical proverbs “Speak up for those who cannot speak for themselves, for the rights of all
who are destitute‖ and “Speak up and judge fairly; defend the rights of the poor and needy.” Further, “Heavens
would not have fallen if one more opportunity is given for the petitioner”.
24. This Tribunal has perused, analyzed and meditated upon the case at hand, the case laws and principles of law
referred above. In view of the above facts and circumstances and keeping in view of the principle “temper justice with
mercy” and to meet the ends of justice, this Tribunal is of the opinion that the punishment of removal from service
imposed on the petitioner is disproportionate and shocks the conscience of this Tribunal and hence, it deserves to be
modified appropriately. It appears from the record that the petitioner rendered service of 8-years only in the
respondents‘ company and he is out of employment ever since his dismissal from service. Hence, this Tribunal is of
the considered view that denial of entire back wages, continuity of service and all other attendant benefits during the
intervening period from the date of his dismissal to till date and further “Reduction of Pay by TWO Incremental
stages with cumulative effect” would be a deterrent punishment to the petitioner. However, the past service rendered
by the petitioner shall be protected and counted for all purposes. Further, the petitioner shall be kept under observation
for a period six (6) months and in case he commits any misconduct, the respondents‘ company is at liberty to take
stern disciplinary action against him. Hence, the punishment of dismissal from service imposed by the Respondents‘
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1559
Company is hereby modified. Accordingly, the Points 2 & 3 are answered.
25. IN THE RESULT, the petition is partly allowed. The dismissal order dt.29.08.2025 under Ex.M-16 issued by the
Respondent No.2 is hereby modified. The respondents‘ company is directed to reinstate the petitioner into service, but
without any back wages, without any continuity of service and without any attendant benefits during the intervening
period from removal till date and it shall be treated as ―not on duty‖ for all purposes. However, the past service
rendered by the petitioner shall be protected and counted for all purposes. Further, his Pay shall be reduced by TWO
Incremental stages with cumulative effect”. Further, the petitioner shall be kept under observation for a period six (6)
months and in case he commits any misconduct, the respondents‘ company is at liberty to take stern disciplinary
action against him. The petitioner is entitled to the salary only from the date of publication of the Award. Copy of the
Award be sent to the appropriate Government for publication. Both parties shall bear their own costs.
Typed to my dictation, corrected and pronounced by me in the open Court, on this the 06th day of February,
2026.
Dr.T.SRINIVASA RAO, Chairman-cum-Presiding Officer,
APPENDIX OF EVIDENCE
WITNESSES EXAMINED
FOR WORKMAN:-
FOR MANAGEMENT:-
-Nil-
-Nil-
EXHIBITS MARKED
FOR WORKMAN:-
Ex.W-1
Dt.
12.10.2015
Provisional Offer of appointment order as Fitter trainee (external).
Ex.W-2
Dt.
07.04.2017
Medical prescription of Sai Vasavi Chest & Psychiatric clinic,
Hanamkonda.
Ex.W-3
Dt.
19.06.2017
Medical prescription of Sai Vasavi Chest & Psychiatric clinic,
Hanmkonda.
Ex.W-4
Dt.
25.10.2017
Medical prescription of Sai Vasavi Chest & Psychiatric clinic,
Hanamkonda.
Ex.W-5
Dt.
26.10.2017
Medical prescription of Sri Sai Cardiac Centre, Hanamkonda.
Ex.W-6
Dt.
15.12.2017
Medical prescription of Sai Vasavi Chest & Psychiatric clinic,
Hanamkonda.
Ex.W-7
Dt.
19.02.2018
Medical prescription of Sai Vasavi Chest & Psychiatric clinic,
Hanamkonda.
Ex.W-8
Dt.
04.06.2018
Medical prescription of Sai Vasavi Chest & Psychiatric clinic,
Hanamkonda.
Ex.W-9
Dt.
30.06.2018
Medical prescription of Sri Sai Cardiac Centre, Hanamkonda.
Ex.W-10
Dt.
03.07.2018
Medical prescription of Vinayaka Neuro Multi Specialty Centre,
Hanamkonda.
Ex.W-11
Dt.
25.07.2018
Medical prescription of Suman Gasto & Liver Centre, Karimnagar.
Ex.W-12
Dt.
04.09.2018
Medical prescription of Vinayaka Neuro Multi Specialty Centre,
Hanamkonda.
Ex.W-13
Dt.
10.10.2018
Medical prescription of Suman Gasto & Liver Centre, Karimnagar.
Ex.W-14
Dt.
29.10.2018
Medical prescription of Vinayaka Neuro Multi Specialty Centre,
Hanamkonda.
Ex.W-15
Dt.
01.12.2018
Medical prescription of Purna Laxhsi Neuro Centre, Karimnagar.
Ex.W-16
Dt.
21.02.2019
Medical prescription of Suman Gasto & Liver Centre, Karimnagar.
Ex.W-17
Dt.
04.11.2020
Medical prescription of The Breathe Clinic, Hanamkonda,
Warangal.
1560
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Ex.W-18
Dt.
22.06.2021
Medical prescription of Sahaja Chest Hospital, Godavarikhani.
Ex.W-19
Dt.
03.09.2022
Medical prescription of Surendra Nehru Hospital, Godavarikhani.
Ex.W-20
Dt.
-do-
Medical prescription of Surendra Nehru Hospital, Godavarikhani.
Ex.W-21
Dt.
06.09.2022
Medical prescription of Sri Sai Cardiac Centre, Hanamkonda.
Ex.W-22
Dt.
-do-
Iskon Diagnostics, Hanamkonda Laboratory Report of petitioner.
Ex.W-23
Dt.
12.09.2022
PMSSY-Super specialty Warangal, Coronary Angiogram report of
petitioner.
Ex.W-24
Dt.
12.10.2022
SCCL Reference letter of petitioner to NIMS Hospital, Hyderabad.
Ex.W-25
Dt.
18.10.2022
NIMS Hospital medical prescription of petitioner.
Ex.W-26
Dt.
20.10.2022
NIMS Hospital medical prescription of petitioner.
Ex.W-27
Dt.
08.09.2023
SCCL Reference letter of petitioner to NIMS Hospital, Hyderabad.
Ex.W-28
Dt.
12.09.2022
NIMS Hospital medical prescription of petitioner.
Ex.W-29
Dt.
15.09.2023
NIMS Hospital medical prescription of petitioner.
Ex.W-30
Dt.
21.09.2023
NIMS Hospital medical prescription of petitioner.
Ex.W-31
Dt.
16.10.2023
SCCL Hospital DISCHARGE CARD of petitioner.
Ex.W-32
Dt.
19.10.2023
SCCL Area Hospital, Ramagundam Reference letter to SCCL Main
Hospital, Kothagudem.
Ex.W-33
Dt.
26.10.2023
SCCL Main Hospital Kothagudem Final Diagnosis of petitioner
showing CAD-S/P-CAG with Myocardial Briding with LV
Dysfunction
with
C-Spandylosis
with
Cad-Usa
Discharge
summary.
Ex.W-34
Dt.
26.10.2023
Show cause notice & enquiry proceedings to petitioner to make
representation on the enquiry report.
Ex.W-35
Dt.
16.02.2024
SCCL Area Hospital, Ramagundam Reference letter to SCCL Main
Hospital, Kothagudem.
Ex.W-36
Dt.
22.02.2024
SCCL Main Hospital, Kothagudem to keep the petitioner in SICK
LIST & review after two months.
Ex.W-37
Dt.
08.06.2024
SCCL Area Hospital, Ramagundam Reference letter to SCCL Main
Hospital, Kothagudem.
Ex.W-38
Dt.
19.06.2024
SCCL Area Hospital Reference letter of petitioner to NIMS
Hospital.
Ex.W-39
Dt.
25.06.2024
NIMS Hospital medical prescription of petitioner.
Ex.W-40
Dt.
27.06.2024
NIMS Hospital medical prescription of petitioner.
Ex.W-41
Dt.
03.07.2024
SCCL Area Hospital, Ramagundam Reference letter to SCCL Main
Hospital, Kothagudem.
Ex.W-42
Dt.
18.10.2024
SCCL Area Hospital, Ramagundam Reference letter to SCCL Main
Hospital, Kothagudem.
Ex.W-43
Dt.
02.08.2025
Medical prescription of Sri Sai Cardiac Centre, Hanumakonda
NEED for check CAG explained.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1561
Ex.W-44
Dt.
02.09.2025
Medical prescription of Sri Sai Cardiac Centre, Hanamkonda.
Ex.W-45
Dt.
09.09.2025
Medical prescription of Sri Sai Cardiac Centre, Hanamkonda.
Ex.W-46
Dt.
07.09.2025
SCCL Area Hospital UNFIT of petitioner from 14.10.2023.
Ex.W-47
Dt.
10.09.2025
MEDICOVER Hospital, Cath Procedure of petitioner.
Ex.W-48
Dt.
29.08.2025
Dismissal Office Order of petitioner.
Ex.W-49
Dt.
01.09.2025
Name removal of petitioner Office Memo.
Ex.W-50
Dt.
22.09.2025
O/c of Demand letter with RP Receipt.
FOR MANAGEMENT:-
Ex.M-1
Dt.
05.03.2020
Attested Copy of charge sheet issued to petitioner.
Ex.M-2
Dt.
05.09.2020
Attested Copy of enquiry proceedings.
Ex.M-3
Dt.
12.10.2020
Attested copy of show cause notice.
Ex.M-4
Dt.
19.03.2021
25.03.2021
Attested Copy of stoppage of one increment without cumulative
effect.
Ex.M-5
Dt.
20.03.2021
Attested Copy of charge sheet issued to the petitioner.
Ex.M-6
Dt.
18.11.2021
Attested Copy of enquiry proceedings.
Ex.M-7
Dt.
12.01.2022
Attested copy show cause notice.
Ex.M-8
Dt.
10.02.2022
11.02.2022
Attested Copy of penalty of reversion to lower stage by reducing
two increments.
Ex.M-9
Dt.
12.02.2022
Attested copy of charge sheet issued to the petitioner.
Ex.M-10
Dt.
30.03.2022
Attested copy Enquiry Proceedings.
Ex.M-11
Dt.
19.05.2022
Attested copy of show cause notice.
Ex.M-12
Dt.
25.07.2022
Attested copy of penalty of reversion to lower stage by reducing
two increments.
Ex.M-13
Dt.
18.01.2023
Attested copy of charge sheet issued to petitioner.
Ex.M-14
Dt.
01.09.2023
Attested copy of enquiry proceedings.
Ex.M-15
Dt.
27.10.2023
Attested copy show cause notice.
Ex.M-16
Dt.
29.08.2025
Attested copy of dismissal from service order of petitioner.
नई ददल्ली, 6 मार्च, 2026
का.आ. 317.—vkS|ksfxd fookn vf/kfu;e] 1947 (1947 dk 14) dh /kkjk 17 ds vuqlj.k esa] dsUnzh;
ljdkj ई सी एल ds izca/kra= ds lac) fu;kstdksa vkSj muds deZdkjksa ds chp] vuqca/k esa fufnZ’V vkS|ksfxd fookn esa
–
सह
–
] आसनसोल ds iapkV(संदभच संक्या -41/2022
) dks
izdkf'kr djrh gS] tks dsUnzh; ljdkj dks
dks izkIr gqvk FkkA
[सं. एल-22012/78/2022-आई आर(सीएम- II)]
सलोनी, उृ जनदेिक
New Delhi, the 6th March, 2026
S.O. 317.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Reference./41/2022) of the Central Government Industrial Tribunal-
1562
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
cum-Labour Court, Asansol as shown in the Annexure, in the industrial dispute between the Management of ECL
and their workmen, received by the Central Government on 03/03/2026.
[No. L-22012/78/2022 – IR (CM-II)]
SALONI, Dy. Director/Link officer
ANNEXURE
BEFORE THE CENTRAL GOVT. INDUSTRIAL TRIBUNAL -CUM- LABOUR COURT,
ASANSOL.
PRESENT:
Shri Ananda Kumar Mukherjee,
Presiding Officer,
C.G.I.T-cum-L.C., Asansol.
REFERENCE CASE NO. 41 OF 2022
PARTIES: Rajesh Ghosh
(dependant son of Late Dulal Ghosh)
Vs.
Management of Central Kajora Colliery, ECL
REPRESENTATIVES:
For the Union/Workman:
Mr. Rakesh Kumar, President, Koyala Mazdoor Congress.
For the Management of ECL:
Mr. P. K. Das, Advocate.
INDUSTRY:
Coal
STATE:
West Bengal.
Dated:
11.04.2025
AWARD
In exercise of powers conferred under clause (d) of sub-section (1) and sub-section (2A) of Section 10 of the
Industrial Disputes Act, 1947 (14 of 1947), the Government of India through the Ministry of Labour, vide its Order
No. L-22012/78/2022-IR(CM-II) dated 10.08.2022 has been pleased to refer the following dispute between the
employer, that is the Management of Central Kajora Colliery under Kajora Area of Eastern Coalfields Limited and
their workman for adjudication by this Tribunal.
SCHEDULE
“Whether the action of the management of Central Kajora Colliery, Kajora Area, M/s. E.C.Ltd. in not
providing employment on compassionate ground to Sri Rajesh Ghosh dependent son of Late Dulal Ghosh,
Ex- SDL Operator, UM NO. 116231 and in not paying monetary compensation to Smt. Rina Ghosh wife of
Late Dulal Ghosh under the provisions of NCWA is fair, legal and justified? If not, what relief the dependent
of deceased workman is entitled to? ”
1.
On receiving Order No. L-22012/78/2022-IR(CM-II) dated 10.08.2022 from the Government of India,
Ministry of Labour, New Delhi for adjudication of the dispute, a Reference case was registered on 10.08.2022 and an
order was passed for issuing notice to the parties through registered post, directing them to appear and submit their
written statements along with relevant documents in support of their claims.
2.
Rajesh Ghosh, dependant claiming employment and monetary compensation on account of Late Dulal
Ghosh has appeared in person. Mr. Rakesh Kumar, union representative filed a petition on behalf of the union praying
for withdrawing the case on the ground stated therein. Mr. P. K. Das, learned advocate for Eastern Coalfields Limited
is present.
3.
It is submitted by Mr. Kumar that dependent of Late Dulal Ghosh had sought for compassionate employment
on account of legal death of Dulal Ghosh. It is further submitted that prior to his disappearance in the year 2009, Dulal
Ghosh was dismissed from service in the year 2006 on account of his unauthorized absence for a short period. In this
Industrial Dispute dismissal of Dulal Ghosh has not been challenged as such it would not be appropriate for the
dependent to proceed with his claim for compassionate employment in place of his father. Considered. No objection is
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1563
raised. It appears to me that claim made by the union for providing compassionate employment to Rajesh Ghosh is
contingent upon findings as to whether Dulal Ghosh was terminated in a proper manner or not. Since no dispute has
been raised relating to the manner of dismissal of Dulal Ghosh, present Industrial Dispute cannot find logical
conclusion. Industrial Dispute is therefore dismissed for non-prosecution. Let a No Dispute Award be drawn up.
Hence,
ORDERED
that the Industrial Dispute is dismissed for non-prosecution. A No Dispute Award be drawn up in the above
Reference case. Let copies of the Award in duplicate be sent to the Ministry of Labour and Employment, Government
of India, New Delhi for information and Notification.
ANANDA KUMAR MUKHERJEE, Presiding Officer
नई ददल्ली, 6 मार्च, 2026
का.आ. 318.—vkS|ksfxd fookn vf/kfu;e] 1947 (1947 dk 14) dh /kkjk 17 ds vuqlj.k esa] dsUnzh;
ljdkj ई सी एल ds izca/kra= ds lac) fu;kstdksa vkSj muds deZdkjksa ds chp] vuqca/k esa fufnZ’V vkS|ksfxd fookn esa
–
सह
–
] आसनसोल ds iapkV(संदभच संक्या -43/2022
) dks
izdkf'kr djrh gS] tks dsUnzh; ljdkj dks
dks izkIr gqvk FkkA
[सं. एल-22012/80/2022-आई आर(सीएम- II)]
सलोनी, उृ जनदेिक/हलक अजधकारी
New Delhi, the 6th March, 2026
S.O. 318.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Reference./43/2022) of the Central Government Industrial Tribunal-
cum-Labour Court, Asansol as shown in the Annexure, in the industrial dispute between the Management of ECL
and their workmen, received by the Central Government on 03/03/2026.
[No. L-22012/80/2022 – IR (CM-II)]
SALONI, Dy. Director/Link officer
ANNEXURE
BEFORE THE CENTRAL GOVT. INDUSTRIAL TRIBUNAL -CUM- LABOUR COURT,
ASANSOL.
PRESENT:
Shri Ananda Kumar Mukherjee,
Presiding Officer,
C.G.I.T-cum-L.C., Asansol.
REFERENCE CASE NO. 43 OF 2022
PARTIES: Utpal Chakraborty
Vs.
Management of Madhusudanpur Colliery, ECL
REPRESENTATIVES:
For the Union/Workman:
Mr. Rakesh Kumar, President, Koyala Mazdoor Congress.
For the Management of ECL:
Mr. P. K. Das, Adv.
INDUSTRY:
Coal
STATE:
West Bengal.
Dated:
22.04.2025
1564
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
AWARD
On failure of conciliation before the Assistant Labour Commissioner (Central), Raniganj at Durgapur on
02.08.2022 and in exercise of powers conferred under clause (d) of sub-section (1) and sub-section (2A) of Section 10
of the Industrial Disputes Act, 1947 (14 of 1947), the Government of India through the Ministry of Labour, vide its
Order No. L-22012/80/2022-IR(CM-II) dated 29.08.2022 has been pleased to refer the following dispute between the
employer, that is the Management of Madhusudanpur Colliery under Kajora Area of Eastern Coalfields Limited and
their workman for adjudication by this Tribunal.
SCHEDULE
“Whether the demand of Koyla Mazdoor Congress (HMS) vide their letter dated 24.05.2019 against the
action of the Management of Madhusudanpur Colliery, Kajora Area, M/s. E.C. Ltd. in not giving promotion
to Sri Utpal Chakraborty, in Cat-V from Cat-IV as Electrician per cadre scheme is fair, legal and justified?
If yes, what relief the workman concerned is entitled to? ”
1.
On receiving Order No. L-22012/80/2022-IR(CM-II) dated 29.08.2022 from the Government of India,
Ministry of Labour, New Delhi for adjudication of the dispute, a Reference case was registered on 29.08.2022 /
01.09.2022 and an order was passed for issuing notice to the parties through registered post, directing them to appear
and submit their written statements along with relevant documents in support of their claims.
2.
Mr. P. K. Das, learned advocate appeared for the management of Eastern Coalfields Limited. Mr. Rakesh
Kumar, union representative, appearing on behalf of Utpal Chakraborty and filed an application praying for closing
the case on the ground that the concerned employee who raised this dispute for getting promotion from
Category-IV to Category-V as an Electrician has superannuated from service. It is stated in the petition that he does
not want to proceed further in this case. Copy served upon learned advocate for the management. On a perusal of
record, it appears that the case is fixed up today for appearance of the workman and further evidence of workman
witness.
3.
On repeated calls at 12.50 PM Utpal Chakraborty is not found present. Mr. Kumar moved the application for
disposing the case. Considered the application. It appears that the aggrieved workman has already retired from service
and no purpose would be served by continuing the case before this Tribunal. The Industrial Dispute is accordingly
disposed of for non-prosecution. Application filed by the union representative is disposed of. Let a No Dispute Award
be drawn up in the light of my above findings.
Hence,
ORDERED
that the Industrial Dispute is dismissed on consent. Let a No Dispute Award be drawn up in the above
Reference case. Let copies of the Award in duplicate be sent to the Ministry of Labour and Employment, Government
of India, New Delhi for information and Notification.
ANANDA KUMAR MUKHERJEE, Presiding Officer
नई ददल्ली, 9 मार्च, 2026
का.आ. 319.—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj
भारतीय स्ट्टेट बैंक ds izca/kr=] lac) fu;kstdks vkSj muds deZdkjks ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh;
ljdkj औद्योजगक vf/kdj.k@Je U;k;ky; caxyksj ds iapkV (29/2013) izdkf'kr djrh
[सं. एल-12025/01/2026-आई आर(बी- I)-61]
सलोनी, उृ जनदेिक
New Delhi, the 9th March, 2026
S.O. 319—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Ref. 29/2013) of the Cent.Govt.Indus.Tribunal-cum-Labour Court
Bangalore as shown in the Annexure, in the industrial dispute between the management of State Bank of
India and their workmen.
[No. L-12025/01/2026- IR(B-I)-61]
SALONI, Dy. Director
ANNEXURE
BEFORE THE
CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL-CUM-LABOUR COURT, BANGALORE
DATED
: 6th FEBRUARY 2026
PRESENT : Smt. K P INDIRA B.A., LLB.
Presiding Officer
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1565
I D No. 29/2013
I Party
II Party
Sri Susainathan G,
S/o Late F George,
R/a No. 9/1, S Street,
Shantinagar,
BANGALORE – 560 027.
The Deputy General Manager and CDO and Appellate
Authority, State Bank of India, Local head Office, No.
