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26 {

No.

52

Poudouchéry

Mardi

26

Decembre

2017 (5 Pausa 1939)

No.

Puducherry

Tuesday

26th

December

2017

1394

LA GAZETTE DE L’ETAT

[26 December 2017

GOVERNMENT OF PUDUCHERRY

LABOUR DEPARTMENT

(G.O. Rt. No. 169/Lab./AIL/T/2017,

Puducherry, dated 6th November 2017)

NOTIFICATION

Whereas, an Award in I.D (L) No. 78/2012, dated

19-09-2017 of the Labour Court, Puducherry in respect

of the Industrial Dispute between the Management of

M/s. Cannanore Spinning and Weaving Mills (CS & W Mill),

Mahe and Thiru K. Vinodan, Mahe over non-employment

has been received;

Now, therefore, in exercise of the powers conferred

by sub-section (1) of section 17 of the Industrial

Disputes Act, 1947 (Central Act XIV of 1947), read

with the notification issued in Labour Department’s

G.O. Ms. No. 20/91/Lab./L, dated 23-5-1991, it is

hereby directed by Secretary to Government (Labour),

that the said Award shall be published in the Official

Gazette, Puducherry.

(By order)

S. MOUTTOULINGAM,

Under Secretary to Government (Labour).

————

BEFORE THE INDUSTRIAL TRIBUNAL-CUM-

LABOUR COURT AT PUDUCHERRY

Present :Thiru G. THANENDRAN, B.COM.,M.L.,

Presiding Officer.

Tuesday, the 19th day of September 2017

I.D. (L) No. 78/2012

K. Vinodan,

Thusharam,

Keloth House,

P.O. Peringadi,

Mahe–673 312.

. . Petitioner

Versus

The General Manager,

Cannanore Spinning and Weaving

Mills, Pallor, Mahe.

. . Respondent.

This industrial dispute coming on 31-08-2017 before

me for final hearing in the presence of M.K. Suresh

Kumar, Advocate, for the petitioner, Thiru Shashi,

D. Nambiar, Advocate for the respondent, upon hearing

both sides, upon perusing the case records, after having

stood over for consideration his day, this Court

passed the following:

AWARD

1. This Industrial Dispute has been referred by the

Government as per the G. O. Rt. No. 108/2007/Lab.

AIL/J/2009, dated 04-07-2007 for adjudicating the

following:-

(i) Whether the termination of Thiru K. Vinodan

by the management of M/s. Cannanore Spinning and

Weaving Mill (CS & W Mill), Mahe is justified or

not?

(ii) To what relief, the petitioner is entitled to?

(iii) To compute the relief, if any awarded in

terms of money, if it can be so computed?

2. It is the case of the petitioner that he had been

working from 1986 at the respondent establishment

and he was a permanent employee and a memo., dated

01-02-2006 was issued by the management to the

petitioner and subsequently he was placed under

suspension pending enquiry on the basis of complaint

of one Mr. Thomas Sebastian, the then Senior

Technical Assistant of the Mill and the allegation

against the petitioner is that the petitioner has

molested the 7 year old child of Mr.Thomas Sebastian

at Mill premises on 01-02-2006 at about 06.00 p.m.,

and the domestic enquiry was conducted against him

and on the basis of the findings of the Enquiry Officer

he was dismissed from service with effect from

31-07-2006 and the entire allegation is only made with

an intent to throw him out from the Mill and during

the petitioner long tenure of service of about 20 years

of service in the Mill he has not given any room for

making any complaint or allegation against him and he

is an active union worker to serve at the interest of the

workmen and Mr.Thomas Sebastian was used as tool

by the management to attain their objective and the

malicious motive of the management is seen reflected

at the very beginning of the episode and the

management denied sufficient opportunities to defend

his part in the domestic enquiry and knowing the fact

that the petitioner have no previous experience or

acquaintance in the domestic enquiry as he is a layman

he is not permitted to conduct the Advocate and while

the domestic enquiry was conducted by the legal

practitioner of the Hon'ble High Court even petitioner

has requested management to allow the petitioner to

avail the assistance of a legal practitioner, his request

was turned out by the Enquiry Officer and the

management also knowing the fact the co-worker who

has been permitted to assist the enquiry to the

petitioner is also an uneducated layman who has only

studied up to 3rd or 4th standard and furthermore the

1395

26 December 2017]

LA GAZETTE DE L’ETAT

statement given by Mr. Thomas Sebastian, the father

of the child is totally contradictory to the statement

given by other witnesses of the management and the

management is enemical towards petitioner on account

of the trade union rivalry and the domestic enquiry

conducted violating all norms of principles of natural

justice and the domestic enquiry is nothing but farce

and the charge sheet has been foisted against him there

is no truth or merit in it and that the enquiry conducted

an Advocate Kuttan was biased and partial and he acted

all along the enquiry proceedings as a man of the

management and he had not given sufficient

opportunity to the petitioner to defend his case.

3. It is contended by the respondent stating that on

01-02-2006 at 6.00 p.m. the petitioner Vinodan has

sexually harassed the 7 year old daughter of the then

Senior Technical Assistant namely Mr. Thomas

Sebastian at the supervisors rest room while he was

served as a watchman and he has riotously and

disorderly behaved with Sri. Santhosh TGB of the Mill

at about 07.30 p.m., on 01-02-2006 and tried to assault

him with a torch and he has also threatened and

showered abuses on Sri. P.T.Valsaraj, on 02-02-2006

over Mill phone and over his mobile phone in filthy

language that he will attack and do physical harm to

him jointly with his friends and men and he will cause

all sorts of trouble to him using his financial position

and he has committed several mis-conducts under the

standing order of the Mill and charge memo was

issued to the petitioner as per memo., dated 01-02-2006

and he was also placed under suspension pending

enquiry on the basis of a complaint filed by then

Senior Technical Assistant and it was reported in the

complaint that on 01-02-2006 at 6.00 p.m. when he

and his wife have gone away from the mill quarters the

watchman on duty, the employee, at the relevant time

molested his 7 years old daughter and since the

explanation submitted by the employee to the charge

levelled against him was unsatisfactory, the management

decided to conduct a domestic enquiry into the

charges levelled against him as per memo of charges

and one Advocate Kuttan was appointed to conduct the

domestic enquiry and after conducting the domestic

enquiry the Enquiry Officer submitted a report

on 08-06-2006 finding that the employee is guilty of all

charges of mis-conduct alleged against him and

thereafter the management has served the copy of the

enquiry report to the petitioner seeking his objection

if, any in respect of the findings of the Enquiry Officer

and on receiving the memo. along with the copy of the

enquiry report the employee has submitted his

explanation on 20-07-2006 and after considering the

explanation it was not satisfactory to the management

and as the Enquiry Officer conducted the enquiry in

accordance with the principles of natural justice by

giving

sufficient

opportunities

to

the

parties

concerned and misconduct committed by the petitioner

is very serious and severe and also which involves

moral turpitude the management has dismissed the

employee from service on 31-07-2006 in accordance

with the law and that therefore, the dismissal of the

employee is legal and fully justified and there is no

illegality in the decision the management to dismiss

the employee from service.

4. In the course of enquiry on the side of the

petitioner RW.l was examined and Ex.Rl to Ex.R5

marked and on the side of the respondent management

the Enquiry Officer PW.l was examined and Ex.M1 was

marked.

5. The point for consideration is:

Whether the termination of petitioner by the

respondent management is justified or not and if

justified what relief the petitioner is entitled to?

6. Both sides are heard. The submission of both the

parties, the evidence let in by either sides and the

exhibits marked on both sides are carefully considered.

On the side of the petitioner written argument was

filed and the same is carefully considered.

7. From the pleadings of both the parties and

the evidence let in on either sides, it is clear that the

following facts are admitted by either sides that the

petitioner was working as watchman at the respondent

establishment and the charge memo was given to him

stating that he has molested the 7 year old child of the

then Senior Technical Assistant Mr.Thomas Sebastian

while he was went away along with his wife leaving his

child, for which the petitioner employee has given an

explanation and thereafter the management has

appointed the domestic Enquiry Officer to conduct the

domestic enquiry and on the foot of the enquiry report

the second show cause notice was given to the

petitioner and thereafter the petitioner was given

explanation and thereafter the management has

terminated the petitioner from service against which

the petitioner has approached the Labour Conciliation

Officer wherein the conciliation was failed and has

referred the matter to this Tribunal for adjudicate

whether the industrial dispute raised by the petitioner

over his termination of service is justified or not.

1396

LA GAZETTE DE L’ETAT

[26 December 2017

8. The respondent management in order to prove

the case examined the Enquiry Officer who conducted

the domestic enquiry as PW.1 and marked Ex.M1.

Ex.M1 is the enquiry report of the Enquiry Officer.

9. To establish his case the petitioner has examined

himself as RW1 and Ex.Rl to Ex.R5 were marked.

Ex.Rl is the certified copy of the Judgment passed in

STR.No. 527/2006 by Judicial Magistrate at Mahe on

29-08-2006. Ex. R2 is the true copy of the complaint

given by the petitioner to the General Manager, CS and W

Mill on 02-01-2006. Ex. R3 is the true copy of the

Gate Register maintained at the respondent Mill

between 31-01-2006 to 02-02-2006. Ex.R4 is the true

copy of the Log Register maintained at the respondent

Mill between 28-01-2006 to 02-02-2006. Ex. R5 is

the true copy of the Rounds book maintained at the

respondent Mill between 31-01-2006 to 01-02-2006.

Ex.R1 would reveal the fact that criminal case which

was registered against the petitioner delinquent

workman was charge sheeted after the investigation

and subsequently this petitioner was acquitted on the

ground that the matter was compromised between the

carries under section 320(2) of Cr.P.C.

10. It is the main contention of the petitioner that

the domestic enquiry was not conducted by

Enquiry Officer fairly and following the principles of

natural justice and that the petitioner was denied the

assistance of legal practitioner though he has

requested the Enquiry Officer to permit him to appoint

an advocate to assist the enquiry and that he has not

been given sufficient opportunities to putforth his case

and the Enquiry Officer has conducted the enquiry in

a biased manner as a man of the management.

11. On the other hand, it is contended by the

respondent management that the allegation against the

petitioner is very serious and severe in nature that on

01-02-2006 at 6.00 p.m. the 7 year old daughter of

Mr. Thomas Sebastian, the then Senior Technical

Assistant was molested by him at supervisors rest

room and apart from the charge he has also been

charged for the misconduct that he has committed

riotous and disorderly manner and the domestic

enquiry was conducted properly and following the

principles of natural justice and that on the foot of the

domestic enquiry report after giving due show cause

notice to the petitioner to submit his comments over

the domestic enquiry report and since the explanation

of the petitioner is not satisfied to the management

the petitioner was dismissed from service.

