3676 GI/2026

(5053)

रजजस्ट्री 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. 21]

नई ददल् ली, मई 31—जून 6, 2026, िजनवार/ज् येष् ठ 10—ज् येष् ठ 16, 1948

No. 21]

NEW DELHI, MAY 31—JUNE 6, 2026, SATURDAY/JYAISHTHA 10––JYAISHTHA 16, 1948

इस भाग में जभन् न ृृष् ठ सं्‍ या दी जाती हज जजससे दक यह ृृथक संकलन के प ृ में रखा जा 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 जारी दकए गए सांजवजधक आदेि और अजधसूचनाएं

Statutory Orders and Notifications Issued by the Ministries of the Government of India

(Other than the Ministry of Defence)

जवत्त मंत्रालय

(जवत्तीय सेवाएं जवभाग)

नई ददल्ली, 13 मई, 2026

का.आ. 1070.—बीमा जवजनयामक और जवकास प्राजधकरण अजधजनयम, 1999 (1999 का 41) की धारा 4

द्वारा प्रदत्त िजियों का प्रयोग करते हुए, केन्रीय सरकार, एतद् द्वारा, सुश्री िाजलनी ृंजडत के स्ट्थान ृर श्री देबािीष ृृष्टी

(अृर सजचव, भारत सरकार, जवत्त मंत्रालय, जवत्तीय सेवाएं जवभाग) को तत्काल प्रभाव से और अगले आदेिों तक,

भारतीय बीमा जवजनयामक और जवकास प्राजधकरण में अंिकाजलक सदस्ट्य के प ृ में नाजमत करती हज।

[ई फा.सं. 6/2(i)/2022-बीओ-I]

संजय कुमार जमश्र, अवर सजचव

सी.जी.-डी.एल.-सा.-27062026-273868

CG-DL-W-27062026-273868

सी.जी.-डी.एल.-सा.-27062026-273868

CG-DL-W-27062026-273868

5054

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

MINISTRY OF FINANCE

(Department of Financial Services)

New Delhi, the 13th May, 2026

S.O. 1070.—In exercise of the powers conferred by Section 4 of the Insurance Regulatory and Development

Authority Act, 1999 (41 of 1999), the Central Government hereby nominates Shri Debasish Prusty (Additional

Secretary, Government of India, Ministry of Finance, Department of Financial Services) as part-time member of the

Insurance Regulatory and Development Authority of India, with immediate effect and until further orders, vice

Ms. Shalini Pandit.

[eF. No. 6/2(i)/2022-BO.I]

SANJAY KUMAR MISHRA, Under Secy.

नई ददल्ली, 13 मई, 2026

का.आ. 1071.—बैंककारी कंृनी (उृक्रमों का अजजन और अंतरण) अजधजनयम, 1970 की धारा 9 की उृधारा

(3) के खंड (ख) द्वारा प्रदत्त िजियों का प्रयोग करते हुए, केन्रीय सरकार, एतद् द्वारा, श्री प्रिांत कुमार गोयल के स्ट्थान ृर

सुश्री िाजलनी ृंजडत (संयुि सजचव, भारत सरकार, जवत्त मंत्रालय, जवत्तीय सेवाएं जवभाग) को तत्काल प्रभाव से और

अगले आदेिों तक, केनरा बैंक के बोडज में जनदेिक नाजमत करती हज।

[ई फा. सं. 6/2(ii)/2022-बीओ-I]

संजय कुमार जमश्र, अवर सजचव

New Delhi, the 13th May, 2026

S.O. 1071.—In exercise of the powers conferred by clause (b) of sub-section (3) of section 9 of the Banking

Companies (Acquisition and Transfer of Undertakings) Act, 1970, the Central Government hereby nominates

Ms. Shalini Pandit (Joint Secretary, Government of India, Ministry of Finance, Department of Financial Services) as

Director on the Board of Canara Bank, with immediate effect and until further orders, vice Shri Parshant

Kumar Goyal.

[eF. No. 6/2(ii)/2022-BO-I]

SANJAY KUMAR MISHRA, Under Secy.

नई ददल्ली, 13 मई, 2026

का.आ. 1072.—बैंककारी कंृनी (उृक्रमों का अजजन और अंतरण) अजधजनयम, 1970 की धारा 9 की उृधारा

(3) के खंड (ख) द्वारा प्रदत्त िजियों का प्रयोग करते हुए, केन्रीय सरकार, एतद् द्वारा, श्री आलोक ृांडे के स्ट्थान ृर श्री

समीर कुमार (आर्थथक सलाहकार, भारत सरकार, जवत्त मंत्रालय, जवत्तीय सेवाएं जवभाग) को तत्काल प्रभाव से और अगले

आदेिों तक, इंजडयन बैंक के बोडज में जनदेिक नाजमत करती हज।

[ई फा. सं. 6/2(iii)/2022-बीओ-I]

संजय कुमार जमश्र, अवर सजचव

New Delhi, the 13th May, 2026

S.O. 1072.—In exercise of the powers conferred by clause (b) of sub-section (3) of section 9 of the

Banking Companies (Acquisition and Transfer of Undertakings) Act, 1970, the Central Government hereby

nominates Shri Samir Kumar (Economic Adviser, Government of India, Ministry of Finance, Department of Financial

Services) as Director on the Board of Indian Bank, with immediate effect and until further orders, vice Shri Alok

Pande.

[eF. No. 6/2(iii)/2022-BO-I]

SANJAY KUMAR MISHRA, Under Secy.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5055

नई ददल्ली, 13 मई, 2026

का.आ. 1073.—बैंककारी कंृनी (उृक्रमों का अजजन और अंतरण) अजधजनयम, 1970 की धारा 9 की

उृधारा (3) के खंड (ख) द्वारा प्रदत्त िजियों का प्रयोग करते हुए, केन्रीय सरकार, एतद् द्वारा, श्री सुधीर श्याम के स्ट्थान

ृर श्री हरर हर जमश्रा (अृर सजचव, भारत सरकार, जवत्त मंत्रालय, जवत्तीय सेवाएं जवभाग) को तत्काल प्रभाव से और

अगले आदेिों तक, यूको बैंक के बोडज में जनदेिक नाजमत करती हज।

[ई फा. सं. 6/2(iv)/2022-बीओ-I]

संजय कुमार जमश्र, अवर सजचव

New Delhi, the 13th May, 2026

S.O. 1073.—In exercise of the powers conferred by clause (b) of sub-section (3) of section 9 of the Banking

Companies (Acquisition and Transfer of Undertakings) Act, 1970, the Central Government hereby nominates Shri

Hari Har Mishra (Additional Secretary, Government of India, Ministry of Finance, Department of Financial Services)

as Director on the Board of UCO Bank, with immediate effect and until further orders, vice Shri Sudhir Shyam.

[eF. No. 6/2(iv)/2022-BO-I]

SANJAY KUMAR MISHRA, Under Secy.

नई ददल्ली, 13 मई, 2026

का.आ. 1074.—बैंककारी कंृनी (उृक्रमों का अजजन और अंतरण) अजधजनयम, 1970 की धारा 9 की उृधारा

(3) के खंड (ख) द्वारा प्रदत्त िजियों का प्रयोग करते हुए, केन्रीय सरकार, एतद् द्वारा, श्री रोहन चंद ठाकुर के स्ट्थान ृर

श्री देबािीष ृृष्टी (अृर सजचव, भारत सरकार, जवत्त मंत्रालय, जवत्तीय सेवाएं जवभाग) को तत्काल प्रभाव से और अगले

आदेिों तक, यूजनयन बैंक आफ इंजडया के बोडज में जनदेिक नाजमत करती हज।

[ई फा. सं. 6/2(v)/2022-बीओ-I]

संजय कुमार जमश्र, अवर सजचव

New Delhi, the 13th May, 2026

S.O. 1074.—In exercise of the powers conferred by clause (b) of sub-section (3) of section 9 of the Banking

Companies (Acquisition and Transfer of Undertakings) Act, 1970, the Central Government hereby nominates Shri

Debasish Prusty (Additional Secretary, Government of India, Ministry of Finance, Department of Financial Services)

as Director on the Board of Union Bank of India, with immediate effect and until further orders, vice

Shri Rohan Chand Thakur.

[eF. No. 6/2(v)/2022-BO-I]

SANJAY KUMAR MISHRA, Under Secy.

नई ददल्ली, 13 मई, 2026

का.आ. 1075.—भारतीय जीवन बीमा जनगम अजधजनयम, 1956 (1956 का 31) की धारा 4(2)(घ) द्वारा

प्रदत्त िजियों का प्रयोग करते हुए, केन्रीय सरकार, एतद् द्वारा, सुश्री िाजलनी ृंजडत के स्ट्थान ृर श्री संजय लोजहया

(जविेष सजचव, भारत सरकार, जवत्त मंत्रालय, जवत्तीय सेवाएं जवभाग) को तत्काल प्रभाव से और अगले आदेिों तक,

भारतीय जीवन बीमा जनगम के बोडज में जनदेिक नाजमत करती हज।

[ई फा. सं. 6/2(vi/2022-बीओ-I]

संजय कुमार जमश्र, अवर सजचव

5056

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

New Delhi, the 13th May, 2026

S.O. 1075.—In exercise of the powers conferred by Section 4(2)(d) of the Life Insurance Corporation of

India Act, 1956 (31 of 1956), the Central Government hereby nominates Shri Sanjay Lohiya (Special Secretary,

Government of India, Ministry of Finance, Department of Financial Services) as Director on the Board of the Life

Insurance Corporation of India, with immediate effect and until further orders, vice Ms. Shalini Pandit.

[eF. No. 6/2(vi)/2022-BO-I]

SANJAY KUMAR MISHRA, Under Secy.

नई ददल्ली, 13 मई, 2026

का.आ. 1076.—राष्ट्रीय अवसंरचना जवत्तृोषण और जवकास बैंक अजधजनयम, 2021 (2021 का 17) की धारा

6 की उृधारा (1) के खंड (घ) द्वारा प्रदत्त िजियों का प्रयोग करते हुए, केन्रीय सरकार, एतद्द्वारा, सुश्री मानसा गंगोत्री

काटा के स्ट्थान ृर सुश्री िाजलनी ृंजडत, संयुि सजचव, जवत्तीय सेवाएं जवभाग को तत्काल प्रभाव से और अगले आदेिों

तक, राष्ट्रीय अवसंरचना जवत्तृोषण और जवकास बैंक के जनदेिक मंडल में जनदेिक नाजमत करती हज।

[ई फा. सं. 6/2(x)/2022-बीओ-I]

संजय कुमार जमश्र, अवर सजचव

New Delhi, the 13th May, 2026

S.O. 1076.—In exercise of the powers conferred by clause (d) of sub-section (1) of section 6 of the National

Bank for Financing Infrastructure and Development Act, 2021 (17 of 2021), the Central Government hereby

nominates Ms. Shalini Pandit, Joint Secretary, Department of Financial Services, as Director on the Board of

Directors of National Bank for Financing Infrastructure and Development, with immediate effect and until further

orders, vice Ms. Manasa Gangotri Kata.

[eF. No. 6/2(x/2022-BO-I]

SANJAY KUMAR MISHRA, Under Secy.

(राजस्ट्व जवभाग)

(जहन्दी-2)

नई ददल्ली, 1 जून, 2026

का.आ. 1077.—केन्र सरकार, राजभाषा (संघ के िासकीय प्रयोजनों के जलए प्रयोग) जनयम, 1976 के जनयम 10

के उृ-जनयम (4) के अनुसरण में राजस्ट्व जवभाग के केन्रीय अप्रत्यक्ष कर एवं सीमा िुल्क बोडज के अधीन जनम्नजलजखत

कायाजलयों, जजनके 80 प्रजतित से अजधक अजधकाररयों एवं कमजचाररयों ने जहन्दी का कायजसाधक ज्ञान प्राप्त कर जलया हज, को

अजधसूजचत करती हजैः

क्रम सं.

कायाजलय का नाम

1.

केन्रीय माल और सेवा कर एवं केंरीय उत्ृाद िुल्क, मंडल-I, लखनऊ

2.

केन्रीय माल और सेवा कर एवं केंरीय उत्ृाद िुल्क, मंडल-II, लखनऊ

3.

केन्रीय माल और सेवा कर एवं केंरीय उत्ृाद िुल्क, मंडल-III, लखनऊ

4.

केन्रीय माल और सेवा कर एवं केंरीय उत्ृाद िुल्क, मंडल-IV (बाराबंकी), लखनऊ

5.

केन्रीय माल और सेवा कर एवं केंरीय उत्ृाद िुल्क, मंडल-सीताृुर, लखनऊ

[फा. सं. ई-11017/3/2017- जहन्दी-2-अजधसूचना]

प्रीजत सेलारे, उृ जनदेिक (रा.भा.)

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5057

(Department of Revenue)

(Hindi-2)

New Delhi, the 1st June, 2026

S.O. 1077.—In pursuance of sub-rule (4) of Rule 10 of the Official Language (Use for Official Purpose of

the Union) Rules, 1976 Central Government, hereby, notifies the following offices under Central Board of Indirect

Taxes and Customs, Department of Revenue where more than 80% staff have acquired the working knowledge of

official language Hindi:

S.No.

Name of the Office

1.

Central Goods and Service Tax & Central Excise, Division-I, Lucknow

2.

Central Goods and Service Tax & Central Excise, Division-II, Lucknow

3.

Central Goods and Service Tax & Central Excise, Division-III, Lucknow

4.

Central Goods and Service Tax & Central Excise, Division-IV (Barabanki), Lucknow

5.

Central Goods and Service Tax & Central Excise, Division-Sitapur, Lucknow

[F.No. E-11017/3/2017- Hindi-2-Notification]

PREETI SELLARE, Dy. Director (OL)

इस्ट्ृात मंत्रालय

(िुजद्वृत्र)

नई ददल्ली, 29 मई, 2026

का.आ. 1078.—केंरीय सरकार, ृेरोजलयम और खजनज ृाइृलाइन (भूजम में उृयोग के अजधकार का अजजन)

अजधजनयम, 1962 (1962 का 50) की धारा 3 की उृ-धारा (1) द्वारा प्रदत्त िजियों का प्रयोग करते हुए, केंर सरकार,

इस्ट्ृात मंत्रालय में भारत सरकार की उस अजधसूचना में, जो का. आ. 1097(अ) ददनांक 25 फरवरी, 2026 के तहत

प्रकाजित हुई थी और जो भारत के असाधारण राजृत्र अंक सं्‍या 1046 ददनांक 27 फरवरी, 2026 में प्रकाजित हुई थी,

एतद्द्वाराजनम्नजलजखत िुजिृत्र जारी करती हज, जो इस प्रकार हज.

उि अजधसूचना में

क) हहदी अजधसूचना के ृृष्ठ सं्‍या 130 और अंग्रेजी अजधसूचना के ृृष्ठ सं्‍या 149 में, गुंडुृाला गााँव को जहााँ

नरसीृटनम मंडल के अंतगजत दिाजया गया हज, उसे बदलकर गोलुगोंडा मंडल दकया जाना चाजहए।

[फा. सं. एस-28030/4/2024-आरएम (19852)]

अररदम चौधरी, उृ सजचव

MINISTRY OF STEEL

(CORRIGENDUM)

New Delhi, the 29th May, 2026

S.O. 1078—In exercise of the powers conferred by sub-section (1) of section 3 of the Petroleum and

Minerals Pipelines (Acquisition of Right of User in Land) Act, 1962 (50 of 1962), the Central Government hereby

makes the following Corrigendum in the notification of the Government of India in the Ministry of Steel published

vide S.O. No. 1097(E) Dated 25 February, 2026, published in the Extraordinary Gazette of India Issue No. 1046

Dated 27 February, 2026, as under.

In the Said Notification at

a) In Hindi Notification Page No.130 and in English Notification Page No.149 the Gundupala Village noted on

Narsipatnam Mandal it should be replaced as Golugondamandal.

[F. No. S-28030/4/2024-RM (19852)]

ARINDAM CHAUDHARY, Dy. Secy.

5058

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

नई ददल्ली, 29 मई, 2026

का.आ. 1079.—चूंदक केन्र सरकार को यह प्रतीत होता हज दक जनजहत में यह आवश्यक हज दक दकरंदुल से

जविाखाृट्टनम तक स्ट्लरी के प ृ में लौह अयस्ट्क के ृररवहन के जलए आसेलर जमत्तल जनप्ृोन स्ट्टील इंजडया प्राइवेट

जलजमटेड द्वारा छत्तीसगढ़, ओजडिा और आंध्र प्रदेि राज्य से गुजरते हुए ृाइृलाइनें जबछाई जाए।

और चूाँदक ऐसा प्रतीत होता हज दक ऐसी ृाइृलाइन जबछाने के उद्देश्य से, संलग्न अनुसूची में वर्थणत भूजम ृर

उृयोग का अजधकार प्राप्त करना आवश्यक हज।

इसजलए, ृेरोजलयम और खजनज ृाइृलाइन (भूजम में उृयोग के अजधकार का अजजन) अजधजनयम-1962

(1962 का 50) की धारा 3 की उृधारा (1) द्वारा प्रदत्त िजियों का प्रयोग करते हुए, केंरीय सरकार इसके द्वारा उसमें

उृयोग के अजधकार को अजजन करने के अृने इरादे की घोषणा करती हज।

उि अनुसूची में वर्थणत भूजम में चिजच रखने वाला कोई भी यक्जि, इस अजधसूचना के प्रकािन की तारीख से इक्कीस

ददनों के भीतर, भूजम के नीचे ृाइृलाइन जबछाने के संबंध में भारत सरकार के इस्ट्ृात मंत्रालय की अजधसूचना सं्‍या

का.आ. 1874, ददनांक 29 जसतंबर, 2025 में अजधसूजचत सक्षम प्राजधकारी अथाजत, भूजम ृर अजधकाररता रखने वाले

सक्षम प्राजधकारी और जविेष उृ कलेक्टर (एलए) एृीआईआईसी, औद्योजगक एस्ट्टेट, जविाखाृत्तनम को आृजत्त दजज करा

सकता हज।

ऐसी आृजत्त करने वाले प्रत्येक यक्जि को यह भी स्ट्ृष्ट प ृ से बताना होगा दक क्या वह यक्जिगत प ृ से या

जवजध यक्वसायी द्वारा सुनवाई चाहता हज।

‘’अनुसूची’’

मंडल: बुचाय्याृेटा

जजला : अनकाृल्ली

राज्य : आंध्र प्रदेि

क्र.सं.

गााँव का नाम

सवे सं.

क्षेत्रफल

वगीकरण

एकड़-सेंट

वगज-मीटर

सरकारी/जनजी भूजम

1

2

3

4

5

6

1

ताईृुरम

625

2-31

9349

सरकारीभूजम

2

राजम

2951

0-01

40

सरकारीभूजम

3

नीलकंठृुरम

1228

0-21

850

सरकारीभूजम

[फा. सं. एस-28030/4/2024-आरएम (19852)]

अररदम चौधरी, उृ सजचव

New Delhi, the 29th May, 2026

S.O. 1079.—Whereas it appears to the Central Government that it is necessary in the public interest that for

the transport of iron ore in the form of slurry from Kirandul to Visakhapatnam, pipelines should be laid, passing

through the state of Chhattisgarh, Odisha and Andhra Pradesh, by the ArcelorMittal Nippon Steel India Private

Limited.

And whereas it appears that for the purpose of laying such pipeline, it is necessary to acquire the right of user

in the land described in the schedule annexed hereto.

Now, therefore, in exercise of the powers conferred by sub section (1) of section 3 of the Petroleum and

Minerals Pipelines (Acquisition of Right of User in the Land) Act-1962(50 of 1962), the Central Government hereby

declares its intention to acquire the right of user therein.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5059

Any person interested in the land described in the said schedule may, within twenty-one days from the date

of publication of this notification object to the laying of the pipelines under the land to the Competent Authority

notified in the notification of the Government of India in the Ministry of Steel No. S.O.1874 dated the 29th September,

2025 that is to say, Competent Authority & Special Deputy Collector (LA) APIIC, Industrial Estate, Visakhapatnam

having Jurisdiction over the land.

Every person making such an objection shall also state specially whether he wishes to be heard in person or

by legal practitioner.

"SCHEDULE"

Mandal: Butchayyapeta

District: Anakapalli

State: Andhra Pradesh

Sl. No.

Name of the Village

Survey No.

Extent

Classification

Acre-Cents

Sq. Mts

Govt./Pvt Land

1

2

3

4

5

6

1

Typuram

625

2-31

9349

Govt. Land

2

Rajam

2951

0-01

40

Govt. Land

3

Neelakantapuram

1228

0-21

850

Govt. Land

[F. No. S-28030/4/2024-RM (19852]

ARINDAM CHAUDHARY, Dy. Secy.

नई ददल्ली, 29 मई, 2026

का.आ. 1080.—चूंदक केन्र सरकार को यह प्रतीत होता हज दक जनजहत में यह आवश्यक हज दक दकरंदुल से

जविाखाृट्टनम तक स्ट्लरी के प ृ में लौह अयस्ट्क के ृररवहन के जलए आसेलर जमत्तल जनप्ृोन स्ट्टील इंजडया प्राइवेट

जलजमटेड द्वारा छत्तीसगढ़, ओजडिा और आंध्र प्रदेि राज्य से गुजरते हुए ृाइृलाइनें जबछाई जाए।

जहााँ तक यह और आवश्यक हज दक लौह अयस्ट्क स्ट्लरी के ृररवहन हेतु ृाइृलाइन जबछाई जाए, जजसे मौजूदा

कॉररडोर से कोय्यप मंडल के कोठगडाबाृालेम गांव की सीमा से नक्काृल्ली मंडल के डोजनवजनलक्ष्मीृुरम तक मोड़कर

आगामी एकीकृत इस्ट्ृात संयत्र को कच्चे माल की आृूर्थत के जलए उृयोग दकया जाएगा।

और चूाँदक ऐसा प्रतीत होता हज दक ऐसी ृाइृलाइन जबछाने के उद्देश्य, संलग्न अनुसूची में वर्थणत भूजम ृर उृयोग

का अजधकार प्राप्त करना आवश्यक हज।

इसजलए, ृेरोजलयम और खजनज ृाइृलाइन (भूजम में उृयोग के अजधकार का अजजन) अजधजनयम-1962

(1962 का 50) की धारा 3 की उृधारा (1) द्वारा प्रदत्त िजियों का प्रयोग करते हुए, केंरीय सरकार इसके द्वारा उसमें

उृयोग के अजधकार को अजजन करने के अृने इरादे की घोषणा करती हज।

उि अनुसूची में वर्थणत भूजम में चिजच रखने वाला कोई भी यक्जि, इस अजधसूचना के प्रकािन की तारीख से इक्कीस

ददनों के भीतर, भूजम के नीचे ृाइृलाइन जबछाने के संबंध में भारत सरकार के इस्ट्ृात मंत्रालय की अजधसूचना सं्‍या

का.आ. 1874, ददनांक 29 जसतंबर, 2025 में अजधसूजचत सक्षम प्राजधकारी अथाजत, भूजम ृर अजधकार रखने वाले सक्षम

प्राजधकारी और जविेष उृ कलेक्टर (एलए) एृीआईआईसी, औद्योजगक एस्ट्टेट, जविाखाृट्टनम को आृजत्त दजज करा

सकता हज।

ऐसी आृजत्त करने वाले हर यक्जि को यह भी स्ट्ृष्ट प ृ से बताना होगा दक क्या वह यक्जिगत प ृ से या जवजध

यक्वसायी द्वारा सुनवाई चाहता हज।

5060

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

" अनुसूची "

मंडल : गोलूगोंडा

जजला : अनकाृल्ली

राज्य : आंध्र प्रदेि

क्र.सं.

गााँव का नाम

सवे नंबर

क्षेत्रफल

वगीकरण

एकड़ - सेंट

वगज-मीटर

सरकारी /जनजी भूजम

1

2

3

4

5

6

1

ृाकलाृाडु

994

0-01

40

जनजीभूजम

2029

0-01

40

जनजीभूजम

2

चीडीगुम्माला

195

0-09

364

जनजीभूजम

198

0-13

526

जनजीभूजम

971

0-15

607

जनजीभूजम

1010

0-16

648

जनजीभूजम

1002

0-16

648

जनजीभूजम

746

0-29

1174

जनजीभूजम

745

0-05

202

जनजीभूजम

760

0-17

688

जनजीभूजम

3

गुंडुृाला

14

0-07

283

सरकारीभूजम

15

0-61

2469

जनजीभूजम

16

0-09

364

जनजीभूजम

24

0-06

243

जनजीभूजम

मंडल: नरसीृट्टनम

1

गब्बाडा

39

0-03

121

जनजीभूजम

349

0-01

40

जनजीभूजम

2

बलीघट्टम

288

0-04

162

सरकारीभूजम

647

0-10

405

जनजीभूजम

648

0-45

1821

जनजीभूजम

658

0-05

202

जनजीभूजम

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5061

667

0-06

243

सरकारीभूजम

212

0-02

81

जनजीभूजम

707

1-11

4492

जनजीभूजम

मंडल: कोटाउरटला

1

ृामुलावाका

54

0-01

40

जनजीभूजम

68-9

0-01

40

जनजीभूजम

मंडल: नक् काृल्ली

1

रेबाका

131

1-10

4452

जनजीभूजम

88

0-03

121

सरकारीभूजम

70

0-01

40

सरकारीभूजम

69

0-01

40

सरकारीभूजम

2

गुल्लीृाडु

52

0-01

40

जनजीभूजम

163

0-43

1740

जनजीभूजम

165

0-41

1659

जनजीभूजम

164

0-66

2671

जनजीभूजम

167

0-16

648

जनजीभूजम

160

0-54

2185

जनजीभूजम

157

0-31

1255

जनजीभूजम

135

0-20

809

जनजीभूजम

136

0-82

3319

जनजीभूजम

137

0-20

809

जनजीभूजम

152

0-84

3399

जनजीभूजम

151

0-02

81

जनजीभूजम

139

0-49

1983

जनजीभूजम

150

0-11

445

सरकारीभूजम

149

0-61

2469

जनजीभूजम

75

0-51

2064

जनजीभूजम

5062

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

76

0-77

3116

जनजीभूजम

92

0-10

405

जनजीभूजम

91

0-01

40

जनजीभूजम

[फा. सं. एस-28030/4/2024-आरएम (19852)]

अररदम चौधरी, उृ सजचव

New Delhi, the 29th May, 2026

S.O. 1080.—Whereas it appears to the Central Government that it is necessary in the public interest that for

the transport of iron ore in the form of slurry from Kirandul to Visakhapatnam, pipelines should be laid, passing

through the state of Chhattisgarh, Odisha and Andhra Pradesh, by the ArcelorMittal Nippon Steel India Private

Limited.

Whereas it is further necessary that pipelines should be laid for transport of iron ore slurry, by diverting from

existing corridor from the village limits of Kothagadabapalem of Koyyuru Mandal, up to Donivanilakshmipuram of

Nakkapalli Mandal, for supply of raw material to the upcoming Integrated Steel Plant.

And whereas it appears that for the purpose of laying such pipeline, it is necessary to acquire the right of user

in the land described in the schedule annexed hereto.

Now, therefore, in exercise of the powers conferred by sub section (1) of section 3 of the Petroleum and

Minerals Pipelines (Acquisition of Right of User in the Land) Act-1962 (50 of 1962), the Central Government hereby

declares its intention to acquire the right of user therein.

Any person interested in the land described in the said schedule may, within twenty-one days from the date

of publication of this notification object to the laying of the pipelines under the land to the Competent Authority

notified in the notification of the Government of India in the Ministry of Steel No. S.O.1874 dated the 29th September,

2025 that is to say, Competent Authority & Special Deputy Collector (LA) APIIC, Industrial Estate, Visakhapatnam

having Jurisdiction over the land.

Every person making such an objection shall also state specially whether he wishes to be heard in person or

by legal practitioner.

"SCHEDULE"

Mandal: Golugonda

District: Anakapalli

State: Andhra Pradesh

Sl. No.

Name of the Village

Survey No.

Extent

Classification

Acre-Cents

Sq. Mts

Govt./Pvt Land

1

2

3

4

5

6

1

Pakalapadu

994

0-01

40

Private Land

2029

0-01

40

Private Land

2

Cheedigummala

195

0-09

364

Private Land

198

0-13

526

Private Land

971

0-15

607

Private Land

1010

0-16

648

Private Land

1002

0-16

648

Private Land

746

0-29

1174

Private Land

745

0-05

202

Private Land

760

0-17

688

Private Land

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5063

3

Gundupala

14

0-07

283

Govt. Land

15

0-61

2469

Private Land

16

0-09

364

Private Land

24

0-06

243

Private Land

Mandal: Narsipatnam

1

Gabbada

39

0-03

121

Private Land

349

0-01

40

Private Land

2

Balighattam

288

0-04

162

Govt. Land

647

0-10

405

Private Land

648

0-45

1821

Private Land

658

0-05

202

Private Land

667

0-06

243

Govt. Land

212

0-02

81

Private Land

707

1-11

4492

Private Land

Mandal: Kotauratla

1

Pamulavaka

54

0-01

40

Private Land

68-9

0-01

40

Private Land

Mandal: Nakkapalli

1

Rebaka

131

1-10

4452

Private Land

88

0-03

121

Govt. Land

70

0-01

40

Govt. Land

69

0-01

40

Govt. Land

2

Gullipadu

52

0-01

40

Private Land

163

0-43

1740

Private Land

165

0-41

1659

Private Land

164

0-66

2671

Private Land

167

0-16

648

Private Land

160

0-54

2185

Private Land

157

0-31

1255

Private Land

135

0-20

809

Private Land

136

0-82

3319

Private Land

137

0-20

809

Private Land

152

0-84

3399

Private Land

151

0-02

81

Private Land

139

0-49

1983

Private Land

5064

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

150

0-11

445

Govt. Land

149

0-61

2469

Private Land

75

0-51

2064

Private Land

76

0-77

3116

Private Land

92

0-10

405

Private Land

91

0-01

40

Private Land

[F. No S-28030/4/2024-RM (19852)]

ARINDAM CHAUDHARY, Dy. Secy.

नागर जवमानन मंत्रालय

नई ददल्ली, 22 मई, 2026

का.आ. 1081.—केन्रीय सरकार, राजभाषा (संघ के िासकीय प्रयोजनों के जलए प्रयोग), जनयम, 1976 के

जनयम-10 के उृ-जनयम (4) के अनुसरण में, नागर जवमानन मंत्रालय के अंतगजत भारतीय जवमानृत्तन प्राजधकरण के

अधीनस्ट्थ कायाजलय जसजवल एन्क्लेव हहडन, जसकंदरृुर रोड, साजहबाबाद, गाजजयाबाद, उत्तर प्रदेि- 201005, जजसके 80

प्रजतित कार्थमकों ने हहदी का कायजसाधक ज्ञान प्राप्त कर जलया हज, को एतद्द्वारा अजधसूजचत करती हज।

[फा. सं. ई. 11014/2/2023-रा.भा.)]

अजमत राय, वररष्ठ आर्थथक सलाहकार

MINISTRY OF CIVIL AVIATION

New Delhi, the 22nd May, 2026

S.O. 1081.—In pursuance of Sub-Rule (4) of Rule 10 of the Official Languages (Use for the Official

Purposes of the Union) Rules, 1976, the Central Government, hereby notifies that the subordinate office of Airports

Authority of India, Civil Enclave Hindon, Sikandarpur Road, Sahibabad, Ghaziabad, Uttar Pradesh- 201005 under

Ministry of Civil Aviation, whereof 80% staff have acquired the working knowledge of Hindi.

[F. No.E-11014/2/2023-OL)]

AMIT RAY, Senior Economic Advisor

श्रम और रोजगार मंत्रालय

नई ददल्ली, 26 मई , 2026

का.आ. 1082.—औद्योजगक जववाद अजधजनयम, 1947 (1947 का 14) की धारा 17 के अनुसरण में, केन्रीय

सरकार मजससज यूनाइटेड इंजडया इंश्योरेंस कंृनी जलजमटेड के प्रबंधतंत्र के संबि जनयोजकों और भारतीय बीमा कमजचारी

सेना के बीच अनुबंध में जनर्ददष्ट केन्रीय सरकार औद्योजगक अजधकरण एवं श्रम न्यायालय-2, मुंबई, ृंचाट (ररफरेन्स न.-

51/2018) को जजसा दक अनुलग्नक में ददखाया गया हज, प्रकाजित करती हज जो केन्रीय सरकार को सॉफ्ट कॉृी के साथ

26.05.2026 को प्राप्त हुआ था l

[सं. एल-17011/3/2018-आईआर(एम)]

सलोनी, उृ जनदेिक

MINISTRY OF LABOUR AND EMPLOYMENT

New Delhi, the 26th May, 2026

S.O. 1082.—In pursuance of Section 17 of the Industrial Dispute Act, 1947 (14 of 1947), the Central

Government hereby publishes the award (Reference No. 51/2018) of the Central Government Industrial Tribunal

cum Labour Court-2, Mumbai as shown in the Annexure, in the Industrial dispute between the employers in

relation to M/s United India Insurance Co. Ltd and Bhartiya Vima Karmachari Sena which was received along

with soft copy of the award by the Central Government on 26.05.2026.

[No. L-17011/3/2018-IR(M)]

SALONI, Dy. Director

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5065

ANNEXURE

BEFORE JUSTICE RETIRED SHIV SHANKER PRASAD

PRESIDING OFFICER/LINK OFFICER

THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL NO.2, MUMBAI

PRESENT

JUSTICE RETIRED SHIV SHANKER PRASAD

Presiding Officer/Link Officer

REFERENCE NO. CGIT-2/51 of 2018

EMPLOYERS IN RELATION TO THE MANAGEMENT OF

First Party No.1. M/s. United India Insurance Co. Ltd., Chennai

The Chairman & Managing Director,

M/s. United India Insurance Co. Ltd.,

Head Office,

24 Whites Road,

Chennai – 600 014,

State: Tamil Nadu.

First Party No.2. The Chief Regional Manager.

M/s. United India Insurance Co. Ltd.,

Ambica House,

190, Dharampeth Extention,

Nagpur (MS) – 440 010,

State: Maharashtra.

AND

THEIR WORKMEN.

Party No.2 (Bhartiya Vima Karmachari Sena)

The President,

Bhartiya Vima Karmachari Sena

―Ganraj‖ Sambhappa Colony,

Chitod Road,

At/Post & Tal. Dhul – 424 001,

State: Maharashtra.

APPEARANCES:

Management No.1&2

:

Ms. Nandini G. Menon.

Advocate

Workmen/union :

No appearance.

AWARD

(Delivered on 11-03-2026)

1.

This Reference has been made by the Central Government in exercise of powers under clause (d) of sub-

section (1) and sub-section (2A) of Section 10 of the Industrial Disputes Act, 1947, vide Government of India,

Ministry of Labour & Employment, New Delhi, order No. L- 17011/3/2018-IR(M) dated 29.10.2018. The terms of

reference given in the schedule are as follows:

5066

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

“Whether the action of the Management of United India Insurance Co. Ltd., Chennai/Nagpur in:-

1)

Not offering Gr.1 Post to Shri S. K. Khairnar since 1992 though he was eligible;

2)

Not giving him promotion as Adm. Officer in Class-I category with effect from 1999; and

3)

Not paying him revised entertainment allowance, leave encashment for 2007 and LTS for 2003 and 2005;

is justified? If not, what relief Shri S. K. Khairnar is entitled to and from what date?”

2.

The case is called out today. Both parties are absent on repeated calls. From perusal of record, it is apparent

that, both parties are not responding and attending the Court since 23.11.2020 long back. Although Statement of

Claim has been filed by the petitioner but no Written Statement has been filed by the respondent till today. No other

evidence has been filed by the petitioner till today to prove the contents of his Statement of Claim. The

petitioner/union is not coming to the court since long back. It appears that, the petitioner/union is not interested to

contest the case furthermore. The claim of the petitioner/union is not proved. So, the case is closed.

Hence, it is ordered.

ORDER

The action of the Management of United India Insurance Co. Ltd., Chennai/Nagpur in:-

1)

Not offering Gr.1 Post to Shri S. K. Khairnar since 1992 though he was eligible;

2)

Not giving him promotion as Adm. Officer in Class-I category with effect from 1999; and

3)

Not paying him revised entertainment allowance, leave encashment for 2007 and LTS for 2003 and

2005;

is justified. Shri S. K. Khairnar is not entitled to any relief.

Date: 11-03-2026

Justice SHIV SHANKER PRASAD, Presiding Officer/Link Officer

नई ददल्ली, 26 मई , 2026

का.आ. 1083.—औद्योजगक जववाद अजधजनयम, 1947 (1947 का 14) की धारा 17 के अनुसरण में, केन्रीय

सरकार आददत्य जबड़ला सन लाइफ इंश्योरेंस कंृनी जलजमटेड के प्रबंधतंत्र के संबि जनयोजकों और श्री राम कृृाल हसह के

बीच अनुबंध में जनर्ददष्ट केन्रीय सरकार औद्योजगक अजधकरण एवं श्रम न्यायालय-1, धनबाद, ृंचाट (ररफरेन्स

न.- 2/2018) को जजसा दक अनुलग्नक में ददखाया गया हज, प्रकाजित करती हज जो केन्रीय सरकार को सॉफ्ट कॉृी के

साथ 26.05.2026 को प्राप्त हुआ था l

[सं. जेड-16025/04/2026-आईआर(एम)-50]

सलोनी, उृ जनदेिक

New Delhi, the 26th May, 2026

S.O. 1083.—In pursuance of Section 17 of the Industrial Dispute Act, 1947 (14 of 1947), the Central

Government hereby publishes the award (Reference No. 2/2018) of the Central Government Industrial Tribunal

cum Labour Court-1 Dhanbad as shown in the Annexure, in the Industrial dispute between the employers in

relation to Aditya Birla Sun Life Insurance Company Limited and Sri Ram Kripal Singh which was received

along with soft copy of the award by the Central Government on 26.05.2026.

[No. Z-16025/04/2026-(IR(M)-50)]

SALONI, Dy. Director

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5067

ANNEXURE

BEFORE THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL NO.1, DHANBAD

ID Case No. 02/2018

Ram Kripal Singh

S/o Umesh Prasad Singh

Ex-Employee of Birla Sun Life Insurance Co. Ltd.………….……………………………….Applicant

Vs.

1.

C.M.D., Aditya Birla Sun Life Insurance Co. ltd.

2.

C.E.O., Aditya Birla Sun Life Insurance Co. ltd., Mumbai

V.P. & Head-Sales HR, Aditya Birla Sun Life Insurance

Co. ltd., Mumbai

3.

Regional Manager, Aditya Birla Sun Life Insurance Co.

ltd., Patna

4.

Zonal H.R. Manager, Aditya Birla Sun Life Insurance Co.

ltd., Kolkata .……Opp. Parties

Present: Shri Sachindra Kumar Pandey

Presiding Officer

Appearances:

For Applicant

:- None.

For Opp. Party

:- Sri D.K. Verma, Ld. Advocate

State : Jharkhand.

Industry:-Insurance

Dated 24/03/2026

AWARD

2. This case has been filed under section 2A of the I.D Act, 1947 by the applicant/workman namely Ram Kripal

Singh on 18.05.2018.

3. After receipt of this ID case on 18.05.2018 regd. notice was issued to Opp. Party and both parties appeared

previously after that applicant failed to appear before this Tribunal. Thereafter on 08.10.2025 Sri D.K. Verma,

Advocate on behalf of the Opp. Party appeared and submitted that applicant is not present since 2021 so case may

be closed.

4. On perusal of the entire case record it transpires that the applicant has lost his interest in this case and

therefore, for the ends of justice, this case deserves to be dismissed.

5. Hence,

ORDERED

that this case is hereby dismissed and a ―No Dispute Award‖ be drawn up in respect of the above ID case. Let

the copies of Award in duplicate be sent to the Ministry of Labour & Employment, Government of India, New

Delhi for information and notification.

SACHINDRA KUMAR PANDEY, Presiding Officer

नई ददल्ली, 26 मई , 2026

का.आ. 1084.—औद्योजगक जववाद अजधजनयम, 1947 (1947 का 14) की धारा 17 के अनुसरण में, केन्रीय

सरकार मेससज सेल-बोकारो स्ट्टील प्लांट के प्रबंधतंत्र के संबि जनयोजकों और उनके कमजचारी के बीच अनुबंध में जनर्ददष्ट

केन्रीय सरकार औद्योजगक अजधकरण एवं श्रम न्यायालय-1, धनबाद, ृंचाट (ररफरेन्स न.- 39/2013) को जजसा दक

अनुलग्नक में ददखाया गया हज, प्रकाजित करती हज जो केन्रीय सरकार को सॉफ्ट कॉृी के साथ 26.05.2026 को प्राप्त

हुआ था l

[सं. एल-29011/42/2013-आईआर(एम)]

सलोनी, उृ जनदेिक

5068

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

New Delhi, the 26th May, 2026

S.O. 1084.—In pursuance of Section 17 of the Industrial Dispute Act, 1947 (14 of 1947), the Central

Government hereby publishes the award (Reference No. 39/2013) of the Central Government Industrial Tribunal

cum Labour Court-1 Dhanbad as shown in the Annexure, in the Industrial dispute between the employers in

relation to M/s. SAIL-Bokaro Steel Plant and Their Workmen which was received along with soft copy of the

award by the Central Government on 26.05.2026.