65, St. Mark‘s Road,
BANGALORE – 560 001.
Appearances
I Party :
Sri B D Kuttappa
Advocate
II Party :
Sri Ramesh Upadhyaya
Advocate
1.
The Petition is filed under Sec 2-A(2) of the Industrial Disputes (Amendment) Act, 2010 (for brevity ‗the
Act‘) by the 1st Party workman / former employee of the State Bank of India who was Discharged from Service with
superannuation benefits.
‗the Act‘) by the 1st Party workman / former employee of the State Bank of India who was Discharged from Service
with superannuation benefits.
2.
On receipt of records notice were issued to both the parties and they entered their appearance through their
respective counsel.
3.
The I Party filed Claim Statement stating that while working as Armed Guard in the II Party Local Head
Office he was suffering from diabetes mellitus and Epilepsy from January 2011; that he was deputed to Gold Sales
Department (Sona Ghat) from 16.05.2011; that he had excellent record of service; that he was issued with Charge
Sheet on 11.04.2012 with two charges; that the charges leveled against is without any basis or material particulars and
based on assumption and presumption and II Party was relying upon the discharge certificate issued by Bowring and
Lady Curzon Hospital and the statement of the Security Officer; that the enquiry was held in utter violation of
Principles of Natural Justice; that the Enquiry Officer has not given him reasonable opportunity to defend him in the
enquiry; that the Enquiry Officer has not applied his mind to the facts of the case and that the Disciplinary Authority
without going into the evidence, mechanically confirmed the findings given by the Enquiry Officer and dismissed him
from service w.e.f. 11.10.2012; that the Appellate Authority modified the said dismissal order to discharge from
service on 24.01.2013; that the charges leveled against him were totally disproportionate to the alleged misconduct;
that a dispute CR No. 38/2011 was pending before this Tribunal in which the I Party is also a Union member and the
II Party ought to have taen prior permission from this Hon‘ble Tribunal under Section 33(2)(b) prior to issuance of
order of discharge; that the order of discarge passed against him is nonest and invalid and the same is sought to be set
aside with a further prayer to reinstate him to his original post with back wages from the date of discharge from
service till reinstatement and all other consequential benefits and continuity of service.
ed him from service w.e.f. 11.10.2012; that the Appellate Authority modified the said dismissal order to discharge
from service on 24.01.2013; that the charges leveled against him were totally disproportionate to the alleged
misconduct; that a dispute CR No. 38/2011 was pending before this Tribunal in which the I Party is also a Union
member and the II Party ought to have taen prior permission from this Hon‘ble Tribunal under Section 33(2)(b) prior
to issuance of order of discharge; that the order of discarge passed against him is nonest and invalid and the same is
sought to be set aside with a further prayer to reinstate him to his original post with back wages from the date of
discharge from service till reinstatement and all other consequential benefits and continuity of service.
4.
II Party in its counter statement contended that the I Party was employed as Armed Guard with the duty of
guarding the premises; that he was found sleeping in the premises of the bank; that as he was found sleeping in the
Bank premises, he was shifted to Bowring Hospital by the II Party thinking that he may need some medical attention;
On medical examination he was found to be in a state of intoxication; based on the discharge summary issued by the
Hospital reporting that the I Party was intoxicated, a full-fledged enquiry was conducted affording adequate
opportunity to defend himself and the Enquiry Officer has submitted the Enquiry Report on 31.08.2012 consequent to
which the Disciplinary Authority passed the order of Dismissal on 11.10.2012; that in his appeal the Appellant
Authority has provided a personal hearing to the I party on 24.11.2012; while so the I Party raised the present dispute
before the Assistant Labour Commissioner, Bangalore and the I Party addressed the Conciliation Officer that he is
1566
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
withdrawing the petition and the conciliation officer closed the matter in pursuance of the letter dated 08.01.2013,
then the Appellate Authority, based on the entire material placed before it modified the punishment of Dismissal to
Discharge with Superannuation Benefits without disqualification from future employment; that the medical problem
with which the I Party was said to be suffering has got no relationship with the incident alleged in the charge sheet,
hence, the II Party prayed this Tribunal treject the reference with exemplary costs.
is withdrawing the petition and the conciliation officer closed the matter in pursuance of the letter dated 08.01.2013,
then the Appellate Authority, based on the entire material placed before it modified the punishment of Dismissal to
Discharge with Superannuation Benefits without disqualification from future employment; that the medical problem
with which the I Party was said to be suffering has got no relationship with the incident alleged in the charge sheet,
hence, the II Party prayed this Tribunal treject the reference with exemplary costs.
issal to Discharge with Superannuation Benefits without disqualification from future employment; that the medical
problem with which the I Party was said to be suffering has got no relationship with the incident alleged in the charge
sheet, hence, the II Party prayed this Tribunal treject the reference with exemplary costs.
5.
Based on the rival pleadings placed before this Tribunal my learned predecessor framed the following issues
for trial on 09.09.2014 as follows :
“1. Whether the Domestic Enquiry conducted by the Respondent against the Applicant is fair and
proper?
2. Whether the Order of discharge passed by the Respondent Management against the Applicant
w.e.f. 24.01.2013 is void ab initio for not obtaining approval from this Tribunal in view of the
pendency of CR 38/2011 on the file of this Tribunal?
3. If not, whether the Applicant demonstrates the finding of the Domestic Enquiry is perverse
necessitating due interference of this Tribunal?
4. If not, whether the punishment imposed is disproportionate to the misconduct proved against
the Applicant?
5. What Order / Award?
6.
Based on the above pleadings Issue No. 1 was treated as preliminary issue and the matter came to be
posted for Evidence of II Party. Both sides adduced evidence and the preliminary issue stood answered in the
affirmative on 08.08.2019 holding that the enquiry held against the I Party by the II Party is fair and proper
and the matter was posted for Argument. On 07.02.2020 I party filed an application under Section 11 of ID Act
seeking permission to adduce evidence and filed an affidavit in lieu of his examination in chief and sought
permission to produce documents in support of the allegations made in the affidavit. While so it is reported
before this Tribunal that the I Party workman Sri Susainathan expired and the matter was posted for taking
steps to implead his legal representatives. Despite having afforded ample opportunities no legal representatives
of the I Party workman did come on record, the matter was then heard on behalf of the management.
7.
Eventually the Argument advanced by the II Party is heard in detail.
8.
Issues No. 1 and 5: The history of the case narrated above clearly indicates that the I Party could not
pursue the case subsequent to the submission of his claim statement due to his untimely death. Though he was
represented by his counsel until then, subsequent to his death the learned counsel did not take any effective
steps to bring the legal heirs of the deceased workman on record. So literally this Tribunal is incapacitated to
put on record any valid case of the I Party workman to be controverted by the contesting II Party.
9.
The factum of death of the I Party is seen recorded on 28.02.2025 as informed by the learned counsel
for the I Party. Copy of the death certificate is not forthcoming from the side of the I Party. As already
observed, no legal heirs have come on record to prosecute the case anymore. So much so, necessarily the claim
stands abated as necessary steps have not been taken in time to implead the legal heirs / legal representative of
the late workman or any steps to condone the delay in impleading the LRs and to set aside abatement of the
claim. In this scenario this reference is to be answered as the claim stands abated as the I Party workman died
long ago without the matter being persued by any of the legal representatives. Hence, the following award.
AWARD
Reference is recorded as abated. Transmit.
(Dictated to Secretary to Court, transcribed by him, corrected and signed by me on 5th February 2026)
K P INDIRA , Presiding Officer
नई ददल्ली, 9 मार्च, 2026
का.आ. 320.—vkS|ksfxd fookn vf/kfu;e] 1947 (1947 dk 14) dh /kkjk 17 ds vuqlj.k esa] dsUnzh;
ljdkj ई सी एल ds izca/kra= ds lac) fu;kstdksa vkSj muds deZdkjksa ds chp] vuqca/k esa fufnZ’V vkS|ksfxd fookn esa
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1567
–
सह
–
] आसनसोल dsiapkV(संदभच संक्या -29/2023
) dks
izdkf”kr djrh gS] tks dsUnzh; ljdkj dks
dks izkIr gqvk FkkA
[सं. एल-22013/01/2026-आई आर(सीएम- II)]
सलोनी, उृ जनदेिक/हलक अजधकारी
New Delhi, the 9th March, 2026
S.O. 320.—hIn pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Reference. 29/2023) of the Central Government Industrial Tribunal-
cum-Labour Court, Asansol as shown in the Annexure, in the industrial dispute between the Management of ECL
and their workmen, received by the Central Government on 06/03/2026.
[No. L-22013/01/2026 – IR (CM-II)]
SALONI, Dy. Director/Link officer
ANNEXURE
BEFORE THE CENTRAL GOVT. INDUSTRIAL TRIBUNAL -CUM- LABOUR COURT,
ASANSOL.
PRESENT:
Shri Ananda Kumar Mukherjee,
Presiding Officer,
C.G.I.T-cum-L.C., Asansol.
REFERENCE CASE NO. 29 OF 2023
PARTIES:
Manoj Kumar Pati
Vs.
Management of Madhusudanpur Colliery, Kajora Area of M/s. ECL
REPRESENTATIVES:
For the Workman:
Mr. Rakesh Kumar, President, Koyala Mazdoor Congress.
For the Management of ECL: Mr. P.K. Das, Advocate.
INDUSTRY:
Coal.
STATE:
West Bengal.
Dated:
10.12.2025
AWARD
The above named workman being represented by President, Koyala Mazdoor Congress raised an Industrial
Dispute before the Dy. CLC(C), Asansol through Samadhan portal dated 01.01.2023. The contention of the union is
that Manoj Kumar Pati, a General Mazdoor bearing U.M. No.102066 was posted at Madhusudanpur Colliery, Kajora
Area. By order dated 09.08.2013, Manoj Kumar Pati was deployed to perform the duty of attendance clerk at
Madhusudanpur Colliery but after rendering continuous service for a long period, the management of ECL refused to
regularize his service as attendance clerk. A conciliation proceeding was held which resulted in failure. The
Government of India through the Office of the Deputy Chief Labour Commissioner (Central), Asansol issued Order
No. 1(10)/2023/E. dated 22.05.2023 whereby in exercise of powers conferred by clause (d) of sub-section (1) and sub-
section (2A) of Section 10 of the Industrial Disputes Act, 1947 (14 of 1947) referred the scheduled dispute for
adjudication by this Tribunal.
SCHEDULE
“ Whether the action of the management of Madhusudanpur Colliery, Kajora Area, M/s. ECL in not paying
the amount of differencial wages and not regularisation to the post of Attendance Clerk to Sri Manoj Kumar
Pati is justified or no ? If not, what relief the workman is entitled to”.
1.
On receiving Order No. 1(10)/2023/E. dated 22.05.2023 from the Office of the Deputy Chief Labour
Commissioner (Central), Asansol, Ministry of Labour, Government of India, for adjudication of the dispute a
Reference case was registered on 30.05.2023 and an order was passed for issuing notice to the parties through
registered post, directing them to appear and submit their written statements along with relevant documents in support
of their claims.
2.
Manoj Kumar Pati filed written statement on 13.09.2023 through Koyala Mazdoor Congress. The facts which
unfolded from the written statement is that Manoj Kumar Pati, a permanent employee of ECL was posted as General
1568
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Mazdoor. Subsequently he was deployed as attendance clerk against permanent vacancy for managing attendance of
the employees at Madhusudanpur Colliery. He performed his duty continuously till initiating this Industrial Dispute. It
is contended that the workman requested the management to pay him difference of wage of Clerk Grade-II and the
amount which was being paid to him as a General Mazdoor in Cat-I. The aggrieved workman also requested the
management for regularizing him in the post of Clerk but the management of ECL did not consider his request.
Further case of union is that according to the Memorandum of Settlement dated 02.08.2013, Manoj Kumar Pati was
deployed as attendance clerk but the management did not pay him the wages of Clerical Grade-II. It is asserted that
the management regularized number of workers as Clerk without any test or examination. It is submitted that
Ramakant Yadav, Sudip Mitra, Bhakta Das Badyakar, Ramawadh Bouri of the same colliery were regularized as clerk
without undergoing any test or examination. Accordingly, Manoj Kumar Pati, who performs service in the capacity of
clerk for ten years without any promotion should be regularized to the post of clerk as per the provision of Certified
Standing Order of the company, which lays down that if a worker performed any particular job continuously for a
period of three months or above, he should be regularized to that post. It is further ascertained that management of
Madhusudanpur Colliery have the requirement of attendance clerk and Manoj Kumar Pati fulfills all the requirements
for the post of clerk, as such he should be regularized to that post and should be paid difference of wages from the
date of his working as a clerk.
3.
Management of ECL contested the case by filing written statement on 13.09.2023. The version of the
management is that the post of attendance clerk comes under Clerical Grade as it is a centralized post. Selection to
clerical post is done by the ECL Headquarters and for this purpose notifications are issued from time to time for filling
vacancy in the post. Candidates having requisite qualification are required to apply for this post and they are selected
for clerical posts only after they qualify in the selection test conducted by the management. Therefore, the workman is
not entitled to be regularized to the post of clerk unless he fulfills certain criteria. It is admitted by the management
that the Manoj Kumar Pati has been placed to manage attendance work at colliery Pit No. 7 vide Office Order No.
MSP/6/689 dated 09.08.2013. It is further stated that in case of encadrement/regularization of a workman from
General Mazdoor Cat-I to Clerk Grade-III, no incremental benefit is given if the prevailing basic of the General
Mazdoor is more than the minimum basic of Clerk Grade-III. If the prevailing basic of the concerned workman is less
than the minimum basic of Clerk Grade-III, then the workman is given the benefit by fixing his pay at minimum basic
of Clerk Grade-III. Displaying a chart, showing comparative basic pay of Manoj Kumar Pati and the minimum
monthly basic of Clerk Grade-III from the year 2013 to 2023, Management claimed that basic pay of Manoj Kumar
Pati since 2013 was already more than the minimum basic pay of Clerk Grade – III. As such no difference of wage is
payable to the workman and the workman is not entitled to any outstanding dues. It is urged that Manoj Kumar Pati
was never regularized to the post of Clerk Grade -III and he is not entitled to any benefit claimed.
4.
The central point for consideration is whether Manoj Kumar Pati, a General Mazdoor, deployed as
attendance Clerk should be regularized to the said post and whether he is entitled to payment of any difference of
wages.
5.
Union examined Manoj Kumar Pati as WW-1. He filed an affidavit-in-chief and claimed that in a
Memorandum of Settlement dated 02.08.2013, management agreed to place him as attendance clerk along with other
workman and Office Order No. MSP/6/689 dated 09.08.2013 was issued. The witness further averred that the
management received the benefit of service rendered by him for several years but did not place him in Clerk Grade-II
and did not pay him difference of wages between General Mazdoor and Clerk Grade-II. The workman claimed that he
completed one year of service as attendance clerk on 01.09.2014 and should be paid the wage of Clerk Grade-II w.e.f.
01.09.2014. In respect of the comparative chart showing statement of wages from 2013 to August 2023, the workman
claimed that he had been performing the job of Clerk Grade-II and the basic pay of Clerk Grade-II should have been
taken into consideration instead of Clerk Grade-III. The workman witness further stated that the management of
Kajora Area as well as other areas of ECL had sent the names of other employees of ECL for regularization who were
deployed to work in clerical jobs and the competent authority of ECL approved the proposal of their regularization. It
is urged that the regularization process should also be considered with consistency but the management adopted pick
and choose policy according to their wish, ignoring legitimate claims.
During examination-in-chief, the workman produced the following documents:
(i)
Copy of identity card is produced as Exhibit W-1.
(ii)
Copy of Office Order dated 09.08.2013 produced as Exhibit W-2.
(iii)
Copy of Memorandum of Settlement in Form ‗H‘ dated 02.08.2013 is produced as Exhibit W-3.
(iv)
Copy of application dated 19.05.2017 submitted to Personnel Manager for regularization as
attendance clerk is produced as Exhibit W-4.
(v)
Copy of application dated 13.09.2021 for regularization as attendance clerk is produced as Exhibit
W-5.
(vi)
Copy of Office Order dated 21.01.2011 is produced as Exhibit W-6.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1569
(vii)
Copy of letter dated 14.01.2011 for regularizing some employees as Clerk Grade-III is produced as
Exhibit W-7.
(viii)
Copy of Memorandum of Settlement dated 09.02.2023 is produced as Exhibit W-8.
(ix)
Copy of proposal dated 06.05.2019 initiated at Colliery level for regularization of Manoj Kumar Pati
to the post of Attendance clerk is produced as Exhibit W-9.
It appears from his examination in chief that Manoj Kumar Pati was initially appointed at Kalidaspur Colliery, ECL
and he came on transfer to Madhusudanpur Colliery in 2004. After he was placed as attendance clerk on the basis of a
settlement dated 02.08.2013 (Exhibit W-3), the workman submitted an application dated 19.05.2017 before Personnel
Manager for his regularization to the post of attendance clerk (Exhibit W-4). He submitted another application for his
regularization as attendance clerk (Exhibit W-5). He produced a copy of Office Order dated 21.01.2011 whereby
similarly placed workers were regularized in their respective posts where they were deputed to work. Copy of Office
Order dated 21.01.2011 has been produced as Exhibit W-6. The workman produced a copy of Memorandum of
Settlement where the management agreed to pay difference of wages on regularization (Exhibit W-8). Thereafter, a
proposal dated 06.05.2019 was initiated at the Colliery level regarding regularization of Manoj Kumar Pati to the post
of attendance clerk (Exhibit W-9). The workman claimed that at present he receives a daily wage of Rs. 2713.51 per
day but could not state the difference of wages he would be entitled to if regularized. In cross-examination, the
witness denied that in all cases before posting in clerical grade, a selection procedure has to be carried out. Workman
denied that for regularization in clerical grade, the preconditions which have to be fulfilled are educational criteria and
participation in the selection process. Witness deposed that in many cases, persons have been posted in clerical cadre
without any selection test. It transpires from his testimony that he was not aware about the notifications of 05.06.2014,
11.02.2016 and 02.02.2018 issued by the management for holding written examination for the post of Clerical Grade-
III. The witness was unable to state if other employees of the establishment applied for the post of clerical grade. The
witness admitted that if his basic pay was computed on the basis of daily wage @ Rs. 2713.51 for twenty six days, his
basic pay would be more than starting pay in the post of attendance clerk.
6.
Mr. Proloy Dasgupta, management witness filed an affidavit-in-chief admitting the factual aspects. The
witness has clearly stated in paragraph 4 of the affidavit that the post of attendance clerk is a centralized post and
selection to clerical grade is carried out by ECL Headquarters. It is stated that notifications are issued from time to
time according to vacancy in the post and candidates having requisite qualification apply for the post and their
selection to the post of clerical grade is considered only after qualifying in the selection test. The aggrieved workman
not having fulfilled such requirements do not qualify to be regularized to the post of clerk. The witness stated that in
case of regularization from General Mazdoor Cat-I to Clerk Grade-III, no incremental benefit is given if the basic of
the concerned workman aspiring for the post in Clerk Grade has a higher minimum pay than the basic pay of Clerk
Grade-III. The witness further deposed that since 2013, Manoj Kumar Pati was already receiving more than the
minimum basic of Clerk Grade-III, he is not entitled to any difference of wage or any outstanding dues.
In course of his examination-in-chief, the management witness produced the following documents:
(i)
Copies of notifications dated 05.06.2014, 11.02.2016 and 02.02.2018, inviting applications for Clerk
Grade-III are produced as Exhibit M-1, Exhibit M-1/2 and Exhibit M-1/3 respectively.
(ii)
Copy of service book of Manoj Kumar Pati is produced as Exhibit M-2.
(iii)
Copy of Office Order dated 09.08.2013 is produced as Exhibit M-3.
(iv)
Copy of Memorandum of Settlement in Form-H is produced as Exhibit M-4.
(v)
Copy of letter dated 29.10.2017 informing Manoj Kumar Pati of vacancies in Clerical post is
produced as Exhibit M-5.
(vi)
Copy of comparative salary chart of Manoj Kumar Pati as General Mazdoor Cat-I and Clerk Grade-
III is produced as Exhibit M-6.
(vii)
Copies of payslips of Manoj Kumar Pati from 2013-2024 are produced as Exhibit M-7.
(viii)
Copies of Office Orders dated 16.06.2013 and 11.01.2020 granting SLP to Manoj Kumar Pati are
produced as Exhibit M-8 and M-8/1.
(ix)
Copy of attendance statement of candidates appearing for Clerk Grade-III Exam is produced as
Exhibit M-9.
(x)
Copy of cadre scheme is produced as Exhibit M-10.
(xi)
Copy of notification dated 02.02.2018, inviting applications for Clerk Grade-III is produced as
Exhibit M-11.
(xii)
Copy of Office Order dated 25.04.2019 by which 12 candidates of ST, 22 candidates of SC and 117
candidates of general category were selected in the post of clerk grade-III is produced as
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THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Exhibit M-12.