12. It is learnt from the records that though the

petitioner has pleaded that the domestic enquiry

conducted against the delinquent workman is not fair

and not in accordance with the principles of natural

justice and the said pleading was denied by the

respondent management, the then Presiding Officer of

this Tribunal has not taken the issue as a preliminary

issue and to decide the same at the initial stage.

Now, both the parties have let evidence in support of

their pleadings and particularly the respondent

management has let evidence at the first instance and

the respondent witness was examined as PW1 and

exhibit was marked as Ex.M1 and the delinquent

workman was examined as RW.l and Ex.Rl to Ex.R5

were marked. Since both the parties have let evidence

it is just and necessary to dispose the main industrial

dispute regarding industrial dispute raised by the

petitioner union against the respondent management at

this stage.

13. Now, the issues to be decided before this

Tribunal are whether the domestic enquiry conducted

by the Enquiry Officer who was appointed by the

management to conduct the enquiry against the

petitioner has conducted the enquiry fairly or not and

whether he has given sufficient opportunities to the

petitioner or not and whether the punishment is

proportionate to the charges or not?

14. It is the first main contention of the petitioner

delinquent workman that though he is a watchman and

having no educational knowledge and the Presenting

Officer is the Deputy Engineer of the respondent

company and the charges levelled against the

petitioner delinquent is grave in nature, the domestic

Enquiry Officer has rejected the permission to the

petitioner to appoint a legal practitioner to assist him

in the domestic enquiry which is against the principles

of natural justice and the domestic Enquiry Officer has

conducted the enquiry in a biased manner.

15. As rightly pointed out by the learned Counsel

for the petitioner admittedly the Enquiry Officer who

conducted the domestic enquiry has not permitted the

petitioner to engage an Advocate stating that the

standing order does not permit the workman to engage

an Advocate in the domestic enquiry and it is also

an admitted fact that in the domestic enquiry the

petitioner was permitted only to get assistance of

co-worker and the request of the delinquent workman

was rejected by the Enquiry Officer to permit him to

assist by the legal practitioner. The evidence of the

Enquiry Officer who was examined as PW.l in this case

runs as follows:

1397

26 December 2017]

LA GAZETTE DE L’ETAT

“...............The enquiry was held first on 31-03-2006. The

management was represented by Sreenivasan Deputy

Engineer. I have not specified his qualification etc.,

The disciplinary action started from the first notice

issued by the management basing on the allegations.

The employee submitted explanation to the charge

sheet. If, no explanation is receiving the Management

has to conduct enquiry. The Management has to prove

the charges. Rules of procedure in CPC and Evidence

Act are not applicable. The workman involved in the

dispute has no previous experience in participating in

disciplinary proceedings. I cannot say. In the explanation,

he has stated that he not committed any offence, brief

explanation is submitted. I do not know whether the

workman is having experience in cross examining the

witness. I have given my ruling as an Enquiry Officer

on the engaging lawyer on behalf of the workman.

On that day I have not made up my mind, only in the

next posting only passed orders. The decision was

taken not on the date when the matter was posted but

the order was communicated to him. The standing order

does not provide for procedure for domestic enquiry.

I would not comment upon now. Only after reading the

standing order I can say. No provision was brought to

my notice for appointing of Advocate for defending

workman. When there is no provision the principles of

natural justice, Judgment of Supreme Court shall be

followed. There is no such law that when livelihood of

the workman is at stake he can speak through a lawyer.

If, a lawyer is permitted it will promote the chance of

defending the case property. I admit that if the workman

is permitted to engage a lawyer the management would

not be prejudiced. Except a lawyer there was no

competent person to defend the workman that is why

he requested for engaging the Lawyer, but the same

was not allowed, I deny the suggestion. In page 82 the

employee has requested that one T.K. Surendran may

be allowed to assist him in proceedings. The same is

after rejecting of request made by the employee for

engaging a lawyer. I do no know whether Surendran

has previous experience in defending disciplinary

proceedings.......”

From the above evidence it is clear that the

contention of the Enquiry Officer that the standing

order does not prohibit the delinquent workman to

engage a counsel and it was silent with regard to the

same. While so, it is also clear from the evidence of

PW.l the Enquiry Officer that the Presenting Officer

is the Deputy Engineer of the respondent factory.

While so it is stated by the Enquiry Officer regarding

the educational qualification of the delinquent

workman who is admittedly working as watchman that

he is not having the qualification like the Deputy

Engineer and that therefore, the permission to defend

the case with the assistance of the Advocate is denied

by the Enquiry Officer and therefore, admittedly the

petitioner's requisition was rejected by the Enquiry

Officer to appoint an Advocate to defend his case while

the charge levelled against the petitioner is severe in

nature.

16. Furthermore, as rightly pointed out by the

petitioner's counsel that admittedly the standing order

absolutely was silent as to domestic enquiry and

representation by parties in the domestic enquiry

regarding the representation of the domestic enquiry

proceedings and that there is no provision of standing

order for engage an Advocate for delinquent workman

for defending his case in the domestic enquiry

proceedings. On this aspect the learned counsel also

relied upon the Judgment reported in 1995 ILLJ1011,

1017(Kant). wherein the Hon'ble High Court has

observed that,

"(a) The right to be represented by a legal

practitioner is not an element of principles of

natural justice.

(b) A delinquent will have the right to claim to

be defended by legal practitioner, where the rules

or regulation permit the employee to be represented

by a legal practitioner.

(c) Where the rules or regulation are silent

about representation by a lawyer or vest a discretion

in the disciplinary authority or the inquiry authority,

to permit the employee to be represented by a legal

practitioner or other agent of his choice denial of

such permission a request made by the employee,

would violate the principles of natural justice.

(i) If

the Presenting Officer

is

a

legal

practitioner or a person legally trained or

experienced or

(ii) If the charges are serious and complex

nature.

(d) Where rules or regulations specifically

prohibit the employee from engaging the service of

a legal practitioner, such rules or regulations will

be read down as vesting a discretion in the

disciplinary authority to permit the employee to

engage a legal practitioner, where

(i) The Presenting Officer is a legal practitioner

or legally trained person, or

1398

LA GAZETTE DE L’ETAT

[26 December 2017

(ii) The charges are of a serious and complex

nature if it is not so read down, the rule itself

may have to be held to the invalid as violating

article 14 of the constitution."

From the above observation of the Hon'ble High

Court, it is very clear that absence of provision in the

standing order is not at all a ground for denying the

assistance of the lawyer to the delinquent workman to

defend him in the domestic enquiry proceedings. But,

in this case, the enquiry report itself would clear that

delinquent workman was denied the permission to

appoint the Counsel to assist him in the domestic

enquiry.

17. The learned Counsel for the petitioner relied

upon the Judgment reported in Lord Dening, M.R., in

Pett V. Greyhound Raccing

Association (1968:2

A11.E.R. 545), wherein it was held as follows:

"It is not every man who has the ability to defend

him on his own. He cannot bring out the points in

his own favour or the weakness in the other side.

He may be tongue tied or nervous, confused or

wanting in intelligence. He cannot examine or

cross-examine witnesses. We see it everyday.

A Magistrate says to a man : "You can ask any

question you like", If someone to speak for him.

And who better than a lawyer who has been trained

for the task? I should have thought, therefore that

when a man's reputation or livelihood is at stake, he not

only has a right to speak by his own mouth. He also

has a right to speak by Counsel or Solicitor.”

The learned Counsel for the petitioner has also

relied upon the Judgment reported in Board of

Trustees of port of Bombay and Dilipkumar

Raghavendranath Nadharni and others 1983 LIC

Page 1 (SC), wherein it was held as follows:

"....In the past it could be said that there was an

informal atmosphere before such a domestic

Tribunal and that strict rules of evidence and pitfalls

of procedural law did not hamstring the enquiry by

such a Domestic Tribunal, we have moved far away

from this stage. The situation is where the employer

has on his pay rolls Labour Officers, Legal

Advisors-Lawyers in the gabs of employees and they

are

appointed

as

Presenting-cum-Prosecuting

officers and the delinquent employee pitted against

such a legally trained personnel has to defend

himself. Now, if, the rules prescribed of such an

enquiry did not place an embargo on the right of the

delinquent employee to be represented by a legal

practitioner, the matter would be in the discretion

of the Enquiry Officer, whether looking to the

nature of charges, the type of evidence and complex

or simple issues that may arise in the course of

enquiry the delinquent employee in order to afford

reasonable opportunity to defend himself should

be permitted to appear through a legal practitioners.

Why it is so could be explained? What is the nature

of enquiry, who held it, were it is held and what is

the atmosphere? Domestic enquiry is claimed to be

a managerial function. A man of the establishment

done the robe of a Judge, it is held in the

establishment office or a part of it, can it even be

compared to the adjudication by an impartial

arbitrator or a prosecutor called into one. Witnesses

are generally employees of the employer who

directs and enquiry into misconduct. This is

sufficient to raise serious apprehensions. Add to

this uneven scale the weight of legally trained minds

on behalf of the employer simultaneously denying

that opportunity to delinquent employee. The

weighted scales and tilted balance can only partly

restored of the delinquent is given the same legal

assistance as the employer employs......".

The learned Counsel for the petitioner has also

relied upon the Judgment reported in Indian

Photographic Company Limited Vs. Sumithra Mohan

Kumar, 1984 LIC 42, wherein it was held as

follows:

"Though Court should discourage involvement of

legal practitioner in simple domestic enquiries like

disciplinary enquiries for avoiding complication and

delay. Yet the court cannot ignore the necessity of

such representation in exceptional cases where

refusal of such representation would constitute

failures of the enquiry itself. Principles of natural

justice demand conceding such claim. No general

rule can be laid down in this respect but the issue

must be decided in the light of the facts of each

case. In a case the allegations pertained to

commission of fraud and for Gerry on the part of

the employee. If such allegations has been made in

the court the employee would have a right of

representation by an Advocate." .

The learned counsel for the petitioner has also

relied upon the Judgment reported in Hansila Prasad

Pandy Vs. Bank of India, 1986 (1DLLN525 , wherein

it was held as follows:

"It is true that a charge sheeted employee in a

departmental proceedings is not entitled to the

assistance of the lawyer as a matter of right, but such

assistance in the interest of natural justice should be

1399

26 December 2017]

LA GAZETTE DE L’ETAT

given where the situation demand it. In the instant case,

the petitioner was asked to meet a complicated

question of law which obviously was not possible for

him to meet without the assistance of a lawyer. That

being so the refused of such assistance amounted to

violation of principles of natural justice.".

