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Rajasthan State Road Transport Corporation vs Bharat Singh Jhala (Dead) through Legal Heirs & Anr.

Civil Appeal · 2022 INSC 1048Decided 30 Sept 2022
Civil Appeal No. 6942 of 2022
M.R. Shah · Krishna Murari

Background

A bus conductor employed by Rajasthan State Road Transport Corporation was dismissed in 2001 after a departmental inquiry found him guilty of collecting fares from 10 passengers without issuing tickets. The Corporation sought approval of the dismissal under Section 33(2)(b) of the Industrial Disputes Act; the Industrial Tribunal, after allowing the Corporation to lead fresh evidence, approved the termination in 2015. About 19 years after the dismissal, the workman (who had since died) raised a fresh industrial dispute under Section 10 of the Act challenging the same termination, and the Labour Court set aside the termination, awarding 50% back wages to his widow. The High Court (Single Judge and Division Bench) upheld the Labour Court's decision.

Decision Breakdown

The Supreme Court held that once the Industrial Tribunal, in proceedings under Section 33(2)(b), had permitted the employer to lead evidence and prove the misconduct, and had thereafter approved the order of termination after appreciating that evidence, those findings attained finality and were binding between the parties. The Labour Court could not, in a fresh reference under Section 10 nearly two decades later, take a contrary view and re-examine the validity of the same termination. The Court distinguished the case of John D'Souza (relied on by the respondent) on facts, since here the Tribunal had specifically permitted and considered evidence on the merits of the charge, unlike a purely summary approval. The High Court's judgments confirming the Labour Court's award were set aside, and the Corporation's appeal was allowed with no order as to costs.

Lesson Learnt

When a departmental termination has already been approved by the Industrial Tribunal under Section 33(2)(b) after the employer was permitted to lead evidence and prove misconduct on merits, that finding becomes binding, and the same dispute generally cannot be reopened years later through a fresh reference under Section 10 of the Industrial Disputes Act.

Official source (sci.gov.in)View Judgment (PDF)

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