During cross-examination, the management witness deposed that Ramakant Yadav and Ramawadh Bouri were
regularized as Store Clerk Grade-III from their earlier post of Clerk Grade-III on the basis of recommendation of
Departmental Promotion Committee. It transpires from further cross-examination of MW-1 that the aforesaid persons
did not apply in response to any notification and their selection was not through any test. So far as circulation of
notification is concerned, the witness stated that it was displayed on the Notice Board and no separate notice were
issued to eligible candidates. It may be gathered from the cross-examination of management witness that Manoj
Kumar Pati is functioning as attendance clerk from the year 2013 without interruption. The witness also admitted that
Manoj Kumar Pati is matriculate and he served for more than three years in the post of attendance clerk. The witness
admitted that apart from holding test there is process for selection by fulfillment of educational qualification as well as
length of service of candidate and he is also required to undergo an examination held by the management. The witness
deposed that Ramakant Yadav and Ramawadh Bouri were regularized to Clerk Grade-III in the year 2011 on the
recommendation of departmental promotion committee/selection committee of ECL headquarters but the witness was
unable to state if any test was held for their regularization to the post of Clerk Grade-III. A suggestion was put to
management witness by the union representative that Ramakant Yadav and Ramawadh Bouri were regularized to the
post of Clerk Grade-III without any examination or appearing in a test which the witness denied. No specific
document was thereafter produced by the management to establish that examination was held for regularization of the
two workmen in clerical grade.
7.
Mr. Rakesh Kumar, union representative argued that Manoj Kumar Pati was placed as attendance clerk on
the basis of a Memorandum of Settlement. He performed satisfactorily in the said capacity for several years, since
August 2013 but the management of ECL did not considered his application for regularization to the post and no
difference of pay has been granted in favour of the workman for the duties performed by him. It is argued that Manoj
Kumar Pati is a matriculate. It is argued by the union representative that several other workmen from other Collieries
have been deployed and then regularized as Clerk without undergoing any selection process or any examination. In
the instant case, the workman has been functioning against a vacant post and the management should regularize him in
the said post and paid his dues towards difference of pay for the work done by him as attendance clerk.
8.
P.K. Das, learned advocate for the management strenuously argued that initially the workman was placed at
Pit No. 7 of Madhusudanpur Colliery to manage the attendance work w.e.f. 09.08.2013 on the basis of Memorandum
of Settlement but he was never posted as a clerk and he is not entitled to the benefit of being regularized or being
granted the difference of pay between the post of Clerk Grade-III and General Mazdoor unless he applied against a
notification issued from time to time to fill such post. Only after appearing in the selection test and on being
recommended by the Departmental Promotion Committee, an employee can be posted in the clerical grade.
9.
I have considered the rival arguments in the light of facts and circumstances of the case disclosed in the
pleadings and evidence adduced by both parties. It is abundantly clear that Manoj Kumar Pati who was initially posted
as a General Mazdoor on 09.01.2004 (Exhibit W-1), was deployed to function as an attendance clerk from 09.08.2013,
on the basis of an Office Order produced as Exhibit W-2. It appears from the record that Memorandum of Settlement
under section12(3) of Industrial Disputes Act, 1947 was executed on 02.08.2013 by representatives of the union and
the management wherein it was agreed before the Assistant Labour Commissioner (Central), Raniganj that Manoj
Kumar Pati would be placed to manage attendance work at Madhusudanpur Colliery. Copy of Form ‗H‘ has been
produced as Exhibit W-3. Though Manoj Kumar Pati claimed that he was placed as attendance clerk, both the
Memorandum of Settlement dated 02.08.2013 and Office Order dated 09.08.2013 disclose that he was placed to
manage the attendance work at Madhusudanpur Colliery and certainly it was not any placement order as attendance
clerk. The workman has been continuously rendered service in the capacity of attendance clerk since 09.08.2013. The
concerned workman made several representations before the Manager (Personnel) and Agent, Madhusudanpur
Colliery seeking his regularization to the post of attendance clerk. Copies of applications dated 19.05.2017 and
13.09.2021 have been produced as Exhibit W-4 and W-5 respectively. On 06.05.2019, a proposal was made for
regularization/encadrement of two employees namely Manoj Kumar Pati and Subhas Sahana, Switch Board attendant
to the post of Clerk Grade-III. A copy of the proposal signed by the Deputy Manager (Personnel) has been produced
by the union as Exhibit W-9. From the aforesaid documents, it is affirmed that the management of ECL was fully
conscious that Manoj Kumar Pati is functioning as Clerk Grade-III and that he proposed for his regularization.
Workman has produced copy of Office Order dated 21.01.2011 at Exhibit W-6 which reveals that on recommendation
of Departmental Promotion Committee constituted at the headquarter level, the competent authority upon
recommendation of Departmental Promotion/Selection Committee constituted at headquarter level regularized
Ramakant Yadav and Ramawadh Bouri as Clerk Grade-III. The management witness in his cross examination dated
06.11.2024 deposed that Ramakant Yadav and Ramawadh Bouri Clerk Grade-III were regularized as Clerk Grade-III
on recommendation of Departmental Promotion Committee and further stated that their selection was not based on
any test. It is therefore manifestly clear that management of ECL while regularizing some of its employees to the post
of clerical cadre did not issue any prior notification and the concerned persons without applying against any
notification and without appearing in any examination were recommended to fill up clerical posts.
10.
Mr. Das has produced copies of notification dated 05.06.2014, 11.02.2016 and 02.02.2018 which are
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1571
notifications for the written examination for selection to Clerk Grade-III from eligible departmental candidates. Manoj
Kumar Pati in his evidence stated that he was not informed about such circulars. According to the management, if a
person from a lower cadre is placed to function as a clerk, he would not be entitled to any difference of pay if the basic
pay of the person so deployed is more than the minimum basic pay of Clerk Grade-III. It has been argued that Manoj
Kumar Pati was receiving higher pay than the minimum pay of Clerk Grade-III. Therefore, he is not entitled to get
difference of pay. In the instant case, the aggrieved workman has rendered continuous service as attendance clerk for
ten years without being regularized to the post. The management has relied upon a scheme for Ministerial Staff in the
general Clerical Cadre which has been circulated vide II No. 34 dated 17.07.1984. For the purpose of being designated
as Clerk Grade-III, the required minimum qualification is matriculation or any equivalent examination from any
recognized Board of Examination and he would be eligible for promotion to the post of Clerk Grade-II by the
recommendation of Departmental Promotion Committee. In the instant case, it would appear from the written
statement and affidavit-in-chief of management witness that in the year 2013, Manoj Kumar Pati was receiving a
higher basic pay as General Mazdoor than the minimum basic pay of Clerk Grade-III. Since 09.08.2013, the workman
has rendered continuously served as attendance clerk of Madhusudanpur Colliery. Admittedly, the aggrieved
workman is a matriculate. MW-1 in his cross-examination has admitted that Manoj Kumar Pati is a matriculate and he
has served for more than three years as attendance clerk. By dint of such educational qualification and experience he
is already receiving a basic pay higher that Clerk Grade-III. Manoj Kumar Pati is found eligible for his regularization
to the post of Clerk Grade-III immediately on completion of three years in the clerical post. Therefore, he is entitled to
be regularized to the post Clerk Grade-II w.e.f. 09.08.2016. There is preponderance of evidence to prove that
regularization of subordinate staff members to clerical grade of the management were considered on the basis of their
educational qualification and experience without holding any examination or separate selection process. The case of
Ramakant Jadhav and Ram Awadh Bouri clearly indicate that they were regularized to the post of Clerk Grade-III
without any selecting procedure. The management should certainly strive to bring about a parity in treatment of its
employees. I therefore hold that Manoj Kumar Pati is entitled to be regularized to the post of Clerk Grade-II and is
entitled to difference of wage between Clerk Grade-II and pay received by him w.e.f. 09.08.2016 and disburse the
dues in respect of the difference of pay in the post of Clerk Grade-II w.e.f. 09.08.2016 within a period of three months
from communication of this order.
Hence,
ORDERED
The Industrial Dispute is allowed in part against the management of ECL. Manoj Kumar Pati be regularized
to the post of Clerk Grade-II w.e.f. 09.08.2016 and he shall also be entitled to receive difference of pay for the post of
Clerk Grade-II w.e.f. 09.08.2016. Management of ECL shall complete the entire procedure within three months of
communication of this order. Let copies of the Award in duplicate be sent to the Ministry of Labour, Government of
India, New Delhi for information and Notification.
ANANDA KUMAR MUKHERJEE, Presiding Officer
नई ददल्ली, 9 मार्च, 2026
का.आ. 321.—vkS|ksfxd fookn vf/kfu;e] 1947 (1947 dk 14) dh /kkjk 17 ds vuqlj.k esa] dsUnzh; ljdkj
ई सी एल ds izca/kra= ds lac) fu;kstdksa vkSj muds deZdkjksa ds chp] vuqca/k esa fufnZ’V vkS|ksfxd fookn esa
–
सह
–
] आसनसोल ds iapkV (संदभच संक्या -39/2022
) dks izdkf'kr
djrh gS] tks dsUnzh; ljdkj dks
dks izkIr gqvk FkkA
[सं. एल-22012/76/2022-आई आर(सीएम- II)]
सलोनी, उृ जनदेिक/हलक अजधकारी
New Delhi, the 9th March, 2026
S.O. 321.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Reference. 39/2022) of the Central Government Industrial Tribunal-
cum-Labour Court, Asansol as shown in the Annexure, in the industrial dispute between the Management of ECL
and their workmen, received by the Central Government on 06/03/2026.
[No. L-22012/76/2022 – IR (CM-II)]
SALONI, Dy. Director/Link officer
1572
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
ANNEXURE
BEFORE THE CENTRAL GOVT. INDUSTRIAL TRIBUNAL -CUM- LABOUR COURT,
ASANSOL.
PRESENT:
Shri Ananda Kumar Mukherjee,
Presiding Officer,
C.G.I.T-cum-L.C., Asansol.
REFERENCE CASE NO. 39 OF 2022
PARTIES: Rabilal Majhi
Vs.
Management of Khas Kajora Colliery, ECL
REPRESENTATIVES:
For the Union/Workman:
Mr. Rakesh Kumar, President, Koyala Mazdoor Congress.
For the Management of ECL:
Mr. P. K. Das, Advocate.
INDUSTRY:
Coal.
STATE:
West Bengal.
Dated:
01.01.2026
AWARD
In exercise of powers conferred under clause (d) of Sub-section (1) and Sub-section (2A) of Section 10 of the
Industrial Disputes Act, 1947 (14 of 1947), the Government of India through the Ministry of Labour, vide its Order
No. L-22012/76/2022-IR(CM-II) dated 03.08.2022 has been pleased to refer the following dispute between the
employer, that is the Management of Khas Kajora Colliery under Kajora Area of Eastern Coalfields Limited and their
workman for adjudication by this Tribunal.
SCHEDULE
“Whether the demand of the President, Koyala Mazdoor Congress (HMS), Asansol in his letter dated
26/6/2021 (copy enclosed) to reinstate in service to Sri Rabila! Majhi. U.G. Loader, who was dismissed vide letter
No.KA:PM:C-6:10:3369/24 dated 9/01/1996(copy enclosed) against the action of the management of Khas Kajora
Colliery, Kajora Area, M/s E.C.Ltd. in their letter No. KKC/P&IR/C-6/Re-State/331 dated 12/08/2011 (copy
enclosed), is proper, legal and justified? If yes, what relief the workman concerned is entitled to? ”
1.
On receiving Order No. L-22012/76/2022-IR(CM-II) dated 03.08.2022 from the Government of India,
Ministry of Labour, New Delhi for adjudication of the dispute, a Reference case was registered on 10.08.2022 and an
order was passed for issuing notice to the parties through registered post, directing them to appear and submit their
written statements along with relevant documents in support of their claims.
2.
Rabilal Majhi, the dismissed workman filed written statement in this case on 27.03.2023 through
Mr. Rakesh Kumar, President, Koyala Mazdoor Congress. In gist, the fact of the case as disclosed in their written
statement is that Rabilal Majhi was a permanent employee and posted as an Underground Trammer, bearing U.M. No.
552834 at Khas Kajora Colliery under Kajora Area of Eastern Coalfields Limited (hereinafter referred to as ECL).
Rabilal Majhi could not attend his duty w.e.f. December 1993 due to his illness. The management of ECL issued
Charge Sheet against him on 23.05.1994. After recovery from illness the workman reported for his duty but he was
not allowed to join. Management issued Charge Sheet bearing No. KKK/P&IR/C-6/19/94 dated 23.05.1994. The
Charge Sheet was not served upon Rabilal Majhi as it was sent to his home address while he was residing at the
Colliery. Management conducted ex-parte enquiry against the workman without service of Novice of enquiry and he
was dismissed from service of the company on the basis of the order of dismissal bearing No. KA:PM:C-
6:10:3369/211 dated 09.01.1996. It is contended that no second Show Cause Notice was served upon the workman
and the management of ECL imposed a disproportionate and harsh punishment upon the workman without complying
settled law laid down by the Hon'ble Supreme Court of India, which provides that a second Show Cause Notice should
be issued to the workman before the final order of punishment is passed if the Enquiry Officer and Disciplinary
Authority are not the same person. According to the workman the Enquiry Officer should have ensured service of
Charge Sheet and Notice of enquiry before holding ex-parte enquiry and a second Show Cause Notice and Enquiry
Proceeding with findings ought to have been served upon the workman before the order of dismissal was issued. Non-
compliance of such procedure gives rise to breach of natural justice and a punishment of dismissal from service due to
absence from duty for a period of five months and twenty-two days is disproportionate to the alleged misconduct. It is
urged that the ex-parte order of dismissal is liable to be set aside and the workman should be reinstated in his service
with full back wages since the date of his dismissal. The workman also submitted that according to the Memorandum
of Settlement dated 22.05.2007 a dismissed workman had the right to submit mercy appeal which was to be forwarded
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1573
by the colliery and Area management to the ECL Headquarters for consideration and if the period of absence from
duty was less than nine months and the age of the workman was below forty-five years, management had assured to
consider the mercy appeal. Since the workman‘s representation in the form of mercy appeal was not considered the
present Industrial Dispute had to be initiated, seeking reinstatement with back wages.
3.
Management of ECL contested the case by filing written statement on 30.01.2023. Management admitted
that Rabilal Majhi having U.M. No. 552834 was posted as an Underground Trammer and was a permanent employee
of Kahs Kajora Colliery under Kajora Area of ECL. According to the management the workman was a habitual
absentee. On several occasions he remained absent from duty and lastly, he remained absent from December 1993
without any information or authorization. After a long unauthorized absence, the management of ECL issued a Charge
Sheet to the workman bearing No. KKK/P&IR/C-6/19/94 dated 23.05.1994 under Clause 17(i)(n) of the Model
Standing Orders applicable to the Coal Mine Industries. A domestic enquiry was initiated and the Enquiry Officer
issued two Notice of enquiry dated 25.11.1995 and 11.12.1995. The workman did not attend the enquiry nor did he
send any information on any of the dates as such the enquiry was conducted ex-parte on 20.12.1995. In course of
enquiry the charge of unauthorized absence was fully established against the charged employee. He was dismissed
from his service by order of dismissal bearing No. KA:PM:C-6:10:3369/211 dated 09.01.1996, issued by the General
Manager, Kajora Area, ECL. The past record of the workman relating to his attendance was not satisfactory and he
attended duty only on 19 days out of 306 days in the year 1992, 148 days out of 305 days in the year 1993 and nil out
of 305 days in the year 1994. According to the management absenteeism is a serious misconduct and it hampers the
work and production process of the employer. According to the management ample opportunity was provided to the
workman to improve his performance and attendance but he did not mend his conduct as a result he was dismissed
from service on the charge of unauthorized and habitual absence. The management in support of their case relied upon
a decision of the Hon'ble High Court at Calcutta in the case of Dayanand Paswan Vs. Coal India Limited and
Others [Writ Petition No. 874 of 2014], wherein the action of the management of ECL in dismissing the workman
was held to be justified and in the said judgement the Hon'ble High Court emphasized that the employee must take his
duty seriously and cannot take his employment for granted. He must follow the rules and regulation of the employer
company and must conduct himself in a disciplined manner and perform his duties with responsibility not only for
personal excellence but also for collective good of the organization which he serves. Management further asserted that
the punishment of dismissal of the workman from service is proportionate to the nature of misconduct of long
unauthorized absence. It is urged that the workman is not entitled to any relief and the Industrial Dispute is liable to be
dismissed.
4.
The moot point for consideration is whether the demand for reinstatement of Rabilal Majhi, Underground
Loader in his service after his dismissal on 09.01.1996 is legal and justified.
5.
The union examined Rabilal Majhi as Workman Witness No. 1 and filed his affidavit-in-chief. It is stated in
the affidavit-in-chief that he could not attend his duty as he fell sick since December 1993. After his recovery he
reported for duty but was not allowed to join. The management issued Charge Sheet bearing No. KKK/P&IR/C-
6/19/94 dated 23.05.1994 which was sent to his home address. He did not receive the Charge Sheet as he was residing
at the Colliery at the relevant time and the Notice was returned to the management undelivered. The workman further
averred that he visited the colliery and met the Manager and requested him to allow him to join duty. It is further
stated that the Enquiry Officer conducted enquiry and without ensuring service of Notice of enquiry concluded the
enquiry proceeding. The General Manager of Kajora Area on the basis of recommendation made by the Agent
awarded the punishment of dismissal against the workman and issued order bearing No. KA:PM:C-6:10:3369/211
dated 09.01.1996. It is also stated in the affidavit-in-chief that for absence from duty for five months and twenty-two
days, from December 1993 to 22.05.1994 the management should not have awarded such harsh punishment of
dismissal which is disproportionate to the nature of misconduct. According to the workman there has been violation of
principles of natural justice by debarring him from appearing in the enquiry and by not issuing second Show Cause
Notice. It is claimed that the order of dismissal is illegal and as he was below forty-five years at the relevant time and
his period of absence was only five months and twenty-two days, he should have been reinstated in service in terms of
Memorandum of Settlement dated 22.05.2007. During his examination-in-chief the workman produced the following
documents :
(i) Photocopy of Chargesheet dated 23.05.1994 issued against Rabilal Majhi is produced as Exhibit W-1).
(ii) Photocopy of letter of dismissal dated 09.01.1996, as Exhibit W-2.
(iii) photocopy of the application of Rabilal Majhi, praying for mercy and reinstatement of duty, as Exhibit
W-3.
(iv)Photocopy of another application of Rabilal Majhi for re-instatement, as Exhibit W-4.
(v)Photocopy of the letter issued by the Personnel Manager, Kajora Area dated 21.01.2011, stating as Rabilal
Majhi had absented for more than nine months, his case was not fit for recommendation for re-instatement, as
Exhibit W-5.
1574
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
The workman further deposed that he was suffering from jaundice and reeling of head but he was unable to produce
any document relating to his medical treatment during the period of his absence from duty. He further deposed that he
did not take part in the enquiry proceeding and he used to reside at Shyamla which is thirty kilometers from Beldanga.
6.
In cross-examination the witness stated he did not submit any reply to the Charge Sheet and for the first time
during evidence he stated that he could not attend his duty from December 1993. He admitted in his cross-examination
that in his prayer for reinstatement submitted on 30.12.2010 the statement made by him in the prayer was correct. It
appears from Exhibit W-3 that he was prevented from attending duty on being tortured by some money lenders.
Suggestion was put to the witness that he intentionally remained absent from duty as he was not eager to work but the
witness denied the same.
7.
Management examined Mr. Proloy Dasgupta, Manager (Personnel), Khas Kajora Colliery, ECL as
Management Witness No. 1. In his affidavit-in-chief he stated that Rabilal Majhi, ex-Underground Trammer was a
habitual absentee for which he was previously reprimanded on several occasions. The workman again remained
absent from December 1993 without any authorization or information to the appropriate authority. He was
chargesheeted under Clause 17(i)(n) of the Model Standing Orders. The matter was referred for domestic enquiry and
two Notice of enquiry were issued on 25.11.1995 and 11.12.1995. The workman did not attend the enquiry on any of
the two dates and the domestic enquiry was proceeded ex-parte where the charge levelled against the workman was
proved. The General Manager thereafter issued a letter dated 09.01.1996 dismissing the workman on the said charge.
It is sated that the workman attended duty for only 19 days out of 306 days in the year 1992, 148 days out of 305 days
in the year 1993 and nil out of 305 days in the year 1994. The management witness averred that absenteeism is a
serious offence as it hampers the work of the employer and production process. Concerned workman was given
several opportunities to improve his performance in respect of his physical attendance but he did not improve his
conduct. The management therefore cannot maintain the name of the workman on roll for indefinite period.
Accordingly, he was dismissed. Management claimed that the punishment meted out to the ex-workman is
proportionate to the nature of his misconduct and claimed that the management is justified in dismissing the ex-
workman from the service of the company and the workman is not entitled to any relief. In course of his evidence
management witness produced the following documents:
(i) Photocopy of the Charge Sheet dated 23.05.1994 issued to the workman is marked as Exhibit M-1.
(ii) Photocopy of the letter of appointment of the Enquiry Officer dated 20.11.1995, as Exhibit M-2.
(iii) Photocopies of two Notice of Enquiry dated 25.11.1995 and 11.12.1995 addressed to Rabilal Majhi, as
Exhibit M-3 and M-4 respectively.