The learned Counsel for the petitioner has also

relied upon the Judgment reported in K.D. Anpet Vs.

State of Maharashtra, 1989 (1) CLR 244, wherein it

was held as follows:

"Where the accusations levelled against the

delinquent were of such serious nature that even if

the most trifling the allegation is established, the

delinquent would be dismissed from service and the

nature of the accusation was also complicated,

difficult and likely to embarrass the delinquent in

the absence of legal aid, permission to be

represented by a lawyer must be given." .

The learned Counsel for the petitioner has also

relied upon the Judgment reported in K.G. Shenoy Vs.

Disciplinary Authority, 1995 LLR 139 (Kar.HC),

wherein it was held as follows:

"The right to be represented by a Counsel in an

enquiry cannot be claimed as a matter of right.

However, in a case where the delinquent is not in a

position to express himself or his livelihood is in stake

or that his social or financial status are likely to be

ruined or where several complicated questions are

raised which the delinquent is un-able to comprehend,

the question of such delinquent employee being

afforded the assistance of a counsel can be considered.".

From the above observations made in the citations

it is clear that whenever the accusation levelled

against the delinquent is of such serious nature that

even if the most trifling the allegation is established,

the delinquent would be dismissed from service and the

nature of the accusation was also complicated and

difficult and that therefore, the permission to be given

to the delinquent to appoint the lawyer to assist in the

enquiry and furthermore whenever it is impossible to

the delinquent to meet the enquiry without the

assistance of the lawyer, it is just and necessary to

give permission to the delinquent employee to

conduct the enquiry with the help of an Advocate.

In this case, the Presenting Officer is the Deputy

Engineer. While so the delinquent employee the

watchman was not permitted to conduct the domestic

enquiry with the assistance of lawyer and the

requisition of the delinquent employee was rejected by

the Enquiry Officer stating that standing order does not

permit while the charge levelled against the petitioner

is grave in nature and therefore it is clear that the

Enquiry Officer who conducted the domestic enquiry

has not given sufficient opportunity to the delinquent

petitioner workman to get assistance of senior

Advocate though he is a watchman facing grave charges

while the Presenting Officer was a Deputy Engineer

representing the management and therefore the

rejection of permission to the petitioner delinquent to

assist him in the enquiry through legal practitioner is

against the principles of natural justice and that

therefore, the domestic Enquiry Officer has not

followed the principles of natural justice in conducting

the domestic enquiry.

18. Furthermore, the memo of charge was given by

the respondent management to the delinquent workman

on 13-02-2006, in which the charge runs as follows:

"(i) You have sexually harassed the 7 year

daughter of Sri (name omitted), the then Senior

Technical Assistant

(presently

the

Assistant

Spinning Manager) of the mills at about 6.00 p.m., on

01-02-2006 at the supervisors' rest room, while you

were on duty as a watchman.

(ii) You have riotously and disorderly behaved

with Sri Santhosh TGB 133 of the Mills at about

7.30 p.m., on 01-02-2006 and tried to assault him

with a torch.

(iii) You have threatened and showered abuses on

Sri. P.T. Valsaraj, Spg.303, on 02-02-2006 over mill

phone and over his mobile phone in filthy language

that you will attack do physical harm to him jointly

with your friends and men and you will cause all

sorts of trouble to him using your official position.

(iv) You have committed act subversive of

discipline.

(v) You have committed acts unbecoming

of a Watchman of the mills and acted in a manner

in which the mills cannot any long confide in you,

which would constitute misconduct under the

Certified Standing order of the mills (17 (3) (J) and

17 (3) (s) in particular and Model standing orders.

From the above contention of the charge memo it

is clear that the delinquent workman has been charged

for misconduct of (i) sexual harassment of 7 year

girl, (ii) acted in a riotous and disorderly

man n e r, (iii) threatening and showering abuses on

Sri. P.T.Valsaraj, (iv) subversive of discipline &

(v) constitute misconduct under the Certified Standing

order of the mills (17 (3) (J) and 17 (3) (s) in

1400

LA GAZETTE DE L’ETAT

[26 December 2017

particular and Model standing orders. However, on

perusal of records it is learnt to this court that the

Enquiry Officer who conducted the domestic enquiry

in his final report has stated commonly that the

charges leveled against the delinquent workman was

proved. The final report of the Enquiry Officer in the

domestic enquiry runs as follows:

"6.02. In the light of the facts discussed above

I find that all the charges of misconduct alleged

against the delinquent Sri. K. Vinodan, W.W.T.No.15

(under suspension) in the memo. of charges dated

13-02-2006 issued to him by the General Manager

are substantiated in full."

From the above final report of the Enquiry Officer,

it is clear that though the delinquent workman was

charged for 5 charges, the Enquiry Officer has not

dealt with each and every charges levelled against the

delinquent workman. Simply the Enquiry Officer has

stated in his report that the workman Vinodan

committed the acts of misconduct as alleged against

him. The Enquiry Officer has not stated in his

domestic enquiry report that these 5 charges were

proved by the management separately.

19. Furthermore, on receipt of the proceedings and

findings of the Enquiry Officer, the Disciplinary

Authority should forward a copy of the findings of the

Enquiry Officer of the delinquent employee and advise

him to submit his comments on the findings of the

Enquiry Officer within a specific period of time and

on receipt the delinquent employee should submit his

comments and only after expiry of specific period of

time given to delinquent employee to submit his

comments, the Disciplinary Authority should come to

his own conclusion by going through all the papers and

applying his mind dispassionately and he should also

record his view on the Enquiry Officer's findings in

respect of each charge separately. In this case, the

respondent management has stated in their counter that

they have sent a memo to the delinquent workman

along with the copy of the final report of the Enquiry

Officer asking him to submit his comments on the

enquiry report. But, no such notice is exhibited before

this court to prove the same and furthermore, it is also

stated by the respondent management in their counter

that they have given statutory show-cause notice to the

delinquent workman regarding the proposed punishment

before terminating him from service. But no such

notice is exhibited before this court as document on

the side of the respondent management to prove their

contention. Though the respondent management has

stated in their counter that they have issued notice

asking the delinquent workman to submit his

comments regarding the enquiry report and they have

sent a second show cause notice regarding the

proposed of punishment calling upon the petitioner to

give explanation, they have failed to prove the same by

exhibiting the above said notices before this Court.

20. Furthermore, the Disciplinary Authority should

also go into the past record of the employee while

awarding the punishment and when it is favorable to the

employee and the misconduct committed by and

approved against him is of a minor nature, the

Disciplinary Authority may take a lenient view. In case

of adverse past record, it should be disclosed to him

in the show cause notice and he should be given an

opportunity to explain the same. But, in this case no

such notice was exhibited before this Court which was

alleged to have been issued to the delinquent

employee. After considering all the above factors, and

after affording a personal hearing to the employee, the

Disciplinary Authority will issue the final order

reducing or confirming the punishment already

proposed. But in this case the respondent management

has not stated anything about his past records of the

delinquent workman and even a show cause notice

alleged to have been issued by the Disciplinary

Authority to the delinquent workman was not

exhibited before this Court and also no notice

regarding the proposed punishment imposed against

him was exhibited before this Court. These facts would

go to show that the Disciplinary Authority has failed

to follow the principles of natural justice before

awarding the punishment of termination of service to

the delinquent workman.

21. From the above discussions and the fact

that the domestic Enquiry Officer has not followed

the principles of natural justice in conducting the

domestic enquiry by rejecting the requisition of the

petitioner to appoint a legal practitioner to assist the

domestic enquiry while charge against the petitioner

is grave in nature and other circumstances that the

petitioner was acquitted from the case since the

petitioner as well as the complainant the victim

have entered the compromise in the criminal case

under section 320(2) of Cr.P.C. and the fact that the

notice calling upon the petitioner delinquent workman

to submit his comments on the domestic enquiry

report and the second show cause notice have not been

exhibited before this Court and other circumstances

that even according to the respondent management the

petitioner has no past records, it is just and necessary to

hold that the termination of petitioner Thiru K. Vinodan

by the management of M/s. Cannanore Spinning and

Weaving Mill, Mahe is not justified. Since, this Court

1401

26 December 2017]

LA GAZETTE DE L’ETAT

has held that the Industrial Dispute raised by the

petitioner

against

the

respondent

management

regarding the dismissal of his service is justified,

it is also just and necessary to decide the relief which

can be given to the petitioner delinquent workman.

22. On this aspect records and documents are

carefully perused. Though the respondent management

has failed in conducting the domestic enquiry properly

the allegation levelled against the petitioner is grave in

nature that he has sexually harassed the 7 year child

and committed misconduct and that therefore, the

management has lost faith on the workman and that

therefore, they have terminated the workman from the

respondent Industry and in such circumstances, the

relief of order of reinstatement cannot be ordered and

is not a further the petitioner has not stated that he

has not joined in any other establishment, so far he

has not gainfully employed in any other establishment

after his termination and therefore, he is not entitled

for any backwages. Only compensation alone is a

reasonable one to the petitioner delinquent workman.

Further, no monetary benefits were given to him by the

respondent

management.

Since

the

petitioner

delinquent workman was working for more than 20

years as watchman at the respondent management he

is entitled for gratuity and other monetary benefits

while he was terminated from service and that

therefore, considering the long tenure of service of

the petitioner delinquent workman and considering the

other circumstances and fact that the petitioner

delinquent workman could not serve at the respondent

establishment in future since the the management has

lost faith on the workman, this Court has decided that

the petitioner delinquent workman is not entitled for

any reinstatement as claimed by him instead of that he

can be granted compensation as an alternative remedy

to him from the respondent management.

23. In order to fix the compensation the records

and circumstances are carefully considered. The

petitioner has served at the respondent establishment

for about 20 years and thereafter due to the fact that

the incident a l l e g e d t o h a v e b e e n h a p p e n e d

on 01-02-2006 at 6.00 p.m. at factory premises, the

petitioner delinquent workman had not been in service

from 2006 i.e., for more than 11 years. Considering all

other above circumstances, this Court tentatively fix

` 2,00.000 as compensation which is to be paid by

the respondent management to the petitioner and apart

from compensation the petitioner delinquent workman

is entitled for all other retirement benefits as if, he is

in service at this stage such as gratuity and other

benefits.

24. In the result, the petition is partly allowed and

the termination of the petitioner Thiru K. Vinodan by

the management of M/s.Cannanore Spinning and

Weaving Mill, (CS & W Mill), Mahe is not justified

and an Award is passed by directing the respondent

management to pay ` 2, 00,000 (Rupees two lakhs

only) as compensation and also directed the respondent

management to pay retirement benefits such as gratuity

and other benefits to the said Thiru K. Vinodan as if

he is in service at this stage and the claim in respect

of backwages is dismissed. No cost.

