High Court Kerala High Court

Hotel Yuvarani vs M.V.Gopinathan on 17 January, 2008

Kerala High Court
Hotel Yuvarani vs M.V.Gopinathan on 17 January, 2008
       

  

  

 
 
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

OP No. 26759 of 2002(I)


1. HOTEL YUVARANI, M.G.ROAD ERNAKULAM,
                      ...  Petitioner

                        Vs



1. M.V.GOPINATHAN, EWS 716, GANDHI NAGAR,
                       ...       Respondent

2. THE LABOUR COURT, ERNAKULAM.

                For Petitioner  :SRI.P.RAMAKRISHNAN

                For Respondent  :GOVERNMENT PLEADER

The Hon'ble MR. Justice S.SIRI JAGAN

 Dated :17/01/2008

 O R D E R
                            S.SIRI JAGAN, J.


                         =======================


                          O.P.  No.26759  of 2002 (I)


                         =======================





                   Dated this the   17th  day of January, 2008





                                JUDGMENT

The petitioner is the opposite party in CP No.55/1993 before

the Labour Court, Ernakulam, filed by the 1st respondent herein,

claiming wages allegedly due to him for the period from 8.4.1991

to 26.5.1991, food allowance allegedly due to him for the same

period and balance bonus allegedly due to him for a period from

1988-89 and 1989-90 as also bonus for the period 1990-91 and

proportionate bonus for the period from 1991-92. The Labour

Court by Ext.P1 order, accepted the claims of the 1st

respondent herein as raised in the claim petition and directed

payment of an amount of Rs.4588.15/- as amounts computed as

due to the 1st respondent on the above accounts. That order is

O.P. No.26759/2002/I -2-

under challenge before me.

2. The main contention raised by the petitioner is that

the eligibility of the petitioner for wages for the period was not a

claim which could have been validly considered by a Labour

Court in exercise of powers under Section 33 C (2) of the

Industrial Disputes Act. According to the petitioner, the 1st

respondent was caught red handed while committing very serious

misconducts, as a result of which he was taken into police

custody, at which time he was under the influence of alcohol

also. That incident happened on 7.4.1991 and thereafter he did

not attend duty. On 27.5.1991, the 1st respondent was

suspended from service pending disciplinary action. During the

period from 8.4.1991 and 26.5.1991, the petitioner himself

stayed away from work because of guilty conscience and not

because the petitioner refused to allow him to attend to duty.

Therefore, there is no question of payment of wages and food

allowance for the said period is the contention raised. The

further contention is that in any event, the question as to

whether the contention of the management was true or that of

the workman was true, was not a matter which could have been

O.P. No.26759/2002/I -3-

validly agitated in a claim petition under Section 33 C (2) of

Industrial Disputes Act. He also challenges that portion of the

order whereby the Labour Court had directed payment of

balance bonus due to the 1st respondent. According to him,

bonus due to the 1st respondent could have been calculated

only in accordance with his last drawn wages at the time of

suspension and the Labour Court erroneously calculated bonus on

the basis of minimum wages payable to the 1st respondent which

is not permissible under law.

3. The counsel for the 1st respondent would seriously

dispute the contentions raised by the petitioner. According to her,

the 1st respondent was present for duty every day from 8.4.1991

to 26.5.1991 but he was not permitted to perform his duties.

Therefore, according to the 1st respondent, he is entitled to

wages and food allowance for the period. The counsel would

further submit that when minimum wages have been prescribed

for this industry there is nothing wrong in the Labour Court

calculating bonus declared on the basis of the minimum wages

payable and the management which has not paid minimum

wages to the workman cannot be heard to contend that he would

O.P. No.26759/2002/I -4-

pay bonus to the workman only in accordance with the wages he

actually paid to the workers.

4. I have considered rival contentions in detail. As

observed by the Labour Court in Ext.P1, the 1st respondent

himself had admitted that on 7.4.1991 he was taken into custody

by the police. According to the management, he had been taken

to the Government hospital for medical examination as he was

under the influence of alcohol. It is also not disputed by the 1st

respondent that he was placed under suspension with effect from

17.5.1991. (The 1st respondent disputes the averment that he

was taken for medical examination.) It is also admitted before

me now, that the suspension had culminated in imposition of

punishment of dismissal from service after a domestic enquiry in

respect of which there is an industrial dispute pending. As such it

cannot now be disputed that there is a genuine dispute pending

between the parties as to whether during the period from

8.4.1991 to 26.5.1991, the 1st respondent was actually absent

from duty by himself or whether the opposite party refused

permission to him to attend to his duties. It is settled law that

proceedings under Section 33 C (2) of the Industrial Disputes

O.P. No.26759/2002/I -5-

Act is in the nature of execution proceedings and only settled

rights which can be computed in terms of money can be subject

matter of a petition under Section 33 C (2). That being so, when

there is a genuine dispute as to whether the 1st respondent was

actually present for duty for the above period, the Labour Court

could not have in exercise powers under Section 33 C (2) of

Industrial Disputes Act resolved that dispute to find the 1st

respondent eligible for wages and food allowance for the period.

Such a dispute could have been resolved only in an industrial

dispute raised for the purpose. That being so, I am satisfied that

the Labour Court went wrong in exercising powers under Section

33 C (2) in this case in so far as the question of payment of

wages and food allowance are concerned for the said period. To

that extent, the Ext.P1 order is unsustainable.

5. However, the question of bonus is a different thing.

The Labour Court found that the declared bonus was at the rate

of 12.5%. Therefore, the Labour Court is certainly empowerd to

decide whether any arrears of bonus or bonus was due to the

1st respondent at that rate. Although the petitioner would

contend that he is liable to pay bonus only in accordance with the

O.P. No.26759/2002/I -6-

last drawn wages paid by the management, I am not inclined to

entertain such a contention from an employer who had not paid

minimum wages to his worker. Therefore, there is nothing

wrong in the Labour Court computing bonus payable in

accordance with the declared percentage of bonus based on the

minimum wages payable. However, since from 8.4.1991 to

26.5.1991, the 1st respondent had not worked and since

thereafter he was under suspension which ultimately ended in

dismissal, I do not think that the 1st respondent can claim bonus

for 1991-92 and subsequent period unless the dismissal is set

aside by a process known to law. The Labour Court found that

the arrears of bonus of Rs. 290.75 and 318.50 was due to the

1st respondent for the years 1988-89 and 1989-90. However,

there is no separate computation of bonus for the year 1990-91

in Ext.P1 order. But I find that for the earlier years the

management themselves have paid Rs.637.50 and Rs. 700.50 as

bonus to the petitioner. Therefore, taking into account the entire

facts and circumstances of the case, I feel that an amount of

Rs.1000/- can be fixed as bonus payable to the 1st respondent

which shall be paid within two weeks from the date of receipt of a

O.P. No.26759/2002/I -7-

copy of this judgment. Since I have found that the Labour Court

should not have validly adjudicated the eligibility of 1st

respondent for wages and food allowance for the period from

8.4.1991 to 26.5.1991, that part of the Ext.P1 order is quashed.

The original petition is disposed of as above.

S.SIRI JAGAN,

JUDGE

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