(iv) Photocopy of the Enquiry Proceeding in which workman did not participate, as Exhibit M-5.
(v) photocopy of Enquiry Report along with findings of the Enquiry Officer, as Exhibit M-6.
(vi) Photocopy of letter of dismissal dated 09.01.1996 issued by the General Manager, Kajora Area, as
Exhibit M-7.
The witness deposed that he has no document to show that the Notice of enquiry was served upon the workman.
Management witness admitted that no second Show Cause Notice was issued to the workman nor any copy of the
Enquiry Proceeding was supplied to him before dismissal.
8.
In cross-examination management witness deposed that he was unable to state how Charge Sheet and Notice
of enquiry was served upon the workman. He admitted that he is unable to state the mode of communication of
Charge Sheet and Notice of enquiry to the workman before commencement of enquiry. It is also evident from the
cross-examination that no second Show Cause Notice was served upon the workman before dismissal of the workman
from service and denied that the punishment of dismissal is not proportionate to the misconduct. The management
witness conceded the fact that the mercy petition of the workman was not considered.
9.
Heard argument advanced by Mr. Rakesh Kumar, union representative who submitted that the management
of ECL has dismissed the workman in violation of principles of natural justice and without complying the mandate of
the Hon'ble Supreme Court of India in the case of Union of India and Others Vs. Mohd. Ramzan Khan [AIR
(1991) SC 471] and the Circular issued by the Coal India Limited, where it is provided that a second Show Cause
Notice is required to be served upon the workman giving him an opportunity to submit his explanation in respect of
the findings against him, specifically in the case where the Enquiry Officer and Disciplinary Authority are different
persons. Mr. Kumar further argued that the nature of punishment is harsh and disproportionate as the workman who
was below forty-five years of age at the relevant time and absented only for a period of five months and twenty-two
days was not reinstated on the basis of his representation and appeal though in the Memorandum of Settlement dated
22.05.2007 the management has agreed to consider the cases where the period of absence is less than nine months and
the age of the charged employee is less than forty-five years. It is stated that the workman should be reinstated in
service of the company and he should be paid full back wages.
10.
Mr. P. K. Das, learned advocate for the management, in reply argued that the workman joined in service on
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1575
31.10.1991 and he was habitual absentee from the very beginning. From the records maintained by the employer
company it would appear that since his joining he was a habitual absentee and he was reprimanded on several
occasions for improving his attendance but he performed duty only for 219 days since his joining. The workman
deliberately remained absent from December 1993 and did not return. Charge Sheet was issued to the workman which
he was fully aware of but he has not participated in the enquiry after two Notice of enquiry were issued to him. The
workman in course of adducing evidence in this Industrial Tribunal has admitted the fact that he remained absent from
duty since December 1993 till Charge Sheet was issued to him and has deposed that at the relevant time, he used to
reside at Shyamla which is thirty Kilometers from Beldanga. In his examination-in-chief the witness deposed that he
was suffering from jaundice but he admitted that he has no medical treatment papers and did not lead evidence in
support of his illness. Learned advocate referred to the cross-examination of Workman Witness No. 1 and argued that
the witness admitted in his prayer for reinstatement submitted on 30.12.2010 (Exhibit W-3) that he was unable to
attend duty on being harassed by money lenders. Therefore, it is urged that there was no treatment papers in support of
workman that he was suffering from illness. Learned advocate strenuously argued that the workman deliberately
remained absent without any reason and is not entitled to any relief.
11.
I have perused the materials on record and considered the rival arguments. It appears to me that the workman
did not perform his duty seriously and sincerely. It is an admitted fact that he remained absent for more than five
months without any authorization. The workman failed to produce any medical papers in support of his plea of illness.
In the affidavit-in-chief the workman stated that after recovery from illness he reported for duty but was not allowed
to join. He did not mention any date when he reported for duty. The workman was fully aware about issuance of
Charge Sheet and in paragraph no. (5) of the affidavit-in-chief he stated that when Charge Sheet was issued, he was
in the Colliery and the Charge Sheet was sent to his native place. It can well be assumed that when a person is
performing his duty, he will be available in the colliery and during his absence he would be at his registered address
provided in the Service Record. Though the workman was fully aware that management had issued Charge Sheet
against him which was sent to his native village during his long absence, he did not bother to find out the indictment
in the Charge Sheet. Management witness produced a copy of Charge Sheet as Exhibit M-1and copies of Notice of
enquiry as Exhibit M-3 and M-4. Copy of the Enquiry Proceeding is produced as Exhibit M-5 and Report of the
Enquiry Officer is produced as Exhibit M-6. The workman has been found guilty for his absence from duty from
19.11.1993 to 20.12.1995, which is more than two years which covers the entire period of his absence disclosed in the
Charge Sheet from December 1993 to 23.05.1994. It is abundantly clear from the findings of the Enquiry Officer that
the workman never showed up for duty for more than two years. It is true that the management of the employer
company is duty bound to observe the principles of natural justice before dismissing its employee from the service of
the company by issuing a Charge Sheet, Notice of enquiry and holding a proper enquiry proceeding. Management
made best effort by issuing such Charge Sheet and Notice at his native place. However, this duty cast upon the
management is not absolute in the absence of reciprocal responsibility of the employee to attend his place of work and
either to inform the reason of absence or to seek authorization for leave on any acceptable ground. The duty of
observing principles of natural justice by the employer has been complied and no prejudice is caused to the workman.
In a case where the workman abandoned his duty for a long period without any information, he cannot be allowed to
challenge the act of the management as violative of natural justice. In the instant case the management issued a
Charge Sheet and appointed an Enquiry Officer. The Enquiry Officer in turn issued two Notice of enquiry and fixed
two dates. The workman did not participate in the enquiry and remained absent on being chased by the money lenders,
as disclosed in Exhibit W-3. The management after initiating a domestic enquiry on May 1994 ultimately issued the
order of dismissal on 09.01.1996. On a perusal of the order of dismissal (Exhibit W2/M-7) it appears that two Notice
of enquiry were served upon the workman at his home address under registered post and enquiry was held on
20.12.1996 but the workman did not participate. In my considered view no prejudice was caused to the workman by
non-issuance of second Show Cause Notice. It further appears to me that after dismissal of the workman in January
1996 the workman raised the Industrial Dispute on 26.06.2021, before the Assistant Labour Commissioner (C),
Raniganj, Durgapur. There has been a delay of more than twenty-five (25) years in raising the Industrial Dispute after
dismissal of the workman. The circumstances revealed that the workman has not acted in a diligent manner and his
prayer for reinstatement after such a long period of silence is of no merit. I therefore, hold that the demand made by
the union for reinstatement of the dismissed workman is not legally tenable and the Industrial Dispute merits dismissal
on contest.
Hence,
ORDERED
that the Industrial Dispute is dismissed on contest. Rabilal Majhi, the dismissed workman is not entitled to
any relief of reinstatement and back wage. Let an award be drawn up in light of my above findings. Let copies of the
Award in duplicate be sent to the Ministry of Labour, Government of India, New Delhi for information and
Notification.
ANANDA KUMAR MUKHERJEE, Presiding Officer
1576
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
नई ददल्ली, 9 मार्च, 2026
का.आ. 322.—vkS|ksfxd fookn vf/kfu;e] 1947 (1947 dk 14) dh /kkjk 17 ds vuqlj.k esa] dsUnzh; ljdkj
ई सी एल ds izca/kra= ds lac) fu;kstdksa vkSj muds deZdkjksa ds chp] vuqca/k esa fufnZ’V vkS|ksfxd fookn esa
–
सह
–
] आसनसोल ds iapkV(संदभच संक्या -11/2023
) dks izdkf'kr
djrh gS] tks dsUnzh; ljdkj dks
dks izkIr gqvk FkkA
[सं. एल -22012/09/2023-आई आर सीएम-II]
सलोनी, उृ जनदेिक
New Delhi, the 9th March, 2026
S.O. 322.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Reference.11/2023) of the Central Government Industrial Tribunal-
cum-Labour Court, Asansol as shown in the Annexure, in the industrial dispute between the Management of ECL
and their workmen, received by the Central Government on 06/03/2026.
[No. L-22012/09/2023 – IR (CM-II)]
SALONI, Dy. Director
ANNEXURE
BEFORE THE CENTRAL GOVT. INDUSTRIAL TRIBUNAL -CUM- LABOUR COURT,
ASANSOL.
PRESENT:
Shri Ananda Kumar Mukherjee,
Presiding Officer,
C.G.I.T-cum-L.C., Asansol.
REFERENCE CASE NO. 11 OF 2023
PARTIES:
Sunny Mejhan
represented by Koyala Mazdoor Congress
Vs.
Management of Bhanora West Block Colliery, Sripur Area of M/s. ECL
REPRESENTATIVES:
For the Workman:
Mr. Rakesh Kumar, President, Koyala Mazdoor Congress
For the Management of ECL: Mr. P.K. Das, Advocate
INDUSTRY:
Coal.
STATE:
West Bengal.
Dated:
26.12.2025
AWARD
On failure of Conciliation the Government of India through the Ministry of Labour, in exercise of powers
conferred under clause (d) of Sub-section (1) and Sub-section (2A) of Section 10 of the Industrial Disputes Act, 1947
(14 of 1947), vide its Order No. L-22012/09/2023-IR(CM-II) dated 01.02.2023 has referred the following dispute
between the employer, that is the Management of Bhanora West Block Colliery, Sripur Area of M/s. Eastern
Coalfields Limited (hereinafter referred as ECL) and their workman for adjudication by this Tribunal.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1577
SCHEDULE
“ Whether the demand of President, Koyala Mazdoor Congress (HMS), Asansol vide letter dated 24/07/2022
(copy enclosed) against the action of the management of M/s. Eastern Coalfields in relation to its Bhanora West
Block Colliery under Sripur Area in regretting the claim of employment of Sunny Mejhan, dependent daughter of Late
Binodi Mejhan, Ex-Earth Cutter, UM No. 20888 vide their letter No. ECL/CMD/C-6B/EMPL/WD-6698/20/233 dated
14/10/2020 (copy enclosed), is proper, legal and justified? If yes, what relief Sunny Mejhan, dependent daughter of
the deceased workman concerned is entitled to and what directions are necessary to the Management in this
respect? ”.
1.
On receiving Order No. L-22012/09/2023-IR(CM-II) dated 01.02.2023 from the Government of India,
Ministry of Labour, New Delhi for adjudication of the dispute, a Reference case No. 11 of 2023 was registered on
01.02.2023 and an order was passed for issuing notice to the parties through registered post, directing them to appear
and submit their written statements along with relevant documents in support of their claims and a list of witnesses.
2.
Union filed written statement on 17.05.2023 in support of the case of Sunny Mejhan, dependent daughter of
Binodi Mejhan, ex-employee of ECL. The fact of the case in brief is that Binodi Mejhan was posted at Bhanora West
Colliery as Earth Cutter. She died in harness on 30.08.2009 leaving behind Sunny Mejhan as her dependent and
unmarried daughter. Sunny Mejhan gave death information to the management of Colliery on 09.11.2009 and
submitted an application on 28.12.2009 praying for employment in place of her deceased mother. After receiving the
death information, the employer company did not ask for any document required for processing her prayer for
employment. After preparing various documents like Attestation Form, Relationship Certificate, No Objection
Certificate of other family members, Indemnity Bond and affidavit, some time was taken for submitting those
documents. The management of the employer company sent the proposal for her employment to the Area level for her
screening and medical examination. The IME Board held examination and declared her fit for employment and also
assessed her age as 35-40 years. Proposal for employment was forwarded to the Headquarter of ECL for approval.
The Headquarter of ECL again sent Sunny Mejhan for her medical examination by Apex Medical Board, where her
age was assessed as 40-45 years as on 31.08.2020 and she was declared unfit for employment due to over age.
According to the union, Sunny Mejhan was below 35 years on the date of death of her mother. As per age assessed by
the IME Board and also the second assessment of age, it is claimed that on the date of submitting her application, she
was below 35 years of age. According to the union, the age of the dependent should be considered as on the date of
application and not on the date of holding medical examination. Further contention of the union is that the
management should not have assessed the age of Sunny Mejhan for the second time, as the age decided once by the
IME Board should be taken as final if the same was not challenged by the claimant. Union asserted that the age of
Sunny Mejhan was 28 years 11 months and 29 days on the date of death of Binodi Mejhan and if management
accepted the result of second age assessment, her age would be 31 years 6 months and 2 days on the date of death of
Binodi Mejhan. The dependent daughter it is urged is entitled to employment. The union has challenged the decision
of ECL management which regretted the claim for employment of Sunny Mejhan describing the decision as wrongful
and illegal. It has been prayed that Sunny Mejhan, the unmarried daughter of Binodi Mejhan should be provided
employment as per the provisions of NCWA with all other consequential benefits.
3.
Management of ECL contested the case by filing written statement on 04.04.2023 refuting the claim of the
dependent daughter of ex-employee. It is disclosed that on the basis of application dated 24.05.2014 submitted by
Sunny Mejhan, she was asked to appear before the IME for assessment of her fitness for work. Her IME was held on
31.03.2018 which assessed her age as 35-40 years and was declared medically fit for employment. According to the
management, the Area authority conducted IME at the Area level which was contrary to Circular No. 994 dated
16.03.2017 which provides that if a proposal of employment is made after expiry of two years of death, the same
should be sent to the Headquarter of the company. Accordingly, ECL Headquarter forwarded the case of Sunny
Mejhan to CMS (IC), ECL Headquarter for determination of her age. After medical examination, the age of Sunny
Mejhan was assessed to be 40-45 years on 31.08.2020. On the basis of medical examination, Chief Manager
(Personnel), Sripur Area communicated the decision of the competent authority by his letter no. GM/SA/C-
6D/7/2020/1241 dated 03.11.2020 that Sunny Mejhan is not eligible for employment as per provisions of NCWA and
therefore, the competent authority regretted the claim of employment of Sunny Mejhan. In course of time, this
decision was communicated to Sunny Mejhan by letter dated 27.11.2020. On 23.12.2020, the dependent daughter
prayed for review of the decision. The Assistant Personnel Manager, Sripur Area, in response to the review
application informed that as Sunny Mejhan was above 35 years on the date of her application for employment, the
same was rejected. Management asserted that there is no merit in Industrial Dispute and the same is liable to be
dismissed.
4.
In order to substantiate their case, union examined Sunny Mejhan as WW-1. She filed her affidavit-in-chief
stating that after death of her mother on 30.08.2009, she informed the management on 09.11.2009 and claimed
employment as a dependent of her mother by submitting an application on 28.12.2009. She admitted that IME Board
decided her age as 35-40 years on 31.03.2018 and later on 31.08.2020 the Apex Medical Board decided her age as 40-
45 years and declared her unfit due to being over age. It is averred that once she accepted the age assessed by IME on
31.03.2018, her age should not have been assessed by the Apex Medical Board and the Medical Board could have
1578
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
decided her physical fitness due to gap of 2 years from IME. It is claimed that according to the age assessed as 35-40
years on 31.03.2018, her age should be computed as 37.5 years on that date and she was 28 years 10 months 29 days
on the date of death of her mother on 30.08.2009. She further claimed that as per assessment of her age by IME Board
held at Sanctoria on 31.08.2020, her age should have been calculated as 31 years 06 months on the date of death of her
mother and on the date of application, her age was 31 years 10 months which is within the qualifying age limit.
During examination-in-chief, the witness produced the following documents:
(i)
Copy of identity card of Binodi Mejhan is produced as Exhibit W-1.
(ii)
Copy of death certificate of Binodi Mejhan is produced as Exhibit W-2.
(iii)
Copy of death registration certificate of Binodi Mejhan is produced as Exhibit W-3.
(iv)
Copy of death certificate of father of Sunny Mejhan (husband of Binodi Mejhan) is produced as
Exhibit W-4.
(v)
Copy of service excerpt of Binodi Mejhan is produced as Exhibit W-5.
(vi)
Copy of Office Order dated 19.02.2010 for deleting the name of Binodi Mejhan from the company‘s
roll after being informed of her death by her daughter is produced as Exhibit W-6.
(vii)
Copy of letter dated 13.08.2020 calling Sunny Mejhan to appear before IME Board is produced as
Exhibit W-7.
(viii)
Copy of IME report of Sunny Mejhan dated 31.08.2020 is produced as Exhibit W-8.
(ix)
Copy of letter dated 14.10.2020 regretting the prayer of employment of Sunny Mejhan is produced
as Exhibit W-9.
(x)
Copy of letter dated 03.11.2020, informing Sunny that she was not found eligible for employment is
produced as Exhibit W-10.
(xi)
Copy of application dated 23.12.2020 submitted by Sunny Mejhan for review of decision taken by
management is produced as Exhibit W-11.
(xii)
Copy of letter dated 05/06.04.2021 wherein Area Personnel Manager rejected Sunny Mejhan‘s
prayer for review is produced as Exhibit W-12.
(xiii)
Copy of Aadhar Card of Sunny Mejhan is produced as Exhibit W-13.
From her cross-examination, it transpires that Binodi Mejhan left behind two daughters, namely Sunny Mejhan and
Malati Murmu and one son namely Jogindra Majhi. She further stated that her younger brother has expired. She
denied the suggestion that she did not submit any application to the Manager, Bhanora West Block Colliery on
28.12.2009 claiming employment in place of her mother.
5.
Mr. Ranveer Rathour has been examined as MW-1. He deposed that the the competent authority found
Sunny Mejhan was not eligible for employment as pe the provision of NCWA for being over age and this decision has
been communicated to her on 27.11.2020.
In course of his examination-in-chief, the management witness produced the following documents:
(i)
Copies of application dated 24.05.2014 submitted by Sunny Mejhan praying for compassionate
employment, is produced as Exhibit M-1.
(ii)
Copy of IME report of Sunny Mejhan dated 31.03.2018, is produced as Exhibit M-2.
(iii)
Copy of letter dated 20/23.09.2019 furnishing clarifications and information sought by the
Headquarter, is produced as Exhibit M-3.
(iv)
Copy of letter dated 03.11.2020 informing Sunny Mejhan that she was not found eligible for
employment, is produced as Exhibit M-4.
(v)
Copy of second IME report of Sunny Mejhan dated 31.08.2020 is produced as Exhibit M-5.
(vi)
Copy of application dated 23.12.2020 submitted by Sunny Mejhan for review of decision taken by
management is produced as Exhibit M-6.
(vii)
Copies of letter dated 02.01.2021 forwarding the application to competent authority for review is
produced as Exhibit M-7.
(viii)
Copy of letter dated 05/06.04.2021 wherein Area Personnel Manager rejected Sunny Mejhan‘s
prayer for review is produced as Exhibit M-8.
In course of his cross-examination, the management witness deposed that in Office Order dated 2010 it is mentioned
that date of death of Binodi Mejhan was informed on 09.11.2009. The witness deposed that the management informed
the dependents of their rights and entitlements in respect of the service of Binodi Mejhan. The witness also deposed
that the age of Sunny Mejhan was assessed between 35 years to 40 years as on 31.03.2018 and she was less than 35
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1579
years on the date of submission of application.
6.
The point of contention in this case is whether the management of ECL is justified in regretting Sunny
Mejhan‘s claim for employment as dependent of her mother Binodi Mejhan.
7.
Mr. Rakesh Kumar, union representative advancing his argument submitted that after the death of Binodi
Mejhan, her daughter informed the management about the death of her mother by letter dated 09.11.2009, which will
be evident from Office Order dated 19.02.2010 (Exhibit W-6). After deleting the name of Binodi Mejhan from the
Roll of the company, management did not disclose the rights of the dependents in respect of the service of Binodi
Mejhan. Initially, an application was submitted by the dependent daughter on 28.12.2009 claiming employment but it
took some time to prepare some documents which were filed in 2014. Mr. Kumar argued that the management held
IME of Sunny Mejhan on 31.03.2018 at the Area level where her age was decided as 35-40 years. On the basis of such
age determined by the IME Board, the age of Sunny Mejhan was 31 years 06 months on 28.12.2009, the date of
submitting her application for employment which was well within the upper age limit of 35 years. It is argued that
though no dispute was raised by Sunny Mejhan against age assessed by the management a second age assessment was
held on 31.08.2020 where her age was determined to be 40-45 years and according to such assessment, her age was 31
years 10 months on the date of death of her mother. The union representative strenuously argued that the dependent
daughter is eligible for employment in place of her deceased mother as per provisions of NCWA.
8.
Mr. P.K. Das, learned advocate for the management of ECL in reply argued that no claim for employment
was made by the dependent daughter until 24.05.2014. The management of the company assessed the age on
31.03.2018 as 35-40 years and subsequently the Apex Medical Board on 31.08.2020 assessed the age as 40-45 years
which implies that her age was more than 35 years on the date of submitting her application for employment on
24.05.2014. Learned advocate argued that management communicated the decision of the competent authority to the
dependent daughter that she was not found fit for employment for being over age.
9.