Dictated to the Stenographer, transcribed by her,

corrected and pronounced by me in the open Court on

this the 19th day of September, 2017.

G. THANENDRAN,

Presiding Officer,

Industrial Tribunal-cum-Labour Court,

Puducherry.

————

List of petitioner’s witness:

RW.1 — 24-09-2010 — Vinodan

List of petitioner’s exhibits:

Ex.Rl —29-08-2006 — Certified copy of the

judgment passed in STR

No.

527/2006

by

Judicial Magistrate at

Mahe.

Ex.R2—02-01-2006 — True

copy

of

the

complaint given by the

petitioner to the General

Manager CS & W Mill.

Ex.R3—31-01-2006 — True copy of the Gate

to

Register maintained at

02-02-2006

the respondent Mill.

Ex.R4—28-01-2006 — True copy of the Log

to

Register maintained at

02-02-2006

the respondent Mill.

Ex.R5—31-01-2006 — True copy of the Rounds

to

Book maintained at the

01-02-2006

respondent Mill.

List of respondent’’s witness:

PW1 — 20-07-2010 — Kuttan

List of petitioner’s exhibits:

Ex.M1—

—

Report of enquiry

G. THANENDRAN,

Presiding Officer,

Industrial Tribunal-cum-Labour Court,

Puducherry.

1402

LA GAZETTE DE L’ETAT

[26 December 2017

GOVERNMENT OF PUDUCHERRY

LABOUR DEPARTMENT

(G. O. Rt. No. 178/Lab./AIL/T/2017, dated 10th July 2017)

NOTIFICATION

Whereas, an Award in I.D (L) No.19/2013, dated

30-10-2017 of the Labour Court, Puducherry in

respect of the industrial dispute between V. Sampath,

Labour Contractor (for M/s Larsen and Tourbo Farm

Work Metal Shop) and V.K. Jesudoss, Puducherry over

non-employment has been received.

Now, therefore, in exercise of the powers conferred

by sub-section (1) of section 17 of the Industrial Disputes

Act, 1947 (Central Act XIV of 1947), read with the

notification issued in Labour Department's G.O. Ms.

No. 20/91/Lab./L, dated 23-5-1991, it is hereby directed

by the Secretary to Government (Labour) that the said

Award shall be published in the Official Gazette,

Puducherry.

(By order)

S. MOUTTOULINGAM,

Under Secretary to Government (Labour).

————

BEFORE THE INDUSTRIAL TRIBUNAL-CUM-

LABOUR COURT AT PUDUCHERRY

Present : Thiru G. THANENDRAN, B.COM, M.L.,

Presiding Officer,

Monday, the 30th day of October, 2017

I.D. (L) No. 19/2013

V.K.Jesudoss, s/o. Kuppan,

No.45, Mariamman Koil Street,

Kooteripattu, Tindivanam,

Villupuram District.

. . Petitioner

Versus

1. V. Sampath, Labour Contractor,

(for M/s. Larsen & Toubro Farm

Work Metal Shop),

(Licence No.529/CL/A7/2010),

Sedarapet, Puducherry.

2. The Managing Director,

Larson & Toubro Limited,

Puducherry.

. .

Respondents.

This industrial dispute coming on 11-10-2017 before

me for final hearing in the presence of Thiru R.T.Shankar,

Advocate for the petitioner, Thiru B. Mohandoss, Advocate

for the respondent No. 1, Thiruvalarkal M.Vaikunth,

R.Vikneshraj and R.Ilamparudhi, Advocates for the

respondent No. 2, upon hearing both sides, upon perusing

the case records, after having stood over for consideration

till this day, this Court passed the following:

A W A R D

1. This industrial dispute has been referred by the

Government as per the G.O.Rt.No.31/AIL/LAB/J/2013,

dated 28-02-2013 for adjudicating the following:-

(i) Whether the dispute raised by Thiru V.K.Jesudoss

against one Thiru V. Sambath, a Contractor (for M/s.

Larsen & Toubro Farm Work Metal Shop, Puducherry)

over non-employment is justified or not?

(ii) If justified, what relief the workman is entitled to ?

(iii) To compute the relief if any, awarded in terms of

money if, it can be so computed?

Though the Government has referred this matter to

this Court to decide the industrial dispute raised by the

petitioner against Thiru V. Sambath, a Contractor

(for M/s. Larsen & Toubro Limited) over non-employment

is justified or not, the petitioner has impleaded the 2nd

respondent management in I.A.No.207/2013 which was

allowed by this Court and hence, it is to be decided

whether the industrial dispute raised by the petitioner

over

non-employment against the respondents is

justified or not.

2.

The averments in the claim statement of the

petitioner, in brief, are as follows :

The petitioner had been in service from 15-03-2000

at the 2nd respondent establishment working as Fitter at

Doka Form Metal Shop section along with permanent

workers under the direct control and supervision of the

2nd respondent.

He

had been connected under

Employment Code No.55-13433-64 of ESI Corporation

by 2nd respondent and his name also registered in the ESI

Corporation.

He has been utilised for production

department along with the permanent workers. Since, the

impermanent workers have not been paid salary on par

with the permanent workers even half of the amount of

permanent workers was not paid to them, the petitioner

has claimed for wages and conducted several agitations

against the 2nd respondent with the help of his union

Pattali Thozhirsangam. He has conducted agitation

on 09-02-2011 along with the workers of the 2nd respondent

establishment for which the 2nd respondent management

has accepted to raise ` 70 per day and also give assurance

to regularise them as permanent workers. However, on

1403

26 December 2017]

LA GAZETTE DE L’ETAT

10-08-2011 the petitioner was refused employment by

the 2nd respondent management orally for which he has

sent requisition on 25-11-2011 for reinstatement to the

2nd respondent management which was ended in futile and

no reply was given to him and that therefore, he raised the

industrial dispute on 22-12-2011 and the conciliation was

failed and thereafter, the case has been referred by the

Conciliation Officer to the Government and that therefore,

he is entitled for order of reinstatement with continuity

of service and with full back wages and other benefits.

3. The brief averments in the counter filed by the

1st respondent are as follows :

The 1st respondent stated that as per the

averments made in the claim statement, the petitioner was

orally terminated on 10-08-2011 and it was not punitive

termination and as such the termination referred to in the

claim statement is only retrenchment as contemplated

under section 2(oo) of the Industrial Dispute Act, 1947

and that the matters coming within the Jurisdiction of the

Labour Court have been enumerated in the 2nd Schedule

of the Industrial Disputes Act, 1947 and there are as many

as 6 items contained in the 2nd Schedule referred to above

and that the reliefs claimed in the claim statement do not

find a place in the 2nd Schedule and as such it is plain as

day light that the above reliefs are beyond the purview of

adjudication by this Labour Court and that only the

Industrial Tribunal constituted by the Government under

section 7-A of the Industrial Disputes Act, 1947 has got

jurisdiction to decide the claim made by the petitioner in

the present claim petition and that the matters within the

jurisdiction of Industrial Tribunals have been specified

under items 1 to 11 and the item No.10 specified thereon

is "Retrenchment of workmen" and when the validity of

retrenchment or any other issue relating to retrenchment

can be canvassed only before the Industrial Tribunal and

hence, cannot be adjudicated by the Labour Court, the

relief of reinstatement with back wages after setting aside

the retrenchment is not at all possible and further stated

that averments in the claim statement does not disclose

any cause of action against him and prayed to dismiss the

claim petition.

4. The brief averments in the counter filed by the 2nd

respondent are as follows :

The 2nd respondent stated that the claim made

by the petitioner is not maintainable in law or on facts

and that the 1st respondent is a registered Labour

Contractor under the Industrial Disputes Act and there

exist a contract between the 1st respondent for doing some

work and the petitioner has worked under the said

contractor under Wage basis and 2nd respondent have paid

only the contractual amount to the contractor and not to

the petitioner at any point of time and there is not privity

of contract between the petitioner and the 2nd respondent

and hence, the petitioner should get the claim only from

the 1st respondent and not from the 2nd respondent and

even in the conciliation proceedings the 2nd respondent

have not been arrived as a party and the petitioner has not

sort any prayer against the 2nd respondent in the

conciliation proceedings also and the petitioner is well

aware that he worked only under the 1st respondent and

not under the 2nd respondent at any point of time and that

can be evidenced from G.O. Rt. No.31/AIL/Lab./J/2013

issued by the Labour Department and further stated that

as per the averments made in the claim statement the

petitioner was orally terminated on 10-08-2011 and it was

not punitive termination and as such the termination

referred to in the claim statement is only retrenchment

as contemplated under section 2(oo) of the Industrial

Disputes Act, 1947 and that the matters coming within

the Jurisdiction of the Labour Court have been enumerated

in the 2nd Schedule of the Industrial Disputes Act, 1947

and there are as many as 6 items contained in the 2nd

Schedule referred to above and that the reliefs claimed in

the claim statement do not find a place in the 2nd Schedule

and as such it is plain as day light that the above reliefs

are beyond the purview of adjudication by this Labour

Court and that only the Industrial Tribunal constituted by

the Government under section 7-A of the Industrial

Disputes Act, 1947 has got jurisdiction to decide the claim

made by the petitioner in the present claim petition and

that the matters within the jurisdiction of Industrial

Tribunals have been specified under items 1 to 11 and the

item No. 10 specified thereon is "Retrenchment of

workmen" and when the validity of retrenchment or any

other issue relating to retrenchment can be canvassed only

before the Industrial Tribunal and hence, cannot be

adjudicated by the Labour Court, the relief of

reinstatement with back wages after setting aside the

retrenchment is not at all possible and prayed to dismiss

the claim petition.

5. In the course of enquiry on the side of the petitioner

PW.1 was examined and Ex.W1 to Ex.W8 were marked

and on the side of the respondents RW.1 and RW.2 was

examined and Ex.R1 to Ex.R3 were marked.

6. The point for consideration is:

Whether the dispute raised by the petitioner against

the respondents over non-employment is justified or not

and if justified, what is the relief entitled to the petitioner?

7. Both sides are heard. The pleadings of both the

parties, the evidence let in by either sides and the

exhibits marked on both sides are carefully considered.

In support of his case the learned counsel for the

petitioner has relied upon the Judgment reported in CDJ

1994 SC 294, CDJ 2011 MHC 759, CDJ 2011 SC 832,

CDJ 2008 MHC 941 & CDJ 2001 SC 517.