[No. L-29011/42/2013-IR(M)]

SALONI, Dy. Director

ANNEXURE

BEFORE THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL NO.1, DHANBAD

In the matter of reference U/S 10 (1) (d)& (2A) of I.D.Act. 1947

Reference Case No. 39/2013

Parties:

Employers in relation to the management of M/s. SAIL-Bokaro Steel

Plant, B.S. City, Bokaro

AND

Their Workmen

Present: Shri Sachindra Kumar Pandey

Presiding Officer

Appearances:

For the Employers :-Sri D.K. Verma, Ld. Advocate

For the workmen :-Sri K.K. Mishra, Ld. Advocate

State : Jharkhand.

Industry:-Steel

Dated 23/03/2026

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) Government Of India through the Ministry of Labour, vide its Order

No.L-29011/42/2013-IR(M) dated 26/08/2013 has been pleased to refer the following dispute between the employer

i.e. management of SAIL-Bokaro Steel Plant, B.S. City, Bokaro and their workman through General Secretary,

Bokaro Steel Worker‘s Union, B.S. City, Bokaro for adjudication by this Tribunal:

SCHEDULE

―Whether the action of the management of Bokaro Steel Plant SAIL in not paying 20% special

allowance to the workers, working in Bokaro General Hospital is legal and justified? What relief the

workmen are entitled to?‖

LIST OF NEXE IN SERVICE RULE (filed by the union)

SN

STNO

NAME

GRADE

CLS

DESDESCP

APTT_DT

SEN_DT

RET_DT

1

280107

SHASHI

KANT

KUMAR SINHA

S11

D

CHIEF

PHARMACIST

11-08-73

31-12-04

31-08-14

2

325416

VIDYA SAGAR

KUMAR

S11

D

CHIEF

PHARMACIST

26-08-74

31-12-04

31-08-14

3

338211

YADU

NANDAN

PRASAD

S11

D

CHIEF

PHARMACIST

14-02-75

31-12-04

31-08-14

4

381210

SHAUKAT ALI

S11

D

CHIEF

PHARMACIST

09-11-77

31-12-04

30-11-14

5

392093

UPENDRA

NARAYAN

SINGH

S10

C

MULTI

SKLD

TECH

19-06-78

30-06-11

31-07-16

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5069

6

401224

MS

PRATIMA

ROY

S11

C

NURSING

SISTER

10-11-78

31-12-07

31-03-15

7

410746

ADITYA

KUMAR

S10

D

DRESSER

15-01-79

31-12-13

31-01-15

8

414342

BLANDINA

TUDU

S11

C

NURSING

SISTER

04-01-80

31-12-07

30-11-14

9

439499

JAI

KANT

SINGH

S11

D

CHIEF

PHARMACIST

26-07-80

31-12-04

31-01-16

10

453522

JWALA

PRASAD

S11

D

SR

PHARMACIST

24-07-80

30-06-05

31-01-17

11

453530

SATISH

KUMAR

PRASAD

S11

D

SR

PHARMACIST

03-11-80

30-06-05

31-03-17

12

459778

YADU

NANDAN

PRASAD

S11

X

STENOGRAPHE

R

06-04-81

30-06-05

30-11-15

13

467276

K. S. N. NAIR

S11

D

SR

X-RAY

TECHN

30-04-81

31-12-10

31-01-16

14

469892

MD

PHOOL

HASSAN

S11

D

LAB

TECHNICIAN

28-10-81

31-12-10

31-01-15

15

484965

KAUSHAL

KISHOR

MISHRA

S9

C

DRESSER

12-12-81

31-12-10

30-11-17

16

491514

USHA

RAJ

MOHAN

S11

C

NURSING

SISTER

12-12-81

31-12-09

31-03-16

17

491522

MEENA SINHA

S11

C

NURSING

SISTER

12-12-81

31-12-09

31-10-18

18

491564

FLORENCE

KISKU

S11

C

NURSING

SISTER

12-12-81

31-12-09

28-02-17

19

491697

THRESIAMMA

RAJAN

S11

C

NURSING

SISTER

12-12-81

31-12-09

31-08-17

20

491762

ROSHAN

CHAKRABORT

Y

S11

C

NURSING

SISTER

05-11-75

31-12-09

31-01-15

21

502220

RADHE SHYAM

SINHA

S11

D

CHIEF

PHARMACIST

16-08-82

31-12-04

31-05-16

22

606642

MAHBOOB

ANSARI

S7

A

MESS/JR TECH

15-10-82

30-06-12

28-02-17

23

611104

SUSARI GURIA

S11

C

NURSING

SISTER

30-12-82

31-12-09

30-06-18

24

620337

LAKSHMI

BHATTACHAR

YA

S11

C

NURSING

SISTER

30-12-82

31-12-09

31-08-19

25

620353

TAPTI DAS

S11

C

NURSING

SISTER

30-12-82

31-12-09

28-02-18

26

620379

PRABHAWATI

BARLA

S11

C

NURSING

SISTER

30-12-82

31-12-09

30-11-17

27

620387

REMONY

MATHEW

S11

C

NURSING

SISTER

30-12-82

31-12-09

31-03-20

28

620402

RASHMI

MATHAI

S11

C

NURSING

SISTER

30-12-82

31-12-09

30-11-17

29

620444

SARAMMA

SAMUEL

S11

C

NURSING

SISTER

30-12-82

31-12-09

31-05-21

5070

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

30

620460

JAYANTI

SATYAM

S11

C

NURSING

SISTER

30-12-82

31-12-09

31-10-19

31

620478

KOCHUTHRESI

A GEORGE

S11

C

NURSING

SISTER

26-08-83

31-12-09

31-05-20

32

642753

SUSHILA

GAGRAI

S11

C

NURSING

SISTER

01-11-83

31-12-09

31-10-16

33

644048

SAMIRENDRA

NATH

BHATTACHARJ

EE

S11

C

S/MED

SOCL

W/C

24-10-83

31-12-09

31-05-14

34

644220

SARAMMA

BABY

S11

C

NURSING

SISTER

24-10-83

31-12-09

31-01-20

35

644337

NANDITA ROY

S11

C

NURSING

SISTER

24-10-83

31-12-09

30-11-15

36

644353

ESRAN MALWA

S11

C

NURSING

SISTER

24-10-83

31-12-09

31-12-16

37

644379

REGINA

VINCENTIA

KERKETTA

S11

C

NURSING

SISTER

24-10-83

31-12-09

31-05-15

38

644395

DIPALI

CHOWDHURY

S11

C

NURSING

SISTER

25-10-83

31-12-09

30-09-19

39

644410

SAROJ KUJUR

S11

C

NURSING

SISTER

02-12-83

31-12-09

31-12-18

40

644741

ASHA

VENUGOPAL

S11

C

NURSING

SISTER

02-12-83

31-12-09

31-05-17

41

644759

SANTHAMMA

KAITHAKUZHY

IL GOPAL

S11

C

NURSING

SISTER

06-12-83

31-12-09

31-01-15

42

644808

RAMAWATAR

PRASAD

S11

D

CHIEF

PHARMACIST

15-12-83

31-12-05

31-10-14

43

644832

NELI BARLA

S11

C

NURSING

SISTER

05-12-83

31-12-09

31-10-17

44

644866

NILMANI TIRU

S11

C

NURSING

SISTER

20-02-84

31-12-09

30-04-20

45

647092

SALY

SEBASTIAN

S11

C

NURSING

SISTER

20-02-84

30-06-10

30-06-22

46

647117

MARIAMMA

VARGHESE

S11

C

NURSING

SISTER

20-02-84

30-06-10

30-06-19

47

647125

KALPANA

GHOSH

S11

C

NURSING

SISTER

20-02-84

30-06-10

30-04-18

48

647133

KRISHNA

GHOSH

S11

C

NURSING

SISTER

20-02-84

30-06-10

30-11-18

49

647167

AGNESIA

LINDA

S11

C

NURSING

SISTER

20-02-84

30-06-10

30-04-20

50

647183

SHEELA

SRIDHARAN

NAIR

S11

C

NURSING

SISTER

20-02-84

30-06-10

31-01-22

51

647216

KUMUDINI

KERKETTA

S11

C

NURSING

SISTER

20-02-84

30-06-10

30-06-19

52

647240

SUNITA

TIWARI

S11

C

NURSING

SISTER

20-02-84

30-06-10

28-02-22

53

647258

BINITA

THAKUR

S11

C

NURSING

SISTER

20-02-84

30-06-10

31-05-17

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5071

54

647414

FRANCISCA

KUJUR

S11

C

NURSING

SISTER

27-02-84

30-06-10

30-11-15

55

647836

THRESIAMMA

JOSE

S11

C

NURSING

SISTER

27-02-84

30-06-10

28-02-17

56

647844

MARY JOSEPH

S11

C

NURSING

SISTER

29-02-84

30-06-10

31-03-20

57

647860

ANNA

MATILDA

SURIN

S11

C

NURSING

SISTER

06-04-84

30-06-10

30-06-17

58

648454

RAMASWAMY

LATA

S11

C

NURSING

SISTER

26-09-84

30-06-10

31-07-21

59

650037

NILIMA

BANDOPADHY

AY

S11

C

NURSING

SISTER

26-09-84

31-12-10

31-01-19

60

650045

ROUSHAN

JAHAN ANSARI

S11

C

NURSING

SISTER

26-09-84

31-12-10

31-03-19

61

650053

INDIRA

KONCHAKUZH

YIL

PRAVAKARAN

S11

C

NURSING

SISTER

28-05-85

31-12-10

31-07-20

62

655582

RAMA

RANI

BANERJEE

S11

C

NURSING

SISTER

28-05-85

30-06-11

30-11-22

63

655615

LILLY

SUSHANTI

SURESH

S11

C

NURSING

SISTER

28-05-85

30-06-11

30-11-19

64

655623

ALEYAMMA

JOSEPH

S11

C

NURSING

SISTER

28-05-85

30-06-11

28-02-22

65

655631

USHA

KIRAN

PRASAD

S11

C

NURSING

SISTER

28-05-85

30-06-11

30-04-23

66

655657

ROSAMMA

JAMES

S11

C

NURSING

SISTER

28-05-85

30-06-11

31-07-22

67

655665

ALCY

KUTTY

THOMAS

S11

C

NURSING

SISTER

28-05-85

30-06-11

31-10-19

68

655673

ROSHNI

KHALKHO

S11

C

NURSING

SISTER

28-05-85

30-06-11

31-01-23

69

655681

SUSAN

MATHAIKUTTY

S11

C

NURSING

SISTER

16-04-86

30-06-11

28-02-22

70

661167

ASHA SHARMA

S11

C

NURSING

SISTER

16-04-86

31-12-11

31-12-19

71

661175

PUSH

PAMMA

TOMY

S11

C

NURSING

SISTER

16-04-86

31-12-11

30-09-23

72

661208

SANGITA

CHATTERJEE

S11

C

NURSING

SISTER

16-04-86

31-12-11

31-03-23

73

661224

CELINE KOSHY

VARGHESE

S11

C

NURSING

SISTER

16-04-86

31-12-11

31-05-23

74

661240

SUBHRA

MANNA

S11

C

NURSING

SISTER

16-04-86

31-12-11

31-10-19

75

661307

ANNA

SASIDHARAN

SAM

S11

C

NURSING

SISTER

11-11-86

31-12-11

31-12-19

76

664020

UPENDRA

KUMAR

S11

C

SR

PHARMACIST

11-11-86

31-12-07

28-02-17

77

664038

HEM CHANDRA

SINGH

S11

C

SR

PHARMACIST

11-11-86

31-12-07

31-10-17

5072

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

78

664046

SURESH

KUMAR

S11

C

WARD KEEPER

13-11-86

31-12-07

30-09-21

79

664062

SATYA

DEO

PRASAD

S10

D

LAB

TECHNICIAN

13-11-86

31-12-09

31-05-17

80

664070

BINODA NAND

SINHA

S10

D

LAB

TECHNICIAN

25-05-87

31-12-09

31-01-23

81

665755

BIJAY KUMAR

S11

C

SR

PHARMACIST

19-05-87

30-06-08

31-12-22

82

665763

NARESH

PRASAD

MAHTO

S11

C

SR

PHARMACIST

15-06-87

30-06-08

31-03-23

83

665888

LYSAMMA

GEORGE

S11

C

NURSING

SISTER

15-06-87

30-06-12

31-05-25

84

665929

LIZY

VARGHESE

S11

C

NURSING

SISTER

17-06-87

30-06-12

31-01-23

85

665937

CHANDESHWA

R SAH

S11

C

SR

PHARMACIST

10-06-87

30-06-08

31-10-21

86

665987

NILMADHAB

SEN

S11

C

SR

PHARMACIST

24-06-87

30-06-08

31-12-19

87

666000

MANJU

MAZUMDAR

S11

C

NURSING

SISTER

22-06-87

30-06-12

30-11-22

88

666018

BANANI SAHA

S11

C

TUTOR

22-06-87

30-06-12

30-11-20

89

666026

SAMPA

MALLICK

S11

C

NURSING

SISTER

06-11-87

30-06-12

31-05-24

90

673203

VIJAYAM

RAMACHANDR

AN

S11

C

NURSING

SISTER

07-04-88

31-12-12

30-06-24

91

674946

KABITA

BANERJEE

S11

C

NURSING

SISTER

07-04-88

30-06-13

31-01-23

92

674954

SUMITA DAS

S11

C

NURSING

SISTER

07-04-88

30-06-13

31-05-25

93

674996

LEELEMMA

JOHN

S11

C

NURSING

SISTER

07-04-88

30-06-13

28-02-23

94

675001

BHARATI

GANGULY

S11

C

TUTOR

07-04-88

30-06-13

30-09-22

95

675019

CHANDRA

GHOSH

S11

C

NURSING

SISTER

07-04-88

30-06-13

28-02-26

96

675043

ALEYAMMA

VIJAY

S11

C

NURSING

SISTER

07-04-88

30-06-13

31-01-21

97

675051

SWAPNA

MANDAL

S11

C

NURSING

SISTER

07-04-88

30-06-13

30-09-21

98

675069

REKHA SAHA

S11

C

NURSING

SISTER

07-04-88

30-06-13

30-09-22

99

675077

ANJALI

MISHRA

S11

C

NURSING

SISTER

07-04-88

30-06-13

31-01-22

100

675085

SHEEKHA RANI

DEY

S11

C

NURSING

SISTER

07-04-88

30-06-13

31-03-24

101

675100

REBA ROY

S11

C

NURSING

SISTER

07-04-88

30-06-13

31-03-25

102

675118

VALSALA

THULASIDHAR

AN PILLAI

S11

C

NURSING

SISTER

07-04-88

30-06-13

31-12-22

103

675134

SUKLA SINHA

S11

C

NURSING

07-04-88

30-06-13

30-11-24

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5073

SISTER

104

675142

UMA MONDAL

S11

C

NURSING

SISTER

07-04-88

30-06-13

31-05-25

105

675150

SOSAMMA

ALEX

S11

C

NURSING

SISTER

03-11-88

30-06-13

30-11-21

106

675598

BABY

ACHARYA

S11

C

NURSING

SISTER

30-08-89

31-12-13

31-03-24

107

676827

CELINE JOHN

S11

C

NURSING

SISTER

30-08-89

31-12-13

31-03-26

108

676877

DIPA SARKAR

S11

C

NURSING

SISTER

30-08-89

31-12-13

30-04-24

109

676885

MARY

VARGHESE

S11

C

NURSING

SISTER

30-08-89

31-12-13

28-02-27

110

676900

DAISY JOY

S11

C

NURSING

SISTER

30-08-89

31-12-13

31-03-24

111

676918

NEETA SHEE

S11

C

NURSING

SISTER

24-10-90

31-12-13

31-01-25

112

677023

RAJAMMA

VISWANATHA

N

S11

C

NURSING

SISTER

24-10-90

30-06-10

31-12-23

113

679045

SHIBANI

MUKHERJEE

S10

C

NURSING

SISTER

24-10-90

31-12-09

31-03-27

114

679053

ANUSHREE

ROY

S10

C

NURSING

SISTER

24-10-90

31-12-09

30-06-25

115

679087

LATHA MADHU

S10

C

NURSING

SISTER

24-10-90

31-12-09

30-09-24

116

679095

SHIKHA

CHAKRABORT

Y

S10

C

NURSING

SISTER

24-10-90

31-12-09

31-05-24

117

679110

KANAK DURGA

MAHAPATRA

S10

C

NURSING

SISTER

24-10-90

31-12-09

30-11-25

118

679128

MANI

AMMA

ROY

S10

C

NURSING

SISTER

24-10-90

31-12-09

31-07-26

119

679136

ALIAMMA

PHILIPOSE

S10

C

NURSING

SISTER

24-10-90

31-12-09

31-03-27

120

679178

DEEPTY RAY

S10

C

NURSING

SISTER

24-10-90

31-12-09

31-10-25

121

679201

JAYA RAJU

S10

C

NURSING

SISTER

24-10-90

31-12-09

31-08-23

122

679219

SUBHRA ROY

S10

C

NURSING

SISTER

14-11-90

31-12-09

31-12-27

123

679227

MARY PHILIP

S10

C

NURSING

SISTER

13-11-90

31-12-09

31-01-27

124

680282

SWAPANA

JAISWAL

S10

C

NURSING

SISTER

12-12-90

31-12-11

30-06-24

125

680290

AJIT

KUMAR

SINHA

S11

C

SR

PHARMACIST

09-01-91

30-06-12

30-04-27

126

681941

GHAN SHYAM

SHARMA

S10

D

SR

X-RAY

TECHN

09-01-91

30-06-12

31-12-24

127

682428

KRISHNA

YADAV

S11

C

SR

PHARMACIST

10-01-91

31-12-10

31-05-20

128

682444

TANUJA

CHOUDHARY

S10

C

NURSING

SISTER

14-01-91

30-06-10

30-09-18

5074

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

129

682519

MARIAM

SURIN

S10

C

NURSING

SISTER

14-01-91

30-06-10

31-03-23

130

682527

SUSMITA

SINGO MURMU

S10

C

NURSING

SISTER

23-01-91

30-06-12

31-05-18

131

682569

LALAN KUMAR

SINHA

S11

C

SR

PHARMACIST

30-01-91

30-06-12

31-05-23

132

682650

RASH

BIHARI

PRASAD SINHA

S11

C

SR

PHARMACIST

12-02-91

30-06-10

31-01-18

133

682767

SHAILA

MANORMA

KHALKHO

S10

C

NURSING

SISTER

20-02-91

30-06-10

30-04-18

134

682866

EDITH BARWA

S10

C

NURSING

SISTER

22-03-91

30-06-10

31-01-25

135

682907

RENU J MINZ

S10

C

NURSING

SISTER

29-03-91

30-06-12

31-10-28

136

683179

PANNA

LAL

PRASAD

S10

D

SR LAB TECHN

23-04-91

30-06-12

30-04-25

137

683187

BIBEKANANDA

MUKHERJEE

S10

D

SR LAB TECHN

30-04-91

30-06-10

28-02-17

138

683492

FULMANI

TOPPO

S10

C

NURSING

SISTER

29-04-91

30-06-12

30-09-16

139

683898

ASHIS KUMAR

CHAKRABORT

Y

S11

X

SR

MASTER(SG)

02-05-91

30-06-10

30-11-20

140

683939

ASIYAN

BAHALEN

TOPNO

S10

C

NURSING

SISTER

15-04-91

30-06-10

31-08-22

141

683955

JIRAN

PAUL

PARDHIYA

S10

C

NURSING

SISTER

29-05-91

30-06-10

31-10-22

142

684432

BERONICA

KHESS

S10

C

NURSING

SISTER

16-06-91

30-06-10

31-01-22

143

684599

STELLA

TIRKEY

S10

C

NURSING

SISTER

13-06-91

30-06-12

31-01-20

144

684680

RAYMOND

PASCHAL

S10

D

SR

X-RAY

TECHN

20-11-93

30-06-10

31-01-27

145

684698

EMERENCIA

KIRO

S10

C

NURSING

SISTER

20-11-93

31-12-11

30-09-30

146

688278

KAULESHWAR

CHAUDHARY

S9

C

LAB

TECHNICIAN

20-11-93

31-12-11

30-06-32

147

688286

MANOJ KUMAR

OJHA

S9

C

LAB

TECHNICIAN

14-05-92

31-12-11

31-12-25

148

688294

JAGAR

NATH

RAJAK

S9

C

LAB

TECHNICIAN

14-05-92

30-06-11

30-09-25

149

691156

SANGEETA

MUNDA

S10

C

NURSING

SISTER

14-05-92

30-06-11

31-05-25

150

691164

AMBIKA

BALACHANDR

AN

S10

C

NURSING

SISTER

14-05-92

30-06-11

29-02-28

151

691180

MARYAMMA

BABU

S10

C

NURSING

SISTER

14-05-92

30-06-11

30-09-28

152

691213

SHAILA

JOHNSON

S10

C

NURSING

SISTER

14-05-92

30-06-11

31-05-29

153

691255

BEENA SABU

S10

C

NURSING

14-05-92

30-06-11

31-05-24

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5075

SISTER

154

691263

ALEYAMMA

JESTO

S10

C

NURSING

SISTER

14-05-92

30-06-11

30-06-27

155

691271

THRESIAMMA

EZHUTHUPURA

YIL JOSE

S10

C

NURSING

SISTER

14-05-92

30-06-11

30-06-25

156

691289

PRATIMA

TOPPO

S10

C

NURSING

SISTER

14-05-92

30-06-11

30-06-24

157

691297

ANITA TOPPO

S10

C

NURSING

SISTER

14-05-92

30-06-11

31-12-24

158

691304

PUSPA

KANTI

KINDO

S10

C

NURSING

SISTER

14-05-92

30-06-11

31-05-24

159

691312

MEWA PUSHPA

S10

C

NURSING

SISTER

14-05-92

30-06-11

31-05-25

160

691320

NEERA SATISH

KUMAR

S10

C

NURSING

SISTER

14-05-92

30-06-11

31-05-28

161

691346

UMA

DEVI

UNNIKRISHNA

N

S10

C

NURSING

SISTER

14-05-92

30-06-11

31-01-26

162

691354

RAJESHWARI

SURESH

S10

C

NURSING

SISTER

14-05-92

30-06-13

31-12-24

163

691362

ABHA KUJUR

S10

C

NURSING

SISTER

14-05-92

30-06-11

31-01-25

164

691370

KABITA

DESHMUKH

S10

C

NURSING

SISTER

14-05-92

30-06-11

31-05-29

165

691396

NUTAN AMRIT

S10

C

NURSING

SISTER

27-05-92

30-06-11

30-04-28

166

691403

RAJALAKSHMI

SURESH

S10

C

NURSING

SISTER

30-06-94

30-06-11

30-09-25

167

G91883

JAYASHRI

S10

C

NURSING

SISTER

30-06-94

31-12-11

31-01-26

168

752742

NUTAN RUNDA

S9

C

NURSING

SISTER

30-06-94

30-06-13

30-11-26

169

752776

MEETA

SARKAR

S10

C

NURSING

SISTER

30-06-94

30-06-13

30-06-29

170

752817

ILLA BAXLA

S10

C

NURSING

SISTER

30-06-94

30-06-13

28-02-29

171

752825

TANDRA BOSE

S10

C

NURSING

SISTER

30-06-94

30-06-13

30-09-29

172

752833

CECILIA

TIRKEY

S10

C

NURSING

SISTER

30-06-94

30-06-13

31-08-27

173

752859

MOUSUMI

GHOSH

S10

C

NURSING

SISTER

30-06-94

30-06-13

31-12-28

174

752867

LALITA

KUMARI

S10

C

NURSING

SISTER

30-06-94

30-06-13

31-03-26

175

752883

ANITHA VINAY

S10

C

NURSING

SISTER

30-06-94

30-06-13

30-04-27

176

752916

RETNAMMA

S

RAJAN

S10

C

NURSING

SISTER

30-06-94

30-06-13

31-01-25

177

752924

VALSALA

JOSEPH

S10

C

NURSING

SISTER

19-08-94

30-06-13

31-05-30

178

752966

BIRSI TIGGA

S10

C

NURSING

SISTER

19-08-94

31-12-13

28-02-29

5076

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

179

753188

SHEEBA

SURESH

S10

C

NURSING

SISTER

26-10-94

31-12-13

31-01-16

180

753287

PURNIMA

SINGH

S10

C

NURSING

SISTER

26-12-95

31-12-10

30-04-31

181

753641

NIHAR

KANTI

SINGH

S10

C

RADIO

THERA/TEC

26-12-95

31-12-10

31-01-30

182

754920

MOYNA

MONDAL

S9

C

NURSING

SISTER

26-12-95

31-12-10

31-10-28

183

754946

SHIRANJEET

KAUR CHADHA

S9

C

NURSING

SISTER

26-12-95

31-12-10

31-01-28

184

754954

MOW SINGH

S9

C

NURSING

SISTER

26-12-95

31-12-10

30-06-29

185

754962

ARCHANA

S

KUMAR

S9

C

NURSING

SISTER

26-12-95

31-12-10

31-01-29

186

754988

MADHU SINGH

S9

C

NURSING

SISTER

26-12-95

31-12-10

31-01-29

187

754996

SUMAN

PANDIT

S9

C

NURSING

SISTER

26-12-95

31-12-10

30-04-30

188

755027

JILANTI MINZ

S9

C

NURSING

SISTER

26-12-95

31-12-10

30-04-30

189

755051

USHA

RANI

MOHANTY

S9

C

NURSING

SISTER

26-12-95

31-12-10

31-05-30

190

755069

SUDHA GIRI

S9

C

NURSING

SISTER

26-12-95

31-12-10

31-05-29

191

755077

SRI DEVI

S9

C

NURSING

SISTER

26-12-95

31-12-10

31-12-28

192

755093

SUSHILA

PASWAN

S9

C

NURSING

SISTER

26-12-95

31-12-10

31-01-31

193

755100

SHUBHA

PRAKASH

S9

C

NURSING

SISTER

26-12-95

31-12-10

31-12-24

194

755118

RAJITA EKKA

S9

C

NURSING

SISTER

08-10-97

31-12-10

31-01-24

195

755134

MADHU

BANI

MINZ

S9

C

NURSING

SISTER

17-10-97

31-12-12

31-05-26

196

759566

SUSHMA

KUMARI

S9

C

NURSING

SISTER

18-10-97

31-12-12

31-07-31

197

759615

NILAM

KUMARI

S9

C

NURSING

SISTER

18-10-97

31-12-12

30-09-33

198

759623

KANCHAN

KUMARI

S9

C

NURSING

SISTER

20-10-97

31-12-12

28-02-27

199

759631

SWAMYNATHA

N

SREEJA

VENUGOPAL

S9

C

NURSING

SISTER

23-10-97

31-12-12

31-03-28

200

759649

GOPA DEY

S9

C

NURSING

SISTER

17-12-97

31-12-12

30-06-22

201

759681

MONIKA

TIGGA

S9

C

NURSING

SISTER

29-06-98

31-12-13

31-07-25

202

759847

VIKASH

KUMAR

KATIYAR

S10

C

ORTHOPIST

10-08-98

30-06-12

31-03-26

203

760208

JAYANTA

GHOSH

S8

C

TECHN/X-RAY

08-12-98

31-12-12

31-01-29

204

760448

LAKSHMI

S8

C

TECHN/X-RAY

08-12-98

31-12-13

31-05-27

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5077

KANTA DIAN

205

760860

TERESA MINJ

S9

C

NURSING

SISTER

08-12-98

31-12-13

31-01-30

206

760878

MARIAM

BHENGRA

S9

C

NURSING

SISTER

08-12-98

31-12-13

30-06-32

207

760886

KISHORI

PRABHA

KUJUR

S9

C

NURSING

SISTER

08-12-98

31-12-13

31-12-30

208

760894

SITA KUMARI

S9

C

NURSING

SISTER

08-12-98

31-12-13

30-09-30

209

760901

PRASAN KUJUR

S9

C

NURSING

SISTER

08-12-98

31-12-13

31-10-30

210

760919

ANU VERMA

S9

C

NURSING

SISTER

08-12-98

31-12-13

31-05-31

211

760927

GITALI

MALLICK

S9

C

NURSING

SISTER

08-12-98

31-12-13

31-07-29

212

760935

MANJU

KUMARI

S9

C

NURSING

SISTER

08-12-98

31-12-13

31-03-31

213

760943

MANJIT RANI

S9

C

NURSING

SISTER

08-12-98

31-12-13

29-02-32

214

760951

BABITA

KUMARI

S9

C

NURSING

SISTER

08-12-98

31-12-13

30-11-30

215

760969

URMILA

PRASAD

S9

C

NURSING

SISTER

08-12-98

31-12-13

30-06-33

216

760993

SARASWATI

DEEP

S9

C

NURSING

SISTER

08-12-98

31-12-13

31-08-30

217

761008

RENU KUMARI

S9

C

NURSING

SISTER

—

31-12-13

—

218

761032

ANITA DEVI

S9

C

NURSING

SISTER

—

31-12-13

—

2.

It is relevant to mention that previously this Reference Case No. 39/2013 was decided vide Award dated

20.04.2017 passed by this Tribunal and the same was confirmed by the Single Bench of the Hon‘ble Jharkhand High

Court in a W.P. (L) No. 4675 of 2017 but in L.P.A. No. 737 of 2023 the Hon‘ble Jharkhand High Court were pleased

to set aside the Award passed by this Tribunal as well as order of the Hon‘ble Single Bench and the case was

remanded to this Industrial Tribunal to decide the matter afresh on the basis of the materials already on the record.

3.

The case of the workman is that Bokaro Steel Plant (BSP) is one of the units of Steel Authority of India

Limited and engaged in manufacture of iron and steel. It is a public sector undertaking and its employees are

governed and guided by Service Rules, Standing Orders and Executive Orders issued from time to time. Bokaro Steel

Worker‘s Union is a registered union and is espousing for the cause of the workers from time to time and has entered

into several agreements with the Management of Bokaro Steel Plant for betterment and improvement of working

conditions of the workmen of Bokaro Steel Plant. The employees of BSP working in Bokaro General Hospital,

particularly Nursing and Para Medical Staff are governed by the Service Rules of BSP. It has been admitted by the

Management of Bokaro Steel Plant during conciliation proceedings dated 21.11.2012 that the employees of Bokaro

Steel Plant working in Bokaro General Hospital are governed by Service Rules and these employees have been

getting all the benefits under the same. It is submitted that the non-executive employees of Bokaro Steel Plant who are

covered under the Service Rules are required to perform duties from Monday to Friday from 09:30 A.M. to 5:00 P.M.

with one hour lunch break and on Saturdays from 09:30 A.M. to 01:00 P.M. So the duty hours of employees of BSP

who are governed by Service Rules is 36 hours in a week. This can be further seen from the circular no. GM

(P&A)/2008-7267 dated 12.12.2008 issued by GM (P&A) of BSP categorically clarifying the working hours of the

non-executive employees governed by Standing Orders and Service Rules as follows:

Standing Orders

: 8:30 a.m. to 5:00 p.m.

(with half an hour lunch break)

Service Rules

: Monday to Friday : 9:30 a.m. to 5:00 p.m.

5078

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

(with one hour lunch break)

: Saturday 9:30 a.m. to 1:00 p.m.

Although the Nursing and Para Medical Staff of Bokaro General Hospital are covered under Service Rules, they are

working for 48 hours in a week and are also performing shift-wise duties. Thus it is very much clear that the Nursing

and Para Medical Staff of Bokaro General Hospital are performing 12 hours additional duty every week compared to

other employees who are also governed by the Service Rules of Bokaro Steel Plant. Similarly placed employees i.e.

employees who are governed by Service Rules and working in the Sales Accounts (Invoice Group) and EDP centre of

Bokaro Steel Plant and who are required to work for 48 hours in a week in shifts are paid 20% of their Basic Pay and

D.A. as special allowance to compensate for the extension/change in working hours from 36 to 48 hours. They are

also getting incentive and reward in addition to the aforesaid allowance of 20% of Basic Pay and D.A. Nursing and

Para Medical Staff of Bokaro General Hospital are not compensated for the additional work of 12 hours in a week

which they are doing whereas similarly placed employees who are working in the Sales Accounts (Invoice Group)

and EDP Centre of BSP governed by Service Rules and who are required to work for 48 hours in a week in shifts are

paid 20% of their Basic Pay and D.A. as special allowance to compensate for the extension/change in working hours

from 36 to 48 hours. Bokaro Steel Plant had frozen the special allowance which was paid to these employees working

in the Sales Accounts (Invoice Group) and EDP Centre of BSP by issuing an Inter Office Correspondence dated

20.12.1991 resulting in an Industrial Dispute between the management of BSP and the employees which was

adjudicated by the Presiding Officer, Industrial Tribunal, Ranchi vide Reference Case No. 04/1998 by passing an

award in favour of the affected employees. The employees of SAIL/Bokaro Steel Plant are governed by the provisions

of standing order and service rules. There are differences of benefits between the employees governed under the

Service Rules and Standing Order which are as follows:-

Sl. No.

Service Rule

Standing Order

Leave

a)

Earned Leave

30 days per year

20 days per year

b)

Casual Leave

15 days per year

10 days per year

c)

Restricted Holidays

09 days per year

05 days per year

d)

Close Holiday

6+1 days per year

03 days per year

e)

Leave encashment against Earned Leave

after retirement having maximum limit

300 days

190 days

f)

Half Pay Leave after retirement

240 days

120 days

g)

Incentive/Reward

36% to 50%

50% to 90%

Nursing and Para Medical Staff of Bokaro General Hospital are deprived of their genuine legal rights for a long time

and are exploited through unfair labour practice by the management company in violation of Article 14 of the

Constitution. The Nursing and Para Medical Staff of B.G.H. are getting all the benefits of service rules but they have

been deliberately deprived of their right of 20% of their basic pay and D.A. as special allowance to compensate their

working hours from 36 to 48 hours and also for working in shift wise duty and at last it was submitted to pass an

award directing the management of BSP to pay special allowance of 20% of the basic pay and D.A. to the Nursing

and Para Medical Staff of B.G.H. at par with similarly placed workmen working in the Sales Accounts (Invoice

Group) and EDP Centre from the date of their joining.

4.

On the other hand the case of the management as per written statement filed on 26.11.2014 is that the

reference is not maintainable. The names of the workmen concerned are not incorporated along with the order of

reference and in the absence of the same the present reference is indefinite and vague and is not valid for adjudication.

Since the inception of Bokaro General Hospital and introduction of shift wise duty the employees of B.G.H. whose

service conditions are governed by Service Rules have been performing 48 hours duty in a week. The employees

working at B.G.H. have been performing 48 hours duty in a week i.e. 8 hours duty per shift since the date of joining

in B.G.H. of Bokaro Steel Plant. The workmen of Bokaro Steel Plant who have been working 48 hours duty in a week

are entitled to get enhanced incentive and reward of 50%. The workmen working at B.G.H. are also getting enhanced

incentive and reward of 50% whereas the workmen working less than 48 hours in a week are getting 36% of incentive

and reward. The management never changed the service conditions of the workmen who are working at B.G.H. from

Service Rule to Standing Order as such there has not been any violation of the provisions of Section 9A of the I.D.

Act, 1947. The employees of Bokaro General Hospital whose services are governed by the provisions of service rules

are enjoying all facilities including leave applicable to Service Rules. It is evident that employees of B.G.H. governed

by Service Rules have been getting all the benefits of Service Rules. They have also been getting enhanced incentive

and reward of 50% which is applicable for the employees working for 48 hours in a week for several years. The

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5079

demand made by the sponsoring union for payment of 20% special allowance to the workers working in Bokaro

General Hospital is neither legal nor justified and therefore it was prayed to hold that the action of the management of

Bokaro Steel Plant, SAIL in not paying 20% special allowance to the workers working in Bokaro General Hospital is

legal and justified and that the workmen concerned are not entitled to get any relief. By way of rejoinder the

management has stated that the statement made in Para 1 and 2 of the W/S of union is matter of record and the

statement of Para-3 is not relevant. The statement made in Para-4 of the W/S is not correct. Majority non-executive

employees working in B.G.H. are governed by Standing Orders. Few old employees are governed by Service Rules. It

is relevant to mention that the names of workmen is not mentioned either before Conciliation Office nor the Ministry

referred the names of the workmen concerned along with the order of reference and therefore the question referred by

the Ministry is vague and indefinite. The statement of Para-5, 6 and 8 of the W/S are not correct. Circular dated

12.12.2008 was specifically applicable to executives/non-executives posted in Ispat Bhawan Complex, T&D Centre,

Nagar Sewa Bhawan and its allied offices other than those in shifts. Since the inception of B.G.H. and introduction of

shift wise duty, the employees of B.G.H. have been performing 48 hours duty in a week i.e. 8 hours duty per shift and

accordingly they have been getting enhanced incentive and reward of 50%. The statements made in Para-7 and Para-9

of the W/S are not relevant. The fact of the reference no. 4 of 1998 is different and more over the finding of the State

Industrial Tribunal is not binding to this Tribunal as the facts of both the cases are different. The statement made in

Para-10 of the W/S of union is matter of record and that of Para-11 and 12 are not correct and there is no merit in the

W/S of the union so prayed to reject the same.

5.

A rejoinder has also been filed on behalf of the workmen to the W/S of the management in which they have

denied all the claims and stand taken by the management and further repeated the stand taken by them in their

statement of claim.

6.

In support of their case the workmen have examined WW-1 Ghanshyam Sharma, WW-2 Baby Acharya and

WW-3 Badrinath Upadhyay.

7.

The workmen have also adduced the following documentary evidence:-

Exhibit W, W-1/1 to W-1/3 – Offer of appointment

Exhibit W-2 – Office Order of G.M. dated 12.12.2008.

Exhibit W-3 – Copy of Gate Passes

Exhibit W-4 – Office order dated 20.07.1978

Exhibit W-5 – Letter of Union dated 13.12.2012

Exhibit W-6 –Copy of Award dated 29.08.2003 passed by Presiding Officer, Industrial Tribunal, Ranchi in Ref.4/98

Exhibit W-7 – Copy of Award dated 23.06.2004 passed by Presiding Officer, Industrial Tribunal, Ranchi in Ref.4/93

Exhibit W-8 - Circular dated 25.05.1990

Exhibit W-9 – Letter dated 21.06.1966 of Dy. Personnel Manager to the Secretary of Union.

Exhibit W-10 – Letter dated 21.11.2012 of the management.

Exhibit W-11 – Letter dated 08.02.2013 of the management.

Exhibit W-12 Series – Duty Roster of the employees of B.G.H

Exhibit W-13 Series/‗X‘ for Identification – Letter of General Secretary as well as List of workmen

8.

On the other hand the management has examined MW-1 Sushma Sahay.

9.

The management has adduced the following documentary evidence as Exhibit M-1 Series – Monthly Salary

Statement of Staffs.

10.

Heard both sides and perused the materials on record.

11.

The Ld. Counsel on behalf of the workman has submitted that the employees of B.S.P. working in B.G.H. in

Nursing and Para Medical Services are governed by the Service Rules of B.S.P. and they are governed by the Service

Rules, Standing Orders and Executive Orders issued from time to time and accordingly they performed duties from

Monday to Friday from 09:30 a.m. to 5:00 p.m. with one hour lunch break and the duty hours of the employees of

Bokaro Steel Plant who are governed by the Service Rules, is 36 hours per week. Although the Nursing and Para

Medical Staff of B.G.H. are covered under the Service Rules and they worked for 48 hours in a week and are

performing shift wise duties and similarly placed employees who are governed by Service Rules and working in the

Sales Accounts (Invoice Group) and EDP Centre of Bokaro Steel Plant also worked for 48 hours in a week in shifts

are paid 20% of their Basic Pay and D.A. as special allowance to compensate for their extension/change in working

hours from 36 to 48 hours but the employees of Bokaro General Hospital particularly Nursing and Para Medical Staff

are not paid 20% special allowance of their basic pay and D.A. which is discriminatory and prayed to allow the same.

5080

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

12.

On the other hand the Ld. Counsel on behalf of the management has submitted that the workmen of B.S.P.

who have been performing 48 hours duty in a week are entitled to get enhanced incentive and rewards of 50% and the

employees of B.S.P. are getting 20% special allowance as machine allowance but the concerned workmen who are the

employees of Nursing and Para Medical Staff are not concerned with the machine and therefore they are not entitled

to 20% extra special allowances/machine allowances and prayed to reject the reference.

13.

Issue

Whether the action of the management of Bokaro Steel Plant SAIL in not paying 20% special allowance to

the workers, working in Bokaro General Hospital is legal and justified? What relief the workmen are entitled to?‖

14.