Considered the arguments in the light of the facts and circumstances of the case, pleadings submitted,
evidence adduced and the guiding rules. Admittedly, Binodi Mejhan, the mother of Sunny Mejhan died in harness on
30.08.2009. According to the provisions of clause 9.3.4 of NCWA, the dependents to be considered for employment
should be physically fit and suitable for employment and the age should not be more than 35 years. In the case of
Sukumoni Hembram alias Sukumoni Mejhan Vs. Union of India and Others [MAT 27 of 2024] the Hon'ble
Division Bench of High Court at Calcutta observed :
“ NCWA is a negotiated agreement that has been arrived at between the employer and the employees. It is a
settlement under section 2 (p) of the Industrial Disputes Act, 1947 and has binding effect on the parties thereto under
section 18 (3) of the Act of 1947. NCWA has made provisions for compassionate appointment for the dependents of
the deceased employee. ”
Clause 9.3.2 of NCWA-VI provides that employment would be provided to one dependent of the workman who dies
while in service. Furthermore, Clause 9.3.4 provides that the dependents to be considered for employment should be
physically fit and suitable for employment and their age should not be more than thirty-five (35) years provided that
the age limit for a female spouse would be forty-five (45) years as given in Clause 9.5.0. On a close reading of
provisions of NCWA, there is no specified time for reckoning the age of dependent for considering him/her for the
purpose of employment. In this matter, a Circular has been issued by the management of ECL bearing No. CIL/C-
5B/JBCCI/9.4.3/163 dated 25.07.2003 wherein it has been provided that the age on the date of submitting the
application would be considered for offering employment on compassionate ground. Union produced a copy of an
application, said to have been submitted by Sunny Mejhan on 28.12.2009 addressed to the Manager, Bhanora West
Block Colliery. The document has been marked ‗X‘ for identification and it bears a receiving seal without mentioning
the designation of the person who received it. The management of ECL claimed that application for employment was
submitted by Sunny Mejhan for the first time on 24.05.2014. Therefore, it needs to be considered whether the
dependent daughter was within the age limit of 35 years on 24.05.2014.
10.
The process for considering the proposal for employment was initiated as per the guidelines of the company
and medical examination of Sunny Mejhan by the IME at the Area level was held on 31.03.2018. The IME Board
found her fit for employment and her age was assessed as 35-40 years on that date. Once again, she was examined by
the Apex Medical Board on 31.08.2020 where her age was assessed as 40 to 45 years as on 31.08.2020. It has been
contented on behalf of the management that as there was delay of more than two years in raising the claim for
employment after the death of employee. As per circulars of ECL dated 16.03.2017, IME was to be held at Sanctoria
Hospital. Therefore, the determination of age at the Area level is not to be taken into consideration. It is urged that age
determined by the Apex Medical Board at Sanctoria Hospital had to be relied upon and on the basis of such
determination, the age of Sunny Mejhan was 42 years, 6 months on 31.08.2020. Accordingly, her age on 24.05.2014
was 36 years, 3 months. The contrary argument of the union was that the age of Sunny Mejhan in the Service Excerpt
report of her mother dated 01.04.1987 was recorded as 7 years. Therefore, on basis of such document, the age of
daughter would be 34 years, 1 month and 24 days as on the date of submitting her application on 24.05.2014. It may
be further gathered from the argument of the union that once the age of the dependent daughter was assessed at the
1580
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Area Level on 31.03.2018 and found her 35 to 40 years of age, by computing her age on the date of application, she
would be 33 years and 8 months of age and well within the age limit for providing employment to her. I find that once
the age was determined by the IME at the Area Level on 31.03.2018 and no complaint was raised against such
findings by the candidate, management was estopped from reassessing the age of the candidate by another Medical
Board by the Headquarter after a period of two years and five months only to disqualify her on the ground that she
was over age. Management appears to have delayed the process to frustrate the cause. Management cannot approbate
and reprobate their own act to disable a person from securing her right. Therefore, I am not inclined to accept the
subsequent age assessment of Sunny Mejhan after a lapse of two and a half years only to contradict management‘s
own finding on earlier occasion which was in favour of the candidate. Union has produced a copy of letter bearing No.
ECL/CMD/C-6B/GM (P&IR)/2022/633 dated 12.05.2022 issued by the General Manager (P&IR), ECL addressed to
the General Managers of Sripur and other Areas laying down guidelines for pre-employment medical examination,
wherein it is stated that their earlier communication dated 16.03.2017 about holding IME at Sanctoria Hospital in
respect of cases which are beyond two years from the date of death of ex-employee stood withdrawn and henceforth
IME of all cases would be exclusively held at the Area according to its cluster as was done before, and therefore, there
is no need to send any person to Sanctoria Hospital for holding their IME. On a perusal of the guidelines, I find that
though it was issued in May 2022, much after holding the second IME at the Headquarters level, the management of
ECL was possessed with the idea of holding all IME at the Area Level instead of at the Headquarters. In view of such
guidelines dated 12.05.2022 which was issued during pendency of this Industrial Dispute, I am of the considered view
that the age assessed by the IME Board at the Area Level on 31.03.2018 needs to be considered as the report
determining the correct age of Sunny Mejhan. The decision of the competent authority relying upon the subsequent
findings of the Apex Medical Board, contradicting the earlier assessment is found self-defeating and has no
foundation. Thus, the same is not sustainable under the law.
11.
This Industrial Dispute has been raised due to disqualifying Sunny Mejhan for her employment. It is found
that the age of the dependent daughter according to the Service Excerpt of the employee and the first assessment by
the IME brings her within the zone of consideration, so far as age is concerned. She was also found fit for
employment. Therefore, the afterthought of the management followed by a second medical examination of the
candidate two and a half years after her first IME is prejudicial, arbitrary, illegal and cannot be accepted. Under
NCWA, there is no time limit for submitting application by the dependent of the deceased employee for employment
and it is well settled in case of Sukumoni Hembram alias Sukumoni Mejhan Vs. Union of India and Others (supra).
On the basis of my above discussion, Sunny Mejhan is entitled to employment under the management of ECL against
the death of her mother, Binodi Mejhan. The management of ECL is directed to complete the procedural formalities
for her employment within a period of two months from the date of communication of the Award.
Hence,
ORDERED
The Industrial Dispute is allowed on contest against the management of Bhanora West Block Colliery, ECL.
This Industrial Dispute is decided in favour of union with a direction to the management to provide employment to
Sunny Mejhan, the dependent daughter of Binodi Mejhan under the employer company by completing all procedural
formalities within two months from the date of communication of this Award. Let copies of the Award in duplicate be
sent to the Ministry of Labour, Government of India, New Delhi for information and Notification.
ANANDA KUMAR MUKHERJEE, Presiding Officer,
नई ददल्ली, 9 मार्च, 2026
का.आ. 323.— vkS|ksfxd fookn vf/kfu;e] 1947 (1947 dk 14) dh /kkjk 17 ds vuqlj.k esa] dsUnzh;
ljdkj ई सी एल ds izca/kra= ds lac) fu;kstdks vkSj muds deZdkjksa ds chp] vuqca/k esa fufnZ’V vkS|ksfxd fookn esa
–
सह
–
] आसनसोल ds iapkV(संदभच संक्या -19/2021) dks
izdkf'kr djrh gS] tks dsUnzh; ljdkj dks
dks izkIr gqvk FkkA
[सं. एल-22012/45/2021-vkbZ-vkj- (सी.एम-II)]
सलोनी, उृ जनदेिक/हलक अजधकारी
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1581
New Delhi, the 9th March, 2026
S.O. 323.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Reference.19/2021) of the Central Government Industrial Tribunal-
cum-Labour Court, Asansol as shown in the Annexure, in the industrial dispute between the Management of ECL
and their workmen, received by the Central Government on 06/03/2026.
[No. L-22012/45/2021 – IR (CM-II)
SALONI, Dy. Director/Link officer
ANNEXURE
BEFORE THE CENTRAL GOVT. INDUSTRIAL TRIBUNAL -CUM- LABOUR COURT,
ASANSOL.
PRESENT:
Shri Ananda Kumar Mukherjee,
Presiding Officer,
C.G.I.T-cum-L.C., Asansol.
REFERENCE CASE NO. 19 OF 2021
PARTIES: Guddu Rabidas
(Dependent son of Late Dukhi Rabidas)
Vs.
Management of Parascole Colliery, ECL
REPRESENTATIVES:
For the Union/Workman:
Mr. Rakesh Kumar, President, Koyala Mazdoor Congress.
For the Management of ECL:
Mr. P. K. Das, Advocate.
INDUSTRY:
Coal
STATE:
West Bengal.
Dated:
06.01.2026
AWARD
In exercise of powers conferred under clause (d) of Sub-section (1) and Sub-section (2A) of Section 10 of the
Industrial Disputes Act, 1947 (14 of 1947), the Government of India through the Ministry of Labour, vide its Order
No. L-22012/45/2021-IR(CM-II) dated 01.10.2021 has been pleased to refer the following dispute between the
employer, that is the Management of Parascole Colliery under Kajora Area of Eastern Coalfields Limited and their
workman for adjudication by this Tribunal.
SCHEDULE
“ Whether the action of the Management of Parascole Colliery under Kajora Area of M/s. Eastern Coalfields
Ltd. in regretting the claim for employment of Shri Guddu Rabidas, dependent son of Late Dukhi Rabidas, Ex-Pump
Operator of Parascole Colliery is just and legal? If not, to what relief the dependent son is entitled to? ”
1.
On receiving Order No. L-22012/45/2021-IR(CM-II) dated 01.10.2021 from the Government of India,
Ministry of Labour, New Delhi for adjudication of the dispute, a Reference case was registered on 01.10.2021 and an
order was passed for issuing notice to the parties through registered post, directing them to appear and submit their
written statements along with relevant documents in support of their claims.
2.
Koyala Mazdoor Congress, representing the dependents of the deceased employee, Dukhi Rabidas, filed
written statement / claim statement on 29.12.2021. The facts disclosed in the written statement of the union is
that Dukhi Rabidas was posted as a Pump Operator at Parascole Colliery under Kajora Area of Eastern Coalfields
Limited (hereinafter referred to as ECL). He died in harness on 13.05.2015 at Central Hospital, Kalla. After his death
Chunni Devi, the wife of the deceased employee, as head of the family of the deceased nominated Guddu Rabidas
their younger son for providing employment by the ECL as a dependent. The management of the company issued a
letter, asking for relevant documents and ―No Objection‖ Certificate (hereinafter referred to as NOC) from the other
legal heirs. The union disclosed in the written statement that Dukhi Rabidas died leaving behind his wife Chunni
Devi, three sons namely, Umesh Rabidas, Ramavali Rabidas and Guddu Rabidas and four daughters. Chunni Devi
submitted a NOC in favour of Guddu Rabidas by all other legal heirs of Dukhi Rabidas. Subsequently, Umesh
Rabidas, the elder son changed his stand and raised objection against the prayer for employment of Guddu Rabidas.
The management of ECL on the basis of such objection stopped processing the prayer for employment and proposed
1582
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
to grant Monthly Monetary Cash Compensation (hereinafter referred to as MMCC) in favour of the widow of the
deceased employee in lieu of employment. Chunni Devi did not accept the proposal. According to her, Umesh
Rabidas, the eldest son is not a dependent and he is not even eligible for any employment as a dependent. The elder
son lives separately therefore the objection raised by Umesh Rabidas cannot be a reason for the management not to
provide employment to the younger son. The present dispute has been raised by the union, praying for providing
employment to Guddu Rabidas according to the provision of National Coal Wage Agreement (hereinafter referred to
as NCWA) and also to pay monetary compensation to the widow till employment is provided to Guddu Rabidas.
3.
Management of ECL contested the case by filing written statement on 21.09.2022. It is asserted in the written
statement of the management that Chunni Devi, the wife of Dukhi Rabidas, an employee at Parascole Colliery
submitted an application on 03.08.2017, praying for providing employment to Guddu Rabidas, her younger son,
whose name is not recorded in the Service Record of Dukhi Rabidas. In her letter she stated that Umesh Rabidas, the
elder son did not take care of her and also harassed her. The management in their letter dated 11.10.2017 addressed to
Chunni Devi, asked her to submit employment claim file with ―No Objection‖ from all dependents of Late Dukhi
Rabidas. After two years, on 15.01.2020 Chunni Devi submitted an application claiming employment with NOC from
other family members including Umesh Rabidas. Management claimed that since the application for employment was
submitted after a long period the management of ECL could not take any action. Management further stated that
Umesh Rabidas and Ramavali Rabidas submitted another application on 20.03.2020 through registered post, raising
objection against the claim for employment of Guddu Rabidas, the younger son and appealed to stop pension of
Chunni Devi as well as to stop the process for providing employment to their younger brother Guddu Rabidas. Umesh
Rabidas further claimed employment for himself as a dependent against the death of his father. Management
categorically stated that in the Service Record of Dukhi Rabidas the names of Umesh Rabidas and Gouri Kumari
appeared as son and daughter respectively and Dukhi Rabidas did not inform the management about Umesh Rabidas
residing separately from his family. Moreover, name of Guddu Rabidas was not included in the Service Record of the
employee. Due to such discrepancies in the Service Record the objection raised by Umesh Rabidas, management of
ECL issued a letter addressed to Chunni Devi bearing No. PSC/P&IR/C-6/2020/509 dated 25.04.2020 to opt for
MMCC on enhanced rate as per NCWA instead olaying claim for employment. According to the management in order
to process the prayer for employment the General Manager (P&IR), ECL, in Circular dated 31.10.2009 clearly
mentioned that no objection from all the family members of the deceased employe, appearing in the Service Record is
essential. It is contended that the Industrial Dispute raised is misconceived and not maintainable.
oyee. Due to such discrepancies in the Service Record the objection raised by Umesh Rabidas, management of ECL
issued a letter addressed to Chunni Devi bearing No. PSC/P&IR/C-6/2020/509 dated 25.04.2020 to opt for MMCC on
enhanced rate as per NCWA instead olaying claim for employment. According to the management in order to process
the prayer for employment the General Manager (P&IR), ECL, in Circular dated 31.10.2009 clearly mentioned that no
objection from all the family members of the deceased employe, appearing in the Service Record is essential. It is
contended that the Industrial Dispute raised is misconceived and not maintainable.
4.
The question which arose for consideration is whether regretting the claim for employment of Guddu
Rabidas, dependent son of Dukhi Rabidas by the management of Parascole Colliery is legal and justified? If not, what
relief the dependent son is entitled to.
5.
In the instant case the union examined Guddu Rabidas as Workman Witness (hereinafter referred to as
W.W.) No. 1 Chunni Devi as W.W. No. 2 and four daughters of the deceased employee namely, Gouri Devi as W.W.
No. 3, Pravila Devi as W.W. No. 4, Manita Devi as W.W. No. 5 and Kanchan Devi as W.W. No. 6. All these
witnesses have filed their statements on affidavit-in-chiefs and faced cross-examination. Union produced the
following documents in support of their case :
(i)
Copy of the Identity Card of Dukhi Rabidas issued by ECL is produced as Exhibit W-1.
(ii)
Copy of Death Registration Certificate of Dukhi Rabidas, as Exhibit W-2.
(iii)
Copy of the Application of Guddu Rabidas submitted on 06.07.2015 for providing employment, as
Exhibit W-3.
(iv)
Copy of the Application submitted by Chunni Devi on 03.08.2017 for employment of Guddu
Rabidas, as Exhibit W-4.
(v)
Copy of letter dated 09/11.10.2017 issued by Assistant Manager (Personnel) addressed to Chunni
Devi, asking for production of documents is produced as Exhibit W-5.
(vi)
Copy of application submitted on 28.06.2019 regarding employment, as Exhibit W-6.
(vii)
Copy of application under which Guddu Rabidas submitted relevant documents before the Agent,
Parascole Colliery on 15.01.2020, as Exhibit W-7.
(viii)
Copy of application submitted by Umesh Rabidas on 15.01.2020, claiming employment and death
benefits of his father, as Exhibit W-8.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1583
(ix)
Copy of letter dated 10.02.2020 issued by Assistant Manager (Personnel) addressed to Chunni Devi,
regarding claims made by Umesh Rabidas, as Exhibit W-9.
(x)
Copy of reply submitted by Chunni Devi against the letter dated 10.02.2020, as Exhibit W-10.
(xi)
Copy of letter dated 19.02.2020 issued to Umesh Rabidas, as Exhibit W-11.
(xii)
Copy of the NOC submitted by the other legal heirs of Dukhi Rabidas, as Exhibit W-12).
(xiii)
Copy of Voter‘s Identity card of Guddu Rabidas, as Exhibit W-13.
(xiv)
Copy of Aadhar Card of Guddu Rabidas, as Exhibit-14.
(xv)
Copy of Birth Registration Certificate of Guddu Rabidas as, Exhibit-15.
6.
Guddu Rabidas in his cross-examination admitted that his name did not appear in the Service Record of his
father. He deposed that amongst three brothers and four sisters, Umesh Rabidas is the eldest son, Ramavali Rabidas is
the second son and after submitting no objection in his favour Umesh Rabidas claimed employment. It further
transpires from his cross-examination that management issued a letter to his mother on 25.04.2020, asking her to seek
monetary compensation but she did not accept monetary compensation and submitted a letter in reply, which has been
marked as Exhibit W-16.
7.
Chunni Devi (Workman Witness No. 2) in her evidence deposed that her husband died on 13.05.2015 and
she applied to provide employment to her younger son Guddu Rabidas by submitting necessary documents as
requested by the management. She further stated that she along with her children submitted no objection in favour of
Guddu Rabidas for his employment. Chunni Devi deposed that Umesh Rabidas is residing separately along with his
family since the lifetime of her husband. She also stated that Umesh Rabidas was more than 35 years of age at the
time of death of his father and according to the guidelines of NCWA he was not eligible to get employment under
ECL. The wife of the deceased claimed herself to be the head of the family and guardian of her children, as such she
has the right to nominate the claimant for employment and payment of dues in respect of Dukhi Rabidas. the widow
of the deceased in her affidavit-in-chief further stated that her husband did not submit application for recording names
of other children in the Service Record who were born after the year 1987, as a result management recorded her name
along with the name of the elder son and one daughter in the Service Excerpt Form issued in 1987. She claimed that
there is no dispute about the relationship between Guddu Rabidas and Dukhi Rabidas and the management can always
verify the relationship.
8.
In cross-examination Workman Witness No. 2 deposed that Guddu Rabidas was 25 to 26 years of age at the
time she was adducing evidence. Witness admitted that Ramavali Rabidas is her second son and she applied for
employment of Guddu Rabidas and her other two sons Umesh Rabidas and Ramavali Rabidas raised objection and
claimed employment for themselves. It is clear from the trend of cross-examination that the management did not
challenge the relationship between Guddu Rabidas and the deceased employee Dukhi Rabidas. It was only suggested
that the management turn down the proposal for employment of Guddu Rabidas on proper ground which was denied
by the witness.
9.
The other workman witnesses are four daughters of the deceased employee who are all married and they have
endorsed their no objection in favour of their brother Guddu Rabidas for employment.
10.
Mr. Ashlam Shair, Assistant Manager (Personnel), Parascole Colliery is examined as Management Witness
No. 1. He filed affidavit-in-chief, reiterating the management‘s case disclosed in the written statement. According to
the management witness as no objection was not received from all the family members, whose names appeared in the
Service Record of Dukhi Rabidas, the claim for employment of the younger son Guddu Rabidas was regretted.
Management in support of their case produced the following documents :
(i)
Copy of Death Certificate of Dukhi Rabidas is produced as Exhibit M-1.
(ii)
Copy of application submitted by Chunni Devi on 03.08.2017 for the first time for providing
employment to her son, as Exhibit M-2.
(iii)
Copy of letter dated 09/11.10.2017 issued by the Assistant Manager (Personnel), Parascole Colliery,
asking Chunni Devi to submit NOC from the other legal heirs of Dukhi Rabidas, as Exhibit M-3.
(iv)
Copy of application under which Guddu Rabidas submitted relevant documents before the Agent,
Parascole Colliery on 15.01.2020, as Exhibit M-4.
(v)
Copy of No Objection Certificate issued by the legal heirs of Dukhi Rabidas, as Exhibit M-5).
(vi)
Copy of objection of Umesh Rabidas, as Exhibit M-6.
(vii)
Copy of letter dated 19.02.2020 issued by Assistant Chief manager (M), Parascole Group of Mines,
addressed to Umesh Rabidas, seeking clarification regarding contradictory stand in providing
employment to Guddu Rabidas, as Exhibit M-7.
1584
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
(viii)
Copy of Reply of Umesh Rabidas submitted on 20.03.2020, as Exhibit M-8.
(ix)
Copy of Service Record of Dukhi Rabidas, as Exhibit M-9.
(x)
Copy of letter dated 10.02.2020 issued by the management addressed to Chunni Devi, informing
that the name of Guddu
Rabidas does not figure in the Service Record of Dukhi Rabidas, as Exhibit M-10.
(xi)
Copy of reply submitted by Chunni Devi in respect of letter dated 10.02.2020, as Exhibit M-11.
(xii)
Copy of letter issued by the management to Chunni Devi, informing that she could claim for
payment of monetary cash compensation in lieu of employment, as Exhibit M-12.
11.
In the cross-examination the management witness deposed that after prayer for employment, the management
did not ask the petitioner mother to submit any document. The management thereafter informed Chunni Devi to
submit NOC of other dependents. It may be gathered from the cross-examination of Management Witness No. 1 that
as one of the sons raised objection against the claim for employment by submitting application, the management did
not arrange for Screening Test. The witness denied that there was any illegality or impropriety by denying
employment to the dependent of Dukhi Rabidas.
