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Smt. Subhadra v. The Ministry of Coal and Anr.

Civil Appeal · 2018 INSC 49Decided 23 Jan 2018
Civil Appeal No. 830 of 2018
Justice Kurian Joseph · Justice Mohan M. Shantanagoudar

Background

The appellant's husband, a coal-sector workman, died in service in 2003 when she was about 35 and their son was about 13. Under the applicable Bipartite Agreement, a female dependant below 45 could choose either monetary compensation or employment, but the employer insisted on paying her only Rs. 3,000 per month and keeping her minor son on a "live roster" for future employment instead of giving her a job herself. She refused the monetary compensation and sought employment directly, but her request was repeatedly rejected, and the High Court ultimately held she was entitled only to the monthly compensation.

Decision Breakdown

The Supreme Court held that compassionate appointment here was not a discretionary matter but governed by a specific contractual clause (Paragraph 9.5.0(ii)) giving the female dependant herself, not the employer, the choice between compensation and employment; since she had chosen employment and was otherwise eligible, the employer had no discretion to deny it. The Court set aside the High Court's judgment and, exercising its power to do complete justice, ordered the employer to appoint one of the appellant's now-adult sons within two months, continue paying her Rs. 3,000/month with 7.5% interest from 2004 as earlier ordered, and additionally pay her a lump sum of Rs. 5,00,000 to compensate for 13 years of lost employment.

Lesson Learnt

Where a compassionate-appointment scheme is embodied in a binding agreement that gives the dependant (not the employer) the choice between a job and monetary compensation, the employer cannot override that choice by unilaterally substituting its own preferred option.

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

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