Now as regards the oral evidence of the workmen, WW-1 Ghanshyam Sharma who is also one of the

concerned workmen and is posted as Senior Technician X-Ray in B.G.H. X-Ray department, has deposed that he is

working there since 12.12.1990 and his name has been displayed on serial no. 126 of the list of employees that has

been filed by the union on 20.06.2014. This list contains 218 employees. All the Employees/Para Medical Staff are

governed by the Service conduct rules and discipline and appeal rules. He has also submitted his offer of appointment.

Except Saturday all the employees governed by Service Rules working for six and half hours and on Saturday they

work for three and half hours only. He has further deposed that under the service conditions the employees who are

daily working for 8 hours in shifts, are paid 20% special allowances for their additional duty which is 20% of their

Basic and D.A. and in this regard he has submitted the office order issued by Bokaro Steel Management. As they are

also governed by the same service rules and conditions, they are entitled for 20% special allowance. In cross-

examination he has admitted that he is deposing on behalf of all the workmen of this reference case. He has admitted

that in the appointment letter the working hour was not mentioned. They are working in shifts.

WW-2 BabyAcharya is also one of the concerned workmen and she is working as Nurse in Eye Department

in B.S.P. General Hospital since 02.11.1988. She has also repeated the same facts as stated by WW-1 in his

examination- in- chief. She has stated that the lists in hand are of the Nursing Staff and Ministerial Staff and they

obtained the list from Personnel Department. In cross examination she has admitted that in their appointment letter the

duty hours was not mentioned. She has also stated that it is not a fact that the circular is not meant for hospital staff.

They are getting production bonus. She has denied that their claims are different from other workmen. She has also

denied that the others who use machines get extra machine allowance.

WW-3 Badrinath Upadhyay is the Joint General Secretary of Bokaro Steel Workers Union and he has

deposed that the special allowance/machine allowance are applicable from 1978. As per Service Rules who work for

more than six and half hours a day are entitled to get the 20% allowance. Ministerial officials are also getting 20%

allowances. He has proved the list under his signature that he prepared from personnel department of BSL. In cross

examination he has stated that it is not a fact that he has not any genuine union to contest the claim of the workmen.

He has denied that Exhibit W-13 is after thought list.

15.

Now as regards the documentary evidence adduced from the side of the workmen, Exhibit W-1 to W-1/3

are the offer of appointment for the concerned employees issued from Bokaro Steel Plant, Personnel Department,

Bokaro Steel City on different dates in the names of different employees. Exhibit W-2 is the office order of G.M.

(P&A) dated 12.12.2008 issued to G.M. (Proj.), B.S.P. Bokaro regarding Discipline Management and on its perusal it

is evident that the duty hours of the employees posted in Ispat Bhavan Complex, T&D Centre, Nagar Sewa Bhavan

and its allied offices has been given as follows:

i. Executives : 9.00 a.m. to 5:30 p.m. (with half an hour lunch break)

ii. Non-executives:

Standing Orders : 08:30 a.m. to 05:00 p.m. (with half an hour lunch break)

Service Rules : Monday to Friday : 09:30 a.m. to 05:00 p.m. (with one hour lunch break)

Saturday : 09:30 a.m. to 01:00 p.m.

Exhibit W-3 Series are the copy of Gate Passes. Exhibit W-4 is the Office order dated 20.07.1978 issued under the

signature of the Secretary of Steel Authority of India Limited, Bokaro Steel Plant regarding the shift working in Sales

Account Section (Invoicing Group) and EDP Centre (Input/Output section) in which it has been mentioned that the

approval of the Managing Director is hereby conveyed to the grant of special/machine allowance @ 20% of Basic Pay

and D.A. to the under-mentioned categories of staff of Sales Accounts Section (Invoicing Group) and EDP Centre

(Input/Output Section) who would be working for 48 hours a week in three shifts 8 hours per day and would be

allowed weekly holiday in a staggered manner that is on any day in the week and in second paragraph it has been

mentioned that in the event of either withdrawal of shift work from these areas as a result of management policy or in

the event of transfer of any of the staff to other section where shift working and the working hours of 48 hours per

week are not in force, the payment of this special/machine allowance shall be dis-continued w.e.f. the date of such

withdrawal/transfer and thus it is clear that the shift working and the working hour of 48 hours per week are the

central/core part of this office order meaning thereby so long as these employees are working in the sections were

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5081

shift working and working hour of 48 hours are applicable they are entitled to special/machine allowance @ 20% of

their Basic Pay and D.A.and this office order also shows that even messengers and Daftary are being provided the

benefit of these allowances in Sales Accounts Section who have nothing to take with the operation of machines.

Exhibit W-5 is the letter dated 13.12.2012 written by the Union to the Assistant Labour Commissioner (Central)

regarding raising of Industrial Dispute for Nursing Sisters and Para Medical Staff of Bokaro General Hospital.

Exhibit W-6 is the Award dated 29.08.2003 passed in Reference Case No. 4 of 1998 by the Presiding Officer of

Industrial Tribunal Ranchi in case between the management of M/s. Bokaro Steel Plant, Bokaro Steel City and their

workmen represented by General Secretary of the Union in which the Award was passed in favour of the workmen

holding that to freeze the admissible 20% special allowance to the workmen of the Sales Accounts (Invoicing Group)

of Bokaro Steel Plant for work beyond working period by the management is not proper and allowed arrears of the

same. Exhibit W-7 is the Award dated 23.06.2004 passed in Reference Case No. 4 of 1993 by the Presiding Officer

of Industrial Tribunal Ranchi in case between the management of M/s. Bokaro Steel Plant, Bokaro Steel City and

their workmen represented by General Secretary of the Union in which it was held that the management can not

reduce the benefit of the workers ignoring the provisions of Company‘s conduct Rules and Discipline and Appeal

Rules in the Company‘s Standing Orders regarding leave and other benefits. Exhibit W-8 is the Circular dated

25.05.1990 of Steel Authority of India Ltd., B.S.P. by which it was stated that it was decided to extend the check-off

facility to the members of BSMU at Bokaro Steel Plant and its various Units/Deptts/Sections. Exhibit W-9 is the

letter of Dy. Personnel Manager against the recognition of Union dated 21.06.1966 by which the union of Bokaro

Steel Workers was accorded recognition under the code of discipline by the Deputy Personnel Manager. Exhibit W-

10 is the letter of Sr. Manager (Pers-IR) to A.L.C. (C) dated 21.11.2012 regarding the Industrial Dispute raised by

Bokaro Steel Workers Union over deliberate change in service conditions of the employees of Bokaro General

Hospital, Bokaro Steel Plant by which it has been intimated that the Award of Ld. Presiding Officer, Industrial

Tribunal, Ranchi in Ref. Case No. 4 of 1998 is not related with the employees of B.G.H. This award is related with

the employees of Sales Accounts (Invoicing Group) who used to get special allowance @ 20% of Basic Pay and D.A.

Exhibit W-11 is the letter dated 08.02.2013 written by the Sr. Manager (Pers-IR) to the A.L.C.(C) informing that

there is not a single employee in B.G.H. whose service condition has been changed from Service Rules to Standing

Orders as such there has not been any violation of provisions of section 9A of the I.D. Act, 1947. Exhibit W-12 is

duty roster of the employees of B.G.H. Exhibit W-13 is the letter of General Secretary of the union along with list of

218 employees of B.G.H., the concerned workmen.

16.

Now as regards the oral evidence of the management, MW-1 Sushma Sahay is the Assistant Manager

(Personnel) at Bokaro Steel Plant and she has deposed that the union has not mentioned the name of the workmen on

whose behalf they have raised industrial dispute before conciliation officer and the conciliation officer has not

submitted the names of the workmen concerned in the Ministry and so the Ministry has not incorporated the names of

the workmen in the order of reference. She has further deposed that Bokaro General Hospital of Bokaro Steel City is

covered under the Factories Act, 1948 and according to chapter VI, the working hour of an adult workman is 48 hours

in a week and all the workers of B.G.H. are working for 48 hours in a week from its inception and introduction of

shift wise duty and they are also entitled to get enhanced incentive and reward of 50% whereas the workmen who are

working less than 48 hours in a week are getting 36% of incentive and rewards and the management never changed

the service conditions of the workmen who are working at B.G.H. The employees of B.G.H. whose services are

governed by the provisions of service rules are enjoying all facilities including leave applicable to the Service Rules.

The wages is being paid to the employees of the B.S.P. according to the recommendation of National Joint Committee

for the Steel Industry and the NJCS agreement does not recognize the payments of 20% of special allowance to any

workman and so the demand made by the sponsoring union for payment of 20% special allowance to the workers

working in B.G.H. is neither legal nor justified. In cross- examination she has admitted that she can not say whether

the B.G.H. is registered under the Factories Act. She has no documents to support the facts of Para-3 of her

examination- in- chief. She also can not say truthfulness of the facts of Para-4 of her examination- in- chief and she

has admitted that after attending the monthly production the employees are entitled to get incentive and reward. She

has also admitted that the concerned workmen are not getting 20% extra wages but many persons in BSL get the same

which is called Special Machine Allowance and she has also admitted the suggestion saying that it is not a fact that

the workmen are not entitled to get 20% extra allowance.

17.

Now as regards the documentary evidence of the management, Exhibit M-1 Series are the monthly salary

statements of staffs.

18.

Admittedly all the employees of Bokaro Steel Plant are governed by the Service Rules, Standing Orders and

Executive Orders issued from time to time. This is also admitted fact that all the concerned workmen who are

working in B.G.H. particularly Nursing and Para Medical Staff are also working for 48 hours a week in shifts and

that is why they are claiming 20% special allowance of their Basic Pay and D.A. on the ground of parity contending

that the employees of Bokaro Steel Plant who are working in Sales Accounts Section (Invoicing Group) and EDP

centre (Input/Output Section) of BSP are also working for 48 hours a week in shifts and they are getting 20% of Basic

Pay and D.A. as special allowances. Now this Tribunal has to see and examine as to what extent the claims of the

concerned employees are sustainable in the eyes of law?

19.

In this regard Exhibit W-4 is the most important document that provides force to the claim of the concerned

5082

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

employees because on its perusal it is crystal clear that this is an office order dated 20th July 1978 issued from the

Office of Steel Authority of India Ltd., Bokaro Steel Plant for shift working in Sales Accounts Section (Invoicing

Group) and EDP Centre (Input/Output section) by which approval for the payment of grant of special/machine

allowance @20% of Basic Pay and D.A. to the categorized staff of Sales Accounts Section (Invoicing Group) and

EDP Centre have been accorded by the Managing Director and on its perusal it further transpires that this is

applicable to the workers of the Sales Accounts Section (Invoicing Group) and EDP Centre (Input/Output section)

who are working for 48 hours a week in 3 shifts and 8 hours per day and this category also includes the Messengers

and Daftary who do not appear to have any connection with the machine operation and most importantly, on perusal

of Para-2 of this office order it is crystal clear that in the event of either withdrawal of shift works from these areas as

a result of Management Policy or in the event of transfer of any of the staff to other section where shift working and

the working hours of 48 hours per week are not in force, payment of this special/machine allowance shall be dis-

continued with effect from the date of such withdrawal/transfer and thus it leaves no doubt that the shift working

and working hour for 48 hours per week are the central/core part of this office order and needless to say that the

concerned employees who are working in Nursing and Para Medical Staff of Bokaro General Hospital of Bokaro

Steel Plant who are also working in shift and their working hours are of 48 hours per week are equally entitled to this

special allowance @ 20% of their Basic Pay and D.A.on the ground of parity and depriving them of this benefit is out

and out discriminatory on the part of the management of Bokaro Steel Plant. Not only this, on perusal of Exhibit W-

1/4 it transpires that this is an offer of appointment to the employee Sri Ghanshyam Sharma for the appointment in the

post of Technician (X-Ray) Grade-II in the Bokaro Steel Plant and thus such employees are also operating machine

and when Messengers and Daftaries of the Sales Accounts Section can be extended the benefit of 20% Special

Allowance/machine allowance of their Basic and D.A. why not these similarly situated employees.

20.

So in addition to the admission of MW-1 in the last portion of her cross-examination, the concerned

employees have been able to prove their case by means of Exhibit W-4 also that on parity ground they are entitled to

20% special/machine allowance and the office order dated 20th July 1978 also equally applies to them being on

similarly situated footing.

21.

Thus on the basis of the above discussions of facts, circumstances and materials on record this Tribunal finds

and holds that the action of the management of Bokaro Steel Plant, SAIL in not paying 20% special allowance to the

workers working in Bokaro General Hospital is neither legal nor justified and all the concerned employees of this

Reference Case are held entitled to the 20% Special Allowance of their Basic Pay and D.A. from the date of their

respective joining and the management is directed to take steps for the payment of the same within a period of 3

months from the date of publication of this Award. The reference is answered accordingly.

Let the copies of Award in duplicate be sent to the Ministry of Labour & Employment, Government of India,

New Delhi for information and notification.

SACHINDRA KUMAR PANDEY, Presiding Officer

नई ददल्ली, 26 मई , 2026

का.आ. 1085.—औद्योजगक जववाद अजधजनयम, 1947 (1947 का 14) की धारा 17 के अनुसरण में, केन्रीय

सरकार एलआईसी ऑफ़ इंजडया के प्रबंधतंत्र के संबि जनयोजकों और उनके कमजचारी के बीच अनुबंध में जनर्ददष्ट केन्रीय

सरकार औद्योजगक अजधकरण एवं श्रम न्यायालय-2, धनबाद, ृंचाट (ररफरेन्स न.- 35/2012) को जजसा दक अनुलग्नक में

ददखाया गया हज, प्रकाजित करती हज जो केन्रीय सरकार को सॉफ्ट कॉृी के साथ 26.05.2026 को प्राप्त हुआ था l

[सं. एल-17012/1/2012-आईआर(एम)]

सलोनी, उृ जनदेिक

New Delhi, the 26th May, 2026

S.O. 1085.—In pursuance of Section 17 of the Industrial Dispute Act, 1947 (14 of 1947), the Central

Government hereby publishes the award (Reference No. 35/2012) of the Central Government Industrial Tribunal

cum Labour Court-2 Dhanbad as shown in the Annexure, in the Industrial dispute between the employers in

relation to LIC of India and Their Workmen which was received along with soft copy of the award by the Central

Government on 26.05.2026.

[No. L-17012/1/2012 – IR (M)]

SALONI, Dy. Director

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5083

ANNEXURE

BEFORE THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNALNO.2 , DHANBAD

In the matter of reference U/S 10 (1) (d) & (2A) of I.D. Act,1947.

Ref. Case No.- 35/2012

Parties :

Employer in relation to the management of LIC of India, Divisional

Office, Begusarai.

AND

Their Workman

Present : Shri Sachindra Kumar Pandey

Presiding Officer/Link Officer

Appearances:

For the Employers :- None

For Workman :- None

State : Jharkhand Industry :- Financial

Dated:17/03/2026

AWARD

1. In the present case, a Reference was received from the appropriate Government vide later no. L-17012/1/2012 (IR

(M)) dated 22/05/2012 under clause (d) of sub-section (1) and sub-section (2A) of section 10 of the I.D. Act. 1947 for

adjudication of a dispute, terms of which are as under:-

SCHEDULE

“Whether the action of the Management of Life Insurance Corporation of India, Divisional Office, Begusarai

in retrenching Shri Vinay Kumar raj who worked in the management since March 1991 to 19/3/2005 is legal

and justified? If not, to what relief workman is entitled?”

2. In the endorsement made in reference order, the appropriate Government directed the parties raising the dispute

to file statement of claim, complete with relevant document, list of reliance and witness which this Tribunal within 15

days of receipt of the reference order and to forward a copy of such statement of claims to the opposite parties

involved in the dispute.

3.

On receipt of the above reference, notice was sent to the workman as well as the management and

accordingly statement of claim and WS and rejoinder was filed by the parties and evidence was also led by the

workman but the case record shows that the case is running at the stage of recording evidence on behalf of the

management but it further appears that after 30/07/2019 this case record was put up after a long gap on 3/02/2026

and regd. notices were sent to both parties but the notice of workman was returned with endorsement ― bl uke ds

O;fDr dk e`R;q gks pqdk gSAß.And thereafter none has appeared on behalf of the woarkman and therefore there is no need to

continue the proceeding on this case.

4.

In these circumstances, this Tribunal is left with no choice, except to pass a ―No Dispute /claim‖ award .

Let this award be sent to the appropriate Government for publication as required u/s 17 of the Industrial

Dispute Act, 1947.

SACHINDRA KUMAR PANDEY, Presiding Officer/Link Officer

5084

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

नई ददल्ली, 26 मई , 2026

का.आ. 1086.—औद्योजगक जववाद अजधजनयम, 1947 (1947 का 14) की धारा 17 के अनुसरण में, केन्रीय

सरकार श्री सुब्रतो दत्ता के प्रबंधतंत्र के संबि जनयोजकों और उनके कमजचारी के बीच अनुबंध में जनर्ददष्ट केन्रीय सरकार

औद्योजगक अजधकरण एवं श्रम न्यायालय-2, धनबाद, ृंचाट (ररफरेन्स न.- 49/2005) को जजसा दक अनुलग्नक में ददखाया

गया हज, प्रकाजित करती हज जो केन्रीय सरकार को सॉफ्ट कॉृी के साथ 26.05.2026 को प्राप्त हुआ था l

[सं. एल-29011/8/2005-आईआर(एम)]

सलोनी, उृ जनदेिक

New Delhi, the 26th May, 2026

S.O. 1086.—In pursuance of Section 17 of the Industrial Dispute Act, 1947 (14 of 1947), the Central

Government hereby publishes the award (Reference No. 49/2005) of the Central Government Industrial Tribunal

cum Labour Court-2 Dhanbad as shown in the Annexure, in the Industrial dispute between the employers in

relation to Shri Subrato Dutta and Their Workmen which was received along with soft copy of the award by the

Central Government on 26.05.2026.

[No. L-29011/8/2005– IR (M)]

SALONI, Dy. Director

ANNEXURE

BEFORE THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNALNO.2, DHANBAD

In the matter of reference U/S 10 (1) (d) & (2A) of I.D. Act,1947.

Ref. Case No.-49/2005

Parties : Employer in relation to the management of

Shri Subrato Dutta, Mine Owner

AND

Their Workmen

Present : Shri Sachindar Kumar Pandey

Presiding Officer/Link Officer

Appearances:

For the Employers :- Shri D.K. Verma Ld. Advocate

For Workman :- None

State : Jharkhand Industry :- Coal

Dated 17/03/2026

AWARD.

1.

In the present case, a Reference was received from the appropriate Government vide letter

no. L-29011/8/2005- IR(M) dated 27/04/2005 under clause (d) of sub-section (1) and sub-section(2A) of section 10 of

the I.D. Act. 1947 for adjudication of a dispute, terms of which are as under:-

SCHEDULE

―Whether the action of the Management of Shri Subrato Dutta, Mine Owner, S/o Shri Dinesh Kumar

Dutta, At& P.O. Rampur Hat, PS Rapur Hat, Distt. Birbhum (W.B.) in terminating the services of S/Shri

Pahlam Mia and 13 others( as per list enclosed ) without complying Section 25-F of I.D. Act is legal and

or justified? If not, to what relief theabove workmaen are entitled?.

2.

In the endorsement made in reference order, the appropriate Government directed the parties raising the

dispute to file statement of claim, complete with relevant document, list of reliance and witness which this Tribunal

within 15 days of receipt of the reference order and to forward a copy of such statement of claims to the opposite

parties involved in the dispute .

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5085

3.

On receipt of the above reference, notice was sent to the workman as well as the management and

accordingly statement of claim and WS and rejoinder was filed by the parties and but the case record shows that the

record is running at the stage of filing documents by the parties for more than 10 years and in the meantime the

workman absented himself since 29/02/2014 and the registered notice was also issued to the Union/workman but the

notice was returned with endorsement dated 16/03/2026 ―No such person in this address‖ and none appeared on his

side to take steps which makes it clear that the workman/Union has lost interest in this case.

4.

In these circumstances, this Tribunal is left with no choice, except to pass a ―No Dispute /claim ―Award . Let

this award be sent to the appropriate Government for publication as required u/s 17 of the Industrial Dispute

Act,1947.

SACHINDRA KUMAR PANDEY, Presiding Officer/Link Officer

नई ददल्ली, 26 मई, 2026

का.आ. 1087.—औद्योजगक जववाद अजधजनयम, 1947 (1947 का 14) की धारा 17 के अनुसरण में, केन्रीय

सरकार एलआईसी ऑफ़ इंजडया के प्रबंधतंत्र के संबि जनयोजकों और श्री अनबरासु िनमुगम के बीच अनुबंध में जनर्ददष्ट

केन्रीय सरकार औद्योजगक अजधकरण एवं श्रम न्यायालय, चेन्नई, ृंचाट (ररफरेन्स न.- 77/2025) को जजसा दक अनुलग्नक में

ददखाया गया हज, प्रकाजित करती हज जो केन्रीय सरकार को सॉफ्ट कॉृी के साथ 26.05.2026 को प्राप्त हुआ था l

[सं. जेड-16025/04/2026-आईआर(एम)-29]

सलोनी, उृ जनदेिक

New Delhi, the 26th May, 2026

S.O. 1087.—In pursuance of Section 17 of the Industrial Dispute Act, 1947 (14 of 1947), the Central

Government hereby publishes the award (Reference No. 77/2025) of the Central Government Industrial Tribunal

cum Labour Court, Chennai as shown in the Annexure, in the Industrial dispute between the employers in relation

to LIC of India and Shri Anbarasu Shanmugam which was received along with soft copy of the award by the

Central Government on 26.05.2026.

[No. Z-16025/04/2026-IR(M)-29]

SALONI, Dy. Director

ANNEXURE

BEFORE THE CENTRAL GOVERNMENT INDUSTRIAL

TRIBUNAL- CUM - LABOUR COURT

CHENNAI

ID No. 77/2025

Present: SUSHIL KUMAR, PRESIDING OFFICER

Date: 27-02-2026

Sh. Anbarasu Shanmugam,

No.1/51, Big Street,

Melveeranam,

Sholingur Taluk,

Ranipet District – 632 505 .

: 1st Party/Petitioner

AND

The Senior Divisional Manager,

LIC of India,

Vellore Division, Division Office,

Jeevan Prakash, Arcot Road,

Vellore – 632 004

: 2nd Party / Respondent

5086

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

Appearance:

For the 1st Party / Petitioner

: Party in person

For the 2nd Party / Respondent

: Representative of the Respondent

AWARD

This petition u/s.2A of the Industrial Disputes Act, 1947 is directly filed by the Petitioner Mr. Anbarasu Shanmugam

who held the office of development officers in the office of Respondent seeking the following relief from the

Respondent/Management of LIC of India, Vellore:-

a) Issue a writ / order / direction quashing and setting aside the impugned Termination Order dated 29.09.2022

issued by Respondents.

b) Direct the Respondents to reinstate the Applicant forthwith in service as Development Officer with continuity of

service, full back wages, and all consequential benefits including seniority, increments and promotions from the

date of termination

c) Award costs of the Application to the Applicant &

d) Pass such other and further orders as this Hon‘ble Tribunal cum Labour Court may deem fit and proper in the

interest of justice.

2.

ID called out. Heard of maintainability. Having gone through the record and after hearing the petitioner in

person and representative of the Respondent / Management,the question that arises to consider at this stage is whether

the petitioner / claimant comes under the category of workman.

3.

The Respondent filed a clear case law on the subject is Chauharya Tripathi & Ors Vs LIC of India &Ors

wherein the Hon‘ble Supreme Court held that the Development Officers working in LIC are not workmen under

Section 2(s) of the Industrial Dispute Act.

4.

In view of the judgment rendered by the Hon‘ble Supreme Court, the claimant is not a workman, and

therefore, this Tribunal has no jurisdiction to decide the lis.

5.

ID is dismissed in for want of jurisdiction and the application filed u/s 2A by the Petitioner is answered

accordingly.

6.

The Petitioner / Claimant may file a petition before the competent authority, if so advised.

SUSHIL KUMAR-II, Presiding Officer

नई ददल्ली, 26 मई , 2026

का.आ. 1088.—औद्योजगक जववाद अजधजनयम, 1947 (1947 का 14) की धारा 17 के अनुसरण में, केन्रीय

सरकार सेंरल वेयरहाउहसग कॉृोरेिन के प्रबंधतंत्र के संबि जनयोजकों और भारतीय कामगार सेना के बीच अनुबंध में

जनर्ददष्ट केन्रीय सरकार औद्योजगक अजधकरण एवं श्रम न्यायालय-2, मुंबई, ृंचाट (ररफरेन्स न.- 34/2023) को जजसा दक

अनुलग्नक में ददखाया गया हज, प्रकाजित करती हज जो केन्रीय सरकार को सॉफ्ट कॉृी के साथ 26.05.2026 को प्राप्त हुआ

था l

[सं. जेड-16025/04/2026-आईआर(एम)-46]

सलोनी, उृ जनदेिक

New Delhi, the 26th May, 2026

S.O. 1088.—In pursuance of Section 17 of the Industrial Dispute Act, 1947 (14 of 1947), the Central

Government hereby publishes the award (Reference No. 34/2023) of the Central Government Industrial Tribunal

cum Labour Court-2, Mumbai as shown in the Annexure, in the Industrial dispute between the employers in

relation to Central Warehousing Corporation and Bhartiya Kamgar Sena which was received along with soft

copy of the award by the Central Government on 26.05.2026.

[No. Z-16025/04/2026-IR(M)-46]

SALONI, Dy. Director

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5087

ANNEXURE

BEFORE JUSTICE RETIRED SHIV SHANKER PRASAD

PRESIDING OFFICER/LINK OFFICER

THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL NO.2, MUMBAI

PRESENT

JUSTICE RETIRED SHIV SHANKER PRASAD

Presiding Officer/Link Officer

REFERENCE NO. CGIT-2/34 of 2023

EMPLOYERS IN RELATION TO THE MANAGEMENT

OF

Party No.1. Central Warehousing Corporation,

CFS Dronagiri,

Node Pagote,

Uran,

Raigad– 410 206,

State: Maharashtra.

AND

THEIR WORKMEN.

Party No.2 (Bhartiya Kamgar Sena)

Prafullaben Society,

R. K. Vaidya Road,

Dadar (W),

Mumbai,

Mumbai– 400 028,

State: Maharashtra.

APPEARANCES:

Management

:

Mr. Anand D. Gugale.

Advocate.

Workmen

: No appearance.

AWARD

(Delivered on 10-03-2026)

1.

This Reference has been made by the Central Government in exercise of powers under clause (d) of sub-

section (1) and sub-section (2A) of Section 10 of the Industrial Disputes Act, 1947, vide Government of India,

Ministry of Labour & Employment, New Delhi, order No. B.ALC(C)-II/8(90)/2019 B3 dated 01.10.2023. The terms

of reference given in the schedule are as follows:

“Whether the demand Bhartiya Kamgar Sena for permanent absorption of services of Shri

Moreshwar Nathuram Patil and 279 others by CWC at Dronagiri Node is fair, legal and justified?

If yes, what relief these workmen are entitled to?”

2.

Case called out today. Both parties are absent on repeated calls. From perusal of record, it is apparent that,

both parties are not responding and attending the Court since 19.01.2024 despite service of notices. No Statement of

Claim and Written Statements have been filed by the parties respectively till today. No other evidence has been filed

by the petitioner/union till today to prove his case. The petitioner/union is not coming to the court since long back. It

appears that, the petitioner/union is not interested to contest the case furthermore. The claim of the petitioner/union is

not proved. So, the case is closed.

Hence, it is ordered.

ORDER

The demand Bhartiya Kamgar Sena for permanent absorption of services of Shri Moreshwar Nathuram Patil

and 279 others by CWC at Dronagiri Node is not fair, not legal and not justified. These workmen are not

entitled to any relief.

Date: 10-03-2026

5088

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

Justice SHIV SHANKER PRASAD, Presiding Officer/Link Officer

नई ददल्ली, 26 मई , 2026

का.आ. 1089.—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 (a177/2001) izdkf”kr djrh gSA

[सं. एल-12012/29/2001-आईआर(बी-I)]

सलोनी, उृ जनदेिक

New Delhi, the 26th May, 2026

S.O. 1089.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 177/2001) 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-12012/29/2001- 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 27th day of April, 2026

INDUSTRIAL DISPUTE No. 177/2001

Between:

Sri G. Venkatesh,

C/o V. Venkata Ramana,

D.No.34/84, Mahaboob hash Street,

Ravachoty,

Cuddapah – 516001.

… 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 Y. Ranjeeth Reddy, Advocate

AWARD

The Government of India, Ministry of Labour by its order No. L-12012/29/2001-IR(B.I) dated 10.8.2001

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, Tirupati, Rayachoty Main branch in

terminating the services of Sri G. Venkatesh, Messenger, is justified? If not, what relief the workman is

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5089

entitled?‖

After receipt of the reference, it was numbered as ID No. 177/2001 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. 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 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 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.”

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 31.12.1996, 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

5090

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5091

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

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.

5092

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5093

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

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

5094

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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 W5. Further, the Workman has filed photocopies of documents in support of

his claim which are discussed as under:-

Ex.W1 is the memo of marks of X class. Ex.W2 is the transfer certificate. Ex.W3 is the service certificate cum

introduction letter. Ex.W4 is the service certificate. Ex.W5 is the panel list.

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, Rayachoti branch in terminating the services of

Workman Sri G. Venkatesh, 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 राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5095

(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

5096

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[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 राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

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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."

5098

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[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 the regular selection process before my

engagement as temporary messenger in the branch..”

“I did not work for 240 days in any year in my entire service in the bank 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.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5099

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

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

5100

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5101

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 1989…. 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 the 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 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

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;

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

(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

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:-

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5103

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

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,

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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.

AWARD

In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the

services of Sri G. Venkatesh, 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 27th day of April, 2026.

IRFAN QAMAR, Presiding Officer

Appendix of evidence

Witnesses examined for the

Witnesses examined for the

Petitioner

Respondent

WW1: Sri G. Venkatesh

MW1: Sri K. Bala Kotaiah

Documents marked for the Petitioner

Ex.W1: Photocopy of memo of marks

Ex.W2: Photocopy of transfer certificate

Ex.W3: Photocopy of service certificate

Ex.W4: Photocopy of Service certificate

Ex.W5: Photocopy of Panel list

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5105

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, 26 मई , 2026

का.आ. 1090.—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 (178/2001) izdkf”kr djrh gSA

[सं. एल-12012/40/2001-आईआर(बी-I)]

सलोनी, उृ जनदेिक

New Delhi, the 26th May, 2026

S.O. 1090.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 178/2001) 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-12012/40/2001- 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 27th day of April, 2026

INDUSTRIAL DISPUTE No. 178/2001

Between:

Sri J. Arun Kumar,

S/o Yellaiah,

H.No.11-24-584,

Post: Pochamma Maidan,

Warangal – 506367.

… Petitioner

And

The Asst. / Chief General Manager,

(Personnel & HRD))

State Bank of India,

Local Head Office, Bank Street,

Hyderabad-500 095.

…..Respondent

Appearances:

For the Petitioner :

Sri Macherla Rangaiah, Advocate

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

For the Respondent: Sri Y. Ranjeeth Reddy, Advocate

AWARD

The Government of India, Ministry of Labour by its order No. L-12012/40/2001-IR(B.I) dated 10.8.2001

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, Local Head Office, Hyderabad in

terminating the services of Sri J. Arun Kumar, S/o Yellaiah, Temporary Messenger, S8BI, Battala Bazar

branch Warangal Dist. (A.P.) 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. 178/2001 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. 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 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 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.”

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.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5107

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 1986 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‖.

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

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5109

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

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

5110

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5111

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 W14. Further, the Workman has filed photocopies of documents in support

of his claim which are discussed as under:-

Ex.W1 is the caste certificate. Further Ex.W2 is the transfer certificate. Ex.W3 is the service certificate. Ex.W4 is

the service certificate. Ex.W5 is the letter from Respondent for submission of documents. Ex.W6 is the panel list.

Ex.W7 is the service certificate. Ex.W8 is the service certificate. Ex.W9 to Ex.W12 are the service certificates.

Ex.W13 is the notice for conciliation. Ex.W14 is the failure report.

21.

On the other hand, Respondent has examined witness MW1 Sri Aluru Rama Rao / 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?

5112

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

II.

Whether the action of State Bank of India, Battala bazar branch in terminating the services of

Workman Sri J. Arun Kumar, 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

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.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5113

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

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.”

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[PART II—SEC. 3(ii)]

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

(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:

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5115

"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,

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 the regular selection process required for

appointment as a temporary attender..”

“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

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[PART II—SEC. 3(ii)]

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.

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5117

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

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

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[PART II—SEC. 3(ii)]

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, “The panel was prepared depending upon the number of days of service put in

by the temporary employees . Some of the employees were given regular appointment as per settlements in order of

their seniority…. Further witness states, I am not having any document 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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5119

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

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

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5121

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.

AWARD

In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the

services of Sri J. Arun Kumar, 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 27th day of April, 2026.

IRFAN QAMAR, Presiding Officer

Appendix of evidence

Witnesses examined for the

Witnesses examined for the

Petitioner

Respondent

WW1: Sri J. Arun Kumar

MW1: Sri Aluru Rama Rao

Documents marked for the Petitioner

Ex.W1: Photocopy of caste certificate

Ex.W2: Photocopy of transfer certificate

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

Ex.W3: Photocopy of Service certificate

Ex.W4: Photocopy of Service certificate

Ex.W5: Photocopy of letter from Respondent for submission of documents

Ex.W6: Photocopy of Panel list

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

Ex.W13: Photocopy of notice for conciliation

Ex.W14: Photocopy of is the failure report

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, 26 मई , 2026

का.आ. 1091.—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 (173/2001) izdkf”kr djrh gSA

[सं. एल-12012/23/2001-आईआर(बी-I)]

सलोनी, उृ जनदेिक

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5123

New Delhi, the 26th May, 2026

S.O. 1091.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 173/2001) 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-12012/23/2001- 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 27th day of April, 2026

INDUSTRIAL DISPUTE No. 173/2001

Between:

Sri T. Venkata Subbaiah,

Pragati Nagar, Nandyal Road,

Mydukur,

Distt. Cuddapah – 516 001.

… Petitioner

And

The Dy. General Manager,

State Bank of India,

Zonal Office,

Renigunta Road,

Tirupathi 517 501.

…..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-12012/23/2001-IR(B.I) dated 1.8.2001

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, Proddutur ADB branch in terminating the

services of Sri T. Venkata Subbaiah, Messenger, is justified? If not, what relief the workman is entitled?‖

After receipt of the reference, it was numbered as ID No. 173/2001 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

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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. 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 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 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.”

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 1988 to 1997, 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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5125

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

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:

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

"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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5127

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,

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.

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

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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 notification. Further Ex.W2 is the interview call letter. Ex.W3 is the panel list.

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, branch in terminating the services of Workman Sri T.

Venkata Subbaiah, 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

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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:-

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

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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—

(a) the Workman has been given one month' s notice in writing indicating the reasons for retrenchment and the period

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[PART II—SEC. 3(ii)]

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"

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5133

“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 the regular process of selection before my

appointment in the bank..”

“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 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

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5135

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 an advertisement issued by the bank in terms of settlement. …. Further, witness states, my

name was included in the panel. Some of the persons whose names were included in the panel were given regular

employment in the bank in order of their seniority of number of days…. Further witness states, I am not having any

papers to show that any of my juniors who worked less number of days was given 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

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5137

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

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

5138

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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.

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5139

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.

AWARD

In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the

services of Sri T. Venkata Subbaiah, 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 27th day of April, 2026.

IRFAN QAMAR, Presiding Officer

Appendix of evidence

Witnesses examined for the

Witnesses examined for the

Petitioner

Respondent

WW1: Sri T. Venkata Subbaiah

MW1: Sri K. Bala Kotaiah

Documents marked for the Petitioner

Ex.W1: Photocopy of service certificate

Ex.W2: Photocopy of News paper advertisement/ notification

Ex.W3: Photocopy of Panel list

Ex.W4: Photocopy of absorption letter

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 lr. to employment exchange

Ex.W11:Photocopy of audit report

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

5140

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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, 26 मई, 2026

का.आ. 1092.—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 (a167/2001) izdkf”kr djrh gSA

[सं. एल-12012/17/2001-आईआर(बी-I)]

सलोनी, उृ जनदेिक

New Delhi, the 26th May, 2026

S.O. 1092.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 167/2001) 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-12012/17/2001- 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 27th day of April, 2026

INDUSTRIAL DISPUTE No. 167/2001

Between:

Sri B. Srinivas,

S/o B. Venkataram,

Ramannagudem, Dhansingh Thanda,

Mangimadugu (P.O.),

Narasimlapet (M).

Warangal Distt..-506324.

… Petitioner

And

The Asst. General Manager,

(Personnel & HRD))

State Bank of India,

Local Head Office, Bank Street,

Hyderabad-500 095.

…..Respondent

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5141

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-12012/17/2001-IR(B.I) dated 16.8.2001

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, Local Head Office, Hyderabad in

terminating the services of Sri B. Srinivas, S/o B. Venktaram, Non-Messenger, SBI, Narsimlapet, Warangal

Dist.(A.P.) w.e.f. 31.3.1997 is justified or not? If not, what relief the applicant is entitled?‖

After receipt of the reference, it was numbered as ID No. 167/2001 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. 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 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 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.”

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

5142

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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 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.

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5143

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/ 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

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[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 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

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 राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5145

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

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

5146

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[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 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 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 panel list. Ex.W4 is the letter of

absorption. Ex.W5 to Ex.W9 are the service certificates. Ex.W10 is the letter to employment exchange. Ex.W11 is

the audit report.

21.

On the other hand, Respondent has examined witness MW1 Sri Aluru Rama Rao / 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, Narasimulapet branch in terminating the services of

Workman Sri B. Srinivas, a Messenger with effect from 31.3.1997 is justified?

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5147

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

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

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[PART II—SEC. 3(ii)]

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

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

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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

(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)

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[PART II—SEC. 3(ii)]

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,

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 the regular process of selection before my

engagement as a temporary non-messenger 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

[भाग II—खण् ड 3(ii)]

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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.

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

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

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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 temporary Non-Messenger, in response to the advertisement issued by the bank in

terms of the settlements entered into 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 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

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[PART II—SEC. 3(ii)]

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

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.”

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5155

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

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

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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.

AWARD

In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the

services of Sri B. Srinivas, 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.

Typed to my dictation by Smt. K. Phani Gowri, Personal Assistant, transcribed by her, corrected and signed

by me on this the 27th day of April, 2026.

IRFAN QAMAR, Presiding Officer

Appendix of evidence

Witnesses examined for the

Witnesses examined for the

Petitioner

Respondent

WW1: Sri B. Srinivas

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 Panel list

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5157

Ex.W4: Photocopy of absorption letter

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 lr. to employment exchange

Ex.W11:Photocopy of audit report

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, 26 मई , 2026

का.आ. 1093.—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 (a166/2001) izdkf”kr djrh gSA

[सं. एल-12012/16/2001-आईआर(बी-I)]

सलोनी, उृ जनदेिक

New Delhi, the 26th May, 2026

S.O. 1093.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 166/2001) 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-12012/16/2001- IR(B-I)]

SALONI, Dy. Director

ANNEXURE

IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT

HYDERABAD

5158

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

Present: Sri IRFAN QAMAR

Presiding Officer

Dated the 24th day of April, 2026

INDUSTRIAL DISPUTE No. 166 /2001

Between:

Sri Gadamalla Lingaiah,

S/o Laxmaiah,

H.No.1/92, R/o Velair,

Kaminipeta, Warangal-506142.

… Petitioner

And

The Asst. / Chief General Manager,

(Personnel & HRD))

State Bank of India,

Local Head Office, Bank Street,

Hyderabad-500 095.

…..Respondent

Appearances:

For the Petitioner :

Sri Macherla Rangaiah, Advocate

For the Respondent:

Sri K. Rathang Phani Reddy, Advocate

AWARD

The Government of India, Ministry of Labour by its order No. L-12012/16/2001-IR(B.I) dated 16.8.2001

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, Local Head Office, Hyderabad in

terminating the services of Sri Gadamalla Lingaiah, S/o Laxmaiah, Non-Messenger, Velair Branch,

Warangal Dist., (A.P.)., w.e.f. 31.3.1997 is justified or not? If not, what relief the applicant is entitled

for?‖

After receipt of the reference, it was numbered as ID No. 166 /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,

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5159

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 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 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.”

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 1988 to 1997, 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

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5161

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

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

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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

which has been exhibited as Ex.W1 to W7. Further, the Workman has filed photocopies of documents in support of

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[PART II—SEC. 3(ii)]

his claim which are discussed as under:-

Ex.W1 is the birth certificate. Further Ex.W2 is the SSC marks memo. Ex.W3 is the residential certificate. Ex.W4

is the caste certificate. Ex.W5 is the interview call letter. Ex.W6 is the absorption letter. Ex.W7 is the service

certificate.