1404

LA GAZETTE DE L’ETAT

[26 December 2017

8. From the pleadings of both the parties it is learnt

that the main contention of the 1st respondent is that the

petitioner has not been terminated from service and it is

only retrenchment and hence, it can be adjudicated only

before the Labour Court not before the Industrial Tribunal

and that there is no cause of action. On the other hand,

the 2nd respondent contends that the 1st respondent is

the registered labour contractor under the Industrial

Disputes Act and the contract is executed between the

1st respondent and the 2nd respondent for doing some

work and the petitioner has worked under the said

contractor on wage basis and the 2nd respondent has paid

only the contractual amount to the contractor and not to

the petitioner at any point of time and there is no privity

of contract between the petitioner and the 2nd respondent

and even in the conciliation proceedings the 2nd respondent

has not allied as a party and the petitioner was working

only under the contractor, the 1st respondent and the

termination referred in the claim statement is only

retrenchment as contemplated under section 2(oo) of the

Industrial Disputes Act which is under the jurisdiction of

Labour Court not in the Industrial Tribunal and that this

Labour Court has no jurisdiction to adjudicate and to give

reinstatement with back wages after setting aside the

retrenchment is not at all possible.

9. It is the evidence of the PW.1 that he had been in

service from 15-03-2000 at the 2nd respondent

establishment and he had been working as Fitter at Doka

Form Metal Shop section along with permanent workers

under the direct control and supervision of the

2nd respondent and he had been connected under

Employment Code No.55-13433-64 of ESI Corporation

by 2nd respondent and his name also registered in the

ESI Corporation and he has been utilised for Production

Department along with the permanent workers and since,

the impermanent workers have not been paid salary on

par with the permanent workers even half of the amount

of permanent workers was not paid to them, the petitioner

has claimed for wages and conducted several agitations

against the 2nd respondent with the help of his union

Pattali Thozhirsangam and he has conducted agitation on

09-02-2011 along with the workers of the 2nd respondent

establishment for which the 2nd respondent management

has accepted to raise ` 70 per day and also give assurance

to regularise them as permanent workers and however, on

10-08-2011 he was refused employment by the

2nd respondent management orally and he has sent

requisition on 25-11-2011 for reinstatement to the

2nd respondent management which was ended in futile and

no reply was given to him and that therefore, he raised the

industrial dispute on 22-12-2011 against the 2nd

respondent

management over his non-employment

wherein, the 2nd respondent management has refused their

relationship of employer-employee and has stated that the

petitioner is a contractual labour and that therefore, the

1st respondent also has been impleaded in the said

industrial dispute and though the 2nd respondent

establishment has availed the service of the petitioner

directly and contributed ESI and EPF as an employer now

has come with the case that the petitioner is a contractual

labour and there is no relationship of employer-employee

and that though petitioner has served for more than

11 years at the 2nd respondent establishment when he has

asked to regularise his service and for wages with the

support of his union the 2nd respondent has orally refused

his employment as contractual labour as to escape from

the clutches of law to regularise his service as a permanent

workman.

10. In order to prove the case, the petitioner has

exhibited Ex.W1 to Ex.W8. Ex.W1 is the copy of the

letter regarding requesting for job sent by the petitioner

to the 2nd respondent management. Ex.W2 is the

acknowledgment card. Ex.W3 is the copy of the letter

regarding industrial dispute raised by the petitioner.

The Ex.P1 to Ex.P3 would go to show that petitioner has

made requisitions to the 2nd respondent establishment as

an employer to him and thereafter, the petitioner has raised

the industrial dispute before the Conciliation Officer.

Ex.W4 is the copy of the ESIC Card of the petitioner.

Ex.W5 is the copy of ESI account statement of the

petitioner. The Ex.P4 and Ex.P5 would go to show that

2nd respondent establishment is the employer to the

petitioner. Ex.W6 is the information furnished under RTI

Act which would reveal the fact that petitioner has

obtained information under RTI Act from the ESI

corporation that ESI contributions were paid by the 2nd

respondent in the name of the petitioner on various dates

from the year 2002 to 2011 as an employer. Ex.W7 is

the conciliation failure report. Ex.W8 is the notification

of Government of Puducherry. These documents would

go to show that the petitioner was worked under direct

supervision of the 2nd respondent for the period 2002 to

2011. Further, it is noticed from Ex.P7 that allegation of

the petitioner was that petitioner was terminated from

service on 10-08-2011 without any reason and he has

made several representation to the contractor and the

Works Manager of the 2nd respondent management and

further stated that he had been terminated in violation of

principles of natural justice and the contractor Sampath

has stated that the petitioner had never worked under him

and that there is no master and servant relationship

between themselves and the dispute raised against him is

not maintainable and further stated that the contract work

in 2nd respondent Larsen and Toubro Limited has

decreased and hence, he is not in a position to reinstate

the petitioner. However, admittedly, the petitioner was

working under the contractor at the 2nd respondent

industry.

1405

26 December 2017]

LA GAZETTE DE L’ETAT

11. On the other hand, in order to prove the case of

the respondents, RW.1 & RW.2 were examined and Ex.R1

to Ex.R3 were exhibited. Ex.R1 is the copy of the letter

given by the petitioner to V.Sampath, Contractor. Ex.R2

is the copy of the letter given by the petitioner to the

Works Manager, Larsen & Toubro Limited. Ex.R3 is the

copy of the letter given by the petitioner to V.Sampath,

Contractor.

12. The first contention of the 1st respondent as well

as 2nd respondent is that this Labour Court has no

jurisdiction to decide the claim made by the petitioner in

the present claim petition stating that the matter contains

III Schedule of the Act should be decided only by the

Industrial Tribunal and the validity of the retrenchment of

the workmen or any other issue relating to retrenchment

can be canvassed only before the Industrial Tribunal and

hence, it cannot be adjudicated by the Labour Court.

13. In this case, on perusal of the reference it can be

noted that the industrial dispute is raised by the petitioner

over non-employment to him and not against any

retrenchment and furthermore, the claim petition also

does not state that the petitioner was retrenched from

service and has stated that only his employment was

refused by the 2nd respondent management stating that

there is no connection between the 2nd respondent Larsen

& Toubro Limited and the petitioner workman and that

therefore, as the petitioner has not challenged the case as

retrenchment and he has challenged only non-

employment, the contention of the 1st and 2nd

respondents that this Labour Court has no jurisdiction to

deal with the said matter is not sustainable and hence, the

first contention is answered in favour of the petitioner

and against the respondents.

14. The another contention of the respondents is that

this petitioner is not the workman of the 2nd respondent

establishment and he is only a contractual labour worked

under the 1st respondent who has taken contract with the

2nd respondent establishment to produce manpower.

On the other hand, it is stated by the petitioner that he

was working under the direct control and supervision of

the 2nd respondent management as a worker and that he

was permitted to work along with the permanent workers

and he had been in service as an Fitter in the Doka Form

Metal Shop section and he had been connected under

Employment Code No. 55-13433-64 of ESI Corporation

by 2nd respondent.

15. Normally, employer - employee relationship does

not exist between an employer and a contractor and the

servant of an independent contractor, where, however, an

employer retains or assumes control over the means and

method by which the work of a contractor is to be done,

it may be said that an employment relationship exists

between him and the contractor's employees. In such a

situation the mere fact of formal employment by an

independent contractor will not relieve the master of

liability where the servant is, in fact, in his employment.

In that event, it may be held that an independent contractor

is created or is operating as a subterfuge and the employee

will be regarded as the servant of the principal employer.

Where a person is engaged through an intermediary or

otherwise for getting a job done, a question may arise

whether the appointment of an intermediary was merely

sham and nominal or a camouflage. Where a definite plea

is raised before an Industrial Tribunal or a Labour Court,

the Tribunal or Court, as the case may be would be entitled

to pierce the veil and arrive at a finding that the

justification relating to appointment of a contractor is

sham or nominal and in effect and substance there exists

a direct relationship of employer and employee between

the principal employer and the workman. Hence, it is to

be decided by this Court that whether the contractor under

whom the petitioner has served is the registered contractor

to supply the workers to the respondent establishment or

not and whether the 2nd respondent has direct control or

supervision over the petitioner while petitioner was in

service at the 2nd respondent establishment.

16. On this aspect, the evidence of RW.2, the contractor

is carefully considered which runs as follows :

"

L & T































ESI







ESI







L & T-















L & TESI













".

The evidence of the alleged contractor RW.2 would go

to show that he has not exhibited any document before

this Court to prove that contract was entered between him

and the 2nd respondent management and to establish that

he is a licensed contractor he has not filed any contract

1406

LA GAZETTE DE L’ETAT

[26 December 2017

before this Court and RW.2 stated that he has contributed

ESI to the petitioner for which he has not exhibited any

document and even he does not know whether the 2nd

respondent Larson & Toubro Limited has contributed ESI

and PF to the petitioner.

17.

Furthermore, the 2nd respondent Larson &

Toubro Limited has not exhibited any alleged contract

entered between the 1st respondent and 2nd respondent

Larson & Toubro Limited as an exhibit and furthermore,

though the 2nd respondent has stated that there is no

relationship of employer and employee between the 2nd

respondent Larson & Toubro Limited and the petitioner,

the documents exhibited by the petitioner would evident

that ESI and PF contribution were paid by the 2nd

respondent Larson & Toubro Limited and furthermore,

though the 2nd respondent has stated that there is no

primitive of contract between the petitioner and 2nd

respondent and there is no relationship of employer-

employee, the ESI Identity Card issued by the 2nd

respondent management to the petitioner under Ex.P4

which disclose the fact that petitioner is the employee of

the 2nd respondent Larson & Toubro Limited. Further,

the 2nd respondent Larson & Toubro Limited has not

spoken about the said document while the 2nd

respondent has denied the relationship of employer-

employee between them. However, the ESI and EPF

contribution in the name of petitioner was admitted by

RW.2, the witness which was examined on the side of the

2nd respondent. Though they have admitted the said

payment of ESI and EPF contribution they have not come

forward to say for what purpose they have paid the said

contributions in the name of the petitioner as an employer.

Further, though the 2nd respondent Larson & Toubro

Limited has denied the relationship of employer and

employee between the 2nd respondent and the petitioner,

the 2nd respondent management has not spoken about the

above-mentioned documents who issued to the petitioner

as an employer.

18. Further, the 2nd respondent Larson & Toubro

Limited has failed to produce the alleged contract under

which the 1st respondent was engaged before this Court

and furthermore, the 2nd respondent Larson & Toubro

Limited has not at all stated how many persons were

employed at the 2nd respondent establishment through

1st respondent contractor and how much was paid to 1st

respondent contractor for the supply of this contractual

labour and other workmen. No account statement or

receipt of payment made to workers is exhibited before

this Court that any amount was paid to the contractor for

the supply of such workmen as a contractual labour and

that therefore, it is clear that to avoid providing the benefit

of labour laws to the petitioner workman the 2nd

respondent has without

regularising the petitioner

workmen who had been in service from 2000 for about

11 years as a workman and to avoid benefits of labour

laws to the workman has utilised the petitioner in the name

of the 1st respondent contractor as a contract labour

without adopting legal procedure for utilising contractual

labours.