12.
Mr. Rakesh Kumar, union representative, arguing for the dependent son submitted that soon after the death of
Dukhi Rabidas on 13.05.2015, Guddu Rabidas, the younger son submitted an application informing death of his father
(Exhibit W-3) and Chunni Devi, the widow prayed for providing employment to Guddu Rabidas (Exhibit W-4).
Referring to the Standard Operating Procedure of Coal India Limited dated 28.08.2023 which was duly approved in
the 163rd CMDs meeting held on 18.08.2023, it is submitted that the time limit for submitting application for
employment was relaxed by extending such time up to 31st December 2023 and thereafter from the year 2024 the time
limit for submitting application was only for one year from the date of death. It is argued that in the instant case
application has been filed on 03.08.2017, therefore there was no reason for not considering the application on the
ground of delay in submission. Mr. Kumar further argued that Chunni Devi, the wife of the deceased employee being
the head of the family had nominated Guddu Rabidas, the youngest son for employment in place of the deceased
employee. According to the union representative the widow has the prerogative to decide as to who amongst the
family members should get employment in place of her deceased husband. It is argued that if the widow had the right
to decide the claim for employment of dependent, any objection raised by other siblings against the nominated
dependent would be without force. It is urged that the management of ECL is under legal obligation to provide
employment to Guddu Rabidas, the dependent and nominated son of the deceased employee as per the provisions of
Clause 9.3.1 of NCWA.
13.
Mr. P. K. Das, learned advocate for the management of ECL, in reply argued that Umesh Rabidas, the eldest
son of the deceased employee raised objection against the proposal for employment to his younger brother, Guddu
Rabidas. It is argued that according to the Circular dated 31.10.2009 issued by the General Manager (P&IR), ECL it is
essential that all the dependent members of the deceased employee, whose names appeared in the Service Record
must submit no objection in favour of the person seeking employment. In the instant case Umesh Rabidas raised
objection against the nomination of Guddu Rabidas, as such the management offered to pay MMCC to the widow of
the deceased. It is further argued that due to such objection raised by another son of the deceased employee the prayer
for employment of Guddu Rabidas is not sustainable and the Industrial Dispute is liable to be dismissed.
14.
Having considered the arguments advanced on behalf of both parties, the pleadings, evidence adduced and
the provisions under Clause 9.3.1 of NCWA-IX, I find that employment has to be provided to one dependent of the
employee who died while in service of the company. In Clause 9.3.3 of NCWA-IX a dependent has been described
for this purpose as a wife or a husband as the case may be, son and legally adopted son. It does not specify that the
eldest son of the deceased employee should be considered for employment. The other essential criteria for providing
employment as per Clause 9.3.4 of NCWA-IX is that the dependent who is considered for employment should be
physically fit, suitable for employment and aged not more than 35 years provided that the age limit in case of female
spouse would be 45 years as given in Clause 9.5.0. There is no dispute over the fact that Dukhi Rabidas died in
harness on 13.05.2015, leaving behind Chunni Devi, his widow, three sons namely, Umesh Rabidas, Ramavali
Rabidas, and Guddu Rabidas and four daughters namely Gouri Devi, Pravila Devi, Manita Devi and Kanchan Devi.
From the evidence on record, it is clear that Chunni Devi nominated her youngest son for employment as a dependent
in place of her deceased husband. The application was initially submitted by her on 03.08.2017 (Exhibit W-4). The
management in response to her letter issued letter No. 1096 dated 09/11.10.2017 (Exhibit W-5), requesting her to
submit complete employment file with ―No Objection‖ from all the dependent family members as per Clause 9.4.0 of
NCWA-IX. It is admitted by the management that on 15.01.2020 Guddu Rabidas submitted all the documents along
with application of Chunni Devi and ―No Objection‖ from other family members (Exhibit W-7). The management of
ECL having received such application should have acted upon the same by considering the prayer for employment. It
has been argued on behalf of the management that Umesh Rabidas, the eldest son of the deceased employee submitted
an objection against the prayer for employment (Exhibit W-8/M-6) due to which management was unable to consider
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1585
the prayer for employment. On a close reading of the provision of Clause 9.4.0 of NCWA-IX, I found that there is no
mandatory requirement of submitting NOC by all the family members of the deceased employee in favour of the
dependent claiming employment. In the instant case Chunni Devi, the principal dependent of the deceased employee
has clearly stated in her affidavit-in-chief, supporting the case of the union in their written statement that Umesh
Rabidas was not a dependent and was living separately from the family of the deceased employee. It is also gathered
from the evidence of Guddu Rabidas that Umesh Rabidas was running a business in the style of General Store at his
native place, which has been established. Such evidence has not been controverted. Therefore, the management is
dutybound to consider the option exercised by the dependent of the deceased employee and not impose their view of
providing alternative relief of MMCC, which is usually opted by the spouse when she is more than forty-five years of
age and has no dependent to take up employment on behalf of the family of the deceased. In the instant case all four
married daughters of the deceased employee as well as the widow have expressed their support in favour of Guddu
Rabidas, seeking employment as a dependent of their deceased father. The management of Parascole Colliery is not in
a position to dispute the claim on the ground of delayed submission of application for employment as there has been a
relaxation of time limit up to 31.12.2023 for submission of application as per the Standard Operating Procedure under
NCWA dated 18.08.2023. The evidence on record clearly brings out the fact that Guddu Rabidas, the younger son has
been nominated by the widow of the deceased employee who is the principal dependent and reposed faith upon the
dependent son as a person who would take care of family responsibilities and did not support the objection raised by
the other two sons, namely Umesh Rabidas and Ramavali Rabidas. In view of the fact and circumstances of this case I
hold that the management is under a legal obligation to consider the prayer for employment of Guddu Rabidas as a
dependent son of Dukhi Rabidas as per the provisions of Clause 9.3.1 of NCWA-IX and complete the employment
procedure within two (2) months from the date of communication of the Award.
Hence,
ORDERED
that the Industrial Dispute is allowed on contest in favour of Guddu Rabidas, the dependent son of the
deceased employee Dukhi Rabidas. The management of Parascole Colliery under Kajora Area of Eastern Coalfields
Limited is directed to consider the prayer for employment of Guddu Rabidas and complete the employment procedure
within two (2) months from the date of communication of the Award. Let an award be drawn up in light of my above
findings. Let copies of the Award in duplicate be sent to the Ministry of Labour, Government of India, New Delhi for
information and Notification.
ANANDA KUMAR MUKHERJEE, Presiding Officer
नई ददल्ली, 9 मार्च, 2026
का.आ. 324.—vkS|ksfxd fookn vf/kfu;e] 1947 (1947 dk 14) dh /kkjk 17 ds vuqlj.k esa] dsUnzh;
ljdkj ई सी एल ds izca/kra= ds lac) fu;kstdks vkSj muds deZdkjksa ds chp] vuqca/k esa fufnZ’V vkS|ksfxd fookn esa
–
सह
–
] आसनसोल dsiapkV(संदभच संक्या -09/2023
) dks
izdkf'kr djrh gS] tks dsUnzh; ljdkj dks
dks izkIr gqvk FkkA
[सं. एल-22012/08/2023-vkbZ-vkj
(सी.एम-II)]
सलोनी, उृ जनदेिक/हलक अजधकारी
New Delhi, the 9th March, 2026
S.O. 324.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Reference.09/2023) of the Central Government Industrial Tribunal-
cum-Labour Court, Asansol as shown in the Annexure, in the industrial dispute between the Management of ECL
and their workmen, received by the Central Government on 06/03/2026
[No. L-22012/08/2023 – IR (CM-II)]
SALONI, Dy. Director/Link Officer
1586
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
ANNEXURE
BEFORE THE CENTRAL GOVT. INDUSTRIAL TRIBUNAL -CUM- LABOUR COURT,
ASANSOL.
PRESENT:
Shri Ananda Kumar Mukherjee,
Presiding Officer,
C.G.I.T-cum-L.C., Asansol.
REFERENCE CASE NO. 09 OF 2023
PARTIES: Dhapru Das
(Dependent son of Late Ch. Jagu Das)
Vs.
Management of Lachipur Colliery, ECL
REPRESENTATIVES:
For the Union/Workman:
Mr. Rakesh Kumar, President, Koyala Mazdoor Congress
For the Management of ECL:
Mr. P. K. Das, Advocate.
INDUSTRY:
Coal.
STATE:
West Bengal.
Dated:
12.01.2026
AWARD
In exercise of powers conferred under clause (d) of Sub-section (1) and Sub-section (2A) of Section 10 of the
Industrial Disputes Act, 1947 (14 of 1947), the Government of India through the Ministry of Labour, vide its Order
No. L-22012/08/2023-IR(CM-II) dated 31.01.2023 has been pleased to refer the following dispute between the
employer, that is the Management of Lachipur Colliery under Kajora Area of Eastern Coalfields Limited and their
workman for adjudication by this Tribunal.
SCHEDULE
“ Whether the demand of President, Koyala Mozdoor Congress (HMS), Asansol vide letter dated 14/01/2022
(copy enclosed) against the action of the management of Lachipur Colliery, Kajora Area of M/s. Eastern Coalfields
Ltd. over denial of employment on compassionate ground to Sri Dhapru Das dependent son of Late Ch. Jagu Das, Ex-
U.G.Loader, U.M.No.568901, violating the provisions of NCWA vide Order No. ECL/CMD/C-6B/EMPL/ED-
1016/21/29 dated 12.02.2021 and subsequent Order No. ECL/CKC/P&IR/C-6/2021/551 dated 25.02/06.03.2021
(copy enclosed) is proper, legal and justified? If yes, to what relief the dependent of the deceased workman concerned
is entitle to and what directions are necessary to the said management in this respect? ”
1.
On receiving Order No. L-22012/08/2023-IR(CM-II) dated 31.01.2023 from the Government of India,
Ministry of Labour, New Delhi for adjudication of the dispute, a Reference case was registered on 01.02.2023 and an
order was passed for issuing notice to the parties through registered post, directing them to appear and submit their
written statements along with relevant documents in support of their claims.
2.
Dhapru Das, son of Late Ch. Jagu Das filed written statement on 05.04.2023 through Koyala Mazdoor
Congress. The fact of the case in gist is that Ch. Jagu Das was a permanent employee under Eastern Coalfields
Limited (hereinafter referred to as ECL) and posted as an Underground Loader at Lachipur Colliery under Kajora
Area. He died in harness on 26.05.2003, leaving behind his three sons namely, Budhan Das, Dhapru Das, K. Das, and
four daughters as Kausalla Das, Lila Das, Pudni Das, and Maina Das. His wife Jumni Devi predeceased her husband.
Dhapru Das submitted an application before ECL on 21.07.2003, claiming employment in place of his deceased father
as per provisions of Clause 9.3.1 of National Coal Wage Agreement (hereinafter referred to as NCWA). The
management of ECL after a long time regretted his claim for employment on 12.02.2021, after 18 years on the ground
that there has been a delay in processing the claim for employment. An Industrial Dispute was raised before the
Assistant Labour Commissioner (C), Raniganj at Durgapur on 14.01.2022. After failure of the conciliation proceeding
the Industrial Dispute has been referred to this Tribunal by order dated 31.01.2023 for adjudication. The union in their
written statement has disclosed that on the basis of the application submitted by Dhapru Das within two months from
the date of death of his father, management of ECL held screening at the Colliery and Area level. He appeared before
the Screening Committee on 27.08.2004 on the basis of letter dated 23.08.2004. After screening at the Area level, the
dependent son was referred before the Initial Medical Examination Board for his medical examination in September,
2004. Subsequently, the Manager of the Colliery informed the Dy. CPM, Kajora Area that one Latli Devi @ Tejni
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1587
Devi, claiming herself to be the second wife of Late Ch. Jagu Das, had submitted ―No Objection‖ in favour of Dhapru
Das for his employment. The employment proposal of Dhapru Das was sent to ECL Headquarters for approval. After
completion of all formalities at Area level the Personnel Manager (Empl.), ECL Headquarters made some queries and
sought for pointwise response to letter dated 29.07.2006. The Manager, Lachipur Area in turn called upon Dhapru Das
for clarification by issuing a letter dated 26.08.2007 and all necessary information were furnished by Dhapru Das. The
Agent, Lachipur Colliery again issued a letter bearing No.596 dated 02.07.2008 / 02.09.2008, seeking further
information and Dhapru Das again replied the same regarding his claim for employment. Time was consumed due to
delay in processing the claim by the management and the claim for employment was not approved by the
Headquarters. On 17.01.2013 Sr. Manager (M), Lachipur Colliery issued a letter to Dhapru Das, informing that Tejni
Devi, the second wife of Ch. Jagu Das had submitted a complaint before the management and requested for not
processing the claim for employment of Dhapru Das. It was informed that Tejni Devi had filed a case against Dhapru
Das before the Court of Learned Chief Judicial Magistrate, Giridih. On receiving such complaint, the management
called upon Dhapru Das for some clarification. According to the dependent son of the deceased employee a criminal
case was filed by Tejni Devi before at Giridih Court against the brother of Late Ch. Jagu Das on the ground that they
are driving her out from the house of Ch. Jagu Das at their native place and also demanded money for allowing her to
stay in the house and the same was not related to the claim for providing employment to Dhapru Das. It is asserted by
the union that in spite of submitting clarification on various occasions, management of ECL did not approve the claim
for employment on the ground that a criminal case was pending before the court at Giridih. The criminal case was
finally disposed of on 31.03.2014 where Dhapru Das and others were acquitted. Dhapru Das submitted a copy of the
judgement before the management, requesting them to process his prayer for employment. Management started
processing his claim for employment after further screening at the Unit and Area level. The dependent son submitted a
letter to General Manager (P&IR), ECL Headquarters on 30.12.2020 that he would resort to Hunger Strike if
employment was not provided to him. The management informed him that the family members of the ex-employee
were involved in a family Dispute for a long period for which no employment could not be provided to him and
finally regretted the claim by his letter dated 26.02.2021 / 06.03.2021. It is claimed that the criminal case filed by
Tejni Devi was not for restraining the management of ECL from providing employment to Dhapru Das in place of his
father but it was regarding alleged torture of second wife of Ch. Jagu Das by him and other family members. It is
urged that the management was never restrained by any court of law from providing employment to the son of the
deceased. Furthermore, Tejni Devi‘s name was not recorded in the Service Records of Ch. Jagu Das, Form PS-3 and
PS-4, nor did Ch. Jagu Das submitted any application for recording the name of Tejni Devi @ Latli Devi as his wife.
It is further stated that at the instance of the management of the company Dhapru Das had submitted a ―No Objection‖
in his favour issued by Tejni Devi for his employment only to satisfy the management of the employer company
which was unnecessary. According to the union, the management has deliberately delayed and dragged the process of
granting employment to the dependent son though he submitted application well within time and all the requirements
were in order. It is urged that the management cannot defeat the claim for employment of the dependent son on the
ground that it was a belated claim. The union claimed that Dhapru Das, son of Ch. Jagu Das should be provided with
employment in place of his father.
3.
Management contested the case and filed written statement on 01.05.2023. It is admitted that Ch. Jagu Das
was a permanent employee of ECL and he died in harness on 26.05.2003. Dhapru Das, the son of the deceased
employee claimed employment by submitting application on 21.07.2003. The proposal was forwarded to the higher
authority but the claim was regretted by the Competent Authority of the company who issued letter bearing No.
ECL/CMD/C-6B/EMPL/ED/1016/21/29 dated 12.02.2021. According to the management the Industrial Dispute has
been raised before the Assistant Labour Commissioner (C) in the year 2022, after more than 19 years from the death
of the employee and it was referred to this Tribunal in the year 2023, after more than 20 years. Therefore, the dispute
which is stale in nature is liable to be dismissed. Management of ECL in their written statement relied upon a decision
of the Hon'ble Supreme Court of India in the case of M/s. Eastern Coalfields Ltd Vs. Anil Badyakar and Others
[Civil Appeal No. 3597 of 2009], which disapproved granting employment on compassionate ground after passage of
long years. The management claimed that there is no merit in the Industrial Dispute and the Tribunal may be pleased
to hold that the action of the management is justified in not providing employment to son of the deceased employee.
4.
The union has examined Dhapru Das as Workman Witness No. 1. In his affidavit-in-chief he has stated that
after the death of his father on 26.05.2003 at Central Hospital, Kalla, he applied for providing employment as
dependent son and filed required documents in support of his claim. Screening was held at Colliery and Area level and
his medical examination was held by the Initial Medical Examination Board on the basis of letter dated 15.09.2004.
Witness disclosed that management informed him that one Tejni Devi @ Latli Devi, claiming herself as the second
wife of his father gave no objection for providing employment to him. It further transpires from his affidavit-in-chief
that management at Kajora Area had sent his proposal for employment with recommendation to the ECL
Headquarters. On two occasions i.e., on 29.07.2006 and 02.07.2008/02.09.2008 Management at the ECL Headquarters
issued letters addressed to Dhapru Das seeking some clarifications and on both the occasion submitted his reply to the
management and requested them to provide him employment. The witness further stated that management at Lachipur
1588
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Colliery issued letter dated 17.01.2013, informing that Tejni Devi, the second wife of Ch. Jagu Das has submitted a
complaint and requested the management not to process the employment and also mentioned about a case was filed by
her before the Court of Learned Chief Judicial Magistrate at Giridih. In the affidavit-in-chief it is stated that the case
before the Giridih Court was not relate to the issue of providing employment and in spite of repeated requests the
management did not pay heed to such fact. It is stated that the case was disposed by an order of acquittal on
31.03.2014, which was submitted before the management with a request to process the claim for employment. The
management thereafter held screening and Initial Medical Examination once again which were forwarded to the ECL
Headquarters. According to the witness the name of Tejni Devi was not recorded in the Service Record of the
company and she had no legal claim as a dependent. Witness asserted that he submitted his claim for employment
within time, just after the death of his father. According to the dependent son he has suffered immensely as
management has delayed in providing him employment in spite of repeated requests. In course of his evidence the
workman witness produced the following documents :
(i)
Copy of the Identity card of Ch. Jagu Das is produced as Exhibit W-1.
(ii)
Copy of the Death Certificate of Ch. Jagu Das issued by Central Hospital, Kalla, as Exhibit W-2.
(iii)
Copy of the Death Registration Certificate of Ch. Jagu Das, as Exhibit W-3.
(iv)
Copy of Service Record Excerpt of Ch. Jagu Das in which name of Dhapru Das appears as son, as
Exhibit W-4.
(v)
Copy of Form PS-3, relating to family particulars of Ch. Jagu Das, as Exhibit W-5.
(vi)
Copy of Form PS-4, where name of wife Jumni Devi appears as nominee, as Exhibit W-6.
(vii)
Copy of Office Order dated 26.08.2004 issued by the Sr. Personnel Officer, Lachipur Colliery,
whereby nominee / dependent of Ch. Jagu Das was called to appear before the Screening
Committee, as Exhibit W-7.
(viii)
Copy of letter dated 15.09.2004 issued by the Manger, Lachipur Colliery for medical examination of
Dhapru Das, as Exhibit W-8.
(ix)
Copy of letter dated 08.05.2006 issued by the Manager, Lachipur Colliery whereby it is mentioned
that Latli Devi, second wife of Ch. Jagu Das has raised no objection against employment of Dhapru
Das, as Exhibit W-9.
(x)
This is a copy of letter dated 29.07.2006 issued by the Dy. CPM, seeking some reply on certain
points, as Exhibit W-10.
(xi)
This is a copy of Judgment dated 31.03.2014 passed in Criminal Appeal No. 46/2010 by the learned
District and Additional Sessions Judge, Court No. III, Giridih.
(xii)
Copy of letter dated 29.01.2015 issued by the Assistant Manager (Personnel) addressed to the
dependent of Late Ch. Jagu Das for appearing before the Screening Committee for employment on
31.01.2015 is produced as Exhibit W-12.
(xiii)
Copy of letter dated 26.02.2021 / 06.03.2021 issued by the Ch. Manager (Min)/Agent, Khas Kajora
Group of Mines, whereby prayer for employment against death of Ch. Jagu Das has been regretted,
as Exhibit W-13.
5.
In his cross-examination the witness deposed that he used to reside with his father at Lachipur Colliery and
he studied up to Class-VIII at Giridih. Witness further deposed that Ch. Jagu Das, his mother died in the year 1996
and his father never married Tejni Devi, who claimed to be the step mother (second wife). Witness denied the
proposal that management regretted the proposal on the ground of delay or that he is not dependent on his father and
not entitled to employment.
6.
Mr. Proloy Dasgupta has been examined as Management Witness No.1. Admitting the facts relating to
employment of Ch. Jagu Das and the claim made by Dhapru Das for employment, the witness stated in his affidavit-
in-chief that this reference has been made after twenty years from the date of death of employee as such the Tribunal
may be please to hold the action of management in not providing employment is totally justified. In course of his
evidence management produced the following documents :
(i)
Copy of Application of Dhapru Das dated 21.07.2003, seeking employment as a dependent is
produced as Exhibit M-1.