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, Velair branch in terminating the services of Workman

Sri Gadamalla Lingaiah, 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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5165

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

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[PART II—SEC. 3(ii)]

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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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

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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 the regular process of selection before my

engagement as a temporary Non-messenger in the branch..”

“ It is true that I did not work for 240 days in any year in my entire service in a single 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

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

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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

that in terms of the settlement dated 30.7.1996 both the panels of temporary employees and daily wagers /casual

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[PART II—SEC. 3(ii)]

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 for appointment as Non-Messenger, in response to the advertisement issued by the bank in the year

1989…. 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 the 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 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

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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

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[PART II—SEC. 3(ii)]

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

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.”

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5173

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.

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

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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.

AWARD

In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the

services of Sri Gadamalla Lingaiah, 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 24th day of April, 2026.

IRFAN QAMAR, Presiding Officer

Appendix of evidence

Witnesses examined for the

Witnesses examined for the

Petitioner

Respondent

WW1: Sri Gadamalla Lingaiah

MW1: Sri Aluru Rama Rao

Documents marked for the Petitioner

Ex.W1: Photocopy of birth certificate

Ex.W2: Photocopy of SSC marks memo

Ex.W3: Photocopy of residential certificate

Ex.W4: Photocopy of caste certificate

Ex.W5: Photocopy of interview call letter

Ex.W6: Photocopy of absorption letter

Ex.W7: Photocopy of is the 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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5175

नई ददल्ली, 27 मई, 2026

का.आ. 1094.—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 (a74/2001) izdkf”kr djrh gSA

[सं. एल-12012/518/2000-आईआर(बी-I)]

सलोनी, उृ जनदेिक

New Delhi, the 27th May, 2026

S.O. 1094.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 74/2001) 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-12012/518/2000- 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 22nd day of April, 2026

INDUSTRIAL DISPUTE No. 74/2001

Between:

Sri P. Seshagiri Rao,

H.No. 12-11-728,

Warasiguda,

Secunderabad- 500 003.

… Petitioner

And

The Asst. / Chief General Manager,

(Personnel & HRD))

State Bank of India,

Local Head Office, Bank Street,

Hyderabad-500 095.

…..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-12012/518/2000-IR(B.I) dated 13.6.2001

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, Local Head office, Hyderabad in

terminating the services of Sri P. Seshagiri Rao, Temporary/Non-Messenger, SBI, w.e.f. 31.3.1997 is

justified? If not, what relief the applicant is entitled?‖

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

After receipt of the reference, it was numbered as ID No. 74/2001 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

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 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.”

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 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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5177

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

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5179

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

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

5180

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5181

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 transfer certificate. Further Ex.W2 is the service certificate. Ex.W3 is the application of Petitioner.

Ex.W4 is the interview call letter. Ex.W5 is the service certificate. Ex.W6 is the service certificate.

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, Secunderabad main branch in terminating the services of

Workman Sri P. Seshagiri Rao, 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.

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5183

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

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.

5184

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

Court and the High Court erred in basing an order of reinstatement solely on an adverse inference drawn

erroneously ..‖

[भाग II—खण् ड 3(ii)]

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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. I did not undergo the regular process required for appointment

as a temporary attendar..”

“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

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

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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

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

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[PART II—SEC. 3(ii)]

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, The panel was prepared basing on the number of days of service put in by the

temporary employees . Some of the employees were given regular appointment as per the settlements in order of their

seniority…. Further witness states, I am not having any document 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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

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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

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

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5191

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.

AWARD

In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the

services of Sri P. Seshagiri Rao, 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 22nd day of April, 2026.

IRFAN QAMAR, Presiding Officer

Appendix of evidence

Witnesses examined for the

Witnesses examined for the

Petitioner

Respondent

WW1: Sri P. Seshagiri Rao

MW1: Sri Aluru Rama Rao

Documents marked for the Petitioner

Ex.W1: Photocopy of transfer certificate

Ex.W2: Photocopy of service certificate

Ex.W3: Photocopy of application made by Petitioner

Ex.W4: Photocopy of interview call letter

Ex.W5: Photocopy of Service certificate

Ex.W6: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

5192

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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, 27 मई , 2026

का.आ. 1095.—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 (a20/2001) izdkf”kr djrh gSA

[सं. एल-12012/323/2000-आईआर(बी-I)]

सलोनी, उृ जनदेिक

New Delhi, the 27th May, 2026

S.O. 1095.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 20/2001) 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-12012/323/2000- 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 20th day of April, 2026

INDUSTRIAL DISPUTE No. 20/2001

Between:

Sri T. Shanthi Kumar,

C/o B. Prabhakar,

H.No. 12-1-1230,

Shanthinagarnuth,

Lalaguda,

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5193

Secunderabad.

… Petitioner

And

The Asst.. General Manager,

(Personnel & HDR Deptt.

State Bank of India,

Local Head Office,

Hyderabad.

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-12012/323/2000-IR(B.I) dated 19.04.2001

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, Local Head Office Hyderabad in terminating

the services of Sri T. Shanthi Kumar, 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. 20/2001 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 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

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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 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.”

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 517 days. 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, 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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5195

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 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

5196

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

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5197

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

thereon.

17.

Respondent contended that, in fact, the case of the Workman can be considered under all the five settlements

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[PART II—SEC. 3(ii)]

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 W13. Further, the Workman has filed photocopies of documents in support

of his claim which are discussed as under:-

Ex.W1 is the service certificate dated 8.8.1988. Further Ex.W2 is the transfer Certificate. Ex.W3 is the caste

Certificate. Ex.W4 is the residential Certificate. Ex.W5 is the letter dated 8.07.1992. Ex.W6 is the panel list. Ex.

W7 is the service certificate 30.7.1992. Ex.W8 is the Certificate issued by ECIL Branch of the Respondent Bank

dt.3.6.94. Ex.W9 is the service Certificate. Ex. W10 service certificate. Ex.W11 is the service certificate dt.

19.3.97. Ex.W12 is the requisition to employment exchange. Ex.W13 is the audit report/circular dt.2.5.97

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.

[भाग II—खण् ड 3(ii)]

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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 T. Shanthi Kumar, 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

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[PART II—SEC. 3(ii)]

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.

Unless it can be demonstrated that the objectionable portion is such that it completely outweighs all the other

[भाग II—खण् ड 3(ii)]

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5201

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--

(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--

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[PART II—SEC. 3(ii)]

(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

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.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5203

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.

Although the petitioner has also examined WW2 Sri K.R. Ramachandran Pillai to corroborate his claim,

but this witness in his cross examination has stated that he cannot say on what date he worked along with the

petitioner in the bank and during which month they have worked together in the branch. Further, witness added that

he is not having any proof to show that he along with the petitioner was terminated from service. Further, witness

added that he had no proof to show that any of their juniors are working and there are any vacancies in the bank.

Thus, from the statement of WW2, the claim of the petitioner is not corroborated in material.

32.

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.

33.

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.

34.

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.

35.

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

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[PART II—SEC. 3(ii)]

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.

36.

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.

37.

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.

38.

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5205

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.

39.

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.

40.

In this context the Workman witness WW1 was cross examined by the Respondent counsel and in the cross

examination the witness WW1 states:-

“I did not make any application pursuant to any employment notification. It is true that messenger vacancies filled

up on regular basis with temporary messengers who were empanelled in order of their seniority. I am not having the

details of any candidates who were even permanent absorption and who had worked for less number of days

than me.”

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.

41.

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

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[PART II—SEC. 3(ii)]

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.

42.

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.

43.

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.

44.

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.

45.

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5207

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.

46.

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.

47.

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

5208

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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.

48.

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.

49.

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.

AWARD

In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5209

services of Sri T. Shanthi Kumar, 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 20th day of April, 2026.

IRFAN QAMAR,, Presiding Officer

Appendix of evidence

Witnesses examined for the

Witnesses examined for the

Petitioner

Respondent

WW1: Sri T. Shanthi Kumar

MW1: Sri Aluru Rama Rao

WW2: Sri K. R. Ramachandran Pillai

Documents marked for the Petitioner

Ex.W1:

Photocopy of service certificate dated 8.8.1988

Ex.W2:

Photocopy of the transfer Certificate

Ex.W3:

Photocopy of the caste Certificate

Ex.W4:

Photocopy of the nativity Certificate

Ex.W5:

Photocopy of letter dated 8.07.1992.

Ex.W6:

Photocopy of the panel list

Ex.W7:

Photocopy of service certificate 30.7.1992

Ex.W8:

Photocopy of Certificate issued by ECIL Branch of the Respondent Bank dt.3.6.94

Ex.W9:

Photocopy of the service Certificate

Ex.W10:

Photocopy of service certificate

Ex.W11:

Photocopy of the service certificate dt. 19.3.97

Ex.W12:

Photocopy of the requisition to employment exchange

Ex.W13:

Photocopy of the audit report/circular dt.2.5.97

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

5210

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

Ex.M12:

Photocopy of order in SLP No.11886-11888 of 1998 dated 10.8.98

नई ददल्ली, 27 मई , 2026

का.आ. 1096.—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 deZdkjaks ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh;

ljdkj औद्योजगक vf/kdj.k@Je U;k;ky;

ds iapkV (a104/2001) izdkf”kr djrh gSA

[सं. एल-12012/459/2000-आईआर(बी-I)]

सलोनी, उृ जनदेिक

New Delhi, the 27th May, 2026

S.O. 1096.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref.104/2001) 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-12012/459/2000- 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 23rd day of April, 2026

INDUSTRIAL DISPUTE No. 104/2001

Between:

Sri K. Subbanarasaiah,

Morammeedhapalli,

Guntur (V & P),

Rajampet,

Distt. Cuddapah – 516001.

… Petitioner

And

The Dy. General Manager,

State Bank of India,

Zonal Office,

Renigunta Road,

Tirupathi-517 501.

…..Respondent

Appearances:

For the Petitioner :

Sri Macherla Rangaiah, Advocate

For the Respondent:

Sri Y. Ranjeeth Reddy, Advocate

AWARD

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5211

The Government of India, Ministry of Labour by its order No. L-12012/459/2000-IR(B.I) dated

27.6.2001/23.7.2001 referred the following dispute under section 10(1)(d) of the I.D. Act, 1947 requiring this forum

to decide the question:

SCHEDULE

―Is the State Bank of India, Nandalaur branch justified in terminating Sri K. Subbanarasaiah, 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. 104/2001 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. 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 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 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.”

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 1988 to 1997, and has rendered

unblemished service spreading over a period of about 8 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

5212

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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 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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5213

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/ 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

5214

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5215

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

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

5216

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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 service certificate. Further Ex.W2 is the notification. Ex.W3 is the service certificate. Ex.W4 is the

service certificate. Ex.W5 is the service certificate. Ex.W6 is the letter to employment exchange. Ex.W7 is the

audit report dt. 14.7.99.

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, Nanadalur branch in terminating the services of

Workman Sri K. Subbanarasaiah, 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:-

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5217

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

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

5218

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5219

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

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."

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[PART II—SEC. 3(ii)]

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 was not sponsored by any employment exchange. I did not undergo the regular selection process required for

appointment as a temporary attendar..”

“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.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5221

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 राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5223

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, “The panel was prepared depending upon the number of days of service put in

by the temporary employees . Some of the employees were given regular appointment as per settlements in order of

their seniority…. Further witness states, I am not having any document 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;

5224

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[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 राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5225

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.

5226

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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.

AWARD

In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the

services of Sri K. Subbanarasaiah, 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 23rd day of Ap

IRFAN QAMAR,, Presiding Officer

Witnesses examined for the

Witnesses examined for the

Petitioner

Respondent

WW1: Sri K. Subbanarasaiah

MW1: Sri K. Bala Kotaiah

Documents marked for the Petitioner

Ex.W1:

Photocopy of service certificate

Ex.W2:

Photocopy of News paper advertisement/ notification

Ex.W3:

Photocopy of service certificate

Ex.W4:

Photocopy of service certificate

Ex.W5:

Photocopy of Service certificate

Ex.W6:

Photocopy of lr. to employment exchange

Ex.W7:

Photocopy of audit report 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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5227

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, 27 मई , 2026

का.आ. 1097.—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 (a76/2001) izdkf”kr djrh gSA

[सं. एल-12012/520/2000-आईआर(बी-I)]

सलोनी, उृ जनदेिक

New Delhi, the 27th May, 2026

S.O. 1097.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 76/2001) 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-12012/520/2000- 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 23rd day of April, 2026

INDUSTRIAL DISPUTE No. 76/2001

Between:

Sri R.S. Srinivas,

Raptadu (Mandal & Post),

Raptadu, Dist. Anantapur.

… Petitioner

And

The Asst. General Manager,

(Personnel & HRD))

State Bank of India,

5228

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

Local Head Office, Bank Street,

Hyderabad-500 095.

…..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-12012/520/2000-IR(B.I) dated 20.6.2000

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, Local Head Office, Hyderabad in

terminating the services of Sri R.S. Srinivas, 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. 76/2001 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

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:

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5229

(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 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.

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

5230

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5231

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

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.

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5233

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 W11. 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 certificate. Ex.W4 is the

service certificate. Ex.W5 is the service certificate. Ex.W6 is the service certificate. Ex.W7 is the service

certificate. Ex.W8 is the service certificate. Ex.W9 is the service certificate. Ex.W10 is the letter to employment

exchange. Ex.W11 is the audit report dt.14.7.99

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.

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[PART II—SEC. 3(ii)]

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, Main branch, Secunderabad in terminating the services

of Workman Sri R.S. Srinivas, 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

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

[भाग II—खण् ड 3(ii)]

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5235

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

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

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[PART II—SEC. 3(ii)]

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

(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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5237

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,

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,

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“I was not sponsored by any employment exchange. I did not undergo the regular selection process required for

appointment as a temporary employees..”

“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

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

[भाग II—खण् ड 3(ii)]

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5239

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

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

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[PART II—SEC. 3(ii)]

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, the panel was prepared basing on the number of days of service put in by the

temporary employees. Some of the employees were given regular appointment as per the settlements in order of their

seniority…. Further witness states, “I am not having any document 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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5241

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

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

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5243

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.

AWARD

In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the

services of Sri R.S. Srinivas, 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 23rd day of April, 2026.

IRFAN QAMAR, Presiding Officer

Appendix of evidence

Witnesses examined for the

Witnesses examined for the

5244

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

Petitioner

Respondent

WW1: Sri R.S. Srinivas

MW1: Sri Aluru Rama Rao

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 the service certificate

Ex.W8:

Photocopy of the service certificate

Ex.W9:

Photocopy of the service certificate

Ex.W10:

Photocopy of the letter to employment exchange

Ex.W11:

Photocopy of the audit report 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

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, 27 मई , 2026

का.आ. 1098.—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 (a162/2001) izdkf”kr djrh gSA

[सं. एल-12012/12/2001-आईआर(बी-I)]

सलोनी, उृ जनदेिक

New Delhi, the 27th May, 2026

S.O. 1098.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref.v 162/2001) 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-12012/12/2001- 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 24th day of April, 2026

INDUSTRIAL DISPUTE No. 162/2001

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5245

Between:

Sri Madipally Levi,

S/o M. Ishac,

H.No.11-4-273, Christian

Colony, Warangal – 506013.

… Petitioner

And

The Asst. / Chief General Manager,

(Personnel & HRD))

State Bank of India,

Local Head Office, Bank Street,

Hyderabad-500 095.

…..Respondent

Appearances:

For the Petitioner :

Sri Macherla Rangaiah, Advocate

For the Respondent:

Sri K. Rathang Phani Reddy, Advocate

AWARD

The Government of India, Ministry of Labour by its order No. L-12012/12/2001-IR(B.I) dated 16.8.2001

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, Local Head Office, Hyderabad in

terminating the services of Sri Madipally Levi, S/o M. Ishac, Non-Messenger, Enumamula branch,

Hanamkonda, Warangal Dist (A.P.), 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. 162/2001 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. 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 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

5246

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

dated 17.05.2005 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.”

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 1989 to 1993, and has rendered

unblemished service spreading over a period of about 5 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 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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5247

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

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".

5248

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

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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

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

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[PART II—SEC. 3(ii)]

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 service certificate. Ex.W3 is the absorption letter. Ex.W4 is the

service certificate. Ex.W5 is the service certificate. Ex.W6 is the letter to employment exchange. Ex.W7 is the

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.

[भाग II—खण् ड 3(ii)]

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5251

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, Enumamula branch in terminating the services of

Workman Sri Madipally Levi, 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

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

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

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5253

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

(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

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[PART II—SEC. 3(ii)]

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,

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,

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“I was not sponsored by any employment exchange for engagement as a temporary non-messenger. I did not

undergo the selection process before my engagement as a temporary non-messenger..”

“I did not work for 240 days in any year in my entire 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

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

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

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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 settlement entered into by the union with the

bank…. Further, witness states, it is true that the vacancies were filled up following the order of their seniority in the

panel …. Further witness states, I am not having any document to show that any person having less no.of days of

service 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

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[PART II—SEC. 3(ii)]

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

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:-

[भाग II—खण् ड 3(ii)]

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“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

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

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[PART II—SEC. 3(ii)]

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.

AWARD

In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the

services of Sri Madipally Levi, 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 24th day of April, 2026.

IRFAN QAMAR, Presiding Officer

Appendix of evidence

Witnesses examined for the

Witnesses examined for the

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5261

Petitioner

Respondent

WW1: Sri Madipally Levi

MW1: Sri Aluru Rama Rao

Documents marked for the Petitioner

Ex.W1:

Photocopy of News paper advertisement/ notification

Ex.W2:

Photocopy of service certificate

Ex.W3:

Photocopy of absorption letter

Ex.W4:

Photocopy of service certificate

Ex.W5:

Photocopy of Service certificate

Ex.W6:

Photocopy of letter to employment exchange

Ex.W7:

Photocopy of is the 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, 27 मई , 2026

का.आ. 1099.—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 (a152/2001) izdkf”kr djrh gSA

[सं. एल-12012/415/2000-आईआर(बी-I)]

सलोनी, उृ जनदेिक

New Delhi, the 27th May, 2026

S.O. 1099.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 152/2001) 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-12012/415/2000- IR(B-I)]

SALONI, Dy. Director

ANNEXURE

5262

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT

HYDERABAD

Present: Sri IRFAN QAMAR

Presiding Officer

Dated the 24th day of April, 2026

INDUSTRIAL DISPUTE No. 152/2001

Between:

Sri B. Bhaskar,

P. Bommepalli,

Post & Vill: Jammalamadugu,

Distt. Cuddapah-516434.

… 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 Y. Ranjeeth Reddy, Advocate

AWARD

The Government of India, Ministry of Labour by its order No. L-12012/415/2000-IR(B.I) dated 22.5.2001

referred the following dispute under section 10(1)(d) of the I.D. Act, 1947 requiring this forum to decide the

question:

SCHEDULE

―Whether action of the management of State Bank of India, Kamalapuram branch justified in terminating

the services of Sri B. Bhaskar, 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. 152/2001 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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5263

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 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 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.”

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 1986 to 1996, 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 18.12.96. 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

5264

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5265

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 same was not followed in the year 1997 despite there being vacancies.The management

5266

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

arrived between the Federation and the bank. It was agreed that it would be kept alive upto March, 1997. A copy of

[भाग II—खण् ड 3(ii)]

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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

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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 transfer certificate. Further Ex.W2 is the memo of marks. Ex.W3 is the caste certificate. Ex.W4 is the

service certificate. Ex.W5 is the interview call letter. service certificate. Ex.W6 is the panel list. Ex.W7 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, Kamalapuram branch in terminating the services of

Workman Sri B. Bhaskar, 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.

[भाग II—खण् ड 3(ii)]

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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

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[PART II—SEC. 3(ii)]

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

(c) notice in the prescribed manner is served on the appropriate Government or such authority as may be specified

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5271

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:

"These changes brought about by Act 36 of 1964 appear to be clearly designed to provide that a Workman who has

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[PART II—SEC. 3(ii)]

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 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.”

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

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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

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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 for appointment as temporary Messenger, in response to the advertisement issued by the bank in the year

1992…. 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 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

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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

create permanent or sanctioned post lies outside the judicial domain and where no posts are available, a direction to

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[PART II—SEC. 3(ii)]

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

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

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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.

48.

Point No.IV:- In view of the discussion and finding given at Point Nos. I, II and III, the Workman is not

5278

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

entitled for any relief and claim statement of Workman sans merit and liable to be dismissed.

This Point is answered accordingly.

AWARD

In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the

services of Sri B. Bhaskar, 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 24th day of April, 2026.

IRFAN QAMAR, Presiding Officer

Appendix of evidence

Witnesses examined for the

Witnesses examined for the

Petitioner

Respondent

WW1: Sri B. Bhaskar

MW1: Sri K. Bala Kotaiah

Documents marked for the Petitioner

Ex.W1:

Photocopy of transfer certificate

Ex.W2:

Photocopy of memo of marks

Ex.W3:

Photocopy of caste certificate

Ex.W4:

Photocopy of service certificate

Ex.W5:

Photocopy of interview call letter

Ex.W6:

Photocopy of Panel list

Ex.W7:

Photocopy of the 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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5279

Ex.M12:

Photocopy of order in SLP No.11886-11888 of 1998 dated 10.8.98

नई ददल्ली, 27 मई , 2026

का.आ. 1100.—औद्योजगक fookn vf/kfu;e 1947 (a1947 dk 14) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj

ds izca/kr=] lac) fu;kstdksq vkSj muds deZdkjks ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh;

ljdkj औद्योजगक vf/kdj.k@Je U;k;ky;

ds iapkV (a111/2001) izdkf”kr djrh gSA

[[[[सं. एल-12012/473/2000-आईआर(बी-I)]

सलोनी, उृ जनदेिक

New Delhi, the 27th May, 2026

S.O. 1100.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 111/2001) 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-12012/473/2000- 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 23rd day of April, 2026

INDUSTRIAL DISPUTE No. 111/2001

Between:

Sri C. Subbarayudu,

1/213, Giddinr Street,

Kamalapuram

Distt. Cuddapah – 516001.

… 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 Y. Ranjeeth Reddy, Advocate

AWARD

The Government of India, Ministry of Labour by its order No. L-12012/473/2000-IR(B.I) dated 17.7.2001

5280

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

referred the following dispute under section 10(1)(d) of the I.D. Act, 1947 requiring this forum to decide the question:

SCHEDULE

― Is the State Bank of India, Kamalapuram branch justified in terminating the services of Sri C.

Subbarayudu, 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. 111/2001 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. 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 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 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.”

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.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5281

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 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.

5282

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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/ 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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5283

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

by entering into a settlement with the representative union. In respect of temporary employees who had put in less

5284

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

permanent basis against a full time cadre post. The claim put forth by the Workman in the present petition is therefore

[भाग II—खण् ड 3(ii)]

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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 transfer certificate. Ex.W2 is the memo of marks. Ex.W3 is the service certificate. Ex.W4 is the

service certificate. Ex.W5 is interview call letter. Ex.W6 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, Kamalapuram branch in terminating the services of

Workman Sri C. Subbarayudu, 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.

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

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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

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.

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[PART II—SEC. 3(ii)]

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

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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. I 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 a single 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

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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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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

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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 temporary -Messenger, in response to the advertisement issued by the bank in the year

1989…. 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 the 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 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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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

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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

understanding was reached between the SBI and SBI Staff Federation providing that both the panels above mentioned

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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.

AWARD

In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the

services of Sri C. Subbarayudu, 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 23rd day of April, 2026.

IRFAN QAMAR, Presiding Officer

Appendix of evidence

Witnesses examined for the

Witnesses examined for the

Petitioner

Respondent

WW1: Sri C. Subbarayudu

MW1: Sri K. Bala Kotaiah

Documents marked for the Petitioner

Ex.W1:

Photocopy of transfer certificate

Ex.W2:

Photocopy of memo of marks

Ex.W3:

Photocopy of Service certificate

Ex.W4:

Photocopy of service certificate

Ex.W5:

Photocopy of interview call letter

Ex.W6:

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

5296

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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, 27 मई , 2026

का.आ. 1101.—औद्योगिक fookn vf/kfu;e 1947 (a1947 dk 14 ) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj

ds izca/kr=] lac) fu;kstdks vkSj muds deZdkjks ds chp vuqca/k esa fufnZ’V औद्योगिक fookn esa dsUnzh; ljdkj

औद्योगिक vf/kdj.k@Je U;k;ky;

ds iapkV (a163/2001) izdkf”kr djrh gSA

[सं. एल-12012/13/2000-आईआर(बी-I)]

सलोनी, उृ जनदेिक

New Delhi, the 27th May, 2026

S.O. 1101.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 163/2001) 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-12012/13/2000- 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 24th day of April, 2026

INDUSTRIAL DISPUTE No. 163/2001

Between:

Sri Koduri Karunakar,

S/o Pochaiah,

P.O. & Vill: Velair

(M) Dharmasagar (Via)

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5297

Madikonda,

Warangal Distt. – 506142.

… Petitioner

And

The Asst. / Chief General Manager,

(Personnel & HRD))

State Bank of India,

Local Head Office, Bank Street,

Hyderabad-500 095.

Respondent

Appearances:

For the Petitioner :

Sri Macherla Rangaiah, Advocate

For the Respondent:

Sri K. Rathang Phani Reddy, Advocate

AWARD

The Government of India, Ministry of Labour by its order No. L-12012/13/2000-IR(B.I) dated 16.8.2001

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, Local Head Office, Hyderabad in

terminating the services of Sri Koduri Karunakar, S/o Pochaiah, Non-Messenger, SBI, Velair branch,

Warangal dist. 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. 163/2001 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. 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 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

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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 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.”

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 1978 to 1997, and has rendered

unblemished service spreading over a period of about 19 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 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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5299

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

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

5300

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5301

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

thereon.

17.

Respondent contended that, in fact, the case of the Workman can be considered under all the five settlements

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[PART II—SEC. 3(ii)]

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 caste certificate. Further Ex.W2 is the residential certificate. Ex.W3 is the residential certificate.

Ex.W4 is the memo of marks. Ex.W5 is the employment card. Ex.W6 is the service certificate.

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.

[भाग II—खण् ड 3(ii)]

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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, Velair branch in terminating the services of Workman Sri

Koduri Karunakar, 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

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

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

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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

(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

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[PART II—SEC. 3(ii)]

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,

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,

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“I was not sponsored by any employment exchange. I did not undergo the regular process of selection before my

engagement as a 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

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

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5309

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 and the union in

the year 1989…. 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 the 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 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

5310

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5311

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

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

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[PART II—SEC. 3(ii)]

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.

AWARD

In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the

services of Sri Koduri Karunakar, 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 24th day of April, 2026.

IRFAN QAMAR,. Presiding Officer

Appendix of evidence

Witnesses examined for the

Witnesses examined for the

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5313

Petitioner

Respondent

WW1: Sri Koduri Karunakar

MW1: Sri Aluru Rama Rao

Documents marked for the Petitioner

Ex.W1:

Photocopy of caste certificate

Ex.W2:

Photocopy of residential certificate

Ex.W3:

Photocopy of birth certificate

Ex.W4:

Photocopy of marks memo

Ex.W5:

Photocopy of employment card

Ex.W6:

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, 27 मई , 2026

का.आ. 1102.—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 (a110/2001) izdkf”kr djrh gSA

[सं. एल-12012/474/2000-आईआर(बी-I)]

सलोनी, उृ जनदेिक

New Delhi, the 27th May, 2026

S.O. 1102.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 110/2001) 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-12012/474/2000- 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 28th day of April, 2026

INDUSTRIAL DISPUTE No. 110/2001

Between:

Sri K. Prakash,

5314

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

S/o K. Malloji,

R/o Sri Rangavaram,

Air Force Academy Colony,

Hyderabad – 500 043.

… Petitioner

And

The Asst. General Manager,

(Personnel & HRD))

State Bank of India,

Local Head Office, Bank Street,

Hyderabad-500 095.

…..Respondent

Appearances:

For the Petitioner :

Sri Macherla Rangaiah, Advocate

For the Respondent: Sri T.Koteswara Rao, Advocate

AWARD

The Government of India, Ministry of Labour by its order No. L-12012/474/2000-IR(B.I) dated 17.7.2001

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, Local Head Office, Hyderabad in

terminating the services of Sri K. Prakash, Temporary/Non-Messenger, SBI, w.e.f. 31.3.1997 is justified or

not? If not, to what relief the applicant is entitled?‖

After receipt of the reference, it was numbered as ID No. 110/2001 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. 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 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;

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5315

(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 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.”

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 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 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

5316

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5317

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

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

5318

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5319

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 absorption letter. Ex.W3 is the marks memo of X class. Ex.W4 is

the panel list. Ex.W5 is the service certificate. Ex.W6 is the caste certificate.

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.

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[PART II—SEC. 3(ii)]

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, Air Force Academy branch in terminating the services of

Workman Sri K. Prakash, 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

decided by the competent authority that no one onwards, no further daily labour or temporary

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5321

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

the 3rd Respondent representing admittedly the large majority of the workmen has stood by this settlement and that is

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[PART II—SEC. 3(ii)]

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 राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5323

(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 any selection process before my engagement

as temporary messenger..”

“It is true that I did not work for 240 days in any year during 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 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 राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5325

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

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[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 a paper notification issued by the bank as per the settlements entered into by the union

with the Management of SBI…. Further, witness states, “The panel was prepared depending upon the number of days

of service put in by the employees in the bank. The vacancies of messengers was filled up with the temporary

messengers whose names were in the panel. It is true that the vacancies of messengers were filled up on permanent

basis as per the settlements entered into by the union with the management. I am not having any proof to show

that any person who has less no. of days 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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5327

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

extend the date of lapse of panel i.e., 31.3.1997. This Tribunal can not order for regularization of workmen to the

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5329

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.

AWARD

In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the

services of Sri K. Prakash, 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 28th day of April, 2026.

IRFAN QAMAR, Presiding Officer

Appendix of evidence

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[PART II—SEC. 3(ii)]

Witnesses examined for the

Witnesses examined for the

Petitioner

Respondent

WW1: Sri K. Prakash

MW1: Sri Aluru Rama Rao

Documents marked for the Petitioner

Ex.W1:

Photocopy of News paper advertisement/ notification

Ex.W2:

Photocopy of absorption letter

Ex.W3:

Photocopy of marks memo

Ex.W4:

Photocopy of Panel list

Ex.W5:

Photocopy of Service certificate

Ex.W6:

Photocopy of caste 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, 27 मई , 2026

का.आ. 1103.—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 (a239/2001) izdkf”kr djrh gSA

[सं. एल-12012/161/2001-आईआर(बी-I)]

सलोनी, उृ जनदेिक

New Delhi, the 27th May, 2026

S.O. 1103.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 239/2001) 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-12012/161/2001- IR(B-I)]

SALONI, Dy. Director

ANNEXURE

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5331

IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT

HYDERABAD

Present: Sri IRFAN QAMAR

Presiding Officer

Dated the 27th day of April, 2026

INDUSTRIAL DISPUTE No. 239/2001

Between:

Sri E. Nagaraju,

S/o Asguaga,

H.No.9-278/48/1, Balajinagar,

Nr. Ramanagar,

Hyderabad.

… Petitioner

And

The Asst. General Manager,

(Personnel & HRD))

State Bank of India,

Local Head Office, Bank Street,

Hyderabad-500 095.

…..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-12012/161/2001-IR(B.I) dated 3.10.2001

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, Local Head Office, Hyderabad in

terminating the services of Sri E. Nagaraju, 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. 239/2001 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

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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 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 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.”

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‖.

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5333

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

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

5334

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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 same was not followed in the year 1997 despite there being vacancies.

The

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5335

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

arrived between the Federation and the bank. It was agreed that it would be kept alive upto March, 1997. A copy of

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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 marks memo. Ex.W2 is the interview call letter. Ex.W3 is the service certificate. Ex.W4 to Ex.W6

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5337

are appointment orders. Ex.W7 to W12 are the service certificates.

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, in terminating the services of

Workman Sri E. Nagaraju, 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

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[PART II—SEC. 3(ii)]

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

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.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5339

“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

(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

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[PART II—SEC. 3(ii)]

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:

"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."

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5341

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 the regular process of selection before my

appointment as a temporary Non-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.”

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

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5343

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 advertisement issued by the bank as per the settlements entered between the bank and

the union …. 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 bank 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.”

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.

5344

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

has already been lapsed on 31.3.1997 and the vacancies existing and arising upto 31.12.1994 and upto 31.3.1997 as

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5345

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

5346

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[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 राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5347

AWARD

In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the

services of Sri E. Nagaraju, 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 27th day of April, 2026.

IRFAN QAMAR, Presiding Officer

Appendix of evidence

Witnesses examined for the

Witnesses examined for the

Petitioner

Respondent

WW1: Sri E. Nagaraju

MW1: Sri Aluru Rama Rao

Documents marked for the Petitioner

Ex.W1:

Photocopy of memo of marks

Ex.W2:

Photocopy of interview call letter

Ex.W3:

Photocopy of Panel list

Ex.W4:

Photocopy of appointment order

Ex.W5:

Photocopy of appointment order

Ex.W6:

Photocopy of appointment order

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

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.

5348

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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, 29 मई , 2026

का.आ. 1104.—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj

iatkc uS”kuy cSad 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 (a35/2008) izdkf”kr djrh gSA

[सं. एल-12011/24/2008-आईआर(बी- II)]

सलोनी, उृ जनदेिक

New Delhi, the 29th May, 2026

S.O. 1104.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 35/2008) of the Cent.Govt.Indus.Tribunal-cum-Labour Court Kanpur

as shown in the Annexure, in the industrial dispute between the management of Punjab National Bank and their

workmen.

[No. L-12011/24/2008- IR(B-II)]

SALONI, Dy. Director

ANNEXURE

THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL-CUM-LABOUR COURT, KANPUR

ID Case No. 35 of 2008

Present Shri Rajendra Prasad Srivastava, H.J.S. (Retd.)

Shri R.P.Pandey

2-KDA Colony, Galla Mandi

Kanpur (UP)

…………………….Workman

Vs.

The Senior Regional Manager,

Punjab National Bank, Regional Office: Birhana Road

Kanpur (UP)- 208001.

……………………..Management

(JUDGMENT)

(Passed on this 06th Day of February, 2026)

As per reference letter dated 06/06/2008 by the Government of India, Ministry of Labour, New Delhi, the

reference has been made to this Tribunal under Section-10 of Industrial Disputes Act, 1947 (in short the 'Act') as per

Notification No. L-12011/24/2008-IR(B-II) dt. 06.06.2008. The dispute under reference relates to:

" Whether the action of the management of Punjab National Bank, Kanpur in deleting the name of Shri.

R.P.Pandey, Daftary from the Pension option list after a period of 11 years is legal and justified ? if not to

what relief the concerned workman is entitled ?"

Claimant/workman Shri R.P.Pandey (hereinafter stated as the claimant) has filed the statement of claim with

averments which may be concisely stated as hereunder:

1. That the Applicant had duly filled and submitted the Pension Option Form to the Respondent Bank on 06.01.1996.

The Respondent Bank acknowledged receipt of the said form by affixing its official stamp and the signature of the

receiving officer of respondent bank. A copy of the acknowledged form is annexed therewith as Annexure-3.

2. That thereafter, the Applicant was asked by the Respondent Bank to submit a separate application. In compliance

thereof, the Applicant duly filled and submitted the said application within the prescribed time. The copy of the said

application is already placed on record before this Hon‘ble Court.

3. That the Applicant had filled and submitted all requisite forms, including the Pension Option Form, within the

stipulated time. However, the Respondent Bank did not provide a copy of the Pension Option Form to the Applicant.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5349

The Applicant had no reason to suspect any irregularity or wrongdoing on the part of the Respondent Bank at the

relevant time.

4. That along with the application, the Applicant had also submitted the Pension Option Scheme Form to the

Respondent Bank. Since no copy of the said form was provided to the Applicant, the same could not be produced

before this Hon‘ble Court.

5. That the Respondent Bank duly received and retained the Pension Option Form submitted by the Applicant. Due to

the demise of the Applicant‘s wife, the names of his children were mentioned as nominees in the said form. It is

emphatically denied that the Pension Option Scheme Form was not submitted within the prescribed last date i.e.,

27.01.1996. The allegation that the Applicant submitted the Pension Option Form on 10.02.1996, and that on such

basis the Respondent Bank is justified in rejecting the Applicant‘s claim for pension, which is wholly false and

incorrect.

Respondent had submitted the written statement with averments which may be summarized as stated below:

1. That the alleged dispute has been referred for adjudication for this Hon‘ble Tribunal by the appropriate Court

with the terms of reference stated therein. However, it is reiterated that having regard to the submissions made in

the aforesaid preliminary objection, what has been referred by the appropriate Govt to this Tribunal can not be

termed as industrial dispute under the provisions of section 2(K) of the ID Act, 1947.

2. That the content of para-2 as stated are wrong and denied it is categorically denied that any pension option

was exercised and given by the applicant on 06.01.1996 as alleged. It is reiterated that the applicant gave his

pension option for the first time on 10.02.1996 i.e. much beyond the statutorily prescribed period of 120 days and

accordingly his said option was rightly not accepted having regard to the provisions of PNB (Employees) Pension

regulation 1995.

3. That the applicant never exercised the option of pension within the stipulated period in terms of PD Circular

No. 1520 dated 15.11.1995 and accordingly his name was rightly included in the list of those employees who had

not exercised the option of pension.

4. The applicant is not entitled to any relief whatsoever as prayed for or otherwise in the present reference.

After filing of above written statement filed by opposite party, rejoinder is also filed by applicant. In rejoinder,

the applicant denied the averments of the written statement are stated as:

The statements in paragraphs 1,2,3 and 4 of the preliminary objections in the defendant's written statement are false,

baseless, and flawed, and therefore unacceptable to the applicant. That the Applicant had duly filled and submitted the

Pension Option Form to the Respondent Bank on 06.01.1996 which is within the stipulated time thereafter as per

verbal instruction. The Applicant had filled and submitted all requisite forms and Pension Option Form, within the

stipulated time which is duly received and retained by the Respondent Bank.The copies of all the requisite form and

documents were also produced before the conciliation officer, ALC© Kanpur. The respondent bank itself accepted

that the applicant has been declared as pension optee‘s. The applicant prayed that issue an order to the respondent

bank to pay the pension to the applicant after his retirement.

After that applicant filed some documents which is read as under:s fil some ocents i

1.Photocopy of Letter dated 27.01.1996 of Manager of respondent addressed to his head office (Pension Department).

2. Photocopy of Letter dated 06.1.1996 Manager of respondent bank (submission of pension form).

3. Photocopy of the ledger of PF Account No. 036604 for period from April-1996 to Sept.2006

4. Photocopy of letter dated 02.1.2007 applicant addressed to Manager of respondent bank.

5. Photocopy of letter dated 18.01.2007 of applicant addressed to Manager of respondent bank.

In rebuttal opposite party filed documents which are read as under:

1.

Personnel Division Circular No. 1520 dated 19.11.1995.

2.

Pension option dated 10.02.1996 submitted by applicant Sh. R.P.Pandey

3.

Letter dated 22.02.1996 of Manager, BO Bidhnu addressed to Regional Manager, Kanpur i.e. forwarding

pension option of the applicant.

As per reference the main question is whether the action of the management of Punjab National Bank, Kanpur in

deleting the name of Shri R.P.Pandey, Daftary from the Pension option list after a period of 11 years is legal and

justified ? if not , to what relief the concerned workman is entitled ?”

The claimant, vide claim statement dated 15.06.2008, prayed that his name be included and reflected in the list of

pension optee‘s and pension be granted to him accordingly. It was alleged that his name had been deleted from the

list of pension optee‘s, and raised an industrial dispute. It is further on record that the claimant retired from the

services of the respondent bank in the year 2011.

The case was taken up in the Special Camp organized by this Court on 06.02.2026. Despite repeated calls, none

appeared on behalf of the workman/claimant. The authorized representative of the respondent bank appeared and

produced a copy of the Pension Payment Order (PPO) issued in the name of the claimant. It was submitted that the

5350

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

PPO clearly reveals that the claimant has been receiving pension from the date it became payable to him. The

respondent bank further submitted that it had nothing further to add or produce in the matter.The matter was

examined in light of the claim statement, written statement, rejoinder, documents placed on record by both parties,

and the evidence adduced. The record also reveals that the claimant has been absent from proceedings for a

considerable period and has failed to defend his claim diligently.

In view of the documentary evidence placed on record, particularly the PPO evidencing grant and payment of pension

to the claimant, the primary grievance raised in the present reference does not survive. The relief sought in the claim

petition stands satisfied. Furthermore, the continued non-appearance and non-prosecution of the claim by the claimant

disentitle him to any further adjudication on merits.

Accordingly, in the facts and circumstances of the case, this Court finds that the claimant is not entitled to any relief

under the present claim petition. The reference is hereby answered against the claimant and in favour of the

respondent bank as "NIL" award.

Answered accordingly.

