Court No. - 6 Case :- WRIT - C No. - 71516 of 2009 Petitioner :- M/S Goal Hospital Respondent :- State Of U.P. & Others Petitioner Counsel :- A.P. Singh,H.C. Singh Respondent Counsel :- C.S.C. Hon'ble Arun Tandon,J.
This writ petition has been filed by the employer M/s Goal Hospital
challenging the order of the Prescribed Authority under the Minimum Wages
Act, 1948 dated 23rd December, 2008, passed in Case no. DCMW-48/07. The
proceedings against the petitioner employer were initiated on a complaint of
the Labour Enforcement Officer under the Minimum Wages Act, 1948
wherein it was stated that the 5 employees of the petitioner hospital had not
been paid their minimum wages in terms of the Act. It was stated that a total
sum of Rs. 22,206/- was short paid as per the minimum wages applicable to
the employees concerned. Notices were issued on the initiation of the
proceedings. The petitioner filed reply and contested the report of the Labour
Enforcement Officer.
The Prescribed Authority, after noticing the case pleaded by the parties, found
that the report of the Labour Enforcement Officer was correct. It has been
recorded that the employers have hopelessly failed to establish that the
employee concerned were daily wagers or part time. The payment register,
cash-book and balance sheet were not produced by the employers and
therefore the Court came to a conclusion that five workmen had been paid
wages less than minimum prescribed to the tune of Rs. 22,206/-, as detailed in
the order itself. The Prescribed Authority, therefore, proceeded to direct
payment of balance of the wages as per the minimum wages applicable to the
workmen concerned and further proceeded to impose a penalty of twice the
amount so short paid. Thus a total sum of Rs. 66,818/- has been directed to be
paid. It is against this order that the present writ petition has been filed.
On behalf of the petitioner initially an attempt was made to challenge the
findings recorded by the Prescribed Authority and to contend before this
Court that the workmen were either not employed or they were employed as
part time/daily wager. The aforesaid plea could not be substantiated by any
documentary evidence, which have been led before the Prescribed Authority.
The petitioner could not assail the findings recorded in the impugned order to
the effect that no documents namely payment register, cash book and balance
sheet etc were produced before the Labour Court. The vouchers produced by
the petitioner have not been accepted by the authorities for the reasons
recorded in the impugned order itself.
In view of the facts so noticed, this Court finds no good ground to interfere
with the findings recorded by the Prescribed Authority to the extent that five
workmen had not been paid minimum wages as prescribed under the
Minimum Wages Act. The order of the authority to that extent is upheld in
toto.
The issue, however, remains as to whether in the facts of the case penalty of
twice the amount so calculated was legally justified or not.
In the facts and circumstances of the case, the Court feels that it wold be in
the interest of justice to reduce the penalty from twice the amount to one time
the amount only. Accordingly, the order of the Prescribed Authority is
modified to the extent that the employers petitioner would pay a sum of Rs.
22,206/- to the workmen, as detailed in the order, being the amount short paid
as per the minimum wages applicable, and a further sum of Rs. 22,206/-
towards penalty to the workmen.
The writ petition is disposed of subject to the modification as aforesaid. The
said amount may be deposited within one month from today. In case of non-
compliance of the direction so issued, the petitioner shall not be entitled to the
benefit of this order.
For the period of one month, no coercive action shall be taken against the
petitioner.
Order Date :- 8.1.2010
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