19. Further, it is also not established by the 2nd

respondent that 1st respondent is a licensed contractor

and contract was executed between the 1st respondent and

2nd respondent Larson & Toubro Limited. The evidence

of RW.1, the Assistant Manager of the 2nd respondent

Larson & Toubro Limited runs as follows :

"





























Agreement









L













ESI











ESI Contribution







ESI, PF 



















,











Reference

".

From the above evidence, it is clear that Assistant

Manager of the 2nd respondent Larson & Toubro Limited

has categorically denied that 2nd respondent establishment

has not executed any contract between anybody else for

supply of contractual labourers and he deposed that he

does not know whether the 1st respondent has any licence

to made contract with the 2nd respondent and he admitted

1407

26 December 2017]

LA GAZETTE DE L’ETAT

that petitioner was working at the 2nd respondent

establishment from the year 2003 and they have

contributed ESI and PF to the petitioner from 2003 and

he has admitted the fact that letter was sent by the 2nd

respondent to the Conciliation Officer to remove their

name from the conciliation proceedings and thereafter,

the conciliation failure report was sent to the Government

only against the 1st respondent.

20. Though the 2nd respondent management has denied

the fact that petitioner is the employee of the 2nd

respondent Larson & Toubro Limited, no explanation is

given by the 2nd respondent that why ESI and EPF

contribution was paid and why they have not exhibited the

contract executed between the 1st respondent for the

supply of labourers before this Court. On the other hand,

it is established by the petitioner that he had been in

service at the 2nd respondent Larson & Toubro Limited

as a labour and he has served under the direct control and

supervision of the 2nd respondent and ESI and EPF

contributions were paid by the 2nd respondent. Therefore,

it is to be held that the refusal of employment to the

petitioner by the 2nd respondent without following any

procedure is not justified and hence, the industrial dispute

raised by the petitioner against the respondents over non-

employment is justified and the petitioner is entitled for

the relief of reinstatement as claimed by him in the claim

statement.

21. As this Court has decided that industrial dispute

raised by the petitioner against the respondents over

non-employment is justified, it is to be decided whether

the petitioner is entitled for back wages as claimed by

him. There is no evidence that the said workman is

working so far in any other industry and that there is no

proof exhibited before this Court that he is working

anywhere else. The respondents have not proved that the

petitioner has earned income after his non-employment.

However, the petitioner workman could have served at

anywhere else after his non-employment. Considering

the above circumstances, this Court decides that the

petitioner is entitled only for 30% back wages with

continuity of service and other attendant benefits.

22. In the result, the petition is allowed and the

industrial dispute raised by the petitioner against the

respondents over non-employment is justified and Award

is passed by directing the 2nd respondent management to

reinstate the petitioner in service within one month from

the date of this order and further directed the 2nd

respondent management to pay 30% back wages from the

date of termination till the date of reinstatement with

continuity of service and other attendant benefits. No cost.

Dictated to the Stenographer, transcribed by her,

corrected and pronounced by me in the open Court on

this the 30th day of October, 2017.

G. THANENDRAN,

Presiding Officer,

Industrial Tribunal-cum

Labour Court, Puducherry.

————

List of petitioner’s witness:

PW.1 — 24-11-2015 — V.K. Jesudas

List of petitioner’s exhibits:

Ex.W1— 25-11-2011— Copy of the letter regarding

requesting for job sent by the

petitioner to the 2nd

respondent management.

Ex.W2— 26-11-2010 — Acknowledgment Card.

Ex.W3— 22-12-2011 — Copy of the letter regarding

industrial dispute raised by

the petitioner.

Ex.W4— 5513984059 — Copy of the ESIC Card of the

petitioner.

Ex.W5— 2009-2010 — Copy

of

ESI

account

statement of the petitioner.

Ex.W6— 15-12-2011 — Information furnished under

RTI Act.

Ex.W7— 17-09-2012 — Conciliation failure report.

Ex.W8—28-02-2013 — Notification of Government

of Puducherry.

List of respondent’s witnesses:

RW.1—

31-01-2017 — A. Nepoliyan

RW.2—

12-06-2017 — V. Sampath

List of respondent’s exhibits:

Ex.R1— 22-12-2011 — Copy of the letter given by

the petitioner to V.Sampath,

Contractor.

Ex.R2— 25-11-2011 — Copy of the letter given by

the petitioner to the Works

Manager, Larsen & Toubro

Limited.

Ex.R3— 16-11-2011 — Copy of the letter given by

the petitioner to V.Sampath,

Contractor.

G. THANENDRAN,

Presiding Officer,

Industrial Tribunal-cum-

Labour Court, Puducherry.

1408

LA GAZETTE DE L’ETAT

[26 December 2017

GOVERNMENT OF PUDUCHERRY

LABOUR DEPARTMENT

(G.O. Rt. No. 179/Lab./AIL/T/2017,

Puducherry, dated 27th November 2017)

NOTIFICATION

Whereas, the Award in I.D.(L)No.23/2013, dated

30-10-2017 of the Labour Court, Puducherry in

respect of the industrial dispute between K. Durairaj,

Villupuram and K. Kumar, Labour Contractor

(for M/s. Larsen & Tubro Limited) Puducherry over

non-employment has been received.

Now, therefore, in exercise of the powers conferred

by sub-section (1) of section 17 of the Industrial

Disputes Act, 1947 (Central Act XIV of 1947), read

with the notification issued in Labour Department’s G.O.

Ms. No.20/91/Lab/L, dated 23-5-1991, it is hereby

directed by the Secretary to Government (Labour) that

the said Award shall be published in the Official Gazette,

Puducherry.

S. MOUTTOULINGAM,

Under Secretary to Government

(Labour).

————

BEFORE THE INDUSTRIAL TRIBUNAL-CUM-

LABOUR COURT AT PUDUCHERRY

Present : Thiru G. THANENDRAN, B.COM, M.L.,

Presiding Officer,

Monday, the 30th day of October, 2017

I.D. (L) No. 23/2013

K. Durairaj,

S/o. Kesavan,

No. 14, Kanniyam Village,

Thazhudhali Post,

Tindivanam Taluk,

Villupuram.

. . Petitioner

Versus

1.

D. Kumar, Labour Contractor,

(for M/s. Larsen & Toubro Limited),

Mylam Road, Sedarapet.

Puducherry.

2.

The Managing Director,

M/s. Larsen & Toubro Limited,

Puducherry.

. . Respondent

This industrial dispute coming on 11-10-2017 before

me for final hearing in the presence of Thiru R. T. Shankar,

Advocate for the petitioner, Thiru B. Mohandoss, Advocate

for the respondent No. 1, Thiruvalargal M.Vaikunth,

R.Vikneshraj & R. Ilamparudhi, Advocates for the

respondent No. 2, upon hearing both sides, upon perusing

the case records, after having stood over for consideration

till this day, this Court passed the following:

AWARD

1. This industrial dispute has been referred by

the Government as per the G. O. Rt. No. 54/AIL/LAB/J/

2013, dated 16-4-2013 for adjudicating the following:-

(i) Whether the dispute raised by Thiru K. Durairaj

against Thiru D. Kumar, a Contractor (for M/s. Larsen &

Toubro Limited), Puducherry over non-employment is

justified or not?

(ii) If justified, what relief the workman is entitled to ?

(iii) To compute the relief if any, awarded in terms of

money if, it can be so computed?

Though the Government has referred this matter to this

Court to decide the industrial dispute raised by the petitioner

against Thiru D. Kumar, a Contractor (for M/s. Larsen &

Toubro Limited) over non-employment is justified or not, the

petitioner has impleaded the 2nd respondent management in

I.A. No. 100/2013 which was allowed by this Court and hence,

it is to be decided whether the industrial dispute raised by the

petitioner over non-employment against the respondents is

justified or not.

2. The averments in the Claim Statement of the

petitioner, in brief, are as follows:-

The petitioner stated that he had been in service at

the 2nd respondent establishment at Doka Form Metal

Shop section through 1st respondent contractor from

01-07-2007 and he had been working as Electrician

under the contract supervision of 2nd respondent at

production department along with permanent workers

and he had been connected under Employment Code

No. 55-13433-64 of ESI Corporation by 2nd

respondent and that he had been in service under the

direct control of Larsen & Toubro and the petitioner

has received Rs.185/- as wages per day and further

stated that he had met with an accident during the course

of employment on 15-07-2009 and he sustained

injuries on his left hand finger for which he had

undergone plastic surgery and the Larsen & Toubro

limited has submitted report to the ESI Corporation and

that in the report it was mentioned that Larsen & Toubro

Limited is the employer of the petitioner and further

1409

26 December 2017]

LA GAZETTE DE L’ETAT

stated that he was receiving Rs.185 as daily wages

while he asked to regularize his post through his Pattali

Thozhirsangam and made a demand before the

management of Larsen & Toubro limited, the

management

without

giving

intimation

refused

employment to the petitioner on 07-11-2010 and he

made a representation on 26-11-2010 to reinstate him

in service and after negotiation between the

management of Larsen & Toubro limited and the Pattali

Thozhirsangam the petitioner was given employment to

the petitioner on 21-12-2010 and the petitioner was

assigned work in TLT Division in which also the

petitioner has completed the work, however his salary

was reduced to Rs.110 from Rs.185 by the respondent

management and when it was questioned by the

petitioner the respondent management has without

giving any notice to the petitioner has terminated, the

petitioner from service on 01-01-2011 and thereafter

the petitioner has not been permitted to enter, the

premises of the respondent Industry and thereafter the

petitioner has submitted a letter to the respondent

establishment stating his family circumstances and

asked for the salary of Rs.185 per day but the

respondent management has not given employment

though the association has made a requisition on 01-

02-2011 to the respondent management and that

therefore, the petitioner has raised the industrial

dispute before the Conciliation Officer and also against

the 1st respondent contractor and the conciliation was

failed and thereafter the case has been referred by the

Conciliation Officer to the Government and that

therefore, he is entitled for order of reinstatement with

continuity of service and with full back wages and other

benefits.