Date: 06th Feb-2026

RAJENDRA PRASAD SRIVASTAVA, Presiding Officer

नई ददल्ली, 29 मई , 2026

का.आ. 1105.—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 (a109/2002) izdkf”kr djrh gSA

[सं. एल-12012/37/2000-आईआर(बी-I)]

सलोनी, उृ जनदेिक

New Delhi, the 29th May, 2026

S.O. 1105.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 109/2002) 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-12012/37/2000- 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 22nd day of April, 2026

INDUSTRIAL DISPUTE No. 109/2002

[Old ID No. 29/2000 of Industrial Tribunal No.I, Hyderabad]

Between:

Sri K. Venkatesulu,

23-212, Gandhi street,

Old Guntakal,

Guntakal,

Anantpur, Dist(A.P).

… Petitioner

And

The Dy. General Manager,

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5351

State Bank of India,

Zonal Office,

Renigunta Road,

Tirupathi.

…..Respondent

Appearances:

For the Petitioner :

Sri Macharla Rangaiah, Advocate

For the Respondent:

Sri Y. Ranjith Reddy, Advocate

AWARD

The Government of India, Ministry of Labour by its order No. L-12012/37/2000-IR(B.I) dated 11.07.2000

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. 29/2000, 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 State Bank of India, Guntakal Branch in terminating Sri K. Venkatesulu,

Messenger, from the services of the Bank by way of oral orders w.e.f 31.03.1997 is justified? If not, what

relief he is entitled to?‖

After receipt of the reference, it was numbered as ID No. 109/2002 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!;

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

(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 he joined the service of the Respondent Bank at the workman joined in the services of the Management Institution

as Messenger 1986 to 1997 and rendered unblemished service spreading over a period of about 11 years, and by dint

of hard work till his services where terminated by oral orders with till his services where terminated by oral orders

with effect from 1.04.1997. 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 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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5353

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

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

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

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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

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

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[PART II—SEC. 3(ii)]

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. Ex. W2 is the Service Certificate. Ex. W3 is the Service Certificate. Ex. W4 is the Service

Certificate. Ex. W5 is the letter to employment exchange by Respondent. Ex. W6 is the circular letter dated

14.7.1999. Ex. W7 is the employment registration card.

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

[भाग II—खण् ड 3(ii)]

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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, Guntakal branch in terminating the services of Workman

Sri K. Venkatesulu, 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

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

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

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5359

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

(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.

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[PART II—SEC. 3(ii)]

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 provision

contained under 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,

“ My name was not sponsored by any employment exchange. I did not undergo the selection process required for

[भाग II—खण् ड 3(ii)]

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appointment as a Messenger.”

“ It is true that I did not work for 240 days in any year, in my entire 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

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

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5363

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 to the bank in response to the advertisement issued by the bank as per the settlements between the Union

and management. Further witness states that the “panel was prepared basing on the no. of days of service put in by

the temporary employees. Some of the persons whose names were included in the panel were given appointment on

regular basis in the bank.” Further, witness states that “I am not having any document 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

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[PART II—SEC. 3(ii)]

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

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.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

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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

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.

5366

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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.

AWARD

In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the

services of Sri K. Venkatesulu, 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 22nd day of April, 2026.

IRFAN QAMAR, Presiding Officer

Appendix of evidence

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5367

Witnesses examined for the

Witnesses examined for the

Petitioner

Respondent

WW1: Sri K. Venkatesulu

MW1: Sri K. Bala Kotaiah

Documents marked for the Petitioner

Ex.W1:

Photocopy of Notification

Ex.W2:

Photocopy of Service Certificate

Ex.W3:

Photocopy of Service Certificate

Ex.W4:

Photocopy of Service Certificate

Ex.W5:

Photocopy of letter to employment exchange by Respondent

Ex.W6:

Photocopy of circular letter dated 14.7.1999

Ex.W7:

Photocopy of employment registration card

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, 29 मई, 2026

का.आ. 1106.—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 (a18/2002) izdkf”kr djrh gSA

[सं. एल-12012/325/2001-आईआर(बी-I)]

सलोनी, उृ जनदेिक

New Delhi, the 29th May, 2026

S.O. 1106.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 18/2002) 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-12012/325/2001- IR(B-I)]

SALONI, Dy. Director

ANNEXURE

IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT

5368

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

HYDERABAD

Present: Sri IRFAN QAMAR

Presiding Officer

Dated the 17th day of April, 2026

INDUSTRIAL DISPUTE No. 18/2002

Between:

Sri K. Chandrasekhara Rao,

S/o Nageswara Rao,

R/o Mubark Nagar,

1st Cross road,

Ponnur V & M

Guntur District.

… Petitioner

And

1.

The Asst. General Manager,

Zonal Office,

State Bank of India

Vijayawada.

2.

The Branch Manager,

State Bank of India,

Ponnur Village & Mandalam,

Guntur District.

…..Respondents

Appearances:

For the Petitioner :

M/s. M. Murali Krishna, D. Sudarshan, Surya balu Mahendra, Advocates

For the Respondent:

Sri Y. Ranjeeth Reddy, Advocate

AWARD

The Government of India, Ministry of Labour by its order No. L-12012/325/2001-IR(B.I) dated

11.12.2001 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 services of

Sri K. Chandrasekhara Rao, Ex-Messenger, is justified? If not, what relief the workman is entitled?‖

After receipt of the reference, it was numbered as ID No. 18/2002 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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5369

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 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.”

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 20.3.2019.

3.

The factual matrix of instant industrial dispute as narrated by the Workman in his claim statement is that the

Petitioner herein was engaged by the Respondent Bank—State Bank of India—as a Messenger (temporary employee).

The Petitioner have joined the service of the Respondent Bank and worked from 1986 to 1997 and rendered

unblemished service spreading over a period of about 11 years. It is submitted that the services of the Petitioner were

terminated with verbal orders dt. 31.03.1997 without assigning any valid reasons. But the Respondent has retained

Petitioner‘s juniors in service. The Respondent has failed to take the prior permission from the government for his

retrenchment. It is submitted that he could not secure any alternative employment till date inspite of his best efforts.

It is submitted that there is sufficient work with the Respondent and extending the opportunities to others denying the

Petitioner is unjust and contrary to law. Hence, the action of the Respondent is not justified. Therefore, it is prayed

to grant the relief of reinstatement with full back wages and all attendant benefits.

4.

The Respondent Bank contends that the reference made is untenable under the Industrial Disputes Act, 1947

as the Bank temporarily engaged subordinate staff—messengers, sweepers, etc.—strictly on a need-based, ad hoc

basis to ensure uninterrupted operations to address staff shortages due to leave vacancies and constraints imposed by

the Government of India and RBI on hiring.

5.

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. Various discussions were held to resolve the said issue, resulting in five

settlement agreements between the Bank and the Workmen.

6.

The first settlement dated 17.11.1987 (under Sec. 2(p) r/w Sec. 18(1) of the ID Act) categorized temporary

employees and provided for consideration of permanent absorption against vacancies between 1987–1991. The

second settlement dated 16.07.1988 extended this period to 1987–1992. The third settlement dated 27.10.1988

reaffirmed consideration of vacancies arising from 1988–1992. Following these, the Government of India issued

recruitment guidelines on 16.08.1990, recommending settlement-based absorption for temporary employees with

more than 240 days of service in a 12-month block. For those with fewer days, the guidelines allowed for discretion-

based conciliation.

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

7.

Despite this, the Bank, in a liberal approach, considered even those with less than 90 days' service and those

employed since 1975. However, para 6(k) of the approach paper clarified that this would be a one-time exercise

resolving all past claims. Subsequently, the fourth settlement dated 09.01.1991 extended panel validity to 1994, with

daily wagers considered for 1995–1996 vacancies. It is submitted that Zone-wise panels (1989 for temporary

employees and 1992 for daily wagers) were also created, listing candidates in descending order of service from

01.07.1975 to 31.07.1988.

8.

The Federation also sought implementation through the Regional Labour Commissioner (Central), resulting

in a conciliation agreement on 09.02.1995. This led to the fifth settlement dated 30.07.1996. Finally, on 27.02.1997, a

Memorandum of Understanding recorded that 403 messengerial vacancies were identified and would be filled from

the 1989 panel. Both panels were agreed to lapse on 31.03.1997. Thus, the Workman, who served less than 240 days

in any 12-month block during the reference period, has no legal claim outside these settlements.

9.

It is further argued that the Workman‘s case has already been considered under the five settlements. The

settlements were time-bound and binding on both parties, hence, the Bank was not obligated to absorb all empanelled

candidates. Sustaining panels beyond 31.03.1997 would contradict the settlements and constitutional principles

(Articles 14 & 16), amounting to backdoor regularization.

10.

The Hon‘ble High Court in WP No.12964/94 has affirmed that such settlements are binding and temporary

service does not create a right to regularization unless the Workman can show violation of a specific settlement term,

which is not the case here. 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."

11.

Hence, the Workman‘s claim was held misconceived. Furthermore, if the panels were not allowed to lapse, it

would undermine open recruitment processes, violating constitutional rights of other eligible candidates under

Articles 14 and 16 of the Constitution as well as contrary to the settlements.

12.

Similarly placed ex-temporary employees approached the High Court via WP No. 9206/1995. Though

allowed by the Single Judge, the Division Bench reversed the decision in WA No. 86/1998. The Supreme Court

subsequently dismissed SLP Nos. 11886-11888/1998, making the original judgment irrelevant.

13.

The Workman (WW1) filed and relied on documents Ex.W1 to W4, including appointment letters, interview

letters, and service certificates showing employment across various periods. The Respondent examined MW1, Sri

Rupakula Prakash Babu, and produced 12 documents (Ex.M1–M12), including all five settlements, panel details, and

judgments of the Hon‘ble High Court and Supreme Court, conclusively supporting the Bank‘s position.

14.

The Workman also cited various judicial precedents which shall be addressed in the relevant portion of this

Award.

15.

Heard the argument of Learned Counsel for Workman as well as for Respondent.

16.

On the basis of pleadings and submissions made by the Learned Counsel for both the parties, following

points arise for determination in the industrial dispute :-

I.

Whether the action of State Bank of India, Local Head Office, Hyderabad in terminating the

services of Workman Sri K. Chandrasekhara Rao, a Temporary/Messenger with effect from

31.3.1997 is justified?

II.

To what relief if any the Workman is entitled for?

Findings:-

17.

Issue No.I:-The Workman alleged that 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 illegally. Further, he alleges that he

has been terminated from service in violation of provision contained under Section 25 F of I.D. Act, 1947 and same

is liable to be set aside.

18.

On the other hand, Respondent counsel contended that Workman has not worked continuously for 240 days

in any preceding calendar year and reference of the industrial dispute is not maintainable. Before examining the

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5371

claim of the Workman on merit it would be apposite to have a glance on the relevant provision pertaining to

retrenchment of workman under I.D. Act, 1947.

2(oo) “retrenchment” means the termination by the employer of the service of a workman for any reason whatsoever,

otherwise than as a punishment inflicted by way of disciplinary action, but does not include—

(a) voluntary retirement of the workman; or

(b) retirement of the workman on reaching the age of superannuation if the contract of employment between the

employer and the workman concerned contains a stipulation in that behalf; or

(bb) termination of the service of the workman as a result of the non-renewal of the contract of employment between

the employer and the workman concerned on its expiry or of such contract being terminated under a stipulation in

that behalf contained therein; or

(c) termination of the service of a workman on the ground of continued ill-health;”

In view of the definition of retrenchment, perused the record. The Workman claims that he had been terminated from

the service of the Respondent in contravention of the provision of ID Act. The case of the Workman does not fall in

any exclusive clause of section 2(oo). Therefore, he is included in the category of retrenchment as defined under

section 2(oo) of the I.D.Act, 1947.

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;

Thus, in view of the above provision, Workman has to prove that he had worked with Respondent continuously for

240 days uninterruptedly in 12 months of a calendar year just preceding from data of his termination i.e., 31.3.1997.

It is settled law that the initial burden of proof to prove the fact of 240 days of service in the 12 months of a calendar

year just preceding from the date of termination, lies upon the Workman and he is duty bound to prove this factum

by adducing oral as well as documentary evidence in support of his claim.

As regard burden of proof and calculation of 240 continuous working days, following decisions of Hon‘ble Supreme

Court are relevant as discussed here under:-

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)

5372

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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.”

19.

Thus, in view of the law laid down by Hon'ble Apex Court as discussed above in respect of calculating the

240 days continuous service by workman as per provision under Section 25-F read with Section 25-B of the I.D. Act,

1947, we have to examine whether Workman herein 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 by his evidence.

20.

In order to corroborate the averments made in claim statement, Petitioner has examined himself as WW1

and in his oral testimony WW1 has stated that he joined the service of Respondent at Ponnur Branch, on 1.4.1986 as

a Messenger and worked continuously in various branches depending upon the availability of work and also as per the

orders of bank officers till 31.3.1997. WW1 states that the Respondent has not given any advance notice to him

before his termination and has not obtained prior permission from central government for his retrenchment and

Respondent has not given him any order of termination. Further, WW1 states that he had worked Ponnur branch of

the Respondent and Ex.W3 is the Service certificate for 1182 days for the period of from 1990 to 1997 dated

18.9.1999. Ex. W1 is the marks memo. Ex. W2 is the Service Certificate dated 1.7.96. Ex.W4 is the particulars of

temporary employees engaged from 1.4.87 to 31.3.97.

21.

Further WW1 states that he worked for more than 240 days continuously in different spells in one year

period of time and he worked for 257 days continuously during the period from April, 1996 to February, 1997 Ex.W3

is the certificate in this regard. Further, WW1 states that there were no complaints against him from any customers or

officers of the Respondent throughout the period of his service. This Witness was cross examined by the Respondent

counsel and in his cross examination the WW1 states that he was given appointment as a messenger on temporary

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5373

basis in the year 1986 for a period of 74 days. Further, witness states that he was not sponsored by any employment

exchange. Further, witness states that he did not work continuously and he used to work depending upon availability

of work in the bank. Further, in reply to the question put by the Respondent counsel in cross examination, WW1

states that it is true that he did not work for 240 days in any year in his service.

Month

Working days

April,1996

30

May, 1996

23

June, 1996

30

July, 1996

21

August, 1996

30

September, 1996

11

October, 1996

31

November, 1996

07

December, 1996

31

January, 1997

16

February, 1997

27

Total

257

Thus, sum of working days as shown in the above table is 257 days which is more than 240 working days as

required under the provision of section 25F of the ID Act for continuous service.

22.

However, Learned Counsel for Respondent bank has contended that the Petitioner has not worked

continuously for 240 days in a calendar year with the Respondent and protection from termination is not available to

Petitioner as per provision under section 25 F of I.D. Act, 1947. On going oral and documentary evidence available

on record it manifest that Respondent had engaged the Petitioner as a temporary messenger in different spells as

mentioned in his appointment letter during the total period of about 10 years. We may conclude from the documents

filed in evidence on record, that the Respondent has created artificial breaks in the working days of the Petitioner in

order to deprive him from completing 240 days of continuous service and in order to defeat social security provision

under the I.D. Act, 1947. Moreover, Petitioner has been regularly engaged during the long period of 10 years by the

Respondent as a temporary messenger and has created artificial breaks of few days or more in his engagement as

employee. The conduct of Respondent in creating artificial breaks in engagement of workers is nothing but unfair

labour practice adopted by Respondent in order to deprive the Petitioner from entitlement of any benefits of social

security under the provision of I.D. Act, 1947. Thus, it can safely be concluded that Respondent with malafide

intention has deliberately created artificial break in the employment of the Petitioner as a temporary messenger.

23.

Thus, in view of the fore gone discussion and on going documentary and oral evidence on record I am of the

view that the Workman had worked for 240 days continuously in 12 months of calendar year just preceding from the

date of his termination i.e., 31.3.1997. Undisputedly, Respondent has not filed any document pertaining to the fact

that 3 months notice was issued to the Petitioner as per provision contained under section 25N of the ID Act before

termination of Petitioner for service by oral order w.e.f.1.4.1997. Further, there is no evidence on record to the fact

that Respondent has paid any amount toward compensation. Therefore, oral termination order of the Petitioner from

employment issued by Respondent with effect from 1.4.1997 is in contravention of provision contained under section

25N of the I.D. Act, 1947 and hence not sustainable in the eye of law.

In the case of Shankar Bhimrao Kadam and others Vs. Tata Mototrs Limited, Bombay High Court in its

decision dated 28.2.2022 in Writ Petition No.5588 of 2017 have held:-

"52. I have independently assessed the entire oral and documentary evidence adduced before the Labour Court in

these cases and upon analysis of the same, I have come to a firm conclusion that in hundreds of cases, the present

Respondent has created a farcical picture by posing that the work allotted to the temporaries was limited only to the

maximum extent of 7 months. As discussed above, the dedicated department for engagement of temporary workers,

apparently kept a close watch on the duration of employment of these Petitioners and in a case like Balu Bapuji

Shelke, who had put in 232 days in his first round and 238 days in his third round, his service was abruptly

intercepted and he was disengaged. He had almost reached the figure of 240 days and was thrown out, after

completing 238 days. This indicates that the Respondent-management has created an eye-wash and paper-work with

5374

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

the intention of creating evidence that no worker had completed 240 days. Even in Sunil Pralhad Khomane (supra),

the learned judge of this court, after analyzing the entire evidence before him, concluded that the company has

apparently misused Section 2(oo)(bb). For the reasons assigned by me and my esteemed brother in Sunil (supra), I

find that the said conclusion was justified and in all these cases in hands, Section 2(oo)(bb) will not be applicable. To

hold otherwise, would create a mockery of Section 2(oo)(bb).

58. It cannot be ignored from the various rounds of temporary employments of these temporaries that after one

disengagement, they used to look forward for the next appointment order. As expected, they used to receive such

appointment orders. They used to perform their duties not only till the tenure mentioned in the appointment order was

completed, but even upto reaching any duration between 225 days to 238 days in one single stint of temporary

employment. None of the temporaries in such cases, ever received an appointment order that a particular temporary

would work for 238 days or 236 days, etc. The maximum tenure was an appointment for 7 months. This was not the

pattern followed in Mahindra & Mahindra Ltd., Nagpur (supra), inasmuch, as it was noticed by this court in the said

case that the workers used to work in other factories during their disengagement and had actually approached the

Industrial Court after about 9 to 23 years."

Similarly, in the present case Respondent has issued number of appointment letters to engage the Workman for the

work in different spells for his employment in its branches. The practice of Respondent management of issuance of

the appointment letters in different spells for this engagement of the Petitioner Workman during the whole period for

more than ten years clearly manifest that Respondent management has adopted unfair labour practice in order to

deprive the Workman from availing social security benefits accruing to him under the provision of Industrial Disputes

Act, 1947.

24.

Perused the record. Petitioner witness WW1 in his statement in chief has categorically stated that he had

worked for more than 240 days continuously in different spells in a period of one year. He worked for 257 days

continuously during the period from April, 1996 to February, 1997 at Ponnur branch. Ex.W3 is the certificate in this

regard. Whereas in the cross examination witness WW1 stood firm in respect of his statement given in chief

examination. However, at one place in cross examination in reply to the question he had given the statement that it is

true that he did not work for 240 days in any year. But in the suggestions given by Respondent counsel witness has

stated that it is not true to say that he had never worked for 240 days in any year as stated by him. It is settled law

that the statement of any witness cannot be read in isolation and the whole statement has to be taken into

consideration while appreciating the evidence in the case. Whereas the claim of the Petitioner that he had worked

for more than 240 days in a calendar year with the Respondent is fully corroborated by oral and documentary

evidence produced by the Petitioner. Therefore, the contention of the Respondent in view of the above is not

tenable. Further, documents filed by the Petitioner in evidence goes to reveal that during the period from 1986 upto

the date of his termination i.e., 31.3.1997 workman had been engaged by Respondent for the work on number of

times with the breaks, that goes to manifest that there was the work available in the Respondent bank and also need

of engagement of the Workman. Therefore, the Workman was engaged by Respondent management on number of

times during the long period of more than 10 years and artificial breaks in the employment of Petitioner has been

created by the Respondent intentionally and deliberately in order to deprive the workman from the social security

benefit provided under the ID Act. Therefore, in view of the above, the contention of the Respondent is not tenable.

Respondent has cited number of decisions of Hon‘ble Apex Court and Hon'ble High Courts which are being

discussed as hereunder:-

In the case of Bholaram vs. PO, Labour Court Ambala & ors CWP No.4784/2010 dated 2.6.2011, of Hon'ble

High Court of Punjab & Haryana, wherein Hon'ble High Court have held that Petitioner is directed to be reinstated in

the service with 50% of back wages.

Further, in the case of Kuldeep Singh vs. G.M., Instrument Design D & F., DOD, dated 3.12.2010, the facts of the

case are that the Petitioner Kuldeep, the workman was appointed as a Data Entry Operator on daily wages on

8.10.1990 and he worked as such till 28.11.1991 and thereafter on adhoc basis and worked upto 26.5.1992 without

any break when his services were terminated by the employer. The Respondent management, according to Petitioner,

no notice or compensation in lieu thereof, was given for terminating his services though he had worked for 240 days

in the preceding 12 months. In that case Hon'ble Supreme Court have held that the management has terminated the

services of the Petitioner workman without complying the provision of Sec.25F of the I.D.Act, 1947 and the said

order is illegal, null and void deserves to be set aside, and ordered reinstatement of the Appellant workman with

consequential service benefits without back wages within a period of eight weeks.

Further, in the case of State of Karnataka vs. Uma Devi Civil Appeal No.3595-3612 of 1990 dated 10.4.2006,

therein Constitutional Bench of Hon'ble Supreme Court have held,

“15. We have already indicated the constitutional scheme of public employment in this country, and the executive, or

for that matter the Court, in appropriate cases, would have only the right to regularize an appointment made after

following the due procedure, even though a non-fundamental element of that process or procedure has not been

followed. This right of the executive and that of the court, would not extend to the executive or the court being in a

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5375

position to direct that an appointment made in clear violation of the constitutional scheme, and the statutory rules

made in that behalf, can be treated as permanent or can be directed to be treated as permanent.

……..

44. One aspect needs to be clarified. There may be cases where irregular appointments (not illegal appointments) as

explained in S.V.NARAYANAPPA (supra), R.N. NANJUNDAPPA (supra), and B.N. NAGARAJAN (supra), and

referred to in paragraph 15 above, of duly qualified persons in duly sanctioned vacant posts might have been made

and the employees have continued to work for ten years or more but without the intervention of orders of courts or of

tribunals. The question of regularization of the services of such employees may have to be considered on merits in the

light of the principles settled by this Court in the cases above referred to and in the light of this judgment. In that

context, the Union of India, the State Governments and their instrumentalities should take steps to regularize as a one

time measure, the services of such irregularly appointed, who have worked for ten years or more in duly sanctioned

posts but not under cover of orders of courts or of tribunals and should further ensure that regular recruitments are

undertaken to fill those vacant sanctioned posts that require to be filled up, in cases where temporary employees or

daily wagers are being now employed. The process must be set in motion within six months from this date. We also

clarify that regularization, if any already made, but not subjudice, need not be reopened based on this judgment, but

there should be no further by-passing of the constitutional requirement and regularizing or making permanent, those

not duly appointed as per the constitutional scheme.”

Thus, in the above cited decision Hon'ble Apex Court has laid down guidelines for deciding the question of

regularization of the services of the employees. Further, as regard other decisions of Hon‘ble Court filed by the

Petitioner in support of his argument, therein, the Hon‘ble Supreme Court has laid down the principle that the

termination of the employee in contravention of the provision of Sec.25F of I.D. Act, 1947 is illegal and null and

void and liable to be set aside.

Moreover, Hon‘ble Supreme Court in the case of Anoop Sharma vs. Exec. Engineer Public Health Division dated

9.4.2010, Civil Appeal No.3478 of 2010 have held:-

“15. In State Bank of India v. N. Sundara Money (supra), the Court emphasised that the workman cannot be

retrenched without payment, at the time of retrenchment, compensation computed in terms of Section 25-F(b).

16. The legal position has been beautifully summed up in Pramod Jha v. State of Bihar (supra) in the following words:

"The underlying object of Section 25-F is twofold. Firstly, a retrenched employee must have one month's time

available at his disposal to search for alternate employment, and so, either he should be given one month's notice of

the proposed termination or he should be paid wages for the notice period. Secondly, the workman must be paid

retrenchment compensation at the time of retrenchment, or before, so that once having been retrenched there should

be no need for him to go to his employer demanding retrenchment compensation and the compensation so paid is not

only a reward earned for his previous services rendered to the employer but is also a sustenance to the worker for the

period which may be spent in searching for another employment. Section 25-F nowhere speaks of the retrenchment

compensation being paid or tendered to the worker along with one month's notice; on the contrary, clause (b)

expressly provides for the payment of compensation being made at the time of retrenchment and by implication it

would be permissible to pay the same before retrenchment. Payment or tender of compensation after the time when

the retrenchment has taken effect would vitiate the retrenchment and non-compliance with the mandatory provision

which has a beneficial purpose and a public policy behind it would result in nullifying the retrenchment.

17. If the workman is retrenched by an oral order or communication or he is simply asked not to come for duty, the

employer will be required to lead tangible and substantive evidence to prove compliance of Clauses (a) and (b)

of Section 25-F of the Act.”

Thus, in view of the fore gone discussion and principle laid down by the Hon'ble Apex Court as discussed above, we

arrive at conclusion that services of workman has been terminated by the Respondent in violation of provision of I.D.

Act, 1947 and hence not sustainable in the eye of law.

Therefore, Issue No.I is answered in favour of the Workman and against the Respondent.

25.

Issue No.II:- In view of the discussion and finding given at Issue No.I, it is established that the

Workman had worked for more than 240 days in a calendar year just preceding from the date of termination.

Respondent has not issued any notice under Sec.25 N of I.D.Act, 1947 before termination of workman and has not

paid any compensation as per provision contained under Sec.25 F of the I.D.Act, 1947. Therefore, the termination of

Petitioner from service vide oral order dated 31.3.1997 by the Respondent is in contravention of the provision

contained under Section 25-F of the I.D. Act, 1947 and is illegal and not justified and liable to be set aside.

26.

Now, let us see whether workman is entitled for reinstatement in the service or for any other relief.

In this context the reference of decision of Hon‘ble Supreme Court is relevant. In Ashok Kumar Sharma Vs.

Oberoi flight Services AIR 2010 SCC page 502 Hon‘ble Supreme Court have held:-

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[PART II—SEC. 3(ii)]

8. In the case of Sita Ram V. Moti Lal Nehru Farmers Training Institute2 this Court considered the matter thus:

"21. The question, which, however, falls for our consideration is as to whether the Labour Court was justified in

awarding reinstatement of the appellants in service.

22. Keeping in view the period during which the services were rendered by the Respondent (sic appellants); the fact

that the Respondent had stopped its operation of bee farming, and the services of the appellants were terminated in

December 1996, we are of the opinion that it is not a fit case where the appellants could have been directed to be

reinstated in service.

23. Indisputably, the Industrial Court, exercises a discretionary jurisdiction, but such discretion is required to be

exercised judiciously. Relevant factors therefor were required to be taken into consideration; the nature of

appointment, the period of appointment, the availability of the job, etc. should weigh with the court for determination

of such an issue.

24. This Court in a large number of decisions opined that payment of adequate amount of compensation in place of a

direction to be reinstated in service in cases of this nature would subserve the ends of justice. (See Jaipur

Development Authority v. Ramsahai [(2006) 11 SCC 684], M.P. Admn. v. Tribhuban [(2007) 9 SCC 748] and

Uttaranchal Forest Development Corpn. v. M.C. Joshi [(2007) 9 SCC 353])

25. Having regard to the facts and circumstances of this case, we are of the opinion that payment of a sum of Rs.

1,00,000 to each of the appellants, would meet the ends of justice. This appeal is allowed to the aforementioned

extent. In the facts and circumstances of this case, there shall be no order as to costs."

9. The afore-referred two decisions of this Court and few more decisions were considered by us in the case of Jagbir

JT 2008 (3)SC622 Singh V. Haryana State Agriculture Marketing Board3 albeit in the context of retrenchment of a

daily wager in violation of section 25F of Industrial Disputes Act who had worked for more than 240 days in a year

and we observed thus:

"7. It is true that earlier view of this Court articulated in many decisions reflected the legal position that if the

termination of an employee was found to be illegal, the relief of reinstatement with full back wages would ordinarily

follow. However, in recent past, there has been a shift in the legal position and in long line of cases, this Court has

consistently taken the view that relief by way of reinstatement with back wages is not automatic and may be wholly

inappropriate in a given fact situation even though the termination of an employee is in contravention to the

prescribed procedure. Compensation instead of reinstatement has been held to meet the ends of justice."

Further, in the case of State of Himachal Pradesh vs. Suresh Kumar Verma & anr. 1996 AIR 1565, three Judge

Bench of Hon'ble Apex Court have held:-

“It is settled law that having made rules of recruitment to various services under the State or to a class of posts under

the State, the State is bound to follow the same and to have the selection of the candidates made as per recruitment

rules and appointments shall be made accordingly. From the date of discharging the duties attached to the post the

incumbent becomes a member of the services. Appointment on daily wage basis is not an appointment to a post

according to the Rules.

It is seen that the project in which the Respondents were engaged had come to an end and that, therefore, they have

necessarily been terminated for want of work. The Court cannot give any directions to re-engage them in any other

work or appoint them against existing vacancies. Otherwise, the judicial process would become other mode of

recruitment de hors the rules.

Mr. Mahabir Singh, learned counsel for the Respondents contended that there was an admission in the counter

affidavit filed in the High Court that there were vacancies and that, therefore, the Respondents are entitled to be

continued in service. We do not agree with the contention. The vacancies require to be filled up in accordance with

the rules and all the candidates who would otherwise eligible are entitled to apply for when recruitment is made and

seek consideration of their claims on merit according to the Rules for direct recruitment along with all the eligible

candidates. The appointment on daily wages cannot be a conduct pipe for regular appointments which would be a

back-door entry, detrimental to the efficiency of service and would breed seeds of nepotism and corruption. It is

equally settled law that even for Class IV employees recruitment according to rules is a pre-condition. Only work-

charged employees who perform the duties of transitory nature are appointed not to a post but are required to

perform the work of transitory and urgent nature so long as the work exists. One temporary employee cannot be

replaced by another temporary employee.”

Thus, in view of the law laid down by the Hon‘ble Apex Court as discussed above in the matter at hand, the

Workman has been terminated long back in the year 1997 from the service by the Respondent in contravention of the

provision contained under Section 25-F. He was working as a temporary messenger and had not worked against a

regular permanent or sanctioned post. Moreover, a period of 25 years has already been elapsed since termination of

Petitioner from Respondent service. As per record, Petitioner had worked as temporary workman for a period of

10 years i.e., from 1986 to 1997 in the Respondent employment in different spells. Therefore, keeping in view the

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5377

nature of appointment and period of his employment and in the facts and circumstances of the case the award of

compensation instead of direction for reinstatement in the service would be appropriate relief and that will subserve

the end of justice. Thus, in view of the above the Workman in this case is entitled for compensation instead of

direction for reinstatement into service.

27.

Now question arises how much compensation would meet ends of justice. In view of the circumstances of

the case, Workman has served in the service of the Respondent management from 1986 to 1997 in different spells

and has also gone under physical and mental agony during long period of litigation for more than 24 years at

different levels. In the opinion of the court payment of a sum of Rs.2,00,000/- as lumpsum compensation to the

Workman would meet the ends of justice. Therefore, the claim statement is partly allowed.

28.

However, the learned counsel for Petitioner has also argued that the Petitioner Workman is entitled for

regularization in the employment of the Respondent management on the basis of his empanelment in the waiting list

for regularization. Therefore, the Petitioner is entitled for regularization in the service of the management.

29.

Perused the record. Petitioner has filed the claim statement with the averment that Petitioner had worked in

the Respondent bank in different spells from 1.4.86 till 31st March 1997. But the Respondent has terminated his

services without assigning any valid reason. Further, it is alleged that Respondent has retained his juniors in his

services and Respondent has failed to take prior permission from government for any retrenchment. In the claim

statement there is no iota of the pleading regarding regularization of Petitioner in the service of the Respondent

management. Further, in the relief clause of claim statement Petitioner has not mentioned prayer for the

regularization in the Respondent employment. The relief clause of the claim statement reads out as here under:-

“To set aside the termination order dated 1.4.97 passed against the Petitioner and to direct the Respondents to

reinstate the Petitioner into service with continuity of service together with back wages and all attendant benefits

etc.,”

Thus, in the absence of any pleading and evidence in support of Petitioner‘s claim of regularization in the

employment of Respondent, the plea in respect of regularization is not maintainable.

In this context I would like to make reference of the decision of Supreme Court in the case of Ram Sarup

Gupta(dead) by LRs v. Bishun Narain Inter College and others 1987 AIR 1242. In this case Hon‘ble Supreme

Court have held:-

“It is well settled that in the absence of pleading, evidence, if any, produced by the parties cannot be considered. It is

also equally settled that no party should be permitted to travel beyond its pleading and that all necessary and

material facts should be pleaded by the party in support of the case setup by it. The object and purpose of pleading is

to enable the advisory party to know the case it has to meet. In order to have a fair trial it is imperative that the party

should state the essential material facts so that other party may not be taken by surprise.”

Hon‘ble Supreme Court in several decisions have reiterated that evidence not supported by the pleadings is not

generally admissible. Therefore, in view of law laid down by Hon'ble Apex Court the evidence presented by WW1 in

respect of the claim of regularization in the employment is not admissible as there is no pleading in the claim

statement of the Petitioner to this effect. Therefore, in view of the above, the plea regarding regularization is not

tenable.

This issue is answered accordingly.

AWARD

The action of the management of State Bank of India, Local Head Office, Hyderabad in terminating the

services of Sri K. Chandrasekhara Rao, Temporary Messenger, with effect from 31.3.1997 is held not justified.

Therefore, termination order dated 31.3.1997 is hereby set aside. Respondent is directed to pay compensation of

Rs.2,00,000/- (Rupees two lakhs) to the workman within two months from the date of receipt of this award.

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 17th day of April, 2026.

IRFAN QAMAR, Presiding Officer

Appendix of evidence

Witnesses examined for the

Witnesses examined for the

Petitioner

Respondent

5378

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

WW1: Sri K. Chandrasekhara Rao

MW1: Sri Aluru Rama Rao

Documents marked for the Petitioner

Ex.W1:

Photocopy of marks memo

Ex.W2:

Photocopy of Service Certificate dated 1.7.96

Ex.W3:

Photocopy of Service certificate dated 18.9.1999

Ex.W4:

Photocopy of Service particulars from 1.4.1987 to 31.3.1997

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, 29 मई , 2026

का.आ. 1107.—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 (a108/2002) izdkf”kr djrh gSA

[सं. एल-12012/228/2000-आईआर(बी-I)]

सलोनी, उृ जनदेिक

New Delhi, the 29th May, 2026

S.O. 1107.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 108/2002) 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-12012/228/2000- IR(B-I)]

SALONI, Dy. Director

ANNEXURE

IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT

HYDERABAD

Present: Sri IRFAN QAMAR

Presiding Officer

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5379

Dated the 22nd day of April, 2026

INDUSTRIAL DISPUTE No. 108/2002

[Old ID No. 129/2000 of Industrial Tribunal No.I, Hyderabad]

Between:

Sri V. Ramesh Babu,

Kothapeta,

Gooty Dist,

Anantapur(A.P) -515001.

… Petitioner

And

The Dy. General Manager,

State Bank of India,

Zonal Office,

Renigunta Road,

Tirupathi-517501.

…....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-12012/228/2000-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. 129/2000, 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 State Bank of India, Main Branch, Anantapur is justified in terminating Sri V.

Ramesh Babu, 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. 108/2002 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

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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 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.”

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 1989 to 1996, and has rendered

unblemished service spreading over a period of about 8 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

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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

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

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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 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,

[भाग II—खण् ड 3(ii)]

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5383

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

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

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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

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 Service Certificate. Ex. W2 is the call letter for interview. Ex. W3 is the panel list. Ex. W4 is the

Service Certificate.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5385

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, Anatapur Main Branch in terminating the services of

Workman Sri V. Ramesh 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

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:-

5386

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[PART II—SEC. 3(ii)]

―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

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.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5387

“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

(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

5388

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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:

"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."

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5389

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 provision

contained Under 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 the regular process of selection before my

engagement as temporary attender.”

“I did not work for 240 days in any year in my entire 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

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

5390

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5391

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.”

Further, witness states that, “It is true that some of the employees who were included in the panel were given regular

appointment in the bank, as per their seniority in number of days.” Further, witness states that, “I am not having any

papers to show that any of my juniors are working 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

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[PART II—SEC. 3(ii)]

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 राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5393

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

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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.

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 राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5395

AWARD

In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the

services of Sri V. Ramesh Babu, 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, 22nd day of April 2026.

IRFAN QAMAR, Presiding Officer

Appendix of evidence

Witnesses examined for the

Witnesses examined for the

Petitioner

Respondent

WW1: Sri V. Ramesh Babu

MW1: Sri K. Bala Kotaiah

Documents marked for the Petitioner

Ex.W1:

Photocopy of Service Certificate

Ex.W2:

Photocopy of call letter for interview

Ex.W3:

Photocopy of panel list

Ex.W4:

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, 29 मई , 2026

का.आ. 1108.—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 (a142/2002) izdkf”kr djrh gSA

[सं. एल-12012/66/2000-आईआर(बी-I)]

5396

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

सलोनी, उृ जनदेिक

New Delhi, the 29th May, 2026

S.O. 1108.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 142/2002) 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-12012/66/2000- IR(B-I)]

SALONI, Dy. Director

ANNEXURE

IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT

Present: Sri IRFAN QAMAR

Presiding Officer

Dated the 25th day of March, 2026

INDUSTRIAL DISPUTE No. 142/2002

[Old ID No.44/2000 of Industrial Tribunal No.I, Hyderabad]

Between:

Sri D. Redya,

S/o Megya,

R/o 2-36/1,

Rahamathnagar,

Mandal Bheemgal,

Nizamabad Distt

… Petitioner

And

The Assistant General Manager,

(Personnel & HRD Deptt.),

State Bank of India,

Local Head Office,

Bank Street, Koti,

Hyderabad-500 095.

…..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-12012/66/2000-IR(B.I) dated 14.07.2000

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.44/2000, 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, Local Head Office, Hyderabad in

terminating the services of Sri D. Redya, Ex-Temporary Messenger by way of oral orders w.e.f. 31.3.1997 is

justified? If not, what relief he is entitled?‖

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5397

After receipt of the reference, it was numbered as ID No. 142/2002 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 1987 to 1996, 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

5398

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5399

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

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

5400

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5401

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

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

5402

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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 W8. 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

Service certificate. Ex.W5 is the service certificate. Ex.W6 is the service certificate. Ex. W7 is the letter to

Employment Exchange by Respondent. Ex. W8 is the circular letter 14.07.1999.

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 branch in terminating the services of

Workman Sri D. Redya, 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 राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5403

(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 राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5405

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 ..‖

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[PART II—SEC. 3(ii)]

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 provision

contained Under 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 the regular process of selection before my engagement as temporary Non-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

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.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5407

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

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

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5409

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 1989,…. 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 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

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

5410

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5411

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

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

5412

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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.

AWARD

In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the

services of Sri D. Redya, 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 25th day of March, 2026.

IRFAN QAMAR, Presiding Officer

Appendix of evidence

Witnesses examined for the

Witnesses examined for the

Petitioner

Respondent

WW1: Sri D. Redya

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 Service certificate

Ex.W5:

Photocopy of Service certificate

Ex.W6:

Photocopy of service certificate

Ex.W7:

Photocopy of letter to employment exchange by the Respondent

Ex.W8:

Photocopy of circular letter 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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5413

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, 29 मई , 2026

का.आ. 1109.—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 deZdkjkas ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa dsUnzh;

ljdkj औद्योजगक vf/kdj.k@Je U;k;ky;

ds iapkV (a141/2002) izdkf”kr djrh gSA

[सं. एल-12012/65/2000-आईआर(बी-I)]

सलोनी, उृ जनदेिक\

New Delhi, the 29th May, 2026

S.O. 1109.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 141/2002) 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-12012/65/2000- 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 25/4 day of March, 2026

INDUSTRIAL DISPUTE No. 141/2002

[Old ID No.43/2000 of Industrial Tribunal No.I, Hyderabad]

Between:

Sri S. Muthaiah,

S/o Laxmaiah,

Thotapalli(V),

Jangapalli (PO)

Bejjanki (M),

Karimnagar Dist. – 505 536.

… Petitioner

And

The Asst. General Manager,

(Personnel & HRD Department),

5414

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

State Bank of India,

Local Head Office,

Bank Street, Koti,

Hyderabad – 500095(A.P).

…..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-12012/65/2000-IR(B.I) dated 14.07.2000

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.43/2000, 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, Local Head Office, Hyderabad in

terminating the services of Sri S. Muthaiah, Ex. Temporary Messenger, 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. 141/2002 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.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5415

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 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

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

5416

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5417

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

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

5418

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

thereon.