(ii)
Copy of the Identity Card of Ch. Jagu Das, as Exhibit M-2.
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1589
(iii)
Copy of the Death Certificate of Ch. Jagu Das issued by Central Hospital, Kalla, as Exhibit M-3.
(iv)
Copy of the Death Registration Certificate of Ch. Jagu Das, as Exhibit M-4.
(v)
Copy of letter dated 12.02.2021 issued by the Ch. Manager (Pers)/ Empl/Rectt, ECL whereby claim
for employment of Dhapru Das was rejected, as Exhibit M-5.
The salient features of his evidence adduced is that the witness admitted that after submission of application for
employment by Dhapru Das dated 21.07.2003 he was referred for his screening test on 13.09.2003. The Screening
Committee recommended him for employment. The witness clearly admitted that he is not in a position to state why
management stopped processing his claim for employment as dependent. The witness deposed that ultimately on
12.02.2021, management issued a letter that family members of ex-employee had some internal dispute and they were
involved in a court litigation for 18 years for which the claim for employment on compassionate ground was defeated.
7.
In course of cross-examination the witness deposed that he was unable to produce any document to show that
the management had specific information about dispute amongst dependents of the deceased employee over
compassionate appointment. He deposed that it took nearly 19 years for the management to regret the proposal for
employment. It may be gathered from the cross-examination of Management Witness No. 1 that the management of
ECL is not impleaded as a party in the case relating to dispute between the claimant and other legal heirs of the
deceased and no Summons or other documents were received by the management from any court. It may also be
gathered from the testimony that as per NCWA a dependent of the deceased is entitled to get compassionate
appointment on death of the employee.
8.
Mr. Rakesh Kumar, union representative, arguing for the dependent son of deceased employee submitted that
the terms of NCWA is binding upon both the parties and as per Clause 9.3.1 of NCWA one dependent of the deceased
employee is entitled to employment, if the employee dies in harness. In the instant case Ch. Jagu Das died on
26.05.2003 and within a very short period Dhapru Das, his elder son submitted a claim for employment on
21.07.2003. The management processed his prayer for employment and held Screening and medical examination and
thereafter the proposal was forwarded for approval by the Competent Authority. It is asserted that necessary
documents had been submitted by the claimant along with ―No Objection‖ from other legal heirs. It is argued that
Jumni Devi, the wife of Ch. Jagu Das is the nominee in respect of the service benefits of Ch. Jagu Das and her name is
recorded in the PS-4 Form, which is produced as Exhibit W-6. Jumni Devi died in the year 1996 and till the death of
Ch. Jagu Das did not contact a second marriage nor was the name of Tejni Devi recorded in the Service Record of the
employee as the wife. It is argued that a criminal case filed by Tejni Devi at Giridih Court against the claimant and
other family members of Ch. Jagu Das cannot be a ground for depriving Dhapru Das from his legitimate right of
employment as a dependent. The union representative strenuously argued that the procedure was near to completion in
the year 2004 but the management of ECL without any cogent reason stopped processing the prayer for
employment on the basis of an unfounded complaint of Tejni Devi. Mr. Kumar further argued that the management of
ECL has not been impleaded in any court case by Tejni Devi nor was the management restrained from processing the
claim for employment of Dhapru Das. It is argued on behalf of the dependent son that delay has been caused at the
instance of the officials of the management, resulting in immense hardship and suffering to the dependent son. Union
reiterated the claimed for providing employment to the dependent son without further delay.
9.
Mr. P. K. Das, learned advocate for the management of ECL, in reply argued that more than twenty years
have lapsed since the death of the employee and this Industrial Dispute referred after twenty years is a stale one,
without merit and the same is liable to be dismissed.
10.
Heard arguments advanced on behalf of the union and management, considered the pleadings and evidence
adduced by both parties. The admitted position in this case was that Ch. Jagu Das is a permanent employee of ECL,
who died in harness on 26.05.2003 leaving behind Dhapru Das along with two other sons and four daughters. It may
be gathered from the evidence on record that Jumni Devi, the wife of the ex-employee predeceased her husband. It is
also undisputed that Dhapru Das, the dependent son claimed employment under ECL by submitting her application on
21.07.2003, which is within two months from the date of death of Ch. Jagu Das. The name of Dhapru Das has been
recorded in the Service Record Excerpt of Ch. Jagu Das, which has been produced as Exhibit W-4 and in Form PS-3
(Exhibit W-5), which is a record regarding particulars of the family of the employee. The age of Dhapru Das was
recorded as 4 years as on 01.04.1987. Therefore, on 26.05.2003 he was 20 years of age and he was within the eligible
age for employment as required in NCWA. On the basis of letter dated 23.08.2004 issued by the Personnel
Manager, Kajora Area, an Office Order was passed on 26.08.2004 (Exhibit W-7) whereby Dhapru Das was advised
to appear before the Screening Committee at Kajora Area Office on 27.08.2004 along with original documents like
Death Certificate, Death Registration Certificate, Identity Card, S.P.E. Form, Indemnity Bond and School Certificate
of the nominee, if any. Subsequently, on 15.09.2004 a letter was issued by the Manager, Lachipur Colliery, whereby
Dhapru Das was requested to attend Kajora Area Medical Hospital for his medical examination, along with
photographs and original documents. Copy of the said letter has been produced as Exhibit W-8. It appears from the
record that appropriate proceedings were initiated by the management and no adverse findings was there in respect of
the claim of Dhapru Das. According to the management the dispute cropped up when they received a complaint from
1590
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
one Latli Devi @ Tejni Devi claiming herself to be the second wife of Ch. Jagu Das. The management issued a letter
to the Dy. Chief Personnel Manager, Kajora Area dated 08.05.2006 informing that Tejni Devi has raised objection
against providing employment to Dhapru Das in place of Ch. Jagu Das. According to the workman witness Tejni Devi
is not the second wife of Ch. Jagu Das and her name has not been recorded as his wife even after the death of his
mother. It appears from Exhibit W-6, which is a copy of Form PS-4, relating to nomination in respect of service
benefits of Ch. Jagu Das that the name of Jumni Devi has been recorded as nominee and described as the wife with
hundred percent (100%) share. Therefore, the management of ECL should not have entertained the complaint of Tejni
Devi to stop the employment process as her claim had no legal foundation and the documents in the custody of the
management of ECL could not have accommodated such extraneous claim. To set the dispute at rest Dhapru Das
submitted a copy of judgement of acquittal passed by the learned District and Additional Sessions Judge, Court No.
III, Giridih in Criminal Appeal No. 46/2010 (Exhibit W-11) dated 31.03.2014, setting aside an order passed by the
Sub-Divisional Judicial Magistrate, Giridih on 20.05.2010, where Dhapru Das had been held guilty under Section
498(A) of the Indian Penal Code. The management of ECL by any competent court was never impleaded in any civil
suit nor was there any order of restrainment against the management of ECL preventing it from providing employment
to the son of deceased employee on the basis of the NCWA. The criminal case in which the petitioner son was
entangled was finally disposed of in the year 2014 but the management remained silent for seven long years to add to
the delay and did not carry out its solemn responsibility of honouring the provisions of NCWA in its true perspective.
The manner in which the prayer of Dhapru Das was delt with by different tiers of management of ECL only reveals
their deliberate act of delaying the matter to frustrate and exhaust the claim for which the petitioner son is not
responsible in any manner. It was only on 26.02.2021 the Chief Manager, Kajora Area, issued a letter bearing No.
ECL/CKC/P&IR/C-6/2021/551 (Exhibit W-13) to Dhapru Das, informing that the employment proposal has been
examined by the Competent Authority and observed as follows :
“ The aforementioned employment proposal of Sri Dhapru das has been examined and it is found that the
appointment of compassionate ground is given only to help a family to tide over the stringent financial crisis resulting
from the sudden death of employee.
Whereas, in this case, family members of the ex- employee indulged themselves in to their internal dispute
which was ultimately dragged themselves in to court and a substantial period of about 18 years is now over.
Therefore, essence of compassionate appointment is defeated in this case.
Further, it is observed that, candidate is trying to procure employment as a matter of right.
Whereas, Honorable Court had held that appointment on compassionate ground cannot be claimed as matter
of right.”
It needs to be born in mind that there is a presumption of innocence in favour of a person even when he is facing a
criminal charge in a trial. It is only after he is convicted, an inference can be drawn against him. In the present case
simply by lodging a complaint against Dhapru Das cannot stall the proceeding for his employment as per provisions
of NCWA. The legal right of a dependent which has arisen out of the provision of NCWA cannot be curtailed on the
basis of a complaint before the Criminal Court. In order to bank upon a contention that a family dispute prevailed with
counter claims in respect of the service claimed by one of the dependents of deceased employee, the management
should be in a position to establish that a Civil dispute had been initiated against the claimant as well as the
management of the company, raising objection against such claim. In the present case management has relied upon a
decision of the Hon'ble Supreme Court of India in the case of M/s. Eastern Coalfields Ltd Vs. Anil Badyakar and
Others [Civil Appeal No. 3597 of 2009], wherein the Hon‘ble Apex Court held :
“…….. the compassionate appointment is not a vested right which can be exercised at any time in future. The
compassionate employment cannot be claimed and offered after a lapse of time and after the crisis is over. In the
instant case the employee died in harness in the year 1981 and after a long squabble by the dependents of the
deceased, they arrived at a settlement that the son-in-law of the second daughter who is unemployed may request for
appointment on compassionate grounds. The request so made was accepted by the Personal Manager of the Company
subject to the approval of the Director of the Company. The Director (P), who is the competent authority for post
facto approval, keeping in view the object and purpose of providing compassionate appointment has cancelled the
provisional appointment on the ground that nearly after 12 years from the date of death of the employee such an
appointment could not have been offered to the so called dependent of the deceased employee. In our considered view,
the decision of the employer was in consonance with Umesh Kumar Nagpal’s case and the same should not have been
interfered with by the High Court.”
11.
The facts of the present case is distinguishable from the facts of the case relied upon by the management of
ECL. In the instant case Dhapru Das, the dependent son submitted his application claiming employment against the
death of his father as per provisions of Clause 9.3.1 of NCWA. Such claim was made within two months from the date
of death of his father. There is no dispute that he is a dependent of the deceased employee and his name appeared as
son in the Service Record Excerpt and the family particulars of the deceased employee for which such documents are
maintained. The screening and medical examination of the candidate was also carried out within a reasonable period
and documents were submitted. The stage was set for final consideration of the claim for employment when on the
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1591
basis of a complaint submitted by Tejni Devi, management thought it wise not to proceed further in processing the
claim for employment. Management representatives did not apply their mind that Tejni Devi did not figure in the
Service Record of the deceased employee at any point of time. Therefore, management acted in a grossly illegal and
arbitrary manner by entertaining the claim of Tejni Devi and thereby deprived the dependent son of the deceased
employee from his rightful claim for employment for nearly 20 years. In the case of Anil Badyakar and Others
(Supra.) there was a long dispute against the dependents of the deceased employee leading to delay in submitting
claim for employment. The circumstances in this case is entirely different. Therefore, I hold that the ratio of the
decision relied upon by the management does not apply to the facts and circumstances of this case.
12.
In the case of Sukumoni Hembram alias Sukumoni Mejhan Vs. Union of India and Others [MAT 27 of
2024] the Hon‘ble Division Bench of the Hon'ble High Court at Calcutta held :
“ NCWA is a negotiated agreement that has been arrived at between the employer and the employees. It is a
settlement under section 2 (p) of the Industrial Disputes Act, 1947 and has binding effect on the parties thereto under
section 18 (3) of the Act of 1947. NCWA has made provisions for compassionate appointment for the dependents of
the deceased employee.” The Hon'ble High Court further held that none of the clauses 9.3.0 to 9.5.0 of NCWA
provide any time limit for applying or prescribe any financial solvency of the family as a disqualification. It does not
allow the employer to choose between the dependents as to who it would grant the employment or the MMCC. The
position of law is clearly settled that a claim for employment under NCWA is not treated as a compassionate
appointment, depending upon the financial status of the family of the deceased employee. Nowhere, in the NCWA it
has been stated that such employment was been provided only to the dependents to tide over sudden crisis resulting
due to sudden death of the bread-earner or only in cases where the family of the deceased is in a penury. The terms of
providing employment have gone beyond such consideration and has only specified the eligible age and physical
fitness of the candidate to be considered for the employment. In order to turn down the claim for employment of a
dependent on the ground that there has been lapse of time and the sudden crisis due to the death of the employee is
over, the provisions of NCWA needs to be revised and necessary changes should be incorporated before regretting the
prayer for employment on the ground of delay. From the factual matrix of this case, I find that the delay has been
caused at the instance of the management by stalling the proceeding on the basis of frivolous complaint from a person
who does not figure as a family member of the deceased in the Service Record. Since the delay in finalizing the claim
for employment can be attributed to the management, the dependent son is not liable to suffer the loss. Therefore, I
hold that the decision of the management communicated through their letter dated 26.02.2021 / 06.03.2021 are not
legally tenable. This is an appropriate case where the management of ECL shall be directed to provide employment to
Dhapru Das after completing the process of employment within two months from the date of communication of the
Award.
Hence,
ORDERED
that the Industrial Dispute is allowed on contest against the management of Lachipur Colliery under Kajora
Area of Eastern Coalfields Limited. The management of Eastern Coalfields Limited is directed to provide
employment to Dhapru Das, the dependent son of Late Ch. Jagu Das, ex-employee of Eastern Coalfields Limited after
completing the formalities related to employment within two months form the date of communication of the Award.
Let an award be drawn up in light of my above findings. Let copies of the Award in duplicate be sent to the Ministry
of Labour, Government of India, New Delhi for information and Notification.
ANANDA KUMAR MUKHERJEE, Presiding Officer
नई ददल्ली, 9 मार्च, 2026
का.आ. 325.—औद्योजगक fookn vf/kfu;e 1947 (a1947 dk 14 ) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj
कनाचटक ग्रामीण बैंक ds izca/kr=] lac) fu;kstdks vkSj muds deZdkjks ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa
dsUnzh; ljdkj औद्योजगक vf/kdj.k@Je U;k;ky; caxyksj ds iapkV (a10/2015) izdkf'kr djrh gSA
[सं. एल-12012/22/2015-आई आर(बी- I)]
सलोनी, उृ जनदेिक
New Delhi, the 9th March, 2026
S.O. 325.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Ref.10/2015) of the Cent.Govt.Indus.Tribunal-cum-Labour Court
Bangalore as shown in the Annexure, in the industrial dispute between the management of Karnataka
Gramina Bank and their workmen.
[No. L-12012/22/2015- IR(B-I)]
SALONI, Dy. Director
1592
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
ANNEXURE
BEFORE THE
CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL-CUM-LABOUR COURT, BANGALORE
DATED
: 6th FEBRUARY 2026
PRESENT : Smt. K P INDIRA B.A., LLB.
Presiding Officer
C R No. 10/2015
I Party
II Party
Sri Mallikarjuna Sangappa,
No. 10-14, Gandhi Chowk,
Shahpur,
YADGIR DISTRICT 585 223
1. The General Manager, Karnataka Gramina Bank, H O
Post box No. 4, Kusnoor Road, GULBARGA - 585
103.
2. The Manager, Karnataka Gramina Bank, Shahpur,
YADGIR DISTRICT – 585 223.
Appearances
I Party :
Sri Muralidhara
Advocate
II Party :
Sri B C Prabhakar
Advocate
1.
The Government of India, Ministry of Labour vide Order No. L-12012/22/2015-IR(B-I) dated 12.02.2015 in
exercise of the power conferred by clause (d) of sub-section (1) and sub-section (2A) of Section 10 of the Industrial
Disputes Act, 1947 (hereinafter referred as ―The Act‖) (14 of 1947) referred the following Industrial Dispute to this
Tribunal for adjudication:
SCHEDULE
―Whether the action of the management of Krishna Gramina Bank (now Pragati Krishna Gramina
Bank), Shahpur Branch in awarding the punishment of dismissal w.e.f. 25.11.2009 against
Sh. Mallikarjun Sangappa, who was working as messenger, is proper, legal and justified ?‖
2.
After registering the case as CR No. 10/2015 notices were issues to both the parties. In response to the notice
both parties entered appearance through their respective counsel.
3.
The I Party filed Claim Statement stating that he has been working in the II Party since 1997-98 as
Messenger on daily wage basis, he used to discharge all the jobs attached to regular Messenger-cum-Sweeper which
was redesignated as ―Attender‖ for a very low wages, he was not covered under any social welfare legislations and
settlement benefits as applicable to regular and permanent workmen of the II Party; he continued to work in the II
Party with the fond hope and expectation that his services would be confirmed and would get the status of a
permanent worker with all concomitant benefits, he served the Bank with utmost loyalty, diligence and dedication;
that the II party did not initiate any action to absorb him though several vacancies existed in the cadre of Messenger /
Attender; that on 25.11.2009 the Branch Manager called and informed him that he was under instructions to be
removed from service; that he filed Writ Petition No. 81888/2010 before Hon‘ble High Court of Karnataka, Gulbarga
and same was disposed of with observation to approach the Industrial Tribunal and there upon raised conciliation
proceedings which ended up in failure; that the termination of his services w.e.f. 25.11.2009 is unjust, arbitrary and
illegal and to direct the II Party to restore him into service with full back wages, continuity of service and all other
consequential benefits.
4.
II Party filed the counter statement and contested that the dispute raised by the I Party is not maintainable
either in law or on facts; that the management is a separate entity with its own board of Management and Regulations;
that the Government of India has issued detailed guidelines / norms for direct recruitment and promotion vide
notification dated 13.07.2010; the management has to follow scrupulously the aforesaid guidelines / rules notified by
the Government of India at the time of recruitment; sometimes it becomes necessary for the II Party to engage the
services of a person occasionally as and when necessitated for doing the menial works when the regular attendants
remain absent or if they proceed on leave and for excess work and in order to meet the exigencies of work; II party
used to engage coolies for doing menial works, cleaning, sweeping, watering and were paying coolie charges; no
works were entrusted to the coolies as being done by the Regular Attendants; I Party was engaged for such works and
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1593
he was taken on need basis, his engagement was not continuous but only intermittent; that it is not correct that the I
Party was called upon by the Branch Manager and removed from service, just because he was not engaged from
25.11.2009, it cannot be said that there was refusal of work or termination; that subsequent to 25.11.2009 I party did
not approach the II Party for work; that the for engagement of coolies to do menial works in the branches, no
condition regarding educational qualification or age will be looked into, coolie charges will be paid proportionately
depending upon the number of hours worked by the person; that as per the Government of India guidelines for
appointment of regular attendants, the names should be sponsored by Employment Exchange and such engagement;
the persons engaged on a particular day has a liberty to work elsewhere; that the court be pleased to reject the claims
of the I Party and answer the reference in favour of the II party.
5.
Based on the pleadings, the matter was adjourned for Evidence of II Party and MW 1 is examined on the side
of the II Party. During his cross-examination certain documents were confronted to him by the learned counsel for I
Party and the same were got marked as Ex W-1 to Ex W-6. Thenceforth though the case was repeatedly posted for I
Party evidence, he did not tender himself as a witness at all, nor did he file any affidavit in lieu of his examination in
chief. Accordingly, Evidence of the I party was held by this Tribunal as closed and the matter was posted for
Argument.
6.
The Argument advanced by the learned counsel for both the parties were heard in detail.
7.
At the very threshold the learned counsel for II Party urged by placing reliance on the verdict of the Hon‘ble
High Court of Allahabad in V K Raj industries vs. Labour Court and others (FJR Vol 59 Allahabad 304) that
as no evidence is produced by the I Party challenging the validity of his termination, he must fail in toto. In the ruling
cited supra it is held :
“if a party challenges the legality of an order the burden lies upon him to prove the illegality of the order,
and if no evidence is produced the party invoking the jurisdiction of the court must fail. Therefore,
whenever a workman raises a dispute challenging termination of his service, it is imperative for him to file
a written statement before the Industrial Court setting out the grounds on which the Order is challenged
and he must also produce evidence to prove his case. If the workman fails to appear or to file written
statement or to produce evidence, the dispute refereed for adjudication cannot be answered in his favour
and he would not be entitled to any relief and the court would be acting in excess of its jurisdiction if it
gives an award in favour of the workman in such a case.”
8.
In the afore discussed para the manner how the case was dealt with by the I Party is well narrated. Though
MW 1 is thoroughly cross-examined by the learned counsel for the I Party, the workman, when the matter was posted
for leading his evidence irresponsibly remained absent without any positive instruction before this Tribunal . Ample
opportunities were granted to him to adduce evidence so as to establish his case in consonance with the plea raised in
the claim statement by bringing home the niceties relating to the claimed to have been rendered by him under the II
Party. However, he unreasonably kept aloof from the trial for reasons best known to him alone. The failure / refusal
of the I Party to adduce evidence has literally marked willful abandonment of the claim by the I Party or his absolute
failure to put forth a valid and genuine case. The principle laid down in the ruling cited supra strictly speaks about the
impact of the indifference on the part of the I Party on the merit of his case. Therefore, the only conclusion to be
followed is that the I Party failed in proving a genuine cause or claim which leads to the total dismissal of the instant
industrial dispute.
9.