3. The brief averments in the counter filed by the

1st respondent are as follows :

The 1st respondent stated that as per the averments

made in the claim statement the petitioner was orally

terminated on 07-11-2010 and it was not punitive

termination and as such the termination referred to in

the claim

statement

is

only

retrenchment

as

contemplated under section 2(oo) of the Industrial

Disputes Act, 1947 and that the matters coming within

the Jurisdiction of the Labour Court have been

enumerated in the 2nd schedule of the Industrial

Disputes Act, 1947 and there are as many as 6 items

contained in the 2nd schedule referred to above and that

the reliefs claimed in the claim statement do not find a

place in the 2nd Schedule and as such it is plain as day

light that the above reliefs are beyond the purview of

adjudication by this Labour Court and that only the

Industrial Tribunal constituted by the Government under

section 7-A of the Industrial Disputes Act, 1947 has

got jurisdiction to decide the claim made by the

petitioner in the present claim petition and that the

matters within the jurisdiction of Industrial Tribunals

have been specified under items 1 to 11 and the item

No.10 specified thereon is “Retrenchment of workmen”

and when the validity of retrenchment or any other issue

relating to retrenchment can be canvassed only before

the Industrial Tribunal and hence cannot be adjudicated

by the Labour Court, the relief of reinstatement with

back wages after setting aside the retrenchment is not

at all possible and further stated that averments in the

claim statement does not disclose any cause of action

against him and prayed to dismiss the claim petition.

4. The brief averments in the counter filed by the

2nd respondent are as follows :

The 2nd respondent stated that the claim made

by the petitioner is not maintainable in law or on facts

and that the 1st respondent is a registered Labour

Contractor under the Industrial Dispute Act and there

exist a contract between the 1st respondent for doing

some work and the petitioner is worked under the said

contractor under wage basis and 2nd respondent have

paid only the contractual amount to the contractor and

not to the petitioner at any point of time and there is

not privity of contract between the petitioner and the

2nd respondent and hence, the petitioner should get the

claim only from the 1st respondent and not from the

2nd respondent and even in the conciliation proceedings

the 2nd respondent have not been arrived as a party and

the petitioner has not sort any prayer against the 2nd

respondent in the conciliation proceedings also and the

petitioner is well aware that he worked only under the

1st respondent and not under the 2nd respondent at any

point of time and that can be evidenced from G.O. Rt.

No.54 dated 16-04-2013 issued by the Labour

Department and further stated that as per the averments

made in the claim statement the petitioner was orally

terminated on 07-11-2010 and it was not punitive

termination and as such the termination referred to in

the claim

statement

is

only

retrenchment

as

contemplated under section 2(oo) of the Industrial

Disputes Act, 1947 and that the matters coming within

the Jurisdiction of the Labour Court have been

enumerated in the 2nd Schedule of the Industrial

Disputes Act, 1947 and there are as many as 6 items

contained in the 2nd schedule referred to above and that

the reliefs claimed in the claim statement do not find a

place in the 2nd Schedule and as such it is plain as day

light that the above reliefs are beyond the purview of

1410

LA GAZETTE DE L’ETAT

[26 December 2017

adjudication by this Labour Court and that only the

Industrial Tribunal constituted by the Government under

section 7-A of the Industrial Disputes Act, 1947 has

got jurisdiction to decide the claim made by the

petitioner in the present claim petition and that the

matters within the jurisdiction of Industrial Tribunals

have been specified under items 1 to 11 and the item

No.10 specified thereon is “Retrenchment of workmen”

and when the validity of retrenchment or any other issue

relating to retrenchment can be canvassed only before

the Industrial Tribunal and hence, cannot be adjudicated

by the Labour Court, the relief of reinstatement with

back wages after setting aside the retrenchment is not

at all possible and prayed to dismiss the claim petition.

5.

In the course of enquiry on the side of the

petitioner WW1 was examined and Ex. W1 to Ex.W12

were marked and on the side of the respondents RW1

& RW2 was examined and Ex. R1 to Ex.R3 were marked.

6. The point for consideration is:

Whether the dispute raised by the petitioner against

the respondents over non-employment is justified or

not and if justified what is the relief entitled to the

petitioner?

7. Both sides are heard. The pleadings of both the

parties, the evidence let in by either sides and the

exhibits marked on both sides are carefully considered.

In support of his case the learned Counsel for the

petitioner has relied upon the Judgment in CDJ 1994

SC 294, CDJ 2011 MHC 759, CDJ 2011 SC 832, CDJ

2008 MHC 941 & CDJ 2001 SC 517.

8. From the pleadings of both the parties it is learnt

that the main contention of the 1st respondent is that

the petitioner has not been terminated from service and

it is only retrenchment and hence it can be adjudicated

only before the Labour Court not before the Industrial

Tribunal and that there is no cause of action. On the

other hand, the 2nd respondent contends that the 1st

respondent is the registered labour contractor under

the Industrial Disputes Act and the contract is executed

between the 1st respondent and the 2nd respondent for

doing some work and the petitioner has worked under

the said contractor on wage basis and the 2nd

respondent has paid only the contractual amount to the

contractor and not to the petitioner at any point of time

and there is no privity of contract between the petitioner

and the 2nd respondent and even in the conciliation

proceedings, the 2nd respondent has not allied as a party

and the petitioner was working only under the

contractor, the 1st respondent and the termination

referred in the claim statement is only retrenchment

as contemplated under section 2(oo) of the Industrial

Disputes Act which is under the jurisdiction of Labour

Court not in the Industrial Tribunal and that this Labour

Court has no jurisdiction to adjudicate and to give

reinstatement with backwages after setting aside the

retrenchment is not at all possible.

9. It is the evidence of the WW1 that he had been in

service at the 2nd respondent establishment through 1st

respondent contractor from 01-07-2007 and he had

been working as Electrician at production department

along with permanent workers and he had been

connected under Employment Code No.55-13433-64

of ESI Corporation by 2nd respondent and that he had

been in service under the direct control of Larsen &

Toubro and he has received Rs.185 as wages per day

and he had met with an accident during the course of

employment on 15-07-2009 and he sustained injuries

on his left hand finger for which he had undergone

plastic surgery and 2nd respondent Larsen & Toubro

limited has submitted report to the ESI Corporation in

which it was mentioned that Larsen & Toubro Limited

is the employer of the petitioner and further deposed

that he was receiving Rs.185/- as daily wages while he

asked to regularize his post through his Pattali

Thozhirsangam and made a demand before the

management of Larsen & Toubro limited, the

management

without

giving

intimation

refused

employment to the petitioner on 07-11-2010 and he

made a representation on 26-11-2010 to reinstate him

in service and after negotiation between the

management of Larsen & Toubro limited and the Pattali

Thozhirsangam, the petitioner was given employment

on 21-12-2010 and though the petitioner was assigned

work in TLT Division, his salary was reduced to Rs.110

from Rs.185 by the respondent management and when

it was questioned by the petitioner the respondent

management has without giving any notice to the

petitioner has terminated him from service on 01-01-

2011 and thereafter he has not been permitted to enter

the premises of the respondent Industry and thereafter, he

has submitted a letter to the respondent establishment

stating his family circumstances and asked for the

salary of Rs.185 per day and though the association has

made a requisition on 01-02-2011 to the respondent

management the respondent management has not given

employment and that therefore, the petitioner has raised

the industrial dispute before the conciliation officer

and also against the 1st respondent contractor.

1411

26 December 2017]

LA GAZETTE DE L’ETAT

10. In order to prove the case, the petitioner has

exhibited Ex.W1 to Ex.W12 Ex.W1 is the Letter

regarding requesting for job sent by the petitioner to

the 2nd respondent management. Ex.W2 is the

Acknowledgment card. Ex.W3 is the Letter regarding

requesting for job to the petitioner sent by the

petitioner sangam to the 2nd respondent management.

Ex.W4 is the Letter regarding industrial dispute raised

by the petitioner. The Ex.P1 to Ex.P4 would go to show

that petitioner has made requisitions to the 2nd

respondent establishment as an employer to him and

thereafter, the petitioner has raised the industrial

dispute before the Conciliation Officer. Ex.W5 is the

copy of the ESI Corporation card of the petitioner

which would reveal the fact that it was issued by the

2nd respondent establishment. Ex.W6 is the Copy of

the accident report submitted by the 2nd respondent

management to the ESI Corporation in which the 2nd

respondent has stated that they are the employer of the

petitioner. Ex.W7 is the medical leave and receipts

regarding treatment undergone by the petitioner.

Ex.W8 is the Information furnished under RTI Act which

would reveal the fact that petitioner has obtained

information under RTI Act from the ESI Corporation

that ESI contributions were paid by the 2nd respondent

in the name of the petitioner on various dates from the

year 2007 to 2010 as an employer. Ex.W9 is the reply

given by the 2nd respondent management before the

Labour Officer (Conciliation). Ex.W10 is the details

regarding overtime job done by the petitioner. Ex.W11

is the conciliation failure report. Ex.W12 is the

notification of Government of Puducherry. These

documents would go to show that the petitioner has

worked under direct supervision of the 2nd respondent

for the period 2007 to 2011. Further, it is noticed from

Ex. P11 that allegation of the petitioner was that

petitioner was reemployed and his wage was reduced

from Rs.185 to Rs.110 and the contractor insisted him

to approach the respondent management and he has

made representation to the respondent management on

27-10-2011 and 01-02-2011 in this regard and the

respondent management has refused employment to him

without any reason or notice to him and that contractor

is not a licensed contractor and he had not obtained

any licence from the Government of Puducherry

during his period of service from 01-12-2007 and

hence, it is deemed that the petitioner had worked under

the management of 2nd respondent for which the

respondent management has stated that they have

engaged

various contractors

like civil

works,

mechanical works and electrical works and contractors

engaged for the purpose of fulfilling the contractual

obligations at the premises of the company and the 1st

respondent is one of the contractor who has done the

electrical, wiring, repairing & cable laying works, etc.,

and the petitioner had worked under him and the

employer and workman relationship existed only

between the contractor and petitioner and that there is

no relationship of employer and employee between the

2nd respondent and the petitioner and that he was

engaged only by the contractor, the 1st respondent as a

casual workman. However, admittedly, the petitioner

was working under the contractor at the 2nd respondent

industry.

11. On the other hand, in order to prove the case of

the respondents, RW1 & RW2 were examined and Ex. R1

to Ex.R3 were exhibited. Ex. R1 is the marriage

invitation card of the petitioner. Ex. R2 is the letter

given by the petitioner to the Works Manager, Larsen

& Toubro Limited. Ex. R3 is the letter given by the

petitioner to Srinivasa Perumal, Contractor.

12. The first contention of the 1st respondent as well

as 2nd respondent is that this Labour Court has no

jurisdiction to decide the claim made by the petitioner

in the present claim petition stating that the matter

contains III Schedule of the Act should be decided only

by the Industrial Tribunal and the validity of the

retrenchment of the workmen or any other issue

relating to retrenchment can be canvassed only before

the industrial tribunal and hence, it cannot be

adjudicated by the Labour Court.

13.