17.

Respondent contended that, in fact, the case of the Workman can be considered under all the five settlements

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5419

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 W8. 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 is the service certificate. Ex.W6 is the service certificate. Ex. W7 is the letter to Employment

Exchange by Respondent. Ex. W8 is the circular letter 14.07.1999.

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.

5420

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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 branch in terminating the services of

Workman Sri S. Muthaiah, 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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5421

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

the 3rd Respondent representing admittedly the large majority of the workmen has stood by this settlement and that is

5422

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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 राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5423

(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 provision

contained Under Section 25-F read with Section 25-B of the I.D. Act, 1947.

5424

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5425

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

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

5426

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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 Messenger, in response to the advertisement issued by the bank and the union in the

year 1989,…. 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 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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5427

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

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

5428

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5429

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.

AWARD

In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the

services of Sri S. Muthaiah, 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 Smt. K. Phani Gowri, Personal Assistant, transcribed by her, corrected and signed by

me on this the 25th day of March, 2026.

IRFAN QAMAR, Presiding Officer

Appendix of evidence

5430

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

Witnesses examined for the

Witnesses examined for the

Petitioner

Respondent

WW1: Sri S. Muthaiah

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 letter to employment exchange by the Respondent

Ex.W8:Photocopy of circular letter 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, 29 मई , 2026

का.आ. 1110.—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 औद्योगिक fookn esa

dsUnzh; ljdkj औद्योजगक vf/kdj.k@Je U;k;ky;

ds iapkV (a59/2002) izdkf”kr djrh gSA

[सं. एल-12012/263/2000-आईआर(बी-I)]

सलोनी, उृ जनदेिक

New Delhi, the 29th May, 2026

S.O. 1110.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 59/2002) of the Cent.Govt.Indus.Tribunal-cum-Labour Court

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5431

Hyderabad as shown in the Annexure, in the industrial dispute between the management of State Bank of India and

their workmen.

[No. L-12012/263/2000- 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 28th day of April, 2026

INDUSTRIAL DISPUTE No. 59/2002

[Old ID No. 151/2000 of Industrial Tribunal No.I, Hyderabad]

Between:

Sri P. Ravikanth,

S/o Sri P. Sambasiva Rao,

H.No/2-10, Medipally Post,

Respondent Dist. Hyderabad – 500 039.

… Petitioner

And

The Asst. General Manager,

(Personnel & HRD))

State Bank of India,

Local Head Office, Bank Street,

Hyderabad-500 095.

…..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-12012/263/2000-IR(B.I) dated 16.10.2000

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. 151/2000, 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, Local Head Office, Hyderabad in

terminating the services of Sri P. Ravikanth, Temporary/-Messenger, by way of oral orders with effect from

31.3.1997 is justified? If not, what relief the workman is entitled?‖

After receipt of the reference, it was numbered as ID No. 59/2002 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

5432

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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. 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 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 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.”

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5433

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

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

5434

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5435

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,

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

5436

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5437

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 and W1 A are the service certificates. Ex.W2 is the notification. Ex.W3 is the interview call letter. Ex.W4 is

the panel list. Ex.W5 to Ex.W9 are the service certificates. Ex.W10 is the lr. to employment exchange. Ex.W11 is

the audit report.

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, main branch in terminating the services of Workman Sri

P. Ravikanth, 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

5438

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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:-

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5439

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—

(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:

5440

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

(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

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 राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5441

"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 have not been sponsored by any employment exchange. I did not undergo the regular process of selection before

my engagement as temporary attender in the branch..”

“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

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

5442

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5443

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 for appointment as Messenger, in response to the advertisement issued by 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 the 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 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

5444

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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 राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5445

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,

5446

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

―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.

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5447

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.

AWARD

In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the

services of Sri P. Ravikanth, 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 28th day of April, 2026.

IRFAN QAMAR, Presiding Officer

Appendix of evidence

Witnesses examined for the

Witnesses examined for the

Petitioner

Respondent

WW1: Sri P. Ravikanth

MW1: Sri Aluru Rama Rao

Documents marked for the Petitioner

Ex.W1 &

Ex.W1A:Photocopies of service certificates

Ex.W2: Photocopy of News paper advertisement/ 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

Ex.W10:Photocopy of lr. to employment exchange

Ex.W11:Photocopy of audit report

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

5448

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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, 29 मई , 2026

का.आ. 1111.—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 (a146/2002) izdkf”kr djrh gSA

[सं. एल-12012/34/2000-आईआर(बी-I)]

सलोनी, उृ जनदेिक

New Delhi, the 29th May, 2026

S.O. 1111.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 146/2002) 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-12012/34/2000- 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 24th day of March, 2026

INDUSTRIAL DISPUTE No. 146/2002

[Old ID No.27/2000 of Industrial Tribunal No.I, Hyderabad]

Between:

Sri Y. Ramanjini,

Ragulapudu(P&V),

Vajrakarur,

Dist. Anantapur,

Andhra Pradesh.

…Petitioner

And

The Dy. General Manager,

State Bank of India,

Zonal Office,

Renigunta Road,

Tirupathi.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5449

…..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-12012/34/2000-IR(B.I) dated 06.07.2000

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.27/2000, 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

― Is the state Bank of India, Vajrakarur Branch justified in terminating Sri Y. Ramanjini, Messenger by way

of oral orders w.e.f. 31.3.1997 from the service of the Bank? If so, what relief he is entitled to?‖

After receipt of the reference, it was numbered as ID No. 146/2002 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,

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[PART II—SEC. 3(ii)]

(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 Sweeper from 1984 to 1997, and has rendered

unblemished service spreading over a period of about 13 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 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

[भाग II—खण् ड 3(ii)]

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5451

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

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

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5453

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

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

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[PART II—SEC. 3(ii)]

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 W5. 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 certificate. Ex.W4 is the

service certificate. Ex.W5 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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5455

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, Vajrakarur Branch in terminating the services of

Workman Sri Y. Ramanjini, 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

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

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5457

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

(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

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[PART II—SEC. 3(ii)]

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 provision

contained Under 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 the regular selection process required for

appointment in the Bank.”

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5459

“I did not work for 240 days in any year in my entire 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

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

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[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5461

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 given by the Bank and I was called for the interview and my name was

included in the panel in the year 1992,…. Further, witness states, the panel was prepared depending upon the number

of days of service of the temporary employees. Some of the employees whose names were included in the panel were

given appointment on regular basis…. Further witness states, I am not having any proof 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

5462

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5463

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

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

5464

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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.

AWARD

In view of the fore gone discussion, it is held that the action of the Respondent bank in terminating the

services of Sri Y. Ramanjini, 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 24th day of March, 2026.

IRFAN QAMAR, Presiding Officer

Appendix of evidence

Witnesses examined for the

Witnesses examined for the

Petitioner

Respondent

WW1: Sri Y. Ramanjini

MW1: Sri K. Bala Kotaiah

Documents marked for the Petitioner

Ex.W1: Photocopy of Notification

Ex.W2: Photocopy of Interview call letter

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5465

Ex.W3: Photocopy of Service certificate

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, 1 जून, 2026

का.आ. 1112.—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 (a21/2004) izdkf”kr djrh gSA

[सं. एल-12025/01/2026-आईआर(बी-I)-141]

सलोनी, उृ जनदेिक

New Delhi, the 1st June, 2026

S.O. 1112.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 21/2004) 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)-141]

SALONI, Dy. Director

ANNEXURE

IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT

HYDERABAD

Present: Sri IRFAN QAMAR

Presiding Officer

Dated the 16th day of April, 2026

INDUSTRIAL DISPUTE L.C.No. 21/2004

Between:

Sri A. Siddappa,

5466

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

S/o A. Krishna Murthy,

R/o 22/373, Yadava Street,

Dharmavaram,

Anantapur Dist.

… Petitioner

And

1.

The Chief General Manager,

Local Head Office,

State Bank of India, Koti,

Bank Street,

Hyderabad.

2.

The Asst. General Manager,

State Bank of India,

Zonal office, Tirupathi.

Chittoor Dist.

…..Respondents

Appearances:

For the Petitioner :

Sri Macherla Rangaiah, Advocate

For the Respondent:

Sri Y. Ranjeeth Reddy, Advocate

AWARD

Sri A. Siddappa, 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 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. The dispute has

been registered and numbered in this Tribunal as LC No.21/2004.

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5467

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 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.”

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 20.3.2019.

3.

The factual matrix of instant industrial dispute as narrated by the Workman in his claim statement is that the

Petitioner herein was engaged by the Respondent Bank—State Bank of India—as a Messenger (temporary employee).

The Petitioner have joined the service of the Respondent Bank and worked from 1990 to 1997 and rendered

unblemished service spreading over a period of about 8 years. It is submitted that the services of the Petitioner were

terminated with verbal orders dt. 31.03.1997 without assigning any valid reasons. But the Respondent has retained

Petitioner‘s juniors in service. The Respondent has failed to take the prior permission from the government for his

retrenchment. It is submitted that he could not secure any alternative employment till date inspite of his best efforts.

It is submitted that there is sufficient work with the Respondent and extending the opportunities to others denying the

Petitioner is unjust and contrary to law. Hence, the action of the Respondent is not justified. Therefore, it is prayed

to grant the relief of reinstatement with full back wages and all attendant benefits.

4.

The Respondent Bank contends that the reference made is untenable under the Industrial Disputes Act, 1947

as the Bank temporarily engaged subordinate staff—messengers, sweepers, etc.—strictly on a need-based, ad hoc

basis to ensure uninterrupted operations to address staff shortages due to leave vacancies and constraints imposed by

the Government of India and RBI on hiring.

5.

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. Various discussions were held to resolve the said issue, resulting in five

settlement agreements between the Bank and the Workmen.

6.

The first settlement dated 17.11.1987 (under Sec. 2(p) r/w Sec. 18(1) of the ID Act) categorized temporary

employees and provided for consideration of permanent absorption against vacancies between 1987–1991. The

second settlement dated 16.07.1990 extended this period to 1987–1992. The third settlement dated 27.10.1990

reaffirmed consideration of vacancies arising from 1990–1992. Following these, the Government of India issued

recruitment guidelines on 16.08.1990, recommending settlement-based absorption for temporary employees with

more than 240 days of service in a 12-month block. For those with fewer days, the guidelines allowed for discretion-

based conciliation.

7.

Despite this, the Bank, in a liberal approach, considered even those with less than 90 days' service and those

employed since 1975. However, para 6(k) of the approach paper clarified that this would be a one-time exercise

resolving all past claims. Subsequently, the fourth settlement dated 09.01.1991 extended panel validity to 1994, with

daily wagers considered for 1995–1996 vacancies. It is submitted that Zone-wise panels (1989 for temporary

employees and 1992 for daily wagers) were also created, listing candidates in descending order of service from

01.07.1975 to 31.07.1990.

8.

The Federation also sought implementation through the Regional Labour Commissioner (Central), resulting

in a conciliation agreement on 09.02.1995. This led to the fifth settlement dated 30.07.1996. Finally, on 27.02.1997, a

Memorandum of Understanding recorded that 403 messengerial vacancies were identified and would be filled from

the 1989 panel. Both panels were agreed to lapse on 31.03.1997. Thus, the Workman, who served less than 240 days

in any 12-month block during the reference period, has no legal claim outside these settlements.

9.

It is further argued that the Workman‘s case has already been considered under the five settlements. The

settlements were time-bound and binding on both parties, hence, the Bank was not obligated to absorb all empanelled

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[PART II—SEC. 3(ii)]

candidates. Sustaining panels beyond 31.03.1997 would contradict the settlements and constitutional principles

(Articles 14 & 16), amounting to backdoor regularization.

10.

The Hon‘ble High Court in WP No.12964/94 has affirmed that such settlements are binding and temporary

service does not create a right to regularization unless the Workman can show violation of a specific settlement term,

which is not the case here. 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."

11.

Hence, the Workman‘s claim was held misconceived. Furthermore, if the panels were not allowed to lapse, it

would undermine open recruitment processes, violating constitutional rights of other eligible candidates under

Articles 14 and 16 of the Constitution as well as contrary to the settlements.

12.

Similarly placed ex-temporary employees approached the High Court via WP No. 9206/1995. Though

allowed by the Single Judge, the Division Bench reversed the decision in WA No. 86/1998. The Supreme Court

subsequently dismissed SLP Nos. 11886-11888/1998, making the original judgment irrelevant.

13.

The Workman (WW1) filed and relied on documents Ex.W1 to W11, including appointment letters,

interview letters, and service certificates showing employment across various periods. However, Respondent has

failed to controvert the claim and evidence of the Petitioner by adducing any oral or documentary evidence.

Therefore, the claim of the Petitioner that he was terminated illegally and in contravention of the provision of Sec.25F

is proved.

14.

The Workman also cited various judicial precedents which shall be addressed in the relevant portion of this

Award.

15.

Heard the argument of Learned Counsel for Workman as well as for Respondent.

16.

On the basis of pleadings and submissions made by the Learned Counsel for both the parties, following

points arise for determination in the industrial dispute :-

I.

Whether the action of State Bank of India, Local Head Office, Hyderabad in terminating the

services of Workman Sri A. Siddappa, a Temporary/Messenger with effect from 31.3.1997 is

justified?

II.

To what relief if any the Workman is entitled for?

Findings:-

17.

Issue No.I:-

The Workman alleged that 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 illegally. Further, he

alleges that he has been terminated from service in violation of provision contained under Section 25 F of I.D. Act,

1947 and same is liable to be set aside.

18.

On the other hand, Respondent counsel contended that Workman has not worked continuously for 240 days

in any preceding calendar year and reference of the industrial dispute is not maintainable. Before examining the

claim of the Workman on merit it would be apposite to have a glance on the relevant provision pertaining to

retrenchment of workman under I.D. Act, 1947.

2(oo) “retrenchment” means the termination by the employer of the service of a workman for any reason whatsoever,

otherwise than as a punishment inflicted by way of disciplinary action, but does not include—

(a) voluntary retirement of the workman; or

(b) retirement of the workman on reaching the age of superannuation if the contract of employment between the

employer and the workman concerned contains a stipulation in that behalf; or

(bb) termination of the service of the workman as a result of the non-renewal of the contract of employment between

the employer and the workman concerned on its expiry or of such contract being terminated under a stipulation in

that behalf contained therein; or

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5469

(c) termination of the service of a workman on the ground of continued ill-health;”

In view of the definition of retrenchment, perused the record. The Workman claims that he had been terminated from

the service of the Respondent in contravention of the provision of ID Act. The case of the Workman does not fall in

any exclusive clause of section 2(oo). Therefore, he is included in the category of retrenchment as defined under

section 2(oo) of the I.D.Act, 1947.

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;

Thus, in view of the above provision, Workman has to prove that he had worked with Respondent continuously for

240 days uninterruptedly in 12 months of a calendar year just preceding from data of his termination i.e., 31.3.1997.

It is settled law that the initial burden of proof to prove the fact of 240 days of service in the 12 months of a calendar

year just preceding from the date of termination, lies upon the Workman and he is duty bound to prove this factum

by adducing oral as well as documentary evidence in support of his claim.

As regard burden of proof and calculation of 240 continuous working days, following decisions of Hon‘ble Supreme

Court are relevant as discussed here under:-

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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[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.”

19.

Thus, in view of the law laid down by Hon'ble Apex Court as discussed above in respect of calculating the

240 days continuous service by workman as per provision under Section 25-F read with Section 25-B of the I.D. Act,

1947, we have to examine whether Workman herein 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 by his evidence.

20.

In order to corroborate the averments made in claim statement, Petitioner has examined himself as WW1

and in his oral testimony WW1 has stated that he joined the service of Respondent at Dharmavaram Branch, from

1990 to 31.3.1997 for 831 days as a temporary Messenger and worked continuously in that branch depending upon

the availability of work and also as per the orders of bank officers till 31.3.1997. WW1 states that the Respondent has

not given any advance notice to him before his termination and has not obtained prior permission from central

government for his retrenchment and Respondent has not given him any order of termination. Further, WW1 states

that he had worked Dharmavaram branch of the Respondent and Ex.W1 is the Service certificate dt. 17.7.91 for 96

days in the year 1991 prior to interview. Ex.W2 is the service certificate dt. 30.11.96 showing that Petitioner worked

for 741 days during 1991 to 1997. Ex.W3 is the service certificate dated 10.4.97 showing that he worked for 831

days. Ex.W4 to W7 are the service certificates for 264 days work. Ex.W8 is fail memo of SSC. Ex.W9 is

notification. Ex.W10 is the certificate dt.27.10.93 empanelling Petitioner at Roll.No.5073. Ex.W11 is the service

certificate sowing that his working days as 264 days from 24.1.96 to 31.12.96.

21.

Further WW1 states that he worked for more than 240 days continuously in different spells in one year

period of time and he worked for 264 days continuously during the period from January, 1996 to December, 1996,

Ex.W2 is the certificate in this regard. Further, WW1 states that there were no complaints against him from any

customers or officers of the Respondent throughout the period of his service. This Witness was cross examined by

the Respondent counsel and in his cross examination the WW1 states that he was given appointment as a messenger

on temporary basis in the year 1990. Further, witness states that he was not sponsored by any employment

exchange. Further, witness states that he did not work continuously and he used to work depending upon availability

of work in the bank. Further, in reply to the question put by the Respondent counsel in cross examination, WW1

states that it is true that he did not work for 240 days in any year in his service.

The workman‘s working days during 1996-1997 is as follows:-

Month

Working days

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5471

April,1996

30

May, 1996

26

June, 1996

30

July, 1996

29

August, 1996

24

September, 1996

12

October, 1996

15

November, 1996

25

December, 1996

25

January, 1997

29

February, 1997

28

March, 1997

17

Total

290

Thus, sum of working days as shown in the above table is 290 days which is more than 240 working days as required

under the provision of section 25F of the ID Act for continuous service.

22.

However, Learned Counsel for Respondent bank has contended that the Petitioner has not worked

continuously for 240 days in a calendar year with the Respondent and protection from termination is not available to

Petitioner as per provision under section 25 F of I.D. Act, 1947. On going oral and documentary evidence available

on record it manifest that Respondent had engaged the Petitioner as a temporary messenger in different spells as

mentioned in his appointment letter during the total period of about 8 years. We may conclude from the documents

filed in evidence on record, that the Respondent has created artificial breaks in the working days of the Petitioner in

order to deprive him from completing 240 days of continuous service and in order to defeat social security provision

under the I.D. Act, 1947. Moreover, Petitioner has been regularly engaged during the long period of 10 years by the

Respondent as a temporary messenger and has created artificial breaks of few days or more in his engagement as

employee. The conduct of Respondent in creating artificial breaks in engagement of workers is nothing but unfair

labour practice adopted by Respondent in order to deprive the Petitioner from entitlement of any benefits of social

security under the provision of I.D. Act, 1947. Thus, it can safely be concluded that Respondent with malafide

intention has deliberately created artificial break in the employment of the Petitioner as a temporary messenger.

23.

Thus, in view of the fore gone discussion and on going documentary and oral evidence on record I am of the

view that the Workman had worked for 240 days continuously in 12 months of calendar year just preceding from the

date of his termination i.e., 31.3.1997. Undisputedly, Respondent has not filed any document pertaining to the fact

that 3 months notice was issued to the Petitioner as per provision contained under section 25N of the ID Act before

termination of Petitioner for service by oral order w.e.f.1.4.1997. Further, there is no evidence on record to the fact

that Respondent has paid any amount toward compensation. Therefore, oral termination order of the Petitioner from

employment issued by Respondent with effect from 1.4.1997 is in contravention of provision contained under section

25N of the I.D. Act, 1947 and hence not sustainable in the eye of law.

In the case of Shankar Bhimrao Kadam and others Vs. Tata Mototrs Limited, Bombay High Court in its

decision dated 28.2.2022 in Writ Petition No.5588 of 2017 have held:-

"52. I have independently assessed the entire oral and documentary evidence adduced before the Labour Court in

these cases and upon analysis of the same, I have come to a firm conclusion that in hundreds of cases, the present

Respondent has created a farcical picture by posing that the work allotted to the temporaries was limited only to the

maximum extent of 7 months. As discussed above, the dedicated department for engagement of temporary workers,

apparently kept a close watch on the duration of employment of these Petitioners and in a case like Balu Bapuji

Shelke, who had put in 232 days in his first round and 238 days in his third round, his service was abruptly

intercepted and he was disengaged. He had almost reached the figure of 240 days and was thrown out, after

completing 238 days. This indicates that the Respondent-management has created an eye-wash and paper-work with

the intention of creating evidence that no worker had completed 240 days. Even in Sunil Pralhad Khomane (supra),

the learned judge of this court, after analyzing the entire evidence before him, concluded that the company has

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[PART II—SEC. 3(ii)]

apparently misused Section 2(oo)(bb). For the reasons assigned by me and my esteemed brother in Sunil (supra), I

find that the said conclusion was justified and in all these cases in hands, Section 2(oo)(bb) will not be applicable. To

hold otherwise, would create a mockery of Section 2(oo)(bb).

58. It cannot be ignored from the various rounds of temporary employments of these temporaries that after one

disengagement, they used to look forward for the next appointment order. As expected, they used to receive such

appointment orders. They used to perform their duties not only till the tenure mentioned in the appointment order was

completed, but even upto reaching any duration between 225 days to 238 days in one single stint of temporary

employment. None of the temporaries in such cases, ever received an appointment order that a particular temporary

would work for 238 days or 236 days, etc. The maximum tenure was an appointment for 7 months. This was not the

pattern followed in Mahindra & Mahindra Ltd., Nagpur (supra), inasmuch, as it was noticed by this court in the said

case that the workers used to work in other factories during their disengagement and had actually approached the

Industrial Court after about 9 to 23 years."

Similarly, in the present case Respondent has issued number of appointment letters to engage the Workman for the

work in different spells for his employment in its branches. The practice of Respondent management of issuance of

the appointment letters in different spells for this engagement of the Petitioner Workman during the whole period for

more than 8 years clearly manifest that Respondent management has adopted unfair labour practice in order to

deprive the Workman from availing social security benefits accruing to him under the provision of Industrial Disputes

Act, 1947.

24.

Perused the record. Petitioner witness WW1 in his statement in chief has categorically stated that he had

worked for more than 240 days continuously in different spells in a period of one year. He worked for 264 days

continuously during the period from January to November, 1996 at Dharmavaram branch. Ex.W2 is the certificate

in this regard. Lastly, he worked for 90 days from December, 1996 to March, 1997, Ex.W3 is the certificate in this

regard. Whereas in the cross examination witness WW1 stood firm in respect of his statement given in chief

examination. However, at one place in cross examination in reply to the question he had given the statement that it is

true that he did not work for 240 days in any year. But in the suggestions given by Respondent counsel witness has

stated that it is not true to say that he had never worked for 240 days in any year as stated by him. It is settled law

that the statement of any witness cannot be read in isolation and the whole statement has to be taken into

consideration while appreciating the evidence in the case. Whereas the claim of the Petitioner that he had worked

for more than 240 days in a calendar year with the Respondent is fully corroborated by oral and documentary

evidence produced by the Petitioner. Therefore, the contention of the Respondent in view of the above is not

tenable. Further, documents filed by the Petitioner in evidence goes to reveal that during the period from 1990 upto

the date of his termination i.e., 31.3.1997 workman had been engaged by Respondent for the work on number of

times with the breaks, that goes to manifest that there was the work available in the Respondent bank and also need

of engagement of the Workman. Therefore, the Workman was engaged by Respondent management on number of

times during the long period of more than 8 years and artificial breaks in the employment of Petitioner has been

created by the Respondent intentionally and deliberately in order to deprive the workman from the social security

benefit provided under the ID Act. Therefore, in view of the above, the contention of the Respondent is not tenable.

Respondent has cited number of decisions of Hon‘ble Apex Court and Hon'ble High Courts which are being

discussed as hereunder:-

In the case of Bholaram vs. PO, Labour Court Ambala & ors CWP No.4784/2010 dated 2.6.2011, of Hon'ble

High Court of Punjab & Haryana, wherein Hon'ble High Court have held that Petitioner is directed to be reinstated in

the service with 50% of back wages.

Further, in the case of Kuldeep Singh vs. G.M., Instrument Design D & F., DOD, dated 3.12.2010, the facts of the

case are that the Petitioner Kuldeep, the workman was appointed as a Data Entry Operator on daily wages on

8.10.1990 and he worked as such till 28.11.1991 and thereafter on adhoc basis and worked upto 26.5.1992 without

any break when his services were terminated by the employer. The Respondent management, according to Petitioner,

no notice or compensation in lieu thereof, was given for terminating his services though he had worked for 240 days

in the preceding 12 months. In that case Hon'ble Supreme Court have held that the management has terminated the

services of the Petitioner workman without complying the provision of Sec.25F of the I.D.Act, 1947 and the said

order is illegal, null and void deserves to be set aside, and ordered reinstatement of the Appellant workman with

consequential service benefits without back wages within a period of eight weeks.

Further, in the case of State of Karnataka vs. Uma Devi Civil Appeal No.3595-3612 of 1990 dated 10.4.2006,

therein Constitutional Bench of Hon'ble Supreme Court have held,

“15. We have already indicated the constitutional scheme of public employment in this country, and the executive, or

for that matter the Court, in appropriate cases, would have only the right to regularize an appointment made after

following the due procedure, even though a non-fundamental element of that process or procedure has not been

followed. This right of the executive and that of the court, would not extend to the executive or the court being in a

position to direct that an appointment made in clear violation of the constitutional scheme, and the statutory rules

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5473

made in that behalf, can be treated as permanent or can be directed to be treated as permanent.

……..

44. One aspect needs to be clarified. There may be cases where irregular appointments (not illegal appointments) as

explained in S.V.NARAYANAPPA (supra), R.N. NANJUNDAPPA (supra), and B.N. NAGARAJAN (supra), and

referred to in paragraph 15 above, of duly qualified persons in duly sanctioned vacant posts might have been made

and the employees have continued to work for ten years or more but without the intervention of orders of courts or of

tribunals. The question of regularization of the services of such employees may have to be considered on merits in the

light of the principles settled by this Court in the cases above referred to and in the light of this judgment. In that

context, the Union of India, the State Governments and their instrumentalities should take steps to regularize as a one

time measure, the services of such irregularly appointed, who have worked for ten years or more in duly sanctioned

posts but not under cover of orders of courts or of tribunals and should further ensure that regular recruitments are

undertaken to fill those vacant sanctioned posts that require to be filled up, in cases where temporary employees or

daily wagers are being now employed. The process must be set in motion within six months from this date. We also

clarify that regularization, if any already made, but not subjudice, need not be reopened based on this judgment, but

there should be no further by-passing of the constitutional requirement and regularizing or making permanent, those

not duly appointed as per the constitutional scheme.”

Thus, in the above cited decision Hon'ble Apex Court has laid down guidelines for deciding the question of

regularization of the services of the employees. Further, as regard other decisions of Hon‘ble Court filed by the

Petitioner in support of his argument, therein, the Hon‘ble Supreme Court has laid down the principle that the

termination of the employee in contravention of the provision of Sec.25F of I.D. Act, 1947 is illegal and null and

void and liable to be set aside.

Moreover, Hon‘ble Supreme Court in the case of Anoop Sharma vs. Exec. Engineer Public Health Division dated

9.4.2010, Civil Appeal No.3478 of 2010 have held:-

“15. In State Bank of India v. N. Sundara Money (supra), the Court emphasised that the workman cannot be

retrenched without payment, at the time of retrenchment, compensation computed in terms of Section 25-F(b).

16. The legal position has been beautifully summed up in Pramod Jha v. State of Bihar (supra) in the following words:

"The underlying object of Section 25-F is twofold. Firstly, a retrenched employee must have one month's time

available at his disposal to search for alternate employment, and so, either he should be given one month's notice of

the proposed termination or he should be paid wages for the notice period. Secondly, the workman must be paid

retrenchment compensation at the time of retrenchment, or before, so that once having been retrenched there should

be no need for him to go to his employer demanding retrenchment compensation and the compensation so paid is not

only a reward earned for his previous services rendered to the employer but is also a sustenance to the worker for the

period which may be spent in searching for another employment. Section 25-F nowhere speaks of the retrenchment

compensation being paid or tendered to the worker along with one month's notice; on the contrary, clause (b)

expressly provides for the payment of compensation being made at the time of retrenchment and by implication it

would be permissible to pay the same before retrenchment. Payment or tender of compensation after the time when

the retrenchment has taken effect would vitiate the retrenchment and non-compliance with the mandatory provision

which has a beneficial purpose and a public policy behind it would result in nullifying the retrenchment.

17. If the workman is retrenched by an oral order or communication or he is simply asked not to come for duty, the

employer will be required to lead tangible and substantive evidence to prove compliance of Clauses (a) and (b)

of Section 25-F of the Act.”

Thus, in view of the fore gone discussion and principle laid down by the Hon'ble Apex Court as discussed above, we

arrive at conclusion that services of workman has been terminated by the Respondent in violation of provision of I.D.

Act, 1947 and hence not sustainable in the eye of law.

Therefore, Issue No.I is answered in favour of the Workman and against the Respondent.

25.

Issue No.II:- In view of the discussion and finding given at Issue No.I, it is established that the

Workman had worked for more than 240 days in a calendar year just preceding from the date of termination.

Respondent has not issued any notice under Sec.25 N of I.D.Act, 1947 before termination of workman and has not

paid any compensation as per provision contained under Sec.25 F of the I.D.Act, 1947. Therefore, the termination of

Petitioner from service vide oral order dated 31.3.1997 by the Respondent is in contravention of the provision

contained under Section 25-F of the I.D. Act, 1947 and is illegal and not justified and liable to be set aside.

26.

Now, let us see whether workman is entitled for reinstatement in the service or for any other relief.

In this context the reference of decision of Hon‘ble Supreme Court is relevant. In Ashok Kumar Sharma Vs.

Oberoi flight Services AIR 2010 SCC page 502 Hon‘ble Supreme Court have held:-

8. In the case of Sita Ram V. Moti Lal Nehru Farmers Training Institute2 this Court considered the matter thus:

5474

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

"21. The question, which, however, falls for our consideration is as to whether the Labour Court was justified in

awarding reinstatement of the appellants in service.

22. Keeping in view the period during which the services were rendered by the Respondent (sic appellants); the fact

that the Respondent had stopped its operation of bee farming, and the services of the appellants were terminated in

December 1996, we are of the opinion that it is not a fit case where the appellants could have been directed to be

reinstated in service.

23. Indisputably, the Industrial Court, exercises a discretionary jurisdiction, but such discretion is required to be

exercised judiciously. Relevant factors therefor were required to be taken into consideration; the nature of

appointment, the period of appointment, the availability of the job, etc. should weigh with the court for determination

of such an issue.

24. This Court in a large number of decisions opined that payment of adequate amount of compensation in place of a

direction to be reinstated in service in cases of this nature would subserve the ends of justice. (See Jaipur

Development Authority v. Ramsahai [(2006) 11 SCC 684], M.P. Admn. v. Tribhuban [(2007) 9 SCC 748] and

Uttaranchal Forest Development Corpn. v. M.C. Joshi [(2007) 9 SCC 353])

25. Having regard to the facts and circumstances of this case, we are of the opinion that payment of a sum of Rs.

1,00,000 to each of the appellants, would meet the ends of justice. This appeal is allowed to the aforementioned

extent. In the facts and circumstances of this case, there shall be no order as to costs."

9. The afore-referred two decisions of this Court and few more decisions were considered by us in the case of Jagbir

JT 2008 (3)SC622 Singh V. Haryana State Agriculture Marketing Board3 albeit in the context of retrenchment of a

daily wager in violation of section 25F of Industrial Disputes Act who had worked for more than 240 days in a year

and we observed thus:

"7. It is true that earlier view of this Court articulated in many decisions reflected the legal position that if the

termination of an employee was found to be illegal, the relief of reinstatement with full back wages would ordinarily

follow. However, in recent past, there has been a shift in the legal position and in long line of cases, this Court has

consistently taken the view that relief by way of reinstatement with back wages is not automatic and may be wholly

inappropriate in a given fact situation even though the termination of an employee is in contravention to the

prescribed procedure. Compensation instead of reinstatement has been held to meet the ends of justice."

Further, in the case of State of Himachal Pradesh vs. Suresh Kumar Verma & anr. 1996 AIR 1565, three Judge

Bench of Hon'ble Apex Court have held:-

“It is settled law that having made rules of recruitment to various services under the State or to a class of posts under

the State, the State is bound to follow the same and to have the selection of the candidates made as per recruitment

rules and appointments shall be made accordingly. From the date of discharging the duties attached to the post the

incumbent becomes a member of the services. Appointment on daily wage basis is not an appointment to a post

according to the Rules.

It is seen that the project in which the Respondents were engaged had come to an end and that, therefore, they have

necessarily been terminated for want of work. The Court cannot give any directions to re-engage them in any other

work or appoint them against existing vacancies. Otherwise, the judicial process would become other mode of

recruitment de hors the rules.

Mr. Mahabir Singh, learned counsel for the Respondents contended that there was an admission in the counter

affidavit filed in the High Court that there were vacancies and that, therefore, the Respondents are entitled to be

continued in service. We do not agree with the contention. The vacancies require to be filled up in accordance with

the rules and all the candidates who would otherwise eligible are entitled to apply for when recruitment is made and

seek consideration of their claims on merit according to the Rules for direct recruitment along with all the eligible

candidates. The appointment on daily wages cannot be a conduct pipe for regular appointments which would be a

back-door entry, detrimental to the efficiency of service and would breed seeds of nepotism and corruption. It is

equally settled law that even for Class IV employees recruitment according to rules is a pre-condition. Only work-

charged employees who perform the duties of transitory nature are appointed not to a post but are required to

perform the work of transitory and urgent nature so long as the work exists. One temporary employee cannot be

replaced by another temporary employee.”

Thus, in view of the law laid down by the Hon‘ble Apex Court as discussed above in the matter at hand, the

Workman has been terminated long back in the year 1997 from the service by the Respondent in contravention of the

provision contained under Section 25-F. He was working as a temporary messenger and had not worked against a

regular permanent or sanctioned post. Moreover, a period of 25 years has already been elapsed since termination of

Petitioner from Respondent service. As per record, Petitioner had worked as temporary workman for a period of 8

years i.e., from 1990 to 1997 in the Respondent employment in different spells. Therefore, keeping in view the

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5475

nature of appointment and period of his employment and in the facts and circumstances of the case the award of

compensation instead of direction for reinstatement in the service would be appropriate relief and that will subserve

the end of justice. Thus, in view of the above the Workman in this case is entitled for compensation instead of

direction for reinstatement into service.

27.

Now question arises how much compensation would meet ends of justice. In view of the circumstances of

the case, Workman has served in the service of the Respondent management from 1990 to 1997 in different spells

and has also gone under physical and mental agony during long period of litigation for more than 24 years at

different levels. In the opinion of the court payment of a sum of Rs.2,00,000/- as lumpsum compensation to the

Workman would meet the ends of justice. Therefore, the claim statement is partly allowed.

28.

However, the learned counsel for Petitioner has also argued that the Petitioner Workman is entitled for

regularization in the employment of the Respondent management on the basis of his empanelment in the waiting list

for regularization. Therefore, the Petitioner is entitled for regularization in the service of the management.

29.

Perused the record. Petitioner has filed the claim statement with the averment that Petitioner had worked in

the Respondent bank in different spells from 1990 till 31st March 1997. But the Respondent has terminated his

services without assigning any valid reason. Further, it is alleged that Respondent has retained his juniors in his

services and Respondent has failed to take prior permission from government for any retrenchment. In the claim

statement there is no iota of the pleading regarding regularization of Petitioner in the service of the Respondent

management. Further, in the relief clause of claim statement Petitioner has not mentioned prayer for the

regularization in the Respondent employment. The relief clause of the claim statement reads out as here under:-

“to direct the Management to reinstate and absorb the workman in the service of the bank and grant all incidental

and consequential benefits of reinstatement, back wages and continuity of service, etc.,”

Thus, in the absence of any pleading and evidence in support of Petitioner‘s claim of regularization in the

employment of Respondent, the plea in respect of regularization is not maintainable.

In this context I would like to make reference of the decision of Supreme Court in the case of Ram Sarup

Gupta(dead) by LRs v. Bishun Narain Inter College and others 1987 AIR 1242. In this case Hon‘ble Supreme

Court have held:-

“It is well settled that in the absence of pleading, evidence, if any, produced by the parties cannot be considered. It is

also equally settled that no party should be permitted to travel beyond its pleading and that all necessary and

material facts should be pleaded by the party in support of the case setup by it. The object and purpose of pleading is

to enable the advisory party to know the case it has to meet. In order to have a fair trial it is imperative that the party

should state the essential material facts so that other party may not be taken by surprise.”

Hon‘ble Supreme Court in several decisions have reiterated that evidence not supported by the pleadings is not

generally admissible. Therefore, in view of law laid down by Hon'ble Apex Court the evidence presented by WW1 in

respect of the claim of regularization in the employment is not admissible as there is no pleading in the claim

statement of the Petitioner to this effect. Therefore, in view of the above, the plea regarding regularization is not

tenable.

This issue is answered accordingly.

AWARD

The action of the management of State Bank of India, Local Head Office, Hyderabad in terminating the

services of Sri A. Siddappa, Temporary Messenger, with effect from 31.3.1997 is held not justified. Therefore,

termination order dated 31.3.1997 is hereby set aside. Respondent is directed to pay compensation of Rs.2,00,000/-

(Rupees two lakhs) to the workman within two months from the date of receipt of this award. 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 16th day of April, 2026.

IRFAN QAMAR, Presiding Officer

Appendix of evidence

Witnesses examined for the

Witnesses examined for the

Petitioner

Respondent

WW1: Sri A. Siddappa

MW1: NIL

Documents marked for the Petitioner

5476

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

Ex.W1:

Photocopy of Service Certificate dated dt. 17.7.91 for 96 days in the year 1991

Ex.W2:

Photocopy of service certificate dt. 30.11.96 showing that Petitioner worked for 741 days during

1991 to 1997

Ex.W3:

Photocopy of is the service certificate dated 10.4.97 showing that he worked for 831 days

Ex.W4 to W7:

Photocopies of service certificates for 264 days work

Ex.W8:

Photocopy of fail memo of SSC

Ex.W9:

Photocopy of is notification

Ex.W10:

Photocopy of is the certificate dt.27.10.93 empanelling Petitioner at Roll.No.5073

Ex.W11:

Photocopy of service certificate sowing that his working days as 264 days from 24.1.96 to

31.12.96.

Documents marked for the Respondent

NIL

नई ददल्ली, 1 जून, 2026

का.आ. 1113.—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 (a22/2004) izdkf”kr djrh gSA

[सं. एल-12025/01/2026-आईआर(बी-I)-140]

सलोनी, उृ जनदेिक

New Delhi, the 1st June, 2026

S.O. 1113.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 22/2004) 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)-140]

SALONI, Dy. Director

ANNEXURE

IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT

HYDERABAD

Present: Sri IRFAN QAMAR

Presiding Officer

Dated the 16th day of April, 2026

INDUSTRIAL DISPUTE L.C.No. 22/2004

Between:

Sri M. Zilani Basha,

S/o Sri M.Alla Baksh,

R/o 22/531, Yadava Street,

Dharmavaram,

Anantapur Dist.

… Petitioner

And

1.

The Chief General Manager,

Local Head Office,

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5477

State Bank of India, Koti,

Bank Street,

Hyderabad.

2.

The Asst. General Manager,

State Bank of India,

Zonal office, Tirupathi.

Chittoor Dist.

…..Respondents

Appearances:

For the Petitioner :

Sri Macherla Rangaiah, Advocate

For the Respondent:

Sri Y. Ranjeeth Reddy, Advocate

AWARD

Sri M. Zilani Basha, 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 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.

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 Tribunal;

5478

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

(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 20.3.2019.

3.

The factual matrix of instant industrial dispute as narrated by the Workman in his claim statement is that the

Petitioner herein was engaged by the Respondent Bank—State Bank of India—as a Messenger (temporary employee).

The Petitioner have joined the service of the Respondent Bank and worked from 1987 to 1997 and rendered

unblemished service spreading over a period of about 10 years. It is submitted that the services of the Petitioner were

terminated with verbal orders dt. 31.03.1997 without assigning any valid reasons. But the Respondent has retained

Petitioner‘s juniors in service. The Respondent has failed to take the prior permission from the government for his

retrenchment. It is submitted that he could not secure any alternative employment till date inspite of his best efforts.

It is submitted that there is sufficient work with the Respondent and extending the opportunities to others denying the

Petitioner is unjust and contrary to law. Hence, the action of the Respondent is not justified. Therefore, it is prayed

to grant the relief of reinstatement with full back wages and all attendant benefits.

4.

The Respondent Bank contends that the reference made is untenable under the Industrial Disputes Act, 1947

as the Bank temporarily engaged subordinate staff—messengers, sweepers, etc.—strictly on a need-based, ad hoc

basis to ensure uninterrupted operations to address staff shortages due to leave vacancies and constraints imposed by

the Government of India and RBI on hiring.