With this view, these issues are answered against the claimant I Party. Hence, the following award.
AWARD
Reference is dismissed. Transmit.
(Dictated to Secretary to Court, transcribed by him, corrected and signed by me on 6th February 2026)
K P INDIRA, Presiding Officer
नई ददल्ली, 2 मार्च, 2026
का.आ. 326—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14 ) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj
भारतीय स्ट्टेट बैंक ds izca/kr=] lac) fu;kstdks vkSj muds deZdkjks ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh;
ljdkj औद्योजगक vf/kdj.k@Je U;k;ky; caxyksj ds iapkV (a01/2019) izdkf'kr djrh gSA
[सं. एल-12025/01/2026-आई आर(बी- I)-62]
सलोनी, उृ जनदेिक
New Delhi, the 9th March, 2026
1594
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
S.O. 326.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central
Government hereby publishes the Award (Ref.01/2019) of the Cent.Govt.Indus.Tribunal-cum-Labour Court
Bangalore as shown in the Annexure, in the industrial dispute between the management of State Bank of
India and their workmen.
[No. L-12025/01/2026- IR(B-I)-62]
SALONI, Dy. Director
ANNEXURE
BEFORE THE
CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL-CUM-LABOUR COURT, BANGALORE
DATED : 6th February 2025
PRESENT : Smt. K P INDIRA B.A., LLB.
Presiding Officer
I D No. 01/2019
I Party
II Party
Sri Shivananda Penagonda,
S/o Obalappa, Near Dattatreya Temple,
Padadayyana hakkal, Indira Nagar, P B
Road, HUBBALLI – 580 028.
The Assistant General Manager,
State Bank of India, A O 7, TS Complex,
Sholapur Road, Keshwapur,
HUBBALLI – 580 023.
Appearances
I Party :
Shri M Rama Rao
Authorized Representative
II Party :
Shri Ramesh Upadhyaya
Advocate
1.
The Petition is filed under Sec 2-A(2) of the Industrial Disputes (Amendment) Act, 2010 (for brevity
‗the Act‘) by the 1st Party workman / former employee of the State Bank of India who was Terminated from
service.
2.
The case of the I Party is that he had joined the services of the II Party on taking an application from
him from 01.08.1992 after conducting interview; he served the Bank sincerely, honestly and diligently till the
date of his retrenchment of services from 08.06.2018; that he has put 26 years continuously; that he was doing
all the work of the permanent sub-staff and his salary was credited to his savings bank Account; that he was
not credited with December 2017 salary, he was not paid with six months salary; that he was told to work
under a Contractor w.e.f. 01.12.2017 for which he has not agreed and he was retrenched from service w.e.f.
08.06.2018 and the management did not follow Section 25F while retrenching his service and has not paid him
bonus; that the II party has paid the minimum of pay scales of sub-staff; that the work of sub-staff is perennial
in nature; that the retrenchment / termination of his services are malafide, illegal, null and void; the II Party
officials have humiliated him purely on caste basis as it stood revealed in the conciliation meetings; that the
abrupt termination of his services has caused him irreparable hardships, agony and unable to run his family
requested for reinstatement with full back wages, continuity of services with regular pay scale, regularization,
ancillary benefits from the date of his appointment i.e., 01.08.1992.
3.
The II Party filed its statement of Objection interalia contending that the claim of the I Party is not
maintainable on facts and in law; that the I Party is not a workman of the II Party and was engaged by Staff
Welfare Committee of the Lunch Room of the Administrative Office which is not an industry within the scope;
that the Non-registered Trade Union can no longer represent in an industrial dispute; that he being taken on
clear vacancy of the sub-staff is false; that he has not worked for 26 years continuously; that Paragraph 20.8 of
the Bipartite Settlement is not applicable, the question of regularization does not arise; that he was working in
canteen which has been clarified in the year January 2015 itself; that the management has applied No work no
pay principle to the I Party and the I Party himself abandoned his work on his will and the II Party did not
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1595
credit any wages to the Bank Account; that the Officer did not ask the I Party to submit his bio-data, Aadhar
Card to pay his salary and to work under contractor as there is no contractor engaged for running lunch room
service; that on 08.06.2018 the I Party himself did not come for work; that the II Party has not done any unfair
labour practice, hence, granting retrenchment compensation does not arise under Section 25F of Bipartite
Settlement, the cessation of service was on account of abandonment of service; the question of allowing the I
party to continue to serve in canteen does not arise; that the wages and service conditions of the Employees of
the II Party are governed by the provisions of Sastry Award, Desai Award and Bipartite Settlement, as the I
party was engaged by Staff Welfare committee, he is not a workman as he was merely engaged on casual and
on daily rated basis; that the work done by him is perennial in nature is false and denied as such; that the I
Party has accepted the severance compensation of Rs. 1,10,400.00, he cannot claim reinstatement as a matter of
right and seek permanent employment with the II Party; the I Party has refused to arrive at an amicable
settlement with the II Party during the conciliation proceedings; that the allegations made against the Bank
officials having adopted untouchability against the I party purely on caste basis is utterly false and mischievous
and made with an intention to harass the representative of the II Party; that the relief claimed by the I Party
seeking reinstatement is legally and factually untenable and not maintainable on facts or in law; that there is no
liability for the II Party to make payment of Rs. 15,056.00 towards wages as claimed by the I Party and hence,
the claim of the I Party is deserved to be dismissed in limine as he is not entitled for any relief or award as
claimed by him in the claim statement with compensatory costs.
4.
From the rival pleadings the following issues arise for consideration:
(1) Whether the I Party is proved to have continuous service of 26 years under the II Party as
claimed by him from 01.08.1992 till 08.06.2018?
(2) Whether the I Party is illegally terminated from service on 08.06.2018 by the II Party as
contended by the I Party?
(3) Whether the II Party has violated the provisions of Section 25F of the ID Act?
(4) Whether the I Party is entitled to get any of the reliefs prayed for?
(5) What is the proper award to be passed?
5.
The I Party got examined himself as WW 1 and got Ex W-1 to Ex W-23 series marked on his side.
From the side of the II Party MW 1 is examined.
6.
Issues No. 1 to 4 : All these issues are discussed together to avoid repetition as the points underlying in
all these issues are closely intertwined and inter-related.
7.
The I Party claims to be in service under the II Party as sub-staff in scavenger post at its Keshwapur
Branch, Hubli right from 01.08.1992. He claims to have continued in service till the date of his alleged
retrenchment from service on 08.06.2018 and thereby has completed 26 years of service continuously. He did
further claim that though named as scavenger, the II party officials have made him to perform all the works of
a permanent sub-staff. It is his further claim that his salary for the month of May 2018, just prior to his so
called retrenchment was Rs. 15,060.00. From 2013 onwards he was paid wages at the minimum of pay scales of
Sub-staff and credited every month to his Savings Bank account. Exhibits W-23 series are the four SB Account
pass books in the name of the I party revealing remittance of Wages to his SB Account bearing No.
10467163914 from 08.07.2011 to 04.06.2013, 05.06.2013 to 27.05.2015, 01.06.2015 to 06.11.2017 and from
06.11.2017 with a last entry dated 25.03.2019. Ex W-23 Pass books are seen issued on 08.07.2011, 10.07.2013,
12.06.2015 and 27.11.2017 respectively. All along the wages of the I Party are seen credited to his
aforementioned SB Account consistently.
8.
Ex W-1 is shown to be the Photostat copy of the Statement revealing the Salary paid to the I Party
since March 1993 till July 2005, mostly covering the entire months in the whole years except 1993. In the year
1993 the salary for six months alone are shown with breaks in between, in all the subsequent years salary is
seen paid to the I Party for the entire twelve months. Ex W-1 also contains a list of arrears of salary on account
of 8th Bipartite Settlement – salary paid particulars in respect of I Party bearing Employee No. 6001 showing
gross total figure Rs. 1,25,994.24 and net amount of Rs. 1,24,614.24. How the I Party could secure Ex W-1
bearing the seal of the office remains as a mystery, though he claims to have received the same from one Mr.
Maltesh Kulkarni, Official of the Zonal Office, more particularly when the Application for copy of the same is
not forth coming from his side. Anyhow, since the document is seemingly bearing the seal of the office, I do not
ponder much upon that than the contents it bears.
9.
With similar zeal the I Party has produced a catena of Photostat copies of the internal official
communications within the Bank with reference to his service, leaving the process of securing the same in mere
assumption. Ex W-2 is the copy of the Note issued by the Chief Manager, Zonal Office, SBI to Deputy General
Manager dated 08.08.1992 revealing that the I Party was working as temporary sweeper to clean the toilets of
1596
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
Office in the morning from three hours on a lumpsum pay of Rs. 650.00 and it speaks about a request from the
Staff Union during the Bipartite meeting held on 06.08.1992 to absorb him in the permanent vacancy as full
time sweeper and the proposal of the Bank to ask him to work both in the forenoon and afternoon if he is
absorbed in the permanent vacancy as full time sweeper and also to ask him to work full time from 10.08.1992
until the II Party absorbs him in the permanent vacancy and to pay him salary as applicable to permanent
employees.
10.
Ex W-3 is an internal letter from the Deputy General Manager to the Circle Development Officer, SBI,
Personal Department, Local Head Office, Bangalore, dated 10.11.2001 referring to Ex W-2 which reveals that
the recommendation for utilizing the service of the I Party for full day on payment of full salary was not
approved and he has been paid three fourth wages and that he was granted annual increments as per the extant
service rules governing award staff.
11.
As per Ex W-4 dated 02.01.2003, the Chief Manager, Zonal Office has addressed a note to the Chief
Manager (PER & HRD) dated 02.01.2003 furnishing the name of the I Party as the one and only temporary /
daily wage employee who has completed 240 days of service in a calendar year continuously from 10.08.1992
and his aggregate qualifying temporary service / daily wage service as 10 years 01 month and 20 days as on
30.09.2002.
12.
Ex W-5 copy of the statement of appointments made on daily wages for the month of January 2005
dated 02.02.2005 shows the name of the I Party under the designation scavenger with aggregate temporary
service of 13 years 01 month and 22 days with date of appointment as 10.08.1992 for cleaning of toilets at Office
and Bank House. This piece of evidence goes diametrically opposite to the oral testimony of MW 1 denying
WW 1 having performed the work of scavenger in the II Party Bank.
13.
Ex W-6 accompanied with Ex W-7 is an intimation from the Chief Manager (OA) to the Chief
Manager (PER & HRD) dated 21.07.2005 revealing that the services of the I party continued to be used on
payment of 3/4th wages by debit to charges A/c (Salaries and allowances).
14.
Ex W-8 dated 16.08.2005 an internal communication from the Zonal Office to the Chief Manager
(PER & HRD) is also on similar lines. Ex W-9 issued by the General Manager to the Deputy General Manager,
Hubli, dated 11.05.2006 reveals that the I Party has completed more than 240 days of service during the year
1994 onwards and hence he becomes a protected employee in terms of the Industrial Dispute Act, however
making the Bank‘s stand clear that there is no question of considering his permanent absorption and also
requiring to some action against the Officials in retaining him as a temporary sweeper for such a long period.
At no stretch of imagination it could be assumed that the I Party would be normally blessed with copy of such
an internal communication at the instance of the officials of the II Party; instead procuration of Ex W-9 would
only be by way of hooks and crooks by the I Party himself.
15.
Ex W-10 is the application submitted by the I party before the ALC(C), Hubli, raising a dispute
seeking conciliation dated 16.06.2018. In Ex W-11 statement submitted by the management before the
ALC(C), Hubbli, duration of the service of the I Party is confirmed till 13.03.2018 in the lunch room of the
Administrative Office of the Respondent Bank with reference to the Attendance marked by him. Under Ex W-
11 dated 15.11.2018, the management expressed its agreement to pay wages approved to him from 01.12.2017
to 13.03.2018 and the same is sought to be recorded in the proceedings of settlement. Ex W-12 is the
proceedings before the ALC(C) dated 15.11.2018 advising the management to make payments to the I Party as
per Payment of Wages Act and Payment of Bonus Act on or before 22.11.2018 under intimation to the said
office. Eventual consequence is reflected in Ex W-13 report submitted by the II Party management revealing
credit of Rs. 89,400.00 towards the total wages of I Party for the period from 01.12.2017 to 07.06.2018 and Rs.
21,000.00 towards the bonus for the period 01.04.2015 to 31.03.2016, 01.04.2016 to 31.03.2017 and from
01.04.2017 to 31.03.2018, totaling to Rs. 1,10,400.00 towards his SB Account bearing No. 10467163914 with the
II Party bank at Hubli Main Branch. The said payment is illustrated in Ex W-23 passbook for the relevant
period.
16.
As per Ex W-17, the management offered a sum of Rs. 78,095.00 as retrenchment compensation and
Rs. 14,544.00 as one month‘s notice period wages to the I Party without prejudice to its contention in the
conciliation proceedings and requested the Conciliation Officer to conclude the conciliation proceedings and to
record settlement for a total amount of Rs. 2,03,039.00 along with tables of calculation under the respective
heads. None of the records produced in evidence reveal that the said amount offered by the management has
been blissfully accepted by the I Party ever during the conciliation proceedings. In the light of the documentary
evidence discussed above, there is no basis for the stand of denial adopted by MW 1 relating to the continuous
services proved to have been rendered by the I Party in the II Party Bank.
17.
Ex W-18 is the proceedings before the ALC(C), Hubli, the Conciliation Officer recording failure of
conciliation and issuance of certificate accordingly as per the request of the I Party.
18.
Eventually this petition is filed under Section 2(a)2 by the I Party. The documents referred to and
discussed above evidently indicate continuous service of the I party for a pretty good period of duration
commencing from 1992. Apparently his service under the II Party came to a standstill in the year 2018. Entire
[भाग II—खण् ड 3(ii)]
भारत का रािृत्र : मार्च 14, 2026/फाल् गुन 23, 1947
1597
wage arrears, as already observed, stood cleared off under Ex W-13 in addition to the bonus upto then. So
ample evidence is there on record establishing that the I Party workman has performed continuous service
under the II Party for years together while the mandatory requisite obliging the II Party to perform its
statutory duties towards the workman is only 240 days of service of the workman. Therefore it can be safely
inferred that the termination of the I Party from service in early June 2018 without giving notice of
retrenchment, one month notice pay and retrenchment compensation is strictly in violation of the provisions of
Section 25F of the Act. It is profitable to extract Section 25F from the statute in this context. It reads:
Section 25F:
Conditions precedent to retrenchment of workmen.
- No workman employed in any industry who has been in continuous service for not less than one
year under an employer shall be retrenched by that employer until-
(a)the workman has been given one month 's notice in writing indicating the reasons for retrenchment and
the period of notice has expired, or the workman has been paid in lieu of such notice, wages for the period
of the notice:[* * *] [ Proviso omitted by Act 49 of 1984, Section 32 (w.e.f. 18.8.1984).]
(b)the workman has been paid, at the time of retrenchment, compensation which shall be equivalent to
fifteen days 'average pay [for every completed year of continuous service] [ Substituted by Act 36 of 1964,
Section 14, for " for every completed year of service" (w.e.f. 19.12.1964).] or any part thereof in excess of
six months; and
(c)notice in the prescribed manner is served on the appropriate Government [or such authority as may be
specified by the appropriate Government by notification in the Official Gazette.] [ Inserted by Act 36 of
1964, Section 14 (w.e.f. 19.12.1964).]
It is equally clear that retrenchment / termination of the I Party did occur not on account of any fault on its
part as no such contention rather allegation is put forth against him by the II Party but purely a unilateral
decision of the Employer. In the afore discussed factual scenario, such unilateral action by the II Party does
not stand justified by any reason.
19.
As on the date of examination of the I Party as WW 1, his age is shown to be 55 years before this
Tribunal. Necessarily he stood superannuated in the year 2024. One of the reliefs sought in the claim petition
is reinstatement to service with full backwages, continuity of service, regular pay scales, regularization and
ancillary benefits from the date of his appointment. Since the I Party has already superannuated as he attained
60 years in the year 2024, no question of his reinstatement into service does arise. All the same the law stands
in guard to protect his rights prescribing that the workman who has attained the age of superannuation can be
awarded backwages if his termination or dismissal is found to be illegal, wrongful or unjustified. In the
aforesaid discussion it is amply found that the termination of the I Party from the service is illegal, wrongful
and unjustified. So much so, while reinstatement is not feasible in respect of him as he has already reached the
retirement age, this tribunal can award backwages with continuity of service for the purpose of calculating his
consequential benefits viz., Bonus and Gratuity, from the date of termination till the date of superannuation.
20.
Since the termination of the I Party is found illegal, unfair and inoperative since the provisions of
Section 25F are violated by the Employer, and not on the fault of the I Party, he is entitled for full backwages.
Since Ex W-17 shows the one month‘s notice period wage as Rs. 14,544.00 payable to the I Party, the
backwages found payable by the Employer to the I Party is to be counted at Rs. 14,544.00 per month from the
date of his termination till the date of superannuation. Along with full backwages, the I Party is entitled for
getting the benefit of continuity of service for the purpose of calculating his consequential benefits viz., Bonus
for the rest of the period i.e., from 01/04/2018 and Gratuity as well. Such continuity of service is countable for
calculating PF also if found eligible in a proceeding if any initiated there on. Since full backwages is counted
for the duration of his deemed service w.e.f. the date of his termination, I am not inclined to grant him a
further amount of retrenchment compensation, just to prevent an unjust enrichment or double benefit for the
same period.
21.
With this view the discussions on this issue are concluded drawing the finding indicated above and the
following Award is passed.
AWARD
The Petition is allowed in part granting full backwages to the I Party @ Rs. 14,544.00 (Rupees Fourteen
Thousand Five Hundred Forty Four only) per month from the date of his termination till the date of
superannuation on attaining 60 years of age with continuity of service for the purpose of :
(i) Calculating consequential benefits of Bonus from 01.04.2018 to the date of superannuation;
(ii) Calculating Gratuity from August 1992 till the date of his superannuation, if not already paid by the
II Party and;
(iii) for calculating Provident Fund as well, if found eligible in a proceeding if any, initiated there
on.
1598
THE GAZETTE OF INDIA : MARCH 14, 2026/PHALGUNA 23, 1947
[PART II—SEC. 3(ii)]
No order as to costs. Transmit.
(Dictated to Secretary to Court, transcribed by him, corrected and signed by me on 06.02.2026)
K P INDIRA, Presiding Officer
नई ददल्ली, 10 मार्च, 2026
का.आ. 327.—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14 ) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj
ृंिाब ग्रामीण बैंक, बठ डा ds izca/kr=] lac) fu;kstdksa vkSj muds deZdkjksa ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa
dsUnzh; ljdkj औद्योजगक vf/kdj.k@Je U;k;ky; र्ंडीगढ़- I ds iapkV (35/2025) izdkf'kr djrh gSA
[सं. एल-12025/01/2026-आई आर(बी- I)-63]
सलोनी, उृ जनदेिक
New Delhi, the 10th March, 2026
S.O. 327.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the
Central Government hereby publishes the Award (Ref. 35/2025) of the Cent.Govt.Indus.Tribunal-cum-
Labour Court Chandigarh-I as shown in the Annexure, in the industrial dispute between the
management of Punjab Gramin Bank Bathinda and their workmen.
[No. L-12025/01/2026- IR(B-I)-63]
SALONI, Dy. Director
ANNEXURE
IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL-CUM-LABOUR COURT-I,
CHANDIGARH
(Presided over by Mr. Kamal Kant Presiding-cum-Link Officer).
ID No.35/2025
Registered on:-05.12.2025
All Punjab Gramin Bank Employees Union, V.P.O Khai Pheme Ki, Ferozepur, Punjab 152003.
-------- Union
Versus
Regional Manager, Punjab Gramin Bank Bathinda.
----Management
Present:-
Sh. Parvinder Singh (General Secretary) along with
Sh. Neetan Kumar (President) for Union.
None for Management.
Award :16.02.2026
1. Central Government Vide Notification No.JAL/07(36) 2025/ALC dated 02.12.2025, under sub-Section
(5) of Section 12 read with sub-section (2A) of Section 10 of the Industrial Disputes Act, 1947 (hereinafter
called the Act), has referred the following Industrial dispute for adjudication to this Tribunal.
―Whether the transfer of workmen was arbitrary and whether it was in violation of the transfer
policy of the Bank, if yes what relief can be given to the workmen as per law.”
2. The case is fixed for appearance of the parties. Today, AR for union appeared and moved an application
for withdrawal of the case and also made the following statement:-
―Stated that I withdraw the present Industrial Dispute.‖
3. In view of the application for withdrawal and statement of AR for union, this Tribunal is left with no
choice, except to pass a 'No Claim Award'. Accordingly, 'No Claim Award' is passed in the present
reference.
4. Let copy of this award be sent to the Appropriate Government as required under Section 17 of the Act for
publication.
KAMAL KANT, Presiding Officer
Uploaded by Dte. of Printing at Government of India Press, Ring Road, Mayapuri, New Delhi-110064
and Published by the Controller of Publications, Delhi-110054. SARVESH KUMAR
SRIVASTAVA
Digitally signed by SARVESH KUMAR SRIVASTAVA
Date: 2026.04.11 15:41:24 +05'30'