In this case, on perusal of the reference it can

be noted that the Industrial dispute is raised by the

petitioner over non-employment to him and not against

any retrenchment and furthermore, the claim petition

also does not state that the petitioner was retrenched

from service and has stated that only his employment

was refused by the 2nd respondent management stating

that there is no connection between the 2nd respondent

establishment and the petitioner workman and that

therefore, as the petitioner has not challenged the case

as retrenchment and he has challenged only non-

employment, the contention of the 1st and 2nd

respondents that this Labour Court has no jurisdiction

to deal with the said matter is not sustainable and hence,

the first contention is answered in favour of the

petitioner and against the respondents.

1412

LA GAZETTE DE L’ETAT

[26 December 2017

14. The another contention of the respondents is that

this petitioner is not the workman of the 2nd respondent

establishment and he is only a contractual labour

worked under the 1st respondent who has taken contract

with the 2nd respondent establishment to produce man

power. On the other hand, it is stated by the petitioner

that he was working under the direct control and

supervision of the 2nd respondent management as a

worker and that he was permitted to work along with the

permanent workers and he had been in service as an

electrician in the production department from July,

2007 and he had been connected under Employment

Code No. 55-13433-64 of ESI Corporation by 2nd

respondent and 2nd respondent management has

admitted themselves as employer of the petitioner while

he was met with an accident on 15-07-2009 for which

the

2nd

respondent

management

has

sent

a

communication to the ESI corporation on 16-07-2009

stating that the 2nd respondent establishment is the

employer of the petitioner.

15. Normally, employer-employee relationship does

not exist between an employer and a contractor and the

servant of an independent contractor, where, however,

an employer retains or assumes control over the means

and method by which the work of a contractor is to be

done, it may be said that an employment relationship

exists between him and the contractor's employees. In

such a situation the mere fact of formal employment

by an independent contractor will not relieve the master

of liability where the servant is, in fact, in his

employment. In that event, it may be held that an

independent contractor is created or is operating as a

subterfuge and the employee will be regarded as the

servant of the principal employer. Where a person is

engaged through an intermediary or otherwise for

getting a job done, a question may arise whether the

appointment of an intermediary was merely sham and

nominal or a camouflage. Where a definite plea is

raised before an industrial tribunal or a Labour ourt,

the Tribunal or Court, as the case may be would be

entitled to pierce the veil and arrive at a finding that

the justification relating to appointment of a contractor

is sham or nominal and in effect and substance there

exists a direct relationship of employer and employee

between the principal employer and the workman.

Hence, it is to be decided by this Court that whether

the contractor under whom the petitioner has served is

the registered contractor to supply the workers to the

2nd respondent establishment or not and whether the

2nd respondent has direct control or supervision over

the petitioner while petitioner was in service at the 2nd

respondent establishment.

16.

On this aspect, the evidence of RW1, the

contractor is carefully considered which runs as follows

“

L&T contract



L&T



contract licence

 contract ESI

Number

Provident Fund











L&T

 PF

retrenchment 







































contract



”

The evidence of the alleged contractor RW1 would

go to show that no documents is exhibited before this

Court to prove that he is the contractor and has taken

contract at the 2nd respondent Larson & Toubro Limited

and he admitted that there is no contract between the

2nd respondent Larson & Toubro Limited to him and

he has not obtained any licence from the Government

of Puducherry and that he has not assigned ESI number

and Provident fund number and even he does not know

whether the 2nd respondent Larson & Toubro Limited

has contributed ESI and PF to the petitioner.

17. Furthermore, the 2nd respondent Larson & Toubro

Limited has not exhibited any alleged contract entered

between the 1st respondent and 2nd respondent Larson

& Toubro Limited as an exhibit and furthermore, though

the 2nd respondent has stated that there is no

relationship of employer and employee between the 2nd

respondent Larson & Toubro Limited and the petitioner,

the documents exhibited by the petitioner would evident

that ESI and PF contribution were paid by the 2nd

respondent Larson & Toubro Limited and furthermore,

the 2nd respondent has submitted the accidental report

to the ESI corporation stating that they are the principal

1413

26 December 2017]

LA GAZETTE DE L’ETAT

employer of the petitioner Durairaj who sustained

injuries in the accident at the respondent establishment

and furthermore, the petitioner has exhibited the ESI

identity card issued by the 2nd respondent Larson &

Toubro Limited as Ex.P5 which would disclose the fact

that petitioner is the employee of the 2nd respondent

Larson & Toubro Limited. In such circumstances

though the 2nd respondent Larson & Toubro Limited

has denied the relationship of employer and employee

between the 2nd respondent and the petitioner, the 2nd

respondent management has not spoken about the

above-mentioned documents who issued to the

petitioner as an employer.

18. Further, the 2nd respondent Larson & Toubro

Limited has failed to produce the alleged contract under

which the 1st respondent was engaged before this Court

and furthermore the 2nd respondent Larson & Toubro

Limited has not at all stated how many persons were

employed at the 2nd respondent establishment through

1st respondent contractor and how much was paid to

1st respondent contractor for the supply of this

contractual labour and other workmen. No account

statement or receipt of payment made to workers is

exhibited before this Court that any amount was paid

to the contractor for the supply of such workmen as a

contractual labour and that therefore, it is clear that to

avoid providing the benefit of labour laws to the

petitioner workman, the 2nd respondent has without

regularizing the petitioner workmen who had been in

service from 2007 for about 5 years as a workman and

to avoid benefits of labour laws to the workman has

utilized the petitioner in the name of the 1st respondent

contractor as a contract labour without adopting legal

procedure for utilizing contractual labours.

19. Further, it is also not established by the 2nd

respondent that 1st respondent is a licensed contractor

and contract was executed between the 1st respondent

and 2nd respondent Larson & Toubro Limited. The

evidence of RW2, the Assistant Manager of the 2nd

respondent Larson & Toubro Limited runs as follows :

“













L 

ESI



ESI contribution







ESI





















ESI, PF 



































”

From the above evidence, it is clear that Assistant

Manager of the 2nd respondent Larson & Toubro

Limited has categorically denied that 2nd respondent

establishment has not made any contract between

anybody else for supply of contractual labourers and it

is also admitted by him that they have not obtained any

permission from the Government to utilize the

contractual labourers and he admitted that petitioner

was working at the 2nd respondent establishment from

the year 2007 and they have contributed ESI and PF to

the petitioner from 2007 and that they have admitted

the fact that they have submitted the accidental report

to the ESI corporation as an employer and he has also

admitted the fact that in the accident report the 2nd

respondent has not stated that the petitioner workman

is a contractual labour under the 1st respondent.

20.

Though the 2nd respondent management has

denied the fact that petitioner is the employee of the

2nd respondent Larson & Toubro Limited, no

explanation is given by the 2nd respondent that why ESI

and EPF contribution was paid and why report was

submitted to the ESI Corporation as an employer and

why they have not exhibited the contract entered

between the 1st respondent for the supply of labourers

before this Court. On the other hand, it is established

by the petitioner that he had been in service at the 2nd

respondent Larson & Toubro Limited as a labour and

he has served under the direct control and supervision

of the 2nd respondent establishment. Therefore, it is

to be held that the refusal of employment to the

petitioner by the 2nd respondent without following any

procedure is not justified and hence, the industrial

dispute raised by the petitioner against the respondents

over non-employment is justified and the petitioner is

entitled for the relief of reinstatement as claimed

by him.

1414

LA GAZETTE DE L’ETAT

[26 December 2017

21.

As this Court has decided that industrial dispute

raised by the petitioner against the respondents over

non-employment is justified, it is to be decided whether

the petitioner is entitled for backwages as claimed by

him. There is no evidence that the said workman is

working so far in any other industry and that there is no

proof exhibited before this Court that he is working

anywhere else. The respondents have not proved that

the petitioner has earned income after his non-

employment. However, the petitioner workman could

have served at anywhere else after his non-employment.

Considering the above circumstances, this court

decides that the petitioner is entitled only for 30%

backwages at the rate of Rs.185/ per day with continuity

of service and other attendant benefits.

22.

In the result, the petition is allowed and the

industrial dispute raised by the petitioner against the

respondents over non-employment is justified and

Award is passed by directing the 2nd respondent

management to reinstate the petitioner in service within

one month from the date of this order and further

directed the 2nd respondent management to pay 30%

back wages at the rate of Rs.185/ per day from the date

of termination till the date of reinstatement with

continuity of service and other attendant benefits. No

cost.

Dictated to the Stenographer, transcribed by her,

corrected and pronounced by me in the open Court on

this the 30th day of October, 2017.

G. THANENDRAN,

Presiding Officer,

Industrial Tribunal-cum-Labour Court,

Puducherry.

————

List of petitioner’s witness:

WW.1 — 09-12-2015 — Durairaj

List of petitioner’s exhibits:

Ex.W1 — 27-01-2011 — L e t t e r

r e g a r d i n g

requesting for job sent by

the petitioner to the 2nd

respondent management.

Ex.W2 — 01-12-2010 — Acknowledgment card.

Ex.W3 — 01-02-2011 — Letter regarding requesting

for job to the petitioner

sent by the petitioner

s a n g a m t o t h e 2 n d

respondent management.

Ex.W4 — 25-04-2011 — L e t t e r r e g a r d i n g

industrial dispute raised

by the petitioner.

Ex.W5 — 5516072144 — Copy of the ESIC card of

the petitioner.

Ex.W6 — 16-07-2009 — Copy of the Accident

report

submitted

by

the

2nd respondent

management to the ESI

Corporation.

Ex.W7 — 13 Nos. —

Medical

leave

and

receipts

regarding

treatment undergone by

the petitioner.

Ex.W8 — 30-05-2011 — Information

furnished

under RTI Act.

Ex.W9 — 07-06-2011 — Reply given by the 2nd

respondent management

before the Labour Officer

(Conciliation).

Ex.W10—26-04-2010 — D e t a i l s

r e g a r d i n g

overtime job done by the

petitioner.

Ex.W11—24-09-2010 — Co nci liatio n fa ilure

report.

Ex.W12—16-04-2013 — N o ti fi c a ti o n

o f

Government of Puducherry.

List of respondent’s witnesses:

RW1

— 21-03-2016 — Kumar

RW2

— 21-03-2016 — Nepoliyan

List of respondent’s exhibits:

Ex.R1 —

Marriage invitation card

of the petitioner.

Ex.R2 — 27-01-2011 — Letter given by the

petitioner to the Works

Manager,

Larsen

&

Toubro Limited.

Ex.R3 — 19-02-2011 — Letter given by the

petitioner

to Srinivasa

Perumal, Contractor.

G. THANENDRAN,

Presiding Officer,

Industrial Tribunal-cum-Labour Court.