5.

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. Various discussions were held to resolve the said issue, resulting in five

settlement agreements between the Bank and the Workmen.

6.

The first settlement dated 17.11.1987 (under Sec. 2(p) r/w Sec. 18(1) of the ID Act) categorized temporary

employees and provided for consideration of permanent absorption against vacancies between 1987–1991. The

second settlement dated 16.07.1990 extended this period to 1987–1992. The third settlement dated 27.10.1990

reaffirmed consideration of vacancies arising from 1990–1992. Following these, the Government of India issued

recruitment guidelines on 16.08.1990, recommending settlement-based absorption for temporary employees with

more than 240 days of service in a 12-month block. For those with fewer days, the guidelines allowed for discretion-

based conciliation.

7.

Despite this, the Bank, in a liberal approach, considered even those with less than 90 days' service and those

employed since 1975. However, para 6(k) of the approach paper clarified that this would be a one-time exercise

resolving all past claims. Subsequently, the fourth settlement dated 09.01.1991 extended panel validity to 1994, with

daily wagers considered for 1995–1996 vacancies. It is submitted that Zone-wise panels (1989 for temporary

employees and 1992 for daily wagers) were also created, listing candidates in descending order of service from

01.07.1975 to 31.07.1990.

8.

The Federation also sought implementation through the Regional Labour Commissioner (Central), resulting

in a conciliation agreement on 09.02.1995. This led to the fifth settlement dated 30.07.1996. Finally, on 27.02.1997, a

Memorandum of Understanding recorded that 403 messengerial vacancies were identified and would be filled from

the 1989 panel. Both panels were agreed to lapse on 31.03.1997. Thus, the Workman, who served less than 240 days

in any 12-month block during the reference period, has no legal claim outside these settlements.

9.

It is further argued that the Workman‘s case has already been considered under the five settlements. The

settlements were time-bound and binding on both parties, hence, the Bank was not obligated to absorb all empanelled

candidates. Sustaining panels beyond 31.03.1997 would contradict the settlements and constitutional principles

(Articles 14 & 16), amounting to backdoor regularization.

10.

The Hon‘ble High Court in WP No.12964/94 has affirmed that such settlements are binding and temporary

service does not create a right to regularization unless the Workman can show violation of a specific settlement term,

which is not the case here. 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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5479

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."

11.

Hence, the Workman‘s claim was held misconceived. Furthermore, if the panels were not allowed to lapse, it

would undermine open recruitment processes, violating constitutional rights of other eligible candidates under

Articles 14 and 16 of the Constitution as well as contrary to the settlements.

12.

Similarly placed ex-temporary employees approached the High Court via WP No. 9206/1995. Though

allowed by the Single Judge, the Division Bench reversed the decision in WA No. 86/1998. The Supreme Court

subsequently dismissed SLP Nos. 11886-11888/1998, making the original judgment irrelevant.

13.

The Workman (WW1) filed and relied on documents Ex.W1 to W9, including appointment letters, interview

letters, and service certificates showing employment across various periods. However, Respondent has failed to

controvert the claim and evidence of the Petitioner by adducing any oral or documentary evidence. Therefore, the

claim of the Petitioner that he was terminated illegally and in contravention of the provision of Sec.25F is proved.

14.

The Workman also cited various judicial precedents which shall be addressed in the relevant portion of this

Award.

15.

Heard the argument of Learned Counsel for Workman as well as for Respondent.

16.

On the basis of pleadings and submissions made by the Learned Counsel for both the parties, following

points arise for determination in the industrial dispute :-

I.

Whether the action of State Bank of India, Local Head Office, Hyderabad in terminating the

services of Workman Sri M. Zilani Basha, a Temporary/Messenger with effect from 31.3.1997 is

justified?

II.

To what relief if any the Workman is entitled for?

Findings:-

17.

Issue No.I:-The Workman alleged that 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 illegally. Further, he alleges that he

has been terminated from service in violation of provision contained under Section 25 F of I.D. Act, 1947 and same

is liable to be set aside.

18.

On the other hand, Respondent counsel contended that Workman has not worked continuously for 240 days

in any preceding calendar year and reference of the industrial dispute is not maintainable. Before examining the

claim of the Workman on merit it would be apposite to have a glance on the relevant provision pertaining to

retrenchment of workman under I.D. Act, 1947.

2(oo) “retrenchment” means the termination by the employer of the service of a workman for any reason whatsoever,

otherwise than as a punishment inflicted by way of disciplinary action, but does not include—

(a) voluntary retirement of the workman; or

(b) retirement of the workman on reaching the age of superannuation if the contract of employment between the

employer and the workman concerned contains a stipulation in that behalf; or

(bb) termination of the service of the workman as a result of the non-renewal of the contract of employment between

the employer and the workman concerned on its expiry or of such contract being terminated under a stipulation in

that behalf contained therein; or

(c) termination of the service of a workman on the ground of continued ill-health;”

In view of the definition of retrenchment, perused the record. The Workman claims that he had been terminated from

the service of the Respondent in contravention of the provision of ID Act. The case of the Workman does not fall in

any exclusive clause of section 2(oo). Therefore, he is included in the category of retrenchment as defined under

section 2(oo) of the I.D.Act, 1947.

Section 25F provides:-

Conditions precedent to retrenchment of workmen.- No Workman employed in any industry who has been in

5480

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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;

Thus, in view of the above provision, Workman has to prove that he had worked with Respondent continuously for

240 days uninterruptedly in 12 months of a calendar year just preceding from data of his termination i.e., 31.3.1997.

It is settled law that the initial burden of proof to prove the fact of 240 days of service in the 12 months of a calendar

year just preceding from the date of termination, lies upon the Workman and he is duty bound to prove this factum

by adducing oral as well as documentary evidence in support of his claim.

As regard burden of proof and calculation of 240 continuous working days, following decisions of Hon‘ble Supreme

Court are relevant as discussed here under:-

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

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5481

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.”

19.

Thus, in view of the law laid down by Hon'ble Apex Court as discussed above in respect of calculating the

240 days continuous service by workman as per provision under Section 25-F read with Section 25-B of the I.D. Act,

1947, we have to examine whether Workman herein 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 by his evidence.

20.

In order to corroborate the averments made in claim statement, Petitioner has examined himself as WW1

and in his oral testimony WW1 has stated that he joined the service of Respondent at Dharmavaram Branch, from

1987 to 31.3.1997 for 1397 days as a temporary Messenger and worked continuously in that branch depending upon

the availability of work and also as per the orders of bank officers till 31.3.1997. WW1 states that the Respondent has

not given any advance notice to him before his termination and has not obtained prior permission from central

government for his retrenchment and Respondent has not given him any order of termination. Further, WW1 states

that he had worked Dharmavaram branch of the Respondent. WW1 further states that Ex.W1 is the letter dt.

28.5.2001 of the zonal office. Ex.W2 is the service certificate dt. 24.7.2002 showing that Petitioner worked for 260

days during 1992. Ex.W3 is the service certificate dt. 26.7.2002 showing that Petitioner worked for 260 days during

1992. Ex.W4 is the service certificate dt. 31.3.97 showing that Petitioner worked for 260 days and 271 days. Ex.W5

is service certificate dated 4.8.88. Ex.W6 is service certificate dated 30.11.96 showing his total service as 1332 days.

Ex.W7 is service certificate for 65 days work dated 10.4.97. Ex.W8 is marks memo of SSC. Ex.W9 is notification.

21.

Further WW1 states that he worked for more than 240 days continuously in different spells in one year

period of time and he worked for 187 days continuously during the period from April, 1996 to November, 1996,

Ex.W6 is the certificate in this regard. Lastly, Petitioner worked for 65 days from December, 1996 to February,

1997, Ex.W7 is the certificate in this regard. Further, WW1 states that there were no complaints against him from any

customers or officers of the Respondent throughout the period of his service. This Witness was cross examined by

the Respondent counsel and in his cross examination the WW1 states that he was given appointment as a messenger

on temporary basis in the year 1987. Further, witness states that he was not sponsored by any employment

exchange. Further, witness states that he did not work continuously and he used to work depending upon availability

of work in the bank. Further, in reply to the question put by the Respondent counsel in cross examination, WW1

states that it is true that he did not work for 240 days in any year in his service.

The workman‘s working days during 1996-1997 is as follows:-

Month

Working days

April,1996

25

May, 1996

00

June, 1996

29

July, 1996

31

August, 1996

29

September, 1996

26

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[PART II—SEC. 3(ii)]

October, 1996

26

November, 1996

21

December, 1996

22

January, 1997

22

February, 1997

21

Total

252

Thus, sum of working days as shown in the above table is 252 days which is more than 240 working days as required

under the provision of section 25F of the ID Act for continuous service.

22.

However, Learned Counsel for Respondent bank has contended that the Petitioner has not worked

continuously for 240 days in a calendar year with the Respondent and protection from termination is not available to

Petitioner as per provision under section 25 F of I.D. Act, 1947. On going oral and documentary evidence available

on record it manifest that Respondent had engaged the Petitioner as a temporary messenger in different spells as

mentioned in his appointment letter during the total period of about 10 years. We may conclude from the documents

filed in evidence on record, that the Respondent has created artificial breaks in the working days of the Petitioner in

order to deprive him from completing 240 days of continuous service and in order to defeat social security provision

under the I.D. Act, 1947. Moreover, Petitioner has been regularly engaged during the long period of 10 years by the

Respondent as a temporary messenger and has created artificial breaks of few days or more in his engagement as

employee. The conduct of Respondent in creating artificial breaks in engagement of workers is nothing but unfair

labour practice adopted by Respondent in order to deprive the Petitioner from entitlement of any benefits of social

security under the provision of I.D. Act, 1947. Thus, it can safely be concluded that Respondent with malafide

intention has deliberately created artificial break in the employment of the Petitioner as a temporary messenger.

23.

Thus, in view of the fore gone discussion and on going documentary and oral evidence on record I am of the

view that the Workman had worked for 240 days continuously in 12 months of calendar year just preceding from the

date of his termination i.e., 31.3.1997. Undisputedly, Respondent has not filed any document pertaining to the fact

that 3 months notice was issued to the Petitioner as per provision contained under section 25N of the ID Act before

termination of Petitioner for service by oral order w.e.f.1.4.1997. Further, there is no evidence on record to the fact

that Respondent has paid any amount toward compensation. Therefore, oral termination order of the Petitioner from

employment issued by Respondent with effect from 1.4.1997 is in contravention of provision contained under section

25N of the I.D. Act, 1947 and hence not sustainable in the eye of law.

In the case of Shankar Bhimrao Kadam and others Vs. Tata Mototrs Limited, Bombay High Court in its

decision dated 28.2.2022 in Writ Petition No.5588 of 2017 have held:-

"52. I have independently assessed the entire oral and documentary evidence adduced before the Labour Court in

these cases and upon analysis of the same, I have come to a firm conclusion that in hundreds of cases, the present

Respondent has created a farcical picture by posing that the work allotted to the temporaries was limited only to the

maximum extent of 7 months. As discussed above, the dedicated department for engagement of temporary workers,

apparently kept a close watch on the duration of employment of these Petitioners and in a case like Balu Bapuji

Shelke, who had put in 232 days in his first round and 238 days in his third round, his service was abruptly

intercepted and he was disengaged. He had almost reached the figure of 240 days and was thrown out, after

completing 238 days. This indicates that the Respondent-management has created an eye-wash and paper-work with

the intention of creating evidence that no worker had completed 240 days. Even in Sunil Pralhad Khomane (supra),

the learned judge of this court, after analyzing the entire evidence before him, concluded that the company has

apparently misused Section 2(oo)(bb). For the reasons assigned by me and my esteemed brother in Sunil (supra), I

find that the said conclusion was justified and in all these cases in hands, Section 2(oo)(bb) will not be applicable. To

hold otherwise, would create a mockery of Section 2(oo)(bb).

58. It cannot be ignored from the various rounds of temporary employments of these temporaries that after one

disengagement, they used to look forward for the next appointment order. As expected, they used to receive such

appointment orders. They used to perform their duties not only till the tenure mentioned in the appointment order was

completed, but even upto reaching any duration between 225 days to 238 days in one single stint of temporary

employment. None of the temporaries in such cases, ever received an appointment order that a particular temporary

would work for 238 days or 236 days, etc. The maximum tenure was an appointment for 7 months. This was not the

pattern followed in Mahindra & Mahindra Ltd., Nagpur (supra), inasmuch, as it was noticed by this court in the said

case that the workers used to work in other factories during their disengagement and had actually approached the

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5483

Industrial Court after about 9 to 23 years."

Similarly, in the present case Respondent has issued number of appointment letters to engage the Workman for the

work in different spells for his employment in its branches. The practice of Respondent management of issuance of

the appointment letters in different spells for this engagement of the Petitioner Workman during the whole period for

more than 10 years clearly manifest that Respondent management has adopted unfair labour practice in order to

deprive the Workman from availing social security benefits accruing to him under the provision of Industrial Disputes

Act, 1947.

24.

Perused the record. Petitioner witness WW1 in his statement in chief has categorically stated that he had

worked for more than 240 days continuously in different spells in a period of one year. He worked for 187 days

continuously during the period from April to November, 1996 at Dharmavaram branch. Ex.W6 is the certificate in

this regard. Lastly, he worked for 65 days from December, 1996 to February, 1997, Ex.W7 is the certificate in this

regard. Whereas in the cross examination witness WW1 stood firm in respect of his statement given in chief

examination. However, at one place in cross examination in reply to the question he had given the statement that it is

true that he did not work for 240 days in any year. But in the suggestions given by Respondent counsel witness has

stated that it is not true to say that he had never worked for 240 days in any year as stated by him. It is settled law

that the statement of any witness cannot be read in isolation and the whole statement has to be taken into

consideration while appreciating the evidence in the case. Whereas the claim of the Petitioner that he had worked

for more than 240 days in a calendar year with the Respondent is fully corroborated by oral and documentary

evidence produced by the Petitioner. Therefore, the contention of the Respondent in view of the above is not

tenable. Further, documents filed by the Petitioner in evidence goes to reveal that during the period from 1987 upto

the date of his termination i.e., 31.3.1997 workman had been engaged by Respondent for the work on number of

times with the breaks, that goes to manifest that there was the work available in the Respondent bank and also need

of engagement of the Workman. Therefore, the Workman was engaged by Respondent management on number of

times during the long period of more than 10 years and artificial breaks in the employment of Petitioner has been

created by the Respondent intentionally and deliberately in order to deprive the workman from the social security

benefit provided under the ID Act. Therefore, in view of the above, the contention of the Respondent is not tenable.

Respondent has cited number of decisions of Hon‘ble Apex Court and Hon'ble High Courts which are being

discussed as hereunder:-

In the case of Bholaram vs. PO, Labour Court Ambala & ors CWP No.4784/2010 dated 2.6.2011, of Hon'ble

High Court of Punjab & Haryana, wherein Hon'ble High Court have held that Petitioner is directed to be reinstated in

the service with 50% of back wages.

Further, in the case of Kuldeep Singh vs. G.M., Instrument Design D & F., DOD, dated 3.12.2010, the facts of the

case are that the Petitioner Kuldeep, the workman was appointed as a Data Entry Operator on daily wages on

8.10.1990 and he worked as such till 28.11.1991 and thereafter on adhoc basis and worked upto 26.5.1992 without

any break when his services were terminated by the employer. The Respondent management, according to Petitioner,

no notice or compensation in lieu thereof, was given for terminating his services though he had worked for 240 days

in the preceding 12 months. In that case Hon'ble Supreme Court have held that the management has terminated the

services of the Petitioner workman without complying the provision of Sec.25F of the I.D.Act, 1947 and the said

order is illegal, null and void deserves to be set aside, and ordered reinstatement of the Appellant workman with

consequential service benefits without back wages within a period of eight weeks.

Further, in the case of State of Karnataka vs. Uma Devi Civil Appeal No.3595-3612 of 1990 dated 10.4.2006,

therein Constitutional Bench of Hon'ble Supreme Court have held,

“15. We have already indicated the constitutional scheme of public employment in this country, and the executive, or

for that matter the Court, in appropriate cases, would have only the right to regularize an appointment made after

following the due procedure, even though a non-fundamental element of that process or procedure has not been

followed. This right of the executive and that of the court, would not extend to the executive or the court being in a

position to direct that an appointment made in clear violation of the constitutional scheme, and the statutory rules

made in that behalf, can be treated as permanent or can be directed to be treated as permanent.

44. One aspect needs to be clarified. There may be cases where irregular appointments (not illegal appointments) as

explained in S.V.NARAYANAPPA (supra), R.N. NANJUNDAPPA (supra), and B.N. NAGARAJAN (supra), and

referred to in paragraph 15 above, of duly qualified persons in duly sanctioned vacant posts might have been made

and the employees have continued to work for ten years or more but without the intervention of orders of courts or of

tribunals. The question of regularization of the services of such employees may have to be considered on merits in the

light of the principles settled by this Court in the cases above referred to and in the light of this judgment. In that

context, the Union of India, the State Governments and their instrumentalities should take steps to regularize as a one

time measure, the services of such irregularly appointed, who have worked for ten years or more in duly sanctioned

posts but not under cover of orders of courts or of tribunals and should further ensure that regular recruitments are

undertaken to fill those vacant sanctioned posts that require to be filled up, in cases where temporary employees or

5484

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[PART II—SEC. 3(ii)]

daily wagers are being now employed. The process must be set in motion within six months from this date. We also

clarify that regularization, if any already made, but not subjudice, need not be reopened based on this judgment, but

there should be no further by-passing of the constitutional requirement and regularizing or making permanent, those

not duly appointed as per the constitutional scheme.”

Thus, in the above cited decision Hon'ble Apex Court has laid down guidelines for deciding the question of

regularization of the services of the employees. Further, as regard other decisions of Hon‘ble Court filed by the

Petitioner in support of his argument, therein, the Hon‘ble Supreme Court has laid down the principle that the

termination of the employee in contravention of the provision of Sec.25F of I.D. Act, 1947 is illegal and null and

void and liable to be set aside.

Moreover, Hon‘ble Supreme Court in the case of Anoop Sharma vs. Exec. Engineer Public Health Division dated

9.4.2010, Civil Appeal No.3478 of 2010 have held:-

“15. In State Bank of India v. N. Sundara Money (supra), the Court emphasised that the workman cannot be

retrenched without payment, at the time of retrenchment, compensation computed in terms of Section 25-F(b).

16. The legal position has been beautifully summed up in Pramod Jha v. State of Bihar (supra) in the following words:

"The underlying object of Section 25-F is twofold. Firstly, a retrenched employee must have one month's time

available at his disposal to search for alternate employment, and so, either he should be given one month's notice of

the proposed termination or he should be paid wages for the notice period. Secondly, the workman must be paid

retrenchment compensation at the time of retrenchment, or before, so that once having been retrenched there should

be no need for him to go to his employer demanding retrenchment compensation and the compensation so paid is not

only a reward earned for his previous services rendered to the employer but is also a sustenance to the worker for the

period which may be spent in searching for another employment. Section 25-F nowhere speaks of the retrenchment

compensation being paid or tendered to the worker along with one month's notice; on the contrary, clause (b)

expressly provides for the payment of compensation being made at the time of retrenchment and by implication it

would be permissible to pay the same before retrenchment. Payment or tender of compensation after the time when

the retrenchment has taken effect would vitiate the retrenchment and non-compliance with the mandatory provision

which has a beneficial purpose and a public policy behind it would result in nullifying the retrenchment.

17. If the workman is retrenched by an oral order or communication or he is simply asked not to come for duty, the

employer will be required to lead tangible and substantive evidence to prove compliance of Clauses (a) and (b)

of Section 25-F of the Act.”

Thus, in view of the fore gone discussion and principle laid down by the Hon'ble Apex Court as discussed above, we

arrive at conclusion that services of workman has been terminated by the Respondent in violation of provision of I.D.

Act, 1947 and hence not sustainable in the eye of law.

Therefore, Issue No.I is answered in favour of the Workman and against the Respondent.

25.

Issue No.II:- In view of the discussion and finding given at Issue No.I, it is established that the

Workman had worked for more than 240 days in a calendar year just preceding from the date of termination.

Respondent has not issued any notice under Sec.25 N of I.D.Act, 1947 before termination of workman and has not

paid any compensation as per provision contained under Sec.25 F of the I.D.Act, 1947. Therefore, the termination of

Petitioner from service vide oral order dated 31.3.1997 by the Respondent is in contravention of the provision

contained under Section 25-F of the I.D. Act, 1947 and is illegal and not justified and liable to be set aside.

26.

Now, let us see whether workman is entitled for reinstatement in the service or for any other relief.

In this context the reference of decision of Hon‘ble Supreme Court is relevant. In Ashok Kumar Sharma Vs.

Oberoi flight Services AIR 2010 SCC page 502 Hon‘ble Supreme Court have held:-

8. In the case of Sita Ram V. Moti Lal Nehru Farmers Training Institute2 this Court considered the matter thus:

"21. The question, which, however, falls for our consideration is as to whether the Labour Court was justified in

awarding reinstatement of the appellants in service.

22. Keeping in view the period during which the services were rendered by the Respondent (sic appellants); the fact

that the Respondent had stopped its operation of bee farming, and the services of the appellants were terminated in

December 1996, we are of the opinion that it is not a fit case where the appellants could have been directed to be

reinstated in service.

23. Indisputably, the Industrial Court, exercises a discretionary jurisdiction, but such discretion is required to be

exercised judiciously. Relevant factors therefor were required to be taken into consideration; the nature of

appointment, the period of appointment, the availability of the job, etc. should weigh with the court for determination

of such an issue.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5485

24. This Court in a large number of decisions opined that payment of adequate amount of compensation in place of a

direction to be reinstated in service in cases of this nature would subserve the ends of justice. (See Jaipur

Development Authority v. Ramsahai [(2006) 11 SCC 684], M.P. Admn. v. Tribhuban [(2007) 9 SCC 748] and

Uttaranchal Forest Development Corpn. v. M.C. Joshi [(2007) 9 SCC 353])

25. Having regard to the facts and circumstances of this case, we are of the opinion that payment of a sum of Rs.

1,00,000 to each of the appellants, would meet the ends of justice. This appeal is allowed to the aforementioned

extent. In the facts and circumstances of this case, there shall be no order as to costs."

9. The afore-referred two decisions of this Court and few more decisions were considered by us in the case of Jagbir

JT 2008 (3)SC622 Singh V. Haryana State Agriculture Marketing Board3 albeit in the context of retrenchment of a

daily wager in violation of section 25F of Industrial Disputes Act who had worked for more than 240 days in a year

and we observed thus:

"7. It is true that earlier view of this Court articulated in many decisions reflected the legal position that if the

termination of an employee was found to be illegal, the relief of reinstatement with full back wages would ordinarily

follow. However, in recent past, there has been a shift in the legal position and in long line of cases, this Court has

consistently taken the view that relief by way of reinstatement with back wages is not automatic and may be wholly

inappropriate in a given fact situation even though the termination of an employee is in contravention to the

prescribed procedure. Compensation instead of reinstatement has been held to meet the ends of justice."

Further, in the case of State of Himachal Pradesh vs. Suresh Kumar Verma & anr. 1996 AIR 1565, three Judge

Bench of Hon'ble Apex Court have held:-

“It is settled law that having made rules of recruitment to various services under the State or to a class of posts under

the State, the State is bound to follow the same and to have the selection of the candidates made as per recruitment

rules and appointments shall be made accordingly. From the date of discharging the duties attached to the post the

incumbent becomes a member of the services. Appointment on daily wage basis is not an appointment to a post

according to the Rules.

It is seen that the project in which the Respondents were engaged had come to an end and that, therefore, they have

necessarily been terminated for want of work. The Court cannot give any directions to re-engage them in any other

work or appoint them against existing vacancies. Otherwise, the judicial process would become other mode of

recruitment de hors the rules.

Mr. Mahabir Singh, learned counsel for the Respondents contended that there was an admission in the counter

affidavit filed in the High Court that there were vacancies and that, therefore, the Respondents are entitled to be

continued in service. We do not agree with the contention. The vacancies require to be filled up in accordance with

the rules and all the candidates who would otherwise eligible are entitled to apply for when recruitment is made and

seek consideration of their claims on merit according to the Rules for direct recruitment along with all the eligible

candidates. The appointment on daily wages cannot be a conduct pipe for regular appointments which would be a

back-door entry, detrimental to the efficiency of service and would breed seeds of nepotism and corruption. It is

equally settled law that even for Class IV employees recruitment according to rules is a pre-condition. Only work-

charged employees who perform the duties of transitory nature are appointed not to a post but are required to

perform the work of transitory and urgent nature so long as the work exists. One temporary employee cannot be

replaced by another temporary employee.”

Thus, in view of the law laid down by the Hon‘ble Apex Court as discussed above in the matter at hand, the

Workman has been terminated long back in the year 1997 from the service by the Respondent in contravention of the

provision contained under Section 25-F. He was working as a temporary messenger and had not worked against a

regular permanent or sanctioned post. Moreover, a period of 25 years has already been elapsed since termination of

Petitioner from Respondent service. As per record, Petitioner had worked as temporary workman for a period of

10 years i.e., from 1987 to 1997 in the Respondent employment in different spells. Therefore, keeping in view the

nature of appointment and period of his employment and in the facts and circumstances of the case the award of

compensation instead of direction for reinstatement in the service would be appropriate relief and that will subserve

the end of justice. Thus, in view of the above the Workman in this case is entitled for compensation instead of

direction for reinstatement into service.

27.

Now question arises how much compensation would meet ends of justice. In view of the circumstances of

the case, Workman has served in the service of the Respondent management from 1987 to 1997 in different spells

and has also gone under physical and mental agony during long period of litigation for more than 24 years at

different levels. In the opinion of the court payment of a sum of Rs.2,00,000/- as lumpsum compensation to the

Workman would meet the ends of justice. Therefore, the claim statement is partly allowed.

28.

However, the learned counsel for Petitioner has also argued that the Petitioner Workman is entitled for

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[PART II—SEC. 3(ii)]

regularization in the employment of the Respondent management on the basis of his empanelment in the waiting list

for regularization. Therefore, the Petitioner is entitled for regularization in the service of the management.

29.

Perused the record. Petitioner has filed the claim statement with the averment that Petitioner had worked in

the Respondent bank in different spells from 1987 till 31st March 1997. But the Respondent has terminated his

services without assigning any valid reason. Further, it is alleged that Respondent has retained his juniors in his

services and Respondent has failed to take prior permission from government for any retrenchment. In the claim

statement there is no iota of the pleading regarding regularization of Petitioner in the service of the Respondent

management. Further, in the relief clause of claim statement Petitioner has not mentioned prayer for the

regularization in the Respondent employment. The relief clause of the claim statement reads out as here under:-

“to direct the Management to reinstate and absorb the workman in the service of the bank and grant all incidental

and consequential benefits of reinstatement, back wages and continuity of service, etc.,”

Thus, in the absence of any pleading and evidence in support of Petitioner‘s claim of regularization in the

employment of Respondent, the plea in respect of regularization is not maintainable.

In this context I would like to make reference of the decision of Supreme Court in the case of Ram Sarup

Gupta(dead) by LRs v. Bishun Narain Inter College and others 1987 AIR 1242. In this case Hon‘ble Supreme

Court have held:-

“It is well settled that in the absence of pleading, evidence, if any, produced by the parties cannot be considered. It is

also equally settled that no party should be permitted to travel beyond its pleading and that all necessary and

material facts should be pleaded by the party in support of the case setup by it. The object and purpose of pleading is

to enable the advisory party to know the case it has to meet. In order to have a fair trial it is imperative that the party

should state the essential material facts so that other party may not be taken by surprise.”

Hon‘ble Supreme Court in several decisions have reiterated that evidence not supported by the pleadings is not

generally admissible. Therefore, in view of law laid down by Hon'ble Apex Court the evidence presented by WW1 in

respect of the claim of regularization in the employment is not admissible as there is no pleading in the claim

statement of the Petitioner to this effect. Therefore, in view of the above, the plea regarding regularization is not

tenable.

This issue is answered accordingly.

AWARD

The action of the management of State Bank of India, Local Head Office, Hyderabad in terminating the

services of Sri M. Zilani Basha, Temporary Messenger, with effect from 31.3.1997 is held not justified. Therefore,

termination order dated 31.3.1997 is hereby set aside. Respondent is directed to pay compensation of Rs.2,00,000/-

(Rupees two lakhs) to the workman within two months from the date of receipt of this award. 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 16th day of April, 2026.

IRFAN QAMAR, Presiding Officer

Appendix of evidence

Witnesses examined for the

Witnesses examined for the

Petitioner

Respondent

WW1: Sri M. Zilani Basha

MW1: NIL

Documents marked for the Petitioner

Ex.W1:

Photocopy of the letter dt. 28.5.2001 of the zonal office

Ex.W2:

Photocopy of service certificate dt. 24.7.2002 showing that Petitioner worked for 260 days during

1992

Ex.W3:

Photocopy of the service certificate dt. 26.7.2002 showing that Petitioner worked for 260 days

during 1992

Ex.W4:

Photocopy of the service certificate dt. 31.3.97 showing that Petitioner worked for 260 days and 271

days

Ex.W5:

Photocopy of service certificate dated 4.8.88

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5487

Ex.W6:

Photocopy of service certificate dated 30.11.96 showing his total service as 1332 days.

Ex.W7:

Photocopy of service certificate for 65 days work dated 10.4.97

Ex.W8:

Photocopy of marks memo of SSC

Ex.W9:

Photocopy of is notification

Documents marked for the Respondent

NIL

नई ददल्ली, 1 जून, 2026

का.आ. 1114.—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 (a20/2004) izdkf”kr djrh gSA

[सं. एल-12025/01/2026-आईआर(बी-I)-144]

सलोनी, उृ जनदेिक

New Delhi, the 1st June, 2026

S.O. 1114.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 20/2004) 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)-144]

SALONI, Dy. Director

ANNEXURE

IN THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL CUM LABOUR COURT AT

HYDERABAD

Present: Sri IRFAN QAMAR

Presiding Officer

Dated the 16th day of April, 2026

INDUSTRIAL DISPUTE L.C.No. 20/2004

Between:

Sri Mekala Nalappa,

S/o Sri M. peddakullayappa,

R/o 15/94, State Bank of India colony,

Dharmavaram,

Anantapur Dist.

… Petitioner

And

1.

The Chief General Manager,

Local Head Office,

State Bank of India, Koti,

5488

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

Bank Street,

Hyderabad.

2.

The Asst. General Manager,

State Bank of India,

Zonal office, Tirupathi.

Chittoor Dist.

…..Respondents

Appearances:

For the Petitioner :

Sri Macherla Rangaiah, Advocate

For the Respondent:

Sri Y. Ranjeeth Reddy, Advocate

AWARD

Sri Mekala Nalappa, 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 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.

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 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,

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5489

(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 20.3.2019.

3.

The factual matrix of instant industrial dispute as narrated by the Workman in his claim statement is that the

Petitioner herein was engaged by the Respondent Bank—State Bank of India—as a Messenger (temporary employee).

The Petitioner have joined the service of the Respondent Bank and worked from 1989 to 1997 and rendered

unblemished service spreading over a period of about 8 years. It is submitted that the services of the Petitioner were

terminated with verbal orders dt. 31.03.1997 without assigning any valid reasons. But the Respondent has retained

Petitioner‘s juniors in service. The Respondent has failed to take the prior permission from the government for his

retrenchment. It is submitted that he could not secure any alternative employment till date inspite of his best efforts.

It is submitted that there is sufficient work with the Respondent and extending the opportunities to others denying the

Petitioner is unjust and contrary to law. Hence, the action of the Respondent is not justified. Therefore, it is prayed

to grant the relief of reinstatement with full back wages and all attendant benefits.

4.

The Respondent Bank contends that the reference made is untenable under the Industrial Disputes Act, 1947

as the Bank temporarily engaged subordinate staff—messengers, sweepers, etc.—strictly on a need-based, ad hoc

basis to ensure uninterrupted operations to address staff shortages due to leave vacancies and constraints imposed by

the Government of India and RBI on hiring.

5.

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. Various discussions were held to resolve the said issue, resulting in five

settlement agreements between the Bank and the Workmen.

6.

The first settlement dated 17.11.1987 (under Sec. 2(p) r/w Sec. 18(1) of the ID Act) categorized temporary

employees and provided for consideration of permanent absorption against vacancies between 1987–1991. The

second settlement dated 16.07.1990 extended this period to 1987–1992. The third settlement dated 27.10.1990

reaffirmed consideration of vacancies arising from 1990–1992. Following these, the Government of India issued

recruitment guidelines on 16.08.1990, recommending settlement-based absorption for temporary employees with

more than 240 days of service in a 12-month block. For those with fewer days, the guidelines allowed for discretion-

based conciliation.

7.

Despite this, the Bank, in a liberal approach, considered even those with less than 90 days' service and those

employed since 1975. However, para 6(k) of the approach paper clarified that this would be a one-time exercise

resolving all past claims. Subsequently, the fourth settlement dated 09.01.1991 extended panel validity to 1994, with

daily wagers considered for 1995–1996 vacancies. It is submitted that Zone-wise panels (1989 for temporary

employees and 1992 for daily wagers) were also created, listing candidates in descending order of service from

01.07.1975 to 31.07.1990.

8.

The Federation also sought implementation through the Regional Labour Commissioner (Central), resulting

in a conciliation agreement on 09.02.1995. This led to the fifth settlement dated 30.07.1996. Finally, on 27.02.1997, a

Memorandum of Understanding recorded that 403 messengerial vacancies were identified and would be filled from

the 1989 panel. Both panels were agreed to lapse on 31.03.1997. Thus, the Workman, who served less than 240 days

in any 12-month block during the reference period, has no legal claim outside these settlements.

9.

It is further argued that the Workman‘s case has already been considered under the five settlements. The

settlements were time-bound and binding on both parties, hence, the Bank was not obligated to absorb all empanelled

candidates. Sustaining panels beyond 31.03.1997 would contradict the settlements and constitutional principles

(Articles 14 & 16), amounting to backdoor regularization.

10.

The Hon‘ble High Court in WP No.12964/94 has affirmed that such settlements are binding and temporary

service does not create a right to regularization unless the Workman can show violation of a specific settlement term,

which is not the case here. 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.

5490

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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."

11.

Hence, the Workman‘s claim was held misconceived. Furthermore, if the panels were not allowed to lapse, it

would undermine open recruitment processes, violating constitutional rights of other eligible candidates under

Articles 14 and 16 of the Constitution as well as contrary to the settlements.

12.

Similarly placed ex-temporary employees approached the High Court via WP No. 9206/1995. Though

allowed by the Single Judge, the Division Bench reversed the decision in WA No. 86/1998. The Supreme Court

subsequently dismissed SLP Nos. 11886-11888/1998, making the original judgment irrelevant.

13.

The Workman (WW1) filed and relied on documents Ex.W1 to W10, including appointment letters,

interview letters, and service certificates showing employment across various periods. However, Respondent has

failed to controvert the claim and evidence of the Petitioner by adducing any oral or documentary evidence.

Therefore, the claim of the Petitioner that he was terminated illegally and in contravention of the provision of Sec.25F

is proved.

14.

The Workman also cited various judicial precedents which shall be addressed in the relevant portion of this

Award.

15.

Heard the argument of Learned Counsel for Workman as well as for Respondent.

16.

On the basis of pleadings and submissions made by the Learned Counsel for both the parties, following

points arise for determination in the industrial dispute :-

I.

Whether the action of State Bank of India, Local Head Office, Hyderabad in terminating the

services of Workman Sri Mekala Nalappa, a Temporary/Messenger with effect from 31.3.1997 is

justified?

II.

To what relief if any the Workman is entitled for?

Findings:-

17.

Issue No.I:-

The Workman alleged that 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 illegally. Further, he

alleges that he has been terminated from service in violation of provision contained under Section 25 F of I.D. Act,

1947 and same is liable to be set aside.

18.

On the other hand, Respondent counsel contended that Workman has not worked continuously for 240 days

in any preceding calendar year and reference of the industrial dispute is not maintainable. Before examining the

claim of the Workman on merit it would be apposite to have a glance on the relevant provision pertaining to

retrenchment of workman under I.D. Act, 1947.

2(oo) “retrenchment” means the termination by the employer of the service of a workman for any reason whatsoever,

otherwise than as a punishment inflicted by way of disciplinary action, but does not include—

(a) voluntary retirement of the workman; or

(b) retirement of the workman on reaching the age of superannuation if the contract of employment between the

employer and the workman concerned contains a stipulation in that behalf; or

(bb) termination of the service of the workman as a result of the non-renewal of the contract of employment between

the employer and the workman concerned on its expiry or of such contract being terminated under a stipulation in

that behalf contained therein; or

(c) termination of the service of a workman on the ground of continued ill-health;”

In view of the definition of retrenchment, perused the record. The Workman claims that he had been terminated from

the service of the Respondent in contravention of the provision of ID Act. The case of the Workman does not fall in

any exclusive clause of section 2(oo). Therefore, he is included in the category of retrenchment as defined under

section 2(oo) of the I.D.Act, 1947.

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:

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5491

(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;

Thus, in view of the above provision, Workman has to prove that he had worked with Respondent continuously for

240 days uninterruptedly in 12 months of a calendar year just preceding from data of his termination i.e., 31.3.1997.

It is settled law that the initial burden of proof to prove the fact of 240 days of service in the 12 months of a calendar

year just preceding from the date of termination, lies upon the Workman and he is duty bound to prove this factum

by adducing oral as well as documentary evidence in support of his claim.

As regard burden of proof and calculation of 240 continuous working days, following decisions of Hon‘ble Supreme

Court are relevant as discussed here under:-

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

5492

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

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.”

19.

Thus, in view of the law laid down by Hon'ble Apex Court as discussed above in respect of calculating the

240 days continuous service by workman as per provision under Section 25-F read with Section 25-B of the I.D. Act,

1947, we have to examine whether Workman herein 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 by his evidence.

20.

In order to corroborate the averments made in claim statement, Petitioner has examined himself as WW1

and in his oral testimony WW1 has stated that he joined the service of Respondent at Dharmavaram Branch, from

1989 to 31.3.1997 for 934 days as a temporary Messenger and worked continuously in that branch depending upon

the availability of work and also as per the orders of bank officers till 31.3.1997. WW1 states that the Respondent has

not given any advance notice to him before his termination and has not obtained prior permission from central

government for his retrenchment and Respondent has not given him any order of termination. Further, WW1 states

that he had worked Dharmavaram branch of the Respondent. WW1 further states that Ex.W1 is the service

certificate dt. 17.7.91. Ex.W2 is the service certificate dt. 30.11.1996 showing that Petitioner worked for 855 days

during 1993 to 1996. Ex.W3 is the service certificate certifying that Petitioner worked for 934 days. Ex.W4 is the

letter dt. 28.5.2001 of the Zonal office. Ex.W5 to Ex.W7 are the service certificates showing he worked for 285

days in 1996. Ex.W8 is marks memo of SSC. Ex.W9 is notification. Ex.W10 is the certificate dt. 27.10.93

empanelling the Petitioner with Rol No. 5077.

21.

Further WW1 states that he worked for more than 240 days continuously in different spells in one year

period of time and he worked for 184 days continuously during the period from April, 1996 to November, 1996,

Ex.W2 is the certificate in this regard. Lastly, Petitioner worked for 79 days from December, 1996 to March, 1997,

Ex.W3 is the certificate in this regard. Further, WW1 states that there were no complaints against him from any

customers or officers of the Respondent throughout the period of his service. This Witness was cross examined by

the Respondent counsel and in his cross examination the WW1 states that he was given appointment as a messenger

on temporary basis in the year 1989. Further, witness states that he was not sponsored by any employment

exchange. Further, witness states that he did not work continuously and he used to work depending upon availability

of work in the bank. Further, in reply to the question put by the Respondent counsel in cross examination, WW1

states that it is true that he did not work for 240 days in any year in his service.

The workman‘s working days during 1996-1997 is as follows:-

Month

Working days

April,1996

22

May, 1996

24

June, 1996

00

July, 1996

31

August, 1996

29

September, 1996

26

October, 1996

28

November, 1996

24

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5493

December, 1996

25

January, 1997

28

February, 1997

20

March, 1997

06

Total

263

Thus, sum of working days as shown in the above table is 263 days which is more than 240 working days as required

under the provision of section 25F of the ID Act for continuous service.

22.

However, Learned Counsel for Respondent bank has contended that the Petitioner has not worked

continuously for 240 days in a calendar year with the Respondent and protection from termination is not available to

Petitioner as per provision under section 25 F of I.D. Act, 1947. On going oral and documentary evidence available

on record it manifest that Respondent had engaged the Petitioner as a temporary messenger in different spells as

mentioned in his appointment letter during the total period of about 9 years. We may conclude from the documents

filed in evidence on record, that the Respondent has created artificial breaks in the working days of the Petitioner in

order to deprive him from completing 240 days of continuous service and in order to defeat social security provision

under the I.D. Act, 1947. Moreover, Petitioner has been regularly engaged during the long period of 9 years by the

Respondent as a temporary messenger and has created artificial breaks of few days or more in his engagement as

employee. The conduct of Respondent in creating artificial breaks in engagement of workers is nothing but unfair

labour practice adopted by Respondent in order to deprive the Petitioner from entitlement of any benefits of social

security under the provision of I.D. Act, 1947. Thus, it can safely be concluded that Respondent with malafide

intention has deliberately created artificial break in the employment of the Petitioner as a temporary messenger.

