Chief Manager of Rajasthan State Road Transport Corporation v. Haneef Khan
Background
After the Labour Court rejected the Corporation's request for permission to terminate Haneef Khan under Section 33(2)(b) of the Industrial Disputes Act, 1947, his employment was deemed to have continued. The High Court's Division Bench initially ordered only 50% back wages with continuity of service for the intervening period (2001-2010). The respondent later filed a review petition, which the Division Bench allowed, granting him full back wages instead. The Corporation appealed against this enhancement.
Decision Breakdown
The Supreme Court agreed that the respondent was entitled to back wages on the basis of continuity of service, but held that awarding full back wages through a review was not just and proper, given that the respondent had not performed any duties for nearly ten years. It set aside the review order, restored the original order granting 50% back wages, and directed the Corporation to pay all monetary benefits due on the respondent's superannuation within one month.
Lesson Learnt
Continuity of service does not automatically entitle an employee to full back wages for a long period during which no work was actually performed; courts weigh such equities carefully, and review jurisdiction should not be used to substantially enhance an already reasoned award.