23.

Thus, in view of the fore gone discussion and on going documentary and oral evidence on record I am of the

view that the Workman had worked for 240 days continuously in 12 months of calendar year just preceding from the

date of his termination i.e., 31.3.1997. Undisputedly, Respondent has not filed any document pertaining to the fact

that 3 months notice was issued to the Petitioner as per provision contained under section 25N of the ID Act before

termination of Petitioner for service by oral order w.e.f.1.4.1997. Further, there is no evidence on record to the fact

that Respondent has paid any amount toward compensation. Therefore, oral termination order of the Petitioner from

employment issued by Respondent with effect from 1.4.1997 is in contravention of provision contained under section

25N of the I.D. Act, 1947 and hence not sustainable in the eye of law.

In the case of Shankar Bhimrao Kadam and others Vs. Tata Mototrs Limited, Bombay High Court in its

decision dated 28.2.2022 in Writ Petition No.5588 of 2017 have held:-

"52. I have independently assessed the entire oral and documentary evidence adduced before the Labour Court in

these cases and upon analysis of the same, I have come to a firm conclusion that in hundreds of cases, the present

Respondent has created a farcical picture by posing that the work allotted to the temporaries was limited only to the

maximum extent of 7 months. As discussed above, the dedicated department for engagement of temporary workers,

apparently kept a close watch on the duration of employment of these Petitioners and in a case like Balu Bapuji

Shelke, who had put in 232 days in his first round and 238 days in his third round, his service was abruptly

intercepted and he was disengaged. He had almost reached the figure of 240 days and was thrown out, after

completing 238 days. This indicates that the Respondent-management has created an eye-wash and paper-work with

the intention of creating evidence that no worker had completed 240 days. Even in Sunil Pralhad Khomane (supra),

the learned judge of this court, after analyzing the entire evidence before him, concluded that the company has

apparently misused Section 2(oo)(bb). For the reasons assigned by me and my esteemed brother in Sunil (supra), I

find that the said conclusion was justified and in all these cases in hands, Section 2(oo)(bb) will not be applicable. To

hold otherwise, would create a mockery of Section 2(oo)(bb).

58. It cannot be ignored from the various rounds of temporary employments of these temporaries that after one

disengagement, they used to look forward for the next appointment order. As expected, they used to receive such

appointment orders. They used to perform their duties not only till the tenure mentioned in the appointment order was

completed, but even upto reaching any duration between 225 days to 238 days in one single stint of temporary

employment. None of the temporaries in such cases, ever received an appointment order that a particular temporary

would work for 238 days or 236 days, etc. The maximum tenure was an appointment for 7 months. This was not the

pattern followed in Mahindra & Mahindra Ltd., Nagpur (supra), inasmuch, as it was noticed by this court in the said

case that the workers used to work in other factories during their disengagement and had actually approached the

Industrial Court after about 9 to 23 years."

5494

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

Similarly, in the present case Respondent has issued number of appointment letters to engage the Workman for the

work in different spells for his employment in its branches. The practice of Respondent management of issuance of

the appointment letters in different spells for this engagement of the Petitioner Workman during the whole period for

more than 10 years clearly manifest that Respondent management has adopted unfair labour practice in order to

deprive the Workman from availing social security benefits accruing to him under the provision of Industrial Disputes

Act, 1947.

24.

Perused the record. Petitioner witness WW1 in his statement in chief has categorically stated that he had

worked for more than 240 days continuously in different spells in a period of one year. He worked for 184 days

continuously during the period from April to November, 1996 at Dharmavaram branch. Ex.W2 is the certificate in

this regard. Lastly, he worked for 79 days from December, 1996 to March, 1997, Ex.W3 is the certificate in this

regard. Whereas in the cross examination witness WW1 stood firm in respect of his statement given in chief

examination. However, at one place in cross examination in reply to the question he had given the statement that it is

true that he did not work for 240 days in any year. But in the suggestions given by Respondent counsel witness has

stated that it is not true to say that he had never worked for 240 days in any year as stated by him. It is settled law

that the statement of any witness cannot be read in isolation and the whole statement has to be taken into

consideration while appreciating the evidence in the case. Whereas the claim of the Petitioner that he had worked

for more than 240 days in a calendar year with the Respondent is fully corroborated by oral and documentary

evidence produced by the Petitioner. Therefore, the contention of the Respondent in view of the above is not

tenable. Further, documents filed by the Petitioner in evidence goes to reveal that during the period from 1989 upto

the date of his termination i.e., 31.3.1997 workman had been engaged by Respondent for the work on number of

times with the breaks, that goes to manifest that there was the work available in the Respondent bank and also need

of engagement of the Workman. Therefore, the Workman was engaged by Respondent management on number of

times during the long period of more than 9 years and artificial breaks in the employment of Petitioner has been

created by the Respondent intentionally and deliberately in order to deprive the workman from the social security

benefit provided under the ID Act. Therefore, in view of the above, the contention of the Respondent is not tenable.

Respondent has cited number of decisions of Hon‘ble Apex Court and Hon'ble High Courts which are being

discussed as hereunder:-

In the case of Bholaram vs. PO, Labour Court Ambala & ors CWP No.4784/2010 dated 2.6.2011, of Hon'ble

High Court of Punjab & Haryana, wherein Hon'ble High Court have held that Petitioner is directed to be reinstated in

the service with 50% of back wages.

Further, in the case of Kuldeep Singh vs. G.M., Instrument Design D & F., DOD, dated 3.12.2010, the facts of the

case are that the Petitioner Kuldeep, the workman was appointed as a Data Entry Operator on daily wages on

8.10.1990 and he worked as such till 28.11.1991 and thereafter on adhoc basis and worked upto 26.5.1992 without

any break when his services were terminated by the employer. The Respondent management, according to Petitioner,

no notice or compensation in lieu thereof, was given for terminating his services though he had worked for 240 days

in the preceding 12 months. In that case Hon'ble Supreme Court have held that the management has terminated the

services of the Petitioner workman without complying the provision of Sec.25F of the I.D.Act, 1947 and the said

order is illegal, null and void deserves to be set aside, and ordered reinstatement of the Appellant workman with

consequential service benefits without back wages within a period of eight weeks.

Further, in the case of State of Karnataka vs. Uma Devi Civil Appeal No.3595-3612 of 1990 dated 10.4.2006,

therein Constitutional Bench of Hon'ble Supreme Court have held,

“15. We have already indicated the constitutional scheme of public employment in this country, and the executive, or

for that matter the Court, in appropriate cases, would have only the right to regularize an appointment made after

following the due procedure, even though a non-fundamental element of that process or procedure has not been

followed. This right of the executive and that of the court, would not extend to the executive or the court being in a

position to direct that an appointment made in clear violation of the constitutional scheme, and the statutory rules

made in that behalf, can be treated as permanent or can be directed to be treated as permanent.

……..

44. One aspect needs to be clarified. There may be cases where irregular appointments (not illegal appointments) as

explained in S.V.NARAYANAPPA (supra), R.N. NANJUNDAPPA (supra), and B.N. NAGARAJAN (supra), and

referred to in paragraph 15 above, of duly qualified persons in duly sanctioned vacant posts might have been made

and the employees have continued to work for ten years or more but without the intervention of orders of courts or of

tribunals. The question of regularization of the services of such employees may have to be considered on merits in the

light of the principles settled by this Court in the cases above referred to and in the light of this judgment. In that

context, the Union of India, the State Governments and their instrumentalities should take steps to regularize as a one

time measure, the services of such irregularly appointed, who have worked for ten years or more in duly sanctioned

posts but not under cover of orders of courts or of tribunals and should further ensure that regular recruitments are

undertaken to fill those vacant sanctioned posts that require to be filled up, in cases where temporary employees or

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5495

daily wagers are being now employed. The process must be set in motion within six months from this date. We also

clarify that regularization, if any already made, but not subjudice, need not be reopened based on this judgment, but

there should be no further by-passing of the constitutional requirement and regularizing or making permanent, those

not duly appointed as per the constitutional scheme.”

Thus, in the above cited decision Hon'ble Apex Court has laid down guidelines for deciding the question of

regularization of the services of the employees. Further, as regard other decisions of Hon‘ble Court filed by the

Petitioner in support of his argument, therein, the Hon‘ble Supreme Court has laid down the principle that the

termination of the employee in contravention of the provision of Sec.25F of I.D. Act, 1947 is illegal and null and

void and liable to be set aside.

Moreover, Hon‘ble Supreme Court in the case of Anoop Sharma vs. Exec. Engineer Public Health Division dated

9.4.2010, Civil Appeal No.3478 of 2010 have held:-

“15. In State Bank of India v. N. Sundara Money (supra), the Court emphasised that the workman cannot be

retrenched without payment, at the time of retrenchment, compensation computed in terms of Section 25-F(b).

16. The legal position has been beautifully summed up in Pramod Jha v. State of Bihar (supra) in the following words:

"The underlying object of Section 25-F is twofold. Firstly, a retrenched employee must have one month's time

available at his disposal to search for alternate employment, and so, either he should be given one month's notice of

the proposed termination or he should be paid wages for the notice period. Secondly, the workman must be paid

retrenchment compensation at the time of retrenchment, or before, so that once having been retrenched there should

be no need for him to go to his employer demanding retrenchment compensation and the compensation so paid is not

only a reward earned for his previous services rendered to the employer but is also a sustenance to the worker for the

period which may be spent in searching for another employment. Section 25-F nowhere speaks of the retrenchment

compensation being paid or tendered to the worker along with one month's notice; on the contrary, clause (b)

expressly provides for the payment of compensation being made at the time of retrenchment and by implication it

would be permissible to pay the same before retrenchment. Payment or tender of compensation after the time when

the retrenchment has taken effect would vitiate the retrenchment and non-compliance with the mandatory provision

which has a beneficial purpose and a public policy behind it would result in nullifying the retrenchment.

17. If the workman is retrenched by an oral order or communication or he is simply asked not to come for duty, the

employer will be required to lead tangible and substantive evidence to prove compliance of Clauses (a) and (b)

of Section 25-F of the Act.”

Thus, in view of the fore gone discussion and principle laid down by the Hon'ble Apex Court as discussed above, we

arrive at conclusion that services of workman has been terminated by the Respondent in violation of provision of I.D.

Act, 1947 and hence not sustainable in the eye of law.

Therefore, Issue No.I is answered in favour of the Workman and against the Respondent.

25.

Issue No.II:- In view of the discussion and finding given at Issue No.I, it is established that the

Workman had worked for more than 240 days in a calendar year just preceding from the date of termination.

Respondent has not issued any notice under Sec.25 N of I.D.Act, 1947 before termination of workman and has not

paid any compensation as per provision contained under Sec.25 F of the I.D.Act, 1947. Therefore, the termination of

Petitioner from service vide oral order dated 31.3.1997 by the Respondent is in contravention of the provision

contained under Section 25-F of the I.D. Act, 1947 and is illegal and not justified and liable to be set aside.

26.

Now, let us see whether workman is entitled for reinstatement in the service or for any other relief.

In this context the reference of decision of Hon‘ble Supreme Court is relevant. In Ashok Kumar Sharma Vs.

Oberoi flight Services AIR 2010 SCC page 502 Hon‘ble Supreme Court have held:-

8. In the case of Sita Ram V. Moti Lal Nehru Farmers Training Institute2 this Court considered the matter thus:

"21. The question, which, however, falls for our consideration is as to whether the Labour Court was justified in

awarding reinstatement of the appellants in service.

22. Keeping in view the period during which the services were rendered by the Respondent (sic appellants); the fact

that the Respondent had stopped its operation of bee farming, and the services of the appellants were terminated in

December 1996, we are of the opinion that it is not a fit case where the appellants could have been directed to be

reinstated in service.

23. Indisputably, the Industrial Court, exercises a discretionary jurisdiction, but such discretion is required to be

exercised judiciously. Relevant factors therefor were required to be taken into consideration; the nature of

appointment, the period of appointment, the availability of the job, etc. should weigh with the court for determination

of such an issue.

24. This Court in a large number of decisions opined that payment of adequate amount of compensation in place of a

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

direction to be reinstated in service in cases of this nature would subserve the ends of justice. (See Jaipur

Development Authority v. Ramsahai [(2006) 11 SCC 684], M.P. Admn. v. Tribhuban [(2007) 9 SCC 748] and

Uttaranchal Forest Development Corpn. v. M.C. Joshi [(2007) 9 SCC 353])

25. Having regard to the facts and circumstances of this case, we are of the opinion that payment of a sum of Rs.

1,00,000 to each of the appellants, would meet the ends of justice. This appeal is allowed to the aforementioned

extent. In the facts and circumstances of this case, there shall be no order as to costs."

9. The afore-referred two decisions of this Court and few more decisions were considered by us in the case of Jagbir

JT 2008 (3)SC622 Singh V. Haryana State Agriculture Marketing Board3 albeit in the context of retrenchment of a

daily wager in violation of section 25F of Industrial Disputes Act who had worked for more than 240 days in a year

and we observed thus:

"7. It is true that earlier view of this Court articulated in many decisions reflected the legal position that if the

termination of an employee was found to be illegal, the relief of reinstatement with full back wages would ordinarily

follow. However, in recent past, there has been a shift in the legal position and in long line of cases, this Court has

consistently taken the view that relief by way of reinstatement with back wages is not automatic and may be wholly

inappropriate in a given fact situation even though the termination of an employee is in contravention to the

prescribed procedure. Compensation instead of reinstatement has been held to meet the ends of justice."

Further, in the case of State of Himachal Pradesh vs. Suresh Kumar Verma & anr. 1996 AIR 1565, three Judge

Bench of Hon'ble Apex Court have held:-

“It is settled law that having made rules of recruitment to various services under the State or to a class of posts under

the State, the State is bound to follow the same and to have the selection of the candidates made as per recruitment

rules and appointments shall be made accordingly. From the date of discharging the duties attached to the post the

incumbent becomes a member of the services. Appointment on daily wage basis is not an appointment to a post

according to the Rules.

It is seen that the project in which the Respondents were engaged had come to an end and that, therefore, they have

necessarily been terminated for want of work. The Court cannot give any directions to re-engage them in any other

work or appoint them against existing vacancies. Otherwise, the judicial process would become other mode of

recruitment de hors the rules.

Mr. Mahabir Singh, learned counsel for the Respondents contended that there was an admission in the counter

affidavit filed in the High Court that there were vacancies and that, therefore, the Respondents are entitled to be

continued in service. We do not agree with the contention. The vacancies require to be filled up in accordance with

the rules and all the candidates who would otherwise eligible are entitled to apply for when recruitment is made and

seek consideration of their claims on merit according to the Rules for direct recruitment along with all the eligible

candidates. The appointment on daily wages cannot be a conduct pipe for regular appointments which would be a

back-door entry, detrimental to the efficiency of service and would breed seeds of nepotism and corruption. It is

equally settled law that even for Class IV employees recruitment according to rules is a pre-condition. Only work-

charged employees who perform the duties of transitory nature are appointed not to a post but are required to

perform the work of transitory and urgent nature so long as the work exists. One temporary employee cannot be

replaced by another temporary employee.”

Thus, in view of the law laid down by the Hon‘ble Apex Court as discussed above in the matter at hand, the

Workman has been terminated long back in the year 1997 from the service by the Respondent in contravention of the

provision contained under Section 25-F. He was working as a temporary messenger and had not worked against a

regular permanent or sanctioned post. Moreover, a period of 25 years has already been elapsed since termination of

Petitioner from Respondent service. As per record, Petitioner had worked as temporary workman for a period of 9

years i.e., from 1989 to 1997 in the Respondent employment in different spells. Therefore, keeping in view the

nature of appointment and period of his employment and in the facts and circumstances of the case the award of

compensation instead of direction for reinstatement in the service would be appropriate relief and that will subserve

the end of justice. Thus, in view of the above the Workman in this case is entitled for compensation instead of

direction for reinstatement into service.

27.

Now question arises how much compensation would meet ends of justice. In view of the circumstances of

the case, Workman has served in the service of the Respondent management from 1989 to 1997 in different spells

and has also gone under physical and mental agony during long period of litigation for more than 24 years at

different levels. In the opinion of the court payment of a sum of Rs.2,00,000/- as lumpsum compensation to the

Workman would meet the ends of justice. Therefore, the claim statement is partly allowed.

28.

However, the learned counsel for Petitioner has also argued that the Petitioner Workman is entitled for

regularization in the employment of the Respondent management on the basis of his empanelment in the waiting list

for regularization. Therefore, the Petitioner is entitled for regularization in the service of the management.

29.

Perused the record. Petitioner has filed the claim statement with the averment that Petitioner had worked in

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5497

the Respondent bank in different spells from 1989 till 31st March 1997. But the Respondent has terminated his

services without assigning any valid reason. Further, it is alleged that Respondent has retained his juniors in his

services and Respondent has failed to take prior permission from government for any retrenchment. In the claim

statement there is no iota of the pleading regarding regularization of Petitioner in the service of the Respondent

management. Further, in the relief clause of claim statement Petitioner has not mentioned prayer for the

regularization in the Respondent employment. The relief clause of the claim statement reads out as here under:-

“to direct the Management to reinstate and absorb the workman in the service of the bank and grant all incidental

and consequential benefits of reinstatement, back wages and continuity of service, etc.,”

Thus, in the absence of any pleading and evidence in support of Petitioner‘s claim of regularization in the

employment of Respondent, the plea in respect of regularization is not maintainable.

In this context I would like to make reference of the decision of Supreme Court in the case of Ram Sarup

Gupta(dead) by LRs v. Bishun Narain Inter College and others 1987 AIR 1242. In this case Hon‘ble Supreme

Court have held:-

“It is well settled that in the absence of pleading, evidence, if any, produced by the parties cannot be considered. It is

also equally settled that no party should be permitted to travel beyond its pleading and that all necessary and

material facts should be pleaded by the party in support of the case setup by it. The object and purpose of pleading is

to enable the advisory party to know the case it has to meet. In order to have a fair trial it is imperative that the party

should state the essential material facts so that other party may not be taken by surprise.”

Hon‘ble Supreme Court in several decisions have reiterated that evidence not supported by the pleadings is not

generally admissible. Therefore, in view of law laid down by Hon'ble Apex Court the evidence presented by WW1 in

respect of the claim of regularization in the employment is not admissible as there is no pleading in the claim

statement of the Petitioner to this effect. Therefore, in view of the above, the plea regarding regularization is not

tenable.

This issue is answered accordingly.

AWARD

The action of the management of State Bank of India, Local Head Office, Hyderabad in terminating the

services of Sri Mekala Nalappa, Temporary Messenger, with effect from 31.3.1997 is held not justified. Therefore,

termination order dated 31.3.1997 is hereby set aside. Respondent is directed to pay compensation of Rs.2,00,000/-

(Rupees two lakhs) to the workman within two months from the date of receipt of this award. 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 16th day of April, 2026.

IRFAN QAMAR, Presiding Officer

Appendix of evidence

Witnesses examined for the

Witnesses examined for the

Petitioner

Respondent

WW1: Sri Mekala Nalappa

MW1: NIL

Documents marked for the Petitioner

Ex.W1:

Photocopy of the service certificate dt. 17.7.91

Ex.W2:

Photocopy of the service certificate dt. 30.11.1996 showing that Petitioner worked for 855 days

during 1993 to 1996

Ex.W3:

Photocopy of the service certificate certifying that Petitioner worked for 934 days

Ex.W4:

Photocopy of the letter dt. 28.5.2001 of the zonal office

Ex.W5:

Photocopy of service certificate dated 31.3.97

Ex.W6:

Photocopy of service certificate dated 26.11.2002

Ex.W7:

Photocopy of service certificate dated 24.7.2002

Ex.W8:

Photocopy of marks memo of SSC

Ex.W9:

Photocopy of is notification

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

Ex.W10:

Photocopy of the certificate dt. 27.10.93 empanelling the Petitioner with Rol No. 5077.

Documents marked for the Respondent

NIL

नई ददल्ली, 19 मइज, 2026

का.आ. 1115.—vkS|ksfxd fookn vf/kfu;e] 1947 (1947 dk 14) dh /kkjk 17 ds vuqlj.k esa] dsUnzh;

ljdkj एन

.

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–

सह

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) dks izdkf”kr

djrh gS]

[सं. एल-22013/01/2026-आईआर(सी. एम-II)]

जयदीृ यादव, उृ जनदेिक

New Delhi, the 19th May, 2026

S.O. 1115.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Reference.LC/27/2024) of the Central Government Industrial

Tribunal-cum-Labour Court, Jabalpur as shown in the Annexure, in the industrial dispute between the

Management of N.C.L and their workmen,

[No. L-22013/01/2026 – IR (CM-II)]

JAIDEEP YADAV, Dy. Director

ANNEXURE

THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL,

JABALPUR [M.P.]

NO. CGIT/LC/ R/27/2024

Present: P.K.Srivastava

H.J.S.(Retd.)

Ashok Mandal,

B, 90, nsc Jayant Singrauli,

Singrauli,

Madhya Pradesh- 486890

Workman

V/s

General Manager, Jhingurda,

Singrauli,

Madhya Pradesh- 486890

Management

(JUDGMENT)

(Passed on this 17th day of February, 2026)

As per letter dated 23/01/2024 by the Government of India, Ministry of Labour, New Delhi, the reference

has been made to this Tribunal under Section-10 of Industrial Disputes Act, 1947 (in short the ‗Act’) as per

Notification No. SH-1(27)/2023 dt. 23/01/2024. The dispute under reference relates to:-

“Whether the action of the NCL Jhingurda management to terminate the services of Shri Ashok Mandal

workmen without conducting proper and just departmental enquiry as per principle of natural justice is

correct? If not what relief the workmen is entitled to?”

According to the workman, he was employed by management. His services were terminated by

management i.e., General Manager, NCL vide his order dated 21.06.2010. After three years of his service, he was

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5499

issued a charge sheet with allegation that he had obtained appointment on the basis of false and forged caste

certificate, which was misconduct in the Certified Standing Order. He did submit his reply and stated that his

certificate was genuine and was issued by a Competent Authority. The management conducted a departmental

enquiry framed the charges without giving him full opportunity of defense and against basic principles of natural

justice. The enquiry officer submitted his enquiry report with his finding against evidence collected during the

enquiry by way of ignoring the letter sent by the Joint Collector in Panna in this respect on 08.09.2010. His services

were terminated on the basis of enquiry report hence, the whole action of conducting enquiry and passing termination

order is unjust, illegal and arbitrary. He challenged this order by way of Writ Petition No. 4314/2014 before Hon‘ble

High Court of M.P. at Jabalpur. Later on, he withdrew the said writ under permission of Hon‘ble High Court on the

basis of pursuing remedy before proper forum. Thereafter, he raised a dispute in this respect before concerned Labour

Commissioner after failure of conciliation. Hence this Reference.

The workman has prayed that holding the order of termination of his services passed by the disciplinary

authority illegal, he be held entitled to be reinstated with all back-wages and benefits.

The case of management is that there was a special drive for appointment from Schedule Tribe Community

in the year 2007. The applicant claimed himself to be a member of Schedule Tribe Community and was appointed by

management as Technician Electrician Category-III, vide order dated 19.07.2007. It was specifically mentioned in his

appointment letter that, in case his documents with respect to his educational qualification, caste certificate/license

and declaration found incorrect at enquiry his service could be terminated, he accepted these conditions and joined his

service. His caste certificate, issued by Tahsildar Panna on 08.02.1999 was sent to Collector, Panna, for verification.

Collector, Panna informed the management after enquiry, vide his letter dated 18.08.2008 that the said certificate

dated 08.02.1999 was infact not issued by Tahsildar, Panna and there was no entry in the relevant registers in this

respect maintained in the office of Tahsildar. He was issued a charge-sheet for misconduct on 20/22-06-2009, he did

file his reply dated 30.06.2009 and denied the allegations. He filed letter of Deputy Collector, Panna dated

29.06.2009, sent by him to the Sub-Divisional Officer (Revenue) directing him to conduct enquiry in this respect and

send his report to Deputy Collector, Panna. But, the workman did not produce any report, said to be submitted by the

Sub-Divisional Officer (Revenue) to the Deputy Collector of eight months. Hence, enquiry was conducted in which

he was given opportunity to defend himself and based on the documents/letter of Collector, Panna which stated that

his caste certificate was in fact not issued by Tahsildar as claimed by him, the enquiry officer held him guilty of the

misconduct and based on the enquiry report, the workman was terminated by the Competent Authority, after his reply

with respect to show cause notice issued on the basis of enquiry report, was found not sufficient.

Vide order dated 27.11.2024, following Issues were framed:-

1)

Whether the departmental enquiry conducted is legal and proper?

2)

Whether the finding of Enquiry Officer holding the charge proved is correct in law?

3)

Whether the punishment awarded is proportionate to the charge proved?

4)

Whether the workman is entitled to any relief?

Issue No.1,

This issue was decided as a preliminary issue on the basis of evidence on record, vide order dated 25.11.2025

a departmental enquiry was held vitiated in law, management was granted opportunity to prove the charges before this

Tribunal, this order is part of this Award.

Management examined its witness Kamla Prasad Sharma, he proved two documents, no other witness was

examined by management in proof of charge.

I have heard argument of Learned Counsel for workman, Mr. Shailesh Mishra and Mr. Amit Kumar

Jaiswal, Learned Counsel for management. Parties have filed written submissions also which are part of record. I have

gone through written submissions and the record as well.

Issue No. 2

This issue stands amended to the extent whether management had successfully proved the charge before

this Tribunal.

The charge against the workman is as follows:-

That he produced his caste certificate dated 08.02.1999 and got appointment on the post of Electrician

Category-III in Schedule Tribe quota by way of claiming himself to be a member of Schedule Tribe which was found

not genuine hence, committed misconduct under clause 26.1, 26.9 and 26.43 of the Certified Standing Orders which

are as follows:-

26.1:- Theft, fraud or dishonestly with respect to business or property of the employer.

26.9:- Furnishing wrong information with respect to name, age, father’s name, qualification, etc for

seeking employment with the management.

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THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

26.43:- Violating the standing orders.

The management witness, who has been cross-examined by management to prove the charges has proved

two documents which are:-

(1)

Letter of Collector, Panna M.P., dated 16.06.2011, signed by Collector, Panna, this letter is being

reproduced as follows:-

“Please take the trouble to see the referenced letter in which it is written regarding the

caste certificate of Shri Ashok Kumar Mandal that information has been sought regarding the

contradiction in different letters issued from this office, after the issue of letter no. 597/Shika/ID

3050/2008 dated 11/08/2008, no. 352/General/09 Panna dated 23/3/09 from this office, on the

application of applicant Ashok Mandal, the case was re-investigated by letter no. 668 dated

29/6/09 from Sub-Divisional Officer (Revenue) Panna. According to the investigation report

received from the Sub-Divisional Officer (Revenue), Panna, letter no. 447 / Complaint / ID

3050/2010 dated 08/09/10 has been issued (photocopy of which is enclosed). With the effect of this

letter, the earlier issued letter no. 597 dated 11/08/08 and letter no. 352 dated 23/03/09

automatically become void.” (English translation of Hindi text)

(2)

The contents of second document proved, which is a letter dated 30.08.2011, signed by Deputy

Collector on behalf of Collector Panna, are being reproduced as follows:-

“Please review the referenced letter. Mr. Rajesh Chaudhary of your office appeared in this

office. The referenced letter, No. 764/Complaint/ID3050/2011, dated June 16, 2011, was not issued

by this office. Please be informed.”

Thus, the situation which emerges firstly, there was a report from Collector for the caste certificate was

infact not issued by the Tahsildar. Secondly, the letter dated 16.06.2011 issued by Collector that, on re-enquiry it was

found that the said certificate was infact issued by the Tahsildar. Thirdly, letter dated 30.08.2011 is issued by Deputy

Collector which states that the letter dated 16.06.2011 have infact not been issued by the Office. The management

witness who has filed his affidavit and has appeared for cross-examination, states in his cross-examination that he

does not recognize the signature of Collector and Deputy Collector, he also cannot tell on the basis of which enquiry

these letters have been issued, it was incumbent on management, to prove clearly and specifically that the latest letter

issued by the Deputy Collector, as mentioned above. In absence of such evidence, it cannot be held that the

management has successfully proved the charges.

Issue No. 2 stands answered accordingly.

Issue No. 3

In light of above discussion and findings, the workmen are held entitled to no relief. The Judgment passed by

the Hon‘ble High Court, in the case of Deepali Gundu Surwase, is referred hereunder:-

“In the referred case itself, Hon’ble High Court has referred to a judgment of Hon’ble High Court in

the case of Deepali Gundu Surwase Vs. Kranti Junior Adhyapak Mahavidyalaya & others (2013)10SCC 324

The relevant paragraphs of the said judgment are being reproduced as follows:

The Supreme Court in the said case has observed as under:-

"The propositions which can be culled out from the aforementioned judgments are:

i) In cases of wrongful termination of service, reinstatement with continuity of service and back

wages is the normal rule.

ii) The aforesaid rule is subject to the rider that while deciding the issue of back wages, the

adjudicating authority or the Court may take into consideration the length of service of the

employee/workman, the nature of misconduct, if any, found proved against the employee/workman, the

financial condition of the employer and similar other factors.

iii) Ordinarily, an employee or workman whose services are terminated and who is desirous of getting

back wages is required to either plead or at least make a statement before the adjudicating authority or the

Court of first instance that he/she was not gainfully employed or was employed on lesser wages. If the

employer wants to avoid payment of full back wages, then it has to plead and also lead cogent evidence to

prove that the employee/workman was gainfully employed and was getting wages equal to the wages he/she

was drawing prior to the termination of service. This is so because it is settled law that the burden of proof of

the existence of a particular fact lies on the person who makes a positive averments about its existence. It is

always easier to prove a positive fact than to prove a negative fact. Therefore, once the employee shows that he

was not employed, the onus lies on the employer to specifically plead and prove that the employee was

gainfully employed and was getting the same or substantially similar emoluments.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5501

iv) The cases in which the Labour Court/Industrial Tribunal exercises power under Section 11-A of

the Industrial Disputes Act, 1947 and finds that even though the enquiry held against the employee/workman

is consistent with the rules of natural justice and/or certified standing orders, if any, but holds that the

punishment was disproportionate to the misconduct found proved, then it will have the discretion not to award

full back wages. However, if the Labour Court/Industrial Tribunal finds that the employee or workman is not

at all guilty of any misconduct or that the employer had foisted a false charge, then there will be ample

justification for award of full back wages.

v) The cases in which the competent Court or Tribunal finds that the employer has acted in gross

violation of the statutory provisions and/or the principles of natural justice or is guilty of victimizing the

employee or workman, then the concerned Court or Tribunal will be fully justified in directing payment of full

back wages. In such cases, the superior Courts should not exercise power under Article 226 or 136 of the

Constitution and interfere with the award passed by the Labour Court, etc., merely because there is a

possibility of forming a different opinion on the entitlement of the employee/workman to get full back wages or

the employer's obligation to pay the same. The Courts must always be kept in view that in the cases of

wrongful/ illegal termination of service, the wrongdoer is the employer and sufferer is the employee/workman

and there is no justification to give premium to the employer of his wrongdoings by relieving him of the

burden to pay to the employee/workman his dues in the form of full back wages.

vi) In a number of cases, the superior Courts have interfered with the award of the primary

adjudicatory authority on the premise that finalization of litigation has taken long time ignoring that in

majority of cases the parties are not responsible for such delays. Lack of infrastructure and manpower is the

principal cause for delay in the disposal of cases. For this the litigants cannot be blamed or penalised. It would

amount to grave injustice to an employee or workman if he is denied back wages simply because there is long

lapse of time between the termination of his service and finality given to the order of reinstatement. The

Courts should bear in mind that in most of these cases, the employer is in an advantageous position vis-à-vis

the employee or workman. He can avail the services of best legal brain for prolonging the agony of the

sufferer, i.e., the employee or workman, who can ill afford the luxury of spending money on a lawyer with

certain amount of fame. Therefore, in such cases it would be prudent to adopt the course suggested in

Hindustan Tin Works Private Limited v. Employees of Hindustan Tin Works Private Limited (supra).

vii) The observation made in J.K. Synthetics Ltd. v. K.P. Agrawal (supra) that on reinstatement the

employee/workman cannot claim continuity of service as of right is contrary to the ratio of the judgments of

three Judge Benches referred to hereinabove and cannot be treated as good law. This part of the judgment is

also against the very concept of reinstatement of an employee/workman.”

Issue No. 3 stands answered accordingly.

Issue No. 4

In light of above, proposition of law, the workman is held entitled to be reinstated with continuity of service

and back-wages.

Issue No. 4 stands answered accordingly

In the light of above discussion and findings, the reference is answered as follows:-

AWARD

―Holding the action of the NCL Jhingurda management to terminate the services of Shri Ashok Mandal

workman, unjust and illegal, the workman is entitled to be reinstated with back-wages and benefits, deeming him

to be in continuous service of the management.”

No order as to cost.

DATE:- 17-02-2026

P.K. SRIVASTAVA, Presiding Officer

नई ददल्ली, 25 मई, 2026

का.आ. 1116.—औद्योजगक fookn vf/kfu;e] 1947 (a1947 dk 14) dh /kkjk 17 ds vuqlj.k esa dsUnzh; ljdkj

यूजनयन बैंक ऑफ इंजडया ds izca/kr=] lac) fu;kstdksa vkSj muds deZdkjksa ds chp vuqca/k esa fufnZ’V औद्योजगक fookn esa

5502

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

dsUnzh; ljdkj औद्योजगक vf/kdj.k@Je U;k;ky;

ds iapkV (12/2021) izdkf”kr djrh gSA

[सं. एल-12011/47/2020-आईआर(बी- II)]

सलोनी, उृ जनदेिक

New Delhi, the 25th May, 2026

S.O. 1116.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Ref. 12/2021) of the Cent.Govt.Indus.Tribunal-cum-Labour Court Kanpur

as shown in the Annexure, in the industrial dispute between the management of Union Bank of India and their

workmen.

[No. L-12011/47/2020- IR(B-II)]

SALONI, Dy. Director

ANNEXURE

CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL-CUM-LABOUR COURT, KANPUR

Present Sri Rajendra Prasad Srivastava (Retd. H.J.S.)

ID 12/2021

F. No. L-12011/47/2020(IR(B-II) Dated: 04.01.2021

BETWEEN

The General Secretary,

Union Bank Employees Union, UP,

C/o 628/M-33, Muari Nagar,

Faizabad Road,

Lucknow-226017.

AND

The Dy. General Manager,

Union Bank of India,

Regional Office, Daudpur, Pt. Harihar Prasad Road,

Gorakhpur.

AWARD

By order F. No. L-12011/47/2020(IR(B-II) Dated: 04.01.2021 in exercise of the powers conferred by clause

(d) of sub-section (1) and sub-section (2A) of Section 10 the Industrial Disputes Act, 1947 (14 of 1947) by the Central

Government, referred the following dispute to this Tribunal for adjudication:

"Whether the demand of Union Bank Employees Union over non regularization of services of part

time/casual labours working in various branches of Gorakhpur Region of Union Bank of India (as per list at

Annexure-1) as per bipartite settlement dated 25.11.2013 by the management of Union Bank of India is legal

and justified? If not, to what relief these workmen concerned are entitled to and from which date?"

Accordingly, ID case 12/2021 registered before this Tribunal.

During the hearing of the case legal representative of workmen moving an application on 30.04.2024 and requested in

the said application:

“Your Hon’ble Court is informed that the Union has now decided not to press the above ID No. 12/2021 for

further adjudication, due to some technical reason. Accordingly your Hon’ble Court is prayed to please

allow the Union not to press the case at this stage due to above reason mentioned.“

Upon that learned counsel of respondent write no objection.

By way of said application workmen representative requested not press above case.

I have heard Shri Rakesh Pandey for the side of applicant/workman and Shri Neeraj Sharma for respondent and gone

through the record.

In the light of the circumstances and above application the reference has become infructuous and stands answered

accordingly.

[भाग II—खण् ड 3(ii)]

भारत का राजृत्र : जून 6, 2026/ज् येष् ठ 16, 1948

5503

Dated: 02.02.2026

RAJENDRA PRASAD SRIVASTAVA, Presiding Officer

नई ददल्ली, 19 मई, 2026

का.आ. 1117.—vkS|ksfxd fookn vf/kfu;e] 1947 (1947 dk 14) dh /kkjk 17 ds vuqlj.k esa] dsUnzh;

ljdkj एन.सी.एल ds izca/kra= ds lac) fu;kstdksa vkSj muds deZdkjksa ds chp] vuqca/k esa fufnZ’V vkS|ksfxd fookn esa

–

सह

–

] जबलृुर ds iapkV(एलसी/13-A/

/

01 2020

) dks

izdkf”kr djrh gS]

[सं. एल-22013/01/2026-आईआर(सी.एम-II)]

जयदीृ यादव, उृ जनदेिक

New Delhi, the 19th May, 2026

S.O. 1117.—In pursuance of Section 17 of the Industrial Disputes Act, 1947 (14 of 1947), the Central

Government hereby publishes the Award (Reference.LC/13-A/01/2020) of the Central Government Industrial

Tribunal-cum-Labour Court, Jabalpur as shown in the Annexure, in the industrial dispute between the

Management of N.C.L and their workmen,

[No. L-22013/01/2026 – IR (CM-II)]

JAIDEEP YADAV, Dy. Director

ANNEXURE

THE CENTRAL GOVERNMENT INDUSTRIAL TRIBUNAL, JABALPUR

NO. CGIT/LC/13-A/01/2020

Present: P.K.Srivastava

H.J.S.(Retd.)

M.P. Tiwari,

S/o Late Shri Ramhit Tiwari,

Aged about 58 years,

Occupation- Crane Operator

Khadia Project N.C.L. Singrauli

and Regional Secretary of Trade Union

Northern Coal Field Ltd.,

Principal Head Quarter (Mini Ratra Company)

Subsidiary of CIL Singrauli (MP)

Workman

Versues

1. Chairman, Coal India Ltd.

Coal Bhawan, Premise No.04,

MAR, Plot No. AF III, Action area-1A,

new Town, Rajarhat, Kolkata-700156

2. C.M.D. Northern Coal Field Ltd.

Principal H.Q. Singrauli(MP) 486889

3. Regional Chief Labour Commissioner (Central)

Certifying Officer, 1st Floor,

Eastern Express Hwy,

SION, Mumbai, Maharastra- 400022.

4. Director Personnel N.C.L.

Principal H.Q. Singrauli (MP) 486889

5. Senior Legal Manager

Legal Department N.C.L. HQ,

Singrauli (MP)-486889

5504

THE GAZETTE OF INDIA JUNE 6, 2026/JYAISHTHA 16, 1948

[PART II—SEC. 3(ii)]

Management

(AWARD)

(Passed on this 27th day of February, 2026)

Petition under Section 13-A has been filed by the Union Representative with the case that the Management

of N.C.L. is a subsidiary of Coal India. They have issued Standing Order dated 07.08.1991 which are Certified

Standing Orders for N.C.L. It does not provide the authorized Competent Authority for issuing the charge sheet for

minor punishment and for major punishments. According to this Certified Standing Order G.M./C.G.M. shall be final

Disciplinary Authority, hence no person other than the G.M. or C.G.M. can issue charge sheet of punishment orders.

Further alleged that, the whole Standing Order is ambiguous and lack clarity. He has prayed that the last part of the

Certified Standing Order be explained.

The Case of the Management is that the Certified Standing Orders has been duly certified by the Chief

Labour Commissioner. A Writ Petition No. 5829/2012 and 2199/2019 are pending in this matter before the Hon‘ble

High Court of M.P., hence, since the matter is pending disposal before Hon‘ble High Court of M.P., this petition is

not maintainable before this Tribunal.

A significant fact of this case is that, after filing the petition, the petitioner side never appeared in this case.

I have heard argument of Learned Counsel Mr. Rajneesh Sharma for Management and have gone through the record.

Undisputedly, a Writ Petition is pending with respect to same disputes before Hon‘ble High Court hence, it

is not proper to proceed or pass any final order in the case in hand because the matter is fully covered in the said Writ

Petitions.

Moreover, the petitioner never appeared to press this petition.

In these circumstances, the petition deserves to be dismissed and is dismissed accordingly.

ORDER

Petitions dismissed.

No order as to cost.

DATE:- 27.02.2026

P. K. SRIVASTAVA, 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.

KUMER

CHAND

MEENA

Digitally signed by

KUMER CHAND

MEENA

Date: 2026.06.27

11:09:11 +05'30'